IL
Illinois House Bill HB3445

Illinois 2023-2024 Regular Session

Illinois House Bill HB3445 Compare Versions

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1-August 16, 2023 To the Honorable Members of The Illinois House, 103rd General Assembly: Today, I return House Bill 3445, an energy omnibus bill, with specific recommendations for change. House Bill 3445 is an omnibus energy bill that makes changes to the Adjustable Block Grant program to make it more available to public schools, requires IPA to conduct a study evaluating several policy proposals, amends existing law regarding siting for renewable energy projects, requires the Illinois Commerce Commission to conduct a thermal energy network workshop, and gives incumbent utility providers the right of first refusal over new transmission projects in the MISO region. My administration appreciates the hard work of the sponsors of this legislation in the House and Senate. House Bill 3445 contains many valuable provisions to advance energy policy in Illinois. However, the right of first refusal language inserted by Senate Amendment 4 will eliminate competition and raise costs for rate payers by giving incumbent utility providers in the MISO region a monopoly over new transmission lines. Raising costs for rate payers is particularly concerning in the MISO region, where there is currently over $3.6 billion in planned transmission construction in the Ameren service territory. Without competition, Ameren ratepayers in downstate Illinois will see higher electricity bills to pay for the higher cost of these transmission projects. Competitively bidding transmission construction, instead of giving the utility a monopoly, has been proven to lower project costs significantly. Just last year, the federal Department of Justice and Federal Trade Commission criticized a similar right-of-first-refusal proposal at the federal level, citing the benefits of competition to consumers through lower rates, improved service, and increased innovation. (Comment of U.S. Department of Justice and Federal Trade Commission to Building for the Future Through Electric Regional Transmission Planning and Cost Allocation and Generator Interconnection, FERC Docket No. RM21-17-000 (Aug. 17, 2022)). My administration has always been committed to working with stakeholders and our partners in the General Assembly to enact meaningful energy policy. However, I cannot support the ROFR provision of this legislation that will unnecessarily put a higher cost burden on consumers. Therefore, pursuant to Article IV, Section 9(e) of the Illinois Constitution of 1970, I hereby return House Bill 3445, entitled, An Act Concerning State Government, with the following specific recommendations for change: On Page 217, line 7, delete and Article XXIII and delete the entirety of the language added beginning on page 220, line 18 and continuing through page 224, line 17. With the above changes, House Bill 3445 will have my approval. I respectfully request your concurrence. Sincerely, Governor JB Pritzker
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3-August 16, 2023
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9-To the Honorable Members of
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11-The Illinois House,
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13-103rd General Assembly:
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17-Today, I return House Bill 3445, an energy omnibus bill, with specific recommendations for change.
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21-House Bill 3445 is an omnibus energy bill that makes changes to the Adjustable Block Grant program to make it more available to public schools, requires IPA to conduct a study evaluating several policy proposals, amends existing law regarding siting for renewable energy projects, requires the Illinois Commerce Commission to conduct a thermal energy network workshop, and gives incumbent utility providers the right of first refusal over new transmission projects in the MISO region.
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25-My administration appreciates the hard work of the sponsors of this legislation in the House and Senate. House Bill 3445 contains many valuable provisions to advance energy policy in Illinois. However, the right of first refusal language inserted by Senate Amendment 4 will eliminate competition and raise costs for rate payers by giving incumbent utility providers in the MISO region a monopoly over new transmission lines. Raising costs for rate payers is particularly concerning in the MISO region, where there is currently over $3.6 billion in planned transmission construction in the Ameren service territory. Without competition, Ameren ratepayers in downstate Illinois will see higher electricity bills to pay for the higher cost of these transmission projects. Competitively bidding transmission construction, instead of giving the utility a monopoly, has been proven to lower project costs significantly. Just last year, the federal Department of Justice and Federal Trade Commission criticized a similar right-of-first-refusal proposal at the federal level, citing the benefits of competition to consumers through lower rates, improved service, and increased innovation. (Comment of U.S. Department of Justice and Federal Trade Commission to Building for the Future Through Electric Regional Transmission Planning and Cost Allocation and Generator Interconnection, FERC Docket No. RM21-17-000 (Aug. 17, 2022)). My administration has always been committed to working with stakeholders and our partners in the General Assembly to enact meaningful energy policy. However, I cannot support the ROFR provision of this legislation that will unnecessarily put a higher cost burden on consumers.
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27-Therefore, pursuant to Article IV, Section 9(e) of the Illinois Constitution of 1970, I hereby return House Bill 3445, entitled, An Act Concerning State Government, with the following specific recommendations for change: On Page 217, line 7, delete and Article XXIII and delete the entirety of the language added beginning on page 220, line 18 and continuing through page 224, line 17.
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31-With the above changes, House Bill 3445 will have my approval. I respectfully request your concurrence.
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35-Sincerely,
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47-Governor JB Pritzker
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3+1 AN ACT concerning State government.
4+2 Be it enacted by the People of the State of Illinois,
5+3 represented in the General Assembly:
6+4 Section 5. The Freedom of Information Act is amended by
7+5 changing Section 7.5 as follows:
8+6 (5 ILCS 140/7.5)
9+7 Sec. 7.5. Statutory exemptions. To the extent provided for
10+8 by the statutes referenced below, the following shall be
11+9 exempt from inspection and copying:
12+10 (a) All information determined to be confidential
13+11 under Section 4002 of the Technology Advancement and
14+12 Development Act.
15+13 (b) Library circulation and order records identifying
16+14 library users with specific materials under the Library
17+15 Records Confidentiality Act.
18+16 (c) Applications, related documents, and medical
19+17 records received by the Experimental Organ Transplantation
20+18 Procedures Board and any and all documents or other
21+19 records prepared by the Experimental Organ Transplantation
22+20 Procedures Board or its staff relating to applications it
23+21 has received.
24+22 (d) Information and records held by the Department of
25+23 Public Health and its authorized representatives relating
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34+1 to known or suspected cases of sexually transmissible
35+2 disease or any information the disclosure of which is
36+3 restricted under the Illinois Sexually Transmissible
37+4 Disease Control Act.
38+5 (e) Information the disclosure of which is exempted
39+6 under Section 30 of the Radon Industry Licensing Act.
40+7 (f) Firm performance evaluations under Section 55 of
41+8 the Architectural, Engineering, and Land Surveying
42+9 Qualifications Based Selection Act.
43+10 (g) Information the disclosure of which is restricted
44+11 and exempted under Section 50 of the Illinois Prepaid
45+12 Tuition Act.
46+13 (h) Information the disclosure of which is exempted
47+14 under the State Officials and Employees Ethics Act, and
48+15 records of any lawfully created State or local inspector
49+16 general's office that would be exempt if created or
50+17 obtained by an Executive Inspector General's office under
51+18 that Act.
52+19 (i) Information contained in a local emergency energy
53+20 plan submitted to a municipality in accordance with a
54+21 local emergency energy plan ordinance that is adopted
55+22 under Section 11-21.5-5 of the Illinois Municipal Code.
56+23 (j) Information and data concerning the distribution
57+24 of surcharge moneys collected and remitted by carriers
58+25 under the Emergency Telephone System Act.
59+26 (k) Law enforcement officer identification information
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70+1 or driver identification information compiled by a law
71+2 enforcement agency or the Department of Transportation
72+3 under Section 11-212 of the Illinois Vehicle Code.
73+4 (l) Records and information provided to a residential
74+5 health care facility resident sexual assault and death
75+6 review team or the Executive Council under the Abuse
76+7 Prevention Review Team Act.
77+8 (m) Information provided to the predatory lending
78+9 database created pursuant to Article 3 of the Residential
79+10 Real Property Disclosure Act, except to the extent
80+11 authorized under that Article.
81+12 (n) Defense budgets and petitions for certification of
82+13 compensation and expenses for court appointed trial
83+14 counsel as provided under Sections 10 and 15 of the
84+15 Capital Crimes Litigation Act. This subsection (n) shall
85+16 apply until the conclusion of the trial of the case, even
86+17 if the prosecution chooses not to pursue the death penalty
87+18 prior to trial or sentencing.
88+19 (o) Information that is prohibited from being
89+20 disclosed under Section 4 of the Illinois Health and
90+21 Hazardous Substances Registry Act.
91+22 (p) Security portions of system safety program plans,
92+23 investigation reports, surveys, schedules, lists, data, or
93+24 information compiled, collected, or prepared by or for the
94+25 Department of Transportation under Sections 2705-300 and
95+26 2705-616 of the Department of Transportation Law of the
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106+1 Civil Administrative Code of Illinois, the Regional
107+2 Transportation Authority under Section 2.11 of the
108+3 Regional Transportation Authority Act, or the St. Clair
109+4 County Transit District under the Bi-State Transit Safety
110+5 Act.
111+6 (q) Information prohibited from being disclosed by the
112+7 Personnel Record Review Act.
113+8 (r) Information prohibited from being disclosed by the
114+9 Illinois School Student Records Act.
115+10 (s) Information the disclosure of which is restricted
116+11 under Section 5-108 of the Public Utilities Act.
117+12 (t) All identified or deidentified health information
118+13 in the form of health data or medical records contained
119+14 in, stored in, submitted to, transferred by, or released
120+15 from the Illinois Health Information Exchange, and
121+16 identified or deidentified health information in the form
122+17 of health data and medical records of the Illinois Health
123+18 Information Exchange in the possession of the Illinois
124+19 Health Information Exchange Office due to its
125+20 administration of the Illinois Health Information
126+21 Exchange. The terms "identified" and "deidentified" shall
127+22 be given the same meaning as in the Health Insurance
128+23 Portability and Accountability Act of 1996, Public Law
129+24 104-191, or any subsequent amendments thereto, and any
130+25 regulations promulgated thereunder.
131+26 (u) Records and information provided to an independent
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142+1 team of experts under the Developmental Disability and
143+2 Mental Health Safety Act (also known as Brian's Law).
144+3 (v) Names and information of people who have applied
145+4 for or received Firearm Owner's Identification Cards under
146+5 the Firearm Owners Identification Card Act or applied for
147+6 or received a concealed carry license under the Firearm
148+7 Concealed Carry Act, unless otherwise authorized by the
149+8 Firearm Concealed Carry Act; and databases under the
150+9 Firearm Concealed Carry Act, records of the Concealed
151+10 Carry Licensing Review Board under the Firearm Concealed
152+11 Carry Act, and law enforcement agency objections under the
153+12 Firearm Concealed Carry Act.
154+13 (v-5) Records of the Firearm Owner's Identification
155+14 Card Review Board that are exempted from disclosure under
156+15 Section 10 of the Firearm Owners Identification Card Act.
157+16 (w) Personally identifiable information which is
158+17 exempted from disclosure under subsection (g) of Section
159+18 19.1 of the Toll Highway Act.
160+19 (x) Information which is exempted from disclosure
161+20 under Section 5-1014.3 of the Counties Code or Section
162+21 8-11-21 of the Illinois Municipal Code.
163+22 (y) Confidential information under the Adult
164+23 Protective Services Act and its predecessor enabling
165+24 statute, the Elder Abuse and Neglect Act, including
166+25 information about the identity and administrative finding
167+26 against any caregiver of a verified and substantiated
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178+1 decision of abuse, neglect, or financial exploitation of
179+2 an eligible adult maintained in the Registry established
180+3 under Section 7.5 of the Adult Protective Services Act.
181+4 (z) Records and information provided to a fatality
182+5 review team or the Illinois Fatality Review Team Advisory
183+6 Council under Section 15 of the Adult Protective Services
184+7 Act.
185+8 (aa) Information which is exempted from disclosure
186+9 under Section 2.37 of the Wildlife Code.
187+10 (bb) Information which is or was prohibited from
188+11 disclosure by the Juvenile Court Act of 1987.
189+12 (cc) Recordings made under the Law Enforcement
190+13 Officer-Worn Body Camera Act, except to the extent
191+14 authorized under that Act.
192+15 (dd) Information that is prohibited from being
193+16 disclosed under Section 45 of the Condominium and Common
194+17 Interest Community Ombudsperson Act.
195+18 (ee) Information that is exempted from disclosure
196+19 under Section 30.1 of the Pharmacy Practice Act.
197+20 (ff) Information that is exempted from disclosure
198+21 under the Revised Uniform Unclaimed Property Act.
199+22 (gg) Information that is prohibited from being
200+23 disclosed under Section 7-603.5 of the Illinois Vehicle
201+24 Code.
202+25 (hh) Records that are exempt from disclosure under
203+26 Section 1A-16.7 of the Election Code.
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214+1 (ii) Information which is exempted from disclosure
215+2 under Section 2505-800 of the Department of Revenue Law of
216+3 the Civil Administrative Code of Illinois.
217+4 (jj) Information and reports that are required to be
218+5 submitted to the Department of Labor by registering day
219+6 and temporary labor service agencies but are exempt from
220+7 disclosure under subsection (a-1) of Section 45 of the Day
221+8 and Temporary Labor Services Act.
222+9 (kk) Information prohibited from disclosure under the
223+10 Seizure and Forfeiture Reporting Act.
224+11 (ll) Information the disclosure of which is restricted
225+12 and exempted under Section 5-30.8 of the Illinois Public
226+13 Aid Code.
227+14 (mm) Records that are exempt from disclosure under
228+15 Section 4.2 of the Crime Victims Compensation Act.
229+16 (nn) Information that is exempt from disclosure under
230+17 Section 70 of the Higher Education Student Assistance Act.
231+18 (oo) Communications, notes, records, and reports
232+19 arising out of a peer support counseling session
233+20 prohibited from disclosure under the First Responders
234+21 Suicide Prevention Act.
235+22 (pp) Names and all identifying information relating to
236+23 an employee of an emergency services provider or law
237+24 enforcement agency under the First Responders Suicide
238+25 Prevention Act.
239+26 (qq) Information and records held by the Department of
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250+1 Public Health and its authorized representatives collected
251+2 under the Reproductive Health Act.
252+3 (rr) Information that is exempt from disclosure under
253+4 the Cannabis Regulation and Tax Act.
254+5 (ss) Data reported by an employer to the Department of
255+6 Human Rights pursuant to Section 2-108 of the Illinois
256+7 Human Rights Act.
257+8 (tt) Recordings made under the Children's Advocacy
258+9 Center Act, except to the extent authorized under that
259+10 Act.
260+11 (uu) Information that is exempt from disclosure under
261+12 Section 50 of the Sexual Assault Evidence Submission Act.
262+13 (vv) Information that is exempt from disclosure under
263+14 subsections (f) and (j) of Section 5-36 of the Illinois
264+15 Public Aid Code.
265+16 (ww) Information that is exempt from disclosure under
266+17 Section 16.8 of the State Treasurer Act.
267+18 (xx) Information that is exempt from disclosure or
268+19 information that shall not be made public under the
269+20 Illinois Insurance Code.
270+21 (yy) Information prohibited from being disclosed under
271+22 the Illinois Educational Labor Relations Act.
272+23 (zz) Information prohibited from being disclosed under
273+24 the Illinois Public Labor Relations Act.
274+25 (aaa) Information prohibited from being disclosed
275+26 under Section 1-167 of the Illinois Pension Code.
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286+1 (bbb) Information that is prohibited from disclosure
287+2 by the Illinois Police Training Act and the Illinois State
288+3 Police Act.
289+4 (ccc) Records exempt from disclosure under Section
290+5 2605-304 of the Illinois State Police Law of the Civil
291+6 Administrative Code of Illinois.
292+7 (ddd) Information prohibited from being disclosed
293+8 under Section 35 of the Address Confidentiality for
294+9 Victims of Domestic Violence, Sexual Assault, Human
295+10 Trafficking, or Stalking Act.
296+11 (eee) Information prohibited from being disclosed
297+12 under subsection (b) of Section 75 of the Domestic
298+13 Violence Fatality Review Act.
299+14 (fff) Images from cameras under the Expressway Camera
300+15 Act. This subsection (fff) is inoperative on and after
301+16 July 1, 2023.
302+17 (ggg) Information prohibited from disclosure under
303+18 paragraph (3) of subsection (a) of Section 14 of the Nurse
304+19 Agency Licensing Act.
305+20 (hhh) Information submitted to the Illinois Department
306+21 of State Police in an affidavit or application for an
307+22 assault weapon endorsement, assault weapon attachment
308+23 endorsement, .50 caliber rifle endorsement, or .50 caliber
309+24 cartridge endorsement under the Firearm Owners
310+25 Identification Card Act.
311+26 (iii) Information prohibited from being disclosed
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322+1 under subsection (e) of Section 1-129 of the Illinois
323+2 Power Agency Act.
324+3 (Source: P.A. 101-13, eff. 6-12-19; 101-27, eff. 6-25-19;
325+4 101-81, eff. 7-12-19; 101-221, eff. 1-1-20; 101-236, eff.
326+5 1-1-20; 101-375, eff. 8-16-19; 101-377, eff. 8-16-19; 101-452,
327+6 eff. 1-1-20; 101-466, eff. 1-1-20; 101-600, eff. 12-6-19;
328+7 101-620, eff 12-20-19; 101-649, eff. 7-7-20; 101-652, eff.
329+8 1-1-22; 101-656, eff. 3-23-21; 102-36, eff. 6-25-21; 102-237,
330+9 eff. 1-1-22; 102-292, eff. 1-1-22; 102-520, eff. 8-20-21;
331+10 102-559, eff. 8-20-21; 102-813, eff. 5-13-22; 102-946, eff.
332+11 7-1-22; 102-1042, eff. 6-3-22; 102-1116, eff. 1-10-23; revised
333+12 2-13-23.)"; and
334+13 Section 10. The Illinois Power Agency Act is amended by
335+14 changing Section 1-75 and adding Section 1-129 as follows:
336+15 (20 ILCS 3855/1-75)
337+16 Sec. 1-75. Planning and Procurement Bureau. The Planning
338+17 and Procurement Bureau has the following duties and
339+18 responsibilities:
340+19 (a) The Planning and Procurement Bureau shall each year,
341+20 beginning in 2008, develop procurement plans and conduct
342+21 competitive procurement processes in accordance with the
343+22 requirements of Section 16-111.5 of the Public Utilities Act
344+23 for the eligible retail customers of electric utilities that
345+24 on December 31, 2005 provided electric service to at least
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356+1 100,000 customers in Illinois. Beginning with the delivery
357+2 year commencing on June 1, 2017, the Planning and Procurement
358+3 Bureau shall develop plans and processes for the procurement
359+4 of zero emission credits from zero emission facilities in
360+5 accordance with the requirements of subsection (d-5) of this
361+6 Section. Beginning on the effective date of this amendatory
362+7 Act of the 102nd General Assembly, the Planning and
363+8 Procurement Bureau shall develop plans and processes for the
364+9 procurement of carbon mitigation credits from carbon-free
365+10 energy resources in accordance with the requirements of
366+11 subsection (d-10) of this Section. The Planning and
367+12 Procurement Bureau shall also develop procurement plans and
368+13 conduct competitive procurement processes in accordance with
369+14 the requirements of Section 16-111.5 of the Public Utilities
370+15 Act for the eligible retail customers of small
371+16 multi-jurisdictional electric utilities that (i) on December
372+17 31, 2005 served less than 100,000 customers in Illinois and
373+18 (ii) request a procurement plan for their Illinois
374+19 jurisdictional load. This Section shall not apply to a small
375+20 multi-jurisdictional utility until such time as a small
376+21 multi-jurisdictional utility requests the Agency to prepare a
377+22 procurement plan for their Illinois jurisdictional load. For
378+23 the purposes of this Section, the term "eligible retail
379+24 customers" has the same definition as found in Section
380+25 16-111.5(a) of the Public Utilities Act.
381+26 Beginning with the plan or plans to be implemented in the
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392+1 2017 delivery year, the Agency shall no longer include the
393+2 procurement of renewable energy resources in the annual
394+3 procurement plans required by this subsection (a), except as
395+4 provided in subsection (q) of Section 16-111.5 of the Public
396+5 Utilities Act, and shall instead develop a long-term renewable
397+6 resources procurement plan in accordance with subsection (c)
398+7 of this Section and Section 16-111.5 of the Public Utilities
399+8 Act.
400+9 In accordance with subsection (c-5) of this Section, the
401+10 Planning and Procurement Bureau shall oversee the procurement
402+11 by electric utilities that served more than 300,000 retail
403+12 customers in this State as of January 1, 2019 of renewable
404+13 energy credits from new utility-scale solar projects to be
405+14 installed, along with energy storage facilities, at or
406+15 adjacent to the sites of electric generating facilities that,
407+16 as of January 1, 2016, burned coal as their primary fuel
408+17 source.
409+18 (1) The Agency shall each year, beginning in 2008, as
410+19 needed, issue a request for qualifications for experts or
411+20 expert consulting firms to develop the procurement plans
412+21 in accordance with Section 16-111.5 of the Public
413+22 Utilities Act. In order to qualify an expert or expert
414+23 consulting firm must have:
415+24 (A) direct previous experience assembling
416+25 large-scale power supply plans or portfolios for
417+26 end-use customers;
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428+1 (B) an advanced degree in economics, mathematics,
429+2 engineering, risk management, or a related area of
430+3 study;
431+4 (C) 10 years of experience in the electricity
432+5 sector, including managing supply risk;
433+6 (D) expertise in wholesale electricity market
434+7 rules, including those established by the Federal
435+8 Energy Regulatory Commission and regional transmission
436+9 organizations;
437+10 (E) expertise in credit protocols and familiarity
438+11 with contract protocols;
439+12 (F) adequate resources to perform and fulfill the
440+13 required functions and responsibilities; and
441+14 (G) the absence of a conflict of interest and
442+15 inappropriate bias for or against potential bidders or
443+16 the affected electric utilities.
444+17 (2) The Agency shall each year, as needed, issue a
445+18 request for qualifications for a procurement administrator
446+19 to conduct the competitive procurement processes in
447+20 accordance with Section 16-111.5 of the Public Utilities
448+21 Act. In order to qualify an expert or expert consulting
449+22 firm must have:
450+23 (A) direct previous experience administering a
451+24 large-scale competitive procurement process;
452+25 (B) an advanced degree in economics, mathematics,
453+26 engineering, or a related area of study;
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464+1 (C) 10 years of experience in the electricity
465+2 sector, including risk management experience;
466+3 (D) expertise in wholesale electricity market
467+4 rules, including those established by the Federal
468+5 Energy Regulatory Commission and regional transmission
469+6 organizations;
470+7 (E) expertise in credit and contract protocols;
471+8 (F) adequate resources to perform and fulfill the
472+9 required functions and responsibilities; and
473+10 (G) the absence of a conflict of interest and
474+11 inappropriate bias for or against potential bidders or
475+12 the affected electric utilities.
476+13 (3) The Agency shall provide affected utilities and
477+14 other interested parties with the lists of qualified
478+15 experts or expert consulting firms identified through the
479+16 request for qualifications processes that are under
480+17 consideration to develop the procurement plans and to
481+18 serve as the procurement administrator. The Agency shall
482+19 also provide each qualified expert's or expert consulting
483+20 firm's response to the request for qualifications. All
484+21 information provided under this subparagraph shall also be
485+22 provided to the Commission. The Agency may provide by rule
486+23 for fees associated with supplying the information to
487+24 utilities and other interested parties. These parties
488+25 shall, within 5 business days, notify the Agency in
489+26 writing if they object to any experts or expert consulting
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492+
493+
494+
495+ HB3445 Enrolled - 14 - LRB103 29599 AMQ 55994 b
496+
497+
498+HB3445 Enrolled- 15 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 15 - LRB103 29599 AMQ 55994 b
499+ HB3445 Enrolled - 15 - LRB103 29599 AMQ 55994 b
500+1 firms on the lists. Objections shall be based on:
501+2 (A) failure to satisfy qualification criteria;
502+3 (B) identification of a conflict of interest; or
503+4 (C) evidence of inappropriate bias for or against
504+5 potential bidders or the affected utilities.
505+6 The Agency shall remove experts or expert consulting
506+7 firms from the lists within 10 days if there is a
507+8 reasonable basis for an objection and provide the updated
508+9 lists to the affected utilities and other interested
509+10 parties. If the Agency fails to remove an expert or expert
510+11 consulting firm from a list, an objecting party may seek
511+12 review by the Commission within 5 days thereafter by
512+13 filing a petition, and the Commission shall render a
513+14 ruling on the petition within 10 days. There is no right of
514+15 appeal of the Commission's ruling.
515+16 (4) The Agency shall issue requests for proposals to
516+17 the qualified experts or expert consulting firms to
517+18 develop a procurement plan for the affected utilities and
518+19 to serve as procurement administrator.
519+20 (5) The Agency shall select an expert or expert
520+21 consulting firm to develop procurement plans based on the
521+22 proposals submitted and shall award contracts of up to 5
522+23 years to those selected.
523+24 (6) The Agency shall select an expert or expert
524+25 consulting firm, with approval of the Commission, to serve
525+26 as procurement administrator based on the proposals
526+
527+
528+
529+
530+
531+ HB3445 Enrolled - 15 - LRB103 29599 AMQ 55994 b
532+
533+
534+HB3445 Enrolled- 16 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 16 - LRB103 29599 AMQ 55994 b
535+ HB3445 Enrolled - 16 - LRB103 29599 AMQ 55994 b
536+1 submitted. If the Commission rejects, within 5 days, the
537+2 Agency's selection, the Agency shall submit another
538+3 recommendation within 3 days based on the proposals
539+4 submitted. The Agency shall award a 5-year contract to the
540+5 expert or expert consulting firm so selected with
541+6 Commission approval.
542+7 (b) The experts or expert consulting firms retained by the
543+8 Agency shall, as appropriate, prepare procurement plans, and
544+9 conduct a competitive procurement process as prescribed in
545+10 Section 16-111.5 of the Public Utilities Act, to ensure
546+11 adequate, reliable, affordable, efficient, and environmentally
547+12 sustainable electric service at the lowest total cost over
548+13 time, taking into account any benefits of price stability, for
549+14 eligible retail customers of electric utilities that on
550+15 December 31, 2005 provided electric service to at least
551+16 100,000 customers in the State of Illinois, and for eligible
552+17 Illinois retail customers of small multi-jurisdictional
553+18 electric utilities that (i) on December 31, 2005 served less
554+19 than 100,000 customers in Illinois and (ii) request a
555+20 procurement plan for their Illinois jurisdictional load.
556+21 (c) Renewable portfolio standard.
557+22 (1)(A) The Agency shall develop a long-term renewable
558+23 resources procurement plan that shall include procurement
559+24 programs and competitive procurement events necessary to
560+25 meet the goals set forth in this subsection (c). The
561+26 initial long-term renewable resources procurement plan
562+
563+
564+
565+
566+
567+ HB3445 Enrolled - 16 - LRB103 29599 AMQ 55994 b
568+
569+
570+HB3445 Enrolled- 17 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 17 - LRB103 29599 AMQ 55994 b
571+ HB3445 Enrolled - 17 - LRB103 29599 AMQ 55994 b
572+1 shall be released for comment no later than 160 days after
573+2 June 1, 2017 (the effective date of Public Act 99-906).
574+3 The Agency shall review, and may revise on an expedited
575+4 basis, the long-term renewable resources procurement plan
576+5 at least every 2 years, which shall be conducted in
577+6 conjunction with the procurement plan under Section
578+7 16-111.5 of the Public Utilities Act to the extent
579+8 practicable to minimize administrative expense. No later
580+9 than 120 days after the effective date of this amendatory
581+10 Act of the 102nd General Assembly, the Agency shall
582+11 release for comment a revision to the long-term renewable
583+12 resources procurement plan, updating elements of the most
584+13 recently approved plan as needed to comply with this
585+14 amendatory Act of the 102nd General Assembly, and any
586+15 long-term renewable resources procurement plan update
587+16 published by the Agency but not yet approved by the
588+17 Illinois Commerce Commission shall be withdrawn. The
589+18 long-term renewable resources procurement plans shall be
590+19 subject to review and approval by the Commission under
591+20 Section 16-111.5 of the Public Utilities Act.
592+21 (B) Subject to subparagraph (F) of this paragraph (1),
593+22 the long-term renewable resources procurement plan shall
594+23 attempt to meet the goals for procurement of renewable
595+24 energy credits at levels of at least the following overall
596+25 percentages: 13% by the 2017 delivery year; increasing by
597+26 at least 1.5% each delivery year thereafter to at least
598+
599+
600+
601+
602+
603+ HB3445 Enrolled - 17 - LRB103 29599 AMQ 55994 b
604+
605+
606+HB3445 Enrolled- 18 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 18 - LRB103 29599 AMQ 55994 b
607+ HB3445 Enrolled - 18 - LRB103 29599 AMQ 55994 b
608+1 25% by the 2025 delivery year; increasing by at least 3%
609+2 each delivery year thereafter to at least 40% by the 2030
610+3 delivery year, and continuing at no less than 40% for each
611+4 delivery year thereafter. The Agency shall attempt to
612+5 procure 50% by delivery year 2040. The Agency shall
613+6 determine the annual increase between delivery year 2030
614+7 and delivery year 2040, if any, taking into account energy
615+8 demand, other energy resources, and other public policy
616+9 goals. In the event of a conflict between these goals and
617+10 the new wind and new photovoltaic procurement requirements
618+11 described in items (i) through (iii) of subparagraph (C)
619+12 of this paragraph (1), the long-term plan shall prioritize
620+13 compliance with the new wind and new photovoltaic
621+14 procurement requirements described in items (i) through
622+15 (iii) of subparagraph (C) of this paragraph (1) over the
623+16 annual percentage targets described in this subparagraph
624+17 (B). The Agency shall not comply with the annual
625+18 percentage targets described in this subparagraph (B) by
626+19 procuring renewable energy credits that are unlikely to
627+20 lead to the development of new renewable resources.
628+21 For the delivery year beginning June 1, 2017, the
629+22 procurement plan shall attempt to include, subject to the
630+23 prioritization outlined in this subparagraph (B),
631+24 cost-effective renewable energy resources equal to at
632+25 least 13% of each utility's load for eligible retail
633+26 customers and 13% of the applicable portion of each
634+
635+
636+
637+
638+
639+ HB3445 Enrolled - 18 - LRB103 29599 AMQ 55994 b
640+
641+
642+HB3445 Enrolled- 19 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 19 - LRB103 29599 AMQ 55994 b
643+ HB3445 Enrolled - 19 - LRB103 29599 AMQ 55994 b
644+1 utility's load for retail customers who are not eligible
645+2 retail customers, which applicable portion shall equal 50%
646+3 of the utility's load for retail customers who are not
647+4 eligible retail customers on February 28, 2017.
648+5 For the delivery year beginning June 1, 2018, the
649+6 procurement plan shall attempt to include, subject to the
650+7 prioritization outlined in this subparagraph (B),
651+8 cost-effective renewable energy resources equal to at
652+9 least 14.5% of each utility's load for eligible retail
653+10 customers and 14.5% of the applicable portion of each
654+11 utility's load for retail customers who are not eligible
655+12 retail customers, which applicable portion shall equal 75%
656+13 of the utility's load for retail customers who are not
657+14 eligible retail customers on February 28, 2017.
658+15 For the delivery year beginning June 1, 2019, and for
659+16 each year thereafter, the procurement plans shall attempt
660+17 to include, subject to the prioritization outlined in this
661+18 subparagraph (B), cost-effective renewable energy
662+19 resources equal to a minimum percentage of each utility's
663+20 load for all retail customers as follows: 16% by June 1,
664+21 2019; increasing by 1.5% each year thereafter to 25% by
665+22 June 1, 2025; and 25% by June 1, 2026; increasing by at
666+23 least 3% each delivery year thereafter to at least 40% by
667+24 the 2030 delivery year, and continuing at no less than 40%
668+25 for each delivery year thereafter. The Agency shall
669+26 attempt to procure 50% by delivery year 2040. The Agency
670+
671+
672+
673+
674+
675+ HB3445 Enrolled - 19 - LRB103 29599 AMQ 55994 b
676+
677+
678+HB3445 Enrolled- 20 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 20 - LRB103 29599 AMQ 55994 b
679+ HB3445 Enrolled - 20 - LRB103 29599 AMQ 55994 b
680+1 shall determine the annual increase between delivery year
681+2 2030 and delivery year 2040, if any, taking into account
682+3 energy demand, other energy resources, and other public
683+4 policy goals.
684+5 For each delivery year, the Agency shall first
685+6 recognize each utility's obligations for that delivery
686+7 year under existing contracts. Any renewable energy
687+8 credits under existing contracts, including renewable
688+9 energy credits as part of renewable energy resources,
689+10 shall be used to meet the goals set forth in this
690+11 subsection (c) for the delivery year.
691+12 (C) The long-term renewable resources procurement plan
692+13 described in subparagraph (A) of this paragraph (1) shall
693+14 include the procurement of renewable energy credits from
694+15 new projects in amounts equal to at least the following:
695+16 (i) 10,000,000 renewable energy credits delivered
696+17 annually by the end of the 2021 delivery year, and
697+18 increasing ratably to reach 45,000,000 renewable
698+19 energy credits delivered annually from new wind and
699+20 solar projects by the end of delivery year 2030 such
700+21 that the goals in subparagraph (B) of this paragraph
701+22 (1) are met entirely by procurements of renewable
702+23 energy credits from new wind and photovoltaic
703+24 projects. Of that amount, to the extent possible, the
704+25 Agency shall procure 45% from wind projects and 55%
705+26 from photovoltaic projects. Of the amount to be
706+
707+
708+
709+
710+
711+ HB3445 Enrolled - 20 - LRB103 29599 AMQ 55994 b
712+
713+
714+HB3445 Enrolled- 21 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 21 - LRB103 29599 AMQ 55994 b
715+ HB3445 Enrolled - 21 - LRB103 29599 AMQ 55994 b
716+1 procured from photovoltaic projects, the Agency shall
717+2 procure: at least 50% from solar photovoltaic projects
718+3 using the program outlined in subparagraph (K) of this
719+4 paragraph (1) from distributed renewable energy
720+5 generation devices or community renewable generation
721+6 projects; at least 47% from utility-scale solar
722+7 projects; at least 3% from brownfield site
723+8 photovoltaic projects that are not community renewable
724+9 generation projects.
725+10 In developing the long-term renewable resources
726+11 procurement plan, the Agency shall consider other
727+12 approaches, in addition to competitive procurements,
728+13 that can be used to procure renewable energy credits
729+14 from brownfield site photovoltaic projects and thereby
730+15 help return blighted or contaminated land to
731+16 productive use while enhancing public health and the
732+17 well-being of Illinois residents, including those in
733+18 environmental justice communities, as defined using
734+19 existing methodologies and findings used by the Agency
735+20 and its Administrator in its Illinois Solar for All
736+21 Program.
737+22 (ii) In any given delivery year, if forecasted
738+23 expenses are less than the maximum budget available
739+24 under subparagraph (E) of this paragraph (1), the
740+25 Agency shall continue to procure new renewable energy
741+26 credits until that budget is exhausted in the manner
742+
743+
744+
745+
746+
747+ HB3445 Enrolled - 21 - LRB103 29599 AMQ 55994 b
748+
749+
750+HB3445 Enrolled- 22 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 22 - LRB103 29599 AMQ 55994 b
751+ HB3445 Enrolled - 22 - LRB103 29599 AMQ 55994 b
752+1 outlined in item (i) of this subparagraph (C).
753+2 (iii) For purposes of this Section:
754+3 "New wind projects" means wind renewable energy
755+4 facilities that are energized after June 1, 2017 for
756+5 the delivery year commencing June 1, 2017.
757+6 "New photovoltaic projects" means photovoltaic
758+7 renewable energy facilities that are energized after
759+8 June 1, 2017. Photovoltaic projects developed under
760+9 Section 1-56 of this Act shall not apply towards the
761+10 new photovoltaic project requirements in this
762+11 subparagraph (C).
763+12 For purposes of calculating whether the Agency has
764+13 procured enough new wind and solar renewable energy
765+14 credits required by this subparagraph (C), renewable
766+15 energy facilities that have a multi-year renewable
767+16 energy credit delivery contract with the utility
768+17 through at least delivery year 2030 shall be
769+18 considered new, however no renewable energy credits
770+19 from contracts entered into before June 1, 2021 shall
771+20 be used to calculate whether the Agency has procured
772+21 the correct proportion of new wind and new solar
773+22 contracts described in this subparagraph (C) for
774+23 delivery year 2021 and thereafter.
775+24 (D) Renewable energy credits shall be cost effective.
776+25 For purposes of this subsection (c), "cost effective"
777+26 means that the costs of procuring renewable energy
778+
779+
780+
781+
782+
783+ HB3445 Enrolled - 22 - LRB103 29599 AMQ 55994 b
784+
785+
786+HB3445 Enrolled- 23 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 23 - LRB103 29599 AMQ 55994 b
787+ HB3445 Enrolled - 23 - LRB103 29599 AMQ 55994 b
788+1 resources do not cause the limit stated in subparagraph
789+2 (E) of this paragraph (1) to be exceeded and, for
790+3 renewable energy credits procured through a competitive
791+4 procurement event, do not exceed benchmarks based on
792+5 market prices for like products in the region. For
793+6 purposes of this subsection (c), "like products" means
794+7 contracts for renewable energy credits from the same or
795+8 substantially similar technology, same or substantially
796+9 similar vintage (new or existing), the same or
797+10 substantially similar quantity, and the same or
798+11 substantially similar contract length and structure.
799+12 Benchmarks shall reflect development, financing, or
800+13 related costs resulting from requirements imposed through
801+14 other provisions of State law, including, but not limited
802+15 to, requirements in subparagraphs (P) and (Q) of this
803+16 paragraph (1) and the Renewable Energy Facilities
804+17 Agricultural Impact Mitigation Act. Confidential
805+18 benchmarks shall be developed by the procurement
806+19 administrator, in consultation with the Commission staff,
807+20 Agency staff, and the procurement monitor and shall be
808+21 subject to Commission review and approval. If price
809+22 benchmarks for like products in the region are not
810+23 available, the procurement administrator shall establish
811+24 price benchmarks based on publicly available data on
812+25 regional technology costs and expected current and future
813+26 regional energy prices. The benchmarks in this Section
814+
815+
816+
817+
818+
819+ HB3445 Enrolled - 23 - LRB103 29599 AMQ 55994 b
820+
821+
822+HB3445 Enrolled- 24 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 24 - LRB103 29599 AMQ 55994 b
823+ HB3445 Enrolled - 24 - LRB103 29599 AMQ 55994 b
824+1 shall not be used to curtail or otherwise reduce
825+2 contractual obligations entered into by or through the
826+3 Agency prior to June 1, 2017 (the effective date of Public
827+4 Act 99-906).
828+5 (E) For purposes of this subsection (c), the required
829+6 procurement of cost-effective renewable energy resources
830+7 for a particular year commencing prior to June 1, 2017
831+8 shall be measured as a percentage of the actual amount of
832+9 electricity (megawatt-hours) supplied by the electric
833+10 utility to eligible retail customers in the delivery year
834+11 ending immediately prior to the procurement, and, for
835+12 delivery years commencing on and after June 1, 2017, the
836+13 required procurement of cost-effective renewable energy
837+14 resources for a particular year shall be measured as a
838+15 percentage of the actual amount of electricity
839+16 (megawatt-hours) delivered by the electric utility in the
840+17 delivery year ending immediately prior to the procurement,
841+18 to all retail customers in its service territory. For
842+19 purposes of this subsection (c), the amount paid per
843+20 kilowatthour means the total amount paid for electric
844+21 service expressed on a per kilowatthour basis. For
845+22 purposes of this subsection (c), the total amount paid for
846+23 electric service includes without limitation amounts paid
847+24 for supply, transmission, capacity, distribution,
848+25 surcharges, and add-on taxes.
849+26 Notwithstanding the requirements of this subsection
850+
851+
852+
853+
854+
855+ HB3445 Enrolled - 24 - LRB103 29599 AMQ 55994 b
856+
857+
858+HB3445 Enrolled- 25 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 25 - LRB103 29599 AMQ 55994 b
859+ HB3445 Enrolled - 25 - LRB103 29599 AMQ 55994 b
860+1 (c), the total of renewable energy resources procured
861+2 under the procurement plan for any single year shall be
862+3 subject to the limitations of this subparagraph (E). Such
863+4 procurement shall be reduced for all retail customers
864+5 based on the amount necessary to limit the annual
865+6 estimated average net increase due to the costs of these
866+7 resources included in the amounts paid by eligible retail
867+8 customers in connection with electric service to no more
868+9 than 4.25% of the amount paid per kilowatthour by those
869+10 customers during the year ending May 31, 2009. To arrive
870+11 at a maximum dollar amount of renewable energy resources
871+12 to be procured for the particular delivery year, the
872+13 resulting per kilowatthour amount shall be applied to the
873+14 actual amount of kilowatthours of electricity delivered,
874+15 or applicable portion of such amount as specified in
875+16 paragraph (1) of this subsection (c), as applicable, by
876+17 the electric utility in the delivery year immediately
877+18 prior to the procurement to all retail customers in its
878+19 service territory. The calculations required by this
879+20 subparagraph (E) shall be made only once for each delivery
880+21 year at the time that the renewable energy resources are
881+22 procured. Once the determination as to the amount of
882+23 renewable energy resources to procure is made based on the
883+24 calculations set forth in this subparagraph (E) and the
884+25 contracts procuring those amounts are executed, no
885+26 subsequent rate impact determinations shall be made and no
886+
887+
888+
889+
890+
891+ HB3445 Enrolled - 25 - LRB103 29599 AMQ 55994 b
892+
893+
894+HB3445 Enrolled- 26 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 26 - LRB103 29599 AMQ 55994 b
895+ HB3445 Enrolled - 26 - LRB103 29599 AMQ 55994 b
896+1 adjustments to those contract amounts shall be allowed.
897+2 All costs incurred under such contracts shall be fully
898+3 recoverable by the electric utility as provided in this
899+4 Section.
900+5 (F) If the limitation on the amount of renewable
901+6 energy resources procured in subparagraph (E) of this
902+7 paragraph (1) prevents the Agency from meeting all of the
903+8 goals in this subsection (c), the Agency's long-term plan
904+9 shall prioritize compliance with the requirements of this
905+10 subsection (c) regarding renewable energy credits in the
906+11 following order:
907+12 (i) renewable energy credits under existing
908+13 contractual obligations as of June 1, 2021;
909+14 (i-5) funding for the Illinois Solar for All
910+15 Program, as described in subparagraph (O) of this
911+16 paragraph (1);
912+17 (ii) renewable energy credits necessary to comply
913+18 with the new wind and new photovoltaic procurement
914+19 requirements described in items (i) through (iii) of
915+20 subparagraph (C) of this paragraph (1); and
916+21 (iii) renewable energy credits necessary to meet
917+22 the remaining requirements of this subsection (c).
918+23 (G) The following provisions shall apply to the
919+24 Agency's procurement of renewable energy credits under
920+25 this subsection (c):
921+26 (i) Notwithstanding whether a long-term renewable
922+
923+
924+
925+
926+
927+ HB3445 Enrolled - 26 - LRB103 29599 AMQ 55994 b
928+
929+
930+HB3445 Enrolled- 27 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 27 - LRB103 29599 AMQ 55994 b
931+ HB3445 Enrolled - 27 - LRB103 29599 AMQ 55994 b
932+1 resources procurement plan has been approved, the
933+2 Agency shall conduct an initial forward procurement
934+3 for renewable energy credits from new utility-scale
935+4 wind projects within 160 days after June 1, 2017 (the
936+5 effective date of Public Act 99-906). For the purposes
937+6 of this initial forward procurement, the Agency shall
938+7 solicit 15-year contracts for delivery of 1,000,000
939+8 renewable energy credits delivered annually from new
940+9 utility-scale wind projects to begin delivery on June
941+10 1, 2019, if available, but not later than June 1, 2021,
942+11 unless the project has delays in the establishment of
943+12 an operating interconnection with the applicable
944+13 transmission or distribution system as a result of the
945+14 actions or inactions of the transmission or
946+15 distribution provider, or other causes for force
947+16 majeure as outlined in the procurement contract, in
948+17 which case, not later than June 1, 2022. Payments to
949+18 suppliers of renewable energy credits shall commence
950+19 upon delivery. Renewable energy credits procured under
951+20 this initial procurement shall be included in the
952+21 Agency's long-term plan and shall apply to all
953+22 renewable energy goals in this subsection (c).
954+23 (ii) Notwithstanding whether a long-term renewable
955+24 resources procurement plan has been approved, the
956+25 Agency shall conduct an initial forward procurement
957+26 for renewable energy credits from new utility-scale
958+
959+
960+
961+
962+
963+ HB3445 Enrolled - 27 - LRB103 29599 AMQ 55994 b
964+
965+
966+HB3445 Enrolled- 28 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 28 - LRB103 29599 AMQ 55994 b
967+ HB3445 Enrolled - 28 - LRB103 29599 AMQ 55994 b
968+1 solar projects and brownfield site photovoltaic
969+2 projects within one year after June 1, 2017 (the
970+3 effective date of Public Act 99-906). For the purposes
971+4 of this initial forward procurement, the Agency shall
972+5 solicit 15-year contracts for delivery of 1,000,000
973+6 renewable energy credits delivered annually from new
974+7 utility-scale solar projects and brownfield site
975+8 photovoltaic projects to begin delivery on June 1,
976+9 2019, if available, but not later than June 1, 2021,
977+10 unless the project has delays in the establishment of
978+11 an operating interconnection with the applicable
979+12 transmission or distribution system as a result of the
980+13 actions or inactions of the transmission or
981+14 distribution provider, or other causes for force
982+15 majeure as outlined in the procurement contract, in
983+16 which case, not later than June 1, 2022. The Agency may
984+17 structure this initial procurement in one or more
985+18 discrete procurement events. Payments to suppliers of
986+19 renewable energy credits shall commence upon delivery.
987+20 Renewable energy credits procured under this initial
988+21 procurement shall be included in the Agency's
989+22 long-term plan and shall apply to all renewable energy
990+23 goals in this subsection (c).
991+24 (iii) Notwithstanding whether the Commission has
992+25 approved the periodic long-term renewable resources
993+26 procurement plan revision described in Section
994+
995+
996+
997+
998+
999+ HB3445 Enrolled - 28 - LRB103 29599 AMQ 55994 b
1000+
1001+
1002+HB3445 Enrolled- 29 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 29 - LRB103 29599 AMQ 55994 b
1003+ HB3445 Enrolled - 29 - LRB103 29599 AMQ 55994 b
1004+1 16-111.5 of the Public Utilities Act, the Agency shall
1005+2 conduct at least one subsequent forward procurement
1006+3 for renewable energy credits from new utility-scale
1007+4 wind projects, new utility-scale solar projects, and
1008+5 new brownfield site photovoltaic projects within 240
1009+6 days after the effective date of this amendatory Act
1010+7 of the 102nd General Assembly in quantities necessary
1011+8 to meet the requirements of subparagraph (C) of this
1012+9 paragraph (1) through the delivery year beginning June
1013+10 1, 2021.
1014+11 (iv) Notwithstanding whether the Commission has
1015+12 approved the periodic long-term renewable resources
1016+13 procurement plan revision described in Section
1017+14 16-111.5 of the Public Utilities Act, the Agency shall
1018+15 open capacity for each category in the Adjustable
1019+16 Block program within 90 days after the effective date
1020+17 of this amendatory Act of the 102nd General Assembly
1021+18 manner:
1022+19 (1) The Agency shall open the first block of
1023+20 annual capacity for the category described in item
1024+21 (i) of subparagraph (K) of this paragraph (1). The
1025+22 first block of annual capacity for item (i) shall
1026+23 be for at least 75 megawatts of total nameplate
1027+24 capacity. The price of the renewable energy credit
1028+25 for this block of capacity shall be 4% less than
1029+26 the price of the last open block in this category.
1030+
1031+
1032+
1033+
1034+
1035+ HB3445 Enrolled - 29 - LRB103 29599 AMQ 55994 b
1036+
1037+
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1039+ HB3445 Enrolled - 30 - LRB103 29599 AMQ 55994 b
1040+1 Projects on a waitlist shall be awarded contracts
1041+2 first in the order in which they appear on the
1042+3 waitlist. Notwithstanding anything to the
1043+4 contrary, for those renewable energy credits that
1044+5 qualify and are procured under this subitem (1) of
1045+6 this item (iv), the renewable energy credit
1046+7 delivery contract value shall be paid in full,
1047+8 based on the estimated generation during the first
1048+9 15 years of operation, by the contracting
1049+10 utilities at the time that the facility producing
1050+11 the renewable energy credits is interconnected at
1051+12 the distribution system level of the utility and
1052+13 verified as energized and in compliance by the
1053+14 Program Administrator. The electric utility shall
1054+15 receive and retire all renewable energy credits
1055+16 generated by the project for the first 15 years of
1056+17 operation. Renewable energy credits generated by
1057+18 the project thereafter shall not be transferred
1058+19 under the renewable energy credit delivery
1059+20 contract with the counterparty electric utility.
1060+21 (2) The Agency shall open the first block of
1061+22 annual capacity for the category described in item
1062+23 (ii) of subparagraph (K) of this paragraph (1).
1063+24 The first block of annual capacity for item (ii)
1064+25 shall be for at least 75 megawatts of total
1065+26 nameplate capacity.
1066+
1067+
1068+
1069+
1070+
1071+ HB3445 Enrolled - 30 - LRB103 29599 AMQ 55994 b
1072+
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1075+ HB3445 Enrolled - 31 - LRB103 29599 AMQ 55994 b
1076+1 (A) The price of the renewable energy
1077+2 credit for any project on a waitlist for this
1078+3 category before the opening of this block
1079+4 shall be 4% less than the price of the last
1080+5 open block in this category. Projects on the
1081+6 waitlist shall be awarded contracts first in
1082+7 the order in which they appear on the
1083+8 waitlist. Any projects that are less than or
1084+9 equal to 25 kilowatts in size on the waitlist
1085+10 for this capacity shall be moved to the
1086+11 waitlist for paragraph (1) of this item (iv).
1087+12 Notwithstanding anything to the contrary,
1088+13 projects that were on the waitlist prior to
1089+14 opening of this block shall not be required to
1090+15 be in compliance with the requirements of
1091+16 subparagraph (Q) of this paragraph (1) of this
1092+17 subsection (c). Notwithstanding anything to
1093+18 the contrary, for those renewable energy
1094+19 credits procured from projects that were on
1095+20 the waitlist for this category before the
1096+21 opening of this block 20% of the renewable
1097+22 energy credit delivery contract value, based
1098+23 on the estimated generation during the first
1099+24 15 years of operation, shall be paid by the
1100+25 contracting utilities at the time that the
1101+26 facility producing the renewable energy
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1111+ HB3445 Enrolled - 32 - LRB103 29599 AMQ 55994 b
1112+1 credits is interconnected at the distribution
1113+2 system level of the utility and verified as
1114+3 energized by the Program Administrator. The
1115+4 remaining portion shall be paid ratably over
1116+5 the subsequent 4-year period. The electric
1117+6 utility shall receive and retire all renewable
1118+7 energy credits generated by the project during
1119+8 the first 15 years of operation. Renewable
1120+9 energy credits generated by the project
1121+10 thereafter shall not be transferred under the
1122+11 renewable energy credit delivery contract with
1123+12 the counterparty electric utility.
1124+13 (B) The price of renewable energy credits
1125+14 for any project not on the waitlist for this
1126+15 category before the opening of the block shall
1127+16 be determined and published by the Agency.
1128+17 Projects not on a waitlist as of the opening
1129+18 of this block shall be subject to the
1130+19 requirements of subparagraph (Q) of this
1131+20 paragraph (1), as applicable. Projects not on
1132+21 a waitlist as of the opening of this block
1133+22 shall be subject to the contract provisions
1134+23 outlined in item (iii) of subparagraph (L) of
1135+24 this paragraph (1). The Agency shall strive to
1136+25 publish updated prices and an updated
1137+26 renewable energy credit delivery contract as
1138+
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1144+
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1147+ HB3445 Enrolled - 33 - LRB103 29599 AMQ 55994 b
1148+1 quickly as possible.
1149+2 (3) For opening the first 2 blocks of annual
1150+3 capacity for projects participating in item (iii)
1151+4 of subparagraph (K) of paragraph (1) of subsection
1152+5 (c), projects shall be selected exclusively from
1153+6 those projects on the ordinal waitlists of
1154+7 community renewable generation projects
1155+8 established by the Agency based on the status of
1156+9 those ordinal waitlists as of December 31, 2020,
1157+10 and only those projects previously determined to
1158+11 be eligible for the Agency's April 2019 community
1159+12 solar project selection process.
1160+13 The first 2 blocks of annual capacity for item
1161+14 (iii) shall be for 250 megawatts of total
1162+15 nameplate capacity, with both blocks opening
1163+16 simultaneously under the schedule outlined in the
1164+17 paragraphs below. Projects shall be selected as
1165+18 follows:
1166+19 (A) The geographic balance of selected
1167+20 projects shall follow the Group classification
1168+21 found in the Agency's Revised Long-Term
1169+22 Renewable Resources Procurement Plan, with 70%
1170+23 of capacity allocated to projects on the Group
1171+24 B waitlist and 30% of capacity allocated to
1172+25 projects on the Group A waitlist.
1173+26 (B) Contract awards for waitlisted
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1180+
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1183+ HB3445 Enrolled - 34 - LRB103 29599 AMQ 55994 b
1184+1 projects shall be allocated proportionate to
1185+2 the total nameplate capacity amount across
1186+3 both ordinal waitlists associated with that
1187+4 applicant firm or its affiliates, subject to
1188+5 the following conditions.
1189+6 (i) Each applicant firm having a
1190+7 waitlisted project eligible for selection
1191+8 shall receive no less than 500 kilowatts
1192+9 in awarded capacity across all groups, and
1193+10 no approved vendor may receive more than
1194+11 20% of each Group's waitlist allocation.
1195+12 (ii) Each applicant firm, upon
1196+13 receiving an award of program capacity
1197+14 proportionate to its waitlisted capacity,
1198+15 may then determine which waitlisted
1199+16 projects it chooses to be selected for a
1200+17 contract award up to that capacity amount.
1201+18 (iii) Assuming all other program
1202+19 requirements are met, applicant firms may
1203+20 adjust the nameplate capacity of applicant
1204+21 projects without losing waitlist
1205+22 eligibility, so long as no project is
1206+23 greater than 2,000 kilowatts in size.
1207+24 (iv) Assuming all other program
1208+25 requirements are met, applicant firms may
1209+26 adjust the expected production associated
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1219+ HB3445 Enrolled - 35 - LRB103 29599 AMQ 55994 b
1220+1 with applicant projects, subject to
1221+2 verification by the Program Administrator.
1222+3 (C) After a review of affiliate
1223+4 information and the current ordinal waitlists,
1224+5 the Agency shall announce the nameplate
1225+6 capacity award amounts associated with
1226+7 applicant firms no later than 90 days after
1227+8 the effective date of this amendatory Act of
1228+9 the 102nd General Assembly.
1229+10 (D) Applicant firms shall submit their
1230+11 portfolio of projects used to satisfy those
1231+12 contract awards no less than 90 days after the
1232+13 Agency's announcement. The total nameplate
1233+14 capacity of all projects used to satisfy that
1234+15 portfolio shall be no greater than the
1235+16 Agency's nameplate capacity award amount
1236+17 associated with that applicant firm. An
1237+18 applicant firm may decline, in whole or in
1238+19 part, its nameplate capacity award without
1239+20 penalty, with such unmet capacity rolled over
1240+21 to the next block opening for project
1241+22 selection under item (iii) of subparagraph (K)
1242+23 of this subsection (c). Any projects not
1243+24 included in an applicant firm's portfolio may
1244+25 reapply without prejudice upon the next block
1245+26 reopening for project selection under item
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1255+ HB3445 Enrolled - 36 - LRB103 29599 AMQ 55994 b
1256+1 (iii) of subparagraph (K) of this subsection
1257+2 (c).
1258+3 (E) The renewable energy credit delivery
1259+4 contract shall be subject to the contract and
1260+5 payment terms outlined in item (iv) of
1261+6 subparagraph (L) of this subsection (c).
1262+7 Contract instruments used for this
1263+8 subparagraph shall contain the following
1264+9 terms:
1265+10 (i) Renewable energy credit prices
1266+11 shall be fixed, without further adjustment
1267+12 under any other provision of this Act or
1268+13 for any other reason, at 10% lower than
1269+14 prices applicable to the last open block
1270+15 for this category, inclusive of any adders
1271+16 available for achieving a minimum of 50%
1272+17 of subscribers to the project's nameplate
1273+18 capacity being residential or small
1274+19 commercial customers with subscriptions of
1275+20 below 25 kilowatts in size;
1276+21 (ii) A requirement that a minimum of
1277+22 50% of subscribers to the project's
1278+23 nameplate capacity be residential or small
1279+24 commercial customers with subscriptions of
1280+25 below 25 kilowatts in size;
1281+26 (iii) Permission for the ability of a
1282+
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1291+ HB3445 Enrolled - 37 - LRB103 29599 AMQ 55994 b
1292+1 contract holder to substitute projects
1293+2 with other waitlisted projects without
1294+3 penalty should a project receive a
1295+4 non-binding estimate of costs to construct
1296+5 the interconnection facilities and any
1297+6 required distribution upgrades associated
1298+7 with that project of greater than 30 cents
1299+8 per watt AC of that project's nameplate
1300+9 capacity. In developing the applicable
1301+10 contract instrument, the Agency may
1302+11 consider whether other circumstances
1303+12 outside of the control of the applicant
1304+13 firm should also warrant project
1305+14 substitution rights.
1306+15 The Agency shall publish a finalized
1307+16 updated renewable energy credit delivery
1308+17 contract developed consistent with these terms
1309+18 and conditions no less than 30 days before
1310+19 applicant firms must submit their portfolio of
1311+20 projects pursuant to item (D).
1312+21 (F) To be eligible for an award, the
1313+22 applicant firm shall certify that not less
1314+23 than prevailing wage, as determined pursuant
1315+24 to the Illinois Prevailing Wage Act, was or
1316+25 will be paid to employees who are engaged in
1317+26 construction activities associated with a
1318+
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1327+ HB3445 Enrolled - 38 - LRB103 29599 AMQ 55994 b
1328+1 selected project.
1329+2 (4) The Agency shall open the first block of
1330+3 annual capacity for the category described in item
1331+4 (iv) of subparagraph (K) of this paragraph (1).
1332+5 The first block of annual capacity for item (iv)
1333+6 shall be for at least 50 megawatts of total
1334+7 nameplate capacity. Renewable energy credit prices
1335+8 shall be fixed, without further adjustment under
1336+9 any other provision of this Act or for any other
1337+10 reason, at the price in the last open block in the
1338+11 category described in item (ii) of subparagraph
1339+12 (K) of this paragraph (1). Pricing for future
1340+13 blocks of annual capacity for this category may be
1341+14 adjusted in the Agency's second revision to its
1342+15 Long-Term Renewable Resources Procurement Plan.
1343+16 Projects in this category shall be subject to the
1344+17 contract terms outlined in item (iv) of
1345+18 subparagraph (L) of this paragraph (1).
1346+19 (5) The Agency shall open the equivalent of 2
1347+20 years of annual capacity for the category
1348+21 described in item (v) of subparagraph (K) of this
1349+22 paragraph (1). The first block of annual capacity
1350+23 for item (v) shall be for at least 10 megawatts of
1351+24 total nameplate capacity. Notwithstanding the
1352+25 provisions of item (v) of subparagraph (K) of this
1353+26 paragraph (1), for the purpose of this initial
1354+
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1363+ HB3445 Enrolled - 39 - LRB103 29599 AMQ 55994 b
1364+1 block, the agency shall accept new project
1365+2 applications intended to increase the diversity of
1366+3 areas hosting community solar projects, the
1367+4 business models of projects, and the size of
1368+5 projects, as described by the Agency in its
1369+6 long-term renewable resources procurement plan
1370+7 that is approved as of the effective date of this
1371+8 amendatory Act of the 102nd General Assembly.
1372+9 Projects in this category shall be subject to the
1373+10 contract terms outlined in item (iii) of
1374+11 subsection (L) of this paragraph (1).
1375+12 (6) The Agency shall open the first blocks of
1376+13 annual capacity for the category described in item
1377+14 (vi) of subparagraph (K) of this paragraph (1),
1378+15 with allocations of capacity within the block
1379+16 generally matching the historical share of block
1380+17 capacity allocated between the category described
1381+18 in items (i) and (ii) of subparagraph (K) of this
1382+19 paragraph (1). The first two blocks of annual
1383+20 capacity for item (vi) shall be for at least 75
1384+21 megawatts of total nameplate capacity. The price
1385+22 of renewable energy credits for the blocks of
1386+23 capacity shall be 4% less than the price of the
1387+24 last open blocks in the categories described in
1388+25 items (i) and (ii) of subparagraph (K) of this
1389+26 paragraph (1). Pricing for future blocks of annual
1390+
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1399+ HB3445 Enrolled - 40 - LRB103 29599 AMQ 55994 b
1400+1 capacity for this category may be adjusted in the
1401+2 Agency's second revision to its Long-Term
1402+3 Renewable Resources Procurement Plan. Projects in
1403+4 this category shall be subject to the applicable
1404+5 contract terms outlined in items (ii) and (iii) of
1405+6 subparagraph (L) of this paragraph (1).
1406+7 (v) Upon the effective date of this amendatory Act
1407+8 of the 102nd General Assembly, for all competitive
1408+9 procurements and any procurements of renewable energy
1409+10 credit from new utility-scale wind and new
1410+11 utility-scale photovoltaic projects, the Agency shall
1411+12 procure indexed renewable energy credits and direct
1412+13 respondents to offer a strike price.
1413+14 (1) The purchase price of the indexed
1414+15 renewable energy credit payment shall be
1415+16 calculated for each settlement period. That
1416+17 payment, for any settlement period, shall be equal
1417+18 to the difference resulting from subtracting the
1418+19 strike price from the index price for that
1419+20 settlement period. If this difference results in a
1420+21 negative number, the indexed REC counterparty
1421+22 shall owe the seller the absolute value multiplied
1422+23 by the quantity of energy produced in the relevant
1423+24 settlement period. If this difference results in a
1424+25 positive number, the seller shall owe the indexed
1425+26 REC counterparty this amount multiplied by the
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1435+ HB3445 Enrolled - 41 - LRB103 29599 AMQ 55994 b
1436+1 quantity of energy produced in the relevant
1437+2 settlement period.
1438+3 (2) Parties shall cash settle every month,
1439+4 summing up all settlements (both positive and
1440+5 negative, if applicable) for the prior month.
1441+6 (3) To ensure funding in the annual budget
1442+7 established under subparagraph (E) for indexed
1443+8 renewable energy credit procurements for each year
1444+9 of the term of such contracts, which must have a
1445+10 minimum tenure of 20 calendar years, the
1446+11 procurement administrator, Agency, Commission
1447+12 staff, and procurement monitor shall quantify the
1448+13 annual cost of the contract by utilizing an
1449+14 industry-standard, third-party forward price curve
1450+15 for energy at the appropriate hub or load zone,
1451+16 including the estimated magnitude and timing of
1452+17 the price effects related to federal carbon
1453+18 controls. Each forward price curve shall contain a
1454+19 specific value of the forecasted market price of
1455+20 electricity for each annual delivery year of the
1456+21 contract. For procurement planning purposes, the
1457+22 impact on the annual budget for the cost of
1458+23 indexed renewable energy credits for each delivery
1459+24 year shall be determined as the expected annual
1460+25 contract expenditure for that year, equaling the
1461+26 difference between (i) the sum across all relevant
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1471+ HB3445 Enrolled - 42 - LRB103 29599 AMQ 55994 b
1472+1 contracts of the applicable strike price
1473+2 multiplied by contract quantity and (ii) the sum
1474+3 across all relevant contracts of the forward price
1475+4 curve for the applicable load zone for that year
1476+5 multiplied by contract quantity. The contracting
1477+6 utility shall not assume an obligation in excess
1478+7 of the estimated annual cost of the contracts for
1479+8 indexed renewable energy credits. Forward curves
1480+9 shall be revised on an annual basis as updated
1481+10 forward price curves are released and filed with
1482+11 the Commission in the proceeding approving the
1483+12 Agency's most recent long-term renewable resources
1484+13 procurement plan. If the expected contract spend
1485+14 is higher or lower than the total quantity of
1486+15 contracts multiplied by the forward price curve
1487+16 value for that year, the forward price curve shall
1488+17 be updated by the procurement administrator, in
1489+18 consultation with the Agency, Commission staff,
1490+19 and procurement monitors, using then-currently
1491+20 available price forecast data and additional
1492+21 budget dollars shall be obligated or reobligated
1493+22 as appropriate.
1494+23 (4) To ensure that indexed renewable energy
1495+24 credit prices remain predictable and affordable,
1496+25 the Agency may consider the institution of a price
1497+26 collar on REC prices paid under indexed renewable
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1507+ HB3445 Enrolled - 43 - LRB103 29599 AMQ 55994 b
1508+1 energy credit procurements establishing floor and
1509+2 ceiling REC prices applicable to indexed REC
1510+3 contract prices. Any price collars applicable to
1511+4 indexed REC procurements shall be proposed by the
1512+5 Agency through its long-term renewable resources
1513+6 procurement plan.
1514+7 (vi) All procurements under this subparagraph (G)
1515+8 shall comply with the geographic requirements in
1516+9 subparagraph (I) of this paragraph (1) and shall
1517+10 follow the procurement processes and procedures
1518+11 described in this Section and Section 16-111.5 of the
1519+12 Public Utilities Act to the extent practicable, and
1520+13 these processes and procedures may be expedited to
1521+14 accommodate the schedule established by this
1522+15 subparagraph (G).
1523+16 (H) The procurement of renewable energy resources for
1524+17 a given delivery year shall be reduced as described in
1525+18 this subparagraph (H) if an alternative retail electric
1526+19 supplier meets the requirements described in this
1527+20 subparagraph (H).
1528+21 (i) Within 45 days after June 1, 2017 (the
1529+22 effective date of Public Act 99-906), an alternative
1530+23 retail electric supplier or its successor shall submit
1531+24 an informational filing to the Illinois Commerce
1532+25 Commission certifying that, as of December 31, 2015,
1533+26 the alternative retail electric supplier owned one or
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1543+ HB3445 Enrolled - 44 - LRB103 29599 AMQ 55994 b
1544+1 more electric generating facilities that generates
1545+2 renewable energy resources as defined in Section 1-10
1546+3 of this Act, provided that such facilities are not
1547+4 powered by wind or photovoltaics, and the facilities
1548+5 generate one renewable energy credit for each
1549+6 megawatthour of energy produced from the facility.
1550+7 The informational filing shall identify each
1551+8 facility that was eligible to satisfy the alternative
1552+9 retail electric supplier's obligations under Section
1553+10 16-115D of the Public Utilities Act as described in
1554+11 this item (i).
1555+12 (ii) For a given delivery year, the alternative
1556+13 retail electric supplier may elect to supply its
1557+14 retail customers with renewable energy credits from
1558+15 the facility or facilities described in item (i) of
1559+16 this subparagraph (H) that continue to be owned by the
1560+17 alternative retail electric supplier.
1561+18 (iii) The alternative retail electric supplier
1562+19 shall notify the Agency and the applicable utility, no
1563+20 later than February 28 of the year preceding the
1564+21 applicable delivery year or 15 days after June 1, 2017
1565+22 (the effective date of Public Act 99-906), whichever
1566+23 is later, of its election under item (ii) of this
1567+24 subparagraph (H) to supply renewable energy credits to
1568+25 retail customers of the utility. Such election shall
1569+26 identify the amount of renewable energy credits to be
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1580+1 supplied by the alternative retail electric supplier
1581+2 to the utility's retail customers and the source of
1582+3 the renewable energy credits identified in the
1583+4 informational filing as described in item (i) of this
1584+5 subparagraph (H), subject to the following
1585+6 limitations:
1586+7 For the delivery year beginning June 1, 2018,
1587+8 the maximum amount of renewable energy credits to
1588+9 be supplied by an alternative retail electric
1589+10 supplier under this subparagraph (H) shall be 68%
1590+11 multiplied by 25% multiplied by 14.5% multiplied
1591+12 by the amount of metered electricity
1592+13 (megawatt-hours) delivered by the alternative
1593+14 retail electric supplier to Illinois retail
1594+15 customers during the delivery year ending May 31,
1595+16 2016.
1596+17 For delivery years beginning June 1, 2019 and
1597+18 each year thereafter, the maximum amount of
1598+19 renewable energy credits to be supplied by an
1599+20 alternative retail electric supplier under this
1600+21 subparagraph (H) shall be 68% multiplied by 50%
1601+22 multiplied by 16% multiplied by the amount of
1602+23 metered electricity (megawatt-hours) delivered by
1603+24 the alternative retail electric supplier to
1604+25 Illinois retail customers during the delivery year
1605+26 ending May 31, 2016, provided that the 16% value
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1616+1 shall increase by 1.5% each delivery year
1617+2 thereafter to 25% by the delivery year beginning
1618+3 June 1, 2025, and thereafter the 25% value shall
1619+4 apply to each delivery year.
1620+5 For each delivery year, the total amount of
1621+6 renewable energy credits supplied by all alternative
1622+7 retail electric suppliers under this subparagraph (H)
1623+8 shall not exceed 9% of the Illinois target renewable
1624+9 energy credit quantity. The Illinois target renewable
1625+10 energy credit quantity for the delivery year beginning
1626+11 June 1, 2018 is 14.5% multiplied by the total amount of
1627+12 metered electricity (megawatt-hours) delivered in the
1628+13 delivery year immediately preceding that delivery
1629+14 year, provided that the 14.5% shall increase by 1.5%
1630+15 each delivery year thereafter to 25% by the delivery
1631+16 year beginning June 1, 2025, and thereafter the 25%
1632+17 value shall apply to each delivery year.
1633+18 If the requirements set forth in items (i) through
1634+19 (iii) of this subparagraph (H) are met, the charges
1635+20 that would otherwise be applicable to the retail
1636+21 customers of the alternative retail electric supplier
1637+22 under paragraph (6) of this subsection (c) for the
1638+23 applicable delivery year shall be reduced by the ratio
1639+24 of the quantity of renewable energy credits supplied
1640+25 by the alternative retail electric supplier compared
1641+26 to that supplier's target renewable energy credit
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1652+1 quantity. The supplier's target renewable energy
1653+2 credit quantity for the delivery year beginning June
1654+3 1, 2018 is 14.5% multiplied by the total amount of
1655+4 metered electricity (megawatt-hours) delivered by the
1656+5 alternative retail supplier in that delivery year,
1657+6 provided that the 14.5% shall increase by 1.5% each
1658+7 delivery year thereafter to 25% by the delivery year
1659+8 beginning June 1, 2025, and thereafter the 25% value
1660+9 shall apply to each delivery year.
1661+10 On or before April 1 of each year, the Agency shall
1662+11 annually publish a report on its website that
1663+12 identifies the aggregate amount of renewable energy
1664+13 credits supplied by alternative retail electric
1665+14 suppliers under this subparagraph (H).
1666+15 (I) The Agency shall design its long-term renewable
1667+16 energy procurement plan to maximize the State's interest
1668+17 in the health, safety, and welfare of its residents,
1669+18 including but not limited to minimizing sulfur dioxide,
1670+19 nitrogen oxide, particulate matter and other pollution
1671+20 that adversely affects public health in this State,
1672+21 increasing fuel and resource diversity in this State,
1673+22 enhancing the reliability and resiliency of the
1674+23 electricity distribution system in this State, meeting
1675+24 goals to limit carbon dioxide emissions under federal or
1676+25 State law, and contributing to a cleaner and healthier
1677+26 environment for the citizens of this State. In order to
1678+
1679+
1680+
1681+
1682+
1683+ HB3445 Enrolled - 47 - LRB103 29599 AMQ 55994 b
1684+
1685+
1686+HB3445 Enrolled- 48 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 48 - LRB103 29599 AMQ 55994 b
1687+ HB3445 Enrolled - 48 - LRB103 29599 AMQ 55994 b
1688+1 further these legislative purposes, renewable energy
1689+2 credits shall be eligible to be counted toward the
1690+3 renewable energy requirements of this subsection (c) if
1691+4 they are generated from facilities located in this State.
1692+5 The Agency may qualify renewable energy credits from
1693+6 facilities located in states adjacent to Illinois or
1694+7 renewable energy credits associated with the electricity
1695+8 generated by a utility-scale wind energy facility or
1696+9 utility-scale photovoltaic facility and transmitted by a
1697+10 qualifying direct current project described in subsection
1698+11 (b-5) of Section 8-406 of the Public Utilities Act to a
1699+12 delivery point on the electric transmission grid located
1700+13 in this State or a state adjacent to Illinois, if the
1701+14 generator demonstrates and the Agency determines that the
1702+15 operation of such facility or facilities will help promote
1703+16 the State's interest in the health, safety, and welfare of
1704+17 its residents based on the public interest criteria
1705+18 described above. For the purposes of this Section,
1706+19 renewable resources that are delivered via a high voltage
1707+20 direct current converter station located in Illinois shall
1708+21 be deemed generated in Illinois at the time and location
1709+22 the energy is converted to alternating current by the high
1710+23 voltage direct current converter station if the high
1711+24 voltage direct current transmission line: (i) after the
1712+25 effective date of this amendatory Act of the 102nd General
1713+26 Assembly, was constructed with a project labor agreement;
1714+
1715+
1716+
1717+
1718+
1719+ HB3445 Enrolled - 48 - LRB103 29599 AMQ 55994 b
1720+
1721+
1722+HB3445 Enrolled- 49 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 49 - LRB103 29599 AMQ 55994 b
1723+ HB3445 Enrolled - 49 - LRB103 29599 AMQ 55994 b
1724+1 (ii) is capable of transmitting electricity at 525kv;
1725+2 (iii) has an Illinois converter station located and
1726+3 interconnected in the region of the PJM Interconnection,
1727+4 LLC; (iv) does not operate as a public utility; and (v) if
1728+5 the high voltage direct current transmission line was
1729+6 energized after June 1, 2023. To ensure that the public
1730+7 interest criteria are applied to the procurement and given
1731+8 full effect, the Agency's long-term procurement plan shall
1732+9 describe in detail how each public interest factor shall
1733+10 be considered and weighted for facilities located in
1734+11 states adjacent to Illinois.
1735+12 (J) In order to promote the competitive development of
1736+13 renewable energy resources in furtherance of the State's
1737+14 interest in the health, safety, and welfare of its
1738+15 residents, renewable energy credits shall not be eligible
1739+16 to be counted toward the renewable energy requirements of
1740+17 this subsection (c) if they are sourced from a generating
1741+18 unit whose costs were being recovered through rates
1742+19 regulated by this State or any other state or states on or
1743+20 after January 1, 2017. Each contract executed to purchase
1744+21 renewable energy credits under this subsection (c) shall
1745+22 provide for the contract's termination if the costs of the
1746+23 generating unit supplying the renewable energy credits
1747+24 subsequently begin to be recovered through rates regulated
1748+25 by this State or any other state or states; and each
1749+26 contract shall further provide that, in that event, the
1750+
1751+
1752+
1753+
1754+
1755+ HB3445 Enrolled - 49 - LRB103 29599 AMQ 55994 b
1756+
1757+
1758+HB3445 Enrolled- 50 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 50 - LRB103 29599 AMQ 55994 b
1759+ HB3445 Enrolled - 50 - LRB103 29599 AMQ 55994 b
1760+1 supplier of the credits must return 110% of all payments
1761+2 received under the contract. Amounts returned under the
1762+3 requirements of this subparagraph (J) shall be retained by
1763+4 the utility and all of these amounts shall be used for the
1764+5 procurement of additional renewable energy credits from
1765+6 new wind or new photovoltaic resources as defined in this
1766+7 subsection (c). The long-term plan shall provide that
1767+8 these renewable energy credits shall be procured in the
1768+9 next procurement event.
1769+10 Notwithstanding the limitations of this subparagraph
1770+11 (J), renewable energy credits sourced from generating
1771+12 units that are constructed, purchased, owned, or leased by
1772+13 an electric utility as part of an approved project,
1773+14 program, or pilot under Section 1-56 of this Act shall be
1774+15 eligible to be counted toward the renewable energy
1775+16 requirements of this subsection (c), regardless of how the
1776+17 costs of these units are recovered. As long as a
1777+18 generating unit or an identifiable portion of a generating
1778+19 unit has not had and does not have its costs recovered
1779+20 through rates regulated by this State or any other state,
1780+21 HVDC renewable energy credits associated with that
1781+22 generating unit or identifiable portion thereof shall be
1782+23 eligible to be counted toward the renewable energy
1783+24 requirements of this subsection (c).
1784+25 (K) The long-term renewable resources procurement plan
1785+26 developed by the Agency in accordance with subparagraph
1786+
1787+
1788+
1789+
1790+
1791+ HB3445 Enrolled - 50 - LRB103 29599 AMQ 55994 b
1792+
1793+
1794+HB3445 Enrolled- 51 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 51 - LRB103 29599 AMQ 55994 b
1795+ HB3445 Enrolled - 51 - LRB103 29599 AMQ 55994 b
1796+1 (A) of this paragraph (1) shall include an Adjustable
1797+2 Block program for the procurement of renewable energy
1798+3 credits from new photovoltaic projects that are
1799+4 distributed renewable energy generation devices or new
1800+5 photovoltaic community renewable generation projects. The
1801+6 Adjustable Block program shall be generally designed to
1802+7 provide for the steady, predictable, and sustainable
1803+8 growth of new solar photovoltaic development in Illinois.
1804+9 To this end, the Adjustable Block program shall provide a
1805+10 transparent annual schedule of prices and quantities to
1806+11 enable the photovoltaic market to scale up and for
1807+12 renewable energy credit prices to adjust at a predictable
1808+13 rate over time. The prices set by the Adjustable Block
1809+14 program can be reflected as a set value or as the product
1810+15 of a formula.
1811+16 The Adjustable Block program shall include for each
1812+17 category of eligible projects for each delivery year: a
1813+18 single block of nameplate capacity, a price for renewable
1814+19 energy credits within that block, and the terms and
1815+20 conditions for securing a spot on a waitlist once the
1816+21 block is fully committed or reserved. Except as outlined
1817+22 below, the waitlist of projects in a given year will carry
1818+23 over to apply to the subsequent year when another block is
1819+24 opened. Only projects energized on or after June 1, 2017
1820+25 shall be eligible for the Adjustable Block program. For
1821+26 each category for each delivery year the Agency shall
1822+
1823+
1824+
1825+
1826+
1827+ HB3445 Enrolled - 51 - LRB103 29599 AMQ 55994 b
1828+
1829+
1830+HB3445 Enrolled- 52 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 52 - LRB103 29599 AMQ 55994 b
1831+ HB3445 Enrolled - 52 - LRB103 29599 AMQ 55994 b
1832+1 determine the amount of generation capacity in each block,
1833+2 and the purchase price for each block, provided that the
1834+3 purchase price provided and the total amount of generation
1835+4 in all blocks for all categories shall be sufficient to
1836+5 meet the goals in this subsection (c). The Agency shall
1837+6 strive to issue a single block sized to provide for
1838+7 stability and market growth. The Agency shall establish
1839+8 program eligibility requirements that ensure that projects
1840+9 that enter the program are sufficiently mature to indicate
1841+10 a demonstrable path to completion. The Agency may
1842+11 periodically review its prior decisions establishing the
1843+12 amount of generation capacity in each block, and the
1844+13 purchase price for each block, and may propose, on an
1845+14 expedited basis, changes to these previously set values,
1846+15 including but not limited to redistributing these amounts
1847+16 and the available funds as necessary and appropriate,
1848+17 subject to Commission approval as part of the periodic
1849+18 plan revision process described in Section 16-111.5 of the
1850+19 Public Utilities Act. The Agency may define different
1851+20 block sizes, purchase prices, or other distinct terms and
1852+21 conditions for projects located in different utility
1853+22 service territories if the Agency deems it necessary to
1854+23 meet the goals in this subsection (c).
1855+24 The Adjustable Block program shall include the
1856+25 following categories in at least the following amounts:
1857+26 (i) At least 20% from distributed renewable energy
1858+
1859+
1860+
1861+
1862+
1863+ HB3445 Enrolled - 52 - LRB103 29599 AMQ 55994 b
1864+
1865+
1866+HB3445 Enrolled- 53 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 53 - LRB103 29599 AMQ 55994 b
1867+ HB3445 Enrolled - 53 - LRB103 29599 AMQ 55994 b
1868+1 generation devices with a nameplate capacity of no
1869+2 more than 25 kilowatts.
1870+3 (ii) At least 20% from distributed renewable
1871+4 energy generation devices with a nameplate capacity of
1872+5 more than 25 kilowatts and no more than 5,000
1873+6 kilowatts. The Agency may create sub-categories within
1874+7 this category to account for the differences between
1875+8 projects for small commercial customers, large
1876+9 commercial customers, and public or non-profit
1877+10 customers.
1878+11 (iii) At least 30% from photovoltaic community
1879+12 renewable generation projects. Capacity for this
1880+13 category for the first 2 delivery years after the
1881+14 effective date of this amendatory Act of the 102nd
1882+15 General Assembly shall be allocated to waitlist
1883+16 projects as provided in paragraph (3) of item (iv) of
1884+17 subparagraph (G). Starting in the third delivery year
1885+18 after the effective date of this amendatory Act of the
1886+19 102nd General Assembly or earlier if the Agency
1887+20 determines there is additional capacity needed for to
1888+21 meet previous delivery year requirements, the
1889+22 following shall apply:
1890+23 (1) the Agency shall select projects on a
1891+24 first-come, first-serve basis, however the Agency
1892+25 may suggest additional methods to prioritize
1893+26 projects that are submitted at the same time;
1894+
1895+
1896+
1897+
1898+
1899+ HB3445 Enrolled - 53 - LRB103 29599 AMQ 55994 b
1900+
1901+
1902+HB3445 Enrolled- 54 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 54 - LRB103 29599 AMQ 55994 b
1903+ HB3445 Enrolled - 54 - LRB103 29599 AMQ 55994 b
1904+1 (2) projects shall have subscriptions of 25 kW
1905+2 or less for at least 50% of the facility's
1906+3 nameplate capacity and the Agency shall price the
1907+4 renewable energy credits with that as a factor;
1908+5 (3) projects shall not be colocated with one
1909+6 or more other community renewable generation
1910+7 projects, as defined in the Agency's first revised
1911+8 long-term renewable resources procurement plan
1912+9 approved by the Commission on February 18, 2020,
1913+10 such that the aggregate nameplate capacity exceeds
1914+11 5,000 kilowatts; and
1915+12 (4) projects greater than 2 MW may not apply
1916+13 until after the approval of the Agency's revised
1917+14 Long-Term Renewable Resources Procurement Plan
1918+15 after the effective date of this amendatory Act of
1919+16 the 102nd General Assembly.
1920+17 (iv) At least 15% from distributed renewable
1921+18 generation devices or photovoltaic community renewable
1922+19 generation projects installed on at public school land
1923+20 schools. The Agency may create subcategories within
1924+21 this category to account for the differences between
1925+22 project size or location. Projects located within
1926+23 environmental justice communities or within
1927+24 Organizational Units that fall within Tier 1 or Tier 2
1928+25 shall be given priority. Each of the Agency's periodic
1929+26 updates to its long-term renewable resources
1930+
1931+
1932+
1933+
1934+
1935+ HB3445 Enrolled - 54 - LRB103 29599 AMQ 55994 b
1936+
1937+
1938+HB3445 Enrolled- 55 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 55 - LRB103 29599 AMQ 55994 b
1939+ HB3445 Enrolled - 55 - LRB103 29599 AMQ 55994 b
1940+1 procurement plan to incorporate the procurement
1941+2 described in this subparagraph (iv) shall also include
1942+3 the proposed quantities or blocks, pricing, and
1943+4 contract terms applicable to the procurement as
1944+5 indicated herein. In each such update and procurement,
1945+6 the Agency shall set the renewable energy credit price
1946+7 and establish payment terms for the renewable energy
1947+8 credits procured pursuant to this subparagraph (iv)
1948+9 that make it feasible and affordable for public
1949+10 schools to install photovoltaic distributed renewable
1950+11 energy devices on their premises, including, but not
1951+12 limited to, those public schools subject to the
1952+13 prioritization provisions of this subparagraph. For
1953+14 the purposes of this item (iv):
1954+15 "Environmental Justice Community" shall have the
1955+16 same meaning set forth in the Agency's long-term
1956+17 renewable resources procurement plan;
1957+18 "Organization Unit", "Tier 1" and "Tier 2" shall
1958+19 have the meanings set for in Section 18-8.15 of the
1959+20 School Code;
1960+21 "Public schools" shall have the meaning set forth
1961+22 in Section 1-3 of the School Code and includes public
1962+23 institutions of higher education, as defined in the
1963+24 Board of Higher Education Act.
1964+25 (v) At least 5% from community-driven community
1965+26 solar projects intended to provide more direct and
1966+
1967+
1968+
1969+
1970+
1971+ HB3445 Enrolled - 55 - LRB103 29599 AMQ 55994 b
1972+
1973+
1974+HB3445 Enrolled- 56 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 56 - LRB103 29599 AMQ 55994 b
1975+ HB3445 Enrolled - 56 - LRB103 29599 AMQ 55994 b
1976+1 tangible connection and benefits to the communities
1977+2 which they serve or in which they operate and,
1978+3 additionally, to increase the variety of community
1979+4 solar locations, models, and options in Illinois. As
1980+5 part of its long-term renewable resources procurement
1981+6 plan, the Agency shall develop selection criteria for
1982+7 projects participating in this category. Nothing in
1983+8 this Section shall preclude the Agency from creating a
1984+9 selection process that maximizes community ownership
1985+10 and community benefits in selecting projects to
1986+11 receive renewable energy credits. Selection criteria
1987+12 shall include:
1988+13 (1) community ownership or community
1989+14 wealth-building;
1990+15 (2) additional direct and indirect community
1991+16 benefit, beyond project participation as a
1992+17 subscriber, including, but not limited to,
1993+18 economic, environmental, social, cultural, and
1994+19 physical benefits;
1995+20 (3) meaningful involvement in project
1996+21 organization and development by community members
1997+22 or nonprofit organizations or public entities
1998+23 located in or serving the community;
1999+24 (4) engagement in project operations and
2000+25 management by nonprofit organizations, public
2001+26 entities, or community members; and
2002+
2003+
2004+
2005+
2006+
2007+ HB3445 Enrolled - 56 - LRB103 29599 AMQ 55994 b
2008+
2009+
2010+HB3445 Enrolled- 57 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 57 - LRB103 29599 AMQ 55994 b
2011+ HB3445 Enrolled - 57 - LRB103 29599 AMQ 55994 b
2012+1 (5) whether a project is developed in response
2013+2 to a site-specific RFP developed by community
2014+3 members or a nonprofit organization or public
2015+4 entity located in or serving the community.
2016+5 Selection criteria may also prioritize projects
2017+6 that:
2018+7 (1) are developed in collaboration with or to
2019+8 provide complementary opportunities for the Clean
2020+9 Jobs Workforce Network Program, the Illinois
2021+10 Climate Works Preapprenticeship Program, the
2022+11 Returning Residents Clean Jobs Training Program,
2023+12 the Clean Energy Contractor Incubator Program, or
2024+13 the Clean Energy Primes Contractor Accelerator
2025+14 Program;
2026+15 (2) increase the diversity of locations of
2027+16 community solar projects in Illinois, including by
2028+17 locating in urban areas and population centers;
2029+18 (3) are located in Equity Investment Eligible
2030+19 Communities;
2031+20 (4) are not greenfield projects;
2032+21 (5) serve only local subscribers;
2033+22 (6) have a nameplate capacity that does not
2034+23 exceed 500 kW;
2035+24 (7) are developed by an equity eligible
2036+25 contractor; or
2037+26 (8) otherwise meaningfully advance the goals
2038+
2039+
2040+
2041+
2042+
2043+ HB3445 Enrolled - 57 - LRB103 29599 AMQ 55994 b
2044+
2045+
2046+HB3445 Enrolled- 58 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 58 - LRB103 29599 AMQ 55994 b
2047+ HB3445 Enrolled - 58 - LRB103 29599 AMQ 55994 b
2048+1 of providing more direct and tangible connection
2049+2 and benefits to the communities which they serve
2050+3 or in which they operate and increasing the
2051+4 variety of community solar locations, models, and
2052+5 options in Illinois.
2053+6 For the purposes of this item (v):
2054+7 "Community" means a social unit in which people
2055+8 come together regularly to effect change; a social
2056+9 unit in which participants are marked by a cooperative
2057+10 spirit, a common purpose, or shared interests or
2058+11 characteristics; or a space understood by its
2059+12 residents to be delineated through geographic
2060+13 boundaries or landmarks.
2061+14 "Community benefit" means a range of services and
2062+15 activities that provide affirmative, economic,
2063+16 environmental, social, cultural, or physical value to
2064+17 a community; or a mechanism that enables economic
2065+18 development, high-quality employment, and education
2066+19 opportunities for local workers and residents, or
2067+20 formal monitoring and oversight structures such that
2068+21 community members may ensure that those services and
2069+22 activities respond to local knowledge and needs.
2070+23 "Community ownership" means an arrangement in
2071+24 which an electric generating facility is, or over time
2072+25 will be, in significant part, owned collectively by
2073+26 members of the community to which an electric
2074+
2075+
2076+
2077+
2078+
2079+ HB3445 Enrolled - 58 - LRB103 29599 AMQ 55994 b
2080+
2081+
2082+HB3445 Enrolled- 59 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 59 - LRB103 29599 AMQ 55994 b
2083+ HB3445 Enrolled - 59 - LRB103 29599 AMQ 55994 b
2084+1 generating facility provides benefits; members of that
2085+2 community participate in decisions regarding the
2086+3 governance, operation, maintenance, and upgrades of
2087+4 and to that facility; and members of that community
2088+5 benefit from regular use of that facility.
2089+6 Terms and guidance within these criteria that are
2090+7 not defined in this item (v) shall be defined by the
2091+8 Agency, with stakeholder input, during the development
2092+9 of the Agency's long-term renewable resources
2093+10 procurement plan. The Agency shall develop regular
2094+11 opportunities for projects to submit applications for
2095+12 projects under this category, and develop selection
2096+13 criteria that gives preference to projects that better
2097+14 meet individual criteria as well as projects that
2098+15 address a higher number of criteria.
2099+16 (vi) At least 10% from distributed renewable
2100+17 energy generation devices, which includes distributed
2101+18 renewable energy devices with a nameplate capacity
2102+19 under 5,000 kilowatts or photovoltaic community
2103+20 renewable generation projects, from applicants that
2104+21 are equity eligible contractors. The Agency may create
2105+22 subcategories within this category to account for the
2106+23 differences between project size and type. The Agency
2107+24 shall propose to increase the percentage in this item
2108+25 (vi) over time to 40% based on factors, including, but
2109+26 not limited to, the number of equity eligible
2110+
2111+
2112+
2113+
2114+
2115+ HB3445 Enrolled - 59 - LRB103 29599 AMQ 55994 b
2116+
2117+
2118+HB3445 Enrolled- 60 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 60 - LRB103 29599 AMQ 55994 b
2119+ HB3445 Enrolled - 60 - LRB103 29599 AMQ 55994 b
2120+1 contractors and capacity used in this item (vi) in
2121+2 previous delivery years.
2122+3 The Agency shall propose a payment structure for
2123+4 contracts executed pursuant to this paragraph under
2124+5 which, upon a demonstration of qualification or need,
2125+6 applicant firms are advanced capital disbursed after
2126+7 contract execution but before the contracted project's
2127+8 energization. The amount or percentage of capital
2128+9 advanced prior to project energization shall be
2129+10 sufficient to both cover any increase in development
2130+11 costs resulting from prevailing wage requirements or
2131+12 project-labor agreements, and designed to overcome
2132+13 barriers in access to capital faced by equity eligible
2133+14 contractors. The amount or percentage of advanced
2134+15 capital may vary by subcategory within this category
2135+16 and by an applicant's demonstration of need, with such
2136+17 levels to be established through the Long-Term
2137+18 Renewable Resources Procurement Plan authorized under
2138+19 subparagraph (A) of paragraph (1) of subsection (c) of
2139+20 this Section.
2140+21 Contracts developed featuring capital advanced
2141+22 prior to a project's energization shall feature
2142+23 provisions to ensure both the successful development
2143+24 of applicant projects and the delivery of the
2144+25 renewable energy credits for the full term of the
2145+26 contract, including ongoing collateral requirements
2146+
2147+
2148+
2149+
2150+
2151+ HB3445 Enrolled - 60 - LRB103 29599 AMQ 55994 b
2152+
2153+
2154+HB3445 Enrolled- 61 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 61 - LRB103 29599 AMQ 55994 b
2155+ HB3445 Enrolled - 61 - LRB103 29599 AMQ 55994 b
2156+1 and other provisions deemed necessary by the Agency,
2157+2 and may include energization timelines longer than for
2158+3 comparable project types. The percentage or amount of
2159+4 capital advanced prior to project energization shall
2160+5 not operate to increase the overall contract value,
2161+6 however contracts executed under this subparagraph may
2162+7 feature renewable energy credit prices higher than
2163+8 those offered to similar projects participating in
2164+9 other categories. Capital advanced prior to
2165+10 energization shall serve to reduce the ratable
2166+11 payments made after energization under items (ii) and
2167+12 (iii) of subparagraph (L) or payments made for each
2168+13 renewable energy credit delivery under item (iv) of
2169+14 subparagraph (L).
2170+15 (vii) The remaining capacity shall be allocated by
2171+16 the Agency in order to respond to market demand. The
2172+17 Agency shall allocate any discretionary capacity prior
2173+18 to the beginning of each delivery year.
2174+19 To the extent there is uncontracted capacity from any
2175+20 block in any of categories (i) through (vi) at the end of a
2176+21 delivery year, the Agency shall redistribute that capacity
2177+22 to one or more other categories giving priority to
2178+23 categories with projects on a waitlist. The redistributed
2179+24 capacity shall be added to the annual capacity in the
2180+25 subsequent delivery year, and the price for renewable
2181+26 energy credits shall be the price for the new delivery
2182+
2183+
2184+
2185+
2186+
2187+ HB3445 Enrolled - 61 - LRB103 29599 AMQ 55994 b
2188+
2189+
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2191+ HB3445 Enrolled - 62 - LRB103 29599 AMQ 55994 b
2192+1 year. Redistributed capacity shall not be considered
2193+2 redistributed when determining whether the goals in this
2194+3 subsection (K) have been met.
2195+4 Notwithstanding anything to the contrary, as the
2196+5 Agency increases the capacity in item (vi) to 40% over
2197+6 time, the Agency may reduce the capacity of items (i)
2198+7 through (v) proportionate to the capacity of the
2199+8 categories of projects in item (vi), to achieve a balance
2200+9 of project types.
2201+10 The Adjustable Block program shall be designed to
2202+11 ensure that renewable energy credits are procured from
2203+12 projects in diverse locations and are not concentrated in
2204+13 a few regional areas.
2205+14 (L) Notwithstanding provisions for advancing capital
2206+15 prior to project energization found in item (vi) of
2207+16 subparagraph (K), the procurement of photovoltaic
2208+17 renewable energy credits under items (i) through (vi) of
2209+18 subparagraph (K) of this paragraph (1) shall otherwise be
2210+19 subject to the following contract and payment terms:
2211+20 (i) (Blank).
2212+21 (ii) For those renewable energy credits that
2213+22 qualify and are procured under item (i) of
2214+23 subparagraph (K) of this paragraph (1), and any
2215+24 similar category projects that are procured under item
2216+25 (vi) of subparagraph (K) of this paragraph (1) that
2217+26 qualify and are procured under item (vi), the contract
2218+
2219+
2220+
2221+
2222+
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2224+
2225+
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2227+ HB3445 Enrolled - 63 - LRB103 29599 AMQ 55994 b
2228+1 length shall be 15 years. The renewable energy credit
2229+2 delivery contract value shall be paid in full, based
2230+3 on the estimated generation during the first 15 years
2231+4 of operation, by the contracting utilities at the time
2232+5 that the facility producing the renewable energy
2233+6 credits is interconnected at the distribution system
2234+7 level of the utility and verified as energized and
2235+8 compliant by the Program Administrator. The electric
2236+9 utility shall receive and retire all renewable energy
2237+10 credits generated by the project for the first 15
2238+11 years of operation. Renewable energy credits generated
2239+12 by the project thereafter shall not be transferred
2240+13 under the renewable energy credit delivery contract
2241+14 with the counterparty electric utility.
2242+15 (iii) For those renewable energy credits that
2243+16 qualify and are procured under item (ii) and (v) of
2244+17 subparagraph (K) of this paragraph (1) and any like
2245+18 projects similar category that qualify and are
2246+19 procured under item (vi), the contract length shall be
2247+20 15 years. 15% of the renewable energy credit delivery
2248+21 contract value, based on the estimated generation
2249+22 during the first 15 years of operation, shall be paid
2250+23 by the contracting utilities at the time that the
2251+24 facility producing the renewable energy credits is
2252+25 interconnected at the distribution system level of the
2253+26 utility and verified as energized and compliant by the
2254+
2255+
2256+
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2263+ HB3445 Enrolled - 64 - LRB103 29599 AMQ 55994 b
2264+1 Program Administrator. The remaining portion shall be
2265+2 paid ratably over the subsequent 6-year period. The
2266+3 electric utility shall receive and retire all
2267+4 renewable energy credits generated by the project for
2268+5 the first 15 years of operation. Renewable energy
2269+6 credits generated by the project thereafter shall not
2270+7 be transferred under the renewable energy credit
2271+8 delivery contract with the counterparty electric
2272+9 utility.
2273+10 (iv) For those renewable energy credits that
2274+11 qualify and are procured under items (iii) and (iv) of
2275+12 subparagraph (K) of this paragraph (1), and any like
2276+13 projects that qualify and are procured under item
2277+14 (vi), the renewable energy credit delivery contract
2278+15 length shall be 20 years and shall be paid over the
2279+16 delivery term, not to exceed during each delivery year
2280+17 the contract price multiplied by the estimated annual
2281+18 renewable energy credit generation amount. If
2282+19 generation of renewable energy credits during a
2283+20 delivery year exceeds the estimated annual generation
2284+21 amount, the excess renewable energy credits shall be
2285+22 carried forward to future delivery years and shall not
2286+23 expire during the delivery term. If generation of
2287+24 renewable energy credits during a delivery year,
2288+25 including carried forward excess renewable energy
2289+26 credits, if any, is less than the estimated annual
2290+
2291+
2292+
2293+
2294+
2295+ HB3445 Enrolled - 64 - LRB103 29599 AMQ 55994 b
2296+
2297+
2298+HB3445 Enrolled- 65 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 65 - LRB103 29599 AMQ 55994 b
2299+ HB3445 Enrolled - 65 - LRB103 29599 AMQ 55994 b
2300+1 generation amount, payments during such delivery year
2301+2 will not exceed the quantity generated plus the
2302+3 quantity carried forward multiplied by the contract
2303+4 price. The electric utility shall receive all
2304+5 renewable energy credits generated by the project
2305+6 during the first 20 years of operation and retire all
2306+7 renewable energy credits paid for under this item (iv)
2307+8 and return at the end of the delivery term all
2308+9 renewable energy credits that were not paid for.
2309+10 Renewable energy credits generated by the project
2310+11 thereafter shall not be transferred under the
2311+12 renewable energy credit delivery contract with the
2312+13 counterparty electric utility. Notwithstanding the
2313+14 preceding, for those projects participating under item
2314+15 (iii) of subparagraph (K), the contract price for a
2315+16 delivery year shall be based on subscription levels as
2316+17 measured on the higher of the first business day of the
2317+18 delivery year or the first business day 6 months after
2318+19 the first business day of the delivery year.
2319+20 Subscription of 90% of nameplate capacity or greater
2320+21 shall be deemed to be fully subscribed for the
2321+22 purposes of this item (iv). For projects receiving a
2322+23 20-year delivery contract, REC prices shall be
2323+24 adjusted downward for consistency with the incentive
2324+25 levels previously determined to be necessary to
2325+26 support projects under 15-year delivery contracts,
2326+
2327+
2328+
2329+
2330+
2331+ HB3445 Enrolled - 65 - LRB103 29599 AMQ 55994 b
2332+
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2335+ HB3445 Enrolled - 66 - LRB103 29599 AMQ 55994 b
2336+1 taking into consideration any additional new
2337+2 requirements placed on the projects, including, but
2338+3 not limited to, labor standards.
2339+4 (v) Each contract shall include provisions to
2340+5 ensure the delivery of the estimated quantity of
2341+6 renewable energy credits and ongoing collateral
2342+7 requirements and other provisions deemed appropriate
2343+8 by the Agency.
2344+9 (vi) The utility shall be the counterparty to the
2345+10 contracts executed under this subparagraph (L) that
2346+11 are approved by the Commission under the process
2347+12 described in Section 16-111.5 of the Public Utilities
2348+13 Act. No contract shall be executed for an amount that
2349+14 is less than one renewable energy credit per year.
2350+15 (vii) If, at any time, approved applications for
2351+16 the Adjustable Block program exceed funds collected by
2352+17 the electric utility or would cause the Agency to
2353+18 exceed the limitation described in subparagraph (E) of
2354+19 this paragraph (1) on the amount of renewable energy
2355+20 resources that may be procured, then the Agency may
2356+21 consider future uncommitted funds to be reserved for
2357+22 these contracts on a first-come, first-served basis.
2358+23 (viii) Nothing in this Section shall require the
2359+24 utility to advance any payment or pay any amounts that
2360+25 exceed the actual amount of revenues anticipated to be
2361+26 collected by the utility under paragraph (6) of this
2362+
2363+
2364+
2365+
2366+
2367+ HB3445 Enrolled - 66 - LRB103 29599 AMQ 55994 b
2368+
2369+
2370+HB3445 Enrolled- 67 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 67 - LRB103 29599 AMQ 55994 b
2371+ HB3445 Enrolled - 67 - LRB103 29599 AMQ 55994 b
2372+1 subsection (c) and subsection (k) of Section 16-108 of
2373+2 the Public Utilities Act inclusive of eligible funds
2374+3 collected in prior years and alternative compliance
2375+4 payments for use by the utility, and contracts
2376+5 executed under this Section shall expressly
2377+6 incorporate this limitation.
2378+7 (ix) Notwithstanding other requirements of this
2379+8 subparagraph (L), no modification shall be required to
2380+9 Adjustable Block program contracts if they were
2381+10 already executed prior to the establishment, approval,
2382+11 and implementation of new contract forms as a result
2383+12 of this amendatory Act of the 102nd General Assembly.
2384+13 (x) Contracts may be assignable, but only to
2385+14 entities first deemed by the Agency to have met
2386+15 program terms and requirements applicable to direct
2387+16 program participation. In developing contracts for the
2388+17 delivery of renewable energy credits, the Agency shall
2389+18 be permitted to establish fees applicable to each
2390+19 contract assignment.
2391+20 (M) The Agency shall be authorized to retain one or
2392+21 more experts or expert consulting firms to develop,
2393+22 administer, implement, operate, and evaluate the
2394+23 Adjustable Block program described in subparagraph (K) of
2395+24 this paragraph (1), and the Agency shall retain the
2396+25 consultant or consultants in the same manner, to the
2397+26 extent practicable, as the Agency retains others to
2398+
2399+
2400+
2401+
2402+
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2404+
2405+
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2407+ HB3445 Enrolled - 68 - LRB103 29599 AMQ 55994 b
2408+1 administer provisions of this Act, including, but not
2409+2 limited to, the procurement administrator. The selection
2410+3 of experts and expert consulting firms and the procurement
2411+4 process described in this subparagraph (M) are exempt from
2412+5 the requirements of Section 20-10 of the Illinois
2413+6 Procurement Code, under Section 20-10 of that Code. The
2414+7 Agency shall strive to minimize administrative expenses in
2415+8 the implementation of the Adjustable Block program.
2416+9 The Program Administrator may charge application fees
2417+10 to participating firms to cover the cost of program
2418+11 administration. Any application fee amounts shall
2419+12 initially be determined through the long-term renewable
2420+13 resources procurement plan, and modifications to any
2421+14 application fee that deviate more than 25% from the
2422+15 Commission's approved value must be approved by the
2423+16 Commission as a long-term plan revision under Section
2424+17 16-111.5 of the Public Utilities Act. The Agency shall
2425+18 consider stakeholder feedback when making adjustments to
2426+19 application fees and shall notify stakeholders in advance
2427+20 of any planned changes.
2428+21 In addition to covering the costs of program
2429+22 administration, the Agency, in conjunction with its
2430+23 Program Administrator, may also use the proceeds of such
2431+24 fees charged to participating firms to support public
2432+25 education and ongoing regional and national coordination
2433+26 with nonprofit organizations, public bodies, and others
2434+
2435+
2436+
2437+
2438+
2439+ HB3445 Enrolled - 68 - LRB103 29599 AMQ 55994 b
2440+
2441+
2442+HB3445 Enrolled- 69 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 69 - LRB103 29599 AMQ 55994 b
2443+ HB3445 Enrolled - 69 - LRB103 29599 AMQ 55994 b
2444+1 engaged in the implementation of renewable energy
2445+2 incentive programs or similar initiatives. This work may
2446+3 include developing papers and reports, hosting regional
2447+4 and national conferences, and other work deemed necessary
2448+5 by the Agency to position the State of Illinois as a
2449+6 national leader in renewable energy incentive program
2450+7 development and administration.
2451+8 The Agency and its consultant or consultants shall
2452+9 monitor block activity, share program activity with
2453+10 stakeholders and conduct quarterly meetings to discuss
2454+11 program activity and market conditions. If necessary, the
2455+12 Agency may make prospective administrative adjustments to
2456+13 the Adjustable Block program design, such as making
2457+14 adjustments to purchase prices as necessary to achieve the
2458+15 goals of this subsection (c). Program modifications to any
2459+16 block price that do not deviate from the Commission's
2460+17 approved value by more than 10% shall take effect
2461+18 immediately and are not subject to Commission review and
2462+19 approval. Program modifications to any block price that
2463+20 deviate more than 10% from the Commission's approved value
2464+21 must be approved by the Commission as a long-term plan
2465+22 amendment under Section 16-111.5 of the Public Utilities
2466+23 Act. The Agency shall consider stakeholder feedback when
2467+24 making adjustments to the Adjustable Block design and
2468+25 shall notify stakeholders in advance of any planned
2469+26 changes.
2470+
2471+
2472+
2473+
2474+
2475+ HB3445 Enrolled - 69 - LRB103 29599 AMQ 55994 b
2476+
2477+
2478+HB3445 Enrolled- 70 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 70 - LRB103 29599 AMQ 55994 b
2479+ HB3445 Enrolled - 70 - LRB103 29599 AMQ 55994 b
2480+1 The Agency and its program administrators for both the
2481+2 Adjustable Block program and the Illinois Solar for All
2482+3 Program, consistent with the requirements of this
2483+4 subsection (c) and subsection (b) of Section 1-56 of this
2484+5 Act, shall propose the Adjustable Block program terms,
2485+6 conditions, and requirements, including the prices to be
2486+7 paid for renewable energy credits, where applicable, and
2487+8 requirements applicable to participating entities and
2488+9 project applications, through the development, review, and
2489+10 approval of the Agency's long-term renewable resources
2490+11 procurement plan described in this subsection (c) and
2491+12 paragraph (5) of subsection (b) of Section 16-111.5 of the
2492+13 Public Utilities Act. Terms, conditions, and requirements
2493+14 for program participation shall include the following:
2494+15 (i) The Agency shall establish a registration
2495+16 process for entities seeking to qualify for
2496+17 program-administered incentive funding and establish
2497+18 baseline qualifications for vendor approval. The
2498+19 Agency must maintain a list of approved entities on
2499+20 each program's website, and may revoke a vendor's
2500+21 ability to receive program-administered incentive
2501+22 funding status upon a determination that the vendor
2502+23 failed to comply with contract terms, the law, or
2503+24 other program requirements.
2504+25 (ii) The Agency shall establish program
2505+26 requirements and minimum contract terms to ensure
2506+
2507+
2508+
2509+
2510+
2511+ HB3445 Enrolled - 70 - LRB103 29599 AMQ 55994 b
2512+
2513+
2514+HB3445 Enrolled- 71 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 71 - LRB103 29599 AMQ 55994 b
2515+ HB3445 Enrolled - 71 - LRB103 29599 AMQ 55994 b
2516+1 projects are properly installed and produce their
2517+2 expected amounts of energy. Program requirements may
2518+3 include on-site inspections and photo documentation of
2519+4 projects under construction. The Agency may require
2520+5 repairs, alterations, or additions to remedy any
2521+6 material deficiencies discovered. Vendors who have a
2522+7 disproportionately high number of deficient systems
2523+8 may lose their eligibility to continue to receive
2524+9 State-administered incentive funding through Agency
2525+10 programs and procurements.
2526+11 (iii) To discourage deceptive marketing or other
2527+12 bad faith business practices, the Agency may require
2528+13 direct program participants, including agents
2529+14 operating on their behalf, to provide standardized
2530+15 disclosures to a customer prior to that customer's
2531+16 execution of a contract for the development of a
2532+17 distributed generation system or a subscription to a
2533+18 community solar project.
2534+19 (iv) The Agency shall establish one or multiple
2535+20 Consumer Complaints Centers to accept complaints
2536+21 regarding businesses that participate in, or otherwise
2537+22 benefit from, State-administered incentive funding
2538+23 through Agency-administered programs. The Agency shall
2539+24 maintain a public database of complaints with any
2540+25 confidential or particularly sensitive information
2541+26 redacted from public entries.
2542+
2543+
2544+
2545+
2546+
2547+ HB3445 Enrolled - 71 - LRB103 29599 AMQ 55994 b
2548+
2549+
2550+HB3445 Enrolled- 72 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 72 - LRB103 29599 AMQ 55994 b
2551+ HB3445 Enrolled - 72 - LRB103 29599 AMQ 55994 b
2552+1 (v) Through a filing in the proceeding for the
2553+2 approval of its long-term renewable energy resources
2554+3 procurement plan, the Agency shall provide an annual
2555+4 written report to the Illinois Commerce Commission
2556+5 documenting the frequency and nature of complaints and
2557+6 any enforcement actions taken in response to those
2558+7 complaints.
2559+8 (vi) The Agency shall schedule regular meetings
2560+9 with representatives of the Office of the Attorney
2561+10 General, the Illinois Commerce Commission, consumer
2562+11 protection groups, and other interested stakeholders
2563+12 to share relevant information about consumer
2564+13 protection, project compliance, and complaints
2565+14 received.
2566+15 (vii) To the extent that complaints received
2567+16 implicate the jurisdiction of the Office of the
2568+17 Attorney General, the Illinois Commerce Commission, or
2569+18 local, State, or federal law enforcement, the Agency
2570+19 shall also refer complaints to those entities as
2571+20 appropriate.
2572+21 (N) The Agency shall establish the terms, conditions,
2573+22 and program requirements for photovoltaic community
2574+23 renewable generation projects with a goal to expand access
2575+24 to a broader group of energy consumers, to ensure robust
2576+25 participation opportunities for residential and small
2577+26 commercial customers and those who cannot install
2578+
2579+
2580+
2581+
2582+
2583+ HB3445 Enrolled - 72 - LRB103 29599 AMQ 55994 b
2584+
2585+
2586+HB3445 Enrolled- 73 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 73 - LRB103 29599 AMQ 55994 b
2587+ HB3445 Enrolled - 73 - LRB103 29599 AMQ 55994 b
2588+1 renewable energy on their own properties. Subject to
2589+2 reasonable limitations, any plan approved by the
2590+3 Commission shall allow subscriptions to community
2591+4 renewable generation projects to be portable and
2592+5 transferable. For purposes of this subparagraph (N),
2593+6 "portable" means that subscriptions may be retained by the
2594+7 subscriber even if the subscriber relocates or changes its
2595+8 address within the same utility service territory; and
2596+9 "transferable" means that a subscriber may assign or sell
2597+10 subscriptions to another person within the same utility
2598+11 service territory.
2599+12 Through the development of its long-term renewable
2600+13 resources procurement plan, the Agency may consider
2601+14 whether community renewable generation projects utilizing
2602+15 technologies other than photovoltaics should be supported
2603+16 through State-administered incentive funding, and may
2604+17 issue requests for information to gauge market demand.
2605+18 Electric utilities shall provide a monetary credit to
2606+19 a subscriber's subsequent bill for service for the
2607+20 proportional output of a community renewable generation
2608+21 project attributable to that subscriber as specified in
2609+22 Section 16-107.5 of the Public Utilities Act.
2610+23 The Agency shall purchase renewable energy credits
2611+24 from subscribed shares of photovoltaic community renewable
2612+25 generation projects through the Adjustable Block program
2613+26 described in subparagraph (K) of this paragraph (1) or
2614+
2615+
2616+
2617+
2618+
2619+ HB3445 Enrolled - 73 - LRB103 29599 AMQ 55994 b
2620+
2621+
2622+HB3445 Enrolled- 74 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 74 - LRB103 29599 AMQ 55994 b
2623+ HB3445 Enrolled - 74 - LRB103 29599 AMQ 55994 b
2624+1 through the Illinois Solar for All Program described in
2625+2 Section 1-56 of this Act. The electric utility shall
2626+3 purchase any unsubscribed energy from community renewable
2627+4 generation projects that are Qualifying Facilities ("QF")
2628+5 under the electric utility's tariff for purchasing the
2629+6 output from QFs under Public Utilities Regulatory Policies
2630+7 Act of 1978.
2631+8 The owners of and any subscribers to a community
2632+9 renewable generation project shall not be considered
2633+10 public utilities or alternative retail electricity
2634+11 suppliers under the Public Utilities Act solely as a
2635+12 result of their interest in or subscription to a community
2636+13 renewable generation project and shall not be required to
2637+14 become an alternative retail electric supplier by
2638+15 participating in a community renewable generation project
2639+16 with a public utility.
2640+17 (O) For the delivery year beginning June 1, 2018, the
2641+18 long-term renewable resources procurement plan required by
2642+19 this subsection (c) shall provide for the Agency to
2643+20 procure contracts to continue offering the Illinois Solar
2644+21 for All Program described in subsection (b) of Section
2645+22 1-56 of this Act, and the contracts approved by the
2646+23 Commission shall be executed by the utilities that are
2647+24 subject to this subsection (c). The long-term renewable
2648+25 resources procurement plan shall allocate up to
2649+26 $50,000,000 per delivery year to fund the programs, and
2650+
2651+
2652+
2653+
2654+
2655+ HB3445 Enrolled - 74 - LRB103 29599 AMQ 55994 b
2656+
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2659+ HB3445 Enrolled - 75 - LRB103 29599 AMQ 55994 b
2660+1 the plan shall determine the amount of funding to be
2661+2 apportioned to the programs identified in subsection (b)
2662+3 of Section 1-56 of this Act; provided that for the
2663+4 delivery years beginning June 1, 2021, June 1, 2022, and
2664+5 June 1, 2023, the long-term renewable resources
2665+6 procurement plan may average the annual budgets over a
2666+7 3-year period to account for program ramp-up. For the
2667+8 delivery years beginning June 1, 2021, June 1, 2024, June
2668+9 1, 2027, and June 1, 2030 and additional $10,000,000 shall
2669+10 be provided to the Department of Commerce and Economic
2670+11 Opportunity to implement the workforce development
2671+12 programs and reporting as outlined in Section 16-108.12 of
2672+13 the Public Utilities Act. In making the determinations
2673+14 required under this subparagraph (O), the Commission shall
2674+15 consider the experience and performance under the programs
2675+16 and any evaluation reports. The Commission shall also
2676+17 provide for an independent evaluation of those programs on
2677+18 a periodic basis that are funded under this subparagraph
2678+19 (O).
2679+20 (P) All programs and procurements under this
2680+21 subsection (c) shall be designed to encourage
2681+22 participating projects to use a diverse and equitable
2682+23 workforce and a diverse set of contractors, including
2683+24 minority-owned businesses, disadvantaged businesses,
2684+25 trade unions, graduates of any workforce training programs
2685+26 administered under this Act, and small businesses.
2686+
2687+
2688+
2689+
2690+
2691+ HB3445 Enrolled - 75 - LRB103 29599 AMQ 55994 b
2692+
2693+
2694+HB3445 Enrolled- 76 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 76 - LRB103 29599 AMQ 55994 b
2695+ HB3445 Enrolled - 76 - LRB103 29599 AMQ 55994 b
2696+1 The Agency shall develop a method to optimize
2697+2 procurement of renewable energy credits from proposed
2698+3 utility-scale projects that are located in communities
2699+4 eligible to receive Energy Transition Community Grants
2700+5 pursuant to Section 10-20 of the Energy Community
2701+6 Reinvestment Act. If this requirement conflicts with other
2702+7 provisions of law or the Agency determines that full
2703+8 compliance with the requirements of this subparagraph (P)
2704+9 would be unreasonably costly or administratively
2705+10 impractical, the Agency is to propose alternative
2706+11 approaches to achieve development of renewable energy
2707+12 resources in communities eligible to receive Energy
2708+13 Transition Community Grants pursuant to Section 10-20 of
2709+14 the Energy Community Reinvestment Act or seek an exemption
2710+15 from this requirement from the Commission.
2711+16 (Q) Each facility listed in subitems (i) through
2712+17 (viii) of item (1) of this subparagraph (Q) for which a
2713+18 renewable energy credit delivery contract is signed after
2714+19 the effective date of this amendatory Act of the 102nd
2715+20 General Assembly is subject to the following requirements
2716+21 through the Agency's long-term renewable resources
2717+22 procurement plan:
2718+23 (1) Each facility shall be subject to the
2719+24 prevailing wage requirements included in the
2720+25 Prevailing Wage Act. The Agency shall require
2721+26 verification that all construction performed on the
2722+
2723+
2724+
2725+
2726+
2727+ HB3445 Enrolled - 76 - LRB103 29599 AMQ 55994 b
2728+
2729+
2730+HB3445 Enrolled- 77 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 77 - LRB103 29599 AMQ 55994 b
2731+ HB3445 Enrolled - 77 - LRB103 29599 AMQ 55994 b
2732+1 facility by the renewable energy credit delivery
2733+2 contract holder, its contractors, or its
2734+3 subcontractors relating to construction of the
2735+4 facility is performed by construction employees
2736+5 receiving an amount for that work equal to or greater
2737+6 than the general prevailing rate, as that term is
2738+7 defined in Section 3 of the Prevailing Wage Act. For
2739+8 purposes of this item (1), "house of worship" means
2740+9 property that is both (1) used exclusively by a
2741+10 religious society or body of persons as a place for
2742+11 religious exercise or religious worship and (2)
2743+12 recognized as exempt from taxation pursuant to Section
2744+13 15-40 of the Property Tax Code. This item (1) shall
2745+14 apply to any the following:
2746+15 (i) all new utility-scale wind projects;
2747+16 (ii) all new utility-scale photovoltaic
2748+17 projects;
2749+18 (iii) all new brownfield photovoltaic
2750+19 projects;
2751+20 (iv) all new photovoltaic community renewable
2752+21 energy facilities that qualify for item (iii) of
2753+22 subparagraph (K) of this paragraph (1);
2754+23 (v) all new community driven community
2755+24 photovoltaic projects that qualify for item (v) of
2756+25 subparagraph (K) of this paragraph (1);
2757+26 (vi) all new photovoltaic projects on public
2758+
2759+
2760+
2761+
2762+
2763+ HB3445 Enrolled - 77 - LRB103 29599 AMQ 55994 b
2764+
2765+
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2767+ HB3445 Enrolled - 78 - LRB103 29599 AMQ 55994 b
2768+1 school land distributed renewable energy
2769+2 generation devices on schools that qualify for
2770+3 item (iv) of subparagraph (K) of this paragraph
2771+4 (1);
2772+5 (vii) all new photovoltaic distributed
2773+6 renewable energy generation devices that (1)
2774+7 qualify for item (i) of subparagraph (K) of this
2775+8 paragraph (1); (2) are not projects that serve
2776+9 single-family or multi-family residential
2777+10 buildings; and (3) are not houses of worship where
2778+11 the aggregate capacity including collocated
2779+12 projects would not exceed 100 kilowatts;
2780+13 (viii) all new photovoltaic distributed
2781+14 renewable energy generation devices that (1)
2782+15 qualify for item (ii) of subparagraph (K) of this
2783+16 paragraph (1); (2) are not projects that serve
2784+17 single-family or multi-family residential
2785+18 buildings; and (3) are not houses of worship where
2786+19 the aggregate capacity including collocated
2787+20 projects would not exceed 100 kilowatts.
2788+21 (2) Renewable energy credits procured from new
2789+22 utility-scale wind projects, new utility-scale solar
2790+23 projects, and new brownfield solar projects pursuant
2791+24 to Agency procurement events occurring after the
2792+25 effective date of this amendatory Act of the 102nd
2793+26 General Assembly must be from facilities built by
2794+
2795+
2796+
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2802+HB3445 Enrolled- 79 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 79 - LRB103 29599 AMQ 55994 b
2803+ HB3445 Enrolled - 79 - LRB103 29599 AMQ 55994 b
2804+1 general contractors that must enter into a project
2805+2 labor agreement, as defined by this Act, prior to
2806+3 construction. The project labor agreement shall be
2807+4 filed with the Director in accordance with procedures
2808+5 established by the Agency through its long-term
2809+6 renewable resources procurement plan. Any information
2810+7 submitted to the Agency in this item (2) shall be
2811+8 considered commercially sensitive information. At a
2812+9 minimum, the project labor agreement must provide the
2813+10 names, addresses, and occupations of the owner of the
2814+11 plant and the individuals representing the labor
2815+12 organization employees participating in the project
2816+13 labor agreement consistent with the Project Labor
2817+14 Agreements Act. The agreement must also specify the
2818+15 terms and conditions as defined by this Act.
2819+16 (3) It is the intent of this Section to ensure that
2820+17 economic development occurs across Illinois
2821+18 communities, that emerging businesses may grow, and
2822+19 that there is improved access to the clean energy
2823+20 economy by persons who have greater economic burdens
2824+21 to success. The Agency shall take into consideration
2825+22 the unique cost of compliance of this subparagraph (Q)
2826+23 that might be borne by equity eligible contractors,
2827+24 shall include such costs when determining the price of
2828+25 renewable energy credits in the Adjustable Block
2829+26 program, and shall take such costs into consideration
2830+
2831+
2832+
2833+
2834+
2835+ HB3445 Enrolled - 79 - LRB103 29599 AMQ 55994 b
2836+
2837+
2838+HB3445 Enrolled- 80 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 80 - LRB103 29599 AMQ 55994 b
2839+ HB3445 Enrolled - 80 - LRB103 29599 AMQ 55994 b
2840+1 in a nondiscriminatory manner when comparing bids for
2841+2 competitive procurements. The Agency shall consider
2842+3 costs associated with compliance whether in the
2843+4 development, financing, or construction of projects.
2844+5 The Agency shall periodically review the assumptions
2845+6 in these costs and may adjust prices, in compliance
2846+7 with subparagraph (M) of this paragraph (1).
2847+8 (R) In its long-term renewable resources procurement
2848+9 plan, the Agency shall establish a self-direct renewable
2849+10 portfolio standard compliance program for eligible
2850+11 self-direct customers that purchase renewable energy
2851+12 credits from utility-scale wind and solar projects through
2852+13 long-term agreements for purchase of renewable energy
2853+14 credits as described in this Section. Such long-term
2854+15 agreements may include the purchase of energy or other
2855+16 products on a physical or financial basis and may involve
2856+17 an alternative retail electric supplier as defined in
2857+18 Section 16-102 of the Public Utilities Act. This program
2858+19 shall take effect in the delivery year commencing June 1,
2859+20 2023.
2860+21 (1) For the purposes of this subparagraph:
2861+22 "Eligible self-direct customer" means any retail
2862+23 customers of an electric utility that serves 3,000,000
2863+24 or more retail customers in the State and whose total
2864+25 highest 30-minute demand was more than 10,000
2865+26 kilowatts, or any retail customers of an electric
2866+
2867+
2868+
2869+
2870+
2871+ HB3445 Enrolled - 80 - LRB103 29599 AMQ 55994 b
2872+
2873+
2874+HB3445 Enrolled- 81 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 81 - LRB103 29599 AMQ 55994 b
2875+ HB3445 Enrolled - 81 - LRB103 29599 AMQ 55994 b
2876+1 utility that serves less than 3,000,000 retail
2877+2 customers but more than 500,000 retail customers in
2878+3 the State and whose total highest 15-minute demand was
2879+4 more than 10,000 kilowatts.
2880+5 "Retail customer" has the meaning set forth in
2881+6 Section 16-102 of the Public Utilities Act and
2882+7 multiple retail customer accounts under the same
2883+8 corporate parent may aggregate their account demands
2884+9 to meet the 10,000 kilowatt threshold. The criteria
2885+10 for determining whether this subparagraph is
2886+11 applicable to a retail customer shall be based on the
2887+12 12 consecutive billing periods prior to the start of
2888+13 the year in which the application is filed.
2889+14 (2) For renewable energy credits to count toward
2890+15 the self-direct renewable portfolio standard
2891+16 compliance program, they must:
2892+17 (i) qualify as renewable energy credits as
2893+18 defined in Section 1-10 of this Act;
2894+19 (ii) be sourced from one or more renewable
2895+20 energy generating facilities that comply with the
2896+21 geographic requirements as set forth in
2897+22 subparagraph (I) of paragraph (1) of subsection
2898+23 (c) as interpreted through the Agency's long-term
2899+24 renewable resources procurement plan, or, where
2900+25 applicable, the geographic requirements that
2901+26 governed utility-scale renewable energy credits at
2902+
2903+
2904+
2905+
2906+
2907+ HB3445 Enrolled - 81 - LRB103 29599 AMQ 55994 b
2908+
2909+
2910+HB3445 Enrolled- 82 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 82 - LRB103 29599 AMQ 55994 b
2911+ HB3445 Enrolled - 82 - LRB103 29599 AMQ 55994 b
2912+1 the time the eligible self-direct customer entered
2913+2 into the applicable renewable energy credit
2914+3 purchase agreement;
2915+4 (iii) be procured through long-term contracts
2916+5 with term lengths of at least 10 years either
2917+6 directly with the renewable energy generating
2918+7 facility or through a bundled power purchase
2919+8 agreement, a virtual power purchase agreement, an
2920+9 agreement between the renewable generating
2921+10 facility, an alternative retail electric supplier,
2922+11 and the customer, or such other structure as is
2923+12 permissible under this subparagraph (R);
2924+13 (iv) be equivalent in volume to at least 40%
2925+14 of the eligible self-direct customer's usage,
2926+15 determined annually by the eligible self-direct
2927+16 customer's usage during the previous delivery
2928+17 year, measured to the nearest megawatt-hour;
2929+18 (v) be retired by or on behalf of the large
2930+19 energy customer;
2931+20 (vi) be sourced from new utility-scale wind
2932+21 projects or new utility-scale solar projects; and
2933+22 (vii) if the contracts for renewable energy
2934+23 credits are entered into after the effective date
2935+24 of this amendatory Act of the 102nd General
2936+25 Assembly, the new utility-scale wind projects or
2937+26 new utility-scale solar projects must comply with
2938+
2939+
2940+
2941+
2942+
2943+ HB3445 Enrolled - 82 - LRB103 29599 AMQ 55994 b
2944+
2945+
2946+HB3445 Enrolled- 83 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 83 - LRB103 29599 AMQ 55994 b
2947+ HB3445 Enrolled - 83 - LRB103 29599 AMQ 55994 b
2948+1 the requirements established in subparagraphs (P)
2949+2 and (Q) of paragraph (1) of this subsection (c)
2950+3 and subsection (c-10).
2951+4 (3) The self-direct renewable portfolio standard
2952+5 compliance program shall be designed to allow eligible
2953+6 self-direct customers to procure new renewable energy
2954+7 credits from new utility-scale wind projects or new
2955+8 utility-scale photovoltaic projects. The Agency shall
2956+9 annually determine the amount of utility-scale
2957+10 renewable energy credits it will include each year
2958+11 from the self-direct renewable portfolio standard
2959+12 compliance program, subject to receiving qualifying
2960+13 applications. In making this determination, the Agency
2961+14 shall evaluate publicly available analyses and studies
2962+15 of the potential market size for utility-scale
2963+16 renewable energy long-term purchase agreements by
2964+17 commercial and industrial energy customers and make
2965+18 that report publicly available. If demand for
2966+19 participation in the self-direct renewable portfolio
2967+20 standard compliance program exceeds availability, the
2968+21 Agency shall ensure participation is evenly split
2969+22 between commercial and industrial users to the extent
2970+23 there is sufficient demand from both customer classes.
2971+24 Each renewable energy credit procured pursuant to this
2972+25 subparagraph (R) by a self-direct customer shall
2973+26 reduce the total volume of renewable energy credits
2974+
2975+
2976+
2977+
2978+
2979+ HB3445 Enrolled - 83 - LRB103 29599 AMQ 55994 b
2980+
2981+
2982+HB3445 Enrolled- 84 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 84 - LRB103 29599 AMQ 55994 b
2983+ HB3445 Enrolled - 84 - LRB103 29599 AMQ 55994 b
2984+1 the Agency is otherwise required to procure from new
2985+2 utility-scale projects pursuant to subparagraph (C) of
2986+3 paragraph (1) of this subsection (c) on behalf of
2987+4 contracting utilities where the eligible self-direct
2988+5 customer is located. The self-direct customer shall
2989+6 file an annual compliance report with the Agency
2990+7 pursuant to terms established by the Agency through
2991+8 its long-term renewable resources procurement plan to
2992+9 be eligible for participation in this program.
2993+10 Customers must provide the Agency with their most
2994+11 recent electricity billing statements or other
2995+12 information deemed necessary by the Agency to
2996+13 demonstrate they are an eligible self-direct customer.
2997+14 (4) The Commission shall approve a reduction in
2998+15 the volumetric charges collected pursuant to Section
2999+16 16-108 of the Public Utilities Act for approved
3000+17 eligible self-direct customers equivalent to the
3001+18 anticipated cost of renewable energy credit deliveries
3002+19 under contracts for new utility-scale wind and new
3003+20 utility-scale solar entered for each delivery year
3004+21 after the large energy customer begins retiring
3005+22 eligible new utility scale renewable energy credits
3006+23 for self-compliance. The self-direct credit amount
3007+24 shall be determined annually and is equal to the
3008+25 estimated portion of the cost authorized by
3009+26 subparagraph (E) of paragraph (1) of this subsection
3010+
3011+
3012+
3013+
3014+
3015+ HB3445 Enrolled - 84 - LRB103 29599 AMQ 55994 b
3016+
3017+
3018+HB3445 Enrolled- 85 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 85 - LRB103 29599 AMQ 55994 b
3019+ HB3445 Enrolled - 85 - LRB103 29599 AMQ 55994 b
3020+1 (c) that supported the annual procurement of
3021+2 utility-scale renewable energy credits in the prior
3022+3 delivery year using a methodology described in the
3023+4 long-term renewable resources procurement plan,
3024+5 expressed on a per kilowatthour basis, and does not
3025+6 include (i) costs associated with any contracts
3026+7 entered into before the delivery year in which the
3027+8 customer files the initial compliance report to be
3028+9 eligible for participation in the self-direct program,
3029+10 and (ii) costs associated with procuring renewable
3030+11 energy credits through existing and future contracts
3031+12 through the Adjustable Block Program, subsection (c-5)
3032+13 of this Section 1-75, and the Solar for All Program.
3033+14 The Agency shall assist the Commission in determining
3034+15 the current and future costs. The Agency must
3035+16 determine the self-direct credit amount for new and
3036+17 existing eligible self-direct customers and submit
3037+18 this to the Commission in an annual compliance filing.
3038+19 The Commission must approve the self-direct credit
3039+20 amount by June 1, 2023 and June 1 of each delivery year
3040+21 thereafter.
3041+22 (5) Customers described in this subparagraph (R)
3042+23 shall apply, on a form developed by the Agency, to the
3043+24 Agency to be designated as a self-direct eligible
3044+25 customer. Once the Agency determines that a
3045+26 self-direct customer is eligible for participation in
3046+
3047+
3048+
3049+
3050+
3051+ HB3445 Enrolled - 85 - LRB103 29599 AMQ 55994 b
3052+
3053+
3054+HB3445 Enrolled- 86 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 86 - LRB103 29599 AMQ 55994 b
3055+ HB3445 Enrolled - 86 - LRB103 29599 AMQ 55994 b
3056+1 the program, the self-direct customer will remain
3057+2 eligible until the end of the term of the contract.
3058+3 Thereafter, application may be made not less than 12
3059+4 months before the filing date of the long-term
3060+5 renewable resources procurement plan described in this
3061+6 Act. At a minimum, such application shall contain the
3062+7 following:
3063+8 (i) the customer's certification that, at the
3064+9 time of the customer's application, the customer
3065+10 qualifies to be a self-direct eligible customer,
3066+11 including documents demonstrating that
3067+12 qualification;
3068+13 (ii) the customer's certification that the
3069+14 customer has entered into or will enter into by
3070+15 the beginning of the applicable procurement year,
3071+16 one or more bilateral contracts for new wind
3072+17 projects or new photovoltaic projects, including
3073+18 supporting documentation;
3074+19 (iii) certification that the contract or
3075+20 contracts for new renewable energy resources are
3076+21 long-term contracts with term lengths of at least
3077+22 10 years, including supporting documentation;
3078+23 (iv) certification of the quantities of
3079+24 renewable energy credits that the customer will
3080+25 purchase each year under such contract or
3081+26 contracts, including supporting documentation;
3082+
3083+
3084+
3085+
3086+
3087+ HB3445 Enrolled - 86 - LRB103 29599 AMQ 55994 b
3088+
3089+
3090+HB3445 Enrolled- 87 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 87 - LRB103 29599 AMQ 55994 b
3091+ HB3445 Enrolled - 87 - LRB103 29599 AMQ 55994 b
3092+1 (v) proof that the contract is sufficient to
3093+2 produce renewable energy credits to be equivalent
3094+3 in volume to at least 40% of the large energy
3095+4 customer's usage from the previous delivery year,
3096+5 measured to the nearest megawatt-hour; and
3097+6 (vi) certification that the customer intends
3098+7 to maintain the contract for the duration of the
3099+8 length of the contract.
3100+9 (6) If a customer receives the self-direct credit
3101+10 but fails to properly procure and retire renewable
3102+11 energy credits as required under this subparagraph
3103+12 (R), the Commission, on petition from the Agency and
3104+13 after notice and hearing, may direct such customer's
3105+14 utility to recover the cost of the wrongfully received
3106+15 self-direct credits plus interest through an adder to
3107+16 charges assessed pursuant to Section 16-108 of the
3108+17 Public Utilities Act. Self-direct customers who
3109+18 knowingly fail to properly procure and retire
3110+19 renewable energy credits and do not notify the Agency
3111+20 are ineligible for continued participation in the
3112+21 self-direct renewable portfolio standard compliance
3113+22 program.
3114+23 (2) (Blank).
3115+24 (3) (Blank).
3116+25 (4) The electric utility shall retire all renewable
3117+26 energy credits used to comply with the standard.
3118+
3119+
3120+
3121+
3122+
3123+ HB3445 Enrolled - 87 - LRB103 29599 AMQ 55994 b
3124+
3125+
3126+HB3445 Enrolled- 88 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 88 - LRB103 29599 AMQ 55994 b
3127+ HB3445 Enrolled - 88 - LRB103 29599 AMQ 55994 b
3128+1 (5) Beginning with the 2010 delivery year and ending
3129+2 June 1, 2017, an electric utility subject to this
3130+3 subsection (c) shall apply the lesser of the maximum
3131+4 alternative compliance payment rate or the most recent
3132+5 estimated alternative compliance payment rate for its
3133+6 service territory for the corresponding compliance period,
3134+7 established pursuant to subsection (d) of Section 16-115D
3135+8 of the Public Utilities Act to its retail customers that
3136+9 take service pursuant to the electric utility's hourly
3137+10 pricing tariff or tariffs. The electric utility shall
3138+11 retain all amounts collected as a result of the
3139+12 application of the alternative compliance payment rate or
3140+13 rates to such customers, and, beginning in 2011, the
3141+14 utility shall include in the information provided under
3142+15 item (1) of subsection (d) of Section 16-111.5 of the
3143+16 Public Utilities Act the amounts collected under the
3144+17 alternative compliance payment rate or rates for the prior
3145+18 year ending May 31. Notwithstanding any limitation on the
3146+19 procurement of renewable energy resources imposed by item
3147+20 (2) of this subsection (c), the Agency shall increase its
3148+21 spending on the purchase of renewable energy resources to
3149+22 be procured by the electric utility for the next plan year
3150+23 by an amount equal to the amounts collected by the utility
3151+24 under the alternative compliance payment rate or rates in
3152+25 the prior year ending May 31.
3153+26 (6) The electric utility shall be entitled to recover
3154+
3155+
3156+
3157+
3158+
3159+ HB3445 Enrolled - 88 - LRB103 29599 AMQ 55994 b
3160+
3161+
3162+HB3445 Enrolled- 89 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 89 - LRB103 29599 AMQ 55994 b
3163+ HB3445 Enrolled - 89 - LRB103 29599 AMQ 55994 b
3164+1 all of its costs associated with the procurement of
3165+2 renewable energy credits under plans approved under this
3166+3 Section and Section 16-111.5 of the Public Utilities Act.
3167+4 These costs shall include associated reasonable expenses
3168+5 for implementing the procurement programs, including, but
3169+6 not limited to, the costs of administering and evaluating
3170+7 the Adjustable Block program, through an automatic
3171+8 adjustment clause tariff in accordance with subsection (k)
3172+9 of Section 16-108 of the Public Utilities Act.
3173+10 (7) Renewable energy credits procured from new
3174+11 photovoltaic projects or new distributed renewable energy
3175+12 generation devices under this Section after June 1, 2017
3176+13 (the effective date of Public Act 99-906) must be procured
3177+14 from devices installed by a qualified person in compliance
3178+15 with the requirements of Section 16-128A of the Public
3179+16 Utilities Act and any rules or regulations adopted
3180+17 thereunder.
3181+18 In meeting the renewable energy requirements of this
3182+19 subsection (c), to the extent feasible and consistent with
3183+20 State and federal law, the renewable energy credit
3184+21 procurements, Adjustable Block solar program, and
3185+22 community renewable generation program shall provide
3186+23 employment opportunities for all segments of the
3187+24 population and workforce, including minority-owned and
3188+25 female-owned business enterprises, and shall not,
3189+26 consistent with State and federal law, discriminate based
3190+
3191+
3192+
3193+
3194+
3195+ HB3445 Enrolled - 89 - LRB103 29599 AMQ 55994 b
3196+
3197+
3198+HB3445 Enrolled- 90 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 90 - LRB103 29599 AMQ 55994 b
3199+ HB3445 Enrolled - 90 - LRB103 29599 AMQ 55994 b
3200+1 on race or socioeconomic status.
3201+2 (c-5) Procurement of renewable energy credits from new
3202+3 renewable energy facilities installed at or adjacent to the
3203+4 sites of electric generating facilities that burn or burned
3204+5 coal as their primary fuel source.
3205+6 (1) In addition to the procurement of renewable energy
3206+7 credits pursuant to long-term renewable resources
3207+8 procurement plans in accordance with subsection (c) of
3208+9 this Section and Section 16-111.5 of the Public Utilities
3209+10 Act, the Agency shall conduct procurement events in
3210+11 accordance with this subsection (c-5) for the procurement
3211+12 by electric utilities that served more than 300,000 retail
3212+13 customers in this State as of January 1, 2019 of renewable
3213+14 energy credits from new renewable energy facilities to be
3214+15 installed at or adjacent to the sites of electric
3215+16 generating facilities that, as of January 1, 2016, burned
3216+17 coal as their primary fuel source and meet the other
3217+18 criteria specified in this subsection (c-5). For purposes
3218+19 of this subsection (c-5), "new renewable energy facility"
3219+20 means a new utility-scale solar project as defined in this
3220+21 Section 1-75. The renewable energy credits procured
3221+22 pursuant to this subsection (c-5) may be included or
3222+23 counted for purposes of compliance with the amounts of
3223+24 renewable energy credits required to be procured pursuant
3224+25 to subsection (c) of this Section to the extent that there
3225+26 are otherwise shortfalls in compliance with such
3226+
3227+
3228+
3229+
3230+
3231+ HB3445 Enrolled - 90 - LRB103 29599 AMQ 55994 b
3232+
3233+
3234+HB3445 Enrolled- 91 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 91 - LRB103 29599 AMQ 55994 b
3235+ HB3445 Enrolled - 91 - LRB103 29599 AMQ 55994 b
3236+1 requirements. The procurement of renewable energy credits
3237+2 by electric utilities pursuant to this subsection (c-5)
3238+3 shall be funded solely by revenues collected from the Coal
3239+4 to Solar and Energy Storage Initiative Charge provided for
3240+5 in this subsection (c-5) and subsection (i-5) of Section
3241+6 16-108 of the Public Utilities Act, shall not be funded by
3242+7 revenues collected through any of the other funding
3243+8 mechanisms provided for in subsection (c) of this Section,
3244+9 and shall not be subject to the limitation imposed by
3245+10 subsection (c) on charges to retail customers for costs to
3246+11 procure renewable energy resources pursuant to subsection
3247+12 (c), and shall not be subject to any other requirements or
3248+13 limitations of subsection (c).
3249+14 (2) The Agency shall conduct 2 procurement events to
3250+15 select owners of electric generating facilities meeting
3251+16 the eligibility criteria specified in this subsection
3252+17 (c-5) to enter into long-term contracts to sell renewable
3253+18 energy credits to electric utilities serving more than
3254+19 300,000 retail customers in this State as of January 1,
3255+20 2019. The first procurement event shall be conducted no
3256+21 later than March 31, 2022, unless the Agency elects to
3257+22 delay it, until no later than May 1, 2022, due to its
3258+23 overall volume of work, and shall be to select owners of
3259+24 electric generating facilities located in this State and
3260+25 south of federal Interstate Highway 80 that meet the
3261+26 eligibility criteria specified in this subsection (c-5).
3262+
3263+
3264+
3265+
3266+
3267+ HB3445 Enrolled - 91 - LRB103 29599 AMQ 55994 b
3268+
3269+
3270+HB3445 Enrolled- 92 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 92 - LRB103 29599 AMQ 55994 b
3271+ HB3445 Enrolled - 92 - LRB103 29599 AMQ 55994 b
3272+1 The second procurement event shall be conducted no sooner
3273+2 than September 30, 2022 and no later than October 31, 2022
3274+3 and shall be to select owners of electric generating
3275+4 facilities located anywhere in this State that meet the
3276+5 eligibility criteria specified in this subsection (c-5).
3277+6 The Agency shall establish and announce a time period,
3278+7 which shall begin no later than 30 days prior to the
3279+8 scheduled date for the procurement event, during which
3280+9 applicants may submit applications to be selected as
3281+10 suppliers of renewable energy credits pursuant to this
3282+11 subsection (c-5). The eligibility criteria for selection
3283+12 as a supplier of renewable energy credits pursuant to this
3284+13 subsection (c-5) shall be as follows:
3285+14 (A) The applicant owns an electric generating
3286+15 facility located in this State that: (i) as of January
3287+16 1, 2016, burned coal as its primary fuel to generate
3288+17 electricity; and (ii) has, or had prior to retirement,
3289+18 an electric generating capacity of at least 150
3290+19 megawatts. The electric generating facility can be
3291+20 either: (i) retired as of the date of the procurement
3292+21 event; or (ii) still operating as of the date of the
3293+22 procurement event.
3294+23 (B) The applicant is not (i) an electric
3295+24 cooperative as defined in Section 3-119 of the Public
3296+25 Utilities Act, or (ii) an entity described in
3297+26 subsection (b)(1) of Section 3-105 of the Public
3298+
3299+
3300+
3301+
3302+
3303+ HB3445 Enrolled - 92 - LRB103 29599 AMQ 55994 b
3304+
3305+
3306+HB3445 Enrolled- 93 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 93 - LRB103 29599 AMQ 55994 b
3307+ HB3445 Enrolled - 93 - LRB103 29599 AMQ 55994 b
3308+1 Utilities Act, or an association or consortium of or
3309+2 an entity owned by entities described in (i) or (ii);
3310+3 and the coal-fueled electric generating facility was
3311+4 at one time owned, in whole or in part, by a public
3312+5 utility as defined in Section 3-105 of the Public
3313+6 Utilities Act.
3314+7 (C) If participating in the first procurement
3315+8 event, the applicant proposes and commits to construct
3316+9 and operate, at the site, and if necessary for
3317+10 sufficient space on property adjacent to the existing
3318+11 property, at which the electric generating facility
3319+12 identified in paragraph (A) is located: (i) a new
3320+13 renewable energy facility of at least 20 megawatts but
3321+14 no more than 100 megawatts of electric generating
3322+15 capacity, and (ii) an energy storage facility having a
3323+16 storage capacity equal to at least 2 megawatts and at
3324+17 most 10 megawatts. If participating in the second
3325+18 procurement event, the applicant proposes and commits
3326+19 to construct and operate, at the site, and if
3327+20 necessary for sufficient space on property adjacent to
3328+21 the existing property, at which the electric
3329+22 generating facility identified in paragraph (A) is
3330+23 located: (i) a new renewable energy facility of at
3331+24 least 5 megawatts but no more than 20 megawatts of
3332+25 electric generating capacity, and (ii) an energy
3333+26 storage facility having a storage capacity equal to at
3334+
3335+
3336+
3337+
3338+
3339+ HB3445 Enrolled - 93 - LRB103 29599 AMQ 55994 b
3340+
3341+
3342+HB3445 Enrolled- 94 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 94 - LRB103 29599 AMQ 55994 b
3343+ HB3445 Enrolled - 94 - LRB103 29599 AMQ 55994 b
3344+1 least 0.5 megawatts and at most one megawatt.
3345+2 (D) The applicant agrees that the new renewable
3346+3 energy facility and the energy storage facility will
3347+4 be constructed or installed by a qualified entity or
3348+5 entities in compliance with the requirements of
3349+6 subsection (g) of Section 16-128A of the Public
3350+7 Utilities Act and any rules adopted thereunder.
3351+8 (E) The applicant agrees that personnel operating
3352+9 the new renewable energy facility and the energy
3353+10 storage facility will have the requisite skills,
3354+11 knowledge, training, experience, and competence, which
3355+12 may be demonstrated by completion or current
3356+13 participation and ultimate completion by employees of
3357+14 an accredited or otherwise recognized apprenticeship
3358+15 program for the employee's particular craft, trade, or
3359+16 skill, including through training and education
3360+17 courses and opportunities offered by the owner to
3361+18 employees of the coal-fueled electric generating
3362+19 facility or by previous employment experience
3363+20 performing the employee's particular work skill or
3364+21 function.
3365+22 (F) The applicant commits that not less than the
3366+23 prevailing wage, as determined pursuant to the
3367+24 Prevailing Wage Act, will be paid to the applicant's
3368+25 employees engaged in construction activities
3369+26 associated with the new renewable energy facility and
3370+
3371+
3372+
3373+
3374+
3375+ HB3445 Enrolled - 94 - LRB103 29599 AMQ 55994 b
3376+
3377+
3378+HB3445 Enrolled- 95 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 95 - LRB103 29599 AMQ 55994 b
3379+ HB3445 Enrolled - 95 - LRB103 29599 AMQ 55994 b
3380+1 the new energy storage facility and to the employees
3381+2 of applicant's contractors engaged in construction
3382+3 activities associated with the new renewable energy
3383+4 facility and the new energy storage facility, and
3384+5 that, on or before the commercial operation date of
3385+6 the new renewable energy facility, the applicant shall
3386+7 file a report with the Agency certifying that the
3387+8 requirements of this subparagraph (F) have been met.
3388+9 (G) The applicant commits that if selected, it
3389+10 will negotiate a project labor agreement for the
3390+11 construction of the new renewable energy facility and
3391+12 associated energy storage facility that includes
3392+13 provisions requiring the parties to the agreement to
3393+14 work together to establish diversity threshold
3394+15 requirements and to ensure best efforts to meet
3395+16 diversity targets, improve diversity at the applicable
3396+17 job site, create diverse apprenticeship opportunities,
3397+18 and create opportunities to employ former coal-fired
3398+19 power plant workers.
3399+20 (H) The applicant commits to enter into a contract
3400+21 or contracts for the applicable duration to provide
3401+22 specified numbers of renewable energy credits each
3402+23 year from the new renewable energy facility to
3403+24 electric utilities that served more than 300,000
3404+25 retail customers in this State as of January 1, 2019,
3405+26 at a price of $30 per renewable energy credit. The
3406+
3407+
3408+
3409+
3410+
3411+ HB3445 Enrolled - 95 - LRB103 29599 AMQ 55994 b
3412+
3413+
3414+HB3445 Enrolled- 96 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 96 - LRB103 29599 AMQ 55994 b
3415+ HB3445 Enrolled - 96 - LRB103 29599 AMQ 55994 b
3416+1 price per renewable energy credit shall be fixed at
3417+2 $30 for the applicable duration and the renewable
3418+3 energy credits shall not be indexed renewable energy
3419+4 credits as provided for in item (v) of subparagraph
3420+5 (G) of paragraph (1) of subsection (c) of Section 1-75
3421+6 of this Act. The applicable duration of each contract
3422+7 shall be 20 years, unless the applicant is physically
3423+8 interconnected to the PJM Interconnection, LLC
3424+9 transmission grid and had a generating capacity of at
3425+10 least 1,200 megawatts as of January 1, 2021, in which
3426+11 case the applicable duration of the contract shall be
3427+12 15 years.
3428+13 (I) The applicant's application is certified by an
3429+14 officer of the applicant and by an officer of the
3430+15 applicant's ultimate parent company, if any.
3431+16 (3) An applicant may submit applications to contract
3432+17 to supply renewable energy credits from more than one new
3433+18 renewable energy facility to be constructed at or adjacent
3434+19 to one or more qualifying electric generating facilities
3435+20 owned by the applicant. The Agency may select new
3436+21 renewable energy facilities to be located at or adjacent
3437+22 to the sites of more than one qualifying electric
3438+23 generation facility owned by an applicant to contract with
3439+24 electric utilities to supply renewable energy credits from
3440+25 such facilities.
3441+26 (4) The Agency shall assess fees to each applicant to
3442+
3443+
3444+
3445+
3446+
3447+ HB3445 Enrolled - 96 - LRB103 29599 AMQ 55994 b
3448+
3449+
3450+HB3445 Enrolled- 97 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 97 - LRB103 29599 AMQ 55994 b
3451+ HB3445 Enrolled - 97 - LRB103 29599 AMQ 55994 b
3452+1 recover the Agency's costs incurred in receiving and
3453+2 evaluating applications, conducting the procurement event,
3454+3 developing contracts for sale, delivery and purchase of
3455+4 renewable energy credits, and monitoring the
3456+5 administration of such contracts, as provided for in this
3457+6 subsection (c-5), including fees paid to a procurement
3458+7 administrator retained by the Agency for one or more of
3459+8 these purposes.
3460+9 (5) The Agency shall select the applicants and the new
3461+10 renewable energy facilities to contract with electric
3462+11 utilities to supply renewable energy credits in accordance
3463+12 with this subsection (c-5). In the first procurement
3464+13 event, the Agency shall select applicants and new
3465+14 renewable energy facilities to supply renewable energy
3466+15 credits, at a price of $30 per renewable energy credit,
3467+16 aggregating to no less than 400,000 renewable energy
3468+17 credits per year for the applicable duration, assuming
3469+18 sufficient qualifying applications to supply, in the
3470+19 aggregate, at least that amount of renewable energy
3471+20 credits per year; and not more than 580,000 renewable
3472+21 energy credits per year for the applicable duration. In
3473+22 the second procurement event, the Agency shall select
3474+23 applicants and new renewable energy facilities to supply
3475+24 renewable energy credits, at a price of $30 per renewable
3476+25 energy credit, aggregating to no more than 625,000
3477+26 renewable energy credits per year less the amount of
3478+
3479+
3480+
3481+
3482+
3483+ HB3445 Enrolled - 97 - LRB103 29599 AMQ 55994 b
3484+
3485+
3486+HB3445 Enrolled- 98 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 98 - LRB103 29599 AMQ 55994 b
3487+ HB3445 Enrolled - 98 - LRB103 29599 AMQ 55994 b
3488+1 renewable energy credits each year contracted for as a
3489+2 result of the first procurement event, for the applicable
3490+3 durations. The number of renewable energy credits to be
3491+4 procured as specified in this paragraph (5) shall not be
3492+5 reduced based on renewable energy credits procured in the
3493+6 self-direct renewable energy credit compliance program
3494+7 established pursuant to subparagraph (R) of paragraph (1)
3495+8 of subsection (c) of Section 1-75.
3496+9 (6) The obligation to purchase renewable energy
3497+10 credits from the applicants and their new renewable energy
3498+11 facilities selected by the Agency shall be allocated to
3499+12 the electric utilities based on their respective
3500+13 percentages of kilowatthours delivered to delivery
3501+14 services customers to the aggregate kilowatthour
3502+15 deliveries by the electric utilities to delivery services
3503+16 customers for the year ended December 31, 2021. In order
3504+17 to achieve these allocation percentages between or among
3505+18 the electric utilities, the Agency shall require each
3506+19 applicant that is selected in the procurement event to
3507+20 enter into a contract with each electric utility for the
3508+21 sale and purchase of renewable energy credits from each
3509+22 new renewable energy facility to be constructed and
3510+23 operated by the applicant, with the sale and purchase
3511+24 obligations under the contracts to aggregate to the total
3512+25 number of renewable energy credits per year to be supplied
3513+26 by the applicant from the new renewable energy facility.
3514+
3515+
3516+
3517+
3518+
3519+ HB3445 Enrolled - 98 - LRB103 29599 AMQ 55994 b
3520+
3521+
3522+HB3445 Enrolled- 99 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 99 - LRB103 29599 AMQ 55994 b
3523+ HB3445 Enrolled - 99 - LRB103 29599 AMQ 55994 b
3524+1 (7) The Agency shall submit its proposed selection of
3525+2 applicants, new renewable energy facilities to be
3526+3 constructed, and renewable energy credit amounts for each
3527+4 procurement event to the Commission for approval. The
3528+5 Commission shall, within 2 business days after receipt of
3529+6 the Agency's proposed selections, approve the proposed
3530+7 selections if it determines that the applicants and the
3531+8 new renewable energy facilities to be constructed meet the
3532+9 selection criteria set forth in this subsection (c-5) and
3533+10 that the Agency seeks approval for contracts of applicable
3534+11 durations aggregating to no more than the maximum amount
3535+12 of renewable energy credits per year authorized by this
3536+13 subsection (c-5) for the procurement event, at a price of
3537+14 $30 per renewable energy credit.
3538+15 (8) The Agency, in conjunction with its procurement
3539+16 administrator if one is retained, the electric utilities,
3540+17 and potential applicants for contracts to produce and
3541+18 supply renewable energy credits pursuant to this
3542+19 subsection (c-5), shall develop a standard form contract
3543+20 for the sale, delivery and purchase of renewable energy
3544+21 credits pursuant to this subsection (c-5). Each contract
3545+22 resulting from the first procurement event shall allow for
3546+23 a commercial operation date for the new renewable energy
3547+24 facility of either June 1, 2023 or June 1, 2024, with such
3548+25 dates subject to adjustment as provided in this paragraph.
3549+26 Each contract resulting from the second procurement event
3550+
3551+
3552+
3553+
3554+
3555+ HB3445 Enrolled - 99 - LRB103 29599 AMQ 55994 b
3556+
3557+
3558+HB3445 Enrolled- 100 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 100 - LRB103 29599 AMQ 55994 b
3559+ HB3445 Enrolled - 100 - LRB103 29599 AMQ 55994 b
3560+1 shall provide for a commercial operation date on June 1
3561+2 next occurring up to 48 months after execution of the
3562+3 contract. Each contract shall provide that the owner shall
3563+4 receive payments for renewable energy credits for the
3564+5 applicable durations beginning with the commercial
3565+6 operation date of the new renewable energy facility. The
3566+7 form contract shall provide for adjustments to the
3567+8 commercial operation and payment start dates as needed due
3568+9 to any delays in completing the procurement and
3569+10 contracting processes, in finalizing interconnection
3570+11 agreements and installing interconnection facilities, and
3571+12 in obtaining other necessary governmental permits and
3572+13 approvals. The form contract shall be, to the maximum
3573+14 extent possible, consistent with standard electric
3574+15 industry contracts for sale, delivery, and purchase of
3575+16 renewable energy credits while taking into account the
3576+17 specific requirements of this subsection (c-5). The form
3577+18 contract shall provide for over-delivery and
3578+19 under-delivery of renewable energy credits within
3579+20 reasonable ranges during each 12-month period and penalty,
3580+21 default, and enforcement provisions for failure of the
3581+22 selling party to deliver renewable energy credits as
3582+23 specified in the contract and to comply with the
3583+24 requirements of this subsection (c-5). The standard form
3584+25 contract shall specify that all renewable energy credits
3585+26 delivered to the electric utility pursuant to the contract
3586+
3587+
3588+
3589+
3590+
3591+ HB3445 Enrolled - 100 - LRB103 29599 AMQ 55994 b
3592+
3593+
3594+HB3445 Enrolled- 101 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 101 - LRB103 29599 AMQ 55994 b
3595+ HB3445 Enrolled - 101 - LRB103 29599 AMQ 55994 b
3596+1 shall be retired. The Agency shall make the proposed
3597+2 contracts available for a reasonable period for comment by
3598+3 potential applicants, and shall publish the final form
3599+4 contract at least 30 days before the date of the first
3600+5 procurement event.
3601+6 (9) Coal to Solar and Energy Storage Initiative
3602+7 Charge.
3603+8 (A) By no later than July 1, 2022, each electric
3604+9 utility that served more than 300,000 retail customers
3605+10 in this State as of January 1, 2019 shall file a tariff
3606+11 with the Commission for the billing and collection of
3607+12 a Coal to Solar and Energy Storage Initiative Charge
3608+13 in accordance with subsection (i-5) of Section 16-108
3609+14 of the Public Utilities Act, with such tariff to be
3610+15 effective, following review and approval or
3611+16 modification by the Commission, beginning January 1,
3612+17 2023. The tariff shall provide for the calculation and
3613+18 setting of the electric utility's Coal to Solar and
3614+19 Energy Storage Initiative Charge to collect revenues
3615+20 estimated to be sufficient, in the aggregate, (i) to
3616+21 enable the electric utility to pay for the renewable
3617+22 energy credits it has contracted to purchase in the
3618+23 delivery year beginning June 1, 2023 and each delivery
3619+24 year thereafter from new renewable energy facilities
3620+25 located at the sites of qualifying electric generating
3621+26 facilities, and (ii) to fund the grant payments to be
3622+
3623+
3624+
3625+
3626+
3627+ HB3445 Enrolled - 101 - LRB103 29599 AMQ 55994 b
3628+
3629+
3630+HB3445 Enrolled- 102 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 102 - LRB103 29599 AMQ 55994 b
3631+ HB3445 Enrolled - 102 - LRB103 29599 AMQ 55994 b
3632+1 made in each delivery year by the Department of
3633+2 Commerce and Economic Opportunity, or any successor
3634+3 department or agency, which shall be referred to in
3635+4 this subsection (c-5) as the Department, pursuant to
3636+5 paragraph (10) of this subsection (c-5). The electric
3637+6 utility's tariff shall provide for the billing and
3638+7 collection of the Coal to Solar and Energy Storage
3639+8 Initiative Charge on each kilowatthour of electricity
3640+9 delivered to its delivery services customers within
3641+10 its service territory and shall provide for an annual
3642+11 reconciliation of revenues collected with actual
3643+12 costs, in accordance with subsection (i-5) of Section
3644+13 16-108 of the Public Utilities Act.
3645+14 (B) Each electric utility shall remit on a monthly
3646+15 basis to the State Treasurer, for deposit in the Coal
3647+16 to Solar and Energy Storage Initiative Fund provided
3648+17 for in this subsection (c-5), the electric utility's
3649+18 collections of the Coal to Solar and Energy Storage
3650+19 Initiative Charge in the amount estimated to be needed
3651+20 by the Department for grant payments pursuant to grant
3652+21 contracts entered into by the Department pursuant to
3653+22 paragraph (10) of this subsection (c-5).
3654+23 (10) Coal to Solar and Energy Storage Initiative Fund.
3655+24 (A) The Coal to Solar and Energy Storage
3656+25 Initiative Fund is established as a special fund in
3657+26 the State treasury. The Coal to Solar and Energy
3658+
3659+
3660+
3661+
3662+
3663+ HB3445 Enrolled - 102 - LRB103 29599 AMQ 55994 b
3664+
3665+
3666+HB3445 Enrolled- 103 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 103 - LRB103 29599 AMQ 55994 b
3667+ HB3445 Enrolled - 103 - LRB103 29599 AMQ 55994 b
3668+1 Storage Initiative Fund is authorized to receive, by
3669+2 statutory deposit, that portion specified in item (B)
3670+3 of paragraph (9) of this subsection (c-5) of moneys
3671+4 collected by electric utilities through imposition of
3672+5 the Coal to Solar and Energy Storage Initiative Charge
3673+6 required by this subsection (c-5). The Coal to Solar
3674+7 and Energy Storage Initiative Fund shall be
3675+8 administered by the Department to provide grants to
3676+9 support the installation and operation of energy
3677+10 storage facilities at the sites of qualifying electric
3678+11 generating facilities meeting the criteria specified
3679+12 in this paragraph (10).
3680+13 (B) The Coal to Solar and Energy Storage
3681+14 Initiative Fund shall not be subject to sweeps,
3682+15 administrative charges, or chargebacks, including, but
3683+16 not limited to, those authorized under Section 8h of
3684+17 the State Finance Act, that would in any way result in
3685+18 the transfer of those funds from the Coal to Solar and
3686+19 Energy Storage Initiative Fund to any other fund of
3687+20 this State or in having any such funds utilized for any
3688+21 purpose other than the express purposes set forth in
3689+22 this paragraph (10).
3690+23 (C) The Department shall utilize up to
3691+24 $280,500,000 in the Coal to Solar and Energy Storage
3692+25 Initiative Fund for grants, assuming sufficient
3693+26 qualifying applicants, to support installation of
3694+
3695+
3696+
3697+
3698+
3699+ HB3445 Enrolled - 103 - LRB103 29599 AMQ 55994 b
3700+
3701+
3702+HB3445 Enrolled- 104 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 104 - LRB103 29599 AMQ 55994 b
3703+ HB3445 Enrolled - 104 - LRB103 29599 AMQ 55994 b
3704+1 energy storage facilities at the sites of up to 3
3705+2 qualifying electric generating facilities located in
3706+3 the Midcontinent Independent System Operator, Inc.,
3707+4 region in Illinois and the sites of up to 2 qualifying
3708+5 electric generating facilities located in the PJM
3709+6 Interconnection, LLC region in Illinois that meet the
3710+7 criteria set forth in this subparagraph (C). The
3711+8 criteria for receipt of a grant pursuant to this
3712+9 subparagraph (C) are as follows:
3713+10 (1) the electric generating facility at the
3714+11 site has, or had prior to retirement, an electric
3715+12 generating capacity of at least 150 megawatts;
3716+13 (2) the electric generating facility burns (or
3717+14 burned prior to retirement) coal as its primary
3718+15 source of fuel;
3719+16 (3) if the electric generating facility is
3720+17 retired, it was retired subsequent to January 1,
3721+18 2016;
3722+19 (4) the owner of the electric generating
3723+20 facility has not been selected by the Agency
3724+21 pursuant to this subsection (c-5) of this Section
3725+22 to enter into a contract to sell renewable energy
3726+23 credits to one or more electric utilities from a
3727+24 new renewable energy facility located or to be
3728+25 located at or adjacent to the site at which the
3729+26 electric generating facility is located;
3730+
3731+
3732+
3733+
3734+
3735+ HB3445 Enrolled - 104 - LRB103 29599 AMQ 55994 b
3736+
3737+
3738+HB3445 Enrolled- 105 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 105 - LRB103 29599 AMQ 55994 b
3739+ HB3445 Enrolled - 105 - LRB103 29599 AMQ 55994 b
3740+1 (5) the electric generating facility located
3741+2 at the site was at one time owned, in whole or in
3742+3 part, by a public utility as defined in Section
3743+4 3-105 of the Public Utilities Act;
3744+5 (6) the electric generating facility at the
3745+6 site is not owned by (i) an electric cooperative
3746+7 as defined in Section 3-119 of the Public
3747+8 Utilities Act, or (ii) an entity described in
3748+9 subsection (b)(1) of Section 3-105 of the Public
3749+10 Utilities Act, or an association or consortium of
3750+11 or an entity owned by entities described in items
3751+12 (i) or (ii);
3752+13 (7) the proposed energy storage facility at
3753+14 the site will have energy storage capacity of at
3754+15 least 37 megawatts;
3755+16 (8) the owner commits to place the energy
3756+17 storage facility into commercial operation on
3757+18 either June 1, 2023, June 1, 2024, or June 1, 2025,
3758+19 with such date subject to adjustment as needed due
3759+20 to any delays in completing the grant contracting
3760+21 process, in finalizing interconnection agreements
3761+22 and in installing interconnection facilities, and
3762+23 in obtaining necessary governmental permits and
3763+24 approvals;
3764+25 (9) the owner agrees that the new energy
3765+26 storage facility will be constructed or installed
3766+
3767+
3768+
3769+
3770+
3771+ HB3445 Enrolled - 105 - LRB103 29599 AMQ 55994 b
3772+
3773+
3774+HB3445 Enrolled- 106 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 106 - LRB103 29599 AMQ 55994 b
3775+ HB3445 Enrolled - 106 - LRB103 29599 AMQ 55994 b
3776+1 by a qualified entity or entities consistent with
3777+2 the requirements of subsection (g) of Section
3778+3 16-128A of the Public Utilities Act and any rules
3779+4 adopted under that Section;
3780+5 (10) the owner agrees that personnel operating
3781+6 the energy storage facility will have the
3782+7 requisite skills, knowledge, training, experience,
3783+8 and competence, which may be demonstrated by
3784+9 completion or current participation and ultimate
3785+10 completion by employees of an accredited or
3786+11 otherwise recognized apprenticeship program for
3787+12 the employee's particular craft, trade, or skill,
3788+13 including through training and education courses
3789+14 and opportunities offered by the owner to
3790+15 employees of the coal-fueled electric generating
3791+16 facility or by previous employment experience
3792+17 performing the employee's particular work skill or
3793+18 function;
3794+19 (11) the owner commits that not less than the
3795+20 prevailing wage, as determined pursuant to the
3796+21 Prevailing Wage Act, will be paid to the owner's
3797+22 employees engaged in construction activities
3798+23 associated with the new energy storage facility
3799+24 and to the employees of the owner's contractors
3800+25 engaged in construction activities associated with
3801+26 the new energy storage facility, and that, on or
3802+
3803+
3804+
3805+
3806+
3807+ HB3445 Enrolled - 106 - LRB103 29599 AMQ 55994 b
3808+
3809+
3810+HB3445 Enrolled- 107 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 107 - LRB103 29599 AMQ 55994 b
3811+ HB3445 Enrolled - 107 - LRB103 29599 AMQ 55994 b
3812+1 before the commercial operation date of the new
3813+2 energy storage facility, the owner shall file a
3814+3 report with the Department certifying that the
3815+4 requirements of this subparagraph (11) have been
3816+5 met; and
3817+6 (12) the owner commits that if selected to
3818+7 receive a grant, it will negotiate a project labor
3819+8 agreement for the construction of the new energy
3820+9 storage facility that includes provisions
3821+10 requiring the parties to the agreement to work
3822+11 together to establish diversity threshold
3823+12 requirements and to ensure best efforts to meet
3824+13 diversity targets, improve diversity at the
3825+14 applicable job site, create diverse apprenticeship
3826+15 opportunities, and create opportunities to employ
3827+16 former coal-fired power plant workers.
3828+17 The Department shall accept applications for this
3829+18 grant program until March 31, 2022 and shall announce
3830+19 the award of grants no later than June 1, 2022. The
3831+20 Department shall make the grant payments to a
3832+21 recipient in equal annual amounts for 10 years
3833+22 following the date the energy storage facility is
3834+23 placed into commercial operation. The annual grant
3835+24 payments to a qualifying energy storage facility shall
3836+25 be $110,000 per megawatt of energy storage capacity,
3837+26 with total annual grant payments pursuant to this
3838+
3839+
3840+
3841+
3842+
3843+ HB3445 Enrolled - 107 - LRB103 29599 AMQ 55994 b
3844+
3845+
3846+HB3445 Enrolled- 108 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 108 - LRB103 29599 AMQ 55994 b
3847+ HB3445 Enrolled - 108 - LRB103 29599 AMQ 55994 b
3848+1 subparagraph (C) for qualifying energy storage
3849+2 facilities not to exceed $28,050,000 in any year.
3850+3 (D) Grants of funding for energy storage
3851+4 facilities pursuant to subparagraph (C) of this
3852+5 paragraph (10), from the Coal to Solar and Energy
3853+6 Storage Initiative Fund, shall be memorialized in
3854+7 grant contracts between the Department and the
3855+8 recipient. The grant contracts shall specify the date
3856+9 or dates in each year on which the annual grant
3857+10 payments shall be paid.
3858+11 (E) All disbursements from the Coal to Solar and
3859+12 Energy Storage Initiative Fund shall be made only upon
3860+13 warrants of the Comptroller drawn upon the Treasurer
3861+14 as custodian of the Fund upon vouchers signed by the
3862+15 Director of the Department or by the person or persons
3863+16 designated by the Director of the Department for that
3864+17 purpose. The Comptroller is authorized to draw the
3865+18 warrants upon vouchers so signed. The Treasurer shall
3866+19 accept all written warrants so signed and shall be
3867+20 released from liability for all payments made on those
3868+21 warrants.
3869+22 (11) Diversity, equity, and inclusion plans.
3870+23 (A) Each applicant selected in a procurement event
3871+24 to contract to supply renewable energy credits in
3872+25 accordance with this subsection (c-5) and each owner
3873+26 selected by the Department to receive a grant or
3874+
3875+
3876+
3877+
3878+
3879+ HB3445 Enrolled - 108 - LRB103 29599 AMQ 55994 b
3880+
3881+
3882+HB3445 Enrolled- 109 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 109 - LRB103 29599 AMQ 55994 b
3883+ HB3445 Enrolled - 109 - LRB103 29599 AMQ 55994 b
3884+1 grants to support the construction and operation of a
3885+2 new energy storage facility or facilities in
3886+3 accordance with this subsection (c-5) shall, within 60
3887+4 days following the Commission's approval of the
3888+5 applicant to contract to supply renewable energy
3889+6 credits or within 60 days following execution of a
3890+7 grant contract with the Department, as applicable,
3891+8 submit to the Commission a diversity, equity, and
3892+9 inclusion plan setting forth the applicant's or
3893+10 owner's numeric goals for the diversity composition of
3894+11 its supplier entities for the new renewable energy
3895+12 facility or new energy storage facility, as
3896+13 applicable, which shall be referred to for purposes of
3897+14 this paragraph (11) as the project, and the
3898+15 applicant's or owner's action plan and schedule for
3899+16 achieving those goals.
3900+17 (B) For purposes of this paragraph (11), diversity
3901+18 composition shall be based on the percentage, which
3902+19 shall be a minimum of 25%, of eligible expenditures
3903+20 for contract awards for materials and services (which
3904+21 shall be defined in the plan) to business enterprises
3905+22 owned by minority persons, women, or persons with
3906+23 disabilities as defined in Section 2 of the Business
3907+24 Enterprise for Minorities, Women, and Persons with
3908+25 Disabilities Act, to LGBTQ business enterprises, to
3909+26 veteran-owned business enterprises, and to business
3910+
3911+
3912+
3913+
3914+
3915+ HB3445 Enrolled - 109 - LRB103 29599 AMQ 55994 b
3916+
3917+
3918+HB3445 Enrolled- 110 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 110 - LRB103 29599 AMQ 55994 b
3919+ HB3445 Enrolled - 110 - LRB103 29599 AMQ 55994 b
3920+1 enterprises located in environmental justice
3921+2 communities. The diversity composition goals of the
3922+3 plan may include eligible expenditures in areas for
3923+4 vendor or supplier opportunities in addition to
3924+5 development and construction of the project, and may
3925+6 exclude from eligible expenditures materials and
3926+7 services with limited market availability, limited
3927+8 production and availability from suppliers in the
3928+9 United States, such as solar panels and storage
3929+10 batteries, and material and services that are subject
3930+11 to critical energy infrastructure or cybersecurity
3931+12 requirements or restrictions. The plan may provide
3932+13 that the diversity composition goals may be met
3933+14 through Tier 1 Direct or Tier 2 subcontracting
3934+15 expenditures or a combination thereof for the project.
3935+16 (C) The plan shall provide for, but not be limited
3936+17 to: (i) internal initiatives, including multi-tier
3937+18 initiatives, by the applicant or owner, or by its
3938+19 engineering, procurement and construction contractor
3939+20 if one is used for the project, which for purposes of
3940+21 this paragraph (11) shall be referred to as the EPC
3941+22 contractor, to enable diverse businesses to be
3942+23 considered fairly for selection to provide materials
3943+24 and services; (ii) requirements for the applicant or
3944+25 owner or its EPC contractor to proactively solicit and
3945+26 utilize diverse businesses to provide materials and
3946+
3947+
3948+
3949+
3950+
3951+ HB3445 Enrolled - 110 - LRB103 29599 AMQ 55994 b
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3953+
3954+HB3445 Enrolled- 111 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 111 - LRB103 29599 AMQ 55994 b
3955+ HB3445 Enrolled - 111 - LRB103 29599 AMQ 55994 b
3956+1 services; and (iii) requirements for the applicant or
3957+2 owner or its EPC contractor to hire a diverse
3958+3 workforce for the project. The plan shall include a
3959+4 description of the applicant's or owner's diversity
3960+5 recruiting efforts both for the project and for other
3961+6 areas of the applicant's or owner's business
3962+7 operations. The plan shall provide for the imposition
3963+8 of financial penalties on the applicant's or owner's
3964+9 EPC contractor for failure to exercise best efforts to
3965+10 comply with and execute the EPC contractor's diversity
3966+11 obligations under the plan. The plan may provide for
3967+12 the applicant or owner to set aside a portion of the
3968+13 work on the project to serve as an incubation program
3969+14 for qualified businesses, as specified in the plan,
3970+15 owned by minority persons, women, persons with
3971+16 disabilities, LGBTQ persons, and veterans, and
3972+17 businesses located in environmental justice
3973+18 communities, seeking to enter the renewable energy
3974+19 industry.
3975+20 (D) The applicant or owner may submit a revised or
3976+21 updated plan to the Commission from time to time as
3977+22 circumstances warrant. The applicant or owner shall
3978+23 file annual reports with the Commission detailing the
3979+24 applicant's or owner's progress in implementing its
3980+25 plan and achieving its goals and any modifications the
3981+26 applicant or owner has made to its plan to better
3982+
3983+
3984+
3985+
3986+
3987+ HB3445 Enrolled - 111 - LRB103 29599 AMQ 55994 b
3988+
3989+
3990+HB3445 Enrolled- 112 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 112 - LRB103 29599 AMQ 55994 b
3991+ HB3445 Enrolled - 112 - LRB103 29599 AMQ 55994 b
3992+1 achieve its diversity, equity and inclusion goals. The
3993+2 applicant or owner shall file a final report on the
3994+3 fifth June 1 following the commercial operation date
3995+4 of the new renewable energy resource or new energy
3996+5 storage facility, but the applicant or owner shall
3997+6 thereafter continue to be subject to applicable
3998+7 reporting requirements of Section 5-117 of the Public
3999+8 Utilities Act.
4000+9 (c-10) Equity accountability system. It is the purpose of
4001+10 this subsection (c-10) to create an equity accountability
4002+11 system, which includes the minimum equity standards for all
4003+12 renewable energy procurements, the equity category of the
4004+13 Adjustable Block Program, and the equity prioritization for
4005+14 noncompetitive procurements, that is successful in advancing
4006+15 priority access to the clean energy economy for businesses and
4007+16 workers from communities that have been excluded from economic
4008+17 opportunities in the energy sector, have been subject to
4009+18 disproportionate levels of pollution, and have
4010+19 disproportionately experienced negative public health
4011+20 outcomes. Further, it is the purpose of this subsection to
4012+21 ensure that this equity accountability system is successful in
4013+22 advancing equity across Illinois by providing access to the
4014+23 clean energy economy for businesses and workers from
4015+24 communities that have been historically excluded from economic
4016+25 opportunities in the energy sector, have been subject to
4017+26 disproportionate levels of pollution, and have
4018+
4019+
4020+
4021+
4022+
4023+ HB3445 Enrolled - 112 - LRB103 29599 AMQ 55994 b
4024+
4025+
4026+HB3445 Enrolled- 113 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 113 - LRB103 29599 AMQ 55994 b
4027+ HB3445 Enrolled - 113 - LRB103 29599 AMQ 55994 b
4028+1 disproportionately experienced negative public health
4029+2 outcomes.
4030+3 (1) Minimum equity standards. The Agency shall create
4031+4 programs with the purpose of increasing access to and
4032+5 development of equity eligible contractors, who are prime
4033+6 contractors and subcontractors, across all of the programs
4034+7 it manages. All applications for renewable energy credit
4035+8 procurements shall comply with specific minimum equity
4036+9 commitments. Starting in the delivery year immediately
4037+10 following the next long-term renewable resources
4038+11 procurement plan, at least 10% of the project workforce
4039+12 for each entity participating in a procurement program
4040+13 outlined in this subsection (c-10) must be done by equity
4041+14 eligible persons or equity eligible contractors. The
4042+15 Agency shall increase the minimum percentage each delivery
4043+16 year thereafter by increments that ensure a statewide
4044+17 average of 30% of the project workforce for each entity
4045+18 participating in a procurement program is done by equity
4046+19 eligible persons or equity eligible contractors by 2030.
4047+20 The Agency shall propose a schedule of percentage
4048+21 increases to the minimum equity standards in its draft
4049+22 revised renewable energy resources procurement plan
4050+23 submitted to the Commission for approval pursuant to
4051+24 paragraph (5) of subsection (b) of Section 16-111.5 of the
4052+25 Public Utilities Act. In determining these annual
4053+26 increases, the Agency shall have the discretion to
4054+
4055+
4056+
4057+
4058+
4059+ HB3445 Enrolled - 113 - LRB103 29599 AMQ 55994 b
4060+
4061+
4062+HB3445 Enrolled- 114 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 114 - LRB103 29599 AMQ 55994 b
4063+ HB3445 Enrolled - 114 - LRB103 29599 AMQ 55994 b
4064+1 establish different minimum equity standards for different
4065+2 types of procurements and different regions of the State
4066+3 if the Agency finds that doing so will further the
4067+4 purposes of this subsection (c-10). The proposed schedule
4068+5 of annual increases shall be revisited and updated on an
4069+6 annual basis. Revisions shall be developed with
4070+7 stakeholder input, including from equity eligible persons,
4071+8 equity eligible contractors, clean energy industry
4072+9 representatives, and community-based organizations that
4073+10 work with such persons and contractors.
4074+11 (A) At the start of each delivery year, the Agency
4075+12 shall require a compliance plan from each entity
4076+13 participating in a procurement program of subsection
4077+14 (c) of this Section that demonstrates how they will
4078+15 achieve compliance with the minimum equity standard
4079+16 percentage for work completed in that delivery year.
4080+17 If an entity applies for its approved vendor or
4081+18 designee status between delivery years, the Agency
4082+19 shall require a compliance plan at the time of
4083+20 application.
4084+21 (B) Halfway through each delivery year, the Agency
4085+22 shall require each entity participating in a
4086+23 procurement program to confirm that it will achieve
4087+24 compliance in that delivery year, when applicable. The
4088+25 Agency may offer corrective action plans to entities
4089+26 that are not on track to achieve compliance.
4090+
4091+
4092+
4093+
4094+
4095+ HB3445 Enrolled - 114 - LRB103 29599 AMQ 55994 b
4096+
4097+
4098+HB3445 Enrolled- 115 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 115 - LRB103 29599 AMQ 55994 b
4099+ HB3445 Enrolled - 115 - LRB103 29599 AMQ 55994 b
4100+1 (C) At the end of each delivery year, each entity
4101+2 participating and completing work in that delivery
4102+3 year in a procurement program of subsection (c) shall
4103+4 submit a report to the Agency that demonstrates how it
4104+5 achieved compliance with the minimum equity standards
4105+6 percentage for that delivery year.
4106+7 (D) The Agency shall prohibit participation in
4107+8 procurement programs by an approved vendor or
4108+9 designee, as applicable, or entities with which an
4109+10 approved vendor or designee, as applicable, shares a
4110+11 common parent company if an approved vendor or
4111+12 designee, as applicable, failed to meet the minimum
4112+13 equity standards for the prior delivery year. Waivers
4113+14 approved for lack of equity eligible persons or equity
4114+15 eligible contractors in a geographic area of a project
4115+16 shall not count against the approved vendor or
4116+17 designee. The Agency shall offer a corrective action
4117+18 plan for any such entities to assist them in obtaining
4118+19 compliance and shall allow continued access to
4119+20 procurement programs upon an approved vendor or
4120+21 designee demonstrating compliance.
4121+22 (E) The Agency shall pursue efficiencies achieved
4122+23 by combining with other approved vendor or designee
4123+24 reporting.
4124+25 (2) Equity accountability system within the Adjustable
4125+26 Block program. The equity category described in item (vi)
4126+
4127+
4128+
4129+
4130+
4131+ HB3445 Enrolled - 115 - LRB103 29599 AMQ 55994 b
4132+
4133+
4134+HB3445 Enrolled- 116 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 116 - LRB103 29599 AMQ 55994 b
4135+ HB3445 Enrolled - 116 - LRB103 29599 AMQ 55994 b
4136+1 of subparagraph (K) of subsection (c) is only available to
4137+2 applicants that are equity eligible contractors.
4138+3 (3) Equity accountability system within competitive
4139+4 procurements. Through its long-term renewable resources
4140+5 procurement plan, the Agency shall develop requirements
4141+6 for ensuring that competitive procurement processes,
4142+7 including utility-scale solar, utility-scale wind, and
4143+8 brownfield site photovoltaic projects, advance the equity
4144+9 goals of this subsection (c-10). Subject to Commission
4145+10 approval, the Agency shall develop bid application
4146+11 requirements and a bid evaluation methodology for ensuring
4147+12 that utilization of equity eligible contractors, whether
4148+13 as bidders or as participants on project development, is
4149+14 optimized, including requiring that winning or successful
4150+15 applicants for utility-scale projects are or will partner
4151+16 with equity eligible contractors and giving preference to
4152+17 bids through which a higher portion of contract value
4153+18 flows to equity eligible contractors. To the extent
4154+19 practicable, entities participating in competitive
4155+20 procurements shall also be required to meet all the equity
4156+21 accountability requirements for approved vendors and their
4157+22 designees under this subsection (c-10). In developing
4158+23 these requirements, the Agency shall also consider whether
4159+24 equity goals can be further advanced through additional
4160+25 measures.
4161+26 (4) In the first revision to the long-term renewable
4162+
4163+
4164+
4165+
4166+
4167+ HB3445 Enrolled - 116 - LRB103 29599 AMQ 55994 b
4168+
4169+
4170+HB3445 Enrolled- 117 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 117 - LRB103 29599 AMQ 55994 b
4171+ HB3445 Enrolled - 117 - LRB103 29599 AMQ 55994 b
4172+1 energy resources procurement plan and each revision
4173+2 thereafter, the Agency shall include the following:
4174+3 (A) The current status and number of equity
4175+4 eligible contractors listed in the Energy Workforce
4176+5 Equity Database designed in subsection (c-25),
4177+6 including the number of equity eligible contractors
4178+7 with current certifications as issued by the Agency.
4179+8 (B) A mechanism for measuring, tracking, and
4180+9 reporting project workforce at the approved vendor or
4181+10 designee level, as applicable, which shall include a
4182+11 measurement methodology and records to be made
4183+12 available for audit by the Agency or the Program
4184+13 Administrator.
4185+14 (C) A program for approved vendors, designees,
4186+15 eligible persons, and equity eligible contractors to
4187+16 receive trainings, guidance, and other support from
4188+17 the Agency or its designee regarding the equity
4189+18 category outlined in item (vi) of subparagraph (K) of
4190+19 paragraph (1) of subsection (c) and in meeting the
4191+20 minimum equity standards of this subsection (c-10).
4192+21 (D) A process for certifying equity eligible
4193+22 contractors and equity eligible persons. The
4194+23 certification process shall coordinate with the Energy
4195+24 Workforce Equity Database set forth in subsection
4196+25 (c-25).
4197+26 (E) An application for waiver of the minimum
4198+
4199+
4200+
4201+
4202+
4203+ HB3445 Enrolled - 117 - LRB103 29599 AMQ 55994 b
4204+
4205+
4206+HB3445 Enrolled- 118 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 118 - LRB103 29599 AMQ 55994 b
4207+ HB3445 Enrolled - 118 - LRB103 29599 AMQ 55994 b
4208+1 equity standards of this subsection, which the Agency
4209+2 shall have the discretion to grant in rare
4210+3 circumstances. The Agency may grant such a waiver
4211+4 where the applicant provides evidence of significant
4212+5 efforts toward meeting the minimum equity commitment,
4213+6 including: use of the Energy Workforce Equity
4214+7 Database; efforts to hire or contract with entities
4215+8 that hire eligible persons; and efforts to establish
4216+9 contracting relationships with eligible contractors.
4217+10 The Agency shall support applicants in understanding
4218+11 the Energy Workforce Equity Database and other
4219+12 resources for pursuing compliance of the minimum
4220+13 equity standards. Waivers shall be project-specific,
4221+14 unless the Agency deems it necessary to grant a waiver
4222+15 across a portfolio of projects, and in effect for no
4223+16 longer than one year. Any waiver extension or
4224+17 subsequent waiver request from an applicant shall be
4225+18 subject to the requirements of this Section and shall
4226+19 specify efforts made to reach compliance. When
4227+20 considering whether to grant a waiver, and to what
4228+21 extent, the Agency shall consider the degree to which
4229+22 similarly situated applicants have been able to meet
4230+23 these minimum equity commitments. For repeated waiver
4231+24 requests for specific lack of eligible persons or
4232+25 eligible contractors available, the Agency shall make
4233+26 recommendations to target recruitment to add such
4234+
4235+
4236+
4237+
4238+
4239+ HB3445 Enrolled - 118 - LRB103 29599 AMQ 55994 b
4240+
4241+
4242+HB3445 Enrolled- 119 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 119 - LRB103 29599 AMQ 55994 b
4243+ HB3445 Enrolled - 119 - LRB103 29599 AMQ 55994 b
4244+1 eligible persons or eligible contractors to the
4245+2 database.
4246+3 (5) The Agency shall collect information about work on
4247+4 projects or portfolios of projects subject to these
4248+5 minimum equity standards to ensure compliance with this
4249+6 subsection (c-10). Reporting in furtherance of this
4250+7 requirement may be combined with other annual reporting
4251+8 requirements. Such reporting shall include proof of
4252+9 certification of each equity eligible contractor or equity
4253+10 eligible person during the applicable time period.
4254+11 (6) The Agency shall keep confidential all information
4255+12 and communication that provides private or personal
4256+13 information.
4257+14 (7) Modifications to the equity accountability system.
4258+15 As part of the update of the long-term renewable resources
4259+16 procurement plan to be initiated in 2023, or sooner if the
4260+17 Agency deems necessary, the Agency shall determine the
4261+18 extent to which the equity accountability system described
4262+19 in this subsection (c-10) has advanced the goals of this
4263+20 amendatory Act of the 102nd General Assembly, including
4264+21 through the inclusion of equity eligible persons and
4265+22 equity eligible contractors in renewable energy credit
4266+23 projects. If the Agency finds that the equity
4267+24 accountability system has failed to meet those goals to
4268+25 its fullest potential, the Agency may revise the following
4269+26 criteria for future Agency procurements: (A) the
4270+
4271+
4272+
4273+
4274+
4275+ HB3445 Enrolled - 119 - LRB103 29599 AMQ 55994 b
4276+
4277+
4278+HB3445 Enrolled- 120 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 120 - LRB103 29599 AMQ 55994 b
4279+ HB3445 Enrolled - 120 - LRB103 29599 AMQ 55994 b
4280+1 percentage of project workforce, or other appropriate
4281+2 workforce measure, certified as equity eligible persons or
4282+3 equity eligible contractors; (B) definitions for equity
4283+4 investment eligible persons and equity investment eligible
4284+5 community; and (C) such other modifications necessary to
4285+6 advance the goals of this amendatory Act of the 102nd
4286+7 General Assembly effectively. Such revised criteria may
4287+8 also establish distinct equity accountability systems for
4288+9 different types of procurements or different regions of
4289+10 the State if the Agency finds that doing so will further
4290+11 the purposes of such programs. Revisions shall be
4291+12 developed with stakeholder input, including from equity
4292+13 eligible persons, equity eligible contractors, and
4293+14 community-based organizations that work with such persons
4294+15 and contractors.
4295+16 (c-15) Racial discrimination elimination powers and
4296+17 process.
4297+18 (1) Purpose. It is the purpose of this subsection to
4298+19 empower the Agency and other State actors to remedy racial
4299+20 discrimination in Illinois' clean energy economy as
4300+21 effectively and expediently as possible, including through
4301+22 the use of race-conscious remedies, such as race-conscious
4302+23 contracting and hiring goals, as consistent with State and
4303+24 federal law.
4304+25 (2) Racial disparity and discrimination review
4305+26 process.
4306+
4307+
4308+
4309+
4310+
4311+ HB3445 Enrolled - 120 - LRB103 29599 AMQ 55994 b
4312+
4313+
4314+HB3445 Enrolled- 121 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 121 - LRB103 29599 AMQ 55994 b
4315+ HB3445 Enrolled - 121 - LRB103 29599 AMQ 55994 b
4316+1 (A) Within one year after awarding contracts using
4317+2 the equity actions processes established in this
4318+3 Section, the Agency shall publish a report evaluating
4319+4 the effectiveness of the equity actions point criteria
4320+5 of this Section in increasing participation of equity
4321+6 eligible persons and equity eligible contractors. The
4322+7 report shall disaggregate participating workers and
4323+8 contractors by race and ethnicity. The report shall be
4324+9 forwarded to the Governor, the General Assembly, and
4325+10 the Illinois Commerce Commission and be made available
4326+11 to the public.
4327+12 (B) As soon as is practicable thereafter, the
4328+13 Agency, in consultation with the Department of
4329+14 Commerce and Economic Opportunity, Department of
4330+15 Labor, and other agencies that may be relevant, shall
4331+16 commission and publish a disparity and availability
4332+17 study that measures the presence and impact of
4333+18 discrimination on minority businesses and workers in
4334+19 Illinois' clean energy economy. The Agency may hire
4335+20 consultants and experts to conduct the disparity and
4336+21 availability study, with the retention of those
4337+22 consultants and experts exempt from the requirements
4338+23 of Section 20-10 of the Illinois Procurement Code. The
4339+24 Illinois Power Agency shall forward a copy of its
4340+25 findings and recommendations to the Governor, the
4341+26 General Assembly, and the Illinois Commerce
4342+
4343+
4344+
4345+
4346+
4347+ HB3445 Enrolled - 121 - LRB103 29599 AMQ 55994 b
4348+
4349+
4350+HB3445 Enrolled- 122 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 122 - LRB103 29599 AMQ 55994 b
4351+ HB3445 Enrolled - 122 - LRB103 29599 AMQ 55994 b
4352+1 Commission. If the disparity and availability study
4353+2 establishes a strong basis in evidence that there is
4354+3 discrimination in Illinois' clean energy economy, the
4355+4 Agency, Department of Commerce and Economic
4356+5 Opportunity, Department of Labor, Department of
4357+6 Corrections, and other appropriate agencies shall take
4358+7 appropriate remedial actions, including race-conscious
4359+8 remedial actions as consistent with State and federal
4360+9 law, to effectively remedy this discrimination. Such
4361+10 remedies may include modification of the equity
4362+11 accountability system as described in subsection
4363+12 (c-10).
4364+13 (c-20) Program data collection.
4365+14 (1) Purpose. Data collection, data analysis, and
4366+15 reporting are critical to ensure that the benefits of the
4367+16 clean energy economy provided to Illinois residents and
4368+17 businesses are equitably distributed across the State. The
4369+18 Agency shall collect data from program applicants in order
4370+19 to track and improve equitable distribution of benefits
4371+20 across Illinois communities for all procurements the
4372+21 Agency conducts. The Agency shall use this data to, among
4373+22 other things, measure any potential impact of racial
4374+23 discrimination on the distribution of benefits and provide
4375+24 information necessary to correct any discrimination
4376+25 through methods consistent with State and federal law.
4377+26 (2) Agency collection of program data. The Agency
4378+
4379+
4380+
4381+
4382+
4383+ HB3445 Enrolled - 122 - LRB103 29599 AMQ 55994 b
4384+
4385+
4386+HB3445 Enrolled- 123 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 123 - LRB103 29599 AMQ 55994 b
4387+ HB3445 Enrolled - 123 - LRB103 29599 AMQ 55994 b
4388+1 shall collect demographic and geographic data for each
4389+2 entity awarded contracts under any Agency-administered
4390+3 program.
4391+4 (3) Required information to be collected. The Agency
4392+5 shall collect the following information from applicants
4393+6 and program participants where applicable:
4394+7 (A) demographic information, including racial or
4395+8 ethnic identity for real persons employed, contracted,
4396+9 or subcontracted through the program and owners of
4397+10 businesses or entities that apply to receive renewable
4398+11 energy credits from the Agency;
4399+12 (B) geographic location of the residency of real
4400+13 persons employed, contracted, or subcontracted through
4401+14 the program and geographic location of the
4402+15 headquarters of the business or entity that applies to
4403+16 receive renewable energy credits from the Agency; and
4404+17 (C) any other information the Agency determines is
4405+18 necessary for the purpose of achieving the purpose of
4406+19 this subsection.
4407+20 (4) Publication of collected information. The Agency
4408+21 shall publish, at least annually, information on the
4409+22 demographics of program participants on an aggregate
4410+23 basis.
4411+24 (5) Nothing in this subsection shall be interpreted to
4412+25 limit the authority of the Agency, or other agency or
4413+26 department of the State, to require or collect demographic
4414+
4415+
4416+
4417+
4418+
4419+ HB3445 Enrolled - 123 - LRB103 29599 AMQ 55994 b
4420+
4421+
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4423+ HB3445 Enrolled - 124 - LRB103 29599 AMQ 55994 b
4424+1 information from applicants of other State programs.
4425+2 (c-25) Energy Workforce Equity Database.
4426+3 (1) The Agency, in consultation with the Department of
4427+4 Commerce and Economic Opportunity, shall create an Energy
4428+5 Workforce Equity Database, and may contract with a third
4429+6 party to do so ("database program administrator"). If the
4430+7 Department decides to contract with a third party, that
4431+8 third party shall be exempt from the requirements of
4432+9 Section 20-10 of the Illinois Procurement Code. The Energy
4433+10 Workforce Equity Database shall be a searchable database
4434+11 of suppliers, vendors, and subcontractors for clean energy
4435+12 industries that is:
4436+13 (A) publicly accessible;
4437+14 (B) easy for people to find and use;
4438+15 (C) organized by company specialty or field;
4439+16 (D) region-specific; and
4440+17 (E) populated with information including, but not
4441+18 limited to, contacts for suppliers, vendors, or
4442+19 subcontractors who are minority and women-owned
4443+20 business enterprise certified or who participate or
4444+21 have participated in any of the programs described in
4445+22 this Act.
4446+23 (2) The Agency shall create an easily accessible,
4447+24 public facing online tool using the database information
4448+25 that includes, at a minimum, the following:
4449+26 (A) a map of environmental justice and equity
4450+
4451+
4452+
4453+
4454+
4455+ HB3445 Enrolled - 124 - LRB103 29599 AMQ 55994 b
4456+
4457+
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4459+ HB3445 Enrolled - 125 - LRB103 29599 AMQ 55994 b
4460+1 investment eligible communities;
4461+2 (B) job postings and recruiting opportunities;
4462+3 (C) a means by which recruiting clean energy
4463+4 companies can find and interact with current or former
4464+5 participants of clean energy workforce training
4465+6 programs;
4466+7 (D) information on workforce training service
4467+8 providers and training opportunities available to
4468+9 prospective workers;
4469+10 (E) renewable energy company diversity reporting;
4470+11 (F) a list of equity eligible contractors with
4471+12 their contact information, types of work performed,
4472+13 and locations worked in;
4473+14 (G) reporting on outcomes of the programs
4474+15 described in the workforce programs of the Energy
4475+16 Transition Act, including information such as, but not
4476+17 limited to, retention rate, graduation rate, and
4477+18 placement rates of trainees; and
4478+19 (H) information about the Jobs and Environmental
4479+20 Justice Grant Program, the Clean Energy Jobs and
4480+21 Justice Fund, and other sources of capital.
4481+22 (3) The Agency shall ensure the database is regularly
4482+23 updated to ensure information is current and shall
4483+24 coordinate with the Department of Commerce and Economic
4484+25 Opportunity to ensure that it includes information on
4485+26 individuals and entities that are or have participated in
4486+
4487+
4488+
4489+
4490+
4491+ HB3445 Enrolled - 125 - LRB103 29599 AMQ 55994 b
4492+
4493+
4494+HB3445 Enrolled- 126 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 126 - LRB103 29599 AMQ 55994 b
4495+ HB3445 Enrolled - 126 - LRB103 29599 AMQ 55994 b
4496+1 the Clean Jobs Workforce Network Program, Clean Energy
4497+2 Contractor Incubator Program, Returning Residents Clean
4498+3 Jobs Training Program, or Clean Energy Primes Contractor
4499+4 Accelerator Program.
4500+5 (c-30) Enforcement of minimum equity standards. All
4501+6 entities seeking renewable energy credits must submit an
4502+7 annual report to demonstrate compliance with each of the
4503+8 equity commitments required under subsection (c-10). If the
4504+9 Agency concludes the entity has not met or maintained its
4505+10 minimum equity standards required under the applicable
4506+11 subparagraphs under subsection (c-10), the Agency shall deny
4507+12 the entity's ability to participate in procurement programs in
4508+13 subsection (c), including by withholding approved vendor or
4509+14 designee status. The Agency may require the entity to enter
4510+15 into a corrective action plan. An entity that is not
4511+16 recertified for failing to meet required equity actions in
4512+17 subparagraph (c-10) may reapply once they have a corrective
4513+18 action plan and achieve compliance with the minimum equity
4514+19 standards.
4515+20 (d) Clean coal portfolio standard.
4516+21 (1) The procurement plans shall include electricity
4517+22 generated using clean coal. Each utility shall enter into
4518+23 one or more sourcing agreements with the initial clean
4519+24 coal facility, as provided in paragraph (3) of this
4520+25 subsection (d), covering electricity generated by the
4521+26 initial clean coal facility representing at least 5% of
4522+
4523+
4524+
4525+
4526+
4527+ HB3445 Enrolled - 126 - LRB103 29599 AMQ 55994 b
4528+
4529+
4530+HB3445 Enrolled- 127 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 127 - LRB103 29599 AMQ 55994 b
4531+ HB3445 Enrolled - 127 - LRB103 29599 AMQ 55994 b
4532+1 each utility's total supply to serve the load of eligible
4533+2 retail customers in 2015 and each year thereafter, as
4534+3 described in paragraph (3) of this subsection (d), subject
4535+4 to the limits specified in paragraph (2) of this
4536+5 subsection (d). It is the goal of the State that by January
4537+6 1, 2025, 25% of the electricity used in the State shall be
4538+7 generated by cost-effective clean coal facilities. For
4539+8 purposes of this subsection (d), "cost-effective" means
4540+9 that the expenditures pursuant to such sourcing agreements
4541+10 do not cause the limit stated in paragraph (2) of this
4542+11 subsection (d) to be exceeded and do not exceed cost-based
4543+12 benchmarks, which shall be developed to assess all
4544+13 expenditures pursuant to such sourcing agreements covering
4545+14 electricity generated by clean coal facilities, other than
4546+15 the initial clean coal facility, by the procurement
4547+16 administrator, in consultation with the Commission staff,
4548+17 Agency staff, and the procurement monitor and shall be
4549+18 subject to Commission review and approval.
4550+19 A utility party to a sourcing agreement shall
4551+20 immediately retire any emission credits that it receives
4552+21 in connection with the electricity covered by such
4553+22 agreement.
4554+23 Utilities shall maintain adequate records documenting
4555+24 the purchases under the sourcing agreement to comply with
4556+25 this subsection (d) and shall file an accounting with the
4557+26 load forecast that must be filed with the Agency by July 15
4558+
4559+
4560+
4561+
4562+
4563+ HB3445 Enrolled - 127 - LRB103 29599 AMQ 55994 b
4564+
4565+
4566+HB3445 Enrolled- 128 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 128 - LRB103 29599 AMQ 55994 b
4567+ HB3445 Enrolled - 128 - LRB103 29599 AMQ 55994 b
4568+1 of each year, in accordance with subsection (d) of Section
4569+2 16-111.5 of the Public Utilities Act.
4570+3 A utility shall be deemed to have complied with the
4571+4 clean coal portfolio standard specified in this subsection
4572+5 (d) if the utility enters into a sourcing agreement as
4573+6 required by this subsection (d).
4574+7 (2) For purposes of this subsection (d), the required
4575+8 execution of sourcing agreements with the initial clean
4576+9 coal facility for a particular year shall be measured as a
4577+10 percentage of the actual amount of electricity
4578+11 (megawatt-hours) supplied by the electric utility to
4579+12 eligible retail customers in the planning year ending
4580+13 immediately prior to the agreement's execution. For
4581+14 purposes of this subsection (d), the amount paid per
4582+15 kilowatthour means the total amount paid for electric
4583+16 service expressed on a per kilowatthour basis. For
4584+17 purposes of this subsection (d), the total amount paid for
4585+18 electric service includes without limitation amounts paid
4586+19 for supply, transmission, distribution, surcharges and
4587+20 add-on taxes.
4588+21 Notwithstanding the requirements of this subsection
4589+22 (d), the total amount paid under sourcing agreements with
4590+23 clean coal facilities pursuant to the procurement plan for
4591+24 any given year shall be reduced by an amount necessary to
4592+25 limit the annual estimated average net increase due to the
4593+26 costs of these resources included in the amounts paid by
4594+
4595+
4596+
4597+
4598+
4599+ HB3445 Enrolled - 128 - LRB103 29599 AMQ 55994 b
4600+
4601+
4602+HB3445 Enrolled- 129 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 129 - LRB103 29599 AMQ 55994 b
4603+ HB3445 Enrolled - 129 - LRB103 29599 AMQ 55994 b
4604+1 eligible retail customers in connection with electric
4605+2 service to:
4606+3 (A) in 2010, no more than 0.5% of the amount paid
4607+4 per kilowatthour by those customers during the year
4608+5 ending May 31, 2009;
4609+6 (B) in 2011, the greater of an additional 0.5% of
4610+7 the amount paid per kilowatthour by those customers
4611+8 during the year ending May 31, 2010 or 1% of the amount
4612+9 paid per kilowatthour by those customers during the
4613+10 year ending May 31, 2009;
4614+11 (C) in 2012, the greater of an additional 0.5% of
4615+12 the amount paid per kilowatthour by those customers
4616+13 during the year ending May 31, 2011 or 1.5% of the
4617+14 amount paid per kilowatthour by those customers during
4618+15 the year ending May 31, 2009;
4619+16 (D) in 2013, the greater of an additional 0.5% of
4620+17 the amount paid per kilowatthour by those customers
4621+18 during the year ending May 31, 2012 or 2% of the amount
4622+19 paid per kilowatthour by those customers during the
4623+20 year ending May 31, 2009; and
4624+21 (E) thereafter, the total amount paid under
4625+22 sourcing agreements with clean coal facilities
4626+23 pursuant to the procurement plan for any single year
4627+24 shall be reduced by an amount necessary to limit the
4628+25 estimated average net increase due to the cost of
4629+26 these resources included in the amounts paid by
4630+
4631+
4632+
4633+
4634+
4635+ HB3445 Enrolled - 129 - LRB103 29599 AMQ 55994 b
4636+
4637+
4638+HB3445 Enrolled- 130 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 130 - LRB103 29599 AMQ 55994 b
4639+ HB3445 Enrolled - 130 - LRB103 29599 AMQ 55994 b
4640+1 eligible retail customers in connection with electric
4641+2 service to no more than the greater of (i) 2.015% of
4642+3 the amount paid per kilowatthour by those customers
4643+4 during the year ending May 31, 2009 or (ii) the
4644+5 incremental amount per kilowatthour paid for these
4645+6 resources in 2013. These requirements may be altered
4646+7 only as provided by statute.
4647+8 No later than June 30, 2015, the Commission shall
4648+9 review the limitation on the total amount paid under
4649+10 sourcing agreements, if any, with clean coal facilities
4650+11 pursuant to this subsection (d) and report to the General
4651+12 Assembly its findings as to whether that limitation unduly
4652+13 constrains the amount of electricity generated by
4653+14 cost-effective clean coal facilities that is covered by
4654+15 sourcing agreements.
4655+16 (3) Initial clean coal facility. In order to promote
4656+17 development of clean coal facilities in Illinois, each
4657+18 electric utility subject to this Section shall execute a
4658+19 sourcing agreement to source electricity from a proposed
4659+20 clean coal facility in Illinois (the "initial clean coal
4660+21 facility") that will have a nameplate capacity of at least
4661+22 500 MW when commercial operation commences, that has a
4662+23 final Clean Air Act permit on June 1, 2009 (the effective
4663+24 date of Public Act 95-1027), and that will meet the
4664+25 definition of clean coal facility in Section 1-10 of this
4665+26 Act when commercial operation commences. The sourcing
4666+
4667+
4668+
4669+
4670+
4671+ HB3445 Enrolled - 130 - LRB103 29599 AMQ 55994 b
4672+
4673+
4674+HB3445 Enrolled- 131 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 131 - LRB103 29599 AMQ 55994 b
4675+ HB3445 Enrolled - 131 - LRB103 29599 AMQ 55994 b
4676+1 agreements with this initial clean coal facility shall be
4677+2 subject to both approval of the initial clean coal
4678+3 facility by the General Assembly and satisfaction of the
4679+4 requirements of paragraph (4) of this subsection (d) and
4680+5 shall be executed within 90 days after any such approval
4681+6 by the General Assembly. The Agency and the Commission
4682+7 shall have authority to inspect all books and records
4683+8 associated with the initial clean coal facility during the
4684+9 term of such a sourcing agreement. A utility's sourcing
4685+10 agreement for electricity produced by the initial clean
4686+11 coal facility shall include:
4687+12 (A) a formula contractual price (the "contract
4688+13 price") approved pursuant to paragraph (4) of this
4689+14 subsection (d), which shall:
4690+15 (i) be determined using a cost of service
4691+16 methodology employing either a level or deferred
4692+17 capital recovery component, based on a capital
4693+18 structure consisting of 45% equity and 55% debt,
4694+19 and a return on equity as may be approved by the
4695+20 Federal Energy Regulatory Commission, which in any
4696+21 case may not exceed the lower of 11.5% or the rate
4697+22 of return approved by the General Assembly
4698+23 pursuant to paragraph (4) of this subsection (d);
4699+24 and
4700+25 (ii) provide that all miscellaneous net
4701+26 revenue, including but not limited to net revenue
4702+
4703+
4704+
4705+
4706+
4707+ HB3445 Enrolled - 131 - LRB103 29599 AMQ 55994 b
4708+
4709+
4710+HB3445 Enrolled- 132 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 132 - LRB103 29599 AMQ 55994 b
4711+ HB3445 Enrolled - 132 - LRB103 29599 AMQ 55994 b
4712+1 from the sale of emission allowances, if any,
4713+2 substitute natural gas, if any, grants or other
4714+3 support provided by the State of Illinois or the
4715+4 United States Government, firm transmission
4716+5 rights, if any, by-products produced by the
4717+6 facility, energy or capacity derived from the
4718+7 facility and not covered by a sourcing agreement
4719+8 pursuant to paragraph (3) of this subsection (d)
4720+9 or item (5) of subsection (d) of Section 16-115 of
4721+10 the Public Utilities Act, whether generated from
4722+11 the synthesis gas derived from coal, from SNG, or
4723+12 from natural gas, shall be credited against the
4724+13 revenue requirement for this initial clean coal
4725+14 facility;
4726+15 (B) power purchase provisions, which shall:
4727+16 (i) provide that the utility party to such
4728+17 sourcing agreement shall pay the contract price
4729+18 for electricity delivered under such sourcing
4730+19 agreement;
4731+20 (ii) require delivery of electricity to the
4732+21 regional transmission organization market of the
4733+22 utility that is party to such sourcing agreement;
4734+23 (iii) require the utility party to such
4735+24 sourcing agreement to buy from the initial clean
4736+25 coal facility in each hour an amount of energy
4737+26 equal to all clean coal energy made available from
4738+
4739+
4740+
4741+
4742+
4743+ HB3445 Enrolled - 132 - LRB103 29599 AMQ 55994 b
4744+
4745+
4746+HB3445 Enrolled- 133 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 133 - LRB103 29599 AMQ 55994 b
4747+ HB3445 Enrolled - 133 - LRB103 29599 AMQ 55994 b
4748+1 the initial clean coal facility during such hour
4749+2 times a fraction, the numerator of which is such
4750+3 utility's retail market sales of electricity
4751+4 (expressed in kilowatthours sold) in the State
4752+5 during the prior calendar month and the
4753+6 denominator of which is the total retail market
4754+7 sales of electricity (expressed in kilowatthours
4755+8 sold) in the State by utilities during such prior
4756+9 month and the sales of electricity (expressed in
4757+10 kilowatthours sold) in the State by alternative
4758+11 retail electric suppliers during such prior month
4759+12 that are subject to the requirements of this
4760+13 subsection (d) and paragraph (5) of subsection (d)
4761+14 of Section 16-115 of the Public Utilities Act,
4762+15 provided that the amount purchased by the utility
4763+16 in any year will be limited by paragraph (2) of
4764+17 this subsection (d); and
4765+18 (iv) be considered pre-existing contracts in
4766+19 such utility's procurement plans for eligible
4767+20 retail customers;
4768+21 (C) contract for differences provisions, which
4769+22 shall:
4770+23 (i) require the utility party to such sourcing
4771+24 agreement to contract with the initial clean coal
4772+25 facility in each hour with respect to an amount of
4773+26 energy equal to all clean coal energy made
4774+
4775+
4776+
4777+
4778+
4779+ HB3445 Enrolled - 133 - LRB103 29599 AMQ 55994 b
4780+
4781+
4782+HB3445 Enrolled- 134 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 134 - LRB103 29599 AMQ 55994 b
4783+ HB3445 Enrolled - 134 - LRB103 29599 AMQ 55994 b
4784+1 available from the initial clean coal facility
4785+2 during such hour times a fraction, the numerator
4786+3 of which is such utility's retail market sales of
4787+4 electricity (expressed in kilowatthours sold) in
4788+5 the utility's service territory in the State
4789+6 during the prior calendar month and the
4790+7 denominator of which is the total retail market
4791+8 sales of electricity (expressed in kilowatthours
4792+9 sold) in the State by utilities during such prior
4793+10 month and the sales of electricity (expressed in
4794+11 kilowatthours sold) in the State by alternative
4795+12 retail electric suppliers during such prior month
4796+13 that are subject to the requirements of this
4797+14 subsection (d) and paragraph (5) of subsection (d)
4798+15 of Section 16-115 of the Public Utilities Act,
4799+16 provided that the amount paid by the utility in
4800+17 any year will be limited by paragraph (2) of this
4801+18 subsection (d);
4802+19 (ii) provide that the utility's payment
4803+20 obligation in respect of the quantity of
4804+21 electricity determined pursuant to the preceding
4805+22 clause (i) shall be limited to an amount equal to
4806+23 (1) the difference between the contract price
4807+24 determined pursuant to subparagraph (A) of
4808+25 paragraph (3) of this subsection (d) and the
4809+26 day-ahead price for electricity delivered to the
4810+
4811+
4812+
4813+
4814+
4815+ HB3445 Enrolled - 134 - LRB103 29599 AMQ 55994 b
4816+
4817+
4818+HB3445 Enrolled- 135 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 135 - LRB103 29599 AMQ 55994 b
4819+ HB3445 Enrolled - 135 - LRB103 29599 AMQ 55994 b
4820+1 regional transmission organization market of the
4821+2 utility that is party to such sourcing agreement
4822+3 (or any successor delivery point at which such
4823+4 utility's supply obligations are financially
4824+5 settled on an hourly basis) (the "reference
4825+6 price") on the day preceding the day on which the
4826+7 electricity is delivered to the initial clean coal
4827+8 facility busbar, multiplied by (2) the quantity of
4828+9 electricity determined pursuant to the preceding
4829+10 clause (i); and
4830+11 (iii) not require the utility to take physical
4831+12 delivery of the electricity produced by the
4832+13 facility;
4833+14 (D) general provisions, which shall:
4834+15 (i) specify a term of no more than 30 years,
4835+16 commencing on the commercial operation date of the
4836+17 facility;
4837+18 (ii) provide that utilities shall maintain
4838+19 adequate records documenting purchases under the
4839+20 sourcing agreements entered into to comply with
4840+21 this subsection (d) and shall file an accounting
4841+22 with the load forecast that must be filed with the
4842+23 Agency by July 15 of each year, in accordance with
4843+24 subsection (d) of Section 16-111.5 of the Public
4844+25 Utilities Act;
4845+26 (iii) provide that all costs associated with
4846+
4847+
4848+
4849+
4850+
4851+ HB3445 Enrolled - 135 - LRB103 29599 AMQ 55994 b
4852+
4853+
4854+HB3445 Enrolled- 136 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 136 - LRB103 29599 AMQ 55994 b
4855+ HB3445 Enrolled - 136 - LRB103 29599 AMQ 55994 b
4856+1 the initial clean coal facility will be
4857+2 periodically reported to the Federal Energy
4858+3 Regulatory Commission and to purchasers in
4859+4 accordance with applicable laws governing
4860+5 cost-based wholesale power contracts;
4861+6 (iv) permit the Illinois Power Agency to
4862+7 assume ownership of the initial clean coal
4863+8 facility, without monetary consideration and
4864+9 otherwise on reasonable terms acceptable to the
4865+10 Agency, if the Agency so requests no less than 3
4866+11 years prior to the end of the stated contract
4867+12 term;
4868+13 (v) require the owner of the initial clean
4869+14 coal facility to provide documentation to the
4870+15 Commission each year, starting in the facility's
4871+16 first year of commercial operation, accurately
4872+17 reporting the quantity of carbon emissions from
4873+18 the facility that have been captured and
4874+19 sequestered and report any quantities of carbon
4875+20 released from the site or sites at which carbon
4876+21 emissions were sequestered in prior years, based
4877+22 on continuous monitoring of such sites. If, in any
4878+23 year after the first year of commercial operation,
4879+24 the owner of the facility fails to demonstrate
4880+25 that the initial clean coal facility captured and
4881+26 sequestered at least 50% of the total carbon
4882+
4883+
4884+
4885+
4886+
4887+ HB3445 Enrolled - 136 - LRB103 29599 AMQ 55994 b
4888+
4889+
4890+HB3445 Enrolled- 137 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 137 - LRB103 29599 AMQ 55994 b
4891+ HB3445 Enrolled - 137 - LRB103 29599 AMQ 55994 b
4892+1 emissions that the facility would otherwise emit
4893+2 or that sequestration of emissions from prior
4894+3 years has failed, resulting in the release of
4895+4 carbon dioxide into the atmosphere, the owner of
4896+5 the facility must offset excess emissions. Any
4897+6 such carbon offsets must be permanent, additional,
4898+7 verifiable, real, located within the State of
4899+8 Illinois, and legally and practicably enforceable.
4900+9 The cost of such offsets for the facility that are
4901+10 not recoverable shall not exceed $15 million in
4902+11 any given year. No costs of any such purchases of
4903+12 carbon offsets may be recovered from a utility or
4904+13 its customers. All carbon offsets purchased for
4905+14 this purpose and any carbon emission credits
4906+15 associated with sequestration of carbon from the
4907+16 facility must be permanently retired. The initial
4908+17 clean coal facility shall not forfeit its
4909+18 designation as a clean coal facility if the
4910+19 facility fails to fully comply with the applicable
4911+20 carbon sequestration requirements in any given
4912+21 year, provided the requisite offsets are
4913+22 purchased. However, the Attorney General, on
4914+23 behalf of the People of the State of Illinois, may
4915+24 specifically enforce the facility's sequestration
4916+25 requirement and the other terms of this contract
4917+26 provision. Compliance with the sequestration
4918+
4919+
4920+
4921+
4922+
4923+ HB3445 Enrolled - 137 - LRB103 29599 AMQ 55994 b
4924+
4925+
4926+HB3445 Enrolled- 138 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 138 - LRB103 29599 AMQ 55994 b
4927+ HB3445 Enrolled - 138 - LRB103 29599 AMQ 55994 b
4928+1 requirements and offset purchase requirements
4929+2 specified in paragraph (3) of this subsection (d)
4930+3 shall be reviewed annually by an independent
4931+4 expert retained by the owner of the initial clean
4932+5 coal facility, with the advance written approval
4933+6 of the Attorney General. The Commission may, in
4934+7 the course of the review specified in item (vii),
4935+8 reduce the allowable return on equity for the
4936+9 facility if the facility willfully fails to comply
4937+10 with the carbon capture and sequestration
4938+11 requirements set forth in this item (v);
4939+12 (vi) include limits on, and accordingly
4940+13 provide for modification of, the amount the
4941+14 utility is required to source under the sourcing
4942+15 agreement consistent with paragraph (2) of this
4943+16 subsection (d);
4944+17 (vii) require Commission review: (1) to
4945+18 determine the justness, reasonableness, and
4946+19 prudence of the inputs to the formula referenced
4947+20 in subparagraphs (A)(i) through (A)(iii) of
4948+21 paragraph (3) of this subsection (d), prior to an
4949+22 adjustment in those inputs including, without
4950+23 limitation, the capital structure and return on
4951+24 equity, fuel costs, and other operations and
4952+25 maintenance costs and (2) to approve the costs to
4953+26 be passed through to customers under the sourcing
4954+
4955+
4956+
4957+
4958+
4959+ HB3445 Enrolled - 138 - LRB103 29599 AMQ 55994 b
4960+
4961+
4962+HB3445 Enrolled- 139 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 139 - LRB103 29599 AMQ 55994 b
4963+ HB3445 Enrolled - 139 - LRB103 29599 AMQ 55994 b
4964+1 agreement by which the utility satisfies its
4965+2 statutory obligations. Commission review shall
4966+3 occur no less than every 3 years, regardless of
4967+4 whether any adjustments have been proposed, and
4968+5 shall be completed within 9 months;
4969+6 (viii) limit the utility's obligation to such
4970+7 amount as the utility is allowed to recover
4971+8 through tariffs filed with the Commission,
4972+9 provided that neither the clean coal facility nor
4973+10 the utility waives any right to assert federal
4974+11 pre-emption or any other argument in response to a
4975+12 purported disallowance of recovery costs;
4976+13 (ix) limit the utility's or alternative retail
4977+14 electric supplier's obligation to incur any
4978+15 liability until such time as the facility is in
4979+16 commercial operation and generating power and
4980+17 energy and such power and energy is being
4981+18 delivered to the facility busbar;
4982+19 (x) provide that the owner or owners of the
4983+20 initial clean coal facility, which is the
4984+21 counterparty to such sourcing agreement, shall
4985+22 have the right from time to time to elect whether
4986+23 the obligations of the utility party thereto shall
4987+24 be governed by the power purchase provisions or
4988+25 the contract for differences provisions;
4989+26 (xi) append documentation showing that the
4990+
4991+
4992+
4993+
4994+
4995+ HB3445 Enrolled - 139 - LRB103 29599 AMQ 55994 b
4996+
4997+
4998+HB3445 Enrolled- 140 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 140 - LRB103 29599 AMQ 55994 b
4999+ HB3445 Enrolled - 140 - LRB103 29599 AMQ 55994 b
5000+1 formula rate and contract, insofar as they relate
5001+2 to the power purchase provisions, have been
5002+3 approved by the Federal Energy Regulatory
5003+4 Commission pursuant to Section 205 of the Federal
5004+5 Power Act;
5005+6 (xii) provide that any changes to the terms of
5006+7 the contract, insofar as such changes relate to
5007+8 the power purchase provisions, are subject to
5008+9 review under the public interest standard applied
5009+10 by the Federal Energy Regulatory Commission
5010+11 pursuant to Sections 205 and 206 of the Federal
5011+12 Power Act; and
5012+13 (xiii) conform with customary lender
5013+14 requirements in power purchase agreements used as
5014+15 the basis for financing non-utility generators.
5015+16 (4) Effective date of sourcing agreements with the
5016+17 initial clean coal facility. Any proposed sourcing
5017+18 agreement with the initial clean coal facility shall not
5018+19 become effective unless the following reports are prepared
5019+20 and submitted and authorizations and approvals obtained:
5020+21 (i) Facility cost report. The owner of the initial
5021+22 clean coal facility shall submit to the Commission,
5022+23 the Agency, and the General Assembly a front-end
5023+24 engineering and design study, a facility cost report,
5024+25 method of financing (including but not limited to
5025+26 structure and associated costs), and an operating and
5026+
5027+
5028+
5029+
5030+
5031+ HB3445 Enrolled - 140 - LRB103 29599 AMQ 55994 b
5032+
5033+
5034+HB3445 Enrolled- 141 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 141 - LRB103 29599 AMQ 55994 b
5035+ HB3445 Enrolled - 141 - LRB103 29599 AMQ 55994 b
5036+1 maintenance cost quote for the facility (collectively
5037+2 "facility cost report"), which shall be prepared in
5038+3 accordance with the requirements of this paragraph (4)
5039+4 of subsection (d) of this Section, and shall provide
5040+5 the Commission and the Agency access to the work
5041+6 papers, relied upon documents, and any other backup
5042+7 documentation related to the facility cost report.
5043+8 (ii) Commission report. Within 6 months following
5044+9 receipt of the facility cost report, the Commission,
5045+10 in consultation with the Agency, shall submit a report
5046+11 to the General Assembly setting forth its analysis of
5047+12 the facility cost report. Such report shall include,
5048+13 but not be limited to, a comparison of the costs
5049+14 associated with electricity generated by the initial
5050+15 clean coal facility to the costs associated with
5051+16 electricity generated by other types of generation
5052+17 facilities, an analysis of the rate impacts on
5053+18 residential and small business customers over the life
5054+19 of the sourcing agreements, and an analysis of the
5055+20 likelihood that the initial clean coal facility will
5056+21 commence commercial operation by and be delivering
5057+22 power to the facility's busbar by 2016. To assist in
5058+23 the preparation of its report, the Commission, in
5059+24 consultation with the Agency, may hire one or more
5060+25 experts or consultants, the costs of which shall be
5061+26 paid for by the owner of the initial clean coal
5062+
5063+
5064+
5065+
5066+
5067+ HB3445 Enrolled - 141 - LRB103 29599 AMQ 55994 b
5068+
5069+
5070+HB3445 Enrolled- 142 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 142 - LRB103 29599 AMQ 55994 b
5071+ HB3445 Enrolled - 142 - LRB103 29599 AMQ 55994 b
5072+1 facility. The Commission and Agency may begin the
5073+2 process of selecting such experts or consultants prior
5074+3 to receipt of the facility cost report.
5075+4 (iii) General Assembly approval. The proposed
5076+5 sourcing agreements shall not take effect unless,
5077+6 based on the facility cost report and the Commission's
5078+7 report, the General Assembly enacts authorizing
5079+8 legislation approving (A) the projected price, stated
5080+9 in cents per kilowatthour, to be charged for
5081+10 electricity generated by the initial clean coal
5082+11 facility, (B) the projected impact on residential and
5083+12 small business customers' bills over the life of the
5084+13 sourcing agreements, and (C) the maximum allowable
5085+14 return on equity for the project; and
5086+15 (iv) Commission review. If the General Assembly
5087+16 enacts authorizing legislation pursuant to
5088+17 subparagraph (iii) approving a sourcing agreement, the
5089+18 Commission shall, within 90 days of such enactment,
5090+19 complete a review of such sourcing agreement. During
5091+20 such time period, the Commission shall implement any
5092+21 directive of the General Assembly, resolve any
5093+22 disputes between the parties to the sourcing agreement
5094+23 concerning the terms of such agreement, approve the
5095+24 form of such agreement, and issue an order finding
5096+25 that the sourcing agreement is prudent and reasonable.
5097+26 The facility cost report shall be prepared as follows:
5098+
5099+
5100+
5101+
5102+
5103+ HB3445 Enrolled - 142 - LRB103 29599 AMQ 55994 b
5104+
5105+
5106+HB3445 Enrolled- 143 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 143 - LRB103 29599 AMQ 55994 b
5107+ HB3445 Enrolled - 143 - LRB103 29599 AMQ 55994 b
5108+1 (A) The facility cost report shall be prepared by
5109+2 duly licensed engineering and construction firms
5110+3 detailing the estimated capital costs payable to one
5111+4 or more contractors or suppliers for the engineering,
5112+5 procurement and construction of the components
5113+6 comprising the initial clean coal facility and the
5114+7 estimated costs of operation and maintenance of the
5115+8 facility. The facility cost report shall include:
5116+9 (i) an estimate of the capital cost of the
5117+10 core plant based on one or more front end
5118+11 engineering and design studies for the
5119+12 gasification island and related facilities. The
5120+13 core plant shall include all civil, structural,
5121+14 mechanical, electrical, control, and safety
5122+15 systems.
5123+16 (ii) an estimate of the capital cost of the
5124+17 balance of the plant, including any capital costs
5125+18 associated with sequestration of carbon dioxide
5126+19 emissions and all interconnects and interfaces
5127+20 required to operate the facility, such as
5128+21 transmission of electricity, construction or
5129+22 backfeed power supply, pipelines to transport
5130+23 substitute natural gas or carbon dioxide, potable
5131+24 water supply, natural gas supply, water supply,
5132+25 water discharge, landfill, access roads, and coal
5133+26 delivery.
5134+
5135+
5136+
5137+
5138+
5139+ HB3445 Enrolled - 143 - LRB103 29599 AMQ 55994 b
5140+
5141+
5142+HB3445 Enrolled- 144 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 144 - LRB103 29599 AMQ 55994 b
5143+ HB3445 Enrolled - 144 - LRB103 29599 AMQ 55994 b
5144+1 The quoted construction costs shall be expressed
5145+2 in nominal dollars as of the date that the quote is
5146+3 prepared and shall include capitalized financing costs
5147+4 during construction, taxes, insurance, and other
5148+5 owner's costs, and an assumed escalation in materials
5149+6 and labor beyond the date as of which the construction
5150+7 cost quote is expressed.
5151+8 (B) The front end engineering and design study for
5152+9 the gasification island and the cost study for the
5153+10 balance of plant shall include sufficient design work
5154+11 to permit quantification of major categories of
5155+12 materials, commodities and labor hours, and receipt of
5156+13 quotes from vendors of major equipment required to
5157+14 construct and operate the clean coal facility.
5158+15 (C) The facility cost report shall also include an
5159+16 operating and maintenance cost quote that will provide
5160+17 the estimated cost of delivered fuel, personnel,
5161+18 maintenance contracts, chemicals, catalysts,
5162+19 consumables, spares, and other fixed and variable
5163+20 operations and maintenance costs. The delivered fuel
5164+21 cost estimate will be provided by a recognized third
5165+22 party expert or experts in the fuel and transportation
5166+23 industries. The balance of the operating and
5167+24 maintenance cost quote, excluding delivered fuel
5168+25 costs, will be developed based on the inputs provided
5169+26 by duly licensed engineering and construction firms
5170+
5171+
5172+
5173+
5174+
5175+ HB3445 Enrolled - 144 - LRB103 29599 AMQ 55994 b
5176+
5177+
5178+HB3445 Enrolled- 145 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 145 - LRB103 29599 AMQ 55994 b
5179+ HB3445 Enrolled - 145 - LRB103 29599 AMQ 55994 b
5180+1 performing the construction cost quote, potential
5181+2 vendors under long-term service agreements and plant
5182+3 operating agreements, or recognized third party plant
5183+4 operator or operators.
5184+5 The operating and maintenance cost quote
5185+6 (including the cost of the front end engineering and
5186+7 design study) shall be expressed in nominal dollars as
5187+8 of the date that the quote is prepared and shall
5188+9 include taxes, insurance, and other owner's costs, and
5189+10 an assumed escalation in materials and labor beyond
5190+11 the date as of which the operating and maintenance
5191+12 cost quote is expressed.
5192+13 (D) The facility cost report shall also include an
5193+14 analysis of the initial clean coal facility's ability
5194+15 to deliver power and energy into the applicable
5195+16 regional transmission organization markets and an
5196+17 analysis of the expected capacity factor for the
5197+18 initial clean coal facility.
5198+19 (E) Amounts paid to third parties unrelated to the
5199+20 owner or owners of the initial clean coal facility to
5200+21 prepare the core plant construction cost quote,
5201+22 including the front end engineering and design study,
5202+23 and the operating and maintenance cost quote will be
5203+24 reimbursed through Coal Development Bonds.
5204+25 (5) Re-powering and retrofitting coal-fired power
5205+26 plants previously owned by Illinois utilities to qualify
5206+
5207+
5208+
5209+
5210+
5211+ HB3445 Enrolled - 145 - LRB103 29599 AMQ 55994 b
5212+
5213+
5214+HB3445 Enrolled- 146 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 146 - LRB103 29599 AMQ 55994 b
5215+ HB3445 Enrolled - 146 - LRB103 29599 AMQ 55994 b
5216+1 as clean coal facilities. During the 2009 procurement
5217+2 planning process and thereafter, the Agency and the
5218+3 Commission shall consider sourcing agreements covering
5219+4 electricity generated by power plants that were previously
5220+5 owned by Illinois utilities and that have been or will be
5221+6 converted into clean coal facilities, as defined by
5222+7 Section 1-10 of this Act. Pursuant to such procurement
5223+8 planning process, the owners of such facilities may
5224+9 propose to the Agency sourcing agreements with utilities
5225+10 and alternative retail electric suppliers required to
5226+11 comply with subsection (d) of this Section and item (5) of
5227+12 subsection (d) of Section 16-115 of the Public Utilities
5228+13 Act, covering electricity generated by such facilities. In
5229+14 the case of sourcing agreements that are power purchase
5230+15 agreements, the contract price for electricity sales shall
5231+16 be established on a cost of service basis. In the case of
5232+17 sourcing agreements that are contracts for differences,
5233+18 the contract price from which the reference price is
5234+19 subtracted shall be established on a cost of service
5235+20 basis. The Agency and the Commission may approve any such
5236+21 utility sourcing agreements that do not exceed cost-based
5237+22 benchmarks developed by the procurement administrator, in
5238+23 consultation with the Commission staff, Agency staff and
5239+24 the procurement monitor, subject to Commission review and
5240+25 approval. The Commission shall have authority to inspect
5241+26 all books and records associated with these clean coal
5242+
5243+
5244+
5245+
5246+
5247+ HB3445 Enrolled - 146 - LRB103 29599 AMQ 55994 b
5248+
5249+
5250+HB3445 Enrolled- 147 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 147 - LRB103 29599 AMQ 55994 b
5251+ HB3445 Enrolled - 147 - LRB103 29599 AMQ 55994 b
5252+1 facilities during the term of any such contract.
5253+2 (6) Costs incurred under this subsection (d) or
5254+3 pursuant to a contract entered into under this subsection
5255+4 (d) shall be deemed prudently incurred and reasonable in
5256+5 amount and the electric utility shall be entitled to full
5257+6 cost recovery pursuant to the tariffs filed with the
5258+7 Commission.
5259+8 (d-5) Zero emission standard.
5260+9 (1) Beginning with the delivery year commencing on
5261+10 June 1, 2017, the Agency shall, for electric utilities
5262+11 that serve at least 100,000 retail customers in this
5263+12 State, procure contracts with zero emission facilities
5264+13 that are reasonably capable of generating cost-effective
5265+14 zero emission credits in an amount approximately equal to
5266+15 16% of the actual amount of electricity delivered by each
5267+16 electric utility to retail customers in the State during
5268+17 calendar year 2014. For an electric utility serving fewer
5269+18 than 100,000 retail customers in this State that
5270+19 requested, under Section 16-111.5 of the Public Utilities
5271+20 Act, that the Agency procure power and energy for all or a
5272+21 portion of the utility's Illinois load for the delivery
5273+22 year commencing June 1, 2016, the Agency shall procure
5274+23 contracts with zero emission facilities that are
5275+24 reasonably capable of generating cost-effective zero
5276+25 emission credits in an amount approximately equal to 16%
5277+26 of the portion of power and energy to be procured by the
5278+
5279+
5280+
5281+
5282+
5283+ HB3445 Enrolled - 147 - LRB103 29599 AMQ 55994 b
5284+
5285+
5286+HB3445 Enrolled- 148 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 148 - LRB103 29599 AMQ 55994 b
5287+ HB3445 Enrolled - 148 - LRB103 29599 AMQ 55994 b
5288+1 Agency for the utility. The duration of the contracts
5289+2 procured under this subsection (d-5) shall be for a term
5290+3 of 10 years ending May 31, 2027. The quantity of zero
5291+4 emission credits to be procured under the contracts shall
5292+5 be all of the zero emission credits generated by the zero
5293+6 emission facility in each delivery year; however, if the
5294+7 zero emission facility is owned by more than one entity,
5295+8 then the quantity of zero emission credits to be procured
5296+9 under the contracts shall be the amount of zero emission
5297+10 credits that are generated from the portion of the zero
5298+11 emission facility that is owned by the winning supplier.
5299+12 The 16% value identified in this paragraph (1) is the
5300+13 average of the percentage targets in subparagraph (B) of
5301+14 paragraph (1) of subsection (c) of this Section for the 5
5302+15 delivery years beginning June 1, 2017.
5303+16 The procurement process shall be subject to the
5304+17 following provisions:
5305+18 (A) Those zero emission facilities that intend to
5306+19 participate in the procurement shall submit to the
5307+20 Agency the following eligibility information for each
5308+21 zero emission facility on or before the date
5309+22 established by the Agency:
5310+23 (i) the in-service date and remaining useful
5311+24 life of the zero emission facility;
5312+25 (ii) the amount of power generated annually
5313+26 for each of the years 2005 through 2015, and the
5314+
5315+
5316+
5317+
5318+
5319+ HB3445 Enrolled - 148 - LRB103 29599 AMQ 55994 b
5320+
5321+
5322+HB3445 Enrolled- 149 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 149 - LRB103 29599 AMQ 55994 b
5323+ HB3445 Enrolled - 149 - LRB103 29599 AMQ 55994 b
5324+1 projected zero emission credits to be generated
5325+2 over the remaining useful life of the zero
5326+3 emission facility, which shall be used to
5327+4 determine the capability of each facility;
5328+5 (iii) the annual zero emission facility cost
5329+6 projections, expressed on a per megawatthour
5330+7 basis, over the next 6 delivery years, which shall
5331+8 include the following: operation and maintenance
5332+9 expenses; fully allocated overhead costs, which
5333+10 shall be allocated using the methodology developed
5334+11 by the Institute for Nuclear Power Operations;
5335+12 fuel expenditures; non-fuel capital expenditures;
5336+13 spent fuel expenditures; a return on working
5337+14 capital; the cost of operational and market risks
5338+15 that could be avoided by ceasing operation; and
5339+16 any other costs necessary for continued
5340+17 operations, provided that "necessary" means, for
5341+18 purposes of this item (iii), that the costs could
5342+19 reasonably be avoided only by ceasing operations
5343+20 of the zero emission facility; and
5344+21 (iv) a commitment to continue operating, for
5345+22 the duration of the contract or contracts executed
5346+23 under the procurement held under this subsection
5347+24 (d-5), the zero emission facility that produces
5348+25 the zero emission credits to be procured in the
5349+26 procurement.
5350+
5351+
5352+
5353+
5354+
5355+ HB3445 Enrolled - 149 - LRB103 29599 AMQ 55994 b
5356+
5357+
5358+HB3445 Enrolled- 150 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 150 - LRB103 29599 AMQ 55994 b
5359+ HB3445 Enrolled - 150 - LRB103 29599 AMQ 55994 b
5360+1 The information described in item (iii) of this
5361+2 subparagraph (A) may be submitted on a confidential
5362+3 basis and shall be treated and maintained by the
5363+4 Agency, the procurement administrator, and the
5364+5 Commission as confidential and proprietary and exempt
5365+6 from disclosure under subparagraphs (a) and (g) of
5366+7 paragraph (1) of Section 7 of the Freedom of
5367+8 Information Act. The Office of Attorney General shall
5368+9 have access to, and maintain the confidentiality of,
5369+10 such information pursuant to Section 6.5 of the
5370+11 Attorney General Act.
5371+12 (B) The price for each zero emission credit
5372+13 procured under this subsection (d-5) for each delivery
5373+14 year shall be in an amount that equals the Social Cost
5374+15 of Carbon, expressed on a price per megawatthour
5375+16 basis. However, to ensure that the procurement remains
5376+17 affordable to retail customers in this State if
5377+18 electricity prices increase, the price in an
5378+19 applicable delivery year shall be reduced below the
5379+20 Social Cost of Carbon by the amount ("Price
5380+21 Adjustment") by which the market price index for the
5381+22 applicable delivery year exceeds the baseline market
5382+23 price index for the consecutive 12-month period ending
5383+24 May 31, 2016. If the Price Adjustment is greater than
5384+25 or equal to the Social Cost of Carbon in an applicable
5385+26 delivery year, then no payments shall be due in that
5386+
5387+
5388+
5389+
5390+
5391+ HB3445 Enrolled - 150 - LRB103 29599 AMQ 55994 b
5392+
5393+
5394+HB3445 Enrolled- 151 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 151 - LRB103 29599 AMQ 55994 b
5395+ HB3445 Enrolled - 151 - LRB103 29599 AMQ 55994 b
5396+1 delivery year. The components of this calculation are
5397+2 defined as follows:
5398+3 (i) Social Cost of Carbon: The Social Cost of
5399+4 Carbon is $16.50 per megawatthour, which is based
5400+5 on the U.S. Interagency Working Group on Social
5401+6 Cost of Carbon's price in the August 2016
5402+7 Technical Update using a 3% discount rate,
5403+8 adjusted for inflation for each year of the
5404+9 program. Beginning with the delivery year
5405+10 commencing June 1, 2023, the price per
5406+11 megawatthour shall increase by $1 per
5407+12 megawatthour, and continue to increase by an
5408+13 additional $1 per megawatthour each delivery year
5409+14 thereafter.
5410+15 (ii) Baseline market price index: The baseline
5411+16 market price index for the consecutive 12-month
5412+17 period ending May 31, 2016 is $31.40 per
5413+18 megawatthour, which is based on the sum of (aa)
5414+19 the average day-ahead energy price across all
5415+20 hours of such 12-month period at the PJM
5416+21 Interconnection LLC Northern Illinois Hub, (bb)
5417+22 50% multiplied by the Base Residual Auction, or
5418+23 its successor, capacity price for the rest of the
5419+24 RTO zone group determined by PJM Interconnection
5420+25 LLC, divided by 24 hours per day, and (cc) 50%
5421+26 multiplied by the Planning Resource Auction, or
5422+
5423+
5424+
5425+
5426+
5427+ HB3445 Enrolled - 151 - LRB103 29599 AMQ 55994 b
5428+
5429+
5430+HB3445 Enrolled- 152 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 152 - LRB103 29599 AMQ 55994 b
5431+ HB3445 Enrolled - 152 - LRB103 29599 AMQ 55994 b
5432+1 its successor, capacity price for Zone 4
5433+2 determined by the Midcontinent Independent System
5434+3 Operator, Inc., divided by 24 hours per day.
5435+4 (iii) Market price index: The market price
5436+5 index for a delivery year shall be the sum of
5437+6 projected energy prices and projected capacity
5438+7 prices determined as follows:
5439+8 (aa) Projected energy prices: the
5440+9 projected energy prices for the applicable
5441+10 delivery year shall be calculated once for the
5442+11 year using the forward market price for the
5443+12 PJM Interconnection, LLC Northern Illinois
5444+13 Hub. The forward market price shall be
5445+14 calculated as follows: the energy forward
5446+15 prices for each month of the applicable
5447+16 delivery year averaged for each trade date
5448+17 during the calendar year immediately preceding
5449+18 that delivery year to produce a single energy
5450+19 forward price for the delivery year. The
5451+20 forward market price calculation shall use
5452+21 data published by the Intercontinental
5453+22 Exchange, or its successor.
5454+23 (bb) Projected capacity prices:
5455+24 (I) For the delivery years commencing
5456+25 June 1, 2017, June 1, 2018, and June 1,
5457+26 2019, the projected capacity price shall
5458+
5459+
5460+
5461+
5462+
5463+ HB3445 Enrolled - 152 - LRB103 29599 AMQ 55994 b
5464+
5465+
5466+HB3445 Enrolled- 153 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 153 - LRB103 29599 AMQ 55994 b
5467+ HB3445 Enrolled - 153 - LRB103 29599 AMQ 55994 b
5468+1 be equal to the sum of (1) 50% multiplied
5469+2 by the Base Residual Auction, or its
5470+3 successor, price for the rest of the RTO
5471+4 zone group as determined by PJM
5472+5 Interconnection LLC, divided by 24 hours
5473+6 per day and, (2) 50% multiplied by the
5474+7 resource auction price determined in the
5475+8 resource auction administered by the
5476+9 Midcontinent Independent System Operator,
5477+10 Inc., in which the largest percentage of
5478+11 load cleared for Local Resource Zone 4,
5479+12 divided by 24 hours per day, and where
5480+13 such price is determined by the
5481+14 Midcontinent Independent System Operator,
5482+15 Inc.
5483+16 (II) For the delivery year commencing
5484+17 June 1, 2020, and each year thereafter,
5485+18 the projected capacity price shall be
5486+19 equal to the sum of (1) 50% multiplied by
5487+20 the Base Residual Auction, or its
5488+21 successor, price for the ComEd zone as
5489+22 determined by PJM Interconnection LLC,
5490+23 divided by 24 hours per day, and (2) 50%
5491+24 multiplied by the resource auction price
5492+25 determined in the resource auction
5493+26 administered by the Midcontinent
5494+
5495+
5496+
5497+
5498+
5499+ HB3445 Enrolled - 153 - LRB103 29599 AMQ 55994 b
5500+
5501+
5502+HB3445 Enrolled- 154 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 154 - LRB103 29599 AMQ 55994 b
5503+ HB3445 Enrolled - 154 - LRB103 29599 AMQ 55994 b
5504+1 Independent System Operator, Inc., in
5505+2 which the largest percentage of load
5506+3 cleared for Local Resource Zone 4, divided
5507+4 by 24 hours per day, and where such price
5508+5 is determined by the Midcontinent
5509+6 Independent System Operator, Inc.
5510+7 For purposes of this subsection (d-5):
5511+8 "Rest of the RTO" and "ComEd Zone" shall have
5512+9 the meaning ascribed to them by PJM
5513+10 Interconnection, LLC.
5514+11 "RTO" means regional transmission
5515+12 organization.
5516+13 (C) No later than 45 days after June 1, 2017 (the
5517+14 effective date of Public Act 99-906), the Agency shall
5518+15 publish its proposed zero emission standard
5519+16 procurement plan. The plan shall be consistent with
5520+17 the provisions of this paragraph (1) and shall provide
5521+18 that winning bids shall be selected based on public
5522+19 interest criteria that include, but are not limited
5523+20 to, minimizing carbon dioxide emissions that result
5524+21 from electricity consumed in Illinois and minimizing
5525+22 sulfur dioxide, nitrogen oxide, and particulate matter
5526+23 emissions that adversely affect the citizens of this
5527+24 State. In particular, the selection of winning bids
5528+25 shall take into account the incremental environmental
5529+26 benefits resulting from the procurement, such as any
5530+
5531+
5532+
5533+
5534+
5535+ HB3445 Enrolled - 154 - LRB103 29599 AMQ 55994 b
5536+
5537+
5538+HB3445 Enrolled- 155 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 155 - LRB103 29599 AMQ 55994 b
5539+ HB3445 Enrolled - 155 - LRB103 29599 AMQ 55994 b
5540+1 existing environmental benefits that are preserved by
5541+2 the procurements held under Public Act 99-906 and
5542+3 would cease to exist if the procurements were not
5543+4 held, including the preservation of zero emission
5544+5 facilities. The plan shall also describe in detail how
5545+6 each public interest factor shall be considered and
5546+7 weighted in the bid selection process to ensure that
5547+8 the public interest criteria are applied to the
5548+9 procurement and given full effect.
5549+10 For purposes of developing the plan, the Agency
5550+11 shall consider any reports issued by a State agency,
5551+12 board, or commission under House Resolution 1146 of
5552+13 the 98th General Assembly and paragraph (4) of
5553+14 subsection (d) of this Section, as well as publicly
5554+15 available analyses and studies performed by or for
5555+16 regional transmission organizations that serve the
5556+17 State and their independent market monitors.
5557+18 Upon publishing of the zero emission standard
5558+19 procurement plan, copies of the plan shall be posted
5559+20 and made publicly available on the Agency's website.
5560+21 All interested parties shall have 10 days following
5561+22 the date of posting to provide comment to the Agency on
5562+23 the plan. All comments shall be posted to the Agency's
5563+24 website. Following the end of the comment period, but
5564+25 no more than 60 days later than June 1, 2017 (the
5565+26 effective date of Public Act 99-906), the Agency shall
5566+
5567+
5568+
5569+
5570+
5571+ HB3445 Enrolled - 155 - LRB103 29599 AMQ 55994 b
5572+
5573+
5574+HB3445 Enrolled- 156 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 156 - LRB103 29599 AMQ 55994 b
5575+ HB3445 Enrolled - 156 - LRB103 29599 AMQ 55994 b
5576+1 revise the plan as necessary based on the comments
5577+2 received and file its zero emission standard
5578+3 procurement plan with the Commission.
5579+4 If the Commission determines that the plan will
5580+5 result in the procurement of cost-effective zero
5581+6 emission credits, then the Commission shall, after
5582+7 notice and hearing, but no later than 45 days after the
5583+8 Agency filed the plan, approve the plan or approve
5584+9 with modification. For purposes of this subsection
5585+10 (d-5), "cost effective" means the projected costs of
5586+11 procuring zero emission credits from zero emission
5587+12 facilities do not cause the limit stated in paragraph
5588+13 (2) of this subsection to be exceeded.
5589+14 (C-5) As part of the Commission's review and
5590+15 acceptance or rejection of the procurement results,
5591+16 the Commission shall, in its public notice of
5592+17 successful bidders:
5593+18 (i) identify how the winning bids satisfy the
5594+19 public interest criteria described in subparagraph
5595+20 (C) of this paragraph (1) of minimizing carbon
5596+21 dioxide emissions that result from electricity
5597+22 consumed in Illinois and minimizing sulfur
5598+23 dioxide, nitrogen oxide, and particulate matter
5599+24 emissions that adversely affect the citizens of
5600+25 this State;
5601+26 (ii) specifically address how the selection of
5602+
5603+
5604+
5605+
5606+
5607+ HB3445 Enrolled - 156 - LRB103 29599 AMQ 55994 b
5608+
5609+
5610+HB3445 Enrolled- 157 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 157 - LRB103 29599 AMQ 55994 b
5611+ HB3445 Enrolled - 157 - LRB103 29599 AMQ 55994 b
5612+1 winning bids takes into account the incremental
5613+2 environmental benefits resulting from the
5614+3 procurement, including any existing environmental
5615+4 benefits that are preserved by the procurements
5616+5 held under Public Act 99-906 and would have ceased
5617+6 to exist if the procurements had not been held,
5618+7 such as the preservation of zero emission
5619+8 facilities;
5620+9 (iii) quantify the environmental benefit of
5621+10 preserving the resources identified in item (ii)
5622+11 of this subparagraph (C-5), including the
5623+12 following:
5624+13 (aa) the value of avoided greenhouse gas
5625+14 emissions measured as the product of the zero
5626+15 emission facilities' output over the contract
5627+16 term multiplied by the U.S. Environmental
5628+17 Protection Agency eGrid subregion carbon
5629+18 dioxide emission rate and the U.S. Interagency
5630+19 Working Group on Social Cost of Carbon's price
5631+20 in the August 2016 Technical Update using a 3%
5632+21 discount rate, adjusted for inflation for each
5633+22 delivery year; and
5634+23 (bb) the costs of replacement with other
5635+24 zero carbon dioxide resources, including wind
5636+25 and photovoltaic, based upon the simple
5637+26 average of the following:
5638+
5639+
5640+
5641+
5642+
5643+ HB3445 Enrolled - 157 - LRB103 29599 AMQ 55994 b
5644+
5645+
5646+HB3445 Enrolled- 158 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 158 - LRB103 29599 AMQ 55994 b
5647+ HB3445 Enrolled - 158 - LRB103 29599 AMQ 55994 b
5648+1 (I) the price, or if there is more
5649+2 than one price, the average of the prices,
5650+3 paid for renewable energy credits from new
5651+4 utility-scale wind projects in the
5652+5 procurement events specified in item (i)
5653+6 of subparagraph (G) of paragraph (1) of
5654+7 subsection (c) of this Section; and
5655+8 (II) the price, or if there is more
5656+9 than one price, the average of the prices,
5657+10 paid for renewable energy credits from new
5658+11 utility-scale solar projects and
5659+12 brownfield site photovoltaic projects in
5660+13 the procurement events specified in item
5661+14 (ii) of subparagraph (G) of paragraph (1)
5662+15 of subsection (c) of this Section and,
5663+16 after January 1, 2015, renewable energy
5664+17 credits from photovoltaic distributed
5665+18 generation projects in procurement events
5666+19 held under subsection (c) of this Section.
5667+20 Each utility shall enter into binding contractual
5668+21 arrangements with the winning suppliers.
5669+22 The procurement described in this subsection
5670+23 (d-5), including, but not limited to, the execution of
5671+24 all contracts procured, shall be completed no later
5672+25 than May 10, 2017. Based on the effective date of
5673+26 Public Act 99-906, the Agency and Commission may, as
5674+
5675+
5676+
5677+
5678+
5679+ HB3445 Enrolled - 158 - LRB103 29599 AMQ 55994 b
5680+
5681+
5682+HB3445 Enrolled- 159 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 159 - LRB103 29599 AMQ 55994 b
5683+ HB3445 Enrolled - 159 - LRB103 29599 AMQ 55994 b
5684+1 appropriate, modify the various dates and timelines
5685+2 under this subparagraph and subparagraphs (C) and (D)
5686+3 of this paragraph (1). The procurement and plan
5687+4 approval processes required by this subsection (d-5)
5688+5 shall be conducted in conjunction with the procurement
5689+6 and plan approval processes required by subsection (c)
5690+7 of this Section and Section 16-111.5 of the Public
5691+8 Utilities Act, to the extent practicable.
5692+9 Notwithstanding whether a procurement event is
5693+10 conducted under Section 16-111.5 of the Public
5694+11 Utilities Act, the Agency shall immediately initiate a
5695+12 procurement process on June 1, 2017 (the effective
5696+13 date of Public Act 99-906).
5697+14 (D) Following the procurement event described in
5698+15 this paragraph (1) and consistent with subparagraph
5699+16 (B) of this paragraph (1), the Agency shall calculate
5700+17 the payments to be made under each contract for the
5701+18 next delivery year based on the market price index for
5702+19 that delivery year. The Agency shall publish the
5703+20 payment calculations no later than May 25, 2017 and
5704+21 every May 25 thereafter.
5705+22 (E) Notwithstanding the requirements of this
5706+23 subsection (d-5), the contracts executed under this
5707+24 subsection (d-5) shall provide that the zero emission
5708+25 facility may, as applicable, suspend or terminate
5709+26 performance under the contracts in the following
5710+
5711+
5712+
5713+
5714+
5715+ HB3445 Enrolled - 159 - LRB103 29599 AMQ 55994 b
5716+
5717+
5718+HB3445 Enrolled- 160 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 160 - LRB103 29599 AMQ 55994 b
5719+ HB3445 Enrolled - 160 - LRB103 29599 AMQ 55994 b
5720+1 instances:
5721+2 (i) A zero emission facility shall be excused
5722+3 from its performance under the contract for any
5723+4 cause beyond the control of the resource,
5724+5 including, but not restricted to, acts of God,
5725+6 flood, drought, earthquake, storm, fire,
5726+7 lightning, epidemic, war, riot, civil disturbance
5727+8 or disobedience, labor dispute, labor or material
5728+9 shortage, sabotage, acts of public enemy,
5729+10 explosions, orders, regulations or restrictions
5730+11 imposed by governmental, military, or lawfully
5731+12 established civilian authorities, which, in any of
5732+13 the foregoing cases, by exercise of commercially
5733+14 reasonable efforts the zero emission facility
5734+15 could not reasonably have been expected to avoid,
5735+16 and which, by the exercise of commercially
5736+17 reasonable efforts, it has been unable to
5737+18 overcome. In such event, the zero emission
5738+19 facility shall be excused from performance for the
5739+20 duration of the event, including, but not limited
5740+21 to, delivery of zero emission credits, and no
5741+22 payment shall be due to the zero emission facility
5742+23 during the duration of the event.
5743+24 (ii) A zero emission facility shall be
5744+25 permitted to terminate the contract if legislation
5745+26 is enacted into law by the General Assembly that
5746+
5747+
5748+
5749+
5750+
5751+ HB3445 Enrolled - 160 - LRB103 29599 AMQ 55994 b
5752+
5753+
5754+HB3445 Enrolled- 161 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 161 - LRB103 29599 AMQ 55994 b
5755+ HB3445 Enrolled - 161 - LRB103 29599 AMQ 55994 b
5756+1 imposes or authorizes a new tax, special
5757+2 assessment, or fee on the generation of
5758+3 electricity, the ownership or leasehold of a
5759+4 generating unit, or the privilege or occupation of
5760+5 such generation, ownership, or leasehold of
5761+6 generation units by a zero emission facility.
5762+7 However, the provisions of this item (ii) do not
5763+8 apply to any generally applicable tax, special
5764+9 assessment or fee, or requirements imposed by
5765+10 federal law.
5766+11 (iii) A zero emission facility shall be
5767+12 permitted to terminate the contract in the event
5768+13 that the resource requires capital expenditures in
5769+14 excess of $40,000,000 that were neither known nor
5770+15 reasonably foreseeable at the time it executed the
5771+16 contract and that a prudent owner or operator of
5772+17 such resource would not undertake.
5773+18 (iv) A zero emission facility shall be
5774+19 permitted to terminate the contract in the event
5775+20 the Nuclear Regulatory Commission terminates the
5776+21 resource's license.
5777+22 (F) If the zero emission facility elects to
5778+23 terminate a contract under subparagraph (E) of this
5779+24 paragraph (1), then the Commission shall reopen the
5780+25 docket in which the Commission approved the zero
5781+26 emission standard procurement plan under subparagraph
5782+
5783+
5784+
5785+
5786+
5787+ HB3445 Enrolled - 161 - LRB103 29599 AMQ 55994 b
5788+
5789+
5790+HB3445 Enrolled- 162 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 162 - LRB103 29599 AMQ 55994 b
5791+ HB3445 Enrolled - 162 - LRB103 29599 AMQ 55994 b
5792+1 (C) of this paragraph (1) and, after notice and
5793+2 hearing, enter an order acknowledging the contract
5794+3 termination election if such termination is consistent
5795+4 with the provisions of this subsection (d-5).
5796+5 (2) For purposes of this subsection (d-5), the amount
5797+6 paid per kilowatthour means the total amount paid for
5798+7 electric service expressed on a per kilowatthour basis.
5799+8 For purposes of this subsection (d-5), the total amount
5800+9 paid for electric service includes, without limitation,
5801+10 amounts paid for supply, transmission, distribution,
5802+11 surcharges, and add-on taxes.
5803+12 Notwithstanding the requirements of this subsection
5804+13 (d-5), the contracts executed under this subsection (d-5)
5805+14 shall provide that the total of zero emission credits
5806+15 procured under a procurement plan shall be subject to the
5807+16 limitations of this paragraph (2). For each delivery year,
5808+17 the contractual volume receiving payments in such year
5809+18 shall be reduced for all retail customers based on the
5810+19 amount necessary to limit the net increase that delivery
5811+20 year to the costs of those credits included in the amounts
5812+21 paid by eligible retail customers in connection with
5813+22 electric service to no more than 1.65% of the amount paid
5814+23 per kilowatthour by eligible retail customers during the
5815+24 year ending May 31, 2009. The result of this computation
5816+25 shall apply to and reduce the procurement for all retail
5817+26 customers, and all those customers shall pay the same
5818+
5819+
5820+
5821+
5822+
5823+ HB3445 Enrolled - 162 - LRB103 29599 AMQ 55994 b
5824+
5825+
5826+HB3445 Enrolled- 163 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 163 - LRB103 29599 AMQ 55994 b
5827+ HB3445 Enrolled - 163 - LRB103 29599 AMQ 55994 b
5828+1 single, uniform cents per kilowatthour charge under
5829+2 subsection (k) of Section 16-108 of the Public Utilities
5830+3 Act. To arrive at a maximum dollar amount of zero emission
5831+4 credits to be paid for the particular delivery year, the
5832+5 resulting per kilowatthour amount shall be applied to the
5833+6 actual amount of kilowatthours of electricity delivered by
5834+7 the electric utility in the delivery year immediately
5835+8 prior to the procurement, to all retail customers in its
5836+9 service territory. Unpaid contractual volume for any
5837+10 delivery year shall be paid in any subsequent delivery
5838+11 year in which such payments can be made without exceeding
5839+12 the amount specified in this paragraph (2). The
5840+13 calculations required by this paragraph (2) shall be made
5841+14 only once for each procurement plan year. Once the
5842+15 determination as to the amount of zero emission credits to
5843+16 be paid is made based on the calculations set forth in this
5844+17 paragraph (2), no subsequent rate impact determinations
5845+18 shall be made and no adjustments to those contract amounts
5846+19 shall be allowed. All costs incurred under those contracts
5847+20 and in implementing this subsection (d-5) shall be
5848+21 recovered by the electric utility as provided in this
5849+22 Section.
5850+23 No later than June 30, 2019, the Commission shall
5851+24 review the limitation on the amount of zero emission
5852+25 credits procured under this subsection (d-5) and report to
5853+26 the General Assembly its findings as to whether that
5854+
5855+
5856+
5857+
5858+
5859+ HB3445 Enrolled - 163 - LRB103 29599 AMQ 55994 b
5860+
5861+
5862+HB3445 Enrolled- 164 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 164 - LRB103 29599 AMQ 55994 b
5863+ HB3445 Enrolled - 164 - LRB103 29599 AMQ 55994 b
5864+1 limitation unduly constrains the procurement of
5865+2 cost-effective zero emission credits.
5866+3 (3) Six years after the execution of a contract under
5867+4 this subsection (d-5), the Agency shall determine whether
5868+5 the actual zero emission credit payments received by the
5869+6 supplier over the 6-year period exceed the Average ZEC
5870+7 Payment. In addition, at the end of the term of a contract
5871+8 executed under this subsection (d-5), or at the time, if
5872+9 any, a zero emission facility's contract is terminated
5873+10 under subparagraph (E) of paragraph (1) of this subsection
5874+11 (d-5), then the Agency shall determine whether the actual
5875+12 zero emission credit payments received by the supplier
5876+13 over the term of the contract exceed the Average ZEC
5877+14 Payment, after taking into account any amounts previously
5878+15 credited back to the utility under this paragraph (3). If
5879+16 the Agency determines that the actual zero emission credit
5880+17 payments received by the supplier over the relevant period
5881+18 exceed the Average ZEC Payment, then the supplier shall
5882+19 credit the difference back to the utility. The amount of
5883+20 the credit shall be remitted to the applicable electric
5884+21 utility no later than 120 days after the Agency's
5885+22 determination, which the utility shall reflect as a credit
5886+23 on its retail customer bills as soon as practicable;
5887+24 however, the credit remitted to the utility shall not
5888+25 exceed the total amount of payments received by the
5889+26 facility under its contract.
5890+
5891+
5892+
5893+
5894+
5895+ HB3445 Enrolled - 164 - LRB103 29599 AMQ 55994 b
5896+
5897+
5898+HB3445 Enrolled- 165 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 165 - LRB103 29599 AMQ 55994 b
5899+ HB3445 Enrolled - 165 - LRB103 29599 AMQ 55994 b
5900+1 For purposes of this Section, the Average ZEC Payment
5901+2 shall be calculated by multiplying the quantity of zero
5902+3 emission credits delivered under the contract times the
5903+4 average contract price. The average contract price shall
5904+5 be determined by subtracting the amount calculated under
5905+6 subparagraph (B) of this paragraph (3) from the amount
5906+7 calculated under subparagraph (A) of this paragraph (3),
5907+8 as follows:
5908+9 (A) The average of the Social Cost of Carbon, as
5909+10 defined in subparagraph (B) of paragraph (1) of this
5910+11 subsection (d-5), during the term of the contract.
5911+12 (B) The average of the market price indices, as
5912+13 defined in subparagraph (B) of paragraph (1) of this
5913+14 subsection (d-5), during the term of the contract,
5914+15 minus the baseline market price index, as defined in
5915+16 subparagraph (B) of paragraph (1) of this subsection
5916+17 (d-5).
5917+18 If the subtraction yields a negative number, then the
5918+19 Average ZEC Payment shall be zero.
5919+20 (4) Cost-effective zero emission credits procured from
5920+21 zero emission facilities shall satisfy the applicable
5921+22 definitions set forth in Section 1-10 of this Act.
5922+23 (5) The electric utility shall retire all zero
5923+24 emission credits used to comply with the requirements of
5924+25 this subsection (d-5).
5925+26 (6) Electric utilities shall be entitled to recover
5926+
5927+
5928+
5929+
5930+
5931+ HB3445 Enrolled - 165 - LRB103 29599 AMQ 55994 b
5932+
5933+
5934+HB3445 Enrolled- 166 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 166 - LRB103 29599 AMQ 55994 b
5935+ HB3445 Enrolled - 166 - LRB103 29599 AMQ 55994 b
5936+1 all of the costs associated with the procurement of zero
5937+2 emission credits through an automatic adjustment clause
5938+3 tariff in accordance with subsection (k) and (m) of
5939+4 Section 16-108 of the Public Utilities Act, and the
5940+5 contracts executed under this subsection (d-5) shall
5941+6 provide that the utilities' payment obligations under such
5942+7 contracts shall be reduced if an adjustment is required
5943+8 under subsection (m) of Section 16-108 of the Public
5944+9 Utilities Act.
5945+10 (7) This subsection (d-5) shall become inoperative on
5946+11 January 1, 2028.
5947+12 (d-10) Nuclear Plant Assistance; carbon mitigation
5948+13 credits.
5949+14 (1) The General Assembly finds:
5950+15 (A) The health, welfare, and prosperity of all
5951+16 Illinois citizens require that the State of Illinois act
5952+17 to avoid and not increase carbon emissions from electric
5953+18 generation sources while continuing to ensure affordable,
5954+19 stable, and reliable electricity to all citizens.
5955+20 (B) Absent immediate action by the State to preserve
5956+21 existing carbon-free energy resources, those resources may
5957+22 retire, and the electric generation needs of Illinois'
5958+23 retail customers may be met instead by facilities that
5959+24 emit significant amounts of carbon pollution and other
5960+25 harmful air pollutants at a high social and economic cost
5961+26 until Illinois is able to develop other forms of clean
5962+
5963+
5964+
5965+
5966+
5967+ HB3445 Enrolled - 166 - LRB103 29599 AMQ 55994 b
5968+
5969+
5970+HB3445 Enrolled- 167 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 167 - LRB103 29599 AMQ 55994 b
5971+ HB3445 Enrolled - 167 - LRB103 29599 AMQ 55994 b
5972+1 energy.
5973+2 (C) The General Assembly finds that nuclear power
5974+3 generation is necessary for the State's transition to 100%
5975+4 clean energy, and ensuring continued operation of nuclear
5976+5 plants advances environmental and public health interests
5977+6 through providing carbon-free electricity while reducing
5978+7 the air pollution profile of the Illinois energy
5979+8 generation fleet.
5980+9 (D) The clean energy attributes of nuclear generation
5981+10 facilities support the State in its efforts to achieve
5982+11 100% clean energy.
5983+12 (E) The State currently invests in various forms of
5984+13 clean energy, including, but not limited to, renewable
5985+14 energy, energy efficiency, and low-emission vehicles,
5986+15 among others.
5987+16 (F) The Environmental Protection Agency commissioned
5988+17 an independent audit which provided a detailed assessment
5989+18 of the financial condition of the Illinois nuclear fleet
5990+19 to evaluate its financial viability and whether the
5991+20 environmental benefits of such resources were at risk. The
5992+21 report identified the risk of losing the environmental
5993+22 benefits of several specific nuclear units. The report
5994+23 also identified that the LaSalle County Generating Station
5995+24 will continue to operate through 2026 and therefore is not
5996+25 eligible to participate in the carbon mitigation credit
5997+26 program.
5998+
5999+
6000+
6001+
6002+
6003+ HB3445 Enrolled - 167 - LRB103 29599 AMQ 55994 b
6004+
6005+
6006+HB3445 Enrolled- 168 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 168 - LRB103 29599 AMQ 55994 b
6007+ HB3445 Enrolled - 168 - LRB103 29599 AMQ 55994 b
6008+1 (G) Nuclear plants provide carbon-free energy, which
6009+2 helps to avoid many health-related negative impacts for
6010+3 Illinois residents.
6011+4 (H) The procurement of carbon mitigation credits
6012+5 representing the environmental benefits of carbon-free
6013+6 generation will further the State's efforts at achieving
6014+7 100% clean energy and decarbonizing the electricity sector
6015+8 in a safe, reliable, and affordable manner. Further, the
6016+9 procurement of carbon emission credits will enhance the
6017+10 health and welfare of Illinois residents through decreased
6018+11 reliance on more highly polluting generation.
6019+12 (I) The General Assembly therefore finds it necessary
6020+13 to establish carbon mitigation credits to ensure decreased
6021+14 reliance on more carbon-intensive energy resources, for
6022+15 transitioning to a fully decarbonized electricity sector,
6023+16 and to help ensure health and welfare of the State's
6024+17 residents.
6025+18 (2) As used in this subsection:
6026+19 "Baseline costs" means costs used to establish a customer
6027+20 protection cap that have been evaluated through an independent
6028+21 audit of a carbon-free energy resource conducted by the
6029+22 Environmental Protection Agency that evaluated projected
6030+23 annual costs for operation and maintenance expenses; fully
6031+24 allocated overhead costs, which shall be allocated using the
6032+25 methodology developed by the Institute for Nuclear Power
6033+26 Operations; fuel expenditures; nonfuel capital expenditures;
6034+
6035+
6036+
6037+
6038+
6039+ HB3445 Enrolled - 168 - LRB103 29599 AMQ 55994 b
6040+
6041+
6042+HB3445 Enrolled- 169 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 169 - LRB103 29599 AMQ 55994 b
6043+ HB3445 Enrolled - 169 - LRB103 29599 AMQ 55994 b
6044+1 spent fuel expenditures; a return on working capital; the cost
6045+2 of operational and market risks that could be avoided by
6046+3 ceasing operation; and any other costs necessary for continued
6047+4 operations, provided that "necessary" means, for purposes of
6048+5 this definition, that the costs could reasonably be avoided
6049+6 only by ceasing operations of the carbon-free energy resource.
6050+7 "Carbon mitigation credit" means a tradable credit that
6051+8 represents the carbon emission reduction attributes of one
6052+9 megawatt-hour of energy produced from a carbon-free energy
6053+10 resource.
6054+11 "Carbon-free energy resource" means a generation facility
6055+12 that: (1) is fueled by nuclear power; and (2) is
6056+13 interconnected to PJM Interconnection, LLC.
6057+14 (3) Procurement.
6058+15 (A) Beginning with the delivery year commencing on
6059+16 June 1, 2022, the Agency shall, for electric utilities
6060+17 serving at least 3,000,000 retail customers in the State,
6061+18 seek to procure contracts for no more than approximately
6062+19 54,500,000 cost-effective carbon mitigation credits from
6063+20 carbon-free energy resources because such credits are
6064+21 necessary to support current levels of carbon-free energy
6065+22 generation and ensure the State meets its carbon dioxide
6066+23 emissions reduction goals. The Agency shall not make a
6067+24 partial award of a contract for carbon mitigation credits
6068+25 covering a fractional amount of a carbon-free energy
6069+26 resource's projected output.
6070+
6071+
6072+
6073+
6074+
6075+ HB3445 Enrolled - 169 - LRB103 29599 AMQ 55994 b
6076+
6077+
6078+HB3445 Enrolled- 170 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 170 - LRB103 29599 AMQ 55994 b
6079+ HB3445 Enrolled - 170 - LRB103 29599 AMQ 55994 b
6080+1 (B) Each carbon-free energy resource that intends to
6081+2 participate in a procurement shall be required to submit
6082+3 to the Agency the following information for the resource
6083+4 on or before the date established by the Agency:
6084+5 (i) the in-service date and remaining useful life
6085+6 of the carbon-free energy resource;
6086+7 (ii) the amount of power generated annually for
6087+8 each of the past 10 years, which shall be used to
6088+9 determine the capability of each facility;
6089+10 (iii) a commitment to be reflected in any contract
6090+11 entered into pursuant to this subsection (d-10) to
6091+12 continue operating the carbon-free energy resource at
6092+13 a capacity factor of at least 88% annually on average
6093+14 for the duration of the contract or contracts executed
6094+15 under the procurement held under this subsection
6095+16 (d-10), except in an instance described in
6096+17 subparagraph (E) of paragraph (1) of subsection (d-5)
6097+18 of this Section or made impracticable as a result of
6098+19 compliance with law or regulation;
6099+20 (iv) financial need and the risk of loss of the
6100+21 environmental benefits of such resource, which shall
6101+22 include the following information:
6102+23 (I) the carbon-free energy resource's cost
6103+24 projections, expressed on a per megawatt-hour
6104+25 basis, over the next 5 delivery years, which shall
6105+26 include the following: operation and maintenance
6106+
6107+
6108+
6109+
6110+
6111+ HB3445 Enrolled - 170 - LRB103 29599 AMQ 55994 b
6112+
6113+
6114+HB3445 Enrolled- 171 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 171 - LRB103 29599 AMQ 55994 b
6115+ HB3445 Enrolled - 171 - LRB103 29599 AMQ 55994 b
6116+1 expenses; fully allocated overhead costs, which
6117+2 shall be allocated using the methodology developed
6118+3 by the Institute for Nuclear Power Operations;
6119+4 fuel expenditures; nonfuel capital expenditures;
6120+5 spent fuel expenditures; a return on working
6121+6 capital; the cost of operational and market risks
6122+7 that could be avoided by ceasing operation; and
6123+8 any other costs necessary for continued
6124+9 operations, provided that "necessary" means, for
6125+10 purposes of this subitem (I), that the costs could
6126+11 reasonably be avoided only by ceasing operations
6127+12 of the carbon-free energy resource; and
6128+13 (II) the carbon-free energy resource's revenue
6129+14 projections, including energy, capacity, ancillary
6130+15 services, any other direct State support, known or
6131+16 anticipated federal attribute credits, known or
6132+17 anticipated tax credits, and any other direct
6133+18 federal support.
6134+19 The information described in this subparagraph (B) may
6135+20 be submitted on a confidential basis and shall be treated
6136+21 and maintained by the Agency, the procurement
6137+22 administrator, and the Commission as confidential and
6138+23 proprietary and exempt from disclosure under subparagraphs
6139+24 (a) and (g) of paragraph (1) of Section 7 of the Freedom of
6140+25 Information Act. The Office of the Attorney General shall
6141+26 have access to, and maintain the confidentiality of, such
6142+
6143+
6144+
6145+
6146+
6147+ HB3445 Enrolled - 171 - LRB103 29599 AMQ 55994 b
6148+
6149+
6150+HB3445 Enrolled- 172 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 172 - LRB103 29599 AMQ 55994 b
6151+ HB3445 Enrolled - 172 - LRB103 29599 AMQ 55994 b
6152+1 information pursuant to Section 6.5 of the Attorney
6153+2 General Act.
6154+3 (C) The Agency shall solicit bids for the contracts
6155+4 described in this subsection (d-10) from carbon-free
6156+5 energy resources that have satisfied the requirements of
6157+6 subparagraph (B) of this paragraph (3). The contracts
6158+7 procured pursuant to a procurement event shall reflect,
6159+8 and be subject to, the following terms, requirements, and
6160+9 limitations:
6161+10 (i) Contracts are for delivery of carbon
6162+11 mitigation credits, and are not energy or capacity
6163+12 sales contracts requiring physical delivery. Pursuant
6164+13 to item (iii), contract payments shall fully deduct
6165+14 the value of any monetized federal production tax
6166+15 credits, credits issued pursuant to a federal clean
6167+16 energy standard, and other federal credits if
6168+17 applicable.
6169+18 (ii) Contracts for carbon mitigation credits shall
6170+19 commence with the delivery year beginning on June 1,
6171+20 2022 and shall be for a term of 5 delivery years
6172+21 concluding on May 31, 2027.
6173+22 (iii) The price per carbon mitigation credit to be
6174+23 paid under a contract for a given delivery year shall
6175+24 be equal to an accepted bid price less the sum of:
6176+25 (I) one of the following energy price indices,
6177+26 selected by the bidder at the time of the bid for
6178+
6179+
6180+
6181+
6182+
6183+ HB3445 Enrolled - 172 - LRB103 29599 AMQ 55994 b
6184+
6185+
6186+HB3445 Enrolled- 173 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 173 - LRB103 29599 AMQ 55994 b
6187+ HB3445 Enrolled - 173 - LRB103 29599 AMQ 55994 b
6188+1 the term of the contract:
6189+2 (aa) the weighted-average hourly day-ahead
6190+3 price for the applicable delivery year at the
6191+4 busbar of all resources procured pursuant to
6192+5 this subsection (d-10), weighted by actual
6193+6 production from the resources; or
6194+7 (bb) the projected energy price for the
6195+8 PJM Interconnection, LLC Northern Illinois Hub
6196+9 for the applicable delivery year determined
6197+10 according to subitem (aa) of item (iii) of
6198+11 subparagraph (B) of paragraph (1) of
6199+12 subsection (d-5).
6200+13 (II) the Base Residual Auction Capacity Price
6201+14 for the ComEd zone as determined by PJM
6202+15 Interconnection, LLC, divided by 24 hours per day,
6203+16 for the applicable delivery year for the first 3
6204+17 delivery years, and then any subsequent delivery
6205+18 years unless the PJM Interconnection, LLC applies
6206+19 the Minimum Offer Price Rule to participating
6207+20 carbon-free energy resources because they supply
6208+21 carbon mitigation credits pursuant to this Section
6209+22 at which time, upon notice by the carbon-free
6210+23 energy resource to the Commission and subject to
6211+24 the Commission's confirmation, the value under
6212+25 this subitem shall be zero, as further described
6213+26 in the carbon mitigation credit procurement plan;
6214+
6215+
6216+
6217+
6218+
6219+ HB3445 Enrolled - 173 - LRB103 29599 AMQ 55994 b
6220+
6221+
6222+HB3445 Enrolled- 174 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 174 - LRB103 29599 AMQ 55994 b
6223+ HB3445 Enrolled - 174 - LRB103 29599 AMQ 55994 b
6224+1 and
6225+2 (III) any value of monetized federal tax
6226+3 credits, direct payments, or similar subsidy
6227+4 provided to the carbon-free energy resource from
6228+5 any unit of government that is not already
6229+6 reflected in energy prices.
6230+7 If the price-per-megawatt-hour calculation
6231+8 performed under item (iii) of this subparagraph (C)
6232+9 for a given delivery year results in a net positive
6233+10 value, then the electric utility counterparty to the
6234+11 contract shall multiply such net value by the
6235+12 applicable contract quantity and remit the amount to
6236+13 the supplier.
6237+14 To protect retail customers from retail rate
6238+15 impacts that may arise upon the initiation of carbon
6239+16 policy changes, if the price-per-megawatt-hour
6240+17 calculation performed under item (iii) of this
6241+18 subparagraph (C) for a given delivery year results in
6242+19 a net negative value, then the supplier counterparty
6243+20 to the contract shall multiply such net value by the
6244+21 applicable contract quantity and remit such amount to
6245+22 the electric utility counterparty. The electric
6246+23 utility shall reflect such amounts remitted by
6247+24 suppliers as a credit on its retail customer bills as
6248+25 soon as practicable.
6249+26 (iv) To ensure that retail customers in Northern
6250+
6251+
6252+
6253+
6254+
6255+ HB3445 Enrolled - 174 - LRB103 29599 AMQ 55994 b
6256+
6257+
6258+HB3445 Enrolled- 175 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 175 - LRB103 29599 AMQ 55994 b
6259+ HB3445 Enrolled - 175 - LRB103 29599 AMQ 55994 b
6260+1 Illinois do not pay more for carbon mitigation credits
6261+2 than the value such credits provide, and
6262+3 notwithstanding the provisions of this subsection
6263+4 (d-10), the Agency shall not accept bids for contracts
6264+5 that exceed a customer protection cap equal to the
6265+6 baseline costs of carbon-free energy resources.
6266+7 The baseline costs for the applicable year shall
6267+8 be the following:
6268+9 (I) For the delivery year beginning June 1,
6269+10 2022, the baseline costs shall be an amount equal
6270+11 to $30.30 per megawatt-hour.
6271+12 (II) For the delivery year beginning June 1,
6272+13 2023, the baseline costs shall be an amount equal
6273+14 to $32.50 per megawatt-hour.
6274+15 (III) For the delivery year beginning June 1,
6275+16 2024, the baseline costs shall be an amount equal
6276+17 to $33.43 per megawatt-hour.
6277+18 (IV) For the delivery year beginning June 1,
6278+19 2025, the baseline costs shall be an amount equal
6279+20 to $33.50 per megawatt-hour.
6280+21 (V) For the delivery year beginning June 1,
6281+22 2026, the baseline costs shall be an amount equal
6282+23 to $34.50 per megawatt-hour.
6283+24 An Environmental Protection Agency consultant
6284+25 forecast, included in a report issued April 14, 2021,
6285+26 projects that a carbon-free energy resource has the
6286+
6287+
6288+
6289+
6290+
6291+ HB3445 Enrolled - 175 - LRB103 29599 AMQ 55994 b
6292+
6293+
6294+HB3445 Enrolled- 176 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 176 - LRB103 29599 AMQ 55994 b
6295+ HB3445 Enrolled - 176 - LRB103 29599 AMQ 55994 b
6296+1 opportunity to earn on average approximately $30.28
6297+2 per megawatt-hour, for the sale of energy and capacity
6298+3 during the time period between 2022 and 2027.
6299+4 Therefore, the sale of carbon mitigation credits
6300+5 provides the opportunity to receive an additional
6301+6 amount per megawatt-hour in addition to the projected
6302+7 prices for energy and capacity.
6303+8 Although actual energy and capacity prices may
6304+9 vary from year-to-year, the General Assembly finds
6305+10 that this customer protection cap will help ensure
6306+11 that the cost of carbon mitigation credits will be
6307+12 less than its value, based upon the social cost of
6308+13 carbon identified in the Technical Support Document
6309+14 issued in February 2021 by the U.S. Interagency
6310+15 Working Group on Social Cost of Greenhouse Gases and
6311+16 the PJM Interconnection, LLC carbon dioxide marginal
6312+17 emission rate for 2020, and that a carbon-free energy
6313+18 resource receiving payment for carbon mitigation
6314+19 credits receives no more than necessary to keep those
6315+20 units in operation.
6316+21 (D) No later than 7 days after the effective date of
6317+22 this amendatory Act of the 102nd General Assembly, the
6318+23 Agency shall publish its proposed carbon mitigation credit
6319+24 procurement plan. The Plan shall provide that winning bids
6320+25 shall be selected by taking into consideration which
6321+26 resources best match public interest criteria that
6322+
6323+
6324+
6325+
6326+
6327+ HB3445 Enrolled - 176 - LRB103 29599 AMQ 55994 b
6328+
6329+
6330+HB3445 Enrolled- 177 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 177 - LRB103 29599 AMQ 55994 b
6331+ HB3445 Enrolled - 177 - LRB103 29599 AMQ 55994 b
6332+1 include, but are not limited to, minimizing carbon dioxide
6333+2 emissions that result from electricity consumed in
6334+3 Illinois and minimizing sulfur dioxide, nitrogen oxide,
6335+4 and particulate matter emissions that adversely affect the
6336+5 citizens of this State. The selection of winning bids
6337+6 shall also take into account the incremental environmental
6338+7 benefits resulting from the procurement or procurements,
6339+8 such as any existing environmental benefits that are
6340+9 preserved by a procurement held under this subsection
6341+10 (d-10) and would cease to exist if the procurement were
6342+11 not held, including the preservation of carbon-free energy
6343+12 resources. For those bidders having the same public
6344+13 interest criteria score, the relative ranking of such
6345+14 bidders shall be determined by price. The Plan shall
6346+15 describe in detail how each public interest factor shall
6347+16 be considered and weighted in the bid selection process to
6348+17 ensure that the public interest criteria are applied to
6349+18 the procurement. The Plan shall, to the extent practical
6350+19 and permissible by federal law, ensure that successful
6351+20 bidders make commercially reasonable efforts to apply for
6352+21 federal tax credits, direct payments, or similar subsidy
6353+22 programs that support carbon-free generation and for which
6354+23 the successful bidder is eligible. Upon publishing of the
6355+24 carbon mitigation credit procurement plan, copies of the
6356+25 plan shall be posted and made publicly available on the
6357+26 Agency's website. All interested parties shall have 7 days
6358+
6359+
6360+
6361+
6362+
6363+ HB3445 Enrolled - 177 - LRB103 29599 AMQ 55994 b
6364+
6365+
6366+HB3445 Enrolled- 178 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 178 - LRB103 29599 AMQ 55994 b
6367+ HB3445 Enrolled - 178 - LRB103 29599 AMQ 55994 b
6368+1 following the date of posting to provide comment to the
6369+2 Agency on the plan. All comments shall be posted to the
6370+3 Agency's website. Following the end of the comment period,
6371+4 but no more than 19 days later than the effective date of
6372+5 this amendatory Act of the 102nd General Assembly, the
6373+6 Agency shall revise the plan as necessary based on the
6374+7 comments received and file its carbon mitigation credit
6375+8 procurement plan with the Commission.
6376+9 (E) If the Commission determines that the plan is
6377+10 likely to result in the procurement of cost-effective
6378+11 carbon mitigation credits, then the Commission shall,
6379+12 after notice and hearing and opportunity for comment, but
6380+13 no later than 42 days after the Agency filed the plan,
6381+14 approve the plan or approve it with modification. For
6382+15 purposes of this subsection (d-10), "cost-effective" means
6383+16 carbon mitigation credits that are procured from
6384+17 carbon-free energy resources at prices that are within the
6385+18 limits specified in this paragraph (3). As part of the
6386+19 Commission's review and acceptance or rejection of the
6387+20 procurement results, the Commission shall, in its public
6388+21 notice of successful bidders:
6389+22 (i) identify how the selected carbon-free energy
6390+23 resources satisfy the public interest criteria
6391+24 described in this paragraph (3) of minimizing carbon
6392+25 dioxide emissions that result from electricity
6393+26 consumed in Illinois and minimizing sulfur dioxide,
6394+
6395+
6396+
6397+
6398+
6399+ HB3445 Enrolled - 178 - LRB103 29599 AMQ 55994 b
6400+
6401+
6402+HB3445 Enrolled- 179 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 179 - LRB103 29599 AMQ 55994 b
6403+ HB3445 Enrolled - 179 - LRB103 29599 AMQ 55994 b
6404+1 nitrogen oxide, and particulate matter emissions that
6405+2 adversely affect the citizens of this State;
6406+3 (ii) specifically address how the selection of
6407+4 carbon-free energy resources takes into account the
6408+5 incremental environmental benefits resulting from the
6409+6 procurement, including any existing environmental
6410+7 benefits that are preserved by the procurements held
6411+8 under this amendatory Act of the 102nd General
6412+9 Assembly and would have ceased to exist if the
6413+10 procurements had not been held, such as the
6414+11 preservation of carbon-free energy resources;
6415+12 (iii) quantify the environmental benefit of
6416+13 preserving the carbon-free energy resources procured
6417+14 pursuant to this subsection (d-10), including the
6418+15 following:
6419+16 (I) an assessment value of avoided greenhouse
6420+17 gas emissions measured as the product of the
6421+18 carbon-free energy resources' output over the
6422+19 contract term, using generally accepted
6423+20 methodologies for the valuation of avoided
6424+21 emissions; and
6425+22 (II) an assessment of costs of replacement
6426+23 with other carbon-free energy resources and
6427+24 renewable energy resources, including wind and
6428+25 photovoltaic generation, based upon an assessment
6429+26 of the prices paid for renewable energy credits
6430+
6431+
6432+
6433+
6434+
6435+ HB3445 Enrolled - 179 - LRB103 29599 AMQ 55994 b
6436+
6437+
6438+HB3445 Enrolled- 180 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 180 - LRB103 29599 AMQ 55994 b
6439+ HB3445 Enrolled - 180 - LRB103 29599 AMQ 55994 b
6440+1 through programs and procurements conducted
6441+2 pursuant to subsection (c) of Section 1-75 of this
6442+3 Act, and the additional storage necessary to
6443+4 produce the same or similar capability of matching
6444+5 customer usage patterns.
6445+6 (F) The procurements described in this paragraph (3),
6446+7 including, but not limited to, the execution of all
6447+8 contracts procured, shall be completed no later than
6448+9 December 3, 2021. The procurement and plan approval
6449+10 processes required by this paragraph (3) shall be
6450+11 conducted in conjunction with the procurement and plan
6451+12 approval processes required by Section 16-111.5 of the
6452+13 Public Utilities Act, to the extent practicable. However,
6453+14 the Agency and Commission may, as appropriate, modify the
6454+15 various dates and timelines under this subparagraph and
6455+16 subparagraphs (D) and (E) of this paragraph (3) to meet
6456+17 the December 3, 2021 contract execution deadline.
6457+18 Following the completion of such procurements, and
6458+19 consistent with this paragraph (3), the Agency shall
6459+20 calculate the payments to be made under each contract in a
6460+21 timely fashion.
6461+22 (F-1) Costs incurred by the electric utility pursuant
6462+23 to a contract authorized by this subsection (d-10) shall
6463+24 be deemed prudently incurred and reasonable in amount, and
6464+25 the electric utility shall be entitled to full cost
6465+26 recovery pursuant to a tariff or tariffs filed with the
6466+
6467+
6468+
6469+
6470+
6471+ HB3445 Enrolled - 180 - LRB103 29599 AMQ 55994 b
6472+
6473+
6474+HB3445 Enrolled- 181 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 181 - LRB103 29599 AMQ 55994 b
6475+ HB3445 Enrolled - 181 - LRB103 29599 AMQ 55994 b
6476+1 Commission.
6477+2 (G) The counterparty electric utility shall retire all
6478+3 carbon mitigation credits used to comply with the
6479+4 requirements of this subsection (d-10).
6480+5 (H) If a carbon-free energy resource is sold to
6481+6 another owner, the rights, obligations, and commitments
6482+7 under this subsection (d-10) shall continue to the
6483+8 subsequent owner.
6484+9 (I) This subsection (d-10) shall become inoperative on
6485+10 January 1, 2028.
6486+11 (e) The draft procurement plans are subject to public
6487+12 comment, as required by Section 16-111.5 of the Public
6488+13 Utilities Act.
6489+14 (f) The Agency shall submit the final procurement plan to
6490+15 the Commission. The Agency shall revise a procurement plan if
6491+16 the Commission determines that it does not meet the standards
6492+17 set forth in Section 16-111.5 of the Public Utilities Act.
6493+18 (g) The Agency shall assess fees to each affected utility
6494+19 to recover the costs incurred in preparation of the annual
6495+20 procurement plan for the utility.
6496+21 (h) The Agency shall assess fees to each bidder to recover
6497+22 the costs incurred in connection with a competitive
6498+23 procurement process.
6499+24 (i) A renewable energy credit, carbon emission credit,
6500+25 zero emission credit, or carbon mitigation credit can only be
6501+26 used once to comply with a single portfolio or other standard
6502+
6503+
6504+
6505+
6506+
6507+ HB3445 Enrolled - 181 - LRB103 29599 AMQ 55994 b
6508+
6509+
6510+HB3445 Enrolled- 182 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 182 - LRB103 29599 AMQ 55994 b
6511+ HB3445 Enrolled - 182 - LRB103 29599 AMQ 55994 b
6512+1 as set forth in subsection (c), subsection (d), or subsection
6513+2 (d-5) of this Section, respectively. A renewable energy
6514+3 credit, carbon emission credit, zero emission credit, or
6515+4 carbon mitigation credit cannot be used to satisfy the
6516+5 requirements of more than one standard. If more than one type
6517+6 of credit is issued for the same megawatt hour of energy, only
6518+7 one credit can be used to satisfy the requirements of a single
6519+8 standard. After such use, the credit must be retired together
6520+9 with any other credits issued for the same megawatt hour of
6521+10 energy.
6522+11 (Source: P.A. 101-81, eff. 7-12-19; 101-113, eff. 1-1-20;
6523+12 102-662, eff. 9-15-21.)
6524+13 (20 ILCS 3855/1-129 new)
6525+14 Sec. 1-129. Policy study.
6526+15 (a) The General Assembly finds that:
6527+16 (1) in 2021, Illinois became the first state in the
6528+17 Midwest to mandate a clean energy future when it enacted
6529+18 the Climate and Equitable Jobs Act (Public Act 102-662);
6530+19 (2) through the Climate and Equitable Jobs Act,
6531+20 Illinois established a plan to completely decarbonize its
6532+21 energy sector by 2050 in an equitable manner that invests
6533+22 in the State's workforce;
6534+23 (3) technology in the energy sector continues to
6535+24 advance creating cleaner and more efficient options to
6536+25 help the State attain the target of 50% renewable energy
6537+
6538+
6539+
6540+
6541+
6542+ HB3445 Enrolled - 182 - LRB103 29599 AMQ 55994 b
6543+
6544+
6545+HB3445 Enrolled- 183 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 183 - LRB103 29599 AMQ 55994 b
6546+ HB3445 Enrolled - 183 - LRB103 29599 AMQ 55994 b
6547+1 by 2040; and
6548+2 (4) while numerous legislative proposals purport to
6549+3 help the State on its path to equitably attain 100% clean
6550+4 energy, it is important to have a neutral party with
6551+5 relevant expertise evaluate each proposal to ensure it is
6552+6 consistent with the State's goals and maximizes benefits
6553+7 to Illinois residents.
6554+8 (b) The General Assembly intends:
6555+9 (1) to prioritize the public interest over the profit
6556+10 motives of utilities and private developers; and
6557+11 (2) to invest in projects that reduce harmful
6558+12 emissions and contribute to the clean economy.
6559+13 (c) The Agency shall commission and publish a policy study
6560+14 to evaluate the potential impacts of the proposals described
6561+15 in subsection (g). The potential impacts may include, but are
6562+16 not limited to, support for Illinois' decarbonization goals,
6563+17 the environment, grid reliability, carbon and other pollutant
6564+18 emissions, resource adequacy, long-term and short-term
6565+19 electric rates, environmental justice communities, jobs, and
6566+20 the economy. Where applicable, the study shall address the
6567+21 impact of a proposal with respect to reports by the
6568+22 Midcontinent Independent System Operator, PJM, and North
6569+23 American Electric Reliability Corporation staff that Illinois
6570+24 has begun to experience resource adequacy issues.
6571+25 (d) The Agency shall retain the services of technical and
6572+26 policy experts with energy market and other relevant fields of
6573+
6574+
6575+
6576+
6577+
6578+ HB3445 Enrolled - 183 - LRB103 29599 AMQ 55994 b
6579+
6580+
6581+HB3445 Enrolled- 184 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 184 - LRB103 29599 AMQ 55994 b
6582+ HB3445 Enrolled - 184 - LRB103 29599 AMQ 55994 b
6583+1 expertise. The technical and policy experts may include the
6584+2 existing planning and procurement consultant and applicable
6585+3 subcontractors and the procurement administrator and
6586+4 applicable subcontractors. The Illinois Commerce Commission,
6587+5 the Illinois Environmental Protection Agency, and the
6588+6 Department of Commerce and Economic Opportunity shall provide
6589+7 support to and consult with the Agency. The Agency may consult
6590+8 with other State agencies, commissions, or task forces as
6591+9 needed. The Agency may consult with and seek assistance from
6592+10 the Regional Transmission Organizations PJM and MISO.
6593+11 (e) The Agency may solicit information, including
6594+12 confidential or proprietary information, from entities likely
6595+13 to be impacted by the proposals described in subsection (g)
6596+14 for purposes of this study. Any information designated as
6597+15 confidential or proprietary information by the entity
6598+16 providing the information shall be kept confidential by the
6599+17 Agency, its consultants, and its contractors and is not
6600+18 subject to disclosure under the Freedom of Information Act.
6601+19 (f) The Agency shall publish a final policy study no later
6602+20 than March 1, 2024 and suitable copies shall be delivered to
6603+21 the Governor and members of the General Assembly. Prior to
6604+22 publishing the final policy study, the Agency shall publish a
6605+23 preliminary draft of the policy study and provide for a 20-day
6606+24 open public comment period. The Agency shall review public
6607+25 comments and publish a final policy study no later than 20 days
6608+26 after the public comment period ends. The policy study shall
6609+
6610+
6611+
6612+
6613+
6614+ HB3445 Enrolled - 184 - LRB103 29599 AMQ 55994 b
6615+
6616+
6617+HB3445 Enrolled- 185 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 185 - LRB103 29599 AMQ 55994 b
6618+ HB3445 Enrolled - 185 - LRB103 29599 AMQ 55994 b
6619+1 include policy recommendations to the General Assembly.
6620+2 (g) The policy study shall evaluate the following
6621+3 proposals and may consider or suggest additional or
6622+4 alternative items:
6623+5 (1) House Bill 2132 of the 103rd General Assembly as
6624+6 it passed out of the House on March 24, 2023 or a similar
6625+7 pilot program to establish one new utility-scale offshore
6626+8 wind project capable of producing at least 700,000
6627+9 megawatt hours annually for at least 20 years in Lake
6628+10 Michigan that includes an equity and inclusion plan to
6629+11 create job opportunities for underrepresented populations
6630+12 in addition to equity investment eligible communities and
6631+13 a fully executed project labor agreement. The pilot
6632+14 program may result in an increase in the amounts paid by
6633+15 eligible retail customers in connection with electric
6634+16 service that shall not exceed 0.25% of the amount paid per
6635+17 kilowatt hour by those customers during the year ending
6636+18 May 31, 2009.
6637+19 (2) Senate Bill 1587 and amendments to Senate Bill
6638+20 1587 of the 103rd General Assembly filed prior to May 31,
6639+21 2023 or a similar proposal for the deployment of energy
6640+22 storage systems supported by the State through the
6641+23 development of energy storage credit targets for the
6642+24 Agency to procure on behalf of Illinois electric utilities
6643+25 from privately owned, large scale energy storage providers
6644+26 using energy storage contracts of at least 15 year
6645+
6646+
6647+
6648+
6649+
6650+ HB3445 Enrolled - 185 - LRB103 29599 AMQ 55994 b
6651+
6652+
6653+HB3445 Enrolled- 186 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 186 - LRB103 29599 AMQ 55994 b
6654+ HB3445 Enrolled - 186 - LRB103 29599 AMQ 55994 b
6655+1 durations based on a competitive energy storage
6656+2 procurement plan developed by the Agency designed to
6657+3 enhance overall grid reliability, flexibility and
6658+4 efficiency, and to lower electricity prices. The plan must
6659+5 require participants to comply with the equity
6660+6 accountability system requirements in subsection (c-10) of
6661+7 Section 1-75 and to submit proof of project labor
6662+8 agreements. For purposes of this policy study, it should
6663+9 be assumed that the costs associated with procuring energy
6664+10 storage credits shall be recovered through tariffed
6665+11 charges assessed across all retail customers in a uniform
6666+12 cents per kilowatt hour charge. In addition to large scale
6667+13 energy storage, the proposal shall also include the
6668+14 creation of distributed level energy storage programs
6669+15 through utility tariffs as approved by the Illinois
6670+16 Commerce Commission. The programs shall include a
6671+17 residential and a commercial storage program that would
6672+18 allow customer-sited batteries to provide grid benefits
6673+19 and cost-savings to ratepayers. The proposal shall also
6674+20 include a community solar energy storage program intended
6675+21 to serve as a peak reduction program by utilizing
6676+22 community solar paired storage projects deployed daily in
6677+23 summer months during peak hours. The installation of the
6678+24 energy storage systems associated with these distributed
6679+25 renewable systems must comply with the prevailing wage
6680+26 requirements described in subparagraph (Q) of paragraph
6681+
6682+
6683+
6684+
6685+
6686+ HB3445 Enrolled - 186 - LRB103 29599 AMQ 55994 b
6687+
6688+
6689+HB3445 Enrolled- 187 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 187 - LRB103 29599 AMQ 55994 b
6690+ HB3445 Enrolled - 187 - LRB103 29599 AMQ 55994 b
6691+1 (1) of subsection (c) of Section 1-75. The policy study
6692+2 shall include a review of the ability of coal-fueled
6693+3 generating plant sites located in Illinois that have been
6694+4 closed since 2016 or are scheduled to be closed by 2030 to
6695+5 support the installation of energy storage systems and
6696+6 potential associated interconnection costs. This review
6697+7 shall include: (i) whether those sites are already in a
6698+8 regional transmission organization interconnection queue,
6699+9 including MISO's replacement power interconnection queue,
6700+10 or would be submitted to the replacement power
6701+11 interconnection queue no later than September 1, 2023,
6702+12 and, if a site is in a queue, the site's position in the
6703+13 queue; and (ii) how soon those sites could support
6704+14 development and installation of energy storage systems and
6705+15 any barriers to that development. This review shall also
6706+16 include consultation with electric generation facility
6707+17 owners or operators and renewable developers that own or
6708+18 are in the process of developing energy storage systems in
6709+19 Illinois or that have experience developing energy storage
6710+20 systems in other States.
6711+21 (3) A policy establishing high voltage direct current
6712+22 renewable energy credits that requires the Agency to
6713+23 procure contracts with at least 25 years but no more than
6714+24 40 years duration for the delivery of renewable energy
6715+25 credits on behalf of electric utilities in Illinois with
6716+26 at least 300,000 customers from a high voltage direct
6717+
6718+
6719+
6720+
6721+
6722+ HB3445 Enrolled - 187 - LRB103 29599 AMQ 55994 b
6723+
6724+
6725+HB3445 Enrolled- 188 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 188 - LRB103 29599 AMQ 55994 b
6726+ HB3445 Enrolled - 188 - LRB103 29599 AMQ 55994 b
6727+1 current transmission facility with more than 100 miles of
6728+2 underground transmission lines in this State capable of
6729+3 transmitting electricity at or above 525 kilovolts and
6730+4 delivering power in the PJM market. High voltage direct
6731+5 current renewable energy credits procured by the Agency
6732+6 pursuant to this policy would not count toward the
6733+7 renewable energy credit purchase targets in subsection (c)
6734+8 of Section 1-75. The study shall also evaluate: (i) this
6735+9 policy's potential for wholesale electricity price impacts
6736+10 in both PJM and MISO, the net rate impact to Illinois
6737+11 ratepayers, and the impact on grid reliability and
6738+12 resilience; (ii) whether a 25-year to 40-year guaranteed
6739+13 contract is necessary to build a high voltage direct
6740+14 current transmission facility; (iii) whether specific high
6741+15 voltage direct current transmission facility projects are
6742+16 committed to Illinois' fair labor and equity standards;
6743+17 and (iv) whether the policy creates incentives for
6744+18 renewable development outside of Illinois rather than
6745+19 within the State.
6746+20 Section 15. The Illinois Procurement Code is amended by
6747+21 changing Section 1-10 as follows:
6748+22 (30 ILCS 500/1-10)
6749+23 Sec. 1-10. Application.
6750+24 (a) This Code applies only to procurements for which
6751+
6752+
6753+
6754+
6755+
6756+ HB3445 Enrolled - 188 - LRB103 29599 AMQ 55994 b
6757+
6758+
6759+HB3445 Enrolled- 189 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 189 - LRB103 29599 AMQ 55994 b
6760+ HB3445 Enrolled - 189 - LRB103 29599 AMQ 55994 b
6761+1 bidders, offerors, potential contractors, or contractors were
6762+2 first solicited on or after July 1, 1998. This Code shall not
6763+3 be construed to affect or impair any contract, or any
6764+4 provision of a contract, entered into based on a solicitation
6765+5 prior to the implementation date of this Code as described in
6766+6 Article 99, including, but not limited to, any covenant
6767+7 entered into with respect to any revenue bonds or similar
6768+8 instruments. All procurements for which contracts are
6769+9 solicited between the effective date of Articles 50 and 99 and
6770+10 July 1, 1998 shall be substantially in accordance with this
6771+11 Code and its intent.
6772+12 (b) This Code shall apply regardless of the source of the
6773+13 funds with which the contracts are paid, including federal
6774+14 assistance moneys. This Code shall not apply to:
6775+15 (1) Contracts between the State and its political
6776+16 subdivisions or other governments, or between State
6777+17 governmental bodies, except as specifically provided in
6778+18 this Code.
6779+19 (2) Grants, except for the filing requirements of
6780+20 Section 20-80.
6781+21 (3) Purchase of care, except as provided in Section
6782+22 5-30.6 of the Illinois Public Aid Code and this Section.
6783+23 (4) Hiring of an individual as an employee and not as
6784+24 an independent contractor, whether pursuant to an
6785+25 employment code or policy or by contract directly with
6786+26 that individual.
6787+
6788+
6789+
6790+
6791+
6792+ HB3445 Enrolled - 189 - LRB103 29599 AMQ 55994 b
6793+
6794+
6795+HB3445 Enrolled- 190 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 190 - LRB103 29599 AMQ 55994 b
6796+ HB3445 Enrolled - 190 - LRB103 29599 AMQ 55994 b
6797+1 (5) Collective bargaining contracts.
6798+2 (6) Purchase of real estate, except that notice of
6799+3 this type of contract with a value of more than $25,000
6800+4 must be published in the Procurement Bulletin within 10
6801+5 calendar days after the deed is recorded in the county of
6802+6 jurisdiction. The notice shall identify the real estate
6803+7 purchased, the names of all parties to the contract, the
6804+8 value of the contract, and the effective date of the
6805+9 contract.
6806+10 (7) Contracts necessary to prepare for anticipated
6807+11 litigation, enforcement actions, or investigations,
6808+12 provided that the chief legal counsel to the Governor
6809+13 shall give his or her prior approval when the procuring
6810+14 agency is one subject to the jurisdiction of the Governor,
6811+15 and provided that the chief legal counsel of any other
6812+16 procuring entity subject to this Code shall give his or
6813+17 her prior approval when the procuring entity is not one
6814+18 subject to the jurisdiction of the Governor.
6815+19 (8) (Blank).
6816+20 (9) Procurement expenditures by the Illinois
6817+21 Conservation Foundation when only private funds are used.
6818+22 (10) (Blank).
6819+23 (11) Public-private agreements entered into according
6820+24 to the procurement requirements of Section 20 of the
6821+25 Public-Private Partnerships for Transportation Act and
6822+26 design-build agreements entered into according to the
6823+
6824+
6825+
6826+
6827+
6828+ HB3445 Enrolled - 190 - LRB103 29599 AMQ 55994 b
6829+
6830+
6831+HB3445 Enrolled- 191 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 191 - LRB103 29599 AMQ 55994 b
6832+ HB3445 Enrolled - 191 - LRB103 29599 AMQ 55994 b
6833+1 procurement requirements of Section 25 of the
6834+2 Public-Private Partnerships for Transportation Act.
6835+3 (12) (A) Contracts for legal, financial, and other
6836+4 professional and artistic services entered into by the
6837+5 Illinois Finance Authority in which the State of Illinois
6838+6 is not obligated. Such contracts shall be awarded through
6839+7 a competitive process authorized by the members of the
6840+8 Illinois Finance Authority and are subject to Sections
6841+9 5-30, 20-160, 50-13, 50-20, 50-35, and 50-37 of this Code,
6842+10 as well as the final approval by the members of the
6843+11 Illinois Finance Authority of the terms of the contract.
6844+12 (B) Contracts for legal and financial services entered
6845+13 into by the Illinois Housing Development Authority in
6846+14 connection with the issuance of bonds in which the State
6847+15 of Illinois is not obligated. Such contracts shall be
6848+16 awarded through a competitive process authorized by the
6849+17 members of the Illinois Housing Development Authority and
6850+18 are subject to Sections 5-30, 20-160, 50-13, 50-20, 50-35,
6851+19 and 50-37 of this Code, as well as the final approval by
6852+20 the members of the Illinois Housing Development Authority
6853+21 of the terms of the contract.
6854+22 (13) Contracts for services, commodities, and
6855+23 equipment to support the delivery of timely forensic
6856+24 science services in consultation with and subject to the
6857+25 approval of the Chief Procurement Officer as provided in
6858+26 subsection (d) of Section 5-4-3a of the Unified Code of
6859+
6860+
6861+
6862+
6863+
6864+ HB3445 Enrolled - 191 - LRB103 29599 AMQ 55994 b
6865+
6866+
6867+HB3445 Enrolled- 192 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 192 - LRB103 29599 AMQ 55994 b
6868+ HB3445 Enrolled - 192 - LRB103 29599 AMQ 55994 b
6869+1 Corrections, except for the requirements of Sections
6870+2 20-60, 20-65, 20-70, and 20-160 and Article 50 of this
6871+3 Code; however, the Chief Procurement Officer may, in
6872+4 writing with justification, waive any certification
6873+5 required under Article 50 of this Code. For any contracts
6874+6 for services which are currently provided by members of a
6875+7 collective bargaining agreement, the applicable terms of
6876+8 the collective bargaining agreement concerning
6877+9 subcontracting shall be followed.
6878+10 On and after January 1, 2019, this paragraph (13),
6879+11 except for this sentence, is inoperative.
6880+12 (14) Contracts for participation expenditures required
6881+13 by a domestic or international trade show or exhibition of
6882+14 an exhibitor, member, or sponsor.
6883+15 (15) Contracts with a railroad or utility that
6884+16 requires the State to reimburse the railroad or utilities
6885+17 for the relocation of utilities for construction or other
6886+18 public purpose. Contracts included within this paragraph
6887+19 (15) shall include, but not be limited to, those
6888+20 associated with: relocations, crossings, installations,
6889+21 and maintenance. For the purposes of this paragraph (15),
6890+22 "railroad" means any form of non-highway ground
6891+23 transportation that runs on rails or electromagnetic
6892+24 guideways and "utility" means: (1) public utilities as
6893+25 defined in Section 3-105 of the Public Utilities Act, (2)
6894+26 telecommunications carriers as defined in Section 13-202
6895+
6896+
6897+
6898+
6899+
6900+ HB3445 Enrolled - 192 - LRB103 29599 AMQ 55994 b
6901+
6902+
6903+HB3445 Enrolled- 193 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 193 - LRB103 29599 AMQ 55994 b
6904+ HB3445 Enrolled - 193 - LRB103 29599 AMQ 55994 b
6905+1 of the Public Utilities Act, (3) electric cooperatives as
6906+2 defined in Section 3.4 of the Electric Supplier Act, (4)
6907+3 telephone or telecommunications cooperatives as defined in
6908+4 Section 13-212 of the Public Utilities Act, (5) rural
6909+5 water or waste water systems with 10,000 connections or
6910+6 less, (6) a holder as defined in Section 21-201 of the
6911+7 Public Utilities Act, and (7) municipalities owning or
6912+8 operating utility systems consisting of public utilities
6913+9 as that term is defined in Section 11-117-2 of the
6914+10 Illinois Municipal Code.
6915+11 (16) Procurement expenditures necessary for the
6916+12 Department of Public Health to provide the delivery of
6917+13 timely newborn screening services in accordance with the
6918+14 Newborn Metabolic Screening Act.
6919+15 (17) Procurement expenditures necessary for the
6920+16 Department of Agriculture, the Department of Financial and
6921+17 Professional Regulation, the Department of Human Services,
6922+18 and the Department of Public Health to implement the
6923+19 Compassionate Use of Medical Cannabis Program and Opioid
6924+20 Alternative Pilot Program requirements and ensure access
6925+21 to medical cannabis for patients with debilitating medical
6926+22 conditions in accordance with the Compassionate Use of
6927+23 Medical Cannabis Program Act.
6928+24 (18) This Code does not apply to any procurements
6929+25 necessary for the Department of Agriculture, the
6930+26 Department of Financial and Professional Regulation, the
6931+
6932+
6933+
6934+
6935+
6936+ HB3445 Enrolled - 193 - LRB103 29599 AMQ 55994 b
6937+
6938+
6939+HB3445 Enrolled- 194 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 194 - LRB103 29599 AMQ 55994 b
6940+ HB3445 Enrolled - 194 - LRB103 29599 AMQ 55994 b
6941+1 Department of Human Services, the Department of Commerce
6942+2 and Economic Opportunity, and the Department of Public
6943+3 Health to implement the Cannabis Regulation and Tax Act if
6944+4 the applicable agency has made a good faith determination
6945+5 that it is necessary and appropriate for the expenditure
6946+6 to fall within this exemption and if the process is
6947+7 conducted in a manner substantially in accordance with the
6948+8 requirements of Sections 20-160, 25-60, 30-22, 50-5,
6949+9 50-10, 50-10.5, 50-12, 50-13, 50-15, 50-20, 50-21, 50-35,
6950+10 50-36, 50-37, 50-38, and 50-50 of this Code; however, for
6951+11 Section 50-35, compliance applies only to contracts or
6952+12 subcontracts over $100,000. Notice of each contract
6953+13 entered into under this paragraph (18) that is related to
6954+14 the procurement of goods and services identified in
6955+15 paragraph (1) through (9) of this subsection shall be
6956+16 published in the Procurement Bulletin within 14 calendar
6957+17 days after contract execution. The Chief Procurement
6958+18 Officer shall prescribe the form and content of the
6959+19 notice. Each agency shall provide the Chief Procurement
6960+20 Officer, on a monthly basis, in the form and content
6961+21 prescribed by the Chief Procurement Officer, a report of
6962+22 contracts that are related to the procurement of goods and
6963+23 services identified in this subsection. At a minimum, this
6964+24 report shall include the name of the contractor, a
6965+25 description of the supply or service provided, the total
6966+26 amount of the contract, the term of the contract, and the
6967+
6968+
6969+
6970+
6971+
6972+ HB3445 Enrolled - 194 - LRB103 29599 AMQ 55994 b
6973+
6974+
6975+HB3445 Enrolled- 195 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 195 - LRB103 29599 AMQ 55994 b
6976+ HB3445 Enrolled - 195 - LRB103 29599 AMQ 55994 b
6977+1 exception to this Code utilized. A copy of any or all of
6978+2 these contracts shall be made available to the Chief
6979+3 Procurement Officer immediately upon request. The Chief
6980+4 Procurement Officer shall submit a report to the Governor
6981+5 and General Assembly no later than November 1 of each year
6982+6 that includes, at a minimum, an annual summary of the
6983+7 monthly information reported to the Chief Procurement
6984+8 Officer. This exemption becomes inoperative 5 years after
6985+9 June 25, 2019 (the effective date of Public Act 101-27).
6986+10 (19) Acquisition of modifications or adjustments,
6987+11 limited to assistive technology devices and assistive
6988+12 technology services, adaptive equipment, repairs, and
6989+13 replacement parts to provide reasonable accommodations (i)
6990+14 that enable a qualified applicant with a disability to
6991+15 complete the job application process and be considered for
6992+16 the position such qualified applicant desires, (ii) that
6993+17 modify or adjust the work environment to enable a
6994+18 qualified current employee with a disability to perform
6995+19 the essential functions of the position held by that
6996+20 employee, (iii) to enable a qualified current employee
6997+21 with a disability to enjoy equal benefits and privileges
6998+22 of employment as are enjoyed by other similarly situated
6999+23 employees without disabilities, and (iv) that allow a
7000+24 customer, client, claimant, or member of the public
7001+25 seeking State services full use and enjoyment of and
7002+26 access to its programs, services, or benefits.
7003+
7004+
7005+
7006+
7007+
7008+ HB3445 Enrolled - 195 - LRB103 29599 AMQ 55994 b
7009+
7010+
7011+HB3445 Enrolled- 196 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 196 - LRB103 29599 AMQ 55994 b
7012+ HB3445 Enrolled - 196 - LRB103 29599 AMQ 55994 b
7013+1 For purposes of this paragraph (19):
7014+2 "Assistive technology devices" means any item, piece
7015+3 of equipment, or product system, whether acquired
7016+4 commercially off the shelf, modified, or customized, that
7017+5 is used to increase, maintain, or improve functional
7018+6 capabilities of individuals with disabilities.
7019+7 "Assistive technology services" means any service that
7020+8 directly assists an individual with a disability in
7021+9 selection, acquisition, or use of an assistive technology
7022+10 device.
7023+11 "Qualified" has the same meaning and use as provided
7024+12 under the federal Americans with Disabilities Act when
7025+13 describing an individual with a disability.
7026+14 (20) Procurement expenditures necessary for the
7027+15 Illinois Commerce Commission to hire third-party
7028+16 facilitators pursuant to Sections 16-105.17 and 16-108.18
7029+17 of the Public Utilities Act or an ombudsman pursuant to
7030+18 Section 16-107.5 of the Public Utilities Act, a
7031+19 facilitator pursuant to Section 16-105.17 of the Public
7032+20 Utilities Act, or a grid auditor pursuant to Section
7033+21 16-105.10 of the Public Utilities Act.
7034+22 (21) Procurement expenditures for the purchase,
7035+23 renewal, and expansion of software, software licenses, or
7036+24 software maintenance agreements that support the efforts
7037+25 of the Illinois State Police to enforce, regulate, and
7038+26 administer the Firearm Owners Identification Card Act, the
7039+
7040+
7041+
7042+
7043+
7044+ HB3445 Enrolled - 196 - LRB103 29599 AMQ 55994 b
7045+
7046+
7047+HB3445 Enrolled- 197 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 197 - LRB103 29599 AMQ 55994 b
7048+ HB3445 Enrolled - 197 - LRB103 29599 AMQ 55994 b
7049+1 Firearm Concealed Carry Act, the Firearms Restraining
7050+2 Order Act, the Firearm Dealer License Certification Act,
7051+3 the Law Enforcement Agencies Data System (LEADS), the
7052+4 Uniform Crime Reporting Act, the Criminal Identification
7053+5 Act, the Uniform Conviction Information Act, and the Gun
7054+6 Trafficking Information Act, or establish or maintain
7055+7 record management systems necessary to conduct human
7056+8 trafficking investigations or gun trafficking or other
7057+9 stolen firearm investigations. This paragraph (21) applies
7058+10 to contracts entered into on or after the effective date
7059+11 of this amendatory Act of the 102nd General Assembly and
7060+12 the renewal of contracts that are in effect on the
7061+13 effective date of this amendatory Act of the 102nd General
7062+14 Assembly.
7063+15 Notwithstanding any other provision of law, for contracts
7064+16 with an annual value of more than $100,000 entered into on or
7065+17 after October 1, 2017 under an exemption provided in any
7066+18 paragraph of this subsection (b), except paragraph (1), (2),
7067+19 or (5), each State agency shall post to the appropriate
7068+20 procurement bulletin the name of the contractor, a description
7069+21 of the supply or service provided, the total amount of the
7070+22 contract, the term of the contract, and the exception to the
7071+23 Code utilized. The chief procurement officer shall submit a
7072+24 report to the Governor and General Assembly no later than
7073+25 November 1 of each year that shall include, at a minimum, an
7074+26 annual summary of the monthly information reported to the
7075+
7076+
7077+
7078+
7079+
7080+ HB3445 Enrolled - 197 - LRB103 29599 AMQ 55994 b
7081+
7082+
7083+HB3445 Enrolled- 198 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 198 - LRB103 29599 AMQ 55994 b
7084+ HB3445 Enrolled - 198 - LRB103 29599 AMQ 55994 b
7085+1 chief procurement officer.
7086+2 (c) This Code does not apply to the electric power
7087+3 procurement process provided for under Section 1-75 of the
7088+4 Illinois Power Agency Act and Section 16-111.5 of the Public
7089+5 Utilities Act. This Code does not apply to the procurement of
7090+6 technical and policy experts pursuant to Section 1-129 of the
7091+7 Illinois Power Agency Act.
7092+8 (d) Except for Section 20-160 and Article 50 of this Code,
7093+9 and as expressly required by Section 9.1 of the Illinois
7094+10 Lottery Law, the provisions of this Code do not apply to the
7095+11 procurement process provided for under Section 9.1 of the
7096+12 Illinois Lottery Law.
7097+13 (e) This Code does not apply to the process used by the
7098+14 Capital Development Board to retain a person or entity to
7099+15 assist the Capital Development Board with its duties related
7100+16 to the determination of costs of a clean coal SNG brownfield
7101+17 facility, as defined by Section 1-10 of the Illinois Power
7102+18 Agency Act, as required in subsection (h-3) of Section 9-220
7103+19 of the Public Utilities Act, including calculating the range
7104+20 of capital costs, the range of operating and maintenance
7105+21 costs, or the sequestration costs or monitoring the
7106+22 construction of clean coal SNG brownfield facility for the
7107+23 full duration of construction.
7108+24 (f) (Blank).
7109+25 (g) (Blank).
7110+26 (h) This Code does not apply to the process to procure or
7111+
7112+
7113+
7114+
7115+
7116+ HB3445 Enrolled - 198 - LRB103 29599 AMQ 55994 b
7117+
7118+
7119+HB3445 Enrolled- 199 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 199 - LRB103 29599 AMQ 55994 b
7120+ HB3445 Enrolled - 199 - LRB103 29599 AMQ 55994 b
7121+1 contracts entered into in accordance with Sections 11-5.2 and
7122+2 11-5.3 of the Illinois Public Aid Code.
7123+3 (i) Each chief procurement officer may access records
7124+4 necessary to review whether a contract, purchase, or other
7125+5 expenditure is or is not subject to the provisions of this
7126+6 Code, unless such records would be subject to attorney-client
7127+7 privilege.
7128+8 (j) This Code does not apply to the process used by the
7129+9 Capital Development Board to retain an artist or work or works
7130+10 of art as required in Section 14 of the Capital Development
7131+11 Board Act.
7132+12 (k) This Code does not apply to the process to procure
7133+13 contracts, or contracts entered into, by the State Board of
7134+14 Elections or the State Electoral Board for hearing officers
7135+15 appointed pursuant to the Election Code.
7136+16 (l) This Code does not apply to the processes used by the
7137+17 Illinois Student Assistance Commission to procure supplies and
7138+18 services paid for from the private funds of the Illinois
7139+19 Prepaid Tuition Fund. As used in this subsection (l), "private
7140+20 funds" means funds derived from deposits paid into the
7141+21 Illinois Prepaid Tuition Trust Fund and the earnings thereon.
7142+22 (m) This Code shall apply regardless of the source of
7143+23 funds with which contracts are paid, including federal
7144+24 assistance moneys. Except as specifically provided in this
7145+25 Code, this Code shall not apply to procurement expenditures
7146+26 necessary for the Department of Public Health to conduct the
7147+
7148+
7149+
7150+
7151+
7152+ HB3445 Enrolled - 199 - LRB103 29599 AMQ 55994 b
7153+
7154+
7155+HB3445 Enrolled- 200 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 200 - LRB103 29599 AMQ 55994 b
7156+ HB3445 Enrolled - 200 - LRB103 29599 AMQ 55994 b
7157+1 Healthy Illinois Survey in accordance with Section 2310-431 of
7158+2 the Department of Public Health Powers and Duties Law of the
7159+3 Civil Administrative Code of Illinois.
7160+4 (Source: P.A. 101-27, eff. 6-25-19; 101-81, eff. 7-12-19;
7161+5 101-363, eff. 8-9-19; 102-175, eff. 7-29-21; 102-483, eff
7162+6 1-1-22; 102-558, eff. 8-20-21; 102-600, eff. 8-27-21; 102-662,
7163+7 eff. 9-15-21; 102-721, eff. 1-1-23; 102-813, eff. 5-13-22;
7164+8 102-1116, eff. 1-10-23.)
7165+9 Section 20. The Counties Code is amended by changing
7166+10 Section 5-12020 as follows:
7167+11 (55 ILCS 5/5-12020)
7168+12 Sec. 5-12020. Commercial wind energy facilities and
7169+13 commercial solar energy facilities.
7170+14 (a) As used in this Section:
7171+15 "Commercial solar energy facility" means a "commercial
7172+16 solar energy system" as defined in Section 10-720 of the
7173+17 Property Tax Code. "Commercial solar energy facility" does not
7174+18 mean a utility-scale solar energy facility being constructed
7175+19 at a site that was eligible to participate in a procurement
7176+20 event conducted by the Illinois Power Agency pursuant to
7177+21 subsection (c-5) of Section 1-75 of the Illinois Power Agency
7178+22 Act.
7179+23 "Commercial wind energy facility" means a wind energy
7180+24 conversion facility of equal or greater than 500 kilowatts in
7181+
7182+
7183+
7184+
7185+
7186+ HB3445 Enrolled - 200 - LRB103 29599 AMQ 55994 b
7187+
7188+
7189+HB3445 Enrolled- 201 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 201 - LRB103 29599 AMQ 55994 b
7190+ HB3445 Enrolled - 201 - LRB103 29599 AMQ 55994 b
7191+1 total nameplate generating capacity. "Commercial wind energy
7192+2 facility" includes a wind energy conversion facility seeking
7193+3 an extension of a permit to construct granted by a county or
7194+4 municipality before January 27, 2023 (the effective date of
7195+5 Public Act 102-1123) this amendatory Act of the 102nd General
7196+6 Assembly.
7197+7 "Facility owner" means (i) a person with a direct
7198+8 ownership interest in a commercial wind energy facility or a
7199+9 commercial solar energy facility, or both, regardless of
7200+10 whether the person is involved in acquiring the necessary
7201+11 rights, permits, and approvals or otherwise planning for the
7202+12 construction and operation of the facility, and (ii) at the
7203+13 time the facility is being developed, a person who is acting as
7204+14 a developer of the facility by acquiring the necessary rights,
7205+15 permits, and approvals or by planning for the construction and
7206+16 operation of the facility, regardless of whether the person
7207+17 will own or operate the facility.
7208+18 "Nonparticipating property" means real property that is
7209+19 not a participating property.
7210+20 "Nonparticipating residence" means a residence that is
7211+21 located on nonparticipating property and that is existing and
7212+22 occupied on the date that an application for a permit to
7213+23 develop the commercial wind energy facility or the commercial
7214+24 solar energy facility is filed with the county.
7215+25 "Occupied community building" means any one or more of the
7216+26 following buildings that is existing and occupied on the date
7217+
7218+
7219+
7220+
7221+
7222+ HB3445 Enrolled - 201 - LRB103 29599 AMQ 55994 b
7223+
7224+
7225+HB3445 Enrolled- 202 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 202 - LRB103 29599 AMQ 55994 b
7226+ HB3445 Enrolled - 202 - LRB103 29599 AMQ 55994 b
7227+1 that the application for a permit to develop the commercial
7228+2 wind energy facility or the commercial solar energy facility
7229+3 is filed with the county: a school, place of worship, day care
7230+4 facility, public library, or community center.
7231+5 "Participating property" means real property that is the
7232+6 subject of a written agreement between a facility owner and
7233+7 the owner of the real property that provides the facility
7234+8 owner an easement, option, lease, or license to use the real
7235+9 property for the purpose of constructing a commercial wind
7236+10 energy facility, a commercial solar energy facility, or
7237+11 supporting facilities. "Participating property" also includes
7238+12 real property that is owned by a facility owner for the purpose
7239+13 of constructing a commercial wind energy facility, a
7240+14 commercial solar energy facility, or supporting facilities.
7241+15 "Participating residence" means a residence that is
7242+16 located on participating property and that is existing and
7243+17 occupied on the date that an application for a permit to
7244+18 develop the commercial wind energy facility or the commercial
7245+19 solar energy facility is filed with the county.
7246+20 "Protected lands" means real property that is:
7247+21 (1) subject to a permanent conservation right
7248+22 consistent with the Real Property Conservation Rights Act;
7249+23 or
7250+24 (2) registered or designated as a nature preserve,
7251+25 buffer, or land and water reserve under the Illinois
7252+26 Natural Areas Preservation Act.
7253+
7254+
7255+
7256+
7257+
7258+ HB3445 Enrolled - 202 - LRB103 29599 AMQ 55994 b
7259+
7260+
7261+HB3445 Enrolled- 203 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 203 - LRB103 29599 AMQ 55994 b
7262+ HB3445 Enrolled - 203 - LRB103 29599 AMQ 55994 b
7263+1 "Supporting facilities" means the transmission lines,
7264+2 substations, access roads, meteorological towers, storage
7265+3 containers, and equipment associated with the generation and
7266+4 storage of electricity by the commercial wind energy facility
7267+5 or commercial solar energy facility.
7268+6 "Wind tower" includes the wind turbine tower, nacelle, and
7269+7 blades.
7270+8 (b) Notwithstanding any other provision of law or whether
7271+9 the county has formed a zoning commission and adopted formal
7272+10 zoning under Section 5-12007, a county may establish standards
7273+11 for commercial wind energy facilities, commercial solar energy
7274+12 facilities, or both. The standards may include all of the
7275+13 requirements specified in this Section but may not include
7276+14 requirements for commercial wind energy facilities or
7277+15 commercial solar energy facilities that are more restrictive
7278+16 than specified in this Section. A county may also regulate the
7279+17 siting of commercial wind energy facilities with standards
7280+18 that are not more restrictive than the requirements specified
7281+19 in this Section in unincorporated areas of the county that are
7282+20 outside the zoning jurisdiction of a municipality and that are
7283+21 outside the 1.5-mile radius surrounding the zoning
7284+22 jurisdiction of a municipality.
7285+23 (c) If a county has elected to establish standards under
7286+24 subsection (b), before the county grants siting approval or a
7287+25 special use permit for a commercial wind energy facility or a
7288+26 commercial solar energy facility, or modification of an
7289+
7290+
7291+
7292+
7293+
7294+ HB3445 Enrolled - 203 - LRB103 29599 AMQ 55994 b
7295+
7296+
7297+HB3445 Enrolled- 204 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 204 - LRB103 29599 AMQ 55994 b
7298+ HB3445 Enrolled - 204 - LRB103 29599 AMQ 55994 b
7299+1 approved siting or special use permit, the county board of the
7300+2 county in which the facility is to be sited or the zoning board
7301+3 of appeals for the county shall hold at least one public
7302+4 hearing. The public hearing shall be conducted in accordance
7303+5 with the Open Meetings Act and shall be held not more than 60
7304+6 45 days after the filing of the application for the facility.
7305+7 The county shall allow interested parties to a special use
7306+8 permit an opportunity to present evidence and to cross-examine
7307+9 witnesses at the hearing, but the county may impose reasonable
7308+10 restrictions on the public hearing, including reasonable time
7309+11 limitations on the presentation of evidence and the
7310+12 cross-examination of witnesses. The county shall also allow
7311+13 public comment at the public hearing in accordance with the
7312+14 Open Meetings Act. The county shall make its siting and
7313+15 permitting decisions not more than 30 days after the
7314+16 conclusion of the public hearing. Notice of the hearing shall
7315+17 be published in a newspaper of general circulation in the
7316+18 county. A facility owner must enter into an agricultural
7317+19 impact mitigation agreement with the Department of Agriculture
7318+20 prior to the date of the required public hearing. A commercial
7319+21 wind energy facility owner seeking an extension of a permit
7320+22 granted by a county prior to July 24, 2015 (the effective date
7321+23 of Public Act 99-132) must enter into an agricultural impact
7322+24 mitigation agreement with the Department of Agriculture prior
7323+25 to a decision by the county to grant the permit extension.
7324+26 Counties may allow test wind towers or test solar energy
7325+
7326+
7327+
7328+
7329+
7330+ HB3445 Enrolled - 204 - LRB103 29599 AMQ 55994 b
7331+
7332+
7333+HB3445 Enrolled- 205 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 205 - LRB103 29599 AMQ 55994 b
7334+ HB3445 Enrolled - 205 - LRB103 29599 AMQ 55994 b
7335+1 systems to be sited without formal approval by the county
7336+2 board.
7337+3 (d) A county with an existing zoning ordinance in conflict
7338+4 with this Section shall amend that zoning ordinance to be in
7339+5 compliance with this Section within 120 days after January 27,
7340+6 2023 (the effective date of Public Act 102-1123) this
7341+7 amendatory Act of the 102nd General Assembly.
7342+8 (e) A county may require:
7343+9 (1) a wind tower of a commercial wind energy facility
7344+10 to be sited as follows, with setback distances measured
7345+11 from the center of the base of the wind tower:
7346+12 Setback Description Setback Distance
7347+13 Occupied Community 2.1 times the maximum blade tip
7348+14 Buildings height of the wind tower to the
7349+15 nearest point on the outside
7350+16 wall of the structure
7351+17 Participating Residences 1.1 times the maximum blade tip
7352+18 height of the wind tower to the
7353+19 nearest point on the outside
7354+20 wall of the structure
7355+21 Nonparticipating Residences 2.1 times the maximum blade tip
7356+22 height of the wind tower to the
7357+
7358+
7359+
7360+
7361+
7362+ HB3445 Enrolled - 205 - LRB103 29599 AMQ 55994 b
7363+
7364+
7365+HB3445 Enrolled- 206 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 206 - LRB103 29599 AMQ 55994 b
7366+ HB3445 Enrolled - 206 - LRB103 29599 AMQ 55994 b
7367+1 nearest point on the outside
7368+2 wall of the structure
7369+3 Boundary Lines of None
7370+4 Participating Property
7371+5 Boundary Lines of 1.1 times the maximum blade tip
7372+6 Nonparticipating Property height of the wind tower to the
7373+7 nearest point on the property
7374+8 line of the nonparticipating
7375+9 property
7376+10 Public Road Rights-of-Way 1.1 times the maximum blade tip
7377+11 height of the wind tower
7378+12 to the center point of the
7379+13 public road right-of-way
7380+14 Overhead Communication and 1.1 times the maximum blade tip
7381+15 Electric Transmission height of the wind tower to the
7382+16 and Distribution Facilities nearest edge of the property
7383+17 (Not Including Overhead line, easement, or
7384+18 Utility Service Lines to right-of-way right of way
7385+19 Individual Houses or containing the overhead line
7386+20 Outbuildings)
7387+21 Overhead Utility Service None
7388+
7389+
7390+
7391+
7392+
7393+ HB3445 Enrolled - 206 - LRB103 29599 AMQ 55994 b
7394+
7395+
7396+HB3445 Enrolled- 207 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 207 - LRB103 29599 AMQ 55994 b
7397+ HB3445 Enrolled - 207 - LRB103 29599 AMQ 55994 b
7398+1 Lines to Individual
7399+2 Houses or Outbuildings
7400+3 Fish and Wildlife Areas 2.1 times the maximum blade
7401+4 and Illinois Nature tip height of the wind tower
7402+5 Preserve Commission to the nearest point on the
7403+6 Protected Lands property line of the fish and
7404+7 wildlife area or protected
7405+8 land
7406+9 This Section does not exempt or excuse compliance with
7407+10 electric facility clearances approved or required by the
7408+11 National Electrical Code, The National Electrical Safety
7409+12 Code, Illinois Commerce Commission, Federal Energy
7410+13 Regulatory Commission, and their designees or successors.
7411+14 (2) a wind tower of a commercial wind energy facility
7412+15 to be sited so that industry standard computer modeling
7413+16 indicates that any occupied community building or
7414+17 nonparticipating residence will not experience more than
7415+18 30 hours per year of shadow flicker under planned
7416+19 operating conditions;
7417+20 (3) a commercial solar energy facility to be sited as
7418+21 follows, with setback distances measured from the nearest
7419+22 edge of any component of the facility:
7420+23 Setback Description Setback Distance
7421+
7422+
7423+
7424+
7425+
7426+ HB3445 Enrolled - 207 - LRB103 29599 AMQ 55994 b
7427+
7428+
7429+HB3445 Enrolled- 208 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 208 - LRB103 29599 AMQ 55994 b
7430+ HB3445 Enrolled - 208 - LRB103 29599 AMQ 55994 b
7431+1 Occupied Community 150 feet from the nearest
7432+2 Buildings and Dwellings on point on the outside wall
7433+3 Nonparticipating Properties of the structure
7434+4 Boundary Lines of None
7435+5 Participating Property
7436+6 Public Road Rights-of-Way 50 feet from the nearest
7437+7 edge
7438+8 Boundary Lines of 50 feet to the nearest
7439+9 Nonparticipating Property point on the property
7440+10 line of the nonparticipating
7441+11 property
7442+12 (4) a commercial solar energy facility to be sited so
7443+13 that the facility's perimeter is enclosed by fencing
7444+14 having a height of at least 6 feet and no more than 25
7445+15 feet; and
7446+16 (5) a commercial solar energy facility to be sited so
7447+17 that no component of a solar panel has a height of more
7448+18 than 20 feet above ground when the solar energy facility's
7449+19 arrays are at full tilt.
7450+20 The requirements set forth in this subsection (e) may be
7451+21 waived subject to the written consent of the owner of each
7452+
7453+
7454+
7455+
7456+
7457+ HB3445 Enrolled - 208 - LRB103 29599 AMQ 55994 b
7458+
7459+
7460+HB3445 Enrolled- 209 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 209 - LRB103 29599 AMQ 55994 b
7461+ HB3445 Enrolled - 209 - LRB103 29599 AMQ 55994 b
7462+1 affected nonparticipating property.
7463+2 (f) A county may not set a sound limitation for wind towers
7464+3 in commercial wind energy facilities or any components in
7465+4 commercial solar energy facilities facility that is more
7466+5 restrictive than the sound limitations established by the
7467+6 Illinois Pollution Control Board under 35 Ill. Adm. Code Parts
7468+7 900, 901, and 910.
7469+8 (g) A county may not place any restriction on the
7470+9 installation or use of a commercial wind energy facility or a
7471+10 commercial solar energy facility unless it adopts an ordinance
7472+11 that complies with this Section. A county may not establish
7473+12 siting standards for supporting facilities that preclude
7474+13 development of commercial wind energy facilities or commercial
7475+14 solar energy facilities.
7476+15 A request for siting approval or a special use permit for a
7477+16 commercial wind energy facility or a commercial solar energy
7478+17 facility, or modification of an approved siting or special use
7479+18 permit, shall be approved if the request is in compliance with
7480+19 the standards and conditions imposed in this Act, the zoning
7481+20 ordinance adopted consistent with this Code, and the
7482+21 conditions imposed under State and federal statutes and
7483+22 regulations.
7484+23 (h) A county may not adopt zoning regulations that
7485+24 disallow, permanently or temporarily, commercial wind energy
7486+25 facilities or commercial solar energy facilities from being
7487+26 developed or operated in any district zoned to allow
7488+
7489+
7490+
7491+
7492+
7493+ HB3445 Enrolled - 209 - LRB103 29599 AMQ 55994 b
7494+
7495+
7496+HB3445 Enrolled- 210 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 210 - LRB103 29599 AMQ 55994 b
7497+ HB3445 Enrolled - 210 - LRB103 29599 AMQ 55994 b
7498+1 agricultural or industrial uses.
7499+2 (i) A county may not require permit application fees for a
7500+3 commercial wind energy facility or commercial solar energy
7501+4 facility that are unreasonable. All application fees imposed
7502+5 by the county shall be consistent with fees for projects in the
7503+6 county with similar capital value and cost.
7504+7 (j) Except as otherwise provided in this Section, a county
7505+8 shall not require standards for construction, decommissioning,
7506+9 or deconstruction of a commercial wind energy facility or
7507+10 commercial solar energy facility or related financial
7508+11 assurances that are more restrictive than those included in
7509+12 the Department of Agriculture's standard wind farm
7510+13 agricultural impact mitigation agreement, template 81818, or
7511+14 standard solar agricultural impact mitigation agreement,
7512+15 version 8.19.19, as applicable and in effect on December 31,
7513+16 2022. The amount of any decommissioning payment shall be in
7514+17 accordance with the financial assurance limited to the cost
7515+18 identified in the decommissioning or deconstruction plan, as
7516+19 required by those agricultural impact mitigation agreements,
7517+20 minus the salvage value of the project.
7518+21 (j-5) A commercial wind energy facility or a commercial
7519+22 solar energy facility shall file a farmland drainage plan with
7520+23 the county and impacted drainage districts outlining how
7521+24 surface and subsurface drainage of farmland will be restored
7522+25 during and following construction or deconstruction of the
7523+26 facility. The plan is to be created independently by the
7524+
7525+
7526+
7527+
7528+
7529+ HB3445 Enrolled - 210 - LRB103 29599 AMQ 55994 b
7530+
7531+
7532+HB3445 Enrolled- 211 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 211 - LRB103 29599 AMQ 55994 b
7533+ HB3445 Enrolled - 211 - LRB103 29599 AMQ 55994 b
7534+1 facility developer and shall include the location of any
7535+2 potentially impacted drainage district facilities to the
7536+3 extent this information is publicly available from the county
7537+4 or the drainage district, plans to repair any subsurface
7538+5 drainage affected during construction or deconstruction using
7539+6 procedures outlined in the agricultural impact mitigation
7540+7 agreement entered into by the commercial wind energy facility
7541+8 owner or commercial solar energy facility owner, and
7542+9 procedures for the repair and restoration of surface drainage
7543+10 affected during construction or deconstruction. All surface
7544+11 and subsurface damage shall be repaired as soon as reasonably
7545+12 practicable.
7546+13 (k) A county may not condition approval of a commercial
7547+14 wind energy facility or commercial solar energy facility on a
7548+15 property value guarantee and may not require a facility owner
7549+16 to pay into a neighboring property devaluation escrow account.
7550+17 (l) A county may require certain vegetative screening
7551+18 surrounding a commercial wind energy facility or commercial
7552+19 solar energy facility but may not require earthen berms or
7553+20 similar structures.
7554+21 (m) A county may set blade tip height limitations for wind
7555+22 towers in commercial wind energy facilities but may not set a
7556+23 blade tip height limitation that is more restrictive than the
7557+24 height allowed under a Determination of No Hazard to Air
7558+25 Navigation by the Federal Aviation Administration under 14 CFR
7559+26 Part 77.
7560+
7561+
7562+
7563+
7564+
7565+ HB3445 Enrolled - 211 - LRB103 29599 AMQ 55994 b
7566+
7567+
7568+HB3445 Enrolled- 212 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 212 - LRB103 29599 AMQ 55994 b
7569+ HB3445 Enrolled - 212 - LRB103 29599 AMQ 55994 b
7570+1 (n) A county may require that a commercial wind energy
7571+2 facility owner or commercial solar energy facility owner
7572+3 provide:
7573+4 (1) the results and recommendations from consultation
7574+5 with the Illinois Department of Natural Resources that are
7575+6 obtained through the Ecological Compliance Assessment Tool
7576+7 (EcoCAT) or a comparable successor tool; and
7577+8 (2) the results of the United States Fish and Wildlife
7578+9 Service's Information for Planning and Consulting
7579+10 environmental review or a comparable successor tool that
7580+11 is consistent with (i) the "U.S. Fish and Wildlife
7581+12 Service's Land-Based Wind Energy Guidelines" and (ii) any
7582+13 applicable United States Fish and Wildlife Service solar
7583+14 wildlife guidelines that have been subject to public
7584+15 review.
7585+16 (o) A county may require a commercial wind energy facility
7586+17 or commercial solar energy facility to adhere to the
7587+18 recommendations provided by the Illinois Department of Natural
7588+19 Resources in an EcoCAT natural resource review report under 17
7589+20 Ill. Adm. Admin. Code Part 1075.
7590+21 (p) A county may require a facility owner to:
7591+22 (1) demonstrate avoidance of protected lands as
7592+23 identified by the Illinois Department of Natural Resources
7593+24 and the Illinois Nature Preserve Commission; or
7594+25 (2) consider the recommendations of the Illinois
7595+26 Department of Natural Resources for setbacks from
7596+
7597+
7598+
7599+
7600+
7601+ HB3445 Enrolled - 212 - LRB103 29599 AMQ 55994 b
7602+
7603+
7604+HB3445 Enrolled- 213 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 213 - LRB103 29599 AMQ 55994 b
7605+ HB3445 Enrolled - 213 - LRB103 29599 AMQ 55994 b
7606+1 protected lands, including areas identified by the
7607+2 Illinois Nature Preserve Commission.
7608+3 (q) A county may require that a facility owner provide
7609+4 evidence of consultation with the Illinois State Historic
7610+5 Preservation Office to assess potential impacts on
7611+6 State-registered historic sites under the Illinois State
7612+7 Agency Historic Resources Preservation Act.
7613+8 (r) To maximize community benefits, including, but not
7614+9 limited to, reduced stormwater runoff, flooding, and erosion
7615+10 at the ground mounted solar energy system, improved soil
7616+11 health, and increased foraging habitat for game birds,
7617+12 songbirds, and pollinators, a county may (1) require a
7618+13 commercial solar energy facility owner to plant, establish,
7619+14 and maintain for the life of the facility vegetative ground
7620+15 cover, consistent with the goals of the Pollinator-Friendly
7621+16 Solar Site Act and (2) require the submittal of a vegetation
7622+17 management plan that is in compliance with the agricultural
7623+18 impact mitigation agreement in the application to construct
7624+19 and operate a commercial solar energy facility in the county
7625+20 if the vegetative ground cover and vegetation management plan
7626+21 comply with the requirements of the underlying agreement with
7627+22 the landowner or landowners where the facility will be
7628+23 constructed.
7629+24 No later than 90 days after January 27, 2023 (the
7630+25 effective date of Public Act 102-1123) this amendatory Act of
7631+26 the 102nd General Assembly, the Illinois Department of Natural
7632+
7633+
7634+
7635+
7636+
7637+ HB3445 Enrolled - 213 - LRB103 29599 AMQ 55994 b
7638+
7639+
7640+HB3445 Enrolled- 214 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 214 - LRB103 29599 AMQ 55994 b
7641+ HB3445 Enrolled - 214 - LRB103 29599 AMQ 55994 b
7642+1 Resources shall develop guidelines for vegetation management
7643+2 plans that may be required under this subsection for
7644+3 commercial solar energy facilities. The guidelines must
7645+4 include guidance for short-term and long-term property
7646+5 management practices that provide and maintain native and
7647+6 non-invasive naturalized perennial vegetation to protect the
7648+7 health and well-being of pollinators.
7649+8 (s) If a facility owner enters into a road use agreement
7650+9 with the Illinois Department of Transportation, a road
7651+10 district, or other unit of local government relating to a
7652+11 commercial wind energy facility or a commercial solar energy
7653+12 facility, the road use agreement shall require the facility
7654+13 owner to be responsible for (i) the reasonable cost of
7655+14 improving roads used by the facility owner to construct the
7656+15 commercial wind energy facility or the commercial solar energy
7657+16 facility and (ii) the reasonable cost of repairing roads used
7658+17 by the facility owner during construction of the commercial
7659+18 wind energy facility or the commercial solar energy facility
7660+19 so that those roads are in a condition that is safe for the
7661+20 driving public after the completion of the facility's
7662+21 construction. Roadways improved in preparation for and during
7663+22 the construction of the commercial wind energy facility or
7664+23 commercial solar energy facility shall be repaired and
7665+24 restored to the improved condition at the reasonable cost of
7666+25 the developer if the roadways have degraded or were damaged as
7667+26 a result of construction-related activities.
7668+
7669+
7670+
7671+
7672+
7673+ HB3445 Enrolled - 214 - LRB103 29599 AMQ 55994 b
7674+
7675+
7676+HB3445 Enrolled- 215 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 215 - LRB103 29599 AMQ 55994 b
7677+ HB3445 Enrolled - 215 - LRB103 29599 AMQ 55994 b
7678+1 The road use agreement shall not require the facility
7679+2 owner to pay costs, fees, or charges for road work that is not
7680+3 specifically and uniquely attributable to the construction of
7681+4 the commercial wind energy facility or the commercial solar
7682+5 energy facility. Road-related fees, permit fees, or other
7683+6 charges imposed by the Illinois Department of Transportation,
7684+7 a road district, or other unit of local government under a road
7685+8 use agreement with the facility owner shall be reasonably
7686+9 related to the cost of administration of the road use
7687+10 agreement.
7688+11 (s-5) The facility owner shall also compensate landowners
7689+12 for crop losses or other agricultural damages resulting from
7690+13 damage to the drainage system caused by the construction of
7691+14 the commercial wind energy facility or the commercial solar
7692+15 energy facility. The commercial wind energy facility owner or
7693+16 commercial solar energy facility owner shall repair or pay for
7694+17 the repair of all damage to the subsurface drainage system
7695+18 caused by the construction of the commercial wind energy
7696+19 facility or the commercial solar energy facility in accordance
7697+20 with the agriculture impact mitigation agreement requirements
7698+21 for repair of drainage. The commercial wind energy facility
7699+22 owner or commercial solar energy facility owner shall repair
7700+23 or pay for the repair and restoration of surface drainage
7701+24 caused by the construction or deconstruction of the commercial
7702+25 wind energy facility or the commercial solar energy facility
7703+26 as soon as reasonably practicable.
7704+
7705+
7706+
7707+
7708+
7709+ HB3445 Enrolled - 215 - LRB103 29599 AMQ 55994 b
7710+
7711+
7712+HB3445 Enrolled- 216 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 216 - LRB103 29599 AMQ 55994 b
7713+ HB3445 Enrolled - 216 - LRB103 29599 AMQ 55994 b
7714+1 (t) Notwithstanding any other provision of law, a facility
7715+2 owner with siting approval from a county to construct a
7716+3 commercial wind energy facility or a commercial solar energy
7717+4 facility is authorized to cross or impact a drainage system,
7718+5 including, but not limited to, drainage tiles, open drainage
7719+6 ditches districts, culverts, and water gathering vaults, owned
7720+7 or under the control of a drainage district under the Illinois
7721+8 Drainage Code without obtaining prior agreement or approval
7722+9 from the drainage district in accordance with the farmland
7723+10 drainage plan required by subsection (j-5) , except that the
7724+11 facility owner shall repair or pay for the repair of all damage
7725+12 to the drainage system caused by the construction of the
7726+13 commercial wind energy facility or the commercial solar energy
7727+14 facility within a reasonable time after construction of the
7728+15 commercial wind energy facility or the commercial solar energy
7729+16 facility is complete.
7730+17 (u) The amendments to this Section adopted in Public Act
7731+18 102-1123 this amendatory Act of the 102nd General Assembly do
7732+19 not apply to (1) an application for siting approval or for a
7733+20 special use permit for a commercial wind energy facility or
7734+21 commercial solar energy facility if the application was
7735+22 submitted to a unit of local government before January 27,
7736+23 2023 (the effective date of Public Act 102-1123) this
7737+24 amendatory Act of the 102nd General Assembly or (2) a
7738+25 commercial wind energy facility or a commercial solar energy
7739+26 facility if the facility owner has submitted an agricultural
7740+
7741+
7742+
7743+
7744+
7745+ HB3445 Enrolled - 216 - LRB103 29599 AMQ 55994 b
7746+
7747+
7748+HB3445 Enrolled- 217 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 217 - LRB103 29599 AMQ 55994 b
7749+ HB3445 Enrolled - 217 - LRB103 29599 AMQ 55994 b
7750+1 impact mitigation agreement to the Department of Agriculture
7751+2 before January 27, 2023 (the effective date of Public Act
7752+3 102-1123) this amendatory Act of the 102nd General Assembly.
7753+4 (Source: P.A. 101-4, eff. 4-19-19; 102-1123, eff. 1-27-23;
7754+5 revised 4-5-23.)
7755+6 Section 25. The Public Utilities Act is amended by adding
7756+7 Section 4-610 and Article XXIII as follows:
7757+8 (220 ILCS 5/4-610 new)
7758+9 Sec. 4-610. Thermal energy networks.
7759+10 (a) The General Assembly finds that:
7760+11 (1) the State has an interest in decarbonizing
7761+12 buildings in a manner that is affordable and accessible,
7762+13 preserves and creates living-wage jobs, and retains the
7763+14 knowledge and experience of the existing utility
7764+15 workforce;
7765+16 (2) thermal energy networks have the potential to
7766+17 affordably decarbonize buildings at the community-scale
7767+18 and utility-scale and help achieve the goals of the
7768+19 Climate and Equitable Jobs Act (Public Act 102-662);
7769+20 (3) the construction industry is highly skilled and
7770+21 labor intensive, and the installation of modern thermal
7771+22 energy networks involves particularly complex work,
7772+23 therefore effective qualification standards for craft
7773+24 labor personnel employed on these projects are critically
7774+
7775+
7776+
7777+
7778+
7779+ HB3445 Enrolled - 217 - LRB103 29599 AMQ 55994 b
7780+
7781+
7782+HB3445 Enrolled- 218 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 218 - LRB103 29599 AMQ 55994 b
7783+ HB3445 Enrolled - 218 - LRB103 29599 AMQ 55994 b
7784+1 needed to promote successful project delivery; and
7785+2 (4) it is the intent of the General Assembly to
7786+3 establish a stakeholder workshop within the Commission to
7787+4 promote the successful planning and delivery of thermal
7788+5 energy networks in an equitable manner that reduces
7789+6 emissions, offers affordable building decarbonization, and
7790+7 provides opportunities for employment with fair labor
7791+8 standards and preapprenticeship and apprenticeship
7792+9 programs.
7793+10 (b) As used in this Section:
7794+11 "Thermal energy" means piped noncombustible fluids used
7795+12 for transferring heat into and out of buildings for the
7796+13 purpose of reducing any resultant onsite greenhouse gas
7797+14 emissions of all types of heating and cooling processes,
7798+15 including, but not limited to, comfort heating and cooling,
7799+16 domestic hot water, and refrigeration.
7800+17 "Thermal energy network" means all real estate, fixtures,
7801+18 and personal property operated, owned, used, or to be used
7802+19 for, in connection with, or to facilitate a utility-scale
7803+20 distribution infrastructure project that supplies thermal
7804+21 energy.
7805+22 (c) The Commission, in order to develop a regulatory
7806+23 structure for utility thermal energy networks that scale with
7807+24 affordable and accessible building electrification, protect
7808+25 utility customers, and promote the successful planning and
7809+26 delivery of thermal energy networks, shall convene a workshop
7810+
7811+
7812+
7813+
7814+
7815+ HB3445 Enrolled - 218 - LRB103 29599 AMQ 55994 b
7816+
7817+
7818+HB3445 Enrolled- 219 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 219 - LRB103 29599 AMQ 55994 b
7819+ HB3445 Enrolled - 219 - LRB103 29599 AMQ 55994 b
7820+1 process for the purpose of establishing an open, inclusive,
7821+2 and cooperative forum regarding such thermal energy networks.
7822+3 The workshops may be facilitated by an independent,
7823+4 third-party facilitator selected by the Commission. The series
7824+5 of workshops shall include no fewer than 3 workshops. After
7825+6 the conclusion of the workshops, the Commission shall open a
7826+7 comment period that allows interested and diverse stakeholders
7827+8 to submit comments and recommendations regarding the thermal
7828+9 energy networks. Based on the workshop process and stakeholder
7829+10 comments and recommendations offered verbally or in writing
7830+11 during the workshops and in writing during the comment period
7831+12 following the workshops, the Commission or, if applicable, the
7832+13 independent third-party facilitator, shall prepare a report,
7833+14 to be submitted to the Governor and the General Assembly no
7834+15 later than March 1, 2024, describing the stakeholders,
7835+16 discussions, proposals, and areas of consensus and
7836+17 disagreement from the workshop process, and making
7837+18 recommendations regarding thermal energy networks.
7838+19 (d) The workshop shall be designed to achieve the
7839+20 following objectives:
7840+21 (1) determine appropriate ownership, market, and rate
7841+22 structures for thermal energy networks and whether the
7842+23 provision of thermal energy services by thermal network
7843+24 energy providers is in the public interest;
7844+25 (2) consider project designs that could maximize the
7845+26 value of existing State energy efficiency and
7846+
7847+
7848+
7849+
7850+
7851+ HB3445 Enrolled - 219 - LRB103 29599 AMQ 55994 b
7852+
7853+
7854+HB3445 Enrolled- 220 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 220 - LRB103 29599 AMQ 55994 b
7855+ HB3445 Enrolled - 220 - LRB103 29599 AMQ 55994 b
7856+1 weatherization programs and maximize federal funding
7857+2 opportunities to the extent practicable;
7858+3 (3) determine whether thermal energy network projects
7859+4 further climate justice and emissions reductions and
7860+5 benefits to utility customers and society at large,
7861+6 including but not limited to public health benefits in
7862+7 areas with disproportionate environmental burdens, job
7863+8 retention and creation, reliability, and increased
7864+9 affordability of renewable thermal energy options;
7865+10 (4) consider approaches to thermal energy network
7866+11 projects that advance financial and technical approaches
7867+12 to equitable and affordable building electrification,
7868+13 including access to thermal energy network benefits by low
7869+14 and moderate income households; and
7870+15 (5) consider approaches to promote the training and
7871+16 transition of utility workers to work on thermal energy
7872+17 networks.
7873+18 (220 ILCS 5/Art. XXIII heading new)
7874+19 ARTICLE XXIII. TRANSMISSION EFFICIENCY AND COOPERATION LAW
7875+20 (220 ILCS 5/23-100 new)
7876+21 Sec. 23-100. Short title. This Article may be cited as the
7877+22 Transmission Efficiency and Cooperation Law.
7878+23 (220 ILCS 5/23-105 new)
7879+
7880+
7881+
7882+
7883+
7884+ HB3445 Enrolled - 220 - LRB103 29599 AMQ 55994 b
7885+
7886+
7887+HB3445 Enrolled- 221 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 221 - LRB103 29599 AMQ 55994 b
7888+ HB3445 Enrolled - 221 - LRB103 29599 AMQ 55994 b
7889+1 Sec. 23-105. Incumbent transmission line owner rights.
7890+2 (a) As used in this Section:
7891+3 "Electric transmission line" means a transmission line
7892+4 that is designed and constructed with the capability of being
7893+5 safely and reliably energized at 100 kilovolts or more and its
7894+6 associated transmission facilities, including transmission
7895+7 substations. "Electric transmission line" does not include
7896+8 electric transmission lines located on an electric generating
7897+9 facility's side of the facility's point of interconnection
7898+10 with an incumbent electric transmission line owner.
7899+11 "Incumbent electric transmission owner" means any public
7900+12 utility, municipal corporation, or electric cooperative that
7901+13 owns, operates, and maintains at least one electric
7902+14 transmission line in this State.
7903+15 "Regional transmission operator" means a regional
7904+16 transmission organization, independent system operator, or
7905+17 equivalent entity approved by the Federal Energy Regulatory
7906+18 Commission, or its successor agency, that exercises functional
7907+19 control over electric transmission lines located in this
7908+20 State.
7909+21 "Transmission affiliate" means any company that has been
7910+22 issued a certificate of public convenience and necessity in
7911+23 Illinois authorizing it to own and operate an electric
7912+24 transmission line, and is an Illinois electric utility as
7913+25 defined in Section 16-102 or an affiliate thereof through a
7914+26 common ownership structure.
7915+
7916+
7917+
7918+
7919+
7920+ HB3445 Enrolled - 221 - LRB103 29599 AMQ 55994 b
7921+
7922+
7923+HB3445 Enrolled- 222 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 222 - LRB103 29599 AMQ 55994 b
7924+ HB3445 Enrolled - 222 - LRB103 29599 AMQ 55994 b
7925+1 "Transmission plan" means a transmission plan adopted by
7926+2 the Midcontinent Independent System Operator between January
7927+3 1, 2022 and December 31, 2024.
7928+4 (b) An incumbent electric transmission owner has the right
7929+5 to construct, own, and maintain an electric transmission line
7930+6 that has been approved for construction in a transmission plan
7931+7 and that will connect to facilities that are owned by that
7932+8 incumbent electric transmission owner and are or will be under
7933+9 the functional control of the Midcontinent Independent System
7934+10 Operator. The right to construct, own, and maintain any such
7935+11 electric transmission line that will connect to facilities
7936+12 located in the Midcontinent Independent System Operator region
7937+13 of the State and owned by 2 or more incumbent electric
7938+14 transmission owners belongs individually and proportionally to
7939+15 each incumbent electric transmission owner, unless otherwise
7940+16 agreed upon in writing. An incumbent electric transmission
7941+17 owner shall be permitted to assign its right to construct,
7942+18 own, and maintain an electric transmission line to a
7943+19 transmission affiliate.
7944+20 (c) Nothing in this Section limits the right of any
7945+21 incumbent electric transmission owner to construct, own, and
7946+22 maintain any transmission equipment or facilities that have a
7947+23 capacity of less than 100 kilovolts or of any entity otherwise
7948+24 qualified under this Act to own, operate, and maintain
7949+25 electric transmission facilities that are not approved for
7950+26 construction in a transmission plan or that will not connect
7951+
7952+
7953+
7954+
7955+
7956+ HB3445 Enrolled - 222 - LRB103 29599 AMQ 55994 b
7957+
7958+
7959+HB3445 Enrolled- 223 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 223 - LRB103 29599 AMQ 55994 b
7960+ HB3445 Enrolled - 223 - LRB103 29599 AMQ 55994 b
7961+1 to facilities under the functional control of a regional
7962+2 transmission operator.
7963+3 (d) Nothing in this Section shall be construed to impair,
7964+4 abridge, or diminish in any way the powers, rights, and
7965+5 privileges of municipal corporations that are not incumbent
7966+6 electric transmission owners to partner with an incumbent
7967+7 electric transmission owner on the development and ownership
7968+8 of an electric transmission line included in a transmission
7969+9 plan or to develop, construct, own, operate, maintain,
7970+10 upgrade, and renew facilities that are not included in a
7971+11 transmission plan but that are necessary or convenient in the
7972+12 provision of electric service, directly or indirectly, to
7973+13 citizens and businesses located in the service areas of
7974+14 municipal systems as that term is defined in Section 17-100,
7975+15 including the rights of such municipal systems and of
7976+16 municipal power agencies as defined in Section 11-119.1-3 of
7977+17 the Illinois Municipal Code to develop, construct, own,
7978+18 operate, maintain, upgrade, and renew such electric
7979+19 transmission lines and related facilities.
7980+20 (e) Nothing in this Section shall relieve an incumbent
7981+21 electric transmission owner asserting its right to construct
7982+22 an electric transmission line, or its transmission affiliate
7983+23 as applicable, of the requirement to file an application for a
7984+24 certificate of convenience and necessity to the extent
7985+25 otherwise required by this Act.
7986+26 (f) Within 90 days after the later of the effective date of
7987+
7988+
7989+
7990+
7991+
7992+ HB3445 Enrolled - 223 - LRB103 29599 AMQ 55994 b
7993+
7994+
7995+HB3445 Enrolled- 224 -LRB103 29599 AMQ 55994 b HB3445 Enrolled - 224 - LRB103 29599 AMQ 55994 b
7996+ HB3445 Enrolled - 224 - LRB103 29599 AMQ 55994 b
7997+1 this amendatory Act of the 103rd General Assembly or approval
7998+2 of the construction of an electric transmission line by a
7999+3 regional transmission operator, an incumbent electric
8000+4 transmission owner otherwise authorized to engage in the
8001+5 construction under this Section may provide notice to the
8002+6 Commission and the applicable regional transmission operator
8003+7 indicating it will not construct any or all of the electric
8004+8 transmission line so approved, or it will assign any or all of
8005+9 the construction to a transmission affiliate. If the notice is
8006+10 given and indicates the notifying incumbent electric
8007+11 transmission owner or its transmission affiliate will not
8008+12 construct any or all of the electric transmission line so
8009+13 approved, the incumbent electric transmission owner shall
8010+14 indicate the reason for that election, and the Commission may
8011+15 grant permission and approval for such construction to another
8012+16 entity otherwise qualified to own and operate the electric
8013+17 transmission line pursuant to this Act.
8014+
8015+
8016+
8017+
8018+
8019+ HB3445 Enrolled - 224 - LRB103 29599 AMQ 55994 b