Illinois 2025-2026 Regular Session

Illinois House Bill HB3290 Compare Versions

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1+104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3290 Introduced , by Rep. Nicholas K. Smith SYNOPSIS AS INTRODUCED: 415 ILCS 5/57.8415 ILCS 5/57.9 Amends the Environmental Protection Act. In a provision concerning the conditions for payment from the Underground Storage Tank Fund, provides that, in the case of any approved plan and budget for which payment is being sought, the Environmental Protection Agency shall make a payment determination within 120 days of receipt of both the complete application for payment and the report documenting completion of the activities approved in the plan, whichever is received later (rather than within 120 days after receipt of the application). Provides that, for underground storage tank releases reported before June 8, 2010, an owner or operator may access the Underground Storage Tank Fund for costs that are associated with an Agency-approved plan and that are incurred after the effective date of the amendatory Act after application of a $10,000 deductible (now, other deductibles are owed in some circumstances). Provides that the deductible shall be reduced by any deductible amount applied to costs incurred before the effective date of the amendatory Act. LRB104 11355 BDA 21443 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3290 Introduced , by Rep. Nicholas K. Smith SYNOPSIS AS INTRODUCED: 415 ILCS 5/57.8415 ILCS 5/57.9 415 ILCS 5/57.8 415 ILCS 5/57.9 Amends the Environmental Protection Act. In a provision concerning the conditions for payment from the Underground Storage Tank Fund, provides that, in the case of any approved plan and budget for which payment is being sought, the Environmental Protection Agency shall make a payment determination within 120 days of receipt of both the complete application for payment and the report documenting completion of the activities approved in the plan, whichever is received later (rather than within 120 days after receipt of the application). Provides that, for underground storage tank releases reported before June 8, 2010, an owner or operator may access the Underground Storage Tank Fund for costs that are associated with an Agency-approved plan and that are incurred after the effective date of the amendatory Act after application of a $10,000 deductible (now, other deductibles are owed in some circumstances). Provides that the deductible shall be reduced by any deductible amount applied to costs incurred before the effective date of the amendatory Act. LRB104 11355 BDA 21443 b LRB104 11355 BDA 21443 b A BILL FOR
2+104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3290 Introduced , by Rep. Nicholas K. Smith SYNOPSIS AS INTRODUCED:
3+415 ILCS 5/57.8415 ILCS 5/57.9 415 ILCS 5/57.8 415 ILCS 5/57.9
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6+Amends the Environmental Protection Act. In a provision concerning the conditions for payment from the Underground Storage Tank Fund, provides that, in the case of any approved plan and budget for which payment is being sought, the Environmental Protection Agency shall make a payment determination within 120 days of receipt of both the complete application for payment and the report documenting completion of the activities approved in the plan, whichever is received later (rather than within 120 days after receipt of the application). Provides that, for underground storage tank releases reported before June 8, 2010, an owner or operator may access the Underground Storage Tank Fund for costs that are associated with an Agency-approved plan and that are incurred after the effective date of the amendatory Act after application of a $10,000 deductible (now, other deductibles are owed in some circumstances). Provides that the deductible shall be reduced by any deductible amount applied to costs incurred before the effective date of the amendatory Act.
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312 1 AN ACT concerning safety.
413 2 Be it enacted by the People of the State of Illinois,
514 3 represented in the General Assembly:
615 4 Section 5. The Environmental Protection Act is amended by
716 5 changing Sections 57.8 and 57.9 as follows:
817 6 (415 ILCS 5/57.8)
918 7 Sec. 57.8. Underground Storage Tank Fund; payment; options
1019 8 for State payment; deferred correction election to commence
1120 9 corrective action upon availability of funds. If an owner or
1221 10 operator is eligible to access the Underground Storage Tank
1322 11 Fund pursuant to an Office of State Fire Marshal
1423 12 eligibility/deductible final determination letter issued in
1524 13 accordance with Section 57.9, the owner or operator may submit
1625 14 a complete application for final or partial payment to the
1726 15 Agency for activities taken in response to a confirmed
1827 16 release. An owner or operator may submit a request for partial
1928 17 or final payment regarding a site no more frequently than once
2029 18 every 90 days.
2130 19 (a) Payment after completion of corrective action
2231 20 measures. The owner or operator may submit an application for
2332 21 payment for activities performed at a site after completion of
2433 22 the requirements of Sections 57.6 and 57.7, or after
2534 23 completion of any other required activities at the underground
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38+104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3290 Introduced , by Rep. Nicholas K. Smith SYNOPSIS AS INTRODUCED:
39+415 ILCS 5/57.8415 ILCS 5/57.9 415 ILCS 5/57.8 415 ILCS 5/57.9
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42+Amends the Environmental Protection Act. In a provision concerning the conditions for payment from the Underground Storage Tank Fund, provides that, in the case of any approved plan and budget for which payment is being sought, the Environmental Protection Agency shall make a payment determination within 120 days of receipt of both the complete application for payment and the report documenting completion of the activities approved in the plan, whichever is received later (rather than within 120 days after receipt of the application). Provides that, for underground storage tank releases reported before June 8, 2010, an owner or operator may access the Underground Storage Tank Fund for costs that are associated with an Agency-approved plan and that are incurred after the effective date of the amendatory Act after application of a $10,000 deductible (now, other deductibles are owed in some circumstances). Provides that the deductible shall be reduced by any deductible amount applied to costs incurred before the effective date of the amendatory Act.
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3471 1 storage tank site.
3572 2 (1) In the case of any approved plan and budget for
3673 3 which payment is being sought, the Agency shall make a
3774 4 payment determination within 120 days of receipt of both
3875 5 the complete application for payment and the report
3976 6 documenting completion of the activities approved in the
4077 7 plan, whichever is received later. Such determination
4178 8 shall be considered a final decision. The Agency's review
4279 9 shall be limited to generally accepted auditing and
4380 10 accounting practices. In no case shall the Agency conduct
4481 11 additional review of any plan which was completed within
4582 12 the budget, beyond auditing for adherence to the
4683 13 corrective action measures in the proposal. If the Agency
4784 14 fails to approve the payment application within 120 days,
4885 15 such application shall be deemed approved by operation of
4986 16 law and the Agency shall proceed to reimburse the owner or
5087 17 operator the amount requested in the payment application.
5188 18 However, in no event shall the Agency reimburse the owner
5289 19 or operator an amount greater than the amount approved in
5390 20 the plan.
5491 21 (2) If sufficient funds are available in the
5592 22 Underground Storage Tank Fund, the Agency shall, within 60
5693 23 days, forward to the Office of the State Comptroller a
5794 24 voucher in the amount approved under the payment
5895 25 application.
5996 26 (3) In the case of insufficient funds, the Agency
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70107 1 shall form a priority list for payment and shall notify
71108 2 persons in such priority list monthly of the availability
72109 3 of funds and when payment shall be made. Payment shall be
73110 4 made to the owner or operator at such time as sufficient
74111 5 funds become available for the costs associated with site
75112 6 investigation and corrective action and costs expended for
76113 7 activities performed where no proposal is required, if
77114 8 applicable. Such priority list shall be available to any
78115 9 owner or operator upon request. Priority for payment shall
79116 10 be determined by the date the Agency receives a complete
80117 11 request for partial or final payment. Upon receipt of
81118 12 notification from the Agency that the requirements of this
82119 13 Title have been met, the Comptroller shall make payment to
83120 14 the owner or operator of the amount approved by the
84121 15 Agency, if sufficient money exists in the Fund. If there
85122 16 is insufficient money in the Fund, then payment shall not
86123 17 be made. If the owner or operator appeals a final Agency
87124 18 payment determination and it is determined that the owner
88125 19 or operator is eligible for payment or additional payment,
89126 20 the priority date for the payment or additional payment
90127 21 shall be the same as the priority date assigned to the
91128 22 original request for partial or final payment.
92129 23 (4) Any deductible, as determined pursuant to the
93130 24 Office of the State Fire Marshal's eligibility and
94131 25 deductibility final determination in accordance with
95132 26 Section 57.9, shall be subtracted from any payment invoice
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106143 1 paid to an eligible owner or operator. Only one deductible
107144 2 shall apply per underground storage tank site.
108145 3 (5) In the event that costs are or will be incurred in
109146 4 addition to those approved by the Agency, or after
110147 5 payment, the owner or operator may submit successive plans
111148 6 containing amended budgets. The requirements of Section
112149 7 57.7 shall apply to any amended plans.
113150 8 (6) For purposes of this Section, a complete
114151 9 application shall consist of:
115152 10 (A) A certification from a Licensed Professional
116153 11 Engineer or Licensed Professional Geologist as
117154 12 required under this Title and acknowledged by the
118155 13 owner or operator.
119156 14 (B) A statement of the amounts approved in the
120157 15 budget and the amounts actually sought for payment
121158 16 along with a certified statement by the owner or
122159 17 operator that the amounts so sought were expended in
123160 18 conformance with the approved budget.
124161 19 (C) A copy of the Office of the State Fire
125162 20 Marshal's eligibility and deductibility determination.
126163 21 (D) Proof that approval of the payment requested
127164 22 will not result in the limitations set forth in
128165 23 subsection (g) of this Section being exceeded.
129166 24 (E) A federal taxpayer identification number and
130167 25 legal status disclosure certification on a form
131168 26 prescribed and provided by the Agency.
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142179 1 (F) If the Agency determined under subsection
143180 2 (c)(3) of Section 57.7 of this Act that corrective
144181 3 action must include a project labor agreement, a
145182 4 certification from the owner or operator that the
146183 5 corrective action was (i) performed under a project
147184 6 labor agreement that meets the requirements of Section
148185 7 25 of the Project Labor Agreements Act and (ii)
149186 8 implemented in a manner consistent with the terms and
150187 9 conditions of the Project Labor Agreements Act and in
151188 10 full compliance with all statutes, regulations, and
152189 11 Executive Orders as required under that Act and the
153190 12 Prevailing Wage Act.
154191 13 (b) Commencement of site investigation or corrective
155192 14 action upon availability of funds. The Board shall adopt
156193 15 regulations setting forth procedures based on risk to human
157194 16 health or the environment under which the owner or operator
158195 17 who has received approval for any budget plan submitted
159196 18 pursuant to Section 57.7, and who is eligible for payment from
160197 19 the Underground Storage Tank Fund pursuant to an Office of the
161198 20 State Fire Marshal eligibility and deductibility
162199 21 determination, may elect to defer site investigation or
163200 22 corrective action activities until funds are available in an
164201 23 amount equal to the amount approved in the budget. The
165202 24 regulations shall establish criteria based on risk to human
166203 25 health or the environment to be used for determining on a
167204 26 site-by-site basis whether deferral is appropriate. The
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178215 1 regulations also shall establish the minimum investigatory
179216 2 requirements for determining whether the risk based criteria
180217 3 are present at a site considering deferral and procedures for
181218 4 the notification of owners or operators of insufficient funds,
182219 5 Agency review of request for deferral, notification of Agency
183220 6 final decisions, returning deferred sites to active status,
184221 7 and earmarking of funds for payment.
185222 8 (c) When the owner or operator requests indemnification
186223 9 for payment of costs incurred as a result of a release of
187224 10 petroleum from an underground storage tank, if the owner or
188225 11 operator has satisfied the requirements of subsection (a) of
189226 12 this Section, the Agency shall forward a copy of the request to
190227 13 the Attorney General. The Attorney General shall review and
191228 14 approve the request for indemnification if:
192229 15 (1) there is a legally enforceable judgment entered
193230 16 against the owner or operator and such judgment was
194231 17 entered due to harm caused by a release of petroleum from
195232 18 an underground storage tank and such judgment was not
196233 19 entered as a result of fraud; or
197234 20 (2) a settlement with a third party due to a release of
198235 21 petroleum from an underground storage tank is reasonable.
199236 22 (d) (1) Notwithstanding any other provision of this Title,
200237 23 the Agency shall not approve payment to an owner or operator
201238 24 from the Fund for costs of corrective action or
202239 25 indemnification incurred during a calendar year in excess of
203240 26 the following aggregate amounts based on the number of
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214251 1 petroleum underground storage tanks owned or operated by such
215252 2 owner or operator in Illinois.
216253 3 Amount Number of Tanks
217254 4 $2,000,000........................fewer than 101
218255 5 $3,000,000................................101 or more
219256 6 (2) (1) Costs incurred in excess of the aggregate amounts
220257 7 set forth in paragraph (1) of this subsection shall not be
221258 8 eligible for payment in subsequent years.
222259 9 (3) (2) For purposes of this subsection, requests
223260 10 submitted by any of the agencies, departments, boards,
224261 11 committees, or commissions of the State of Illinois shall be
225262 12 acted upon as claims from a single owner or operator.
226263 13 (4) (3) For purposes of this subsection, owner or operator
227264 14 includes (i) any subsidiary, parent, or joint stock company of
228265 15 the owner or operator and (ii) any company owned by any parent,
229266 16 subsidiary, or joint stock company of the owner or operator.
230267 17 (e) Costs of corrective action or indemnification incurred
231268 18 by an owner or operator which have been paid to an owner or
232269 19 operator under a policy of insurance, another written
233270 20 agreement, or a court order are not eligible for payment under
234271 21 this Section. An owner or operator who receives payment under
235272 22 a policy of insurance, another written agreement, or a court
236273 23 order shall reimburse the State to the extent such payment
237274 24 covers costs for which payment was received from the Fund. Any
238275 25 monies received by the State under this subsection (e) shall
239276 26 be deposited into the Fund.
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250287 1 (f) (Blank.).
251288 2 (g) The Agency shall not approve any payment from the Fund
252289 3 to pay an owner or operator:
253290 4 (1) for costs of corrective action incurred by such
254291 5 owner or operator in an amount in excess of $1,500,000 per
255292 6 occurrence; and
256293 7 (2) for costs of indemnification of such owner or
257294 8 operator in an amount in excess of $1,500,000 per
258295 9 occurrence.
259296 10 (h) Payment of any amount from the Fund for corrective
260297 11 action or indemnification shall be subject to the State
261298 12 acquiring by subrogation the rights of any owner, operator, or
262299 13 other person to recover the costs of corrective action or
263300 14 indemnification for which the Fund has compensated such owner,
264301 15 operator, or person from the person responsible or liable for
265302 16 the release.
266303 17 (i) If the Agency refuses to pay or authorizes only a
267304 18 partial payment, the affected owner or operator may petition
268305 19 the Board for a hearing in the manner provided for the review
269306 20 of permit decisions in Section 40 of this Act.
270307 21 (j) Costs of corrective action or indemnification incurred
271308 22 by an owner or operator prior to July 28, 1989, shall not be
272309 23 eligible for payment or reimbursement under this Section.
273310 24 (k) The Agency shall not pay costs of corrective action or
274311 25 indemnification incurred before providing notification of the
275312 26 release of petroleum in accordance with the provisions of this
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286323 1 Title.
287324 2 (l) Corrective action does not include legal defense
288325 3 costs. Legal defense costs include legal costs for seeking
289326 4 payment under this Title unless the owner or operator prevails
290327 5 before the Board in which case the Board may authorize payment
291328 6 of legal fees.
292329 7 (m) The Agency may apportion payment of costs for plans
293330 8 submitted under Section 57.7 if:
294331 9 (1) the owner or operator was deemed eligible to
295332 10 access the Fund for payment of corrective action costs for
296333 11 some, but not all, of the underground storage tanks at the
297334 12 site; and
298335 13 (2) the owner or operator failed to justify all costs
299336 14 attributable to each underground storage tank at the site.
300337 15 (n) The Agency shall not pay costs associated with a
301338 16 corrective action plan incurred after the Agency provides
302339 17 notification to the owner or operator pursuant to item (7) of
303340 18 subsection (b) of Section 57.7 that a revised corrective
304341 19 action plan is required. Costs associated with any
305342 20 subsequently approved corrective action plan shall be eligible
306343 21 for reimbursement if they meet the requirements of this Title.
307344 22 (Source: P.A. 98-109, eff. 7-25-13; revised 7-30-24.)
308345 23 (415 ILCS 5/57.9)
309346 24 Sec. 57.9. Underground Storage Tank Fund; eligibility and
310347 25 deductibility.
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321358 1 (a) The Underground Storage Tank Fund shall be accessible
322359 2 by owners and operators who have a confirmed release from an
323360 3 underground storage tank or related tank system of a substance
324361 4 listed in this Section. The owner or operator is eligible to
325362 5 access the Underground Storage Tank Fund if the eligibility
326363 6 requirements of this Title are satisfied and:
327364 7 (1) Neither the owner nor the operator is the United
328365 8 States Government.
329366 9 (2) The tank does not contain fuel which is exempt
330367 10 from the Motor Fuel Tax Law.
331368 11 (3) The costs were incurred as a result of a confirmed
332369 12 release of any of the following substances:
333370 13 (A) "Fuel", as defined in Section 1.19 of the
334371 14 Motor Fuel Tax Law.
335372 15 (B) Aviation fuel.
336373 16 (C) Heating oil.
337374 17 (D) Kerosene.
338375 18 (E) Used oil which has been refined from crude oil
339376 19 used in a motor vehicle, as defined in Section 1.3 of
340377 20 the Motor Fuel Tax Law.
341378 21 (4) The owner or operator registered the tank and paid
342379 22 all fees in accordance with the statutory and regulatory
343380 23 requirements of the Gasoline Storage Act.
344381 24 (5) The owner or operator notified the Illinois
345382 25 Emergency Management Agency of a confirmed release, the
346383 26 costs were incurred after the notification and the costs
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357394 1 were a result of a release of a substance listed in this
358395 2 Section. Costs of corrective action or indemnification
359396 3 incurred before providing that notification shall not be
360397 4 eligible for payment.
361398 5 (6) The costs have not already been paid to the owner
362399 6 or operator under a private insurance policy, other
363400 7 written agreement, or court order.
364401 8 (7) The costs were associated with "corrective action"
365402 9 of this Act.
366403 10 If the underground storage tank which experienced a
367404 11 release of a substance listed in this Section was
368405 12 installed after July 28, 1989, the owner or operator is
369406 13 eligible to access the Underground Storage Tank Fund if it
370407 14 is demonstrated to the Office of the State Fire Marshal
371408 15 the tank was installed and operated in accordance with
372409 16 Office of the State Fire Marshal regulatory requirements.
373410 17 Office of the State Fire Marshal certification is prima
374411 18 facie evidence the tank was installed pursuant to the
375412 19 Office of the State Fire Marshal regulatory requirements.
376413 20 (b) For releases reported prior to June 8, 2010 (the
377414 21 effective date of Public Act 96-908) this amendatory Act of
378415 22 the 96th General Assembly, an owner or operator may access the
379416 23 Underground Storage Tank Fund for costs associated with an
380417 24 Agency approved plan and the Agency shall approve the payment
381418 25 of costs associated with corrective action after the
382419 26 application of a $10,000 deductible, except in the following
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393430 1 situations:
394431 2 (1) For costs incurred prior to the effective date of
395432 3 this amendatory Act of the 104th General Assembly, a A
396433 4 deductible of $100,000 shall apply when none of the
397434 5 underground storage tanks were registered prior to July
398435 6 28, 1989, except in the case of underground storage tanks
399436 7 used exclusively to store heating oil for consumptive use
400437 8 on the premises where stored and which serve other than
401438 9 farms or residential units, a deductible of $100,000 shall
402439 10 apply when none of these tanks were registered prior to
403440 11 July 1, 1992.
404441 12 (2) For costs incurred prior to the effective date of
405442 13 this amendatory Act of the 104th General Assembly, a A
406443 14 deductible of $50,000 shall apply if any of the
407444 15 underground storage tanks were registered prior to July
408445 16 28, 1989, and the State received notice of the confirmed
409446 17 release prior to July 28, 1989.
410447 18 (3) For costs incurred prior to the effective date of
411448 19 this amendatory Act of the 104th General Assembly, a A
412449 20 deductible of $15,000 shall apply when one or more, but
413450 21 not all, of the underground storage tanks were registered
414451 22 prior to July 28, 1989, and the State received notice of
415452 23 the confirmed release on or after July 28, 1989.
416453 24 In cases where paragraph (1), (2), or (3) of this
417454 25 subsection applies, costs incurred after the effective date of
418455 26 this amendatory Act shall be subject to the $10,000
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429466 1 deductible, which shall be reduced by any deductible amount
430467 2 applied to costs incurred prior to the effective date of this
431468 3 amendatory Act of the 104th General Assembly.
432469 4 For releases reported on or after June 8, 2010 (the
433470 5 effective date of Public Act 96-908) this amendatory Act of
434471 6 the 96th General Assembly, an owner or operator may access the
435472 7 Underground Storage Tank Fund for costs associated with an
436473 8 Agency approved plan, and the Agency shall approve the payment
437474 9 of costs associated with corrective action after the
438475 10 application of a $5,000 deductible.
439476 11 A deductible shall apply annually for each site at which
440477 12 costs were incurred under a claim submitted pursuant to this
441478 13 Title, except that if corrective action in response to an
442479 14 occurrence takes place over a period of more than one year, in
443480 15 subsequent years, no deductible shall apply for costs incurred
444481 16 in response to such occurrence.
445482 17 (c) Eligibility and deductibility determinations shall be
446483 18 made by the Office of the State Fire Marshal.
447484 19 (1) When an owner or operator reports a confirmed
448485 20 release of a regulated substance, the Office of the State
449486 21 Fire Marshal shall provide the owner or operator with an
450487 22 "Eligibility and Deductibility Determination" form. The
451488 23 form shall either be provided on-site or within 15 days of
452489 24 the Office of the State Fire Marshal receipt of notice
453490 25 indicating a confirmed release. The form shall request
454491 26 sufficient information to enable the Office of the State
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465-1 Fire Marshal to make a final determination as to owner or
466-2 operator eligibility to access the Underground Storage
467-3 Tank Fund pursuant to this Title and the appropriate
468-4 deductible. The form shall be promulgated as a rule or
469-5 regulation pursuant to the Illinois Administrative
470-6 Procedure Act by the Office of the State Fire Marshal.
471-7 Until such form is promulgated, the Office of the State
472-8 Fire Marshal shall use a form which generally conforms
473-9 with this Act.
474-10 (2) Within 60 days of receipt of the "Eligibility and
475-11 Deductibility Determination" form, the Office of the State
476-12 Fire Marshal shall issue one letter enunciating the final
477-13 eligibility and deductibility determination, and such
478-14 determination or failure to act within the time prescribed
479-15 shall be a final decision appealable to the Illinois
480-16 Pollution Control Board.
481-17 (Source: P.A. 96-908, eff. 6-8-10; revised 7-30-24.)
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