104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB2205 Introduced 2/7/2025, by Sen. Laura Fine 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 11353 BDA 21441 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB2205 Introduced 2/7/2025, by Sen. Laura Fine 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 11353 BDA 21441 b LRB104 11353 BDA 21441 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB2205 Introduced 2/7/2025, by Sen. Laura Fine SYNOPSIS AS INTRODUCED: 415 ILCS 5/57.8415 ILCS 5/57.9 415 ILCS 5/57.8 415 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 11353 BDA 21441 b LRB104 11353 BDA 21441 b LRB104 11353 BDA 21441 b A BILL FOR SB2205LRB104 11353 BDA 21441 b SB2205 LRB104 11353 BDA 21441 b SB2205 LRB104 11353 BDA 21441 b 1 AN ACT concerning safety. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Environmental Protection Act is amended by 5 changing Sections 57.8 and 57.9 as follows: 6 (415 ILCS 5/57.8) 7 Sec. 57.8. Underground Storage Tank Fund; payment; options 8 for State payment; deferred correction election to commence 9 corrective action upon availability of funds. If an owner or 10 operator is eligible to access the Underground Storage Tank 11 Fund pursuant to an Office of State Fire Marshal 12 eligibility/deductible final determination letter issued in 13 accordance with Section 57.9, the owner or operator may submit 14 a complete application for final or partial payment to the 15 Agency for activities taken in response to a confirmed 16 release. An owner or operator may submit a request for partial 17 or final payment regarding a site no more frequently than once 18 every 90 days. 19 (a) Payment after completion of corrective action 20 measures. The owner or operator may submit an application for 21 payment for activities performed at a site after completion of 22 the requirements of Sections 57.6 and 57.7, or after 23 completion of any other required activities at the underground 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB2205 Introduced 2/7/2025, by Sen. Laura Fine SYNOPSIS AS INTRODUCED: 415 ILCS 5/57.8415 ILCS 5/57.9 415 ILCS 5/57.8 415 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 11353 BDA 21441 b LRB104 11353 BDA 21441 b LRB104 11353 BDA 21441 b A BILL FOR 415 ILCS 5/57.8 415 ILCS 5/57.9 LRB104 11353 BDA 21441 b SB2205 LRB104 11353 BDA 21441 b SB2205- 2 -LRB104 11353 BDA 21441 b SB2205 - 2 - LRB104 11353 BDA 21441 b SB2205 - 2 - LRB104 11353 BDA 21441 b 1 storage tank site. 2 (1) In the case of any approved plan and budget for 3 which payment is being sought, the Agency shall make a 4 payment determination within 120 days of receipt of both 5 the complete application for payment and the report 6 documenting completion of the activities approved in the 7 plan, whichever is received later. Such determination 8 shall be considered a final decision. The Agency's review 9 shall be limited to generally accepted auditing and 10 accounting practices. In no case shall the Agency conduct 11 additional review of any plan which was completed within 12 the budget, beyond auditing for adherence to the 13 corrective action measures in the proposal. If the Agency 14 fails to approve the payment application within 120 days, 15 such application shall be deemed approved by operation of 16 law and the Agency shall proceed to reimburse the owner or 17 operator the amount requested in the payment application. 18 However, in no event shall the Agency reimburse the owner 19 or operator an amount greater than the amount approved in 20 the plan. 21 (2) If sufficient funds are available in the 22 Underground Storage Tank Fund, the Agency shall, within 60 23 days, forward to the Office of the State Comptroller a 24 voucher in the amount approved under the payment 25 application. 26 (3) In the case of insufficient funds, the Agency SB2205 - 2 - LRB104 11353 BDA 21441 b SB2205- 3 -LRB104 11353 BDA 21441 b SB2205 - 3 - LRB104 11353 BDA 21441 b SB2205 - 3 - LRB104 11353 BDA 21441 b 1 shall form a priority list for payment and shall notify 2 persons in such priority list monthly of the availability 3 of funds and when payment shall be made. Payment shall be 4 made to the owner or operator at such time as sufficient 5 funds become available for the costs associated with site 6 investigation and corrective action and costs expended for 7 activities performed where no proposal is required, if 8 applicable. Such priority list shall be available to any 9 owner or operator upon request. Priority for payment shall 10 be determined by the date the Agency receives a complete 11 request for partial or final payment. Upon receipt of 12 notification from the Agency that the requirements of this 13 Title have been met, the Comptroller shall make payment to 14 the owner or operator of the amount approved by the 15 Agency, if sufficient money exists in the Fund. If there 16 is insufficient money in the Fund, then payment shall not 17 be made. If the owner or operator appeals a final Agency 18 payment determination and it is determined that the owner 19 or operator is eligible for payment or additional payment, 20 the priority date for the payment or additional payment 21 shall be the same as the priority date assigned to the 22 original request for partial or final payment. 23 (4) Any deductible, as determined pursuant to the 24 Office of the State Fire Marshal's eligibility and 25 deductibility final determination in accordance with 26 Section 57.9, shall be subtracted from any payment invoice SB2205 - 3 - LRB104 11353 BDA 21441 b SB2205- 4 -LRB104 11353 BDA 21441 b SB2205 - 4 - LRB104 11353 BDA 21441 b SB2205 - 4 - LRB104 11353 BDA 21441 b 1 paid to an eligible owner or operator. Only one deductible 2 shall apply per underground storage tank site. 3 (5) In the event that costs are or will be incurred in 4 addition to those approved by the Agency, or after 5 payment, the owner or operator may submit successive plans 6 containing amended budgets. The requirements of Section 7 57.7 shall apply to any amended plans. 8 (6) For purposes of this Section, a complete 9 application shall consist of: 10 (A) A certification from a Licensed Professional 11 Engineer or Licensed Professional Geologist as 12 required under this Title and acknowledged by the 13 owner or operator. 14 (B) A statement of the amounts approved in the 15 budget and the amounts actually sought for payment 16 along with a certified statement by the owner or 17 operator that the amounts so sought were expended in 18 conformance with the approved budget. 19 (C) A copy of the Office of the State Fire 20 Marshal's eligibility and deductibility determination. 21 (D) Proof that approval of the payment requested 22 will not result in the limitations set forth in 23 subsection (g) of this Section being exceeded. 24 (E) A federal taxpayer identification number and 25 legal status disclosure certification on a form 26 prescribed and provided by the Agency. SB2205 - 4 - LRB104 11353 BDA 21441 b SB2205- 5 -LRB104 11353 BDA 21441 b SB2205 - 5 - LRB104 11353 BDA 21441 b SB2205 - 5 - LRB104 11353 BDA 21441 b 1 (F) If the Agency determined under subsection 2 (c)(3) of Section 57.7 of this Act that corrective 3 action must include a project labor agreement, a 4 certification from the owner or operator that the 5 corrective action was (i) performed under a project 6 labor agreement that meets the requirements of Section 7 25 of the Project Labor Agreements Act and (ii) 8 implemented in a manner consistent with the terms and 9 conditions of the Project Labor Agreements Act and in 10 full compliance with all statutes, regulations, and 11 Executive Orders as required under that Act and the 12 Prevailing Wage Act. 13 (b) Commencement of site investigation or corrective 14 action upon availability of funds. The Board shall adopt 15 regulations setting forth procedures based on risk to human 16 health or the environment under which the owner or operator 17 who has received approval for any budget plan submitted 18 pursuant to Section 57.7, and who is eligible for payment from 19 the Underground Storage Tank Fund pursuant to an Office of the 20 State Fire Marshal eligibility and deductibility 21 determination, may elect to defer site investigation or 22 corrective action activities until funds are available in an 23 amount equal to the amount approved in the budget. The 24 regulations shall establish criteria based on risk to human 25 health or the environment to be used for determining on a 26 site-by-site basis whether deferral is appropriate. The SB2205 - 5 - LRB104 11353 BDA 21441 b SB2205- 6 -LRB104 11353 BDA 21441 b SB2205 - 6 - LRB104 11353 BDA 21441 b SB2205 - 6 - LRB104 11353 BDA 21441 b 1 regulations also shall establish the minimum investigatory 2 requirements for determining whether the risk based criteria 3 are present at a site considering deferral and procedures for 4 the notification of owners or operators of insufficient funds, 5 Agency review of request for deferral, notification of Agency 6 final decisions, returning deferred sites to active status, 7 and earmarking of funds for payment. 8 (c) When the owner or operator requests indemnification 9 for payment of costs incurred as a result of a release of 10 petroleum from an underground storage tank, if the owner or 11 operator has satisfied the requirements of subsection (a) of 12 this Section, the Agency shall forward a copy of the request to 13 the Attorney General. The Attorney General shall review and 14 approve the request for indemnification if: 15 (1) there is a legally enforceable judgment entered 16 against the owner or operator and such judgment was 17 entered due to harm caused by a release of petroleum from 18 an underground storage tank and such judgment was not 19 entered as a result of fraud; or 20 (2) a settlement with a third party due to a release of 21 petroleum from an underground storage tank is reasonable. 22 (d) (1) Notwithstanding any other provision of this Title, 23 the Agency shall not approve payment to an owner or operator 24 from the Fund for costs of corrective action or 25 indemnification incurred during a calendar year in excess of 26 the following aggregate amounts based on the number of SB2205 - 6 - LRB104 11353 BDA 21441 b SB2205- 7 -LRB104 11353 BDA 21441 b SB2205 - 7 - LRB104 11353 BDA 21441 b SB2205 - 7 - LRB104 11353 BDA 21441 b 1 petroleum underground storage tanks owned or operated by such 2 owner or operator in Illinois. 3 Amount Number of Tanks 4 $2,000,000........................fewer than 101 5 $3,000,000................................101 or more 6 (2) (1) Costs incurred in excess of the aggregate amounts 7 set forth in paragraph (1) of this subsection shall not be 8 eligible for payment in subsequent years. 9 (3) (2) For purposes of this subsection, requests 10 submitted by any of the agencies, departments, boards, 11 committees, or commissions of the State of Illinois shall be 12 acted upon as claims from a single owner or operator. 13 (4) (3) For purposes of this subsection, owner or operator 14 includes (i) any subsidiary, parent, or joint stock company of 15 the owner or operator and (ii) any company owned by any parent, 16 subsidiary, or joint stock company of the owner or operator. 17 (e) Costs of corrective action or indemnification incurred 18 by an owner or operator which have been paid to an owner or 19 operator under a policy of insurance, another written 20 agreement, or a court order are not eligible for payment under 21 this Section. An owner or operator who receives payment under 22 a policy of insurance, another written agreement, or a court 23 order shall reimburse the State to the extent such payment 24 covers costs for which payment was received from the Fund. Any 25 monies received by the State under this subsection (e) shall 26 be deposited into the Fund. SB2205 - 7 - LRB104 11353 BDA 21441 b SB2205- 8 -LRB104 11353 BDA 21441 b SB2205 - 8 - LRB104 11353 BDA 21441 b SB2205 - 8 - LRB104 11353 BDA 21441 b 1 (f) (Blank.). 2 (g) The Agency shall not approve any payment from the Fund 3 to pay an owner or operator: 4 (1) for costs of corrective action incurred by such 5 owner or operator in an amount in excess of $1,500,000 per 6 occurrence; and 7 (2) for costs of indemnification of such owner or 8 operator in an amount in excess of $1,500,000 per 9 occurrence. 10 (h) Payment of any amount from the Fund for corrective 11 action or indemnification shall be subject to the State 12 acquiring by subrogation the rights of any owner, operator, or 13 other person to recover the costs of corrective action or 14 indemnification for which the Fund has compensated such owner, 15 operator, or person from the person responsible or liable for 16 the release. 17 (i) If the Agency refuses to pay or authorizes only a 18 partial payment, the affected owner or operator may petition 19 the Board for a hearing in the manner provided for the review 20 of permit decisions in Section 40 of this Act. 21 (j) Costs of corrective action or indemnification incurred 22 by an owner or operator prior to July 28, 1989, shall not be 23 eligible for payment or reimbursement under this Section. 24 (k) The Agency shall not pay costs of corrective action or 25 indemnification incurred before providing notification of the 26 release of petroleum in accordance with the provisions of this SB2205 - 8 - LRB104 11353 BDA 21441 b SB2205- 9 -LRB104 11353 BDA 21441 b SB2205 - 9 - LRB104 11353 BDA 21441 b SB2205 - 9 - LRB104 11353 BDA 21441 b 1 Title. 2 (l) Corrective action does not include legal defense 3 costs. Legal defense costs include legal costs for seeking 4 payment under this Title unless the owner or operator prevails 5 before the Board in which case the Board may authorize payment 6 of legal fees. 7 (m) The Agency may apportion payment of costs for plans 8 submitted under Section 57.7 if: 9 (1) the owner or operator was deemed eligible to 10 access the Fund for payment of corrective action costs for 11 some, but not all, of the underground storage tanks at the 12 site; and 13 (2) the owner or operator failed to justify all costs 14 attributable to each underground storage tank at the site. 15 (n) The Agency shall not pay costs associated with a 16 corrective action plan incurred after the Agency provides 17 notification to the owner or operator pursuant to item (7) of 18 subsection (b) of Section 57.7 that a revised corrective 19 action plan is required. Costs associated with any 20 subsequently approved corrective action plan shall be eligible 21 for reimbursement if they meet the requirements of this Title. 22 (Source: P.A. 98-109, eff. 7-25-13; revised 7-30-24.) 23 (415 ILCS 5/57.9) 24 Sec. 57.9. Underground Storage Tank Fund; eligibility and 25 deductibility. SB2205 - 9 - LRB104 11353 BDA 21441 b SB2205- 10 -LRB104 11353 BDA 21441 b SB2205 - 10 - LRB104 11353 BDA 21441 b SB2205 - 10 - LRB104 11353 BDA 21441 b 1 (a) The Underground Storage Tank Fund shall be accessible 2 by owners and operators who have a confirmed release from an 3 underground storage tank or related tank system of a substance 4 listed in this Section. The owner or operator is eligible to 5 access the Underground Storage Tank Fund if the eligibility 6 requirements of this Title are satisfied and: 7 (1) Neither the owner nor the operator is the United 8 States Government. 9 (2) The tank does not contain fuel which is exempt 10 from the Motor Fuel Tax Law. 11 (3) The costs were incurred as a result of a confirmed 12 release of any of the following substances: 13 (A) "Fuel", as defined in Section 1.19 of the 14 Motor Fuel Tax Law. 15 (B) Aviation fuel. 16 (C) Heating oil. 17 (D) Kerosene. 18 (E) Used oil which has been refined from crude oil 19 used in a motor vehicle, as defined in Section 1.3 of 20 the Motor Fuel Tax Law. 21 (4) The owner or operator registered the tank and paid 22 all fees in accordance with the statutory and regulatory 23 requirements of the Gasoline Storage Act. 24 (5) The owner or operator notified the Illinois 25 Emergency Management Agency of a confirmed release, the 26 costs were incurred after the notification and the costs SB2205 - 10 - LRB104 11353 BDA 21441 b SB2205- 11 -LRB104 11353 BDA 21441 b SB2205 - 11 - LRB104 11353 BDA 21441 b SB2205 - 11 - LRB104 11353 BDA 21441 b 1 were a result of a release of a substance listed in this 2 Section. Costs of corrective action or indemnification 3 incurred before providing that notification shall not be 4 eligible for payment. 5 (6) The costs have not already been paid to the owner 6 or operator under a private insurance policy, other 7 written agreement, or court order. 8 (7) The costs were associated with "corrective action" 9 of this Act. 10 If the underground storage tank which experienced a 11 release of a substance listed in this Section was 12 installed after July 28, 1989, the owner or operator is 13 eligible to access the Underground Storage Tank Fund if it 14 is demonstrated to the Office of the State Fire Marshal 15 the tank was installed and operated in accordance with 16 Office of the State Fire Marshal regulatory requirements. 17 Office of the State Fire Marshal certification is prima 18 facie evidence the tank was installed pursuant to the 19 Office of the State Fire Marshal regulatory requirements. 20 (b) For releases reported prior to June 8, 2010 (the 21 effective date of Public Act 96-908) this amendatory Act of 22 the 96th General Assembly, an owner or operator may access the 23 Underground Storage Tank Fund for costs associated with an 24 Agency approved plan and the Agency shall approve the payment 25 of costs associated with corrective action after the 26 application of a $10,000 deductible, except in the following SB2205 - 11 - LRB104 11353 BDA 21441 b SB2205- 12 -LRB104 11353 BDA 21441 b SB2205 - 12 - LRB104 11353 BDA 21441 b SB2205 - 12 - LRB104 11353 BDA 21441 b 1 situations: 2 (1) For costs incurred prior to the effective date of 3 this amendatory Act of the 104th General Assembly, a A 4 deductible of $100,000 shall apply when none of the 5 underground storage tanks were registered prior to July 6 28, 1989, except in the case of underground storage tanks 7 used exclusively to store heating oil for consumptive use 8 on the premises where stored and which serve other than 9 farms or residential units, a deductible of $100,000 shall 10 apply when none of these tanks were registered prior to 11 July 1, 1992. 12 (2) For costs incurred prior to the effective date of 13 this amendatory Act of the 104th General Assembly, a A 14 deductible of $50,000 shall apply if any of the 15 underground storage tanks were registered prior to July 16 28, 1989, and the State received notice of the confirmed 17 release prior to July 28, 1989. 18 (3) For costs incurred prior to the effective date of 19 this amendatory Act of the 104th General Assembly, a A 20 deductible of $15,000 shall apply when one or more, but 21 not all, of the underground storage tanks were registered 22 prior to July 28, 1989, and the State received notice of 23 the confirmed release on or after July 28, 1989. 24 In cases where paragraph (1), (2), or (3) of this 25 subsection applies, costs incurred after the effective date of 26 this amendatory Act shall be subject to the $10,000 SB2205 - 12 - LRB104 11353 BDA 21441 b SB2205- 13 -LRB104 11353 BDA 21441 b SB2205 - 13 - LRB104 11353 BDA 21441 b SB2205 - 13 - LRB104 11353 BDA 21441 b 1 deductible, which shall be reduced by any deductible amount 2 applied to costs incurred prior to the effective date of this 3 amendatory Act of the 104th General Assembly. 4 For releases reported on or after June 8, 2010 (the 5 effective date of Public Act 96-908) this amendatory Act of 6 the 96th General Assembly, an owner or operator may access the 7 Underground Storage Tank Fund for costs associated with an 8 Agency approved plan, and the Agency shall approve the payment 9 of costs associated with corrective action after the 10 application of a $5,000 deductible. 11 A deductible shall apply annually for each site at which 12 costs were incurred under a claim submitted pursuant to this 13 Title, except that if corrective action in response to an 14 occurrence takes place over a period of more than one year, in 15 subsequent years, no deductible shall apply for costs incurred 16 in response to such occurrence. 17 (c) Eligibility and deductibility determinations shall be 18 made by the Office of the State Fire Marshal. 19 (1) When an owner or operator reports a confirmed 20 release of a regulated substance, the Office of the State 21 Fire Marshal shall provide the owner or operator with an 22 "Eligibility and Deductibility Determination" form. The 23 form shall either be provided on-site or within 15 days of 24 the Office of the State Fire Marshal receipt of notice 25 indicating a confirmed release. The form shall request 26 sufficient information to enable the Office of the State SB2205 - 13 - LRB104 11353 BDA 21441 b SB2205- 14 -LRB104 11353 BDA 21441 b SB2205 - 14 - LRB104 11353 BDA 21441 b SB2205 - 14 - LRB104 11353 BDA 21441 b SB2205 - 14 - LRB104 11353 BDA 21441 b