Public Act 098-0434
 
HB2623 EnrolledLRB098 09597 JLS 39743 b

    AN ACT concerning regulation.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 5. The Illinois Power Agency Act is amended by
changing Section 1-92 as follows:
 
    (20 ILCS 3855/1-92)
    Sec. 1-92. Aggregation of electrical load by
municipalities, townships, and counties.
    (a) The corporate authorities of a municipality, township
board, or county board of a county may adopt an ordinance under
which it may aggregate in accordance with this Section
residential and small commercial retail electrical loads
located, respectively, within the municipality, the township,
or the unincorporated areas of the county and, for that
purpose, may solicit bids and enter into service agreements to
facilitate for those loads the sale and purchase of electricity
and related services and equipment.
    The corporate authorities, township board, or county board
may also exercise such authority jointly with any other
municipality, township, or county. Two or more municipalities,
townships, or counties, or a combination of both, may initiate
a process jointly to authorize aggregation by a majority vote
of each particular municipality, township, or county as
required by this Section.
    If the corporate authorities, township board, or the county
board seek to operate the aggregation program as an opt-out
program for residential and small commercial retail customers,
then prior to the adoption of an ordinance with respect to
aggregation of residential and small commercial retail
electric loads, the corporate authorities of a municipality,
the township board, or the county board of a county shall
submit a referendum to its residents to determine whether or
not the aggregation program shall operate as an opt-out program
for residential and small commercial retail customers.
    In addition to the notice and conduct requirements of the
general election law, notice of the referendum shall state
briefly the purpose of the referendum. The question of whether
the corporate authorities, the township board, or the county
board shall adopt an opt-out aggregation program for
residential and small commercial retail customers shall be
submitted to the electors of the municipality, township board,
or county board at a regular election and approved by a
majority of the electors voting on the question. The corporate
authorities, township board, or county board must certify to
the proper election authority, which must submit the question
at an election in accordance with the Election Code.
    The election authority must submit the question in
substantially the following form:
        Shall the (municipality, township, or county in which
    the question is being voted upon) have the authority to
    arrange for the supply of electricity for its residential
    and small commercial retail customers who have not opted
    out of such program?
The election authority must record the votes as "Yes" or "No".
    If a majority of the electors voting on the question vote
in the affirmative, then the corporate authorities, township
board, or county board may implement an opt-out aggregation
program for residential and small commercial retail customers.
    A referendum must pass in each particular municipality,
township, or county that is engaged in the aggregation program.
If the referendum fails, then the corporate authorities,
township board, or county board shall operate the aggregation
program as an opt-in program for residential and small
commercial retail customers.
    An ordinance under this Section shall specify whether the
aggregation will occur only with the prior consent of each
person owning, occupying, controlling, or using an electric
load center proposed to be aggregated. Nothing in this Section,
however, authorizes the aggregation of electric loads that are
served or authorized to be served by an electric cooperative as
defined by and pursuant to the Electric Supplier Act or loads
served by a municipality that owns and operates its own
electric distribution system. No aggregation shall take effect
unless approved by a majority of the members of the corporate
authority, township board, or county board voting upon the
ordinance.
    A governmental aggregator under this Section is not a
public utility or an alternative retail electric supplier.
    For purposes of this Section, "township" means the portion
of a township that is an unincorporated portion of a county
that is not otherwise a part of a municipality. In addition to
such other limitations as are included in this Section, a
township board shall only have authority to aggregate
residential and small commercial customer loads in accordance
with this Section if the county board of the county in which
the township is located (i) is not also submitting a referendum
to its residents at the same general election that the township
board proposes to submit a referendum under this subsection
(a), (ii) has not received authorization through passage of a
referendum to operate an opt-out aggregation program for
residential and small commercial retail customers under this
subsection (a), and (iii) has not otherwise enacted an
ordinance under this subsection (a) authorizing the operation
of an opt-in aggregation program for residential and small
commercial retail customers as described in this Section.
    (b) Upon the applicable requisite authority under this
Section, the corporate authorities, the township board, or the
county board, with assistance from the Illinois Power Agency,
shall develop a plan of operation and governance for the
aggregation program so authorized. Before adopting a plan under
this Section, the corporate authorities, township board, or
county board shall hold at least 2 public hearings on the plan.
Before the first hearing, the corporate authorities, township
board, or county board shall publish notice of the hearings
once a week for 2 consecutive weeks in a newspaper of general
circulation in the jurisdiction. The notice shall summarize the
plan and state the date, time, and location of each hearing.
Any load aggregation plan established pursuant to this Section
shall:
        (1) provide for universal access to all applicable
    residential customers and equitable treatment of
    applicable residential customers;
        (2) describe demand management and energy efficiency
    services to be provided to each class of customers; and
        (3) meet any requirements established by law
    concerning aggregated service offered pursuant to this
    Section.
    (c) The process for soliciting bids for electricity and
other related services and awarding proposed agreements for the
purchase of electricity and other related services shall be
conducted in the following order:
        (1) The corporate authorities, township board, or
    county board may solicit bids for electricity and other
    related services. The bid specifications may include a
    provision requiring the bidder to disclose the fuel type of
    electricity to be procured or generated on behalf of the
    aggregation program customers. The corporate authorities,
    township board, or county board may consider the proposed
    source of electricity to be procured or generated to be put
    into the grid on behalf of aggregation program customers in
    the competitive bidding process. The Agency and Commission
    may collaborate to issue joint guidance on voluntary
    uniform standards for bidder disclosures of the source of
    electricity to be procured or generated to be put into the
    grid on behalf of aggregation program customers.
        (1.5) A township board shall request from the electric
    utility those residential and small commercial customers
    within their aggregate area either by zip code or zip codes
    or other means as determined by the electric utility. The
    electric utility shall then provide to the township board
    the residential and small commercial customers, including
    the names and addresses of residential and small commercial
    customers, electronically. The township board shall be
    responsible for authenticating the residential and small
    commercial customers contained in this listing and
    providing edits of the data to affirm, add, or delete the
    residential and small commercial customers located within
    its jurisdiction. The township board shall provide the
    edited list to the electric utility in an electronic format
    or other means selected by the electric utility and certify
    that the information is accurate.
        (2) Notwithstanding Section 16-122 of the Public
    Utilities Act and Section 2HH of the Consumer Fraud and
    Deceptive Business Practices Act, an electric utility that
    provides residential and small commercial retail electric
    service in the aggregate area must, upon request of the
    corporate authorities, township board, or the county board
    in the aggregate area, submit to the requesting party, in
    an electronic format, those account numbers, names, and
    addresses of residential and small commercial retail
    customers in the aggregate area that are reflected in the
    electric utility's records at the time of the request;
    provided, however, that any township board has first
    provided an accurate customer list to the electric utility
    as provided for herein.
    Any corporate authority, township board, or county board
receiving customer information from an electric utility shall
be subject to the limitations on the disclosure of the
information described in Section 16-122 of the Public Utilities
Act and Section 2HH of the Consumer Fraud and Deceptive
Business Practices Act, and an electric utility shall not be
held liable for any claims arising out of the provision of
information pursuant to this item (2).
    (d) If the corporate authorities, township board, or county
board operate under an opt-in program for residential and small
commercial retail customers, then the corporate authorities,
township board, or county board shall comply with all of the
following:
        (1) Within 60 days after receiving the bids, the
    corporate authorities, township board, or county board
    shall allow residential and small commercial retail
    customers to commit to the terms and conditions of a bid
    that has been selected by the corporate authorities,
    township board, or county board.
        (2) If (A) the corporate authorities, township board,
    or county board award proposed agreements for the purchase
    of electricity and other related services and (B) an
    agreement is reached between the corporate authorities,
    township board, or county board for those services, then
    customers committed to the terms and conditions according
    to item (1) of this subsection (d) shall be committed to
    the agreement.
    (e) If the corporate authorities, township board, or county
board operate as an opt-out program for residential and small
commercial retail customers, then it shall be the duty of the
aggregated entity to fully inform residential and small
commercial retail customers in advance that they have the right
to opt out of the aggregation program. The disclosure shall
prominently state all charges to be made and shall include full
disclosure of the cost to obtain service pursuant to Section
16-103 of the Public Utilities Act, how to access it, and the
fact that it is available to them without penalty, if they are
currently receiving service under that Section. The Illinois
Power Agency shall furnish, without charge, to any citizen a
list of all supply options available to them in a format that
allows comparison of prices and products.
    (f) Any person or entity retained by a municipality or
county, or jointly by more than one such unit of local
government, to provide input, guidance, or advice in the
selection of an electricity supplier for an aggregation program
shall disclose in writing to the involved units of local
government the nature of any relationship through which the
person or entity may receive, either directly or indirectly,
commissions or other remuneration as a result of the selection
of any particular electricity supplier. The written disclosure
must be made prior to formal approval by the involved units of
local government of any professional services agreement with
the person or entity, or no later than October 1, 2012 with
respect to any such professional services agreement entered
into prior to the effective date of this amendatory Act of the
97th General Assembly. The disclosure shall cover all direct
and indirect relationships through which commissions or
remuneration may result, including the pooling of commissions
or remuneration among multiple persons or entities, and shall
identify all involved electricity suppliers. The disclosure
requirements in this subsection (f) are to be liberally
construed to ensure that the nature of financial interests are
fully revealed, and these disclosure requirements shall apply
regardless of whether the involved person or entity is licensed
under Section 16-115C of the Public Utilities Act. Any person
or entity that fails to make the disclosure required under this
subsection (f) is liable to the involved units of local
government in an amount equal to all compensation paid to such
person or entity by the units of local government for the
input, guidance, or advice in the selection of an electricity
supplier, plus reasonable attorneys fees and court costs
incurred by the units of local government in connection with
obtaining such amount.
    (g) The Illinois Power Agency shall provide assistance to
municipalities, townships, counties, or associations working
with municipalities to help complete the plan and bidding
process.
    (h) This Section does not prohibit municipalities or
counties from entering into an intergovernmental agreement to
aggregate residential and small commercial retail electric
loads.
(Source: P.A. 96-176, eff. 1-1-10; 97-338, eff. 8-12-11;
97-823, eff. 7-18-12; 97-1067, eff. 8-24-12; revised 9-20-12.)

Effective Date: 1/1/2014