103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB4196

 

Introduced 10/25/2023, by Rep. Martin J. Moylan

 

SYNOPSIS AS INTRODUCED:
 
415 ILCS 5/9.20 new

    Amends the Environmental Protection Act. Requires the Environmental Protection Agency to establish a Fleet Electrification Incentive Program to provide fleet owners and operators in the State grants to promote the use of eligible electric vehicles. Provides that the Program shall offer qualifying purchasers a grant up to specified base amounts toward the purchase of eligible electric vehicles based on the Class of vehicle. Requires the Agency to award grants under the Program on a competitive basis according to the availability of funding. Provides that to be eligible to receive a grant under the Program a purchaser must satisfy all of the required criteria. Provides that the Agency shall give weight to an application based upon the potential impact of the geographic location and route of the purchaser's fleet on pollution affecting an equity investment eligible community. Requires the Agency to ensure that resale of a vehicle serving a public school or located within an equity investment eligible community shall result in the vehicle servicing a similarly situated community. Provides that grants under the Program may be combined with other public incentives but the total of governmental incentives shall not exceed a maximum of 80% of the purchase price of the vehicle. Requires the Agency to set aside 20% of the appropriated funds under the Program for grants to the purchaser of electric school buses. Provides that all awards granted are subject to appropriation by the General Assembly. Defines terms.


LRB103 34797 MXP 64648 b

 

 

A BILL FOR

 

HB4196LRB103 34797 MXP 64648 b

1    AN ACT concerning transportation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Environmental Protection Act is amended by
5adding Section 9.20 as follows:
 
6    (415 ILCS 5/9.20 new)
7    Sec. 9.20. Fleet Electrification Incentive Program.
8    (a) In this Section:
9    "Eligible electric vehicle" means an electric truck or
10electric school bus categorized by the United States
11Environmental Protection Agency Emissions Classifications,
12using gross vehicle weight ratings, as a Class 2b, 3, 4, 5, 6,
137, or 8 vehicle. The use of a properly ventilated,
14conventionally powered heater shall not make an otherwise
15eligible electric vehicle ineligible under this Section.
16    "Equity investment eligible communities" has the meaning
17given to that term in the Energy Transition Act.
18    "Program" means the Fleet Electrification Incentive
19Program.
20    "Purchaser" means the fleet or owner, operator, or
21provider who will operate or manage the vehicle for a minimum
22of 5 years after receipt of the vehicle, whether through lease
23or direct purchase.

 

 

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1    (b) The Agency shall establish a Fleet Electrification
2Incentive Program to provide a fleet owner and operator in the
3State grants to promote the use of eligible electric vehicles.
4The Program shall offer a qualifying purchaser a grant up to
5the following base amounts toward the purchase of an eligible
6electric vehicle:
7        (1) $7,500 for Class 2b vehicles;
8        (2) $45,000 for Class 3 vehicles;
9        (3) $60,000 for Class 4 and Class 5 vehicles;
10        (4) $85,000 for Class 6 and Class 7 vehicles; and
11        (5) $120,000 for Class 8 vehicles.
12    The Program shall offer increased grant incentives of an
13additional 15% of the base amount for the purchase of vehicles
14that will be located within an equity investment eligible
15community and 65% of the base amount for the purchase of a
16school bus that will serve a public school district.
17    (c) The Agency shall award grants under the Program on a
18competitive basis according to the availability of funding. To
19be eligible to receive a grant under the Program a purchaser
20must satisfy all of the following criteria:
21        (1) The eligible electric vehicle must be registered
22    in this State or recognized under the International
23    Registration Plan.
24        (2) The fleet owner or operator must be domiciled in
25    this State.
26        (3) If the eligible electric vehicle is leased by the

 

 

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1    purchaser, the term of the lease must be at least 60
2    months.
3        (4) Once the eligible electric vehicle is purchased
4    and delivered, the vehicle must operate within the State
5    for at least 80% of its operational hours.
6    In providing grants under the Program, the Agency shall
7give weight to an application based upon the potential impact
8of the geographic location and route of the purchaser's fleet
9on pollution affecting equity investment eligible communities.
10    In providing grants under the Program, the Agency shall
11give priority to a purchaser who has negotiated and entered
12into a collective bargaining agreement at the time of
13application for the grant.
14    (d) A grant provided under the Program is limited to a
15maximum award of 80% of the purchase price per vehicle.
16Multiple vehicles may be included in each grant under the
17Program. A purchaser may be awarded multiple grants under the
18Program, however, the Agency shall have the authority to
19implement a limit on the number of grants awarded to each
20purchaser.
21    (e) A purchaser shall enter into a grant agreement with
22the Agency upon notification from the Agency that the
23purchaser's application has been approved. Grants shall be
24provided by the Agency with the submittal of a paid invoice for
25reimbursement. A purchaser participating in the Program shall
26retain ownership of the eligible electric vehicle and meet all

 

 

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1applicable project requirements for a minimum 5-year period
2after the date of the receipt of the vehicle. Resale of a
3vehicle may be allowed within the 5-year period if
4necessitated by unforeseen or unavoidable circumstances with
5approval from the Agency. The Agency shall ensure the resale
6of a vehicle serving a public school or located within an
7equity investment eligible community shall result in the
8vehicle servicing a similarly situated community.
9    (f) The deployment of the eligible electric vehicle in the
10purchaser's fleet is required within 24 months after receipt
11of notice of approval of the purchaser's Program application.
12Total completion of the project for which the eligible
13electric vehicle is purchased or leased must occur within 36
14months after receipt of grant funds under the Program.
15    (g) A grant under this Section may be combined with other
16public incentives to support fleet purchasing decisions.
17Receipt of any other public incentive for an eligible electric
18vehicle shall not preclude a purchaser from being awarded a
19grant under this Section. However, the combined total of
20governmental incentives, including, but not limited to, tax
21credits, grants, or vouchers, shall not exceed 80% of the
22purchase price of the vehicle.
23    (h) The Agency shall set aside 20% of the appropriated
24funds under the Program for grants to the purchaser of an
25electric school bus.
26    (i) All awards granted under this Section are subject to

 

 

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1appropriation by the General Assembly.