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1    AN ACT concerning energy.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 1. Short title. This Act may be cited as the Lake
5Michigan Wind Energy Act.
6    Section 5. Legislative findings. The General Assembly
8    (1) that Lake Michigan is a unique and treasured public
9asset that supports numerous activities for the benefit of the
10people, wildlife, and flora of the State of Illinois;
11    (2) that the bed of Lake Michigan is public land held in
12trust for the people of the State of Illinois and cannot be
13alienated to a private use or person;
14    (3) that federal and State policy, as well as the national
15security, energy, and environmental needs of the United States
16and the people of the State of Illinois, support exploration
17and development of renewable energy resources, including
18offshore wind energy;
19    (4) that the State of Illinois is a signatory to a federal
20and multistate memorandum of understanding and is committed to
21promoting the efficient, expeditious, orderly, and responsible
22evaluation of offshore wind power projects in the Great Lakes;
23    (5) that wind above the Illinois public trust lands of Lake



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1Michigan is a unique and significant renewable energy resource;
2    (6) that the development of that resource does not involve
3mining or other extraction of resources from the public trust
4lands of Lake Michigan;
5    (7) that the provision of renewable energy from offshore
6wind, if done in an environmentally responsible manner and
7without transferring ownership of any public trust lands of
8Lake Michigan, would serve a primarily public purpose
9consistent with the public trust; and
10    (8) that the Lake Michigan Offshore Wind Energy Advisory
11Council has recommended clarifying and confirming the State's
12authority to permit such development and has made other
13recommendations to further the responsible development of the
14State's wind energy resources above Lake Michigan.
15    Section 10. Definitions. As used in this Act:
16        "Public trust lands" means the bed of Lake Michigan.
17        "Department" means the Department of Natural
18    Resources.
19    Section 15. Wind energy siting matrix. The Department shall
20develop a detailed offshore wind energy siting matrix for the
21public trust lands of Lake Michigan, which shall, at a minimum,
22identify areas that are unsuitable for wind energy development
23("prohibited areas"), areas that are most appropriate for wind
24energy development ("preferred areas"), and areas that are



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1neither prohibited nor preferred for wind energy development
2but that may be considered for development upon application
3("possible areas"). The Department, in developing the wind
4energy siting matrix, shall take into consideration existing
5environmental, marine, public infrastructure, transportation,
6and security uses and factors, and may also consider other
7factors it identifies as appropriate.
8    Section 20. Offshore Wind Energy Economic Development
9Policy Task Force.
10    (a) The Governor shall convene an Offshore Wind Energy
11Economic Development Policy Task Force, to be chaired by the
12Director of Commerce and Economic Opportunity, or his or her
13designee, to analyze and evaluate policy and economic options
14to facilitate the development of offshore wind energy, and to
15propose an appropriate Illinois mechanism for purchasing and
16selling power from possible offshore wind energy projects. The
17Task Force shall examine mechanisms used in other states and
18jurisdictions, including, without limitation, feed-in-tariffs,
19renewable energy certificates, renewable energy certificate
20carve-outs, power purchase agreements, and pilot projects. The
21Task Force shall report its findings and recommendations to the
22Governor and General Assembly by December 31, 2013.
23    (b) The Director of the Illinois Power Agency (or his or
24her designee), the Executive Director of the Illinois Commerce
25Commission (or his or her designee), the Director of Natural



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1Resources (or his or her designee), and the Attorney General
2(or his or her designee) shall serve as ex officio members of
3the Task Force.
4    (c) The Governor shall appoint the following public members
5to serve on the Task Force:
6        (1) one individual from an institution of higher
7    education in Illinois representing the discipline of
8    economics with experience in the study of renewable energy;
9        (2) one individual representing an energy industry
10    with experience in renewable energy markets;
11        (3) one individual representing a Statewide consumer
12    or electric ratepayer organization;
13        (4) one individual representing the offshore wind
14    energy industry;
15        (5) one individual representing the wind energy supply
16    chain industry;
17        (6) one individual representing an Illinois electrical
18    cooperative, municipal electrical utility, or association
19    of such cooperatives or utilities;
20        (7) one individual representing an Illinois industrial
21    union involved in the construction, maintenance, or
22    transportation of electrical generation, distribution, or
23    transmission equipment or components;
24        (8) one individual representing an Illinois commercial
25    or industrial electrical consumer;
26        (9) one individual representing an Illinois public



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1    education electrical consumer;
2        (10) one individual representing an independent
3    transmission company;
4        (11) one individual from the Illinois legal community
5    with experience in contracts, utility law, municipal law,
6    and constitutional law;
7        (12) one individual representing a Great Lakes
8    regional organization with experience assessing or
9    studying wind energy;
10        (13) one individual representing a Statewide
11    environmental organization;
12        (14) one resident of the State representing an
13    organization advocating for persons of low or limited
14    incomes;
15        (15) one individual representing Argonne National
16    Laboratory; and
17        (16) one individual representing a local community
18    that has aggregated the purchase of electricity.
19    (d) The Governor may appoint additional public members to
20the Task Force.
21    (e) The Speaker of the House of Representatives, Minority
22Leader of the House of Representatives, Senate President, and
23Minority Leader of the Senate shall each appoint one member of
24the General Assembly to serve on the Task Force.
25    (f) Members of the Task Force shall serve without



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1    Section 25. Assessment permits. After finalizing the wind
2energy siting matrix required under Section 15, the Department
3may, in accordance with rules adopted by the Department
4pursuant to Section 5-40 of the Illinois Administrative
5Procedure Act and with the written approval of the Governor,
6grant in the name of the State of Illinois permits and site
7leases with respect to public trust lands of Lake Michigan for
8the assessment of sites for offshore wind energy development.
9    Section 30. Permits for wind park construction and
10operation. The Department may, in accordance with rules adopted
11by the Department pursuant to Section 5-40 of the Illinois
12Administrative Procedure Act, convert site assessment leases
13to offshore wind park construction and operation leases, upon
14an appropriate showing by the applicant that the construction
15and operation of wind energy facilities would not be
16inconsistent with the public trust.
17    Section 35. Permit terms. The Department may insert into
18any permit or lease issued under this Act any terms that it
19deems necessary to protect the rights of the State, the public,
20lessees, and users of waters above the public trust lands of
21Lake Michigan.
22    Section 40. Rulemaking. The Department may adopt, in



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1accordance with the requirements of Section 5-40 of the
2Illinois Administrative Procedure Act, any rule that is
3necessary to implement this Act. The rules adopted by the
4Department under this Section shall, at a minimum, specify
5permit fees and royalty schedules, requirements for bonding and
6guaranteeing, requirements for decommissioning, and any other
7requirements necessary for carrying out the provisions of this
9    Prior to adopting any rule under this Act, the Department
10shall consult with the Illinois Environmental Protection
11Agency, the Illinois Commerce Commission, the Illinois Power
12Agency, and the Department of Commerce and Economic
14    Section 45. Regulatory toolkit. The Department shall, in
15consultation with the Illinois Environmental Protection
16Agency, the Illinois Commerce Commission, the Illinois Power
17Agency, and the Department of Commerce and Economic
18Opportunity, prepare and publish a toolkit for advising and
19guiding developers on the regulatory and permitting process.
20The toolkit shall, at a minimum, include a checklist of
21required State permits and an overview of estimated timelines
22and likely areas of concern.
23    Section 50. Limitation on Department Authority. Nothing
24contained in this Act shall be construed as requiring or



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1permitting the Department to permanently convey any public
2trust lands for energy development.
3    Section 99. Effective date. This Act takes effect upon
4becoming law.