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1    AN ACT concerning State government.
 
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
5Illinois Titanium Powdered Metals Development Act.
 
6    Section 5. Purpose. The purpose of this Act is to assist in
7the development of the titanium powdered metals industry in
8Illinois. The industry is growing but under the current
9economic climate and conditions needs State assistance to
10further promote and develop itself. The State's assistance will
11help the industry to grow, stabilize, and create jobs. The
12production of titanium powder is an energy efficient process
13that reduces the use of energy. Titanium powder, when used in
14manufacturing processes, helps to create energy efficient
15products. Furthermore, the State's assistance will help
16provide additional needed resources to existing and new
17research programs while also giving the industry the ability to
18partner with Illinois' world class higher educational
19institutions. This will enable Illinois' titanium powdered
20metals industry to become a world class leader.
 
21    Section 10. Definition. As used in this Act, "titanium
22powdered metals" means a powdered metalworking process through

 

 

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1solid-state reduction, atomization, electrolysis, or chemical
2processing whereby the final product has been manufactured
3using at least 50% titanium tetrachloride (TiCl4).
4    "Department" means the Department of Commerce and Economic
5Opportunity.
6    "Director" means the Director of Commerce and Economic
7Opportunity.
 
8    Section 15. Creation of the Advisory Committee. The
9Illinois Titanium Powdered Metals Development Advisory
10Committee is hereby created within the Department of Commerce
11and Economic Opportunity. The Advisory Committee shall be
12composed of the following voting members: the Director of
13Commerce and Economic Opportunity, who shall be Chairman of the
14Advisory Committee, and 4 members of the General Assembly (one
15each appointed by the President of the Senate, the Senate
16Minority Leader, the Speaker of the House of Representatives,
17and the House Minority Leader). Members appointed by a
18legislative leader shall serve for the duration of the General
19Assembly for which he or she is appointed, so long as the
20member remains a member of that General Assembly.
21    The Advisory Committee shall meet at the call of the
22Chairman. At any time, the majority of the Advisory Committee
23may petition the Chairman for a meeting of the Committee. Three
24members of the Advisory Committee shall constitute a quorum.
 

 

 

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1    Section 20. Powers and duties of the Advisory Committee.
2The Advisory Committee shall have the following powers and
3duties:
4        (1) to develop an annual agenda to assist the growth
5    and development of the titanium powdered metals industry
6    within Illinois that may include, but is not limited to,
7    research, marketing, and promotional methodologies
8    conducted for the purpose of increasing the use of titanium
9    powdered metals produced, used, or transported by Illinois
10    companies with an emphasis on the following areas:
11    maintaining and increasing employment of Illinois workers
12    in the titanium powdered metals industry, titanium
13    powdered metals preparation and characterization,
14    marketing, public awareness and education, and
15    environmental impacts;
16        (2) to support and coordinate titanium powdered metals
17    research, marketing, and promotion in Illinois;
18        (3) to make recommendations to the Department
19    concerning direct loans or grants to companies in Illinois
20    that produce, manufacture, or substantially use titanium
21    powdered metals for the promotion, research, manufacture,
22    infrastructure, and research and development of titanium
23    powdered metals, including engineering, legal, or design
24    qualified experts, and for any other purpose in fulfillment
25    of this Act;
26        (4) to seek the assistance, help, and expertise of the

 

 

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1    staff of the Department as the Advisory Committee deems
2    necessary to accomplish its goals under this Act;
3        (5) to cooperate to the fullest extent possible with
4    State and federal agencies and departments, independent
5    organizations, and other interested groups, public and
6    private, for the purposes of promoting Illinois titanium
7    powdered metal resources;
8        (6) to focus on (i) existing titanium powdered metals
9    research, marketing, and promotion efforts, (ii) ways to
10    make use of existing facilities in Illinois or other
11    institutions carrying out research, marketing, and
12    promotion of titanium powdered metals, and (iii) make
13    maximum use of the facilities available in Illinois,
14    including universities and colleges located within the
15    State;
16        (7) to create a consortium that conducts, coordinates,
17    and supports titanium powdered metals research, promotion,
18    and marketing activities in the State of Illinois;
19    programmatic activities of the consortium or center shall
20    be subject to approval by the Advisory Committee and shall
21    be consistent with the purposes of this Section;
22        (8) to adopt, amend, or repeal rules, regulations, and
23    bylaws governing the Advisory Committee's organization and
24    conduct of business;
25        (9) to search for and make recommendations to the
26    Department on the securing of gifts or grants in any form

 

 

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1    from any public agency or any other source;
2        (10) to publish, from time to time, the results of
3    titanium powdered metals research, marketing, and
4    promotion projects supported by the Advisory Committee.
 
5    Section 25. Other functions of the Advisory Committee. The
6Advisory Committee shall also:
7        (1) create and maintain current and accurate records on
8    all markets for and actual uses of titanium powdered metals
9    processed, used, or transported in Illinois and ways of
10    making those records available to the public upon request;
11        (2) identify all current and anticipated future
12    technical, economic, institutional, market, environmental,
13    regulatory, and other impediments to the use of titanium
14    powdered metals and the titanium powdered metal industry in
15    Illinois;
16        (3) identify alternative plans or actions that would
17    maintain or increase the use of titanium powdered metals
18    and the titanium powdered metal industry in Illinois;
19        (4) develop strategies and policies to promote
20    responsible uses of titanium powdered metals and the
21    titanium powdered industry in Illinois.
 
22    Section 30. Titanium Powdered Metals Development Fund;
23creation. The Titanium Powdered Metals Development Fund is
24hereby created as a special fund in the State Treasury. All

 

 

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1moneys collected under this Act shall be deposited into the
2Titanium Powdered Metals Development Fund. Moneys in the Fund
3may be used by the Department solely for the purposes of this
4Act.
 
5    Section 60. The Illinois Enterprise Zone Act is amended by
6changing Section 5.5 as follows:
 
7    (20 ILCS 655/5.5)   (from Ch. 67 1/2, par. 609.1)
8    Sec. 5.5. High Impact Business.
9    (a) In order to respond to unique opportunities to assist
10in the encouragement, development, growth and expansion of the
11private sector through large scale investment and development
12projects, the Department is authorized to receive and approve
13applications for the designation of "High Impact Businesses" in
14Illinois subject to the following conditions:
15        (1) such applications may be submitted at any time
16    during the year;
17        (2) such business is not located, at the time of
18    designation, in an enterprise zone designated pursuant to
19    this Act;
20        (3) the business intends to do one or more of the
21    following:
22            (A) the business intends to make a minimum
23        investment of $12,000,000 which will be placed in
24        service in qualified property and intends to create 500

 

 

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1        full-time equivalent jobs at a designated location in
2        Illinois or intends to make a minimum investment of
3        $30,000,000 which will be placed in service in
4        qualified property and intends to retain 1,500
5        full-time retained jobs at a designated location in
6        Illinois. The business must certify in writing that the
7        investments would not be placed in service in qualified
8        property and the job creation or job retention would
9        not occur without the tax credits and exemptions set
10        forth in subsection (b) of this Section. The terms
11        "placed in service" and "qualified property" have the
12        same meanings as described in subsection (h) of Section
13        201 of the Illinois Income Tax Act; or
14            (B) the business intends to establish a new
15        electric generating facility at a designated location
16        in Illinois. "New electric generating facility", for
17        purposes of this Section, means a newly-constructed
18        electric generation plant or a newly-constructed
19        generation capacity expansion at an existing electric
20        generation plant, including the transmission lines and
21        associated equipment that transfers electricity from
22        points of supply to points of delivery, and for which
23        such new foundation construction commenced not sooner
24        than July 1, 2001. Such facility shall be designed to
25        provide baseload electric generation and shall operate
26        on a continuous basis throughout the year; and (i)

 

 

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1        shall have an aggregate rated generating capacity of at
2        least 1,000 megawatts for all new units at one site if
3        it uses natural gas as its primary fuel and foundation
4        construction of the facility is commenced on or before
5        December 31, 2004, or shall have an aggregate rated
6        generating capacity of at least 400 megawatts for all
7        new units at one site if it uses coal or gases derived
8        from coal as its primary fuel and shall support the
9        creation of at least 150 new Illinois coal mining jobs,
10        or (ii) shall be funded through a federal Department of
11        Energy grant before December 31, 2010 and shall support
12        the creation of Illinois coal-mining jobs, or (iii)
13        shall use coal gasification or integrated
14        gasification-combined cycle units that generate
15        electricity or chemicals, or both, and shall support
16        the creation of Illinois coal-mining jobs. The
17        business must certify in writing that the investments
18        necessary to establish a new electric generating
19        facility would not be placed in service and the job
20        creation in the case of a coal-fueled plant would not
21        occur without the tax credits and exemptions set forth
22        in subsection (b-5) of this Section. The term "placed
23        in service" has the same meaning as described in
24        subsection (h) of Section 201 of the Illinois Income
25        Tax Act; or
26            (B-5) the business intends to establish a new

 

 

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1        gasification facility at a designated location in
2        Illinois. As used in this Section, "new gasification
3        facility" means a newly constructed coal gasification
4        facility that generates chemical feedstocks or
5        transportation fuels derived from coal (which may
6        include, but are not limited to, methane, methanol, and
7        nitrogen fertilizer), that supports the creation or
8        retention of Illinois coal-mining jobs, and that
9        qualifies for financial assistance from the Department
10        before December 31, 2010. A new gasification facility
11        does not include a pilot project located within
12        Jefferson County or within a county adjacent to
13        Jefferson County for synthetic natural gas from coal;
14        or
15            (C) the business intends to establish production
16        operations at a new coal mine, re-establish production
17        operations at a closed coal mine, or expand production
18        at an existing coal mine at a designated location in
19        Illinois not sooner than July 1, 2001; provided that
20        the production operations result in the creation of 150
21        new Illinois coal mining jobs as described in
22        subdivision (a)(3)(B) of this Section, and further
23        provided that the coal extracted from such mine is
24        utilized as the predominant source for a new electric
25        generating facility. The business must certify in
26        writing that the investments necessary to establish a

 

 

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1        new, expanded, or reopened coal mine would not be
2        placed in service and the job creation would not occur
3        without the tax credits and exemptions set forth in
4        subsection (b-5) of this Section. The term "placed in
5        service" has the same meaning as described in
6        subsection (h) of Section 201 of the Illinois Income
7        Tax Act; or
8            (D) the business intends to construct new
9        transmission facilities or upgrade existing
10        transmission facilities at designated locations in
11        Illinois, for which construction commenced not sooner
12        than July 1, 2001. For the purposes of this Section,
13        "transmission facilities" means transmission lines
14        with a voltage rating of 115 kilovolts or above,
15        including associated equipment, that transfer
16        electricity from points of supply to points of delivery
17        and that transmit a majority of the electricity
18        generated by a new electric generating facility
19        designated as a High Impact Business in accordance with
20        this Section. The business must certify in writing that
21        the investments necessary to construct new
22        transmission facilities or upgrade existing
23        transmission facilities would not be placed in service
24        without the tax credits and exemptions set forth in
25        subsection (b-5) of this Section. The term "placed in
26        service" has the same meaning as described in

 

 

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1        subsection (h) of Section 201 of the Illinois Income
2        Tax Act; or
3            (E) the business intends to establish a new wind
4        power facility at a designated location in Illinois.
5        For purposes of this Section, "new wind power facility"
6        means a newly constructed electric generation
7        facility, or a newly constructed expansion of an
8        existing electric generation facility, placed in
9        service on or after July 1, 2009, that generates
10        electricity using wind energy devices, and such
11        facility shall be deemed to include all associated
12        transmission lines, substations, and other equipment
13        related to the generation of electricity from wind
14        energy devices. For purposes of this Section, "wind
15        energy device" means any device, with a nameplate
16        capacity of at least 0.5 megawatts, that is used in the
17        process of converting kinetic energy from the wind to
18        generate electricity; or and
19            (F) the business intends to make a minimum
20        investment of $3,000,000 in titanium powdered metals
21        manufacturing which will be placed in service in
22        qualified property and intends to create or retain a
23        minimum of 15 full-time equivalent jobs in titanium
24        powdered metals manufacturing at a location in
25        Illinois; the business must certify in writing that the
26        investments would not be placed in service in qualified

 

 

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1        property and the job creation or job retention would
2        not occur without the tax credits and exemptions set
3        forth in subsection (b) of this Section. The terms
4        "placed in service" and "qualified property" have the
5        same meanings as described in subsection (h) of Section
6        201 of the Illinois Income Tax Act; and
7        (4) no later than 90 days after an application is
8    submitted, the Department shall notify the applicant of the
9    Department's determination of the qualification of the
10    proposed High Impact Business under this Section.
11    (b) Businesses designated as High Impact Businesses
12pursuant to subdivision (a)(3)(A) or (a)(3)(F) of this Section
13shall qualify for the credits and exemptions described in the
14following Acts: Section 9-222 and Section 9-222.1A of the
15Public Utilities Act, subsection (h) of Section 201 of the
16Illinois Income Tax Act, and Section 1d of the Retailers'
17Occupation Tax Act; provided that these credits and exemptions
18described in these Acts shall not be authorized until the
19minimum investments set forth in subdivision (a)(3)(A) of this
20Section have been placed in service in qualified properties
21and, in the case of the exemptions described in the Public
22Utilities Act and Section 1d of the Retailers' Occupation Tax
23Act, the minimum full-time equivalent jobs or full-time
24retained jobs set forth in subdivision (a)(3)(A) of this
25Section have been created or retained. Businesses designated as
26High Impact Businesses under this Section shall also qualify

 

 

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1for the exemption described in Section 5l of the Retailers'
2Occupation Tax Act. The credit provided in subsection (h) of
3Section 201 of the Illinois Income Tax Act shall be applicable
4to investments in qualified property as set forth in
5subdivision (a)(3)(A) of this Section.
6    (b-5) Businesses designated as High Impact Businesses
7pursuant to subdivisions (a)(3)(B), (a)(3)(B-5), (a)(3)(C),
8and (a)(3)(D) of this Section shall qualify for the credits and
9exemptions described in the following Acts: Section 51 of the
10Retailers' Occupation Tax Act, Section 9-222 and Section
119-222.1A of the Public Utilities Act, and subsection (h) of
12Section 201 of the Illinois Income Tax Act; however, the
13credits and exemptions authorized under Section 9-222 and
14Section 9-222.1A of the Public Utilities Act, and subsection
15(h) of Section 201 of the Illinois Income Tax Act shall not be
16authorized until the new electric generating facility, the new
17gasification facility, the new transmission facility, or the
18new, expanded, or reopened coal mine is operational, except
19that a new electric generating facility whose primary fuel
20source is natural gas is eligible only for the exemption under
21Section 5l of the Retailers' Occupation Tax Act.
22    (b-6) Businesses designated as High Impact Businesses
23pursuant to subdivision (a)(3)(E) of this Section shall qualify
24for the exemptions described in Section 5l of the Retailers'
25Occupation Tax Act; any business so designated as a High Impact
26Business being, for purposes of this Section, a "Wind Energy

 

 

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1Business".
2    (c) High Impact Businesses located in federally designated
3foreign trade zones or sub-zones are also eligible for
4additional credits, exemptions and deductions as described in
5the following Acts: Section 9-221 and Section 9-222.1 of the
6Public Utilities Act; and subsection (g) of Section 201, and
7Section 203 of the Illinois Income Tax Act.
8    (d) Except for businesses contemplated under subdivision
9(a)(3)(E) or (a)(3)(F) of this Section, existing Illinois
10businesses which apply for designation as a High Impact
11Business must provide the Department with the prospective plan
12for which 1,500 full-time retained jobs would be eliminated in
13the event that the business is not designated.
14    (e) Except for new wind power facilities contemplated under
15subdivision (a)(3)(E) of this Section, new proposed facilities
16which apply for designation as High Impact Business must
17provide the Department with proof of alternative non-Illinois
18sites which would receive the proposed investment and job
19creation in the event that the business is not designated as a
20High Impact Business.
21    (f) Except for businesses contemplated under subdivision
22(a)(3)(E) of this Section, in the event that a business is
23designated a High Impact Business and it is later determined
24after reasonable notice and an opportunity for a hearing as
25provided under the Illinois Administrative Procedure Act, that
26the business would have placed in service in qualified property

 

 

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1the investments and created or retained the requisite number of
2jobs without the benefits of the High Impact Business
3designation, the Department shall be required to immediately
4revoke the designation and notify the Director of the
5Department of Revenue who shall begin proceedings to recover
6all wrongfully exempted State taxes with interest. The business
7shall also be ineligible for all State funded Department
8programs for a period of 10 years.
9    (g) The Department shall revoke a High Impact Business
10designation if the participating business fails to comply with
11the terms and conditions of the designation. However, the
12penalties for new wind power facilities or Wind Energy
13Businesses for failure to comply with any of the terms or
14conditions of the Illinois Prevailing Wage Act shall be only
15those penalties identified in the Illinois Prevailing Wage Act,
16and the Department shall not revoke a High Impact Business
17designation as a result of the failure to comply with any of
18the terms or conditions of the Illinois Prevailing Wage Act in
19relation to a new wind power facility or a Wind Energy
20Business.
21    (h) Prior to designating a business, the Department shall
22provide the members of the General Assembly and Commission on
23Government Forecasting and Accountability with a report
24setting forth the terms and conditions of the designation and
25guarantees that have been received by the Department in
26relation to the proposed business being designated.

 

 

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1(Source: P.A. 96-28, eff. 7-1-09; 97-905, eff. 8-7-12.)
 
2    Section 65. The State Finance Act is amended by adding
3Section 5.826 as follows:
 
4    (30 ILCS 105/5.826 new)
5    Sec. 5.826. The Titanium Powdered Metals Development Fund.
 
6    Section 99. Effective date. This Act takes effect upon
7becoming law.