093_HB2867
LRB093 09870 BDD 10118 b
1 AN ACT concerning energy production.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Department of Commerce and Community
5 Affairs Law of the Civil Administrative Code of Illinois is
6 amended by changing Section 605-332 as follows:
7 (20 ILCS 605/605-332)
8 Sec. 605-332. Financial assistance to energy generation
9 facilities.
10 (a) As used in this Section:
11 "New electric generating facility" means a
12 newly-constructed electric generation plant or a newly
13 constructed generation capacity expansion at an existing
14 facility, including the transmission lines and associated
15 equipment that transfers electricity from points of supply to
16 points of delivery, and for which foundation construction
17 commenced not sooner than July 1, 2001, which is designed to
18 provide baseload electric generation operating on a
19 continuous basis throughout the year; and which has an
20 aggregate rated generating capacity of at least 400 megawatts
21 for all new units at one site, uses coal or gases derived
22 from coal as its primary fuel source, and supports the
23 creation of at least 150 new Illinois coal mining jobs.
24 "Eligible business" means an entity that proposes to
25 construct a new electric generating facility and that has
26 applied to the Department to receive financial assistance
27 pursuant to this Section. With respect to use and occupation
28 taxes, wherever there is a reference to taxes, that reference
29 means only those taxes paid on Illinois-mined coal used in a
30 new electric generating facility.
31 "Department" means the Illinois Department of Commerce
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1 and Community Affairs.
2 (b) The Department is authorized to provide financial
3 assistance to eligible businesses for new electric generating
4 facilities from funds appropriated by the General Assembly as
5 further provided in this Section.
6 An eligible business seeking qualification for financial
7 assistance for a new electric generating facility, for
8 purposes of this Section only, shall apply to the Department
9 in the manner specified by the Department. An application
10 shall include, but not be limited to:
11 (1) the completion date of the new electric
12 generating facility for which financial assistance is
13 sought;
14 (2) either (i) copies of documentation deemed
15 acceptable by the Department establishing the total State
16 occupation and use taxes paid on Illinois-mined coal used
17 at the new electric generating facility for a minimum of
18 4 preceding calendar quarters or (ii) a bond equal to the
19 projected State occupation and use taxes during the 4
20 preceding calendar quarters; and
21 (3) the amount of capital investment by the
22 eligible business in the new electric generating
23 facility.
24 The Department shall determine the maximum amount of
25 financial assistance for eligible businesses in accordance
26 with this paragraph. The Department shall not provide
27 financial assistance from general obligation bond funds to
28 any eligible business unless it receives a written
29 certification from the Director of the Bureau of the Budget
30 that 80% of the State occupation and use tax receipts for a
31 minimum of the preceding 4 calendar quarters for all eligible
32 businesses equal or exceed 110% of the maximum annual debt
33 service required with respect to general obligation bonds
34 issued for that purpose. The Department may provide
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1 financial assistance not to exceed the amount of State
2 general obligation debt calculated as above, the amount of
3 capital investment in the energy generation facility, or
4 $100,000,000, whichever is less. Financial assistance
5 received pursuant to this Section may be used for capital
6 facilities consisting of buildings, structures, durable
7 equipment, and land at the new electric generating facility.
8 An eligible business shall file a monthly report with the
9 Illinois Department of Revenue stating the amount of
10 Illinois-mined coal purchased during the previous month for
11 use in the new electric generating facility, the purchase
12 price of that coal, the amount of State occupation and use
13 taxes paid on that purchase to the seller of the
14 Illinois-mined coal, and such other information as that
15 Department may reasonably require. In sales of
16 Illinois-mined coal between related parties, the purchase
17 price of the coal must have been determined in an arms-length
18 transaction. The report shall be filed with the Illinois
19 Department of Revenue on or before the 20th day of each month
20 on a form provided by that Department. However, no report
21 need be filed by an eligible business in a month when it made
22 no reportable purchases of coal in the previous month. The
23 Illinois Department of Revenue shall provide a summary of
24 such reports to the Bureau of the Budget. The eligible
25 business need not file a monthly report if it provides a bond
26 to the Department that is equal to the projected State
27 occupation and use taxes during the 4 preceding calendar
28 quarters.
29 Upon granting financial assistance to an eligible
30 business, the Department shall certify the name of the
31 eligible business to the Illinois Department of Revenue.
32 Beginning with the receipt of the first report of State
33 occupation and use taxes paid by an eligible business and
34 continuing for a 25-year period, the Illinois Department of
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1 Revenue shall each month pay into the Energy Infrastructure
2 Fund 80% of the net revenue realized from the 6.25% general
3 rate on the selling price of Illinois-mined coal that was
4 sold to an eligible business.
5 (Source: P.A. 92-12, eff. 7-1-01.)
6 Section 99. Effective date. This Act takes effect upon
7 becoming law.