Public Act 098-0447
 
HB2753 EnrolledLRB098 10899 JDS 41429 b


  
    AN ACT concerning energy.
  
 
    Be it enacted by the People of the State of Illinois,
 
represented in the General Assembly:
  



 
 
    Section 1. Short title. This Act may be cited as the Lake 
Michigan Wind Energy Act.
 
    Section 5. Legislative findings. The General Assembly 
finds: 
    (1) that Lake Michigan is a unique and treasured public 
asset that supports numerous activities for the benefit of the 
people, wildlife, and flora of the State of Illinois;
    (2) that the bed of Lake Michigan is public land held in 
trust for the people of the State of Illinois and cannot be 
alienated to a private use or person;
    (3) that federal and State policy, as well as  the national 
security, energy, and environmental needs of the United States 
and the people of the State of Illinois, support exploration 
and development of renewable energy resources;
    (4) that the State of Illinois is a signatory to a federal 
and multistate memorandum of understanding and is committed to 
promoting the efficient, expeditious, orderly, and
responsible 
evaluation of offshore wind power projects in the Great Lakes;
    (5) that wind above  the Illinois public trust lands of Lake 
Michigan is a unique and significant renewable energy resource;
    (6) that the development of that resource does not involve 
mining or other extraction of resources from the public trust 
lands of Lake Michigan;
    (7) that so long as all affected public trust lands and 
waters of Lake Michigan remain under public ownership and 
control, the environmentally sustainable provision of 
renewable energy from offshore wind above Lake Michigan, in 
accordance with standards set by State and federal law and 
regulated by the State agency charged with protecting public 
trust lands and the public interest, would serve a public 
purpose and can be consistent with the public trust;
    (8) that the State's Lake Michigan Offshore Wind Energy 
Advisory Council recommended clarifying and confirming the 
State's authority to permit such development and has made other 
recommendations to further the sustainable and responsible 
development of the State's wind energy resources above Lake 
Michigan; and
    (9) that the State of Illinois should consider the 
recommendations, criteria, and lessons learned from the 
Advisory Council's Final Report, as well as new data, 
technologies, and scientific understandings, as it formulates 
rules to regulate  offshore wind energy development in a manner 
that preserves public trust resources, produces public 
benefits, and protects the environment and public health, 
safety, and welfare.
 
    Section 10. Definitions. As used in this Act:
        "Public trust lands" means the bed of Lake Michigan.

    
        "Department" means the Department of Natural 
    Resources.

 
    Section 15. Wind energy siting matrix. The Department shall 
develop a detailed offshore wind energy siting matrix for the 
public trust lands of Lake Michigan, which shall, at a minimum, 
identify areas that are unsuitable for wind energy development 
("prohibited areas"), areas that are most appropriate for wind 
energy development ("preferred areas"), and areas that are 
neither prohibited nor preferred for wind energy development 
but that may be considered for development upon application 
("possible areas"). The Department, in developing the wind 
energy siting matrix, shall take into consideration existing 
environmental, marine, public infrastructure, transportation, 
and security uses and factors, and may also consider other 
factors it identifies as appropriate.
 
    Section 20. Offshore Wind Energy Economic Development 
Policy Task Force. 
    (a) The Governor shall convene an Offshore Wind Energy 
Economic Development Policy Task Force, to be chaired by the 
Director of Commerce and Economic Opportunity, or his or her 
designee, to analyze and evaluate policy and economic options 
to facilitate the development of offshore wind energy, and to 
propose an appropriate Illinois mechanism for purchasing and 
selling power from possible offshore wind energy projects. The 
Task Force shall examine mechanisms used in other states and 
jurisdictions, including, without limitation, feed-in-tariffs, 
renewable energy certificates, renewable energy certificate 
carve-outs, power purchase agreements, and pilot projects. The 
Task Force shall report its findings and recommendations to the 
Governor and General Assembly by December 31, 2013.

    (b) The Director of the Illinois Power Agency (or his or 
her designee), the Executive Director of the Illinois Commerce 
Commission (or his or her designee), the Director of Natural 
Resources (or his or her designee), and the Attorney General 
(or his or her designee) shall serve as ex officio members of 
the Task Force.

    (c) The Governor shall appoint the following public members 
to serve on the Task Force:

        (1) one individual from an institution of higher 
    education in Illinois representing the discipline of 
    economics with experience in the study of renewable energy;

        (2) one individual representing an energy industry 
    with experience in renewable energy markets;

        (3) one individual representing a Statewide consumer 
    or electric ratepayer organization;

        (4) one individual representing the offshore wind 
    energy industry;

        (5) one individual representing the wind energy supply 
    chain industry;

        (6) one individual representing an Illinois electrical 
    cooperative, municipal electrical utility, or association 
    of such cooperatives or utilities;

        (7) one individual representing an Illinois industrial 
    union involved in the construction, maintenance, or 
    transportation of electrical generation, distribution, or 
    transmission equipment or components;

        (8) one individual representing an Illinois commercial 
    or industrial electrical consumer;

        (9) one individual representing an Illinois public 
    education electrical consumer;

        (10) one individual representing an independent 
    transmission company;

        (11) one individual from the Illinois legal community 
    with experience in contracts, utility law, municipal law, 
    and constitutional law;

        (12) one individual representing a Great Lakes 
    regional organization with experience assessing or 
    studying wind energy;

        (13) one individual representing a Statewide 
    environmental organization;
        (14) one resident of the State representing an 
    organization advocating for persons of low or limited 
    incomes;

        (15) one individual representing Argonne National 
    Laboratory; and

        (16) one individual representing a local community 
    that has aggregated the purchase of electricity.

    (d) The Governor may appoint additional public members to 
the Task Force.    
    (e) The Speaker of the House of Representatives, Minority 
Leader of the House of Representatives,
Senate President, and 
Minority Leader of the Senate shall each appoint one member of 
the General Assembly to serve on the  Task Force.
    
    (f) Members of the Task Force shall serve without  
compensation.
 
    Section 25. Assessment permits. After finalizing the wind 
energy siting matrix  required under Section 15, the Department 
may, in accordance with rules adopted by the Department 
pursuant to Section 5-40 of the Illinois Administrative 
Procedure Act and with the written approval of the Governor, 
grant in the name of the State of Illinois permits and site 
leases with respect to public trust lands of Lake Michigan for 
the assessment of sites for offshore wind energy development. 
 
    Section 30. Permits for wind park construction and 
operation. The Department may, in accordance with rules adopted 
by the Department pursuant to Section 5-40 of the Illinois 
Administrative Procedure Act,  convert site assessment leases 
to offshore wind park construction and operation leases, upon 
an appropriate showing by the applicant that the construction 
and operation of wind energy facilities would not be 
inconsistent with the public trust.
 
    Section 35. Permit terms. The Department may insert into 
any permit or lease issued under this Act any terms that it 
deems necessary to protect the rights of the State, the public, 
lessees, and users of  waters above the public trust lands of 
Lake Michigan.
 
    Section 40. Rulemaking. The Department may adopt, in 
accordance with the requirements of Section 5-40 of the 
Illinois Administrative Procedure Act, any rule that is 
necessary to implement this Act. The rules adopted by the 
Department under this Section shall, at a minimum, specify 
permit fees and royalty schedules, requirements for bonding and 
guaranteeing, requirements for  decommissioning, and any other 
requirements necessary for carrying out the provisions of this 
Act.
    Prior to adopting any rule under this Act, the Department 
shall consult with the Illinois Environmental Protection 
Agency, the Illinois Commerce Commission, the Illinois Power 
Agency, and the Department of Commerce and Economic 
Opportunity.
 
    Section 45. Regulatory toolkit. The Department shall, in 
consultation with  the Illinois Environmental Protection 
Agency, the Illinois Commerce Commission, the Illinois Power 
Agency, and the Department of Commerce and Economic 
Opportunity, prepare and publish a toolkit for advising and 
guiding developers on the regulatory and permitting process. 
The toolkit shall, at a minimum, include a checklist of 
required State permits and an overview of estimated timelines 
and likely areas of concern.
 
    Section 50. Limitation on Department Authority. Nothing 
contained in this Act shall be construed as requiring or 
permitting the Department to permanently convey any public 
trust lands for energy development.
  
 
    Section 99. Effective date. This Act takes effect upon 
becoming law.