SB3157 104TH GENERAL ASSEMBLY

LRB104 16971 BDA 30385 b

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
SB3157

Introduced 2/2/2026, by Sen. Linda Holmes

SYNOPSIS AS INTRODUCED:

New Act
30 ILCS 105/5.1038 new

Creates the Lubricant and Related Product Producer Responsibility Act. Requires a producer of covered products to register with a producer responsibility organization and notify the Illinois Environmental Protection Agency. Prohibits an unregistered producer from selling, offering for sale, importing, or distributing a covered product in the State. Sets forth various requirements for a producer responsibility organization and a producer responsibility plan. Lists duties of a lubricant service provider and requires the Agency to provide certain information to a producer responsibility organization. Lists financial duties of the producer responsibility organization and the Agency. Requires participant producers, through the producer responsibility organization, to pay certain costs. Creates the Lubricant and Related Product Producer Responsibility Fund in the State treasury. Requires the producer responsibility organization to reimburse certain lubricant service providers for specified costs. Sets forth requirements for records, audits, and reports related to the producer responsibility organization. Prohibits a retailer, dealer, producer, or distributor from selling, distributing, offering for sale, or importing a covered product in or into the State unless certain requirements are met. Sets forth penalties for violations of the Act. Requires deposit of penalties into the Lubricant and Related Product Producer Responsibility Fund. Provides for judicial review of administrative decisions and for enforcement of judgments. Limits liability for anticompetitive conduct. Sets timelines for implementation of various parts of the Act. Allows the Agency to adopt rules that are necessary to implement and administer the Act. Defines terms. Makes conforming changes to the State Finance Act.

A BILL FOR

AN ACT concerning safety.

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 Lubricant and Related Product Producer Responsibility Act.

Section 5. Purpose. The purpose of this Act is to provide for the safe and proper management of antifreeze, oil-based lubricants, grease, engine additives, and other petroleum and related fluids typically used in automotive, transportation, and mechanical applications, as well as the original packaging containing these products, at household hazardous waste facilities in the State. In implementing this Act, the board, the producer responsibility organization, and any approved producer responsibility plan shall maintain and build on the existing infrastructure in the State.

Section 10. Definitions. In this Act:

"Agency" means the Illinois Environmental Protection Agency.

"Approved plan" means a producer responsibility plan that has been approved by the Agency under Section 55 and that has not been revoked by the Agency under Section 125.

(1) A conditionally approved plan is an approved plan, except as used in Section 55.

(2) A partially approved plan is not an approved plan.

"Board" means the governing board under Section 25.

"Brand" means a name, symbol, word, or mark that identifies a covered product rather than its components, and attributes the covered product to the owner or licensee of the brand as the producer.

"Collection center" means a secured site that is approved by the Agency to be used as a base for household hazardous waste collection and that collects covered products as defined in this Act.

"Consumer" means a purchaser, owner, or lessee of a covered product, including, without limitation, a person, business, corporation, limited partnership, nonprofit organization, or governmental entity.

"Contact information" means a name, physical address, mailing address, email address, and phone number.

"Covered product" means a nonflammable petroleum-derived or synthetic automotive product or other related products, including, but not limited to, antifreeze, engine additives, engine oils, oil filters, fuel additives, greases, marine lubricants, oil-based lubricants, transmission and gear oils, two-cycle oils, and other fluids typically used in automotive, transportation, and mechanical applications commercially available to a nonbusiness consumer and delivered to a household hazardous waste facility. "Covered product" includes the original packaging for any covered product of up to 15 gallons that is available to business and nonbusiness consumers and sold in the State.

"Exclusive licensee" means a person holding the exclusive right to use a brand in the State in connection with the manufacture, sale, or distribution for sale of the covered product in or into the State.

"Household hazardous waste" has the meaning ascribed to that term in Section 3 of the Household Hazardous Waste Collection Program Act.

"Lubricant service provider" means a hazardous waste transporter registered with the Agency under Section 50.

"Participant producer" means a producer that is registered with the producer responsibility organization.

"Producer" means:

(1) A producer is a person who manufactures a covered product and who sells, offers for sale, or distributes a covered product into the State under the person's own name or brand.

(2) If there is no person in the State who is the producer for purposes of paragraph (1), the producer of the covered product is the owner or exclusive licensee of a brand under which the covered product is sold or distributed into the State.

(3) If there is no person in the State who is the producer for purposes of paragraph (1) or (2), the producer of the covered product is the person that imports the covered product into the State for sale, distribution, or installation.

(4) If there is no person in the State who is the producer for purposes of paragraph (1), (2), or (3), the producer of the covered product is the distributor, retailer, dealer, or wholesaler who sells the product in or into the State.

(5) For purposes of this Act, the sale of a covered product shall be deemed to occur in the State if the covered product is delivered to the consumer in the State.

"Producer responsibility organization" means an organization that is exempt from taxation under Section 501(c)(3) of the federal Internal Revenue Code of 1986 and that is appointed by one or more producers to act as an agent on behalf of the producers to design, submit, administer, and implement a producer responsibility plan and the requirements of this Act.

"Producer responsibility plan" means the plan developed by a producer responsibility organization for the collection, transportation, and the safe and proper management of covered products under Sections 55, 60, and 65 and submission to the Agency for approval under Section 55.

"Recycling" means a method, technique, or process designed to remove any contaminant from waste so as to render the waste reusable, or any process by which materials that would otherwise be disposed of or discarded are collected, separated, or processed and returned to the economic mainstream in the form of raw materials or products.

"Sell" or "sales" means a transfer of ownership of a covered product for consideration, including a remote sale conducted through a sales outlet, catalog, website, online marketplace, or similar electronic means. "Sell" or "sales" includes the purchase of a covered product by a consumer from a manufacturer, wholesaler, or retailer.

Section 15. Producer registration.

(a) No later than 90 days after the Agency's approval of the producer responsibility organization, each producer shall register with the producer responsibility organization.

(b) No later than 30 days after the producer registers with the producer responsibility organization, the producer, or the producer responsibility organization on behalf of the producer, shall notify the Agency electronically that the producer has registered with the producer responsibility organization.

(c) A producer shall register with the producer responsibility organization in accordance with the procedures and requirements established by the producer responsibility organization.

(d) Upon approval of a producer responsibility plan under Section 55, or January 1, 2032, whichever is sooner, a producer shall not sell, offer for sale, import, or distribute a covered product in the State unless all of the following conditions are met:

(1) the producer is registered with the producer responsibility organization;

(2) the covered product is accounted for in the producer responsibility plan; and

(3) the Agency has approved the producer responsibility plan.

(e) If an entity did not meet the definition of a producer and was not subject to this Act, but, at any later point, meets the definition of a producer, that entity shall be deemed a producer at that point and shall register with the producer responsibility organization and otherwise comply with the requirements of this Act before beginning to sell, offer for sale, import, or distribute a covered product in the State.

Section 20. Producer information to the Agency.

(a) No later than 180 days after the effective date of this Act, a producer shall provide to the Agency, in a form and manner established by the Agency, both of the following:

(1) the producer's contact information; and

(2) a list of covered products and brands of covered products that the producer sells, distributes for sale, imports for sale, or offers for sale in or into the State.

(b) A producer shall provide to the Agency updates to the information described in subsection (a) on or before January 15 of each year, within 30 days of changes to the contact information or list, and upon the Agency's request.

Section 25. Producer responsibility organization governing board. The producer responsibility organization shall have a governing board consisting of participant producers that represent the diversity of covered products.

Section 30. Revocation of approval of the producer responsibility plan. If the Agency determines that the producer responsibility organization no longer meets the requirements of this Act or fails to implement or administer an approved plan in a manner that effectuates the purposes of this Act, the Agency may revoke its approval of the producer responsibility plan under Section 125 and may approve a producer responsibility plan submitted by another producer responsibility organization.

Section 35. Producer responsibility organization notifications to the Agency. The producer responsibility organization shall notify the Agency within 30 calendar days of any of the following:

(1) the end of a 3-month period during which the producer responsibility organization unsuccessfully attempted to obtain a fee, records, or information from a participant producer;

(2) the date that a producer no longer participates in the producer responsibility organization's approved plan; or

(3) any instance of noncompliance with this Act or rules adopted under this Act by a participant producer.

Section 40. Convenient collection and management system. Within 24 months of the Agency's approval of the producer responsibility organization and its approved plan, the producer responsibility organization shall provide a convenient collection and management system for covered products at no cost to residents.

Section 45. Needs assessment. The producer responsibility organization may conduct a needs assessment to determine appropriate strategies and investments needed to meet the requirements of this Act.

Section 50. Lubricant service provider registration. A lubricant service provider shall:

(1) provide for the transportation and management of covered materials generated in the State under contractual agreements with a producer responsibility organization or arrangements with other entities that are entered into under an approved producer responsibility plan;

(2) if the lubricant service provider is a unit of local government or a political subdivision, provide at least a one-year advance notice to the producer responsibility organization if the unit of local government or political subdivision plans to cease acting as a lubricant service provider; and

(3) within 12 months of the effective date of this Act, and annually thereafter, a lubricant service provider seeking reimbursement for services provided under an approved producer responsibility plan according to Sections 55, 60, and 65 must register with the Agency by submitting the following information:

(A) the contact information for a person representing the service provider;

(B) the address of the service provider; and

(C) if applicable to services provided, a report of the total amount billed for collection, transportation, and processing of covered materials provided during the preceding calendar year and, when possible, values must be separated for collection, transportation, and processing.

The Agency shall provide generic summary information collected under this Section to an approved producer responsibility organization.

Section 55. Producer responsibility plans.

(a) Within 12 months of the effective date of this Act, the producer responsibility organization shall develop and submit a proposed producer responsibility plan to the Agency, in a form and manner determined by the Agency.

(b)(1) Within 6 months of receipt of a proposed producer responsibility plan, the Agency shall approve, approve in part, or disapprove the producer responsibility plan.

(2) The Agency shall determine a process for approving the producer responsibility plan and any other information submitted in compliance with this Act.

(3) Within 6 months of receiving the producer responsibility plan, the Agency shall review and approve, approve in part, or disapprove the producer responsibility plan components related to safe handling, transportation, and management of covered products. If the Agency approves in part or disapproves any producer responsibility plan components, the Agency shall notify the producer responsibility organization of changes necessary for plan approval, and the producer responsibility organization shall follow the process outlined in paragraph (4).

(4) The Agency shall approve, approve in part, or disapprove the producer responsibility plan. In making a determination under this subsection, the Agency may solicit information from producers, other agencies or departments, or stakeholders, as it deems appropriate.

(c) If the Agency approves a proposed producer responsibility plan, a revised producer responsibility plan, or a conditionally approved plan, then the Agency shall notify the producer responsibility organization of the approval. The producer responsibility organization shall implement the approved plan within 90 days of receipt of the notice of approval, or as otherwise agreed to by the Agency.

(d) If the Agency disapproves a proposed producer responsibility plan or a revised producer responsibility plan, then the Agency shall notify the producer responsibility organization of the disapproval and specify the reasons for disapproval. Within 30 days of receipt of notice of disapproval, the producer responsibility organization shall submit a revised producer responsibility plan.

(e)(1) If the Agency approves a proposed producer responsibility plan or a revised producer responsibility plan in part, then the Agency shall notify the producer responsibility organization of the partial approval and identify the portions of the producer responsibility plan that do not comply with this Act.

(2) Within 30 days of receipt of the notice of partial approval, the producer responsibility organization shall submit a revised producer responsibility plan to the Agency.

(3) The producer responsibility organization shall implement the approved parts of the producer responsibility plan within 90 days of receipt of the notice of partial approval, or as otherwise agreed to by the Agency.

(f) Within 30 days of receipt of a revised producer responsibility plan, the Agency shall approve, approve in part, or disapprove the revised producer responsibility plan.

(g) If the Agency has not approved, approved in part, or disapproved a producer responsibility plan within one year of receipt of the producer responsibility plan, then the producer responsibility plan shall be deemed conditionally approved and the Agency shall notify the producer responsibility organization of the conditional approval.

(h) The Agency may impose additional requirements for any portion of a proposed producer responsibility plan, a revised producer responsibility plan, or a conditionally approved plan that does not comply with this Act and that has not been approved.

(i) When reviewing a proposed producer responsibility plan, a revised producer responsibility plan, or a conditionally approved plan, the Agency may solicit information from producers, other agencies or departments, or stakeholders, as the Agency deems appropriate.

(j) The Agency may review an approved plan or a conditionally approved plan at any time. If the Agency finds that an approved plan or a conditionally approved plan is deficient, then it may recommend modifications.

(k) Any substantial changes to an approved plan shall be submitted to the Agency for approval.

(l)(1) An approved plan and a conditionally approved plan shall be a public record, except that financial, production, or sales data reported by the producer responsibility organization to the Agency is not a public record and shall not be open to public inspection. The Agency may release financial or sales data in summary form only so the information cannot be attributable to a specific entity.

(2) The producer responsibility organization may submit to the Agency a redacted version of the approved plan or conditionally approved plan that removes any proprietary or confidential information.

(3) Within 90 days of approval, conditional approval, or revision of a producer responsibility plan, the Agency shall post on its website the producer responsibility plan and a list of all the participant producers covered by the producer responsibility plan.

(m) Within 24 months of the effective date of this Act, a producer responsibility organization shall have a producer responsibility plan approved or conditionally approved by the Agency, and each producer shall be subject to an approved plan or conditionally approved plan.

Section 60. Producer responsibility plan requirements. A producer responsibility plan shall do all of the following:

(1) be designed to ensure the safe and convenient collection and management of covered products statewide and to ensure that performance-based standards are met that include performance goals that, at a minimum, shall include the following goal areas:

(A) statewide covered product collection rate goals; and

(B) covered products packaging recycling rate goals;

(2) include strategies to ensure elderly consumers, disabled consumers, and other consumers with limited mobility have access to the safe and proper collection and management of covered products, including opportunities to have covered products collected; collection strategies shall include, but are not limited to:

(A) a description of how the producer responsibility organization will ensure any covered product with access to collection and recycling services, following plan implementation, will continue to have comparable access through the plan using a methodology for more customized approaches to provide 90% of the State's residents access to a permanent drop-off site within 15 miles for free and may include temporary collection sites, in each county of the State;

(B) a description of how a county with a population more than 50,000 residents, as reported annually by the State Comptroller, shall be provided up to one additional, permanent drop-off site for every 30,000 residents;

(C) a description of how collection strategies provide for a reasonable geographic spread of permanent collection sites and an explanation for the geographic spread;

(D) a description of how the producer responsibility organization will collaborate, as necessary, to address automotive container collection needs;

(E) a description of how the producer responsibility organization will provide a depot search tool on its website including location and operating hours of sites accepting automotive containers; and

(F) a description of how the producer responsibility organization will approve lubricant and covered material recyclers to fulfill the requirements of the plan;

(3) include the contact information of each participant producer;

(4) include a financial section of the plan that demonstrates how the producer responsibility organization will comply with Section 70, including, but not limited to, a 5-year budget that demonstrates how the producer responsibility organization will comply with paragraph (2) of Section 70;

(5) include a section describing the producer responsibility organization's contingency plan in the event the producer responsibility plan expires or is revoked; the contingency plan shall guarantee that all the contracts, financial data, and any other necessary authority and assets to operate the program shall vest in a trustee approved by the Agency; the trustee shall operate the most recently approved plan, subject to the direction of the Agency, until the time that a new producer responsibility plan is approved; upon expiration or revocation of the producer responsibility plan, the balance of the producer responsibility organization's operating reserves collected shall be transferred to the control of the trustee within 5 calendar days; all documents, digital records, contracts, and files related to the operation of the producer responsibility plan shall be transferred to the control of the trustee within 5 calendar days;

(6) include a section describing a comprehensive statewide education and outreach program designed to educate consumers and promote participation in the program offered by the producer responsibility organization; the comprehensive statewide education and outreach program shall do all of the following:

(A) promote the safe and proper management of a covered product and shall not promote the disposal of a covered product in a manner inconsistent with the services offered by the producer responsibility plan; and

(B) include information for consumers on how to properly manage a covered product at the time of disposal and how to avoid improper disposal of a covered product; and

(7) include a description on how the producer responsibility organization will leverage and use existing and relevant collection programs and infrastructure.

Section 65. Revisions to producer responsibility plan.

(a) The producer responsibility organization shall review its approved plan at least every 5 years and determine whether revisions are necessary.

(b) If the producer responsibility organization determines that revisions to its approved plan are necessary, the producer responsibility organization shall submit to the Agency a revised producer responsibility plan for review and approval using the procedures set forth in Section 55. The producer responsibility organization shall submit the revised producer responsibility plan to the Agency at least 12 months before the review deadline outlined in subsection (a). The revised producer responsibility plan shall include a cover letter that summarizes the revisions to the producer responsibility plan.

(c) If the producer responsibility organization determines that no revisions to the producer responsibility plan are necessary, the producer responsibility organization shall send a letter to the Agency 12 months before the review deadline outlined in subsection (a) explaining that the producer responsibility organization has reviewed the producer responsibility plan and determined that no revisions are needed. The Agency may disapprove the producer responsibility organization's determination within 30 days of receipt of the letter if the Agency concludes that the producer responsibility organization cannot implement the objectives of this Act without revising the producer responsibility plan. If the Agency disapproves the producer responsibility organization's determination, the Agency may indicate to the producer responsibility organization which sections of the producer responsibility plan need revision and the producer responsibility organization shall submit to the Agency a revised producer responsibility plan, or producer responsibility plan sections, for review and approval, following the procedures set forth in Section 55. The producer responsibility organization shall submit the revised producer responsibility plan under this subsection within 60 days of receipt of the Agency's disapproval.

(d) The Agency may consult with or submit the revised producer responsibility plan to another State agency or department if the Agency determines it is necessary for making its determination. The duration of time the Agency takes for this consultation is not included in the time allotted to the Agency for review under this Section.

Section 70. Financial duties of the producer responsibility organization. The producer responsibility organization shall do all of the following:

(1) establish a method for fully funding its producer responsibility plan in a manner that equitably distributes the producer responsibility plan's costs among participant producers in a manner reflecting sales volumes and adjusts those costs to account for the cost to manage the covered products for which each participant producer is responsible;

(2) operate on a budget that establishes a funding level sufficient to operate the producer responsibility organization in a prudent and responsible manner; the budget shall demonstrate how the producer responsibility organization's estimated revenues will cover all of the producer responsibility organization's budgeted costs for each cost category; budgeted cost categories shall include, but not be limited to, administrative costs, capital costs, and a reserve;

(A) administrative costs under this paragraph (2) shall include the actual and reasonable regulatory costs incurred by the Agency, which includes full personnel costs, to implement and enforce this Act upon approval of its producer responsibility plan, except that costs shall include actual and reasonable regulatory development costs and other startup costs incurred before a producer responsibility plan's submittal and approval; and

(B) the reserve under this paragraph (2) shall include funds to operate the producer responsibility organization if there are unexpected events, losses of income, or large unbudgeted expenses; the reserve shall also protect the infrastructure that the producer responsibility organization relies on in its producer responsibility plan during any lapse in producer participation during the life of the program; the reserve cost category shall include a reserve level amount description justifying the reserve level amount indicated; the producer responsibility organization shall maintain reserve funds sufficient to operate the producer responsibility plan for not less than 6 months; when a new producer responsibility organization is approved by the Agency, the producer responsibility organization shall establish its reserve and maintain the required reserve fund balance by the end of the second year of producer responsibility plan operation; if the producer responsibility plan expires or is revoked, the reserve balance shall be transferred to a successor producer responsibility organization or a trustee under the portion of the producer responsibility plan described in paragraph (5) of Section 60;

(3) pay, on a schedule determined by the Agency, the Agency fees to cover the Agency's actual and reasonable regulatory costs, as described in Section 80;

(4) establish a process by which the financial activities of the producer responsibility organization that are related to implementation of the producer responsibility plan will be subject to an independent audit consistent with generally accepted accounting principles;

(5) provide written certification by an authorized representative of the producer responsibility organization that, at the time of submission to the Agency, all aspects of the producer responsibility plan are in compliance with all applicable state and federal laws and regulations; and

(6) have adequate financial responsibility and financial controls in place, including fraud prevention measures, to ensure proper management of funds.

Section 75. Duties of participant producers to pay costs. Each participant producer shall, through the producer responsibility organization, pay all administrative and operational costs associated with establishing and implementing the producer responsibility organization's approved plan, including the cost of the collection, transportation, and safe and proper management of covered products.

Section 80. Agency financial duties; Lubricant and Related Product Producer Responsibility Fund.

(a) Within 4 months of the effective date of this Act, the Agency shall notify the producer responsibility organization of the estimated costs for the Agency resulting from this Act, including administrative and other costs related to implementing and enforcing this Act. The costs shall not exceed the Agency's actual and reasonable costs to implement and enforce this Act.

(b) The Agency shall deposit all moneys received from the producer responsibility organization under this Section into the Lubricant and Related Product Producer Responsibility Fund, which is hereby created in the State treasury.

(c) Subject to appropriation, moneys in the Lubricant and Related Product Producer Responsibility Fund shall be expended only as directed by the Agency to implement and enforce this Act.

Section 85. Reimbursement of certain lubricant service providers.

(a) If the producer responsibility plan relies on a unit of local government or other governmental or nongovernmental entity to collect or manage a covered product or to otherwise comply with Section 40, then the producer responsibility organization shall reimburse the lubricant service provider for the costs associated with the collection and management of the covered product under mutually agreed-upon terms.

(b) Reimbursement under this Section shall be based on market costs and the commodity value of covered materials.

(c) Reimbursement costs under subsection (a) shall be limited to the proportional actual costs for covered products for collection and management of a covered product by a lubricant service provider. The lubricant service provider must prorate the costs of services to local government entities or private entities that offer collection of covered products under this Act to reflect the reimbursements provided under this subsection.

(d) Reimbursement costs under subsection (a) shall include costs for transportation from a household hazardous waste facility or other collection point or depot and costs for the disposal and recycling of a covered product.

(e) A lubricant service provider seeking reimbursement for services provided under an approved producer responsibility plan under this Act must submit collection data for covered products to the producer responsibility organization at least quarterly.

(f) A lubricant service provider seeking reimbursement for services provided under an approved producer responsibility plan under this Act must provide the following information to the producer responsibility organization:

(1) a list of the approved lubricant recyclers that received covered products from the lubricant service provider; and

(2) a list of the kinds of facilities and markets that generated the covered material that the lubricant service provider collected and delivered to an approved recycler.

(g) Upon appropriate notification from the producer responsibility organization, a lubricant service provider must provide nonconfidential information to the producer responsibility organization to audit the volumes of material delivered to recyclers.

Section 90. Records, audits, and reports.

(a) The producer responsibility organization shall keep board minutes, books, and records that clearly reflect the activities and transactions of the producer responsibility organization for a period of not less than 5 years.

(b) The Agency may audit the producer responsibility organization annually.

(c) It is a violation of this Act for the producer responsibility organization, a participant producer, or their agents to fail to produce documents or data that is requested by the Agency or required to be collected or generated to carry out operation of the producer responsibility plan in the form and manner determined by the Agency as part of an Agency audit or review of a third-party audit.

Section 95. Reports and records duties.

(a) A producer and the producer responsibility organization shall do both of the following:

(1) provide the Agency, upon request, with reasonable and timely access, as determined by the Agency, to its facilities and operations, as necessary to determine compliance with this Act; and

(2) within 14 days of a request from the Agency, provide the Agency with relevant records, as determined by the Agency, as necessary to determine compliance with this Act.

(b) All reports and records provided to the Agency under this Act shall be provided under penalty of perjury.

(c) The Agency may impose administrative civil penalties under this Act on a producer or producer responsibility organization that fails to provide the Agency with the access required under this Section.

Section 100. Audits.

(a) The producer responsibility organization shall retain an independent certified public accountant, certified in the United States, to annually audit the accounting books of the producer responsibility organization. The Agency shall review the independent certified public accountant's audit for compliance with this Act and consistency with the producer responsibility organization's approved plan and the annual report required by Section 105. After the Agency conducts its own review, the Agency shall notify the producer responsibility organization of (i) any conduct or practice that does not comply with this Act or (ii) any inconsistencies identified in the review. The producer responsibility organization may obtain copies of the Agency's review, including proprietary information contained in the Agency's review, upon request. The producer or producer responsibility organization may request that the Agency withhold from disclosure trade secrets to the extent allowed under the Freedom of Information Act.

(b) The items submitted to the Agency for its review of the independent audit shall include all of the following:

(1) financial statements audited in accordance with generally accepted accounting principles;

(2) an audit of the producer responsibility organization's compliance with this Act; and

(3) an audit of the producer responsibility organization's adherence to, execution of, and consistency with its approved plan.

(c) The producer responsibility organization shall include the independent audit in its annual report submitted to the Agency under Section 105 commencing within 18 months of the producer responsibility plan's approval by the Agency.

Section 105. Reports. On or before January 1 of each year, the producer responsibility organization shall submit to the Agency and make publicly available an annual report, in a format prescribed by the Agency, that includes, at minimum, all of the following information for the preceding calendar year, unless otherwise specified:

(1) the producer responsibility organization's costs, according to the cost categories established in the producer responsibility plan, and revenues;

(2) a summary of any anticipated changes to allocations in cost categories for the next calendar year;

(3) any changes to the distribution of costs to the participant producers;

(4) updated contact information for participant producers;

(5) the quantity of covered products sold in or into the State by participant producers as determined by the best available commercial data;

(6) a summary of efforts made as part of the comprehensive statewide education and outreach program as required by paragraph (6) of Section 60, including the producer responsibility organization's evaluation of the effectiveness of the program;

(7) recommendations for any future proposed substantial changes to the producer responsibility plan; and

(8) any other information required by this Act.

Section 110. Report compliance.

(a) No later than 120 days after the date the Agency receives an annual report under Section 105, the Agency shall notify the producer responsibility organization if the annual report is compliant or noncompliant.

(b) If the Agency determines that the annual report is noncompliant due to failure to meet the requirements of this Act, the Agency may require the resubmittal of the annual report and take enforcement action.

(c) The Agency may consult with or submit the annual report to a State agency or department if it determines it is necessary to determine the annual report's compliance or noncompliance. The time the Agency takes for this consultation shall not be included in the time allotted to the Agency for review under subsection (a).

Section 115. Prohibition. A retailer, dealer, producer, or distributor shall not sell, distribute, offer for sale, or import a covered product in or into the State unless the producer of the covered product is listed as a compliant producer under Section 120 or received a certification letter described in subsection (e) of Section 120.

Section 120. Compliant producers.

(a) Within 12 months of the effective date of this Act, and on or before July 1 of each year thereafter, the Agency shall publish on the Agency's website, a list of the names of producers that are compliant with this Act. The Agency shall list, as appropriate, the reported brands of covered products for each producer.

(b) A retailer, producer, or distributor shall monitor the Agency's website to determine if a producer, brand, or covered product is in compliance with this Act.

(c) Notwithstanding any other provision of this Act, upon identification of a producer that is not registered with the producer responsibility organization with an approved plan, the Agency shall issue a notice of noncompliance to the producer.

(d) If the Agency determines a producer is not in compliance with this Act, the Agency shall remove the producer and its brands of covered products from the compliance list on the Agency's website.

(e) The Agency shall provide a certification letter to a producer that is not listed on the Agency's website as a compliant producer, but that has demonstrated compliance with this Act to the Agency. The certification letter shall state that the producer is in compliance with this Act. The Agency may update the compliance list on its website.

Section 125. Penalties.

(a) Violations of this Act or rules adopted under this Act shall be enforceable by the Agency administratively imposing a civil penalty under this Section. Whenever Agency personnel, on the basis of direct observation, determine that any person has violated any provision of this Act, the Agency may issue and serve an administrative citation upon such person within not more than 60 days after the date of the observed violation. Each administrative citation issued shall be served upon the person named therein or such person's authorized agent for service of process and shall include the following information:

(1) a statement specifying the provisions of the Act or rules adopted under the Act that the person was observed to violate;

(2) a copy of the report in which the Agency recorded the violation, which report shall include the date and time of the finding of the violation, and relevant conditions prevailing during the inspection;

(3) the penalty imposed for the violation;

(4) instructions for contesting the administrative citation findings, including notification that the person has 35 days within which to file a petition for review before the administrative law judge to contest the administrative citation; and

(5) an affidavit by the personnel observing the violation, attesting to their material actions and observations.

The Agency shall file a copy of each administrative citation served under this subsection of this Section with an administrative law judge of the Agency no later than 10 days after the date of service. If the person named in the administrative citation fails to petition the administrative law judge for review within 35 days from the date of service, the administrative law judge shall adopt a final order, which shall include the administrative citation and findings of violation as alleged in the citation, and shall impose the penalty specified. If a petition for review is filed before the administrative law judge to contest an administrative citation issued under this Section, the Agency shall appear as a complainant at a hearing before the administrative law judge at a time not less than 21 days after notice of such hearing has been sent to the Agency and the person named in the citation. In such hearings, the burden of proof shall be on the Agency. If, based on the record, the administrative law judge finds that the alleged violation occurred, the administrative law judge shall adopt a final order that shall include the administrative citation and findings of violation as alleged in the citation and shall impose the penalty specified. However, if the administrative law judge finds that the person appealing the citation has shown that the violation resulted from uncontrollable circumstances, the administrative law judge shall adopt a final order that makes no finding of violation and that imposes no penalty. The Illinois Administrative Procedure Act shall apply to any administrative citation issued under this Section, except as provided under this Section. All final orders issued and entered by the administrative law judge under this Section shall be enforceable by injunction, mandamus, or other appropriate remedy.

(b) The Agency may administratively impose on any person who is in violation of this Act a civil penalty of up to the following amounts:

(1) $10,000 per day; or

(2) $50,000 per day if the violation is intentional or knowing.

(c) In assessing or reviewing the amount of a civil penalty imposed under subsection (b) for a violation of this Act, all of the following shall be considered:

(1) the nature and extent of the violation;

(2) the number and severity of the violations;

(3) the economic effect of the penalty on the violator;

(4) whether the violator took good faith measures to comply with this Act and the period of time during which these noncompliant actions were taken;

(5) the willfulness of the violator's misconduct;

(6) the deterrent effect that the imposition of the penalty would have on both the violator and the regulated community; and

(7) any other factor that justice may require.

(d) Upon a written finding by an administrative law judge under this Section that a producer responsibility organization, producer, or any other party regulated under this Act has not met a material requirement of this Act, in addition to any other penalties authorized under this Act, the Agency may take one or both of the following actions to ensure compliance with the requirements of this Act, after affording the producer responsibility organization, producer, or any other party regulated under this Act, an opportunity to respond to or rebut the finding:

(1) revoke the producer responsibility organization's approved plan or require the producer responsibility organization to resubmit the producer responsibility plan or producer responsibility plan section; or

(2) require additional reporting relating to compliance with the material requirements of this Act that were not met.

(e) The Agency shall deposit all penalties collected under this Section into the Lubricant Recycling Penalty Account, which is hereby created in the Lubricant and Related Product Producer Responsibility Fund. Subject to appropriation, moneys in the Lubricant Recycling Penalty Account shall be available for expenditure by the Agency for activities related to the collection, reuse, and recycling of covered products, grants for related purposes, and the administration and enforcement of this Act.

(f) The Illinois Administrative Procedure Act applies to hearings conducted under this Act, except as provided under this Section, and mandates minimum due process requirements.

Section 130. Judicial review; enforcement of judgment. All final administrative decisions of the Agency under this Act are subject to judicial review under the Administrative Review Law and its rules. The term "administrative decision" is defined as in Section 3-101 of the Code of Civil Procedure. After the time for judicial review under the Administrative Review Law, the Agency may apply to the court in the county where the penalties, restitution, or other remedy was imposed by the Agency, for a judgment to collect any unpaid civil penalties or restitution or to enforce any other remedy provided by this Act. The application, which shall include a certified copy of the final agency order or decision, shall constitute a sufficient showing to warrant the issuance of the judgment, and the circuit clerk shall enter the judgment immediately in conformity with the application. The judgment so entered shall have the same force and effect as, and shall be subject to all laws relating to, a judgment in a civil action and may be enforced in the same manner as any other judgment of the court. The court shall make enforcement of the judgment a priority.

Section 135. Immunities and exceptions.

(a) A manufacturer or representative organization participating in a program authorized under this Act shall not be liable for any claim of a violation of antitrust, restraint of trade, unfair trade practice, or other anticompetitive conduct arising from conduct undertaken in accordance with this Act or a program authorized under this Act.

(b) Subsection (a) applies to all of the following actions taken by a producer responsibility organization:

(1) the creation, implementation, or management of a producer responsibility plan approved or conditionally approved by the Agency under Sections 55, 60, and 65 and the determination of the types or quantities of covered products recycled or otherwise managed under the producer responsibility plan;

(2) the determination of the cost and structure of an approved plan; and

(3) the establishment, administration, collection, or disbursement of a charge associated with funding the implementation of this Act.

(c) Subsection (a) does not apply to an agreement that does any of the following:

(1) fixes a price of or for covered products;

(2) fixes the output or production of covered products; or

(3) restricts the geographic area where, or customers to whom, covered products will be sold.

Section 140. Rulemaking. The Agency may adopt any rules necessary to implement and administer this Act.

Section 900. The State Finance Act is amended by adding Section 5.1038 as follows:

(30 ILCS 105/5.1038 new)

Sec. 5.1038. The Lubricant and Related Product Producer Responsibility Fund.