093_HB1553ham001
LRB093 10190 AMC 12880 a
1 AMENDMENT TO HOUSE BILL 1553
2 AMENDMENT NO. . Amend House Bill 1553 by replacing
3 everything after the enacting clause with the following:
4 "Section 5. The Drycleaner Environmental Response Trust
5 Fund Act is amended by changing Sections 5, 15, 25, 40, 45,
6 60, 65, and 85 as follows:
7 (415 ILCS 135/5)
8 Sec. 5. Definitions. As used in this Act:
9 (a) "Active drycleaning facility" means a drycleaning
10 facility actively engaged in drycleaning operations and
11 licensed under Section 60 of this Act.
12 (b) "Agency" means the Illinois Environmental Protection
13 Agency.
14 (c) "Claimant" means an owner or operator of a
15 drycleaning facility who has applied for reimbursement from
16 the remedial account or who has submitted a claim under the
17 insurance account with respect to a release.
18 (d) "Council" means the Drycleaner Environmental
19 Response Trust Fund Council.
20 (e) "Drycleaner Environmental Response Trust Fund" or
21 "Fund" means the fund created under Section 10 of this Act.
22 (f) "Drycleaning facility" means a facility located in
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1 this State that is or has been engaged in drycleaning
2 operations for the general public, other than a:
3 (1) facility located on a United States military
4 base;
5 (2) industrial laundry, commercial laundry, or
6 linen supply facility;
7 (3) prison or other penal institution that engages
8 in drycleaning only as part of a Correctional Industries
9 program to provide drycleaning to persons who are
10 incarcerated in a prison or penal institution or to
11 resident patients of a State-operated mental health
12 facility;
13 (4) not-for-profit hospital or other health care
14 facility; or a
15 (5) facility located or formerly located on federal
16 or State property.
17 (g) "Drycleaning operations" means drycleaning of
18 apparel and household fabrics for the general public, as
19 described in Standard Industrial Classification Industry No.
20 7215 and No. 7216 in the Standard Industrial Classification
21 Manual (SIC) by the Technical Committee on Industrial
22 Classification.
23 (h) "Drycleaning solvent" means any and all nonaqueous
24 solvents, including but not limited to a chlorine-based or
25 petroleum-based hydrocarbon-based formulation or product,
26 including green solvents, that are is used as a primary
27 cleaning agent in drycleaning operations.
28 (i) "Emergency" or "emergency action" means a situation
29 or an immediate response to a situation to protect public
30 health or safety. "Emergency" or "emergency action" does not
31 mean removal of contaminated soils, recovery of free
32 product, or financial hardship. An "emergency" or "emergency
33 action" would normally be expected to be directly related to
34 a sudden event or discovery and would last until the threat
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1 to public health is mitigated.
2 (j) "Groundwater" means underground water that occurs
3 within the saturated zone and geologic materials where the
4 fluid pressure in the pore space is equal to or greater than
5 the atmospheric pressure.
6 (k) "Inactive drycleaning facility" means a drycleaning
7 facility that is not being used for drycleaning operations
8 and is not registered under this Act.
9 (l) "Maintaining a place of business in this State" or
10 any like term means (1) having or maintaining within this
11 State, directly or through a subsidiary, an office,
12 distribution facility, distribution house, sales house,
13 warehouse, or other place of business or (2) operating within
14 this State as an agent or representative for a person or a
15 person's subsidiary engaged in the business of selling to
16 persons within this State, irrespective of whether the place
17 of business or agent or other representative is located in
18 this State permanently or temporary, or whether the person or
19 the person's subsidiary engages in the business of selling in
20 this State.
21 (m) "No Further Remediation Letter" means a letter
22 provided by the Agency pursuant to Section 58.10 of Title
23 XVII of the Environmental Protection Act.
24 (n) "Operator" means a person or entity holding a
25 business license to operate a licensed drycleaning facility
26 or the business operation of which the drycleaning facility
27 is a part.
28 (o) "Owner" means (1) a person who owns or has
29 possession or control of a drycleaning facility at the time a
30 release is discovered, regardless of whether the facility
31 remains in operation or (2) a parent corporation of the
32 person under item (1) of this subdivision.
33 (p) "Parent corporation" means a business entity or
34 other business arrangement that has elements of common
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1 ownership or control or that uses a long-term contractual
2 arrangement with a person to avoid direct responsibility for
3 conditions at a drycleaning facility.
4 (q) "Person" means an individual, trust, firm, joint
5 stock company, corporation, consortium, joint venture, or
6 other commercial entity.
7 (r) "Program year" means the period beginning on July 1
8 and ending on the following June 30.
9 (s) "Release" means any spilling, leaking, emitting,
10 discharging, escaping, leaching, or dispersing of drycleaning
11 solvents from a drycleaning facility to groundwater, surface
12 water, or subsurface soils.
13 (t) "Remedial action" means activities taken to comply
14 with Sections 58.6 and 58.7 of the Environmental Protection
15 Act and rules adopted by the Pollution Control Board under
16 those Sections.
17 (u) "Responsible party" means an owner, operator, or
18 other person financially responsible for costs of remediation
19 of a release of drycleaning solvents from a drycleaning
20 facility.
21 (v) "Service provider" means a consultant, testing
22 laboratory, monitoring well installer, soil boring
23 contractor, other contractor, lender, or any other person who
24 provides a product or service for which a claim for
25 reimbursement has been or will be filed against the remedial
26 account or insurance account, or a subcontractor of such a
27 person.
28 (w) "Virgin facility" means a drycleaning facility that
29 has never had chlorine-based or petroleum-based drycleaning
30 solvents or other hazardous chemicals or materials stored or
31 used at the property prior to it becoming a green solvent
32 drycleaning facility.
33 (Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)
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1 (415 ILCS 135/15)
2 Sec. 15. Creation of Council.
3 (a) The Drycleaner Environmental Response Trust Fund
4 Council is established and shall consist of the following
5 voting members to be appointed by the Governor:
6 (1) Four Three members who own or operate a
7 drycleaning facility. Two of these members must be
8 members of the Illinois State Fabricare Association.
9 These members shall serve 3 year terms, except that of
10 the initial members appointed, one shall be appointed for
11 a term of one year, one for a term of 2 years, and one
12 for a term of 3 years.
13 (2) One member who represents wholesale
14 distributors of drycleaning solvents. This member shall
15 serve for a term of 3 years.
16 (3) One member who represents the drycleaning
17 equipment manufacturers and vendor community. This
18 member shall serve for a term of 3 years.
19 (4) One member Two members with experience in
20 financial markets or the insurance industry. This member
21 These members shall serve 3-year terms, except that of
22 the initial appointments, one shall be appointed for a
23 term of 2 years, and one for a term of 3 years.
24 Each member shall have experience, knowledge, and
25 expertise relating to the subject matter of this Act.
26 (b) The Governor may remove any member of the Council
27 for incompetency, neglect of duty, or malfeasance in office
28 after service on him or her of a copy of the written charges
29 against him or her and after an opportunity to be publicly
30 heard in person or by counsel in his or her own defense no
31 earlier than 10 days after the Governor has provided notice
32 of the opportunity to the Council member. Evidence of
33 incompetency, neglect of duty, or malfeasance in office may
34 be provided to the Governor by the Agency or the Auditor
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1 General following the annual audit described in Section 80.
2 (c) Members of the Council are entitled to receive
3 reimbursement of actual expenses incurred in the discharge of
4 their duties within the limit of funds appropriated to the
5 Council or made available to the Fund. The Governor shall
6 appoint a chairperson of the Council from among the members
7 of the Council.
8 (d) The Attorney General's office or its designee shall
9 provide legal counsel to the Council.
10 (Source: P.A. 90-502, eff. 8-19-97.)
11 (415 ILCS 135/25)
12 Sec. 25. Powers and duties of the Council.
13 (a) The Council shall have all of the general powers
14 reasonably necessary and convenient to carry out its purposes
15 and may perform the following functions, subject to any
16 express limitations contained in this Act:
17 (1) Take actions and enter into agreements
18 necessary to reimburse claimants for eligible remedial
19 action expenses, assist the Agency to protect the
20 environment from releases, reduce costs associated with
21 remedial actions, and establish and implement an
22 insurance program.
23 (2) Acquire and hold personal property to be used
24 for the purpose of remedial action.
25 (3) Purchase, construct, improve, furnish, equip,
26 lease, option, sell, exchange, or otherwise dispose of
27 one or more improvements under the terms it determines.
28 The Council may define "improvements" by rule for
29 purposes of this Act.
30 (4) Grant a lien, pledge, assignment, or other
31 encumbrance on one or more revenues, assets of right,
32 accounts, or funds established or received in connection
33 with the Fund, including revenues derived from fees or
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1 taxes collected under this Act.
2 (5) Contract for the acquisition or construction of
3 one or more improvements or parts of one or more
4 improvements or for the leasing, subleasing, sale, or
5 other disposition of one or more improvements in a manner
6 the Council determines.
7 (6) Cooperate with the Agency in the implementation
8 and administration of this Act to minimize unnecessary
9 duplication of effort, reporting, or paperwork and to
10 maximize environmental protection within the funding
11 limits of this Act.
12 (7) Except as otherwise provided by law, inspect
13 any document in the possession of an owner, operator,
14 service provider, or any other person if the document is
15 relevant to a claim for reimbursement under this Section
16 or may inspect a drycleaning facility for which a claim
17 for benefits under this Act has been submitted.
18 (b) The Council shall pre-approve, and the contracting
19 parties shall seek pre-approval for, a contract entered into
20 under this Act if the cost of the contract exceeds $75,000.
21 The Council or its designee shall review and approve or
22 disapprove all contracts entered into under this Act.
23 However, review by the Council or its designee shall not be
24 required when an emergency situation exists. All contracts
25 entered into by the Council shall be awarded on a
26 competitive basis to the maximum extent practical. In those
27 situations where it is determined that bidding is not
28 practical, the basis for the determination of
29 impracticability shall be documented by the Council or its
30 designee.
31 (c) The Council may prioritize the expenditure of funds
32 from the remedial action account whenever it determines that
33 there are not sufficient funds to settle all current claims.
34 In prioritizing, the Council may consider the following:
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1 (1) the degree to which human health is affected by
2 the exposure posed by the release;
3 (2) the reduction of risk to human health derived
4 from remedial action compared to the cost of the
5 remedial action;
6 (3) the present and planned uses of the impacted
7 property; and
8 (4) other factors as determined by the Council.
9 (d) The Council shall adopt rules allowing the direct
10 payment from the Fund to a contractor who performs
11 remediation. The rules concerning the direct payment shall
12 include a provision that any applicable deductible must be
13 paid by the drycleaning facility prior to any direct payment
14 from the Fund.
15 (e) The Council may purchase reinsurance coverage to
16 reduce the Fund's potential liability for reimbursement of
17 remedial action costs.
18 (Source: P.A. 90-502, eff. 8-19-97.)
19 (415 ILCS 135/40)
20 Sec. 40. Remedial action account.
21 (a) The remedial action account is established to
22 provide reimbursement to eligible claimants for drycleaning
23 solvent investigation, remedial action planning, and remedial
24 action activities for existing drycleaning solvent
25 contamination discovered at their drycleaning facilities.
26 (b) The following persons are eligible for reimbursement
27 from the remedial action account:
28 (1) In the case of claimant who is the owner or
29 operator of an active drycleaning facility licensed by
30 the Council under this Act at the time of application for
31 remedial action benefits afforded under the Fund, the
32 claimant is only eligible for reimbursement of remedial
33 action costs incurred in connection with a release from
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1 that drycleaning facility, subject to any other
2 limitations under this Act.
3 (2) In the case of a claimant who is the owner of
4 an inactive drycleaning facility and was the owner or
5 operator of the drycleaning facility when it was an
6 active drycleaning facility, the claimant is only
7 eligible for reimbursement of remedial action costs
8 incurred in connection with a release from the
9 drycleaning facility, subject to any other limitations
10 under this Act.
11 (c) An eligible claimant requesting reimbursement from
12 the remedial action account shall meet all of the following:
13 (1) The claimant demonstrates that the source of
14 the release is from the claimant's drycleaning facility.
15 (2) At the time the release was discovered by the
16 claimant, the claimant and the drycleaning facility were
17 in compliance with the Agency reporting and technical
18 operating requirements.
19 (3) The claimant reported the release in a timely
20 manner to the Agency in accordance with State law.
21 (4) The claimant applying for reimbursement has not
22 filed for bankruptcy on or after the date of his or her
23 discovery of the release.
24 (5) If the claimant is the owner or operator of an
25 active drycleaning facility, the claimant has provided to
26 the Council proof of implementation and maintenance of
27 the following pollution prevention measures:
28 (A) That all drycleaning solvent wastes
29 generated at a drycleaning facility be managed in
30 accordance with applicable State waste management
31 laws and rules.
32 (B) A prohibition on the discharge of
33 wastewater from drycleaning machines or of
34 drycleaning solvent from drycleaning operations to a
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1 sanitary sewer or septic tank or to the surface or
2 in groundwater.
3 (C) That every drycleaning facility:
4 (I) install a containment dike or other
5 containment structure around each machine, or
6 item of equipment, or the entire drycleaning
7 area, and portable waste container in which any
8 drycleaning solvent is utilized, which shall be
9 capable of containing leaks, spills, or
10 releases any leak, spill, or release of
11 drycleaning solvent from that machine, item, or
12 area, or container. The containment dike or
13 other containment structure shall be capable of
14 at least the following: (i) containing a
15 capacity of 110% of the drycleaning solvent in
16 the largest tank or vessel within the machine;
17 (ii) containing 100% of the drycleaning solvent
18 of each item of equipment or drycleaning area;
19 and (iii) containing 100% of the drycleaning
20 solvent of the largest portable waste container
21 or at least 10% of the total volume of the
22 portable waste containers stored within the
23 containment dike or structure, whichever is
24 greater.
25 Petroleum underground storage tank systems
26 that are upgraded in accordance with USEPA
27 upgrade standards pursuant to 40 CFR Part 280
28 for the tanks and related piping systems and
29 use a leak detection system approved by the
30 USEPA or IEPA are exempt from this secondary
31 containment requirement; and
32 (II) seal or otherwise render impervious
33 those portions of diked floor surfaces on which
34 a drycleaning solvent may leak, spill, or
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1 otherwise be released.
2 (D) A requirement that all drycleaning solvent
3 shall be delivered to drycleaning facilities by
4 means of closed, direct-coupled delivery systems.
5 (6) An active drycleaning facility has maintained
6 continuous financial assurance for environmental
7 liability coverage in the amount of at least $500,000 at
8 least since the date of award of benefits under this
9 Section or July 1, 2000, whichever is earlier. An
10 uninsured drycleaning facility that has filed an
11 application for insurance with the Fund by January 1,
12 2004, obtained insurance through that application, and
13 maintained that insurance coverage continuously shall be
14 considered to have conformed with the requirements of
15 this subdivision (6). To conform with this requirement
16 the applicant must pay the equivalent of the total
17 premiums due for the period beginning June 30, 2000
18 through the date of application plus a 20% penalty of the
19 total premiums due for that period.
20 (7) The release was discovered on or after July 1,
21 1997 and before July 1, 2006 2004.
22 (d) A claimant shall submit a completed application form
23 provided by the Council. The application shall contain
24 documentation of activities, plans, and expenditures
25 associated with the eligible costs incurred in response to a
26 release of drycleaning solvent from a drycleaning facility.
27 Application for remedial action account benefits must be
28 submitted to the Council on or before June 30, 2005 2004.
29 (e) Claimants shall be subject to the following
30 deductible requirements, unless modified pursuant to the
31 Council's authority under Section 75:
32 (1) An eligible claimant submitting a claim for an
33 active drycleaning facility is responsible for the first
34 $5,000 of eligible investigation costs and for the first
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1 $10,000 of eligible remedial action costs incurred in
2 connection with the release from the drycleaning facility
3 and is only eligible for reimbursement for costs that
4 exceed those amounts, subject to any other limitations of
5 this Act.
6 (2) An eligible claimant submitting a claim for an
7 inactive drycleaning facility is responsible for the
8 first $10,000 of eligible investigation costs and for the
9 first $10,000 of eligible remedial action costs incurred
10 in connection with the release from that drycleaning
11 facility, and is only eligible for reimbursement for
12 costs that exceed those amounts, subject to any other
13 limitations of this Act.
14 (f) Claimants are subject to the following limitations
15 on reimbursement:
16 (1) Subsequent to meeting the deductible
17 requirements of subsection (e), and pursuant to the
18 requirements of Section 75, reimbursement shall not
19 exceed $300,000 per active drycleaning facility and
20 $50,000 per inactive drycleaning facility.:
21 (A) $160,000 per active drycleaning facility
22 for which an eligible claim is submitted during the
23 program year beginning July 1, 1999;
24 (B) $150,000 per active drycleaning facility
25 for which an eligible claim is submitted during the
26 program year beginning July 1, 2000;
27 (C) $140,000 per active drycleaning facility
28 for which an eligible claim is submitted during the
29 program year beginning July 1, 2001;
30 (D) $130,000 per active drycleaning facility
31 for which an eligible claim is submitted during the
32 program year beginning July 1, 2002;
33 (E) $120,000 per active drycleaning facility
34 for which an eligible claim is submitted during the
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1 program year beginning July 1, 2003; or
2 (F) $50,000 per inactive drycleaning facility.
3 (2) A contract in which one of the parties to the
4 contract is a claimant, for goods or services that may be
5 payable or reimbursable from the Council, is void and
6 unenforceable unless and until the Council has found that
7 the contract terms are within the range of usual and
8 customary rates for similar or equivalent goods or
9 services within this State and has found that the goods
10 or services are necessary for the claimant to comply with
11 Council standards or other applicable regulatory
12 standards.
13 (3) A claimant may appoint the Council as an agent
14 for the purposes of negotiating contracts with suppliers
15 of goods or services reimbursable by the Fund. The
16 Council may select another contractor for goods or
17 services other than the one offered by the claimant if
18 the scope of the proposed work or actual work of the
19 claimant's offered contractor does not reflect the
20 quality of workmanship required or if the costs are
21 determined to be excessive, as determined by the Council.
22 (4) The Council may require a claimant to obtain
23 and submit 3 bids and may require specific terms and
24 conditions in a contract subject to approval.
25 (5) The Council may enter into a contract or an
26 exclusive contract with the supplier of goods or services
27 required by a claimant or class of claimants, in
28 connection with an expense reimbursable from the Fund,
29 for a specified good or service at a gross maximum price
30 or fixed rate, and may limit reimbursement accordingly.
31 (6) Unless emergency conditions exist, a service
32 provider shall obtain the Council's approval of the
33 budget for the remediation work before commencing the
34 work. No expense incurred that is above the budgeted
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1 amount shall be paid unless the Council approves the
2 expense prior to its being incurred. All invoices and
3 bills relating to the remediation work shall be submitted
4 with appropriate documentation, as deemed necessary by
5 the Council, not later than 30 days after the work has
6 been performed.
7 (7) Neither the Council nor an eligible claimant is
8 responsible for payment for costs incurred that have not
9 been previously approved by the Council, unless an
10 emergency exists.
11 (8) The Council may determine the usual and
12 customary costs of each item for which reimbursement may
13 be awarded under this Section. The Council may revise the
14 usual and customary costs from time to time as necessary,
15 but costs submitted for reimbursement shall be subject to
16 the rates in effect at the time the costs were incurred.
17 (9) If a claimant has pollution liability insurance
18 coverage other than coverage provided by the insurance
19 account under this Act, that coverage shall be primary.
20 Reimbursement from the remedial account shall be limited
21 to the deductible amounts under the primary coverage and
22 the amount that exceeds the policy limits of the primary
23 coverage, subject to the deductible amounts of this Act.
24 If there is a dispute between the claimant and the
25 primary insurance provider, reimbursement from the
26 remedial action account may be made to the claimant after
27 the claimant assigns all of his or her interests in the
28 insurance coverage to the Council.
29 (g) The source of funds for the remedial action account
30 shall be moneys allocated to the account by the Council
31 according to the Fund budget approved by the Council.
32 (h) A drycleaning facility will be classified as active
33 or inactive for purposes of determining benefits under this
34 Section based on the status of the facility on the date a
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1 claim is filed.
2 (i) Eligible claimants shall conduct remedial action in
3 accordance with the Site Remediation Program under the
4 Environmental Protection Act and Part 740 of Title 35 of the
5 Illinois Administrative Code and the Tiered Approach to
6 Cleanup Objectives under Part 742 of Title 35 of the Illinois
7 Administrative Code.
8 (Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)
9 (415 ILCS 135/45)
10 Sec. 45. Insurance account.
11 (a) The insurance account shall offer financial
12 assurance for a qualified owner or operator of a drycleaning
13 facility under the terms and conditions provided for under
14 this Section. Coverage may be provided to either the owner or
15 the operator of a drycleaning facility. The Council is not
16 required to resolve whether the owner or operator, or both,
17 are responsible for a release under the terms of an agreement
18 between the owner and operator.
19 (b) The source of funds for the insurance account shall
20 be as follows:
21 (1) Moneys appropriated to the Council or moneys
22 allocated to the insurance account by the Council
23 according to the Fund budget approved by the Council.
24 (2) Moneys collected as an insurance premium,
25 including service fees, if any.
26 (3) Investment income attributed to the insurance
27 account by the Council.
28 (c) An owner or operator may purchase coverage of up to
29 $500,000 per drycleaning facility subject to the terms and
30 conditions under this Section and those adopted by the
31 Council. Coverage shall be limited to remedial action costs
32 associated with soil and groundwater contamination resulting
33 from a release of drycleaning solvent at an insured
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1 drycleaning facility, including third-party liability for
2 soil and groundwater contamination. Coverage is not provided
3 for a release that occurred before the date of coverage.
4 (d) An owner or operator, subject to underwriting
5 requirements and terms and conditions deemed necessary and
6 convenient by the Council, may purchase insurance coverage
7 from the insurance account provided that the drycleaning
8 facility to be insured meets the following conditions:
9 (1) a site investigation designed to identify soil
10 and groundwater contamination resulting from the release
11 of a drycleaning solvent has been completed. The Council
12 shall determine if the site investigation is adequate.
13 This investigation must be completed by June 30, 2006
14 2004. For drycleaning facilities that apply for
15 insurance coverage become active after June 30, 2006
16 2004, the site investigation must be completed prior to
17 issuance of insurance coverage; and
18 (2) the drycleaning facility is participating in
19 and meets all requirements of a drycleaning compliance
20 program approved by the Council.
21 (e) The annual premium for insurance coverage shall be:
22 (1) For the year July 1, 1999 through June 30,
23 2000, $250 per drycleaning facility.
24 (2) For the year July 1, 2000 through June 30,
25 2001, $375 per drycleaning facility.
26 (3) For the year July 1, 2001 through June 30,
27 2002, $500 per drycleaning facility.
28 (4) For the year July 1, 2002 through June 30,
29 2003, $625 per drycleaning facility.
30 (5) For subsequent years, an owner or operator
31 applying for coverage shall pay an annual
32 actuarially-sound insurance premium for coverage by the
33 insurance account. The Council may approve Fund coverage
34 through the payment of a premium established on an
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1 actuarially-sound basis, taking into consideration the
2 risk to the insurance account presented by the insured.
3 Risk factor adjustments utilized to determine
4 actuarially-sound insurance premiums should reflect the
5 range of risk presented by the variety of drycleaning
6 systems, monitoring systems, drycleaning volume, risk
7 management practices, and other factors as determined by
8 the Council. As used in this item, "actuarially sound" is
9 not limited to Fund premium revenue equaling or exceeding
10 Fund expenditures for the general drycleaning facility
11 population. Actuarially-determined premiums shall be
12 published at least 180 days prior to the premiums
13 becoming effective.
14 (f) If coverage is purchased for any part of a year, the
15 purchaser shall pay the full annual premium. The insurance
16 premium is fully earned upon issuance of the insurance
17 policy.
18 (g) The insurance coverage shall be provided with a
19 $10,000 deductible policy.
20 (h) A future repeal of this Section shall not terminate
21 the obligations under this Section or authority necessary to
22 administer the obligations until the obligations are
23 satisfied, including but not limited to the payment of claims
24 filed prior to the effective date of any future repeal
25 against the insurance account until moneys in the account are
26 exhausted. Upon exhaustion of the moneys in the account, any
27 remaining claims shall be invalid. If moneys remain in the
28 account following satisfaction of the obligations under this
29 Section, the remaining moneys and moneys due the account
30 shall be used to assist current insureds to obtain a viable
31 insuring mechanism as determined by the Council after public
32 notice and opportunity for comment.
33 (Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)
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1 (415 ILCS 135/60)
2 (Section scheduled to be repealed on January 1, 2010)
3 Sec. 60. Drycleaning facility license.
4 (a) On and after January 1, 1998, no person shall
5 operate a drycleaning facility in this State without a
6 license issued by the Council.
7 (b) The Council shall issue an initial or renewal
8 license to a drycleaning facility on submission by an
9 applicant of a completed form prescribed by the Council and
10 proof of payment of the required fee to the Department of
11 Revenue.
12 (c) On or after January 1, 2004, the annual fees for
13 licensure are as follows:
14 (1) $500 for a facility that uses (i) 50 purchases
15 140 gallons or less of chlorine-based or green
16 drycleaning solvents annually, (ii) 250 or less gallons
17 annually of hydrocarbon-based drycleaning solvents in a
18 drycleaning machine equipped with a solvent reclaimer, or
19 (iii) 500 1400 gallons or less annually of
20 hydrocarbon-based drycleaning solvents in a drycleaning
21 machine without a solvent reclaimer annually.
22 (2) $500 $1,000 for a facility that uses (i)
23 purchases more than 50 140 gallons but not more than 100
24 less than 360 gallons of chlorine-based or green
25 drycleaning solvents annually, (ii) more than 250 gallons
26 but not more 500 gallons annually of hydrocarbon-based
27 solvents in a drycleaning machine equipped with a solvent
28 reclaimer, or (iii) more than 500 1400 gallons but not
29 more than 1,000 less than 3600 gallons annually of
30 hydrocarbon-based drycleaning solvents in a drycleaning
31 machine without a solvent reclaimer annually.
32 (3) $500 $1,500 for a facility that uses (i) 100
33 purchases 360 gallons but not more than 150 gallons or
34 more of chlorine-based or green drycleaning solvents
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1 annually, (ii) more than 500 gallons but not more than
2 750 gallons annually of hydrocarbon-based solvents in a
3 drycleaning machine equipped with a solvent reclaimer, or
4 (iii) more than 1,000 gallons but not more than 1,500
5 gallons annually 3600 gallons or more of
6 hydrocarbon-based drycleaning solvents in a drycleaning
7 machine without a solvent reclaimer annually.
8 (4) $1,000 for a facility that uses (i) more than
9 150 gallons but not more than 200 gallons of
10 chlorine-based or green drycleaning solvents annually,
11 (ii) more than 750 gallons but not more than 1,000
12 gallons annually of hydrocarbon-based solvents in a
13 drycleaning machine equipped with a solvent reclaimer, or
14 (iii) more than 1,500 gallons but not more than 2,000
15 gallons annually of hydrocarbon-based drycleaning
16 solvents in a drycleaning machine without a solvent
17 reclaimer.
18 (5) $1,000 for a facility that uses (i) more than
19 200 gallons but not more than 250 gallons of
20 chlorine-based or green drycleaning solvents annually,
21 (ii) more than 1,000 gallons but not more than 1,250
22 gallons annually of hydrocarbon-based solvents in a
23 drycleaning machine equipped with a solvent reclaimer, or
24 (iii) more than 2,000 gallons but not more than 2,500
25 gallons annually of hydrocarbon-based drycleaning
26 solvents in a drycleaning machine without a solvent
27 reclaimer.
28 (6) $1,000 for a facility that uses (i) more than
29 250 gallons but not more than 300 gallons of
30 chlorine-based or green drycleaning solvents annually,
31 (ii) more than 1,250 gallons but not more than 1,500
32 gallons annually of hydrocarbon-based solvents in a
33 drycleaning machine equipped with a solvent reclaimer, or
34 (iii) more than 2,500 gallons but not more than 3,000
-20- LRB093 10190 AMC 12880 a
1 gallons annually of hydrocarbon-based drycleaning
2 solvents in a drycleaning machine without a solvent
3 reclaimer.
4 (7) $1,000 for a facility that uses (i) more than
5 300 gallons but not more than 350 gallons of
6 chlorine-based or green drycleaning solvents annually,
7 (ii) more than 1,500 gallons but not more than 1,750
8 gallons annually of hydrocarbon-based solvents in a
9 drycleaning machine equipped with a solvent reclaimer, or
10 (iii) more than 3,000 gallons but not more than 3,500
11 gallons annually of hydrocarbon-based drycleaning
12 solvents in a drycleaning machine without a solvent
13 reclaimer.
14 (8) $1,500 for a facility that uses (i) more than
15 350 gallons but not more than 400 gallons of
16 chlorine-based or green drycleaning solvents annually,
17 (ii) more than 1,750 gallons but not more than 2,000
18 gallons annually of hydrocarbon-based solvents in a
19 drycleaning machine equipped with a solvent reclaimer, or
20 (iii) more than 3,500 gallons but not more than 4,000
21 gallons annually of hydrocarbon-based drycleaning
22 solvents in a drycleaning machine without a solvent
23 reclaimer.
24 (9) $1,500 for a facility that uses (i) more than
25 400 gallons but not more than 450 gallons of
26 chlorine-based or green drycleaning solvents annually,
27 (ii) more than 2,000 gallons but not more than 2,250
28 gallons annually of hydrocarbon-based solvents in a
29 drycleaning machine equipped with a solvent reclaimer, or
30 (iii) more than 4,000 gallons but not more than 4,500
31 gallons annually of hydrocarbon-based drycleaning
32 solvents in a drycleaning machine without a solvent
33 reclaimer.
34 (10) $1,500 for a facility that uses (i) more than
-21- LRB093 10190 AMC 12880 a
1 450 gallons but not more than 500 gallons of
2 chlorine-based or green drycleaning solvents annually,
3 (ii) more than 2,250 gallons but not more than 2,500
4 gallons annually of hydrocarbon-based solvents used in a
5 drycleaning machine equipped with a solvent reclaimer, or
6 (iii) more than 4,500 gallons but not more than 5,000
7 gallons annually of hydrocarbon-based drycleaning
8 solvents in a drycleaning machine without a solvent
9 reclaimer.
10 (11) $1,500 for a facility that uses (i) more than
11 500 gallons but not more than 550 gallons of
12 chlorine-based or green drycleaning solvents annually,
13 (ii) more than 2,500 gallons but not more than 2,750
14 gallons annually of hydrocarbon-based solvents in a
15 drycleaning machine equipped with a solvent reclaimer, or
16 (iii) more than 5,000 gallons but not more than 5,500
17 gallons annually of hydrocarbon-based drycleaning
18 solvents in a drycleaning machine without a solvent
19 reclaimer.
20 (12) $1,500 for a facility that uses (i) more than
21 550 gallons but not more than 600 gallons of
22 chlorine-based or green drycleaning solvents annually,
23 (ii) more than 2,750 gallons but not more than 3,000
24 gallons annually of hydrocarbon-based solvents in a
25 drycleaning machine equipped with a solvent reclaimer, or
26 (iii) more than 5,500 gallons but not more than 6,000
27 gallons annually of hydrocarbon-based drycleaning
28 solvents in a drycleaning machine without a solvent
29 reclaimer.
30 (13) $1,500 for a facility that uses (i) more than
31 600 gallons of chlorine-based or green drycleaning
32 solvents annually, (ii) more than 3,000 gallons but not
33 more than 3,250 gallons annually of hydrocarbon-based
34 solvents in a drycleaning machine equipped with a solvent
-22- LRB093 10190 AMC 12880 a
1 reclaimer, or (iii) more than 6,000 gallons of
2 hydrocarbon-based drycleaning solvents annually in a
3 drycleaning machine equipped without a solvent reclaimer.
4 (14) $1,500 for a facility that uses more than
5 3,250 gallons but not more than 3,500 gallons annually of
6 hydrocarbon-based solvents in a drycleaning machine
7 equipped with a solvent reclaimer.
8 (15) $1,500 for a facility that uses more than
9 3,500 gallons but not more than 3,750 gallons annually of
10 hydrocarbon-based solvents used in a drycleaning machine
11 equipped with a solvent reclaimer.
12 (16) $1,500 for a facility that uses more than
13 3,750 gallons but not more than 4,000 gallons annually of
14 hydrocarbon-based solvents in a drycleaning machine
15 equipped with a solvent reclaimer.
16 (17) $1,500 for a facility that uses more than
17 4,000 gallons annually of hydrocarbon-based solvents in a
18 drycleaning machine equipped with a solvent reclaimer.
19 For purpose of this subsection, the quantity of
20 drycleaning solvents used purchased annually shall be
21 determined as follows:
22 (1) in the case of an initial applicant, the
23 quantity of drycleaning solvents that the applicant
24 estimates will be used during his or her initial license
25 year. A fee assessed under this subdivision is subject
26 to audited adjustment for that year; or
27 (2) in the case of a renewal applicant, the
28 quantity of drycleaning solvents actually used in the
29 preceding license year.
30 The Council may adjust licensing fees annually based on
31 the published Consumer Price Index - All Urban Consumers
32 ("CPI-U") or as otherwise determined by the Council.
33 (d) A license issued under this Section shall expire one
34 year after the date of issuance and may be renewed on
-23- LRB093 10190 AMC 12880 a
1 reapplication to the Council and submission of proof of
2 payment of the appropriate fee to the Department of Revenue
3 in accordance with subsections (c) and (e). At least 30 days
4 before payment of a renewal licensing fee is due, the Council
5 shall attempt to:
6 (1) notify the operator of each licensed
7 drycleaning facility concerning the requirements of this
8 Section; and
9 (2) submit a license fee payment form to the
10 licensed operator of each drycleaning facility.
11 (e) An operator of a drycleaning facility shall submit
12 the appropriate application form provided by the Council with
13 the license fee in the form of cash or guaranteed remittance
14 to the Department of Revenue. The license fee payment form
15 and the actual license fee payment shall be administered by
16 the Department of Revenue under rules adopted by that
17 Department.
18 (f) The Department of Revenue shall issue a proof of
19 payment receipt to each operator of a drycleaning facility
20 who has paid the appropriate fee in cash or by guaranteed
21 remittance. However, the Department of Revenue shall not
22 issue a proof of payment receipt to a drycleaning facility
23 that is liable to the Department of Revenue for a tax imposed
24 under this Act. The original receipt shall be presented to
25 the Council by the operator of a drycleaning facility.
26 (g) An operator of a dry cleaning facility who is
27 required to pay a license fee under this Act and fails to pay
28 the license fee when the fee is due may shall be assessed a
29 penalty of $5 for each day after the license fee is due and
30 until the license fee is paid. The penalty shall be effective
31 for license fees due on or after July 1, 1999.
32 (h) The Council and the Department of Revenue may adopt
33 rules as necessary to administer the licensing requirements
34 of this Act.
-24- LRB093 10190 AMC 12880 a
1 (Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)
2 (415 ILCS 135/65)
3 (Section scheduled to be repealed on January 1, 2010)
4 Sec. 65. Drycleaning solvent tax.
5 (a) On and after January 1, 1998, a tax is imposed upon
6 the use of drycleaning solvent by a person engaged in the
7 business of operating a drycleaning facility in this State at
8 the rate of $3.50 per gallon of perchloroethylene or other
9 chlorinated drycleaning solvents used in drycleaning
10 operations, and $0.35 per gallon of petroleum-based
11 drycleaning solvent, and $3.50 per gallon of green solvents,
12 unless the green solvent is used at a virgin facility, in
13 which case the rate is $0.35 per gallon. The Council shall
14 determine by rule which products are chlorine-based
15 solvents, and which products are petroleum-based solvents,
16 and which products are green solvents. All drycleaning
17 solvents shall be considered chlorinated solvents unless the
18 Council determines that the solvents are petroleum-based
19 drycleaning solvents or green solvents subject to the lower
20 tax.
21 (b) The tax imposed by this Act shall be collected from
22 the purchaser at the time of sale by a seller of drycleaning
23 solvents maintaining a place of business in this State and
24 shall be remitted to the Department of Revenue under the
25 provisions of this Act.
26 (c) The tax imposed by this Act that is not collected by
27 a seller of drycleaning solvents shall be paid directly to
28 the Department of Revenue by the purchaser or end user who is
29 subject to the tax imposed by this Act.
30 (d) No tax shall be imposed upon the use of drycleaning
31 solvent if the drycleaning solvent will not be used in a
32 drycleaning facility or if a floor stock tax has been imposed
33 and paid on the drycleaning solvent. Prior to the purchase
-25- LRB093 10190 AMC 12880 a
1 of the solvent, the purchaser shall provide a written and
2 signed certificate to the drycleaning solvent seller stating:
3 (1) the name and address of the purchaser;
4 (2) the purchaser's signature and date of signing;
5 and
6 (3) one of the following:
7 (A) that the drycleaning solvent will not be
8 used in a drycleaning facility; or
9 (B) that a floor stock tax has been imposed
10 and paid on the drycleaning solvent.
11 A person who provides a false certification under this
12 subsection shall be liable for a civil penalty not to exceed
13 $500 for a first violation and a civil penalty not to exceed
14 $5,000 for a second or subsequent violation.
15 (e) On January 1, 1998, there is imposed on each
16 operator of a drycleaning facility a tax on drycleaning
17 solvent held by the operator on that date for use in a
18 drycleaning facility. The tax imposed shall be the tax that
19 would have been imposed under subsection (a) if the
20 drycleaning solvent held by the operator on that date had
21 been purchased by the operator during the first year of this
22 Act.
23 (f) On or before the 25th day of the 1st month following
24 the end of the calendar quarter, a seller of drycleaning
25 solvents who has collected a tax pursuant to this Section
26 during the previous calendar quarter, or a purchaser or end
27 user of drycleaning solvents required under subsection (c) to
28 submit the tax directly to the Department, shall file a
29 return with the Department of Revenue. The return shall be
30 filed on a form prescribed by the Department of Revenue and
31 shall contain information that the Department of Revenue
32 reasonably requires, but at a minimum will require the
33 reporting of the volume of drycleaning solvent sold to each
34 licensed drycleaner. The Department of Revenue shall report
-26- LRB093 10190 AMC 12880 a
1 quarterly to the Council the volume of drycleaning solvent
2 purchased for the quarter by each licensed drycleaner. Each
3 seller of drycleaning solvent maintaining a place of business
4 in this State who is required or authorized to collect the
5 tax imposed by this Act shall pay to the Department the
6 amount of the tax at the time when he or she is required to
7 file his or her return for the period during which the tax
8 was collected. Purchasers or end users remitting the tax
9 directly to the Department under subsection (c) shall file a
10 return with the Department of Revenue and pay the tax so
11 incurred by the purchaser or end user during the preceding
12 calendar quarter.
13 (g) The tax on drycleaning solvents used in drycleaning
14 facilities and the floor stock tax shall be administered by
15 Department of Revenue under rules adopted by that Department.
16 (h) On and after January 1, 1998, no person shall
17 knowingly sell or transfer drycleaning solvent to an operator
18 of a drycleaning facility that is not licensed by the Council
19 under Section 60. A person who violates this subsection is
20 liable for a civil penalty not to exceed $500 for a first
21 violation and a civil penalty not to exceed $5,000 for a
22 second or subsequent violation.
23 (i) The Department of Revenue may adopt rules as
24 necessary to implement this Section.
25 (Source: P.A. 90-502, eff. 8-19-97.)
26 (415 ILCS 135/85)
27 Sec. 85. Repeal of fee and tax provisions. Sections 60
28 and 65 of this Act are repealed on January 1, 2020 2010.
29 (Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)".