HB4881eng 95TH GENERAL ASSEMBLY

HB4881 Engrossed LRB095 15328 BDD 41316 b

AN ACT concerning finances.

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 Emerging Technology Industries Grant Act.

Section 5. Purpose. It is the purpose of this Act to develop and diversify the economy of the State of Illinois by:

(1) expediting the innovation and commercialization of research;

(2) attracting, creating, or expanding private-sector entities that will promote a substantial increase in high-quality jobs; and

(3) increasing higher education applied technology research capabilities.

Section 10. Definitions. As used in this Act:

"Department" means the Department of Commerce and Economic Opportunity.

"Emerging technology enterprise" means a business concern that is primarily engaged in an emerging technology industry.

"Emerging technology industry" includes, without limitation, any industry related to:

(1) semiconductors;

(2) computer and software technology;

(3) energy;

(4) manufactured energy systems;

(5) micro-electromechanical systems;

(6) nanotechnology;

(7) biotechnology;

(8) medicine;

(9) life sciences;

(10) petroleum;

(11) aerospace;

(12) defense; and

(13) any other pursuit that is determined by the Department to be an emerging technology industry.

"Fund" means the Emerging Technology Grant Fund established under Section 20 of this Act.

Section 15. Eligibility. An emerging-technology enterprise is eligible to receive a grant under this Act if the activity to be funded: (i) will result in the creation of new jobs in this State; and (ii) has the potential to result in the advancement of a medicine or science.

Section 20. The Emerging Technology Grant Fund. The Emerging Technology Grant Fund is created as a special fund in the State treasury. From appropriations to the Department from the Fund, the Department shall make grants to emerging-technology enterprises in the State as set forth under this Act. Moneys received for the purposes of this Section, including, without limitation, appropriations, repayments of grant moneys, and gifts, grants, and awards from any public or private entity, must be deposited into the Fund. Any interest earnings that are attributable to moneys in the Fund must be deposited into the Fund.

Section 25. Grant contracts.

(a) Before awarding a grant under this Act, the Department shall enter into a written contract with the emerging-technology enterprise to be awarded the grant money. In the contract, the emerging-technology enterprise shall guarantee that it will perform the actions expected to be performed. The contract may specify that:

(1) If all or any portion of the amount of the grant is used to build a capital improvement:

(A) the State retains a lien or other interest in the capital improvement in proportion to the percentage of the grant amount used to pay for the capital improvements; and

(B) the recipient of the grant shall, if the capital improvement is sold, (i) repay to the State the grant money used to pay for the capital improvement, with the interest at the rate and according to the other terms provided by the agreement, and (ii) share with the State a proportionate amount of any profit realized from the sale; and

(2) If, as of the date certain provided in the contract, the grant recipient has not used grant money awarded under this Act for the purposes for which the grant was intended, then the recipient shall repay that amount and any related interest applicable under the agreement to the State at the agreed rate and on the agreed terms.

(b) If an emerging-technology enterprise fails to perform an action guaranteed by contract before a time specified by contract, then the enterprise shall return all moneys received from the Fund.

Section 30. Funding priority. In awarding money from the Fund under this Act, priority shall be given to proposals that:

(1) involve emerging scientific or technology fields that have a reasonable probability of enhancing the State's national and global economic competitiveness;

(2) may result in a medical or scientific advancement;

(3) are collaborative between any combination of private or nonprofit entities and public or private agencies or institutions in the State;

(4) are matched with other available funds, including funds from the private or nonprofit entity or institution of higher education collaborating on the project; or

(5) have an economic development benefit to the State.

Section 35. Research Grant Matching. Amounts allocated from the Fund for use as provided by this Act must be reserved to match funding from research sponsors other than this State, including federal research sponsors. The Department shall determine proposals eligible for funding under this Act.

Section 40. Documentation of benefits.

(a) An emerging-technology enterprise that receives a grant under this Act must document specific benefits that the State may expect to gain as a result of the grant award. This documentation must be completed and provided to the Department before the emerging-technology enterprise may enter into contract to receive funding under Section 25.

(b) The Department may terminate funding to an emerging-technology enterprise if the enterprise fails to realize a benefit specified in the contract, as determined by a periodic review conducted by the Department.

Section 45. No rulemaking. Notwithstanding any other rulemaking authority that may exist, neither the Governor nor any agency or agency head under the jurisdiction of the Governor has any authority to make or promulgate rules to implement or enforce the provisions of this Act. If, however, the Governor believes that rules are necessary to implement or enforce the provisions of this Act, the Governor may suggest rules to the General Assembly by filing them with the Clerk of the House and Secretary of the Senate and by requesting that the General Assembly authorize such rulemaking by law, enact those suggested rules into law, or take any other appropriate action in the General Assembly's discretion. Nothing contained in this Act shall be interpreted to grant rulemaking authority under any other Illinois statute where such authority is not otherwise explicitly given. For the purposes of this Section, "rules" is given the meaning contained in Section 1-70 of the Illinois Administrative Procedure Act, and "agency" and "agency head" are given the meanings contained in Sections 1-20 and 1-25 of the Illinois Administrative Procedure Act to the extent that such definitions apply to agencies or agency heads under the jurisdiction of the Governor.

Section 90. The State Finance Act is amended by adding Section 5.708 as follows:

(30 ILCS 105/5.708 new)

Sec. 5.708. The Emerging Technology Grant Fund.

Section 99. Effective date. This Act takes effect upon becoming law.