SB2290 102ND GENERAL ASSEMBLY

LRB102 17355 RJF 22846 b

102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
SB2290

Introduced 2/26/2021, by Sen. Scott M. Bennett

SYNOPSIS AS INTRODUCED:

20 ILCS 605/605-1055 new

Amends the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois. Provides that the Department of Commerce and Economic Opportunity is authorized to establish the Illinois Innovation Voucher Program for the purpose of fostering research and development in key industry clusters leading to the creation of new products and services that can be marketed by Illinois businesses. Provides that the Department may award innovation vouchers to eligible businesses to offset a portion of expenses incurred through a collaborative research engagement with an Illinois institution of higher education. Provides for the award of matching funds in the form of innovation vouchers. Provides eligibility requirements for receiving innovation vouchers. Provides requirements for administering the Program. Provides for the adoption of rules. Effective immediately.

A BILL FOR

AN ACT concerning State government.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois is amended by adding Section 605-1055 as follows:

(20 ILCS 605/605-1055 new)

Sec. 605-1055. Illinois Innovation Voucher Program.

(a) The Department is authorized to establish the Illinois Innovation Voucher Program to be administered in accordance with this Section for the purpose of fostering research and development in key industry clusters leading to the creation of new products and services that can be marketed by Illinois businesses. The Department may award innovation vouchers to eligible businesses to offset a portion of expenses incurred through a collaborative research engagement with an Illinois institution of higher education.

(b) The Department may award matching funds in the form of innovation vouchers up to 75% of the cost of the research engagement not to exceed $75,000. A business may receive only one innovation voucher under this Section per year.

(c) The Department, if administering the Program under this Section:

(1) must encourage participation among small and mid-sized businesses;

(2) must encourage participation in the Program in diverse geographic and economic areas, including urban, suburban, and rural areas of the State; and

(3) must encourage participation in the Program from businesses that operate in key industries, as defined by the Department. These industries include, but are not limited to, the following: (i) agribusiness and agtech; (ii) energy; (iii) information technology; (iv) life sciences and healthcare; (v) manufacturing; and (vi) transportation and logistics.

(d) In order to be eligible for an innovation voucher under this Section, a business must satisfy all of the following conditions:

(1) the business must be an Illinois-based business. For the purposes of this Section, "Illinois-based business" means a business that has its principal place of business in this State or that employs at least 100 full-time employees, as defined under Section 5-5 of the Economic Development for a Growing Economy Tax Credit Act, in this State;

(2) the business must remain in this State for the duration of research engagement; and

(3) the partnering institution of higher education must be an Illinois-based institution of higher education and non-profit. For the purposes of this Section, "Illinois-based institution of higher education" means an institution of higher education that has its main physical campus in this State.

(e) The Illinois Innovation Voucher Program shall, when not administered by the Department, be administered by an Illinois non-profit membership organization whose mission is to cultivate innovation and technology-based economic development in Illinois by fostering public-private partnerships to develop and execute research and development projects, advocating for funding for research and development initiatives, and collaborating with public and private partners to attract and retain research and development resources and talent in Illinois. The Department shall be authorized to provide to the entity administering the Program an administrative fee in an amount not to exceed 15% of the total value of vouchers estimated by the Department to be issued in each fiscal year.

(f) The Department may adopt any rules necessary to administer the provisions of this Section.

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