Illinois General Assembly - Full Text of HB2106
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Full Text of HB2106  95th General Assembly



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1     AN ACT concerning agriculture.
2     Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4     Section 5. The Illinois Renewable Fuels Development
5 Program Act is amended by changing Sections 15 and 20 and by
6 adding Sections 15.1, 15.2, and 15.3 as follows:
7     (20 ILCS 689/15)
8     Sec. 15. Illinois Renewable Fuels Development Program.
9     (a) The Department must develop and administer the Illinois
10 Renewable Fuels Development Program to assist in the
11 construction, modification, alteration, or retrofitting of
12 renewable fuel plants in Illinois. The recipient of a grant
13 under this Section must:
14         (1) be constructing, modifying, altering, or
15     retrofitting a plant in the State of Illinois;
16         (2) be constructing, modifying, altering, or
17     retrofitting a plant that has annual production capacity of
18     no less than 30,000,000 gallons of renewable fuel per year;
19     and
20         (3) enter into a project labor agreement as prescribed
21     by Section 25 of this Act.
22     (b) Grant applications must be made on forms provided by
23 and in accordance with procedures established by the



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1 Department.
2     (c) The Department must give preference to applicants that
3 use Illinois agricultural products in the production of
4 renewable fuel at the plant for which the grant is being
5 requested.
6     (d) Facilities that produce ethanol for gasohol or majority
7 blended ethanol fuel shall receive a grant equal to 10 cents
8 per gallon of annual production capacity, not to exceed
9 $10,000,000 for each facility.
10 (Source: P.A. 93-15, eff. 6-11-03.)
11     (20 ILCS 689/15.1 new)
12     Sec. 15.1. Renewable Fuels Majority Blended Ethanol
13 Infrastructure Program. The Department shall establish and
14 administer the Renewable Fuels Majority Blended Ethanol
15 Program to encourage the construction, installation, and
16 marketing of majority blended ethanol, as defined in Section
17 3-44 of the Use Tax Act. The Renewable Fuels Majority Blended
18 Ethanol Program shall provide financial assistance for units of
19 local government and petroleum distribution centers to install
20 the necessary infrastructure for the use of majority blended
21 ethanol.
22     The Department shall establish the program for the purpose
23 of providing grants to units of local government and motor fuel
24 delivering suppliers, as defined in Section 5-5 of the Gas Use
25 Tax Law, that operate or will be operating majority blended



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1 ethanol fueling distribution infrastructure. A unit of local
2 government applying for a grant under this program shall
3 receive a matching grant equaling 50% of the total cost of
4 installation of a majority blended ethanol distribution pump,
5 but not to exceed $40,000. Delivering suppliers shall be
6 eligible to receive a matching grant equal to 50% the cost of
7 installation per pump location, but not to exceed a total of
8 $250,000 in grants annually for each delivering supplier for
9 locations in the supplier's ownership and control. The
10 Department shall adopt necessary rules and forms for the
11 implementation of this Section.
12     (20 ILCS 689/15.2 new)
13     Sec. 15.2. Renewable Fuels Competitive Commercialization
14 Program. The Department shall develop and administer the
15 Renewable Fuels Competitive Commercialization Program to
16 coordinate renewable fuel research and distribution of grant
17 funds to bring the State to the forefront of renewable fuel
18 development. The Renewable Fuels Competitive Commercialization
19 Grant Oversight Committee is established to review the grants
20 and make recommendations to the Director for awarding grants.
21 The oversight committee shall be comprised of 9 members. The
22 members shall be appointed as follows: the Director, or his or
23 her designee; the Speaker of the House of Representatives; the
24 President of the Senate; the Minority Leader of the House of
25 Representatives; the Minority Leader of the Senate; and one



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1 member representing each of the following, to be appointed by
2 the Director:
3     (1) a general statewide agricultural association;
4     (2) an association representing producers of corn;
5     (3) an association representing producers of soybeans; and
6     (4) renewable fuels production facilities.
7     The Department shall solicit proposals for grants that
8 provide funds for projects, including but not limited to,
9 adding value to bio-fuel co-products (such as Distillers Dried
10 Grain with solubles (DDGs)), increasing vehicle mileage, and
11 reducing the water usage in manufacturing bio-fuel to increase
12 the competitiveness of renewable fuels produced in the State.
13 Preference shall be given to projects in partnership with
14 industry or for project pilot scale demonstrations that advance
15 the State's leadership in the development of a bio-based
16 economy.
17     (20 ILCS 689/15.3 new)
18     Sec. 15.3. Renewable Fuels Rail Infrastructure Assistance
19 Program. The Department shall establish and administer the
20 Renewable Fuels Rail Infrastructure Assistance Program to
21 assist in the construction and installation of (i) railroad
22 side track and turnouts to provide rail service to renewable
23 fuels facilities, (ii) side track and turnouts for railroad
24 storage and collection areas for renewable fuels and renewable
25 fuel inputs, and (iii) side track, turnouts, and other



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1 necessary infrastructure for renewable fuel and renewable fuel
2 co-products container shipping. Only one grant for the purpose
3 stated under item (iii) of this Section shall be awarded each
4 year. Grant applications shall be submitted on forms prescribed
5 by the Department.
6     (20 ILCS 689/20)
7     Sec. 20. Grants. Subject to appropriation, the Director is
8 authorized to award Renewable Fuels Development Program Fund
9 grants to eligible applicants. The annual aggregate amount of
10 grants awarded under this Section is subject to the following
11 limits:
12         (1) grants awarded under the Illinois Renewable Fuels
13     Development Program awarded shall not exceed $30,000,000
14     annually in fiscal years 2008, 2009, and 2010 and
15     $15,000,000 thereafter; no more than $5,000,000 annually
16     of these grant funds may be used for a bio-diesel plant;
17     $20,000,000.
18         (2) grants awarded under the Renewable Fuels Majority
19     Blended Ethanol Infrastructure Program shall not exceed
20     $3,500,000 annually for fiscal years 2008 through 2014;
21         (3) grants awarded under the Renewable Fuels
22     Competitive Commercialization Program shall not exceed
23     $1,000,000 annually in fiscal years 2008, 2009, 2010, and
24     2011; and
25         (4) grants awarded under the Renewable Fuels Rail



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1     Infrastructure Assistance Program shall not exceed
2     $5,000,000 annually for fiscal years 2008 through 2012.
3 (Source: P.A. 93-15, eff. 6-11-03; 93-618, eff. 12-11-03;
4 94-839, eff. 6-6-06.)
5     Section 10. The State Finance Act is amended by adding
6 Sections 5.675 and 6z-70 as follows:
7     (30 ILCS 105/5.675 new)
8     Sec. 5.675. The Renewable Fuels Development Program Fund.
9     (30 ILCS 105/6z-70 new)
10     Sec. 6z-70. Renewable Fuels Development Program Fund. The
11 Renewable Fuels Development Program Fund is created as a
12 special fund in the State treasury. Moneys in the Fund may be
13 used by the Department of Commerce and Economic Opportunity,
14 subject to appropriation, for the Illinois Renewable Fuels
15 Development Program, the Renewable Fuels Majority Blended
16 Ethanol Infrastructure Program, the Renewable Fuels
17 Competitive Commercialization Program, the Renewable Fuels
18 Rail Infrastructure Assistance Program, and other renewable
19 energy programs as set forth in Section 20 of the Illinois
20 Renewable Fuels Development Program Act.
21     Moneys received for the purposes of this Section,
22 including, without limitation, fund transfers, gifts, grants,
23 and awards from any public or private entity, must be deposited



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1 into the Fund. Any interest earned on moneys in the Fund must
2 be deposited into the Fund.
3     The State Comptroller and State Treasurer shall
4 automatically transfer on the last day of each month, beginning
5 on July 30, 2007, from the General Revenue Fund to the
6 Renewable Fuels Development Program Fund, an amount equal to
7 one twelfth of the amount set forth below in each of the
8 specified fiscal years:
9    Fiscal Year     Amount
10    2008 through 2010     $39,500,000
11    2011     $24,500,000
12    2012     $23,500,000
13    2013 and 2014     $18,500,000
14    2015     $15,000,000
15     There shall be deposited into the Renewable Fuels
16 Development Program Fund such bond proceeds and other moneys as
17 may, from time to time, be provided by law.
18     Section 99. Effective date. This Act takes effect on July
19 1, 2007.