Illinois General Assembly - Full Text of SB1000
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Full Text of SB1000  93rd General Assembly

SB1000ham001 93rd General Assembly


093_SB1000ham001

 










                                     LRB093 03184 AMC 16876 a

 1                    AMENDMENT TO SENATE BILL 1000

 2        AMENDMENT NO.     .  Amend Senate Bill 1000 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,  30,  40,
 6    45, 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
 
                            -2-      LRB093 03184 AMC 16876 a
 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
 
                            -3-      LRB093 03184 AMC 16876 a
 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
 
                            -4-      LRB093 03184 AMC 16876 a
 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.)
 
                            -5-      LRB093 03184 AMC 16876 a
 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
 
                            -6-      LRB093 03184 AMC 16876 a
 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
 
                            -7-      LRB093 03184 AMC 16876 a
 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:
 
                            -8-      LRB093 03184 AMC 16876 a
 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 135/30)
20        Sec. 30.  Independent contractors retained by Council.
21        (a)  A contract entered into to retain a person to act as
22    the administrator of the Fund shall be subject to public bid,
23    provided that no such contract shall be entered into  without
24    the  review  and approval of the Director of the Agency.  The
25    Council may enter into a contract or an agreement  authorized
26    under  this  Act with a person, the Agency, the Department of
27    Revenue,  other  departments,   agencies,   or   governmental
28    subdivisions  of  this  State,  another  state, or the United
29    States,  in  connection  with   its      administration   and
30    implementation of this Act.
31        (b)  The  Council  may  reimburse  a  public  or  private
32    contractor  retained  pursuant  to  this Section for expenses
33    incurred  in  the  execution  of  a  contract  or  agreement.
 
                            -9-      LRB093 03184 AMC 16876 a
 1    Reimbursable expenses include the costs of performing  duties
 2    or powers specifically delegated by the Council.
 3    (Source: P.A. 90-502, eff. 8-19-97.)

 4        (415 ILCS 135/40)
 5        Sec. 40. Remedial action account.
 6        (a)  The   remedial  action  account  is  established  to
 7    provide reimbursement to eligible claimants  for  drycleaning
 8    solvent investigation, remedial action planning, and remedial
 9    action    activities   for   existing   drycleaning   solvent
10    contamination discovered at their drycleaning facilities.
11        (b)  The following persons are eligible for reimbursement
12    from the remedial action account:
13             (1)  In the case of claimant who  is  the  owner  or
14        operator  of  an active drycleaning  facility licensed by
15        the Council under this Act at the time of application for
16        remedial action benefits afforded  under  the  Fund,  the
17        claimant  is  only eligible for reimbursement of remedial
18        action costs incurred in connection with a  release  from
19        that   drycleaning   facility,   subject   to  any  other
20        limitations under this Act.
21             (2)  In the case of a claimant who is the  owner  of
22        an  inactive  drycleaning  facility and  was the owner or
23        operator of the drycleaning facility  when  it  was    an
24        active   drycleaning   facility,  the  claimant  is  only
25        eligible for   reimbursement  of  remedial  action  costs
26        incurred   in   connection   with   a  release  from  the
27        drycleaning facility, subject to  any  other  limitations
28        under this Act.
29        (c)  An  eligible  claimant requesting reimbursement from
30    the remedial action  account shall meet all of the following:
31             (1)  The claimant demonstrates that  the  source  of
32        the release is from  the claimant's drycleaning facility.
33             (2)  At  the  time the release was discovered by the
 
                            -10-     LRB093 03184 AMC 16876 a
 1        claimant, the claimant and the drycleaning facility  were
 2        in  compliance  with  the  Agency reporting and technical
 3        operating requirements.
 4             (3)  The claimant reported the release in  a  timely
 5        manner to  the Agency in accordance with State law.
 6             (4)  The claimant applying for reimbursement has not
 7        filed  for  bankruptcy on or after the date of his or her
 8        discovery of the release.
 9             (5)  If the claimant is the owner or operator of  an
10        active drycleaning facility, the claimant has provided to
11        the  Council  proof  of implementation and maintenance of
12        the following pollution prevention measures:
13                  (A)  That  all   drycleaning   solvent   wastes
14             generated  at  a  drycleaning facility be managed in
15             accordance with applicable  State  waste  management
16             laws and rules.
17                  (B)  A   prohibition   on   the   discharge  of
18             wastewater   from   drycleaning   machines   or   of
19             drycleaning solvent from drycleaning operations to a
20             sanitary sewer or septic tank or to the  surface  or
21             in groundwater.
22                  (C)  That every drycleaning facility:
23                       (I)  install  a  containment dike or other
24                  containment structure around each  machine,  or
25                  item  of  equipment,  or the entire drycleaning
26                  area, and portable waste container in which any
27                  drycleaning solvent is utilized, which shall be
28                  capable  of  containing   leaks,   spills,   or
29                  releases   any   leak,  spill,  or  release  of
30                  drycleaning solvent from that machine, item, or
31                  area, or container.  The  containment  dike  or
32                  other containment structure shall be capable of
33                  at   least  the  following:  (i)  containing  a
34                  capacity of 110% of the drycleaning solvent  in
 
                            -11-     LRB093 03184 AMC 16876 a
 1                  the  largest tank or vessel within the machine;
 2                  (ii) containing 100% of the drycleaning solvent
 3                  of each item of equipment or drycleaning  area;
 4                  and  (iii)  containing  100% of the drycleaning
 5                  solvent of the largest portable waste container
 6                  or at least 10% of  the  total  volume  of  the
 7                  portable  waste  containers  stored  within the
 8                  containment dike  or  structure,  whichever  is
 9                  greater.
10                       Petroleum underground storage tank systems
11                  that  are  upgraded  in  accordance  with USEPA
12                  upgrade standards pursuant to 40 CFR  Part  280
13                  for  the  tanks  and related piping systems and
14                  use a leak detection  system  approved  by  the
15                  USEPA  or  IEPA  are exempt from this secondary
16                  containment requirement; and
17                       (II)  seal or otherwise render  impervious
18                  those portions of diked floor surfaces on which
19                  a  drycleaning  solvent  may  leak,  spill,  or
20                  otherwise be released.
21                  (D)  A requirement that all drycleaning solvent
22             shall  be  delivered  to  drycleaning  facilities by
23             means of closed, direct-coupled delivery systems.
24             (6)  An active drycleaning facility  has  maintained
25        continuous    financial   assurance   for   environmental
26        liability coverage in the amount of at least $500,000  at
27        least  since  the  date  of  award of benefits under this
28        Section  or  July  1,  2000,  whichever  is  earlier.  An
29        uninsured  drycleaning  facility  that   has   filed   an
30        application  for  insurance  with  the Fund by January 1,
31        2004, obtained insurance through  that  application,  and
32        maintained  that insurance coverage continuously shall be
33        considered to have conformed  with  the  requirements  of
34        this  subdivision  (6).  To conform with this requirement
 
                            -12-     LRB093 03184 AMC 16876 a
 1        the applicant  must  pay  the  equivalent  of  the  total
 2        premiums  due  for  the  period  beginning  June 30, 2000
 3        through the date of application plus a 20% penalty of the
 4        total premiums due for that period.
 5             (7)  The release was discovered on or after July  1,
 6        1997 and before July 1, 2006 2004.
 7        (d)  A claimant shall submit a completed application form
 8    provided  by  the  Council.   The  application  shall contain
 9    documentation  of   activities,   plans,   and   expenditures
10    associated  with the eligible costs incurred in response to a
11    release of drycleaning solvent from a  drycleaning  facility.
12    Application  for  remedial  action  account  benefits must be
13    submitted to the Council on or before June 30, 2005 2004.
14        (e)  Claimants  shall  be  subject   to   the   following
15    deductible  requirements,  unless  modified  pursuant  to the
16    Council's authority under Section 75:
17             (1)  An eligible claimant submitting a claim for  an
18        active  drycleaning facility is responsible for the first
19        $5,000 of eligible investigation costs and for the  first
20        $10,000  of  eligible  remedial  action costs incurred in
21        connection with the release from the drycleaning facility
22        and is only eligible for  reimbursement  for  costs  that
23        exceed those amounts, subject to any other limitations of
24        this Act.
25             (2)  An  eligible claimant submitting a claim for an
26        inactive drycleaning  facility  is  responsible  for  the
27        first $10,000 of eligible investigation costs and for the
28        first  $10,000 of eligible remedial action costs incurred
29        in connection with  the  release  from  that  drycleaning
30        facility,  and  is  only  eligible  for reimbursement for
31        costs that exceed those amounts,  subject  to  any  other
32        limitations of this Act.
33        (f)  Claimants  are  subject to the following limitations
34    on reimbursement:
 
                            -13-     LRB093 03184 AMC 16876 a
 1             (1)  Subsequent   to    meeting    the    deductible
 2        requirements  of  subsection  (e),  and  pursuant  to the
 3        requirements  of  Section  75,  reimbursement  shall  not
 4        exceed  $300,000  per  active  drycleaning  facility  and
 5        $50,000 per inactive drycleaning facility.:
 6                  (A)  $160,000 per active  drycleaning  facility
 7             for  which an eligible claim is submitted during the
 8             program year beginning July 1, 1999;
 9                  (B)  $150,000 per active  drycleaning  facility
10             for  which an eligible claim is submitted during the
11             program year beginning July 1, 2000;
12                  (C)  $140,000 per active  drycleaning  facility
13             for  which an eligible claim is submitted during the
14             program year beginning July 1, 2001;
15                  (D)  $130,000 per active  drycleaning  facility
16             for  which an eligible claim is submitted during the
17             program year beginning July 1, 2002;
18                  (E)  $120,000 per active  drycleaning  facility
19             for which an eligible  claim is submitted during the
20             program year beginning July 1, 2003; or
21                  (F)  $50,000 per inactive drycleaning facility.
22             (2)  A  contract  in which one of the parties to the
23        contract is a claimant, for goods or services that may be
24        payable or reimbursable from the  Council,  is  void  and
25        unenforceable unless and until the Council has found that
26        the  contract  terms  are  within  the range of usual and
27        customary  rates  for  similar  or  equivalent  goods  or
28        services within this State and has found that  the  goods
29        or services are necessary for the claimant to comply with
30        Council   standards   or   other   applicable  regulatory
31        standards.
32             (3)  A claimant may appoint the Council as an  agent
33        for  the purposes of negotiating contracts with suppliers
34        of goods or  services  reimbursable  by  the  Fund.   The
 
                            -14-     LRB093 03184 AMC 16876 a
 1        Council  may  select  another  contractor  for  goods  or
 2        services  other  than  the one offered by the claimant if
 3        the scope of the proposed work  or  actual  work  of  the
 4        claimant's   offered  contractor  does  not  reflect  the
 5        quality of workmanship  required  or  if  the  costs  are
 6        determined to be excessive, as determined by the Council.
 7             (4)  The  Council  may  require a claimant to obtain
 8        and submit 3 bids and  may  require  specific  terms  and
 9        conditions in a  contract subject to approval.
10             (5)  The  Council  may  enter  into a contract or an
11        exclusive contract with the supplier of goods or services
12        required  by  a  claimant  or  class  of  claimants,   in
13        connection  with  an  expense reimbursable from the Fund,
14        for a specified good or service at a gross maximum  price
15        or fixed rate, and may limit reimbursement accordingly.
16             (6)  Unless  emergency  conditions  exist, a service
17        provider shall  obtain  the  Council's  approval  of  the
18        budget  for  the  remediation  work before commencing the
19        work.  No expense incurred that  is  above  the  budgeted
20        amount  shall  be  paid  unless the Council approves  the
21        expense prior to its being incurred.   All  invoices  and
22        bills relating to the remediation work shall be submitted
23        with  appropriate  documentation,  as deemed necessary by
24        the Council, not later than 30 days after  the  work  has
25        been performed.
26             (7)  Neither the Council nor an eligible claimant is
27        responsible  for payment for costs incurred that have not
28        been  previously  approved  by  the  Council,  unless  an
29        emergency exists.
30             (8)  The  Council  may  determine  the   usual   and
31        customary  costs of each item for which reimbursement may
32        be awarded under this Section. The Council may revise the
33        usual and customary costs from time to time as necessary,
34        but costs submitted for reimbursement shall be subject to
 
                            -15-     LRB093 03184 AMC 16876 a
 1        the rates in effect at the time the costs were incurred.
 2             (9)  If a claimant has pollution liability insurance
 3        coverage other than coverage provided  by  the  insurance
 4        account  under  this Act, that coverage shall be primary.
 5        Reimbursement from the remedial account shall be  limited
 6        to  the deductible amounts under the primary coverage and
 7        the amount that exceeds the policy limits of the  primary
 8        coverage,  subject to the deductible amounts of this Act.
 9        If there is  a  dispute  between  the  claimant  and  the
10        primary   insurance   provider,  reimbursement  from  the
11        remedial action account may be made to the claimant after
12        the claimant  assigns all of his or her interests in  the
13        insurance coverage to the Council.
14        (g)  The  source of funds for the remedial action account
15    shall be moneys allocated  to  the  account  by  the  Council
16    according to the Fund budget approved by the Council.
17        (h)  A  drycleaning facility will be classified as active
18    or inactive for purposes of  determining benefits under  this
19    Section  based  on  the status of the facility  on the date a
20    claim is filed.
21        (i)  Eligible claimants shall conduct remedial action  in
22    accordance  with  the  Site  Remediation  Program  under  the
23    Environmental  Protection Act and Part 740 of Title 35 of the
24    Illinois Administrative  Code  and  the  Tiered  Approach  to
25    Cleanup Objectives under Part 742 of Title 35 of the Illinois
26    Administrative Code.
27    (Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)

28        (415 ILCS 135/45)
29        Sec. 45. Insurance account.
30        (a)  The   insurance   account   shall   offer  financial
31    assurance for a qualified owner  or operator of a drycleaning
32    facility under the terms and conditions  provided  for  under
33    this Section. Coverage may be provided to either the owner or
 
                            -16-     LRB093 03184 AMC 16876 a
 1    the  operator  of  a drycleaning facility. The Council is not
 2    required to resolve whether the owner or operator,  or  both,
 3    are responsible for a release under the terms of an agreement
 4    between the owner and operator.
 5        (b)  The  source of funds for the insurance account shall
 6    be as follows:
 7             (1)  Moneys appropriated to the  Council  or  moneys
 8        allocated   to  the  insurance  account  by  the  Council
 9        according to the Fund budget approved by the Council.
10             (2)  Moneys  collected  as  an  insurance   premium,
11        including service fees, if any.
12             (3)  Investment  income  attributed to the insurance
13        account by the Council.
14        (c)  An owner or operator may purchase coverage of up  to
15    $500,000  per  drycleaning  facility subject to the terms and
16    conditions under  this  Section  and  those  adopted  by  the
17    Council.  Coverage  shall be limited to remedial action costs
18    associated with soil and groundwater contamination  resulting
19    from   a   release  of  drycleaning  solvent  at  an  insured
20    drycleaning facility,  including  third-party  liability  for
21    soil and groundwater contamination.  Coverage is not provided
22    for a release that occurred before the date of coverage.
23        (d)  An   owner  or  operator,  subject  to  underwriting
24    requirements and terms and conditions  deemed  necessary  and
25    convenient  by  the  Council, may purchase insurance coverage
26    from the insurance  account  provided  that  the  drycleaning
27    facility to be insured meets the following conditions:
28             (1)  a  site investigation designed to identify soil
29        and groundwater contamination resulting from the  release
30        of  a drycleaning solvent has been completed. The Council
31        shall determine if the site  investigation  is  adequate.
32        This  investigation  must  be  completed by June 30, 2006
33        2004.   For  drycleaning  facilities   that   apply   for
34        insurance  coverage  become  active  after  June 30, 2006
 
                            -17-     LRB093 03184 AMC 16876 a
 1        2004, the site investigation must be completed  prior  to
 2        issuance of insurance coverage; and
 3             (2)  the  drycleaning  facility  is participating in
 4        and meets all requirements of  a  drycleaning  compliance
 5        program approved by the Council.
 6        (e)  The annual premium for insurance coverage shall be:
 7             (1)  For  the  year  July  1,  1999 through June 30,
 8        2000, $250 per drycleaning facility.
 9             (2)  For the year July  1,  2000  through  June  30,
10        2001, $375 per drycleaning facility.
11             (3)  For  the  year  July  1,  2001 through June 30,
12        2002, $500 per drycleaning facility.
13             (4)  For the year July  1,  2002  through  June  30,
14        2003, $625 per drycleaning facility.
15             (5)  For  subsequent  years,  an  owner  or operator
16        applying   for   coverage    shall    pay    an    annual
17        actuarially-sound  insurance  premium for coverage by the
18        insurance account.  The Council may approve Fund coverage
19        through the  payment  of  a  premium  established  on  an
20        actuarially-sound  basis,  taking  into consideration the
21        risk to the insurance account presented by  the  insured.
22        Risk    factor    adjustments   utilized   to   determine
23        actuarially-sound insurance premiums should  reflect  the
24        range  of  risk  presented  by the variety of drycleaning
25        systems, monitoring  systems,  drycleaning  volume,  risk
26        management  practices, and other factors as determined by
27        the Council. As used in this item, "actuarially sound" is
28        not limited to Fund premium revenue equaling or exceeding
29        Fund expenditures for the  general  drycleaning  facility
30        population.   Actuarially-determined  premiums  shall  be
31        published  at  least  180  days  prior  to  the  premiums
32        becoming effective.
33        (f)  If coverage is purchased for any part of a year, the
34    purchaser shall pay the full annual premium.   The  insurance
 
                            -18-     LRB093 03184 AMC 16876 a
 1    premium  is  fully  earned  upon  issuance  of  the insurance
 2    policy.
 3        (g)  The insurance coverage  shall  be  provided  with  a
 4    $10,000 deductible policy.
 5        (h)  A  future repeal of this Section shall not terminate
 6    the  obligations under this Section or authority necessary to
 7    administer  the  obligations  until   the   obligations   are
 8    satisfied, including but not limited to the payment of claims
 9    filed  prior  to  the  effective  date  of  any future repeal
10    against the insurance account until moneys in the account are
11    exhausted.  Upon exhaustion of the moneys in the account, any
12    remaining claims shall be invalid. If moneys  remain  in  the
13    account  following satisfaction of the obligations under this
14    Section, the remaining moneys  and  moneys  due  the  account
15    shall  be  used to assist current insureds to obtain a viable
16    insuring mechanism as determined by the Council after  public
17    notice and opportunity for comment.
18    (Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)

19        (415 ILCS 135/60)
20        (Section scheduled to be repealed on January 1, 2010)
21        Sec. 60. Drycleaning facility license.
22        (a)  On  and  after  January  1,  1998,  no  person shall
23    operate a  drycleaning  facility  in  this  State  without  a
24    license issued by the Council.
25        (b)  The  Council  shall  issue  an  initial  or  renewal
26    license  to  a  drycleaning  facility  on  submission  by  an
27    applicant  of  a completed form prescribed by the Council and
28    proof of payment of the required fee  to  the  Department  of
29    Revenue.
30        (c)  On  or  after  January  1, 2004, the annual fees for
31    licensure are as follows:
32             (1)  $500 for a facility that uses (i) 50  purchases
33        140   gallons   or   less   of  chlorine-based  or  green
 
                            -19-     LRB093 03184 AMC 16876 a
 1        drycleaning solvents annually, (ii) 250 or  less  gallons
 2        annually  of  hydrocarbon-based drycleaning solvents in a
 3        drycleaning machine equipped with a solvent reclaimer, or
 4        (iii)   500   1400   gallons   or   less   annually    of
 5        hydrocarbon-based  drycleaning  solvents in a drycleaning
 6        machine without a solvent reclaimer annually.
 7             (2)  $500  $1,000  for  a  facility  that  uses  (i)
 8        purchases more than 50 140 gallons but not more than  100
 9        less   than   360  gallons  of  chlorine-based  or  green
10        drycleaning solvents annually, (ii) more than 250 gallons
11        but not more 500 gallons  annually  of  hydrocarbon-based
12        solvents in a drycleaning machine equipped with a solvent
13        reclaimer,  or  (iii)  more than 500 1400 gallons but not
14        more than  1,000  less  than  3600  gallons  annually  of
15        hydrocarbon-based  drycleaning  solvents in a drycleaning
16        machine without a solvent reclaimer annually.
17             (3)  $500 $1,500 for a facility that uses  (i)  more
18        than  100  purchases  360  gallons  but not more than 150
19        gallons or more of chlorine-based  or  green  drycleaning
20        solvents  annually,  (ii)  more  than 500 gallons but not
21        more  than  750  gallons  annually  of  hydrocarbon-based
22        solvents in a drycleaning machine equipped with a solvent
23        reclaimer, or (iii) more than 1,000 gallons but not  more
24        than  1,500  gallons  annually  3600  gallons  or more of
25        hydrocarbon-based drycleaning solvents in  a  drycleaning
26        machine without a solvent reclaimer annually.
27             (4)  $1,000  for  a facility that uses (i) more than
28        150  gallons  but  not   more   than   200   gallons   of
29        chlorine-based  or  green  drycleaning solvents annually,
30        (ii) more than  750  gallons  but  not  more  than  1,000
31        gallons  annually  of  hydrocarbon-based  solvents  in  a
32        drycleaning machine equipped with a solvent reclaimer, or
33        (iii)  more  than  1,500  gallons but not more than 2,000
34        gallons   annually   of   hydrocarbon-based   drycleaning
 
                            -20-     LRB093 03184 AMC 16876 a
 1        solvents in  a  drycleaning  machine  without  a  solvent
 2        reclaimer.
 3             (5)  $1,000  for  a facility that uses (i) more than
 4        200  gallons  but  not   more   than   250   gallons   of
 5        chlorine-based  or  green  drycleaning solvents annually,
 6        (ii) more than 1,000 gallons  but  not  more  than  1,250
 7        gallons  annually  of  hydrocarbon-based  solvents  in  a
 8        drycleaning machine equipped with a solvent reclaimer, or
 9        (iii)  more  than  2,000  gallons but not more than 2,500
10        gallons   annually   of   hydrocarbon-based   drycleaning
11        solvents in  a  drycleaning  machine  without  a  solvent
12        reclaimer.
13             (6)  $1,000  for  a facility that uses (i) more than
14        250  gallons  but  not   more   than   300   gallons   of
15        chlorine-based  or  green  drycleaning solvents annually,
16        (ii) more than 1,250 gallons  but  not  more  than  1,500
17        gallons  annually  of  hydrocarbon-based  solvents  in  a
18        drycleaning machine equipped with a solvent reclaimer, or
19        (iii)  more  than  2,500  gallons but not more than 3,000
20        gallons   annually   of   hydrocarbon-based   drycleaning
21        solvents in  a  drycleaning  machine  without  a  solvent
22        reclaimer.
23             (7)  $1,000  for  a facility that uses (i) more than
24        300  gallons  but  not   more   than   350   gallons   of
25        chlorine-based  or  green  drycleaning solvents annually,
26        (ii) more than 1,500 gallons  but  not  more  than  1,750
27        gallons  annually  of  hydrocarbon-based  solvents  in  a
28        drycleaning machine equipped with a solvent reclaimer, or
29        (iii)  more  than  3,000  gallons but not more than 3,500
30        gallons   annually   of   hydrocarbon-based   drycleaning
31        solvents in  a  drycleaning  machine  without  a  solvent
32        reclaimer.
33             (8)  $1,500  for  a facility that uses (i) more than
34        350  gallons  but  not   more   than   400   gallons   of
 
                            -21-     LRB093 03184 AMC 16876 a
 1        chlorine-based  or  green  drycleaning solvents annually,
 2        (ii) more than 1,750 gallons  but  not  more  than  2,000
 3        gallons  annually  of  hydrocarbon-based  solvents  in  a
 4        drycleaning machine equipped with a solvent reclaimer, or
 5        (iii)  more  than  3,500  gallons but not more than 4,000
 6        gallons   annually   of   hydrocarbon-based   drycleaning
 7        solvents in  a  drycleaning  machine  without  a  solvent
 8        reclaimer.
 9             (9)  $1,500  for  a facility that uses (i) more than
10        400  gallons  but  not   more   than   450   gallons   of
11        chlorine-based  or  green  drycleaning solvents annually,
12        (ii) more than 2,000 gallons  but  not  more  than  2,250
13        gallons  annually  of  hydrocarbon-based  solvents  in  a
14        drycleaning machine equipped with a solvent reclaimer, or
15        (iii)  more  than  4,000  gallons but not more than 4,500
16        gallons   annually   of   hydrocarbon-based   drycleaning
17        solvents in  a  drycleaning  machine  without  a  solvent
18        reclaimer.
19             (10)  $1,500  for a facility that uses (i) more than
20        450  gallons  but  not   more   than   500   gallons   of
21        chlorine-based  or  green  drycleaning solvents annually,
22        (ii) more than 2,250 gallons  but  not  more  than  2,500
23        gallons  annually of hydrocarbon-based solvents used in a
24        drycleaning machine equipped with a solvent reclaimer, or
25        (iii) more than 4,500 gallons but  not  more  than  5,000
26        gallons   annually   of   hydrocarbon-based   drycleaning
27        solvents  in  a  drycleaning  machine  without  a solvent
28        reclaimer.
29             (11)  $1,500 for a facility that uses (i) more  than
30        500   gallons   but   not   more   than  550  gallons  of
31        chlorine-based or green  drycleaning  solvents  annually,
32        (ii)  more  than  2,500  gallons  but not more than 2,750
33        gallons  annually  of  hydrocarbon-based  solvents  in  a
34        drycleaning machine equipped with a solvent reclaimer, or
 
                            -22-     LRB093 03184 AMC 16876 a
 1        (iii) more than 5,000 gallons but  not  more  than  5,500
 2        gallons   annually   of   hydrocarbon-based   drycleaning
 3        solvents  in  a  drycleaning  machine  without  a solvent
 4        reclaimer.
 5             (12)  $1,500 for a facility that uses (i) more  than
 6        550   gallons   but   not   more   than  600  gallons  of
 7        chlorine-based or green  drycleaning  solvents  annually,
 8        (ii)  more  than  2,750  gallons  but not more than 3,000
 9        gallons  annually  of  hydrocarbon-based  solvents  in  a
10        drycleaning machine equipped with a solvent reclaimer, or
11        (iii) more than 5,500 gallons but  not  more  than  6,000
12        gallons   annually   of   hydrocarbon-based   drycleaning
13        solvents  in  a  drycleaning  machine  without  a solvent
14        reclaimer.
15             (13)  $1,500 for a facility that uses (i) more  than
16        600   gallons  of  chlorine-based  or  green  drycleaning
17        solvents annually, (ii) more than 3,000 gallons  but  not
18        more  than  3,250  gallons  annually of hydrocarbon-based
19        solvents in a drycleaning machine equipped with a solvent
20        reclaimer,  or  (iii)  more   than   6,000   gallons   of
21        hydrocarbon-based  drycleaning  solvents  annually  in  a
22        drycleaning machine equipped without a solvent reclaimer.
23             (14)  $1,500  for  a  facility  that  uses more than
24        3,250 gallons but not more than 3,500 gallons annually of
25        hydrocarbon-based  solvents  in  a  drycleaning   machine
26        equipped with a solvent reclaimer.
27             (15)  $1,500  for  a  facility  that  uses more than
28        3,500 gallons but not more than 3,750 gallons annually of
29        hydrocarbon-based solvents used in a drycleaning  machine
30        equipped with a solvent reclaimer.
31             (16)  $1,500  for  a  facility  that  uses more than
32        3,750 gallons but not more than 4,000 gallons annually of
33        hydrocarbon-based  solvents  in  a  drycleaning   machine
34        equipped with a solvent reclaimer.
 
                            -23-     LRB093 03184 AMC 16876 a
 1             (17)  $1,500  for  a  facility  that  uses more than
 2        4,000 gallons annually of hydrocarbon-based solvents in a
 3        drycleaning machine equipped with a solvent reclaimer.
 4        For  purpose  of  this  subsection,   the   quantity   of
 5    drycleaning   solvents   used  purchased  annually  shall  be
 6    determined as follows:
 7             (1)  in  the  case  of  an  initial  applicant,  the
 8        quantity  of  drycleaning  solvents  that  the  applicant
 9        estimates will be used during his or her initial  license
10        year.   A  fee assessed under this subdivision is subject
11        to audited adjustment for that year; or
12             (2)  in  the  case  of  a  renewal  applicant,   the
13        quantity  of  drycleaning  solvents  actually used in the
14        preceding license year.
15        The Council may adjust licensing fees annually  based  on
16    the  published  Consumer  Price  Index  - All Urban Consumers
17    ("CPI-U") or as otherwise determined by the Council.
18        (d)  A license issued under this Section shall expire one
19    year after the  date  of  issuance  and  may  be  renewed  on
20    reapplication  to  the  Council  and  submission  of proof of
21    payment of the appropriate fee to the Department  of  Revenue
22    in accordance with subsections (c) and (e).  At least 30 days
23    before payment of a renewal licensing fee is due, the Council
24    shall attempt to:
25             (1)  notify    the   operator   of   each   licensed
26        drycleaning facility concerning the requirements of  this
27        Section;  and
28             (2)  submit  a  license  fee  payment  form  to  the
29        licensed operator of each drycleaning facility.
30        (e)  An  operator  of a drycleaning facility shall submit
31    the appropriate application form provided by the Council with
32    the license fee in the form of cash or guaranteed  remittance
33    to  the  Department of Revenue.  The license fee payment form
34    and the actual license fee payment shall be  administered  by
 
                            -24-     LRB093 03184 AMC 16876 a
 1    the  Department  of  Revenue  under  rules  adopted  by  that
 2    Department.
 3        (f)  The  Department  of  Revenue  shall issue a proof of
 4    payment receipt to each operator of  a  drycleaning  facility
 5    who  has  paid  the  appropriate fee in cash or by guaranteed
 6    remittance.  However, the Department  of  Revenue  shall  not
 7    issue  a  proof  of payment receipt to a drycleaning facility
 8    that is liable to the Department of Revenue for a tax imposed
 9    under this Act.  The original receipt shall be  presented  to
10    the Council by the operator of a drycleaning facility.
11        (g)  An  operator  of  a  dry  cleaning  facility  who is
12    required to pay a license fee under this Act and fails to pay
13    the license fee when the fee is due may shall be  assessed  a
14    penalty  of  $5 for each day after the license fee is due and
15    until the license fee is paid. The penalty shall be effective
16    for license fees due on or after July 1, 1999.
17        (h)  The Council and the Department of Revenue may  adopt
18    rules  as  necessary to administer the licensing requirements
19    of this Act.
20    (Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)

21        (415 ILCS 135/65)
22        (Section scheduled to be repealed on January 1, 2010)
23        Sec. 65. Drycleaning solvent tax.
24        (a)  On and after January 1, 1998, a tax is imposed  upon
25    the  use  of  drycleaning  solvent by a person engaged in the
26    business of operating a drycleaning facility in this State at
27    the rate of $3.50 per gallon of  perchloroethylene  or  other
28    chlorinated   drycleaning   solvents   used   in  drycleaning
29    operations,  and  $0.35   per   gallon   of   petroleum-based
30    drycleaning  solvent, and $3.50 per gallon of green solvents,
31    unless the green solvent is used at  a  virgin  facility,  in
32    which  case  the rate is $0.35 per gallon.  The Council shall
33    determine  by  rule  which    products   are   chlorine-based
 
                            -25-     LRB093 03184 AMC 16876 a
 1    solvents,  and  which  products are petroleum-based solvents,
 2    and which  products  are  green  solvents.   All  drycleaning
 3    solvents  shall be considered chlorinated solvents unless the
 4    Council determines  that  the  solvents  are  petroleum-based
 5    drycleaning  solvents  or green solvents subject to the lower
 6    tax.
 7        (b)  The tax imposed by this Act shall be collected  from
 8    the  purchaser at the time of sale by a seller of drycleaning
 9    solvents maintaining a place of business in  this  State  and
10    shall  be  remitted  to  the  Department of Revenue under the
11    provisions of this Act.
12        (c)  The tax imposed by this Act that is not collected by
13    a seller of drycleaning solvents shall be  paid  directly  to
14    the Department of Revenue by the purchaser or end user who is
15    subject to the tax imposed by this Act.
16        (d)  No  tax shall be imposed upon the use of drycleaning
17    solvent if the drycleaning solvent will  not  be  used  in  a
18    drycleaning facility or if a floor stock tax has been imposed
19    and  paid  on the drycleaning solvent.  Prior to the purchase
20    of the solvent, the purchaser shall  provide  a  written  and
21    signed certificate to the drycleaning solvent seller stating:
22             (1)  the name and address of the purchaser;
23             (2)  the  purchaser's signature and date of signing;
24        and
25             (3)  one of the following:
26                  (A)  that the drycleaning solvent will  not  be
27             used in a drycleaning facility; or
28                  (B)  that  a  floor  stock tax has been imposed
29             and paid on the drycleaning solvent.
30        A person who provides a false  certification  under  this
31    subsection  shall be liable for a civil penalty not to exceed
32    $500 for a first violation and a civil penalty not to  exceed
33    $5,000 for a second or subsequent violation.
34        (e)  On  January  1,  1998,  there  is  imposed  on  each
 
                            -26-     LRB093 03184 AMC 16876 a
 1    operator  of  a  drycleaning  facility  a  tax on drycleaning
 2    solvent held by the operator  on  that  date  for  use  in  a
 3    drycleaning  facility.  The tax imposed shall be the tax that
 4    would  have  been  imposed  under    subsection  (a)  if  the
 5    drycleaning solvent held by the operator  on  that  date  had
 6    been  purchased by the operator during the first year of this
 7    Act.
 8        (f)  On or before the 25th day of the 1st month following
 9    the end of the calendar  quarter,  a  seller  of  drycleaning
10    solvents  who  has  collected  a tax pursuant to this Section
11    during the previous calendar quarter, or a purchaser  or  end
12    user of drycleaning solvents required under subsection (c) to
13    submit  the  tax  directly  to  the  Department, shall file a
14    return with the Department of Revenue.  The return  shall  be
15    filed  on  a form prescribed by the Department of Revenue and
16    shall contain information  that  the  Department  of  Revenue
17    reasonably  requires,  but  at  a  minimum  will  require the
18    reporting of the volume of drycleaning solvent sold  to  each
19    licensed  drycleaner.  The Department of Revenue shall report
20    quarterly to the Council the volume  of  drycleaning  solvent
21    purchased  for the quarter by each licensed drycleaner.  Each
22    seller of drycleaning solvent maintaining a place of business
23    in this State who is required or authorized  to  collect  the
24    tax  imposed  by  this  Act  shall  pay to the Department the
25    amount of the tax at the time when he or she is  required  to
26    file  his  or  her return for the period during which the tax
27    was collected.  Purchasers or end  users  remitting  the  tax
28    directly  to the Department under subsection (c) shall file a
29    return with the Department of Revenue  and  pay  the  tax  so
30    incurred  by  the  purchaser or end user during the preceding
31    calendar quarter.
32        (g)  The tax on drycleaning solvents used in  drycleaning
33    facilities  and  the floor stock tax shall be administered by
34    Department of Revenue under rules adopted by that Department.
 
                            -27-     LRB093 03184 AMC 16876 a
 1        (h)  On and  after  January  1,  1998,  no  person  shall
 2    knowingly sell or transfer drycleaning solvent to an operator
 3    of a drycleaning facility that is not licensed by the Council
 4    under  Section  60.  A person who violates this subsection is
 5    liable for a civil penalty not to exceed  $500  for  a  first
 6    violation  and  a  civil  penalty  not to exceed $5,000 for a
 7    second or subsequent violation.
 8        (i)  The  Department  of  Revenue  may  adopt  rules   as
 9    necessary to implement this Section.
10    (Source: P.A. 90-502, eff. 8-19-97.)

11        (415 ILCS 135/85)
12        Sec.  85.  Repeal  of fee and tax provisions. Sections 60
13    and 65 of this Act are repealed on January 1, 2020 2010.
14    (Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)".