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1    AN ACT concerning energy.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 1. Short title. This Act may be cited as the Lake
5Michigan Wind Energy Act.
6    Section 5. Legislative findings. The General Assembly
8    (1) that Lake Michigan is a unique and treasured public
9asset that supports numerous activities for the benefit of the
10people, wildlife, and flora of the State of Illinois;
11    (2) that the bed of Lake Michigan is public land held in
12trust for the people of the State of Illinois and cannot be
13alienated to a private use or person;
14    (3) that federal and State policy, as well as the national
15security, energy, and environmental needs of the United States
16and the people of the State of Illinois, support exploration
17and development of renewable energy resources;
18    (4) that the State of Illinois is a signatory to a federal
19and multistate memorandum of understanding and is committed to
20promoting the efficient, expeditious, orderly, and responsible
21evaluation of offshore wind power projects in the Great Lakes;
22    (5) that wind above the Illinois public trust lands of Lake
23Michigan is a unique and significant renewable energy resource;



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1    (6) that the development of that resource does not involve
2mining or other extraction of resources from the public trust
3lands of Lake Michigan;
4    (7) that so long as all affected public trust lands and
5waters of Lake Michigan remain under public ownership and
6control, the environmentally sustainable provision of
7renewable energy from offshore wind above Lake Michigan, in
8accordance with standards set by State and federal law and
9regulated by the State agency charged with protecting public
10trust lands and the public interest, would serve a public
11purpose and can be consistent with the public trust;
12    (8) that the State's Lake Michigan Offshore Wind Energy
13Advisory Council recommended clarifying and confirming the
14State's authority to permit such development and has made other
15recommendations to further the sustainable and responsible
16development of the State's wind energy resources above Lake
17Michigan; and
18    (9) that the State of Illinois should consider the
19recommendations, criteria, and lessons learned from the
20Advisory Council's Final Report, as well as new data,
21technologies, and scientific understandings, as it formulates
22rules to regulate offshore wind energy development in a manner
23that preserves public trust resources, produces public
24benefits, and protects the environment and public health,
25safety, and welfare.



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1    Section 10. Definitions. As used in this Act:
2        "Public trust lands" means the bed of Lake Michigan.
3        "Department" means the Department of Natural
4    Resources.
5    Section 15. Wind energy siting matrix. The Department shall
6develop a detailed offshore wind energy siting matrix for the
7public trust lands of Lake Michigan, which shall, at a minimum,
8identify areas that are unsuitable for wind energy development
9("prohibited areas"), areas that are most appropriate for wind
10energy development ("preferred areas"), and areas that are
11neither prohibited nor preferred for wind energy development
12but that may be considered for development upon application
13("possible areas"). The Department, in developing the wind
14energy siting matrix, shall take into consideration existing
15environmental, marine, public infrastructure, transportation,
16and security uses and factors, and may also consider other
17factors it identifies as appropriate.
18    Section 20. Offshore Wind Energy Economic Development
19Policy Task Force.
20    (a) The Governor shall convene an Offshore Wind Energy
21Economic Development Policy Task Force, to be chaired by the
22Director of Commerce and Economic Opportunity, or his or her
23designee, to analyze and evaluate policy and economic options
24to facilitate the development of offshore wind energy, and to



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1propose an appropriate Illinois mechanism for purchasing and
2selling power from possible offshore wind energy projects. The
3Task Force shall examine mechanisms used in other states and
4jurisdictions, including, without limitation, feed-in-tariffs,
5renewable energy certificates, renewable energy certificate
6carve-outs, power purchase agreements, and pilot projects. The
7Task Force shall report its findings and recommendations to the
8Governor and General Assembly by December 31, 2013.
9    (b) The Director of the Illinois Power Agency (or his or
10her designee), the Executive Director of the Illinois Commerce
11Commission (or his or her designee), the Director of Natural
12Resources (or his or her designee), and the Attorney General
13(or his or her designee) shall serve as ex officio members of
14the Task Force.
15    (c) The Governor shall appoint the following public members
16to serve on the Task Force:
17        (1) one individual from an institution of higher
18    education in Illinois representing the discipline of
19    economics with experience in the study of renewable energy;
20        (2) one individual representing an energy industry
21    with experience in renewable energy markets;
22        (3) one individual representing a Statewide consumer
23    or electric ratepayer organization;
24        (4) one individual representing the offshore wind
25    energy industry;
26        (5) one individual representing the wind energy supply



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1    chain industry;
2        (6) one individual representing an Illinois electrical
3    cooperative, municipal electrical utility, or association
4    of such cooperatives or utilities;
5        (7) one individual representing an Illinois industrial
6    union involved in the construction, maintenance, or
7    transportation of electrical generation, distribution, or
8    transmission equipment or components;
9        (8) one individual representing an Illinois commercial
10    or industrial electrical consumer;
11        (9) one individual representing an Illinois public
12    education electrical consumer;
13        (10) one individual representing an independent
14    transmission company;
15        (11) one individual from the Illinois legal community
16    with experience in contracts, utility law, municipal law,
17    and constitutional law;
18        (12) one individual representing a Great Lakes
19    regional organization with experience assessing or
20    studying wind energy;
21        (13) one individual representing a Statewide
22    environmental organization;
23        (14) one resident of the State representing an
24    organization advocating for persons of low or limited
25    incomes;
26        (15) one individual representing Argonne National



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1    Laboratory; and
2        (16) one individual representing a local community
3    that has aggregated the purchase of electricity.
4    (d) The Governor may appoint additional public members to
5the Task Force.
6    (e) The Speaker of the House of Representatives, Minority
7Leader of the House of Representatives, Senate President, and
8Minority Leader of the Senate shall each appoint one member of
9the General Assembly to serve on the Task Force.
10    (f) Members of the Task Force shall serve without
12    Section 25. Assessment permits. After finalizing the wind
13energy siting matrix required under Section 15, the Department
14may, in accordance with rules adopted by the Department
15pursuant to Section 5-40 of the Illinois Administrative
16Procedure Act and with the written approval of the Governor,
17grant in the name of the State of Illinois permits and site
18leases with respect to public trust lands of Lake Michigan for
19the assessment of sites for offshore wind energy development.
20    Section 30. Permits for wind park construction and
21operation. The Department may, in accordance with rules adopted
22by the Department pursuant to Section 5-40 of the Illinois
23Administrative Procedure Act, convert site assessment leases
24to offshore wind park construction and operation leases, upon



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1an appropriate showing by the applicant that the construction
2and operation of wind energy facilities would not be
3inconsistent with the public trust.
4    Section 35. Permit terms. The Department may insert into
5any permit or lease issued under this Act any terms that it
6deems necessary to protect the rights of the State, the public,
7lessees, and users of waters above the public trust lands of
8Lake Michigan.
9    Section 40. Rulemaking. The Department may adopt, in
10accordance with the requirements of Section 5-40 of the
11Illinois Administrative Procedure Act, any rule that is
12necessary to implement this Act. The rules adopted by the
13Department under this Section shall, at a minimum, specify
14permit fees and royalty schedules, requirements for bonding and
15guaranteeing, requirements for decommissioning, and any other
16requirements necessary for carrying out the provisions of this
18    Prior to adopting any rule under this Act, the Department
19shall consult with the Illinois Environmental Protection
20Agency, the Illinois Commerce Commission, the Illinois Power
21Agency, and the Department of Commerce and Economic
23    Section 45. Regulatory toolkit. The Department shall, in



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1consultation with the Illinois Environmental Protection
2Agency, the Illinois Commerce Commission, the Illinois Power
3Agency, and the Department of Commerce and Economic
4Opportunity, prepare and publish a toolkit for advising and
5guiding developers on the regulatory and permitting process.
6The toolkit shall, at a minimum, include a checklist of
7required State permits and an overview of estimated timelines
8and likely areas of concern.
9    Section 50. Limitation on Department Authority. Nothing
10contained in this Act shall be construed as requiring or
11permitting the Department to permanently convey any public
12trust lands for energy development.
13    Section 99. Effective date. This Act takes effect upon
14becoming law.