Full Text of SB2977 98th General Assembly
SB2977 98TH GENERAL ASSEMBLY |
| | 98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014 SB2977 Introduced 2/4/2014, by Sen. Linda Holmes SYNOPSIS AS INTRODUCED: |
| 35 ILCS 5/224 new | | 65 ILCS 115/10-10.1 | |
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Amends the Illinois Income Tax Act. Provides that taxpayers are entitled to an income tax credit against the taxes imposed under the River Edge Redevelopment Zone Act equal to 100% of the reasonable and prudent costs incurred by a public utility. Provides that any amount of credit that exceeds a taxpayer's liabilities shall be refunded to the taxpayer. Amends the River Edge Redevelopment Zone Act. Restricts the amount of costs recovered by a public utility from retail customers to $5,000,000. Provides for a repeal date of July 1, 2020 (currently, July 29, 2017).
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| | | FISCAL NOTE ACT MAY APPLY | |
| | A BILL FOR |
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| | | SB2977 | | LRB098 19609 JLK 54803 b |
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| 1 | | AN ACT concerning local government.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Illinois Income Tax Act is amended by adding | 5 | | Section 224 as follows: | 6 | | (35 ILCS 5/224 new) | 7 | | Sec. 224. River Edge Redevelopment Zone credit. | 8 | | (a) For taxable years beginning on or after January 1, | 9 | | 2015, a taxpayer who has received a tax credit award under the | 10 | | River Edge Redevelopment Zone Act is entitled to a credit | 11 | | against the taxes imposed under subsections (a) and (b) of | 12 | | Section 201 of this Act in an amount determined under that Act | 13 | | equal to 100% of the reasonable and prudent costs incurred by a | 14 | | public utility during the taxable year pursuant to subsection | 15 | | (c) of that Act which are not paid for by retail customers | 16 | | located in the municipality or municipalities in which the | 17 | | removal or relocation occurs. | 18 | | (b) For taxable years beginning on or after January 1, | 19 | | 2015, if the amount of the credit imposed under this Section | 20 | | exceeds the income tax liability for the applicable tax year, | 21 | | then the excess credit shall be refunded to the taxpayer. | 22 | | (c) This Section is subject to the provisions of Section | 23 | | 250 of this Act. |
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| 1 | | Section 10. The River Edge Redevelopment Zone Act is | 2 | | amended by changing Section 10-10.1 as follows: | 3 | | (65 ILCS 115/10-10.1) | 4 | | (Section scheduled to be repealed on July 29, 2017) | 5 | | Sec. 10-10.1. Utility facilities. | 6 | | (a) It is in the public interest that costs for | 7 | | redevelopment in a River Edge Redevelopment Zone impacting a | 8 | | public utility, as defined by Section 3-105 of the Public | 9 | | Utilities Act, or a public utility's property, as described in | 10 | | subsection (b) of this Section, should not be allocated solely | 11 | | to the entity engaging in economic redevelopment because this | 12 | | economic redevelopment benefits the utility service territory | 13 | | as a whole and not just the particular area where the | 14 | | redevelopment occurs. | 15 | | (b) A public utility that has facilities or land affected | 16 | | by the clean-up, remediation, and redevelopment of a River Edge | 17 | | Redevelopment Zone and that incurs costs related to the | 18 | | remediation or the removing or relocating of utility facilities | 19 | | in the River Edge Redevelopment Zone may recover these costs | 20 | | pursuant to subsections (c) and (d) of this Section. | 21 | | (c) The reasonable and prudent costs incurred by a public | 22 | | utility for facility removal or relocation described in | 23 | | subsection (b) of this Section shall be shared equally among | 24 | | the public utility, the municipality in which the facility is |
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| 1 | | located, and any landowner that is located within 100 feet of | 2 | | the utility facility and that directly benefits from the | 3 | | removal or relocation of the utility facility or the | 4 | | redevelopment of the public utility's land. In no event shall | 5 | | the costs incurred by each municipality or landowner for a | 6 | | given project exceed an equal percentage of the total direct, | 7 | | indirect, and overhead project costs, or $1,000,000 $3,667,000 | 8 | | each, whichever amount is less. The reasonable and prudent | 9 | | costs incurred by the public utility for facility removal or | 10 | | relocation that are not the responsibility of the municipality | 11 | | or landowner under this subsection (c) shall be recovered by | 12 | | the public utility from all retail customers located in the | 13 | | municipality or municipalities in which the removal or | 14 | | relocation occurs through an appropriate tariff mechanism, and | 15 | | the public utility may record and defer such costs as a | 16 | | regulatory asset until they are so recovered. In no event shall | 17 | | the costs recovered by the public utility from all retail | 18 | | customers located in the municipality or municipalities in | 19 | | which the removal or relocation occurs shall exceed $5,000,000. | 20 | | (d) The Illinois Commerce Commission shall allow a public | 21 | | utility described in subsection (b) to fully recover from all | 22 | | retail customers in its service territory all reasonable and | 23 | | prudent costs that it incurs in conducting environmental | 24 | | remediation in the River Edge Redevelopment Zone related to the | 25 | | removal or relocation of utility facilities in the River Edge | 26 | | Redevelopment Zone, including, but not limited to, |
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| 1 | | transmission and distribution lines, transformers, and poles. | 2 | | These environmental remediation costs also include, but are not | 3 | | limited to, direct, indirect, and overhead costs calculated by | 4 | | the public utility for taxes or other charges, cost adjustments | 5 | | made after the project has begun, and any other environmental | 6 | | remediation-related charges. The public utility shall record | 7 | | and defer such costs as a regulatory asset to be included in | 8 | | the public utility's total rate base and amortized in the | 9 | | public utility's next filing for a general increase in rates | 10 | | over a reasonable period that is shorter than the life of the | 11 | | affected facility or facilities. Such regulatory assets shall | 12 | | be collected from all residential and commercial ratepayers | 13 | | system-wide, and not only from ratepayers in the municipality's | 14 | | corporate limits. In the event the River Edge Redevelopment | 15 | | Zone is decertified, the public utility shall be permitted to | 16 | | recover all reasonable and prudent costs incurred as of the | 17 | | date of the decertification, as well as all reasonable and | 18 | | prudent costs incurred subsequent to decertification that are | 19 | | necessary to complete any projects commenced while the River | 20 | | Edge Redevelopment Zone was certified, consistent with this | 21 | | Section. | 22 | | (e) This Section is repealed on July, 2020 7 years after | 23 | | the effective date of this amendatory Act of the 96th General | 24 | | Assembly .
| 25 | | (Source: P.A. 96-1404, eff. 7-29-10.)
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