Full Text of HB3437 102nd General Assembly
HB3437sam001 102ND GENERAL ASSEMBLY | Sen. Michael E. Hastings Filed: 5/13/2021
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| 1 | | AMENDMENT TO HOUSE BILL 3437
| 2 | | AMENDMENT NO. ______. Amend House Bill 3437, AS AMENDED, | 3 | | by replacing everything after the enacting clause with the | 4 | | following:
| 5 | | "ARTICLE 1. INVESTING IN ILLINOIS WORKS TAX CREDIT ACT | 6 | | Section 1-1. Short title. This Article may be cited as the | 7 | | Investing in Illinois Works Tax Credit Act . References in this | 8 | | Article to "this Act" mean this Article. | 9 | | Section 1-3. Legislative findings. The General Assembly | 10 | | finds that: | 11 | | Economic research indicates that registered apprenticeship | 12 | | programs have positive economic impacts, and countries with | 13 | | more widespread usage of apprenticeship programs have shown to | 14 | | be more successful at transitioning young workers into stable | 15 | | jobs, resulting in lower youth unemployment rates. |
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| 1 | | The demographics of registered apprenticeship programs in | 2 | | our State do not mirror the diversity of Illinoisans. | 3 | | According to data from the U.S. Department of Labor's Office | 4 | | of Apprenticeship, from 2000 through 2016, only 8.8% of all | 5 | | construction apprentices were African-American and 17.6% were | 6 | | Hispanic or Latino/Latina, while 69.6% were white. | 7 | | In order to work toward a level playing field for all who | 8 | | seek the training and economic stability apprenticeships | 9 | | provide, Illinois created the Illinois Works Preapprenticeship | 10 | | Program, which funds preapprenticeship skills training through | 11 | | community-based organizations serving populations that have, | 12 | | historically, been met with barriers to entry or advancement | 13 | | in the workforce. | 14 | | By targeting historically underutilized communities whose | 15 | | members seek to access the upward mobility and career | 16 | | advancement apprenticeships bring, the Illinois Works | 17 | | Preapprenticeship Program is one part of many State | 18 | | initiatives to increase diversity in apprenticeship programs | 19 | | and careers in the construction and building trades. | 20 | | The Investing in Illinois Works Tax Credit expands the | 21 | | goals of the Illinois Works Preapprenticeship Program to | 22 | | private construction projects and highly skilled training | 23 | | programs by incentivizing contractors to utilize graduates of | 24 | | preapprenticeship programs funded by the Illinois Works | 25 | | Preapprenticeship Program who are also participants in or | 26 | | graduates of registered apprenticeship programs as part of |
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| 1 | | their skilled and trained workforces on projects at | 2 | | high-hazard facilities. | 3 | | Section 1-5. Definitions. As used in this Act: | 4 | | "Department" means the Department of Commerce and Economic | 5 | | Opportunity. | 6 | | "Illinois Works Preapprenticeship Program" means a network | 7 | | of community-based, nonprofit organizations throughout | 8 | | Illinois that receive grant funding from the Illinois | 9 | | Department of Commerce and Economic Opportunity to recruit, | 10 | | prescreen, and provide preapprenticeship skill training to | 11 | | create a qualified, diverse pipeline of workers who are | 12 | | prepared for careers in the construction and building trades | 13 | | as prescribed in Section 20-15 of the Illinois Works Jobs | 14 | | Program Act. | 15 | | "Owner or operator" has the meaning provided in Section 5 | 16 | | of the Illinois Hazardous Materials Workforce Training Act. | 17 | | "Qualifying employee" means a qualifying graduate who was | 18 | | continuously employed by the owner or operator or a contractor | 19 | | engaged by the owner or operator in Illinois during all 4 | 20 | | reporting periods occurring in the calendar year directly | 21 | | preceding the calendar year in which the credit is claimed. | 22 | | "Qualifying graduate" means an individual from an | 23 | | underrepresented population who has successfully completed a | 24 | | preapprenticeship program through the Illinois Works | 25 | | Preapprenticeship Program in compliance with the requirements |
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| 1 | | of Section 20-15 of the Illinois Works Jobs Programs Act and | 2 | | who either is a registered apprentice as defined under Section | 3 | | 10-5 of the Illinois Hazardous Materials Workforce Training | 4 | | Act or
has successfully completed a registered
apprenticeship | 5 | | program
as defined under Section 10-5 of the Illinois | 6 | | Hazardous Materials Workforce Training Act. | 7 | | "Registered apprenticeship program" has the same meaning | 8 | | as provided in Section 10-5 of the Illinois Hazardous | 9 | | Materials Workforce Training Act. | 10 | | "Reporting period" means the quarter for which a return is | 11 | | required to be filed under subsection (b) of Section 704A of | 12 | | the Illinois Income Tax Act. | 13 | | "Skilled and trained workforce" has the same meaning | 14 | | provided in Section 10-5 of the Illinois Hazardous Materials | 15 | | Workforce Training Act. | 16 | | "Tax credit certificate" means the certificate awarded by | 17 | | the Department under Section 1-20 of this Act.
| 18 | | "Underrepresented population" has the meaning provided in | 19 | | Section 20-10 of the Illinois Works Job Program Act. | 20 | | Section 1-10. Credit amount. For taxable years beginning | 21 | | on or after January 1, 2023, subject to the limitations | 22 | | provided in this Act, an owner or operator may claim as a | 23 | | credit against the tax imposed under subsections (a) and (b) | 24 | | of Section 201 of the Illinois Income Tax Act an amount equal | 25 | | to the amount of Illinois income tax withheld from the |
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| 1 | | compensation paid to each qualifying employee and paid to the | 2 | | Department of Revenue, not to exceed $2,500 per calendar year | 3 | | for each qualifying employee, as certified by the Department | 4 | | on a tax credit certificate awarded under this Act. | 5 | | Section 1-15. Application process. | 6 | | (a) An owner or operator may apply to the Department for a | 7 | | certificate to receive a credit under Section 1-10.
| 8 | | (b) The Department shall establish an application process | 9 | | to certify an owner or operator for the credit under Section | 10 | | 1-10 as necessary for implementation of this Act. As part of | 11 | | the application process, the Department shall require the | 12 | | owner or operator to provide:
| 13 | | (1) the name, year, and name of the organization that | 14 | | sponsored or administered the program through which each | 15 | | qualifying employee completed his or her Illinois Works | 16 | | Preapprenticeship Program and apprenticeship program;
| 17 | | (2) the receipt provided to the worker by the | 18 | | Department of Labor stating that the qualifying employee | 19 | | has provided a certificate to the Department of Labor | 20 | | certifying that they have completed the minimum approved | 21 | | safety training required by the Illinois Hazardous | 22 | | Materials Workforce Training Act and when their | 23 | | certification in that training expires;
| 24 | | (3) the hours worked by the qualifying employee that | 25 | | go to meeting his or her apprenticeship requirements at |
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| 1 | | the time of the application;
| 2 | | (4) a signed affidavit from the owner or operator | 3 | | attesting that: (i) the qualifying employee was employed | 4 | | by the owner and operator or a contractor engaged by the | 5 | | owner or operator during all 4 reporting periods occurring | 6 | | during the calendar year preceding the calendar year in | 7 | | which the credit will be applied; (ii) the qualifying | 8 | | employee performed work in his or her prevailing wage | 9 | | classification for the duration of his or her employment | 10 | | in the calendar year preceding the calendar year in which | 11 | | the credit will be applied; (iii) the documents provided | 12 | | in the application are true; and (iv) the owner or | 13 | | operator will comply with all applicable laws; and
| 14 | | (5) any other material required by the Department.
| 15 | | Section 1-20. Credit awards. | 16 | | (a) Upon satisfactory review, the Department shall issue a | 17 | | tax credit certificate stating the amount of the tax credit to | 18 | | which an owner or operator is entitled under this Act. Each | 19 | | certificate shall include a unique identifying number. The | 20 | | credit shall be claimed on the return for the taxable year | 21 | | during which the certificate is issued by the Department. The | 22 | | credit shall be equal to the amount shown on the certificate | 23 | | but may not reduce the taxpayer's obligation for any payment | 24 | | due under subsections (a) and (b) of Section 201 of the | 25 | | Illinois Income Tax Act to less than zero. For partners and |
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| 1 | | shareholders of Subchapter S corporations, there shall be | 2 | | allowed a credit under this subsection to be determined in | 3 | | accordance with the determination of income and distributive | 4 | | share of income under Sections 702 and 704 and Subchapter S of | 5 | | the Internal Revenue Code. If the amount of the credit exceeds | 6 | | the total payments due as described below, the excess may be | 7 | | carried forward and applied against the taxpayer's liability | 8 | | under subsections (a) and (b) of Section 201 of the Illinois | 9 | | Income Tax Act in the 5 succeeding taxable years. The credit | 10 | | shall be applied to the earliest taxable year for which there | 11 | | is a tax liability. If there are credits from more than one | 12 | | taxable year that are available to offset a liability, the | 13 | | earlier credit shall be applied first. No credit awarded under | 14 | | this Act shall be sold or otherwise transferred. | 15 | | (b) The Department shall award not more than an aggregate | 16 | | of $20,000,000 in total annual tax credits under this Act. If | 17 | | applications for a greater amount are received, credits shall | 18 | | be allowed on a first-come, first-served basis based on the | 19 | | date on which each properly completed application for | 20 | | certification is received by the Department. If more than one | 21 | | properly completed application for certification is received | 22 | | on the same day, the credits shall be awarded based on the time | 23 | | of submission for that particular day. | 24 | | Section 1-25. Penalties; recapture. | 25 | | (a) False or fraudulent claims for credits under this Act |
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| 1 | | may be subject to penalties as provided under Sections 3-5 or | 2 | | 3-6 of the Uniform Penalty and Interest Act, as applicable. | 3 | | (b) If the Department determines that an owner or operator | 4 | | who has received a credit under this Act does not comply with | 5 | | the requirements of this Act or that a certification the owner | 6 | | or operator made in his or her application are false, the | 7 | | Department may initiate recapture procedures against the owner | 8 | | or operator and, after notice and an opportunity for hearing, | 9 | | recapture the entire credit amount awarded under any tax | 10 | | credit certificate under issued under this Act. The Department | 11 | | shall notify the Department of Revenue of any credits | 12 | | recaptured under this subsection. | 13 | | (c) If a previously awarded credit is required to be | 14 | | recaptured under subsection (b), the tax due under subsections | 15 | | (a) and (b) of Section 201 of the Illinois Income Tax Act shall | 16 | | be increased by the amount of the recaptured credit in the | 17 | | taxable year during which recapture is required.
| 18 | | Section 1-30. Rulemaking. The Department shall adopt rules | 19 | | for the implementation and administration of this Act. In | 20 | | order to provide for the expeditious and timely implementation | 21 | | of this Act, the Department and the Department of Revenue may | 22 | | adopt emergency rules. The adoption of emergency rules | 23 | | authorized by this Section is deemed to be necessary for the | 24 | | public interest, safety, and welfare. |
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| 1 | | ARTICLE 5. ACCESS TO APPRENTICESHIP ACT | 2 | | Section 5-1. Short title. This Article may be cited as the | 3 | | Access to Apprenticeship Act . References in this Article to | 4 | | "this Act" mean this Article. | 5 | | Section 5-5. Restrictions on application requirements. | 6 | | Notwithstanding any law to the contrary, in order to ensure | 7 | | fair and equal access to apprenticeship programs, no | 8 | | application for a preapprenticeship or apprenticeship program, | 9 | | whether run by the State, a community-based organization, a | 10 | | community college, a public university, a private employer, a | 11 | | union, or joint labor-management program, may require a | 12 | | recommendation from a union member or any other person as a | 13 | | condition of acceptance to the preapprenticeship or | 14 | | apprenticeship program. An intent to hire letter from a | 15 | | signatory contractor shall not be considered a recommendation | 16 | | for purposes of this Act. | 17 | | Section 5-97. Severability. The provisions of this Act are | 18 | | severable under Section 1.31 of the Statute on Statutes. | 19 | | ARTICLE 10. ILLINOIS HAZARDOUS MATERIALS WORKFORCE TRAINING | 20 | | ACT | 21 | | Section 10-1. Short title. This Article may be cited as |
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| 1 | | the Illinois Hazardous Materials Workforce Training Act . | 2 | | References in this Article to "this Act" mean this Article. | 3 | | Section 10-3. Legislative findings. The General Assembly | 4 | | recognizes its duty to protect the health and safety of the | 5 | | public. The General Assembly finds that this legislation is | 6 | | consistent with that duty. Facilities such as refineries and | 7 | | chemical plants are inherently dangerous and present | 8 | | substantial risk to workers and communities. According to the | 9 | | U.S. Bureau of Labor Statistics data from 2003-2018, 418 | 10 | | deaths have occurred in the refining and chemical industries | 11 | | (51 and 366 respectively) nationwide. Research supports the | 12 | | finding that registered construction apprenticeship programs | 13 | | are correlated with higher workplace safety due to the quality | 14 | | of safety, the skills training provided, and adherence to | 15 | | required federal standards. Moreover, the State of Illinois | 16 | | has recognized that registered apprenticeship programs provide | 17 | | substantial economic value to the State and serve as an | 18 | | important pathway for workers to enter the industry. The | 19 | | absence of area wage standards, especially in hazardous | 20 | | industries such as refining and chemical production, | 21 | | incentivizes the use of less-skilled, low-wage workers and | 22 | | increases the risk of danger to the public. The General | 23 | | Assembly recognizes and affirms that maintaining area wage | 24 | | standards prioritizes the use of better trained and | 25 | | higher-skilled workers while contributing to the State's |
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| 1 | | economic growth. | 2 | | Section 10-5. Definitions. As used in this Act: | 3 | | "Apprenticeable occupation" means an occupation in the | 4 | | building and construction trades for which training and | 5 | | apprenticeship programs have been approved by and registered | 6 | | with the United States Department of Labor's Employment and | 7 | | Training Administration. | 8 | | "Building and construction trades council" means any labor | 9 | | organization that represents multiple construction trades and | 10 | | monitors or is attentive to compliance with public or workers' | 11 | | safety laws, wage and hour requirements, or other statutory | 12 | | requirements and negotiates and maintains collective | 13 | | bargaining agreements. | 14 | | "Construction" means all work at a stationary source | 15 | | involving laborers, workers, or mechanics, including any | 16 | | maintenance, repair, assembly, or disassembly work performed | 17 | | on equipment whether owned, leased, or rented. | 18 | | "Department" means the Department of Labor. | 19 | | "Director" means the Director of Labor. | 20 | | "Labor agreement" means a form of prehire collective | 21 | | bargaining agreement covering all terms and conditions of | 22 | | employment. | 23 | | "Labor organization" means an organization that is the | 24 | | exclusive representative of an employer's employees recognized | 25 | | or certified under the federal National Labor Relations Act of |
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| 1 | | 1935. | 2 | | "Minimum approved safety training for workers at | 3 | | high-hazard facilities" means a minimum 30-hour OSHA Outreach | 4 | | Training Program for the Construction Industry class | 5 | | consisting of a curriculum of OSHA-designated training topics | 6 | | with training performed by an authorized OSHA Outreach | 7 | | Training Program Trainer and that is intended to provide | 8 | | workers with information about their rights, employer | 9 | | responsibilities, safety and health hazards a worker may | 10 | | encounter on a work site, as well as how to identify, abate, | 11 | | avoid, and prevent job-related hazards by emphasizing hazard | 12 | | identification, avoidance, control, and prevention. | 13 | | "OSHA" means the United States Department of Labor's | 14 | | Occupational Safety and Health Administration. | 15 | | "Owner or operator" means an owner or operator of a | 16 | | stationary source that is engaged in activities described in | 17 | | Code 324110, 325110, 325193, or 325199 of the 2017 North
| 18 | | American Industry Classification System (NAICS), and has one | 19 | | or more covered processes that are required to prepare and | 20 | | submit a Risk Management Plan. "Owner or operator" does not | 21 | | include oil and gas extraction operations. | 22 | | "Prevailing hourly wage rate" means hourly wages plus | 23 | | fringe benefits that are equal to or greater than the | 24 | | prevailing wage rate for the occupation in the locality in | 25 | | which the work is being performed, as published by the | 26 | | Illinois Department of Labor, and may include apprentice wage |
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| 1 | | rate scales as filed with the United States Department of | 2 | | Labor by an apprenticeship program. | 3 | | "Registered apprentice" means an apprentice registered in | 4 | | an applicable apprenticeship program for an apprenticeable | 5 | | occupation approved by and registered with the United States | 6 | | Department of Labor's Employment and Training Administration | 7 | | and who is being paid at least a rate equivalent to the | 8 | | prevailing hourly wage rate for an apprentice of his or her | 9 | | experience level, as permitted by this Act, in the applicable | 10 | | occupation and locality. | 11 | | "Registered apprenticeship program" means an applicable | 12 | | training and apprenticeship program that is approved by and | 13 | | registered with the United States Department of Labor's | 14 | | Employment and Training Administration. | 15 | | "Shift" means a set standard period of time an employer | 16 | | requires its employees to perform his or her work-related | 17 | | duties on a daily basis. For purposes of this definition, | 18 | | there may be multiple shifts per day. | 19 | | "Skilled journeyperson" means a worker who meets all of | 20 | | the following criteria: | 21 | | (1) the worker either graduated from a registered | 22 | | apprenticeship program for the applicable occupation or | 23 | | has at least as many hours of on-the-job experience in the | 24 | | applicable occupation as would be required to graduate | 25 | | from a registered apprenticeship program for the | 26 | | applicable occupation; |
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| 1 | | (2) the worker is being paid at least a rate | 2 | | equivalent to the prevailing hourly wage rate for a | 3 | | journeyperson in the applicable occupation and locality; | 4 | | and | 5 | | (3) beginning on or after July 1, 2024, the worker has | 6 | | completed, within the prior 3 calendar years, minimum | 7 | | approved safety training for workers at high-hazard | 8 | | facilities and has filed a certificate of completion with | 9 | | the Department. | 10 | | "Skilled and trained workforce" means a workforce that | 11 | | meets all of the following criteria: | 12 | | (1) all the workers are either registered apprentices | 13 | | or skilled journeypersons; | 14 | | (2) beginning on July 1, 2023, at least 45% of the | 15 | | skilled journeypersons are graduates of an apprenticeship | 16 | | program for the applicable occupation; | 17 | | (3) beginning on July 1, 2024, at least 60% of the | 18 | | skilled journeypersons are graduates of an apprenticeship | 19 | | program for the applicable occupation; and | 20 | | (4) beginning on July 1, 2025, at least 80% of the | 21 | | skilled journeypersons are graduates of an apprenticeship | 22 | | program for the applicable occupation. | 23 | | "Stationary source" means that term as it is defined under | 24 | | Section 39.5 of the Environmental Protection Act. | 25 | | Section 10-10. Minimum approved safety training. |
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| 1 | | (a) A person who has completed minimum approved safety | 2 | | training for workers at high-hazard facilities shall file his | 3 | | or her certificate of completion with the Department in a | 4 | | manner prescribed by the Department. | 5 | | (b) The owner or operator, when contracting for the | 6 | | performance of construction work at the stationary source, | 7 | | shall require that its contractors and any subcontractors use | 8 | | a skilled and trained workforce to perform all onsite work | 9 | | within an apprenticeable occupation in the building and | 10 | | construction trades, and shall include this requirement in any | 11 | | and all contracts executed between an owner or operator and a | 12 | | contractor or subcontractor. | 13 | | (c) The requirements of this Section shall not immediately | 14 | | apply to contracts awarded before July 1, 2023, unless the | 15 | | contract is extended or renewed after that date. Contracts | 16 | | awarded before July 1, 2023 shall meet the requirements of | 17 | | this Section no later than July 1, 2024. | 18 | | (d) The requirements of this Section shall only apply to | 19 | | the skilled and trained workforce, contracted with an owner or | 20 | | operator to perform construction work at the stationary source | 21 | | site. | 22 | | (e) The skilled and trained workforce requirements under | 23 | | this Section shall not apply to: | 24 | | (1) Contractors that have requested qualified workers | 25 | | from the local hiring halls that dispatch workers in the | 26 | | apprenticeable occupation and that, due to workforce |
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| 1 | | shortages, are unable to obtain sufficient qualified | 2 | | workers within 48 hours of the request, Saturdays, | 3 | | Sundays, and holidays excepted. This Act shall not prevent | 4 | | contractors from obtaining workers from any source. | 5 | | (2) An emergency where compliance is impracticable; | 6 | | namely, an emergency requiring immediate action to prevent | 7 | | imminent harm to public health or safety or to the | 8 | | environment. Within 3 days of an emergency resulting in a | 9 | | failure to comply with this Act, the owner or operator | 10 | | must notify the Department that such an event occurred and | 11 | | provide documentation supporting its claim that compliance | 12 | | was impracticable. Within 14 days of receiving such | 13 | | documentation, the Department must issue a finding of | 14 | | whether or not the emergency warranted noncompliance with | 15 | | this Act. An owner's or operator's failures to notify the | 16 | | Department of an emergency as required shall constitute a | 17 | | violation of this Act. | 18 | | Section 10-12. Violations of Section 10-10.
Any | 19 | | interested party may file
a complaint with the Department | 20 | | against an owner,
operator, or construction contractor covered | 21 | | under this Act if there is reasonable belief that the owner, | 22 | | operator, or
construction contractor is in violation of | 23 | | Section 10-10 of this Act.
| 24 | | Section 10-15. Enforcement. The Director of Labor or his |
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| 1 | | or her authorized representative may interview workers, | 2 | | administer oaths, take or cause to be taken the depositions of | 3 | | witnesses, and require by subpoena the attendance and | 4 | | testimony of witnesses and the production of all books, | 5 | | records, and other evidence relative to the matter under | 6 | | investigation or hearing, including any contract entered into | 7 | | between the owner or operator and construction contractor, and | 8 | | a transcript of the contractor's payroll, broken down by | 9 | | classification and skill level. Such subpoena shall be signed | 10 | | and issued by the Director or his or her authorized | 11 | | representative. | 12 | | Upon request by the Director of Labor or his or her deputy | 13 | | or agent, records shall be copied and submitted for evidence | 14 | | at no cost to the Department. Every employer upon request | 15 | | shall furnish to the Director or his or her authorized | 16 | | representative, on demand, a sworn statement of the accuracy | 17 | | of the records. Any employer who refuses to furnish a sworn | 18 | | statement of the records is in violation of this Act. | 19 | | In case of failure of any person to comply with any | 20 | | subpoena lawfully issued under this Section or on the refusal | 21 | | of any witness to produce evidence or to testify to any matter | 22 | | regarding which he or she may be lawfully interrogated, it is | 23 | | the duty of any circuit court, upon application of the | 24 | | Director of Labor or his or her authorized representative, to | 25 | | compel obedience by proceedings for contempt, as in the case | 26 | | of disobedience of the requirements of a subpoena issued by |
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| 1 | | such court or a refusal to testify therein. The Director may | 2 | | certify official acts. | 3 | | If the Department finds that an owner, operator, or | 4 | | construction
contractor has not complied with this Act, the | 5 | | Department
shall refer the matter to the Attorney General for
| 6 | | enforcement. | 7 | | Section 10-20. Exemptions. This Act does not apply to any | 8 | | owner or operator that has an executed national or local labor | 9 | | agreement in effect pertaining to the performance of | 10 | | construction work at a given facility or site under the terms | 11 | | of the agreement. The labor agreement must be negotiated with | 12 | | and approved by a local building and construction trades | 13 | | council that has geographic jurisdiction over the stationary | 14 | | source. | 15 | | Section 10-21. Reporting. | 16 | | (a) Any registered apprenticeship program or contractor | 17 | | subject to this Act shall file an annual report with the | 18 | | Department of Commerce and Economic Opportunity and the | 19 | | Illinois Works Review Panel, in the form and manner required | 20 | | by the Department of Commerce and Economic Opportunity, within | 21 | | 6 months after the effective date of this Act and by January 31 | 22 | | of each year thereafter. The report shall contain the | 23 | | following information: | 24 | | (1) A report submitted by an applicable registered |
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| 1 | | apprenticeship program providing minimum approved safety | 2 | | training for workers in high-hazard facilities shall | 3 | | contain the following information: | 4 | | (A) A description of the registered apprenticeship | 5 | | program's recruitment efforts and screening efforts | 6 | | and a general description of training efforts. | 7 | | (B) The number of individuals who (i) applied to, | 8 | | (ii) participated in, and (iii) completed the minimum | 9 | | approved safety training for workers at high-hazard | 10 | | facilities in the prior calendar year, broken down by | 11 | | race, ethnicity, gender, jurisdiction, apprentice or | 12 | | journeyperson level, age, and veteran status. | 13 | | (C) The demographic data of the county where the | 14 | | registered apprenticeship program is located. | 15 | | (D) A statement of the registered apprenticeship | 16 | | program's minimum diversity goal, which shall equal | 17 | | the demographic makeup of its jurisdiction, the | 18 | | demographic makeup of the participants and graduates | 19 | | of the registered apprenticeship program, and a | 20 | | comparison of whether the demographic makeup of the | 21 | | participants of the apprenticeship program who are | 22 | | working at the high-hazard facility are meeting that | 23 | | goal. | 24 | | (E) An action plan to increase or maintain | 25 | | diversity to meet or exceed the stated minimum | 26 | | diversity goal. An action plan may include, but shall |
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| 1 | | not be limited to, taking the following actions if the | 2 | | diversity goal is not met: | 3 | | (i) Providing information on this Act for all | 4 | | high schools and field offices of the Department | 5 | | of Employment Security in the jurisdiction. | 6 | | (ii) Entering into a joint agreement with the | 7 | | Department of Employment Security for outreach and | 8 | | employment services. | 9 | | (iii) Entering into a joint agreement with | 10 | | educational institutions or an approved Illinois | 11 | | Works Preapprenticeship Program established under | 12 | | subsection (a) of Section 20-15 of the Illinois | 13 | | Works Jobs Program Act to enhance recruitment | 14 | | efforts. | 15 | | (iv) Evaluating and eliminating experience | 16 | | requirements that may pose barriers to recruiting | 17 | | or admitting diverse individuals as apprentices, | 18 | | when feasible. | 19 | | (2) A report submitted by a contractor who employs | 20 | | workers operating in high-hazard facilities shall contain | 21 | | the following information: | 22 | | (A) A description of the contractor's recruitment | 23 | | efforts and screening efforts and a general | 24 | | description of training efforts. | 25 | | (B) The number of workers employed by the | 26 | | contractor to work in high-hazard facilities in the |
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| 1 | | prior calendar year, broken down by race, ethnicity, | 2 | | gender, jurisdiction, apprentice or journeyperson | 3 | | level, age, and veteran status. | 4 | | (C) The demographic data of the county where the | 5 | | majority of the contractor's high-hazard facility work | 6 | | was performed in the last calendar year. | 7 | | (D) A statement of the contractor's minimum | 8 | | diversity goal, which shall equal the demographic | 9 | | makeup of its jurisdiction, and whether the | 10 | | demographic makeup of the workers employed by the | 11 | | contractor to work at the high-hazard facility is | 12 | | meeting that goal. | 13 | | (E) An action plan to increase or maintain | 14 | | diversity to meet or exceed the stated minimum | 15 | | diversity goal. An action plan may include but not | 16 | | limited to, taking the following actions if the | 17 | | diversity goal is not met: | 18 | | (i) Providing information on this Act for all | 19 | | high schools and field offices of the Department | 20 | | of Employment Security in the jurisdiction. | 21 | | (ii) Entering into a joint agreement with the | 22 | | Department of Employment Security for outreach and | 23 | | employment services. | 24 | | (iii) Entering into a joint agreement with | 25 | | educational institutions or approved Illinois | 26 | | Works Preapprenticeship Programs established under |
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| 1 | | subsection (a) of Section 20-15 of the Illinois | 2 | | Works Jobs Program Act in the jurisdiction to | 3 | | enhance recruitment efforts. | 4 | | (iv) Evaluating and eliminating experience | 5 | | requirements that may pose barriers to recruiting | 6 | | or admitting diverse individuals as apprentices | 7 | | when feasible. | 8 | | (b) The Department of Commerce and Economic Opportunity | 9 | | shall review the annual reports and, in consultation with the | 10 | | Illinois Works Review Panel, conduct an assessment of whether | 11 | | the reports meet the requirements of this Act. | 12 | | (c) If the Department of Commerce and Economic Opportunity | 13 | | concludes that a report submitted under this Section does not | 14 | | meet or is unlikely to meet the minimum diversity goal under | 15 | | subparagraph (D) of paragraph (1) of subsection (a) or (a) | 16 | | subparagraph (D) of paragraph (2) of subsection (a) within 12 | 17 | | months after filing its report, or that the action plan was not | 18 | | followed, the Department of Commerce and Economic Opportunity, | 19 | | in consultation with the Illinois Works Review Panel, shall | 20 | | recommend that the action plan be revised to provide | 21 | | additional steps and opportunities for minority participation. | 22 | | (d) If the Department of Commerce and Economic | 23 | | Opportunity, in consultation with the Illinois Works Review | 24 | | Panel, concludes that the applicable registered apprenticeship | 25 | | program providing workers in a high-hazard facility or the | 26 | | contractor operating at a high-hazard facility failed to |
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| 1 | | follow its action plan under subsection subparagraph (E) of | 2 | | paragraph (1) of subsection (a), subparagraph (E) of paragraph | 3 | | (2) of subsection (a), paragraph (5) of subsection (a), or the | 4 | | recommended changes to its action plan provided by the | 5 | | Department of Commerce and Economic Opportunity and the | 6 | | Illinois Works Review Panel under subsection (b) within 12 | 7 | | months after filing the entity's report, the Department of | 8 | | Commerce and Economic Opportunity may refer the matter to the | 9 | | Department for investigation and enforcement. | 10 | | (e) It is a violation of this Act for an applicable | 11 | | registered apprenticeship program providing workers in a | 12 | | high-hazard facility to fail to submit a report as required by | 13 | | this Act. The Department of Commerce and Economic Opportunity | 14 | | shall refer such violations to the Director of the Department | 15 | | investigation and enforcement. | 16 | | (f) For reporting purposes, the jurisdiction is the
| 17 | | Illinois county where the applicable apprenticeship and
| 18 | | training program, approved by and registered with the U.S.
| 19 | | Department of Labor's Office of Apprenticeship, is located.
| 20 | | For a contractor, the jurisdiction is the county where the
| 21 | | contractor's workers perform the majority of work in a | 22 | | high-hazard facility within the last calendar year.
| 23 | | Section 10-25. Penalties; noncompliant reporting; | 24 | | reinstatement. | 25 | | (a) Except as provided in subsection (b), an owner or |
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| 1 | | operator who violates the requirements of this Act shall be | 2 | | subject to a minimum civil penalty of $10,000 for each | 3 | | violation. The Department shall consider the gravity of the | 4 | | violation in determining the amount of the penalty. Each shift | 5 | | a violation of this Act occurs shall be considered a separate | 6 | | violation. The penalty may be recovered in a civil action | 7 | | brought by the Director in any circuit court. In the civil | 8 | | action, the Director shall be represented by the Attorney | 9 | | General. All moneys received by the Department as fees and | 10 | | civil penalties under this Act, other than moneys collected as | 11 | | unpaid or underpaid wages plus a 5% monthly penalty as | 12 | | provided in subsection (b), shall be deposited into the | 13 | | Illinois Works Fund to be used to recruit, prescreen, and | 14 | | provide preapprenticeship skills training for which | 15 | | participants may attend free of charge and receive a stipend | 16 | | to create a qualified, diverse pipeline of workers who are | 17 | | prepared to work in high-hazard facilities. | 18 | | (b) In addition to the penalty provisions of subsection | 19 | | (a), if the Department finds that a contractor or owner or | 20 | | operator failed to pay the prevailing rate of wages to | 21 | | construction workers at a stationary source as required under | 22 | | this Act, the Department shall have the ability to recover | 23 | | unpaid or underpaid wages, plus a 5% monthly penalty, on | 24 | | behalf of and payable to the workers. Wages owed may be | 25 | | recovered in a civil action brought by the Director in any | 26 | | circuit court. In a civil action, the Director shall be |
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| 1 | | represented by the Attorney General. | 2 | | (c) Notwithstanding subsections (a) and (b), if the | 3 | | Department of Commerce and Economic Opportunity, in | 4 | | consultation with the Illinois Works Review Panel, refer a | 5 | | violation of Section 10-21 to the Department for investigation | 6 | | and enforcement, the Department shall provide reasonable | 7 | | notice of noncompliance to the violator within 90 days after | 8 | | the violation and inform the violator that the violator has 45 | 9 | | days to comply with Section 10-21 without penalty. If the | 10 | | noncompliance is not remedied, the violator shall be in | 11 | | violation of this Act and may be deemed unfit to provide | 12 | | workers or operate at high-hazard facilities for a period of | 13 | | up to one year. If the Department determines that the violator | 14 | | has remedied the violation and is in compliance with Section | 15 | | 10-21, the Department shall have 45 days to reinstate the | 16 | | authorization for the violator to provide workers or operate | 17 | | at high-hazard facilities. The Department may not unreasonably | 18 | | withhold reinstatement under this subsection when the | 19 | | applicable registered apprenticeship program providing workers | 20 | | in high-hazard facilities or the contractor operating at | 21 | | high-hazard facilities is found to be in compliance with | 22 | | Section 10-21. | 23 | | Section 10-97. Severability. The provisions of this Act | 24 | | are severable under Section 1.31 of the Statute on Statutes. |
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| 1 | | ARTICLE 15. AMENDATORY PROVISIONS | 2 | | Section 15-5. The Illinois Administrative Procedure Act is | 3 | | amended by adding Section 5-45.8 as follows: | 4 | | (5 ILCS 100/5-45.8 new) | 5 | | Sec. 5-45.8. Emergency rulemaking. To provide for the | 6 | | expeditious and timely implementation of this amendatory Act | 7 | | of the 102nd General Assembly, the Department of Commerce and | 8 | | Economic Opportunity shall, and the Department of Revenue may, | 9 | | adopt emergency rules. The adoption of emergency rules | 10 | | authorized by this Section is deemed to be necessary for the | 11 | | public interest, safety, and welfare. | 12 | | This Section is repealed on January 1, 2026. | 13 | | Section 15-10. The Illinois Income Tax Act is amended by | 14 | | adding Section 232 as follows: | 15 | | (35 ILCS 5/232 new) | 16 | | Sec. 232. The Investing in Illinois Works Tax Credit. An | 17 | | eligible taxpayer who has been awarded a credit by the | 18 | | Department of Commerce and Economic Opportunity under Section | 19 | | 1-20 of the Investing in Illinois Works Tax Credit Act may | 20 | | claim a credit against the taxes imposed under subsections (a) | 21 | | and (b) of Section 201 of this Act for amounts due during the | 22 | | first taxable year in which a tax credit certificate was |
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| 1 | | awarded. The credit shall be equal to the amount shown on the | 2 | | certificate. For partners and shareholders of Subchapter S | 3 | | corporations, there shall be allowed a credit under this | 4 | | subsection to be determined in accordance with the | 5 | | determination of income and distributive share of income under | 6 | | Sections 702 and 704 and Subchapter S of the Internal Revenue | 7 | | Code. The credit may not reduce the taxpayer's tax due under | 8 | | subsections (a) and (b) of Section 201 to less than zero. | 9 | | However, if the amount of the credit exceeds the total tax due | 10 | | for the taxable year, the excess credit may be carried forward | 11 | | and applied against the taxpayer's liability under subsections | 12 | | (a) and (b) of Section 201 in the 5 succeeding taxable years. | 13 | | The credit shall be applied to the earliest taxable year for | 14 | | which there is a tax liability. If there are credits from more | 15 | | than one reporting period that are available to offset the | 16 | | liability, the earlier credit shall be applied first. | 17 | | ARTICLE 99. EFFECTIVE DATE
| 18 | | Section 99-99. Effective date. This Act takes effect | 19 | | January 1, 2023.".
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