State of Illinois
90th General Assembly
Legislation

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90_SB1265sam001

                                          SRS90SB1265JJcham03
 1                    AMENDMENT TO SENATE BILL 1265
 2        AMENDMENT NO.     .  Amend Senate Bill 1265 by  replacing
 3    the title with:
 4        "AN ACT concerning energy."; and
 5    by  replacing  everything  after the enacting clause with the
 6    following:
 7        "Section 5.  The Renewable Energy, Energy Efficiency, and
 8    Coal Resources Development Law of 1997 is amended by changing
 9    Sections 6-5 and 6-6 as follows:
10        (20 ILCS 687/6-5)
11        (Section scheduled to be repealed on December 16, 2007)
12        Sec. 6-5. Renewable Energy Resources and Coal  Technology
13    Development Assistance Charge.
14        (a)  Beginning  January  1,  1998,  the following charges
15    shall be imposed:
16             (1)  $0.05 per month on each account for residential
17        electric service as defined in Section 13 of  the  Energy
18        Assistance Act of 1989;
19             (2)  $0.05 per month on each account for residential
20        gas  service  as  defined  in  Section  13  of the Energy
21        Assistance Act of 1989;
                            -2-           SRS90SB1265JJcham03
 1             (3)  $0.50   per   month   on   each   account   for
 2        nonresidential electric service, as defined in Section 13
 3        of the Energy Assistance Act of 1989, taking less than 10
 4        megawatts of peak demand  during  the  previous  calendar
 5        year;
 6             (4)  $0.50   per   month   on   each   account   for
 7        nonresidential  gas  service, as defined in Section 13 of
 8        the Energy Assistance  Act  of  1989,  taking  less  than
 9        4,000,000  therms  of  gas  during  the previous calendar
10        year;
11             (5)  $37.50  per   month   on   each   account   for
12        nonresidential electric service, as defined in Section 13
13        of the Energy Assistance Act of 1989, taking 10 megawatts
14        or  greater  of  peak demand during the previous calendar
15        year; and
16             (6)  $37.50  per   month   on   each   account   for
17        nonresidential  gas  service, as defined in Section 13 of
18        the Energy Assistance Act of 1989,  taking  4,000,000  or
19        more therms of gas during the previous calendar year.
20        (b)  Except   as  provided  in  subsection  (e)  of  this
21    Section, this charge is to be collected by electric  and  gas
22    utilities,  whether  owned  by  investors,  municipalities or
23    cooperatives, and alternative retail electric suppliers on  a
24    monthly basis from their respective customers.
25        (c)  Fifty  percent  of  the moneys collected pursuant to
26    this Section shall  be  deposited  in  the  Renewable  Energy
27    Resources  Trust Fund. The remaining 50 percent of the moneys
28    collected pursuant to this Section shall be deposited in  the
29    Coal Technology Development Assistance Fund for use under the
30    Illinois Coal Technology Development Assistance Act.
31        (d)  On  a  monthly  basis,  each utility and alternative
32    retail electric supplier collecting charges pursuant to  this
33    Section  shall remit to the Department of Revenue for deposit
34    in the Renewable Energy Resources Trust  Fund  and  the  Coal
                            -3-           SRS90SB1265JJcham03
 1    Technology Development Assistance Fund all moneys received as
 2    payment of the charge provided for in this Section.
 3        (e)  The charges imposed by this Section shall only apply
 4    to  customers  of  municipal  electric  and gas utilities and
 5    electric  cooperatives  if  the  municipal  electric  or  gas
 6    utility or electric cooperative makes an affirmative decision
 7    to impose the charge. If a municipal electric or gas  utility
 8    or  electric  cooperative  does  not  assess this charge, its
 9    customers shall not be  eligible  for  the  Renewable  Energy
10    Resources Program.
11    (Source: P.A. 90-561, eff. 12-16-97.)
12        (20 ILCS 687/6-6)
13        (Section scheduled to be repealed on December 16, 2007)
14        Sec. 6-6. Energy efficiency program.
15        (a)  For   the   year  beginning  January  1,  1998,  and
16    thereafter as provided in this Section, each electric utility
17    and  each  alternative  retail  electric  supplier  supplying
18    electric power and energy to retail customers located in  the
19    State of Illinois shall contribute annually to the Department
20    a  pro  rata share of a total amount of $3,000,000 based upon
21    the number of kilowatt-hours sold by each such entity in  the
22    12   months   preceding  the  year  of  contribution.   These
23    contributions shall be remitted to the Department of  Revenue
24    on  or  before  June 30 of each year the contribution is due.
25    The funds received by the Department pursuant to this Section
26    shall be subject to the appropriation of funds by the General
27    Assembly.  The Department of Revenue shall  place  the  funds
28    remitted  under  this Section in a trust fund, that is hereby
29    created in the State Treasury, called the  Energy  Efficiency
30    Trust Fund.
31        (b)  The  Department  of  Commerce  and Community Affairs
32    shall disburse the moneys in the Energy Efficiency Trust Fund
33    to residential electric customers to fund projects which  the
                            -4-           SRS90SB1265JJcham03
 1    Department  has  determined will promote energy efficiency in
 2    the State of Illinois.  The Department shall establish a list
 3    of projects eligible for grants from  the  Energy  Efficiency
 4    Trust  Fund  including, but not limited to, supporting energy
 5    efficiency  efforts  for  low-income  households,   replacing
 6    energy  inefficient  windows  with  more  efficient  windows,
 7    replacing  energy  inefficient appliances with more efficient
 8    appliances, replacing energy inefficient lighting  with  more
 9    efficient  lighting,  insulating dwellings and buildings, and
10    such other projects which will increase energy efficiency  in
11    homes and rental properties.
12        (c)  The  Department  shall  establish  criteria  and  an
13    application process for this grant program.
14        (d)  The  Department  shall  conduct  a  study  of  other
15    possible  energy efficiency improvements and evaluate methods
16    for promoting energy efficiency and conservation,  especially
17    for the benefit of low-income customers.
18        (e)  The  Department shall submit an annual report to the
19    General Assembly evaluating the effectiveness of the projects
20    and programs  provided  in  this  Section,  and  recommending
21    further   legislation   which   will   encourage   additional
22    development  and implementation of energy efficiency projects
23    and programs in Illinois and other actions that help to  meet
24    the goals of this Section.
25    (Source: P.A. 90-561, eff. 12-16-97.)
26        Section  10.   The  Illinois  Coal Technology Development
27    Assistance Act is amended by changing Section 3 as follows:
28        (30 ILCS 730/3) (from Ch. 96 1/2, par. 8203)
29        Sec.  3.   Transfers  to  Coal   Technology   Development
30    Assistance  Funds.  As  soon  as may be practicable after the
31    first day of each month,  the  Department  of  Revenue  shall
32    certify  to  the  Treasurer  an  amount  equal to 1/64 of the
                            -5-           SRS90SB1265JJcham03
 1    revenue realized from the  tax  imposed  by  the  Electricity
 2    Excise  Tax  Law,  Section  2 of the Public Utilities Revenue
 3    Act, Section 2 of the Messages Tax Act, and Section 2 of  the
 4    Gas  Revenue  Tax  Act,  during  the  preceding  month.  Upon
 5    receipt of the certification, the  Treasurer  shall  transfer
 6    the  amount  shown  on  such  certification  from the General
 7    Revenue Fund to the Coal  Technology  Development  Assistance
 8    Fund,  which is hereby created as a special fund in the State
 9    treasury,  except that no transfer shall be made in any month
10    in which the Fund from moneys received under this Section has
11    reached the following balance:
12             (1)  $7,000,000 during fiscal year 1994.
13             (2)  $8,500,000 during fiscal year 1995.
14             (3)  $10,000,000 during fiscal years year  1996  and
15        1997.
16             (4)  During   fiscal   year   1998   and  each  year
17        thereafter, an amount equal to  the  sum  of  $10,000,000
18        plus additional moneys deposited into the Coal Technology
19        Development  Assistance  Fund  from  the Renewable Energy
20        Resources  and  Coal  Technology  Development  Assistance
21        Charge under Section 6.5 of the Renewable Energy,  Energy
22        Efficiency, and Coal Resources Development Law of 1997.
23    (Source: P.A. 90-561, eff. 12-16-97.)
24        Section 15.  The Energy Assistance Act of 1989 is amended
25    by changing Sections 13 and 14 as follows:
26        (305 ILCS 20/13)
27        Sec. 13.  Supplemental Low-Income Energy Assistance Fund.
28        (a)  The  Supplemental  Low-Income Energy Assistance Fund
29    is hereby created as a special fund in  the  State  Treasury.
30    The   Supplemental   Low-Income  Energy  Assistance  Fund  is
31    authorized to  receive,  by  statutory  deposit,  the  moneys
32    collected    pursuant    to   this   Section.    Subject   to
                            -6-           SRS90SB1265JJcham03
 1    appropriation, the  Department  shall  use  moneys  from  the
 2    Supplemental  Low-Income  Energy Assistance Fund for payments
 3    to electric or gas public utilities,  municipal  electric  or
 4    gas  utilities,  and electric cooperatives on behalf of their
 5    customers who are participants in the program  authorized  by
 6    Section  4  of  this Act, for the provision of weatherization
 7    services  and  for   administration   of   the   Supplemental
 8    Low-Income  Energy  Assistance Fund.  The yearly expenditures
 9    for weatherization may not exceed 10% of the amount collected
10    during the year pursuant to  this  Section.   In  determining
11    which   customers  will  participate  in  the  weatherization
12    component, the Department  shall  target  weatherization  for
13    those  customers with the greatest energy burden, that is the
14    lowest  income  and  greatest  utility  bills.   The   yearly
15    administrative expenses of the Supplemental Low-Income Energy
16    Assistance  Fund  may  not exceed 10% of the amount collected
17    during that year pursuant to this Section.
18        (b)  Notwithstanding the provisions of Section 16-111  of
19    the  Public  Utilities  Act,  each  public  utility, electric
20    cooperative, as  defined  in  Section  3.4  of  the  Electric
21    Supplier Act, and municipal utility, as referenced in Section
22    3-105  of  the  Public  Utilities Act, that is engaged in the
23    delivery of electricity or the distribution  of  natural  gas
24    within  the  State  of  Illinois  shall, effective January 1,
25    1998, assess each of its customer accounts a  monthly  Energy
26    Assistance  Charge  for  the  Supplemental  Low-Income Energy
27    Assistance Fund.  The monthly charge shall be as follows:
28             (1)  $0.40 per month on each account for residential
29        electric service;
30             (2)  $0.40 per month on each account for residential
31        gas service;
32             (3)  $4   per   month   on    each    account    for
33        non-residential  electric  service which had less than 10
34        megawatts of peak demand  during  the  previous  calendar
                            -7-           SRS90SB1265JJcham03
 1        year;
 2             (4)  $4    per    month    on   each   account   for
 3        non-residential gas service which had distributed  to  it
 4        less  than  4,000,000  therms  of gas during the previous
 5        calendar year;
 6             (5)  $300   per   month   on   each   account    for
 7        non-residential  electric  service which had 10 megawatts
 8        or greater of peak demand during  the  previous  calendar
 9        year; and
10             (6)  $300    per   month   on   each   account   for
11        non-residential gas service which had 4,000,000  or  more
12        therms  of  gas  distributed  to  it  during the previous
13        calendar year.
14        (c)  For purposes of this Section:
15             (1)  "residential electric service"  means  electric
16        utility  service  for  household  purposes delivered to a
17        dwelling of 2 or fewer units  which  is  billed  under  a
18        residential   rate,   or  electric  utility  service  for
19        household purposes delivered to a dwelling unit or  units
20        which   is   billed  under  a  residential  rate  and  is
21        registered by a separate meter for each dwelling unit;
22             (2)  "residential gas  service"  means  gas  utility
23        service  for household purposes distributed to a dwelling
24        of 2 or fewer units which is billed under  a  residential
25        rate,  or  gas  utility  service  for  household purposes
26        distributed to a dwelling unit or units which  is  billed
27        under  a residential rate and is registered by a separate
28        meter for each dwelling unit;
29             (3)  "non-residential   electric   service"    means
30        electric   utility   service  which  is  not  residential
31        electric service; and
32             (4)  "non-residential gas service" means gas utility
33        service which is not residential gas service.
34        (d)  At least 45 days prior to the date on which it  must
                            -8-           SRS90SB1265JJcham03
 1    begin   assessing  Energy  Assistance  Charges,  each  public
 2    utility  engaged  in  the  delivery  of  electricity  or  the
 3    distribution of natural gas  shall  file  with  the  Illinois
 4    Commerce   Commission   tariffs   incorporating   the  Energy
 5    Assistance Charge in other charges stated in such tariffs.
 6        (e)  The Energy Assistance Charge  assessed  by  electric
 7    and  gas  public  utilities  shall be considered a charge for
 8    public utility service.
 9        (f)  On a monthly basis, each public  utility,  municipal
10    utility,   and   electric  cooperative  shall  remit  to  the
11    Department of Revenue all moneys received as payment  of  the
12    Energy  Assistance  Charge.   If  a  customer makes a partial
13    payment, a public utility,  municipal  utility,  or  electric
14    cooperative  may  elect  either:  (i)  to  apply such partial
15    payments first to amounts owed to the utility or  cooperative
16    for   its  services  and  then  to  payment  for  the  Energy
17    Assistance Charge or (ii) to apply such partial payments on a
18    pro-rata  basis  between  amounts  owed  to  the  utility  or
19    cooperative for its services and to payment  for  the  Energy
20    Assistance Charge.
21        (g)  The  Department  of  Revenue  shall deposit into the
22    Supplemental Low-Income Energy  Assistance  Fund  all  moneys
23    remitted  to  it  in  accordance  with subsection (f) of this
24    Section.
25        (h)  If as of June  30  December  31,  2002  the  program
26    authorized  by Section 4 of this Act has not been replaced by
27    a new energy assistance program which is in  operation,  then
28    the  General  Assembly  shall  review  the  program; provided
29    however, that after that date, any public utility,  municipal
30    utility,  or electric cooperative shall continue to assess an
31    Energy Assistance Charge which was originally assessed on  or
32    before June 30 December 31, 2002 and which remains unpaid.
33        On or before December 31, 2002 2003, the Department shall
34    prepare  a report for the General Assembly on the expenditure
                            -9-           SRS90SB1265JJcham03
 1    of funds appropriated from the Low-Income  Energy  Assistance
 2    Block  Grant  Fund for the program authorized under Section 4
 3    of this Act.
 4        (i)  The Department of Revenue may establish  such  rules
 5    as it deems necessary to implement this Section.
 6        (j)  The Department of Commerce and Community Affairs may
 7    establish  such rules as it deems necessary to implement this
 8    Section.
 9        (k)  The charges imposed by this Section shall only apply
10    to customers of municipal  electric  utilities  and  electric
11    cooperatives  if  the  municipal electric utility or electric
12    cooperative makes  an  affirmative  decision  to  impose  the
13    charge.    If   a  municipal  electric  utility  or  electric
14    cooperative does not assess this charge, the  Department  may
15    not   use  funds  from  the  Supplemental  Low-Income  Energy
16    Assistance Fund to provide benefits to  its  customers  under
17    the program authorized by Section 4 of this Act.
18    (Source: P.A. 90-561, eff. 12-16-97.)
19        (305 ILCS 20/14)
20        Sec. 14.  Energy Assistance Program Design Group.
21        (a)  This   Section   establishes  an  Energy  Assistance
22    Program Design Group to  advise  the  General  Assembly  with
23    respect  to  designing a low-income energy assistance program
24    for the period beginning on July 1, 2002 January 1, 2003.
25        (b)  The Energy Assistance Program Design Group shall  be
26    chaired  by the Director of Commerce and Community Affairs or
27    his or her designee. There shall be 4 legislative members and
28    13 non-legislative members of the Energy  Assistance  Program
29    Design Group. The 4 legislative members shall be appointed as
30    follows:  one member of the House appointed by the Speaker of
31    the House, one member of the House appointed by the  Minority
32    Leader  of  the  House, one member of the Senate appointed by
33    the President of the Senate, and one  member  of  the  Senate
                            -10-          SRS90SB1265JJcham03
 1    appointed   by   the  Minority  Leader  of  the  Senate.  The
 2    non-legislative members  of  the  Energy  Assistance  Program
 3    Design  Group shall include the chairperson and the following
 4    12  members:  (i)  one  member  designated  by  the  Illinois
 5    Commerce  Commission;  (ii)  one  member  designated  by  the
 6    Illinois Department of Natural Resources;  (iii)  one  member
 7    designated  by  the  Illinois Energy Association to represent
 8    electric public utilities serving  in  excess  of  1  million
 9    customers  in  this State; (iv) one member agreed upon by gas
10    public utilities that serve more than  500,000  customers  in
11    this  State; (v) one member designated by the Illinois Energy
12    Association to represent combination gas and electric  public
13    utilities;  (vi)  one  member  agreed  upon  by  the Illinois
14    Municipal Electric Agency and  the  Association  of  Illinois
15    Electric  Co-operatives;  (vii)  one member designated by the
16    Midwest  Independent  Power  Suppliers  Coordination   Group;
17    (viii)  one  member  designated  by the National Training and
18    Information Center to represent low income energy  consumers;
19    (ix)  one  member designated by the Illinois Community Action
20    Association to represent local agencies that  assist  in  the
21    administration  of this Act; (x) one member designated by the
22    Citizens  Utility  Board  to  represent  residential   energy
23    consumers;  (xi) one member designated by the Illinois Retail
24    Merchants  Association   to   represent   commercial   energy
25    customers;  and  (xii)  one member designated by the Illinois
26    Industrial  Energy  Consumers.  The   appointments   of   the
27    legislative members shall be submitted to the chairman of the
28    Energy  Assistance Program Design Group within 30 days of the
29    effective date of this amendatory Act of 1998 and  within  30
30    days  of  a  new General Assembly convening. The names of the
31    non-legislative members shall be submitted to the chairperson
32    of  the  Energy  Assistance  Program  Design  Group  by   the
33    designating organization within 30 days of the effective date
34    of  this amendatory Act of 1998. The designating organization
                            -11-          SRS90SB1265JJcham03
 1    shall notify the chairperson of any changes or  substitutions
 2    of  a  designee  within  10  business  days  of the change or
 3    substitution.   As  promptly  as  practicable  following  the
 4    enactment  of  this  amendatory  Act  of  1997,  the  General
 5    Assembly,  or  a  Joint Committee thereof, shall establish an
 6    Energy  Assistance  Program   Design   Group.    The   Energy
 7    Assistance  Program  Design  Group  shall  be  chaired by the
 8    Director of the Department of Commerce and Community  Affairs
 9    and   shall   include  one  representative  of  each  of  the
10    following: (i) the Illinois  Commerce  Commission;  (ii)  the
11    Department   of  Natural  Resources;  (iii)  electric  public
12    utilities; (iv) gas public utilities; (v) combination gas and
13    electric  public  utilities;  (vi)  municipal  utilities  and
14    electric cooperatives;  (vii)  electricity  and  natural  gas
15    marketers;  (viii)  low-income  energy  customers; (ix) local
16    agencies engaged by the Department of Commerce and  Community
17    Affairs  to  assist  in  the  administration  of  the  Energy
18    Assistance  Act  of  1989;  (x) residential energy customers;
19    (xi) commercial energy customers; and (xii) industrial energy
20    customers.
21        (c)  Within 3 months of  its  establishment,  the  Energy
22    Assistance   Program   Design   Group  shall  meet  to  begin
23    consideration of the design and implementation of  an  energy
24    assistance  program  in  Illinois for the period beginning on
25    July 1, 2002 January  1,  2003.   Within  12  months  of  its
26    establishment,  the  Program  Design  Group shall hold public
27    hearings to assist its deliberations.
28        (d)  The Program Design  Group  shall  provide  a  report
29    containing  its recommendations to the General Assembly on or
30    before January 1, 2001 2002.  This report  must  include  the
31    following:
32             (1)  recommendations   on   the   definition  of  an
33        eligible low-income residential customer;
34             (2)  recommendations regarding the  continuation  of
                            -12-          SRS90SB1265JJcham03
 1        the  program  authorized by Section 4 of this Act and the
 2        Supplemental Low-Income Energy Assistance Fund;
 3             (3)  recommendations    on    ensuring    low-income
 4        residential customers have  access  to  essential  energy
 5        services;
 6             (4)  recommendations  on addressing past due amounts
 7        owed to utilities by low-income persons in Illinois;
 8             (5)  demographic and  other  information  (including
 9        household consumption information) necessary to determine
10        the  total  number  of customers eligible for assistance,
11        the  total  number  of  customers  likely  to  apply  for
12        assistance, and funding  estimates  for  any  recommended
13        program;
14             (6)  recommendations   on  appropriate  measures  to
15        encourage   energy    conservation,    efficiency,    and
16        responsibility among low-income residential customers;
17             (7)  any    recommended    changes    to    existing
18        legislation; and
19             (8)  an  estimate  of  the  cost of implementing the
20        Program Design Group's recommendations.
21        (e)  The recommendations adopted by  the  Program  Design
22    Group  shall  be  competitively  neutral  in  their impact on
23    providers in the energy market and shall spread program costs
24    across the broadest possible base.
25        (f)  The Department of  Commerce  and  Community  Affairs
26    shall  hold  public  hearings  on  the recommendations of the
27    Energy Assistance Program Design Group during  calendar  year
28    2001 2002.
29    (Source: P.A. 90-561, eff. 12-16-97.)
30        Section  99.  Effective date.  This Act takes effect upon
31    becoming law.".

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