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92_HB0952 LRB9207144JSpc 1 AN ACT concerning public utilities. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Public Utilities Act is amended by 5 changing Sections 16-102, 16-116, 16-124, and 16-128 and 6 adding Sections 16-115C, 16-115D, and 16-115E as follows: 7 (220 ILCS 5/16-102) 8 Sec. 16-102. Definitions. For the purposes of this 9 Article the following terms shall be defined as set forth in 10 this Section. 11 "Alternative retail electric supplier" means every 12 person, cooperative, corporation, municipal corporation, 13 company, association, joint stock company or association, 14 firm, partnership, individual, or other entity, their 15 lessees, trustees, or receivers appointed by any court 16 whatsoever, that offers electric power or energy for sale, 17 lease or in exchange for other value received to one or more 18 retail customers, or that engages in the delivery or 19 furnishing of electric power or energy to such retail 20 customers, and shall include, without limitation, resellers, 21 aggregators and power marketers, but shall not include (i) 22 electric utilities (or any agent of the electric utility to 23 the extent the electric utility provides tariffed services to 24 retail customers through that agent), (ii) any electric 25 cooperative or municipal system as defined in Section 17-100 26 to the extent that the electric cooperative or municipal 27 system is serving retail customers within any area in which 28 it is or would be entitled to provide service under the law 29 in effect immediately prior to the effective date of this 30 amendatory Act of 1997, (iii) a public utility that is owned 31 and operated by any public institution of higher education of -2- LRB9207144JSpc 1 this State, or a public utility that is owned by such public 2 institution of higher education and operated by any of its 3 lessees or operating agents, within any area in which it is 4 or would be entitled to provide service under the law in 5 effect immediately prior to the effective date of this 6 amendatory Act of 1997, (iv) a retail customer to the extent 7 that customer obtains its electric power and energy from that 8 customer's own cogeneration or self-generation facilities, 9 (v) an entity that owns, operates, sells, or arranges for the 10 installation of a customer's own cogeneration or 11 self-generation facilities, but only to the extent the entity 12 is engaged in owning, selling or arranging for the 13 installation of such facility, or operating the facility on 14 behalf of such customer, provided however that any such third 15 party owner or operator of a facility built after January 1, 16 1999, complies with the labor provisions of Section 16-128(a) 17 as though such third party were an alternative retail 18 electric supplier, or (vi) an industrial or manufacturing 19 customer that owns its own distribution facilities, to the 20 extent that the customer provides service from that 21 distribution system to a third-party contractor located on 22 the customer's premises that is integrally and predominantly 23 engaged in the customer's industrial or manufacturing 24 process; provided, that if the industrial or manufacturing 25 customer has elected delivery services, the customer shall 26 pay transition charges applicable to the electric power and 27 energy consumed by the third-party contractor unless such 28 charges are otherwise paid by the third party contractor, 29 which shall be calculated based on the usage of, and the base 30 rates or the contract rates applicable to, the third-party 31 contractor in accordance with Section 16-102. 32 "Base rates" means the rates for those tariffed services 33 that the electric utility is required to offer pursuant to 34 subsection (a) of Section 16-103 and that were identified in -3- LRB9207144JSpc 1 a rate order for collection of the electric utility's base 2 rate revenue requirement, excluding (i) separate automatic 3 rate adjustment riders then in effect, (ii) special or 4 negotiated contract rates, (iii) delivery services tariffs 5 filed pursuant to Section 16-108, (iv) real-time pricing, or 6 (v) tariffs that were in effect prior to October 1, 1996 and 7 that based charges for services on an index or average of 8 other utilities' charges, but including (vi) any subsequent 9 redesign of such rates for tariffed services that is 10 authorized by the Commission after notice and hearing. 11 "Competitive service" includes (i) any service that has 12 been declared to be competitive pursuant to Section 16-113 of 13 this Act, (ii) contract service, and (iii) services, other 14 than tariffed services, that are related to, but not 15 necessary for, the provision of electric power and energy or 16 delivery services. 17 "Contract service" means (1) services, including the 18 provision of electric power and energy or other services, 19 that are provided by mutual agreement between an electric 20 utility and a retail customer that is located in the electric 21 utility's service area, provided that, delivery services 22 shall not be a contract service until such services are 23 declared competitive pursuant to Section 16-113; and also 24 means (2) the provision of electric power and energy and the 25 provision of the services set forth in the definition of 26 "provider of unbundled delivery services" in this Section by 27 an electric utility to retail customers outside the electric 28 utility's service area pursuant to Section 16-116. Provided, 29 however, contract service does not include electric utility 30 services provided pursuant to (i) contracts that retail 31 customers are required to execute as a condition of receiving 32 tariffed services, or (ii) special or negotiated rate 33 contracts for electric utility services that were entered 34 into between an electric utility and a retail customer prior -4- LRB9207144JSpc 1 to the effective date of this amendatory Act of 1997 and 2 filed with the Commission. 3 "Delivery services" means those services provided by the 4 electric utility that are necessary in order for the 5 transmission and distribution systems to function so that 6 retail customers located in the electric utility's service 7 area can receive electric power and energy from suppliers 8 other than the electric utility, and shall include, without 9 limitation, standard metering and billing services. 10 "Electric utility" means a public utility, as defined in 11 Section 3-105 of this Act, that has a franchise, license, 12 permit or right to furnish or sell electricity to retail 13 customers within a service area. 14 "Mandatory transition period" means the period from the 15 effective date of this amendatory Act of 1997 through January 16 1, 2005. 17 "Provider of unbundled delivery services" means every 18 person, cooperative, corporation, municipal corporation, 19 company, association, joint stock company or association, 20 firm, partnership, individual, or other entity, their 21 lessees, trustees, or receivers appointed by any court 22 whatsoever, that offers to a retail customer for sale, lease, 23 or other value received any metering service other than that 24 excluded by clause (iv) of this definition or unbundled 25 delivery services (other than those delivery services 26 regulated by the Federal Energy Regulatory Commission) that 27 is specified in a Commission order requiring an electric 28 utility to unbundle its delivery services under Section 29 16-108 or 16-109, but the term "provider of unbundled 30 delivery services" shall not include (i) an electric utility 31 (or any agent of the electric utility to the extent the 32 electric utility provides tariffed services to retail 33 customers through that agent) within the utility's service 34 area, (ii) any electric cooperative or municipal system as -5- LRB9207144JSpc 1 defined in Section 17-100 to the extent that the electric 2 cooperative or municipal system is serving retail customers 3 within any area in which it is or would be entitled to 4 provide service under the law in effect immediately prior to 5 December 16, 1997, (iii) a public utility that is owned and 6 operated by any public institution of higher education of 7 this State, or a public utility that is owned by such public 8 institution of higher education and operated by any of its 9 lessees or operating agents, within any area in which it is 10 or would be entitled to provide service under the law in 11 effect immediately prior to December 16, 1997, or (iv) a 12 provider of meter services that installs, provides, or 13 maintains equipment on the premises of a retail customer 14 under circumstances in which no entity other than the retail 15 customer relies on the accuracy, safety, or proper 16 installation and maintenance of the equipment. 17 "Municipal system" shall have the meaning set forth in 18 Section 17-100. 19 "Real-time pricing" means charges for delivered electric 20 power and energy that vary on an hour-to-hour basis for 21 nonresidential retail customers and that vary on a periodic 22 basis during the day for residential retail customers. 23 "Retail customer" means a single entity using electric 24 power or energy at a single premises and that (A) either (i) 25 is receiving or is eligible to receive tariffed services from 26 an electric utility, or (ii) that is served by a municipal 27 system or electric cooperative within any area in which the 28 municipal system or electric cooperative is or would be 29 entitled to provide service under the law in effect 30 immediately prior to the effective date of this amendatory 31 Act of 1997, or (B) an entity which on the effective date of 32 this Act was receiving electric service from a public utility 33 and (i) was engaged in the practice of resale and 34 redistribution of such electricity within a building prior to -6- LRB9207144JSpc 1 January 2, 1957, or (ii) was providing lighting services to 2 tenants in a multi-occupancy building, but only to the extent 3 such resale, redistribution or lighting service is authorized 4 by the electric utility's tariffs that were on file with the 5 Commission on the effective date of this Act. 6 "Service area" means (i) the geographic area within which 7 an electric utility was lawfully entitled to provide electric 8 power and energy to retail customers as of the effective date 9 of this amendatory Act of 1997, and includes (ii) the 10 location of any retail customer to which the electric utility 11 was lawfully providing electric utility services on such 12 effective date. 13 "Small commercial retail customer" means those 14 nonresidential retail customers of an electric utility 15 consuming 15,000 kilowatt-hours or less of electricity 16 annually in its service area. 17 "Tariffed service" means services provided to retail 18 customers by an electric utility as defined by its rates on 19 file with the Commission pursuant to the provisions of 20 Article IX of this Act, but shall not include competitive 21 services. 22 "Transition charge" means a charge expressed in cents per 23 kilowatt-hour that is calculated for a customer or class of 24 customers as follows for each year in which an electric 25 utility is entitled to recover transition charges as provided 26 in Section 16-108: 27 (1) the amount of revenue that an electric utility 28 would receive from the retail customer or customers if it 29 were serving such customers' electric power and energy 30 requirements as a tariffed service based on (A) all of 31 the customers' actual usage during the 3 years ending 90 32 days prior to the date on which such customers were first 33 eligible for delivery services pursuant to Section 34 16-104, and (B) on (i) the base rates in effect on -7- LRB9207144JSpc 1 October 1, 1996 (adjusted for the reductions required by 2 subsection (b) of Section 16-111, for any reduction 3 resulting from a rate decrease under Section 16-101(b), 4 for any restatement of base rates made in conjunction 5 with an elimination of the fuel adjustment clause 6 pursuant to subsection (b), (d), or (f) of Section 9-220 7 and for any removal of decommissioning costs from base 8 rates pursuant to Section 16-114) and any separate 9 automatic rate adjustment riders (other than a 10 decommissioning rate as defined in Section 16-114) under 11 which the customers were receiving or, had they been 12 customers, would have received electric power and energy 13 from the electric utility during the year immediately 14 preceding the date on which such customers were first 15 eligible for delivery service pursuant to Section 16-104, 16 or (ii) to the extent applicable, any contract rates, 17 including contracts or rates for consolidated or 18 aggregated billing, under which such customers were 19 receiving electric power and energy from the electric 20 utility during such year; 21 (2) less the amount of revenue, other than revenue 22 from transition charges and decommissioning rates, that 23 the electric utility would receive from such retail 24 customers for delivery services provided by the electric 25 utility, assuming such customers were taking delivery 26 services for all of their usage, based on the delivery 27 services tariffs in effect during the year for which the 28 transition charge is being calculated and on the usage 29 identified in paragraph (1); 30 (3) less the market value for the electric power 31 and energy that the electric utility would have used to 32 supply all of such customers' electric power and energy 33 requirements, as a tariffed service, based on the usage 34 identified in paragraph (1), with such market value -8- LRB9207144JSpc 1 determined in accordance with Section 16-112 of this Act; 2 (4) less the following amount which represents the 3 amount to be attributed to new revenue sources and cost 4 reductions by the electric utility through the end of the 5 period for which transition costs are recovered pursuant 6 to Section 16-108, referred to in this Article XVI as a 7 "mitigation factor": 8 (A) for nonresidential retail customers, an 9 amount equal to the greater of (i) 0.5 cents per 10 kilowatt-hour during the period October 1, 1999 11 through December 31, 2004, 0.6 cents per 12 kilowatt-hour in calendar year 2005, and 0.9 cents 13 per kilowatt-hour in calendar year 2006, multiplied 14 in each year by the usage identified in paragraph 15 (1), or (ii) an amount equal to the following 16 percentages of the amount produced by applying the 17 applicable base rates (adjusted as described in 18 subparagraph (1)(B)) or contract rate to the usage 19 identified in paragraph (1): 8% for the period 20 October 1, 1999 through December 31, 2002, 10% in 21 calendar years 2003 and 2004, 11% in calendar year 22 2005 and 12% in calendar year 2006; and 23 (B) for residential retail customers, an 24 amount equal to the following percentages of the 25 amount produced by applying the base rates in effect 26 on October 1, 1996 (adjusted as described in 27 subparagraph (1)(B)) to the usage identified in 28 paragraph (1): (i) 6% from May 1, 2002 through 29 December 31, 2002, (ii) 7% in calendar years 2003 30 and 2004, (iii) 8% in calendar year 2005, and (iv) 31 10% in calendar year 2006; 32 (5) divided by the usage of such customers 33 identified in paragraph (1), 34 provided that the transition charge shall never be less than -9- LRB9207144JSpc 1 zero. 2 "Unbundled service" means a component or constituent part 3 of a tariffed service which the electric utility subsequently 4 offers separately to its customers. 5 (Source: P.A. 90-561, eff. 12-16-97; 91-50, eff. 6-30-99.) 6 (220 ILCS 5/16-115C new) 7 Sec. 16-115C. Obligations and certification of providers 8 of unbundled delivery services. 9 (a) Any provider of unbundled delivery services must 10 obtain a certificate of service authority from the Commission 11 in accordance with this Section before providing the services 12 identified in the definition of "provider of unbundled 13 delivery services" in Section 16-102. 14 (b) A provider of unbundled delivery services seeking a 15 certificate of service authority shall file with the 16 Commission a verified application containing information 17 showing that the applicant meets the requirements of this 18 Section. The provider of unbundled delivery services shall 19 publish notice of its application in the official State 20 newspaper within 10 days following the date of its filing. 21 No later than 45 days after the application is properly filed 22 with the Commission, and such notice is published, the 23 Commission shall issue its order granting or denying the 24 application. 25 (c) The Commission shall grant the application for a 26 certificate of service authority if it makes the findings set 27 forth in this subsection based on the verified application 28 and such other information as the applicant may submit: 29 (1) that the applicant possesses sufficient 30 technical, financial, and managerial resources and 31 abilities to provide the service for which it seeks a 32 certificate of service authority. In determining the 33 level of technical, financial, and managerial resources -10- LRB9207144JSpc 1 and abilities which the applicant must demonstrate, the 2 Commission shall consider the characteristics, including 3 the size and financial sophistication, of the customers 4 that the applicant seeks to serve; 5 (2) that the applicant will comply with all 6 applicable federal, State, regional, and industry rules, 7 policies, practices, and procedures for the use, 8 operation, and maintenance of the safety, integrity, and 9 reliability of the inter-connected electric delivery 10 system; 11 (3) that the applicant will only provide service to 12 retail customers in an electric utility's service area 13 that are taking delivery services under this Act; 14 (4) that the applicant will comply with such 15 informational, testing, accuracy, and reporting 16 requirements as the Commission may by rule establish; 17 (5) that the applicant will comply with the 18 provisions of Section 16-128 of this Act; and 19 (6) that the applicant will comply with all other 20 applicable laws and rules. 21 (d) The Commission shall have the authority to 22 promulgate rules to carry out the provisions of this Section. 23 (220 ILCS 5/16-115D new) 24 Sec. 16-115D. Obligations of providers of unbundled 25 delivery services. 26 (a) A provider of unbundled delivery services shall: 27 (1) comply with the requirements imposed on public 28 utilities by Sections 8-201 through 8-207, 8-301, 8-302, 29 8-303, 8-305, 8-505, and 8-507 of this Act, to the extent 30 that these Sections have application to the services 31 being offered by the provider of unbundled delivery 32 services; and 33 (2) continue to comply with the requirements for -11- LRB9207144JSpc 1 certification stated in subsection (c) of Section 2 16-115C. 3 (b) A provider of unbundled delivery services shall 4 obtain verifiable authorization from a customer, in a form or 5 manner approved by the Commission in the manner provided by 6 Section 2EE of the Consumer Fraud and Deceptive Business 7 Practices Act, before the customer is switched from another 8 provider. 9 (220 ILCS 5/16-115E new) 10 Sec. 16-115E. Commission oversight of services provided 11 by providers of unbundled delivery services. 12 (a) The Commission shall have jurisdiction in accordance 13 with the provisions of Article X of this Act to entertain and 14 dispose of any complaint against any provider of unbundled 15 delivery services alleging (i) that the provider of unbundled 16 delivery services has violated or is in nonconformance with 17 any applicable provisions of Section 16-115C through Section 18 16-115D; (ii) that a provider of unbundled delivery services 19 serving retail customers having maximum demands of less than 20 one megawatt has failed to provide service in accordance with 21 the terms of its contract or contracts with such customer or 22 customers; (iii) that the provider of unbundled delivery 23 services has violated or is in non-conformance with the 24 delivery services tariff of, or any of its agreements 25 relating to delivery services with, the electric utility, 26 municipal system, or electric cooperative providing delivery 27 services; or (iv) that the provider of unbundled delivery 28 services has violated or failed to comply with the 29 requirements of Sections 8-201 through 8-207, 8-301, 8-302, 30 8-303, 8-305, 8-505, or 8-507 of this Act as made applicable 31 to providers of unbundled delivery services. 32 (b) The Commission shall have authority, after notice 33 and hearing held on complaint or on the Commission's own -12- LRB9207144JSpc 1 motion: 2 (1) to order a provider of unbundled delivery 3 services to cease and desist, or correct, any violation 4 of or non-conformance with the provisions of Section 5 16-115C or Section 16-115D; 6 (2) to impose financial penalties for violations of 7 or non-conformances with the provisions of Section 8 16-115C or Section 16-115D, not to exceed (i) $10,000 per 9 occurrence or (ii) $30,000 per day for those violations 10 or non-conformances which continue after the Commission 11 issues a cease-and-desist order; and 12 (3) to alter, modify, revoke, or suspend the 13 certificate of service authority of a provider of 14 unbundled delivery services for substantial or repeated 15 violations of or non-conformances with the provisions of 16 Section 16-115C or Section 16-115D. 17 (220 ILCS 5/16-116) 18 Sec. 16-116. Commission oversight of electric utilities 19 serving retail customers outside their service areas or 20 providing competitive, non-tariffed services. 21 (a) An electric utility that has a tariff on file for 22 delivery services may, without regard to any otherwise 23 applicable tariffs on file, provide electric power and energy 24 or services as described in the definition of "provider of 25 unbundled delivery services" in Section 16-102 to one or more 26 retail customers located outside its service area, but only 27 to the extent (i) such retail customer (A) is eligible for 28 delivery services under any delivery services tariff filed 29 with the Commission by the electric utility in whose service 30 area the retail customer is located and (B) has either 31 elected to take such delivery services or has paid or 32 contracted to pay the charges specified in Sections 16-108 33 and 16-114, or (ii) if such retail customer is served by a -13- LRB9207144JSpc 1 municipal system or electric cooperative, the customer is 2 eligible for delivery services under the terms and conditions 3 for such service established by the municipal system or 4 electric cooperative serving that customer. 5 (b) An electric utility may offer any competitive 6 service to any customer or group of customers without filing 7 contracts with or seeking approval of the Commission, 8 notwithstanding any rule or regulation that would require 9 such approval. The Commission shall not increase or decrease 10 the prices, and may not alter or add to the terms and 11 conditions for the utility's competitive services, from those 12 agreed to by the electric utility and the customer or 13 customers. Non-tariffed, competitive services shall not be 14 subject to the provisions of the Electric Supplier Act or to 15 Articles V, VII, VIII or IX of the Act, except to the extent 16 that any provisions of such Articles are made applicable to 17 alternative retail electric suppliers pursuant to Sections 18 16-115 and 16-115A, but shall be subject to the provisions of 19 subsections (b) through (g) of Section 16-115A, and Section 20 16-115B to the same extent such provisions are applicable to 21 the services provided by alternative retail electric 22 suppliers. Non-tariffed, competitive services related to the 23 provision of meter services and unbundled delivery services 24 shall not be subject to the provisions of the Electric 25 Supplier Act or to Articles V, VII, VIII, or IX of this Act, 26 except to the extent that any provisions of such Articles are 27 made applicable to providers of unbundled delivery services 28 pursuant to Sections 16-115C and 16-115D, but shall be 29 subject to the provisions of Section 16-115D and Section 30 16-115E. 31 (Source: P.A. 90-561, eff. 12-16-97.) 32 (220 ILCS 5/16-124) 33 Sec. 16-124. Metering for residential and small -14- LRB9207144JSpc 1 commercial retail customers. An electric utility shall not 2 require a residential or small commercial retail customer to 3 take additional metering or metering capability as a 4 condition of taking delivery services unless the Commission 5 finds, after notice and hearing, that additional metering or 6 metering capability is required to meet reliability 7 requirements. Alternative retail electric suppliers serving 8 such customers may provide such additional metering or 9 metering capability at their own expense or for value 10 received if the alternative retail electric supplier has 11 obtained a certificate of service authority under Section 12 16-115C, or take such additional metering or metering 13 capability as a tariffed service from the utility in whose 14 service area such customers take serviceas a tariffed15service, or take such additional metering service or metering 16 capability from an electric utility other than the utility in 17 whose service area such customers take service, or from a 18 provider of unbundled delivery services. Any additional 19 metering requirements shall be imposed in a nondiscriminatory 20 manner. Nothing in this subsection shall be construed to 21 prevent the normal maintenance, replacement or upgrade of 22 meters as required to comply with Commission rules. 23 (Source: P.A. 90-561, eff. 12-16-97.) 24 (220 ILCS 5/16-128) 25 Sec. 16-128. Provisions related to utility employees 26 during the mandatory transition period. 27 (a) The General Assembly finds: 28 (1) The reliability and safety of the electric 29 system has depended on a workforce of skilled and 30 dedicated employees, equipped with technical training and 31 experience. 32 (2) The integrity and reliability of the system has 33 also depended on the industry's commitment to invest in -15- LRB9207144JSpc 1 regular inspection and maintenance, to assure that it can 2 withstand the demands of heavy service requirements and 3 emergency situations. 4 (3) It is in the State's interest to protect the 5 interests of utility employees who have dedicated 6 themselves to assuring reliable service to the citizens 7 of this State, and who might otherwise be economically 8 displaced in a restructured industry. 9 The General Assembly further finds that it is necessary 10 to assure that employees operating in the deregulated 11 industry have the requisite skills, knowledge, and competence 12 to provide reliable and safe electrical service and therefore 13 that alternative retail electric suppliers shall be required 14 to demonstrate the competence of their employees to work in 15 the industry. 16 The knowledge, skill, and competence levels to be 17 demonstrated shall be consistent with those generally 18 required of or by the electric utilities in this State with 19 respect to their employees. 20 Adequate demonstration of requisite knowledge, skill and 21 competence shall include such factors as completion by the 22 employee of an accredited or otherwise recognized 23 apprenticeship program for the particular craft, trade or 24 skill, or specified years of employment with an electric 25 utility performing a particular work function. 26 To implement this requirement, the Commission, in 27 determining that an applicant meets the standards for 28 certification as an alternative retail electric supplier or 29 provider of unbundled delivery services, shall require the 30 applicant to demonstrate (i) that the applicant is licensed 31 to do business, and bonded, in the State of Illinois; and 32 (ii) that the employees of the applicant that will be 33 installing, operating, and maintaining generation, 34 transmission,ordistribution, or metering facilities within -16- LRB9207144JSpc 1 this State, or any entity with which the applicant has 2 contracted to perform those functions within this State, have 3 the requisite knowledge, skills, and competence to perform 4 those functions in a safe and responsible manner in order to 5 provide safe and reliable service, in accordance with the 6 criteria stated above. 7 (b) The General Assembly finds, based on experience in 8 other industries that have undergone similar transitions, 9 that the introduction of competition into the State's 10 electric utility industry may result in workforce reductions 11 by electric utilities which may adversely affect persons who 12 have been employed by this State's electric utilities in 13 functions important to the public convenience and welfare. 14 The General Assembly further finds that the impacts on 15 employees and their communities of any necessary reductions 16 in the utility workforce directly caused by this 17 restructuring of the electric industry shall be mitigated to 18 the extent practicable through such means as offers of 19 voluntary severance, retraining, early retirement, 20 outplacement and related benefits. Therefore, before any such 21 reduction in the workforce during the transition period, an 22 electric utility shall present to its employees or their 23 representatives a workforce reduction plan outlining the 24 means by which the electric utility intends to mitigate the 25 impact of such workforce reduction on its employees. 26 (c) In the event of a sale, purchase, or any other 27 transfer of ownership during the mandatory transition period 28 of one or more Illinois divisions or business units, and/or 29 generating stations or generating units, of an electric 30 utility, the electric utility's contract and/or agreements 31 with the acquiring entity or persons shall require that the 32 entity or persons hire a sufficient number of non-supervisory 33 employees to operate and maintain the station, division or 34 unit by initially making offers of employment to the -17- LRB9207144JSpc 1 non-supervisory workforce of the electric utility's division, 2 business unit, generating station and/or generating unit at 3 no less than the wage rates, and substantially equivalent 4 fringe benefits and terms and conditions of employment that 5 are in effect at the time of transfer of ownership of said 6 division, business unit, generating station, and/or 7 generating units; and said wage rates and substantially 8 equivalent fringe benefits and terms and conditions of 9 employment shall continue for at least 30 months from the 10 time of said transfer of ownership unless the parties 11 mutually agree to different terms and conditions of 12 employment within that 30-month period. The utility shall 13 offer a transition plan to those employees who are not 14 offered jobs by the acquiring entity because that entity has 15 a need for fewer workers. If there is litigation concerning 16 the sale, or other transfer of ownership of the electric 17 utility's divisions, business units, generating station, or 18 generating units, the 30-month period will begin on the date 19 the acquiring entity or persons take control or management of 20 the divisions, business units, generating station or 21 generating units of the electric utility. 22 (d) If a utility transfers ownership during the 23 mandatory transition period of one or more Illinois 24 divisions, business units, generating stations or generating 25 units of an electric utility to a majority-owned subsidiary, 26 that subsidiary shall continue to employ the utility's 27 employees who were employed by the utility at such division, 28 business unit or generating station at the time of the 29 transfer under the same terms and conditions of employment as 30 those employees enjoyed at the time of the transfer. If 31 ownership of the subsidiary is subsequently sold or 32 transferred to a third party during the transition period, 33 the transition provisions outlined in subsection (c) shall 34 apply. -18- LRB9207144JSpc 1 (e) The plant transfer provisions set forth above shall 2 not apply to any generating station which was the subject of 3 a sales agreement entered into before January 1, 1997. 4 (Source: P.A. 90-561, eff. 12-16-97.) 5 Section 99. Effective date. This Act takes effect upon 6 becoming law.