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92_SB2235 LRB9215298WHcsA 1 AN ACT concerning energy. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The Energy Assistance Act of 1989 is amended 5 by changing Sections 1, 2, 4, 5, 6, 7, 8, and 13 as follows: 6 (305 ILCS 20/1) (from Ch. 111 2/3, par. 1401) 7 Sec. 1. Short Title. This Act shall be known and may be 8 cited as the"Energy Assistance Actof 1989". 9 (Source: P.A. 86-127.) 10 (305 ILCS 20/2) (from Ch. 111 2/3, par. 1402) 11 Sec. 2. Findings and Intent. 12 (a) The General Assembly finds that: 13 (1) the health, welfare, and prosperity of the 14 people of the State of Illinois require that all citizens 15 have access toreceiveessential levels of heat and 16 electric service regardless of economic circumstance; 17 (2) public utilities and other entities providing 18 such services are entitled to receive proper payment for 19 services actually rendered; 20 (3) declining Federal low income energy assistance 21 funding necessitates a State response to ensure the 22 continuity and the further development of energy 23 assistance and related policies and programs within 24 Illinois; and 25 (4) energy assistance policies and programs in 26 effect in Illinois during the past 3 years have benefited 27 all Illinois citizens, and should therefore be continued 28 with the modifications provided herein. 29 (b) Consistent with its findings, the General Assembly 30 declares that it is the policy of the State that: -2- LRB9215298WHcsA 1 (1) a comprehensive low income energy assistance 2 policy and program should be established which 3 incorporates income assistance, home weatherization, and 4 other measures to assistensure thatcitizens to obtain 5haveaccess to affordable energy services; 6 (2) the ability of public utilities and other 7 entities to receive just compensation for providing 8 services should not be jeopardized by this policy; 9 (3) resources applied in achieving this policy 10 should be coordinated and efficiently utilized through 11 the integration of public programs and through the 12 targeting of assistance; and 13 (4) the State should utilize all appropriate and 14 available means to fund this program and, to the extent 15 possible, should identify and utilize sources of funding 16 which complement State tax revenues. 17 (Source: P.A. 86-127.) 18 (305 ILCS 20/4) (from Ch. 111 2/3, par. 1404) 19 Sec. 4. Energy Assistance Program. 20 (a) The Department of Commerce and Community Affairs is 21 hereby authorized to institute a program to promoteensure22 the availability and affordability of heating and electric 23 service to low income citizens. The Department shall 24 implement the program by rule promulgated pursuant to The 25 Illinois Administrative Procedure Act. The program shall be 26 consistent with the purposes and objectives of this Act and 27 with all other specific requirements provided herein. The 28 Departmentshall ensure that the program is in operation by29November 1, 1989, andmay enter into such contracts and other 30 agreements with local agencies as may be necessary for the 31 purpose of administering the energy assistance program. 32 (b) Nothing in this Act shall be construed as altering 33 or limiting the authority conferred on the Illinois Commerce -3- LRB9215298WHcsA 1 Commission by the Public Utilities Act to regulate all 2 aspects of the provision of public utility service, including 3 but not limited to the authority to make rules and adjudicate 4 disputes between utilities and customers related to 5 eligibility for utility service, deposits, payment practices, 6 discontinuance of service, and the treatment of arrearages 7 owing for previously rendered utility service. 8 (Source: P.A. 86-127.) 9 (305 ILCS 20/5) (from Ch. 111 2/3, par. 1405) 10 Sec. 5. Policy Advisory Council. 11 (a) Within the Department of Commerce and Community 12 Affairs is created a Low Income Energy Assistance Policy 13 Advisory Council. 14 (b) The Council shall be chaired by the Director of 15 Commerce and Community Affairs or his or her designee. There 16 shall be 15 members of the Low Income Energy Assistance 17 Policy Advisory Council, including the chairperson and the 18 following members: 19 (1) one member designated by the Illinois Commerce 20 Commission; 21 (2) one member designated by the Illinois 22 Department of Natural Resources; 23 (3) one member designated by the Illinois Energy 24 Association to represent electric public utilities 25 serving in excess of 1 million customers in this State; 26 (4) one member agreed upon by gas public utilities 27 that serve more than 500,000 customers in this State; 28 (5) one member designated by the Illinois Energy 29 Association to represent combination gas and electric 30 public utilities; 31 (6) one member agreed upon by the Illinois 32 Municipal Electric Agency and the Association of Illinois 33 Electric Cooperatives; -4- LRB9215298WHcsA 1 (7) one member agreed upon by the Illinois 2 Industrial Energy Consumers; 3 (8) two members designated by the Department to 4 represent low income energy consumers; 5 (9) two members designated by the Illinois 6 Community Action Association to represent local agencies 7 that assist in the administration of this Act; 8 (10) one member designated by the Citizens Utility 9 Board to represent residential energy consumers; 10 (11) one member designated by the Illinois Retail 11 Merchants Association to represent commercial energy 12 customers and; 13 (12) one member designated by the Department to 14 represent independent energy providers. 15 (c) Designated and appointed members shall serve 2 year 16 terms and until their successors are appointed and qualified. 17 The designating organization shall notify the chairperson of 18 any changes or substitutions of a designee within 10 business 19 days of a change or substitution. Members shall serve without 20 compensation, but may receive reimbursement for actual costs 21 incurred in fulfilling their duties as members of the 22 Council. 23 (d) The Council shall have the following duties: 24 (1) to monitor the administration of this Act to 25 ensure effective, efficient, and coordinated program 26 development and implementation; 27 (2) to assist the Department in developing and 28 administering rules and regulations required to be 29 promulgated pursuant to this Act in a manner consistent 30 with the purpose and objectives of this Act; 31 (3) to facilitate and coordinate the collection and 32 exchange of all program data and other information needed 33 by the Department and others in fulfilling their duties 34 pursuant to this Act; -5- LRB9215298WHcsA 1 (4) to advise the Department on the proper level of 2 support required for effective administration of the Act; 3 (5) to provide a written opinion concerning any 4 regulation proposed pursuant to this Act, and to review 5 and comment on any energy assistance or related plan 6 required to be prepared by the Department; 7 (6) to advise the Department on the use of funds 8 collected pursuant to Section 11 of this Act, and on any 9 changes to existing low income energy assistance programs 10 to make effective use of such funds, so long as such uses 11 and changes are consistent with the requirements of the 12 Act.Policy Advisory Council to be comprised of:13(1) the following ex officio members or their14designees: the Director of Commerce and Community15Affairs who shall serve as Chair of the Committee, the16Director of Natural Resources, the Secretary of Human17Services, and the Chairman of the Illinois Commerce18Commission; and19(2) 9 persons who shall be appointed by the20Governor to serve 2 year terms and until their successors21are appointed and qualified, 3 of whom shall be persons22who represent low income households or organizations23which represent such households, 3 of whom shall be24representatives of public utilities or other entities25which provide winter energy services, and 3 of whom shall26be representatives of local agencies engaged by the27Department to assist in the administration of this Act.28(3) 6 persons who shall be appointed by the29Director of the Department of Commerce and Community30Affairs to serve 2 year terms and until their successors31are appointed and qualified, who shall be persons meeting32such qualifications as may be required by the federal33government for the administration of the Weatherization34Assistance Program funded by the U.S. Department of-6- LRB9215298WHcsA 1Energy and any such related energy assistance programs.2(4) Members shall serve without compensation, but3may receive reimbursement for actual costs incurred in4fulfilling their duties as members of the Council.5(b) The Policy Advisory Council shall have the following6duties:7(1) to monitor the administration of this Act to8ensure effective, efficient, and coordinated program9development and implementation;10(2) to assist the Department in developing and11administering rules and regulations required to be12promulgated pursuant to this Act in a manner consistent13with the purpose and objectives of this Act;14(3) to facilitate and coordinate the collection and15exchange of all program data and other information needed16by the Department and others in fulfilling their duties17pursuant to this Act;18(4) to advise the Department on the proper level of19support required for effective administration of the Act;20(5) to provide a written opinion concerning any21regulation proposed pursuant to this Act, and to review22and comment on any energy assistance or related plan23required to be prepared by the Department;24(6) on or before March 1 of each year beginning in251990, to prepare and submit a report to the Governor and26General Assembly which describes the activities of the27Department in the development and implementation of28energy assistance and related policies and programs,29which characterizes progress towards meeting the30objectives and requirements of this Act, and which31recommends any statutory changes which might be needed to32further such progress. The report submitted in 199133shall include an analysis of and recommendations34regarding this Act's provisions concerning State payment-7- LRB9215298WHcsA 1of pre-program arrearages; and2(7) to advise the Department on the use of funds3collected pursuant to Section 13 of this Act, and on any4changes to existing low-income energy assistance programs5to make effective use of such funds, so long as such uses6and changes are consistent with the requirements of7subsection (a) of Section 13 of this Act.8 (Source: P.A. 89-445, eff. 2-7-96; 89-507, eff. 7-1-97; 9 90-561, eff. 12-16-97.) 10 (305 ILCS 20/6) (from Ch. 111 2/3, par. 1406) 11 Sec. 6. Eligibility, Conditions of Participation, and 12 Energy Assistance. 13 (a) Any person who is a resident of the State of 14 Illinois and whose household income is not greater than an 15 amount determined annually by the Department, in consultation 16 with the Policy Advisory Council, may apply for assistance 17 pursuant to this Act in accordance with regulations 18 promulgated by the Department. In setting the annual 19 eligibility level, the Department shall consider the amount 20 of available funding and may not set a limit higher than 150% 21 of the federal nonfarm poverty level as established by the 22 federal Office of Management and Budget. 23 (b) Applicants who qualify for assistance pursuant to 24 subsection (a) of this Section shall, subject to 25 appropriation from the General Assembly and subject to 26 availability of funds to the Department, receive energy 27 assistance as provided by this Act. The Department, upon 28 receipt of monies authorized pursuant to this Act for energy 29 assistance, shall commit funds for each qualified applicant 30 in an amount determined by the Department. In determining 31 the amounts of assistance to be provided to or on behalf of a 32 qualified applicant, the Department shall ensure that the 33 highest amounts of assistance go to households with the -8- LRB9215298WHcsA 1 greatest energy costs in relation to household income. The 2 Department shall include factors such as energy costs, 3 household size, household income, and region of the State 4 when determining individual household benefits. In setting 5 assistance levels, the Department shall attempt to provide 6 assistance to approximately the same number of households who 7 participated in the 1991 Residential Energy Assistance 8 Partnership Program. Such assistance levels shall be 9 adjusted annually on the basis of funding availability and 10 energy costs. In promulgating rules for the administration 11 of this Section the Department shall assure that a minimum of 12 1/3 of funds available for benefits to eligible households 13 with the lowest incomesare made available to households who14are eligible for public assistanceand that elderly and 15 disabled households are offered a priorityone-month16 application period. 17 (c) If the applicant is not a customer of an energy 18 provider for winter energy services or an applicant for such 19 service, such applicant shall receive a direct energy 20 assistance payment in an amount established by the Department 21 for all such applicants under this Act; provided, however, 22 that such an applicant must have rental expenses for housing 23 greater than 30% of household income. 24 (d) If the applicant is a customer of an energy 25 provider, such applicant shall receive energy assistance in 26 an amount established by the Department for all such 27 applicants under this Act, such amount to be paid by the 28 Department to the energy provider supplying winter energy 29 service to such applicant. Such applicant shall: 30 (i) make all reasonable efforts to apply to any 31 other appropriate source of public energy assistance; and 32 (ii) sign a waiver permitting the Department to 33 receive income information from any public or private 34 agency providing income or energy assistance and from any -9- LRB9215298WHcsA 1 employer, whether public or private. 2 (e) Any qualified applicant pursuant to this Section may 3 receive or have paid on such applicant's behalf an emergency 4 assistance payment to enable such applicant to obtain access 5 to winter energy services. Any such payments shall be made 6 in accordance with regulations of the Department. 7 (f) The Department may, if sufficient funds are 8 available, provide additional benefits to certain qualified 9 applicants: 10 (i) for the reduction of past due amounts owed to 11 energy providers and 12 (ii) to assist the household respond to excessively 13 high summer temperatures or energy costs. Households 14 containing elderly members, children, a person with a 15 disability, or a person with a medical need for 16 conditioned air shall receive priority for receipt of 17 such benefits. 18 (Source: P.A. 91-936, eff. 1-10-01.) 19 (305 ILCS 20/7) (from Ch. 111 2/3, par. 1407) 20 Sec. 7. State Weatherization Plan and Program. 21 (a) The Department shall, after consultation with the 22 Policy Advisory Council, prepare and promulgate an annual 23 State Weatherization Plan beginning in the year this Act 24 becomes effective. To the extent practicable, such Plan 25 shall provide for targeting use of both State and federal 26 weatherization funds to the households of eligible applicants 27 pursuant to this Act whose ratios of energy costs to income 28 are the highest. The State Weatherization Plan shall include 29 but need not be limited to the following: 30 (1) a description of the demographic 31 characteristics and energy use patterns of people 32 eligible for assistance pursuant to this Act; 33 (2) the methodology used by the Department in -10- LRB9215298WHcsA 1 targeting weatherization funds; 2 (3) a description of anticipated activity and 3 results for the year covered by the Plan, including an 4 estimate of energy cost savings expected to be realized 5 by the weatherization program; and 6 (4) every third year, beginning in 2002, an 7 evaluation of results from the weatherization program in 8 the year preceding the plan year, including the effect of 9 State Weatherization Program investments on energy 10 consumption and cost in the population eligible for 11 assistance pursuant to this Act, and the effect of 12 targeted weatherization investments on the costs of the 13 energy assistance program authorized by this Act. 14 (b) The Department shall implement the State 15 Weatherization Plan by rule through a program which provides 16 targeted weatherization assistance to eligible applicants for 17 energy assistance pursuant to this Act. The Department may 18 enter into such contracts and other arrangements with local 19 agencies as may be necessary for the purpose of administering 20 the weatherization program. 21 (Source: P.A. 86-127; 87-14.) 22 (305 ILCS 20/8) (from Ch. 111 2/3, par. 1408) 23 Sec. 8. ProgramEvaluationReports. 24 (a) The Department of Natural Resources shall prepare 25 and submit to the Governor and the General Assembly reports 26 on September 30 bienniallyMarch 15 of each year, beginning 27 in 20031991, evaluating the effectiveness of the energy 28 assistance and weatherization policies authorized by this 29 Act. The first report shall cover such effects during the 30 first winter during which the program authorized by this Act, 31 is in operation, and successive reports shall cover effects 32 since the issuance of the preceding report. 33 (1)(b)Reports issued pursuant to this Section -11- LRB9215298WHcsA 1 shall be limited to, information concerning the effects 2 of the policies authorized by this Act on (1) the ability 3 of eligible applicants to obtain and maintain adequate 4 and affordable winter energy services and (2) changes in 5 the costs and prices of winter energy services for people 6 who do not receive energy assistance pursuant to this 7 Act. 8 (2)(c)The Department of Natural Resources shall 9 by September 30, 2002, in consultation with the Policy 10 Advisory Council, determine the kinds of numerical and 11 other information needed to conduct the evaluations 12 required by this Section, and shall advise the Policy 13 Advisory Council of such information needs in a timely 14 manner. The Department of Commerce and Community 15 Affairs, the Department of Human Services, and the 16 Illinois Commerce Commission shall each provide such 17 information as the Department of Natural Resources may 18 require to ensure that the evaluation reporting 19 requirement established by this Section can be met. 20 (b) On or before December 31, 2002, 2004, 2006, and 21 2007, the Department shall prepare a report for the General 22 Assembly on the expenditure of funds appropriated for the 23 programs authorized under this Act. 24 (c) On or before December 31 of each year in 2004, 2006, 25 and 2007, the Department shall in consultation with the 26 Council, prepare and submit evaluation reports to the 27 Governor and the General Assembly outlining the effects of 28 the program designed under this Act on the following as it 29 relates to the propriety of continuing the program: 30 (1) the definition of an eligible low income 31 residential customer; 32 (2) access of low income residential customers to 33 essential energy services; 34 (3) past due amounts owed to utilities by low -12- LRB9215298WHcsA 1 income persons in Illinois; 2 (4) appropriate measures to encourage energy 3 conservation, efficiency, and responsibility among low 4 income residential customers; 5 (5) the activities of the Department in the 6 development and implementation of energy assistance and 7 related policies and programs, which characterizes 8 progress toward meeting the objectives and requirements 9 of this Act, and which recommends any statutory changes 10 which might be needed to further such progress. 11 (d) The Department shall by September 30, 2002 in 12 consultation with the Council determine the kinds of 13 numerical and other information needed to conduct the 14 evaluations required by this Section. 15 (e)(d)The Illinois Commerce Commission shall require 16 each public utility providing heating or electric service to 17 compile and submit any numerical and other information needed 18 by the Department of Natural Resources to meet its reporting 19 obligations. 20 (Source: P.A. 89-445, eff. 2-7-96; 89-507, eff. 7-1-97.) 21 (305 ILCS 20/13) 22 Sec. 13. Supplemental Low-Income Energy Assistance Fund. 23 (a) The Supplemental Low-Income Energy Assistance Fund 24 is hereby created as a special fund in the State Treasury. 25 The Supplemental Low-Income Energy Assistance Fund is 26 authorized to receive, by statutory deposit, the moneys 27 collected pursuant to this Section. Subject to 28 appropriation, the Department shall use moneys from the 29 Supplemental Low-Income Energy Assistance Fund for payments 30 to electric or gas public utilities, municipal electric or 31 gas utilities, and electric cooperatives on behalf of their 32 customers who are participants in the program authorized by 33 Section 4 of this Act, for the provision of weatherization -13- LRB9215298WHcsA 1 services and for administration of the Supplemental 2 Low-Income Energy Assistance Fund. The yearly expenditures 3 for weatherization may not exceed 10% of the amount collected 4 during the year pursuant to this Section.In determining5which customers will participate in the weatherization6component, the Department shall target weatherization for7those customers with the greatest energy burden, that is the8lowest income and greatest utility bills.The yearly 9 administrative expenses of the Supplemental Low-Income Energy 10 Assistance Fund may not exceed 10% of the amount collected 11 during that year pursuant to this Section. 12 (b) Notwithstanding the provisions of Section 16-111 of 13 the Public Utilities Act but subject to subsection (k) of 14 this Section, each public utility, electric cooperative, as 15 defined in Section 3.4 of the Electric Supplier Act, and 16 municipal utility, as referenced in Section 3-105 of the 17 Public Utilities Act, that is engaged in the delivery of 18 electricity or the distribution of natural gas within the 19 State of Illinois shall, effective January 1, 1998, assess 20 each of its customer accounts a monthly Energy Assistance 21 Charge for the Supplemental Low-Income Energy Assistance 22 Fund. The delivering public utility, municipal electric or 23 gas utility, or electric or gas cooperative for a 24 self-assessing purchaser remains subject to the collection of 25 the fee imposed by this Section. The monthly charge shall be 26 as follows: 27 (1) $0.40 per month on each account for residential 28 electric service; 29 (2) $0.40 per month on each account for residential 30 gas service; 31 (3) $4 per month on each account for 32 non-residential electric service which had less than 10 33 megawatts of peak demand during the previous calendar 34 year; -14- LRB9215298WHcsA 1 (4) $4 per month on each account for 2 non-residential gas service which had distributed to it 3 less than 4,000,000 therms of gas during the previous 4 calendar year; 5 (5) $300 per month on each account for 6 non-residential electric service which had 10 megawatts 7 or greater of peak demand during the previous calendar 8 year; and 9 (6) $300 per month on each account for 10 non-residential gas service which had 4,000,000 or more 11 therms of gas distributed to it during the previous 12 calendar year. 13 (c) For purposes of this Section: 14 (1) "residential electric service" means electric 15 utility service for household purposes delivered to a 16 dwelling of 2 or fewer units which is billed under a 17 residential rate, or electric utility service for 18 household purposes delivered to a dwelling unit or units 19 which is billed under a residential rate and is 20 registered by a separate meter for each dwelling unit; 21 (2) "residential gas service" means gas utility 22 service for household purposes distributed to a dwelling 23 of 2 or fewer units which is billed under a residential 24 rate, or gas utility service for household purposes 25 distributed to a dwelling unit or units which is billed 26 under a residential rate and is registered by a separate 27 meter for each dwelling unit; 28 (3) "non-residential electric service" means 29 electric utility service which is not residential 30 electric service; and 31 (4) "non-residential gas service" means gas utility 32 service which is not residential gas service. 33 (d) At least 45 days prior to the date on which it must 34 begin assessing Energy Assistance Charges, each public -15- LRB9215298WHcsA 1 utility engaged in the delivery of electricity or the 2 distribution of natural gas shall file with the Illinois 3 Commerce Commission tariffs incorporating the Energy 4 Assistance Charge in other charges stated in such tariffs. 5 (e) The Energy Assistance Charge assessed by electric 6 and gas public utilities shall be considered a charge for 7 public utility service. 8 (f) By the 20th day of the month following the month in 9 which the charges imposed by the Section were collected, each 10 public utility, municipal utility, and electric cooperative 11 shall remit to the Department of Revenue all moneys received 12 as payment of the Energy Assistance Charge on a return 13 prescribed and furnished by the Department of Revenue showing 14 such information as the Department of Revenue may reasonably 15 require. If a customer makes a partial payment, a public 16 utility, municipal utility, or electric cooperative may elect 17 either: (i) to apply such partial payments first to amounts 18 owed to the utility or cooperative for its services and then 19 to payment for the Energy Assistance Charge or (ii) to apply 20 such partial payments on a pro-rata basis between amounts 21 owed to the utility or cooperative for its services and to 22 payment for the Energy Assistance Charge. 23 (g) The Department of Revenue shall deposit into the 24 Supplemental Low-Income Energy Assistance Fund all moneys 25 remitted to it in accordance with subsection (f) of this 26 Section. 27 (h) (Blank).If as of June 30, 2002 the program28authorized by Section 4 of this Act has not been replaced by29a new energy assistance program which is in operation, then30the General Assembly shall review the program; provided31however, that after that date, any public utility, municipal32utility, or electric cooperative shall continue to assess an33Energy Assistance Charge which was originally assessed on or34before June 30, 2002 and which remains unpaid.-16- LRB9215298WHcsA 1 On or before December 31, 2002, the Department shall 2 prepare a report for the General Assembly on the expenditure 3 of funds appropriated from the Low-Income Energy Assistance 4 Block Grant Fund for the program authorized under Section 4 5 of this Act. 6 (i) The Department of Revenue may establish such rules 7 as it deems necessary to implement this Section. 8 (j) The Department of Commerce and Community Affairs may 9 establish such rules as it deems necessary to implement this 10 Section. 11 (k) The charges imposed by this Section shall only apply 12 to customers of municipal electric or gas utilities and 13 electric or gas cooperatives if the municipal electric or gas 14 utility or electric or gas cooperative makes an affirmative 15 decision to impose the charge. If a municipal electric or 16 gas utility or an electric cooperative makes an affirmative 17 decision to impose the charge provided by this Section, the 18 municipal electric or gas utility or electric cooperative 19 shall inform the Department of Revenue in writing of such 20 decision when it begins to impose the charge. If a municipal 21 electric or gas utility or electric or gas cooperative does 22 not assess this charge, the Department may not use funds from 23 the Supplemental Low-Income Energy Assistance Fund to provide 24 benefits to its customers under the program authorized by 25 Section 4 of this Act. 26 In its use of federal funds under this Act, the 27 Department may not cause a disproportionate share of those 28 federal funds to benefit customers of systems which do not 29 assess the charge provided by this Section. 30 This Section is repealed effective December 31, 2007 31 unless renewed by action of the General Assembly. The 32 General Assembly shall consider the results of the 33 evaluations described in Section 8 in its deliberations. 34 (Source: P.A. 90-561, eff. 12-16-97; 90-624, eff. 7-10-98.) -17- LRB9215298WHcsA 1 (305 ILCS 20/7.1 rep.) 2 (305 ILCS 20/9 rep.) 3 (305 ILCS 20/12 rep.) 4 (305 ILCS 20/14 rep.) 5 Section 10. The Energy Assistance Act of 1989 is amended 6 by repealing Sections 7.1, 9, 12, and 14. 7 Section 15. The Renewable Energy, Energy Efficiency, and 8 Coal Resources Development Law of 1997 is amended by changing 9 Section 6-5 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) Notwithstanding the provisions of Section 16-111 of 15 the Public Utilities Act but subject to subsection (e) of 16 this Section, each public utility, electric cooperative, as 17 defined in Section 3.4 of the Electric Supplier Act, and 18 municipal utility, as referenced in Section 3-105 of the 19 Public Utilities Act, that is engaged in the delivery of 20 electricity or the distribution of natural gas within the 21 State of Illinois shall, effective January 1, 1998, assess 22 each of its customer accounts a monthly Renewable Energy 23 Resources and Coal Technology Development Assistance Charge. 24 The delivering public utility, municipal electric or gas 25 utility, or electric or gas cooperative for a self-assessing 26 purchaser remains subject to the collection of the fee 27 imposed by this Section. The monthly charge shall be as 28 follows: 29 (1) $0.05 per month on each account for residential 30 electric service as defined in Section 13 of the Energy 31 Assistance Actof 1989; 32 (2) $0.05 per month on each account for residential -18- LRB9215298WHcsA 1 gas service as defined in Section 13 of the Energy 2 Assistance Actof 1989; 3 (3) $0.50 per month on each account for 4 nonresidential electric service, as defined in Section 13 5 of the Energy Assistance Actof 1989, which had less than 6 10 megawatts of peak demand during the previous calendar 7 year; 8 (4) $0.50 per month on each account for 9 nonresidential gas service, as defined in Section 13 of 10 the Energy Assistance Actof 1989, which had distributed 11 to it less than 4,000,000 therms of gas during the 12 previous calendar year; 13 (5) $37.50 per month on each account for 14 nonresidential electric service, as defined in Section 13 15 of the Energy Assistance Actof 1989, which had 10 16 megawatts or greater of peak demand during the previous 17 calendar year; and 18 (6) $37.50 per month on each account for 19 nonresidential gas service, as defined in Section 13 of 20 the Energy Assistance Actof 1989, which had 4,000,000 or 21 more therms of gas distributed to it during the previous 22 calendar year. 23 (b) The Renewable Energy Resources and Coal Technology 24 Development Assistance Charge assessed by electric and gas 25 public utilities shall be considered a charge for public 26 utility service. 27 (c) Fifty percent of the moneys collected pursuant to 28 this Section shall be deposited in the Renewable Energy 29 Resources Trust Fund by the Department of Revenue. The 30 remaining 50 percent of the moneys collected pursuant to this 31 Section shall be deposited in the Coal Technology Development 32 Assistance Fund by the Department of Revenue for use under 33 the Illinois Coal Technology Development Assistance Act. 34 (d) By the 20th day of the month following the month in -19- LRB9215298WHcsA 1 which the charges imposed by this Section were collected, 2 each utility and alternative retail electric supplier 3 collecting charges pursuant to this Section shall remit to 4 the Department of Revenue for deposit in the Renewable Energy 5 Resources Trust Fund and the Coal Technology Development 6 Assistance Fund all moneys received as payment of the charge 7 provided for in this Section on a return prescribed and 8 furnished by the Department of Revenue showing such 9 information as the Department of Revenue may reasonably 10 require. 11 (e) The charges imposed by this Section shall only apply 12 to customers of municipal electric or gas utilities and 13 electric or gas cooperatives if the municipal electric or gas 14 utility or electric or gas cooperative makes an affirmative 15 decision to impose the charge. If a municipal electric or gas 16 utility or an electric or gas cooperative makes an 17 affirmative decision to impose the charge provided by this 18 Section, the municipal electric or gas utility or electric or 19 gas cooperative shall inform the Department of Revenue in 20 writing of such decision when it begins to impose the charge. 21 If a municipal electric or gas utility or electric or gas 22 cooperative does not assess this charge, its customers shall 23 not be eligible for the Renewable Energy Resources Program. 24 (f) The Department of Revenue may establish such rules 25 as it deems necessary to implement this Section. 26 (Source: P.A. 90-561, eff. 12-16-97; 90-624, eff. 7-10-98.) 27 Section 20. The Public Utilities Act is amended by 28 changing Sections 8-207, 16-108, and 16-111 as follows: 29 (220 ILCS 5/8-207) (from Ch. 111 2/3, par. 8-207) 30 Sec. 8-207. Any former residential customer whose gas or 31 electric service was used to provide or control the primary 32 source of space heating in the dwelling and whose service is -20- LRB9215298WHcsA 1 disconnected for nonpayment of a bill or a deposit from 2 December 1 of the prior winter's heating season through April 3 1 of the current heating season shall be eligible for 4 reconnection and a deferred payment arrangement under the 5 provisions of this Section, subject to the following 6 limitations: 7 A utility shall not be required to reconnect service to, 8 and enter into a deferred payment arrangement with, a former 9 customer under the provisions of this Section (1) except 10 between November 1 and April 1 of the current heating season 11 for former customers who do not have applications pending for 12 the program described in Section 6 of the Energy Assistance 13 Actof 1989, and except between October 1 and April 1 of the 14 current heating season for all former customers who do have 15 applications pending for the program described in Section 6 16 of the Energy Assistance Actof 1989and who provide proof of 17 application to the utility, (2) in 2 consecutive years, (3) 18 unless that former customer has paid at least 33 1/3% of the 19 amount billed for utility service rendered by that utility 20 subsequent to December 1 of the prior year, or (4) in any 21 instance where the utility can show there has been tampering 22 with the utility's wires, pipes, meters (including locking 23 devices), or other service equipment and further shows that 24 the former customer enjoyed the benefit of utility service 25 obtained in the aforesaid manner. 26 The terms and conditions of any deferred payment 27 arrangements established by the utility and a former customer 28 shall take into consideration the following factors, based 29 upon information available from current utility records or 30 provided by the former customer: 31 (1) the amount past due; 32 (2) the former customer's ability to pay; 33 (3) the former customer's payment history; 34 (4) the reasons for the accumulation of the past -21- LRB9215298WHcsA 1 due amounts; and 2 (5) any other relevant factors relating to the 3 former customer's circumstances. 4 After the former customer's eligibility has been 5 established in accordance with the first paragraph of this 6 Section and, upon the establishment of a deferred payment 7 agreement, the former customer shall pay 1/3 of the amount 8 past due (including reconnecting charge, if any) and 1/3 of 9 any deposit required by the utility. 10 Upon the payment of 1/3 of the amount past due and 1/3 of 11 any deposit required by the utility, the former customer's 12 service shall be reconnected as soon as possible. The 13 company and the former customer shall agree to a payment 14 schedule for the remaining balances which will reasonably 15 allow the former customer to make the payments on the 16 remainder of the deposit and the past due balance while 17 paying current bills during the winter heating season. 18 However, the utility is not obliged to make payment 19 arrangements extending beyond the following November. The 20 utility shall allow the former customer a minimum of 4 months 21 in which to retire the past due balance and 3 months in which 22 to pay the remainder of the deposit. The former customer 23 shall also be informed that payment on the amounts past due 24 and the deposit, if any, plus the current bills must be paid 25 by the due date or the customer may face termination of 26 service pursuant to this Section and Section 8-206. 27 The Commission shall develop rules to govern the 28 reconnection of a former customer who demonstrates a 29 financial inability to meet the requirement of 1/3 of the 30 amount past due and 1/3 of any deposit requested by the 31 utility. The Commission's rules shall establish a means by 32 which the former customer's utility service may be 33 reconnected through the payment of a reasonable amount and 34 upon entering into a deferred payment agreement. -22- LRB9215298WHcsA 1 Any payment agreement made shall be in writing, with a 2 copy provided to the former customer. The renegotiation and 3 reinstatement of a customer and the establishment of a budget 4 payment plan shall be pursuant to rules established by the 5 Commission. 6 Not later than September 15 of each year, every gas and 7 electric utility shall conduct a survey of all former 8 residential customers whose gas or electric service was used 9 to provide or control the primary source of space heating in 10 the dwelling and whose gas or electric service was terminated 11 for nonpayment of a bill or deposit from December 1 of the 12 previous year to September 15 of that year and where service 13 at that premises has not been restored. Not later than 14 October 1 of each year the utility shall notify each of these 15 former customers that the gas or electric service will be 16 restored by the company for the coming heating season if the 17 former customer contacts the utility and makes arrangements 18 with the utility for reconnection of service under the 19 conditions set forth in this Section. A utility shall notify 20 the former customer or an adult member of the household by 21 personal visit, telephone contact or mailing of a letter by 22 first class mail to the last known address of that former 23 customer. The utility shall keep records which would 24 indicate the date, form and the results of such contact. 25 Each gas and electric utility which has former customers 26 affected by this Section shall file reports with the 27 Commission providing such information as the Commission may 28 deem appropriate. The Commission shall notify each gas and 29 electric utility prior to August 1 of each year concerning 30 the information which is to be included in the report for 31 that year. 32 In no event shall any actions taken by a utility in 33 compliance with this Section be deemed to abrogate or in any 34 way interfere with the utility's rights to pursue the normal -23- LRB9215298WHcsA 1 collection processes otherwise available to it. 2 The Commission shall promulgate rules to implement this 3 Section. 4 (Source: P.A. 86-782; 87-469.) 5 (220 ILCS 5/16-108) 6 Sec. 16-108. Recovery of costs associated with the 7 provision of delivery services. 8 (a) An electric utility shall file a delivery services 9 tariff with the Commission at least 210 days prior to the 10 date that it is required to begin offering such services 11 pursuant to this Act. An electric utility shall provide the 12 components of delivery services that are subject to the 13 jurisdiction of the Federal Energy Regulatory Commission at 14 the same prices, terms and conditions set forth in its 15 applicable tariff as approved or allowed into effect by that 16 Commission. The Commission shall otherwise have the authority 17 pursuant to Article IX to review, approve, and modify the 18 prices, terms and conditions of those components of delivery 19 services not subject to the jurisdiction of the Federal 20 Energy Regulatory Commission, including the authority to 21 determine the extent to which such delivery services should 22 be offered on an unbundled basis. In making any such 23 determination the Commission shall consider, at a minimum, 24 the effect of additional unbundling on (i) the objective of 25 just and reasonable rates, (ii) electric utility employees, 26 and (iii) the development of competitive markets for electric 27 energy services in Illinois. 28 (b) The Commission shall enter an order approving, or 29 approving as modified, the delivery services tariff no later 30 than 30 days prior to the date on which the electric utility 31 must commence offering such services. The Commission may 32 subsequently modify such tariff pursuant to this Act. 33 (c) The electric utility's tariffs shall define the -24- LRB9215298WHcsA 1 classes of its customers for purposes of delivery services 2 charges. Delivery services shall be priced and made 3 available to all retail customers electing delivery services 4 in each such class on a nondiscriminatory basis regardless of 5 whether the retail customer chooses the electric utility, an 6 affiliate of the electric utility, or another entity as its 7 supplier of electric power and energy. Charges for delivery 8 services shall be cost based, and shall allow the electric 9 utility to recover the costs of providing delivery services 10 through its charges to its delivery service customers that 11 use the facilities and services associated with such costs. 12 Such costs shall include the costs of owning, operating and 13 maintaining transmission and distribution facilities. The 14 Commission shall also be authorized to consider whether, and 15 if so to what extent, the following costs are appropriately 16 included in the electric utility's delivery services rates: 17 (i) the costs of that portion of generation facilities used 18 for the production and absorption of reactive power in order 19 that retail customers located in the electric utility's 20 service area can receive electric power and energy from 21 suppliers other than the electric utility, and (ii) the costs 22 associated with the use and redispatch of generation 23 facilities to mitigate constraints on the transmission or 24 distribution system in order that retail customers located in 25 the electric utility's service area can receive electric 26 power and energy from suppliers other than the electric 27 utility. Nothing in this subsection shall be construed as 28 directing the Commission to allocate any of the costs 29 described in (i) or (ii) that are found to be appropriately 30 included in the electric utility's delivery services rates to 31 any particular customer group or geographic area in setting 32 delivery services rates. 33 (d) The Commission shall establish charges, terms and 34 conditions for delivery services that are just and reasonable -25- LRB9215298WHcsA 1 and shall take into account customer impacts when 2 establishing such charges. In establishing charges, terms and 3 conditions for delivery services, the Commission shall take 4 into account voltage level differences. A retail customer 5 shall have the option to request to purchase electric service 6 at any delivery service voltage reasonably and technically 7 feasible from the electric facilities serving that customer's 8 premises provided that there are no significant adverse 9 impacts upon system reliability or system efficiency. A 10 retail customer shall also have the option to request to 11 purchase electric service at any point of delivery that is 12 reasonably and technically feasible provided that there are 13 no significant adverse impacts on system reliability or 14 efficiency. Such requests shall not be unreasonably denied. 15 (e) Electric utilities shall recover the costs of 16 installing, operating or maintaining facilities for the 17 particular benefit of one or more delivery services 18 customers, including without limitation any costs incurred in 19 complying with a customer's request to be served at a 20 different voltage level, directly from the retail customer or 21 customers for whose benefit the costs were incurred, to the 22 extent such costs are not recovered through the charges 23 referred to in subsections (c) and (d) of this Section. 24 (f) An electric utility shall be entitled but not 25 required to implement transition charges in conjunction with 26 the offering of delivery services pursuant to Section 16-104. 27 If an electric utility implements transition charges, it 28 shall implement such charges for all delivery services 29 customers and for all customers described in subsection (h), 30 but shall not implement transition charges for power and 31 energy that a retail customer takes from cogeneration or 32 self-generation facilities located on that retail customer's 33 premises, if such facilities meet the following criteria: 34 (i) the cogeneration or self-generation facilities -26- LRB9215298WHcsA 1 serve a single retail customer and are located on that 2 retail customer's premises (for purposes of this 3 subparagraph and subparagraph (ii), an industrial or 4 manufacturing retail customer and a third party 5 contractor that is served by such industrial or 6 manufacturing customer through such retail customer's own 7 electrical distribution facilities under the 8 circumstances described in subsection (vi) of the 9 definition of "alternative retail electric supplier" set 10 forth in Section 16-102, shall be considered a single 11 retail customer); 12 (ii) the cogeneration or self-generation facilities 13 either (A) are sized pursuant to generally accepted 14 engineering standards for the retail customer's 15 electrical load at that premises (taking into account 16 standby or other reliability considerations related to 17 that retail customer's operations at that site) or (B) if 18 the facility is a cogeneration facility located on the 19 retail customer's premises, the retail customer is the 20 thermal host for that facility and the facility has been 21 designed to meet that retail customer's thermal energy 22 requirements resulting in electrical output beyond that 23 retail customer's electrical demand at that premises, 24 comply with the operating and efficiency standards 25 applicable to "qualifying facilities" specified in title 26 18 Code of Federal Regulations Section 292.205 as in 27 effect on the effective date of this amendatory Act of 28 1999; 29 (iii) the retail customer on whose premises the 30 facilities are located either has an exclusive right to 31 receive, and corresponding obligation to pay for, all of 32 the electrical capacity of the facility, or in the case 33 of a cogeneration facility that has been designed to meet 34 the retail customer's thermal energy requirements at that -27- LRB9215298WHcsA 1 premises, an identified amount of the electrical capacity 2 of the facility, over a minimum 5-year period; and 3 (iv) if the cogeneration facility is sized for the 4 retail customer's thermal load at that premises but 5 exceeds the electrical load, any sales of excess power or 6 energy are made only at wholesale, are subject to the 7 jurisdiction of the Federal Energy Regulatory Commission, 8 and are not for the purpose of circumventing the 9 provisions of this subsection (f). 10 If a generation facility located at a retail customer's 11 premises does not meet the above criteria, an electric 12 utility implementing transition charges shall implement a 13 transition charge until December 31, 2006 for any power and 14 energy taken by such retail customer from such facility as if 15 such power and energy had been delivered by the electric 16 utility. Provided, however, that an industrial retail 17 customer that is taking power from a generation facility that 18 does not meet the above criteria but that is located on such 19 customer's premises will not be subject to a transition 20 charge for the power and energy taken by such retail customer 21 from such generation facility if the facility does not serve 22 any other retail customer and either was installed on behalf 23 of the customer and for its own use prior to January 1, 1997, 24 or is both predominantly fueled by byproducts of such 25 customer's manufacturing process at such premises and sells 26 or offers an average of 300 megawatts or more of electricity 27 produced from such generation facility into the wholesale 28 market. Such charges shall be calculated as provided in 29 Section 16-102, and shall be collected on each kilowatt-hour 30 delivered under a delivery services tariff to a retail 31 customer from the date the customer first takes delivery 32 services until December 31, 2006 except as provided in 33 subsection (h) of this Section. Provided, however, that an 34 electric utility, other than an electric utility providing -28- LRB9215298WHcsA 1 service to at least 1,000,000 customers in this State on 2 January 1, 1999, shall be entitled to petition for entry of 3 an order by the Commission authorizing the electric utility 4 to implement transition charges for an additional period 5 ending no later than December 31, 2008. The electric utility 6 shall file its petition with supporting evidence no earlier 7 than 16 months, and no later than 12 months, prior to 8 December 31, 2006. The Commission shall hold a hearing on 9 the electric utility's petition and shall enter its order no 10 later than 8 months after the petition is filed. The 11 Commission shall determine whether and to what extent the 12 electric utility shall be authorized to implement transition 13 charges for an additional period. The Commission may 14 authorize the electric utility to implement transition 15 charges for some or all of the additional period, and shall 16 determine the mitigation factors to be used in implementing 17 such transition charges; provided, that the Commission shall 18 not authorize mitigation factors less than 110% of those in 19 effect during the 12 months ended December 31, 2006. In 20 making its determination, the Commission shall consider the 21 following factors: the necessity to implement transition 22 charges for an additional period in order to maintain the 23 financial integrity of the electric utility; the prudence of 24 the electric utility's actions in reducing its costs since 25 the effective date of this amendatory Act of 1997; the 26 ability of the electric utility to provide safe, adequate and 27 reliable service to retail customers in its service area; and 28 the impact on competition of allowing the electric utility to 29 implement transition charges for the additional period. 30 (g) The electric utility shall file tariffs that 31 establish the transition charges to be paid by each class of 32 customers to the electric utility in conjunction with the 33 provision of delivery services. The electric utility's 34 tariffs shall define the classes of its customers for -29- LRB9215298WHcsA 1 purposes of calculating transition charges. The electric 2 utility's tariffs shall provide for the calculation of 3 transition charges on a customer-specific basis for any 4 retail customer whose average monthly maximum electrical 5 demand on the electric utility's system during the 6 months 6 with the customer's highest monthly maximum electrical 7 demands equals or exceeds 3.0 megawatts for electric 8 utilities having more than 1,000,000 customers, and for other 9 electric utilities for any customer that has an average 10 monthly maximum electrical demand on the electric utility's 11 system of one megawatt or more, and (A) for which there 12 exists data on the customer's usage during the 3 years 13 preceding the date that the customer became eligible to take 14 delivery services, or (B) for which there does not exist data 15 on the customer's usage during the 3 years preceding the date 16 that the customer became eligible to take delivery services, 17 if in the electric utility's reasonable judgment there exists 18 comparable usage information or a sufficient basis to develop 19 such information, and further provided that the electric 20 utility can require customers for which an individual 21 calculation is made to sign contracts that set forth the 22 transition charges to be paid by the customer to the electric 23 utility pursuant to the tariff. 24 (h) An electric utility shall also be entitled to file 25 tariffs that allow it to collect transition charges from 26 retail customers in the electric utility's service area that 27 do not take delivery services but that take electric power or 28 energy from an alternative retail electric supplier or from 29 an electric utility other than the electric utility in whose 30 service area the customer is located. Such charges shall be 31 calculated, in accordance with the definition of transition 32 charges in Section 16-102, for the period of time that the 33 customer would be obligated to pay transition charges if it 34 were taking delivery services, except that no deduction for -30- LRB9215298WHcsA 1 delivery services revenues shall be made in such calculation, 2 and usage data from the customer's class shall be used where 3 historical usage data is not available for the individual 4 customer. The customer shall be obligated to pay such 5 charges on a lump sum basis on or before the date on which 6 the customer commences to take service from the alternative 7 retail electric supplier or other electric utility, provided, 8 that the electric utility in whose service area the customer 9 is located shall offer the customer the option of signing a 10 contract pursuant to which the customer pays such charges 11 ratably over the period in which the charges would otherwise 12 have applied. 13 (i) An electric utility shall be entitled to add to the 14 bills of delivery services customers charges pursuant to 15 Sections 9-221, 9-222 (except as provided in Section 16 9-222.1), and Section 16-114 of this Act, Section 5-5 of the 17 Electricity Infrastructure Maintenance Fee Law, Section 6-5 18 of the Renewable Energy, Energy Efficiency, and Coal 19 Resources Development Law of 1997, and Section 13 of the 20 Energy Assistance Actof 1989. 21 (j) If a retail customer that obtains electric power and 22 energy from cogeneration or self-generation facilities 23 installed for its own use on or before January 1, 1997, 24 subsequently takes service from an alternative retail 25 electric supplier or an electric utility other than the 26 electric utility in whose service area the customer is 27 located for any portion of the customer's electric power and 28 energy requirements formerly obtained from those facilities 29 (including that amount purchased from the utility in lieu of 30 such generation and not as standby power purchases, under a 31 cogeneration displacement tariff in effect as of the 32 effective date of this amendatory Act of 1997), the 33 transition charges otherwise applicable pursuant to 34 subsections (f), (g), or (h) of this Section shall not be -31- LRB9215298WHcsA 1 applicable in any year to that portion of the customer's 2 electric power and energy requirements formerly obtained from 3 those facilities, provided, that for purposes of this 4 subsection (j), such portion shall not exceed the average 5 number of kilowatt-hours per year obtained from the 6 cogeneration or self-generation facilities during the 3 years 7 prior to the date on which the customer became eligible for 8 delivery services, except as provided in subsection (f) of 9 Section 16-110. 10 (Source: P.A. 90-561, eff. 12-16-97; 91-50, eff. 6-30-99.) 11 (220 ILCS 5/16-111) 12 Sec. 16-111. Rates and restructuring transactions during 13 mandatory transition period. 14 (a) During the mandatory transition period, 15 notwithstanding any provision of Article IX of this Act, and 16 except as provided in subsections (b), (d), (e), and (f) of 17 this Section, the Commission shall not (i) initiate, 18 authorize or order any change by way of increase (other than 19 in connection with a request for rate increase which was 20 filed after September 1, 1997 but prior to October 15, 1997, 21 by an electric utility serving less than 12,500 customers in 22 this State), (ii) initiate or, unless requested by the 23 electric utility, authorize or order any change by way of 24 decrease, restructuring or unbundling (except as provided in 25 Section 16-109A), in the rates of any electric utility that 26 were in effect on October 1, 1996, or (iii) in any order 27 approving any application for a merger pursuant to Section 28 7-204 that was pending as of May 16, 1997, impose any 29 condition requiring any filing for an increase, decrease, or 30 change in, or other review of, an electric utility's rates or 31 enforce any such condition of any such order; provided, 32 however, that this subsection shall not prohibit the 33 Commission from: -32- LRB9215298WHcsA 1 (1) approving the application of an electric 2 utility to implement an alternative to rate of return 3 regulation or a regulatory mechanism that rewards or 4 penalizes the electric utility through adjustment of 5 rates based on utility performance, pursuant to Section 6 9-244; 7 (2) authorizing an electric utility to eliminate 8 its fuel adjustment clause and adjust its base rate 9 tariffs in accordance with subsection (b), (d), or (f) of 10 Section 9-220 of this Act, to fix its fuel adjustment 11 factor in accordance with subsection (c) of Section 9-220 12 of this Act, or to eliminate its fuel adjustment clause 13 in accordance with subsection (e) of Section 9-220 of 14 this Act; 15 (3) ordering into effect tariffs for delivery 16 services and transition charges in accordance with 17 Sections 16-104 and 16-108, for real-time pricing in 18 accordance with Section 16-107, or the options required 19 by Section 16-110 and subsection (n) of 16-112, allowing 20 a billing experiment in accordance with Section 16-106, 21 or modifying delivery services tariffs in accordance with 22 Section 16-109; or 23 (4) ordering or allowing into effect any tariff to 24 recover charges pursuant to Sections 9-201.5, 9-220.1, 25 9-221, 9-222 (except as provided in Section 9-222.1), 26 16-108, and 16-114 of this Act, Section 5-5 of the 27 Electricity Infrastructure Maintenance Fee Law, Section 28 6-5 of the Renewable Energy, Energy Efficiency, and Coal 29 Resources Development Law of 1997, and Section 13 of the 30 Energy Assistance Actof 1989. 31 (b) Notwithstanding the provisions of subsection (a), 32 each Illinois electric utility serving more than 12,500 33 customers in Illinois shall file tariffs (i) reducing, 34 effective August 1, 1998, each component of its base rates to -33- LRB9215298WHcsA 1 residential retail customers by 15% from the base rates in 2 effect immediately prior to January 1, 1998 and (ii) if the 3 public utility provides electric service to (A) more than 4 500,000 customers but less than 1,000,000 customers in this 5 State on January 1, 1999, reducing, effective May 1, 2002, 6 each component of its base rates to residential retail 7 customers by an additional 5% from the base rates in effect 8 immediately prior to January 1, 1998, or (B) at least 9 1,000,000 customers in this State on January 1, 1999, 10 reducing, effective October 1, 2001, each component of its 11 base rates to residential retail customers by an additional 12 5% from the base rates in effect immediately prior to January 13 1, 1998. Provided, however, that (A) if an electric utility's 14 average residential retail rate is less than or equal to the 15 average residential retail rate for a group of Midwest 16 Utilities (consisting of all investor-owned electric 17 utilities with annual system peaks in excess of 1000 18 megawatts in the States of Illinois, Indiana, Iowa, Kentucky, 19 Michigan, Missouri, Ohio, and Wisconsin), based on data 20 reported on Form 1 to the Federal Energy Regulatory 21 Commission for calendar year 1995, then it shall only be 22 required to file tariffs (i) reducing, effective August 1, 23 1998, each component of its base rates to residential retail 24 customers by 5% from the base rates in effect immediately 25 prior to January 1, 1998, (ii) reducing, effective October 1, 26 2000, each component of its base rates to residential retail 27 customers by the lesser of 5% of the base rates in effect 28 immediately prior to January 1, 1998 or the percentage by 29 which the electric utility's average residential retail rate 30 exceeds the average residential retail rate of the Midwest 31 Utilities, based on data reported on Form 1 to the Federal 32 Energy Regulatory Commission for calendar year 1999, and 33 (iii) reducing, effective October 1, 2002, each component of 34 its base rates to residential retail customers by an -34- LRB9215298WHcsA 1 additional amount equal to the lesser of 5% of the base rates 2 in effect immediately prior to January 1, 1998 or the 3 percentage by which the electric utility's average 4 residential retail rate exceeds the average residential 5 retail rate of the Midwest Utilities, based on data reported 6 on Form 1 to the Federal Energy Regulatory Commission for 7 calendar year 2001; and (B) if the average residential retail 8 rate of an electric utility serving between 150,000 and 9 250,000 retail customers in this State on January 1, 1995 is 10 less than or equal to 90% of the average residential retail 11 rate for the Midwest Utilities, based on data reported on 12 Form 1 to the Federal Energy Regulatory Commission for 13 calendar year 1995, then it shall only be required to file 14 tariffs (i) reducing, effective August 1, 1998, each 15 component of its base rates to residential retail customers 16 by 2% from the base rates in effect immediately prior to 17 January 1, 1998; (ii) reducing, effective October 1, 2000, 18 each component of its base rates to residential retail 19 customers by 2% from the base rate in effect immediately 20 prior to January 1, 1998; and (iii) reducing, effective 21 October 1, 2002, each component of its base rates to 22 residential retail customers by 1% from the base rates in 23 effect immediately prior to January 1, 1998. Provided, 24 further, that any electric utility for which a decrease in 25 base rates has been or is placed into effect between October 26 1, 1996 and the dates specified in the preceding sentences of 27 this subsection, other than pursuant to the requirements of 28 this subsection, shall be entitled to reduce the amount of 29 any reduction or reductions in its base rates required by 30 this subsection by the amount of such other decrease. The 31 tariffs required under this subsection shall be filed 45 days 32 in advance of the effective date. Notwithstanding anything to 33 the contrary in Section 9-220 of this Act, no restatement of 34 base rates in conjunction with the elimination of a fuel -35- LRB9215298WHcsA 1 adjustment clause under that Section shall result in a lesser 2 decrease in base rates than customers would otherwise receive 3 under this subsection had the electric utility's fuel 4 adjustment clause not been eliminated. 5 (c) Any utility reducing its base rates by 15% on August 6 1, 1998 pursuant to subsection (b) shall include the 7 following statement on its bills for residential customers 8 from August 1 through December 31, 1998: "Effective August 1, 9 1998, your rates have been reduced by 15% by the Electric 10 Service Customer Choice and Rate Relief Law of 1997 passed by 11 the Illinois General Assembly.". Any utility reducing its 12 base rates by 5% on August 1, 1998, pursuant to subsection 13 (b) shall include the following statement on its bills for 14 residential customers from August 1 through December 31, 15 1998: "Effective August 1, 1998, your rates have been 16 reduced by 5% by the Electric Service Customer Choice and 17 Rate Relief Law of 1997 passed by the Illinois General 18 Assembly.". 19 Any utility reducing its base rates by 2% on August 1, 20 1998 pursuant to subsection (b) shall include the following 21 statement on its bills for residential customers from August 22 1 through December 31, 1998: "Effective August 1, 1998, your 23 rates have been reduced by 2% by the Electric Service 24 Customer Choice and Rate Relief Law of 1997 passed by the 25 Illinois General Assembly.". 26 (d) During the mandatory transition period, but not 27 before January 1, 2000, and notwithstanding the provisions 28 of subsection (a), an electric utility may request an 29 increase in its base rates if the electric utility 30 demonstrates that the 2-year average of its earned rate of 31 return on common equity, calculated as its net income 32 applicable to common stock divided by the average of its 33 beginning and ending balances of common equity using data 34 reported in the electric utility's Form 1 report to the -36- LRB9215298WHcsA 1 Federal Energy Regulatory Commission but adjusted to remove 2 the effects of accelerated depreciation or amortization or 3 other transition or mitigation measures implemented by the 4 electric utility pursuant to subsection (g) of this Section 5 and the effect of any refund paid pursuant to subsection (e) 6 of this Section, is below the 2-year average for the same 2 7 years of the monthly average yields of 30-year U.S. Treasury 8 bonds published by the Board of Governors of the Federal 9 Reserve System in its weekly H.15 Statistical Release or 10 successor publication. The Commission shall review the 11 electric utility's request, and may review the justness and 12 reasonableness of all rates for tariffed services, in 13 accordance with the provisions of Article IX of this Act, 14 provided that the Commission shall consider any special or 15 negotiated adjustments to the revenue requirement agreed to 16 between the electric utility and the other parties to the 17 proceeding. In setting rates under this Section, the 18 Commission shall exclude the costs and revenues that are 19 associated with competitive services and any billing or 20 pricing experiments conducted under Section 16-106. 21 (e) For the purposes of this subsection (e) all 22 calculations and comparisons shall be performed for the 23 Illinois operations of multijurisdictional utilities. During 24 the mandatory transition period, notwithstanding the 25 provisions of subsection (a), if the 2-year average of an 26 electric utility's earned rate of return on common equity, 27 calculated as its net income applicable to common stock 28 divided by the average of its beginning and ending balances 29 of common equity using data reported in the electric 30 utility's Form 1 report to the Federal Energy Regulatory 31 Commission but adjusted to remove the effect of any refund 32 paid under this subsection (e), and further adjusted to 33 include the annual amortization of any difference between the 34 consideration received by an affiliated interest of the -37- LRB9215298WHcsA 1 electric utility in the sale of an asset which had been sold 2 or transferred by the electric utility to the affiliated 3 interest subsequent to the effective date of this amendatory 4 Act of 1997 and the consideration for which such asset had 5 been sold or transferred to the affiliated interest, with 6 such difference to be amortized ratably from the date of the 7 sale by the affiliated interest to December 31, 2006, exceeds 8 the 2-year average of the Index for the same 2 years by 1.5 9 or more percentage points, the electric utility shall make 10 refunds to customers beginning the first billing day of April 11 in the following year in the manner described in paragraph 12 (3) of this subsection. For purposes of this subsection (e), 13 the "Index" shall be the sum of (A) the average for the 12 14 months ended September 30 of the monthly average yields of 15 30-year U.S. Treasury bonds published by the Board of 16 Governors of the Federal Reserve System in its weekly H.15 17 Statistical Release or successor publication for each year 18 1998 through 2004, and (B) (i) 4.00 percentage points for 19 each of the 12-month periods ending September 30, 1998 20 through September 30, 1999 or 8.00 percentage points if the 21 electric utility's average residential retail rate is less 22 than or equal to 90% of the average residential retail rate 23 for the "Midwest Utilities", as that term is defined in 24 subsection (b) of this Section, based on data reported on 25 Form 1 to the Federal Energy Regulatory Commission for 26 calendar year 1995, and the electric utility served between 27 150,000 and 250,000 retail customers on January 1, 1995, (ii) 28 7.00 percentage points for each of the 12-month periods 29 ending September 30, 2000 through September 30, 2004 if the 30 electric utility was providing service to at least 1,000,000 31 customers in this State on January 1, 1999, or 9.00 32 percentage points if the electric utility's average 33 residential retail rate is less than or equal to 90% of the 34 average residential retail rate for the "Midwest Utilities", -38- LRB9215298WHcsA 1 as that term is defined in subsection (b) of this Section, 2 based on data reported on Form 1 to the Federal Energy 3 Regulatory Commission for calendar year 1995 and the electric 4 utility served between 150,000 and 250,000 retail customers 5 in this State on January 1, 1995, (iii) 11.00 percentage 6 points for each of the 12-month periods ending September 30, 7 2000 through September 30, 2004, but only if the electric 8 utility's average residential retail rate is less than or 9 equal to 90% of the average residential retail rate for the 10 "Midwest Utilities", as that term is defined in subsection 11 (b) of this Section, based on data reported on Form 1 to the 12 Federal Energy Regulatory Commission for calendar year 1995, 13 the electric utility served between 150,000 and 250,000 14 retail customers in this State on January 1, 1995, and the 15 electric utility offers delivery services on or before June 16 1, 2000 to retail customers whose annual electric energy use 17 comprises 33% of the kilowatt hour sales to that group of 18 retail customers that are classified under Division D, Groups 19 20 through 39 of the Standard Industrial Classifications set 20 forth in the Standard Industrial Classification Manual 21 published by the United States Office of Management and 22 Budget, excluding the kilowatt hour sales to those customers 23 that are eligible for delivery services pursuant to Section 24 16-104(a)(1)(i), and offers delivery services to its 25 remaining retail customers classified under Division D, 26 Groups 20 through 39 on or before October 1, 2000, and, 27 provided further, that the electric utility commits not to 28 petition pursuant to Section 16-108(f) for entry of an order 29 by the Commission authorizing the electric utility to 30 implement transition charges for an additional period after 31 December 31, 2006, or (iv) 5.00 percentage points for each of 32 the 12-month periods ending September 30, 2000 through 33 September 30, 2004 for all other electric utilities or 7.00 34 percentage points for such utilities for each of the 12-month -39- LRB9215298WHcsA 1 periods ending September 30, 2000 through September 30, 2004 2 for any such utility that commits not to petition pursuant to 3 Section 16-108(f) for entry of an order by the Commission 4 authorizing the electric utility to implement transition 5 charges for an additional period after December 31, 2006. 6 (1) For purposes of this subsection (e), "excess 7 earnings" means the difference between (A) the 2-year 8 average of the electric utility's earned rate of return 9 on common equity, less (B) the 2-year average of the sum 10 of (i) the Index applicable to each of the 2 years and 11 (ii) 1.5 percentage points; provided, that "excess 12 earnings" shall never be less than zero. 13 (2) On or before March 31 of each year 2000 through 14 2005 each electric utility shall file a report with the 15 Commission showing its earned rate of return on common 16 equity, calculated in accordance with this subsection, 17 for the preceding calendar year and the average for the 18 preceding 2 calendar years. 19 (3) If an electric utility has excess earnings, 20 determined in accordance with paragraphs (1) and (2) of 21 this subsection, the refunds which the electric utility 22 shall pay to its customers beginning the first billing 23 day of April in the following year shall be calculated 24 and applied as follows: 25 (i) The electric utility's excess earnings 26 shall be multiplied by the average of the beginning 27 and ending balances of the electric utility's common 28 equity for the 2-year period in which excess 29 earnings occurred. 30 (ii) The result of the calculation in (i) 31 shall be multiplied by 0.50 and then divided by a 32 number equal to 1 minus the electric utility's 33 composite federal and State income tax rate. 34 (iii) The result of the calculation in (ii) -40- LRB9215298WHcsA 1 shall be divided by the sum of the electric 2 utility's projected total kilowatt-hour sales to 3 retail customers plus projected kilowatt-hours to be 4 delivered to delivery services customers over a one 5 year period beginning with the first billing date in 6 April in the succeeding year to determine a cents 7 per kilowatt-hour refund factor. 8 (iv) The cents per kilowatt-hour refund factor 9 calculated in (iii) shall be credited to the 10 electric utility's customers by applying the factor 11 on the customer's monthly bills to each 12 kilowatt-hour sold or delivered until the total 13 amount calculated in (ii) has been paid to 14 customers. 15 (f) During the mandatory transition period, an electric 16 utility may file revised tariffs reducing the price of any 17 tariffed service offered by the electric utility for all 18 customers taking that tariffed service, which shall be 19 effective 7 days after filing. 20 (g) During the mandatory transition period, an electric 21 utility may, without obtaining any approval of the Commission 22 other than that provided for in this subsection and 23 notwithstanding any other provision of this Act or any rule 24 or regulation of the Commission that would require such 25 approval: 26 (1) implement a reorganization, other than a merger 27 of 2 or more public utilities as defined in Section 3-105 28 or their holding companies; 29 (2) retire generating plants from service; 30 (3) sell, assign, lease or otherwise transfer 31 assets to an affiliated or unaffiliated entity and as 32 part of such transaction enter into service agreements, 33 power purchase agreements, or other agreements with the 34 transferee; provided, however, that the prices, terms and -41- LRB9215298WHcsA 1 conditions of any power purchase agreement must be 2 approved or allowed into effect by the Federal Energy 3 Regulatory Commission; or 4 (4) use any accelerated cost recovery method 5 including accelerated depreciation, accelerated 6 amortization or other capital recovery methods, or record 7 reductions to the original cost of its assets. 8 In order to implement a reorganization, retire generating 9 plants from service, or sell, assign, lease or otherwise 10 transfer assets pursuant to this Section, the electric 11 utility shall comply with subsections (c) and (d) of Section 12 16-128, if applicable, and subsection (k) of this Section, if 13 applicable, and provide the Commission with at least 30 days 14 notice of the proposed reorganization or transaction, which 15 notice shall include the following information: 16 (i) a complete statement of the entries that 17 the electric utility will make on its books and 18 records of account to implement the proposed 19 reorganization or transaction together with a 20 certification from an independent certified public 21 accountant that such entries are in accord with 22 generally accepted accounting principles and, if the 23 Commission has previously approved guidelines for 24 cost allocations between the utility and its 25 affiliates, a certification from the chief 26 accounting officer of the utility that such entries 27 are in accord with those cost allocation guidelines; 28 (ii) a description of how the electric utility 29 will use proceeds of any sale, assignment, lease or 30 transfer to retire debt or otherwise reduce or 31 recover the costs of services provided by such 32 electric utility; 33 (iii) a list of all federal approvals or 34 approvals required from departments and agencies of -42- LRB9215298WHcsA 1 this State, other than the Commission, that the 2 electric utility has or will obtain before 3 implementing the reorganization or transaction; 4 (iv) an irrevocable commitment by the electric 5 utility that it will not, as a result of the 6 transaction, impose any stranded cost charges that 7 it might otherwise be allowed to charge retail 8 customers under federal law or increase the 9 transition charges that it is otherwise entitled to 10 collect under this Article XVI; and 11 (v) if the electric utility proposes to sell, 12 assign, lease or otherwise transfer a generating 13 plant that brings the amount of net dependable 14 generating capacity transferred pursuant to this 15 subsection to an amount equal to or greater than 15% 16 of the electric utility's net dependable capacity as 17 of the effective date of this amendatory Act of 18 1997, and enters into a power purchase agreement 19 with the entity to which such generating plant is 20 sold, assigned, leased, or otherwise transferred, 21 the electric utility also agrees, if its fuel 22 adjustment clause has not already been eliminated, 23 to eliminate its fuel adjustment clause in 24 accordance with subsection (b) of Section 9-220 for 25 a period of time equal to the length of any such 26 power purchase agreement or successor agreement, or 27 until January 1, 2005, whichever is longer; if the 28 capacity of the generating plant so transferred and 29 related power purchase agreement does not result in 30 the elimination of the fuel adjustment clause under 31 this subsection, and the fuel adjustment clause has 32 not already been eliminated, the electric utility 33 shall agree that the costs associated with the 34 transferred plant that are included in the -43- LRB9215298WHcsA 1 calculation of the rate per kilowatt-hour to be 2 applied pursuant to the electric utility's fuel 3 adjustment clause during such period shall not 4 exceed the per kilowatt-hour cost associated with 5 such generating plant included in the electric 6 utility's fuel adjustment clause during the full 7 calendar year preceding the transfer, with such 8 limit to be adjusted each year thereafter by the 9 Gross Domestic Product Implicit Price Deflator. 10 (vi) In addition, if the electric utility 11 proposes to sell, assign, or lease, (A) either (1) 12 an amount of generating plant that brings the amount 13 of net dependable generating capacity transferred 14 pursuant to this subsection to an amount equal to or 15 greater than 15% of its net dependable capacity on 16 the effective date of this amendatory Act of 1997, 17 or (2) one or more generating plants with a total 18 net dependable capacity of 1100 megawatts, or (B) 19 transmission and distribution facilities that either 20 (1) bring the amount of transmission and 21 distribution facilities transferred pursuant to this 22 subsection to an amount equal to or greater than 15% 23 of the electric utility's total depreciated original 24 cost investment in such facilities, or (2) represent 25 an investment of $25,000,000 in terms of total 26 depreciated original cost, the electric utility 27 shall provide, in addition to the information listed 28 in subparagraphs (i) through (v), the following 29 information: (A) a description of how the electric 30 utility will meet its service obligations under this 31 Act in a safe and reliable manner and (B) the 32 electric utility's projected earned rate of return 33 on common equity, calculated in accordance with 34 subsection (d) of this Section, for each year from -44- LRB9215298WHcsA 1 the date of the notice through December 31, 2004 2 both with and without the proposed transaction. If 3 the Commission has not issued an order initiating a 4 hearing on the proposed transaction within 30 days 5 after the date the electric utility's notice is 6 filed, the transaction shall be deemed approved. 7 The Commission may, after notice and hearing, 8 prohibit the proposed transaction if it makes either 9 or both of the following findings: (1) that the 10 proposed transaction will render the electric 11 utility unable to provide its tariffed services in a 12 safe and reliable manner, or (2) that there is a 13 strong likelihood that consummation of the proposed 14 transaction will result in the electric utility 15 being entitled to request an increase in its base 16 rates during the mandatory transition period 17 pursuant to subsection (d) of this Section. Any 18 hearing initiated by the Commission into the 19 proposed transaction shall be completed, and the 20 Commission's final order approving or prohibiting 21 the proposed transaction shall be entered, within 90 22 days after the date the electric utility's notice 23 was filed. Provided, however, that a sale, 24 assignment, or lease of transmission facilities to 25 an independent system operator that meets the 26 requirements of Section 16-126 shall not be subject 27 to Commission approval under this Section. 28 In any proceeding conducted by the Commission 29 pursuant to this subparagraph (vi), intervention 30 shall be limited to parties with a direct interest 31 in the transaction which is the subject of the 32 hearing and any statutory consumer protection agency 33 as defined in subsection (d) of Section 9-102.1. 34 Notwithstanding the provisions of Section 10-113 of -45- LRB9215298WHcsA 1 this Act, any application seeking rehearing of an 2 order issued under this subparagraph (vi), whether 3 filed by the electric utility or by an intervening 4 party, shall be filed within 10 days after service 5 of the order. 6 The Commission shall not in any subsequent proceeding or 7 otherwise, review such a reorganization or other transaction 8 authorized by this Section, but shall retain the authority to 9 allocate costs as stated in Section 16-111(i). An entity to 10 which an electric utility sells, assigns, leases or transfers 11 assets pursuant to this subsection (g) shall not, as a result 12 of the transactions specified in this subsection (g), be 13 deemed a public utility as defined in Section 3-105. Nothing 14 in this subsection (g) shall change any requirement under the 15 jurisdiction of the Illinois Department of Nuclear Safety 16 including, but not limited to, the payment of fees. Nothing 17 in this subsection (g) shall exempt a utility from obtaining 18 a certificate pursuant to Section 8-406 of this Act for the 19 construction of a new electric generating facility. Nothing 20 in this subsection (g) is intended to exempt the transactions 21 hereunder from the operation of the federal or State 22 antitrust laws. Nothing in this subsection (g) shall require 23 an electric utility to use the procedures specified in this 24 subsection for any of the transactions specified herein. Any 25 other procedure available under this Act may, at the electric 26 utility's election, be used for any such transaction. 27 (h) During the mandatory transition period, the 28 Commission shall not establish or use any rates of 29 depreciation, which for purposes of this subsection shall 30 include amortization, for any electric utility other than 31 those established pursuant to subsection (c) of Section 5-104 32 of this Act or utilized pursuant to subsection (g) of this 33 Section. Provided, however, that in any proceeding to review 34 an electric utility's rates for tariffed services pursuant to -46- LRB9215298WHcsA 1 Section 9-201, 9-202, 9-250 or 16-111(d) of this Act, the 2 Commission may establish new rates of depreciation for the 3 electric utility in the same manner provided in subsection 4 (d) of Section 5-104 of this Act. An electric utility 5 implementing an accelerated cost recovery method including 6 accelerated depreciation, accelerated amortization or other 7 capital recovery methods, or recording reductions to the 8 original cost of its assets, pursuant to subsection (g) of 9 this Section, shall file a statement with the Commission 10 describing the accelerated cost recovery method to be 11 implemented or the reduction in the original cost of its 12 assets to be recorded. Upon the filing of such statement, 13 the accelerated cost recovery method or the reduction in the 14 original cost of assets shall be deemed to be approved by the 15 Commission as though an order had been entered by the 16 Commission. 17 (i) Subsequent to the mandatory transition period, the 18 Commission, in any proceeding to establish rates and charges 19 for tariffed services offered by an electric utility, shall 20 consider only (1) the then current or projected revenues, 21 costs, investments and cost of capital directly or indirectly 22 associated with the provision of such tariffed services; (2) 23 collection of transition charges in accordance with Sections 24 16-102 and 16-108 of this Act; (3) recovery of any employee 25 transition costs as described in Section 16-128 which the 26 electric utility is continuing to incur, including recovery 27 of any unamortized portion of such costs previously incurred 28 or committed, with such costs to be equitably allocated among 29 bundled services, delivery services, and contracts with 30 alternative retail electric suppliers; and (4) recovery of 31 the costs associated with the electric utility's compliance 32 with decommissioning funding requirements; and shall not 33 consider any other revenues, costs, investments or cost of 34 capital of either the electric utility or of any affiliate of -47- LRB9215298WHcsA 1 the electric utility that are not associated with the 2 provision of tariffed services. In setting rates for 3 tariffed services, the Commission shall equitably allocate 4 joint and common costs and investments between the electric 5 utility's competitive and tariffed services. In determining 6 the justness and reasonableness of the electric power and 7 energy component of an electric utility's rates for tariffed 8 services subsequent to the mandatory transition period and 9 prior to the time that the provision of such electric power 10 and energy is declared competitive, the Commission shall 11 consider the extent to which the electric utility's tariffed 12 rates for such component for each customer class exceed the 13 market value determined pursuant to Section 16-112, and, if 14 the electric power and energy component of such tariffed rate 15 exceeds the market value by more than 10% for any customer 16 class, may establish such electric power and energy component 17 at a rate equal to the market value plus 10%. In any such 18 case, the Commission may also elect to extend the provisions 19 of Section 16-111(e) for any period in which the electric 20 utility is collecting transition charges, using information 21 applicable to such period. 22 (j) During the mandatory transition period, an electric 23 utility may elect to transfer to a non-operating income 24 account under the Commission's Uniform System of Accounts 25 either or both of (i) an amount of unamortized investment tax 26 credit that is in addition to the ratable amount which is 27 credited to the electric utility's operating income account 28 for the year in accordance with Section 46(f)(2) of the 29 federal Internal Revenue Code of 1986, as in effect prior to 30 P.L. 101-508, or (ii) "excess tax reserves", as that term is 31 defined in Section 203(e)(2)(A) of the federal Tax Reform Act 32 of 1986, provided that (A) the amount transferred may not 33 exceed the amount of the electric utility's assets that were 34 created pursuant to Statement of Financial Accounting -48- LRB9215298WHcsA 1 Standards No. 71 which the electric utility has written off 2 during the mandatory transition period, and (B) the transfer 3 shall not be effective until approved by the Internal Revenue 4 Service. An electric utility electing to make such a 5 transfer shall file a statement with the Commission stating 6 the amount and timing of the transfer for which it intends to 7 request approval of the Internal Revenue Service, along with 8 a copy of its proposed request to the Internal Revenue 9 Service for a ruling. The Commission shall issue an order 10 within 14 days after the electric utility's filing approving, 11 subject to receipt of approval from the Internal Revenue 12 Service, the proposed transfer. 13 (k) If an electric utility is selling or transferring to 14 a single buyer 5 or more generating plants located in this 15 State with a total net dependable capacity of 5000 megawatts 16 or more pursuant to subsection (g) of this Section and has 17 obtained a sale price or consideration that exceeds 200% of 18 the book value of such plants, the electric utility must 19 provide to the Governor, the President of the Illinois 20 Senate, the Minority Leader of the Illinois Senate, the 21 Speaker of the Illinois House of Representatives, and the 22 Minority Leader of the Illinois House of Representatives no 23 later than 15 days after filing its notice under subsection 24 (g) of this Section or 5 days after the date on which this 25 subsection (k) becomes law, whichever is later, a written 26 commitment in which such electric utility agrees to expend $2 27 billion outside the corporate limits of any municipality with 28 1,000,000 or more inhabitants within such electric utility's 29 service area, over a 6-year period beginning with the 30 calendar year in which the notice is filed, on projects, 31 programs, and improvements within its service area relating 32 to transmission and distribution including, without 33 limitation, infrastructure expansion, repair and replacement, 34 capital investments, operations and maintenance, and -49- LRB9215298WHcsA 1 vegetation management. 2 (Source: P.A. 90-561, eff. 12-16-97; 90-563, eff. 12-16-97; 3 91-50, eff. 6-30-99.) 4 Section 99. Effective date. This Act takes effect upon 5 becoming law. -50- LRB9215298WHcsA 1 INDEX 2 Statutes amended in order of appearance 3 305 ILCS 20/1 from Ch. 111 2/3, par. 1401 4 305 ILCS 20/2 from Ch. 111 2/3, par. 1402 5 305 ILCS 20/4 from Ch. 111 2/3, par. 1404 6 305 ILCS 20/5 from Ch. 111 2/3, par. 1405 7 305 ILCS 20/6 from Ch. 111 2/3, par. 1406 8 305 ILCS 20/7 from Ch. 111 2/3, par. 1407 9 305 ILCS 20/8 from Ch. 111 2/3, par. 1408 10 305 ILCS 20/13 11 305 ILCS 20/7.1 rep. 12 305 ILCS 20/9 rep. 13 305 ILCS 20/12 rep. 14 305 ILCS 20/14 rep. 15 20 ILCS 687/6-5 16 220 ILCS 5/8-207 from Ch. 111 2/3, par. 8-207 17 220 ILCS 5/16-108 18 220 ILCS 5/16-111