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Public Act 91-0036
SB1018 Enrolled LRB9105635MWpc
AN ACT to amend the Environmental Protection Act by
changing Sections 19.2, 19.3, 19.4, 19.5, 19.6, 19.8, 22.2,
58, and 58.3 and adding Section 58.15.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Environmental Protection Act is amended
by changing Sections 19.2, 19.3, 19.4, 19.5, 19.6, 19.8,
22.2, 58, and 58.3 and adding Section 58.15 as follows:
(415 ILCS 5/19.2) (from Ch. 111 1/2, par. 1019.2)
Sec. 19.2. As used in this Title, unless the context
clearly requires otherwise:
(a) "Agency" means the Illinois Environmental Protection
Agency.
(b) "Fund" means the Water Revolving Fund created
pursuant to this Title, consisting of the Water Pollution
Control Loan Program, the Public Water Supply Loan Program,
and the Loan Support Program.
(c) "Loan" means a loan made from the Water Pollution
Control Loan Program or the Public Water Supply Loan Program
to an eligible applicant local government unit as a result of
a contractual agreement between the Agency and such applicant
unit.
(d) "Construction" means any one or more of the
following which is undertaken for a public purpose:
preliminary planning to determine the feasibility of the
treatment works or public water supply, engineering,
architectural, legal, fiscal or economic investigations or
studies, surveys, designs, plans, working drawings,
specifications, procedures or other necessary actions,
erection, building, acquisition, alteration, remodeling,
improvement or extension of treatment works or public water
supplies, or the inspection or supervision of any of the
foregoing items. "Construction" also includes implementation
of source water quality protection measures and establishment
and implementation of wellhead protection programs in
accordance with Section 1452(k)(1) of the federal Safe
Drinking Water Act.
(e) "Intended use plan" means a plan which includes a
description of the short and long term goals and objectives
of the Water Pollution Control Loan Program and the Public
Water Supply Loan Program, project categories, discharge
requirements, terms of financial assistance and the loan
applicants communities to be served.
(f) "Treatment works" means any devices and systems
owned by a local government unit and used in the storage,
treatment, recycling, and reclamation of sewerage or
industrial wastes of a liquid nature, including intercepting
sewers, outfall sewers, sewage collection systems, pumping
power and other equipment, and appurtenances; extensions,
improvements, remodeling, additions, and alterations thereof;
elements essential to provide a reliable recycled supply,
such as standby treatment units and clear well facilities;
and any works, including site acquisition of the land that
will be an integral part of the treatment process for
wastewater facilities.
(g) "Local government unit" means a county,
municipality, township, municipal or county sewerage or
utility authority, sanitary district, public water district,
improvement authority or any other political subdivision
whose primary purpose is to construct, operate and maintain
wastewater treatment facilities or public water supply
facilities or both.
(Source: P.A. 89-27, eff. 1-1-96; 90-121, eff. 7-17-97.)
(415 ILCS 5/19.3) (from Ch. 111 1/2, par. 1019.3)
Sec. 19.3. Water Revolving Fund.
(a) There is hereby created within the State Treasury a
Water Revolving Fund, consisting of 3 interest-bearing
special programs to be known as the Water Pollution Control
Loan Program, the Public Water Supply Loan Program, and the
Loan Support Program, which shall be used and administered by
the Agency.
(b) The Water Pollution Control Loan Program shall be
used and administered by the Agency to provide assistance to
local government units for the following public purposes:
(1) to accept and retain funds from grant awards,
appropriations, transfers, and payments of interest and
principal;
(2) to make direct loans at or below market
interest rates to any eligible local government unit to
finance the construction of wastewater treatments works;
(3) to make direct loans at or below market
interest rates to any eligible local government unit to
buy or refinance debt obligations for treatment works
incurred after March 7, 1985;
(3.5) to make direct loans at or below market
interest rates for the implementation of a management
program established under Section 319 of the Federal
Water Pollution Control Act, as amended;
(4) to guarantee or purchase insurance for local
obligations where such action would improve credit market
access or reduce interest rates;
(5) as a source of revenue or security for the
payment of principal and interest on revenue or general
obligation bonds issued by the State or any political
subdivision or instrumentality thereof, if the proceeds
of such bonds will be deposited in the Fund;
(6) to finance the reasonable costs incurred by the
Agency in the administration of the Fund; and
(7) to transfer funds to the Public Water Supply
Loan Program.
(c) The Loan Support Program shall be used and
administered by the Agency for the following purposes:
(1) to accept and retain funds from grant awards
and appropriations;
(2) to finance the reasonable costs incurred by the
Agency in the administration of the Fund, including
activities under Title III of this Act, including the
administration of the State construction grant program;
(3) to transfer funds to the Water Pollution
Control Loan Program and the Public Water Supply Loan
Program;
(4) to accept and retain a portion of the loan
repayments;
(5) to finance the development of the low interest
loan program for public water supply projects;
(6) to finance the reasonable costs incurred by the
Agency to provide technical assistance for public water
supplies; and
(7) to finance the reasonable costs incurred by the
Agency for public water system supervision programs, to
administer or provide for technical assistance through
source water protection programs, to develop and
implement a capacity development strategy, to delineate
and assess source water protection areas, and for an
operator certification program in accordance with Section
1452 of the federal Safe Drinking Water Act.
(d) The Public Water Supply Loan Program shall be used
and administered by the Agency to provide assistance to local
government units for public water supplies for the following
public purposes:
(1) to accept and retain funds from grant awards,
appropriations, transfers, and payments of interest and
principal;
(2) to make direct loans at or below market
interest rates to any eligible local government unit to
finance the construction of public water supplies;
(3) to buy or refinance the debt obligation of a
local government unit for costs incurred on or after the
effective date of this amendatory Act of 1997;
(4) to guarantee local obligations where such
action would improve credit market access or reduce
interest rates;
(5) as a source of revenue or security for the
payment of principal and interest on revenue or general
obligation bonds issued by the State or any political
subdivision or instrumentality thereof, if the proceeds
of such bonds will be deposited into the Fund; and
(6) to transfer funds to the Water Pollution
Control Loan Program.
(e) The Agency is designated as the administering
agency of the Fund. The Agency shall submit to the Regional
Administrator of the United States Environmental Protection
Agency an intended use plan which outlines the proposed use
of funds available to the State. The Agency shall take all
actions necessary to secure to the State the benefits of the
federal Water Pollution Control Act and the federal Safe
Drinking Water Act, as now or hereafter amended.
(f) The Agency shall have the power to enter into
intergovernmental agreements with the federal government or
the State, or any instrumentality thereof, for purposes of
capitalizing the Water Revolving Fund. Moneys on deposit in
the Water Revolving Fund may be used for the creation of
reserve funds or pledged funds that secure the obligations of
repayment of loans made pursuant to this Section. For the
purpose of obtaining capital for deposit into the Water
Revolving Fund, the Agency may also enter into agreements
with financial institutions and other persons for the purpose
of selling loans and developing a secondary market for such
loans. The Agency shall have the power to create and
establish such reserve funds and accounts as may be necessary
or desirable to accomplish its purposes under this subsection
and to allocate its available moneys into such funds and
accounts. Investment earnings on moneys held in the Water
Revolving Fund, including any reserve fund or pledged fund,
shall be deposited into the Water Revolving Fund.
(Source: P.A. 89-27, eff. 1-1-96; 90-121, eff. 7-17-97.)
(415 ILCS 5/19.4) (from Ch. 111 1/2, par. 1019.4)
Sec. 19.4. (a) The Agency shall have the authority to
promulgate regulations to set forth procedures and criteria
concerning loan applications. For units of local government,
the regulations shall include, but need not be limited to,
the following elements:,
(1) loan application requirements;
(2) determination of credit worthiness of the loan
applicant;
(3) special loan terms, as necessary, for securing
the repayment of the loan;
(4) assurance of payment;,
(5) interest rates;,
(6) loan support rates;,
(7) impact on user charges;,
(8) eligibility of proposed construction;,
(9) priority of needs;,
(10) special loan terms for disadvantaged
communities;, and
(11) maximum limits on annual distributions of
funds to applicants or groups of applicants;.
(12) penalties for noncompliance with loan
requirements and conditions, including stop-work orders,
termination, and recovery of loan funds; and
(13) indemnification of the State of Illinois and
the Agency by the loan recipient.
(b) The Agency shall have the authority to promulgate
regulations to set forth procedures and criteria concerning
loan applications for loan recipients other than units of
local government. In addition to all of the elements
required for units of local government under subsection (a),
the regulations shall include, but need not be limited to,
the following elements:
(1) types of security required for the loan;
(2) types of collateral, as necessary, that can be
pledged for the loan; and
(3) staged access to fund privately owned community
water supplies.
(c) The Agency shall develop and maintain a priority
list of loan applicants as categorized by need. Priority in
making loans from the Water Pollution Control Loan Program
must first be given to local government units which need to
make capital improvements to achieve compliance with National
Pollutant Discharge Elimination System permit requirements
pursuant to the federal Water Quality Act of 1987 and this
Act. Priority in making loans from the Public Water Supply
Loan Program must first be given to local government units
that need to make capital improvements to protect human
health and to achieve compliance with the State and federal
primary drinking water standards adopted pursuant to this Act
and the federal Safe Drinking Water Act, as now and hereafter
amended.
(Source: P.A. 89-27, eff. 1-1-96; 90-121, eff. 7-17-97.)
(415 ILCS 5/19.5) (from Ch. 111 1/2, par. 1019.5)
Sec. 19.5. Loans; repayment.
(a) The Agency shall have the authority to make loans
for a public purpose to local government units for the
construction of treatment works and public water supplies
pursuant to the regulations promulgated under Section 19.4.
(b) Loans made from the Fund shall provide for:
(1) a schedule of disbursement of proceeds;
(2) a fixed rate that includes interest and loan
support based upon priority, but the loan support rate
shall not exceed one-half of the fixed rate established
for each loan;
(3) a schedule of repayment;
(4) initiation of principal repayments within one
year after the project is operational; and
(5) a confession of judgment upon default.
(c) The Agency may amend existing loans to include a
loan support rate only if the overall cost to the loan
recipient is not increased.
(d) A local government unit shall secure the payment of
its obligations to the Fund by a dedicated source of
repayment, including revenues derived from the imposition of
rates, fees and charges. Other loan applicants shall secure
the payment of their obligations by appropriate security and
collateral pursuant to regulations promulgated under Section
19.4. In the event of a delinquency as to payments to the
Fund, the local government unit shall revise its rates, fees
and charges to meet its obligations.
(Source: P.A. 89-27, eff. 1-1-96; 90-121, eff. 7-17-97.)
(415 ILCS 5/19.6) (from Ch. 111 1/2, par. 1019.6)
Sec. 19.6. Delinquent loan repayment.
(a) In the event that a timely payment is not made by a
loan recipient local government unit according to the loan
schedule of repayment, the loan recipient local government
unit shall notify the Agency in writing within 15 days after
the payment due date. The notification shall include a
statement of the reasons the payment was not timely tendered,
the circumstances under which the late payments will be
satisfied, and binding commitments to assure future payments.
After receipt of this notification, the Agency shall confirm
in writing the acceptability of the plan or take action in
accordance with subsection (b) of this Section.
(b) In the event that a loan recipient local government
unit fails to comply with subsection (a) of this Section, the
Agency shall promptly issue a notice of delinquency to the
loan recipient, local government unit which shall require a
written response within 15 30 days. The notice of
delinquency shall require that the loan recipient local
government unit revise its rates, fees and charges to meet
its obligations pursuant to subsection (d) of Section 19.5 or
take other specified actions as may be appropriate to remedy
the delinquency and to assure future payments.
(c) In the event that the loan recipient local
government unit fails to timely or adequately respond to a
notice of delinquency, or fails to meet its obligations made
pursuant to subsections (a) and (b) of this Section, the
Agency shall pursue the collection of the amounts past due,
the outstanding loan balance and the costs thereby incurred,
either pursuant to the Illinois State Collection Act of 1986
or by any other reasonable means as may be provided by law,
including the taking of title by foreclosure or otherwise to
any project or other property pledged, mortgaged, encumbered,
or otherwise available as security or collateral.
(Source: P.A. 90-121, eff. 7-17-97.)
(415 ILCS 5/19.8) (from Ch. 111 1/2, par. 1019.8)
Sec. 19.8. Advisory committees; reports.
(a) The Director of the Agency shall appoint committees
to advise the Agency concerning the financial structure of
the Programs. The committees shall consist of
representatives from appropriate State agencies, the
financial community, engineering societies and other
interested parties. The committees shall meet periodically
and members shall be reimbursed for their ordinary and
necessary expenses incurred in the performance of their
committee duties.
(b) The Agency shall report to the General Assembly by
June 30, 1998 regarding the feasibility of providing drinking
water loans to not-for-profit community water supplies that
serve units of local government and to investor-owned public
utilities. The report shall include a detailed discussion of
all relevant factors and shall include participation from
representatives of the affected entities.
(Source: P.A. 90-121, eff. 7-17-97.)
(415 ILCS 5/22.2) (from Ch. 111 1/2, par. 1022.2)
Sec. 22.2. Hazardous waste; fees; liability.
(a) There are hereby created within the State Treasury 2
special funds to be known respectively as the "Hazardous
Waste Fund" and the "Hazardous Waste Research Fund",
constituted from the fees collected pursuant to this Section.
In addition to the fees collected under this Section, the
Hazardous Waste Fund shall include other moneys made
available from any source for deposit into the Fund.
(b) (1) On and after January 1, 1989, the Agency shall
collect from the owner or operator of each of the
following sites a fee in the amount of:
(A) 6 cents per gallon or $12.12 per cubic
yard of hazardous waste disposed for 1989, 7.5 cents
per gallon or $15.15 per cubic yard for 1990 and 9
cents per gallon or $18.18 per cubic yard
thereafter, if the hazardous waste disposal site is
located off the site where such waste was produced.
The maximum amount payable under this subdivision
(A) with respect to the hazardous waste generated by
a single generator and deposited in monofills is
$20,000 for 1989, $25,000 for 1990, and $30,000 per
year thereafter. If, as a result of the use of
multiple monofills, waste fees in excess of the
maximum are assessed with respect to a single waste
generator, the generator may apply to the Agency for
a credit.
(B) 6 cents per gallon or $12.12 per cubic
yard of hazardous waste disposed for 1989, 7.5 cents
per gallon or $15.15 per cubic yard for 1990 and 9
cents or $18.18 per cubic yard thereafter, if the
hazardous waste disposal site is located on the site
where such waste was produced, provided however the
maximum amount of fees payable under this paragraph
(B) is $20,000 for 1989, $25,000 for 1990 and
$30,000 per year thereafter for each such hazardous
waste disposal site.
(C) If the hazardous waste disposal site is an
underground injection well, $6,000 per year if not
more than 10,000,000 gallons per year are injected,
$15,000 per year if more than 10,000,000 gallons but
not more than 50,000,000 gallons per year are
injected, and $27,000 per year if more than
50,000,000 gallons per year are injected.
(D) 2 cents per gallon or $4.04 per cubic yard
for 1989, 2.5 cents per gallon or $5.05 per cubic
yard for 1990, and 3 cents per gallon or $6.06 per
cubic yard thereafter of hazardous waste received
for treatment at a hazardous waste treatment site,
if the hazardous waste treatment site is located off
the site where such waste was produced and if such
hazardous waste treatment site is owned, controlled
and operated by a person other than the generator of
such waste. After treatment at such hazardous waste
treatment site, the waste shall not be subject to
any other fee imposed by this subsection (b). For
purposes of this subsection (b), the term
"treatment" is defined as in Section 3.49 but shall
not include recycling, reclamation or reuse.
(2) The General Assembly shall annually appropriate
to the Fund such amounts as it deems necessary to fulfill
the purposes of this Act.
(3) The Agency shall have the authority to accept,
receive, and administer on behalf of the State any moneys
made available to the State from any source for the
purposes of the Hazardous Waste Fund set forth in
subsection (d) of this Section. Whenever the unobligated
balance of the Hazardous Waste Fund exceeds $10,000,000,
the Agency shall suspend the collection of the fees
provided for in this Section until the unobligated
balance of the Fund falls below $8,000,000.
(4) Of the amount collected as fees provided for in
this Section, the Agency shall manage the use of such
funds to assure that sufficient funds are available for
match towards federal expenditures for response action at
sites which are listed on the National Priorities List;
provided, however, that this shall not apply to
additional monies appropriated to the Fund by the General
Assembly, nor shall it apply in the event that the
Director finds that revenues in the Hazardous Waste Fund
must be used to address conditions which create or may
create an immediate danger to the environment or public
health or to the welfare of the people of the State of
Illinois.
(5) Notwithstanding the other provisions of this
subsection (b), sludge from a publicly-owned sewage works
generated in Illinois, coal mining wastes and refuse
generated in Illinois, bottom boiler ash, flyash and flue
gas desulphurization sludge from public utility electric
generating facilities located in Illinois, and bottom
boiler ash and flyash from all incinerators which process
solely municipal waste shall not be subject to the fee.
(6) For the purposes of this subsection (b),
"monofill" means a facility, or a unit at a facility,
that accepts only wastes bearing the same USEPA hazardous
waste identification number, or compatible wastes as
determined by the Agency.
(c) The Agency shall establish procedures, not later
than January 1, 1984, relating to the collection of the fees
authorized by this Section. Such procedures shall include,
but not be limited to: (1) necessary records identifying the
quantities of hazardous waste received or disposed; (2) the
form and submission of reports to accompany the payment of
fees to the Agency; and (3) the time and manner of payment of
fees to the Agency, which payments shall be not more often
than quarterly.
(d) Beginning July 1, 1996, the Agency shall deposit all
such receipts in the State Treasury to the credit of the
Hazardous Waste Fund, except as provided in subsection (e) of
this Section. All monies in the Hazardous Waste Fund shall be
used by the Agency for the following purposes:
(1) Taking whatever preventive or corrective action
is necessary or appropriate, in circumstances certified
by the Director, including but not limited to removal or
remedial action whenever there is a release or
substantial threat of a release of a hazardous substance
or pesticide; provided, the Agency shall expend no more
than $1,000,000 on any single incident without
appropriation by the General Assembly.
(2) To meet any requirements which must be met by
the State in order to obtain federal funds pursuant to
the Comprehensive Environmental Response, Compensation
and Liability Act of 1980, (P.L. 96-510).
(3) In an amount up to 30% of the amount collected
as fees provided for in this Section, for use by the
Agency to conduct groundwater protection activities,
including providing grants to appropriate units of local
government which are addressing protection of underground
waters pursuant to the provisions of this Act.
(4) To fund the development and implementation of
the model pesticide collection program under Section 19.1
of the Illinois Pesticide Act.
(5) To the extent the Agency has received and
deposited monies in the Fund other than fees collected
under subsection (b) of this Section, to pay for the cost
of Agency employees for services provided in reviewing
the performance of response actions pursuant to Title
XVII of this Act.
(6) In an amount up to 15% of the fees collected
annually under subsection (b) of this Section, for use by
the Agency for administration of the provisions of this
Section.
(e) The Agency shall deposit 10% of all receipts
collected under subsection (b) of this Section, but not to
exceed $200,000 per year, in the State Treasury to the credit
of the Hazardous Waste Research Fund established by this Act.
Pursuant to appropriation, all monies in such Fund shall be
used by the Department of Natural Resources for the purposes
set forth in this subsection.
The Department of Natural Resources may enter into
contracts with business, industrial, university, governmental
or other qualified individuals or organizations to assist in
the research and development intended to recycle, reduce the
volume of, separate, detoxify or reduce the hazardous
properties of hazardous wastes in Illinois. Monies in the
Fund may also be used by the Department of Natural Resources
for technical studies, monitoring activities, and educational
and research activities which are related to the protection
of underground waters. Monies in the Hazardous Waste
Research Fund may be used to administer the Illinois Health
and Hazardous Substances Registry Act. Monies in the
Hazardous Waste Research Fund shall not be used for any
sanitary landfill or the acquisition or construction of any
facility. This does not preclude the purchase of equipment
for the purpose of public demonstration projects. The
Department of Natural Resources shall adopt guidelines for
cost sharing, selecting, and administering projects under
this subsection.
(f) Notwithstanding any other provision or rule of law,
and subject only to the defenses set forth in subsection (j)
of this Section, the following persons shall be liable for
all costs of removal or remedial action incurred by the State
of Illinois or any unit of local government as a result of a
release or substantial threat of a release of a hazardous
substance or pesticide:
(1) the owner and operator of a facility or vessel
from which there is a release or substantial threat of
release of a hazardous substance or pesticide;
(2) any person who at the time of disposal,
transport, storage or treatment of a hazardous substance
or pesticide owned or operated the facility or vessel
used for such disposal, transport, treatment or storage
from which there was a release or substantial threat of a
release of any such hazardous substance or pesticide;
(3) any person who by contract, agreement, or
otherwise has arranged with another party or entity for
transport, storage, disposal or treatment of hazardous
substances or pesticides owned, controlled or possessed
by such person at a facility owned or operated by another
party or entity from which facility there is a release or
substantial threat of a release of such hazardous
substances or pesticides; and
(4) any person who accepts or accepted any
hazardous substances or pesticides for transport to
disposal, storage or treatment facilities or sites from
which there is a release or a substantial threat of a
release of a hazardous substance or pesticide.
Any monies received by the State of Illinois pursuant to
this subsection (f) shall be deposited in the State Treasury
to the credit of the Hazardous Waste Fund.
In accordance with the other provisions of this Section,
costs of removal or remedial action incurred by a unit of
local government may be recovered in an action before the
Board brought by the unit of local government under
subsection (i) of this Section. Any monies so recovered
shall be paid to the unit of local government.
(g)(1) No indemnification, hold harmless, or similar
agreement or conveyance shall be effective to transfer
from the owner or operator of any vessel or facility or
from any person who may be liable for a release or
substantial threat of a release under this Section, to
any other person the liability imposed under this
Section. Nothing in this Section shall bar any agreement
to insure, hold harmless or indemnify a party to such
agreements for any liability under this Section.
(2) Nothing in this Section, including the
provisions of paragraph (g)(1) of this Section, shall bar
a cause of action that an owner or operator or any other
person subject to liability under this Section, or a
guarantor, has or would have, by reason of subrogation or
otherwise against any person.
(h) For purposes of this Section:
(1) The term "facility" means:
(A) any building, structure, installation,
equipment, pipe or pipeline including but not
limited to any pipe into a sewer or publicly owned
treatment works, well, pit, pond, lagoon,
impoundment, ditch, landfill, storage container,
motor vehicle, rolling stock, or aircraft; or
(B) any site or area where a hazardous
substance has been deposited, stored, disposed of,
placed, or otherwise come to be located.
(2) The term "owner or operator" means:
(A) any person owning or operating a vessel or
facility;
(B) in the case of an abandoned facility, any
person owning or operating the abandoned facility or
any person who owned, operated, or otherwise
controlled activities at the abandoned facility
immediately prior to such abandonment;
(C) in the case of a land trust as defined in
Section 2 of the Land Trustee as Creditor Act, the
person owning the beneficial interest in the land
trust;
(D) in the case of a fiduciary (other than a
land trustee), the estate, trust estate, or other
interest in property held in a fiduciary capacity,
and not the fiduciary. For the purposes of this
Section, "fiduciary" means a trustee, executor,
administrator, guardian, receiver, conservator or
other person holding a facility or vessel in a
fiduciary capacity;
(E) in the case of a "financial institution",
meaning the Illinois Housing Development Authority
and that term as defined in Section 2 of the
Illinois Banking Act, that has acquired ownership,
operation, management, or control of a vessel or
facility through foreclosure or under the terms of a
security interest held by the financial institution
or under the terms of an extension of credit made by
the financial institution, the financial institution
only if the financial institution takes possession
of the vessel or facility and the financial
institution exercises actual, direct, and continual
or recurrent managerial control in the operation of
the vessel or facility that causes a release or
substantial threat of a release of a hazardous
substance or pesticide resulting in removal or
remedial action;
(F) In the case of an owner of residential
property, the owner if the owner is a person other
than an individual, or if the owner is an individual
who owns more than 10 dwelling units in Illinois, or
if the owner, or an agent, representative,
contractor, or employee of the owner, has caused,
contributed to, or allowed the release or threatened
release of a hazardous substance or pesticide. The
term "residential property" means single family
residences of one to 4 dwelling units, including
accessory land, buildings, or improvements
incidental to those dwellings that are exclusively
used for the residential use. For purposes of this
subparagraph (F), the term "individual" means a
natural person, and shall not include corporations,
partnerships, trusts, or other non-natural persons.
(G) In the case of any facility, title or
control of which was conveyed due to bankruptcy,
foreclosure, tax delinquency, abandonment, or
similar means to a unit of State or local
government, any person who owned, operated, or
otherwise controlled activities at the facility
immediately beforehand.
(H) The term "owner or operator" does not
include a unit of State or local government which
acquired ownership or control through bankruptcy,
tax delinquency, abandonment, or other circumstances
in which the government acquires title by virtue of
its function as sovereign. The exclusion provided
under this paragraph shall not apply to any State or
local government which has caused or contributed to
the release or threatened release of a hazardous
substance from the facility, and such a State or
local government shall be subject to the provisions
of this Act in the same manner and to the same
extent, both procedurally and substantively, as any
nongovernmental entity, including liability under
Section 22.2(f).
(i) The costs and damages provided for in this Section
may be imposed by the Board in an action brought before the
Board in accordance with Title VIII of this Act, except that
Section 33(c) of this Act shall not apply to any such action.
(j) (1) There shall be no liability under this Section
for a person otherwise liable who can establish by a
preponderance of the evidence that the release or substantial
threat of release of a hazardous substance and the damages
resulting therefrom were caused solely by:
(A) an act of God;
(B) an act of war;
(C) an act or omission of a third party other than
an employee or agent of the defendant, or other than one
whose act or omission occurs in connection with a
contractual relationship, existing directly or
indirectly, with the defendant (except where the sole
contractual arrangement arises from a published tariff
and acceptance for carriage by a common carrier by rail),
if the defendant establishes by a preponderance of the
evidence that (i) he exercised due care with respect to
the hazardous substance concerned, taking into
consideration the characteristics of such hazardous
substance, in light of all relevant facts and
circumstances, and (ii) he took precautions against
foreseeable acts or omissions of any such third party and
the consequences that could foreseeably result from such
acts or omissions; or
(D) any combination of the foregoing paragraphs.
(2) There shall be no liability under this Section for
any release permitted by State or federal law.
(3) There shall be no liability under this Section for
damages as a result of actions taken or omitted in the course
of rendering care, assistance, or advice in accordance with
this Section or the National Contingency Plan pursuant to the
Comprehensive Environmental Response, Compensation and
Liability Act of 1980 (P.L. 96-510) or at the direction of an
on-scene coordinator appointed under such plan, with respect
to an incident creating a danger to public health or welfare
or the environment as a result of any release of a hazardous
substance or a substantial threat thereof. This subsection
shall not preclude liability for damages as the result of
gross negligence or intentional misconduct on the part of
such person. For the purposes of the preceding sentence,
reckless, willful, or wanton misconduct shall constitute
gross negligence.
(4) There shall be no liability under this Section for
any person (including, but not limited to, an owner of
residential property who applies a pesticide to the
residential property or who has another person apply a
pesticide to the residential property) for response costs or
damages as the result of the storage, handling and use, or
recommendation for storage, handling and use, of a pesticide
consistent with:
(A) its directions for storage, handling and use as
stated in its label or labeling;
(B) its warnings and cautions as stated in its
label or labeling; and
(C) the uses for which it is registered under the
Federal Insecticide, Fungicide and Rodenticide Act and
the Illinois Pesticide Act.
(4.5) There shall be no liability under subdivision
(f)(1) of this Section for response costs or damages as the
result of a release of a pesticide from an agrichemical
facility site if the Agency has received notice from the
Department of Agriculture pursuant to Section 19.3 of the
Illinois Pesticide Act, the owner or operator of the
agrichemical facility is proceeding with a corrective action
plan under the Agrichemical Facility Response Action Program
implemented under that Section, and the Agency has provided a
written endorsement of a corrective action plan.
(4.6) There shall be no liability under subdivision
(f)(1) of this Section for response costs or damages as the
result of a substantial threat of a release of a pesticide
from an agrichemical facility site if the Agency has received
notice from the Department of Agriculture pursuant to Section
19.3 of the Illinois Pesticide Act and the owner or operator
of the agrichemical facility is proceeding with a corrective
action plan under the Agrichemical Facility Response Action
Program implemented under that Section.
(5) Nothing in this subsection (j) shall affect or
modify in any way the obligations or liability of any person
under any other provision of this Act or State or federal
law, including common law, for damages, injury, or loss
resulting from a release or substantial threat of a release
of any hazardous substance or for removal or remedial action
or the costs of removal or remedial action of such hazardous
substance.
(6)(A) The term "contractual relationship", for the
purpose of this subsection includes, but is not limited to,
land contracts, deeds or other instruments transferring title
or possession, unless the real property on which the facility
concerned is located was acquired by the defendant after the
disposal or placement of the hazardous substance on, in, or
at the facility, and one or more of the circumstances
described in clause (i), (ii), or (iii) of this paragraph is
also established by the defendant by a preponderance of the
evidence:
(i) At the time the defendant acquired the facility
the defendant did not know and had no reason to know that
any hazardous substance which is the subject of the
release or threatened release was disposed of on, in or
at the facility.
(ii) The defendant is a government entity which
acquired the facility by escheat, or through any other
involuntary transfer or acquisition, or through the
exercise of eminent domain authority by purchase or
condemnation.
(iii) The defendant acquired the facility by
inheritance or bequest.
In addition to establishing the foregoing, the defendant
must establish that he has satisfied the requirements of
subparagraph (C) of paragraph (l) of this subsection (j).
(B) To establish the defendant had no reason to know, as
provided in clause (i) of subparagraph (A) of this paragraph,
the defendant must have undertaken, at the time of
acquisition, all appropriate inquiry into the previous
ownership and uses of the property consistent with good
commercial or customary practice in an effort to minimize
liability. For purposes of the preceding sentence, the court
shall take into account any specialized knowledge or
experience on the part of the defendant, the relationship of
the purchase price to the value of the property if
uncontaminated, commonly known or reasonably ascertainable
information about the property, the obviousness of the
presence or likely presence of contamination at the property,
and the ability to detect such contamination by appropriate
inspection.
(C) Nothing in this paragraph (6) or in subparagraph (C)
of paragraph (1) of this subsection shall diminish the
liability of any previous owner or operator of such facility
who would otherwise be liable under this Act. Notwithstanding
this paragraph (6), if the defendant obtained actual
knowledge of the release or threatened release of a hazardous
substance at such facility when the defendant owned the real
property and then subsequently transferred ownership of the
property to another person without disclosing such knowledge,
such defendant shall be treated as liable under subsection
(f) of this Section and no defense under subparagraph (C) of
paragraph (1) of this subsection shall be available to such
defendant.
(D) Nothing in this paragraph (6) shall affect the
liability under this Act of a defendant who, by any act or
omission, caused or contributed to the release or threatened
release of a hazardous substance which is the subject of the
action relating to the facility.
(E) (i) Except as provided in clause (ii) of this
subparagraph (E), a defendant who has acquired real property
shall have established a rebuttable presumption against all
State claims and a conclusive presumption against all private
party claims that the defendant has made all appropriate
inquiry within the meaning of subdivision (6)(B) of this
subsection (j) if the defendant proves that immediately prior
to or at the time of the acquisition:
(I) the defendant obtained a Phase I Environmental
Audit of the real property that meets or exceeds the
requirements of this subparagraph (E), and the Phase I
Environmental Audit did not disclose the presence or
likely presence of a release or a substantial threat of a
release of a hazardous substance or pesticide at, on, to,
or from the real property; or
(II) the defendant obtained a Phase II
Environmental Audit of the real property that meets or
exceeds the requirements of this subparagraph (E), and
the Phase II Environmental Audit did not disclose the
presence or likely presence of a release or a substantial
threat of a release of a hazardous substance or pesticide
at, on, to, or from the real property.
(ii) No presumption shall be created under clause (i) of
this subparagraph (E), and a defendant shall be precluded
from demonstrating that the defendant has made all
appropriate inquiry within the meaning of subdivision (6)(B)
of this subsection (j), if:
(I) the defendant fails to obtain all Environmental
Audits required under this subparagraph (E) or any such
Environmental Audit fails to meet or exceed the
requirements of this subparagraph (E);
(II) a Phase I Environmental Audit discloses the
presence or likely presence of a release or a substantial
threat of a release of a hazardous substance or pesticide
at, on, to, or from real property, and the defendant
fails to obtain a Phase II Environmental Audit;
(III) a Phase II Environmental Audit discloses the
presence or likely presence of a release or a substantial
threat of a release of a hazardous substance or pesticide
at, on, to, or from the real property;
(IV) the defendant fails to maintain a written
compilation and explanatory summary report of the
information reviewed in the course of each Environmental
Audit under this subparagraph (E); or
(V) there is any evidence of fraud, material
concealment, or material misrepresentation by the
defendant of environmental conditions or of related
information discovered during the course of an
Environmental Audit.
(iii) For purposes of this subparagraph (E), the term
"environmental professional" means an individual (other than
a practicing attorney) who, through academic training,
occupational experience, and reputation (such as engineers,
industrial hygienists, or geologists) can objectively conduct
one or more aspects of an Environmental Audit and who either:
(I) maintains at the time of the Environmental
Audit and for at least one year thereafter at least
$500,000 of environmental consultants' professional
liability insurance coverage issued by an insurance
company licensed to do business in Illinois; or
(II) is an Illinois licensed professional engineer
or an Illinois licensed industrial hygienist.
An environmental professional may employ persons who are
not environmental professionals to assist in the preparation
of an Environmental Audit if such persons are under the
direct supervision and control of the environmental
professional.
(iv) For purposes of this subparagraph (E), the term
"real property" means any interest in any parcel of land, and
shall not be limited to the definition of the term "real
property" contained in the Responsible Property Transfer Act
of 1988. For purposes of this subparagraph (E), the term
"real property" includes, but is not limited to, buildings,
fixtures, and improvements.
(v) For purposes of this subparagraph (E), the term
"Phase I Environmental Audit" means an investigation of real
property, conducted by environmental professionals, to
discover the presence or likely presence of a release or a
substantial threat of a release of a hazardous substance or
pesticide at, on, to, or from real property, and whether a
release or a substantial threat of a release of a hazardous
substance or pesticide has occurred or may occur at, on, to,
or from the real property. The investigation shall include a
review of at least each of the following sources of
information concerning the current and previous ownership and
use of the real property:
(I) Recorded chain of title documents regarding the
real property, including all deeds, easements, leases,
restrictions, and covenants for a period of 50 years.
(II) Aerial photographs that may reflect prior uses
of the real property and that are reasonably obtainable
through State, federal, or local government agencies or
bodies.
(III) Recorded environmental cleanup liens, if any,
against the real property that have arisen pursuant to
this Act or federal statutes.
(IV) Reasonably obtainable State, federal, and
local government records of sites or facilities at, on,
or near the real property to discover the presence or
likely presence of a hazardous substance or pesticide,
and whether a release or a substantial threat of a
release of a hazardous substance or pesticide has
occurred or may occur at, on, to, or from the real
property. Such government records shall include, but not
be limited to: reasonably obtainable State, federal, and
local government investigation reports for those sites or
facilities; reasonably obtainable State, federal, and
local government records of activities likely to cause or
contribute to a release or a threatened release of a
hazardous substance or pesticide at, on, to, or from the
real property, including landfill and other treatment,
storage, and disposal location records, underground
storage tank records, hazardous waste transporter and
generator records, and spill reporting records; and other
reasonably obtainable State, federal, and local
government environmental records that report incidents or
activities that are likely to cause or contribute to a
release or a threatened release of a hazardous substance
or pesticide at, on, to, or from the real property. In
order to be deemed "reasonably obtainable" as required
herein, a copy or reasonable facsimile of the record must
be obtainable from the government agency by request and
upon payment of a processing fee, if any, established by
the government agency. The Agency is authorized to
establish a reasonable fee for processing requests
received under this subparagraph (E) for records. All
fees collected by the Agency under this clause (v)(IV)
shall be deposited into the Environmental Protection
Permit and Inspection Fund in accordance with Section
22.8. Notwithstanding any other law, if the fee is paid,
commencing on the effective date of this amendatory Act
of 1993 and until one year after the effective date of
this amendatory Act of 1993, the Agency shall use its
best efforts to process a request received under this
subparagraph (E) as expeditiously as possible.
Notwithstanding any other law, commencing one year after
the effective date of this amendatory Act of 1993, if the
fee is paid, the Agency shall process a request received
under this subparagraph (E) for records within 30 days of
the receipt of such request.
(V) A visual site inspection of the real property
and all facilities and improvements on the real property
and a visual inspection of properties immediately
adjacent to the real property, including an investigation
of any use, storage, treatment, spills from use, or
disposal of hazardous substances, hazardous wastes, solid
wastes, or pesticides. If the person conducting the
investigation is denied access to any property adjacent
to the real property, the person shall conduct a visual
inspection of that adjacent property from the property to
which the person does have access and from public
rights-of-way.
(VI) A review of business records for activities at
or on the real property for a period of 50 years.
(vi) For purposes of subparagraph (E), the term "Phase
II Environmental Audit" means an investigation of real
property, conducted by environmental professionals,
subsequent to a Phase I Environmental Audit. If the Phase I
Environmental Audit discloses the presence or likely presence
of a hazardous substance or a pesticide or a release or a
substantial threat of a release of a hazardous substance or
pesticide:
(I) In or to soil, the defendant, as part of the
Phase II Environmental Audit, shall perform a series of
soil borings sufficient to determine whether there is a
presence or likely presence of a hazardous substance or
pesticide and whether there is or has been a release or a
substantial threat of a release of a hazardous substance
or pesticide at, on, to, or from the real property.
(II) In or to groundwater, the defendant, as part
of the Phase II Environmental Audit, shall: review
information regarding local geology, water well
locations, and locations of waters of the State as may be
obtained from State, federal, and local government
records, including but not limited to the United States
Geological Service, the State Geological Survey Division
of the Department of Natural Resources, and the State
Water Survey Division of the Department of Natural
Resources; and perform groundwater monitoring sufficient
to determine whether there is a presence or likely
presence of a hazardous substance or pesticide, and
whether there is or has been a release or a substantial
threat of a release of a hazardous substance or pesticide
at, on, to, or from the real property.
(III) On or to media other than soil or
groundwater, the defendant, as part of the Phase II
Environmental Audit, shall perform an investigation
sufficient to determine whether there is a presence or
likely presence of a hazardous substance or pesticide,
and whether there is or has been a release or a
substantial threat of a release of a hazardous substance
or pesticide at, on, to, or from the real property.
(vii) The findings of each Environmental Audit prepared
under this subparagraph (E) shall be set forth in a written
audit report. Each audit report shall contain an affirmation
by the defendant and by each environmental professional who
prepared the Environmental Audit that the facts stated in the
report are true and are made under a penalty of perjury as
defined in Section 32-2 of the Criminal Code of 1961. It is
perjury for any person to sign an audit report that contains
a false material statement that the person does not believe
to be true.
(viii) The Agency is not required to review, approve, or
certify the results of any Environmental Audit. The
performance of an Environmental Audit shall in no way entitle
a defendant to a presumption of Agency approval or
certification of the results of the Environmental Audit.
The presence or absence of a disclosure document prepared
under the Responsible Property Transfer Act of 1988 shall not
be a defense under this Act and shall not satisfy the
requirements of subdivision (6)(A) of this subsection (j).
(7) No person shall be liable under this Section for
response costs or damages as the result of a pesticide
release if the Agency has found that a pesticide release
occurred based on a Health Advisory issued by the U.S.
Environmental Protection Agency or an action level developed
by the Agency, unless the Agency notified the manufacturer of
the pesticide and provided an opportunity of not less than 30
days for the manufacturer to comment on the technical and
scientific justification supporting the Health Advisory or
action level.
(8) No person shall be liable under this Section for
response costs or damages as the result of a pesticide
release that occurs in the course of a farm pesticide
collection program operated under Section 19.1 of the
Illinois Pesticide Act, unless the release results from gross
negligence or intentional misconduct.
(k) If any person who is liable for a release or
substantial threat of release of a hazardous substance or
pesticide fails without sufficient cause to provide removal
or remedial action upon or in accordance with a notice and
request by the Agency or upon or in accordance with any order
of the Board or any court, such person may be liable to the
State for punitive damages in an amount at least equal to,
and not more than 3 times, the amount of any costs incurred
by the State of Illinois as a result of such failure to take
such removal or remedial action. The punitive damages
imposed by the Board shall be in addition to any costs
recovered from such person pursuant to this Section and in
addition to any other penalty or relief provided by this Act
or any other law.
Any monies received by the State pursuant to this
subsection (k) shall be deposited in the Hazardous Waste
Fund.
(l) Beginning January 1, 1988, the Agency shall annually
collect a $250 fee for each Special Waste Hauling Permit
Application and, in addition, shall collect a fee of $20 for
each waste hauling vehicle identified in the annual permit
application and for each vehicle which is added to the permit
during the annual period. The Agency shall deposit 85% of
such fees collected under this subsection in the State
Treasury to the credit of the Hazardous Waste Research Fund;
and shall deposit the remaining 15% of such fees collected in
the State Treasury to the credit of the Environmental
Protection Permit and Inspection Fund. The majority of such
receipts which are deposited in the Hazardous Waste Research
Fund pursuant to this subsection shall be used by the
Department of Natural Resources for activities which relate
to the protection of underground waters. Persons engaged in
the offsite transportation of hazardous waste by highway and
participating in the Uniform Program under subsection (l-5)
are not required to file a Special Waste Hauling Permit
Application.
(l-5) (1) As used in this subsection:
"Base state" means the state selected by a
transporter according to the procedures established under
the Uniform Program.
"Base state agreement" means an agreement between
participating states electing to register or permit
transporters.
"Participating state" means a state electing to
participate in the Uniform Program by entering into a
base state agreement.
"Transporter" means a person engaged in the offsite
transportation of hazardous waste by highway.
"Uniform application" means the uniform registration
and permit application form prescribed under the Uniform
Program.
"Uniform Program" means the Uniform State Hazardous
Materials Transportation Registration and Permit Program
established in the report submitted and amended pursuant
to 49 U.S.C. Section 5119(b), as implemented by the
Agency under this subsection.
"Vehicle" means any self-propelled motor vehicle,
except a truck tractor without a trailer, designed or
used for the transportation of hazardous waste subject to
the hazardous waste manifesting requirements of 40 U.S.C.
Section 6923(a)(3).
(2) Beginning July 1, 1998, the Agency shall
implement the Uniform State Hazardous Materials
Transportation Registration and Permit Program. On and
after that date, no person shall engage in the offsite
transportation of hazardous waste by highway without
registering and obtaining a permit under the Uniform
Program. A transporter with its principal place of
business in Illinois shall register with and obtain a
permit from the Agency. A transporter that designates
another participating state in the Uniform Program as its
base state shall likewise register with and obtain a
permit from that state before transporting hazardous
waste in Illinois.
(3) Beginning July 1, 1998, the Agency shall
annually collect no more than a $250 processing and audit
fee from each transporter of hazardous waste who has
filed a uniform application and, in addition, the Agency
shall annually collect an apportioned vehicle
registration fee of $20. The amount of the apportioned
vehicle registration fee shall be calculated consistent
with the procedures established under the Uniform
Program.
All moneys received by the Agency from the
collection of fees pursuant to the Uniform Program shall
be deposited into the Hazardous Waste Transporter account
hereby created within the Environmental Protection Permit
and Inspection Fund. Moneys remaining in the account at
the close of the fiscal year shall not lapse to the
General Revenue Fund. The State Treasurer may receive
money or other assets from any source for deposit into
the account. The Agency may expend moneys from the
account, upon appropriation, for the implementation of
the Uniform Program, including the costs to the Agency of
fee collection and administration. In addition, funds
not expended for the implementation of the Uniform
Program may be utilized for emergency response and
cleanup activities related to hazardous waste
transportation that are initiated by the Agency.
Whenever the amount of the Hazardous Waste
Transporter account exceeds by 115% the amount annually
appropriated by the General Assembly, the Agency shall credit
participating transporters an amount, proportionately based
on the amount of the vehicle fee paid, equal to the excess in
the account, and shall determine the need to reduce the
amount of the fee charged transporters in the subsequent
fiscal year by the amount of the credit.
(4) (A) The Agency may propose and the Board shall
adopt rules as necessary to implement and enforce the
Uniform Program. The Agency is authorized to enter into
agreements with other agencies of this State as necessary
to carry out administrative functions or enforcement of
the Uniform Program.
(B) The Agency shall recognize a Uniform Program
registration as valid for one year from the date a notice
of registration form is issued and a permit as valid for
3 years from the date issued or until a transporter fails
to renew its registration, whichever occurs first.
(C) The Agency may inspect or examine any motor
vehicle or facility operated by a transporter, including
papers, books, records, documents, or other materials to
determine if a transporter is complying with the Uniform
Program. The Agency may also conduct investigations and
audits as necessary to determine if a transporter is
entitled to a permit or to make suspension or revocation
determinations consistent with the standards of the
Uniform Program.
(5) The Agency may enter into agreements with
federal agencies, national repositories, or other
participating states as necessary to allow for the
reciprocal registration and permitting of transporters
pursuant to the Uniform Program. The agreements may
include procedures for determining a base state, the
collection and distribution of registration fees, dispute
resolution, the exchange of information for reporting and
enforcement purposes, and other provisions necessary to
fully implement, administer, and enforce the Uniform
Program.
(m) (Blank).
(n) (Blank).
(Source: P.A. 89-94, eff. 7-6-95; 89-158, eff. 1-1-96;
89-431, eff. 12-15-95; 89-443, eff. 7-1-96; 89-445, eff.
2-7-96; 89-626, eff. 8-9-96; 90-14, eff. 7-1-97; 90-219, eff.
7-25-97; 90-773, eff. 8-14-98.)
(415 ILCS 5/58)
Sec. 58. Intent. It is the intent of this Title:
(1) To establish a risk-based system of remediation
based on protection of human health and the environment
relative to present and future uses of the site.
(2) To assure that the land use for which remedial
action was undertaken will not be modified without
consideration of the adequacy of such remedial action for
the new land use.
(3) To provide incentives to the private sector to
undertake remedial action.
(4) To establish expeditious alternatives for the
review of site investigation and remedial activities,
including a privatized review process.
(5) To assure that the resources of the Hazardous
Waste Fund are used in a manner that is protective of
human health and the environment relative to present and
future uses of the site and surrounding area.
(6) To provide assistance to units of local
government for remediation of properties contaminated or
potentially contaminated by commercial, industrial, or
other uses, to provide loans for the redevelopment of
brownfields, and to establish and provide for the
administration of the Brownfields Redevelopment Fund.
(Source: P.A. 89-431, eff. 12-15-95; 89-443, eff. 7-1-96;
90-123, eff. 7-21-97.)
(415 ILCS 5/58.3)
Sec. 58.3. Site Investigation and Remedial Activities
Program; Brownfields Redevelopment Fund.
(a) The General Assembly hereby establishes by this
Title a Site Investigation and Remedial Activities Program
for sites subject to this Title. This program shall be
administered by the Illinois Environmental Protection Agency
under this Title XVII and rules adopted by the Illinois
Pollution Control Board.
(b) (1) The General Assembly hereby creates within the
State Treasury a special fund to be known as the
Brownfields Redevelopment Fund, consisting of 2 programs
to be known as the "Brownfields Redevelopment Grant
Program" and the "Brownfields Redevelopment Loan
Program", which shall be used and administered by the
Agency as provided in Sections Section 58.13 and 58.15 of
this Act and the rules adopted under those Sections that
Section. The Brownfields Redevelopment Fund ("Fund")
shall contain moneys transferred from the Response
Contractors Indemnification Fund and other moneys made
available for deposit into the Fund.
(2) The State Treasurer, ex officio, shall be the
custodian of the Fund, and the Comptroller shall direct
payments from the Fund upon vouchers properly certified
by the Agency. The Treasurer shall credit to the Fund
interest earned on moneys contained in the Fund. The
Agency shall have the authority to accept, receive, and
administer on behalf of the State any grants, gifts,
loans, reimbursements or payments for services, or other
moneys made available to the State from any source for
purposes of the Fund. Those moneys shall be deposited
into the Fund, unless otherwise required by the
Environmental Protection Act or by federal law.
(3) Pursuant to appropriation, all moneys in the
Fund shall be used by the Agency for the purposes set
forth in subdivision (b)(4) of this Section and Sections
Section 58.13 and 58.15 of this Act and to cover the
Agency's costs of program development and administration
under those Sections that Section.
(4) The Agency shall have the power to enter into
intergovernmental agreements with the federal government
or the State, or any instrumentality thereof, for
purposes of capitalizing the Brownfields Redevelopment
Fund. Moneys on deposit in the Brownfields Redevelopment
Fund may be used for the creation of reserve funds or
pledged funds that secure the obligations of repayment of
loans made pursuant to Section 58.15 of this Act. For
the purpose of obtaining capital for deposit into the
Brownfields Redevelopment Fund, the Agency may also enter
into agreements with financial institutions and other
persons for the purpose of selling loans and developing a
secondary market for such loans. The Agency shall have
the power to create and establish such reserve funds and
accounts as may be necessary or desirable to accomplish
its purposes under this subsection and to allocate its
available moneys into such funds and accounts.
Investment earnings on moneys held in the Brownfields
Redevelopment Fund, including any reserve fund or pledged
fund, shall be deposited into the Brownfields
Redevelopment Fund.
(Source: P.A. 89-431, eff. 12-15-95; 89-443, eff. 7-1-96;
90-123, eff. 7-21-97.)
(415 ILCS 5/58.15 new)
Sec. 58.15. Brownfields Redevelopment Loan Program.
(a) The Agency shall establish and administer a
revolving loan program to be known as the "Brownfields
Redevelopment Loan Program" for the purpose of providing
loans to be used for site investigation, site remediation, or
both, at brownfields sites. All principal, interest, and
penalty payments from loans made under this Section shall be
deposited into the Brownfields Redevelopment Fund and reused
in accordance with this Section.
(b) General requirements for loans:
(1) Loans shall be at or below market interest
rates in accordance with a formula set forth in
regulations promulgated under subsection (c) of this
Section.
(2) Loans shall be awarded subject to availability
of funding based on the order of receipt of applications
satisfying all requirements as set forth in the
regulations promulgated under subsection (c) of this
Section.
(3) The maximum loan amount under this Section for
any one project is $1,000,000.
(4) In addition to any requirements or conditions
placed on loans by regulation, loan agreements under the
Brownfields Redevelopment Loan Program shall include the
following requirements:
(A) the loan recipient shall secure the loan
repayment obligation;
(B) completion of the loan repayment shall not
exceed 5 years; and
(C) loan agreements shall provide for a
confession of judgment by the loan recipient upon
default.
(5) Loans shall not be used to cover expenses
incurred prior to the approval of the loan application.
(6) If the loan recipient fails to make timely
payments or otherwise fails to meet its obligations as
provided in this Section or implementing regulations, the
Agency is authorized to pursue the collection of the
amounts past due, the outstanding loan balance, and the
costs thereby incurred, either pursuant to the Illinois
State Collection Act of 1986 or by any other means
provided by law, including the taking of title, by
foreclosure or otherwise, to any project or other
property pledged, mortgaged, encumbered, or otherwise
available as security or collateral.
(c) The Agency shall have the authority to enter into
any contracts or agreements that may be necessary to carry
out its duties or responsibilities under this Section. The
Agency shall have the authority to promulgate regulations
setting forth procedures and criteria for administering the
Brownfields Redevelopment Loan Program. The regulations
promulgated by the Agency for loans under this Section shall
include, but need not be limited to, the following elements:
(1) loan application requirements;
(2) determination of credit worthiness of the loan
applicant;
(3) types of security required for the loan;
(4) types of collateral, as necessary, that can be
pledged for the loan;
(5) special loan terms, as necessary, for securing
the repayment of the loan;
(6) maximum loan amounts;
(7) purposes for which loans are available;
(8) application periods and content of
applications;
(9) procedures for Agency review of loan
applications, loan approvals or denials, and loan
acceptance by the loan recipient;
(10) procedures for establishing interest rates;
(11) requirements applicable to disbursement of
loans to loan recipients;
(12) requirements for securing loan repayment
obligations;
(13) conditions or circumstances constituting
default;
(14) procedures for repayment of loans and
delinquent loans including, but not limited to, the
initiation of principal and interest payments following
loan acceptance;
(15) loan recipient responsibilities for work
schedules, work plans, reports, and record keeping;
(16) evaluation of loan recipient performance,
including auditing and access to sites and records;
(17) requirements applicable to contracting and
subcontracting by the loan recipient, including
procurement requirements;
(18) penalties for noncompliance with loan
requirements and conditions, including stop-work orders,
termination, and recovery of loan funds; and
(19) indemnification of the State of Illinois and
the Agency by the loan recipient.
(d) Moneys in the Brownfields Redevelopment Fund may be
used as a source of revenue or security for the principal and
interest on revenue or general obligation bonds issued by the
State or any political subdivision or instrumentality
thereof, if the proceeds of those bonds will be deposited
into the Fund.
Section 10. Severability. The provisions of this Act
are severable under Section 1.31 of the Statute on Statutes.
Section 99. Effective date. This Act takes effect upon
becoming law.
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