October 27, 2023

This Week in Illinois

Session Update

The House and Senate returned to Springfield this past Tuesday for the beginning of six scheduled days of veto session. The Senate was in session for all three days while the House canceled Thursday's activity. There was limited floor and committee action of note with the most relevant activity being highlighted in the section below. More significant action is expected in the second week.

Both chambers will return to Springfield on Tuesday, November 7th for the second week of Veto.  The remaining scheduled dates for the session are November 7th-9th. View the calendar here.

EVBox Troniq Modular Launch at North American Headquarters in Libertyville

Illinois Chamber Sr. Vice President of Government Affairs, Clark Kaericher and Energy Council Executive Director, Alec Messina were pleased to attend Chamber member EVBox's Troniq Modular launch at the company's North American headquarters in Libertyville. EVBox CEO Remco Samuels was in attendance alongside numerous guests of honor including Governor JB Pritzker, U.S. Senator Dick Durbin, Congressman Brad Schneider, and State Senator Dan McConchie. 

Called the Troniq Modular, EVBox’s new product is a National Electric Vehicle Infrastructure (NEVI) ready electric vehicle (EV) charging station. With its North American headquarters in Libertyville, EVBox is a global leader in the EV charging sector and a key player in Illinois’ rapidly growing EV manufacturing ecosystem. Founded in 2010, EVBox is a market leader in electric vehicle charging infrastructure (EVSE) that has delivered over 500,000 charging ports to partners and customers globally. 

Thank you EVBox for your investment in Illinois and your partnership with the Chamber!

Illinois Chamber Joins Coalition on Farm Mutual Reinsurance Reform

Farm Mutual insurance companies have been a fabric of the Illinois insurance marketplace for over 150 years. Farm Mutual insurance companies are a type of mutual insurance that either focuses on rural property or have their roots in rural property. Because of the origin of farm mutual insurance companies, they typically started off as small community based organizations but over time many have bolstered their numbers, expanded, and offer insurance to more members in more diverse communities.

Unlimited catastrophic (CAT) aggregate reinsurance coverage is a requirement from the Department of Insurance’s interpretation of the Farm Mutual Act (FMA) for Illinois Farm Mutuals. On January 1, 2023, Illinois farm mutuals were reinsured with at least one of four companies offering reinsurance contracts: The Wisconsin Reinsurance Company, Farmers Mutual Hail, Guy Carpenter, and Grinnell Re. Today, only one company will be offering contracts that meet the Department’s interpretation of the FMA requirements. Currently, there are 44 remaining Farm Mutuals left in Illinois but if this issue is not resolved those numbers will be nearly cut in half. More importantly, there are 51,163 policyholders who could be left uninsured by year end. 

Proposed Solution: Amend the Farm Mutual Act to facilitate broader access to reinsurance products and risk capital. By granting Farm Mutuals increased access to needed reinsurance products and risk capital the legislature can help avoid significant disruptions in the Farm Mutual community. This would allow the marketplace to correct and set appropriate coverages and pricing for farm mutual companies and its policyholders. Currently, only 5 states require unlimited catastrophic aggregate reinsurance coverage.

As noted in a section below, SB 765 is the initiative of this coalition that passed the Senate on Thursday.

Learn more and view the coalition here.

Illinois Chamber's Jeanette Anderson Honored on the House Floor

On Wednesday, Illinois Chamber Administration and Membership Manager Jeanette Anderson was honored on the floor of the Illinois House of Representatives for her long and dedicated career at the Chamber.

HR 458 was sponsored by Representative Cyril Nichols and congratulates Jeanette Anderson on the occasion of her retirement from the Illinois Chamber of Commerce on November 7, 2023 after 40 years of service. Jeanette began her time at the Chamber as the Chicago office receptionist in 1983 and received numerous promotions thereafter.

Congratulations Jeanette on a long and successful career with the Chamber!

Bill Action of Note:

HB 4148, Legislative Employees-Unionization passed out of the House 74-35-4. This bill creates the Legislative Employee Labor Relations Act. Authorizes legislative employees to bargain collectively through the representatives of their choosing on questions of wages, hours, and other conditions of employment. Establishes the Office of State Legislative Labor Relations. Directs the Office of State Legislative Labor Relations to manage the interests of the General Assembly in collective bargaining with legislative employees. Grants the State Panel of the Illinois Labor Relations Board jurisdiction over collective bargaining matters between employee organizations and the General Assembly of the State of Illinois. Provides that a legislative employee employed by the Speaker of the House of Representatives, the Minority Leader of the House of Representatives, the President of the Senate, the Minority Leader of the Senate, or a legislative employee that is a district office employee is employed by the individual occupying that elected position. Provides that, upon any change in a person occupying such an elected position, the newly elected person has the sole and exclusive authority to act with respect to employment decisions, such as, hiring, promotion, renewal of employment, or discharge, and prohibits any provision in a collective bargaining agreement to the contrary.

SB 384, EV Charging passed the Senate 37-18-0. This bill amends the Electric Vehicle Charging Act. Provides that for provisions related to EV-capable parking space requirements and residential requirements, the Act applies to newly constructed single-family homes and multifamily (rather than multi-unit) residential buildings that have parking spaces and are constructed after the effective date of the Act. Provides that for provisions related to electric vehicle charging system policies for unit owners and renters, the Act applies to unit owners, tenants, landlords, and associations of both newly constructed and existing single-family homes and multifamily residential buildings that have parking spaces. 

SB 508, Employment E-Verify/Opposed passed out of Senate Executive Committee. This bill provides that unless otherwise required by State or federal law, an employer shall not voluntarily enroll in the E-Verify program or a similar Electronic Employment Verification System. Provides that an employer shall not impose work authorization verification or re-verification requirements greater than those required by federal law. Provides that if an employer is required to participate in the E-Verify program or a similar Electronic Employment Verification System and receives notification from the Social Security Administration of a discrepancy between an employee's name or social security number and the Social Security Administration's records, the employer must provide the employee with specified documents. Provides for additional rights and protections granted to an employee following the notification from the Social Security Administration of a discrepancy. Provides that an employer shall provide notice to current employees, by posting in the language the employer normally uses to communicate employment-related information to the employee, of any inspections of I-9 Employment Eligibility Verification forms or other employment records conducted by the U.S. Immigration and Customs Enforcement, United States Customs and Border Protection, or any other federal entity enforcing civil immigration violations within 72 hours after receiving notice of the inspection. Provides for additional notice requirements concerning obligations of the employer and the employee. The Chamber Employment Law Council testified in opposition.

SB 765, Farm Mutual Insurance/Support passed the Senate 56-0-0. This bill provides that, until the date that is 5 years after the effective date of the amendatory Act, a farm mutual insurance company insuring against the perils of wind or hail must have and maintain adequate catastrophic reinsurance (instead of catastrophic reinsurance which limits the company's exposure on any one loss occurrence to 20% of its policyholders' surplus). Defines "adequate catastrophic reinsurance" as reinsurance in an amount no less than that required for a 500-year event, based on an actuarially sound catastrophe model that limits the company's exposure on any one loss occurrence to (i) 20% of its policyholders' surplus or (ii) an amount authorized by the Director of Insurance. Provides that a farm mutual insurance company must additionally have and maintain aggregate reinsurance coverage in an amount no less than that required for a 250-year event, based on an actuarially sound catastrophe model. Provides that the reinsurance permitted or required under the provisions must be provided by (i) a farm mutual insurance company, (ii) an insurance company authorized to write the kinds of insurance described in the Illinois Insurance Code pertaining to casualty, fidelity, surety, fire, marine, and other types of insurance, or (iii) a reinsurer and reinsurance program meeting the standards set forth in the Illinois Insurance Code that permit a domestic company to take credit for reinsurance. Requires a farm mutual insurance company converting from unlimited catastrophic reinsurance to adequate catastrophic reinsurance to provide notice of the change to policyholders in a form approved by the Director of Insurance. 

Bills of Interest Filed:

HB 4195, Zero Emission Delivery was introduced. This bill requires a contractor or person employed to deliver goods from a store or restaurant through a third-party delivery service to use a non-carbon emitting mode of transportation while making such deliveries. Provides that a contractor or person who fails to comply with the provisions may be subject to a fine of $250 or suspension of the contractor's or person's driving privileges. Restricts the provisions to counties with a population of 3,000,000 or more.

HB 4197, Environmental Justice was introduced. This bill requires the Environmental Protection Agency to annually review and update the underlying data for, and use of, indicators used to determine whether a community is designated as an environmental justice community and to establish a process by which communities not designated as environmental justice communities may petition for such a designation. Provides that an applicant for a permit for the construction of a new source that will become a major source subject to the Clean Air Act Permit Program to be located in an environmental justice community or a new source that has or will require a federally enforceable State operating permit and that will be located in an environmental justice community must conduct a public meeting prior to submission of the permit application and must submit with the permit application an environmental justice assessment identifying the potential environmental and health impacts to the area associated with the proposed project. Provides requirements for the environmental justice assessment. Provides that a supplemental fee of $100,000 for each construction permit application shall be assessed if the construction permit application is subject to the requirements regarding the construction of a new source located in an environmental justice community. Contains provisions regarding public participation requirements for permitting transactions in an environmental justice community. Provides that, if the Agency grants a permit to construct, modify, or operate a facility that emits air pollutants and is classified as a minor source, a third party may petition the Pollution Control Board for a hearing to contest the issuance of the permit. 

HB 4205, Bottle Deposit was introduced. This bill creates the Bottle Deposit Act. Provides that, to encourage container reuse and recycling, every beverage container sold or offered for sale to a consumer in the State must have a deposit and refund value. Includes provisions regarding: a dealer as a distributor; requirements for labels, stamps, and brand names on beverage containers; application of the Act; the commingling of beverage containers and entering into commingling agreements; unclaimed deposits for beverage containers not subject to commingling agreements; redemption centers, including licensing requirements; prohibitions on certain types of beverage containers and holders; penalties, ranging from $100 to $1,000; exceptions for beverage containers used on international flights; licensing requirements, including fees for applications; the creation of the Beverage Container Enforcement Fund; administration by the Environmental Protection Agency; the denial of redemption center licenses; the unlawful possession of beverage containers; the prohibition of glass-breaking games; and annual reporting requirements.

SB 2620, Mailings was introduced. Provides that provisions restricting the mailing of postcards or letters under specified circumstances apply to companies not connected to the company from which the recipient has purchased or obtained goods, services, or other merchandise. Provides that postcards or letters sent in compliance with the consumer protections of the Truth in Lending Act or the Truth in Savings Act are deemed to be in compliance with this Section.

Staffing Update: Illinois Chamber Welcomes Kevin O'Keeffe as New Membership Account Executive

The Illinois Chamber is happy to announce Kevin O'Keeffe of Elmhurst, IL as the New Membership Account Executive. Kevin will work alongside the Chamber's Vice President of Member Services, Danielle Blake.

Kevin joins us with extensive local chamber experience. Prior to joining the Illinois State Chamber, he was the Executive Director of the Bolingbrook Area Chamber of Commerce for 9 years and prior to that, the Director of Membership for the Elmhurst Chamber.

While being the Executive Director of the Bolingbrook Chamber, Kevin increased the membership by over 10% per year and developed many new programs including Workforce Academy where leading members of the community would go to Bolingbrook High School and instruct students on the many positions available for those not attending college.

In addition, Kevin was on the Board of Directors of IACCE.

We are pleased to have Kevin with us and look forward to what he will bring to the Illinois Chamber of Commerce. You can contact him at: kokeeffe@ilchamber.org or 217.991.8625.

Save the Date: 10th Annual Illinois Chamber New Laws Forum

The New Laws Forum focuses on the new laws and legal developments that will affect ALL Illinois employers in 2024 and beyond. The forum features Illinois attorneys and experts speaking about Illinois laws – as well as representatives from government agencies talking about the latest changes and your peers, a panel of Senior HR professionals discussing how the laws have and will affect their businesses. It's already been a busy year, and more regulation is coming.

When: December 5, 2023 | 8:30 am – 4:30 pm

Where: Doubletree Hilton l 3003 Corporate West Drive

Lisle, IL 60532

Register Here.