GOVERNMENT AFFAIRS
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August 27th, 2021
This Week in Illinois
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Energy Discussions Seem to Have Resulted in “Agreement” as General Assembly is Set to Return
Energy talks picked up over the last week, and it seems as if something very close to an actual agreement has been reached. For the last several weeks, a small contingent of legislators have kept lines of communications open between labor, environmental groups, and a few other stakeholders in the hopes of inching closer to a deal on an omnibus energy package. On Monday and Tuesday of this week, a small group of legislators and Senate staff met with those aforementioned groups for two marathon negotiating sessions. Unlike previously held meetings, talks seemed to move the ball forward, with one very important, very notable exception.
Participants have been very tight-lipped about the discussions, but talks were apparently centered around decarbonization dates, use of labor on renewable projects, and cost control. How Prairie State and other municipally-owned coal-fired plants will be treated appears to be the last sticking point, which as our Members will recall, was the issue that derailed talks at the end of the Spring Session.
Specific details are hard to come by, but legislative language is rumored to be available shortly. A summary will be distributed to the Energy Council as soon as language becomes available. If you have any questions on this matter, or interest in joining the Chamber’s Energy Council, don’t hesitate to reach out to Executive Director Alec Messina at amessina@ilchamber.org.
Illinois Chamber Joins US Chamber in Push for Massive Federal Infrastructure Package
On Monday morning, Illinois Chamber President & CEO Todd Maisch jointly-hosted a press conference on the bipartisan federal infrastructure package being consider in the US House of Representatives. Maisch was joined by Laura Weis, President & CEO of the Champaign County Chamber of Commerce, Dan Mehan, President & CEO of the Missouri Chamber of Commerce and Neil Bradley, Chief Policy Officer at the US Chamber.
In the press call, Bradley said that $9.8 billion would be coming to Illinois for infrastructure spending. Over $600 million would come to the state for airport funding. He added that the infrastructure package affects both the daily lives of ordinary citizens and the economic life of the nation more broadly.
Discussing the potential $9.8 billion for Illinois, Maisch said that the spending would be good not only for roads and bridges, but for all transportation forms including rail, waterways, and airports. Weis said that the federal funding would support many of the projects already underway in Champaign County.
Answering a question from the press on any potential roadblocks to passage, Maisch said getting the bill “across the finish line” was the major impetus for the call.
HR 3684, the Infrastructure and Investment and Jobs Act passed the US Senate by a vote of 69-30 earlier this month.
Governor Pritzker Vetoes Bill to for the New Cairo Port
Cairo is the southernmost town in Illinois. Despite a prosperous start to the 20th century, it has been devastated by generational poverty. Nearly half the residents in Cairo live under the poverty line. Alexander County, where Cairo is located, lost over 36% of its population in the last decade according to the new census numbers.
SB 1770 (Sen. Belt/Rep. Greenwo0d) was intended to help facilitate the construction of a new port district in Cairo, Illinois. The Chamber has been following this project closely as it has the potential to revitalize not just Cairo but the entire region. At the Chamber's Spring Infrastructure Council Meeting, Senator Fowler gave an update on the project. He said that nearly 80% of the nation’s river barge traffic passes by Cairo.
The project was included in the 2019 capital bill but ran into a snag with Illinois land requirements. Illinois’ wetlands mitigation laws are many times stricter than that of the federal government and compliance with the state law isn’t financially feasible. Backers of the port introduced SB 1770 which would exempt any construction projects at facilities or property within 6 miles of the Ohio River/Mississippi River confluence from the provisions of the Interagency Wetland Policy Act (IWPA) of 1989. This bill was not controversial and passed out of both the House and the Senate unanimously.
However, the Governor decided to veto the measure. The Governor cited demands of Illinois’ environmentalist groups. There are rumors the Governor plans to use federal COVID dollars to purchase enough land to satisfy Illinois’ wetlands law. Here at the Chamber, while we are very much in favor of getting this project launched, we are dubious about the legality of a plan to divert COVID funds for this purpose. If this plan is not successful, It would be devastating for the people and commerce of the region.
You can read the Governor’s veto message of SB 1770 here.
HB 3190, PFAS Incineration Ban is Vetoed
Earlier this week, Governor JB Pritzker vetoed HB 3190, a ban on PFAS incineration. In his letter to the General Assembly, the Governor said "Due to an overly broad definition of “incineration,” HB3190 would prohibit companies from using certain pollution control devices, including thermal oxidation, resulting in substantially increased emissions of greenhouse gases... the Illinois Environmental Protection Agency predicts that for one Illinois company alone, greenhouse gas emissions would increase from approximately 767,000 metric tons to a projected 40 million metric tons per year."
The Governor added that he hopes the General Assembly quickly passes new legislation that addresses PFAS incineration without the consequences of increased greenhouse emissions.
It is likely this issue will be dealt with in veto session, the Chamber and IERG will continue to work with the Sponsor and other stakeholders to address this critical matter.
Last month, the Illinois Chamber of Commerce and Illinois Environmental Regulatory Group (IERG) sent an amendatory veto request of HB 3190 to Governor Pritzker.
In part, the letter says the following. "The legislation, while intended to prohibit incineration of certain chemicals, namely per- and polyfluoroalkyl substances, was drafted so broadly as to apply to activities beyond what is commonly thought of as "incineration" and, if signed into law, would actually prohibit the use of pollution controls to minimize the emissions of pollutants into the air."
The Chamber and IERG requested that HB 3190 be amendatorily vetoed by striking the phrase "thermal oxidation, including flameless or regenerative" from the definition of "incineration" and any other changes the Governor deems fit.
Read the full veto request letter here.
Session Update
The House and Senate will return to Springfield this Tuesday, August 31st for a special session. Changes to the legislative redistricting plan are to be addressed. Additional special session dates have not been announced at this time.
Statewide hearings on the legislative maps are currently underway.
Both Chambers will also be in session October 19th-21st and October 26th-28th for veto session.
Masks are mandated in all secretary of state facilities as well as the Illinois State Capitol Building for both visitors and employees.
Interested in the Latest on Electric Vehicles?
The Chamber is partnering with the Consulate of the Netherlands in Chicago to have a discussion about opportunities for companies in Illinois’ electric vehicle industry. Joining me will be Chamber President Todd Maisch, Intersect Illinois, Tony Reinhart from Ford Motor Company and executives from EVBox and Elaad. The event takes place on September 7th at 9 am CST. You can register here.
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Bills of Interest Signed into Law
HB 253 IDOT Asset Management was signed into law. This bill requires the Department of Transportation to establish and implement a transportation performance program for all transportation facilities under its jurisdiction. The Department shall develop a risk-based, statewide highway system asset management plan to preserve and improve the conditions of highway and bridge assets and enhance the performance of the system while minimizing life-cycle cost. The asset management plan shall include, at a minimum, strategies leading to a program of projects that would make progress toward achievement of targets for asset condition and performance of the State highway system. IDOT shall develop a performance-based project selection process to prioritize taxpayer investment in transportation assets that go above and beyond maintaining the existing system in a state of good repair and to evaluate projects that add capacity.
HB 1855, DCEO Innovation Voucher Program was signed into law. This bill provides that the Department of Commerce and Economic Opportunity is authorized to establish the Illinois Innovation Voucher Program for the purpose of fostering research and development in key industry clusters leading to the creation of new products and services that can be marketed by Illinois businesses. Provides that the Department may award innovation vouchers to eligible businesses to offset a portion of expenses incurred through a collaborative research engagement with an Illinois institution of higher education. Provides for the award of matching funds in the form of innovation vouchers.
HB 2411, Data Center was signed into law. This bill amends the data center exemption to change the required timeframe for green energy certification as a condition of qualifying for the exemption from 90 days to 2 years.
HB 2435, Vehicle Replacement Parts was signed into law. This bill provides that a manufacturer may not require a motor vehicle dealer to make available any secondary product or prohibit a motor vehicle dealer from offering a secondary product. Defines "secondary product" to mean all products that are not new motor vehicles or original equipment manufacturer parts.
HB 2595, Mental Health Coverage was signed into law. This bill, as amended, provides that every insurer that amends, delivers, issues, or renews a group or individual policy of accident and health insurance or a qualified health plan offered through the health insurance marketplace in the State and Medicaid managed care organizations providing coverage for hospital or medical treatment shall provide coverage for medically necessary treatment of mental, emotional, nervous, or substance use disorders or conditions on or after January 1, 2023 (rather than January 1, 2022). Provides that an insurer or Medicaid managed care organization shall not be required to pay for services if the individual was not the insurer's enrollee or eligible for Medicaid at the time the service was rendered. Provides that an insurer shall not be required to cover benefits that have been authorized and provided for a covered person by a public entitlement program. Provides that for medical necessity determinations (rather than in conducting utilization review of covered health care services and benefits) relating to level of care placement, continued stay, and transfer or discharge of insureds diagnosed with mental, emotional, and nervous disorders or conditions, insurers and Medicaid managed care organizations shall apply specified patient placement criteria. Makes various changes to provisions concerning requirements for insurers regarding education of the insurer's staff and other stakeholders, publishing of utilization review criteria, and documentation of interrater reliability testing and remediation actions.
HB 2746, Student Loans was signed into law. This bill Creates the Know Before You Owe Private Education Loan Act. Requires private educational lenders to obtain from the relevant institution of higher education at which the borrower will use the loan proceeds certifications regarding cost, enrollment status of the borrower, and financial assistance available to the borrower. Provides that private educational lenders must file reports with the Department of Financial and Professional Regulation and the Student Loan Ombudsman. Provides that loan statements must be provided not less frequently than quarterly. Requires institutions of higher education to certify compliance with provisions of the Act to the Board of Higher Education or Illinois Community College Board as a condition to operate. Provides an exemption from reporting for private educational lenders that fund 10 or fewer educational loans in a calendar year.
HB 3175, Wellness Insurance Coverage was signed into law. This bill provides that a group or individual policy of accident and health insurance or managed care plan that offers a program for wellness coverage must not provide a total incentive that exceeds 30% (rather than 20%) of the cost of self-only or employee-only coverage (rather than only employee-only coverage). Provides that the incentive may be increased by up to an additional 20%, for a total incentive of 50%, to the extent that the additional percentage is in connection with a program designed to prevent or reduce tobacco use. Amends the Navigator Certification Act. Provides that certified application counselors are subject to the same certification requirements as navigators. Provides that navigators or certified application counselors may not engage in any unfair method of competition or any fraudulent, deceptive, or dishonest act or practice related to the health insurance marketplace or to that individual's or entity's absence of a conflict of interest in connection with the enrollment of any individuals or employees in a particular private health benefit plan. Provides that a navigator or certified application counselor who fails to timely file for certificate renewal shall be charged a late fee in an amount prescribed by the Director of Insurance.
HB 3523, IEMA Cyber Incidents was signed into law. This bill amends the Illinois Emergency Management Agency Act. Provides that "disaster" includes cyber incidents.
HB 3712, Car Sharing Program was signed into law. This bill creates the Car-Sharing Program Act. As amended, provides that a car-sharing program shall assume liability of a shared-vehicle owner for bodily injury or property damage to third parties or uninsured and underinsured motorist or personal injury protection losses during the car-sharing period in an amount stated in the car-sharing agreement, which amount may not be less than 4 times the minimum amounts required under the Illinois Vehicle Code (instead of those amounts set forth in the Illinois Vehicle Code). Provides that a car-sharing program shall ensure that, during each car-sharing period, the shared-vehicle owner and the shared-vehicle driver are insured under a motor vehicle liability insurance policy that provides insurance coverage in amounts that, for the shared-vehicle driver, are equal to 2 times the minimum amounts set forth in the Illinois Vehicle Code (instead of in amounts no less than the minimum amounts set forth in the Illinois Vehicle Code).
SB 134, Local Journalism was signed into law. This bill Establishes the Local Journalism Task Force, consisting of one member of the House of Representatives appointed by the Speaker of the House of Representatives, one member of the House of Representatives appointed by the Minority Leader of the House of Representatives, one member of the Senate appointed by the President of the Senate, one member of the Senate appointed by the Minority Leader of the Senate, one member appointed by the Governor, and one representative of each of the following entities: the Medill School of Journalism, Media, Integrated Marketing Communications at Northwestern University; the Public Affairs Reporting Program at the University of Illinois at Springfield; the School of Journalism at Southern Illinois University Carbondale; the Illinois Press Association; the Illinois Broadcasters Association; the Illinois Legislative Correspondents Association; the Illinois Public Broadcasting Council; the Illinois News Broadcasters Association; the University of Illinois at Urbana-Champaign and the Illinois Municipal League. Directs the Task Force to study communities underserved by local journalism and review all aspects of journalism. Requires the Department of Commerce and Economic Opportunity to provide administrative support.
SB 632, Restore Illinois Commission was signed into law. This bill Reenacts the Restore Illinois Collaborative Commission within the Department of Commerce and Economic Opportunity to monitor actions taken by the Office of the Governor with regard to the Restore Illinois plan and to keep members of the General Assembly informed of those actions and any need for further legislative action. Repeals provisions on January 1, 2023.
SB 1846, Child Beverages was signed into law. This bill provides that, notwithstanding any other provision of law, a restaurant shall, by default, include a specified type of water, milk, milk alternative, or juice with a children's meal sold by the restaurant. Provides that a restaurant may include another beverage with a children's meal upon request. Provides that, during any inspection of a restaurant by a health officer or health inspector of a local health department, the health officer or health inspector shall inspect the restaurant to determine whether it complies with these provisions. Provides that restaurants that violate the provisions are subject to a warning and specified civil penalties. Allows the Department of Public Health to adopt any rules it deems necessary for the implementation, administration, and enforcement.
SB 2193, Freight Burglary was signed into law. This bill provides that a person commits burglary when without authority he or she knowingly enters or without authority remains within a freight container with intent to commit therein a felony or theft. Provides that burglary committed in, and without causing damage to a freight container or any part thereof is a Class 3 felony. Provides that a burglary committed while causing damage to a freight container or any part thereof is a Class 2 felony.
SB 2424, Railroad Supplier Diversity was signed into law. This bill amends the Railroad Supplier Diversity Act. Adds the National Railroad Passenger Corporation (doing business as Amtrak) to the list of entities that may report to the Illinois Commerce Commission under the Act. Effective immediately.
SB 2459, Electronic Signature was signed into law. This bill provides that the Department of Transportation, the Illinois State Toll Highway Authority, and the Capital Development Board shall each accept the use of electronic signatures in transactions between those State agencies and other persons or entities, unless all parties to the transaction waive the right to use electronic signatures. Provides an exception to the use of electronic signatures for transactions involving technical submissions.
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Reopening Status of Illinois Businesses: IL Chamber COVID-19 Survey
The Illinois Chamber has compiled a series of questions for members of the Illinois business community. This questionnaire is a consideration of your current COVID-19 policies in the workplace. The survey consists of multiple choice answers and can be completed in less than 5 minutes.
Please take a moment to share your thoughts on these crucial questions. Your answers will help the Chamber shape pro-business policy across the state.
Illinois Chamber's Tax Institute To Host Quarterly Meeting
On Wednesday, September 8th the Illinois Chamber Tax Institute will host its quarterly meeting. The meeting will feature a discussion of unclaimed property issues with Allen Mayer, Chief of Staff for the Illinois Treasurer, Jennifer Waryjas of Jones Day and Troy Wangen of True Partners. The Illinois Chamber's Tax Institute Quarterly meeting is available to registrants to either attend in person or virtually.
Registration information can be found here.
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Save the Date: Illinois Chamber to Host Annual Meeting
On Thursday, September 30th the Illinois Chamber will host its Annual Meeting at the Palmer House in Chicago. The event will take place between 11am-1:30 pm and feature keynote speaker Holly Sullivan, Vice President of Worldwide Economic Development for Amazon. The theme for this year's event is Global Growth Opportunities. Register today!
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If you have questions about the Government Affairs Report, contact Clark Kaericher at ckaericher@ilchamber.org. Do not reply to this email.
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