99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
SB3281

 

Introduced 2/19/2016, by Sen. Toi W. Hutchinson

 

SYNOPSIS AS INTRODUCED:
 
305 ILCS 20/10  from Ch. 111 2/3, par. 1410
305 ILCS 20/13

    Amends the Energy Assistance Act. Provides that the Low Income Energy Assistance Block Grant Fund and the Supplemental Low-Income Energy Assistance Fund are subject to continuing appropriation. Effective immediately.


LRB099 18760 HLH 43144 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB3281LRB099 18760 HLH 43144 b

1    AN ACT concerning finance.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Energy Assistance Act is amended by changing
5Sections 10 and 13 as follows:
 
6    (305 ILCS 20/10)  (from Ch. 111 2/3, par. 1410)
7    Sec. 10. Energy Assistance Funds.
8    (a) The AFDC Energy Assistance Fund is hereby created as a
9special fund in the State Treasury.
10    The AFDC Energy Assistance Fund is authorized to receive
11whether by appropriation, transfer, statutory deposit or fund
12transfer, all amounts appropriated from State funds to the
13Department of Human Services (acting as successor to the
14Illinois Department of Public Aid under the Department of Human
15Services Act) specifically for energy assistance payments for
16persons and families receiving assistance pursuant to Section
174-1 of the Illinois Public Aid Code and subsection (c) of
18Section 6 of this Act, and any administrative expense related
19thereto.
20    (b) Subject to appropriation by the General Assembly, the
21Department is authorized to expend monies from the AFDC Energy
22Assistance Fund for the following purposes:
23        (1) for energy assistance payments to or on behalf of

 

 

SB3281- 2 -LRB099 18760 HLH 43144 b

1    individuals or families who receive assistance pursuant to
2    Section 4-1 of The Illinois Public Aid Code in accordance
3    with the provisions of Section 6 of this Act; and
4        (2) for the necessary and contingent expenses of the
5    Department incurred in the administration of that portion
6    of the Act described in paragraph (1) of this subsection.
7    (c) The AFDC Energy Assistance Fund shall be inoperative
8after September 30, 1991.
9    (d) The Subject to appropriations made by the General
10Assembly, the Department is authorized to expend monies from
11the Low Income Energy Assistance Block Grant Fund for the
12purpose of providing assistance pursuant to Section 6 of this
13Act. Absent an enacted appropriation from the Low Income Energy
14Assistance Block Grant Fund in any State fiscal year, this
15subsection shall constitute a continuing appropriation to the
16Department of all amounts necessary for the purposes set forth
17in this subsection (d). The continuing appropriation under this
18subsection (d) shall be no less than the total aggregate
19appropriations made available from the Low Income Energy
20Assistance Block Grant Fund for the immediately preceding State
21fiscal year. If an appropriation to the Department from the Low
22Income Energy Assistance Block Grant Fund is enacted on or
23after July 1 of any calendar year, then the continuing
24appropriation shall discontinue for that State fiscal year, and
25the enacted appropriation shall supersede.
26(Source: P.A. 89-507, eff. 7-1-97.)
 

 

 

SB3281- 3 -LRB099 18760 HLH 43144 b

1    (305 ILCS 20/13)
2    (Section scheduled to be repealed on December 31, 2018)
3    Sec. 13. Supplemental Low-Income Energy Assistance Fund.
4    (a) The Supplemental Low-Income Energy Assistance Fund is
5hereby created as a special fund in the State Treasury. The
6Supplemental Low-Income Energy Assistance Fund is authorized
7to receive moneys from voluntary donations from individuals,
8foundations, corporations, and other sources, moneys received
9pursuant to Section 17, and, by statutory deposit, the moneys
10collected pursuant to this Section. The Fund is also authorized
11to receive voluntary donations from individuals, foundations,
12corporations, and other sources, as well as contributions made
13in accordance with Section 507MM of the Illinois Income Tax
14Act. The Subject to appropriation, the Department shall use
15moneys from the Supplemental Low-Income Energy Assistance Fund
16for payments to electric or gas public utilities, municipal
17electric or gas utilities, and electric cooperatives on behalf
18of their customers who are participants in the program
19authorized by Sections 4 and 18 of this Act, for the provision
20of weatherization services and for administration of the
21Supplemental Low-Income Energy Assistance Fund. The yearly
22expenditures for weatherization may not exceed 10% of the
23amount collected during the year pursuant to this Section. The
24yearly administrative expenses of the Supplemental Low-Income
25Energy Assistance Fund may not exceed 10% of the amount

 

 

SB3281- 4 -LRB099 18760 HLH 43144 b

1collected during that year pursuant to this Section, except
2when unspent funds from the Supplemental Low-Income Energy
3Assistance Fund are reallocated from a previous year; any
4unspent balance of the 10% administrative allowance may be
5utilized for administrative expenses in the year they are
6reallocated.
7    (a-5) Absent an enacted appropriation from the
8Supplemental Low-Income Energy Assistance Fund in any State
9fiscal year, this subsection shall constitute a continuing
10appropriation to the Department of Commerce and Economic
11Opportunity of all amounts necessary for the purposes set forth
12in subsection (a). The continuing appropriation under this
13subsection (a-5) shall be no less than the total aggregate
14appropriations made available from the Supplemental Low-Income
15Energy Assistance Fund for the immediately preceding State
16fiscal year. If an appropriation to the Department of Commerce
17and Economic Opportunity from the Supplemental Low-Income
18Energy Assistance Fund is enacted on or after July 1 of any
19calendar year, then the continuing appropriation shall
20discontinue for that State fiscal year, and the enacted
21appropriation shall supersede.
22    (b) Notwithstanding the provisions of Section 16-111 of the
23Public Utilities Act but subject to subsection (k) of this
24Section, each public utility, electric cooperative, as defined
25in Section 3.4 of the Electric Supplier Act, and municipal
26utility, as referenced in Section 3-105 of the Public Utilities

 

 

SB3281- 5 -LRB099 18760 HLH 43144 b

1Act, that is engaged in the delivery of electricity or the
2distribution of natural gas within the State of Illinois shall,
3effective January 1, 1998, assess each of its customer accounts
4a monthly Energy Assistance Charge for the Supplemental
5Low-Income Energy Assistance Fund. The delivering public
6utility, municipal electric or gas utility, or electric or gas
7cooperative for a self-assessing purchaser remains subject to
8the collection of the fee imposed by this Section. The monthly
9charge shall be as follows:
10        (1) $0.48 per month on each account for residential
11    electric service;
12        (2) $0.48 per month on each account for residential gas
13    service;
14        (3) $4.80 per month on each account for non-residential
15    electric service which had less than 10 megawatts of peak
16    demand during the previous calendar year;
17        (4) $4.80 per month on each account for non-residential
18    gas service which had distributed to it less than 4,000,000
19    therms of gas during the previous calendar year;
20        (5) $360 per month on each account for non-residential
21    electric service which had 10 megawatts or greater of peak
22    demand during the previous calendar year; and
23        (6) $360 per month on each account for non-residential
24    gas service which had 4,000,000 or more therms of gas
25    distributed to it during the previous calendar year.
26    The incremental change to such charges imposed by this

 

 

SB3281- 6 -LRB099 18760 HLH 43144 b

1amendatory Act of the 96th General Assembly shall not (i) be
2used for any purpose other than to directly assist customers
3and (ii) be applicable to utilities serving less than 100,000
4customers in Illinois on January 1, 2009.
5    In addition, electric and gas utilities have committed, and
6shall contribute, a one-time payment of $22 million to the
7Fund, within 10 days after the effective date of the tariffs
8established pursuant to Sections 16-111.8 and 19-145 of the
9Public Utilities Act to be used for the Department's cost of
10implementing the programs described in Section 18 of this
11amendatory Act of the 96th General Assembly, the Arrearage
12Reduction Program described in Section 18, and the programs
13described in Section 8-105 of the Public Utilities Act. If a
14utility elects not to file a rider within 90 days after the
15effective date of this amendatory Act of the 96th General
16Assembly, then the contribution from such utility shall be made
17no later than February 1, 2010.
18    (c) For purposes of this Section:
19        (1) "residential electric service" means electric
20    utility service for household purposes delivered to a
21    dwelling of 2 or fewer units which is billed under a
22    residential rate, or electric utility service for
23    household purposes delivered to a dwelling unit or units
24    which is billed under a residential rate and is registered
25    by a separate meter for each dwelling unit;
26        (2) "residential gas service" means gas utility

 

 

SB3281- 7 -LRB099 18760 HLH 43144 b

1    service for household purposes distributed to a dwelling of
2    2 or fewer units which is billed under a residential rate,
3    or gas utility service for household purposes distributed
4    to a dwelling unit or units which is billed under a
5    residential rate and is registered by a separate meter for
6    each dwelling unit;
7        (3) "non-residential electric service" means electric
8    utility service which is not residential electric service;
9    and
10        (4) "non-residential gas service" means gas utility
11    service which is not residential gas service.
12    (d) Within 30 days after the effective date of this
13amendatory Act of the 96th General Assembly, each public
14utility engaged in the delivery of electricity or the
15distribution of natural gas shall file with the Illinois
16Commerce Commission tariffs incorporating the Energy
17Assistance Charge in other charges stated in such tariffs,
18which shall become effective no later than the beginning of the
19first billing cycle following such filing.
20    (e) The Energy Assistance Charge assessed by electric and
21gas public utilities shall be considered a charge for public
22utility service.
23    (f) By the 20th day of the month following the month in
24which the charges imposed by the Section were collected, each
25public utility, municipal utility, and electric cooperative
26shall remit to the Department of Revenue all moneys received as

 

 

SB3281- 8 -LRB099 18760 HLH 43144 b

1payment of the Energy Assistance Charge on a return prescribed
2and furnished by the Department of Revenue showing such
3information as the Department of Revenue may reasonably
4require; provided, however, that a utility offering an
5Arrearage Reduction Program pursuant to Section 18 of this Act
6shall be entitled to net those amounts necessary to fund and
7recover the costs of such Program as authorized by that Section
8that is no more than the incremental change in such Energy
9Assistance Charge authorized by this amendatory Act of the 96th
10General Assembly. If a customer makes a partial payment, a
11public utility, municipal utility, or electric cooperative may
12elect either: (i) to apply such partial payments first to
13amounts owed to the utility or cooperative for its services and
14then to payment for the Energy Assistance Charge or (ii) to
15apply such partial payments on a pro-rata basis between amounts
16owed to the utility or cooperative for its services and to
17payment for the Energy Assistance Charge.
18    (g) The Department of Revenue shall deposit into the
19Supplemental Low-Income Energy Assistance Fund all moneys
20remitted to it in accordance with subsection (f) of this
21Section; provided, however, that the amounts remitted by each
22utility shall be used to provide assistance to that utility's
23customers. The utilities shall coordinate with the Department
24to establish an equitable and practical methodology for
25implementing this subsection (g) beginning with the 2010
26program year.

 

 

SB3281- 9 -LRB099 18760 HLH 43144 b

1    (h) On or before December 31, 2002, the Department shall
2prepare a report for the General Assembly on the expenditure of
3funds appropriated from the Low-Income Energy Assistance Block
4Grant Fund for the program authorized under Section 4 of this
5Act.
6    (i) The Department of Revenue may establish such rules as
7it deems necessary to implement this Section.
8    (j) The Department of Commerce and Economic Opportunity may
9establish such rules as it deems necessary to implement this
10Section.
11    (k) The charges imposed by this Section shall only apply to
12customers of municipal electric or gas utilities and electric
13or gas cooperatives if the municipal electric or gas utility or
14electric or gas cooperative makes an affirmative decision to
15impose the charge. If a municipal electric or gas utility or an
16electric cooperative makes an affirmative decision to impose
17the charge provided by this Section, the municipal electric or
18gas utility or electric cooperative shall inform the Department
19of Revenue in writing of such decision when it begins to impose
20the charge. If a municipal electric or gas utility or electric
21or gas cooperative does not assess this charge, the Department
22may not use funds from the Supplemental Low-Income Energy
23Assistance Fund to provide benefits to its customers under the
24program authorized by Section 4 of this Act.
25    In its use of federal funds under this Act, the Department
26may not cause a disproportionate share of those federal funds

 

 

SB3281- 10 -LRB099 18760 HLH 43144 b

1to benefit customers of systems which do not assess the charge
2provided by this Section.
3    This Section is repealed effective December 31, 2018 unless
4renewed by action of the General Assembly. The General Assembly
5shall consider the results of the evaluations described in
6Section 8 in its deliberations.
7(Source: P.A. 98-429, eff. 8-16-13; 99-457, eff. 1-1-16.)
 
8    Section 99. Effective date. This Act takes effect upon
9becoming law.