Illinois General Assembly - Full Text of HB3437
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Full Text of HB3437  102nd General Assembly


Sen. Michael E. Hastings

Filed: 5/13/2021





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2    AMENDMENT NO. ______. Amend House Bill 3437, AS AMENDED,
3by replacing everything after the enacting clause with the

6    Section 1-1. Short title. This Article may be cited as the
7Investing in Illinois Works Tax Credit Act. References in this
8Article to "this Act" mean this Article.
9    Section 1-3. Legislative findings. The General Assembly
10finds that:
11    Economic research indicates that registered apprenticeship
12programs have positive economic impacts, and countries with
13more widespread usage of apprenticeship programs have shown to
14be more successful at transitioning young workers into stable
15jobs, resulting in lower youth unemployment rates.



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1    The demographics of registered apprenticeship programs in
2our State do not mirror the diversity of Illinoisans.
3According to data from the U.S. Department of Labor's Office
4of Apprenticeship, from 2000 through 2016, only 8.8% of all
5construction apprentices were African-American and 17.6% were
6Hispanic or Latino/Latina, while 69.6% were white.
7    In order to work toward a level playing field for all who
8seek the training and economic stability apprenticeships
9provide, Illinois created the Illinois Works Preapprenticeship
10Program, which funds preapprenticeship skills training through
11community-based organizations serving populations that have,
12historically, been met with barriers to entry or advancement
13in the workforce.
14    By targeting historically underutilized communities whose
15members seek to access the upward mobility and career
16advancement apprenticeships bring, the Illinois Works
17Preapprenticeship Program is one part of many State
18initiatives to increase diversity in apprenticeship programs
19and careers in the construction and building trades.
20    The Investing in Illinois Works Tax Credit expands the
21goals of the Illinois Works Preapprenticeship Program to
22private construction projects and highly skilled training
23programs by incentivizing contractors to utilize graduates of
24preapprenticeship programs funded by the Illinois Works
25Preapprenticeship Program who are also participants in or
26graduates of registered apprenticeship programs as part of



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1their skilled and trained workforces on projects at
2high-hazard facilities.
3    Section 1-5. Definitions. As used in this Act:
4    "Department" means the Department of Commerce and Economic
6    "Illinois Works Preapprenticeship Program" means a network
7of community-based, nonprofit organizations throughout
8Illinois that receive grant funding from the Illinois
9Department of Commerce and Economic Opportunity to recruit,
10prescreen, and provide preapprenticeship skill training to
11create a qualified, diverse pipeline of workers who are
12prepared for careers in the construction and building trades
13as prescribed in Section 20-15 of the Illinois Works Jobs
14Program Act.
15    "Owner or operator" has the meaning provided in Section 5
16of the Illinois Hazardous Materials Workforce Training Act.
17    "Qualifying employee" means a qualifying graduate who was
18continuously employed by the owner or operator or a contractor
19engaged by the owner or operator in Illinois during all 4
20reporting periods occurring in the calendar year directly
21preceding the calendar year in which the credit is claimed.
22    "Qualifying graduate" means an individual from an
23underrepresented population who has successfully completed a
24preapprenticeship program through the Illinois Works
25Preapprenticeship Program in compliance with the requirements



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1of Section 20-15 of the Illinois Works Jobs Programs Act and
2who either is a registered apprentice as defined under Section
310-5 of the Illinois Hazardous Materials Workforce Training
4Act or has successfully completed a registered apprenticeship
5program as defined under Section 10-5 of the Illinois
6Hazardous Materials Workforce Training Act.
7    "Registered apprenticeship program" has the same meaning
8as provided in Section 10-5 of the Illinois Hazardous
9Materials Workforce Training Act.
10    "Reporting period" means the quarter for which a return is
11required to be filed under subsection (b) of Section 704A of
12the Illinois Income Tax Act.
13    "Skilled and trained workforce" has the same meaning
14provided in Section 10-5 of the Illinois Hazardous Materials
15Workforce Training Act.
16    "Tax credit certificate" means the certificate awarded by
17the Department under Section 1-20 of this Act.
18    "Underrepresented population" has the meaning provided in
19Section 20-10 of the Illinois Works Job Program Act.
20    Section 1-10. Credit amount. For taxable years beginning
21on or after January 1, 2023, subject to the limitations
22provided in this Act, an owner or operator may claim as a
23credit against the tax imposed under subsections (a) and (b)
24of Section 201 of the Illinois Income Tax Act an amount equal
25to the amount of Illinois income tax withheld from the



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1compensation paid to each qualifying employee and paid to the
2Department of Revenue, not to exceed $2,500 per calendar year
3for each qualifying employee, as certified by the Department
4on a tax credit certificate awarded under this Act.
5    Section 1-15. Application process.
6    (a) An owner or operator may apply to the Department for a
7certificate to receive a credit under Section 1-10.
8    (b) The Department shall establish an application process
9to certify an owner or operator for the credit under Section
101-10 as necessary for implementation of this Act. As part of
11the application process, the Department shall require the
12owner or operator to provide:
13        (1) the name, year, and name of the organization that
14    sponsored or administered the program through which each
15    qualifying employee completed his or her Illinois Works
16    Preapprenticeship Program and apprenticeship program;
17        (2) the receipt provided to the worker by the
18    Department of Labor stating that the qualifying employee
19    has provided a certificate to the Department of Labor
20    certifying that they have completed the minimum approved
21    safety training required by the Illinois Hazardous
22    Materials Workforce Training Act and when their
23    certification in that training expires;
24        (3) the hours worked by the qualifying employee that
25    go to meeting his or her apprenticeship requirements at



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1    the time of the application;
2        (4) a signed affidavit from the owner or operator
3    attesting that: (i) the qualifying employee was employed
4    by the owner and operator or a contractor engaged by the
5    owner or operator during all 4 reporting periods occurring
6    during the calendar year preceding the calendar year in
7    which the credit will be applied; (ii) the qualifying
8    employee performed work in his or her prevailing wage
9    classification for the duration of his or her employment
10    in the calendar year preceding the calendar year in which
11    the credit will be applied; (iii) the documents provided
12    in the application are true; and (iv) the owner or
13    operator will comply with all applicable laws; and
14        (5) any other material required by the Department.
15    Section 1-20. Credit awards.
16    (a) Upon satisfactory review, the Department shall issue a
17tax credit certificate stating the amount of the tax credit to
18which an owner or operator is entitled under this Act. Each
19certificate shall include a unique identifying number. The
20credit shall be claimed on the return for the taxable year
21during which the certificate is issued by the Department. The
22credit shall be equal to the amount shown on the certificate
23but may not reduce the taxpayer's obligation for any payment
24due under subsections (a) and (b) of Section 201 of the
25Illinois Income Tax Act to less than zero. For partners and



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1shareholders of Subchapter S corporations, there shall be
2allowed a credit under this subsection to be determined in
3accordance with the determination of income and distributive
4share of income under Sections 702 and 704 and Subchapter S of
5the Internal Revenue Code. If the amount of the credit exceeds
6the total payments due as described below, the excess may be
7carried forward and applied against the taxpayer's liability
8under subsections (a) and (b) of Section 201 of the Illinois
9Income Tax Act in the 5 succeeding taxable years. The credit
10shall be applied to the earliest taxable year for which there
11is a tax liability. If there are credits from more than one
12taxable year that are available to offset a liability, the
13earlier credit shall be applied first. No credit awarded under
14this Act shall be sold or otherwise transferred.
15    (b) The Department shall award not more than an aggregate
16of $20,000,000 in total annual tax credits under this Act. If
17applications for a greater amount are received, credits shall
18be allowed on a first-come, first-served basis based on the
19date on which each properly completed application for
20certification is received by the Department. If more than one
21properly completed application for certification is received
22on the same day, the credits shall be awarded based on the time
23of submission for that particular day.
24    Section 1-25. Penalties; recapture.
25    (a) False or fraudulent claims for credits under this Act



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1may be subject to penalties as provided under Sections 3-5 or
23-6 of the Uniform Penalty and Interest Act, as applicable.
3    (b) If the Department determines that an owner or operator
4who has received a credit under this Act does not comply with
5the requirements of this Act or that a certification the owner
6or operator made in his or her application are false, the
7Department may initiate recapture procedures against the owner
8or operator and, after notice and an opportunity for hearing,
9recapture the entire credit amount awarded under any tax
10credit certificate under issued under this Act. The Department
11shall notify the Department of Revenue of any credits
12recaptured under this subsection.
13    (c) If a previously awarded credit is required to be
14recaptured under subsection (b), the tax due under subsections
15(a) and (b) of Section 201 of the Illinois Income Tax Act shall
16be increased by the amount of the recaptured credit in the
17taxable year during which recapture is required.
18    Section 1-30. Rulemaking. The Department shall adopt rules
19for the implementation and administration of this Act. In
20order to provide for the expeditious and timely implementation
21of this Act, the Department and the Department of Revenue may
22adopt emergency rules. The adoption of emergency rules
23authorized by this Section is deemed to be necessary for the
24public interest, safety, and welfare.



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2    Section 5-1. Short title. This Article may be cited as the
3Access to Apprenticeship Act. References in this Article to
4"this Act" mean this Article.
5    Section 5-5. Restrictions on application requirements.
6Notwithstanding any law to the contrary, in order to ensure
7fair and equal access to apprenticeship programs, no
8application for a preapprenticeship or apprenticeship program,
9whether run by the State, a community-based organization, a
10community college, a public university, a private employer, a
11union, or joint labor-management program, may require a
12recommendation from a union member or any other person as a
13condition of acceptance to the preapprenticeship or
14apprenticeship program. An intent to hire letter from a
15signatory contractor shall not be considered a recommendation
16for purposes of this Act.
17    Section 5-97. Severability. The provisions of this Act are
18severable under Section 1.31 of the Statute on Statutes.

21    Section 10-1. Short title. This Article may be cited as



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1the Illinois Hazardous Materials Workforce Training Act.
2References in this Article to "this Act" mean this Article.
3    Section 10-3. Legislative findings. The General Assembly
4recognizes its duty to protect the health and safety of the
5public. The General Assembly finds that this legislation is
6consistent with that duty. Facilities such as refineries and
7chemical plants are inherently dangerous and present
8substantial risk to workers and communities. According to the
9U.S. Bureau of Labor Statistics data from 2003-2018, 418
10deaths have occurred in the refining and chemical industries
11(51 and 366 respectively) nationwide. Research supports the
12finding that registered construction apprenticeship programs
13are correlated with higher workplace safety due to the quality
14of safety, the skills training provided, and adherence to
15required federal standards. Moreover, the State of Illinois
16has recognized that registered apprenticeship programs provide
17substantial economic value to the State and serve as an
18important pathway for workers to enter the industry. The
19absence of area wage standards, especially in hazardous
20industries such as refining and chemical production,
21incentivizes the use of less-skilled, low-wage workers and
22increases the risk of danger to the public. The General
23Assembly recognizes and affirms that maintaining area wage
24standards prioritizes the use of better trained and
25higher-skilled workers while contributing to the State's



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1economic growth.
2    Section 10-5. Definitions. As used in this Act:
3    "Apprenticeable occupation" means an occupation in the
4building and construction trades for which training and
5apprenticeship programs have been approved by and registered
6with the United States Department of Labor's Employment and
7Training Administration.
8    "Building and construction trades council" means any labor
9organization that represents multiple construction trades and
10monitors or is attentive to compliance with public or workers'
11safety laws, wage and hour requirements, or other statutory
12requirements and negotiates and maintains collective
13bargaining agreements.
14    "Construction" means all work at a stationary source
15involving laborers, workers, or mechanics, including any
16maintenance, repair, assembly, or disassembly work performed
17on equipment whether owned, leased, or rented.
18    "Department" means the Department of Labor.
19    "Director" means the Director of Labor.
20    "Labor agreement" means a form of prehire collective
21bargaining agreement covering all terms and conditions of
23    "Labor organization" means an organization that is the
24exclusive representative of an employer's employees recognized
25or certified under the federal National Labor Relations Act of



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2    "Minimum approved safety training for workers at
3high-hazard facilities" means a minimum 30-hour OSHA Outreach
4Training Program for the Construction Industry class
5consisting of a curriculum of OSHA-designated training topics
6with training performed by an authorized OSHA Outreach
7Training Program Trainer and that is intended to provide
8workers with information about their rights, employer
9responsibilities, safety and health hazards a worker may
10encounter on a work site, as well as how to identify, abate,
11avoid, and prevent job-related hazards by emphasizing hazard
12identification, avoidance, control, and prevention.
13    "OSHA" means the United States Department of Labor's
14Occupational Safety and Health Administration.
15    "Owner or operator" means an owner or operator of a
16stationary source that is engaged in activities described in
17Code 324110, 325110, 325193, or 325199 of the 2017 North
18American Industry Classification System (NAICS), and has one
19or more covered processes that are required to prepare and
20submit a Risk Management Plan. "Owner or operator" does not
21include oil and gas extraction operations.
22    "Prevailing hourly wage rate" means hourly wages plus
23fringe benefits that are equal to or greater than the
24prevailing wage rate for the occupation in the locality in
25which the work is being performed, as published by the
26Illinois Department of Labor, and may include apprentice wage



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1rate scales as filed with the United States Department of
2Labor by an apprenticeship program.
3    "Registered apprentice" means an apprentice registered in
4an applicable apprenticeship program for an apprenticeable
5occupation approved by and registered with the United States
6Department of Labor's Employment and Training Administration
7and who is being paid at least a rate equivalent to the
8prevailing hourly wage rate for an apprentice of his or her
9experience level, as permitted by this Act, in the applicable
10occupation and locality.
11    "Registered apprenticeship program" means an applicable
12training and apprenticeship program that is approved by and
13registered with the United States Department of Labor's
14Employment and Training Administration.
15    "Shift" means a set standard period of time an employer
16requires its employees to perform his or her work-related
17duties on a daily basis. For purposes of this definition,
18there may be multiple shifts per day.
19    "Skilled journeyperson" means a worker who meets all of
20the following criteria:
21        (1) the worker either graduated from a registered
22    apprenticeship program for the applicable occupation or
23    has at least as many hours of on-the-job experience in the
24    applicable occupation as would be required to graduate
25    from a registered apprenticeship program for the
26    applicable occupation;



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1        (2) the worker is being paid at least a rate
2    equivalent to the prevailing hourly wage rate for a
3    journeyperson in the applicable occupation and locality;
4    and
5        (3) beginning on or after July 1, 2024, the worker has
6    completed, within the prior 3 calendar years, minimum
7    approved safety training for workers at high-hazard
8    facilities and has filed a certificate of completion with
9    the Department.
10    "Skilled and trained workforce" means a workforce that
11meets all of the following criteria:
12        (1) all the workers are either registered apprentices
13    or skilled journeypersons;
14        (2) beginning on July 1, 2023, at least 45% of the
15    skilled journeypersons are graduates of an apprenticeship
16    program for the applicable occupation;
17        (3) beginning on July 1, 2024, at least 60% of the
18    skilled journeypersons are graduates of an apprenticeship
19    program for the applicable occupation; and
20        (4) beginning on July 1, 2025, at least 80% of the
21    skilled journeypersons are graduates of an apprenticeship
22    program for the applicable occupation.
23    "Stationary source" means that term as it is defined under
24Section 39.5 of the Environmental Protection Act.
25    Section 10-10. Minimum approved safety training.



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1    (a) A person who has completed minimum approved safety
2training for workers at high-hazard facilities shall file his
3or her certificate of completion with the Department in a
4manner prescribed by the Department.
5    (b) The owner or operator, when contracting for the
6performance of construction work at the stationary source,
7shall require that its contractors and any subcontractors use
8a skilled and trained workforce to perform all onsite work
9within an apprenticeable occupation in the building and
10construction trades, and shall include this requirement in any
11and all contracts executed between an owner or operator and a
12contractor or subcontractor.
13    (c) The requirements of this Section shall not immediately
14apply to contracts awarded before July 1, 2023, unless the
15contract is extended or renewed after that date. Contracts
16awarded before July 1, 2023 shall meet the requirements of
17this Section no later than July 1, 2024.
18    (d) The requirements of this Section shall only apply to
19the skilled and trained workforce, contracted with an owner or
20operator to perform construction work at the stationary source
22    (e) The skilled and trained workforce requirements under
23this Section shall not apply to:
24        (1) Contractors that have requested qualified workers
25    from the local hiring halls that dispatch workers in the
26    apprenticeable occupation and that, due to workforce



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1    shortages, are unable to obtain sufficient qualified
2    workers within 48 hours of the request, Saturdays,
3    Sundays, and holidays excepted. This Act shall not prevent
4    contractors from obtaining workers from any source.
5        (2) An emergency where compliance is impracticable;
6    namely, an emergency requiring immediate action to prevent
7    imminent harm to public health or safety or to the
8    environment. Within 3 days of an emergency resulting in a
9    failure to comply with this Act, the owner or operator
10    must notify the Department that such an event occurred and
11    provide documentation supporting its claim that compliance
12    was impracticable. Within 14 days of receiving such
13    documentation, the Department must issue a finding of
14    whether or not the emergency warranted noncompliance with
15    this Act. An owner's or operator's failures to notify the
16    Department of an emergency as required shall constitute a
17    violation of this Act.
18    Section 10-12. Violations of Section 10-10. Any
19interested party may file a complaint with the Department
20against an owner, operator, or construction contractor covered
21under this Act if there is reasonable belief that the owner,
22operator, or construction contractor is in violation of
23Section 10-10 of this Act.
24    Section 10-15. Enforcement. The Director of Labor or his



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1or her authorized representative may interview workers,
2administer oaths, take or cause to be taken the depositions of
3witnesses, and require by subpoena the attendance and
4testimony of witnesses and the production of all books,
5records, and other evidence relative to the matter under
6investigation or hearing, including any contract entered into
7between the owner or operator and construction contractor, and
8a transcript of the contractor's payroll, broken down by
9classification and skill level. Such subpoena shall be signed
10and issued by the Director or his or her authorized
12    Upon request by the Director of Labor or his or her deputy
13or agent, records shall be copied and submitted for evidence
14at no cost to the Department. Every employer upon request
15shall furnish to the Director or his or her authorized
16representative, on demand, a sworn statement of the accuracy
17of the records. Any employer who refuses to furnish a sworn
18statement of the records is in violation of this Act.
19    In case of failure of any person to comply with any
20subpoena lawfully issued under this Section or on the refusal
21of any witness to produce evidence or to testify to any matter
22regarding which he or she may be lawfully interrogated, it is
23the duty of any circuit court, upon application of the
24Director of Labor or his or her authorized representative, to
25compel obedience by proceedings for contempt, as in the case
26of disobedience of the requirements of a subpoena issued by



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1such court or a refusal to testify therein. The Director may
2certify official acts.
3    If the Department finds that an owner, operator, or
4construction contractor has not complied with this Act, the
5Department shall refer the matter to the Attorney General for
7    Section 10-20. Exemptions. This Act does not apply to any
8owner or operator that has an executed national or local labor
9agreement in effect pertaining to the performance of
10construction work at a given facility or site under the terms
11of the agreement. The labor agreement must be negotiated with
12and approved by a local building and construction trades
13council that has geographic jurisdiction over the stationary
15    Section 10-21. Reporting.
16    (a) Any registered apprenticeship program or contractor
17subject to this Act shall file an annual report with the
18Department of Commerce and Economic Opportunity and the
19Illinois Works Review Panel, in the form and manner required
20by the Department of Commerce and Economic Opportunity, within
216 months after the effective date of this Act and by January 31
22of each year thereafter. The report shall contain the
23following information:
24        (1) A report submitted by an applicable registered



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1    apprenticeship program providing minimum approved safety
2    training for workers in high-hazard facilities shall
3    contain the following information:
4            (A) A description of the registered apprenticeship
5        program's recruitment efforts and screening efforts
6        and a general description of training efforts.
7            (B) The number of individuals who (i) applied to,
8        (ii) participated in, and (iii) completed the minimum
9        approved safety training for workers at high-hazard
10        facilities in the prior calendar year, broken down by
11        race, ethnicity, gender, jurisdiction, apprentice or
12        journeyperson level, age, and veteran status.
13            (C) The demographic data of the county where the
14        registered apprenticeship program is located.
15            (D) A statement of the registered apprenticeship
16        program's minimum diversity goal, which shall equal
17        the demographic makeup of its jurisdiction, the
18        demographic makeup of the participants and graduates
19        of the registered apprenticeship program, and a
20        comparison of whether the demographic makeup of the
21        participants of the apprenticeship program who are
22        working at the high-hazard facility are meeting that
23        goal.
24            (E) An action plan to increase or maintain
25        diversity to meet or exceed the stated minimum
26        diversity goal. An action plan may include, but shall



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1        not be limited to, taking the following actions if the
2        diversity goal is not met:
3                (i) Providing information on this Act for all
4            high schools and field offices of the Department
5            of Employment Security in the jurisdiction.
6                (ii) Entering into a joint agreement with the
7            Department of Employment Security for outreach and
8            employment services.
9                (iii) Entering into a joint agreement with
10            educational institutions or an approved Illinois
11            Works Preapprenticeship Program established under
12            subsection (a) of Section 20-15 of the Illinois
13            Works Jobs Program Act to enhance recruitment
14            efforts.
15                (iv) Evaluating and eliminating experience
16            requirements that may pose barriers to recruiting
17            or admitting diverse individuals as apprentices,
18            when feasible.
19        (2) A report submitted by a contractor who employs
20    workers operating in high-hazard facilities shall contain
21    the following information:
22            (A) A description of the contractor's recruitment
23        efforts and screening efforts and a general
24        description of training efforts.
25            (B) The number of workers employed by the
26        contractor to work in high-hazard facilities in the



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1        prior calendar year, broken down by race, ethnicity,
2        gender, jurisdiction, apprentice or journeyperson
3        level, age, and veteran status.
4            (C) The demographic data of the county where the
5        majority of the contractor's high-hazard facility work
6        was performed in the last calendar year.
7            (D) A statement of the contractor's minimum
8        diversity goal, which shall equal the demographic
9        makeup of its jurisdiction, and whether the
10        demographic makeup of the workers employed by the
11        contractor to work at the high-hazard facility is
12        meeting that goal.
13            (E) An action plan to increase or maintain
14        diversity to meet or exceed the stated minimum
15        diversity goal. An action plan may include but not
16        limited to, taking the following actions if the
17        diversity goal is not met:
18                (i) Providing information on this Act for all
19            high schools and field offices of the Department
20            of Employment Security in the jurisdiction.
21                (ii) Entering into a joint agreement with the
22            Department of Employment Security for outreach and
23            employment services.
24                (iii) Entering into a joint agreement with
25            educational institutions or approved Illinois
26            Works Preapprenticeship Programs established under



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1            subsection (a) of Section 20-15 of the Illinois
2            Works Jobs Program Act in the jurisdiction to
3            enhance recruitment efforts.
4                (iv) Evaluating and eliminating experience
5            requirements that may pose barriers to recruiting
6            or admitting diverse individuals as apprentices
7            when feasible.
8    (b) The Department of Commerce and Economic Opportunity
9shall review the annual reports and, in consultation with the
10Illinois Works Review Panel, conduct an assessment of whether
11the reports meet the requirements of this Act.
12    (c) If the Department of Commerce and Economic Opportunity
13concludes that a report submitted under this Section does not
14meet or is unlikely to meet the minimum diversity goal under
15subparagraph (D) of paragraph (1) of subsection (a) or (a)
16subparagraph (D) of paragraph (2) of subsection (a) within 12
17months after filing its report, or that the action plan was not
18followed, the Department of Commerce and Economic Opportunity,
19in consultation with the Illinois Works Review Panel, shall
20recommend that the action plan be revised to provide
21additional steps and opportunities for minority participation.
22    (d) If the Department of Commerce and Economic
23Opportunity, in consultation with the Illinois Works Review
24Panel, concludes that the applicable registered apprenticeship
25program providing workers in a high-hazard facility or the
26contractor operating at a high-hazard facility failed to



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1follow its action plan under subsection subparagraph (E) of
2paragraph (1) of subsection (a), subparagraph (E) of paragraph
3(2) of subsection (a), paragraph (5) of subsection (a), or the
4recommended changes to its action plan provided by the
5Department of Commerce and Economic Opportunity and the
6Illinois Works Review Panel under subsection (b) within 12
7months after filing the entity's report, the Department of
8Commerce and Economic Opportunity may refer the matter to the
9Department for investigation and enforcement.
10    (e) It is a violation of this Act for an applicable
11registered apprenticeship program providing workers in a
12high-hazard facility to fail to submit a report as required by
13this Act. The Department of Commerce and Economic Opportunity
14shall refer such violations to the Director of the Department
15investigation and enforcement.
16    (f) For reporting purposes, the jurisdiction is the
17Illinois county where the applicable apprenticeship and
18training program, approved by and registered with the U.S.
19Department of Labor's Office of Apprenticeship, is located.
20For a contractor, the jurisdiction is the county where the
21contractor's workers perform the majority of work in a
22high-hazard facility within the last calendar year.
23    Section 10-25. Penalties; noncompliant reporting;
25    (a) Except as provided in subsection (b), an owner or



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1operator who violates the requirements of this Act shall be
2subject to a minimum civil penalty of $10,000 for each
3violation. The Department shall consider the gravity of the
4violation in determining the amount of the penalty. Each shift
5a violation of this Act occurs shall be considered a separate
6violation. The penalty may be recovered in a civil action
7brought by the Director in any circuit court. In the civil
8action, the Director shall be represented by the Attorney
9General. All moneys received by the Department as fees and
10civil penalties under this Act, other than moneys collected as
11unpaid or underpaid wages plus a 5% monthly penalty as
12provided in subsection (b), shall be deposited into the
13Illinois Works Fund to be used to recruit, prescreen, and
14provide preapprenticeship skills training for which
15participants may attend free of charge and receive a stipend
16to create a qualified, diverse pipeline of workers who are
17prepared to work in high-hazard facilities.
18    (b) In addition to the penalty provisions of subsection
19(a), if the Department finds that a contractor or owner or
20operator failed to pay the prevailing rate of wages to
21construction workers at a stationary source as required under
22this Act, the Department shall have the ability to recover
23unpaid or underpaid wages, plus a 5% monthly penalty, on
24behalf of and payable to the workers. Wages owed may be
25recovered in a civil action brought by the Director in any
26circuit court. In a civil action, the Director shall be



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1represented by the Attorney General.
2    (c) Notwithstanding subsections (a) and (b), if the
3Department of Commerce and Economic Opportunity, in
4consultation with the Illinois Works Review Panel, refer a
5violation of Section 10-21 to the Department for investigation
6and enforcement, the Department shall provide reasonable
7notice of noncompliance to the violator within 90 days after
8the violation and inform the violator that the violator has 45
9days to comply with Section 10-21 without penalty. If the
10noncompliance is not remedied, the violator shall be in
11violation of this Act and may be deemed unfit to provide
12workers or operate at high-hazard facilities for a period of
13up to one year. If the Department determines that the violator
14has remedied the violation and is in compliance with Section
1510-21, the Department shall have 45 days to reinstate the
16authorization for the violator to provide workers or operate
17at high-hazard facilities. The Department may not unreasonably
18withhold reinstatement under this subsection when the
19applicable registered apprenticeship program providing workers
20in high-hazard facilities or the contractor operating at
21high-hazard facilities is found to be in compliance with
22Section 10-21.
23    Section 10-97. Severability. The provisions of this Act
24are severable under Section 1.31 of the Statute on Statutes.



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2    Section 15-5. The Illinois Administrative Procedure Act is
3amended by adding Section 5-45.8 as follows:
4    (5 ILCS 100/5-45.8 new)
5    Sec. 5-45.8. Emergency rulemaking. To provide for the
6expeditious and timely implementation of this amendatory Act
7of the 102nd General Assembly, the Department of Commerce and
8Economic Opportunity shall, and the Department of Revenue may,
9adopt emergency rules. The adoption of emergency rules
10authorized by this Section is deemed to be necessary for the
11public interest, safety, and welfare.
12    This Section is repealed on January 1, 2026.
13    Section 15-10. The Illinois Income Tax Act is amended by
14adding Section 232 as follows:
15    (35 ILCS 5/232 new)
16    Sec. 232. The Investing in Illinois Works Tax Credit. An
17eligible taxpayer who has been awarded a credit by the
18Department of Commerce and Economic Opportunity under Section
191-20 of the Investing in Illinois Works Tax Credit Act may
20claim a credit against the taxes imposed under subsections (a)
21and (b) of Section 201 of this Act for amounts due during the
22first taxable year in which a tax credit certificate was



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1awarded. The credit shall be equal to the amount shown on the
2certificate. For partners and shareholders of Subchapter S
3corporations, there shall be allowed a credit under this
4subsection to be determined in accordance with the
5determination of income and distributive share of income under
6Sections 702 and 704 and Subchapter S of the Internal Revenue
7Code. The credit may not reduce the taxpayer's tax due under
8subsections (a) and (b) of Section 201 to less than zero.
9However, if the amount of the credit exceeds the total tax due
10for the taxable year, the excess credit may be carried forward
11and applied against the taxpayer's liability under subsections
12(a) and (b) of Section 201 in the 5 succeeding taxable years.
13The credit shall be applied to the earliest taxable year for
14which there is a tax liability. If there are credits from more
15than one reporting period that are available to offset the
16liability, the earlier credit shall be applied first.

18    Section 99-99. Effective date. This Act takes effect
19January 1, 2023.".