Illinois General Assembly - Full Text of SB1701
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Full Text of SB1701  103rd General Assembly


Sen. Ram Villivalam

Filed: 3/21/2023





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2    AMENDMENT NO. ______. Amend Senate Bill 1701 by replacing
3everything after the enacting clause with the following:
4    "Section 5. The State Finance Act is amended by changing
5Section 6z-32 as follows:
6    (30 ILCS 105/6z-32)
7    Sec. 6z-32. Partners for Planning and Conservation.
8    (a) The Partners for Conservation Fund (formerly known as
9the Conservation 2000 Fund) and the Partners for Conservation
10Projects Fund (formerly known as the Conservation 2000
11Projects Fund) are created as special funds in the State
12Treasury. These funds shall be used to establish a
13comprehensive program to protect Illinois' natural resources
14through cooperative partnerships between State government and
15public and private landowners. Moneys in these Funds may be
16used, subject to appropriation, by the Department of Natural



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1Resources, Environmental Protection Agency, and the Department
2of Agriculture for purposes relating to natural resource
3protection, planning, recreation, tourism, climate resilience,
4and compatible agricultural and economic development
5activities. Without limiting these general purposes, moneys in
6these Funds may be used, subject to appropriation, for the
7following specific purposes:
8        (1) To foster sustainable agriculture practices and
9    control soil erosion, sedimentation, and nutrient loss
10    from farmland, including grants to Soil and Water
11    Conservation Districts for conservation practice
12    cost-share grants and for personnel, educational, and
13    administrative expenses.
14        (2) To establish and protect a system of ecosystems in
15    public and private ownership through conservation
16    easements, incentives to public and private landowners,
17    natural resource restoration and preservation, water
18    quality protection and improvement, land use and watershed
19    planning, technical assistance and grants, and land
20    acquisition provided these mechanisms are all voluntary on
21    the part of the landowner and do not involve the use of
22    eminent domain.
23        (3) To develop a systematic and long-term program to
24    effectively measure and monitor natural resources and
25    ecological conditions through investments in technology
26    and involvement of scientific experts.



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1        (4) To initiate strategies to enhance, use, and
2    maintain Illinois' inland lakes through education,
3    technical assistance, research, and financial incentives.
4        (5) To partner with private landowners and with units
5    of State, federal, and local government and with
6    not-for-profit organizations in order to integrate State
7    and federal programs with Illinois' natural resource
8    protection and restoration efforts and to meet
9    requirements to obtain federal and other funds for
10    conservation or protection of natural resources.
11        (6) To support implement the State's Nutrient Loss
12    Reduction Strategy, including, but not limited to, funding
13    the resources needed to support the Strategy's Policy
14    Working Group, cover water quality monitoring in support
15    of Strategy implementation, prepare a biennial report on
16    the progress made on the Strategy every 2 years, and
17    provide cost share funding for nutrient capture projects.
18        (7) To provide capacity grants to support soil and
19    water conservation districts, including, but not limited
20    to, developing soil health plans, conducting soil health
21    assessments, peer-to-peer training, convening
22    producer-led dialogues, professional memberships,
23    professional development, and travel stipends for meetings
24    and educational events.
25        (8) To develop guidelines and local soil health
26    assessments for advancing soil health.



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1        (9) To implement a crop insurance premium discount
2    program at the State level for practices that improve soil
3    health.
4    (b) The State Comptroller and State Treasurer shall
5automatically transfer on the last day of each month,
6beginning on September 30, 1995 and ending on June 30, 2023,
7from the General Revenue Fund to the Partners for Conservation
8Fund, an amount equal to 1/10 of the amount set forth below in
9fiscal year 1996 and an amount equal to 1/12 of the amount set
10forth below in each of the other specified fiscal years:
11Fiscal Year Amount
121996$ 3,500,000
131997$ 9,000,000
172001 through 2004$14,000,000
182005 $7,000,000
192006 $11,000,000
202007 $0
212008 through 2011 $14,000,000
222012 $12,200,000
232013 through 2017 $14,000,000
242018 $1,500,000
252019 $14,000,000
262020 $7,500,000



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12021 through 2023 $14,000,000
2    (c) The State Comptroller and State Treasurer shall
3automatically transfer on the last day of each month beginning
4on July 31, 2021 and ending June 30, 2022, from the
5Environmental Protection Permit and Inspection Fund to the
6Partners for Conservation Fund, an amount equal to 1/12 of
8    (c-1) The State Comptroller and State Treasurer shall
9automatically transfer on the last day of each month beginning
10on July 31, 2022 and ending June 30, 2023, from the
11Environmental Protection Permit and Inspection Fund to the
12Partners for Conservation Fund, an amount equal to 1/12 of
14    (d) There shall be deposited into the Partners for
15Conservation Projects Fund such bond proceeds and other moneys
16as may, from time to time, be provided by law.
17(Source: P.A. 101-10, eff. 6-5-19; 102-16, eff. 6-17-21;
18102-699, eff. 4-19-22.)
19    Section 10. The Grant Accountability and Transparency Act
20is amended by changing Section 45 as follows:
21    (30 ILCS 708/45)
22    Sec. 45. Applicability.
23    (a) Except as otherwise provided in this Section, the
24requirements established under this Act apply to State



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1grant-making agencies that make State and federal pass-through
2awards to non-federal entities. These requirements apply to
3all costs related to State and federal pass-through awards.
4The requirements established under this Act do not apply to
5private awards, to allocations of State revenues paid over by
6the Comptroller to units of local government and other taxing
7districts pursuant to the State Revenue Sharing Act from the
8Local Government Distributive Fund or the Personal Property
9Tax Replacement Fund, to allotments of State motor fuel tax
10revenues distributed by the Department of Transportation to
11units of local government pursuant to the Motor Fuel Tax Law
12from the Motor Fuel Tax Fund or the Transportation Renewal
13Fund, or to awards, including capital appropriated funds, made
14by the Department of Transportation to units of local
15government for the purposes of transportation projects
16utilizing State funds, federal funds, or both State and
17federal funds. This Act shall recognize that federal and
18federal pass-through awards from the Department of
19Transportation to units of local government are governed by
20and must comply with federal guidelines under 2 CFR Part 200.
21    The changes made by this amendatory Act of the 102nd
22General Assembly apply to pending actions as well as actions
23commenced on or after the effective date of this amendatory
24Act of the 102nd General Assembly.
25    (a-5) Nothing in this Act shall prohibit the use of State
26funds for purposes of federal match or maintenance of effort.



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1    (b) The terms and conditions of State, federal, and
2pass-through awards apply to subawards and subrecipients
3unless a particular Section of this Act or the terms and
4conditions of the State or federal award specifically indicate
5otherwise. Non-federal entities shall comply with requirements
6of this Act regardless of whether the non-federal entity is a
7recipient or subrecipient of a State or federal pass-through
8award. Pass-through entities shall comply with the
9requirements set forth under the rules adopted under
10subsection (a) of Section 20 of this Act, but not to any
11requirements in this Act directed towards State or federal
12awarding agencies, unless the requirements of the State or
13federal awards indicate otherwise.
14    When a non-federal entity is awarded a cost-reimbursement
15contract, only 2 CFR 200.330 through 200.332 are incorporated
16by reference into the contract. However, when the Cost
17Accounting Standards are applicable to the contract, they take
18precedence over the requirements of this Act unless they are
19in conflict with Subpart F of 2 CFR 200. In addition, costs
20that are made unallowable under 10 U.S.C. 2324(e) and 41
21U.S.C. 4304(a), as described in the Federal Acquisition
22Regulations, subpart 31.2 and subpart 31.603, are always
23unallowable. For requirements other than those covered in
24Subpart D of 2 CFR 200.330 through 200.332, the terms of the
25contract and the Federal Acquisition Regulations apply.
26    With the exception of Subpart F of 2 CFR 200, which is



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1required by the Single Audit Act, in any circumstances where
2the provisions of federal statutes or regulations differ from
3the provisions of this Act, the provision of the federal
4statutes or regulations govern. This includes, for agreements
5with Indian tribes, the provisions of the Indian
6Self-Determination and Education and Assistance Act, as
7amended, 25 U.S.C. 450-458ddd-2.
8    (c) State grant-making agencies may apply subparts A
9through E of 2 CFR 200 to for-profit entities, foreign public
10entities, or foreign organizations, except where the awarding
11agency determines that the application of these subparts would
12be inconsistent with the international obligations of the
13United States or the statute or regulations of a foreign
15    (d) 2 CFR 200.101 specifies how 2 CFR 200 is applicable to
16different types of awards. The same applicability applies to
17this Act.
18    (e) (Blank).
19    (f) For public institutions of higher education, the
20provisions of this Act apply only to awards funded by federal
21pass-through awards from a State agency to public institutions
22of higher education. This Act shall recognize provisions in 2
23CFR 200 as applicable to public institutions of higher
24education, including Appendix III of Part 200 and the cost
25principles under Subpart E.
26    (g) Each grant-making agency shall enhance its processes



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1to monitor and address noncompliance with reporting
2requirements and with program performance standards. Where
3applicable, the process may include a corrective action plan.
4The monitoring process shall include a plan for tracking and
5documenting performance-based contracting decisions.
6    (h) Notwithstanding any provision of law to the contrary,
7grants awarded from federal funds received from the federal
8Coronavirus State Fiscal Recovery Fund in accordance with
9Section 9901 of the American Rescue Plan Act of 2021 are
10subject to the provisions of this Act, but only to the extent
11required by Section 9901 of the American Rescue Plan Act of
122021 and other applicable federal law or regulation.
13    (i) This Act does not apply to the Department of
14Agriculture's Soil and Water Conservation District Grants
16(Source: P.A. 101-81, eff. 7-12-19; 102-16, eff. 6-17-21;
17102-626, eff. 8-27-21; 102-813, eff. 5-13-22; 102-1092, eff.
19    Section 15. The Soil and Water Conservation Districts Act
20is amended by adding Sections 3.24, 3.25, 3.26, 3.27, 22.03a,
2122.03b, 22.03c, and 22.03d as follows:
22    (70 ILCS 405/3.24 new)
23    Sec. 3.24. "Healthy soils practices" means systems of
24agricultural, forestry, and land management practices that:



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1        (1) improve the health of soils, including, but not
2    limited to, consideration of depth of topsoil horizons,
3    water infiltration rate, water-holding capacity, organic
4    matter content, biologically accessible nutrient content,
5    bulk density, biological activity, and biological and
6    microbiological diversity;
7        (2) follow the principles of: minimizing soil
8    disturbance and external inputs; keeping soil covered;
9    maximizing biodiversity; diversifying crop rotations;
10    maximizing presence of living roots; integrating animals
11    and insects into land management, including grazing
12    animals, birds, beneficial insects, or keystone species,
13    such as earthworms; and incorporating the context of local
14    conditions in decision-making, including, for example,
15    soil type, topography, and time of year; and
16        (3) include practices such as tillage or no-till,
17    cover-cropping, perennialization of highly erodible land,
18    precision nitrogen and phosphorus application, managed
19    grazing, integrated crop-livestock systems, silvopasture,
20    agroforestry, perennial crops, integrated pest management,
21    nutrient best management practices, invasive species
22    removal and the planting of native species and those
23    practices recommended by the United States Department of
24    Agriculture's Natural Resources Conservation Service -
25    Field Office Technical Guide.



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1    (70 ILCS 405/3.25 new)
2    Sec. 3.25. "Soil health assessment" means a suite of
3soil-health-indicator measures, including, but not limited to,
4soil organic matter, soil structure, infiltration and bulk
5density, water-holding capacity, microbial biomass, and soil
7    (70 ILCS 405/3.26 new)
8    Sec. 3.26. "Initiative" means the Illinois Healthy Soils
10    (70 ILCS 405/3.27 new)
11    Sec. 3.27. "Healthy soil" means the continuing capacity of
12a soil to function as a vital, living biological system that
13sustains plants, animals, and humans, increases soil organic
14matter, improves soil structure and water-holding and
15nutrient-holding capacity and nutrient cycling, enhances water
16infiltration and filtration capability, promotes water
17quality, and results in net long-term ecological benefits.
18"Healthy soil" includes soil that hosts a diversity of
19beneficial organisms, grow vigorous crops, enhance
20agricultural resilience, including the ability of crops and
21livestock to tolerate and recover from drought, temperature
22extremes, extreme precipitation events, pests, diseases, and
23other stresses, break down harmful chemicals, and help convert
24organic residues into stable soil organic matter and retaining



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1nutrients, especially nitrogen and phosphorus.
2    (70 ILCS 405/22.03a new)
3    Sec. 22.03a. Illinois Healthy Soils Initiative.
4    (a) The Illinois Healthy Soils Initiative is created. It
5is the purpose of the Initiative to improve the health of soils
6through efforts that improve soil and water quality, increase
7the resilience of ecosystems to extreme weather events,
8protect and improve agricultural productivity, and support
9aquatic and wildlife habitat.
10    The Initiative shall be administered by the Director of
11Agriculture with consultation from soil and water conservation
12districts, the Illinois Environmental Protection Agency, the
13Department of Natural Resources, and the University of
14Illinois Extension Program. The Department shall create
15guidelines and guidance to assist soil and water conservation
16districts in developing soil health assessments in order to
17identify desired capacity and funding levels and establish
18regular, measurable, cost-effective, and technically
19achievable goals to advance voluntary and incentive-based
20strategies that improve healthy soils. These assessments shall
21be used to identify opportunities to access and leverage
22financial and technical assistance from local, State, and
23federal sources to guide resources to their best potential
25    The Initiative shall complement and improve coordination



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1of existing resources and processes and shall not replace
2existing, local, State, private, or federal funding or
3technical assistance programs. The Department shall report on
4progress of the Initiative annually.
5    The Initiative shall promote voluntary and incentive-based
6soil health efforts. No part of this Section shall be used to
7impose mandates or require practice adoption.
8    (70 ILCS 405/22.03b new)
9    Sec. 22.03b. Guidelines for soil health assessments. The
10Department shall adopt and revise guidelines to assist soil
11and water conservation districts in determining local goals
12and needs for implementing soil health assessments.
13    In developing its guidelines to assist soil and water
14conservation districts in determining local goals and needs
15for soil health assessments, the Department shall consider:
16        (1) county and State levels of conservation practice
17    adoption. Guidance should also be provided to districts to
18    meet USDA Natural Resource Conservation Service determined
19    conservation practice standards or Illinois Urban Manual
20    Practice Standards;
21        (2) information regarding beginning, socially
22    disadvantaged, and veteran farmers and ranchers, as well
23    as disadvantaged communities;
24        (3) availability of State, federal, and private
25    financial and technical assistance programs to soil and



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1    water conservation districts, local governments, and
2    conservation partners; and
3        (4) opportunities for evaluating results-based
4    practices utilizing tools, such as the U.S. Department of
5    Agriculture's revised universal soil loss equation, that
6    model environmental outcomes at the field, county,
7    watershed, or State level.
8    The information collected through the development of the
9guidelines shall be summarized and provided to the soil and
10water conservation districts to inform the development of
11local soil health assessments.
12    Initial guidelines shall be completed and provided to soil
13and water conservation districts by July 1 of each year and
14shall include the grant agreement for the Soil and Water
15Conservation District Grants Program as well as outlining the
16funding resource support contained within the grant agreement
17to better inform the development of local soil health
19    (70 ILCS 405/22.03c new)
20    Sec. 22.03c. Local soil health assessments. Upon the
21adoption of guidelines described in Section 22.03b, each soil
22and water conservation district shall develop its own soil
23health assessment to guide voluntary and incentive-based
24strategies to improve soil health. The soil health assessment
25shall be technically feasible and economically reasonable.



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1    The Department shall provide a template to the districts
2for the local soil health assessment, including the required
3information listed in this Section as well as information
4regarding available data and support materials collected as
5the guidance information listed in Section 25.
6    Each district is encouraged to collaborate with other
7local governmental entities and local stakeholders in
8developing and implementing its soil health assessment. Each
9district shall use the guidelines provided by the Department
10in developing its soil health assessment.
11    Upon the request of a district, the Department shall
12assist in the preparation of the district's soil health
13assessment. Districts may also work collaboratively to
14establish joint plans to leverage existing capacity and
15resources most effectively.
16    To carry out its assessment, a district shall identify
17soil health practices. The soil health assessment must
18consider opportunities to access, leverage, and use State and
19federal resources within a specific soil and water
20conservation district service area.
21    Soil and water conservation districts may also convene
22producer-led dialogues to identify special initiatives or
23pilot projects to leverage additional resources and implement
24soil health practices at scale across multiple operations and
25land ownerships.
26    In developing a soil health assessment, the soil and water



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1conservation district shall:
2        (1) evaluate existing assets, such as current
3    practices, current cropping systems, crop processing and
4    market infrastructure, riparian buffers, wetlands, public
5    lands, funding, education, research and peer-to-peer
6    training opportunities, and existing partnerships;
7        (2) consider the eligible funding categories available
8    through the Partners for Conservation Fund and the
9    district's ability to advance healthy soils practices
10    consistent with Natural Resource Conservation Service soil
11    health principles within a soil and water conservation
12    district service area;
13        (3) determine vulnerabilities, such as runoff risk,
14    riparian function, stormwater, floodplains and stream
15    impairments, and observed and predicted impacts from
16    climate change, especially to socially disadvantaged
17    farmers, ranchers, and communities;
18        (4) identify opportunities to conduct outreach to
19    agricultural producers and landowners and to develop
20    individual soil health plans;
21        (5) establish goals for achieving measurable outcomes
22    for soil health and farmer viability through voluntary and
23    incentive-based activities. This includes identifying
24    opportunities to support beginning, socially
25    disadvantaged, and veteran farmers as well as small and
26    mid-scale farmers;



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1        (6) estimate 2-year funding levels needed from State,
2    federal and private sources in order to achieve goals; and
3        (7) identify opportunities to develop partnerships and
4    leverage resources from local governments, utilities, and
5    State and federal agencies.
6    The Department shall identify shared goals and priorities
7between districts and shall assist in developing partnerships
8and shared funding approaches to maximize capacity and
9resources. Initial soil health assessments shall be submitted
10to the Department by September 1, 2024.
11    (70 ILCS 405/22.03d new)
12    Sec. 22.03d. Compliance and standards; cost sharing. To be
13eligible to receive State cost-share support after September
141, 2024, soil and water conservation districts shall have an
15updated soil health assessment.
16    The Department shall update its rules and procedures for
17cost-share funding to be inclusive of all relevant soil health
18practices promoting the rapid adoption of cost-effective and
19technically feasible projects. Updates to the rules and
20procedures for State cost-share programs shall also address
21barriers to access experienced by beginning, socially
22disadvantaged, and veteran farmers.
23    The Department may require results-based practices or the
24assessments of the environmental outcomes of projects, at the
25field or county level, as a condition of cost-share funding.



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1    Section 99. Effective date. This Act takes effect upon
2becoming law.".