Public Act 093-0201
Public Act 93-0201 of the 93rd General Assembly
Public Act 93-0201
SB1000 Enrolled LRB093 03184 AMC 03201 b
AN ACT in relation to environmental protection.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Drycleaner Environmental Response Trust
Fund Act is amended by changing Sections 5, 15, 25, 30, 40,
45, 60, 65, 75, and 85 as follows:
(415 ILCS 135/5)
Sec. 5. Definitions. As used in this Act:
(a) "Active drycleaning facility" means a drycleaning
facility actively engaged in drycleaning operations and
licensed under Section 60 of this Act.
(b) "Agency" means the Illinois Environmental Protection
Agency.
(c) "Claimant" means an owner or operator of a
drycleaning facility who has applied for reimbursement from
the remedial account or who has submitted a claim under the
insurance account with respect to a release.
(d) "Council" means the Drycleaner Environmental
Response Trust Fund Council.
(e) "Drycleaner Environmental Response Trust Fund" or
"Fund" means the fund created under Section 10 of this Act.
(f) "Drycleaning facility" means a facility located in
this State that is or has been engaged in drycleaning
operations for the general public, other than a:
(1) facility located on a United States military
base;
(2) industrial laundry, commercial laundry, or
linen supply facility;
(3) prison or other penal institution that engages
in drycleaning only as part of a Correctional Industries
program to provide drycleaning to persons who are
incarcerated in a prison or penal institution or to
resident patients of a State-operated mental health
facility;
(4) not-for-profit hospital or other health care
facility; or a
(5) facility located or formerly located on federal
or State property.
(g) "Drycleaning operations" means drycleaning of
apparel and household fabrics for the general public, as
described in Standard Industrial Classification Industry No.
7215 and No. 7216 in the Standard Industrial Classification
Manual (SIC) by the Technical Committee on Industrial
Classification.
(h) "Drycleaning solvent" means any and all nonaqueous
solvents, including but not limited to a chlorine-based or
petroleum-based hydrocarbon-based formulation or product,
including green solvents, that are is used as a primary
cleaning agent in drycleaning operations.
(i) "Emergency" or "emergency action" means a situation
or an immediate response to a situation to protect public
health or safety. "Emergency" or "emergency action" does not
mean removal of contaminated soils, recovery of free
product, or financial hardship. An "emergency" or "emergency
action" would normally be expected to be directly related to
a sudden event or discovery and would last until the threat
to public health is mitigated.
(j) "Groundwater" means underground water that occurs
within the saturated zone and geologic materials where the
fluid pressure in the pore space is equal to or greater than
the atmospheric pressure.
(k) "Inactive drycleaning facility" means a drycleaning
facility that is not being used for drycleaning operations
and is not registered under this Act.
(l) "Maintaining a place of business in this State" or
any like term means (1) having or maintaining within this
State, directly or through a subsidiary, an office,
distribution facility, distribution house, sales house,
warehouse, or other place of business or (2) operating within
this State as an agent or representative for a person or a
person's subsidiary engaged in the business of selling to
persons within this State, irrespective of whether the place
of business or agent or other representative is located in
this State permanently or temporary, or whether the person or
the person's subsidiary engages in the business of selling in
this State.
(m) "No Further Remediation Letter" means a letter
provided by the Agency pursuant to Section 58.10 of Title
XVII of the Environmental Protection Act.
(n) "Operator" means a person or entity holding a
business license to operate a licensed drycleaning facility
or the business operation of which the drycleaning facility
is a part.
(o) "Owner" means (1) a person who owns or has
possession or control of a drycleaning facility at the time a
release is discovered, regardless of whether the facility
remains in operation or (2) a parent corporation of the
person under item (1) of this subdivision.
(p) "Parent corporation" means a business entity or
other business arrangement that has elements of common
ownership or control or that uses a long-term contractual
arrangement with a person to avoid direct responsibility for
conditions at a drycleaning facility.
(q) "Person" means an individual, trust, firm, joint
stock company, corporation, consortium, joint venture, or
other commercial entity.
(r) "Program year" means the period beginning on July 1
and ending on the following June 30.
(s) "Release" means any spilling, leaking, emitting,
discharging, escaping, leaching, or dispersing of drycleaning
solvents from a drycleaning facility to groundwater, surface
water, or subsurface soils.
(t) "Remedial action" means activities taken to comply
with Sections 58.6 and 58.7 of the Environmental Protection
Act and rules adopted by the Pollution Control Board under
those Sections.
(u) "Responsible party" means an owner, operator, or
other person financially responsible for costs of remediation
of a release of drycleaning solvents from a drycleaning
facility.
(v) "Service provider" means a consultant, testing
laboratory, monitoring well installer, soil boring
contractor, other contractor, lender, or any other person who
provides a product or service for which a claim for
reimbursement has been or will be filed against the remedial
account or insurance account, or a subcontractor of such a
person.
(w) "Virgin facility" means a drycleaning facility that
has never had chlorine-based or petroleum-based drycleaning
solvents stored or used at the property prior to it becoming
a green solvent drycleaning facility.
(Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)
(415 ILCS 135/15)
Sec. 15. Creation of Council.
(a) The Drycleaner Environmental Response Trust Fund
Council is established and shall consist of the following
voting members to be appointed by the Governor:
(1) Four Three members who own or operate a
drycleaning facility. Two of these members must be
members of the Illinois State Fabricare Association.
These members shall serve 3 year terms, except that of
the initial members appointed, one shall be appointed for
a term of one year, one for a term of 2 years, and one
for a term of 3 years.
(2) One member who represents wholesale
distributors of drycleaning solvents. This member shall
serve for a term of 3 years.
(3) One member who represents the drycleaning
equipment manufacturers and vendor community. This
member shall serve for a term of 3 years.
(4) One member Two members with experience in
financial markets or the insurance industry. This member
These members shall serve 3-year terms, except that of
the initial appointments, one shall be appointed for a
term of 2 years, and one for a term of 3 years.
Each member shall have experience, knowledge, and
expertise relating to the subject matter of this Act.
(b) The Governor may remove any member of the Council
for incompetency, neglect of duty, or malfeasance in office
after service on him or her of a copy of the written charges
against him or her and after an opportunity to be publicly
heard in person or by counsel in his or her own defense no
earlier than 10 days after the Governor has provided notice
of the opportunity to the Council member. Evidence of
incompetency, neglect of duty, or malfeasance in office may
be provided to the Governor by the Agency or the Auditor
General following the annual audit described in Section 80.
(c) Members of the Council are entitled to receive
reimbursement of actual expenses incurred in the discharge of
their duties within the limit of funds appropriated to the
Council or made available to the Fund. The Governor shall
appoint a chairperson of the Council from among the members
of the Council.
(d) The Attorney General's office or its designee shall
provide legal counsel to the Council.
(Source: P.A. 90-502, eff. 8-19-97.)
(415 ILCS 135/25)
Sec. 25. Powers and duties of the Council.
(a) The Council shall have all of the general powers
reasonably necessary and convenient to carry out its purposes
and may perform the following functions, subject to any
express limitations contained in this Act:
(1) Take actions and enter into agreements
necessary to reimburse claimants for eligible remedial
action expenses, assist the Agency to protect the
environment from releases, reduce costs associated with
remedial actions, and establish and implement an
insurance program.
(2) Acquire and hold personal property to be used
for the purpose of remedial action.
(3) Purchase, construct, improve, furnish, equip,
lease, option, sell, exchange, or otherwise dispose of
one or more improvements under the terms it determines.
The Council may define "improvements" by rule for
purposes of this Act.
(4) Grant a lien, pledge, assignment, or other
encumbrance on one or more revenues, assets of right,
accounts, or funds established or received in connection
with the Fund, including revenues derived from fees or
taxes collected under this Act.
(5) Contract for the acquisition or construction of
one or more improvements or parts of one or more
improvements or for the leasing, subleasing, sale, or
other disposition of one or more improvements in a manner
the Council determines.
(6) Cooperate with the Agency in the implementation
and administration of this Act to minimize unnecessary
duplication of effort, reporting, or paperwork and to
maximize environmental protection within the funding
limits of this Act.
(7) Except as otherwise provided by law, inspect
any document in the possession of an owner, operator,
service provider, or any other person if the document is
relevant to a claim for reimbursement under this Section
or may inspect a drycleaning facility for which a claim
for benefits under this Act has been submitted.
(b) The Council shall pre-approve, and the contracting
parties shall seek pre-approval for, a contract entered into
under this Act if the cost of the contract exceeds $75,000.
The Council or its designee shall review and approve or
disapprove all contracts entered into under this Act.
However, review by the Council or its designee shall not be
required when an emergency situation exists. All contracts
entered into by the Council shall be awarded on a
competitive basis to the maximum extent practical. In those
situations where it is determined that bidding is not
practical, the basis for the determination of
impracticability shall be documented by the Council or its
designee.
(c) The Council may prioritize the expenditure of funds
from the remedial action account whenever it determines that
there are not sufficient funds to settle all current claims.
In prioritizing, the Council may consider the following:
(1) the degree to which human health is affected by
the exposure posed by the release;
(2) the reduction of risk to human health derived
from remedial action compared to the cost of the
remedial action;
(3) the present and planned uses of the impacted
property; and
(4) other factors as determined by the Council.
(d) The Council shall adopt rules allowing the direct
payment from the Fund to a contractor who performs
remediation. The rules concerning the direct payment shall
include a provision that any applicable deductible must be
paid by the drycleaning facility prior to any direct payment
from the Fund.
(e) The Council may purchase reinsurance coverage to
reduce the Fund's potential liability for reimbursement of
remedial action costs.
(Source: P.A. 90-502, eff. 8-19-97.)
(415 ILCS 135/30)
Sec. 30. Independent contractors retained by Council.
(a) A contract entered into to retain a person to act as
the administrator of the Fund shall be subject to public bid,
provided that no such contract shall be entered into without
the review and approval of the Director of the Agency. The
Council may enter into a contract or an agreement authorized
under this Act with a person, the Agency, the Department of
Revenue, other departments, agencies, or governmental
subdivisions of this State, another state, or the United
States, in connection with its administration and
implementation of this Act.
(b) The Council may reimburse a public or private
contractor retained pursuant to this Section for expenses
incurred in the execution of a contract or agreement.
Reimbursable expenses include the costs of performing duties
or powers specifically delegated by the Council.
(Source: P.A. 90-502, eff. 8-19-97.)
(415 ILCS 135/40)
Sec. 40. Remedial action account.
(a) The remedial action account is established to
provide reimbursement to eligible claimants for drycleaning
solvent investigation, remedial action planning, and remedial
action activities for existing drycleaning solvent
contamination discovered at their drycleaning facilities.
(b) The following persons are eligible for reimbursement
from the remedial action account:
(1) In the case of claimant who is the owner or
operator of an active drycleaning facility licensed by
the Council under this Act at the time of application for
remedial action benefits afforded under the Fund, the
claimant is only eligible for reimbursement of remedial
action costs incurred in connection with a release from
that drycleaning facility, subject to any other
limitations under this Act.
(2) In the case of a claimant who is the owner of
an inactive drycleaning facility and was the owner or
operator of the drycleaning facility when it was an
active drycleaning facility, the claimant is only
eligible for reimbursement of remedial action costs
incurred in connection with a release from the
drycleaning facility, subject to any other limitations
under this Act.
(c) An eligible claimant requesting reimbursement from
the remedial action account shall meet all of the following:
(1) The claimant demonstrates that the source of
the release is from the claimant's drycleaning facility.
(2) At the time the release was discovered by the
claimant, the claimant and the drycleaning facility were
in compliance with the Agency reporting and technical
operating requirements.
(3) The claimant reported the release in a timely
manner to the Agency in accordance with State law.
(4) The claimant applying for reimbursement has not
filed for bankruptcy on or after the date of his or her
discovery of the release.
(5) If the claimant is the owner or operator of an
active drycleaning facility, the claimant has provided to
the Council proof of implementation and maintenance of
the following pollution prevention measures:
(A) That all drycleaning solvent wastes
generated at a drycleaning facility be managed in
accordance with applicable State waste management
laws and rules.
(B) A prohibition on the discharge of
wastewater from drycleaning machines or of
drycleaning solvent from drycleaning operations to a
sanitary sewer or septic tank or to the surface or
in groundwater.
(C) That every drycleaning facility:
(I) install a containment dike or other
containment structure around each machine, or
item of equipment, or the entire drycleaning
area, and portable waste container in which any
drycleaning solvent is utilized, which shall be
capable of containing leaks, spills, or
releases any leak, spill, or release of
drycleaning solvent from that machine, item, or
area, or container. The containment dike or
other containment structure shall be capable of
at least the following: (i) containing a
capacity of 110% of the drycleaning solvent in
the largest tank or vessel within the machine;
(ii) containing 100% of the drycleaning solvent
of each item of equipment or drycleaning area;
and (iii) containing 100% of the drycleaning
solvent of the largest portable waste container
or at least 10% of the total volume of the
portable waste containers stored within the
containment dike or structure, whichever is
greater.
Petroleum underground storage tank systems
that are upgraded in accordance with USEPA
upgrade standards pursuant to 40 CFR Part 280
for the tanks and related piping systems and
use a leak detection system approved by the
USEPA or IEPA are exempt from this secondary
containment requirement; and
(II) seal or otherwise render impervious
those portions of diked floor surfaces on which
a drycleaning solvent may leak, spill, or
otherwise be released.
(D) A requirement that all drycleaning solvent
shall be delivered to drycleaning facilities by
means of closed, direct-coupled delivery systems.
(6) An active drycleaning facility has maintained
continuous financial assurance for environmental
liability coverage in the amount of at least $500,000 at
least since the date of award of benefits under this
Section or July 1, 2000, whichever is earlier. An
uninsured drycleaning facility that has filed an
application for insurance with the Fund by January 1,
2004, obtained insurance through that application, and
maintained that insurance coverage continuously shall be
considered to have conformed with the requirements of
this subdivision (6). To conform with this requirement
the applicant must pay the equivalent of the total
premiums due for the period beginning June 30, 2000
through the date of application plus a 20% penalty of the
total premiums due for that period.
(7) The release was discovered on or after July 1,
1997 and before July 1, 2006 2004.
(d) A claimant shall submit a completed application form
provided by the Council. The application shall contain
documentation of activities, plans, and expenditures
associated with the eligible costs incurred in response to a
release of drycleaning solvent from a drycleaning facility.
Application for remedial action account benefits must be
submitted to the Council on or before June 30, 2005 2004.
(e) Claimants shall be subject to the following
deductible requirements, unless modified pursuant to the
Council's authority under Section 75:
(1) An eligible claimant submitting a claim for an
active drycleaning facility is responsible for the first
$5,000 of eligible investigation costs and for the first
$10,000 of eligible remedial action costs incurred in
connection with the release from the drycleaning facility
and is only eligible for reimbursement for costs that
exceed those amounts, subject to any other limitations of
this Act.
(2) An eligible claimant submitting a claim for an
inactive drycleaning facility is responsible for the
first $10,000 of eligible investigation costs and for the
first $10,000 of eligible remedial action costs incurred
in connection with the release from that drycleaning
facility, and is only eligible for reimbursement for
costs that exceed those amounts, subject to any other
limitations of this Act.
(f) Claimants are subject to the following limitations
on reimbursement:
(1) Subsequent to meeting the deductible
requirements of subsection (e), and pursuant to the
requirements of Section 75, reimbursement shall not
exceed $300,000 per active drycleaning facility and
$50,000 per inactive drycleaning facility.:
(A) $160,000 per active drycleaning facility
for which an eligible claim is submitted during the
program year beginning July 1, 1999;
(B) $150,000 per active drycleaning facility
for which an eligible claim is submitted during the
program year beginning July 1, 2000;
(C) $140,000 per active drycleaning facility
for which an eligible claim is submitted during the
program year beginning July 1, 2001;
(D) $130,000 per active drycleaning facility
for which an eligible claim is submitted during the
program year beginning July 1, 2002;
(E) $120,000 per active drycleaning facility
for which an eligible claim is submitted during the
program year beginning July 1, 2003; or
(F) $50,000 per inactive drycleaning facility.
(2) A contract in which one of the parties to the
contract is a claimant, for goods or services that may be
payable or reimbursable from the Council, is void and
unenforceable unless and until the Council has found that
the contract terms are within the range of usual and
customary rates for similar or equivalent goods or
services within this State and has found that the goods
or services are necessary for the claimant to comply with
Council standards or other applicable regulatory
standards.
(3) A claimant may appoint the Council as an agent
for the purposes of negotiating contracts with suppliers
of goods or services reimbursable by the Fund. The
Council may select another contractor for goods or
services other than the one offered by the claimant if
the scope of the proposed work or actual work of the
claimant's offered contractor does not reflect the
quality of workmanship required or if the costs are
determined to be excessive, as determined by the Council.
(4) The Council may require a claimant to obtain
and submit 3 bids and may require specific terms and
conditions in a contract subject to approval.
(5) The Council may enter into a contract or an
exclusive contract with the supplier of goods or services
required by a claimant or class of claimants, in
connection with an expense reimbursable from the Fund,
for a specified good or service at a gross maximum price
or fixed rate, and may limit reimbursement accordingly.
(6) Unless emergency conditions exist, a service
provider shall obtain the Council's approval of the
budget for the remediation work before commencing the
work. No expense incurred that is above the budgeted
amount shall be paid unless the Council approves the
expense prior to its being incurred. All invoices and
bills relating to the remediation work shall be submitted
with appropriate documentation, as deemed necessary by
the Council, not later than 30 days after the work has
been performed.
(7) Neither the Council nor an eligible claimant is
responsible for payment for costs incurred that have not
been previously approved by the Council, unless an
emergency exists.
(8) The Council may determine the usual and
customary costs of each item for which reimbursement may
be awarded under this Section. The Council may revise the
usual and customary costs from time to time as necessary,
but costs submitted for reimbursement shall be subject to
the rates in effect at the time the costs were incurred.
(9) If a claimant has pollution liability insurance
coverage other than coverage provided by the insurance
account under this Act, that coverage shall be primary.
Reimbursement from the remedial account shall be limited
to the deductible amounts under the primary coverage and
the amount that exceeds the policy limits of the primary
coverage, subject to the deductible amounts of this Act.
If there is a dispute between the claimant and the
primary insurance provider, reimbursement from the
remedial action account may be made to the claimant after
the claimant assigns all of his or her interests in the
insurance coverage to the Council.
(g) The source of funds for the remedial action account
shall be moneys allocated to the account by the Council
according to the Fund budget approved by the Council.
(h) A drycleaning facility will be classified as active
or inactive for purposes of determining benefits under this
Section based on the status of the facility on the date a
claim is filed.
(i) Eligible claimants shall conduct remedial action in
accordance with the Site Remediation Program under the
Environmental Protection Act and Part 740 of Title 35 of the
Illinois Administrative Code and the Tiered Approach to
Cleanup Objectives under Part 742 of Title 35 of the Illinois
Administrative Code.
(Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)
(415 ILCS 135/45)
Sec. 45. Insurance account.
(a) The insurance account shall offer financial
assurance for a qualified owner or operator of a drycleaning
facility under the terms and conditions provided for under
this Section. Coverage may be provided to either the owner or
the operator of a drycleaning facility. The Council is not
required to resolve whether the owner or operator, or both,
are responsible for a release under the terms of an agreement
between the owner and operator.
(b) The source of funds for the insurance account shall
be as follows:
(1) Moneys appropriated to the Council or moneys
allocated to the insurance account by the Council
according to the Fund budget approved by the Council.
(2) Moneys collected as an insurance premium,
including service fees, if any.
(3) Investment income attributed to the insurance
account by the Council.
(c) An owner or operator may purchase coverage of up to
$500,000 per drycleaning facility subject to the terms and
conditions under this Section and those adopted by the
Council. Coverage shall be limited to remedial action costs
associated with soil and groundwater contamination resulting
from a release of drycleaning solvent at an insured
drycleaning facility, including third-party liability for
soil and groundwater contamination. Coverage is not provided
for a release that occurred before the date of coverage.
(d) An owner or operator, subject to underwriting
requirements and terms and conditions deemed necessary and
convenient by the Council, may purchase insurance coverage
from the insurance account provided that the drycleaning
facility to be insured meets the following conditions:
(1) a site investigation designed to identify soil
and groundwater contamination resulting from the release
of a drycleaning solvent has been completed. The Council
shall determine if the site investigation is adequate.
This investigation must be completed by June 30, 2006
2004. For drycleaning facilities that apply for
insurance coverage become active after June 30, 2006
2004, the site investigation must be completed prior to
issuance of insurance coverage; and
(2) the drycleaning facility is participating in
and meets all requirements of a drycleaning compliance
program approved by the Council.
(e) The annual premium for insurance coverage shall be:
(1) For the year July 1, 1999 through June 30,
2000, $250 per drycleaning facility.
(2) For the year July 1, 2000 through June 30,
2001, $375 per drycleaning facility.
(3) For the year July 1, 2001 through June 30,
2002, $500 per drycleaning facility.
(4) For the year July 1, 2002 through June 30,
2003, $625 per drycleaning facility.
(5) For subsequent years, an owner or operator
applying for coverage shall pay an annual
actuarially-sound insurance premium for coverage by the
insurance account. The Council may approve Fund coverage
through the payment of a premium established on an
actuarially-sound basis, taking into consideration the
risk to the insurance account presented by the insured.
Risk factor adjustments utilized to determine
actuarially-sound insurance premiums should reflect the
range of risk presented by the variety of drycleaning
systems, monitoring systems, drycleaning volume, risk
management practices, and other factors as determined by
the Council. As used in this item, "actuarially sound" is
not limited to Fund premium revenue equaling or exceeding
Fund expenditures for the general drycleaning facility
population. Actuarially-determined premiums shall be
published at least 180 days prior to the premiums
becoming effective.
(f) If coverage is purchased for any part of a year, the
purchaser shall pay the full annual premium. The insurance
premium is fully earned upon issuance of the insurance
policy.
(g) The insurance coverage shall be provided with a
$10,000 deductible policy.
(h) A future repeal of this Section shall not terminate
the obligations under this Section or authority necessary to
administer the obligations until the obligations are
satisfied, including but not limited to the payment of claims
filed prior to the effective date of any future repeal
against the insurance account until moneys in the account are
exhausted. Upon exhaustion of the moneys in the account, any
remaining claims shall be invalid. If moneys remain in the
account following satisfaction of the obligations under this
Section, the remaining moneys and moneys due the account
shall be used to assist current insureds to obtain a viable
insuring mechanism as determined by the Council after public
notice and opportunity for comment.
(Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)
(415 ILCS 135/60)
(Section scheduled to be repealed on January 1, 2010)
Sec. 60. Drycleaning facility license.
(a) On and after January 1, 1998, no person shall
operate a drycleaning facility in this State without a
license issued by the Council.
(b) The Council shall issue an initial or renewal
license to a drycleaning facility on submission by an
applicant of a completed form prescribed by the Council and
proof of payment of the required fee to the Department of
Revenue.
(c) On or after January 1, 2004, the annual fees for
licensure are as follows:
(1) $500 for a facility that uses (i) 50 purchases
140 gallons or less of chlorine-based or green
drycleaning solvents annually, (ii) 250 or less gallons
annually of hydrocarbon-based drycleaning solvents in a
drycleaning machine equipped with a solvent reclaimer, or
(iii) 500 1400 gallons or less annually of
hydrocarbon-based drycleaning solvents in a drycleaning
machine without a solvent reclaimer annually.
(2) $500 $1,000 for a facility that uses (i)
purchases more than 50 140 gallons but not more than 100
less than 360 gallons of chlorine-based or green
drycleaning solvents annually, (ii) more than 250 gallons
but not more 500 gallons annually of hydrocarbon-based
solvents in a drycleaning machine equipped with a solvent
reclaimer, or (iii) more than 500 1400 gallons but not
more than 1,000 less than 3600 gallons annually of
hydrocarbon-based drycleaning solvents in a drycleaning
machine without a solvent reclaimer annually.
(3) $500 $1,500 for a facility that uses (i) more
than 100 purchases 360 gallons but not more than 150
gallons or more of chlorine-based or green drycleaning
solvents annually, (ii) more than 500 gallons but not
more than 750 gallons annually of hydrocarbon-based
solvents in a drycleaning machine equipped with a solvent
reclaimer, or (iii) more than 1,000 gallons but not more
than 1,500 gallons annually 3600 gallons or more of
hydrocarbon-based drycleaning solvents in a drycleaning
machine without a solvent reclaimer annually.
(4) $1,000 for a facility that uses (i) more than
150 gallons but not more than 200 gallons of
chlorine-based or green drycleaning solvents annually,
(ii) more than 750 gallons but not more than 1,000
gallons annually of hydrocarbon-based solvents in a
drycleaning machine equipped with a solvent reclaimer, or
(iii) more than 1,500 gallons but not more than 2,000
gallons annually of hydrocarbon-based drycleaning
solvents in a drycleaning machine without a solvent
reclaimer.
(5) $1,000 for a facility that uses (i) more than
200 gallons but not more than 250 gallons of
chlorine-based or green drycleaning solvents annually,
(ii) more than 1,000 gallons but not more than 1,250
gallons annually of hydrocarbon-based solvents in a
drycleaning machine equipped with a solvent reclaimer, or
(iii) more than 2,000 gallons but not more than 2,500
gallons annually of hydrocarbon-based drycleaning
solvents in a drycleaning machine without a solvent
reclaimer.
(6) $1,000 for a facility that uses (i) more than
250 gallons but not more than 300 gallons of
chlorine-based or green drycleaning solvents annually,
(ii) more than 1,250 gallons but not more than 1,500
gallons annually of hydrocarbon-based solvents in a
drycleaning machine equipped with a solvent reclaimer, or
(iii) more than 2,500 gallons but not more than 3,000
gallons annually of hydrocarbon-based drycleaning
solvents in a drycleaning machine without a solvent
reclaimer.
(7) $1,000 for a facility that uses (i) more than
300 gallons but not more than 350 gallons of
chlorine-based or green drycleaning solvents annually,
(ii) more than 1,500 gallons but not more than 1,750
gallons annually of hydrocarbon-based solvents in a
drycleaning machine equipped with a solvent reclaimer, or
(iii) more than 3,000 gallons but not more than 3,500
gallons annually of hydrocarbon-based drycleaning
solvents in a drycleaning machine without a solvent
reclaimer.
(8) $1,500 for a facility that uses (i) more than
350 gallons but not more than 400 gallons of
chlorine-based or green drycleaning solvents annually,
(ii) more than 1,750 gallons but not more than 2,000
gallons annually of hydrocarbon-based solvents in a
drycleaning machine equipped with a solvent reclaimer, or
(iii) more than 3,500 gallons but not more than 4,000
gallons annually of hydrocarbon-based drycleaning
solvents in a drycleaning machine without a solvent
reclaimer.
(9) $1,500 for a facility that uses (i) more than
400 gallons but not more than 450 gallons of
chlorine-based or green drycleaning solvents annually,
(ii) more than 2,000 gallons but not more than 2,250
gallons annually of hydrocarbon-based solvents in a
drycleaning machine equipped with a solvent reclaimer, or
(iii) more than 4,000 gallons but not more than 4,500
gallons annually of hydrocarbon-based drycleaning
solvents in a drycleaning machine without a solvent
reclaimer.
(10) $1,500 for a facility that uses (i) more than
450 gallons but not more than 500 gallons of
chlorine-based or green drycleaning solvents annually,
(ii) more than 2,250 gallons but not more than 2,500
gallons annually of hydrocarbon-based solvents used in a
drycleaning machine equipped with a solvent reclaimer, or
(iii) more than 4,500 gallons but not more than 5,000
gallons annually of hydrocarbon-based drycleaning
solvents in a drycleaning machine without a solvent
reclaimer.
(11) $1,500 for a facility that uses (i) more than
500 gallons but not more than 550 gallons of
chlorine-based or green drycleaning solvents annually,
(ii) more than 2,500 gallons but not more than 2,750
gallons annually of hydrocarbon-based solvents in a
drycleaning machine equipped with a solvent reclaimer, or
(iii) more than 5,000 gallons but not more than 5,500
gallons annually of hydrocarbon-based drycleaning
solvents in a drycleaning machine without a solvent
reclaimer.
(12) $1,500 for a facility that uses (i) more than
550 gallons but not more than 600 gallons of
chlorine-based or green drycleaning solvents annually,
(ii) more than 2,750 gallons but not more than 3,000
gallons annually of hydrocarbon-based solvents in a
drycleaning machine equipped with a solvent reclaimer, or
(iii) more than 5,500 gallons but not more than 6,000
gallons annually of hydrocarbon-based drycleaning
solvents in a drycleaning machine without a solvent
reclaimer.
(13) $1,500 for a facility that uses (i) more than
600 gallons of chlorine-based or green drycleaning
solvents annually, (ii) more than 3,000 gallons but not
more than 3,250 gallons annually of hydrocarbon-based
solvents in a drycleaning machine equipped with a solvent
reclaimer, or (iii) more than 6,000 gallons of
hydrocarbon-based drycleaning solvents annually in a
drycleaning machine equipped without a solvent reclaimer.
(14) $1,500 for a facility that uses more than
3,250 gallons but not more than 3,500 gallons annually of
hydrocarbon-based solvents in a drycleaning machine
equipped with a solvent reclaimer.
(15) $1,500 for a facility that uses more than
3,500 gallons but not more than 3,750 gallons annually of
hydrocarbon-based solvents used in a drycleaning machine
equipped with a solvent reclaimer.
(16) $1,500 for a facility that uses more than
3,750 gallons but not more than 4,000 gallons annually of
hydrocarbon-based solvents in a drycleaning machine
equipped with a solvent reclaimer.
(17) $1,500 for a facility that uses more than
4,000 gallons annually of hydrocarbon-based solvents in a
drycleaning machine equipped with a solvent reclaimer.
For purpose of this subsection, the quantity of
drycleaning solvents used purchased annually shall be
determined as follows:
(1) in the case of an initial applicant, the
quantity of drycleaning solvents that the applicant
estimates will be used during his or her initial license
year. A fee assessed under this subdivision is subject
to audited adjustment for that year; or
(2) in the case of a renewal applicant, the
quantity of drycleaning solvents actually used in the
preceding license year.
The Council may adjust licensing fees annually based on
the published Consumer Price Index - All Urban Consumers
("CPI-U") or as otherwise determined by the Council.
(d) A license issued under this Section shall expire one
year after the date of issuance and may be renewed on
reapplication to the Council and submission of proof of
payment of the appropriate fee to the Department of Revenue
in accordance with subsections (c) and (e). At least 30 days
before payment of a renewal licensing fee is due, the Council
shall attempt to:
(1) notify the operator of each licensed
drycleaning facility concerning the requirements of this
Section; and
(2) submit a license fee payment form to the
licensed operator of each drycleaning facility.
(e) An operator of a drycleaning facility shall submit
the appropriate application form provided by the Council with
the license fee in the form of cash or guaranteed remittance
to the Department of Revenue. The license fee payment form
and the actual license fee payment shall be administered by
the Department of Revenue under rules adopted by that
Department.
(f) The Department of Revenue shall issue a proof of
payment receipt to each operator of a drycleaning facility
who has paid the appropriate fee in cash or by guaranteed
remittance. However, the Department of Revenue shall not
issue a proof of payment receipt to a drycleaning facility
that is liable to the Department of Revenue for a tax imposed
under this Act. The original receipt shall be presented to
the Council by the operator of a drycleaning facility.
(g) An operator of a dry cleaning facility who is
required to pay a license fee under this Act and fails to pay
the license fee when the fee is due may shall be assessed a
penalty of $5 for each day after the license fee is due and
until the license fee is paid. The penalty shall be effective
for license fees due on or after July 1, 1999.
(h) The Council and the Department of Revenue may adopt
rules as necessary to administer the licensing requirements
of this Act.
(Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)
(415 ILCS 135/65)
(Section scheduled to be repealed on January 1, 2010)
Sec. 65. Drycleaning solvent tax.
(a) On and after January 1, 1998, a tax is imposed upon
the use of drycleaning solvent by a person engaged in the
business of operating a drycleaning facility in this State at
the rate of $3.50 per gallon of perchloroethylene or other
chlorinated drycleaning solvents used in drycleaning
operations, and $0.35 per gallon of petroleum-based
drycleaning solvent, and $1.75 per gallon of green solvents,
unless the green solvent is used at a virgin facility, in
which case the rate is $0.35 per gallon. The Council shall
determine by rule which products are chlorine-based
solvents, and which products are petroleum-based solvents,
and which products are green solvents. All drycleaning
solvents shall be considered chlorinated solvents unless the
Council determines that the solvents are petroleum-based
drycleaning solvents or green solvents subject to the lower
tax.
(b) The tax imposed by this Act shall be collected from
the purchaser at the time of sale by a seller of drycleaning
solvents maintaining a place of business in this State and
shall be remitted to the Department of Revenue under the
provisions of this Act.
(c) The tax imposed by this Act that is not collected by
a seller of drycleaning solvents shall be paid directly to
the Department of Revenue by the purchaser or end user who is
subject to the tax imposed by this Act.
(d) No tax shall be imposed upon the use of drycleaning
solvent if the drycleaning solvent will not be used in a
drycleaning facility or if a floor stock tax has been imposed
and paid on the drycleaning solvent. Prior to the purchase
of the solvent, the purchaser shall provide a written and
signed certificate to the drycleaning solvent seller stating:
(1) the name and address of the purchaser;
(2) the purchaser's signature and date of signing;
and
(3) one of the following:
(A) that the drycleaning solvent will not be
used in a drycleaning facility; or
(B) that a floor stock tax has been imposed
and paid on the drycleaning solvent.
A person who provides a false certification under this
subsection shall be liable for a civil penalty not to exceed
$500 for a first violation and a civil penalty not to exceed
$5,000 for a second or subsequent violation.
(e) On January 1, 1998, there is imposed on each
operator of a drycleaning facility a tax on drycleaning
solvent held by the operator on that date for use in a
drycleaning facility. The tax imposed shall be the tax that
would have been imposed under subsection (a) if the
drycleaning solvent held by the operator on that date had
been purchased by the operator during the first year of this
Act.
(f) On or before the 25th day of the 1st month following
the end of the calendar quarter, a seller of drycleaning
solvents who has collected a tax pursuant to this Section
during the previous calendar quarter, or a purchaser or end
user of drycleaning solvents required under subsection (c) to
submit the tax directly to the Department, shall file a
return with the Department of Revenue. The return shall be
filed on a form prescribed by the Department of Revenue and
shall contain information that the Department of Revenue
reasonably requires, but at a minimum will require the
reporting of the volume of drycleaning solvent sold to each
licensed drycleaner. The Department of Revenue shall report
quarterly to the Council the volume of drycleaning solvent
purchased for the quarter by each licensed drycleaner. Each
seller of drycleaning solvent maintaining a place of business
in this State who is required or authorized to collect the
tax imposed by this Act shall pay to the Department the
amount of the tax at the time when he or she is required to
file his or her return for the period during which the tax
was collected. Purchasers or end users remitting the tax
directly to the Department under subsection (c) shall file a
return with the Department of Revenue and pay the tax so
incurred by the purchaser or end user during the preceding
calendar quarter.
(g) The tax on drycleaning solvents used in drycleaning
facilities and the floor stock tax shall be administered by
Department of Revenue under rules adopted by that Department.
(h) On and after January 1, 1998, no person shall
knowingly sell or transfer drycleaning solvent to an operator
of a drycleaning facility that is not licensed by the Council
under Section 60. A person who violates this subsection is
liable for a civil penalty not to exceed $500 for a first
violation and a civil penalty not to exceed $5,000 for a
second or subsequent violation.
(i) The Department of Revenue may adopt rules as
necessary to implement this Section.
(Source: P.A. 90-502, eff. 8-19-97.)
(415 ILCS 135/75)
Sec. 75. Adjustment of fees and taxes. Beginning January
1, 2000, and annually after that date, the Council shall
adjust the copayment obligation of subsection (e) of Section
40, the drycleaning solvent taxes of Section 65, the license
fees of Section 60, or any combination of adjustment of each,
after notice and opportunity for public comment, in a manner
determined necessary and appropriate to ensure viability of
the Fund and to encourage the owner or operator of a
drycleaning facility to use green solvents. Viability of the
Fund shall consider the settlement of all current claims
subject to prioritization of benefits under subsection (c) of
Section 25, consistent with the purposes of this Act.
(Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)
(415 ILCS 135/85)
Sec. 85. Repeal of fee and tax provisions. Sections 60
and 65 of this Act are repealed on January 1, 2020 2010.
(Source: P.A. 90-502, eff. 8-19-97; 91-453, eff. 8-6-99.)
Effective Date: 1/1/2004
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