Public Act 096-0781
 
SB0052 Enrolled LRB096 02025 RCE 12038 b

    AN ACT concerning finance.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 5. If and only if Senate Bill 658 of the 96th
General Assembly (as amended by House Amendment No. 3) becomes
law, the Illinois Power Agency Act is amended by changing
Section 1-56 as follows:
 
    (20 ILCS 3855/1-56 as added by 09600SB0658eng with ham003)
    Sec. 1-56. Clean coal SNG facility construction.
    (a) It is the intention of the General Assembly to provide
additional long-term natural gas price stability to the State
and consumers by promoting the development of a clean coal SNG
facility that would produce a minimum annual output of 30 Bcf
of SNG and commence construction no later than June 1, 2013 on
a brownfield site in a municipality with at least one million
residents. The costs associated with preparing a facility cost
report for such a facility, which contains all of the
information required by subsection (b) of this Section, may be
paid or reimbursed pursuant to subsection (c) of this Section.
    (b) The facility cost report for a facility that meets the
criteria set forth in subsection (a) of this Section shall be
prepared by a duly licensed engineering firm that details the
estimated capital costs payable to one or more contractors or
suppliers for the engineering, procurement, and construction
of the components comprising the facility and the estimated
costs of operation and maintenance of the facility. The report
must be provided to the General Assembly and the Agency on or
before April 30, 2010. The facility cost report shall include
all off the following:
        (1) An estimate of the capital cost of the core plant
    based on a front-end engineering and design study. The core
    plant shall include all civil, structural, mechanical,
    electrical, control, and safety systems. The quoted
    construction costs shall be expressed in nominal dollars as
    of the date that the quote is prepared and shall include:
            (A) capitalized financing costs during
        construction;
            (B) taxes, insurance, and other owner's costs; and
            (C) any assumed escalation in materials and labor
        beyond the date as of which the construction cost quote
        is expressed;
        (2) An estimate of the capital cost of the balance of
    the plant, including any capital costs associated with site
    preparation and remediation, sequestration of carbon
    dioxide emissions, and all interconnects and interfaces
    required to operate the facility, such as construction or
    backfeed power supply, pipelines to transport substitute
    natural gas or carbon dioxide, potable water supply,
    natural gas supply, water supply, water discharge,
    landfill, access roads, and coal delivery. The front-end
    engineering and design study and the cost study for the
    balance of the plant shall include sufficient design work
    to permit quantification of major categories of materials,
    commodities and labor hours, and receipt of quotes from
    vendors of major equipment required to construct and
    operate the facility.
        (3) An operating and maintenance cost quote that will
    provide the estimated cost of delivered fuel, personnel,
    maintenance contracts, chemicals, catalysts, consumables,
    spares, and other fixed and variable operating and
    maintenance costs. This quote is subject to the following
    requirements:
            (A) The delivered fuel cost estimate shall be
        provided by a recognized third party expert or experts
        in the fuel and transportation industries.
            (B) The balance of the operating and maintenance
        cost quote, excluding delivered fuel costs shall be
        developed based on the inputs provided by a duly
        licensed engineering firm performing the construction
        cost quote, potential vendors under long-term service
        agreements and plant operating agreements, or
        recognized third-party plant operator or operators.
        The operating and maintenance cost quote shall be
    expressed in nominal dollars as of the date that the quote
    is prepared and shall include (i) taxes, insurance, and
    other owner's costs and (ii) any assumed escalation in
    materials and labor beyond the date as of which the
    operating and maintenance cost quote is expressed.
    (c) Reasonable amounts paid or due to be paid by the owner
or owners of the clean coal SNG facility to third parties
unrelated to the owner or owners to prepare the facility cost
report will may be reimbursed or paid up to $10 million through
Coal Development Bonds , through funding authorized pursuant to
20 ILCS 3501/825-65.
    (d) The Agency shall review the facility report and based
on that report, consider whether to enter into long term
contracts to purchase SNG from the facility pursuant to Section
1-20 of this Act. To assist with its evaluation of the report,
the Agency may hire one or more experts or consultants, the
reasonable costs of which, not to exceed $250,000, shall be
paid for by the owner or owners of the clean coal SNG facility
submitting the facility cost report. The Agency may begin the
process of selecting such experts or consultants prior to
receipt of the facility cost report.
(Source: 09600SB0658eng with ham003.)
 
    Section 10. If and only if Senate Bill 658 of the 96th
General Assembly (as amended by House Amendment No. 3) becomes
law, the General Obligation Bond Act is amended by changing
Section 7 as follows:
 
    (30 ILCS 330/7)  (from Ch. 127, par. 657)
    Sec. 7. Coal and Energy Development. The amount of
$698,200,000 is authorized to be used by the Department of
Commerce and Economic Opportunity (formerly Department of
Commerce and Community Affairs) for coal and energy development
purposes, pursuant to Sections 2, 3 and 3.1 of the Illinois
Coal and Energy Development Bond Act, for the purposes
specified in Section 8.1 of the Energy Conservation and Coal
Development Act, for the purposes specified in Section 605-332
of the Department of Commerce and Economic Opportunity Law of
the Civil Administrative Code of Illinois, and for the purpose
of facility cost reports prepared pursuant to Sections 1-56 or
Section 1-75(d)(4) of the Illinois Power Agency Act and for the
purpose of development costs pursuant to Section 8.1 of the
Energy Conservation and Coal Development Act. Of this amount:
    (a) $115,000,000 is for the specific purposes of
acquisition, development, construction, reconstruction,
improvement, financing, architectural and technical planning
and installation of capital facilities consisting of
buildings, structures, durable equipment, and land for the
purpose of capital development of coal resources within the
State and for the purposes specified in Section 8.1 of the
Energy Conservation and Coal Development Act;
    (b) $35,000,000 is for the purposes specified in Section
8.1 of the Energy Conservation and Coal Development Act and
making a grant to the owner of a generating station located in
Illinois and having at least three coal-fired generating units
with accredited summer capability greater than 500 megawatts
each at such generating station as provided in Section 6 of
that Bond Act;
    (c) $13,200,000 is for research, development and
demonstration of forms of energy other than that derived from
coal, either on or off State property;
    (d) $500,000,000 is for the purpose of providing financial
assistance to new electric generating facilities as provided in
Section 605-332 of the Department of Commerce and Economic
Opportunity Law of the Civil Administrative Code of Illinois;
and
    (e) $35,000,000 is for the purpose of facility cost reports
prepared for not more than one facility pursuant to Section
1-75(d)(4) of the Illinois Power Agency Act and not more than
one facility pursuant to Section 1-56 of the Illinois Power
Agency Act and for the purpose of up to $6,000,000 of
development costs pursuant to Section 8.1 of the Energy
Conservation and Coal Development Act.
(Source: P.A. 94-793, eff. 5-19-06; 95-1026, eff. 1-12-09.)
 
    Section 99. Effective date. This Act takes effect upon
becoming law.

Effective Date: 8/28/2009