Public Act 096-0917
 		





HB5226 Enrolled
LRB096 18771 JDS 34156 b





  
    AN ACT concerning safety.
  
 
    Be it enacted by the People of the State of Illinois,
 
represented in the General Assembly:
  



 
 
    Section 5. The Environmental Protection Act is amended  by 
changing Section 19.3 as follows:
 



    (415 ILCS 5/19.3)  (from Ch. 111 1/2, par. 1019.3)



    Sec. 19.3. Water Revolving Fund. 

    (a) There is hereby created within the State Treasury a 
Water Revolving
Fund, consisting of 3 interest-bearing special 
programs to be known as the
Water Pollution Control Loan 
Program, the Public Water Supply Loan Program, and
the Loan 
Support Program, which shall be used and administered by the 
Agency.

    (b) The Water Pollution Control Loan Program shall be used 
and administered
by the Agency to provide assistance for the 
following purposes:


        (1) to accept and retain funds from grant awards, 
    appropriations,
transfers, and payments of interest and 
    principal;


        (2) to make direct loans at or below market interest 
    rates and to provide additional subsidization, including, 
    but not limited to, forgiveness of principal, negative 
    interest rates, and grants, to any
eligible local 
    government unit to finance the construction of wastewater

    treatments works and projects that fulfill federal State 
    Revolving Fund grant requirements for a green project 
    reserve;

        (2.5) with respect to funds provided under the American 
    Recovery and Reinvestment Act of 2009:
            (A)  to make direct loans at or below market 
        interest rates to any eligible local government unit 
        and to provide additional subsidization to any 
        eligible local government unit, including, but not 
        limited to, forgiveness of principal, negative 
        interest rates, and grants;
            (B) to make direct loans at or below market 
        interest rates to any eligible local government unit to 
        buy or refinance debt obligations for treatment works 
        incurred on or after October 1, 2008; and
            (C) to provide additional subsidization, 
        including, but not limited to, forgiveness of 
        principal, negative interest rates, and grants for 
        treatment works incurred on or after October 1, 2008; 

        (3) to make direct loans at or below market interest 
    rates and to provide additional subsidization, including, 
    but not limited to, forgiveness of principal, negative 
    interest rates, and grants, to any
eligible local 
    government unit to buy or refinance debt obligations for 
    costs
treatment works incurred after March 7, 1985, for the 
    construction of wastewater treatment works, and projects 
    that fulfill federal State Revolving Fund grant 
    requirements for a green project reserve;


        (3.5) to make direct loans at or below market interest 
    rates for the
implementation of a management program 
    established under Section 319 of the
Federal Water 
    Pollution Control Act, as amended;


        (4) to guarantee or purchase insurance for local 
    obligations
where such action would improve credit market 
    access or reduce interest rates;


        (5) as a source of revenue or security for the payment 
    of principal and
interest on revenue or general obligation 
    bonds issued by the State or any
political subdivision or 
    instrumentality thereof, if the proceeds of such
bonds will 
    be deposited in the Fund;


        (6) to finance the reasonable costs incurred by the 
    Agency in the
administration of the Fund; and


        (7) to transfer funds to the Public Water Supply Loan 
    Program.

    (c) The Loan Support Program shall be used and administered 
by the Agency
for the following purposes:


        (1) to accept and retain funds from grant awards and 
    appropriations;


        (2) to finance the reasonable costs incurred by the 
    Agency in the
administration of the Fund, including 
    activities under Title III of this
Act, including the 
    administration of the State
construction grant program;


        (3) to transfer funds to the Water Pollution Control 
    Loan
Program and the Public Water Supply Loan Program;


        (4) to accept and retain a portion of the loan 
    repayments;


        (5) to finance the development of the low interest loan

    programs program for water pollution control and public 
    water supply projects;


        (6) to finance the reasonable costs incurred by the 
    Agency to provide
technical assistance for public water 
    supplies; and


        (7) to finance the reasonable costs incurred by the 
    Agency for
public water system supervision programs, to 
    administer or provide for
technical assistance through 
    source water protection programs, to develop and
implement 
    a capacity development strategy, to delineate and assess 
    source water
protection areas, and for an operator 
    certification program in accordance with
Section 1452 of 
    the federal Safe Drinking Water Act.

    (d) The Public Water Supply Loan Program shall be used and 
administered by
the Agency to provide assistance to local 
government units and privately owned
community water supplies 
for public water
supplies for the following public purposes:


        (1) to accept and retain funds from grant awards, 
    appropriations,
transfers, and payments of interest and 
    principal;


        (2) to make direct loans at or below market interest 
    rates and to provide additional subsidization, including, 
    but not limited to, forgiveness of principal, negative 
    interest rates, and grants, to any eligible
local 
    government unit or to any eligible privately owned 
    community water supply
to finance the construction of water 
    supplies and projects that fulfill federal State Revolving 
    Fund grant requirements for a green project reserve;

        (2.5) with respect to funds provided under the American 
    Recovery and Reinvestment Act of 2009: 
            (A) to make direct loans at or below market 
        interest rates to any eligible local government unit or 
        to any eligible privately owned community water 
        supply, and to provide additional subsidization to any 
        eligible local government unit or to any eligible 
        privately owned community water supply, including, but 
        not limited to, forgiveness of principal, negative 
        interest rates, and grants; 
            (B) to buy or refinance the debt obligation of a 
        local government unit for costs incurred on or after 
        October 1, 2008; and 

            (C) to provide additional subsidization, 
        including, but not limited to, forgiveness of 
        principal, negative interest rates, and grants for a 
        local government unit for costs  incurred on or after 
        October 1, 2008; 

        (3) to make direct loans at or below market interest 
    rates and to provide additional subsidization, including, 
    but not limited to, forgiveness of principal, negative 
    interest rates, and grants, to any eligible local 
    government unit or to any eligible privately owned 
    community water supply to buy or refinance the debt 
    obligations obligation of a local government unit for
costs 
    incurred on or after July 17, 1997, for the construction of 
    water supplies and projects that fulfill federal State 
    Revolving Fund requirements for a green project reserve;


        (4) to guarantee local obligations where such action 
    would improve credit
market access or reduce interest 
    rates;


        (5) as a source of revenue or security for the payment 
    of principal and
interest on revenue or general obligation 
    bonds issued by the State or any
political subdivision or 
    instrumentality thereof, if the proceeds of such
bonds will 
    be deposited into the Fund; and


        (6) to transfer funds to the Water Pollution Control 
    Loan Program.

    (e) The Agency is designated as the administering agency of 
the Fund.
The Agency shall submit to the Regional Administrator 
of the United States
Environmental Protection Agency an 
intended use plan which outlines the
proposed use of funds 
available to the State.  The Agency shall take all
actions 
necessary to secure to the State the benefits of the federal

Water Pollution Control Act and the federal Safe Drinking Water 
Act, as now
or hereafter amended.

    (f) The Agency shall have the power to enter into 
intergovernmental
agreements with the federal government or 
the State, or any instrumentality
thereof, for purposes of 
capitalizing the Water Revolving Fund.
Moneys on deposit in the 
Water Revolving Fund may be used for the
creation of reserve 
funds or pledged funds that secure the obligations
of repayment 
of loans made pursuant to this Section.  For the purpose
of 
obtaining capital for deposit into the Water Revolving Fund, 
the
Agency may also enter into agreements with financial 
institutions and other
persons for the purpose of selling loans 
and developing a secondary market
for such loans.  The Agency 
shall have the power to create and establish such
reserve funds 
and accounts as may be necessary or desirable to accomplish its

purposes under this subsection and to allocate its available 
moneys into such
funds and accounts.  Investment earnings on 
moneys held in the Water Revolving
Fund, including any reserve 
fund or pledged fund, shall be deposited into the
Water 
Revolving Fund.

(Source: P.A. 96-8, eff. 4-28-09.)

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