State of Illinois
91st General Assembly
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[ Introduced ][ Enrolled ][ House Amendment 001 ]
[ Senate Amendment 001 ]

91_HB2631eng

 
HB2631 Engrossed                              LRB9104051ACtmA

 1        AN  ACT  to  amend  the Drycleaner Environmental Response
 2    Trust Fund Act.

 3        Be it enacted by the People of  the  State  of  Illinois,
 4    represented in the General Assembly:

 5        Section  5.   The Drycleaner Environmental Response Trust
 6    Fund Act is amended by changing Sections 5, 10, 40,  45,  60,
 7    75, 80, and 85 as follows:

 8        (415 ILCS 135/5)
 9        Sec. 5. Definitions. As used in this Act:
10        (a)  "Active  drycleaning  facility"  means a drycleaning
11    facility  actively  engaged  in  drycleaning  operations  and
12    licensed under Section 60 of this Act.
13        (b)  "Agency" means the Illinois Environmental Protection
14    Agency.
15        (c)  "Claimant"  means  an  owner  or   operator   of   a
16    drycleaning  facility  who has applied for reimbursement from
17    the remedial account or who has  submitted a claim under  the
18    insurance account with respect to a release.
19        (d)  "Council"   means   the   Drycleaner   Environmental
20    Response Trust Fund  Council.
21        (e)  "Drycleaner  Environmental  Response  Trust Fund" or
22    "Fund" means the fund created under Section 10 of this Act.
23        (f)  "Drycleaning facility" means a facility  located  in
24    this  State  that  is  or  has  been  engaged  in drycleaning
25    operations for the general public, other than a:
26             (1)  facility located on a  United  States  military
27        base;
28             (2)  industrial   laundry,  commercial  laundry,  or
29        linen supply facility;
30             (3)  prison or other penal institution that  engages
31        in  drycleaning only as part of a Correctional Industries
 
HB2631 Engrossed            -2-               LRB9104051ACtmA
 1        program  to  provide  drycleaning  to  persons  who   are
 2        incarcerated  in  a  prison  or  penal  institution or to
 3        resident  patients  of  a  State-operated  mental  health
 4        facility;
 5             (4)  not-for-profit hospital or  other  health  care
 6        facility; or a
 7             (5)  facility located or formerly located on federal
 8        or State property.
 9        (g)  "Drycleaning   operations"   means   drycleaning  of
10    apparel and household fabrics  for  the  general  public,  as
11    described  in Standard Industrial Classification Industry No.
12    7215 and No. 7216 in the Standard  Industrial  Classification
13    Manual   (SIC)  by  the  Technical  Committee  on  Industrial
14    Classification.
15        (h)  "Drycleaning  solvent"  means  a  chlorine-based  or
16    hydrocarbon-based formulation or product that is  used  as  a
17    primary cleaning agent in  drycleaning operations.
18        (i)  "Emergency"  or "emergency action" means a situation
19    or an immediate response to a  situation  to  protect  public
20    health  or safety. "Emergency" or "emergency action" does not
21    mean  removal  of    contaminated  soils,  recovery  of  free
22    product, or financial hardship. An "emergency" or  "emergency
23    action" would normally be  expected to be directly related to
24    a  sudden event or discovery and would  last until the threat
25    to public health is mitigated.
26        (j)  "Groundwater" means underground  water  that  occurs
27    within  the  saturated  zone and geologic materials where the
28    fluid pressure in the pore space is equal to or greater  than
29    the atmospheric pressure.
30        (k)  "Inactive  drycleaning facility" means a drycleaning
31    facility that is not being used  for  drycleaning  operations
32    and is not registered under this Act.
33        (l)  "Maintaining  a  place of business in this State" or
34    any like term means (1) having  or  maintaining  within  this
 
HB2631 Engrossed            -3-               LRB9104051ACtmA
 1    State,   directly   or   through  a  subsidiary,  an  office,
 2    distribution  facility,  distribution  house,  sales   house,
 3    warehouse, or other place of business or (2) operating within
 4    this  State  as  an agent or representative for a person or a
 5    person's subsidiary engaged in the  business  of  selling  to
 6    persons  within this State, irrespective of whether the place
 7    of business or agent or other representative  is  located  in
 8    this State permanently or temporary, or whether the person or
 9    the person's subsidiary engages in the business of selling in
10    this State.
11        (m)  "No  Further  Remediation  Letter"  means  a  letter
12    provided  by  the  Agency  pursuant to Section 58.10 of Title
13    XVII of the Environmental Protection Act.
14        (n)  "Operator"  means  a  person  or  entity  holding  a
15    business license to  operate a licensed  drycleaning facility
16    or the business operation of  which the drycleaning  facility
17    is a part.
18        (o)  "Owner"   means   (1)  a  person  who  owns  or  has
19    possession or control of a drycleaning facility at the time a
20    release is discovered, regardless of whether    the  facility
21    remains  in  operation  or  (2)  a  parent corporation of the
22    person under item (1) of this subdivision.
23        (p)  "Parent corporation"  means  a  business  entity  or
24    other  business    arrangement  that  has  elements of common
25    ownership or control or that  uses  a  long-term  contractual
26    arrangement with a person to avoid direct  responsibility for
27    conditions at a drycleaning facility.
28        (q)  "Person"  means  an  individual,  trust, firm, joint
29    stock company, corporation,  consortium,  joint  venture,  or
30    other commercial entity.
31        (r)  "Program  year" means the period beginning on July 1
32    and ending on the following June 30, except that the  initial
33    "program  year" means the period beginning on July 1, 1997 or
34    on the effective date of this Act and ending on June 30, 1998
 
HB2631 Engrossed            -4-               LRB9104051ACtmA
 1    .
 2        (s)  "Release" means  any  spilling,  leaking,  emitting,
 3    discharging, escaping, leaching, or dispersing of drycleaning
 4    solvents  from a drycleaning facility to groundwater, surface
 5    water, or subsurface soils.
 6        (t)  "Remedial action" means activities taken to   comply
 7    with  Sections  58.6 and 58.7 of the Environmental Protection
 8    Act and rules adopted by the Pollution  Control  Board  under
 9    those Sections.
10        (u)  "Responsible  party"  means  an  owner, operator, or
11    other person financially responsible for costs of remediation
12    of a release  of  drycleaning  solvents  from  a  drycleaning
13    facility.
14        (v)  "Service   provider"  means  a  consultant,  testing
15    laboratory,   monitoring   well   installer,   soil    boring
16    contractor, other contractor, lender, or any other person who
17    provides   a  product  or  service  for  which  a  claim  for
18    reimbursement has been or will be filed against the  remedial
19    account  or  insurance  account, or a subcontractor of such a
20    person.
21    (Source: P.A. 90-502, eff. 8-19-97.)

22        (415 ILCS 135/10)
23        Sec. 10. Drycleaner Environmental Response Trust Fund.
24        (a)  The Drycleaner Environmental Response Trust Fund  is
25    created  as  a    special  fund in the State Treasury. Moneys
26    deposited into the Fund shall be used solely for the purposes
27    of the Council, for the retention by the Agency of a firm  of
28    certified  public  accountants  to annually examine and audit
29    the Council's activities as described in Section 80, and  for
30    other  purposes  as  provided  in  this  Act.  The Fund shall
31    include moneys credited to the Fund under this Act  and other
32    moneys that by law may be credited to  the  Fund.  The  State
33    Treasurer  may  invest  Funds  deposited into the Fund at the
 
HB2631 Engrossed            -5-               LRB9104051ACtmA
 1    direction  of  the  Council.  Interest,   income   from   the
 2    investments,  and  other  income  earned by the Fund shall be
 3    credited to and deposited into the Fund.
 4        Pursuant to appropriation, all moneys in  the  Drycleaner
 5    Environmental  Response  Trust Fund shall be disbursed by the
 6    Agency  to  the   Council   for   the   purpose   of   making
 7    disbursements,  if  any,  in accordance with this Act and for
 8    the purpose of paying the ordinary and contingent expenses of
 9    the Council. After June 30, 1999, pursuant to  appropriation,
10    all  moneys  in  the  Drycleaner Environmental Response Trust
11    Fund may be used by the Council for  the  purpose  of  making
12    disbursements,  if  any,  in accordance with this Act and for
13    the purpose of paying the ordinary and contingent expenses of
14    the Council.  As soon as may be practicable  after  June  30,
15    1997,   the  Comptroller  shall  order  transferred  and  the
16    Treasurer shall transfer from the General Revenue Fund to the
17    Drycleaner Environmental Response Trust Fund $375,000 for the
18    ordinary and contingent expenses of the Council.  As soon  as
19    may  be  practicable after December 31, 1997, the Comptroller
20    shall order transferred and the Treasurer shall transfer from
21    the Drycleaner  Environmental  Response  Trust  Fund  to  the
22    General Revenue Fund $375,000 plus interest at the rate of 6%
23    per annum.
24        The  Fund  may  be  divided  into different accounts with
25    different depositories to fulfill the purposes of the Act  as
26    determined by the Council.
27        Moneys  in  the  Fund  at  the end of a State fiscal year
28    shall be carried forward to the next fiscal  year  and  shall
29    not revert to the General Revenue Fund.
30        (b)  The  specific  purposes  of the Fund include but are
31    not limited to the following:
32             (1)  To establish an account to fund remedial action
33        of  drycleaning    solvent  releases   from   drycleaning
34        facilities as provided by Section 40.
 
HB2631 Engrossed            -6-               LRB9104051ACtmA
 1             (2)  To  establish an insurance account for insuring
 2        environmental  risks    from  releases  from  drycleaning
 3        facilities within this State as provided by Section 45.
 4        (c)  The State, the General Revenue Fund, and  any  other
 5    Fund  of  the  State, other than the Drycleaner Environmental
 6    Response Trust Fund, shall not be liable for a claim or cause
 7    of action in connection with a drycleaning facility not owned
 8    or operated by the State or an  agency  of  the  State.   All
 9    expenses  incurred  by  the Fund shall be payable solely from
10    the Fund and no liability or obligation shall be imposed upon
11    the State. The State is not  liable  for  a  claim  presented
12    against the Fund.
13        (d)  The  liability  of the Fund is limited to the extent
14    of coverage provided by the account under which  a  claim  is
15    submitted,  subject  to  the  terms  and  conditions  of that
16    coverage.  The liability of the Fund is  further  limited  by
17    the moneys made available to the Fund, and no remedy shall be
18    ordered  that  would  require  the  Fund  to  exceed its then
19    current funding limitations to  satisfy  an  award  or  which
20    would restrict the availability of moneys for higher priority
21    sites.
22        (e)  Nothing  in  this  Act  shall be construed to limit,
23    restrict, or affect the authority and powers of the Agency or
24    another State agency or statute unless the  State  agency  or
25    statute  is  specifically  referenced  and  the limitation is
26    clearly set forth in this Act.
27    (Source: P.A. 90-502, eff. 8-19-97.)

28        (415 ILCS 135/40)
29        Sec. 40. Remedial action account.
30        (a)  The  remedial  action  account  is  established   to
31    provide  reimbursement  to eligible claimants for drycleaning
32    solvent investigation, remedial action planning, and remedial
33    action   activities   for   existing   drycleaning    solvent
 
HB2631 Engrossed            -7-               LRB9104051ACtmA
 1    contamination discovered at their drycleaning facilities.
 2        (b)  The following persons are eligible for reimbursement
 3    from the remedial action account:
 4             (1)  In  the  case  of  claimant who is the owner or
 5        operator of an active drycleaning  facility  licensed  by
 6        the Council under this Act at the time of application for
 7        remedial  action  benefits  afforded  under the Fund, the
 8        claimant is only eligible for reimbursement  of  remedial
 9        action  costs  incurred in connection with a release from
10        that  drycleaning  facility,   subject   to   any   other
11        limitations under this Act.
12             (2)  In  the  case of a claimant who is the owner of
13        an inactive drycleaning facility and  was  the  owner  or
14        operator  of  the  drycleaning  facility  when it was  an
15        active  drycleaning  facility,  the  claimant   is   only
16        eligible  for    reimbursement  of  remedial action costs
17        incurred  in  connection  with   a   release   from   the
18        drycleaning  facility,  subject  to any other limitations
19        under this Act.
20        (c)  An eligible claimant requesting  reimbursement  from
21    the remedial action  account shall meet all of the following:
22             (1)  The  claimant  demonstrates  that the source of
23        the release is from  the claimant's drycleaning facility.
24             (2)  At the time the release was discovered  by  the
25        claimant,  the claimant and the drycleaning facility were
26        in compliance with the  Agency  reporting  and  technical
27        operating requirements.
28             (3)  The  claimant  reported the release in a timely
29        manner to  the Agency in accordance with State law.
30             (4)  The claimant applying for reimbursement has not
31        filed for bankruptcy on or after the date of his  or  her
32        discovery of the release.
33             (5)  If  the claimant is the owner or operator of an
34        active drycleaning facility, the claimant has provided to
 
HB2631 Engrossed            -8-               LRB9104051ACtmA
 1        the Council proof of implementation  and  maintenance  of
 2        the following pollution prevention measures:
 3                  (A)  That   all   drycleaning   solvent  wastes
 4             generated at a drycleaning facility  be  managed  in
 5             accordance  with  applicable  State waste management
 6             laws and rules.
 7                  (B)  A  prohibition   on   the   discharge   of
 8             wastewater   from   drycleaning   machines   or   of
 9             drycleaning solvent from drycleaning operations to a
10             sanitary  sewer  or septic tank or to the surface or
11             in groundwater.
12                  (C)  That every drycleaning facility:
13                       (I)  install a containment dike  or  other
14                  containment  structure  around  each machine or
15                  item of equipment  or  the  entire  drycleaning
16                  area   in  which  any  drycleaning  solvent  is
17                  utilized, which shall be capable of  containing
18                  any  leak,  spill,  or  release  of drycleaning
19                  solvent from that machine, item, or area; and
20                       (II)  seal or otherwise render  impervious
21                  those portions of diked floor surfaces on which
22                  a  drycleaning  solvent  may  leak,  spill,  or
23                  otherwise be released.
24                  (D)  A requirement that all drycleaning solvent
25             shall  be  delivered  to  drycleaning  facilities by
26             means of closed, direct-coupled delivery systems.
27             (6)  An active drycleaning facility  has  maintained
28        continuous    financial   assurance   for   environmental
29        liability coverage in the amount of at least $500,000  at
30        least  since  the  date  of  award of benefits under this
31        Section or July 1, 2000 1998, whichever is earlier.
32             (7)  The release was discovered on or after July  1,
33        1997 and before July 1, 2004 2002.
34        (d)  A claimant shall submit a completed application form
 
HB2631 Engrossed            -9-               LRB9104051ACtmA
 1    provided  by  the  Council.   The  application  shall contain
 2    documentation  of   activities,   plans,   and   expenditures
 3    associated  with the eligible costs incurred in response to a
 4    release of drycleaning solvent from a  drycleaning  facility.
 5    Application  for  remedial  action  account  benefits must be
 6    submitted to the Council on or before June 30, 2003 2002.
 7        (e)  Claimants  shall  be  subject   to   the   following
 8    deductible  requirements,  unless  modified  pursuant  to the
 9    Council's authority under Section 75:
10             (1)  An eligible claimant submitting a claim for  an
11        active  drycleaning facility is responsible for the first
12        $5,000 of eligible investigation costs and for the  first
13        $10,000  of  eligible  remedial  action costs incurred in
14        connection with the release from the drycleaning facility
15        and is only eligible for  reimbursement  for  costs  that
16        exceed those amounts, subject to any other limitations of
17        this Act.
18             (2)  An  eligible claimant submitting a claim for an
19        inactive drycleaning  facility  is  responsible  for  the
20        first $10,000 of eligible investigation costs and for the
21        first  $10,000 of eligible remedial action costs incurred
22        in connection with  the  release  from  that  drycleaning
23        facility,  and  is  only  eligible  for reimbursement for
24        costs that exceed those amounts,  subject  to  any  other
25        limitations of this Act.
26        (f)  Claimants  are  subject to the following limitations
27    on reimbursement:
28             (1)  Subsequent   to    meeting    the    deductible
29        requirements  of  subsection  (e),  and  pursuant  to the
30        requirements  of  Section  75,  reimbursement  shall  not
31        exceed:
32                  (A)  $160,000 per active  drycleaning  facility
33             for which an eligible claim is submitted during the
34             initial program year beginning July 1, 1999;
 
HB2631 Engrossed            -10-              LRB9104051ACtmA
 1                  (B)  $150,000  per  active drycleaning facility
 2             for which an eligible claim is submitted during  the
 3             program year beginning July 1, 2000 1998;
 4                  (C)  $140,000  per  active drycleaning facility
 5             for which an eligible claim is submitted during  the
 6             program year beginning July 1, 2001 1999;
 7                  (D)  $130,000  per  active drycleaning facility
 8             for which an eligible claim is submitted during  the
 9             program year beginning July 1, 2002 2000;
10                  (E)  $120,000  per  active drycleaning facility
11             for which an eligible  claim is submitted during the
12             program year beginning July 1, 2003 2001; or
13                  (F)  $50,000 per inactive drycleaning facility.
14             (2)  A contract in which one of the parties  to  the
15        contract is a claimant, for goods or services that may be
16        payable  or  reimbursable  from  the Council, is void and
17        unenforceable unless and until the Council has found that
18        the contract terms are within  the  range  of  usual  and
19        customary  rates  for  similar  or  equivalent  goods  or
20        services  within  this State and has found that the goods
21        or services are necessary for the claimant to comply with
22        Council  standards   or   other   applicable   regulatory
23        standards.
24             (3)  A  claimant may appoint the Council as an agent
25        for the purposes of negotiating contracts with  suppliers
26        of  goods  or  services  reimbursable  by  the Fund.  The
27        Council  may  select  another  contractor  for  goods  or
28        services other than the one offered by  the  claimant  if
29        the  scope  of  the  proposed  work or actual work of the
30        claimant's  offered  contractor  does  not  reflect   the
31        quality  of  workmanship  required  or  if  the costs are
32        determined to be excessive, as determined by the Council.
33             (4)  The Council may require a  claimant  to  obtain
34        and  submit  3  bids  and  may require specific terms and
 
HB2631 Engrossed            -11-              LRB9104051ACtmA
 1        conditions in a  contract subject to approval.
 2             (5)  The Council may enter into  a  contract  or  an
 3        exclusive contract with the supplier of goods or services
 4        required   by  a  claimant  or  class  of  claimants,  in
 5        connection with an expense reimbursable  from  the  Fund,
 6        for  a specified good or service at a gross maximum price
 7        or fixed rate, and may limit reimbursement accordingly.
 8             (6)  Unless emergency conditions  exist,  a  service
 9        provider  shall  obtain  the  Council's  approval  of the
10        budget for the remediation  work  before  commencing  the
11        work.   No  expense  incurred  that is above the budgeted
12        amount shall be paid unless the  Council  approves    the
13        expense  prior  to  its being incurred.  All invoices and
14        bills relating to the remediation work shall be submitted
15        with appropriate documentation, as  deemed  necessary  by
16        the  Council,  not  later than 30 days after the work has
17        been performed.
18             (7)  Neither the Council nor an eligible claimant is
19        responsible for payment for costs incurred that have  not
20        been  previously  approved  by  the  Council,  unless  an
21        emergency exists.
22             (8)  The   Council   may  determine  the  usual  and
23        customary costs of each item for which reimbursement  may
24        be awarded under this Section. The Council may revise the
25        usual and customary costs from time to time as necessary,
26        but costs submitted for reimbursement shall be subject to
27        the rates in effect at the time the costs were incurred.
28             (9)  If a claimant has pollution liability insurance
29        coverage  other  than  coverage provided by the insurance
30        account under this Act, that coverage shall  be  primary.
31        Reimbursement  from the remedial account shall be limited
32        to the deductible amounts under the primary coverage  and
33        the  amount that exceeds the policy limits of the primary
34        coverage, subject to the deductible amounts of this  Act.
 
HB2631 Engrossed            -12-              LRB9104051ACtmA
 1        If  there  is  a  dispute  between  the  claimant and the
 2        primary  insurance  provider,  reimbursement   from   the
 3        remedial action account may be made to the claimant after
 4        the  claimant  assigns all of his or her interests in the
 5        insurance coverage to the Council.
 6        (g)  The source of funds for the remedial action  account
 7    shall  be  moneys  allocated  to  the  account by the Council
 8    according to the Fund budget approved by the Council.
 9        (h)  A drycleaning facility will be classified as  active
10    or  inactive for purposes of  determining benefits under this
11    Section based on the status of the facility  on  the  date  a
12    claim is filed.
13        (i)  Eligible  claimants shall conduct remedial action in
14    accordance  with  the  Site  Remediation  Program  under  the
15    Environmental Protection Act and Part 740 of Title 35 of  the
16    Illinois  Administrative  Code  and  the  Tiered  Approach to
17    Cleanup Objectives under Part 742 of Title 35 of the Illinois
18    Administrative Code.
19    (Source: P.A. 90-502, eff. 8-19-97.)

20        (415 ILCS 135/45)
21        Sec. 45. Insurance account.
22        (a)  The  insurance   account   shall   offer   financial
23    assurance for a qualified owner  or operator of a drycleaning
24    facility  under  the  terms and conditions provided for under
25    this Section. Coverage may be provided to either the owner or
26    the operator of a drycleaning facility. The  Council  is  not
27    required  to  resolve whether the owner or operator, or both,
28    are responsible for a release under the terms of an agreement
29    between the owner and operator.
30        (b)  The source of funds for the insurance account  shall
31    be as follows:
32             (1)  Moneys  appropriated  to  the Council or moneys
33        allocated  to  the  insurance  account  by  the   Council
 
HB2631 Engrossed            -13-              LRB9104051ACtmA
 1        according to the Fund budget approved by the Council.
 2             (2)  Moneys   collected  as  an  insurance  premium,
 3        including service fees, if any.
 4             (3)  Investment income attributed to  the  insurance
 5        account by the Council.
 6        (c)  An  owner or operator may purchase coverage of up to
 7    $500,000 per drycleaning facility subject to  the  terms  and
 8    conditions  under  this  Section  and  those  adopted  by the
 9    Council. Coverage shall be limited to remedial  action  costs
10    associated  with soil and groundwater contamination resulting
11    from  a  release  of  drycleaning  solvent  at   an   insured
12    drycleaning  facility,  including  third-party  liability for
13    soil and groundwater contamination.  Coverage is not provided
14    for a release that occurred before the date of coverage.
15        (d)  An  owner  or  operator,  subject  to   underwriting
16    requirements  and  terms  and conditions deemed necessary and
17    convenient by the Council, may  purchase  insurance  coverage
18    from  the  insurance  account  provided  that the drycleaning
19    facility to be insured meets the following conditions:
20             (1)  a site investigation designed to identify  soil
21        and  groundwater contamination resulting from the release
22        of a drycleaning solvent has been completed. The  Council
23        shall  determine  if  the site investigation is adequate.
24        This investigation must be completed  by  June  30,  2003
25        2002.   For  drycleaning  facilities  that  become active
26        after June 30, 2003 2002, the site investigation must  be
27        completed prior to issuance of insurance coverage; and
28             (2)  the  drycleaning  facility  is participating in
29        and meets all requirements of  a  drycleaning  compliance
30        program approved by the Council.
31        (e)  The annual premium for insurance coverage shall be:
32             (1)  For the year July 1, 1999 through June 30, 2000
33         initial program year, $250 per drycleaning facility.
34             (2)  For the year July 1, 2000 1998 through June 30,
 
HB2631 Engrossed            -14-              LRB9104051ACtmA
 1        2001 1999, $375 per drycleaning facility.
 2             (3)  For the year July 1, 2001 1999 through June 30,
 3        2002 2000, $500 per drycleaning facility.
 4             (4)  For the year July 1, 2002 2000 through June 30,
 5        2003 2001, $625 per drycleaning facility.
 6             (5)  For  subsequent  years,  an  owner  or operator
 7        applying   for   coverage    shall    pay    an    annual
 8        actuarially-sound  insurance  premium for coverage by the
 9        insurance account.  The Council may approve Fund coverage
10        through the  payment  of  a  premium  established  on  an
11        actuarially-sound  basis,  taking  into consideration the
12        risk to the insurance account presented by  the  insured.
13        Risk    factor    adjustments   utilized   to   determine
14        actuarially-sound insurance premiums should  reflect  the
15        range  of  risk  presented  by the variety of drycleaning
16        systems, monitoring  systems,  drycleaning  volume,  risk
17        management  practices, and other factors as determined by
18        the Council. As used in this item, "actuarially sound" is
19        not limited to Fund premium revenue equaling or exceeding
20        Fund expenditures for the  general  drycleaning  facility
21        population.   Actuarially-determined  premiums  shall  be
22        published  at  least  180  days  prior  to  the  premiums
23        becoming effective.
24        (f)  If coverage is purchased for any part of a year, the
25    purchaser shall pay the full annual premium.   The  insurance
26    premium  is  fully  earned  upon  issuance  of  the insurance
27    policy.
28        (g)  The insurance coverage  shall  be  provided  with  a
29    $10,000 deductible policy.
30        (h)  A  future repeal of this Section shall not terminate
31    the  obligations under this Section or authority necessary to
32    administer  the  obligations  until   the   obligations   are
33    satisfied, including but not limited to the payment of claims
34    filed  prior  to  the  effective  date  of  any future repeal
 
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 1    against the insurance account until moneys in the account are
 2    exhausted.  Upon exhaustion of the moneys in the account, any
 3    remaining claims shall be invalid. If moneys  remain  in  the
 4    account  following satisfaction of the obligations under this
 5    Section, the remaining moneys  and  moneys  due  the  account
 6    shall  be  used to assist current insureds to obtain a viable
 7    insuring mechanism as determined by the Council after  public
 8    notice and opportunity for comment.
 9    (Source: P.A. 90-502, eff. 8-19-97.)

10        (415 ILCS 135/60)
11        (Section scheduled to be repealed on July 1, 2007)
12        Sec. 60. Drycleaning facility license.
13        (a)  On  and  after  January  1,  1998,  no  person shall
14    operate a  drycleaning  facility  in  this  State  without  a
15    license issued by the Council.
16        (b)  The  Council  shall  issue  an  initial  or  renewal
17    license  to  a  drycleaning  facility  on  submission  by  an
18    applicant  of  a completed form prescribed by the Council and
19    proof of payment of the required fee  to  the  Department  of
20    Revenue.
21        (c)  The annual fees for licensure are as follows:
22             (1)  $500  for a facility that purchases 140 gallons
23        or less of chlorine-based drycleaning  solvents  annually
24        or  1400 gallons or less of hydrocarbon-based drycleaning
25        solvents annually.
26             (2)  $1,000 for a facility that purchases more  than
27        140  gallons  but less than 360 gallons of chlorine-based
28        drycleaning solvents annually or more than  1400  gallons
29        but   less   than   3600   gallons  of  hydrocarbon-based
30        drycleaning solvents annually.
31             (3)  $1,500  for  a  facility  that  purchases   360
32        gallons  or  more  of chlorine-based drycleaning solvents
33        annually or 3600 gallons  or  more  of  hydrocarbon-based
 
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 1        drycleaning solvents annually.
 2        For   purpose   of   this  subsection,  the  quantity  of
 3    drycleaning solvents purchased annually shall  be  determined
 4    as follows:
 5             (1)  in  the  case  of  an  initial  applicant,  the
 6        quantity  of  drycleaning  solvents  that  the  applicant
 7        estimates  will be used during his or her initial license
 8        year.  A fee assessed under this subdivision  is  subject
 9        to audited adjustment for that year; or
10             (2)  in   the  case  of  a  renewal  applicant,  the
11        quantity of drycleaning solvents  actually  used  in  the
12        preceding license year.
13        The  Council  may adjust licensing fees annually based on
14    the published Consumer Price  Index  -  All  Urban  Consumers
15    ("CPI-U") or as otherwise determined by the Council.
16        (d)  A license issued under this Section shall expire one
17    year  after  the  date  of  issuance  and  may  be renewed on
18    reapplication to the  Council  and  submission  of  proof  of
19    payment  of  the appropriate fee to the Department of Revenue
20    in accordance with subsections (c) and (e).  At least 30 days
21    before payment of a renewal licensing fee is due, the Council
22    shall attempt to:
23             (1)  notify   the   operator   of   each    licensed
24        drycleaning  facility concerning the requirements of this
25        Section;  and
26             (2)  submit  a  license  fee  payment  form  to  the
27        licensed operator of each drycleaning facility.
28        (e)  An operator of a drycleaning facility  shall  submit
29    the appropriate application form provided by the Council with
30    the  license fee in the form of cash or guaranteed remittance
31    to the Department of Revenue.  The license fee  payment  form
32    and  the  actual license fee payment shall be administered by
33    the  Department  of  Revenue  under  rules  adopted  by  that
34    Department.
 
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 1        (f)  The Department of Revenue shall  issue  a  proof  of
 2    payment  receipt  to  each operator of a drycleaning facility
 3    who has paid the appropriate fee in  cash  or  by  guaranteed
 4    remittance.   However,  the  Department  of Revenue shall not
 5    issue a proof of payment receipt to  a  drycleaning  facility
 6    that is liable to the Department of Revenue for a tax imposed
 7    under  this  Act.  The original receipt shall be presented to
 8    the Council by the operator of a drycleaning facility.
 9        (g)  An operator  of  a  dry  cleaning  facility  who  is
10    required to pay a license fee under this Act and fails to pay
11    the  license  fee  when  the  fee  is due shall be assessed a
12    penalty of $5 for each day after the license fee is  due  and
13    until the license fee is paid. The penalty shall be effective
14    for license fees due on or after July 1, 1999.
15        (h)  The  Council and the Department of Revenue may adopt
16    rules as necessary to administer the  licensing  requirements
17    of this Act.
18    (Source: P.A. 90-502, eff. 8-19-97.)

19        (415 ILCS 135/75)
20        Sec.  75. Adjustment of fees and taxes. Beginning January
21    1, 2000 1999, and annually after  that  date,  the    Council
22    shall  adjust  the  copayment obligation of subsection (e) of
23    Section 40, the drycleaning solvent taxes of Section 65,  the
24    license  fees of Section 60, or any combination of adjustment
25    of  each, after notice and opportunity for public comment, in
26    a manner  determined  necessary  and  appropriate  to  ensure
27    viability  of the Fund.  Viability of the Fund shall consider
28    the   settlement   of   all   current   claims   subject   to
29    prioritization of  benefits under subsection (c)  of  Section
30    25, consistent with the purposes of this Act.
31    (Source: P.A. 90-502, eff. 8-19-97.)

32        (415 ILCS 135/80)
 
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 1        Sec. 80.  Audits and reports.
 2        (a)  The  accounts, books, and other financial records of
 3    the Council, including  but  not  limited  to  its  receipts,
 4    disbursements,  contracts,  and other matters relating to its
 5    finance,  operation,  and  affairs,  shall  be  examined  and
 6    audited annually by the Auditor General  in  accordance  with
 7    the  audit  standards  under the Illinois State Auditing Act.
 8    This audit shall be provided to the Agency for review.
 9        (b)  Upon request by the  Auditor  General,  the  Council
10    Agency shall retain a firm of certified public accountants to
11    examine  and audit the Council as described in subsection (a)
12    on behalf of the Auditor General.
13        (c)  The accounts, books, and other financial records  of
14    the  Council shall be maintained in accordance with the State
15    Records Act and accepted accounting practices established  by
16    the State.
17    (Source: P.A. 90-502, eff. 8-19-97.)

18        (415 ILCS 135/85)
19        Sec.  85.  Repeal  of fee and tax provisions. Sections 60
20    and 65 of this Act are repealed on  January  1,  2010  July1,
21    2007.
22    (Source: P.A. 90-502, eff. 8-19-97.)

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

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