GOVERNMENT AFFAIRS
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September 3rd, 2021
This Week in Illinois
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Omnibus Energy Bill Passes the Senate Immediately After Redistricting Special Session
After hearing from both supporters and opponents, the Senate passed SB 18 at around 1 am on September 1st by a vote of 39-16-2. In his closing statement, President Harmon noted that he anticipated continued negotiations with the House Speaker and the Pritzker Administration, and expected an agreement in a "matter of days."
HB 3666, was the original energy package but this bill did not move. Despite five amendments introduced throughout the day, ultimately, this bill did not move.
SB 18, the omnibus energy package, is now assigned to the House Executive Committee with a hearing scheduled for September 9th. Among its many provisions, the bill includes a second subsidy for Exelon in five years, a complex (and likely unworkable) decarbonization schedule which requires coal and gas-fired electricity generators to start closing by 2030 (with a process for the state to continue to force the closure of additional plants until 2045, by which time carbon dioxide emissions from this sector must be at zero), a new ratemaking formula, the expansion of the renewable portfolio program, and numerous other costly programs.
The bill as passed in the Senate is expected to be significantly amended before passing the House. The Chamber will provide updates as events surrounding this legislation unfold.
If you have any questions on this matter, or interest in joining the Chamber’s Energy Council, don’t hesitate to reach out to Executive Director Alec Messina at amessina@ilchamber.org.
Chamber Releases Statement on Energy Package Debate
On Tuesday evening, Illinois Chamber President & CEO Todd Maisch released the following statement.
"The Illinois Chamber of Commerce is currently opposed to the existing comprehensive energy policy proposals pending before the General Assembly. We encourage the discussion to continue in an effort to find the right balance between the interests of ratepayers and those who produce energy.
Existing proposals continue to include language that need significant refining, but there are a number of provisions which the Chamber believes are extraordinarily troublesome. Those include:
- A second enormous subsidy for Exelon, not even five years after the last enormous subsidy. The Chamber applauds the Senate’s efforts to limit this new subsidy in the event a recently proposed federal subsidy for the nuclear industry is enacted, but further controls, audits, and claw-backs in the event these plants are profitable are critical.
- The premature closure of coal and natural-fired electricity generating plants. Forcing the closure of these plants, without regard to the impact on electric reliability or those plants’ ability to utilize new control technologies, is irresponsible.
- With the costs of this omnibus energy package soaring, controlling the overall program costs by eliminating questionable new spending contained in a host of new programs is essential.
We appreciate the efforts of Senate President Harmon and other legislators that continue to address complex, technical issues that will have far reaching effects on energy affordability and reliability, jobs in existing and burgeoning industries across the State, and the impact to ratepayers across the State. These efforts have resulted in improvements on previous drafts that have been proposed by other interests. While the Chamber opposes this draft, we will continue to work together with a diverse set of stakeholders and recognize the work of all involved."
Chamber-backed SALT Cap Work Around Legislation Signed into Law
Governor Pritzker signed SB 2531 into law. SB 2531 is a workaround to the federal $10,000 cap on state and local tax deductions. This legislation is revenue neutral and will potentially help 400,000 Illinois taxpayers. While the Chamber believes the 2017 federal tax reform was a net positive for Illinois and the nation, the federal $10,000 SALT deduction cap was one provision of the legislation worked to the disadvantage of Illinois taxpayers.
Illinois Chamber President & CEO Todd Maisch applauded Governor Pritzker as well as the General Assembly for their bipartisan consensus on this legislation.
In part, Maisch said, "The Illinois Chamber applauds Governor JB Pritzker for his support by signing SB 2531, SALT Cap Workaround. The Chamber also applauds State Senator Win Stoller and Representative Anthony DeLuca for sponsoring this legislation. Senator Stoller and Rep. DeLuca have demonstrated to us all that Springfield can work in a bipartisan manner to help Illinois taxpayers." Read the full statement here.
Future of Work Task Force Signed into Law, Chamber VP Kaericher Appointed
Late last month, Governor Pritzker signed HB 645 into law. The bill was sponsored by Representative Marcus Evans in the House and Senator Ram Villivalam in the Senate. This bill creates the Illinois Future of Work Task Force to study the future of work and submit a final report to the Governor and the General Assembly no later than May 1, 2022. The Chamber flagged this task force as we believe it will study critical issues such as the importance of the “gig economy.”
The task force is compromised of representatives of the business and labor communities as well as numerous state officials. Each of the four legislative leaders were allotted four appointments to the taskforce. Members serve without compensation.
Today, IL Chamber Vice President of Government Affairs Clark Kaericher was appointed to serve as a member of the taskforce by Senate Republican Leader Dan McConchie. Kaericher will serve as a representative of the business community. Vice President Kaericher is also the Executive Director of the Chamber's Infrastructure and Technology Councils. Read the appointment message here.
Session Update
The House and Senate both returned to Springfield on Tuesday, August 31st for a special session. The primary topics of consideration were changes to the legislative maps and the omnibus energy package. Action in the Senate carried into the early morning.
During the special session, the veto of HB 684 was overridden by a vote of 112-1-0. This bill requires the Department of Healthcare and Family Services to exempt ground ambulance services from the State's managed care medical assistance program.
As mentioned above, redistricting changes were a primary concern during the session. SB 927, which amended the legislative maps passed the House by a vote of 73-43-0 and the Senate concurred by a vote of 40-17-0. This bill amends the General Assembly Redistricting Act of 2021 and the Illinois Voting Rights Act of 2011. Makes changes to the boundaries of districts based on 2020 federal decennial census data and other conforming changes.
Finally, the amendatory veto of SB 539, was accepted in the Senate but failed in the House by a vote of 59-35-0. This bill is the ethics legislation that outgoing Legislative Inspector General Pope said was demonstrative of the General Assembly's lack of priorities on true ethics. The amendatory veto can be still taken up for consideration again.
Both Chambers will also be in session October 19th-21st and October 26th-28th for veto session. No additional session dates are scheduled at this time.
Interested in the Latest on Electric Vehicles?
The Chamber is partnering with the Consulate of the Netherlands in Chicago to have a discussion about opportunities for companies in Illinois’ electric vehicle industry. Joining me will be Chamber President Todd Maisch, Intersect Illinois, Tony Reinhart from Ford Motor Company and executives from EVBox and Elaad. The event takes place on September 7th at 9 am CST. You can register here.
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Bills of Interest Signed into Law
HB 270, Bicycle & Pedestrian Ways was signed into law. This bill provides that, in or within a municipality with a population of over 1,000 people, the Department of Transportation shall establish and solely fund bicycle and pedestrian ways in conjunction with the construction, reconstruction, or other change of any State transportation facility. Adds an exemption in cases in which the municipality passes a resolution stating that a bicycle or pedestrian way does not fit within its development plan. Provides that if programmed funds identified as supplemental funding for the Illinois Transportation Enhancement Program are not expended for 5 years, the Department has the option to use those funds to pay the cost of bicycle and pedestrian ways in roadway projects.
HB 1711, Pet Shops was signed into law. This bill provides that a pet shop operator may offer for sale a dog or cat only if the dog or cat is obtained from an animal control facility or animal shelter. Provides that an animal control facility or animal shelter that supplies dogs or cats to pet shop operators to be offered for sale shall not be a dog breeder or a cat breeder or obtain dogs or cats from a dog breeder, a cat breeder, a person who resells dogs or cats from a breeder, or a person who sells dogs or cats at auction in exchange for payment or compensation. Provides that provisions concerning the prohibition of dogs and cats sold by pet shops shall not prohibit a pet shop operator from providing space to an animal control facility or animal shelter to showcase dogs or cats owned by these entities for the purpose of adoption.
HB 2553, Household Electronic Data was signed into law. This bill creates Protecting Household Privacy Act. Changes the exceptions in which law enforcement agency may obtain household electronic data. Provides that a law enforcement agency may obtain the data (1) if a law enforcement agency first obtains a warrant under the Code of Criminal Procedure of 1963; (2) a specified emergency situation exists; or (3) with the lawful consent of the owner of the household electronic device or person in actual or constructive possession of the household electronic device, excluding law enforcement personnel. Provides that nothing in the Act shall be construed to apply to the interception, recording, wiretap, or other acquisition of electronic communications as they are transmitted in real time. Provides that in the event of any conflict between the Act and any applicable federal or State law, the requirement that establishes the higher standard for law enforcement to obtain information shall govern.
HB 3598, Local Chambers of Commerce was signed into law. This bill provides that companies that issue group policies of accident and health insurance must offer such policies to local chambers of commerce.
SB 693, EMS Transport was signed into law. This bill provides that "non-emergency medical services" means the provision of, and all actions necessary before and after the provision of, Basic Life Support (BLS) Services, Advanced Life Support (ALS) Services, and critical care transport (rather than means medical care, clinical observation, or medical monitoring rendered) to specified patients using a vehicle regulated by the Act and personnel licensed under the Act (rather than only using a vehicle regulated under the Act). Removes language providing that an Emergency Medical Responder provides emergency medical response services prior to the arrival of an ambulance or specialized medical services vehicle. Requires the Department of Public Health to create standards and requirements with respect to alternative vehicle staffing models for private, nonpublic local government employers (rather than vehicle staffing models) that include an Emergency Medical Responder who drives an ambulance with a licensed EMT, EMT-I, A-EMT, Paramedic, or PHRN, as appropriate, in the patient compartment providing care to the patient pursuant to the approval of the EMS System Program Plan developed and approved by the EMS Medical Director for an EMS System. Provides that the Department shall monitor the implementation and performance of alternative staffing models and may issue a notice of termination of an alternative staffing model only upon evidence that an EMS System Program Plan is not being adhered to. Provides that an EMS System Program Plan for a Basic Life Support transport utilizing an EMR and an EMT shall include specified requirements.
SB 2066, Marketplace Facilitator was signed into law. This bill provides that, beginning January 1, 2020 and through December 31, 2020, sales of tangible personal property made by a marketplace seller over a marketplace for which tax is due but for which use tax has been collected and remitted to the Department of Revenue by a marketplace facilitator are exempt. Provides that the term "marketplace facilitator" does not include any person licensed under the Auction License Act, other than any person who is an Internet auction listing service. Amends the Leveling the Playing Field for Illinois Retail Act. Provides that certified service providers who collect and remit taxes on behalf of retailers may claim the retailers' discount with respect to those taxes. Provides that the retailer is not entitled to the discount with respect to those taxes.
SB 2325, Ambulance Payments was signed into law. This bill amends the Medical Assistance Article of the Illinois Public Aid Code. Provides that for non-emergency ground ambulance claims properly denied under the policy of the Department of Healthcare and Family Services at the time the claim is filed due to failure to submit a valid Medical Certification for Non-Emergency Ambulance on and after December 15, 2012 and prior to January 1, 2021, the Department shall allot $2,000,000 to a pool to reimburse such claims if the provider proves medical necessity for the service by other means. Requires providers to submit any such denied claims for which they seek compensation to the Department no later than December 31, 2021 along with documentation of medical necessity. Provides that no later than May 31, 2022, the Department shall determine for which claims medical necessity was established. Provides that such claims for which medical necessity was established shall be paid at the rate in effect at the time of the service, provided the $2,000,000 is sufficient to pay at those rates. Provides that if the pool is not sufficient, claims shall be paid at a uniform percentage of the applicable rate such that the pool of $2,000,000 is exhausted. Provides that the appeal process described in a specified provision of the Code shall not be applicable to the Department's determinations.
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Illinois Chamber's Tax Institute To Host Quarterly Meeting
On Wednesday, September 8th the Illinois Chamber Tax Institute will host its quarterly meeting. The meeting will feature a discussion of unclaimed property issues with Allen Mayer, Chief of Staff for the Illinois Treasurer, Jennifer Waryjas of Jones Day and Troy Wangen of True Partners. The Illinois Chamber's Tax Institute Quarterly meeting is available to registrants to either attend in person or virtually.
Registration information can be found here.
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Save the Date: Illinois Chamber to Host Annual Meeting
On Thursday, September 30th the Illinois Chamber will host its Annual Meeting at the Palmer House in Chicago. The event will take place between 11am-1:30 pm and feature keynote speaker Holly Sullivan, Vice President of Worldwide Economic Development for Amazon. The theme for this year's event is Global Growth Opportunities. Register today!
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If you have questions about the Government Affairs Report, contact Clark Kaericher at ckaericher@ilchamber.org. Do not reply to this email.
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