Public Act 099-0187

SB1707 Enrolled LRB099 10940 MGM 31283 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 treatments

works, including storm water treatment systems that are

treatment 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 incurred after March 7, 1985, for the construction of

treatment works, including storm water treatment systems

that are treatment works, and projects that fulfill federal

State Revolving Fund grant requirements for a green project

reserve;

(3.5) to make loans, including, but not limited to,

loans through a linked deposit program, 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;

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

Program; and

(8) notwithstanding any other provision of this

subsection (b), to provide, in accordance with rules

adopted under this Title, any other financial assistance

that may be provided under Section 603 of the Federal Water

Pollution Control Act for any other projects or activities

eligible for assistance under subsections (c)(1) or (c)(2)

of that Section or federal rules adopted to implement that

Section under those subsections.

(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 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 debt obligations

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. 98-782, eff. 7-23-14.)

Section 99. Effective date. This Act takes effect upon

becoming law.