Bill Text: IL SB1701 | 2023-2024 | 103rd General Assembly | Engrossed

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Reinserts the provisions of the introduced bill with the following changes. Makes the following changes in the provisions regarding the Partners for Conservation Fund and the Partners for Conservation Projects Fund in the State Finance Act: provides that the Funds may be used to support (rather than implement) the State's Nutrient Loss Reduction Strategy; removes new purposes that the Funds may be used for relating to the Nutrient Loss Reduction Strategy, grants to support soil and water conservation districts, and development of a Healthy Soils and Watersheds AmeriCorps program; provides that the use of moneys of the Funds for implementation of a crop insurance premium discount program must be used for a State-level implementation; removes added amounts that would have been transferred from the General Revenue Fund to the Partners for Conservation Fund; and removes provisions allowing the Fund to receive grants, gifts, and awards from any public or private entity for the purpose of expanding financial and technical assistance in order to advance nutrient loss reduction efforts within priority watersheds. Makes the following changes in the provisions amending the Soil and Water Conservation Districts Act: changes the Initiative to the Illinois Health Soils Initiative (rather than the Illinois Healthy Soils and Watersheds Initiative); removes references to watersheds and nutrient loss reduction from the Initiative; provides that the Department of Agriculture shall report on progress of the Initiative annually (rather than as a component of biennial reporting for the Illinois Nutrient Loss Reduction Strategy); changes a goals and needs assessment to a soil health assessment; makes changes to the goals and needs for soil health assessments that the Department shall consider in the Initiative; removes provisions providing that the Initiative should seek to leverage funding and resources from local, State, federal, and private entities and that the Initiative may be coordinated with research and pilot projects directed by the Nutrient Research and Education Council; and makes conforming and other changes. Amends the Grant Accountability and Transparency Act. Provides that the Act does not apply to the Department of Agriculture's Soil and Water Conservation District Grants Program. Effective immediately.

Spectrum: Moderate Partisan Bill (Democrat 16-5)

Status: (Passed) 2023-08-04 - Public Act . . . . . . . . . 103-0494 [SB1701 Detail]

Download: Illinois-2023-SB1701-Engrossed.html

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AN ACT concerning local government.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The State Finance Act is amended by changing
Section 6z-32 as follows:
(30 ILCS 105/6z-32)
Sec. 6z-32. Partners for Planning and Conservation.
(a) The Partners for Conservation Fund (formerly known as
the Conservation 2000 Fund) and the Partners for Conservation
Projects Fund (formerly known as the Conservation 2000
Projects Fund) are created as special funds in the State
Treasury. These funds shall be used to establish a
comprehensive program to protect Illinois' natural resources
through cooperative partnerships between State government and
public and private landowners. Moneys in these Funds may be
used, subject to appropriation, by the Department of Natural
Resources, Environmental Protection Agency, and the Department
of Agriculture for purposes relating to natural resource
protection, planning, recreation, tourism, climate resilience,
and compatible agricultural and economic development
activities. Without limiting these general purposes, moneys in
these Funds may be used, subject to appropriation, for the
following specific purposes:

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(1) To foster sustainable agriculture practices and
control soil erosion, sedimentation, and nutrient loss
from farmland, including grants to Soil and Water
Conservation Districts for conservation practice
cost-share grants and for personnel, educational, and
administrative expenses.
(2) To establish and protect a system of ecosystems in
public and private ownership through conservation
easements, incentives to public and private landowners,
natural resource restoration and preservation, water
quality protection and improvement, land use and watershed
planning, technical assistance and grants, and land
acquisition provided these mechanisms are all voluntary on
the part of the landowner and do not involve the use of
eminent domain.
(3) To develop a systematic and long-term program to
effectively measure and monitor natural resources and
ecological conditions through investments in technology
and involvement of scientific experts.
(4) To initiate strategies to enhance, use, and
maintain Illinois' inland lakes through education,
technical assistance, research, and financial incentives.
(5) To partner with private landowners and with units
of State, federal, and local government and with
not-for-profit organizations in order to integrate State
and federal programs with Illinois' natural resource

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protection and restoration efforts and to meet
requirements to obtain federal and other funds for
conservation or protection of natural resources.
(6) To support implement the State's Nutrient Loss
Reduction Strategy, including, but not limited to, funding
the resources needed to support the Strategy's Policy
Working Group, cover water quality monitoring in support
of Strategy implementation, prepare a biennial report on
the progress made on the Strategy every 2 years, and
provide cost share funding for nutrient capture projects.
(7) To provide capacity grants to support soil and
water conservation districts, including, but not limited
to, developing soil health plans, conducting soil health
assessments, peer-to-peer training, convening
producer-led dialogues, professional memberships, lab
analysis, development and travel stipends for meetings and
educational events.
(8) To develop guidelines and local soil health
assessments for advancing soil health.
(9) To implement a crop insurance premium discount
program at the State level.
(b) The State Comptroller and State Treasurer shall
automatically transfer on the last day of each month,
beginning on September 30, 1995 and ending on June 30, 2023,
from the General Revenue Fund to the Partners for Conservation
Fund, an amount equal to 1/10 of the amount set forth below in

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fiscal year 1996 and an amount equal to 1/12 of the amount set
forth below in each of the other specified fiscal years:
Fiscal Year Amount
1996 $ 3,500,000
1997 $ 9,000,000
1998 $10,000,000
1999 $11,000,000
2000 $12,500,000
2001 through 2004 $14,000,000
2005 $7,000,000
2006 $11,000,000
2007 $0
2008 through 2011 $14,000,000
2012 $12,200,000
2013 through 2017 $14,000,000
2018 $1,500,000
2019 $14,000,000
2020 $7,500,000
2021 through 2023 $14,000,000
(c) The State Comptroller and State Treasurer shall
automatically transfer on the last day of each month beginning
on July 31, 2021 and ending June 30, 2022, from the
Environmental Protection Permit and Inspection Fund to the
Partners for Conservation Fund, an amount equal to 1/12 of
$4,135,000.
(c-1) The State Comptroller and State Treasurer shall

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automatically transfer on the last day of each month beginning
on July 31, 2022 and ending June 30, 2023, from the
Environmental Protection Permit and Inspection Fund to the
Partners for Conservation Fund, an amount equal to 1/12 of
$5,900,000.
(d) There shall be deposited into the Partners for
Conservation Projects Fund such bond proceeds and other moneys
as may, from time to time, be provided by law.
(Source: P.A. 101-10, eff. 6-5-19; 102-16, eff. 6-17-21;
102-699, eff. 4-19-22.)
Section 10. The Grant Accountability and Transparency Act
is amended by changing Section 45 as follows:
(30 ILCS 708/45)
Sec. 45. Applicability.
(a) Except as otherwise provided in this Section, the
requirements established under this Act apply to State
grant-making agencies that make State and federal pass-through
awards to non-federal entities. These requirements apply to
all costs related to State and federal pass-through awards.
The requirements established under this Act do not apply to
private awards, to allocations of State revenues paid over by
the Comptroller to units of local government and other taxing
districts pursuant to the State Revenue Sharing Act from the
Local Government Distributive Fund or the Personal Property

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Tax Replacement Fund, to allotments of State motor fuel tax
revenues distributed by the Department of Transportation to
units of local government pursuant to the Motor Fuel Tax Law
from the Motor Fuel Tax Fund or the Transportation Renewal
Fund, or to awards, including capital appropriated funds, made
by the Department of Transportation to units of local
government for the purposes of transportation projects
utilizing State funds, federal funds, or both State and
federal funds. This Act shall recognize that federal and
federal pass-through awards from the Department of
Transportation to units of local government are governed by
and must comply with federal guidelines under 2 CFR Part 200.
The changes made by this amendatory Act of the 102nd
General Assembly apply to pending actions as well as actions
commenced on or after the effective date of this amendatory
Act of the 102nd General Assembly.
(a-5) Nothing in this Act shall prohibit the use of State
funds for purposes of federal match or maintenance of effort.
(b) The terms and conditions of State, federal, and
pass-through awards apply to subawards and subrecipients
unless a particular Section of this Act or the terms and
conditions of the State or federal award specifically indicate
otherwise. Non-federal entities shall comply with requirements
of this Act regardless of whether the non-federal entity is a
recipient or subrecipient of a State or federal pass-through
award. Pass-through entities shall comply with the

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requirements set forth under the rules adopted under
subsection (a) of Section 20 of this Act, but not to any
requirements in this Act directed towards State or federal
awarding agencies, unless the requirements of the State or
federal awards indicate otherwise.
When a non-federal entity is awarded a cost-reimbursement
contract, only 2 CFR 200.330 through 200.332 are incorporated
by reference into the contract. However, when the Cost
Accounting Standards are applicable to the contract, they take
precedence over the requirements of this Act unless they are
in conflict with Subpart F of 2 CFR 200. In addition, costs
that are made unallowable under 10 U.S.C. 2324(e) and 41
U.S.C. 4304(a), as described in the Federal Acquisition
Regulations, subpart 31.2 and subpart 31.603, are always
unallowable. For requirements other than those covered in
Subpart D of 2 CFR 200.330 through 200.332, the terms of the
contract and the Federal Acquisition Regulations apply.
With the exception of Subpart F of 2 CFR 200, which is
required by the Single Audit Act, in any circumstances where
the provisions of federal statutes or regulations differ from
the provisions of this Act, the provision of the federal
statutes or regulations govern. This includes, for agreements
with Indian tribes, the provisions of the Indian
Self-Determination and Education and Assistance Act, as
amended, 25 U.S.C. 450-458ddd-2.
(c) State grant-making agencies may apply subparts A

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through E of 2 CFR 200 to for-profit entities, foreign public
entities, or foreign organizations, except where the awarding
agency determines that the application of these subparts would
be inconsistent with the international obligations of the
United States or the statute or regulations of a foreign
government.
(d) 2 CFR 200.101 specifies how 2 CFR 200 is applicable to
different types of awards. The same applicability applies to
this Act.
(e) (Blank).
(f) For public institutions of higher education, the
provisions of this Act apply only to awards funded by federal
pass-through awards from a State agency to public institutions
of higher education. This Act shall recognize provisions in 2
CFR 200 as applicable to public institutions of higher
education, including Appendix III of Part 200 and the cost
principles under Subpart E.
(g) Each grant-making agency shall enhance its processes
to monitor and address noncompliance with reporting
requirements and with program performance standards. Where
applicable, the process may include a corrective action plan.
The monitoring process shall include a plan for tracking and
documenting performance-based contracting decisions.
(h) Notwithstanding any provision of law to the contrary,
grants awarded from federal funds received from the federal
Coronavirus State Fiscal Recovery Fund in accordance with

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Section 9901 of the American Rescue Plan Act of 2021 are
subject to the provisions of this Act, but only to the extent
required by Section 9901 of the American Rescue Plan Act of
2021 and other applicable federal law or regulation.
(i) This Act does not apply to the Department of
Agriculture's Soil and Water Conservation District Grants
Program.
(Source: P.A. 101-81, eff. 7-12-19; 102-16, eff. 6-17-21;
102-626, eff. 8-27-21; 102-813, eff. 5-13-22; 102-1092, eff.
6-10-22.)
Section 15. The Soil and Water Conservation Districts Act
is amended by adding Sections 3.24, 3.25, 3.26, 3.27, 22.03a,
22.03b, 22.03c, and 22.03d as follows:
(70 ILCS 405/3.24 new)
Sec. 3.24. "Healthy soils practices" means systems of
agricultural, forestry, and land management practices that:
(1) improve the health of soils, including, but not
limited to, consideration of depth of topsoil horizons,
water infiltration rate, water-holding capacity, organic
matter content, biologically accessible nutrient content,
bulk density, biological activity, and biological and
microbiological diversity;
(2) follow the principles of: minimizing soil
disturbance and external inputs; keeping soil covered;

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maximizing biodiversity; diversifying crop rotations;
maximizing presence of living roots; integrating animals
and insects into land management, including grazing
animals, birds, beneficial insects, or keystone species,
such as earthworms; and incorporating the context of local
conditions in decision-making, including, for example,
soil type, topography, and time of year; and
(3) include practices such as tillage or no-till,
cover-cropping, perennialization of highly erodible land,
precision nitrogen and phosphorus application, managed
grazing, integrated crop-livestock systems, silvopasture,
agroforestry, perennial crops, integrated pest management,
nutrient best management practices, invasive species
removal and the planting of native species and those
practices recommended by the United States Department of
Agriculture's Natural Resources Conservation Service -
Field Office Technical Guide.
(70 ILCS 405/3.25 new)
Sec. 3.25. "Soil health assessment" means soil health
indicator measures, including, but not limited to, soil
organic matter, soil structure, infiltration and bulk density,
water-holding capacity, microbial biomass, and soil
respiration.
(70 ILCS 405/3.26 new)

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Sec. 3.26. "Initiative" means the Illinois Healthy Soils
Initiative.
(70 ILCS 405/3.27 new)
Sec. 3.27. "Healthy soil" means the continuing capacity of
a soil to function as a vital, living biological system that
sustains plants, animals, and humans, increases soil organic
matter, improves soil structure and water-holding and
nutrient-holding capacity and nutrient cycling, enhances water
infiltration and filtration capability, promotes water
quality, and results in net long-term ecological benefits.
"Healthy soil" includes soil that hosts a diversity of
beneficial organisms, grow vigorous crops, enhance
agricultural resilience, including the ability of crops and
livestock to tolerate and recover from drought, temperature
extremes, extreme precipitation events, pests, diseases, and
other stresses, break down harmful chemicals, and help convert
organic residues into stable soil organic matter and retaining
nutrients, especially nitrogen and phosphorus.
(70 ILCS 405/22.03a new)
Sec. 22.03a. Illinois Healthy Soils Initiative.
(a) The Illinois Healthy Soils Initiative is created. It
is the purpose of the Initiative to improve the health of soils
through efforts that improve soil and water quality, increase
the resilience of ecosystems to extreme weather events,

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protect and improve agricultural productivity, and support
aquatic and wildlife habitat.
The Initiative shall be administered by the Director of
Agriculture with consultation from soil and water conservation
districts, the Illinois Environmental Protection Agency, the
Department of Natural Resources, and the University of
Illinois Extension Program. The Department shall create
guidelines and guidance to assist soil and water conservation
districts in developing soil health assessments in order to
identify desired capacity and funding levels and establish
regular, measurable, cost-effective, and technically
achievable goals to advance voluntary and incentive-based
strategies that improve healthy soils. These assessments shall
be used to identify opportunities to access financial and
technical assistance from local, State, and federal sources to
guide resources to their best potential use.
The Initiative shall complement and improve coordination
of existing resources and processes and shall not replace
existing, local, State, or federal funding or technical
assistance programs. The Department shall report on progress
of the Initiative annually.
The Initiative shall promote voluntary and incentive-based
soil health efforts. No part of this Section shall be used to
impose mandates or require practice adoption.
(70 ILCS 405/22.03b new)

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Sec. 22.03b. Guidelines for soil health assessments. The
Department shall adopt and revise guidelines to assist soil
and water conservation districts in determining local goals
and needs for implementing soil health assessments.
In developing its guidelines to assist soil and water
conservation districts in determining local goals and needs
for soil health assessments, the Department shall consider:
(1) county and State levels of conservation practice
adoption. Guidance should also be provided to districts to
meet USDA Natural Resource Conservation Service determined
conservation practice standards or Illinois Urban Manual
Practice Standards;
(2) information regarding beginning, socially
disadvantaged, and veteran farmers and ranchers, as well
as disadvantaged communities;
(3) availability of State, federal, and private
financial and technical assistance programs to soil and
water conservation districts, local governments, and
conservation partners; and
(4) opportunities for evaluating results-based
practices utilizing tools, such as the U.S. Department of
Agriculture's revised universal soil loss equation, that
model environmental outcomes at the field, county,
watershed, or State level.
The information collected through the development of the
guidelines shall be compiled and provided to the soil and

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water conservation districts to inform the development of
local soil health assessments.
Initial guidelines shall be completed and provided to soil
and water conservation districts annually and shall include
the grant agreement for the Soil and Water Conservation
District Grants Program as well as outlining the funding
resource support contained within the grant agreement to
better inform the development of local soil health
assessments.
(70 ILCS 405/22.03c new)
Sec. 22.03c. Local soil health assessments. Upon the
adoption of guidelines described in Section 22.03b, each soil
and water conservation district shall develop annually its own
soil health assessment to guide voluntary and incentive-based
strategies to improve soil health. The soil health assessment
shall be technically feasible and economically reasonable.
The Department shall provide a template to the districts
for the local soil health assessment, including the required
information listed in this Section as well as information
regarding available data and support materials collected as
the guidance information listed in Section 25.
Each district is encouraged to collaborate with other
local governmental entities and local stakeholders in
developing and implementing its soil health assessment. Each
district shall use the guidelines provided by the Department

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in developing its soil health assessment.
Upon the request of a district, the Department may assist
in the preparation of the district's soil health assessment.
Districts may also work collaboratively to establish joint
plans to leverage existing capacity and resources most
effectively.
To carry out its assessment, a district shall identify
soil health practices. The soil health assessment must
consider opportunities to access, leverage, and use State and
federal resources within a specific soil and water
conservation district service area.
Soil and water conservation districts may also convene
producer-led dialogues to identify special initiatives or
pilot projects to leverage additional resources and implement
soil health practices at scale across multiple operations and
land ownerships.
In developing a soil health assessment, the soil and water
conservation district shall:
(1) evaluate existing assets, such as current
practices, current cropping systems, crop processing and
market infrastructure, riparian buffers, wetlands, public
lands, funding, education, research and peer-to-peer
training opportunities, and existing partnerships;
(2) consider the eligible funding categories available
through the Partners for Conservation Fund and the
district's ability to advance healthy soils practices

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consistent with Natural Resource Conservation Service soil
health principles within a soil and water conservation
district service area;
(3) determine vulnerabilities, such as runoff risk,
riparian function, stormwater, floodplains and stream
impairments, and observed and predicted impacts from
climate change, especially to socially disadvantaged
farmers, ranchers, and communities;
(4) identify opportunities to conduct outreach to
agricultural producers and landowners and to develop
individual soil health plans;
(5) establish goals for achieving measurable outcomes
for soil health and farmer viability through voluntary and
incentive-based activities. This includes identifying
opportunities to support beginning, socially
disadvantaged, and veteran farmers as well as small and
mid-scale farmers;
(6) estimate 2-year funding levels needed from State,
federal and private sources in order to achieve goals; and
(7) identify opportunities to develop partnerships and
leverage resources from local governments, utilities, and
State and federal agencies.
The Department shall identify shared goals and priorities
between districts and shall assist in developing partnerships
and shared funding approaches to maximize capacity and
resources. Initial soil health assessments shall be submitted

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to the Department by September 1, 2024.
(70 ILCS 405/22.03d new)
Sec. 22.03d. Compliance and standards; cost sharing. To be
eligible to receive State cost-share support after September
1, 2024, soil and water conservation districts shall have an
updated soil health assessment.
The Department shall update its rules and procedures for
cost-share funding to be inclusive of all relevant soil health
practices promoting the rapid adoption of cost-effective and
technically feasible projects. Updates to the rules and
procedures for State cost-share programs shall also address
barriers to access experienced by beginning, socially
disadvantaged, and veteran farmers.
The Department may require results-based practices or the
assessments of the environmental outcomes of projects, at the
field or county level, as a condition of cost-share funding.
Section 99. Effective date. This Act takes effect upon
becoming law.