Bill Text: IL SB2306 | 2025-2026 | 104th General Assembly | Introduced

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Bill Title: Amends the Illinois Finance Authority Act. In provisions concerning powers and duties of the Illinois Finance Authority in furtherance of its clean energy powers and purposes, provides that the Authority shall have the power to utilize certain funding sources for clean water, drinking water, and wastewater treatment or climate resilience projects. Amends the Climate Bank Loan Financing Act. Defines "climate resilience project" to mean a project to reduce hazards or risks to people and property from future disasters or climate-related conditions. Provides that "climate resilience project" includes, but is not limited to, projects that ensure access to clean water and drinking water, support wastewater treatment or resiliency of other essential infrastructure and other projects that reduce the potential impact of disasters or climate change. Adds climate resilience projects to provisions concerning clean energy infrastructure projects and authority to issue bonds. Effective immediately.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2025-02-07 - Referred to Assignments [SB2306 Detail]

Download: Illinois-2025-SB2306-Introduced.html

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104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB2306 Introduced 2/7/2025, by Sen. Rachel Ventura SYNOPSIS AS INTRODUCED:
20 ILCS 3501/850-10
30 ILCS 445/5
30 ILCS 445/10
30 ILCS 445/35
Amends the Illinois Finance Authority Act. In provisions concerning powers and duties of the Illinois Finance Authority in furtherance of its clean energy powers and purposes, provides that the Authority shall have the power to utilize certain funding sources for clean water, drinking water, and wastewater treatment or climate resilience projects. Amends the Climate Bank Loan Financing Act. Defines "climate resilience project" to mean a project to reduce hazards or risks to people and property from future disasters or climate-related conditions. Provides that "climate resilience project" includes, but is not limited to, projects that ensure access to clean water and drinking water, support wastewater treatment or resiliency of other essential infrastructure and other projects that reduce the potential impact of disasters or climate change. Adds climate resilience projects to provisions concerning clean energy infrastructure projects and authority to issue bonds. Effective immediately.
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A BILL FOR
SB2306 LRB104 08151 HLH 18199 b
AN ACT concerning finance.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Finance Authority Act is amended
by changing Section 850-10 as follows:
(20 ILCS 3501/850-10)
Sec. 850-10. Powers and duties.
(a) The Authority shall have the powers enumerated in this
Act to assist in the development and implementation of clean
energy in the State. The powers enumerated in this Article
shall be in addition to all other powers of the Authority
conferred in this Act, including those related to clean energy
and the provision of clean water, drinking water, and
wastewater treatment. The powers of the Authority to issue
bonds, notes, and other obligations to finance loans
administered by the Illinois Environmental Protection Agency
under the Public Water Supply Loan Program or the Water
Pollution Control Loan Program or other similar programs shall
not be limited or otherwise affected by this amendatory Act of
the 102nd General Assembly.
(b) In its role as the Climate Bank of the State, the
Authority shall have the power to: (i) administer programs and
funds appropriated by the General Assembly for clean energy

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projects in eligible communities and environmental justice
communities or owned by eligible persons, (ii) support
investment in the clean energy and clean water, drinking
water, and wastewater treatment, (iii) support and otherwise
promote investment in clean energy projects to foster the
growth, development, and commercialization of clean energy
projects and related enterprises, and (iv) stimulate demand
for clean energy and the development of clean energy projects.
(c) In addition to, and not in limitation of, any other
power of the Authority set forth in this Section or any other
provisions of the general statutes, the Authority shall have
and may exercise the following powers in furtherance of or in
carrying out its clean energy powers and purposes:
(1) To enter into joint ventures and invest in and
participate with any person, including, without
limitation, government entities and private corporations,
engaged primarily in the development of clean energy
projects, provided that members of the Authority or
officers may serve as directors, members, or officers of
any such business entity, and such service shall be deemed
to be in the discharge of the duties or within the scope of
the employment of any such member or officer, or Authority
or officers, as the case may be, so long as such member or
officer does not receive any compensation or direct or
indirect financial benefit as a result of serving in such
role.

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(2) To utilize funding sources, including, but not
limited to:
(A) funds repurposed from existing programs
providing financing support for clean energy projects,
clean water, drinking water, and wastewater treatment,
or climate resilience projects, provided any transfer
of funds from such existing programs shall be subject
to approval by the General Assembly and shall be used
for expenses of financing, grants, and loans;
(B) any federal or other funds that can be used for
clean energy purposes, clean water, drinking water,
and wastewater treatment, or climate resilience
projects;
(C) charitable gifts, grants, and contributions as
well as loans from individuals, corporations,
university endowment funds, and philanthropic
foundations for clean energy projects or for the
provision of clean water, drinking water, and
wastewater treatment or climate resilience projects;
and
(D) earnings and interest derived from financing
support activities for clean energy projects financed
by the Authority.
(3) To enter into contracts with private sources to
raise capital.
(d) The Authority may finance working capital, refinance

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outstanding indebtedness of any person, and otherwise assist
in the investment of equity from any source, public or
private, in connection with clean energy projects or any other
projects authorized by this Act.
(e) The Authority may assess reasonable fees on its
financing activities to cover its reasonable costs and
expenses, as determined by the Authority.
(f) The Authority shall make information regarding the
rates, terms and conditions for all of its financing support
transactions available to the public for inspection, including
formal annual reviews by both a private auditor and the
Comptroller, and providing details to the public on the
Internet, provided public disclosure shall be restricted for
patentable ideas, trade secrets, and proprietary or
confidential commercial or financial information, disclosure
of which may cause commercial harm to a nongovernmental
recipient of such financing support and for other information
exempt from public records disclosure pursuant to Section
1-210.
(Source: P.A. 102-662, eff. 9-15-21.)
Section 10. The Climate Bank Loan Financing Act is amended
by changing Sections 5, 10, and 35 as follows:
(30 ILCS 445/5)
Sec. 5. Definitions. As used in this Act:

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"Alternate bonds", "applicable law", "bond", "general
obligation bonds", "limited bonds", "governmental unit",
"revenue bonds", "enterprise revenues", and "revenue source"
have the respective meanings set forth in Section 3 of the
Local Government Debt Reform Act.
"Clean energy infrastructure project" means:
(i) a project that uses renewable energy resources, as
defined in Section 1-10 of the Illinois Power Agency Act;
(ii) an energy efficiency project;
(iii) a project that uses technology for the storage
of renewable energy, including, without limitation, the
use of battery or electrochemical storage technology for
mobile or stationary applications;
(iv) a project for the acquisition or repairs of
electric vehicles;
(v) a project for the acquisition, construction, or
repairs to electric vehicle charging stations; and
(vi) a building electrification project of replacing
fossil fuels with electricity to meet a given end use.
"Climate resilience project" means a project to reduce
hazards or risks to people and property from future disasters
or climate-related conditions. "Climate resilience project"
includes, but is not limited to, projects that ensure access
to clean water and drinking water, support wastewater
treatment or resiliency of other essential infrastructure and
other projects that reduce the potential impact of disasters

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or climate change.
"Electric vehicle" means a vehicle that is exclusively
powered by and refueled by electricity, must be plugged in to
charge, and is licensed to drive on public roadways.
"Electric vehicle charging station" means a station that
delivers electricity from a source outside an electric vehicle
into one or more electric vehicles.
"Energy efficiency project" means measures that reduce the
amount of electricity, natural gas, or total Btu of
electricity or natural gas required to achieve or meet a given
end use, consistent with Section 1-10 of the Illinois Power
Agency Act.
"Governing body" means the council, board, commission, or
body, by whatever name it is known, having charge of the
finances of a governmental unit.
(Source: P.A. 103-1023, eff. 8-9-24.)
(30 ILCS 445/10)
Sec. 10. Clean energy infrastructure projects. A
governmental unit may own, construct, equip, manage, control,
erect, improve, extend, maintain, and operate new or existing
clean energy infrastructure projects and climate resilience
projects, may purchase real estate and any property rights to
be used for clean energy infrastructure projects, and may
charge for the use of clean energy infrastructure.
(Source: P.A. 103-1023, eff. 8-9-24.)

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(30 ILCS 445/35)
Sec. 35. Authority for issuance. The authority to issue
bonds by a governmental unit under this Act and applicable law
for clean energy infrastructure projects and climate
resilience projects is in addition to any other authority to
issue bonds by a governmental unit provided by law.
(Source: P.A. 103-1023, eff. 8-9-24.)
Section 99. Effective date. This Act takes effect upon
becoming law.