Saturday, November 21, 2009 East Central Illinois

Frerichs giving energy bill a push in committee

By Steve Bauer
Thursday, November 5, 2009 9:16 AM CDT

A bill aimed at making alternative energy resources into a local revenue source isn't exactly sailing, but supporters are hoping for a brighter future.

State Sen. Michael Frerichs, D-Champaign, is a co-sponsor and organized a hearing last week in Champaign for the Renewable Energy Production District Act. The bill, HB3646, sponsored by Rep. Bill Black, R-Danville, in the House, is now in the Senate Energy Committee.

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The legislation, introduced in February, would allow a county to create a district and governing board to build and operate a renewable power facility. Those could include wind, solar, hydroelectric or other energy generation, such as livestock or food waste. The district can sell the energy, with all the money going to the county government where the district is located.

The revised legislation could again be considered when the Legislature begins a new session in January. The bill passed the Illinois House in March, 114-0, but was held up in the Senate Energy Committee in May. Later that month, Frerichs became a co-sponsor in the Senate.

"If we are going to pass it through the Energy Committee, they are going to have some changes made," Frerichs said.

Black said he thinks the bill "could well end up on the governor's desk to sign in some form."

"I don't think there's anything in the bill that can't be repairable," Black said.

One of the questions being raised is who will appoint the renewable energy district board, he said.

And the legislation does not spell out how the money from the district can be used.

"You can't use the money for anything unless it's spelled out," Black said.

There is a lot of interest in the bill, because instead of alternative-energy revenue going out of the county – or, in some cases, out of the country – it will benefit the local community, Black said.

"This bill has some features that have a lot of people interested," Black said.

The district can hire a company to build and operate an energy facility and the power would be delivered on existing utility lines, but the income from the sale of the energy would go to the district. The money could be used to lower property taxes, according to Black.

Jim Rusk, township supervisor in Rantoul who has been a driving force in developing the legislation, said, "It's really the mechanics of the bill that have some concerns for some people. Hopefully, we can get together and fine- tune it for the spring session."

"My entire intent is to provide property tax relief," Rusk said. "Our schools are really hurting."

"What excites me is the ability to put some money into our schools and property tax relief," Frerichs said.

Frerichs said the effect of any one district will depend on the size of the facility and how much energy it can generate.

"We're looking at something significant," he said. "It will generate millions of dollars."

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