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HB 3290

EPA-UST FUND-DEDUCTIBLES

104th Regular Session Introduced by Anthony DeLuca and 4 co-sponsors

The act overhauls UST Fund reimbursements by setting a 120-day payment determination limit (deemed approved if missing) and a $10,000 deductible for pre‑2010 releases.

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Bill Summary · HB 3290

Summary — HB 3290 (Public Act 104-0291)

Status: Enacted (Public Act 104-0291). Governor approved August 15, 2025. Effective January 1, 2026. Companion: SB 1530.

Purpose

Amends Sections 57.8 and 57.9 of the Illinois Environmental Protection Act to (1) clarify the timing for Illinois EPA payment determinations from the Underground Storage Tank (UST) Fund and (2) change deductible rules for certain historic UST releases (reported before June 8, 2010).

Key provisions and changes

  • Payment-determination timing clarified:
    • For any Agency-approved plan and budget for which payment is sought, the Illinois EPA must make a payment determination within 120 days of receipt of both (a) the complete application for payment and (b) the report documenting completion of the approved activities — whichever is received later.
    • If the Agency fails to act within 120 days, the payment application is deemed approved by operation of law (subject to the limit that reimbursement cannot exceed the amount approved in the plan).
  • Deductible rule for pre‑June 8, 2010 releases:
    • For releases reported before June 8, 2010, an owner/operator may access the UST Fund for costs associated with an Agency‑approved plan that are incurred after the Act’s effective date, subject to a $10,000 deductible.
    • That $10,000 deductible is reduced by any deductible amounts previously applied to costs incurred before the effective date.
    • Only one deductible applies per UST site.
  • Maintains/clarifies existing procedural provisions:
    • Owners/operators may submit payment requests no more than once every 90 days.
    • If sufficient funds exist, the Agency forwards a voucher to the Comptroller within 60 days.
    • If funds are insufficient, the Agency creates a priority list (priority = date Agency receives a complete request) and provides monthly notifications.
    • Payment applications must include specified documentation (licensed professional certification, budget and expenditure statements, OSFM eligibility/deductibility determination, taxpayer ID/legal status, etc.).
    • The Board must adopt risk‑based regulations allowing owners/operators to defer corrective action until funds are available and set procedures for deferral, notification, and returning sites to active status.
    • Attorney General retains role in indemnification review for certain judgments/settlements.

Who is affected

  • Primary: UST owners and operators (including those with releases reported before June 8, 2010).
  • Secondary: Illinois EPA (administrative obligations), Office of the State Fire Marshal (eligibility/deductible determinations), Illinois Comptroller, Attorney General, contractors performing site investigation/corrective action.

Procedural/timeline notes

  • Bill introduced Feb 18–25, 2025; passed both chambers in May 2025; sent to governor June 20, 2025; approved Aug 15, 2025.
  • New requirements effective January 1, 2026.
  • Payment clock and deemed‑approval rule create predictable administrative timelines for reimbursement decisions.

Compiled from official sources — confirm details with the bill’s official record.

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