WeVote
Log In

Bill

Bill

SB 3247

FINANCE-IFA ETHICS

104th Regular Session Introduced by Elgie Sims

The bill strengthens IFA governance by tightening conflicts-of-interest rules, requiring abstention when there’s financial interest, and aligning ethics provisions while keeping bo

Rule 2-10 Committee/3rd Reading Deadline Established As May 15, 2026
0
WeVote Research Nonpartisan
Bill Summary · SB 3247

Summary of SB 3247 (104th General Assembly, Illinois)

Purpose and intent

SB 3247 amends the Illinois Finance Authority Act to tighten governance and strengthen conflicts-of-interest rules for the Illinois Finance Authority (IFA) as it finances Clean Coal, Coal, Energy Efficiency, PACE, and Renewable Energy projects. The bill also clarifies bonding limits, excludes certain refunding bonds from those limits, and adjusts provisions related to prohibited financial interests and related ethics standards.

Key aims:
- Clarify that aggregate bond limits apply to outstanding bonds (not merely issued bonds) and exclude bonds issued to refund the Authority or predecessor authorities.
- strengthen prohibitions on financial interests and voting participation for IFA members, officers, and employees.
- align certain ethics provisions with the Public Officer Prohibited Activities Act while explicitly carving out or distinguishing the IFA from some provisions.

Main provisions and changes

Bonding and financing (Section 825-65)

  • The IFA may issue bonds for Clean Coal, Coal, Energy Efficiency, PACE, and Renewable Energy projects, with a combined outstanding principal not exceeding $3,000,000,000.
  • Sub-limits:
    • Up to $300,000,000 may be outstanding for projects described in Clean Coal/Coal or related transmission and CCS/carbon abatement facilities.
    • Up to $500,000,000 may be outstanding for projects described in transmission, scrubber, or related technologies (Energy Efficiency or Renewable Energy categories).
    • Up to $2,000,000,000 may be outstanding for Clean Coal and Coal Projects.
    • Up to $2,000,000,000 may be outstanding for Energy Efficiency, Renewable Energy, and PACE Projects.
  • These limits exclude bonds issued to refund existing bonds (refunding bonds) or bonds of predecessor authorities.
  • Borrower loan approvals are capped at $450,000,000 for any single borrower or its affiliates.
  • Location requirements: Clean Coal/Coal/PACE projects must be in Illinois; Energy Efficiency projects may be domestic or, if outside Illinois, must be owned/operated/leased/managed by an Illinois-based entity or affiliated entity.
  • Bonds are stated not to constitute state indebtedness; pay from revenues or assets of the Authority.

Conflicts of interest and ethics (Section 845-45)

  • Prohibits any IFA member, officer, or employee from having a financial interest in contracts they participate in or vote on.
  • Requires abstention from deliberation or voting when a financial interest exists; abstainers are counted for quorum purposes.
  • Adds clarifications on disclosure, abstention, and handling of contracts to prevent improper influence.
  • Permits certain exemptions and disqualification rules for indirect interests, small-dollar contracts, and not-for-profit/public body scenarios, with disclosure and recusal requirements.
  • The section cross-references and aligns with the Public Officer Prohibited Activities Act, Procurement Code, and related ethics guidance, while noting that some provisions may be interpreted or supplemented by Authority-specific policies.

Public Officer Prohibited Activities Act (Section 3)

  • SB 3247 amends to preserve IFA-specific exemptions while maintaining core prohibitions against financial interest in contracts, ensuring consistency with broader state ethics laws for IFA governance.

Who is affected

  • Illinois Finance Authority: its members, officers, and employees are directly affected by strengthened conflict-of-interest and disclosure requirements.
  • Borrowers and project developers engaged with IFA financing: subject to caps on loan sizes and bond amounts; requirements on where projects may be located or owned.
  • The public and state agencies: enhanced governance transparency and potential impact on bid processes and contract awards involving IFA.

Procedural and timeline notes

  • Introduced February 3, 2026, by Sen. Elgie R. Sims, Jr., with a co-sponsor.
  • Referred to Ethics and then to Executive; amendments filed (Senate Committee Amendment No. 1) and pending committee actions as of the latest update.
  • Notable procedural markers include Rule 2-10 deadlines for committee consideration (latest deadlines shown: April 24, 2026; May 15, 2026 for Rule 2-10 deadline).

Practical implications

  • Financial governance: clearer, more stringent controls on conflicts of interest may affect how IFA contracts are reviewed and awarded, potentially slowing processes or increasing the need for disclosures and recusals.
  • Financing capacity: maintaining the bonding caps provides a framework for planning large-scale infrastructure and energy projects within Illinois, while excluding refunding bonds from limits preserves flexibility for refinancings.
  • Accountability: enhanced ethics provisions aim to bolster public trust in IFA operations and project financing.

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

Sign in to ask a question.