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Full Text of HB5374
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HB5374 - 104th General Assembly
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104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB5374
Introduced 2/10/2026, by Rep. Robyn Gabel
SYNOPSIS AS INTRODUCED:
415 ILCS 5/39.16 new
415 ILCS 155/18 new
Amends the Environmental Protection Act. Makes findings about the
imposition of disproportionate and adverse effects on communities in areas
of environmental justice concern. Defines terms. Applies to the following
permits for which an owner or operator applies on or after January 1, 2026:
(1) a construction permit for a new source that is to be located in an area
of environmental justice concern and that is required to obtain from the
Agency a CAAPP permit or a Federally Enforceable State Operating Permit;
(2) a construction permit for any existing source that is located in an
area of environmental justice concern, that possesses a CAAPP permit or a
Federally Enforceable State Operating Permit issued by the Agency, and
that seeks an increase in annual permitted emissions; or (3) a
construction permit for any existing source that is located in an area of
environmental justice concern, that seeks an increase in annual permitted
emissions, and that will for the first time require a new CAAPP permit or a
Federally Enforceable State Operating Permit issued by the Agency.
Requires the Environmental Protection Agency to evaluate the application
for affects on environmental justice and may suggest additional testing or
changes in the application. Requires that the Agency to conduct an
evaluation of the prospective owner's or operator's prior experience in
owning and operating sources of air pollution before it may issue a
construction permit. Makes other changes. Creates the Office of
Environmental Justice within the Environmental Protection Agency.
Effective immediately.
LRB104 13646 RTM 26289 b
A BILL FOR
HB5374
LRB104 13646 RTM 26289 b
1
AN ACT concerning safety.
2
Be it enacted by the People of the State of Illinois,
3
represented in the General Assembly:
4
Section 5.
The Environmental Protection Act is amended by
5
adding Section 39.16 as follows:
6
(415 ILCS 5/39.16 new)
7
Sec. 39.16.
Air Pollution Control Construction Permitting
8
in Areas of Environmental Justice Concern.
9
(a) Legislative Findings. The General Assembly finds that:
10
(1) all residents of this State have a right to a
11
healthful environment under Article XI of the Illinois
12
Constitution of 1970;
13
(2) no community should bear disproportionate and
14
adverse effects from pollution;
15
(3) in 2024, the Agency entered in an Informal
16
Resolution Agreement with the United States Environmental
17
Protection Agency requiring, among other things,
18
enhancements to its permit review process for certain
19
permit transactions in areas of environmental justice
20
concern; and
21
(4) such enhancements to the Agency's permit review
22
process are necessary to avoid the imposition of
23
disproportionate and adverse effects to communities in
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LRB104 13646 RTM 26289 b
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areas of environmental justice concern, as such areas are
2
identified herein.
3
The provisions of this Section shall be liberally
4
construed to carry out the purposes of this Section.
5
(b) Definitions. For purposes of this Section:
6
"Area of environmental justice concern" or "area of EJ
7
concern" means a geographical area, the population of which
8
potentially experiences disproportionate environmental harms
9
and risks as a result of both environmental and socioeconomic
10
conditions that may act cumulatively to affect health and the
11
environment and contribute to persistent environmental health
12
disparities. "Area of EJ concern" shall include all census
13
block groups, and all areas within one mile of such census
14
block groups, identified and updated by the Agency on a
15
triennial basis as being within the top 25% of census blocks
16
statewide, scored by multiplying each census block group's
17
average statewide percentile for each of the following
18
environmental indicators, by the census block group's average
19
statewide percentile for each of the following socioeconomic
20
indicators:
21
Environmental indicators:
22
(1) annual average concentration of particulate matter
23
less than 2.5 microns or smaller in diameter;
24
(2) annual average concentration of ozone;
25
(3) annual average concentration of nitrogen dioxide;
26
(4) annual average concentration of diesel particulate
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matter;
2
(5) annual average toxicity-weighted concentrations of
3
Toxic Release Inventory-listed chemicals;
4
(6) vehicle traffic;
5
(7) drinking water violations that have not been
6
returned to compliance;
7
(8) percentage of housing units built pre-1960;
8
(9) number of proposed or listed National Priorities
9
List sites;
10
(10) number of facilities with Risk Management Plans;
11
(11) number of treatment, storage, and disposal and
12
large-quantity generator hazardous waste facilities;
13
(12) number of leaking underground storage tanks and
14
underground storage tanks; and
15
(13) toxics concentrations at stream segments.
16
Socioeconomic indicators - percentage of population:
17
(1) with household income less than or equal to twice
18
the federal poverty level;
19
(2) unemployed;
20
(3) living in limited English proficiency households;
21
(4) aged 25 or older whose education is short of a high
22
school diploma;
23
(5) under the age of 5; and
24
(6) over the age of 64.
25
Environmental indicators (7) through (13) are given half
26
the weight of environmental indicators (1) through (6) in
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calculating the averaged percentile.
2
(c) Applicability. This Section applies to the following
3
permits for which an owner or operator applies on or after
4
January 1, 2026:
5
(1) a construction permit for a new source that is to
6
be located in an area of EJ concern and that will require a
7
Clean Air Act Permit Program permit, or a Federally
8
Enforceable State Operating Permit issued by the Agency
9
under Section 39.5 of this Act;
10
(2) a construction permit for any existing source that
11
is located in an area of EJ concern, that possesses a Clean
12
Air Act Permit Program permit, or a Federally Enforceable
13
State Operating Permit issued by the Agency under Section
14
39.5 of this Act and that seeks an increase in annual
15
permitted emissions; or
16
(3) a construction permit for any existing source that
17
is located in an area of EJ concern, that seeks an increase
18
in annual permitted emissions and that will require a new
19
Clean Air Act Permit Program permit, or a Federally
20
Enforceable State Operating Permit issued by the Agency
21
under Section 39.5 of this Act for the first time.
22
(d) Review of permit applications; notifications. Upon
23
receipt of an air pollution control construction permit
24
application, the Agency shall evaluate the application to:
25
(1) determine whether the source falls within an area
26
of EJ concern. Based on this review, the Agency shall send
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an EJ notification letter to elected officials, community
2
groups, and individuals who have requested to be notified,
3
to provide information about the proposed project and how
4
an individual can request a public hearing on a permit
5
application;
6
(2) determine whether emissions increases from the
7
proposed project can be reduced or voluntarily limited by
8
the applicant to avoid or minimize potential impacts to
9
any affected area(s) of EJ concern. This includes, but is
10
not limited to, establishment of lower thresholds for
11
potential-to-emit, installation of alternative pollution
12
controls, and decreased utilization of other units at the
13
facility; and
14
(3) determine the need for the applicant to conduct
15
additional air quality modeling to confirm that the
16
project will not threaten or compromise existing National
17
Ambient Air Quality Standards or other applicable
18
standards appropriate for comparison with other pollutants
19
of concern.
20
(e) Permit enhancements.
21
(1) The Agency shall evaluate and, if necessary to
22
comply with this Act, include appropriate permit
23
enhancements to address potential impacts to an area of EJ
24
concern. These enhancements may include, but are not
25
limited to:
26
(A) improved air monitoring systems, including
HB5374
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parametric and continuous monitoring systems;
2
(B) development of a fugitive dust operating
3
program/plan or enhancements to an existing
4
program/plan;
5
(C) operational requirements to establish limits
6
on potential-to-emit or to demonstrate source
7
compliance with an emission rate;
8
(D) increased use or frequency of emissions
9
testing;
10
(E) development of enforceable requirements to go
11
into the construction permit to assure that the source
12
meets modeling assumptions used in the air quality
13
modeling (including hours of operation, operating
14
requirements, operating schedule, meteorological
15
assumptions, property boundaries, etc.);
16
(F) development of an odor control plant to
17
identify and mitigate potential off-site odor impacts
18
from the project;
19
(G) development of odor monitoring of third-party
20
complaints, including a process for tracking
21
complaints and inspecting affected process operations
22
known to be capable of causing air pollution;
23
(H) discretionary use of prior adjudications of
24
violations of this Act and regulations adopted
25
thereunder by the applicant that involve a release of
26
a contaminant into the environment in evaluating the
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permit application;
2
(I) discretionary use of reasonable conditions
3
specifically related to an applicant's past compliance
4
history with this Act and regulations adopted
5
thereunder as necessary to correct, detect, or prevent
6
noncompliance;
7
(J) use of pollution prevention techniques; or
8
(K) applicant outreach, independent of the permit
9
review process, with the affected community.
10
(2) The Agency may also conduct further analysis, as
11
needed, to inform its permit decision, including:
12
(A) consideration of information relating to other
13
sources permitted by the Agency or the United States
14
Environmental Protection Agency;
15
(B) information relating to regulated sources
16
under State or federal environmental laws;
17
(C) data bearing upon the classification of an
18
area of EJ concern;
19
(D) location of sensitive populations or places
20
near the proposed facility, including schools,
21
hospitals, day care centers, and culturally
22
significant resources;
23
(E) factors that may increase community exposure
24
or vulnerability as compared to other populations; or
25
(F) consultation with the United States
26
Environmental Protection Agency or other state and
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federal regulatory authorities regarding additional
2
areas of study.
3
(3) If the Agency's analysis described in this Section
4
shows disproportionate and adverse effects, the Agency
5
shall consider making additional refinements to the
6
project emissions analysis, air quality modeling, or
7
permit enhancements; prioritizing compliance inspections
8
and any resulting enforcement initiatives of an
9
applicant's existing permitted source or other
10
contributing sources to the affected area, with the aim of
11
reducing existing adverse impacts; prioritizing grant
12
funding for projects in the affected community; and
13
conducting consultations with the United States
14
Environmental Protection Agency or other state and federal
15
agencies relating to potential mitigation options,
16
including fence-line monitoring, risk assessments, or
17
rulemakings.
18
(e) Issuance of permits; prohibitions.
19
(1) The Agency shall not issue a construction permit
20
identified in Section 39.16(2) of this Act unless the
21
Agency conducts an evaluation of the prospective owner's
22
or operator's prior experience in owning and operating
23
sources of air pollution. The Agency may deny the permit
24
if the prospective owner or operator or any board member
25
has a history of:
26
(A) repeated violations of federal, State, or
HB5374
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local laws, rules, regulations, standards, or
2
ordinances in the ownership or operation of sources of
3
air pollution;
4
(B) conviction in this State, another state, or
5
federal court of knowingly submitting false
6
information under any environmental law, rule,
7
regulation, or permit term or condition; or
8
(C) proof of gross carelessness or incompetence in
9
the ownership or operation of a source of air
10
pollution.
11
(2) In making its determination on permit applications
12
identified in Section 39.16(2) of this Act, the Agency
13
shall consider prior adjudications of noncompliance with
14
this Act and regulations adopted thereunder by the
15
applicant. In granting permits, the Agency shall consider
16
whether to impose reasonable conditions specifically
17
related to the applicant's past compliance history with
18
this Act and regulations adopted thereunder as necessary
19
to correct, detect, or prevent noncompliance. This may
20
include consideration of:
21
(A) information contained within USEPA's and the
22
Agency's environmental compliance tracking system;
23
(B) information submitted in public comments to a
24
construction permit application pending review;
25
(C) judicial or administrative consent decrees or
26
compliance orders that are entered into, or issued by,
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USEPA involving requirements of the Illinois State
2
Implementation Plan; or
3
(D) information relating to State-only compliance
4
history.
5
(3) The Agency shall prepare a written analysis of its
6
evaluation of compliance enforcement history, as well as
7
any additional civil rights analysis or mitigation
8
measures undertaken. The analysis shall be prepared before
9
a notice of public comment or hearing concerning a draft
10
construction permit and must be posted among the documents
11
available on the Agency's public notice website or public
12
repository. If no public participation is provided for
13
under Agency rules, the analysis shall be posted to the
14
Agency's public notice webpage at the time of permit
15
issuance.
16
(g) Severability. If any provision of this Section or its
17
application to any person or circumstance is held invalid, the
18
invalidity of that provision or application does not affect
19
other provisions or applications of this Section that can be
20
given effect without the invalid provision or application.
21
Section 10.
The Environmental Justice Act is amended by
22
adding Section 18 as follows:
23
(415 ILCS 155/18 new)
24
Sec. 18.
Office of Environmental Justice.
An Office of
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LRB104 13646 RTM 26289 b
1
Environmental Justice is established within the Illinois
2
Environmental Protection Agency. The Office shall coordinate
3
the integration of environmental justice into Agency programs
4
and activities, oversee implementation of language access
5
policies, and provide enhanced public outreach to areas of
6
environmental justice concern. The Director shall appoint an
7
Environmental Justice Officer within the Office of
8
Environmental Justice to administer the Office.
9
Section 97.
Severability.
If any provision of this
10
Amendatory Act of the 104th General Assembly or its
11
application to any person or circumstance is held invalid, the
12
invalidity of that provision or application does not affect
13
other provisions or applications of this Amendatory Act of the
14
104th General Assembly that can be given effect without the
15
invalid provision or application.
16
Section 99.
Effective date.
This Act takes effect upon
17
becoming law.
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