summary
Introduced
02/02/2026
02/02/2026
In Committee
02/06/2026
02/06/2026
Crossed Over
Passed
Dead
Introduced Session
104th General Assembly
Bill Summary
Amends the Public Utilities Act. In provisions concerning expenses that are recoverable by a public utility, provides that the Illinois Commerce Commission shall not consider as an expense of any public utility company, for the purpose of determining any rate or charge, any amount expended for political activity or lobbying, any amount expended for contributions to a trade association or a chamber of commerce, and any amount expended by a public utility for director and officer liability insurance and fiduciary liability insurance. Provides that, in determining whether the purchase of other types of insurance by a public utility is recoverable, the Commission shall determine whether the specific type of insurance is financially beneficial to the public utility's ratepayers or the public utility's shareholders. Provides that, if the Commission determines that the insurance purchased by the public utility is financially beneficial to its shareholders, then the purchase of the insurance shall not be a recoverable expense. Provides that goodwill or institutional advertising shall not be a recoverable expense by a public utility. Provides that the Commission shall deem as a nonrecoverable expense by a public utility (rather than the Commission shall specifically assess the justness and reasonableness of) any amount expended by a public utility to compensate attorneys or technical experts to prepare and litigate a general rate case filing. Provides that the amount that is deposited into the Consumer Intervenor Compensation Fund by a public utility shall not be a recoverable expense by the public utility. Provides that the computation of compensation awarded from the Fund shall take into consideration the market rates paid to persons of comparable training and experience who offer similar services, but may not exceed the comparable market rate for services paid by the public utility as part of its nonrecoverable rate case expense reported to the Commission (rather than as part of its rate case expense). Makes other changes.
AI Summary
This bill amends the Public Utilities Act to restrict the types of expenses that public utility companies can recover from their customers when setting rates. Specifically, it prohibits utilities from recovering costs associated with political activity, lobbying, contributions to trade associations or chambers of commerce, and director and officer liability insurance. For other types of insurance, utilities can only recover costs if the insurance is financially beneficial to ratepayers, not just shareholders. The bill also clarifies that goodwill or institutional advertising is not a recoverable expense. Furthermore, it changes how the Illinois Commerce Commission (ICC), the state agency that regulates utilities, handles attorney and expert fees for general rate case filings, deeming them nonrecoverable expenses rather than assessing their reasonableness. Finally, it modifies provisions related to the Consumer Intervenor Compensation Fund, which helps consumer representatives participate in rate cases, stating that utility contributions to this fund are not recoverable expenses and adjusting how compensation awarded from the fund is calculated to align with market rates but not exceed what utilities pay for similar services in their nonrecoverable rate case expenses.
Sponsors (2)
Last Action
Added Co-Sponsor Rep. Michelle Mussman (on 02/19/2026)
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