ILLINOIS POLLUTION CONTROL BOARD
January 6, 2005
SOUTHERN ILLINOIS POWER
COOPERATIVE
(Low Sulfur Dioxide Emission Coal Fueled
Device (Property Identification Number
10-26-200-002)),
Petitioner,
v.
ILLINOIS ENVIRONMENTAL
PROTECTION AGENCY,
Respondent.
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PCB 05-119
(Tax Certification - Air)
ORDER OF THE BOARD (by J.P. Novak):
On January 3, 2005, the Illinois Environmental Protection Agency (Agency)
recommended that the Board certify certain facilities of Southern Illinois Power Cooperative as
“low sulfur dioxide emission coal fueled devices” for preferential tax treatment under the
Property Tax Code (35 ILCS 200/11-35
et seq.
(2002)). The facilities are at Southern Illinois
Power Cooperative’s coal-fired steam electric power generating plant in Marion, Williamson
County. The Agency filed the recommendation under Part 125 of the Board’s procedural rules
(35 Ill. Adm. Code 125). In this order, the Board describes the legal framework for tax
certifications, discusses the Agency’s recommendation, and certifies that Southern Illinois Power
Cooperative’s facilities are low sulfur dioxide emission coal fueled devices.
LEGAL FRAMEWORK
Under the Property Tax Code, “[i]t is the policy of this State that low sulfur dioxide
emission coal fueled devices should be valued, at 33
⅓
% of the fair cash value of their economic
productivity to their owners.” 35 ILCS 200/11-35 (2002);
see also
35 Ill. Adm. Code
125.200(a)(2). “For tax purposes, pollution control facilities shall be certified as such by the
Pollution Control Board and shall be assessed by the Department [of Revenue].” 35 ILCS
200/11-50 (2002);
see also
35 Ill. Adm. Code 125.200(a).
Under Section 125.202 of the Board’s procedural rules, a person may submit an
application for tax certification to the Agency. 35 Ill. Adm. Code 125.202. If the Agency
receives a tax certification application, the Agency must file with the Board a recommendation
on the application, unless the applicant withdraws the application. 35 Ill. Adm. Code 125.204(a).
Among other things, the Agency’s filing must recommend that the Board issue or deny tax
certification. 35 Ill. Adm. Code 125.204(a)(4). If the Board finds that the claimed meets the
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definition of a low sulfur dioxide emission coal fueled device, “the Pollution Control Board . . .
shall enter a finding and issue a certificate that requires tax treatment as a low sulfur dioxide
emission coal fueled device.” 35 ILCS 200/11-55 (2002);
see
also
35 Ill. Adm. Code
125.216(a).
Section 11-40 of the Property Tax Code (35 ILCS 200/11-40 (2002)) defines “low sulfur
dioxide emission coal fueled devices” as follows:
[A]ny device used or intended for the purpose of burning, combusting or
converting locally available coal in a manner which eliminates or significantly
reduces the need for additional sulfur abatement that would otherwise be required
under State or Federal air emission standards. 35 ILCS 200/11-40 (2002).
Section 11-40 further defines “device” as follows:
[A]ll machinery, equipment, structures and all related apparatus, including coal
feeding equipment, of a goal gasification facility designed to convert locally
available coal into a low sulfur gaseous fuel and to manage all waste and by-
product streams. 35 ILCS 200/11-40 (2002).
AGENCY RECOMMENDATION
The Agency states that it received a tax certification application from Southern Illinois
Power Cooperative for its low sulfur dioxide emission coal fueled devices at Southern Illinois
Power Cooperative’s coal-fired steam electric power generating plant on September 30, 2004.
Agency Recommendation Agency Rec. at 1. On January 3, 2005, the Agency filed a
recommendation on the application with the Board. The Agency’s recommendation identifies
the facilities at issue:
A new circulating fluidized bed boiler that uses limestone as part of the fluidized
bed to convert locally-available coal to eliminate the need for any additional
sulfur dioxide abatement measures. Agency Rec. at 2.
The Agency’s recommendation also identifies the location of the facilities: Section 26,
Township 105, Range 2 east in Marion, Williamson County.
Id.
at Ex. A.
The Agency recommends that the Board certify that the identified facilities are low sulfur
dioxide emission coal fueled devices as defined in Section 11-40 of the Property Tax Code (35
ILCS 200/11-40 (2002)). Agency Rec. at 2.
TAX CERTIFICATE
The Board finds and certifies that Southern Illinois Power Cooperative’s facilities
identified in this order are low sulfur dioxide emission coal fueled devices under the Property
Tax Code (35 ILCS 200/11-40 (2002)). Under Section 11-55 of the Property Tax Code, the
effective date of this certificate is “the date of application for the certificate or the date of the
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construction of the facility, which ever is later.” 35 ILCS 200/11-55 (2002);
see also
35 Ill.
Adm. Code 125.216(a). Section 125.216(d) of the Board’s procedural rules states that the Clerk
“will provide the applicant and the Agency with a copy of the Board’s order setting forth
the
Board’s findings and certificate, if any
.” 35 Ill. Adm. Code 125.216(d) (quoting in italics 35
ILCS 200/11-30 (2002)). The Clerk therefore will provide Southern Illinois Power Cooperative
and the Agency with a copy of this order.
IT IS SO ORDERED.
Section 41(a) of the Environmental Protection Act provides that final Board orders may
be appealed directly to the Illinois Appellate Court within 35 days after the Board serves the
order. 415 ILCS 5/41(a) (2002);
see also
35 Ill. Adm. Code 101.300(d)(2), 101.906, 102.706.
Illinois Supreme Court Rule 335 establishes filing requirements that apply when the Illinois
Appellate Court, by statute, directly reviews administrative orders. 172 Ill. 2d R. 335. The
Board’s procedural rules provide that motions for the Board to reconsider or modify its final
orders may be filed with the Board within 35 days after the order is received. 35 Ill. Adm. Code
101.520;
see also
35 Ill. Adm. Code 101.902, 102.700, 102.702.
I, Dorothy M. Gunn, Clerk of the Illinois Pollution Control Board, certify that the Board
adopted the above order on January 6, 2005, by a vote of 5-0.
Dorothy M. Gunn, Clerk
Illinois Pollution Control Board
