GOVERNOR
    Rod R Blagojevich
    CHAIRMAN
    I Philip Novak
    +
    ~PRINGFIELD OFFICE
    ~IO21NorthGrand~
    East
    P.O. Box 19274
    Spi~ngfie1d,IL
    62794-9274
    217-524-8500
    FAX.217-524-8508
    CHICAGO OFFICE
    James R. Thompson Center
    100 West Randolph
    Suite 11-500
    Chicago, IL 60601
    312-814-3620
    FAX 3.12-814-3669
    TYY 312-814-6032
    Jack Lavin, Director
    Department ofCommerce and Economic Opportunity
    620 East Adams Street, S-6
    Springfield, Illinois 62704
    Re:
    Request for Economic Impact Study for:
    Proposed Amendments to
    Regulation of Petroleum Leaking Underground Storage Tanks (35111. Adm.
    Code 732) and Regulation of Petroleum Leaking Underground Storage Tanks
    (Proposed new
    35
    Iii. Adm. Code 734) (Consolidated: R04-22 and R04-23)
    Dear Director Lavin:
    The Pollution Control Board (Board) received a rulemaking proposal on
    January 13, 2004, filed by the Illinois Environmental Protection Agency (Agency) to
    amend Part 732 and to add a new Part 734. The proposal seeks to amend the Board’s
    petroleum leaking underground storage tanks rules. I am writing to request that you
    determine whether your Department will conduct an economic impact study
    concerning this proposal
    Since 1998, Section 27 (b) ofthe Environmental Protection Act has required
    the Board to:
    1) “request that the Department ofCommerce and Economic Opportunity
    (formerlythe Department ofCommerce and Community Affairs) conduct a
    study ofthe economic impact ofthe proposed rules. The Department may
    within 30 to
    45
    days ofsuch request produce a study ofthe economic impact
    ofthe proposed rules. At a minimum, the economic impact study shall
    address a) economic, environmental, and public health benefits that may be
    achieved through compliance with the proposed rules, b) the effects of the
    proposed rules on employment levels, commercial productivity, the economic
    growth ofsmall businesses with 100 or less employees, and the State’s
    overall economy, and c) the cost per unit ofpollution reduced and the
    variability ofcompany revenues expected to be used to implement the
    proposed rules; and
    (2) conduct at least one public hearing on the economic impact ofthose
    rules. At least 20 days before the hearing, the Board shall notif~’the public of
    the hearing and make the economic impact study, or the Department of
    Commerce and Economic Opportunity’s explanation for not producing an
    economic impact study, available to the public. Such public hearing may be
    WEB SITE
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    February 17, 2004
    FEE~I C 20Q4
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    held simultaneously or as a part ofany Board hearing considering such new
    rules.”
    415
    JLCS
    5/27(b)
    (2002).
    The Board has already scheduled hearing dates for this rulemaking proposal:
    March
    15,
    2004 and May
    25,
    2004. I would greatly appreciate a response from you
    concerning DCEO’s position on whether it will perform the economic impact study
    as soon as is possible.
    The Board anticipates a high volume ofrulemaking in the coming year. Your
    Department can anticipate receiving many requests for economic studies this year. A
    review ofthe Department’s files will reveal to you that DCEO has not conducted any
    economic studies since 1998 due to fiscal constraints. I am aware ofthe
    Department’s April 2003 letter indicating that it would not be performing studies of
    this nature in response to any current or future requests, but I note that nearly 12
    months have passed since that time. A review ofBoard rulemaking opinions and
    orders since then would reveal that the Department’s decision not to perform
    economic impact studies has not been questioned at any Board hearing.
    If I, or my staff, can provide you with any additional information, please let
    me know. While the Board can proceed to hold hearings while awaiting your
    decision, the Environmental Protection Act does not allow the Board to complete its
    rulemaking process without your Department’s input.
    Thank you for your earlyresponse.
    Sincerely,
    J. Philip Novak
    Chairman, Pollution Control Board
    Cc: Dorothy M. Gunn, Clerk
    Erin Conley, Rules Coordinator

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