IL SB3178

Municipalities may repurchase investor-owned water or wastewater utilities if the utility repeatedly fails Illinois Commerce Commission service quality standards, raises rates beyond inflation without service improvements, or voters approve repurchase by majority referendum

Repurchase requires Illinois Commerce Commission approval within 180 days, with municipalities filing petitions that include a repurchase plan, proposed compensation, estimated rate impacts, and a transition plan ensuring uninterrupted service

Purchase price is set at fair market value of all physical assets and customer accounts, less depreciation, determined by independent valuation agreed upon by parties or ordered by the Commission

Upon approval, investor-owned utilities must transfer all facilities, records, and customer accounts to the municipality and cooperate with workforce transition while complying with labor laws

Post-repurchase rate structures must be fair, just, and reasonable, and must include considerations for low-income affordability programs