SB0651 Engrossed LRB101 04244 JRG 49252 b
1		AN ACT concerning regulation.
2		Be it enacted by the People of the State of Illinois,
3		represented in the General Assembly:
4		Section 1. This Act may be referred to as the Home Energy
5		Affordability and Transparency (HEAT) Act.
6		Section 5. The Public Utilities Act is amended by changing
7		Sections 16-115A, 16-118, 16-123, 19-115, 19-130, 19-135, and
8		20-110 and by adding Sections 16-115E and 19-116 as follows:
9		(220 ILCS 5/16-115A)
10		Sec. 16-115A. Obligations of alternative retail electric
11		suppliers.
12		(a) An alternative retail electric supplier shall:
13		(i) shall comply with the requirements imposed on
14		public utilities by Sections 8-201 through 8-207, 8-301,
15		8-505 and 8-507 of this Act, to the extent that these
16		Sections have application to the services being offered by
17		the alternative retail electric supplier; and
18		(ii) shall continue to comply with the requirements for
19		certification stated in subsection (d) of Section 16-115; .
20		(iii) beginning January 1, 2020 and every January 1
21		thereafter, shall submit to the Commission and the Office
22		of the Attorney General the rates the retail electric

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1		supplier charged to residential customers in the prior
2		year, including each distinct rate charged and whether the
3		rate was a fixed or variable rate, the basis for the
4		variable rate, and any fees charged in addition to the
5		supply rate, including monthly fees, flat fees, or other
6		service charges; and
7		(iv) shall make publicly available on its website,
8		without the need for a customer login, rate information for
9		all of its variable, time-of-use, and fixed rate contracts
10		currently available to residential customers, including,
11		but not limited to, fixed monthly charges, early
12		termination fees, and kilowatt-hour charges.
13		(b) An alternative retail electric supplier shall obtain
14		verifiable authorization from a customer, in a form or manner
15		approved by the Commission consistent with Section 2EE of the
16		Consumer Fraud and Deceptive Business Practices Act, before the
17		customer is switched from another supplier.
18		(c) No alternative retail electric supplier, or electric
19		utility other than the electric utility in whose service area a
20		customer is located, shall (i) enter into or employ any
21		arrangements which have the effect of preventing a retail
22		customer with a maximum electrical demand of less than one
23		megawatt from having access to the services of the electric
24		utility in whose service area the customer is located or (ii)
25		charge retail customers for such access. This subsection shall
26		not be construed to prevent an arms-length agreement between a

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1		supplier and a retail customer that sets a term of service,
2		notice period for terminating service and provisions governing
3		early termination through a tariff or contract as allowed by
4		Section 16-119.
5		(d) An alternative retail electric supplier that is
6		certified to serve residential or small commercial retail
7		customers shall not:
8		(1) deny service to a customer or group of customers
9		nor establish any differences as to prices, terms,
10		conditions, services, products, facilities, or in any
11		other respect, whereby such denial or differences are based
12		upon race, gender or income, except as provided in Section
13		16-115E.
14		(2) deny service to a customer or group of customers
15		based on locality nor establish any unreasonable
16		difference as to prices, terms, conditions, services,
17		products, or facilities as between localities.
18		(e) An alternative retail electric supplier shall comply
19		with the following requirements with respect to the marketing,
20		offering and provision of products or services to residential
21		and small commercial retail customers:
22		(i) All Any marketing materials, including, but not
23		limited to, electronic marketing materials, in-person
24		solicitations, and telephone solicitations, which make
25		statements concerning prices, terms and conditions of
26		service shall contain information that adequately

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1		discloses the prices, terms, and conditions of the products
2		or services that the alternative retail electric supplier
3		is offering or selling to the customer and shall disclose
4		the current utility electric supply price to compare
5		applicable at the time the alternative retail electric
6		supplier is offering or selling the products or services to
7		the customer and shall disclose the date on which the
8		utility electric supply price to compare became effective
9		and the date on which it will expire. The utility electric
10		supply price to compare shall be the sum of the electric
11		supply charge and the transmission services charge and
12		shall not include the purchased electricity adjustment.
13		All marketing materials, including, but not limited to,
14		electronic marketing materials, in-person solicitations,
15		and telephone solicitations, shall include the following
16		statement: .
17		"(Name of the alternative retail electric
18		supplier) is not the same entity as your electric
19		delivery company. You are not required to enroll with
20		(name of alternative retail electric supplier).
21		Beginning on (effective date), the electric supply
22		price to compare is (price in cents per kilowatt hour).
23		The electric utility electric supply price will expire
24		on (expiration date). The utility electric supply
25		price to compare does not include the purchased
26		electricity adjustment factor that may range between

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1		+.5 cents and -.5 cents per kilowatt hour. For more
2		information go to the Illinois Commerce Commission's
3		free website at www.pluginillinois.org.".
4		This paragraph (i) does not apply to goodwill or
5		institutional advertising.
6		(ii) Before any customer is switched from another
7		supplier, the alternative retail electric supplier shall
8		give the customer written information that adequately
9		discloses, in plain language, the prices, terms and
10		conditions of the products and services being offered and
11		sold to the customer. This written information shall be
12		provided in a language in which the customer subject to the
13		marketing or solicitation is able to understand and
14		communicate, and the alternative retail electric supplier
15		shall comply with Section 2N of the Consumer Fraud and
16		Deceptive Business Practices Act.
17		(iii) An alternative retail electric supplier shall
18		provide documentation to the Commission and to customers
19		that substantiates any claims made by the alternative
20		retail electric supplier regarding the technologies and
21		fuel types used to generate the electricity offered or sold
22		to customers.
23		(iv) The alternative retail electric supplier shall
24		provide to the customer (1) itemized billing statements
25		that describe the products and services provided to the
26		customer and their prices, and (2) an additional statement,

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1		at least annually, that adequately discloses the average
2		monthly prices, and the terms and conditions, of the
3		products and services sold to the customer.
4		(v) All solicitations shall be conducted in,
5		translated into, and provided in a language in which the
6		customer subject to the marketing or solicitation is able
7		to understand and communicate. An alternative retail
8		electric supplier shall not solicit an enrollment of or
9		enroll any customer if the alternative retail electric
10		supplier is unable to communicate and provide marketing
11		materials in a language in which the customer subject to
12		the marketing or solicitation is able to understand and
13		communicate.
14		(f) An alternative retail electric supplier may limit the
15		overall size or availability of a service offering by
16		specifying one or more of the following: a maximum number of
17		customers, maximum amount of electric load to be served, time
18		period during which the offering will be available, or other
19		comparable limitation, but not including the geographic
20		locations of customers within the area which the alternative
21		retail electric supplier is certificated to serve. The
22		alternative retail electric supplier shall file the terms and
23		conditions of such service offering including the applicable
24		limitations with the Commission prior to making the service
25		offering available to customers.
26		(g) Nothing in this Section shall be construed as

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1		preventing an alternative retail electric supplier, which is an
2		affiliate of, or which contracts with, (i) an industry or trade
3		organization or association, (ii) a membership organization or
4		association that exists for a purpose other than the purchase
5		of electricity, or (iii) another organization that meets
6		criteria established in a rule adopted by the Commission, from
7		offering through the organization or association services at
8		prices, terms and conditions that are available solely to the
9		members of the organization or association.
10		(Source: P.A. 90-561, eff. 12-16-97.)
11		(220 ILCS 5/16-115E new)
12		Sec. 16-115E. Alternative retail electric supplier utility
13		assistance recipient.
14		(a) Beginning January 1, 2020, an alternative retail
15		electric supplier shall not knowingly submit an enrollment to
16		change a customer's electric supply service if the electric
17		utility's records indicate that the customer received
18		financial assistance in the last 12 months from either the Low
19		Income Home Energy Assistance Program or, at the time of
20		enrollment, is participating in the Percentage of Income
21		Payment Plan, unless: (1) the customer's change in electric
22		supply service is pursuant to a government aggregation program
23		adopted in accordance with Section 1-92 of the Illinois Power
24		Agency Act; or (2) the customer's change in electric supply
25		service is pursuant to a Commission-approved savings guarantee

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1		plan as described in subsection (b).
2		(b) Beginning July 1, 2020, an alternative retail electric
3		supplier may apply to the Commission to offer a savings
4		guarantee plan to recipients of the Low Income Home Energy
5		Assistance Program or Percentage of Income Payment Plan
6		funding. The Commission shall initiate a public, docketed
7		proceeding to consider whether or not to approve an alternative
8		retail electric supplier's application to offer a savings
9		guarantee plan. At a minimum, the savings guarantee plan shall
10		charge customers for electric supply less than the amount
11		charged by the electric utility for electric supply. The
12		Commission shall adopt rules to implement this subsection (b).
13		(c) An agreement entered into between an alternative retail
14		electric supplier and a consumer who either received financial
15		assistance in the last 12 months from the Low Income Home
16		Energy Assistance Program or, at the time of enrollment, is
17		participating in the Percentage of Income Payment Plan in
18		violation of this Section is void and unenforceable. Before the
19		electric utility executes a change in a customer's electric
20		supplier, other than a change pursuant to a government
21		aggregation program adopted in accordance with Section 1-92 of
22		the Illinois Power Agency or pursuant to a Commission-approved
23		savings guarantee plan as described in subsection (b), the
24		electric utility shall confirm at the time of the request
25		whether its records indicate that the customer either received
26		financial assistance within the preceding 12 months from the

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1		Low Income Home Energy Assistance Program or, at the time of
2		enrollment, is participating in the Percentage of Income
3		Payment Plan and, if its records so indicate, shall reject the
4		change request. Absent willful or wanton misconduct, no
5		electric utility shall be held liable for any error in acting
6		or failing to act pursuant to this Section.
7		(220 ILCS 5/16-118)
8		Sec. 16-118. Services provided by electric utilities to
9		alternative retail electric suppliers.
10		(a) It is in the best interest of Illinois energy consumers
11		to promote fair and open competition in the provision of
12		electric power and energy and to prevent anticompetitive
13		practices in the provision of electric power and energy.
14		Therefore, to the extent an electric utility provides electric
15		power and energy or delivery services to alternative retail
16		electric suppliers and such services are not subject to the
17		jurisdiction of the Federal Energy Regulatory Commission, and
18		are not competitive services, they shall be provided through
19		tariffs that are filed with the Commission, pursuant to Article
20		IX of this Act. Each electric utility shall permit alternative
21		retail electric suppliers to interconnect facilities to those
22		owned by the utility provided they meet established standards
23		for such interconnection, and may provide standby or other
24		services to alternative retail electric suppliers. The
25		alternative retail electric supplier shall sign a contract

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1		setting forth the prices, terms and conditions for
2		interconnection with the electric utility and the prices, terms
3		and conditions for services provided by the electric utility to
4		the alternative retail electric supplier in connection with the
5		delivery by the electric utility of electric power and energy
6		supplied by the alternative retail electric supplier.
7		(b) An electric utility shall file a tariff pursuant to
8		Article IX of the Act that would allow alternative retail
9		electric suppliers or electric utilities other than the
10		electric utility in whose service area retail customers are
11		located to issue single bills to the retail customers for both
12		the services provided by such alternative retail electric
13		supplier or other electric utility and the delivery services
14		provided by the electric utility to such customers. The tariff
15		filed pursuant to this subsection shall (i) require partial
16		payments made by retail customers to be credited first to the
17		electric utility's tariffed services, (ii) impose commercially
18		reasonable terms with respect to credit and collection,
19		including requests for deposits, (iii) retain the electric
20		utility's right to disconnect the retail customers, if it does
21		not receive payment for its tariffed services, in the same
22		manner that it would be permitted to if it had billed for the
23		services itself, and (iv) require the alternative retail
24		electric supplier or other electric utility that elects the
25		billing option provided by this tariff to include on each bill
26		to retail customers an identification of the electric utility

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1		providing the delivery services and a listing of the charges
2		applicable to such services. The tariff filed pursuant to this
3		subsection may also include other just and reasonable terms and
4		conditions. In addition, an electric utility, an alternative
5		retail electric supplier or electric utility other than the
6		electric utility in whose service area the customer is located,
7		and a customer served by such alternative retail electric
8		supplier or other electric utility, may enter into an agreement
9		pursuant to which the alternative retail electric supplier or
10		other electric utility pays the charges specified in Section
11		16-108, or other customer-related charges, including taxes and
12		fees, in lieu of such charges being recovered by the electric
13		utility directly from the customer.
14		(c) An electric utility with more than 100,000 customers
15		shall file a tariff pursuant to Article IX of this Act that
16		provides alternative retail electric suppliers, and electric
17		utilities other than the electric utility in whose service area
18		the retail customers are located, with the option to have the
19		electric utility purchase their receivables for power and
20		energy service provided to residential retail customers and
21		non-residential retail customers with a non-coincident peak
22		demand of less than 400 kilowatts. Receivables for power and
23		energy service of alternative retail electric suppliers or
24		electric utilities other than the electric utility in whose
25		service area the retail customers are located shall be
26		purchased by the electric utility at a just and reasonable

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1		discount rate to be reviewed and approved by the Commission
2		after notice and hearing. The discount rate shall be based on
3		the electric utility's historical bad debt and any reasonable
4		start-up costs and administrative costs associated with the
5		electric utility's purchase of receivables. The discounted
6		rate for purchase of receivables shall be included in the
7		tariff filed pursuant to this subsection (c). The discount rate
8		filed pursuant to this subsection (c) shall be subject to
9		periodic Commission review. The electric utility retains the
10		right to impose the same terms on retail customers with respect
11		to credit and collection, including requests for deposits, and
12		retain the electric utility's right to disconnect the retail
13		customers, if it does not receive payment for its tariffed
14		services or purchased receivables, in the same manner that it
15		would be permitted to if the retail customers purchased power
16		and energy from the electric utility. The tariff filed pursuant
17		to this subsection (c) shall permit the electric utility to
18		recover from retail customers any uncollected receivables that
19		may arise as a result of the purchase of receivables under this
20		subsection (c), may also include other just and reasonable
21		terms and conditions, and shall provide for the prudently
22		incurred costs associated with the provision of this service
23		pursuant to this subsection (c). Nothing in this subsection (c)
24		permits the double recovery of bad debt expenses from
25		customers.
26		(d) An electric utility with more than 100,000 customers

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1		shall file a tariff pursuant to Article IX of this Act that
2		would provide alternative retail electric suppliers or
3		electric utilities other than the electric utility in whose
4		service area retail customers are located with the option to
5		have the electric utility produce and provide single bills to
6		the retail customers for both the electric power and energy
7		service provided by the alternative retail electric supplier or
8		other electric utility and the delivery services provided by
9		the electric utility to the customers. The tariffs filed
10		pursuant to this subsection shall require the electric utility
11		to collect and remit customer payments for electric power and
12		energy service provided by alternative retail electric
13		suppliers or electric utilities other than the electric utility
14		in whose service area retail customers are located. The tariff
15		filed pursuant to this subsection shall require the electric
16		utility to include on each bill to retail customers an
17		identification of the alternative retail electric supplier or
18		other electric utility that elects the billing option. The
19		tariff filed pursuant to this subsection (d) may also include
20		other just and reasonable terms and conditions and shall
21		provide for the recovery of prudently incurred costs associated
22		with the provision of service pursuant to this subsection (d).
23		The costs associated with the provision of service pursuant to
24		this Section shall be subject to periodic Commission review.
25		(e) An electric utility with more than 100,000 customers in
26		this State shall file a tariff pursuant to Article IX of this

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1		Act that provides alternative retail electric suppliers, and
2		electric utilities other than the electric utility in whose
3		service area the retail customers are located, with the option
4		to have the electric utility purchase 2 billing cycles worth of
5		uncollectible receivables for power and energy service
6		provided to residential retail customers and to
7		non-residential retail customers with a non-coincident peak
8		demand of less than 400 kilowatts upon returning that customer
9		to that electric utility for delivery and energy service after
10		that alternative retail electric supplier, or an electric
11		utility other than the electric utility in whose service area
12		the retail customer is located, has made reasonable collection
13		efforts on that account. Uncollectible receivables for power
14		and energy service of alternative retail electric suppliers, or
15		electric utilities other than the electric utility in whose
16		service area the retail customers are located, shall be
17		purchased by the electric utility at a just and reasonable
18		discount rate to be reviewed and approved by the Commission,
19		after notice and hearing. The discount rate shall be based on
20		the electric utility's historical bad debt for receivables that
21		are outstanding for a similar length of time and any reasonable
22		start-up costs and administrative costs associated with the
23		electric utility's purchase of receivables. The discounted
24		rate for purchase of uncollectible receivables shall be
25		included in the tariff filed pursuant to this subsection (e).
26		The electric utility retains the right to impose the same terms

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1		on these retail customers with respect to credit and
2		collection, including requests for deposits, and retains the
3		right to disconnect these retail customers, if it does not
4		receive payment for its tariffed services or purchased
5		receivables, in the same manner that it would be permitted to
6		if the retail customers had purchased power and energy from the
7		electric utility. The tariff filed pursuant to this subsection
8		(e) shall permit the electric utility to recover from retail
9		customers any uncollectable receivables that may arise as a
10		result of the purchase of uncollectible receivables under this
11		subsection (e), may also include other just and reasonable
12		terms and conditions, and shall provide for the prudently
13		incurred costs associated with the provision of this service
14		pursuant to this subsection (e). Nothing in this subsection (e)
15		permits the double recovery of utility bad debt expenses from
16		customers. The electric utility may file a joint tariff for
17		this subsection (e) and subsection (c) of this Section.
18		(f) Every alternative retail electric supplier or electric
19		utility other than the electric utility in whose service area
20		retail customers are located that issues single bills to the
21		retail customers for the services provided by the alternative
22		retail electric supplier or other electric utility to the
23		customers shall include on the single bills issued to
24		residential customers the current utility electric supply
25		price to compare that would apply to the customer for the
26		billing period if the customer obtained supply from the

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1		utility. The current utility electric supply price shall be the
2		sum of the electric supply charge and the transmission services
3		charge and shall disclose that the price does not include the
4		monthly purchased electricity adjustment.
5		(g) Every electric utility that provides delivery and
6		supply services shall include on each bill issued to
7		residential customers who obtain supply from an alternative
8		retail electric supplier the current utility electric supply
9		price to compare that would apply to the customer for the
10		billing period if the customer obtained supply from the
11		utility. The current utility electric supply price to compare
12		shall be the sum of the electric supply charge and the
13		transmission services charge and shall disclose that the price
14		does not include the monthly purchased electricity adjustment.
15		(Source: P.A. 95-700, eff. 11-9-07.)
16		(220 ILCS 5/16-123)
17		Sec. 16-123. Establishment of customer information centers
18		for electric utilities and alternative retail electric
19		suppliers.
20		(a) All electric utilities and alternative retail electric
21		suppliers shall be required to maintain a customer call center
22		where customers can reach a representative and receive current
23		information. Customers shall periodically be notified on how to
24		reach the call center. The Commission shall have the authority
25		to establish reporting requirements for such centers.

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1		(b) Notwithstanding anything to the contrary, an electric
2		utility may:
3		(1) disclose the current utility electric supply price
4		to a retail customer who takes electric power and energy
5		supply service from an alternative retail electric
6		supplier;
7		(2) disclose the supply price the customer is paying as
8		reflected on the customer's bill, if known;
9		(3) furnish to a retail customer a list of frequently
10		asked questions to be used by the retail customer in
11		evaluating electric power and energy supply rate offers by
12		alternative retail electric suppliers; this list may
13		include, but is not limited to, the following:
14		(A) length of the contract;
15		(B) the price per kilowatt hour, and whether the
16		contract price is fixed or variable, and if variable,
17		the circumstances under which the rate may change;
18		(C) whether penalties or early termination fees
19		apply if the customer terminates the contract before
20		the expiration of its term; and
21		(D) whether the customer may be subject to any
22		other adjustments, penalties, surcharges, or costs
23		beyond the electric power and energy supply rate;
24		(4) provide to a retail customer education information
25		published by the Office of Retail Market Development and
26		the Office of the Attorney General regarding the selection

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1		and evaluation of electric power and energy supply rate
2		offers by alternative retail electric suppliers; and
3		(5) place a restriction on a retail customer's account,
4		at the customer's request, that prohibits any switching of
5		the customer's electric power and energy supply service to
6		an alternative retail electric supplier; the restriction
7		shall only be removed at the customer's express direction
8		to the utility.
9		(Source: P.A. 90-561, eff. 12-16-97.)
10		(220 ILCS 5/19-115)
11		Sec. 19-115. Obligations of alternative gas suppliers.
12		(a) The provisions of this Section shall apply only to
13		alternative gas suppliers serving or seeking to serve
14		residential or small commercial customers and only to the
15		extent such alternative gas suppliers provide services to
16		residential or small commercial customers.
17		(b) An alternative gas supplier shall:
18		(1) shall comply with the requirements imposed on
19		public utilities by Sections 8-201 through 8-207, 8-301,
20		8-505 and 8-507 of this Act, to the extent that these
21		Sections have application to the services being offered by
22		the alternative gas supplier;
23		(2) shall continue to comply with the requirements for
24		certification stated in Section 19-110;
25		(3) shall comply with complaint procedures established

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1		by the Commission;
2		(4) except as provided in subsection (h) of this
3		Section, shall file with the Chief Clerk of the Commission,
4		within 20 business days after the effective date of this
5		amendatory Act of the 95th General Assembly, a copy of bill
6		formats, standard customer contract and customer complaint
7		and resolution procedures, and the name and telephone
8		number of the company representative whom Commission
9		employees may contact to resolve customer complaints and
10		other matters. In the case of a gas supplier that engages
11		in door-to-door solicitation, the company shall file with
12		the Commission the consumer information disclosure
13		required by item (3) of subsection (c) of Section 2DDD of
14		the Consumer Fraud and Deceptive Business Practices Act and
15		shall file updated information within 10 business days
16		after changes in any of the documents or information
17		required to be filed by this item (4); and
18		(5) shall maintain a customer call center where
19		customers can reach a representative and receive current
20		information. At least once every 6 months, each alternative
21		gas supplier shall provide written information to
22		customers explaining how to contact the call center. The
23		average answer time for calls placed to the call center
24		shall not exceed 60 seconds where a representative or
25		automated system is ready to render assistance and/or
26		accept information to process calls. The abandon rate for

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1		calls placed to the call center shall not exceed 10%. Each
2		alternative gas supplier shall maintain records of the call
3		center's telephone answer time performance and abandon
4		call rate. These records shall be kept for a minimum of 2
5		years and shall be made available to Commission personnel
6		upon request. In the event that answer times and/or abandon
7		rates exceed the limits established above, the reporting
8		alternative gas supplier may provide the Commission or its
9		personnel with explanatory details. At a minimum, these
10		records shall contain the following information in monthly
11		increments:
12		(A) total number of calls received;
13		(B) number of calls answered;
14		(C) average answer time;
15		(D) number of abandoned calls; and
16		(E) abandon call rate.
17		Alternative gas suppliers that do not have electronic
18		answering capability that meets these requirements shall
19		notify the Manager of the Commission's Consumer Services
20		Division or its successor within 30 days following the
21		effective date of this amendatory Act of the 95th General
22		Assembly and work with Staff to develop individualized
23		reporting requirements as to the call volume and
24		responsiveness of the call center.
25		On or before March 1 of every year, each entity shall
26		file a report with the Chief Clerk of the Commission for

SB0651 Engrossed - 21 - LRB101 04244 JRG 49252 b
1		the preceding calendar year on its answer time and abandon
2		call rate for its call center. A copy of the report shall
3		be sent to the Manager of the Consumer Services Division or
4		its successor; .
5		(6) beginning January 1, 2020 and every January 1
6		thereafter, shall submit to the Commission and the Office
7		of the Attorney General the rates the retail gas supplier
8		charged to residential customers in the prior year,
9		including each distinct rate charged and whether the rate
10		was a fixed or variable rate, the basis for the variable
11		rate, and any fees charged in addition to the supply rate,
12		including monthly fees, flat fees, or other service
13		charges; and
14		(7) shall make publicly available on its website,
15		without the need for a customer login, rate information for
16		all of its variable, time-of-use, and fixed rate contracts
17		currently available to residential customers, including
18		but not limited to, fixed monthly charges, early
19		termination fees, and per therm charges.
20		(c) An alternative gas supplier shall not submit or execute
21		a change in a customer's selection of a natural gas provider
22		unless and until (i) the alternative gas supplier first
23		discloses all material terms and conditions of the offer,
24		including price, to the customer; (ii) the alternative gas
25		supplier has obtained the customer's express agreement to
26		accept the offer after the disclosure of all material terms and

SB0651 Engrossed - 22 - LRB101 04244 JRG 49252 b
1		conditions of the offer; and (iii) the alternative gas supplier
2		has confirmed the request for a change in accordance with one
3		of the following procedures:
4		(1) The alternative gas supplier has obtained the
5		customer's written or electronically signed authorization
6		in a form that meets the following requirements:
7		(A) An alternative gas supplier shall obtain any
8		necessary written or electronically signed
9		authorization from a customer for a change in natural
10		gas service by using a letter of agency as specified in
11		this Section. Any letter of agency that does not
12		conform with this Section is invalid.
13		(B) The letter of agency shall be a separate
14		document (or an easily separable document containing
15		only the authorization language described in item (E)
16		of this paragraph (1)) whose sole purpose is to
17		authorize a natural gas provider change. The letter of
18		agency must be signed and dated by the customer
19		requesting the natural gas provider change.
20		(C) The letter of agency shall not be combined with
21		inducements of any kind on the same document.
22		(D) Notwithstanding items (A) and (B) of this
23		paragraph (1), the letter of agency may be combined
24		with checks that contain only the required letter of
25		agency language prescribed in item (E) of this
26		paragraph (1) and the necessary information to make the

SB0651 Engrossed - 23 - LRB101 04244 JRG 49252 b
1		check a negotiable instrument. The letter of agency
2		check shall not contain any promotional language or
3		material. The letter of agency check shall contain in
4		easily readable, bold face type on the face of the
5		check a notice that the consumer is authorizing a
6		natural gas provider change by signing the check. The
7		letter of agency language also shall be placed near the
8		signature line on the back of the check.
9		(E) At a minimum, the letter of agency must be
10		printed with a print of sufficient size to be clearly
11		legible and must contain clear and unambiguous
12		language that confirms:
13		(i) the customer's billing name and address;
14		(ii) the decision to change the natural gas
15		provider from the current provider to the
16		prospective alternative gas supplier;
17		(iii) the terms, conditions, and nature of the
18		service to be provided to the customer, including,
19		but not limited to, the rates for the service
20		contracted for by the customer; and
21		(iv) that the customer understands that any
22		natural gas provider selection the customer
23		chooses may involve a charge to the customer for
24		changing the customer's natural gas provider.
25		(F) Letters of agency shall not suggest or require
26		that a customer take some action in order to retain the

SB0651 Engrossed - 24 - LRB101 04244 JRG 49252 b
1		customer's current natural gas provider.
2		(G) If any portion of a letter of agency is
3		translated into another language, then all portions of
4		the letter of agency must be translated into that
5		language.
6		(2) An appropriately qualified independent third party
7		has obtained, in accordance with the procedures set forth
8		in this paragraph (2), the customer's oral authorization to
9		change natural gas providers that confirms and includes
10		appropriate verification data. The independent third party
11		must (i) not be owned, managed, controlled, or directed by
12		the alternative gas supplier or the alternative gas
13		supplier's marketing agent; (ii) not have any financial
14		incentive to confirm provider change requests for the
15		alternative gas supplier or the alternative gas supplier's
16		marketing agent; and (iii) operate in a location physically
17		separate from the alternative gas supplier or the
18		alternative gas supplier's marketing agent. Automated
19		third-party verification systems and 3-way conference
20		calls may be used for verification purposes so long as the
21		other requirements of this paragraph (2) are satisfied. An
22		alternative gas supplier or alternative gas supplier's
23		sales representative initiating a 3-way conference call or
24		a call through an automated verification system must drop
25		off the call once the 3-way connection has been
26		established. All third-party verification methods shall

SB0651 Engrossed - 25 - LRB101 04244 JRG 49252 b
1		elicit, at a minimum, the following information:
2		(A) the identity of the customer;
3		(B) confirmation that the person on the call is
4		authorized to make the provider change;
5		(C) confirmation that the person on the call wants
6		to make the provider change;
7		(D) the names of the providers affected by the
8		change;
9		(E) the service address of the service to be
10		switched; and
11		(F) the price of the service to be provided and the
12		material terms and conditions of the service being
13		offered, including whether any early termination fees
14		apply.
15		Third-party verifiers may not market the alternative
16		gas supplier's services by providing additional
17		information. All third-party verifications shall be
18		conducted in the same language that was used in the
19		underlying sales transaction and shall be recorded in their
20		entirety. Submitting alternative gas suppliers shall
21		maintain and preserve audio records of verification of
22		customer authorization for a minimum period of 2 years
23		after obtaining the verification. Automated systems must
24		provide customers with an option to speak with a live
25		person at any time during the call.
26		(3) The alternative gas supplier has obtained the

SB0651 Engrossed - 26 - LRB101 04244 JRG 49252 b
1		customer's authorization via an automated verification
2		system to change natural gas service via telephone. An
3		automated verification system is an electronic system
4		that, through pre-recorded prompts, elicits voice
5		responses, touchtone responses, or both, from the customer
6		and records both the prompts and the customer's responses.
7		Such authorization must elicit the information in
8		paragraph (2)(A) through (F) of this subsection (c).
9		Alternative gas suppliers electing to confirm sales
10		electronically through an automated verification system
11		shall establish one or more toll-free telephone numbers
12		exclusively for that purpose. Calls to the number or
13		numbers shall connect a customer to a voice response unit,
14		or similar mechanism, that makes a date-stamped,
15		time-stamped recording of the required information
16		regarding the alternative gas supplier change.
17		The alternative gas supplier shall not use such
18		electronic authorization systems to market its services.
19		(4) When a consumer initiates the call to the
20		prospective alternative gas supplier, in order to enroll
21		the consumer as a customer, the prospective alternative gas
22		supplier must, with the consent of the customer, make a
23		date-stamped, time-stamped audio recording that elicits,
24		at a minimum, the following information:
25		(A) the identity of the customer;
26		(B) confirmation that the person on the call is

SB0651 Engrossed - 27 - LRB101 04244 JRG 49252 b
1		authorized to make the provider change;
2		(C) confirmation that the person on the call wants
3		to make the provider change;
4		(D) the names of the providers affected by the
5		change;
6		(E) the service address of the service to be
7		switched; and
8		(F) the price of the service to be supplied and the
9		material terms and conditions of the service being
10		offered, including whether any early termination fees
11		apply.
12		Submitting alternative gas suppliers shall maintain
13		and preserve the audio records containing the information
14		set forth above for a minimum period of 2 years.
15		(5) In the event that a customer enrolls for service
16		from an alternative gas supplier via an Internet website,
17		the alternative gas supplier shall obtain an
18		electronically signed letter of agency in accordance with
19		paragraph (1) of this subsection (c) and any customer
20		information shall be protected in accordance with all
21		applicable statutes and regulations. In addition, an
22		alternative gas supplier shall provide the following when
23		marketing via an Internet website:
24		(A) The Internet enrollment website shall, at a
25		minimum, include:
26		(i) a copy of the alternative gas supplier's

SB0651 Engrossed - 28 - LRB101 04244 JRG 49252 b
1		customer contract that clearly and conspicuously
2		discloses all terms and conditions; and
3		(ii) a conspicuous prompt for the customer to
4		print or save a copy of the contract.
5		(B) Any electronic version of the contract shall be
6		identified by version number, in order to ensure the
7		ability to verify the particular contract to which the
8		customer assents.
9		(C) Throughout the duration of the alternative gas
10		supplier's contract with a customer, the alternative
11		gas supplier shall retain and, within 3 business days
12		of the customer's request, provide to the customer an
13		e-mail, paper, or facsimile of the terms and conditions
14		of the numbered contract version to which the customer
15		assents.
16		(D) The alternative gas supplier shall provide a
17		mechanism by which both the submission and receipt of
18		the electronic letter of agency are recorded by time
19		and date.
20		(E) After the customer completes the electronic
21		letter of agency, the alternative gas supplier shall
22		disclose conspicuously through its website that the
23		customer has been enrolled, and the alternative gas
24		supplier shall provide the customer an enrollment
25		confirmation number.
26		(6) When a customer is solicited in person by the

SB0651 Engrossed - 29 - LRB101 04244 JRG 49252 b
1		alternative gas supplier's sales agent, the alternative
2		gas supplier may only obtain the customer's authorization
3		to change natural gas service through the method provided
4		for in paragraph (2) of this subsection (c).
5		Alternative gas suppliers must be in compliance with this
6		subsection (c) within 90 days after the effective date of this
7		amendatory Act of the 95th General Assembly.
8		(d) Complaints may be filed with the Commission under this
9		Section by a customer whose natural gas service has been
10		provided by an alternative gas supplier in a manner not in
11		compliance with subsection (c) of this Section. If, after
12		notice and hearing, the Commission finds that an alternative
13		gas supplier has violated subsection (c), then the Commission
14		may in its discretion do any one or more of the following:
15		(1) Require the violating alternative gas supplier to
16		refund the customer charges collected in excess of those
17		that would have been charged by the customer's authorized
18		natural gas provider.
19		(2) Require the violating alternative gas supplier to
20		pay to the customer's authorized natural gas provider the
21		amount the authorized natural gas provider would have
22		collected for natural gas service. The Commission is
23		authorized to reduce this payment by any amount already
24		paid by the violating alternative gas supplier to the
25		customer's authorized natural gas provider.
26		(3) Require the violating alternative gas supplier to

SB0651 Engrossed - 30 - LRB101 04244 JRG 49252 b
1		pay a fine of up to $1,000 into the Public Utility Fund for
2		each repeated and intentional violation of this Section.
3		(4) Issue a cease and desist order.
4		(5) For a pattern of violation of this Section or for
5		intentionally violating a cease and desist order, revoke
6		the violating alternative gas supplier's certificate of
7		service authority.
8		(e) No alternative gas supplier shall:
9		(1) enter into or employ any arrangements which have
10		the effect of preventing any customer from having access to
11		the services of the gas utility in whose service area the
12		customer is located;
13		(2) charge customers for such access;
14		(3) bill for goods or services not authorized by the
15		customer; or
16		(4) bill for a disputed amount where the alternative
17		gas supplier has been provided notice of such dispute. The
18		supplier shall attempt to resolve a dispute with the
19		customer. When the dispute is not resolved to the
20		customer's satisfaction, the supplier shall inform the
21		customer of the right to file an informal complaint with
22		the Commission and provide contact information. While the
23		pending dispute is active at the Commission, an alternative
24		gas supplier may bill only for the undisputed amount until
25		the Commission has taken final action on the complaint.
26		(f) An alternative gas supplier that is certified to serve

SB0651 Engrossed - 31 - LRB101 04244 JRG 49252 b
1		residential or small commercial customers shall not:
2		(1) deny service to a customer or group of customers
3		nor establish any differences as to prices, terms,
4		conditions, services, products, facilities, or in any
5		other respect, whereby such denial or differences are based
6		upon race, gender, or income, except as provided in Section
7		19-116;
8		(2) deny service based on locality, nor establish any
9		unreasonable difference as to prices, terms, conditions,
10		services, products, or facilities as between localities;
11		(3) include in any agreement a provision that obligates
12		a customer to the terms of the agreement if the customer
13		(i) moves outside the State of Illinois; (ii) moves to a
14		location without a transportation service program; or
15		(iii) moves to a location where the customer will not
16		require natural gas service, provided that nothing in this
17		subsection precludes an alternative gas supplier from
18		taking any action otherwise available to it to collect a
19		debt that arises out of service provided to the customer
20		before the customer moved; or
21		(4) assign the agreement to any alternative natural gas
22		supplier, unless:
23		(A) the supplier is an alternative gas supplier
24		certified by the Commission;
25		(B) the rates, terms, and conditions of the
26		agreement being assigned do not change during the

SB0651 Engrossed - 32 - LRB101 04244 JRG 49252 b
1		remainder of the time covered by the agreement;
2		(C) the customer is given no less than 30 days
3		prior written notice of the assignment and contact
4		information for the new supplier; and
5		(D) the supplier assigning the contract provides
6		contact information that a customer can use to resolve
7		a dispute.
8		(g) An alternative gas supplier shall comply with the
9		following requirements with respect to the marketing,
10		offering, and provision of products or services:
11		(1) All Any marketing materials, including, but not
12		limited to, electronic marketing materials, in-person
13		solicitations, and telephone solicitations, which make
14		statements concerning prices, terms, and conditions of
15		service shall contain information that adequately
16		discloses the prices, terms, and conditions of the products
17		or services and shall disclose the utility gas supply cost
18		rates per therm price to compare available from the
19		Illinois Commerce Commission website applicable at the
20		time the alternative retail gas supplier is offering or
21		selling the products or services to the customer and shall
22		disclose the date on which the utility gas supply cost
23		rates per therm became effective and the date on which they
24		will expire. All marketing materials, including, but not
25		limited to, electronic marketing materials, in-person
26		solicitations, and telephone solicitations, shall include

SB0651 Engrossed - 33 - LRB101 04244 JRG 49252 b
1		the following statement: .
2		"(Name of the alternative retail gas supplier) is
3		not the same entity as your gas delivery company. You
4		are not required to enroll with (name of alternative
5		retail gas supplier). Beginning on (effective date),
6		the utility gas supply cost rate per therm is (cost).
7		The utility gas supply cost will expire on (expiration
8		date). For more information go to the Illinois Commerce
9		Commission's free website at
10		www.icc.illinois.gov/ags/consumereducation.aspx.".
11		This paragraph (1) does not apply to goodwill or
12		institutional advertising.
13		(2) Before any customer is switched from another
14		supplier, the alternative gas supplier shall give the
15		customer written information that clearly and
16		conspicuously discloses, in plain language, the prices,
17		terms, and conditions of the products and services being
18		offered and sold to the customer. This written information
19		shall be provided in a language in which the customer
20		subject to the marketing or solicitation is able to
21		understand and communicate, and the alternative retail gas
22		supplier shall comply with Section 2N of the Consumer Fraud
23		and Deceptive Business Practices Act. Nothing in this
24		paragraph (2) may be read to relieve an alternative gas
25		supplier from the duties imposed on it by item (3) of
26		subsection (c) of Section 2DDD of the Consumer Fraud and

SB0651 Engrossed - 34 - LRB101 04244 JRG 49252 b
1		Deceptive Business Practices Act.
2		(3) The alternative gas supplier shall provide to the
3		customer:
4		(A) accurate, timely, and itemized billing
5		statements that describe the products and services
6		provided to the customer and their prices and that
7		specify the gas consumption amount and any service
8		charges and taxes; provided that this item (g)(3)(A)
9		does not apply to small commercial customers;
10		(B) billing statements that clearly and
11		conspicuously discloses the name and contact
12		information for the alternative gas supplier;
13		(C) an additional statement, at least annually,
14		that adequately discloses the average monthly prices,
15		and the terms and conditions, of the products and
16		services sold to the customer; provided that this item
17		(g)(3)(C) does not apply to small commercial
18		customers;
19		(D) refunds of any deposits with interest within 30
20		days after the date that the customer changes gas
21		suppliers or discontinues service if the customer has
22		satisfied all of his or her outstanding financial
23		obligations to the alternative gas supplier at an
24		interest rate set by the Commission which shall be the
25		same as that required of gas utilities; and
26		(E) refunds, in a timely fashion, of all undisputed

SB0651 Engrossed - 35 - LRB101 04244 JRG 49252 b
1		overpayments upon the oral or written request of the
2		customer.
3		(4) An alternative gas supplier and its sales agents
4		shall refrain from any direct marketing or soliciting to
5		consumers on the gas utility's "Do Not Contact List", which
6		the alternative gas supplier shall obtain on the 15th
7		calendar day of the month from the gas utility in whose
8		service area the consumer is provided with gas service. If
9		the 15th calendar day is a non-business day, then the
10		alternative gas supplier shall obtain the list on the next
11		business day following the 15th calendar day of that month.
12		(5) Early Termination.
13		(A) Any agreement that contains an early
14		termination clause shall disclose the amount of the
15		early termination fee, provided that any early
16		termination fee or penalty shall not exceed $50 total,
17		regardless of whether or not the agreement is a
18		multiyear agreement.
19		(B) In any agreement that contains an early
20		termination clause, an alternative gas supplier shall
21		provide the customer the opportunity to terminate the
22		agreement without any termination fee or penalty
23		within 10 business days after the date of the first
24		bill issued to the customer for products or services
25		provided by the alternative gas supplier. The
26		agreement shall disclose the opportunity and provide a

SB0651 Engrossed - 36 - LRB101 04244 JRG 49252 b
1		toll-free phone number that the customer may call in
2		order to terminate the agreement.
3		(6) Within 2 business days after electronic receipt of
4		a customer switch from the alternative gas supplier and
5		confirmation of eligibility, the gas utility shall provide
6		the customer written notice confirming the switch. The gas
7		utility shall not switch the service until 10 business days
8		after the date on the notice to the customer.
9		(7) The alternative gas supplier shall provide each
10		customer the opportunity to rescind its agreement without
11		penalty within 10 business days after the date on the gas
12		utility notice to the customer. The alternative gas
13		supplier shall disclose all of the following:
14		(A) that the gas utility shall send a notice
15		confirming the switch;
16		(B) that from the date the utility issues the
17		notice confirming the switch, the customer shall have
18		10 business days to rescind the switch without penalty;
19		(C) that the customer shall contact the gas utility
20		or the alternative gas supplier to rescind the switch;
21		and
22		(D) the contact information for the gas utility.
23		The alternative gas supplier disclosure shall be
24		included in its sales solicitations, contracts, and all
25		applicable sales verification scripts.
26		(8) All solicitations shall be conducted in,

SB0651 Engrossed - 37 - LRB101 04244 JRG 49252 b
1		translated into, and provided in a language in which the
2		customer subject to the marketing or solicitation is able
3		to understand and communicate. An alternative retail gas
4		supplier shall not solicit an enrollment of or enroll any
5		customer if the alternative gas supplier is unable to
6		communicate and provide marketing materials in a language
7		in which the customer subject to the marketing or
8		solicitation is able to understand and communicate.
9		(h) An alternative gas supplier may limit the overall size
10		or availability of a service offering by specifying one or more
11		of the following:
12		(1) a maximum number of customers and maximum amount of
13		gas load to be served;
14		(2) time period during which the offering will be
15		available; or
16		(3) other comparable limitation, but not including the
17		geographic locations of customers within the area which the
18		alternative gas supplier is certificated to serve.
19		The alternative gas supplier shall file the terms and
20		conditions of such service offering including the applicable
21		limitations with the Commission prior to making the service
22		offering available to customers.
23		(i) Nothing in this Section shall be construed as
24		preventing an alternative gas supplier that is an affiliate of,
25		or which contracts with, (i) an industry or trade organization
26		or association, (ii) a membership organization or association

SB0651 Engrossed - 38 - LRB101 04244 JRG 49252 b
1		that exists for a purpose other than the purchase of gas, or
2		(iii) another organization that meets criteria established in a
3		rule adopted by the Commission from offering through the
4		organization or association services at prices, terms and
5		conditions that are available solely to the members of the
6		organization or association.
7		(Source: P.A. 95-1051, eff. 4-10-09.)
8		(220 ILCS 5/19-116 new)
9		Sec. 19-116. Alternative retail gas supplier utility
10		assistance recipient.
11		(a) Beginning January 1, 2020, an alternative retail gas
12		supplier shall not knowingly submit an enrollment to change a
13		customer's gas supply service if the gas utility's records
14		indicate that the customer either received financial
15		assistance in the last 12 months from the Low Income Home
16		Energy Assistance Program or, at the time of enrollment, is
17		participating in the Percentage of Income Payment Plan, unless
18		the customer's change in gas supply service is pursuant to a
19		Commission-approved savings guarantee plan as described in
20		subsection (b).
21		(b) Beginning July 1, 2020, an alternative retail gas
22		supplier may apply to the Commission to offer a savings
23		guarantee plan to recipients of the Low Income Home Energy
24		Assistance Program or Percentage of Income Payment Plan
25		funding. The Commission shall initiate a public, docketed

SB0651 Engrossed - 39 - LRB101 04244 JRG 49252 b
1		proceeding to consider whether or not to approve an alternative
2		retail gas supplier's application to offer a savings guarantee
3		plan. At a minimum, the savings guarantee plan shall charge
4		customers for gas supply at an amount that is less than the gas
5		utility supply rate. The Commission shall adopt rules to
6		implement this subsection (b).
7		(c) An agreement entered into between an alternative retail
8		gas supplier and a consumer who either received financial
9		assistance in the last 12 months from the Low Income Home
10		Energy Assistance Program or, at the time of enrollment, is
11		participating in the Percentage of Income Payment Plan is void
12		and unenforceable. Before the gas utility executes a change in
13		a customer's supplier, other than a change pursuant to a
14		Commission-approved savings guarantee plan as described in
15		subsection (b), the gas utility shall confirm at the time of
16		the request that its records do not indicate that the customer
17		either received financial assistance within the preceding 12
18		months from the Low Income Home Energy Assistance Program or,
19		at the time of enrollment, is participating in the Percentage
20		of Income Payment Plan and, if its records so indicate, shall
21		reject the change request. Absent willful or wanton misconduct,
22		no gas utility shall be held liable for any error in acting or
23		failing to act pursuant to this Section.
24		(220 ILCS 5/19-130)
25		Sec. 19-130. Commission study and report. The Commission's

SB0651 Engrossed - 40 - LRB101 04244 JRG 49252 b
1		Office of Retail Market Development shall prepare an annual
2		report regarding the development of competitive retail natural
3		gas markets in Illinois. The Office shall monitor existing
4		competitive conditions in Illinois, identify barriers to
5		retail competition for all customer classes, and actively
6		explore and propose to the Commission and to the General
7		Assembly solutions to overcome identified barriers. Solutions
8		proposed by the Office to promote retail competition must also
9		promote safe, reliable, and affordable natural gas service.
10		On or before October 1 of each year, beginning in 2015, the
11		Director shall submit a report to the Commission, the General
12		Assembly, and the Governor, that includes, at a minimum, the
13		following information:
14		(1) an analysis of the status and development of the
15		retail natural gas market in the State of Illinois; and
16		(2) a discussion of any identified barriers to the
17		development of competitive retail natural gas markets in
18		Illinois and proposed solutions to overcome identified
19		barriers; and
20		(3) any other information the Office considers
21		significant in assessing the development of natural gas
22		markets in the State of Illinois.
23		Beginning in 2021, the report shall also include the
24		information submitted to the Commission pursuant to paragraph
25		(6) of subsection (b) of Section 19-115.
26		(Source: P.A. 97-223, eff. 1-1-12; 98-1121, eff. 8-26-14.)

SB0651 Engrossed - 41 - LRB101 04244 JRG 49252 b
1		(220 ILCS 5/19-135)
2		Sec. 19-135. Single billing.
3		(a) It is the intent of the General Assembly that in any
4		service area where customers are able to choose their natural
5		gas supplier, a single billing option shall be offered to
6		customers for both the services provided by the alternative gas
7		supplier and the delivery services provided by the gas utility.
8		A gas utility shall file a tariff pursuant to Article IX of
9		this Act that allows alternative gas suppliers to issue single
10		bills to residential and small commercial customers for both
11		the services provided by the alternative gas supplier and the
12		delivery services provided by the gas utility to customers;
13		provided that if a form of single billing is being offered in a
14		gas utility's service area on the effective date of this
15		amendatory Act of the 92nd General Assembly, that form of
16		single billing shall remain in effect unless and until
17		otherwise ordered by the Commission.
18		(b) Every alternative gas supplier that issues a single
19		bill for delivery and supply shall include on the single bill
20		issued to a residential customer the current utility gas supply
21		cost rate per therm that would apply to the customer for the
22		billing period if the customer obtained supply from the
23		utility, including all fixed or monthly supply charges and
24		other charges, credits, or rates that are part of the gas
25		supply price.

SB0651 Engrossed - 42 - LRB101 04244 JRG 49252 b
1		(c) Every gas utility that offers supply choice and
2		provides delivery and alternative gas supply service on a
3		single bill to its residential customers shall include on the
4		bill of each residential customer who purchases supply services
5		from an alternative gas supplier the total supply charge of the
6		gas utility for the billing period that would apply to the
7		customer for the billing period if the customer obtained supply
8		from the utility, including all fixed or monthly supply charges
9		and other charges, credits, or rates that are part of the gas
10		supply price.
11		(Source: P.A. 92-852, eff. 8-26-02.)
12		(220 ILCS 5/20-110)
13		Sec. 20-110. Office of Retail Market Development. Within 90
14		days after the effective date of this amendatory Act of the
15		94th General Assembly, subject to appropriation, the
16		Commission shall establish an Office of Retail Market
17		Development and employ on its staff a Director of Retail Market
18		Development to oversee the Office. The Director shall have
19		authority to employ or otherwise retain at least 2
20		professionals dedicated to the task of actively seeking out
21		ways to promote retail competition in Illinois to benefit all
22		Illinois consumers.
23		The Office shall actively seek input from all interested
24		parties and shall develop a thorough understanding and critical
25		analyses of the tools and techniques used to promote retail

SB0651 Engrossed - 43 - LRB101 04244 JRG 49252 b
1		competition in other states.
2		The Office shall monitor existing competitive conditions
3		in Illinois, identify barriers to retail competition for all
4		customer classes, and actively explore and propose to the
5		Commission and to the General Assembly solutions to overcome
6		identified barriers. The Director may include municipal
7		aggregation of customers and creating and designing customer
8		choice programs as tools for retail market development.
9		Solutions proposed by the Office to promote retail competition
10		must also promote safe, reliable, and affordable electric
11		service.
12		On or before June 30 of each year, the Director shall
13		submit a report to the Commission, the General Assembly, and
14		the Governor, that details specific accomplishments achieved
15		by the Office in the prior 12 months in promoting retail
16		electric competition and that suggests administrative and
17		legislative action necessary to promote further improvements
18		in retail electric competition. On or before June 30, 2021 and
19		every year thereafter, the report shall include the information
20		submitted to the Commission pursuant to paragraph (iii) of
21		subsection (a) of Section 16-115A.
22		(Source: P.A. 94-1095, eff. 2-2-07.)
23		Section 10. The Consumer Fraud and Deceptive Business
24		Practices Act is amended by changing Sections 2EE and 2DDD as
25		follows:

SB0651 Engrossed - 44 - LRB101 04244 JRG 49252 b
1		(815 ILCS 505/2EE)
2		Sec. 2EE. Alternative retail electric supplier Electric
3		service provider selection.
4		(a) An alternative retail electric supplier electric
5		service provider shall not submit or execute a change in a
6		consumer's subscriber's selection of a provider of electric
7		service unless and until:
8		(i) the alternative retail electric supplier provider
9		first discloses all material terms and conditions of the
10		offer to the consumer subscriber;
11		(ii) the alternative retail electric supplier
12		discloses the utility electric supply price to compare,
13		which shall be the sum of the electric supply charge and
14		the transmission services charge, and shall not include the
15		purchased electricity adjustment, applicable at the time
16		the offer is made to the consumer;
17		(iii) the alternative retail electric provider
18		discloses the following statement:
19		"(Name of the alternative retail electric
20		supplier) is not the same entity as your electric
21		delivery company. You are not required to enroll with
22		(name of alternative retail electric supplier). As of
23		(effective date), the electric supply price to compare
24		is currently (price in cents per kilowatt hour). The
25		electric utility electric supply price will expire on

SB0651 Engrossed - 45 - LRB101 04244 JRG 49252 b
1		(expiration date). The utility electric supply price
2		to compare does not include the purchased electricity
3		adjustment factor that may range between +.5 cents and -
4		.5 cents per kilowatt hour. For more information go to
5		the Illinois Commerce Commission's free website at
6		www.pluginillinois.org.";
7		(iv) the alternative retail electric supplier has
8		obtained the consumer's express agreement to accept the
9		offer after the disclosure of all material terms and
10		conditions of the offer; and
11		(v) the alternative retail electric supplier has
12		confirmed the request for a change in accordance with one
13		of the following procedures: (ii) the provider has obtained
14		the subscriber's express agreement to accept the offer
15		after the disclosure of all material terms and conditions
16		of the offer; and (iii) the provider has confirmed the
17		request for a change in accordance with one of the
18		following procedures:
19		(A) (a) The new alternative retail electric
20		supplier electric service provider has obtained the
21		consumer's subscriber's written or electronically
22		signed authorization in a form that meets the following
23		requirements:
24		(1) An alternative retail electric supplier
25		electric service provider shall obtain any
26		necessary written or electronically signed

SB0651 Engrossed - 46 - LRB101 04244 JRG 49252 b
1		authorization from a consumer subscriber for a
2		change in electric service by using a letter of
3		agency as specified in this Section. Any letter of
4		agency that does not conform with this Section is
5		invalid.
6		(2) The letter of agency shall be a separate
7		document (an easily separable document containing
8		only the authorization language described in
9		subparagraph (5) (a)(5) of this Section) whose
10		sole purpose is to authorize an electric service
11		provider change. The letter of agency must be
12		signed and dated by the consumer subscriber
13		requesting the electric service provider change.
14		(3) The letter of agency shall not be combined
15		with inducements of any kind on the same document.
16		(4) Notwithstanding subparagraphs (1) (a)(1)
17		and (2) (a)(2) of this Section, the letter of
18		agency may be combined with checks that contain
19		only the required letter of agency language
20		prescribed in subparagraph (5) (a)(5) of this
21		Section and the necessary information to make the
22		check a negotiable instrument. The letter of
23		agency check shall not contain any promotional
24		language or material. The letter of agency check
25		shall contain in easily readable, bold-face type
26		on the face of the check, a notice that the

SB0651 Engrossed - 47 - LRB101 04244 JRG 49252 b
1		consumer is authorizing an electric service
2		provider change by signing the check. The letter of
3		agency language also shall be placed near the
4		signature line on the back of the check.
5		(5) At a minimum, the letter of agency must be
6		printed with a print of sufficient size to be
7		clearly legible, and must contain clear and
8		unambiguous language that confirms:
9		(i) The consumer's subscriber's billing
10		name and address;
11		(ii) The decision to change the electric
12		service provider from the current provider to
13		the prospective provider;
14		(iii) The terms, conditions, and nature of
15		the service to be provided to the consumer
16		subscriber must be clearly and conspicuously
17		disclosed, in writing, and an alternative
18		retail electric supplier electric service
19		provider must directly establish the rates for
20		the service contracted for by the consumer
21		subscriber; and
22		(iv) That the consumer subscriber
23		understand that any alternative retail
24		electric supplier electric service provider
25		selection the consumer subscriber chooses may
26		involve a charge to the consumer subscriber for

SB0651 Engrossed - 48 - LRB101 04244 JRG 49252 b
1		changing the consumer's subscriber's electric
2		service provider.
3		(6) Letters of agency shall not suggest or
4		require that a consumer subscriber take some
5		action in order to retain the consumer's
6		subscriber's current electric service provider.
7		(7) If any portion of a letter of agency is
8		translated into another language, then all
9		portions of the letter of agency must be translated
10		into that language.
11		(B) (b) An appropriately qualified independent
12		third party has obtained, in accordance with the
13		procedures set forth in this subsection (b), the
14		consumer's subscriber's oral authorization to change
15		electric suppliers that confirms and includes
16		appropriate verification data. The independent third
17		party (i) must not be owned, managed, controlled, or
18		directed by the supplier or the supplier's marketing
19		agent; (ii) must not have any financial incentive to
20		confirm supplier change requests for the supplier or
21		the supplier's marketing agent; and (iii) must operate
22		in a location physically separate from the supplier or
23		the supplier's marketing agent.
24		Automated third-party verification systems and
25		3-way conference calls may be used for verification
26		purposes so long as the other requirements of this

SB0651 Engrossed - 49 - LRB101 04244 JRG 49252 b
1		subsection (b) are satisfied.
2		A supplier or supplier's sales representative
3		initiating a 3-way conference call or a call through an
4		automated verification system must drop off the call
5		once the 3-way connection has been established.
6		All third-party verification methods shall elicit,
7		at a minimum, the following information: (i) the
8		identity of the consumer subscriber; (ii) confirmation
9		that the person on the call is authorized to make the
10		supplier change; (iii) confirmation that the person on
11		the call wants to make the supplier change; (iv) the
12		names of the suppliers affected by the change; (v) the
13		service address of the supply to be switched; and (vi)
14		the price of the service to be supplied and the
15		material terms and conditions of the service being
16		offered, including whether any early termination fees
17		apply. Third-party verifiers may not market the
18		supplier's services by providing additional
19		information, including information regarding
20		procedures to block or otherwise freeze an account
21		against further changes.
22		All third-party verifications shall be conducted
23		in the same language that was used in the underlying
24		sales transaction and shall be recorded in their
25		entirety. Submitting suppliers shall maintain and
26		preserve audio records of verification of subscriber

SB0651 Engrossed - 50 - LRB101 04244 JRG 49252 b
1		authorization for a minimum period of 2 years after
2		obtaining the verification. Automated systems must
3		provide consumers with an option to speak with a live
4		person at any time during the call. Each disclosure
5		made during the third-party verification must be made
6		individually to obtain clear acknowledgment of each
7		disclosure. The alternative retail electric supplier
8		must be in a location where he or she cannot hear the
9		customer while the third-party verification is
10		conducted. The alternative retail electric supplier
11		shall not contact the customer after the third-party
12		verification for a period of 24 hours unless the
13		customer initiates the contact.
14		(C) (c) When a consumer subscriber initiates the
15		call to the prospective alternative retail electric
16		supplier electric supplier, in order to enroll the
17		consumer subscriber as a customer, the prospective
18		alternative retail electric supplier must, with the
19		consent of the customer, make a date-stamped,
20		time-stamped audio recording that elicits, at a
21		minimum, the following information:
22		(1) the identity of the customer subscriber;
23		(2) confirmation that the person on the call is
24		authorized to make the supplier change;
25		(3) confirmation that the person on the call
26		wants to make the supplier change;

SB0651 Engrossed - 51 - LRB101 04244 JRG 49252 b
1		(4) the names of the suppliers affected by the
2		change;
3		(5) the service address of the supply to be
4		switched; and
5		(6) the price of the service to be supplied and
6		the material terms and conditions of the service
7		being offered, including whether any early
8		termination fees apply.
9		Submitting suppliers shall maintain and preserve
10		the audio records containing the information set forth
11		above for a minimum period of 2 years.
12		(b) An alternative retail electric supplier electric
13		service provider also shall not submit or execute a change in a
14		consumer's selection of a provider of electric service unless
15		it complies with the following requirements of this subsection
16		(b). It is a violation of this Section for an alternative
17		retail electric supplier to fail to comply with this subsection
18		(b).
19		(1) An alternative retail electric supplier shall not
20		utilize the name of a public utility in any manner that is
21		deceptive or misleading, including, but not limited to,
22		implying or otherwise leading a customer to believe that an
23		alternative retail electric supplier is soliciting on
24		behalf of or is an agent of a utility. An alternative
25		retail electric supplier shall not utilize the name, or any
26		other identifying insignia, graphics, or wording that has

SB0651 Engrossed - 52 - LRB101 04244 JRG 49252 b
1		been used at any time to represent a public utility company
2		or its services, to identify, label, or define any of its
3		electric power and energy service offers. An alternative
4		retail electric supplier that is an affiliate of an
5		Illinois public utility and that was doing business in
6		Illinois providing alternative retail electric service on
7		January 1, 2016 may continue to use that public utility's
8		name, logo, identifying insignia, graphics, or wording in
9		its business operations occurring outside the service
10		territory of the public utility with which it is
11		affiliated.
12		(2) During a solicitation, an alternative retail
13		electric supplier shall state that he or she represents an
14		independent seller of electric power and energy service
15		certified by the Illinois Commerce Commission and that he
16		or she is not employed by, representing, endorsed by, or
17		acting on behalf of, a utility, or a utility program, a
18		consumer group or consumer group program, or a governmental
19		body, unless the alternative retail electric supplier has
20		entered into a contractual arrangement with the
21		governmental body and has been authorized by the
22		governmental body to make the statements.
23		(3) Alternative retail electric suppliers who engage
24		in in-person solicitation for the purpose of selling
25		electric power and energy service offered by the
26		alternative retail electric supplier shall display

SB0651 Engrossed - 53 - LRB101 04244 JRG 49252 b
1		identification on an outer garment. This identification
2		shall be visible at all times and prominently display the
3		following: (i) the alternative retail electric supplier
4		agent's full name in reasonable size font; (ii) an agent
5		identification number; (iii) a photograph of the
6		alternative retail electric supplier agent; and (iv) the
7		trade name and logo of the alternative retail electric
8		supplier the agent is representing. If the agent is selling
9		electric power and energy services from multiple
10		alternative retail electric supplier to the customer, the
11		identification shall display the trade name and logo of the
12		agent, broker, or consultant entity as that entity is
13		defined in Section 16-115C of the Public Utilities Act.
14		An alternative retail electric supplier agent shall
15		leave the premises at the customer's, owner's, or
16		occupant's request. The alternative retail electric
17		supplier agent shall, during the sales presentation to the
18		customer, verbally disclose all material terms and
19		conditions of the offer. A copy of the Uniform Disclosure
20		Statement described in 83 Ill. Adm. Code 412.115 and
21		412.Appendix A is to be left with the customer at the
22		conclusion of the visit unless a customer refuses to accept
23		a copy. An alternative retail electric supplier agent may
24		provide the Uniform Disclosure Statement electronically
25		instead of in paper form to a customer upon that customer's
26		request. The alternative retail electric supplier shall

SB0651 Engrossed - 54 - LRB101 04244 JRG 49252 b
1		also offer, at the time of the initiation of the
2		solicitation, a business card or other material that lists
3		the agent's name, identification number and title, and the
4		alternative retail electric suppliers' name and contact
5		information, including telephone number. The alternative
6		retail electric supplier shall not conduct any in-person
7		solicitations at any building or premises where any sign,
8		notice, or declaration of any description whatsoever is
9		posted that prohibits sales, marketing, or solicitations.
10		The alternative retail electric supplier agent shall
11		obtain consent to enter multi-unit residential dwellings.
12		Consent obtained to enter a multi-unit dwelling from one
13		prospective customer or occupant of the dwelling shall not
14		constitute consent to market to any other prospective
15		customers in the dwelling without separate consent.
16		(4) An alternative retail electric supplier who
17		contacts customers by telephone for the purpose of selling
18		electric power and energy service shall provide the agent's
19		name and identification number. An alternative retail
20		electric supplier agent shall, during the sales
21		presentation to the customer, disclose all material terms
22		and conditions of the offer unless the sales presentation
23		is terminated by the customer before the disclosures are
24		completed. Any telemarketing solicitations that lead to a
25		telephone enrollment must be recorded and retained for a
26		minimum of 2 years. All telemarketing calls that do not

SB0651 Engrossed - 55 - LRB101 04244 JRG 49252 b
1		lead to a telephone enrollment, but last at least 2
2		minutes, shall be recorded and retained for a minimum of 6
3		months.
4		(5) During an inbound enrollment call, an alternative
5		retail electric supplier shall state that he or she
6		represents an independent seller of electric power and
7		energy service certified by the Illinois Commerce
8		Commission. An alternative retail electric supplier shall
9		not state or otherwise imply that he or she is employed by,
10		representing, endorsed by, or acting on behalf of a utility
11		or a utility program, a consumer group or consumer group
12		program, or a governmental body, unless the alternative
13		retail electric supplier has entered into a contractual
14		arrangement with the governmental body and has been
15		authorized by the governmental body to make the statements.
16		The alternative retail electric supplier shall verbally
17		disclose all material terms and conditions of the offer.
18		All inbound enrollment calls that lead to an enrollment
19		shall be recorded, and the recordings shall be retained for
20		a minimum of 2 years. An inbound enrollment call that does
21		not lead to an enrollment, but lasts at least 2 minutes,
22		shall be retained for a minimum of 6 months. The
23		alternative retail electric supplier shall send the
24		Uniform Disclosure Statement and contract to the customer
25		within 3 business days after the electric utility's
26		confirmation to the alternative retail electric supplier

SB0651 Engrossed - 56 - LRB101 04244 JRG 49252 b
1		of an accepted enrollment.
2		(6) If an alternative retail electric supplier
3		contacts customers for enrollment for electric power and
4		energy service by direct mail, the direct mail material
5		shall include all material terms and conditions of the
6		products or services offered. Statements in direct mail
7		material shall not claim that the alternative retail
8		electric supplier represents, is endorsed by, or is acting
9		on behalf of a utility or a utility program, a consumer
10		group or program, or a governmental body or program, unless
11		the alternative retail electric supplier has entered into a
12		contractual arrangement with the governmental body and has
13		been authorized by the governmental body to make the
14		statements. If a direct mail solicitation includes a
15		written letter of agency, it shall include the Uniform
16		Disclosure Statement described in 83 Ill. Adm. Code 412.115
17		and 412.Appendix A. The Uniform Disclosure Statement shall
18		be provided on a separate page from the other marketing
19		materials included in the direct mail solicitation. If a
20		written letter of agency is being used to authorize a
21		customer's enrollment, the written letter of agency shall
22		comply with this Section. A copy of the contract must be
23		sent to the customer within 3 business days after the
24		electric utility's confirmation to the alternative retail
25		electric supplier of an accepted enrollment.
26		(7) Each alternative retail electric supplier offering

SB0651 Engrossed - 57 - LRB101 04244 JRG 49252 b
1		electric power and energy service to customers online shall
2		clearly and conspicuously make all disclosures for any
3		services offered through online enrollment before
4		requiring the customer to enter any personal information
5		other than zip code, electric utility service territory, or
6		type of service sought. Alternative retail electric
7		suppliers' marketing material shall not make any
8		statements that it is a representative of, endorsed by, or
9		acting on behalf of, a utility or a utility program, a
10		consumer group or a program run by a consumer group, a
11		governmental body or a program run by a governmental body,
12		unless the alternative retail electric supplier has
13		entered into a contractual arrangement with the
14		governmental body and has been authorized by the
15		governmental body to make the statements. The Uniform
16		Disclosure Statement must be printable in a portable
17		document format (PDF) and shall be available
18		electronically to the customer. The enrollment website of
19		the alternative retail electric supplier shall, at a
20		minimum, include: (i) disclosure of all material terms and
21		conditions of the offer; (ii) a statement that electronic
22		acceptance of the terms and conditions is an agreement to
23		initiate service and begin enrollment; (iii) a statement
24		that the customer should review the contract or contact the
25		current supplier to learn if any early termination fees are
26		applicable; and (iv) an e-mail address and toll-free phone

SB0651 Engrossed - 58 - LRB101 04244 JRG 49252 b
1		number of the alternative retail electric supplier where
2		the customer can express a decision to rescind the
3		contract.
4		(8) If an alternative retail electric supplier seeks to
5		renew a customer's contract, then at least 30 days, but no
6		more than 60 days, before the end of the current contract
7		term the alternative retail electric supplier shall
8		provide to the customer a written notice that includes a
9		side-by-side comparison of the rate the customer is being
10		charged pursuant to the current contract and the rate the
11		customer would be charged pursuant to the renewed contract.
12		An alternative retail electric supplier shall not
13		automatically renew a customer's enrollment after the
14		current term of the contract expires if the customer does
15		not expressly consent to the contract renewal in writing or
16		by electronic signature at least 30 days, but no more than
17		60 days, before the current contract term expires and (i)
18		the rate the customer would be charged pursuant to the
19		renewed contract is greater than the rate of the current
20		contract, or (ii) the current contract provides that the
21		customer will be charged a fixed rate and the renewed
22		contract provides the customer will be charged a variable
23		rate.
24		(9) All solicitations shall be conducted in,
25		translated into, and provided in a language in which the
26		customer subject to the marketing or solicitation is able

SB0651 Engrossed - 59 - LRB101 04244 JRG 49252 b
1		to understand and communicate. An alternative retail
2		electric supplier shall not solicit an enrollment of or
3		enroll any customer if the alternative retail electric
4		supplier is unable to communicate and provide marketing
5		materials in a language in which the customer subject to
6		the marketing or solicitation is able to understand and
7		communicate and shall comply with Section 2N of this Act.
8		(10) Customers on a month-to-month variable rate or
9		time-of-use product shall have the right to terminate their
10		contract with the alternative retail electric supplier at
11		any time without any termination fee.
12		(11) An alternative retail electric supplier shall not
13		submit a change to a customer's electric service provider
14		in violation of Section 16-115E of the Public Utilities
15		Act.
16		(c) (d) Complaints may be filed with the Illinois Commerce
17		Commission under this Section by a consumer subscriber whose
18		electric service has been provided by an alternative retail
19		electric supplier electric service supplier in a manner not in
20		compliance with this Section. If, after notice and hearing, the
21		Commission finds that an alternative retail electric supplier
22		electric service provider has violated this Section, the
23		Commission may in its discretion do any one or more of the
24		following:
25		(1) Require the violating alternative retail electric
26		supplier electric service provider to refund to the

SB0651 Engrossed - 60 - LRB101 04244 JRG 49252 b
1		consumer subscriber charges collected in excess of those
2		that would have been charged by the consumer's subscriber's
3		authorized electric service provider.
4		(2) Require the violating alternative retail electric
5		supplier electric service provider to pay to the consumer's
6		subscriber's authorized electric service provider supplier
7		the amount the authorized electric service provider
8		electric supplier would have collected for the electric
9		service. The Commission is authorized to reduce this
10		payment by any amount already paid by the violating
11		alternative retail electric supplier electric supplier to
12		the consumer's subscriber's authorized provider for
13		electric service.
14		(3) Require the violating alternative retail electric
15		supplier subscriber to pay a fine of up to $1,000 into the
16		Public Utility Fund for each repeated and intentional
17		violation of this Section.
18		(4) Issue a cease and desist order.
19		(5) For a pattern of violation of this Section or for
20		intentionally violating a cease and desist order, revoke
21		the violating alternative retail electric supplier's
22		provider's certificate of service authority.
23		(d) (e) For purposes of this Section:
24		"Electric , "electric service provider" shall have the
25		meaning given that phrase in Section 6.5 of the Attorney
26		General Act.

SB0651 Engrossed - 61 - LRB101 04244 JRG 49252 b
1		"Alternative retail electric supplier" has the meaning
2		given to that term in Section 16-102 of the Public Utilities
3		Act.
4		(Source: P.A. 95-700, eff. 11-9-07.)
5		(815 ILCS 505/2DDD)
6		Sec. 2DDD. Alternative gas suppliers.
7		(a) Definitions.
8		(1) "Alternative gas supplier" has the same meaning as
9		in Section 19-105 of the Public Utilities Act.
10		(2) "Gas utility" has the same meaning as in Section
11		19-105 of the Public Utilities Act.
12		(b) It is an unfair or deceptive act or practice within the
13		meaning of Section 2 of this Act for any person to violate any
14		provision of this Section.
15		(c) Solicitation.
16		(1) An alternative gas supplier shall not utilize the
17		name of a public utility in any manner that is deceptive or
18		misleading, including, but not limited to, implying or
19		otherwise leading a customer to believe that an alternative
20		retail gas supplier is soliciting on behalf of or is an
21		agent of a utility. An alternative retail gas supplier
22		shall not utilize the name, or any other identifying
23		insignia, graphics, or wording, that has been used at any
24		time to represent a public utility company or its services
25		or to identify, label, or define any of its electric power

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1		and energy service offers and shall not misrepresent the
2		affiliation of any alternative supplier with the gas
3		utility, governmental bodies, or consumer groups.
4		(2) If any sales solicitation, agreement, contract, or
5		verification is translated into another language and
6		provided to a customer, all of the documents must be
7		provided to the customer in that other language.
8		(2.3) An alternative retail gas supplier shall state
9		that it represents an independent seller of gas certified
10		by the Illinois Commerce Commission and that he or she is
11		not employed by, representing, endorsed by, or acting on
12		behalf of a utility, or a utility program.
13		(2.5) All solicitations shall be conducted in,
14		translated into, and provided in a language in which the
15		customer subject to the marketing or solicitation is able
16		to understand and communicate. An alternative retail
17		electric supplier shall not solicit an enrollment of or
18		enroll any customer if the alternative retail electric
19		supplier is unable to communicate and provide marketing
20		materials in a language in which the customer subject to
21		the marketing or solicitation is able to understand and
22		communicate and shall comply with Section 2N of this Act.
23		(3) An alternative gas supplier shall clearly and
24		conspicuously disclose the following information to all
25		customers:
26		(A) the prices, terms, and conditions of the

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1		products and services being sold to the customer;
2		(B) where the solicitation occurs in person,
3		including through door-to-door solicitation, the
4		salesperson's name;
5		(C) the alternative gas supplier's contact
6		information, including the address, phone number, and
7		website;
8		(D) contact information for the Illinois Commerce
9		Commission, including the toll-free number for
10		consumer complaints and website;
11		(E) a statement of the customer's right to rescind
12		the offer within 10 business days of the date on the
13		utility's notice confirming the customer's decision to
14		switch suppliers, as well as phone numbers for the
15		supplier and utility that the consumer may use to
16		rescind the contract; and
17		(F) the amount of the early termination fee, if
18		any; and .
19		(G) the utility gas supply cost rates per therm
20		price to compare available from the Illinois Commerce
21		Commission website applicable at the time the
22		alternative retail gas supplier is offering or selling
23		the products or services to the customer and shall
24		disclose the following statement:
25		"(Name of the alternative retail gas supplier) is
26		not the same entity as your gas delivery company. You

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1		are not required to enroll with (name of alternative
2		retail gas supplier). Beginning on (effective date),
3		the utility gas supply cost rate per therm is (cost).
4		The utility gas supply cost will expire on (expiration
5		date). For more information go to the Illinois Commerce
6		Commission's free website at
7		www.icc.illinois.gov/ags/consumereducation.aspx.".
8		(4) Except as provided in paragraph (5) of this
9		subsection (c), an alternative gas supplier shall send the
10		information described in paragraph (3) of this subsection
11		(c) to all customers within one business day of the
12		authorization of a switch.
13		(5) An alternative gas supplier engaging in
14		door-to-door solicitation of consumers shall provide the
15		information described in paragraph (3) of this subsection
16		(c) during all door-to-door solicitations that result in a
17		customer deciding to switch their supplier.
18		(d) Customer Authorization. An alternative gas supplier
19		shall not submit or execute a change in a customer's selection
20		of a natural gas provider unless and until (i) the alternative
21		gas supplier first discloses all material terms and conditions
22		of the offer to the customer; (ii) the alternative gas supplier
23		has obtained the customer's express agreement to accept the
24		offer after the disclosure of all material terms and conditions
25		of the offer; and (iii) the alternative gas supplier has
26		confirmed the request for a change in accordance with one of

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1		the following procedures:
2		(1) The alternative gas supplier has obtained the
3		customer's written or electronically signed authorization
4		in a form that meets the following requirements:
5		(A) An alternative gas supplier shall obtain any
6		necessary written or electronically signed
7		authorization from a customer for a change in natural
8		gas service by using a letter of agency as specified in
9		this Section. Any letter of agency that does not
10		conform with this Section is invalid.
11		(B) The letter of agency shall be a separate
12		document (or an easily separable document containing
13		only the authorization language described in item (E)
14		of this paragraph (1)) whose sole purpose is to
15		authorize a natural gas provider change. The letter of
16		agency must be signed and dated by the customer
17		requesting the natural gas provider change.
18		(C) The letter of agency shall not be combined with
19		inducements of any kind on the same document.
20		(D) Notwithstanding items (A) and (B) of this
21		paragraph (1), the letter of agency may be combined
22		with checks that contain only the required letter of
23		agency language prescribed in item (E) of this
24		paragraph (1) and the necessary information to make the
25		check a negotiable instrument. The letter of agency
26		check shall not contain any promotional language or

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1		material. The letter of agency check shall contain in
2		easily readable, bold face type on the face of the
3		check, a notice that the consumer is authorizing a
4		natural gas provider change by signing the check. The
5		letter of agency language also shall be placed near the
6		signature line on the back of the check.
7		(E) At a minimum, the letter of agency must be
8		printed with a print of sufficient size to be clearly
9		legible, and must contain clear and unambiguous
10		language that confirms:
11		(i) the customer's billing name and address;
12		(ii) the decision to change the natural gas
13		provider from the current provider to the
14		prospective alternative gas supplier;
15		(iii) the terms, conditions, and nature of the
16		service to be provided to the customer, including,
17		but not limited to, the rates for the service
18		contracted for by the customer; and
19		(iv) that the customer understands that any
20		natural gas provider selection the customer
21		chooses may involve a charge to the customer for
22		changing the customer's natural gas provider.
23		(F) Letters of agency shall not suggest or require
24		that a customer take some action in order to retain the
25		customer's current natural gas provider.
26		(G) If any portion of a letter of agency is

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1		translated into another language, then all portions of
2		the letter of agency must be translated into that
3		language.
4		(2) An appropriately qualified independent third party
5		has obtained, in accordance with the procedures set forth
6		in this paragraph (2), the customer's oral authorization to
7		change natural gas providers that confirms and includes
8		appropriate verification data. The independent third party
9		must (i) not be owned, managed, controlled, or directed by
10		the alternative gas supplier or the alternative gas
11		supplier's marketing agent; (ii) not have any financial
12		incentive to confirm provider change requests for the
13		alternative gas supplier or the alternative gas supplier's
14		marketing agent; and (iii) operate in a location physically
15		separate from the alternative gas supplier or the
16		alternative gas supplier's marketing agent. Automated
17		third-party verification systems and 3-way conference
18		calls may be used for verification purposes so long as the
19		other requirements of this paragraph (2) are satisfied. A
20		alternative gas supplier or alternative gas supplier's
21		sales representative initiating a 3-way conference call or
22		a call through an automated verification system must drop
23		off the call once the 3-way connection has been
24		established. All third-party verification methods shall
25		elicit, at a minimum, the following information:
26		(A) the identity of the customer;

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1		(B) confirmation that the person on the call is
2		authorized to make the provider change;
3		(C) confirmation that the person on the call wants
4		to make the provider change;
5		(D) the names of the providers affected by the
6		change;
7		(E) the service address of the service to be
8		switched; and
9		(F) the price of the service to be provided and the
10		material terms and conditions of the service being
11		offered, including whether any early termination fees
12		apply.
13		Third-party verifiers may not market the alternative
14		gas supplier's services. All third-party verifications
15		shall be conducted in the same language that was used in
16		the underlying sales transaction and shall be recorded in
17		their entirety. Submitting alternative gas suppliers shall
18		maintain and preserve audio records of verification of
19		customer authorization for a minimum period of 2 years
20		after obtaining the verification. Automated systems must
21		provide customers with an option to speak with a live
22		person at any time during the call. Each disclosure made
23		during the third-party verification must be made
24		individually to obtain clear acknowledgment of each
25		disclosure. The alternative retail gas supplier must be in
26		a location where he or she cannot hear the customer while

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1		the third-party verification is conducted. The alternative
2		retail gas supplier shall not contact the customer after
3		the third-party verification for a period of 24 hours
4		unless the customer initiates the contact.
5		(3) The alternative gas supplier has obtained the
6		customer's electronic authorization to change natural gas
7		service via telephone. Such authorization must elicit the
8		information in paragraph (2)(A) through (F) of this
9		subsection (d). Alternative gas suppliers electing to
10		confirm sales electronically shall establish one or more
11		toll-free telephone numbers exclusively for that purpose.
12		Calls to the number or numbers shall connect a customer to
13		a voice response unit, or similar mechanism, that makes a
14		date-stamped, time-stamped recording of the required
15		information regarding the alternative gas supplier change.
16		The alternative gas supplier shall not use such
17		electronic authorization systems to market its services.
18		(4) When a consumer initiates the call to the
19		prospective alternative gas supplier, in order to enroll
20		the consumer as a customer, the prospective alternative gas
21		supplier must, with the consent of the customer, make a
22		date-stamped, time-stamped audio recording that elicits,
23		at a minimum, the following information:
24		(A) the identity of the customer;
25		(B) confirmation that the person on the call is
26		authorized to make the provider change;

SB0651 Engrossed - 70 - LRB101 04244 JRG 49252 b
1		(C) confirmation that the person on the call wants
2		to make the provider change;
3		(D) the names of the providers affected by the
4		change;
5		(E) the service address of the service to be
6		switched; and
7		(F) the price of the service to be supplied and the
8		material terms and conditions of the service being
9		offered, including whether any early termination fees
10		apply.
11		Submitting alternative gas suppliers shall maintain
12		and preserve the audio records containing the information
13		set forth above for a minimum period of 2 years.
14		(5) In the event that a customer enrolls for service
15		from an alternative gas supplier via an Internet website,
16		the alternative gas supplier shall obtain an
17		electronically signed letter of agency in accordance with
18		paragraph (1) of this subsection (d) and any customer
19		information shall be protected in accordance with all
20		applicable statutes and rules. In addition, an alternative
21		gas supplier shall provide the following when marketing via
22		an Internet website:
23		(A) The Internet enrollment website shall, at a
24		minimum, include:
25		(i) a copy of the alternative gas supplier's
26		customer contract, which clearly and conspicuously

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1		discloses all terms and conditions; and
2		(ii) a conspicuous prompt for the customer to
3		print or save a copy of the contract.
4		(B) Any electronic version of the contract shall be
5		identified by version number, in order to ensure the
6		ability to verify the particular contract to which the
7		customer assents.
8		(C) Throughout the duration of the alternative gas
9		supplier's contract with a customer, the alternative
10		gas supplier shall retain and, within 3 business days
11		of the customer's request, provide to the customer an
12		e-mail, paper, or facsimile of the terms and conditions
13		of the numbered contract version to which the customer
14		assents.
15		(D) The alternative gas supplier shall provide a
16		mechanism by which both the submission and receipt of
17		the electronic letter of agency are recorded by time
18		and date.
19		(E) After the customer completes the electronic
20		letter of agency, the alternative gas supplier shall
21		disclose conspicuously through its website that the
22		customer has been enrolled and the alternative gas
23		supplier shall provide the customer an enrollment
24		confirmation number.
25		(6) When a customer is solicited in person by the
26		alternative gas supplier's sales agent, the alternative

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1		gas supplier may only obtain the customer's authorization
2		to change natural gas service through the method provided
3		for in paragraph (2) of this subsection (d).
4		Alternative gas suppliers must be in compliance with the
5		provisions of this subsection (d) within 90 days after the
6		effective date of this amendatory Act of the 95th General
7		Assembly.
8		(e) Early Termination.
9		(1) Any agreement that contains an early termination
10		clause shall disclose the amount of the early termination
11		fee, provided that any early termination fee or penalty
12		shall not exceed $50 total, regardless of whether or not
13		the agreement is a multiyear agreement. Customers on a
14		month-to-month variable rate or time-of-use product shall
15		have the right to terminate their contract with the
16		alternative retail gas supplier at any time without any
17		termination fee.
18		(2) In any agreement that contains an early termination
19		clause, an alternative gas supplier shall provide the
20		customer the opportunity to terminate the agreement
21		without any termination fee or penalty within 10 business
22		days after the date of the first bill issued to the
23		customer for products or services provided by the
24		alternative gas supplier. The agreement shall disclose the
25		opportunity and provide a toll-free phone number that the
26		customer may call in order to terminate the agreement.

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1		(f) The alternative gas supplier shall provide each
2		customer the opportunity to rescind its agreement without
3		penalty within 10 business days after the date on the gas
4		utility notice to the customer. The alternative gas supplier
5		shall disclose to the customer all of the following:
6		(1) that the gas utility shall send a notice confirming
7		the switch;
8		(2) that from the date the utility issues the notice
9		confirming the switch, the customer shall have 10 business
10		days before the switch will become effective;
11		(3) that the customer may contact the gas utility or
12		the alternative gas supplier to rescind the switch within
13		10 business days; and
14		(4) the contact information for the gas utility and the
15		alternative gas supplier.
16		The alternative gas supplier disclosure shall be included
17		in its sales solicitations, contracts, and all applicable sales
18		verification scripts.
19		(f-5) An alternative retail gas supplier must also comply
20		with the following requirements of this subsection (f-5). It is
21		a violation of this Section for an alternative retail electric
22		supplier to fail to comply with this subsection (f-5).
23		(1) If an alternative retail gas supplier seeks to
24		renew a customer's contract, then at least 30 days, but no
25		more than 60 days, before the end of the current contract
26		term the alternative retail gas supplier shall provide to

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1		the customer a written notice that includes a side-by-side
2		comparison of the rate the customer is being charged
3		pursuant to the current contract and the rate the customer
4		would be charged pursuant to the renewed contract. An
5		alternative retail gas supplier shall not automatically
6		renew a customer's enrollment after the current term of the
7		contract expires if the customer does not expressly consent
8		to the contract renewal in writing or by electronic
9		signature at least 30 days, but no more than 60 days,
10		before the current contract term expires and (i) the rate
11		the customer would be charged pursuant to the renewed
12		contract is greater than the rate of the current contract,
13		or (ii) the current contract provides that the customer
14		will be charged a fixed rate and the renewed contract
15		provides the customer will be charged a variable rate.
16		(2) An alternative retail electric gas shall not submit
17		a change to a customer's gas service provider in violation
18		of Section 19-116 of the Public Utilities Act.
19		(g) The provisions of this Section shall apply only to
20		alternative gas suppliers serving or seeking to serve
21		residential and small commercial customers and only to the
22		extent such alternative gas suppliers provide services to
23		residential and small commercial customers.
24		(Source: P.A. 97-333, eff. 8-12-11.)