Illinois Administrative Code › Title 32 - ENERGY › Part 326 - FINANCIAL ASSURANCE REQUIREMENTS › Appendix C - Wording for Letters of Credit

Current through Register Vol. 48, No. 28, July 12, 2024
A letter of credit, as specified in 32 Ill. Adm. Code
				326.110,
				shall contain the following provisions, except that instructions in brackets
				are to be replaced with the relevant information and the brackets
				deleted:
IRREVOCABLE STANDBY LETTER OF
				CREDIT
DirectorDate:_____________
Illinois Emergency Management Agency
Dear Sir or Madam:
We hereby establish our Irrevocable Standby Letter
				of Credit No. _____ in your favor, at the request and for the account of
				[licensee's name and address] up to the aggregate amount of [in words] U.S.
				dollars $ _____, available upon presentation of:
A) Your sight draft, bearing reference to this
				letter of credit No. _____; and
B) Your signed statement reading as follows: "I
				certify that the amount of the draft is payable pursuant to regulations issued
				under authority of the Illinois Radiation Protection Act of 1990."
This letter of credit is effective as of [date] and
				shall expire on [date at least 1 year later], but such expiration date shall be
				automatically extended for a period of [at least 1 year] on [date] and on each
				successive expiration date, unless, at least 180 days before the current
				expiration date, we notify both you and [licensee's name] by certified mail
				that we have decided not to extend this letter of credit beyond the current
				expiration date. Unless released by the Illinois Emergency Management Agency
				(hereinafter called Agency), the Agency may draw upon this letter of credit if
				a new letter of credit or other financial assurance arrangement approved in
				writing by the Agency is not furnished 60 days prior to the expiration date.
				The Agency may delay the drawing if the issuing institution grants an extension
				of the term of this letter of credit. During the last 30 days of any extension,
				the Director may draw on this letter of credit if the licensee has failed to
				provide an alternative financial assurance arrangement approved in writing by
				the Agency. [Financial institution] shall give immediate notice to [licensee]
				and the Agency of any notice received or action filed alleging (1) the
				insolvency or bankruptcy of [financial institution] or (2) any violations of
				regulatory requirements that could result in suspension or revocation of
				[financial institution's] charter or license to do business. The financial
				institution also shall give immediate notice if [financial institution], for
				any reason, becomes unable to fulfill its obligation under this letter of
				credit.
Whenever this letter of credit is drawn on under and
				in compliance with the terms of the letter of credit, we shall duly honor such
				draft upon its presentation to us within 30 days, and we shall pay the amount
				of the draft to the Agency in accordance with your instructions.
Each draft must bear on its face the clause: "Drawn
				under Letter of Credit No. _____, dated _____, and the total of this draft and
				all other drafts previously drawn under this letter of credit does not exceed
				[fill in amount]."
[Signature(s) and title(s) of official(s) of
				issuing institution] [Date]
This credit is subject to [the most recent edition
				of the Uniform Customs and Practice for Documentary Credits, published by the
				International Chamber of Commerce, or the Uniform Commercial Code].