Rep. Rashid Introduces Ethics Bill to Ban Political Donations by Public Utilities in Illinois

Springfield, Ill — State Rep. Abdelnasser Rashid, D-Bridgeview, today introduced a landmark piece of legislation aimed at curbing the political influence of ComEd and other public utilities in Illinois. HB 1621 would prohibit public utilities from making political contributions  to state or municipal candidates or political action committees (PACs) organized to support those candidates.

“Introducing this bill is a step toward restoring the public trust that has been eroded by the undue influence of corporate interests in politics,” said Rep. Rashid, “Voters deserve a government that is working for them – not for the bottom line of billion-dollar companies like ComEd.”

Political contributions by public utilities were banned federally until 2005, when the Public Utility Holding Company Act of 1935 (PUHCA) was repealed. Since then, political contributions from public utilities have skyrocketed in states like Illinois that don’t have state laws prohibiting such donations.

“Over the past two decades, utilities have exercised undue influence on Illinois policy, winning automatic rate hikes, guaranteed profits, and bill surcharges leading to massive utility bill increases with minimal benefits to customers and the public,” said Abe Scarr, director of Illinois PIRG, a non-profit consumer advocacy organization. “Public utilities should serve the public good, not use their resources for political gain. Rep. Rashid’s law is critically needed to restore fairness in Springfield.”