Section 519.10  Definitions

The following definitions are applicable to this Part.

"Act" means Section 605-1115 of the Department of Commerce and Economic Opportunity Law [20 ILCS 605/1115].

"Applicant" means a government entity, non-profit, taxpayer, educational institution or research and development entity that seeks to establish a quantum computing campus located in Illinois, or a taxpayer, educational institution or research and development entity that seeks to be a tenant on a quantum computing campus.

"Capital Investment" means the purchase, renovation, rehabilitation, or construction of permanent land, buildings, structures, equipment and furnishings used directly for or in the project, and any goods or services for the project that are purchased and capitalized under GAAP or an equivalent accounting principles system approved by the Department, including any organizational costs and research and development costs incurred in Illinois. Capitalized lease costs for land, buildings, structures or equipment shall be included in "Capital Investment" only if the lease term, including any extensions or options to extend, equals or exceeds the term of the memorandum of understanding, and provided that the lease costs are valued at their present value using the corporate interest rate prevailing at the time the applicant filed its application with the Department.

"Certificate of Exemption" means the certificate issued by the Department pursuant to the memorandum of understanding entered into between the Department and the tenant that authorizes the tenant to receive the tax exemptions set forth in Section 605-1115(b) of the Act.

"Data Center" means a facility:

whose primary services include, but are not limited to, the storage, management, and processing of digital data; and

that is used to house:

computer and network systems, including associated components such as servers, network equipment and appliances, telecommunications, and data storage systems;

systems for monitoring and managing infrastructure performance;

internet-related equipment and services;

data communications connections;

environmental controls;

fire protection systems; and

security systems and services. [20 ILCS 605/605-1115(a)]

"Department" or "DCEO" means the Department of Commerce and Economic Opportunity. [20 ILCS 605/605-5]

"Director" means the Director of the Department of Commerce and Economic Opportunity. [20 ILCS 605/605-5]

"Full-time equivalent job" means a job in which an employee works for a tenant of the quantum campus at a rate of at least 35 hours per week. Vacations, paid holidays, and sick time are included in this computation. Overtime is not considered a part of regular hours. [20 ILCS 605/605-1115(a)]

"Memorandum of Understanding" or "MOU" means the memorandum of understanding entered between a taxpayer establishing or joining a quantum computing campus as a tenant and the Department under Section 605-1115(d) of the Act and Section 519.120 of this Part.

"New Employee" means a full-time employee in a qualifying full-time equivalent job or employee first employed by the tenant on the quantum computing campus and who is hired on or after the effective date of the MOU entered into between the tenant and the Department.

The term "New Employee" does not include:

an employee of the tenant of a certified quantum computing campus who was previously employed in Illinois by a related member (as that term is defined in Section 5.5 of the Economic Development for a Growing Economy Act [35 ILCS 10] of the tenant and whose employment was shifted to the quantum computing campus after the tenant entered into the MOU;

an employee of the tenant located on the quantum computing campus who was previously employed in Illinois by the tenant of the quantum computing campus and whose employment was shifted to the project after the tenant entered into the MOU; or

any individual who has a direct or an indirect ownership interest of at least 5% in the profits, equity, capital, or value of the taxpayer, or a child, grandchild, parent, or spouse (other than a spouse who is legally separated from the individual) of any individual who has a direct or an indirect ownership interest of at least 5% in the profits, equity, capital, or value of the tenant on the quantum computing campus.

However, an employee shall be considered a new employee under the MOU if:

the employee performs a job that was previously performed by an employee who was treated under the MOU as a new employee and promoted by the tenant of the quantum computing campus to another job; or

the employee fills a job vacancy that had been continuously vacant for the 184-day period immediately preceding the date of the MOU. A job vacancy whose incumbent is on approved leave, is locked out, or is on strike is not a vacancy.

"Placed in Service" means the earlier of:

when the project identified in the application or MOU is in a state or condition of readiness and availability for specifically assigned functions; or

the end of the 60-month period identified in the MOU.

"Project" means the development at the location set forth in the application or MOU.

"Quantum Computing Activities" means the research, development, and use of computing methods that generate and manipulate quantum bits in a controlled quantum state in order to support the demand for quantum computing research, development, and implementation for practical use. This includes the use of photons, semiconductors, superconductors, trapped ions, and other industry and academically regarded methods for simulating quantum bits.

"Quantum Computing Campus" or "Campus" is a contiguous area located in the State of Illinois that is designated by the Department as a quantum computing campus in order to support the demand for quantum computing research, development, and implementation for practical use. A quantum computing campus may include educational institutions, nonprofit research and development organizations, and for-profit research and development organization serving as anchor tenants and joining tenants that, with approval from the Department, may change.

"Tenant" is an entity located or that intends to be located on a quantum computing campus that has a direct or supporting role in quantum computing activities. Tenants include quantum computer operators and research facilities, data centers, manufacturers and assemblers of quantum computers and component parts, cryogenic or refrigeration facilities, and other facilities determined, by industry and academic leaders, to be fundamental to the research and development of quantum computing for practical solutions.

"Underserved Area" means a geographic area that meets any one of the following criteria:

the area has a poverty rate of at least 20%, according to the latest federal decennial census, the most recent American Community Survey released by the U.S. Census Bureau, or other appropriate data source produced by the U.S. Census Bureau;

75% or more of the children in the area are eligible to participate in the federal free lunch or reduced-price meals program, according to reported statistics from the State Board of Education;

20% or more of the households in the area receive assistance under the Supplemental Nutrition Assistance Program (SNAP) according to data from the U.S. Census Bureau; or

the area has an average unemployment rate, as determined by the Department of Employment Security, that is more than 120% of the national unemployment average, as determined by the U.S. Department of Labor, for a period of at least 2 consecutive calendar years preceding the date of the application. [35 ILCS 5/229(a)(1) through (4)]