Regulations in Illinois governing conversions

What are the Illinois regulations for conversions?

• State Farm Insurance 
• Just keep track of what $ are put into the car
• Insured as if the car was not changed from stock, but value based on added parts value.
• Government
• Licensing, if you can insure it, you can license it.  Really??? But that is what they said at the DMV.
• If we want an "EV" license which is 36$ and valid or two years then we need to show them a picture of the motor and battery installed.
• Does anyone know what tax credits might be out there for us?

Wow, we never suspected it would have that little governing requirements.  Can anyone confirm this, or had other licensing issues in Central Illinois?