Sen. Scott M. Bennett

Filed: 3/9/2020

 

 


 

 


 
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1
AMENDMENT TO SENATE BILL 2362

2    AMENDMENT NO. ______. Amend Senate Bill 2362 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The School Code is amended by changing Section
510-20.21 as follows:
 
6    (105 ILCS 5/10-20.21)
7    Sec. 10-20.21. Contracts.
8    (a) To award all contracts for purchase of supplies and
9materials or work involving an expenditure in excess of $25,000
10or a lower amount as required by board policy to the lowest
11responsible bidder, considering conformity with
12specifications, terms of delivery, quality and serviceability,
13after due advertisement, except as otherwise provided under
14subsection (a-5) or except the following: (i) contracts for the
15services of individuals possessing a high degree of
16professional skill where the ability or fitness of the

 

 

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1individual plays an important part; (ii) contracts for the
2printing of finance committee reports and departmental
3reports; (iii) contracts for the printing or engraving of
4bonds, tax warrants and other evidences of indebtedness; (iv)
5contracts for the purchase of perishable foods and perishable
6beverages; (v) contracts for materials and work which have been
7awarded to the lowest responsible bidder after due
8advertisement, but due to unforeseen revisions, not the fault
9of the contractor for materials and work, must be revised
10causing expenditures not in excess of 10% of the contract
11price; (vi) contracts for the maintenance or servicing of, or
12provision of repair parts for, equipment which are made with
13the manufacturer or authorized service agent of that equipment
14where the provision of parts, maintenance, or servicing can
15best be performed by the manufacturer or authorized service
16agent; (vii) purchases and contracts for the use, purchase,
17delivery, movement, or installation of data processing
18equipment, software, or services and telecommunications and
19interconnect equipment, software, and services; (viii)
20contracts for duplicating machines and supplies; (ix)
21contracts for the purchase of fuel, including diesel, gasoline,
22oil, aviation, natural gas, or propane, lubricants, or other
23petroleum products; (x) purchases of equipment previously
24owned by some entity other than the district itself; (xi)
25contracts for repair, maintenance, remodeling, renovation, or
26construction, or a single project involving an expenditure not

 

 

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1to exceed $50,000 and not involving a change or increase in the
2size, type, or extent of an existing facility; (xii) contracts
3for goods or services procured from another governmental
4agency; (xiii) contracts for goods or services which are
5economically procurable from only one source, such as for the
6purchase of magazines, books, periodicals, pamphlets and
7reports, and for utility services such as water, light, heat,
8telephone or telegraph; (xiv) where funds are expended in an
9emergency and such emergency expenditure is approved by 3/4 of
10the members of the board; (xv) State master contracts
11authorized under Article 28A of this Code; and (xvi) contracts
12providing for the transportation of pupils, which contracts
13must be advertised in the same manner as competitive bids and
14awarded by first considering the bidder or bidders most able to
15provide safety and comfort for the pupils, stability of
16service, and any other factors set forth in the request for
17proposal regarding quality of service, and then price. However,
18at no time shall a cause of action lie against a school board
19for awarding a pupil transportation contract per the standards
20set forth in this subsection (a) unless the cause of action is
21based on fraudulent conduct.
22    All competitive bids for contracts involving an
23expenditure in excess of $25,000 or a lower amount as required
24by board policy must be sealed by the bidder and must be opened
25by a member or employee of the school board at a public bid
26opening at which the contents of the bids must be announced.

 

 

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1Each bidder must receive at least 3 days' notice of the time
2and place of the bid opening. For purposes of this Section due
3advertisement includes, but is not limited to, at least one
4public notice at least 10 days before the bid date in a
5newspaper published in the district, or if no newspaper is
6published in the district, in a newspaper of general
7circulation in the area of the district. State master contracts
8and certified education purchasing contracts, as defined in
9Article 28A of this Code, are not subject to the requirements
10of this paragraph.
11    Under this Section, the acceptance of bids sealed by a
12bidder and the opening of these bids at a public bid opening
13may be permitted by an electronic process for communicating,
14accepting, and opening competitive bids. However, bids for
15construction purposes are prohibited from being communicated,
16accepted, or opened electronically. An electronic bidding
17process must provide for, but is not limited to, the following
18safeguards:
19        (1) On the date and time certain of a bid opening, the
20    primary person conducting the competitive, sealed,
21    electronic bid process shall log onto a specified database
22    using a unique username and password previously assigned to
23    the bidder to allow access to the bidder's specific bid
24    project number.
25        (2) The specified electronic database must be on a
26    network that (i) is in a secure environment behind a

 

 

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1    firewall; (ii) has specific encryption tools; (iii)
2    maintains specific intrusion detection systems; (iv) has
3    redundant systems architecture with data storage back-up,
4    whether by compact disc or tape; and (v) maintains a
5    disaster recovery plan.
6It is the legislative intent of Public Act 96-841 to maintain
7the integrity of the sealed bidding process provided for in
8this Section, to further limit any possibility of bid-rigging,
9to reduce administrative costs to school districts, and to
10effect efficiencies in communications with bidders.
11    (a-5) Notwithstanding subsection (a), a school board may
12award a contract under this Section to a bidder who is not the
13lowest responsible bidder if the school board has considered
14factors of social responsibility in the school board's decision
15to award the contract to the bidder. Factors of social
16responsibility include, but are not limited to, businesses
17owned by women, minorities, persons with disabilities, or
18veterans and bidders who have programs or relationships that
19benefit such businesses.
20    (b) To require, as a condition of any contract for goods
21and services, that persons bidding for and awarded a contract
22and all affiliates of the person collect and remit Illinois Use
23Tax on all sales of tangible personal property into the State
24of Illinois in accordance with the provisions of the Illinois
25Use Tax Act regardless of whether the person or affiliate is a
26"retailer maintaining a place of business within this State" as

 

 

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1defined in Section 2 of the Use Tax Act. For purposes of this
2Section, the term "affiliate" means any entity that (1)
3directly, indirectly, or constructively controls another
4entity, (2) is directly, indirectly, or constructively
5controlled by another entity, or (3) is subject to the control
6of a common entity. For purposes of this subsection (b), an
7entity controls another entity if it owns, directly or
8individually, more than 10% of the voting securities of that
9entity. As used in this subsection (b), the term "voting
10security" means a security that (1) confers upon the holder the
11right to vote for the election of members of the board of
12directors or similar governing body of the business or (2) is
13convertible into, or entitles the holder to receive upon its
14exercise, a security that confers such a right to vote. A
15general partnership interest is a voting security.
16    To require that bids and contracts include a certification
17by the bidder or contractor that the bidder or contractor is
18not barred from bidding for or entering into a contract under
19this Section and that the bidder or contractor acknowledges
20that the school board may declare the contract void if the
21certification completed pursuant to this subsection (b) is
22false.
23    (b-5) To require all contracts and agreements that pertain
24to goods and services and that are intended to generate
25additional revenue and other remunerations for the school
26district in excess of $1,000, including without limitation

 

 

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1vending machine contracts, sports and other attire, class
2rings, and photographic services, to be approved by the school
3board. The school board shall file as an attachment to its
4annual budget a report, in a form as determined by the State
5Board of Education, indicating for the prior year the name of
6the vendor, the product or service provided, and the actual net
7revenue and non-monetary remuneration from each of the
8contracts or agreements. In addition, the report shall indicate
9for what purpose the revenue was used and how and to whom the
10non-monetary remuneration was distributed.
11    (b-10) To prohibit any contract to purchase food with a
12bidder or offeror if the bidder's or offeror's contract terms
13prohibit the school from donating food to food banks,
14including, but not limited to, homeless shelters, food
15pantries, and soup kitchens.
16    (c) If the State education purchasing entity creates a
17master contract as defined in Article 28A of this Code, then
18the State education purchasing entity shall notify school
19districts of the existence of the master contract.
20    (d) In purchasing supplies, materials, equipment, or
21services that are not subject to subsection (c) of this
22Section, before a school district solicits bids or awards a
23contract, the district may review and consider as a bid under
24subsection (a) of this Section certified education purchasing
25contracts that are already available through the State
26education purchasing entity.

 

 

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1(Source: P.A. 101-570, eff. 8-23-19.)
 
2    Section 99. Effective date. This Act takes effect upon
3becoming law.".