Section 680.10  Purpose

 

It is in the public policy interest of the State to ensure that all Illinois residents have access to State capital projects and careers in the construction industry and building trades, including those who have been historically underrepresented in those trades.  To ensure that those interests are met, the General Assembly has created the Illinois Works Preapprenticeship Program and the Illinois Works Apprenticeship Initiative.  [30 ILCS 559/20-5]

 

Section 680.20  Definitions

 

The following definitions are applicable to this Part.

 

"Act" means the Illinois Works Jobs Program Act [30 ILCS 559/Art. 20].

 

"Agency" means each officer, board, commission, and agency created by the Constitution, whether in the executive, legislative, or judicial branch of State government, but other than the circuit court; each officer, department, board, commission, agency, institution, authority, university, and body politic and corporate of the State; each administrative unit or corporate outgrowth of the State government that is created by or pursuant to statute, other than units of local government and their officers, school districts, and boards of election commissioners; and each administrative unit or corporate outgrowth of these entities and as may be created by executive order of the Governor.  [5 ILCS 100/1-20]

 

"Applicant" means a person, business, public or private corporation, partnership, individual, union, committee, club, unincorporated association, or other organization or group of individuals, or other legal entity corporation, partnership, limited liability company, or joint venture that applies for a grant or contract from appropriated capital funds to finance, in whole or in part, a public works project.

 

"Apprentice" means a participant in an apprenticeship program approved by and registered with the United States Department of Labor's Bureau of Apprenticeship and Training.  [30 ILCS 559/20-10]

 

"Apprenticeship Program" means an apprenticeship and training program approved by and registered with the United States Department of Labor's Bureau of Apprenticeship and Training. [30 ILCS 559/20-10]

 

"Appropriated Capital Funds" means moneys appropriated by the General Assembly from either a fund holding State of Illinois bonds proceeds or any other fund that receives and holds public funds for use in funding capital programs and projects.  "Appropriated capital funds" are those appropriations designated as capital appropriations in the Governor's Office of Management and Budget document entitled "Enacted Budget – Enacted Appropriations by Line Item", produced for each Fiscal Year and posted on the GOMB website at https://www2.illinois.gov/sites/budget/Pages/BudgetBooks.aspx.

 

"Bid Credit" means a virtual dollar for a contractor or subcontractor to use toward future bids on contracts with the State for public works projects.  [30 ILCS 559/20-10]

 

"Community-based Organization" means a nonprofit organization, including an accredited public college or university, industry associations, chambers of commerce, local workforce areas, community colleges, technical schools and school districts, selected by the Department to participate in the Illinois Works Preapprenticeship Program.  To qualify as a "community-based organization", the organization must demonstrate the following:

 

the ability to effectively serve diverse and underrepresented populations, including by providing employment services to those populations;

 

knowledge of the construction and building trades;

 

the ability to recruit, prescreen, and provide preapprenticeship training to

prepare workers for employment in the construction and building trades;

and

 

a plan to provide the following:

 

preparatory classes;

 

workplace readiness skills, such as resume preparation and interviewing techniques;

 

strategies for overcoming barriers to entry and completion of an apprenticeship program; and

 

any prerequisites for acceptance into an apprenticeship program.  [30 ILCS 559/20-10]

 

"Contractor" means a person, corporation, partnership, limited liability company, or joint venture entering into a contract to construct a public work, whether the contract is entered directly with an agency or indirectly with a grantee using appropriated capital funds to pay for the contract.  [30 ILCS 559/20-10]

 

"Department" means the Department of Commerce and Economic Opportunity. [30 ILCS 559/20-10]

 

"Estimated Total Project Cost" means a good faith approximation of the costs of an entire project being paid for in whole or in part by appropriated capital funds to construct a public work.  Operational costs are not included in the calculation of estimated total project costs.

 

"GATA" means the Grant Accountability and Transparency Act [30 ILCS 708].

 

"Grant" means a grant award issued under the Illinois Works Jobs Program Act. [30 ILCS 559]

 

"Grantee" means the recipient of a grant award from an agency paid from appropriated capital funds for the purpose of funding a public works project.

 

"Labor Hours" means the total hours for workers who are receiving an hourly wage and who are directly employed for the public works project.  "Labor hours" includes hours performed by workers employed by the contractor and subcontractors on the public works project.  "Labor hours" does not include hours worked by the forepersons, superintendents, owners, and workers who are not subject to prevailing wage requirements.  [30 ILCS 559/2-10]

 

"Minorities" means minority persons as defined in the Business Enterprise for Minorities, Women, and Persons with Disabilities Act [30 ILCS 575].  [30 ILCS 559/2-10]

 

"NOFO" or Notice of Funding Opportunity means an agency's formally issued announcement of the availability of State, federal or federal pass-through funding through one of its financial assistance programs. A NOFO will provide eligibility and evaluation criteria, funding preferences/priorities, the submission deadline, and information on how to obtain an application for the funding opportunity, among other information.

 

"Participant" is an individual enrolled in a Preapprenticeship Program.

 

"Preapprenticeship Program" is a program funded under the Illinois Works Jobs Program Act that has a documented partnership or relationship with employers (including union and non-union contractors) and trade unions, and is designed to prepare individuals to enter and succeed in a registered apprenticeship program.

 

"Public works" means all projects, contracted or funded by the State or any agency of the State, in whole or in part, from appropriated capital funds (as defined in this section), that constitute public works under the Prevailing Wage Act [820 ILCS 130].  [30 ILCS 559/2-10]

 

"Project" means the activities established by the agency and set forth in the Grant Agreement or contract that are funded, in whole or in part, by appropriated State funds.

 

"State" means the State of Illinois.

 

"Stipend" is a sum of money fixed by the Department and paid to a participant in a preapprenticeship program in accordance with the participant's performance in the program. The stipend is to be used for living expenses while the participant is enrolled in the program.

 

"Subcontractor" means a person, corporation, partnership, limited liability company, or joint venture that has contracted with the contractor to perform all or part of the work to construct a public work by a contractor.  [30 ILCS 559/2-10]

 

"Underrepresented Populations" means populations identified by the Department that historically have had barriers to entry or advancement in the workforce.  "Underrepresented populations" includes, but is not limited to, minorities, women, and veterans.  [30 ILCS 559/2-10]

 

(Source:  Amended at 46 Ill. Reg. 17668, effective October 18, 2022)

SUBPART B: ILLINOIS WORKS APPRENTICESHIP INITIATIVE

 

Section 680.30  Apprenticeship Goal

 

a)         The goal of the Illinois Works Apprenticeship Initiative ("10% apprenticeship goal") is that, for projects estimated to cost $500,000 or more, apprentices will perform either 10% of the total labor hours actually worked in each prevailing wage classification or 10% of the estimated labor hours in each prevailing wage classification, whichever is less.  [30 ILCS 559/20-20(a)(2)]

 

b)         Unless otherwise provided by an agency, the applicant, grantee or contractor shall provide the estimated total project cost.  To establish the estimated total project cost, the applicant, grantee or contractor may provide the following information:

 

1)         Good faith estimates from contractors with supporting documentation, including, but not limited to, contracts, estimates and bids;

 

2)         The funding sources for the project; and

 

3)         Any and all additional information and documents requested by the agency providing the funding through a contract or Grant Agreement.

 

c)         For projects that are estimated to receive $500,000 or more of appropriated capital funds:

 

1)         If the State's contribution to the project amount is 50% or more of the estimated total project cost for the public works project, the 10% apprenticeship goal applies to all prevailing wage eligible work performed on the project.

 

2)         If the State's contribution to the project is less than 50% of the estimated total project cost for the public works project, the 10% apprenticeship goal applies only to prevailing wage eligible work being funded by appropriated capital funds.

 

d)         For projects that are estimated to receive less than $500,000 of appropriated capital funds, but the estimated total project cost is $500,000 or more:

 

1)         If the estimated total project cost is $500,000 or more and the State contribution of appropriated capital funds represents 50% or more of the total cost, the 10% apprenticeship goal applies to all prevailing wage eligible work on the project.

 

2)         If the estimated total project cost is less than 50% funded by the State contribution of appropriated capital funds, the 10% apprenticeship goal does not apply.

 

e)         If the estimated total project cost is less than $500,000, the 10% apprenticeship goal does not apply.

 

Section 680.40  Reduction or Waiver of the Apprenticeship Goal

 

a)         Before or during the term of a contract or Grant Agreement, the Department may reduce or waive the 10% apprenticeship goal, as defined in Section 680.30.

 

1)         To obtain a reduction or waiver in the 10% apprenticeship goal, the applicant, grantee or contractor shall submit a waiver request form to the Department and the agency administering the contract or grant.  Requests for a reduction or waiver of the 10% apprenticeship goal shall be submitted to the Department and the agency administering the contract or grant as soon as practicable after discovering the existence of one or more factors set forth in subsection (b).  The request form will be available on the Department's website.

 

2)         Upon receipt of the waiver request, the Department and/or the Agency may request additional information from the applicant, grantee or contractor.

 

b)         Prior to the Department granting a request for a reduction or waiver, the Department shall determine, in its discretion, whether to hold a public hearing on the request.  In determining whether to hold a public hearing, the Department may consider factors, including, but not limited to:

 

1)         the scale of the project;

 

2)         whether the applicant, grantee, contractor or subcontractor seeking the reduction or waiver has previously requested reductions or waivers on other projects; and

 

3)         the value of, and frequency of, grant awards and contracts previously received from the State by the applicant, grantee, contractor or subcontractor.

 

c)         Upon receipt of all information provided in subsection (b), the Department will endeavor to issue a notice for a public hearing on the waiver request within 30 days.

 

d)         The Department may grant a reduction or waiver upon a determination that:

 

1)         the applicant, grantee, contractor or subcontractor has demonstrated that insufficient apprentices are available;

 

2)         the reasonable and necessary requirements of the contract or grant do not allow the goal to be met;

 

3)         there is a disproportionately high ratio of material costs to labor hours that makes meeting the goal infeasible; or

 

4)         apprentice labor hour goals conflict with existing requirements, including federal requirements, in connection with the public work.

 

e)         The Department may also consult with the Business Enterprise Council under the Business Enterprise for Minorities, Women, and Persons with Disabilities Act and the Chief Procurement Officer of the agency administering the public works contract.  [30 ILCS 559/20-20(b)]

 

f)         The 10% apprenticeship goal does not apply to contracts or Grant Agreements in existence on the effective date of the Act (June 28, 2019). [30 ILCS 559/20-20(f)]

 

Section 680.50  Certification of Compliance

 

a)         Upon completion of the work set forth in the contract or Grant Agreement, grantees, contractors and subcontractors must submit a certification to the Department and the agency that is administering either the contract or the grant agreement, demonstrating that the grantee, contractor or subcontractor has either:

 

1)         met the 10% apprenticeship goal; or

 

2)         received a reduction or waiver of the 10% apprenticeship goal pursuant to Section 20-20(b) of the Act and Section 680.40 of this Part.  [30 ILCS 559/20-20(c)]

 

b)         Upon completion of all of the work for the project, and not just the work set forth in the contract or Grant Agreement, grantees, contractors and subcontractors must submit a certification to the Department and the agency that is administering either the contract or the Grant Agreement, demonstrating that the grantee, contractor or subcontractor has either:

 

1)         met the 10% apprenticeship goal; or

 

2)         received a reduction or waiver of the 10% apprenticeship goal pursuant to Section 20-20(b) of the Act and Section 680.40 of this Part.  [30 ILCS 559/20-20(c)]

 

c)         The certification form, which shall be made available on the Department's website, shall include:

 

1)         The contract or grant number;

 

2)         The estimated total project cost;

 

3)         The final total cost of the project, if known;

 

4)         The total labor hours actually worked in each prevailing wage classification on the job, or the estimated labor hours in each prevailing wage classification, whichever is applicable;

 

5)         The actual labor hours worked by apprentices in each prevailing wage classification; and

 

6)         Whether the contractor received a reduction or waiver of the 10% apprenticeship goal.

 

d)         Grantee, contractor or subcontractor shall submit a certification upon completion of the work set forth in the contract or Grant Agreement and upon completion of the project, if applicable.  Depending on the estimated total project cost, a grantee, contractor or subcontractor may be required to submit additional reports after the completion of the contract or grant.

 

Section 680.60  Failure to Comply

 

a)         When the agency enters into a contract with a contractor, it shall be deemed to be a material breach of the contract and to entitle the agency to declare a default, terminate the contract, and exercise those remedies provided for in the contract, at law, or in equity if the contractor or subcontractor submits false or misleading information.  [30 ILCS 559/20-20(c)]

 

b)         When the agency enters into a Grant Agreement with a grantee, it shall be deemed to be a material breach of the Grant Agreement and to entitle the agency to declare a default, terminate the Grant Agreement, and exercise those remedies provided for in the Grant Agreement, at law, or in equity if the grantee submits false or misleading information.  [30 ILCS 559/20-20(c)]

 

Section 680.70  Compliance with Federal Apprenticeship Requirements

 

a)         Notwithstanding any provisions to the contrary in the Act, any State agency that administers a construction program for which federal law or regulations establish standards and procedures for the utilization of apprentices may implement the Illinois Works Apprenticeship Initiative using the federal standards and procedures for the establishment of goals and utilization procedures for the State-funded, as well as the federally assisted, portions of the program. In such cases, these goals shall not exceed those established pursuant to the relevant federal statutes or regulations.  [30 ILCS 559/20-20(g)]

 

b)         To apply the federal apprenticeship standards and procedures to a program, the agency shall submit a request to the Department on a form that will be availiable on the Department's website. 

 

Section 680.80  Agency Responsibilities

 

Each agency is responsible for the following regarding compliance with the Act for all contracts and grants it administers or plans to administer:

 

a)         Reviewing the applicable federal and/or State statutes and administrative rules to determine whether the Act applies to the funding source of the grant and/or contract.

 

b)         Submitting a request for a program to apply federal apprenticeship standards and procedures to a program as set forth in Section 680.70(a).

 

c)         Gathering and reviewing information from applicants, contractors and grantees for all contracts and grants to determine whether the Act applies to each contract or grant.

 

d)         Including language in applications, bid documents, notices of funding opportunities, contracts and Grant Agreements to notify applicants, contractors and grantees of their obligations to comply with the Act and to ensure compliance with the Act.

 

e)         Collecting reports and supporting documents from contractors and grantees both during the term of the contract or grant and after the term ends, if applicable, to track compliance with the Act.

 

f)         Requiring completion of all forms requested by the Department to track compliance with the Act, and keeping such records as required by the Department and the State Records Act  [5 ILCS 160].

 

g)         Completing an initial review of all requests for waivers or a reduction in the 10% apprenticeship goal and transmitting the paperwork to the Department with a recommendation regarding the waiver or reduction.

 

h)         Monitoring the contractors and grantees and addressing noncompliance with the Act.

SUBPART C: ILLINOIS WORKS PREAPPRENTICESHIP PROGRAM

 

Section 680.90  Purpose

 

The goal of the Illinois Works Preapprenticeship Program is to create a network of community-based organizations throughout the State that will recruit, prescreen, and provide preapprenticeship skills training, for which participants may attend free of charge and receive a stipend, to create a qualified, diverse pipeline of workers who are prepared for careers in the construction and building trades. Upon completion of the Illinois Works Preapprenticeship Program, the candidates will be skilled and work-ready. [30 ILCS 559/20-15(a)]

 

(Source:  Added at 46 Ill. Reg. 17668, effective October 18, 2022)

 

Section 680.100  Eligible Grant Applicants

 

Eligible grant applicants must be Community-Based Organizations. To be eligible for a grant award, an applicant shall have an active GATA registration and be qualified on the GATA Grantee Portal (https://grants.illinois.gov/portal/) at the time the application is submitted.

 

(Source:  Added at 46 Ill. Reg. 17668, effective October 18, 2022)

 

Section 680.110  Administrative Requirements

 

Grant opportunities and awards will be administered in a manner that complies with all State requirements applicable to each funding opportunity, including, but not limited to, GATA and all applicable State laws. Grant applicants and grant recipients shall review all application materials and grant award documents which will include the specific applicable requirements for the grant opportunity.  The Department reserves the right to suspend or terminate a grant agreement or withhold any future year funding for non-compliance with these provisions.

 

a)         Application Process

 

1)         The Department will post one or more NOFO on the GATA Grantee Portal seeking applications contingent upon available funds. Applicants shall submit their application materials by the deadlines set forth by DCEO in the NOFO which will be at least 30 days after posting the NOFO.

 

2)         The applicants will be required to submit an application package, which will include the following:

 

A)        a description of the how the applicant will design, develop, and implement a high-quality preapprenticeship program that will increase apprenticeship opportunities for underrepresented populations;

 

B)        a description of the plan to provide stipends;

 

C)        a description of the plan to provide wrap-around services;

 

D)        a description of the plan to provide student support services;

 

E)        a narrative description of how the applicant will articulate their understanding of how race, ethnicity and gender may impact individuals' access to and experience within the context of construction and building trade apprenticeships;

 

F)         a description of the plan for marketing, outreach, wraparound supports, and accommodations;

 

G)        a description of how the applicant plans to coordinate with local workforce areas and local and regional apprenticeship navigators and intermediaries focused on construction and building trades, union groups, community colleges, employers, employer associations, community-based organizations and secondary schools;

 

H)        A description of the outcome measures, including but not limited to:

 

i)          a description of the applicant's recruitment, screening, and training efforts;

 

ii)         the number of individuals who apply to, participate in, and complete the applicant's program, broken down by race, gender, age and veteran status, and

 

iii)        the number of individuals referenced in subsection (a)(2)(H)(ii) who are initially accepted and placed into apprenticeship programs in the construction and building trades;

 

I)         a description of how applicant will coordinate education and learning, necessary support and retention services, coaching from other partner institutions;

 

J)         a proposed curriculum;

 

K)        a description of proposed opportunities for preapprentices to do construction work at job sites while taking instruction or immediately after completing instruction or a description of alternative options if on-site instruction is not feasible;

 

L)        a description of the plan for applicants to assist students in transitioning to registered apprenticeship programs, including connecting them to employers and unions;

 

M)       a description of the plan to refer program applicants who do not have the minimum program requirements to educational services in their communities, such as free literacy, GED, ESL classes, among others; and

 

N)        a description of the plan to support and track participants who do not immediately apply to enroll in a DOL-registered apprenticeship program.

 

b)         Grant Award Selection

 

1)         Grants will be awarded by DCEO to grantees following a merit review by DCEO pursuant to GATA requirements (44 Ill. Adm. Code 7000.350).  In evaluating applications, the Department will consider all requirements as set forth in the NOFO, including some or all of the following criteria and any additional criteria set forth in the NOFO:

 

A)        The application indicates the project will serve individuals who are within underrepresented populations;

 

B)        The applicant's grant performance history, including meeting the goals of any previous grants and the level of success in achieving employment, wage, and retention goals, if applicable;

 

C)        The experience of the applicant in serving individuals who are in the underrepresented populations of the outcomes achieved with past programs;

 

D)        The level of participation of local employers or industry associations in the training partnership and the proposed work plan;

 

E)        The amount of matching and/or leveraged funds provided (either cash or in-kind);

 

F)         The likelihood that training will result in the placement of individuals who are in the underrepresented population into the specific occupations within the target industries and the average wage at placement;

 

G)        The credentials, licenses or certifications training participants will earn;

 

H)        The career pathways facilitating long-term advancement with the employer or within the industry sector a participant will gain.

 

I)         The qualifications of personnel assigned to the proposed project; and

 

J)         The quality of the proposed curricula and related materials.

 

2)         Applicants shall work with local partners, including, but not limited to, local employers, unions, and/or industry associations to design programs with maximum benefits to individuals in the underrepresented populations.

 

c)         Grant Disbursements

Disbursement of Grant funds from the Department will be made in accordance with a schedule included in the grant agreement. The Department may disburse funds based on the outcomes outlined in the grant agreement.

 

d)         Grant Performance, Monitoring and Reporting Requirements

Grant recipient shall comply with all GATA and Department requirements for Grant performance, administration, monitoring and reporting, including monitoring any subrecipients.

 

e)         Grant Extensions

Contingent upon the availability of funds and consistent with GATA as applicable, the Department may negotiate Grant extensions and add funds for grant projects that were originally competitively procured and performed successfully. 

 

f)         Records Retention

A grant recipient shall maintain, for the period of time set forth in the GATA rules (44 Ill. Adm. Code 430(a), (b)), adequate books, all financial records and supporting documents, statistical records, and all other records pertinent to the Program. If any litigation, claim or audit is started before the expiration of the retention period, the records must be retained until all litigation, claims or audit exceptions involving the records have been resolved and final action taken. Grant recipients shall be responsible for ensuring that contractors and subrecipients comply with the retention requirements.

 

(Source:  Added at 46 Ill. Reg. 17668, effective October 18, 2022)

 

Section 680.120  Allowable Costs

 

Grant expenditures must comply with GATA and be reasonable and necessary. Specific allowable grant costs will include one or more of the following:

 

a)         expenses to design training curricula and related materials;

 

b)         expenses to provide industry linked skill training and work-based learning to individuals in the underrepresented populations (e.g., instructor costs, curriculum materials);

 

c)         expenses for the ongoing evaluation and refinement of the curricula and related materials;

 

d)         expenses for the design and implementation of a needs assessment to determine the education and training needs of the underrepresented populations relative to the skill needs of local industries;

 

e)         expenses related to wrap-around costs;

 

f)         expenses related to student/participant support services, such a career counseling, life coaching, and tutoring;

 

g)         stipends;

 

h)         expenses for technical assistance as set forth in the applicable NOFO;

 

i)          expenses incurred to meet grant administration requirements;

 

j)          expenses related to securing participants industry recognized certifications;

 

k)         expenses related to professional development and certifications for staff and instructors; or

 

l)          any other costs determined to be reasonable and necessary to carry out the grant program activities as permitted by GATA, the applicable NOFO, and approved by the Department.

 

(Source:  Added at 46 Ill. Reg. 17668, effective October 18, 2022)

 

Section 680.130  Reporting

 

Each community-based organization that receives funding from the Illinois Works Fund shall provide an annual report to the Illinois Works Review Panel by April 1 of each calendar year. The annual report shall include the following information [30 ILCS 559/20-15(c)]:

 

a)         a description of the community-based organization's recruitment, screening, and training efforts;

 

b)         the number of individuals who apply to, participate in, and complete the community-based organization's program, broken down by race, gender, age, and veteran status; and

 

c)         the number of the individuals referenced in subsection (b) who are initially accepted and placed into apprenticeship programs in the construction and building trades.

 

(Source:  Added at 46 Ill. Reg. 17668, effective October 18, 2022)