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91_HB2275eng
HB2275 Engrossed LRB9105327DHmg
1 AN ACT concerning State contracts.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Illinois State Collection Act of 1986 is
5 amended by changing Section 5 as follows:
6 (30 ILCS 210/5) (from Ch. 15, par. 155)
7 Sec. 5. Rules; payment plans; offsets.
8 (a) State agencies shall adopt rules establishing formal
9 due dates for amounts owing to the State and for the referral
10 of seriously past due accounts to private collection
11 agencies, unless otherwise expressly provided by law or rule.
12 Such procedures shall be established in accord with sound
13 business practices.
14 (b) Agencies may enter deferred payment plans for
15 debtors of the agency and documentation of this fact retained
16 by the agency, where the deferred payment plan is likely to
17 increase the net amount collected by the State.
18 (c) State agencies may use the Comptroller's Offset
19 System provided in Section 10.05 of the State Comptroller Act
20 for the collection of debts owed to the agency. All debts
21 that exceed $1,000 and are more than 90 days past due shall
22 be placed in the Comptroller's Offset System, unless the
23 State agency shall have entered into a deferred payment plan
24 or demonstrates to the Comptroller's satisfaction that
25 referral for offset is not cost effective.
26 (d) State agencies shall develop internal procedures
27 whereby agency initiated payments to its debtors may be
28 offset without referral to the Comptroller's Offset System.
29 (e) State agencies or the Comptroller may remove claims
30 from the Comptroller's Offset System, where such claims have
31 been inactive for more than one year.
HB2275 Engrossed -2- LRB9105327DHmg
1 (f) When a contract is filed with the Comptroller under
2 Section 20-80 of the Illinois Procurement Code, the
3 Comptroller may use the Comptroller's offset system to
4 determine if a claim is made against the contractor. If the
5 Comptroller finds that a contractor's name is listed in the
6 Comptroller's offset system, the Comptroller may inform (i)
7 the notifying agencies that submitted the claim to the
8 Comptroller's offset system, (ii) the contracting agency, and
9 (iii) the contractor that the contractor's name was detected
10 by the system.
11 (Source: P.A. 90-332, eff. 1-1-98.)
12 Section 10. The Illinois Procurement Code is amended by
13 changing Section 50-60 and adding Section 50-11 as follows:
14 (30 ILCS 500/50-11 new)
15 Sec. 50-11. Child support or debt delinquency.
16 (a) No person shall enter into a contract under this
17 Code if that person knows or should know that he or she is
18 (i) in arrears under a court or administrative order for
19 child support in an amount equal to 90 days or more of
20 obligations or (ii) delinquent in the payment of any debt to
21 the State, unless the person is contesting, in accordance
22 with the procedures established by the appropriate Act, his
23 or her liability for the debt owed.
24 (b) Every bid submitted to and contract executed by the
25 State shall contain a certification by the contractor that
26 the contractor is not barred from being awarded a contract
27 under this Section and that the contractor acknowledges that
28 a false certification could make the contract subject to
29 being declared void under Section 50-60.
30 (30 ILCS 500/50-60)
31 Sec. 50-60. Voidable contracts.
HB2275 Engrossed -3- LRB9105327DHmg
1 (a) If any contract is entered into or purchase or
2 expenditure of funds is made in violation of this Code or any
3 other law, the contract may be declared void by the chief
4 procurement officer or may be ratified and affirmed, provided
5 the chief procurement officer determines that ratification is
6 in the best interests of the State. If the contract is
7 ratified and affirmed, it shall be without prejudice to the
8 State's rights to any appropriate damages.
9 (b) If during the term of a contract the contracting
10 agency is informed by the Comptroller that the contractor is
11 in arrears in child support or delinquent in the payment of
12 debt as set forth in Section 50-11, the contract may be
13 declared void by the chief procurement officer if he or she
14 finds it is in the best interest of the State. In deciding
15 whether to void a contract, the chief procurement officer may
16 confer with the notifying agency that submitted the claim to
17 the Comptroller's offset system.
18 (Source: P.A. 90-572, eff. 2-6-98.)
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