Sen. Willie Preston
Filed: 3/21/2024
 
 

 
 

 
10300SB2729sam003LRB103 36029 AWJ 71339 a

1
AMENDMENT TO SENATE BILL 2729

2    AMENDMENT NO. ______. Amend Senate Bill 2729 by replacing 
3everything after the enacting clause with the following:
 
4    "Section 1. Short title. This Act may be cited as the 
5Government Contract Retainage Act.
 
6    Section 5. Definitions. As used in this Act:
7    "Governmental unit" means a State agency or a unit of 
8local government.
9    "State agency" has the meaning given to "state agencies" 
10in Section 1-7 of the Illinois State Auditing Act.
11    "Retainage" means a portion of money withheld from the 
12payment of a contract for a specified period of time to ensure 
13that a contractor or subcontractor finishes a construction 
14project completely and finishes in the manner specified in the 
15contract.
 
 
 
10300SB2729sam003- 2 -LRB103 36029 AWJ 71339 a

1    Section 10. Retained funds. All governmental units shall 
2deposit all retainage into an interest-bearing escrow account 
3and the moneys in the escrow account and all interest shall be 
4divided up between the contractor and subcontractors 
5proportionally. 
 
6    Section 90. Home rule. A home rule unit may not regulate 
7retainage in a manner inconsistent with this Act. This Act is a 
8limitation under subsection (i) of Section 6 of Article VII of 
9the Illinois Constitution on the concurrent exercise by home 
10rule units of powers and functions exercised by the State.".