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1 | AN ACT concerning finance.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 1. Short title. This Act may be cited as the Local | ||||||
5 | Government Electronic Reverse Auction Act. | ||||||
6 | Section 5. Unit of local government defined. As used in | ||||||
7 | this Act, "unit" and "unit of local government" mean a unit of | ||||||
8 | local government as defined in Section 1 of Article VII of the | ||||||
9 | Illinois Constitution. | ||||||
10 | Section 10. Reverse auction. Notwithstanding any other | ||||||
11 | provision
of law and in accordance with rules adopted by the
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12 | unit, a unit of local government, whether or not it is a home | ||||||
13 | rule unit as defined in Section 6 of Article VII of the | ||||||
14 | Illinois Constitution, may procure supplies or
services | ||||||
15 | through a competitive electronic auction bidding
process after | ||||||
16 | the unit's purchasing officer explains in writing to the unit's | ||||||
17 | governing body his or her determination that the use
of such a | ||||||
18 | process will be in the best interest of the unit. | ||||||
19 | The purchasing officer shall publish that determination
in | ||||||
20 | the same manner required by law for the unit's invitations for | ||||||
21 | bids. | ||||||
22 | An invitation for bids shall be issued and shall include
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1 | (i) a procurement description, (ii) all contractual terms,
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2 | whenever practical, and (iii) conditions applicable to the
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3 | procurement, including a notice that bids will be received in
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4 | an electronic auction manner. | ||||||
5 | Public notice of the invitation for bids shall be given in
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6 | the same manner as required by law for the unit's other | ||||||
7 | invitations for bids. | ||||||
8 | Bids shall be accepted electronically at the time and in
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9 | the manner designated in the invitation for bids. During the
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10 | auction, a bidder's price shall be disclosed to other bidders.
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11 | Bidders shall have the opportunity to reduce their bid prices
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12 | during the auction. At the conclusion of the auction, the
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13 | record of the bid prices received and the name of each bidder
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14 | shall be open to public inspection. | ||||||
15 | After the auction period has terminated, withdrawal of bids
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16 | shall be permitted as otherwise provided by law. | ||||||
17 | The contract shall be awarded within 60 days after the
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18 | auction by written notice to the lowest responsible bidder, or
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19 | all bids shall be rejected except as otherwise provided by law. | ||||||
20 | Extensions of the date for the award may be made by
mutual | ||||||
21 | written consent of the purchasing officer and the
lowest | ||||||
22 | responsible bidder. | ||||||
23 | Section 15. Application. This Act does not apply to (i) | ||||||
24 | procurements of
professional and artistic services and (ii) | ||||||
25 | contracts for construction projects. |
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1 | Section 95. The Illinois Procurement Code is amended by | ||||||
2 | changing Section 20-10 as follows:
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3 | (30 ILCS 500/20-10)
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4 | Sec. 20-10. Competitive sealed bidding ; reverse auction .
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5 | (a) Conditions for use. All contracts shall be awarded by
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6 | competitive sealed bidding
except as otherwise provided in | ||||||
7 | Section 20-5.
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8 | (b) Invitation for bids. An invitation for bids shall be
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9 | issued and shall include a
purchase description and the | ||||||
10 | material contractual terms and
conditions applicable to the
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11 | procurement.
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12 | (c) Public notice. Public notice of the invitation for bids | ||||||
13 | shall be
published in the Illinois Procurement Bulletin at | ||||||
14 | least 14 days before the date
set in the invitation for the | ||||||
15 | opening of bids.
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16 | (d) Bid opening. Bids shall be opened publicly in the
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17 | presence of one or more witnesses
at the time and place | ||||||
18 | designated in the invitation for bids. The
name of each bidder, | ||||||
19 | the amount
of each bid, and other relevant information as may | ||||||
20 | be specified by
rule shall be
recorded. After the award of the | ||||||
21 | contract, the winning bid and the
record of each unsuccessful | ||||||
22 | bid shall be open to
public inspection.
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23 | (e) Bid acceptance and bid evaluation. Bids shall be
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24 | unconditionally accepted without
alteration or correction, |
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1 | except as authorized in this Code. Bids
shall be evaluated | ||||||
2 | based on the
requirements set forth in the invitation for bids, | ||||||
3 | which may
include criteria to determine
acceptability such as | ||||||
4 | inspection, testing, quality, workmanship,
delivery, and | ||||||
5 | suitability for a
particular purpose. Those criteria that will | ||||||
6 | affect the bid price
and be considered in evaluation
for award, | ||||||
7 | such as discounts, transportation costs, and total or
life | ||||||
8 | cycle costs, shall be
objectively measurable. The invitation | ||||||
9 | for bids shall set forth
the evaluation criteria to be used.
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10 | (f) Correction or withdrawal of bids. Correction or
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11 | withdrawal of inadvertently
erroneous bids before or after | ||||||
12 | award, or cancellation of awards of
contracts based on bid
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13 | mistakes, shall be permitted in accordance with rules.
After | ||||||
14 | bid opening, no
changes in bid prices or other provisions of | ||||||
15 | bids prejudicial to
the interest of the State or fair
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16 | competition shall be permitted. All decisions to permit the
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17 | correction or withdrawal of bids
based on bid mistakes shall be | ||||||
18 | supported by written determination
made by a State purchasing | ||||||
19 | officer.
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20 | (g) Award. The contract shall be awarded with reasonable
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21 | promptness by written notice
to the lowest responsible and | ||||||
22 | responsive bidder whose bid meets
the requirements and criteria
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23 | set forth in the invitation for bids, except when a State | ||||||
24 | purchasing officer
determines it is not in the best interest of | ||||||
25 | the State and by written
explanation determines another bidder | ||||||
26 | shall receive the award. The explanation
shall appear in the |
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1 | appropriate volume of the Illinois Procurement Bulletin.
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2 | (h) Multi-step sealed bidding. When it is considered
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3 | impracticable to initially prepare
a purchase description to | ||||||
4 | support an award based on price, an
invitation for bids may be | ||||||
5 | issued
requesting the submission of unpriced offers to be | ||||||
6 | followed by an
invitation for bids limited to
those bidders | ||||||
7 | whose offers have been qualified under the criteria
set forth | ||||||
8 | in the first solicitation.
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9 | (i) Alternative procedures. Notwithstanding any other | ||||||
10 | provision of this Act to the contrary, the Director of the | ||||||
11 | Illinois Power Agency may create alternative bidding | ||||||
12 | procedures to be used in procuring professional services under | ||||||
13 | Section 1-75(a) of the Illinois Power Agency Act and Section | ||||||
14 | 16-111.5(c) of the Public Utilities Act. These alternative | ||||||
15 | procedures shall be set forth together with the other criteria | ||||||
16 | contained in the invitation for bids, and shall appear in the | ||||||
17 | appropriate volume of the Illinois Procurement Bulletin.
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18 | (j) Reverse auction. Notwithstanding any other provision | ||||||
19 | of this Section and in accordance with rules adopted by the | ||||||
20 | Director of Central Management Services as chief procurement | ||||||
21 | officer, a State purchasing officer under that chief | ||||||
22 | procurement officer's jurisdiction may procure supplies or | ||||||
23 | services through a competitive electronic auction bidding | ||||||
24 | process after the purchasing officer explains in writing to the | ||||||
25 | chief procurement officer his or her determination that the use | ||||||
26 | of such a process will be in the best interest of the State. |
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1 | The chief procurement officer shall publish that determination | ||||||
2 | in his or her next volume of the Illinois Procurement Bulletin. | ||||||
3 | An invitation for bids shall be issued and shall include | ||||||
4 | (i) a procurement description, (ii) all contractual terms, | ||||||
5 | whenever practical, and (iii) conditions applicable to the | ||||||
6 | procurement, including a notice that bids will be received in | ||||||
7 | an electronic auction manner. | ||||||
8 | Public notice of the invitation for bids shall be given in | ||||||
9 | the same manner as provided in subsection (c). | ||||||
10 | Bids shall be accepted electronically at the time and in | ||||||
11 | the manner designated in the invitation for bids. During the | ||||||
12 | auction, a bidder's price shall be disclosed to other bidders. | ||||||
13 | Bidders shall have the opportunity to reduce their bid prices | ||||||
14 | during the auction. At the conclusion of the auction, the | ||||||
15 | record of the bid prices received and the name of each bidder | ||||||
16 | shall be open to public inspection. | ||||||
17 | After the auction period has terminated, withdrawal of bids | ||||||
18 | shall be permitted as provided in subsection (f). | ||||||
19 | The contract shall be awarded within 60 days after the | ||||||
20 | auction by written notice to the lowest responsible bidder, or | ||||||
21 | all bids shall be rejected except as otherwise provided in this | ||||||
22 | Code. Extensions of the date for the award may be made by | ||||||
23 | mutual written consent of the State purchasing officer and the | ||||||
24 | lowest responsible bidder. | ||||||
25 | This subsection does not apply to (i) procurements of | ||||||
26 | professional and artistic services and (ii) contracts for |
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1 | construction projects. | ||||||
2 | (Source: P.A. 95-481, eff. 8-28-07.)
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3 | Section 99. Effective date. This Act takes effect upon | ||||||
4 | becoming law.
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