102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
SB0611

 

Introduced 2/24/2021, by Sen. Craig Wilcox

 

SYNOPSIS AS INTRODUCED:
 
See Index

    Amends the Business Enterprise for Minorities, Women, and Persons with Disabilities Act. Modifies the provisions of the Act to apply to veterans and veteran-owned businesses. Modifies a Section concerning the short title. Changes the title of the Act to the Business Enterprise for Minorities, Women, Veterans, and Persons with Disabilities Act, and makes conforming changes throughout various statutes referencing the title of the Act. Amends the Illinois Procurement Code. Removes a provision concerning procurement preferences for veterans and veteran-owned businesses. Applies administrative penalties for falsely certified businesses to minority-owned businesses, women-owned businesses, veteran-owned businesses, and businesses owned by persons with a disability. Defines terms. Makes conforming changes in various statutes concerning minority-owned businesses, women-owned businesses, veteran-owned businesses, and businesses owned by persons with a disability. Effective immediately.


LRB102 15356 RJF 20716 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB0611LRB102 15356 RJF 20716 b

1    AN ACT concerning finance.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Attorney General Act is amended by changing
5Section 9 as follows:
 
6    (15 ILCS 205/9)
7    Sec. 9. Contract aspirational goals. The Attorney General
8shall establish aspirational goals for contract awards for all
9contracts for goods and services, not including contracts for
10services relating to investigations or litigation. These
11aspirational goals shall be substantially in accordance with
12the Business Enterprise for Minorities, Women, Veterans, and
13Persons with Disabilities Act, unless otherwise governed by
14other law. The Attorney General shall not be subject to the
15jurisdiction of the Business Enterprise Council established
16under the Business Enterprise for Minorities, Women, Veterans,
17and Persons with Disabilities Act with regard to steps taken
18to achieve aspirational goals. The Attorney General shall
19annually post information regarding the Office's utilization
20of businesses owned by minorities, women, veterans, and
21persons with disabilities during the preceding fiscal year on
22the Office's Internet websites.
23(Source: P.A. 100-801, eff. 8-10-18.)
 

 

 

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1    Section 10. The Secretary of State Act is amended by
2changing Section 19 as follows:
 
3    (15 ILCS 305/19)
4    Sec. 19. Contract aspirational goals. The Secretary of
5State shall establish aspirational goals for contract awards
6substantially in accordance with the Business Enterprise for
7Minorities, Women, Veterans, and Persons with Disabilities
8Act, unless otherwise governed by other law. The Secretary of
9State shall not be subject to the jurisdiction of the Business
10Enterprise Council established under the Business Enterprise
11for Minorities, Women, Veterans, and Persons with Disabilities
12Act with regard to steps taken to achieve aspirational goals.
13The Secretary of State shall annually post the Office's
14utilization of businesses owned by minorities, women,
15veterans, and persons with disabilities during the preceding
16fiscal year on the Office's Internet websites.
17(Source: P.A. 100-801, eff. 8-10-18.)
 
18    Section 15. The State Comptroller Act is amended by
19changing Sections 23.9 and 23.10 as follows:
 
20    (15 ILCS 405/23.9)
21    Sec. 23.9. Minority Contractor Opportunity Initiative. The
22State Comptroller Minority Contractor Opportunity Initiative

 

 

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1is created to provide greater opportunities for minority-owned
2businesses, women-owned businesses, veteran-owned businesses,
3businesses owned by persons with disabilities, and small
4businesses with 20 or fewer employees in this State to
5participate in the State procurement process. The initiative
6shall be administered by the Comptroller. Under this
7initiative, the Comptroller is responsible for the following:
8(i) outreach to minority-owned businesses, women-owned
9businesses, veteran-owned businesses, businesses owned by
10persons with disabilities, and small businesses capable of
11providing services to the State; (ii) education of
12minority-owned businesses, women-owned businesses,
13veteran-owned businesses, businesses owned by persons with
14disabilities, and small businesses concerning State
15contracting and procurement; (iii) notification of
16minority-owned businesses, women-owned businesses,
17veteran-owned businesses, businesses owned by persons with
18disabilities, and small businesses of State contracting
19opportunities; and (iv) maintenance of an online database of
20State contracts that identifies the contracts awarded to
21minority-owned businesses, women-owned businesses,
22veteran-owned businesses, businesses owned by persons with
23disabilities, and small businesses that includes the total
24amount paid by State agencies to contractors and the
25percentage paid to minority-owned businesses, women-owned
26businesses, veteran-owned businesses, businesses owned by

 

 

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1persons with disabilities, and small businesses.
2    The Business Enterprise Council created under Section 5 of
3the Business Enterprise for Minorities, Women, Veterans, and
4Persons with Disabilities Act shall provide the Comptroller
5with names, Federal Employer Identification Numbers, and
6designations of Business Enterprise Program certified vendors
7to fulfill the Comptroller's responsibilities under this
8Section, including, but not limited to, identification of
9minority-owned businesses, women-owned businesses,
10veteran-owned businesses, and businesses owned by persons with
11disabilities.
12    The Comptroller shall annually prepare and submit a report
13to the Governor and the General Assembly concerning the
14progress of this initiative including the following
15information for the preceding fiscal year: (i) a statement of
16the total amounts paid by each executive branch agency to
17contractors since the previous report; (ii) the percentage of
18the amounts that were paid to minority-owned businesses,
19women-owned businesses, veteran-owned businesses, businesses
20owned by persons with disabilities, and small businesses;
21(iii) the successes achieved and the challenges faced by the
22Comptroller in operating outreach programs for minorities,
23women, veterans, persons with disabilities, and small
24businesses; (iv) the challenges each executive branch agency
25may face in hiring qualified minority, woman, veteran, and
26small business employees and employees with disabilities and

 

 

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1contracting with qualified minority-owned businesses,
2women-owned businesses, veteran-owned businesses, businesses
3owned by persons with disabilities, and small businesses; and
4(v) any other information, findings, conclusions, and
5recommendations for legislative or agency action, as the
6Comptroller deems appropriate.
7    On and after the effective date of this amendatory Act of
8the 97th General Assembly, any bidder or offeror awarded a
9contract of $1,000 or more under Section 20-10, 20-15, 20-25,
10or 20-30 of the Illinois Procurement Code is required to pay a
11fee of $15 to cover expenses related to the administration of
12this Section. The Comptroller shall deduct the fee from the
13first check issued to the vendor under the contract and
14deposit the fee into the Comptroller's Administrative Fund.
15Contracts administered for statewide orders placed by agencies
16(commonly referred to as "statewide master contracts") are
17exempt from this fee.
18    Each Chief Procurement Officer shall provide the
19Comptroller with names and Federal Employer Identification
20Numbers of vendors registered in the Illinois Small Business
21Set Aside Program to aid the Comptroller in fulfilling his or
22her responsibilities under this Section.
23(Source: P.A. 99-143, eff. 7-27-15; 100-391, eff. 8-25-17;
24100-801, eff. 8-10-18.)
 
25    (15 ILCS 405/23.10)

 

 

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1    Sec. 23.10. Contract aspirational goals. The Comptroller
2shall establish aspirational goals for contract awards
3substantially in accordance with the Business Enterprise for
4Minorities, Women, Veterans, and Persons with Disabilities
5Act, unless otherwise governed by other law. The Comptroller
6shall not be subject to the jurisdiction of the Business
7Enterprise Council established under the Business Enterprise
8for Minorities, Women, Veterans, and Persons with Disabilities
9Act with regard to steps taken to achieve aspirational goals.
10The Comptroller shall annually post the Office's utilization
11of businesses owned by minorities, women, veterans, and
12persons with disabilities during the preceding fiscal year on
13the Office's Internet websites.
14(Source: P.A. 100-801, eff. 8-10-18.)
 
15    Section 20. The State Treasurer Act is amended by changing
16Section 30 as follows:
 
17    (15 ILCS 505/30)
18    Sec. 30. Preferences for veterans, minorities, women, and
19persons with disabilities.
20    (a) As used in this Section, : (1) the terms "minority
21person", "woman", "veteran", "person with a disability",
22"minority-owned business", "women-owned business",
23"veteran-owned businesses", "business owned by a person with a
24disability", "armed forces of the United States", and

 

 

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1"control" have the meanings provided in Section 2 1 of the
2Business Enterprise for Minorities, Women, Veterans, and
3Persons with Disabilities Act. ; and
4        (2) the terms "veteran", "qualified veteran-owned
5    small business", "qualified service-disabled
6    veteran-owned small business", "qualified
7    service-disabled veteran", and "armed forces of the United
8    States" have the meanings provided in Article 1 of the
9    Illinois Procurement Code.
10    (b) It is hereby declared to be the policy of the State
11Treasurer to promote and encourage the use of businesses owned
12by or under the control of qualified veterans of the armed
13forces of the United States, qualified service-disabled
14veterans, minority persons, women, or persons with a
15disability in the area of goods and services. Furthermore, the
16State Treasurer shall utilize such businesses to the greatest
17extent feasible within the bounds of financial and fiduciary
18prudence, and take affirmative steps to remove any barriers to
19the full participation of such firms in the procurement and
20contracting opportunities afforded.
21    (c) It shall be an aspirational goal of the State
22Treasurer to use businesses owned by or under the control of
23qualified veterans of the armed forces of the United States,
24qualified service-disabled veterans, minority persons, women,
25or persons with a disability for not less than 25% of the total
26dollar amount of funds under management, purchases of

 

 

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1investment securities, and other contracts, including, but not
2limited to, the use of broker-dealers. The State Treasurer is
3authorized to establish additional aspirational goals.
4    (d) When the State Treasurer procures goods and services,
5whether through a request for proposal or otherwise, he or she
6is authorized to incorporate preferences in the scoring
7process for: (1) a minority-owned business, a women-owned
8business, a business owned by a person with a disability, or a
9qualified veteran-owned small business, or a qualified
10service-disabled veteran-owned small business; and (2)
11businesses having a record of support for increasing diversity
12and inclusion in board membership, management, employment,
13philanthropy, and supplier diversity, including investment
14professionals and investment sourcing.
15    When the State Treasurer utilizes a financial institution
16or determines the eligibility of a financial institution to
17participate in a banking contract, investment contract,
18investment activity, or other financial program of the State
19Treasurer, he or she shall review the financial institution's
20Community Reinvestment Act rating, record, and current level
21of financial commitment to the community prior to making a
22decision to utilize or determine the eligibility of such
23financial institution.
24    (e) Beginning with fiscal year 2019, and at least annually
25thereafter, the State Treasurer shall report on his or her
26utilization of minority-owned businesses, women-owned

 

 

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1businesses, businesses owned by a person with a disability,
2and qualified veteran-owned small businesses, or qualified
3service-disabled veteran-owned small businesses. The report
4shall be published on the State Treasurer's official website.
5    (f) The provisions of this Section take precedence over
6any goals established under the Business Enterprise for
7Minorities, Women, Veterans, and Persons with Disabilities
8Act.
9(Source: P.A. 100-969, eff. 8-19-18.)
 
10    Section 25. The Department of Commerce and Economic
11Opportunity Law of the Civil Administrative Code of Illinois
12is amended by changing Section 605-1020 as follows:
 
13    (20 ILCS 605/605-1020)
14    Sec. 605-1020. Entrepreneur Learner's Permit pilot
15program.
16    (a) Subject to appropriation, there is hereby established
17an Entrepreneur Learner's Permit pilot program that shall be
18administered by the Department beginning on July 1 of the
19first fiscal year for which an appropriation of State moneys
20is made for that purpose and continuing for the next 2
21immediately succeeding fiscal years; however, the Department
22is not required to administer the program in any fiscal year
23for which such an appropriation has not been made. The purpose
24of the program shall be to encourage and assist beginning

 

 

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1entrepreneurs in starting new businesses by providing
2reimbursements to those entrepreneurs for any State filing,
3permitting, or licensing fees associated with the formation of
4such a business in the State.
5    (b) Applicants for participation in the Entrepreneur
6Learner's Permit pilot program shall apply to the Department,
7in a form and manner prescribed by the Department, within one
8year after the formation of the business for which the
9entrepreneur seeks reimbursement of those fees. The Department
10shall adopt rules for the review and approval of applications,
11provided that it (1) shall give priority to applicants who are
12women, veterans, or minority persons, or persons with a
13disability or both, and (2) shall not approve any application
14by a person who will not be a beginning entrepreneur.
15Reimbursements under this Section shall be provided in the
16manner determined by the Department. In no event shall an
17applicant apply for participation in the program more than 3
18times.
19    (c) The aggregate amount of all reimbursements provided by
20the Department pursuant to this Section shall not exceed
21$500,000 in any State fiscal year.
22    (d) On or before February 1 of the last calendar year
23during which the pilot program is in effect, the Department
24shall submit a report to the Governor and the General Assembly
25on the cumulative effectiveness of the Entrepreneur Learner's
26Permit pilot program. The review shall include, but not be

 

 

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1limited to, the number and type of businesses that were formed
2in connection with the pilot program, the current status of
3each business formed in connection with the pilot program, the
4number of employees employed by each such business, the
5economic impact to the State from the pilot program, the
6satisfaction of participants in the pilot program, and a
7recommendation as to whether the program should be continued.
8The report to the General Assembly shall be filed with the
9Clerk of the House of Representatives and the Secretary of the
10Senate in electronic form only, in the manner that the Clerk
11and the Secretary shall direct.
12    (e) As used in this Section:
13        "Beginning entrepreneur" means an individual who, at
14    the time he or she applies for participation in the
15    program, has less than 5 years of experience as a business
16    owner and is not a current business owner.
17        "Woman", "veteran", and "minority person", and "person
18    with a disability" have the meanings given to those terms
19    in the Business Enterprise for Minorities, Women,
20    Veterans, and Persons with Disabilities Act.
21(Source: P.A. 100-541, eff. 11-7-17; 100-785, eff. 8-10-18;
22100-863, eff. 8-14-18; 101-81, eff. 7-12-19.)
 
23    Section 30. The Illinois Enterprise Zone Act is amended by
24changing Section 4 as follows:
 

 

 

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1    (20 ILCS 655/4)  (from Ch. 67 1/2, par. 604)
2    Sec. 4. Qualifications for enterprise zones.
3    (1) An area is qualified to become an enterprise zone
4which:
5        (a) is a contiguous area, provided that a zone area
6    may exclude wholly surrounded territory within its
7    boundaries;
8        (b) comprises a minimum of one-half square mile and
9    not more than 12 square miles, or 15 square miles if the
10    zone is located within the jurisdiction of 4 or more
11    counties or municipalities, in total area, exclusive of
12    lakes and waterways; however, in such cases where the
13    enterprise zone is a joint effort of three or more units of
14    government, or two or more units of government if situated
15    in a township which is divided by a municipality of
16    1,000,000 or more inhabitants, and where the certification
17    has been in effect at least one year, the total area shall
18    comprise a minimum of one-half square mile and not more
19    than thirteen square miles in total area exclusive of
20    lakes and waterways;
21        (c) (blank);
22        (d) (blank);
23        (e) is (1) entirely within a municipality or (2)
24    entirely within the unincorporated areas of a county,
25    except where reasonable need is established for such zone
26    to cover portions of more than one municipality or county

 

 

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1    or (3) both comprises (i) all or part of a municipality and
2    (ii) an unincorporated area of a county; and
3        (f) meets 3 or more of the following criteria:
4            (1) all or part of the local labor market area has
5        had an annual average unemployment rate of at least
6        120% of the State's annual average unemployment rate
7        for the most recent calendar year or the most recent
8        fiscal year as reported by the Department of
9        Employment Security;
10            (2) designation will result in the development of
11        substantial employment opportunities by creating or
12        retaining a minimum aggregate of 1,000 full-time
13        equivalent jobs due to an aggregate investment of
14        $100,000,000 or more, and will help alleviate the
15        effects of poverty and unemployment within the local
16        labor market area;
17            (3) all or part of the local labor market area has
18        a poverty rate of at least 20% according to the latest
19        federal decennial census, 50% or more of children in
20        the local labor market area participate in the federal
21        free lunch program according to reported statistics
22        from the State Board of Education, or 20% or more
23        households in the local labor market area receive food
24        stamps according to the latest federal decennial
25        census;
26            (4) an abandoned coal mine, a brownfield (as

 

 

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1        defined in Section 58.2 of the Environmental
2        Protection Act), or an inactive nuclear-powered
3        electrical generation facility where spent nuclear
4        fuel is stored on-site is located in the proposed zone
5        area, or all or a portion of the proposed zone was
6        declared a federal disaster area in the 3 years
7        preceding the date of application;
8            (5) the local labor market area contains a
9        presence of large employers that have downsized over
10        the years, the labor market area has experienced plant
11        closures in the 5 years prior to the date of
12        application affecting more than 50 workers, or the
13        local labor market area has experienced State or
14        federal facility closures in the 5 years prior to the
15        date of application affecting more than 50 workers;
16            (6) based on data from Multiple Listing Service
17        information or other suitable sources, the local labor
18        market area contains a high floor vacancy rate of
19        industrial or commercial properties, vacant or
20        demolished commercial and industrial structures are
21        prevalent in the local labor market area, or
22        industrial structures in the local labor market area
23        are not used because of age, deterioration, relocation
24        of the former occupants, or cessation of operation;
25            (7) the applicant demonstrates a substantial plan
26        for using the designation to improve the State and

 

 

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1        local government tax base, including income, sales,
2        and property taxes;
3            (8) significant public infrastructure is present
4        in the local labor market area in addition to a plan
5        for infrastructure development and improvement;
6            (9) high schools or community colleges located
7        within the local labor market area are engaged in ACT
8        Work Keys, Manufacturing Skills Standard
9        Certification, or other industry-based credentials
10        that prepare students for careers;
11            (10) the change in equalized assessed valuation of
12        industrial and/or commercial properties in the 5 years
13        prior to the date of application is equal to or less
14        than 50% of the State average change in equalized
15        assessed valuation for industrial and/or commercial
16        properties, as applicable, for the same period of
17        time; or
18            (11) the applicant demonstrates a substantial plan
19        for using the designation to encourage: (i)
20        participation by businesses owned by minorities,
21        women, veterans, and persons with disabilities, as
22        those terms are defined in the Business Enterprise for
23        Minorities, Women, Veterans, and Persons with
24        Disabilities Act; and (ii) the hiring of minorities,
25        women, and persons with disabilities.
26    As provided in Section 10-5.3 of the River Edge

 

 

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1Redevelopment Zone Act, upon the expiration of the term of
2each River Edge Redevelopment Zone in existence on August 7,
32012 (the effective date of Public Act 97-905), that River
4Edge Redevelopment Zone will become available for its previous
5designee or a new applicant to compete for designation as an
6enterprise zone. No preference for designation will be given
7to the previous designee of the zone.
8    (2) Any criteria established by the Department or by law
9which utilize the rate of unemployment for a particular area
10shall provide that all persons who are not presently employed
11and have exhausted all unemployment benefits shall be
12considered unemployed, whether or not such persons are
13actively seeking employment.
14(Source: P.A. 100-838, eff. 8-13-18; 100-1149, eff. 12-14-18;
15101-81, eff. 7-12-19.)
 
16    Section 35. The Illinois Lottery Law is amended by
17changing Section 9.1 as follows:
 
18    (20 ILCS 1605/9.1)
19    Sec. 9.1. Private manager and management agreement.
20    (a) As used in this Section:
21    "Offeror" means a person or group of persons that responds
22to a request for qualifications under this Section.
23    "Request for qualifications" means all materials and
24documents prepared by the Department to solicit the following

 

 

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1from offerors:
2        (1) Statements of qualifications.
3        (2) Proposals to enter into a management agreement,
4    including the identity of any prospective vendor or
5    vendors that the offeror intends to initially engage to
6    assist the offeror in performing its obligations under the
7    management agreement.
8    "Final offer" means the last proposal submitted by an
9offeror in response to the request for qualifications,
10including the identity of any prospective vendor or vendors
11that the offeror intends to initially engage to assist the
12offeror in performing its obligations under the management
13agreement.
14    "Final offeror" means the offeror ultimately selected by
15the Governor to be the private manager for the Lottery under
16subsection (h) of this Section.
17    (b) By September 15, 2010, the Governor shall select a
18private manager for the total management of the Lottery with
19integrated functions, such as lottery game design, supply of
20goods and services, and advertising and as specified in this
21Section.
22    (c) Pursuant to the terms of this subsection, the
23Department shall endeavor to expeditiously terminate the
24existing contracts in support of the Lottery in effect on July
2513, 2009 (the effective date of Public Act 96-37) this
26amendatory Act of the 96th General Assembly in connection with

 

 

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1the selection of the private manager. As part of its
2obligation to terminate these contracts and select the private
3manager, the Department shall establish a mutually agreeable
4timetable to transfer the functions of existing contractors to
5the private manager so that existing Lottery operations are
6not materially diminished or impaired during the transition.
7To that end, the Department shall do the following:
8        (1) where such contracts contain a provision
9    authorizing termination upon notice, the Department shall
10    provide notice of termination to occur upon the mutually
11    agreed timetable for transfer of functions;
12        (2) upon the expiration of any initial term or renewal
13    term of the current Lottery contracts, the Department
14    shall not renew such contract for a term extending beyond
15    the mutually agreed timetable for transfer of functions;
16    or
17        (3) in the event any current contract provides for
18    termination of that contract upon the implementation of a
19    contract with the private manager, the Department shall
20    perform all necessary actions to terminate the contract on
21    the date that coincides with the mutually agreed timetable
22    for transfer of functions.
23    If the contracts to support the current operation of the
24Lottery in effect on July 13, 2009 (the effective date of
25Public Act 96-34) this amendatory Act of the 96th General
26Assembly are not subject to termination as provided for in

 

 

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1this subsection (c), then the Department may include a
2provision in the contract with the private manager specifying
3a mutually agreeable methodology for incorporation.
4    (c-5) The Department shall include provisions in the
5management agreement whereby the private manager shall, for a
6fee, and pursuant to a contract negotiated with the Department
7(the "Employee Use Contract"), utilize the services of current
8Department employees to assist in the administration and
9operation of the Lottery. The Department shall be the employer
10of all such bargaining unit employees assigned to perform such
11work for the private manager, and such employees shall be
12State employees, as defined by the Personnel Code. Department
13employees shall operate under the same employment policies,
14rules, regulations, and procedures, as other employees of the
15Department. In addition, neither historical representation
16rights under the Illinois Public Labor Relations Act, nor
17existing collective bargaining agreements, shall be disturbed
18by the management agreement with the private manager for the
19management of the Lottery.
20    (d) The management agreement with the private manager
21shall include all of the following:
22        (1) A term not to exceed 10 years, including any
23    renewals.
24        (2) A provision specifying that the Department:
25            (A) shall exercise actual control over all
26        significant business decisions;

 

 

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1            (A-5) has the authority to direct or countermand
2        operating decisions by the private manager at any
3        time;
4            (B) has ready access at any time to information
5        regarding Lottery operations;
6            (C) has the right to demand and receive
7        information from the private manager concerning any
8        aspect of the Lottery operations at any time; and
9            (D) retains ownership of all trade names,
10        trademarks, and intellectual property associated with
11        the Lottery.
12        (3) A provision imposing an affirmative duty on the
13    private manager to provide the Department with material
14    information and with any information the private manager
15    reasonably believes the Department would want to know to
16    enable the Department to conduct the Lottery.
17        (4) A provision requiring the private manager to
18    provide the Department with advance notice of any
19    operating decision that bears significantly on the public
20    interest, including, but not limited to, decisions on the
21    kinds of games to be offered to the public and decisions
22    affecting the relative risk and reward of the games being
23    offered, so the Department has a reasonable opportunity to
24    evaluate and countermand that decision.
25        (5) A provision providing for compensation of the
26    private manager that may consist of, among other things, a

 

 

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1    fee for services and a performance based bonus as
2    consideration for managing the Lottery, including terms
3    that may provide the private manager with an increase in
4    compensation if Lottery revenues grow by a specified
5    percentage in a given year.
6        (6) (Blank).
7        (7) A provision requiring the deposit of all Lottery
8    proceeds to be deposited into the State Lottery Fund
9    except as otherwise provided in Section 20 of this Act.
10        (8) A provision requiring the private manager to
11    locate its principal office within the State.
12        (8-5) A provision encouraging that at least 20% of the
13    cost of contracts entered into for goods and services by
14    the private manager in connection with its management of
15    the Lottery, other than contracts with sales agents or
16    technical advisors, be awarded to businesses that are a
17    minority-owned business, a women-owned business,
18    veteran-owned business, or a business owned by a person
19    with disability, as those terms are defined in the
20    Business Enterprise for Minorities, Women, Veterans, and
21    Persons with Disabilities Act.
22        (9) A requirement that so long as the private manager
23    complies with all the conditions of the agreement under
24    the oversight of the Department, the private manager shall
25    have the following duties and obligations with respect to
26    the management of the Lottery:

 

 

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1            (A) The right to use equipment and other assets
2        used in the operation of the Lottery.
3            (B) The rights and obligations under contracts
4        with retailers and vendors.
5            (C) The implementation of a comprehensive security
6        program by the private manager.
7            (D) The implementation of a comprehensive system
8        of internal audits.
9            (E) The implementation of a program by the private
10        manager to curb compulsive gambling by persons playing
11        the Lottery.
12            (F) A system for determining (i) the type of
13        Lottery games, (ii) the method of selecting winning
14        tickets, (iii) the manner of payment of prizes to
15        holders of winning tickets, (iv) the frequency of
16        drawings of winning tickets, (v) the method to be used
17        in selling tickets, (vi) a system for verifying the
18        validity of tickets claimed to be winning tickets,
19        (vii) the basis upon which retailer commissions are
20        established by the manager, and (viii) minimum
21        payouts.
22        (10) A requirement that advertising and promotion must
23    be consistent with Section 7.8a of this Act.
24        (11) A requirement that the private manager market the
25    Lottery to those residents who are new, infrequent, or
26    lapsed players of the Lottery, especially those who are

 

 

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1    most likely to make regular purchases on the Internet as
2    permitted by law.
3        (12) A code of ethics for the private manager's
4    officers and employees.
5        (13) A requirement that the Department monitor and
6    oversee the private manager's practices and take action
7    that the Department considers appropriate to ensure that
8    the private manager is in compliance with the terms of the
9    management agreement, while allowing the manager, unless
10    specifically prohibited by law or the management
11    agreement, to negotiate and sign its own contracts with
12    vendors.
13        (14) A provision requiring the private manager to
14    periodically file, at least on an annual basis,
15    appropriate financial statements in a form and manner
16    acceptable to the Department.
17        (15) Cash reserves requirements.
18        (16) Procedural requirements for obtaining the prior
19    approval of the Department when a management agreement or
20    an interest in a management agreement is sold, assigned,
21    transferred, or pledged as collateral to secure financing.
22        (17) Grounds for the termination of the management
23    agreement by the Department or the private manager.
24        (18) Procedures for amendment of the agreement.
25        (19) A provision requiring the private manager to
26    engage in an open and competitive bidding process for any

 

 

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1    procurement having a cost in excess of $50,000 that is not
2    a part of the private manager's final offer. The process
3    shall favor the selection of a vendor deemed to have
4    submitted a proposal that provides the Lottery with the
5    best overall value. The process shall not be subject to
6    the provisions of the Illinois Procurement Code, unless
7    specifically required by the management agreement.
8        (20) The transition of rights and obligations,
9    including any associated equipment or other assets used in
10    the operation of the Lottery, from the manager to any
11    successor manager of the lottery, including the
12    Department, following the termination of or foreclosure
13    upon the management agreement.
14        (21) Right of use of copyrights, trademarks, and
15    service marks held by the Department in the name of the
16    State. The agreement must provide that any use of them by
17    the manager shall only be for the purpose of fulfilling
18    its obligations under the management agreement during the
19    term of the agreement.
20        (22) The disclosure of any information requested by
21    the Department to enable it to comply with the reporting
22    requirements and information requests provided for under
23    subsection (p) of this Section.
24    (e) Notwithstanding any other law to the contrary, the
25Department shall select a private manager through a
26competitive request for qualifications process consistent with

 

 

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1Section 20-35 of the Illinois Procurement Code, which shall
2take into account:
3        (1) the offeror's ability to market the Lottery to
4    those residents who are new, infrequent, or lapsed players
5    of the Lottery, especially those who are most likely to
6    make regular purchases on the Internet;
7        (2) the offeror's ability to address the State's
8    concern with the social effects of gambling on those who
9    can least afford to do so;
10        (3) the offeror's ability to provide the most
11    successful management of the Lottery for the benefit of
12    the people of the State based on current and past business
13    practices or plans of the offeror; and
14        (4) the offeror's poor or inadequate past performance
15    in servicing, equipping, operating or managing a lottery
16    on behalf of Illinois, another State or foreign government
17    and attracting persons who are not currently regular
18    players of a lottery.
19    (f) The Department may retain the services of an advisor
20or advisors with significant experience in financial services
21or the management, operation, and procurement of goods,
22services, and equipment for a government-run lottery to assist
23in the preparation of the terms of the request for
24qualifications and selection of the private manager. Any
25prospective advisor seeking to provide services under this
26subsection (f) shall disclose any material business or

 

 

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1financial relationship during the past 3 years with any
2potential offeror, or with a contractor or subcontractor
3presently providing goods, services, or equipment to the
4Department to support the Lottery. The Department shall
5evaluate the material business or financial relationship of
6each prospective advisor. The Department shall not select any
7prospective advisor with a substantial business or financial
8relationship that the Department deems to impair the
9objectivity of the services to be provided by the prospective
10advisor. During the course of the advisor's engagement by the
11Department, and for a period of one year thereafter, the
12advisor shall not enter into any business or financial
13relationship with any offeror or any vendor identified to
14assist an offeror in performing its obligations under the
15management agreement. Any advisor retained by the Department
16shall be disqualified from being an offeror. The Department
17shall not include terms in the request for qualifications that
18provide a material advantage whether directly or indirectly to
19any potential offeror, or any contractor or subcontractor
20presently providing goods, services, or equipment to the
21Department to support the Lottery, including terms contained
22in previous responses to requests for proposals or
23qualifications submitted to Illinois, another State or foreign
24government when those terms are uniquely associated with a
25particular potential offeror, contractor, or subcontractor.
26The request for proposals offered by the Department on

 

 

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1December 22, 2008 as "LOT08GAMESYS" and reference number
2"22016176" is declared void.
3    (g) The Department shall select at least 2 offerors as
4finalists to potentially serve as the private manager no later
5than August 9, 2010. Upon making preliminary selections, the
6Department shall schedule a public hearing on the finalists'
7proposals and provide public notice of the hearing at least 7
8calendar days before the hearing. The notice must include all
9of the following:
10        (1) The date, time, and place of the hearing.
11        (2) The subject matter of the hearing.
12        (3) A brief description of the management agreement to
13    be awarded.
14        (4) The identity of the offerors that have been
15    selected as finalists to serve as the private manager.
16        (5) The address and telephone number of the
17    Department.
18    (h) At the public hearing, the Department shall (i)
19provide sufficient time for each finalist to present and
20explain its proposal to the Department and the Governor or the
21Governor's designee, including an opportunity to respond to
22questions posed by the Department, Governor, or designee and
23(ii) allow the public and non-selected offerors to comment on
24the presentations. The Governor or a designee shall attend the
25public hearing. After the public hearing, the Department shall
26have 14 calendar days to recommend to the Governor whether a

 

 

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1management agreement should be entered into with a particular
2finalist. After reviewing the Department's recommendation, the
3Governor may accept or reject the Department's recommendation,
4and shall select a final offeror as the private manager by
5publication of a notice in the Illinois Procurement Bulletin
6on or before September 15, 2010. The Governor shall include in
7the notice a detailed explanation and the reasons why the
8final offeror is superior to other offerors and will provide
9management services in a manner that best achieves the
10objectives of this Section. The Governor shall also sign the
11management agreement with the private manager.
12    (i) Any action to contest the private manager selected by
13the Governor under this Section must be brought within 7
14calendar days after the publication of the notice of the
15designation of the private manager as provided in subsection
16(h) of this Section.
17    (j) The Lottery shall remain, for so long as a private
18manager manages the Lottery in accordance with provisions of
19this Act, a Lottery conducted by the State, and the State shall
20not be authorized to sell or transfer the Lottery to a third
21party.
22    (k) Any tangible personal property used exclusively in
23connection with the lottery that is owned by the Department
24and leased to the private manager shall be owned by the
25Department in the name of the State and shall be considered to
26be public property devoted to an essential public and

 

 

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1governmental function.
2    (l) The Department may exercise any of its powers under
3this Section or any other law as necessary or desirable for the
4execution of the Department's powers under this Section.
5    (m) Neither this Section nor any management agreement
6entered into under this Section prohibits the General Assembly
7from authorizing forms of gambling that are not in direct
8competition with the Lottery. The forms of gambling authorized
9by Public Act 101-31 this amendatory Act of the 101st General
10Assembly constitute authorized forms of gambling that are not
11in direct competition with the Lottery.
12    (n) The private manager shall be subject to a complete
13investigation in the third, seventh, and tenth years of the
14agreement (if the agreement is for a 10-year term) by the
15Department in cooperation with the Auditor General to
16determine whether the private manager has complied with this
17Section and the management agreement. The private manager
18shall bear the cost of an investigation or reinvestigation of
19the private manager under this subsection.
20    (o) The powers conferred by this Section are in addition
21and supplemental to the powers conferred by any other law. If
22any other law or rule is inconsistent with this Section,
23including, but not limited to, provisions of the Illinois
24Procurement Code, then this Section controls as to any
25management agreement entered into under this Section. This
26Section and any rules adopted under this Section contain full

 

 

SB0611- 30 -LRB102 15356 RJF 20716 b

1and complete authority for a management agreement between the
2Department and a private manager. No law, procedure,
3proceeding, publication, notice, consent, approval, order, or
4act by the Department or any other officer, Department,
5agency, or instrumentality of the State or any political
6subdivision is required for the Department to enter into a
7management agreement under this Section. This Section contains
8full and complete authority for the Department to approve any
9contracts entered into by a private manager with a vendor
10providing goods, services, or both goods and services to the
11private manager under the terms of the management agreement,
12including subcontractors of such vendors.
13    Upon receipt of a written request from the Chief
14Procurement Officer, the Department shall provide to the Chief
15Procurement Officer a complete and un-redacted copy of the
16management agreement or any contract that is subject to the
17Department's approval authority under this subsection (o). The
18Department shall provide a copy of the agreement or contract
19to the Chief Procurement Officer in the time specified by the
20Chief Procurement Officer in his or her written request, but
21no later than 5 business days after the request is received by
22the Department. The Chief Procurement Officer must retain any
23portions of the management agreement or of any contract
24designated by the Department as confidential, proprietary, or
25trade secret information in complete confidence pursuant to
26subsection (g) of Section 7 of the Freedom of Information Act.

 

 

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1The Department shall also provide the Chief Procurement
2Officer with reasonable advance written notice of any contract
3that is pending Department approval.
4    Notwithstanding any other provision of this Section to the
5contrary, the Chief Procurement Officer shall adopt
6administrative rules, including emergency rules, to establish
7a procurement process to select a successor private manager if
8a private management agreement has been terminated. The
9selection process shall at a minimum take into account the
10criteria set forth in items (1) through (4) of subsection (e)
11of this Section and may include provisions consistent with
12subsections (f), (g), (h), and (i) of this Section. The Chief
13Procurement Officer shall also implement and administer the
14adopted selection process upon the termination of a private
15management agreement. The Department, after the Chief
16Procurement Officer certifies that the procurement process has
17been followed in accordance with the rules adopted under this
18subsection (o), shall select a final offeror as the private
19manager and sign the management agreement with the private
20manager.
21    Except as provided in Sections 21.5, 21.6, 21.7, 21.8,
2221.9, 21.10, 21.11, 21.12, and 21.13, the Department shall
23distribute all proceeds of lottery tickets and shares sold in
24the following priority and manner:
25        (1) The payment of prizes and retailer bonuses.
26        (2) The payment of costs incurred in the operation and

 

 

SB0611- 32 -LRB102 15356 RJF 20716 b

1    administration of the Lottery, including the payment of
2    sums due to the private manager under the management
3    agreement with the Department.
4        (3) On the last day of each month or as soon thereafter
5    as possible, the State Comptroller shall direct and the
6    State Treasurer shall transfer from the State Lottery Fund
7    to the Common School Fund an amount that is equal to the
8    proceeds transferred in the corresponding month of fiscal
9    year 2009, as adjusted for inflation, to the Common School
10    Fund.
11        (4) On or before September 30 of each fiscal year,
12    deposit any estimated remaining proceeds from the prior
13    fiscal year, subject to payments under items (1), (2), and
14    (3), into the Capital Projects Fund. Beginning in fiscal
15    year 2019, the amount deposited shall be increased or
16    decreased each year by the amount the estimated payment
17    differs from the amount determined from each year-end
18    financial audit. Only remaining net deficits from prior
19    fiscal years may reduce the requirement to deposit these
20    funds, as determined by the annual financial audit.
21    (p) The Department shall be subject to the following
22reporting and information request requirements:
23        (1) the Department shall submit written quarterly
24    reports to the Governor and the General Assembly on the
25    activities and actions of the private manager selected
26    under this Section;

 

 

SB0611- 33 -LRB102 15356 RJF 20716 b

1        (2) upon request of the Chief Procurement Officer, the
2    Department shall promptly produce information related to
3    the procurement activities of the Department and the
4    private manager requested by the Chief Procurement
5    Officer; the Chief Procurement Officer must retain
6    confidential, proprietary, or trade secret information
7    designated by the Department in complete confidence
8    pursuant to subsection (g) of Section 7 of the Freedom of
9    Information Act; and
10        (3) at least 30 days prior to the beginning of the
11    Department's fiscal year, the Department shall prepare an
12    annual written report on the activities of the private
13    manager selected under this Section and deliver that
14    report to the Governor and General Assembly.
15(Source: P.A. 100-391, eff. 8-25-17; 100-587, eff. 6-4-18;
16100-647, eff. 7-30-18; 100-1068, eff. 8-24-18; 101-31, eff.
176-28-19; 101-81, eff. 7-12-19; 101-561, eff. 8-23-19; revised
1810-21-19.)
 
19    Section 40. The Department of Transportation Law of the
20Civil Administrative Code of Illinois is amended by changing
21Section 2705-585 as follows:
 
22    (20 ILCS 2705/2705-585)
23    Sec. 2705-585. Diversity goals.
24    (a) To the extent permitted by any applicable federal law

 

 

SB0611- 34 -LRB102 15356 RJF 20716 b

1or regulation, all State construction projects funded from
2amounts (i) made available under the Governor's Fiscal Year
32009 supplemental budget or the American Recovery and
4Reinvestment Act of 2009 and (ii) that are appropriated to the
5Illinois Department of Transportation shall comply with the
6Business Enterprise for Minorities, Women, Veterans, and
7Persons with Disabilities Act.
8    (b) The Illinois Department of Transportation shall
9appoint representatives to professional and artistic services
10selection committees representative of the State's ethnic,
11cultural, and geographic diversity, including, but not limited
12to, at least one person from each of the following: an
13association representing the interests of African American
14business owners, an association representing the interests of
15Latino business owners, and an association representing the
16interests of women business owners. These committees shall
17comply with all requirements of the Open Meetings Act.
18(Source: P.A. 100-391, eff. 8-25-17.)
 
19    Section 45. The Capital Development Board Act is amended
20by changing Section 16 as follows:
 
21    (20 ILCS 3105/16)  (from Ch. 127, par. 783b)
22    Sec. 16. (a) In addition to any other power granted in this
23Act to adopt rules or regulations, the Board may adopt
24regulations or rules relating to the issuance or renewal of

 

 

SB0611- 35 -LRB102 15356 RJF 20716 b

1the prequalification of an architect, engineer or contractor
2or the suspension or modification of the prequalification of
3any such person or entity including, without limitation, an
4interim or emergency suspension or modification without a
5hearing founded on any one or more of the bases set forth in
6this Section.
7    (b) Among the bases for an interim or emergency suspension
8or modification of prequalification are:
9        (1) A finding by the Board that the public interest,
10    safety or welfare requires a summary suspension or
11    modification of a prequalification without hearings.
12        (2) The occurrence of an event or series of events
13    which, in the Board's opinion, warrants a summary
14    suspension or modification of a prequalification without a
15    hearing including, without limitation, (i) the indictment
16    of the holder of the prequalification by a State or
17    federal agency or other branch of government for a crime;
18    (ii) the suspension or modification of a license or
19    prequalification by another State agency or federal agency
20    or other branch of government after hearings; (iii) a
21    material breach of a contract made between the Board and
22    an architect, engineer or contractor; and (iv) the failure
23    to comply with State law including, without limitation,
24    the Business Enterprise for Minorities, Women, Veterans,
25    and Persons with Disabilities Act, the prevailing wage
26    requirements, and the Steel Products Procurement Act.

 

 

SB0611- 36 -LRB102 15356 RJF 20716 b

1    (c) If a prequalification is suspended or modified by the
2Board without hearings for any reason set forth in this
3Section or in Section 10-65 of the Illinois Administrative
4Procedure Act, as amended, the Board shall within 30 days of
5the issuance of an order of suspension or modification of a
6prequalification initiate proceedings for the suspension or
7modification of or other action upon the prequalification.
8(Source: P.A. 100-391, eff. 8-25-17.)
 
9    Section 50. The Illinois Finance Authority Act is amended
10by changing Section 835-10 as follows:
 
11    (20 ILCS 3501/835-10)
12    Sec. 835-10. Definitions. As used or referred to in this
13Article 835, the following words and terms shall have the
14following meanings, except where the context clearly requires
15otherwise:
16    "Fund" means one or more of the Industrial Project
17Insurance Fund, the Illinois Agricultural Loan Guarantee Fund,
18or the Illinois Farmer and Agribusiness Loan Guarantee Fund,
19as applicable.
20    "Illinois Agricultural Loan Guarantee Fund" means the
21Illinois Agricultural Loan Guarantee Fund created under
22Section 830-30(c) of this Act.
23    "Illinois Farmer and Agribusiness Loan Guarantee Fund"
24means the Illinois Farmer and Agribusiness Loan Guarantee Fund

 

 

SB0611- 37 -LRB102 15356 RJF 20716 b

1created under Section 830-35(c) of this Act.
2    "Industrial Project Insurance Fund" means the Industrial
3Project Insurance Fund created under Section 805-15 of this
4Act.
5    "Qualified veteran-owned small business" means a small
6business (i) that is at least 51% owned by one or more
7qualified veterans living in Illinois or, in the case of a
8corporation, at least 51% of the stock of which is owned by one
9or more qualified veterans living in Illinois; (ii) that has
10its home office in Illinois; and (iii) for which items (i) and
11(ii) are factually verified annually by the Department of
12Central Management Services has the meaning provided in
13subsection (e) of Section 45-57 of the Illinois Procurement
14Code.
15(Source: P.A. 99-509, eff. 6-24-16.)
 
16    Section 55. The Illinois Health Information Exchange and
17Technology Act is amended by changing Section 20 as follows:
 
18    (20 ILCS 3860/20)
19    (Section scheduled to be repealed on January 1, 2022)
20    Sec. 20. Powers and duties of the Illinois Health
21Information Exchange Office. The Office has the following
22powers, together with all powers incidental or necessary to
23accomplish the purposes of this Act:
24        (1) The Office shall create and administer the ILHIE

 

 

SB0611- 38 -LRB102 15356 RJF 20716 b

1    using information systems and processes that are secure,
2    are cost effective, and meet all other relevant privacy
3    and security requirements under State and federal law.
4        (2) The Office shall establish and adopt standards and
5    requirements for the use of health information and the
6    requirements for participation in the ILHIE by persons or
7    entities including, but not limited to, health care
8    providers, payors, and local health information exchanges.
9        (3) The Office shall establish minimum standards for
10    accessing the ILHIE to ensure that the appropriate
11    security and privacy protections apply to health
12    information, consistent with applicable federal and State
13    standards and laws. The Office shall have the power to
14    suspend, limit, or terminate the right to participate in
15    the ILHIE for non-compliance or failure to act, with
16    respect to applicable standards and laws, in the best
17    interests of patients, users of the ILHIE, or the public.
18    The Office may seek all remedies allowed by law to address
19    any violation of the terms of participation in the ILHIE.
20        (4) The Office shall identify barriers to the adoption
21    of electronic health records systems, including
22    researching the rates and patterns of dissemination and
23    use of electronic health record systems throughout the
24    State. The Office shall make the results of the research
25    available on the Department of Healthcare and Family
26    Services' website.

 

 

SB0611- 39 -LRB102 15356 RJF 20716 b

1        (5) The Office shall prepare educational materials and
2    educate the general public on the benefits of electronic
3    health records, the ILHIE, and the safeguards available to
4    prevent unauthorized disclosure of health information.
5        (6) The Office may appoint or designate an
6    institutional review board in accordance with federal and
7    State law to review and approve requests for research in
8    order to ensure compliance with standards and patient
9    privacy and security protections as specified in paragraph
10    (3) of this Section.
11        (7) The Office may enter into all contracts and
12    agreements necessary or incidental to the performance of
13    its powers under this Act. The Office's expenditures of
14    private funds are exempt from the Illinois Procurement
15    Code, pursuant to Section 1-10 of that Act.
16    Notwithstanding this exception, the Office shall comply
17    with the Business Enterprise for Minorities, Women,
18    Veterans, and Persons with Disabilities Act.
19        (8) The Office may solicit and accept grants, loans,
20    contributions, or appropriations from any public or
21    private source and may expend those moneys, through
22    contracts, grants, loans, or agreements, on activities it
23    considers suitable to the performance of its duties under
24    this Act.
25        (9) The Office may determine, charge, and collect any
26    fees, charges, costs, and expenses from any healthcare

 

 

SB0611- 40 -LRB102 15356 RJF 20716 b

1    provider or entity in connection with its duties under
2    this Act. Moneys collected under this paragraph (9) shall
3    be deposited into the Health Information Exchange Fund.
4        (10) The Office may employ and discharge staff,
5    including administrative, technical, expert,
6    professional, and legal staff, as is necessary or
7    convenient to carry out the purposes of this Act and as
8    authorized by the Personnel Code.
9        (10.5) Staff employed by the Illinois Health
10    Information Exchange Authority on the effective date of
11    this amendatory Act of the 101st General Assembly shall
12    transfer to the Office within the Department of Healthcare
13    and Family Services.
14        (10.6) The status and rights of employees transferring
15    from the Illinois Health Information Exchange Authority
16    under paragraph (10.5) shall not be affected by such
17    transfer except that, notwithstanding any other State law
18    to the contrary, those employees shall maintain their
19    seniority and their positions shall convert to titles of
20    comparable organizational level under the Personnel Code
21    and become subject to the Personnel Code. Other than the
22    changes described in this paragraph, the rights of
23    employees, the State of Illinois, and State agencies under
24    the Personnel Code or under any pension, retirement, or
25    annuity plan shall not be affected by this amendatory Act
26    of the 101st General Assembly. Transferring personnel

 

 

SB0611- 41 -LRB102 15356 RJF 20716 b

1    shall continue their service within the Office.
2        (11) The Office shall consult and coordinate with the
3    Department of Public Health to further the Office's
4    collection of health information from health care
5    providers for public health purposes. The collection of
6    public health information shall include identifiable
7    information for use by the Office or other State agencies
8    to comply with State and federal laws. Any identifiable
9    information so collected shall be privileged and
10    confidential in accordance with Sections 8-2101, 8-2102,
11    8-2103, 8-2104, and 8-2105 of the Code of Civil Procedure.
12        (12) All identified or deidentified health information
13    in the form of health data or medical records contained
14    in, stored in, submitted to, transferred by, or released
15    from the Illinois Health Information Exchange, and
16    identified or deidentified health information in the form
17    of health data and medical records of the Illinois Health
18    Information Exchange in the possession of the Illinois
19    Health Information Exchange Office due to its
20    administration of the Illinois Health Information
21    Exchange, shall be exempt from inspection and copying
22    under the Freedom of Information Act. The terms
23    "identified" and "deidentified" shall be given the same
24    meaning as in the Health Insurance Portability and
25    Accountability Act of 1996, Public Law 104-191, or any
26    subsequent amendments thereto, and any regulations

 

 

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1    promulgated thereunder.
2        (13) To address gaps in the adoption of, workforce
3    preparation for, and exchange of electronic health records
4    that result in regional and socioeconomic disparities in
5    the delivery of care, the Office may evaluate such gaps
6    and provide resources as available, giving priority to
7    healthcare providers serving a significant percentage of
8    Medicaid or uninsured patients and in medically
9    underserved or rural areas.
10        (14) The Office shall perform its duties under this
11    Act in consultation with the Office of the Governor and
12    with the Departments of Public Health, Insurance, and
13    Human Services.
14(Source: P.A. 100-391, eff. 8-25-17; 101-649, eff. 7-7-20.)
 
15    Section 60. The Illinois Global Partnership Act is amended
16by changing Section 20 as follows:
 
17    (20 ILCS 3948/20)
18    Sec. 20. Board of directors. IGP shall be governed by a
19board of directors. The IGP board of directors shall consist
20of 14 members. Five of the members shall be voting members
21appointed by the Governor with the advice and consent of the
22Senate. The Speaker and Minority Leader of the House of
23Representatives, the President and Minority Leader of the
24Senate, the Lieutenant Governor, the Director of Agriculture,

 

 

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1the Director of Commerce and Economic Opportunity, the
2Chairperson of the Illinois Arts Council, and the Director of
3the Illinois Finance Authority, or the designee of each, shall
4be non-voting ex officio members.
5    Of the members appointed by the Governor, one member must
6have a background in agriculture, one member must have a
7background in manufacturing, and one member must have a
8background in international business relations.
9    Of the initial members appointed by the Governor, 3
10members shall serve 4-year terms and 2 members shall serve
112-year terms as designated by the Governor. Thereafter,
12members appointed by the Governor shall serve 4-year terms. A
13vacancy among members appointed by the Governor shall be
14filled by appointment by the Governor for the remainder of the
15vacated term.
16    Members of the board shall receive no compensation but
17shall be reimbursed for expenses incurred in the performance
18of their duties.
19    The Governor shall designate the chairman of the board
20until a successor is designated. The board shall meet at the
21call of the chair.
22    No less than 90 days after a majority of the members of the
23board of directors of the IGP is appointed by the Governor, the
24board shall develop a policy adopted by resolution of the
25board stating the board's plan for the use of services
26provided by businesses owned by minorities, women, veterans,

 

 

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1and persons with disabilities, as defined under the Business
2Enterprise for Minorities, Women, Veterans, and Persons with
3Disabilities Act. The board shall provide a copy of this
4resolution to the Governor and the General Assembly upon its
5adoption.
6    On December 31 of each year, the board shall report to the
7General Assembly and the Governor regarding the use of
8services provided by businesses owned by minorities, women,
9veterans, and persons with disabilities, as defined under the
10Business Enterprise for Minorities, Women, Veterans, and
11Persons with Disabilities Act.
12(Source: P.A. 100-391, eff. 8-25-17.)
 
13    Section 65. The Illinois State Auditing Act is amended by
14changing Section 2-16 as follows:
 
15    (30 ILCS 5/2-16)
16    Sec. 2-16. Contract aspirational goals. The Auditor
17General shall establish aspirational goals for contract awards
18substantially in accordance with the Business Enterprise for
19Minorities, Women, Veterans, and Persons with Disabilities
20Act, unless otherwise governed by other law. The Auditor
21General shall not be subject to the jurisdiction of the
22Business Enterprise Council established under the Business
23Enterprise for Minorities, Women, Veterans, and Persons with
24Disabilities Act with regard to steps taken to achieve

 

 

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1aspirational goals. The Auditor General shall annually post
2the Office's utilization of businesses owned by minorities,
3women, veterans, and persons with disabilities during the
4preceding fiscal year on the Office's Internet websites.
5(Source: P.A. 100-801, eff. 8-10-18; 101-81, eff. 7-12-19.)
 
6    Section 70. The State Finance Act is amended by changing
7Section 45 as follows:
 
8    (30 ILCS 105/45)
9    Sec. 45. Award of capital funds. Each award by grant or
10loan of State funds of $250,000 or more for capital
11construction costs or professional services is conditioned
12upon the recipient's written certification that the recipient
13shall comply with the business enterprise program practices
14for minority-owned businesses, women-owned businesses,
15veteran-owned businesses, and businesses owned by persons with
16disabilities of the Business Enterprise for Minorities, Women,
17Veterans, and Persons with Disabilities Act (30 ILCS 575/) and
18the equal employment practices of Section 2-105 of the
19Illinois Human Rights Act (775 ILCS 5/2-105). This Section,
20however, does not apply to any grant or loan (i) for which a
21grant or loan agreement was executed before the effective date
22of this amendatory Act of the 96th General Assembly, (ii) for
23which prior-incurred costs are being reimbursed, or (iii) for
24a federally funded program under which the requirement of this

 

 

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1Section would contravene federal law. Each recipient shall
2submit the written certification and business enterprise
3program plan for minority-owned businesses, women-owned
4businesses, veteran-owned businesses, and businesses owned by
5persons with disabilities before signing the relevant grant or
6loan agreement. Each grant or loan agreement shall include a
7provision that the grant or loan recipient agrees to comply
8with the provisions of the Business Enterprise for Minorities,
9Women, Veterans, and Persons with Disabilities Act (30 ILCS
10575/) and the equal employment practices of Section 2-105 of
11the Illinois Human Rights Act (775 ILCS 5/2-105).
12    Each business enterprise program plan shall apply only to
13the State-funded portion of the relevant capital project and
14must be in compliance with all certification and other
15requirements of the Business Enterprise for Minorities, Women,
16Veterans, and Persons with Disabilities Act.
17(Source: P.A. 100-391, eff. 8-25-17.)
 
18    Section 75. The General Obligation Bond Act is amended by
19changing Sections 8 and 15.5 as follows:
 
20    (30 ILCS 330/8)  (from Ch. 127, par. 658)
21    Sec. 8. Bond sale expenses.
22    (a) An amount not to exceed 0.5 percent of the principal
23amount of the proceeds of sale of each bond sale is authorized
24to be used to pay the reasonable costs of issuance and sale,

 

 

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1including, without limitation, underwriter's discounts and
2fees, but excluding bond insurance, of State of Illinois
3general obligation bonds authorized and sold pursuant to this
4Act, provided that no salaries of State employees or other
5State office operating expenses shall be paid out of
6non-appropriated proceeds, provided further that the percent
7shall be 1.0% for each sale of "Build America Bonds" or
8"Qualified School Construction Bonds" as defined in
9subsections (d) and (e) of Section 9, respectively. The
10Governor's Office of Management and Budget shall compile a
11summary of all costs of issuance on each sale (including both
12costs paid out of proceeds and those paid out of appropriated
13funds) and post that summary on its web site within 20 business
14days after the issuance of the Bonds. The summary shall
15include, as applicable, the respective percentages of
16participation and compensation of each underwriter that is a
17member of the underwriting syndicate, legal counsel, financial
18advisors, and other professionals for the bond issue and an
19identification of all costs of issuance paid to minority-owned
20businesses, women-owned businesses, veteran-owned businesses,
21and businesses owned by persons with disabilities. The terms
22"minority-owned businesses", "women-owned businesses",
23"veteran-owned businesses", and "business owned by a person
24with a disability" have the meanings given to those terms in
25the Business Enterprise for Minorities, Women, Veterans, and
26Persons with Disabilities Act. That posting shall be

 

 

SB0611- 48 -LRB102 15356 RJF 20716 b

1maintained on the web site for a period of at least 30 days. In
2addition, the Governor's Office of Management and Budget shall
3provide a written copy of each summary of costs to the Speaker
4and Minority Leader of the House of Representatives, the
5President and Minority Leader of the Senate, and the
6Commission on Government Forecasting and Accountability within
720 business days after each issuance of the Bonds. In
8addition, the Governor's Office of Management and Budget shall
9provide copies of all contracts under which any costs of
10issuance are paid or to be paid to the Commission on Government
11Forecasting and Accountability within 20 business days after
12the issuance of Bonds for which those costs are paid or to be
13paid. Instead of filing a second or subsequent copy of the same
14contract, the Governor's Office of Management and Budget may
15file a statement that specified costs are paid under specified
16contracts filed earlier with the Commission.
17    (b) The Director of the Governor's Office of Management
18and Budget shall not, in connection with the issuance of
19Bonds, contract with any underwriter, financial advisor, or
20attorney unless that underwriter, financial advisor, or
21attorney certifies that the underwriter, financial advisor, or
22attorney has not and will not pay a contingent fee, whether
23directly or indirectly, to a third party for having promoted
24the selection of the underwriter, financial advisor, or
25attorney for that contract. In the event that the Governor's
26Office of Management and Budget determines that an

 

 

SB0611- 49 -LRB102 15356 RJF 20716 b

1underwriter, financial advisor, or attorney has filed a false
2certification with respect to the payment of contingent fees,
3the Governor's Office of Management and Budget shall not
4contract with that underwriter, financial advisor, or
5attorney, or with any firm employing any person who signed
6false certifications, for a period of 2 calendar years,
7beginning with the date the determination is made. The
8validity of Bonds issued under such circumstances of violation
9pursuant to this Section shall not be affected.
10(Source: P.A. 100-391, eff. 8-25-17.)
 
11    (30 ILCS 330/15.5)
12    Sec. 15.5. Compliance with the Business Enterprise for
13Minorities, Women, Veterans, and Persons with Disabilities
14Act. Notwithstanding any other provision of law, the
15Governor's Office of Management and Budget shall comply with
16the Business Enterprise for Minorities, Women, Veterans, and
17Persons with Disabilities Act.
18(Source: P.A. 100-391, eff. 8-25-17.)
 
19    Section 80. The Build Illinois Bond Act is amended by
20changing Sections 5 and 8.3 as follows:
 
21    (30 ILCS 425/5)  (from Ch. 127, par. 2805)
22    Sec. 5. Bond sale expenses.
23    (a) An amount not to exceed 0.5% of the principal amount of

 

 

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1the proceeds of the sale of each bond sale is authorized to be
2used to pay reasonable costs of each issuance and sale of Bonds
3authorized and sold pursuant to this Act, including, without
4limitation, underwriter's discounts and fees, but excluding
5bond insurance, advertising, printing, bond rating, travel of
6outside vendors, security, delivery, legal and financial
7advisory services, initial fees of trustees, registrars,
8paying agents and other fiduciaries, initial costs of credit
9or liquidity enhancement arrangements, initial fees of
10indexing and remarketing agents, and initial costs of interest
11rate swaps, guarantees or arrangements to limit interest rate
12risk, as determined in the related Bond Sale Order, from the
13proceeds of each Bond sale, provided that no salaries of State
14employees or other State office operating expenses shall be
15paid out of non-appropriated proceeds, and provided further
16that the percent shall be 1.0% for each sale of "Build America
17Bonds" as defined in subsection (c) of Section 6. The
18Governor's Office of Management and Budget shall compile a
19summary of all costs of issuance on each sale (including both
20costs paid out of proceeds and those paid out of appropriated
21funds) and post that summary on its web site within 20 business
22days after the issuance of the bonds. That posting shall be
23maintained on the web site for a period of at least 30 days. In
24addition, the Governor's Office of Management and Budget shall
25provide a written copy of each summary of costs to the Speaker
26and Minority Leader of the House of Representatives, the

 

 

SB0611- 51 -LRB102 15356 RJF 20716 b

1President and Minority Leader of the Senate, and the
2Commission on Government Forecasting and Accountability within
320 business days after each issuance of the bonds. This
4summary shall include, as applicable, the respective
5percentage of participation and compensation of each
6underwriter that is a member of the underwriting syndicate,
7legal counsel, financial advisors, and other professionals for
8the Bond issue, and an identification of all costs of issuance
9paid to minority-owned businesses, women-owned businesses,
10veteran-owned businesses, and businesses owned by persons with
11disabilities. The terms "minority-owned businesses",
12"women-owned businesses", "veteran-owned businesses", and
13"business owned by a person with a disability" have the
14meanings given to those terms in the Business Enterprise for
15Minorities, Women, Veterans, and Persons with Disabilities
16Act. In addition, the Governor's Office of Management and
17Budget shall provide copies of all contracts under which any
18costs of issuance are paid or to be paid to the Commission on
19Government Forecasting and Accountability within 20 business
20days after the issuance of Bonds for which those costs are paid
21or to be paid. Instead of filing a second or subsequent copy of
22the same contract, the Governor's Office of Management and
23Budget may file a statement that specified costs are paid
24under specified contracts filed earlier with the Commission.
25    (b) The Director of the Governor's Office of Management
26and Budget shall not, in connection with the issuance of

 

 

SB0611- 52 -LRB102 15356 RJF 20716 b

1Bonds, contract with any underwriter, financial advisor, or
2attorney unless that underwriter, financial advisor, or
3attorney certifies that the underwriter, financial advisor, or
4attorney has not and will not pay a contingent fee, whether
5directly or indirectly, to any third party for having promoted
6the selection of the underwriter, financial advisor, or
7attorney for that contract. In the event that the Governor's
8Office of Management and Budget determines that an
9underwriter, financial advisor, or attorney has filed a false
10certification with respect to the payment of contingent fees,
11the Governor's Office of Management and Budget shall not
12contract with that underwriter, financial advisor, or
13attorney, or with any firm employing any person who signed
14false certifications, for a period of 2 calendar years,
15beginning with the date the determination is made. The
16validity of Bonds issued under such circumstances of violation
17pursuant to this Section shall not be affected.
18(Source: P.A. 100-391, eff. 8-25-17.)
 
19    (30 ILCS 425/8.3)
20    Sec. 8.3. Compliance with the Business Enterprise for
21Minorities, Women, Veterans, and Persons with Disabilities
22Act. Notwithstanding any other provision of law, the
23Governor's Office of Management and Budget shall comply with
24the Business Enterprise for Minorities, Women, Veterans, and
25Persons with Disabilities Act.

 

 

SB0611- 53 -LRB102 15356 RJF 20716 b

1(Source: P.A. 100-391, eff. 8-25-17.)
 
2    Section 85. The Illinois Procurement Code is amended by
3changing Sections 15-25, 30-30, 45-45, and 45-65 and by adding
4Section 45-58 as follows:
 
5    (30 ILCS 500/15-25)
6    Sec. 15-25. Bulletin content.
7    (a) Invitations for bids. Notice of each and every
8contract that is offered, including renegotiated contracts and
9change orders, shall be published in the Bulletin. The
10applicable chief procurement officer may provide by rule an
11organized format for the publication of this information, but
12in any case it must include at least the date first offered,
13the date submission of offers is due, the location that offers
14are to be submitted to, the purchasing State agency, the
15responsible State purchasing officer, a brief purchase
16description, the method of source selection, information of
17how to obtain a comprehensive purchase description and any
18disclosure and contract forms, and encouragement to potential
19contractors to hire qualified veterans, as defined by Section
2045-67 of this Code, and qualified Illinois minorities, women,
21veterans, persons with disabilities, and residents discharged
22from any Illinois adult correctional center.
23    (a-5) All businesses listed on the Illinois Unified
24Certification Program Disadvantaged Business Enterprise

 

 

SB0611- 54 -LRB102 15356 RJF 20716 b

1Directory, the Business Enterprise Program of the Department
2of Central Management Services, and any small business
3database created pursuant to Section 45-45 of this Code shall
4be furnished written instructions and information on how to
5register for the Illinois Procurement Bulletin. This
6information shall be provided to each business within 30
7calendar days after the business's notice of certification or
8qualification.
9    (b) Contracts let. Notice of each and every contract that
10is let, including renegotiated contracts and change orders,
11shall be issued electronically to those bidders submitting
12responses to the solicitations, inclusive of the unsuccessful
13bidders, immediately upon contract let. Failure of any chief
14procurement officer to give such notice shall result in
15tolling the time for filing a bid protest up to 7 calendar
16days.
17    For purposes of this subsection (b), "contracts let" means
18a construction agency's act of advertising an invitation for
19bids for one or more construction projects.
20    (b-5) Contracts awarded. Notice of each and every contract
21that is awarded, including renegotiated contracts and change
22orders, shall be issued electronically to the successful
23responsible bidder, offeror, or contractor and published in
24the Bulletin. The applicable chief procurement officer may
25provide by rule an organized format for the publication of
26this information, but in any case it must include at least all

 

 

SB0611- 55 -LRB102 15356 RJF 20716 b

1of the information specified in subsection (a) as well as the
2name of the successful responsible bidder, offeror, the
3contract price, the number of unsuccessful bidders or offerors
4and any other disclosure specified in any Section of this
5Code. This notice must be posted in the online electronic
6Bulletin prior to execution of the contract.
7    For purposes of this subsection (b-5), "contract award"
8means the determination that a particular bidder or offeror
9has been selected from among other bidders or offerors to
10receive a contract, subject to the successful completion of
11final negotiations. "Contract award" is evidenced by the
12posting of a Notice of Award or a Notice of Intent to Award to
13the respective volume of the Illinois Procurement Bulletin.
14    (c) Emergency purchase disclosure. Any chief procurement
15officer or State purchasing officer exercising emergency
16purchase authority under this Code shall publish a written
17description and reasons and the total cost, if known, or an
18estimate if unknown and the name of the responsible chief
19procurement officer and State purchasing officer, and the
20business or person contracted with for all emergency purchases
21in the Bulletin. This notice must be posted in the online
22electronic Bulletin no later than 5 calendar days after the
23contract is awarded. Notice of a hearing to extend an
24emergency contract must be posted in the online electronic
25Procurement Bulletin no later than 14 calendar days prior to
26the hearing.

 

 

SB0611- 56 -LRB102 15356 RJF 20716 b

1    (c-5) Business Enterprise Program report. Each purchasing
2agency shall, with the assistance of the applicable chief
3procurement officer, post in the online electronic Bulletin a
4copy of its annual report of utilization of businesses owned
5by minorities, women, veterans, and persons with disabilities
6as submitted to the Business Enterprise Council for
7Minorities, Women, Veterans, and Persons with Disabilities
8pursuant to Section 6(c) of the Business Enterprise for
9Minorities, Women, Veterans, and Persons with Disabilities Act
10within 10 calendar days after its submission of its report to
11the Council.
12    (c-10) Renewals. Notice of each contract renewal shall be
13posted in the Bulletin within 14 calendar days of the
14determination to execute a renewal of the contract. The notice
15shall include at least all of the information required in
16subsection (a) or (b), as applicable.
17    (c-15) Sole source procurements. Before entering into a
18sole source contract, a chief procurement officer exercising
19sole source procurement authority under this Code shall
20publish a written description of intent to enter into a sole
21source contract along with a description of the item to be
22procured and the intended sole source contractor. This notice
23must be posted in the online electronic Procurement Bulletin
24before a sole source contract is awarded and at least 14
25calendar days before the hearing required by Section 20-25.
26    (d) Other required disclosure. The applicable chief

 

 

SB0611- 57 -LRB102 15356 RJF 20716 b

1procurement officer shall provide by rule for the organized
2publication of all other disclosure required in other Sections
3of this Code in a timely manner.
4    (e) The changes to subsections (b), (c), (c-5), (c-10),
5and (c-15) of this Section made by Public Act 96-795 apply to
6reports submitted, offers made, and notices on contracts
7executed on or after July 1, 2010 (the effective date of Public
8Act 96-795).
9    (f) Each chief procurement officer shall, in consultation
10with the agencies under his or her jurisdiction, provide the
11Procurement Policy Board with the information and resources
12necessary, and in a manner, to effectuate the purpose of
13Public Act 96-1444.
14(Source: P.A. 100-43, eff. 8-9-17; 100-391, eff. 8-25-17;
15100-863, eff. 8-14-18.)
 
16    (30 ILCS 500/30-30)
17    Sec. 30-30. Design-bid-build construction.
18    (a) The provisions of this subsection are operative
19through December 31, 2021.
20    For building construction contracts in excess of $250,000,
21separate specifications may be prepared for all equipment,
22labor, and materials in connection with the following 5
23subdivisions of the work to be performed:
24        (1) plumbing;
25        (2) heating, piping, refrigeration, and automatic

 

 

SB0611- 58 -LRB102 15356 RJF 20716 b

1    temperature control systems, including the testing and
2    balancing of those systems;
3        (3) ventilating and distribution systems for
4    conditioned air, including the testing and balancing of
5    those systems;
6        (4) electric wiring; and
7        (5) general contract work.
8    The specifications may be so drawn as to permit separate
9and independent bidding upon each of the 5 subdivisions of
10work. All contracts awarded for any part thereof may award the
115 subdivisions of work separately to responsible and reliable
12persons, firms, or corporations engaged in these classes of
13work. The contracts, at the discretion of the construction
14agency, may be assigned to the successful bidder on the
15general contract work or to the successful bidder on the
16subdivision of work designated by the construction agency
17before the bidding as the prime subdivision of work, provided
18that all payments will be made directly to the contractors for
19the 5 subdivisions of work upon compliance with the conditions
20of the contract.
21    Beginning on the effective date of this amendatory Act of
22the 101st General Assembly and through December 31, 2020, for
23single prime projects: (i) the bid of the successful low
24bidder shall identify the name of the subcontractor, if any,
25and the bid proposal costs for each of the 5 subdivisions of
26work set forth in this Section; (ii) the contract entered into

 

 

SB0611- 59 -LRB102 15356 RJF 20716 b

1with the successful bidder shall provide that no identified
2subcontractor may be terminated without the written consent of
3the Capital Development Board; (iii) the contract shall comply
4with the disadvantaged business practices of the Business
5Enterprise for Minorities, Women, Veterans, and Persons with
6Disabilities Act and the equal employment practices of Section
72-105 of the Illinois Human Rights Act; and (iv) the Capital
8Development Board shall submit an annual report to the General
9Assembly and Governor on the bidding, award, and performance
10of all single prime projects.
11    For building construction projects with a total
12construction cost valued at $5,000,000 or less, the Capital
13Development Board shall not use the single prime procurement
14delivery method for more than 50% of the total number of
15projects bid for each fiscal year. Any project with a total
16construction cost valued greater than $5,000,000 may be bid
17using single prime at the discretion of the Executive Director
18of the Capital Development Board.
19    (b) The provisions of this subsection are operative on and
20after January 1, 2022. For building construction contracts in
21excess of $250,000, separate specifications shall be prepared
22for all equipment, labor, and materials in connection with the
23following 5 subdivisions of the work to be performed:
24        (1) plumbing;
25        (2) heating, piping, refrigeration, and automatic
26    temperature control systems, including the testing and

 

 

SB0611- 60 -LRB102 15356 RJF 20716 b

1    balancing of those systems;
2        (3) ventilating and distribution systems for
3    conditioned air, including the testing and balancing of
4    those systems;
5        (4) electric wiring; and
6        (5) general contract work.
7    The specifications must be so drawn as to permit separate
8and independent bidding upon each of the 5 subdivisions of
9work. All contracts awarded for any part thereof shall award
10the 5 subdivisions of work separately to responsible and
11reliable persons, firms, or corporations engaged in these
12classes of work. The contracts, at the discretion of the
13construction agency, may be assigned to the successful bidder
14on the general contract work or to the successful bidder on the
15subdivision of work designated by the construction agency
16before the bidding as the prime subdivision of work, provided
17that all payments will be made directly to the contractors for
18the 5 subdivisions of work upon compliance with the conditions
19of the contract.
20(Source: P.A. 100-391, eff. 8-25-17; 101-369, eff. 12-15-19;
21101-645, eff. 6-26-20.)
 
22    (30 ILCS 500/45-45)
23    Sec. 45-45. Small businesses.
24    (a) Set-asides. Each chief procurement officer has
25authority to designate as small business set-asides a fair

 

 

SB0611- 61 -LRB102 15356 RJF 20716 b

1proportion of construction, supply, and service contracts for
2award to small businesses in Illinois. Advertisements for bids
3or offers for those contracts shall specify designation as
4small business set-asides. In awarding the contracts, only
5bids or offers from qualified small businesses shall be
6considered.
7    (b) Small business. "Small business" means a business that
8is independently owned and operated and that is not dominant
9in its field of operation. The chief procurement officer shall
10establish a detailed definition by rule, using in addition to
11the foregoing criteria other criteria, including the number of
12employees and the dollar volume of business. When computing
13the size status of a potential contractor, annual sales and
14receipts of the potential contractor and all of its affiliates
15shall be included. The maximum number of employees and the
16maximum dollar volume that a small business may have under the
17rules promulgated by the chief procurement officer may vary
18from industry to industry to the extent necessary to reflect
19differing characteristics of those industries, subject to the
20following limitations:
21        (1) No wholesale business is a small business if its
22    annual sales for its most recently completed fiscal year
23    exceed $13,000,000.
24        (2) No retail business or business selling services is
25    a small business if its annual sales and receipts exceed
26    $8,000,000.

 

 

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1        (3) No manufacturing business is a small business if
2    it employs more than 250 persons.
3        (4) No construction business is a small business if
4    its annual sales and receipts exceed $14,000,000.
5    (c) Fair proportion. For the purpose of subsection (a),
6for State agencies of the executive branch, a fair proportion
7of construction contracts shall be no less than 25% nor more
8than 40% of the annual total contracts for construction.
9    (d) Withdrawal of designation. A small business set-aside
10designation may be withdrawn by the purchasing agency when
11deemed in the best interests of the State. Upon withdrawal,
12all bids or offers shall be rejected, and the bidders or
13offerors shall be notified of the reason for rejection. The
14contract shall then be awarded in accordance with this Code
15without the designation of small business set-aside.
16    (e) Small business specialist. Each chief procurement
17officer shall designate one or more individuals to serve as
18its small business specialist. The small business specialists
19shall collectively work together to accomplish the following
20duties:
21        (1) Compiling and maintaining a comprehensive list of
22    potential small contractors. In this duty, he or she shall
23    cooperate with the Federal Small Business Administration
24    in locating potential sources for various products and
25    services.
26        (2) Assisting small businesses in complying with the

 

 

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1    procedures for bidding on State contracts.
2        (3) Examining requests from State agencies for the
3    purchase of property or services to help determine which
4    invitations to bid are to be designated small business
5    set-asides.
6        (4) Making recommendations to the chief procurement
7    officer for the simplification of specifications and terms
8    in order to increase the opportunities for small business
9    participation.
10        (5) Assisting in investigations by purchasing agencies
11    to determine the responsibility of bidders or offerors on
12    small business set-asides.
13    (f) Small business annual report. Each small business
14specialist designated under subsection (e) shall annually
15before November 1 report in writing to the General Assembly
16concerning the awarding of contracts to small businesses. The
17report shall include the total value of awards made in the
18preceding fiscal year under the designation of small business
19set-aside. The report shall also include the total value of
20awards made to businesses owned by minorities, women,
21veterans, and persons with disabilities, as defined in the
22Business Enterprise for Minorities, Women, Veterans, and
23Persons with Disabilities Act, in the preceding fiscal year
24under the designation of small business set-aside.
25    The requirement for reporting to the General Assembly
26shall be satisfied by filing copies of the report as required

 

 

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1by Section 3.1 of the General Assembly Organization Act.
2(Source: P.A. 100-43, eff. 8-9-17; 100-391, eff. 8-25-17;
3100-863, eff. 8-14-18.)
 
4    (30 ILCS 500/45-58 new)
5    Sec. 45-58. Penalties for false representation as a
6minority, woman, veteran, or person with a disability.
7    (a) Administrative penalties. The chief procurement
8officers appointed under Section 10-20 shall suspend any
9person who commits a violation of Section 17-10.3 or
10subsection (d) of Section 33E-6 of the Criminal Code of 2012
11relating to the Business Enterprise for Minorities, Women,
12Veterans, and Persons with Disabilities Act from bidding on,
13or participating as a contractor, subcontractor, or supplier
14in, any State contract or project for a period of not less than
153 years, and shall revoke the certification of being a
16minority-owned business, woman-owned business, veteran-owned
17business, or business owned by a person with a disability for a
18period of not less than 3 years. An additional or subsequent
19violation shall extend the periods of suspension and
20revocation for a period of not less than 5 years. The
21suspension and revocation shall apply to the principals of the
22business and any subsequent business formed or financed by, or
23affiliated with, those principals.
24    (b) Reports of violations. Each State agency shall report
25any alleged violation of Section 17-10.3 or subsection (d) of

 

 

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1Section 33E-6 of the Criminal Code of 2012 relating to this
2Section to the chief procurement officers appointed pursuant
3to Section 10-20. The chief procurement officers appointed
4pursuant to Section 10-20 shall subsequently report all such
5alleged violations to the Attorney General, who shall
6determine whether to bring a civil action against any person
7for the violation.
8    (c) List of suspended persons. The chief procurement
9officers appointed pursuant to Section 10-20 shall monitor the
10status of all reported violations of Section 17-10.3 or
11subsection (d) of Section 33E-6 of the Criminal Code of 1961 or
12the Criminal Code of 2012 relating to this Section and shall
13maintain and make available to all State agencies a central
14listing of all persons that committed violations resulting in
15suspension.
16    (d) Use of suspended persons. During the period of a
17person's suspension under subsection (a) of this subsection, a
18State agency shall not enter into any contract with that
19person or with any contractor using the services of that
20person as a subcontractor.
21    (e) Duty to check list. Each State agency shall check the
22central listing provided by the chief procurement officers
23appointed pursuant to Section 10-20 under subsection (c) of
24this subsection to verify that a person being awarded a
25contract by that State agency, or to be used as a subcontractor
26or supplier on a contract being awarded by that State agency,

 

 

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1is not under suspension under subsection (a).
 
2    (30 ILCS 500/45-65)
3    Sec. 45-65. Additional preferences. This Code is subject
4to applicable provisions of:
5        (1) the Public Purchases in Other States Act;
6        (2) the Illinois Mined Coal Act;
7        (3) the Steel Products Procurement Act;
8        (4) the Veterans Preference Act;
9        (5) the Business Enterprise for Minorities, Women,
10    Veterans, and Persons with Disabilities Act; and
11        (6) the Procurement of Domestic Products Act.
12(Source: P.A. 100-391, eff. 8-25-17.)
 
13    (30 ILCS 500/45-57 rep.)
14    Section 90. The Illinois Procurement Code is amended by
15repealing Section 45-57.
 
16    Section 95. The Design-Build Procurement Act is amended by
17changing Sections 5, 15, 30, and 46 as follows:
 
18    (30 ILCS 537/5)
19    (Section scheduled to be repealed on July 1, 2022)
20    Sec. 5. Legislative policy. It is the intent of the
21General Assembly that the Capital Development Board be allowed
22to use the design-build delivery method for public projects if

 

 

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1it is shown to be in the State's best interest for that
2particular project. It shall be the policy of the Capital
3Development Board in the procurement of design-build services
4to publicly announce all requirements for design-build
5services and to procure these services on the basis of
6demonstrated competence and qualifications and with due regard
7for the principles of competitive selection.
8    The Capital Development Board shall, prior to issuing
9requests for proposals, promulgate and publish procedures for
10the solicitation and award of contracts pursuant to this Act.
11    The Capital Development Board shall, for each public
12project or projects permitted under this Act, make a written
13determination, including a description as to the particular
14advantages of the design-build procurement method, that it is
15in the best interests of this State to enter into a
16design-build contract for the project or projects. In making
17that determination, the following factors shall be considered:
18        (1) The probability that the design-build procurement
19    method will be in the best interests of the State by
20    providing a material savings of time or cost over the
21    design-bid-build or other delivery system.
22        (2) The type and size of the project and its
23    suitability to the design-build procurement method.
24        (3) The ability of the State construction agency to
25    define and provide comprehensive scope and performance
26    criteria for the project.

 

 

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1    No State construction agency may use a design-build
2procurement method unless the agency determines in writing
3that the project will comply with the disadvantaged business
4and equal employment practices of the State as established in
5the Business Enterprise for Minorities, Women, Veterans, and
6Persons with Disabilities Act and Section 2-105 of the
7Illinois Human Rights Act.
8    The Capital Development Board shall within 15 days after
9the initial determination provide an advisory copy to the
10Procurement Policy Board and maintain the full record of
11determination for 5 years.
12(Source: P.A. 100-391, eff. 8-25-17.)
 
13    (30 ILCS 537/15)
14    (Section scheduled to be repealed on July 1, 2022)
15    Sec. 15. Solicitation of proposals.
16    (a) When the State construction agency elects to use the
17design-build delivery method, it must issue a notice of intent
18to receive requests for proposals for the project at least 14
19days before issuing the request for the proposal. The State
20construction agency must publish the advance notice in the
21official procurement bulletin of the State or the professional
22services bulletin of the State construction agency, if any.
23The agency is encouraged to use publication of the notice in
24related construction industry service publications. A brief
25description of the proposed procurement must be included in

 

 

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1the notice. The State construction agency must provide a copy
2of the request for proposal to any party requesting a copy.
3    (b) The request for proposal shall be prepared for each
4project and must contain, without limitation, the following
5information:
6        (1) The name of the State construction agency.
7        (2) A preliminary schedule for the completion of the
8    contract.
9        (3) The proposed budget for the project, the source of
10    funds, and the currently available funds at the time the
11    request for proposal is submitted.
12        (4) Prequalification criteria for design-build
13    entities wishing to submit proposals. The State
14    construction agency shall include, at a minimum, its
15    normal prequalification, licensing, registration, and
16    other requirements, but nothing contained herein precludes
17    the use of additional prequalification criteria by the
18    State construction agency.
19        (5) Material requirements of the contract, including
20    but not limited to, the proposed terms and conditions,
21    required performance and payment bonds, insurance, and the
22    entity's plan to comply with the utilization goals for
23    business enterprises established in the Business
24    Enterprise for Minorities, Women, Veterans, and Persons
25    with Disabilities Act, and with Section 2-105 of the
26    Illinois Human Rights Act.

 

 

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1        (6) The performance criteria.
2        (7) The evaluation criteria for each phase of the
3    solicitation.
4        (8) The number of entities that will be considered for
5    the technical and cost evaluation phase.
6    (c) The State construction agency may include any other
7relevant information that it chooses to supply. The
8design-build entity shall be entitled to rely upon the
9accuracy of this documentation in the development of its
10proposal.
11    (d) The date that proposals are due must be at least 21
12calendar days after the date of the issuance of the request for
13proposal. In the event the cost of the project is estimated to
14exceed $10 million, then the proposal due date must be at least
1528 calendar days after the date of the issuance of the request
16for proposal. The State construction agency shall include in
17the request for proposal a minimum of 30 days to develop the
18Phase II submissions after the selection of entities from the
19Phase I evaluation is completed.
20(Source: P.A. 100-391, eff. 8-25-17.)
 
21    (30 ILCS 537/30)
22    (Section scheduled to be repealed on July 1, 2022)
23    Sec. 30. Procedures for Selection.
24    (a) The State construction agency must use a two-phase
25procedure for the selection of the successful design-build

 

 

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1entity. Phase I of the procedure will evaluate and shortlist
2the design-build entities based on qualifications, and Phase
3II will evaluate the technical and cost proposals.
4    (b) The State construction agency shall include in the
5request for proposal the evaluating factors to be used in
6Phase I. These factors are in addition to any prequalification
7requirements of design-build entities that the agency has set
8forth. Each request for proposal shall establish the relative
9importance assigned to each evaluation factor and subfactor,
10including any weighting of criteria to be employed by the
11State construction agency. The State construction agency must
12maintain a record of the evaluation scoring to be disclosed in
13event of a protest regarding the solicitation.
14    The State construction agency shall include the following
15criteria in every Phase I evaluation of design-build entities:
16(1) experience of personnel; (2) successful experience with
17similar project types; (3) financial capability; (4)
18timeliness of past performance; (5) experience with similarly
19sized projects; (6) successful reference checks of the firm;
20(7) commitment to assign personnel for the duration of the
21project and qualifications of the entity's consultants; and
22(8) ability or past performance in meeting or exhausting good
23faith efforts to meet the utilization goals for business
24enterprises established in the Business Enterprise for
25Minorities, Women, Veterans, and Persons with Disabilities Act
26and with Section 2-105 of the Illinois Human Rights Act. The

 

 

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1State construction agency may include any additional relevant
2criteria in Phase I that it deems necessary for a proper
3qualification review.
4    The State construction agency may not consider any
5design-build entity for evaluation or award if the entity has
6any pecuniary interest in the project or has other
7relationships or circumstances, including but not limited to,
8long-term leasehold, mutual performance, or development
9contracts with the State construction agency, that may give
10the design-build entity a financial or tangible advantage over
11other design-build entities in the preparation, evaluation, or
12performance of the design-build contract or that create the
13appearance of impropriety. No proposal shall be considered
14that does not include an entity's plan to comply with the
15requirements established in the Business Enterprise for
16Minorities, Women, Veterans, and Persons with Disabilities
17Act, for both the design and construction areas of
18performance, and with Section 2-105 of the Illinois Human
19Rights Act.
20    Upon completion of the qualifications evaluation, the
21State construction agency shall create a shortlist of the most
22highly qualified design-build entities. The State construction
23agency, in its discretion, is not required to shortlist the
24maximum number of entities as identified for Phase II
25evaluation, provided however, no less than 2 design-build
26entities nor more than 6 are selected to submit Phase II

 

 

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1proposals.
2    The State construction agency shall notify the entities
3selected for the shortlist in writing. This notification shall
4commence the period for the preparation of the Phase II
5technical and cost evaluations. The State construction agency
6must allow sufficient time for the shortlist entities to
7prepare their Phase II submittals considering the scope and
8detail requested by the State agency.
9    (c) The State construction agency shall include in the
10request for proposal the evaluating factors to be used in the
11technical and cost submission components of Phase II. Each
12request for proposal shall establish, for both the technical
13and cost submission components of Phase II, the relative
14importance assigned to each evaluation factor and subfactor,
15including any weighting of criteria to be employed by the
16State construction agency. The State construction agency must
17maintain a record of the evaluation scoring to be disclosed in
18event of a protest regarding the solicitation.
19    The State construction agency shall include the following
20criteria in every Phase II technical evaluation of
21design-build entities: (1) compliance with objectives of the
22project; (2) compliance of proposed services to the request
23for proposal requirements; (3) quality of products or
24materials proposed; (4) quality of design parameters; (5)
25design concepts; (6) innovation in meeting the scope and
26performance criteria; and (7) constructability of the proposed

 

 

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1project. The State construction agency may include any
2additional relevant technical evaluation factors it deems
3necessary for proper selection.
4    The State construction agency shall include the following
5criteria in every Phase II cost evaluation: the total project
6cost, the construction costs, and the time of completion. The
7State construction agency may include any additional relevant
8technical evaluation factors it deems necessary for proper
9selection. The total project cost criteria weighing factor
10shall be 25%.
11    The State construction agency shall directly employ or
12retain a licensed design professional to evaluate the
13technical and cost submissions to determine if the technical
14submissions are in accordance with generally accepted industry
15standards.
16    Upon completion of the technical submissions and cost
17submissions evaluation, the State construction agency may
18award the design-build contract to the highest overall ranked
19entity.
20(Source: P.A. 100-391, eff. 8-25-17.)
 
21    (30 ILCS 537/46)
22    (Section scheduled to be repealed on July 1, 2022)
23    Sec. 46. Reports and evaluation. At the end of every 6
24month period following the contract award, and again prior to
25final contract payout and closure, a selected design-build

 

 

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1entity shall detail, in a written report submitted to the
2State agency, its efforts and success in implementing the
3entity's plan to comply with the utilization goals for
4business enterprises established in the Business Enterprise
5for Minorities, Women, Veterans, and Persons with Disabilities
6Act and the provisions of Section 2-105 of the Illinois Human
7Rights Act. If the entity's performance in implementing the
8plan falls short of the performance measures and outcomes set
9forth in the plans submitted by the entity during the proposal
10process, the entity shall, in a detailed written report,
11inform the General Assembly and the Governor whether and to
12what degree each design-build contract authorized under this
13Act promoted the utilization goals for business enterprises
14established in the Business Enterprise for Minorities, Women,
15Veterans, and Persons with Disabilities Act and the provisions
16of Section 2-105 of the Illinois Human Rights Act.
17(Source: P.A. 100-391, eff. 8-25-17.)
 
18    Section 100. The Project Labor Agreements Act is amended
19by changing Sections 25 and 37 as follows:
 
20    (30 ILCS 571/25)
21    Sec. 25. Contents of agreement. Pursuant to this Act, any
22project labor agreement shall:
23        (a) Set forth effective, immediate, and mutually
24    binding procedures for resolving jurisdictional labor

 

 

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1    disputes and grievances arising before the completion of
2    work.
3        (b) Contain guarantees against strikes, lockouts, or
4    similar actions.
5        (c) Ensure a reliable source of skilled and
6    experienced labor.
7        (d) For minorities and women as defined under the
8    Business Enterprise for Minorities, Women, Veterans, and
9    Persons with Disabilities Act, set forth goals for
10    apprenticeship hours to be performed by minorities and
11    women and set forth goals for total hours to be performed
12    by underrepresented minorities and women.
13        (e) Permit the selection of the lowest qualified
14    responsible bidder, without regard to union or non-union
15    status at other construction sites.
16        (f) Bind all contractors and subcontractors on the
17    public works project through the inclusion of appropriate
18    bid specifications in all relevant bid documents.
19        (g) Include such other terms as the parties deem
20    appropriate.
21(Source: P.A. 100-391, eff. 8-25-17.)
 
22    (30 ILCS 571/37)
23    Sec. 37. Quarterly report; annual report. A State
24department, agency, authority, board, or instrumentality that
25has a project labor agreement in connection with a public

 

 

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1works project shall prepare a quarterly report that includes
2workforce participation under the agreement by minorities and
3women as defined under the Business Enterprise for Minorities,
4Women, Veterans, and Persons with Disabilities Act. These
5reports shall be submitted to the Illinois Department of
6Labor. The Illinois Department of Labor shall submit to the
7General Assembly and the Governor an annual report that
8details the number of minorities and women employed under all
9public labor agreements within the State.
10(Source: P.A. 100-391, eff. 8-25-17.)
 
11    Section 105. The Business Enterprise for Minorities,
12Women, and Persons with Disabilities Act is amended by
13changing Sections 0.01, 1, 2, 4, 4f, 5, 6, 6a, 7, 8, 8a, 8b,
148f, 8g, and 8h as follows:
 
15    (30 ILCS 575/0.01)  (from Ch. 127, par. 132.600)
16    (Section scheduled to be repealed on June 30, 2024)
17    Sec. 0.01. Short title. This Act may be cited as the
18Business Enterprise for Minorities, Women, Veterans, and
19Persons with Disabilities Act. Any reference in any law,
20appropriation, rule, form, or other document to the Business
21Enterprise for Minorities, Women, and Persons with
22Disabilities Act, shall be construed to be references to this
23Act.
24(Source: P.A. 100-391, eff. 8-25-17.)
 

 

 

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1    (30 ILCS 575/1)  (from Ch. 127, par. 132.601)
2    (Section scheduled to be repealed on June 30, 2024)
3    Sec. 1. Purpose. The State of Illinois declares that it is
4the public policy of the State to promote and encourage the
5continuing economic development of minority-owned, and
6women-owned , veteran-owned, persons with disability-owned and
7operated businesses and that minority-owned, and women-owned,
8veteran-owned, and persons with disability-owned and operated
9businesses participate in the State's procurement process as
10both prime and subcontractors. The State of Illinois has
11observed that the goals established in this Act have served to
12increase the participation of minority and women businesses in
13contracts awarded by the State. The State hereby declares that
14the adoption of this amendatory Act of 1989 shall serve the
15State's continuing interest in promoting open access in the
16awarding of State contracts to disadvantaged small business
17enterprises victimized by discriminatory practices.
18Furthermore, after reviewing evidence of the high level of
19attainment of the 10% minimum goals established under this
20Act, and, after considering evidence that minority and women
21businesses, as established in 1982, constituted and continue
22to constitute more than 10% of the businesses operating in
23this State, the State declares that the continuation of such
2410% minimum goals under this amendatory Act of 1989 is a
25narrowly tailored means of promoting open access and thus the

 

 

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1further growth and development of minority and women
2businesses.
3    The State of Illinois further declares that it is the
4public policy of this State to promote and encourage the
5continuous economic development of businesses owned by persons
6with disabilities and a 2% contracting goal is a narrowly
7tailored means of promoting open access and thus the further
8growth and development of those businesses.
9(Source: P.A. 100-391, eff. 8-25-17.)
 
10    (30 ILCS 575/2)
11    (Section scheduled to be repealed on June 30, 2024)
12    Sec. 2. Definitions.
13    (A) For the purpose of this Act, the following terms shall
14have the following definitions:
15        (1) "Minority person" shall mean a person who is a
16    citizen or lawful permanent resident of the United States
17    and who is any of the following:
18            (a) American Indian or Alaska Native (a person
19        having origins in any of the original peoples of North
20        and South America, including Central America, and who
21        maintains tribal affiliation or community attachment).
22            (b) Asian (a person having origins in any of the
23        original peoples of the Far East, Southeast Asia, or
24        the Indian subcontinent, including, but not limited
25        to, Cambodia, China, India, Japan, Korea, Malaysia,

 

 

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1        Pakistan, the Philippine Islands, Thailand, and
2        Vietnam).
3            (c) Black or African American (a person having
4        origins in any of the black racial groups of Africa).
5            (d) Hispanic or Latino (a person of Cuban,
6        Mexican, Puerto Rican, South or Central American, or
7        other Spanish culture or origin, regardless of race).
8            (e) Native Hawaiian or Other Pacific Islander (a
9        person having origins in any of the original peoples
10        of Hawaii, Guam, Samoa, or other Pacific Islands).
11        (2) "Woman" shall mean a person who is a citizen or
12    lawful permanent resident of the United States and who is
13    of the female gender.
14        (2.05) "Person with a disability" means a person who
15    is a citizen or lawful resident of the United States and is
16    a person qualifying as a person with a disability under
17    subdivision (2.1) of this subsection (A).
18        (2.1) "Person with a disability" means a person with a
19    severe physical or mental disability that:
20            (a) results from:
21            amputation,
22            arthritis,
23            autism,
24            blindness,
25            burn injury,
26            cancer,

 

 

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1            cerebral palsy,
2            Crohn's disease,
3            cystic fibrosis,
4            deafness,
5            head injury,
6            heart disease,
7            hemiplegia,
8            hemophilia,
9            respiratory or pulmonary dysfunction,
10            an intellectual disability,
11            mental illness,
12            multiple sclerosis,
13            muscular dystrophy,
14            musculoskeletal disorders,
15            neurological disorders, including stroke and
16        epilepsy,
17            paraplegia,
18            quadriplegia and other spinal cord conditions,
19            sickle cell anemia,
20            ulcerative colitis,
21            specific learning disabilities, or
22            end stage renal failure disease; and
23            (b) substantially limits one or more of the
24        person's major life activities.
25        Another disability or combination of disabilities may
26    also be considered as a severe disability for the purposes

 

 

SB0611- 82 -LRB102 15356 RJF 20716 b

1    of item (a) of this subdivision (2.1) if it is determined
2    by an evaluation of rehabilitation potential to cause a
3    comparable degree of substantial functional limitation
4    similar to the specific list of disabilities listed in
5    item (a) of this subdivision (2.1).
6        (2.15) "Veteran" means a person who (i) has been a
7    member of the armed forces of the United States or, while a
8    citizen of the United States, was a member of the armed
9    forces of allies of the United States in time of
10    hostilities with a foreign country and (ii) has served
11    under one or more of the following conditions: (a) the
12    veteran served a total of at least 6 months; (b) the
13    veteran served for the duration of hostilities regardless
14    of the length of the engagement; (c) the veteran was
15    discharged on the basis of hardship; or (d) the veteran
16    was released from active duty because of a service
17    connected disability and was discharged under honorable
18    conditions.
19        (3) "Minority-owned business" means a business which
20    is at least 51% owned by one or more minority persons, or
21    in the case of a corporation, at least 51% of the stock in
22    which is owned by one or more minority persons; and the
23    management and daily business operations of which are
24    controlled by one or more of the minority individuals who
25    own it.
26        (4) "Women-owned business" means a business which is

 

 

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1    at least 51% owned by one or more women, or, in the case of
2    a corporation, at least 51% of the stock in which is owned
3    by one or more women; and the management and daily
4    business operations of which are controlled by one or more
5    of the women who own it.
6        (4.1) "Business owned by a person with a disability"
7    means a business that is at least 51% owned by one or more
8    persons with a disability and the management and daily
9    business operations of which are controlled by one or more
10    of the persons with disabilities who own it. A
11    not-for-profit agency for persons with disabilities that
12    is exempt from taxation under Section 501 of the Internal
13    Revenue Code of 1986 is also considered a "business owned
14    by a person with a disability".
15        (4.1-5) "Veteran-owned business" means a business
16    which is at least 51% owned by one or more veterans, or, in
17    the case of a corporation, at least 51% of the stock in
18    which is owned by one or more veterans; and the management
19    and daily business operations of which are controlled by
20    one or more of the veterans who own it.
21        (4.2) "Council" means the Business Enterprise Council
22    for Minorities, Women, Veterans, and Persons with
23    Disabilities created under Section 5 of this Act.
24        (5) "State contracts" means all contracts entered into
25    by the State, any agency or department thereof, or any
26    public institution of higher education, including

 

 

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1    community college districts, regardless of the source of
2    the funds with which the contracts are paid, which are not
3    subject to federal reimbursement. "State contracts" does
4    not include contracts awarded by a retirement system,
5    pension fund, or investment board subject to Section
6    1-109.1 of the Illinois Pension Code. This definition
7    shall control over any existing definition under this Act
8    or applicable administrative rule.
9        "State construction contracts" means all State
10    contracts entered into by a State agency or public
11    institution of higher education for the repair,
12    remodeling, renovation or construction of a building or
13    structure, or for the construction or maintenance of a
14    highway defined in Article 2 of the Illinois Highway Code.
15        (6) "State agencies" shall mean all departments,
16    officers, boards, commissions, institutions and bodies
17    politic and corporate of the State, but does not include
18    the Board of Trustees of the University of Illinois, the
19    Board of Trustees of Southern Illinois University, the
20    Board of Trustees of Chicago State University, the Board
21    of Trustees of Eastern Illinois University, the Board of
22    Trustees of Governors State University, the Board of
23    Trustees of Illinois State University, the Board of
24    Trustees of Northeastern Illinois University, the Board of
25    Trustees of Northern Illinois University, the Board of
26    Trustees of Western Illinois University, municipalities or

 

 

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1    other local governmental units, or other State
2    constitutional officers.
3        (7) "Public institutions of higher education" means
4    the University of Illinois, Southern Illinois University,
5    Chicago State University, Eastern Illinois University,
6    Governors State University, Illinois State University,
7    Northeastern Illinois University, Northern Illinois
8    University, Western Illinois University, the public
9    community colleges of the State, and any other public
10    universities, colleges, and community colleges now or
11    hereafter established or authorized by the General
12    Assembly.
13        (8) "Certification" means a determination made by the
14    Council or by one delegated authority from the Council to
15    make certifications, or by a State agency with statutory
16    authority to make such a certification, that a business
17    entity is a business owned by a minority, woman, veteran,
18    or person with a disability for whatever purpose. If a
19    business qualifies for more than one certification, it
20    shall be certified for all designations for which it
21    qualifies. A business owned and controlled by women shall
22    be certified as a "woman-owned business". A business owned
23    and controlled by women who are also minorities shall be
24    certified as both a "women-owned business" and a
25    "minority-owned business".
26        (9) "Control" means the exclusive or ultimate and sole

 

 

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1    control of the business including, but not limited to,
2    capital investment and all other financial matters,
3    property, acquisitions, contract negotiations, legal
4    matters, officer-director-employee selection and
5    comprehensive hiring, operating responsibilities,
6    cost-control matters, income and dividend matters,
7    financial transactions and rights of other shareholders or
8    joint partners. Control shall be real, substantial and
9    continuing, not pro forma. Control shall include the power
10    to direct or cause the direction of the management and
11    policies of the business and to make the day-to-day as
12    well as major decisions in matters of policy, management
13    and operations. Control shall be exemplified by possessing
14    the requisite knowledge and expertise to run the
15    particular business and control shall not include simple
16    majority or absentee ownership.
17        (10) "Business" means a business that has annual gross
18    sales of less than $75,000,000 as evidenced by the federal
19    income tax return of the business. A firm with gross sales
20    in excess of this cap may apply to the Council for
21    certification for a particular contract if the firm can
22    demonstrate that the contract would have significant
23    impact on businesses owned by minorities, women, veterans,
24    or persons with disabilities as suppliers or
25    subcontractors or in employment of minorities, women,
26    veterans, or persons with disabilities.

 

 

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1        (11) "Utilization plan" means a form and additional
2    documentations included in all bids or proposals that
3    demonstrates a vendor's proposed utilization of vendors
4    certified by the Business Enterprise Program to meet the
5    targeted goal. The utilization plan shall demonstrate that
6    the Vendor has either: (1) met the entire contract goal or
7    (2) requested a full or partial waiver and made good faith
8    efforts towards meeting the goal.
9        (12) "Business Enterprise Program" means the Business
10    Enterprise Program of the Department of Central Management
11    Services.
12        (13) "Armed forces of the United States" means the
13    United States Army, Navy, Air Force, Marine Corps, Coast
14    Guard, or service in active duty as defined under 38
15    U.S.C. Section 101. Service in the Merchant Marine that
16    constitutes active duty under Section 401 of federal
17    Public Act 95-202 shall also be considered service in the
18    armed forces for purposes of this Section.
19        (14) "Time of hostilities with a foreign country"
20    means any period of time in the past, present, or future
21    during which a declaration of war by the United States
22    Congress has been or is in effect or during which an
23    emergency condition has been or is in effect that is
24    recognized by the issuance of a Presidential proclamation
25    or a Presidential executive order and in which the armed
26    forces expeditionary medal or other campaign service

 

 

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1    medals are awarded according to Presidential executive
2    order.
3    (B) When a business is owned at least 51% by any
4combination of minority persons, women, veterans, or persons
5with disabilities, even though none of the 3 classes alone
6holds at least a 51% interest, the ownership requirement for
7purposes of this Act is considered to be met. The
8certification category for the business is that of the class
9holding the largest ownership interest in the business. If 2
10or more classes have equal ownership interests, the
11certification category shall be determined by the business.
12(Source: P.A. 100-391, eff. 8-25-17; 101-601, eff. 1-1-20.)
 
13    (30 ILCS 575/4)  (from Ch. 127, par. 132.604)
14    (Section scheduled to be repealed on June 30, 2024)
15    Sec. 4. Award of State contracts.
16    (a) Except as provided in subsection (b), not less than
1720% of the total dollar amount of State contracts, as defined
18by the Secretary of the Council and approved by the Council,
19shall be established as an aspirational goal to be awarded to
20businesses owned by minorities, women, veterans, and persons
21with disabilities; provided, however, that of the total amount
22of all State contracts awarded to businesses owned by
23minorities, women, and persons with disabilities pursuant to
24this Section, contracts representing at least 11% shall be
25awarded to businesses owned by minorities, contracts

 

 

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1representing at least 7% shall be awarded to women-owned
2businesses, and contracts representing at least 2% shall be
3awarded to businesses owned by persons with disabilities.
4    The above percentage relates to the total dollar amount of
5State contracts during each State fiscal year, calculated by
6examining independently each type of contract for each agency
7or public institutions of higher education which lets such
8contracts. Only that percentage of arrangements which
9represents the participation of businesses owned by
10minorities, women, veterans, and persons with disabilities on
11such contracts shall be included. State contracts subject to
12the requirements of this Act shall include the requirement
13that only expenditures to businesses owned by minorities,
14women, veterans, and persons with disabilities that perform a
15commercially useful function may be counted toward the goals
16set forth by this Act. Contracts shall include a definition of
17"commercially useful function" that is consistent with 49 CFR
1826.55(c).
19    (b) Not less than 20% of the total dollar amount of State
20construction contracts is established as an aspirational goal
21to be awarded to businesses owned by minorities, women,
22veterans, and persons with disabilities; provided that,
23contracts representing at least 11% of the total dollar amount
24of State construction contracts shall be awarded to businesses
25owned by minorities; contracts representing at least 7% of the
26total dollar amount of State construction contracts shall be

 

 

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1awarded to women-owned businesses; and contracts representing
2at least 2% of the total dollar amount of State construction
3contracts shall be awarded to businesses owned by persons with
4disabilities.
5    (c) (Blank).
6    (d) Within one year after April 28, 2009 (the effective
7date of Public Act 96-8), the Department of Central Management
8Services shall conduct a social scientific study that measures
9the impact of discrimination on minority and women business
10development in Illinois. Within 18 months after April 28, 2009
11(the effective date of Public Act 96-8), the Department shall
12issue a report of its findings and any recommendations on
13whether to adjust the goals for minority and women
14participation established in this Act. Copies of this report
15and the social scientific study shall be filed with the
16Governor and the General Assembly.
17    By December 1, 2020, the Department of Central Management
18Services shall conduct a new social scientific study that
19measures the impact of discrimination on minority and women
20business development in Illinois. By June 1, 2022, the
21Department shall issue a report of its findings and any
22recommendations on whether to adjust the goals for minority
23and women participation established in this Act. Copies of
24this report and the social scientific study shall be filed
25with the Governor, the Advisory Board, and the General
26Assembly. By December 1, 2022, the Department of Central

 

 

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1Management Services Business Enterprise Program shall develop
2a model for social scientific disparity study sourcing for
3local governmental units to adapt and implement to address
4regional disparities in public procurement.
5    (e) Except as permitted under this Act or as otherwise
6mandated by federal law or regulation, those who submit bids
7or proposals for State contracts subject to the provisions of
8this Act, whose bids or proposals are successful and include a
9utilization plan but that fail to meet the goals set forth in
10subsection (b) of this Section, shall be notified of that
11deficiency and shall be afforded a period not to exceed 10
12calendar days from the date of notification to cure that
13deficiency in the bid or proposal. The deficiency in the bid or
14proposal may only be cured by contracting with additional
15subcontracting businesses owned by minorities, women,
16veterans, or persons with disabilities subcontractors who are
17owned by minorities or women. Any increase in cost to a
18contract for the addition of a subcontractor to cure a bid's
19deficiency shall not affect the bid price, shall not be used in
20the request for an exemption in this Act, and in no case shall
21an identified subcontractor with a certification made pursuant
22to this Act be terminated from the contract without the
23written consent of the State agency or public institution of
24higher education entering into the contract.
25    (f) Non-construction solicitations that include Business
26Enterprise Program participation goals shall require bidders

 

 

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1and offerors to include utilization plans. Utilization plans
2are due at the time of bid or offer submission. Failure to
3complete and include a utilization plan, including
4documentation demonstrating good faith effort when requesting
5a waiver, shall render the bid or offer non-responsive.
6(Source: P.A. 100-391, eff. 8-25-17; 101-170, eff. 1-1-20;
7101-601, eff. 1-1-20; revised 10-26-20.)
 
8    (30 ILCS 575/4f)
9    (Section scheduled to be repealed on June 30, 2024)
10    Sec. 4f. Award of State contracts.
11    (1) It is hereby declared to be the public policy of the
12State of Illinois to promote and encourage each State agency
13and public institution of higher education to use businesses
14owned by minorities, women, veterans, and persons with
15disabilities in the area of goods and services, including, but
16not limited to, insurance services, investment management
17services, information technology services, accounting
18services, architectural and engineering services, and legal
19services. Furthermore, each State agency and public
20institution of higher education shall utilize such firms to
21the greatest extent feasible within the bounds of financial
22and fiduciary prudence, and take affirmative steps to remove
23any barriers to the full participation of such firms in the
24procurement and contracting opportunities afforded.
25        (a) When a State agency or public institution of

 

 

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1    higher education, other than a community college, awards a
2    contract for insurance services, for each State agency or
3    public institution of higher education, it shall be the
4    aspirational goal to use insurance brokers owned by
5    minorities, women, veterans, and persons with disabilities
6    as defined by this Act, for not less than 20% of the total
7    annual premiums or fees; provided that, contracts
8    representing at least 11% of the total annual premiums or
9    fees shall be awarded to businesses owned by minorities;
10    contracts representing at least 7% of the total annual
11    premiums or fees shall be awarded to women-owned
12    businesses; and contracts representing at least 2% of the
13    total annual premiums or fees shall be awarded to
14    businesses owned by persons with disabilities.
15        (b) When a State agency or public institution of
16    higher education, other than a community college, awards a
17    contract for investment services, for each State agency or
18    public institution of higher education, it shall be the
19    aspirational goal to use emerging investment managers
20    owned by minorities, women, veterans, and persons with
21    disabilities as defined by this Act, for not less than 20%
22    of the total funds under management; provided that,
23    contracts representing at least 11% of the total funds
24    under management shall be awarded to businesses owned by
25    minorities; contracts representing at least 7% of the
26    total funds under management shall be awarded to

 

 

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1    women-owned businesses; and contracts representing at
2    least 2% of the total funds under management shall be
3    awarded to businesses owned by persons with disabilities.
4    Furthermore, it is the aspirational goal that not less
5    than 20% of the direct asset managers of the State funds be
6    minorities, women, veterans, and persons with
7    disabilities.
8        (c) When a State agency or public institution of
9    higher education, other than a community college, awards
10    contracts for information technology services, accounting
11    services, architectural and engineering services, and
12    legal services, for each State agency and public
13    institution of higher education, it shall be the
14    aspirational goal to use such firms owned by minorities,
15    women, and persons with disabilities as defined by this
16    Act and lawyers who are minorities, women, veterans, and
17    persons with disabilities as defined by this Act, for not
18    less than 20% of the total dollar amount of State
19    contracts; provided that, contracts representing at least
20    11% of the total dollar amount of State contracts shall be
21    awarded to businesses owned by minorities or minority
22    lawyers; contracts representing at least 7% of the total
23    dollar amount of State contracts shall be awarded to
24    women-owned businesses or women who are lawyers; and
25    contracts representing at least 2% of the total dollar
26    amount of State contracts shall be awarded to businesses

 

 

SB0611- 95 -LRB102 15356 RJF 20716 b

1    owned by persons with disabilities or persons with
2    disabilities who are lawyers.
3        (d) When a community college awards a contract for
4    insurance services, investment services, information
5    technology services, accounting services, architectural
6    and engineering services, and legal services, it shall be
7    the aspirational goal of each community college to use
8    businesses owned by minorities, women, veterans, and
9    persons with disabilities as defined in this Act for not
10    less than 20% of the total amount spent on contracts for
11    these services collectively; provided that, contracts
12    representing at least 11% of the total amount spent on
13    contracts for these services shall be awarded to
14    businesses owned by minorities; contracts representing at
15    least 7% of the total amount spent on contracts for these
16    services shall be awarded to women-owned businesses; and
17    contracts representing at least 2% of the total amount
18    spent on contracts for these services shall be awarded to
19    businesses owned by persons with disabilities. When a
20    community college awards contracts for investment
21    services, contracts awarded to investment managers who are
22    not emerging investment managers as defined in this Act
23    shall not be considered businesses owned by minorities,
24    women, veterans, or persons with disabilities for the
25    purposes of this Section.
26    (2) As used in this Section:

 

 

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1        "Accounting services" means the measurement,
2    processing and communication of financial information
3    about economic entities including, but is not limited to,
4    financial accounting, management accounting, auditing,
5    cost containment and auditing services, taxation and
6    accounting information systems.
7        "Architectural and engineering services" means
8    professional services of an architectural or engineering
9    nature, or incidental services, that members of the
10    architectural and engineering professions, and individuals
11    in their employ, may logically or justifiably perform,
12    including studies, investigations, surveying and mapping,
13    tests, evaluations, consultations, comprehensive
14    planning, program management, conceptual designs, plans
15    and specifications, value engineering, construction phase
16    services, soils engineering, drawing reviews, preparation
17    of operating and maintenance manuals, and other related
18    services.
19        "Emerging investment manager" means an investment
20    manager or claims consultant having assets under
21    management below $10 billion or otherwise adjudicating
22    claims.
23        "Information technology services" means, but is not
24    limited to, specialized technology-oriented solutions by
25    combining the processes and functions of software,
26    hardware, networks, telecommunications, web designers,

 

 

SB0611- 97 -LRB102 15356 RJF 20716 b

1    cloud developing resellers, and electronics.
2        "Insurance broker" means an insurance brokerage firm,
3    claims administrator, or both, that procures, places all
4    lines of insurance, or administers claims with annual
5    premiums or fees of at least $5,000,000 but not more than
6    $10,000,000.
7        "Legal services" means work performed by a lawyer
8    including, but not limited to, contracts in anticipation
9    of litigation, enforcement actions, or investigations.
10    (3) Each State agency and public institution of higher
11education shall adopt policies that identify its plan and
12implementation procedures for increasing the use of service
13firms owned by minorities, women, veterans, and persons with
14disabilities.
15    (4) Except as provided in subsection (5), the Council
16shall file no later than March 1 of each year an annual report
17to the Governor, the Bureau on Apprenticeship Programs, and
18the General Assembly. The report filed with the General
19Assembly shall be filed as required in Section 3.1 of the
20General Assembly Organization Act. This report shall: (i)
21identify the service firms used by each State agency and
22public institution of higher education, (ii) identify the
23actions it has undertaken to increase the use of service firms
24owned by minorities, women, veterans, and persons with
25disabilities, including encouraging non-minority-owned firms
26to use other service firms owned by minorities, women,

 

 

SB0611- 98 -LRB102 15356 RJF 20716 b

1veterans, and persons with disabilities as subcontractors when
2the opportunities arise, (iii) state any recommendations made
3by the Council to each State agency and public institution of
4higher education to increase participation by the use of
5service firms owned by minorities, women, veterans, and
6persons with disabilities, and (iv) include the following:
7        (A) For insurance services: the names of the insurance
8    brokers or claims consultants used, the total of risk
9    managed by each State agency and public institution of
10    higher education by insurance brokers, the total
11    commissions, fees paid, or both, the lines or insurance
12    policies placed, and the amount of premiums placed; and
13    the percentage of the risk managed by insurance brokers,
14    the percentage of total commission, fees paid, or both,
15    the lines or insurance policies placed, and the amount of
16    premiums placed with each by the insurance brokers owned
17    by minorities, women, veterans, and persons with
18    disabilities by each State agency and public institution
19    of higher education.
20        (B) For investment management services: the names of
21    the investment managers used, the total funds under
22    management of investment managers; the total commissions,
23    fees paid, or both; the total and percentage of funds
24    under management of emerging investment managers owned by
25    minorities, women, veterans, and persons with
26    disabilities, including the total and percentage of total

 

 

SB0611- 99 -LRB102 15356 RJF 20716 b

1    commissions, fees paid, or both by each State agency and
2    public institution of higher education.
3        (C) The names of service firms, the percentage and
4    total dollar amount paid for professional services by
5    category by each State agency and public institution of
6    higher education.
7        (D) The names of service firms, the percentage and
8    total dollar amount paid for services by category to firms
9    owned by minorities, women, veterans, and persons with
10    disabilities by each State agency and public institution
11    of higher education.
12        (E) The total number of contracts awarded for services
13    by category and the total number of contracts awarded to
14    firms owned by minorities, women, veterans, and persons
15    with disabilities by each State agency and public
16    institution of higher education.
17    (5) For community college districts, the Business
18Enterprise Council shall only report the following information
19for each community college district: (i) the name of the
20community colleges in the district, (ii) the name and contact
21information of a person at each community college appointed to
22be the single point of contact for vendors owned by
23minorities, women, veterans, or persons with disabilities,
24(iii) the policy of the community college district concerning
25certified vendors, (iv) the certifications recognized by the
26community college district for determining whether a business

 

 

SB0611- 100 -LRB102 15356 RJF 20716 b

1is owned or controlled by a minority, woman, veteran, or
2person with a disability, (v) outreach efforts conducted by
3the community college district to increase the use of
4certified vendors, (vi) the total expenditures by the
5community college district in the prior fiscal year in the
6divisions of work specified in paragraphs (a), (b), and (c) of
7subsection (1) of this Section and the amount paid to
8certified vendors in those divisions of work, and (vii) the
9total number of contracts entered into for the divisions of
10work specified in paragraphs (a), (b), and (c) of subsection
11(1) of this Section and the total number of contracts awarded
12to certified vendors providing these services to the community
13college district. The Business Enterprise Council shall not
14make any utilization reports under this Act for community
15college districts for Fiscal Year 2015 and Fiscal Year 2016,
16but shall make the report required by this subsection for
17Fiscal Year 2017 and for each fiscal year thereafter. The
18Business Enterprise Council shall report the information in
19items (i), (ii), (iii), and (iv) of this subsection beginning
20in September of 2016. The Business Enterprise Council may
21collect the data needed to make its report from the Illinois
22Community College Board.
23    (6) The status of the utilization of services shall be
24discussed at each of the regularly scheduled Business
25Enterprise Council meetings. Time shall be allotted for the
26Council to receive, review, and discuss the progress of the

 

 

SB0611- 101 -LRB102 15356 RJF 20716 b

1use of service firms owned by minorities, women, veterans, and
2persons with disabilities by each State agency and public
3institution of higher education; and any evidence regarding
4past or present racial, ethnic, or gender-based discrimination
5which directly impacts a State agency or public institution of
6higher education contracting with such firms. If after
7reviewing such evidence the Council finds that there is or has
8been such discrimination against a specific group, race or
9sex, the Council shall establish sheltered markets or adjust
10existing sheltered markets tailored to address the Council's
11specific findings for the divisions of work specified in
12paragraphs (a), (b), and (c) of subsection (1) of this
13Section.
14(Source: P.A. 100-391, eff. 8-25-17; 101-170, eff. 1-1-20.)
 
15    (30 ILCS 575/5)  (from Ch. 127, par. 132.605)
16    (Section scheduled to be repealed on June 30, 2024)
17    Sec. 5. Business Enterprise Council.
18    (1) To help implement, monitor, and enforce the goals of
19this Act, there is created the Business Enterprise Council for
20Minorities, Women, Veterans, and Persons with Disabilities,
21hereinafter referred to as the Council, composed of the
22Secretary of Human Services and the Directors of the
23Department of Human Rights, the Department of Commerce and
24Economic Opportunity, the Department of Central Management
25Services, the Department of Transportation and the Capital

 

 

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1Development Board, or their duly appointed representatives,
2with the Comptroller, or his or her designee, serving as an
3advisory member of the Council. Ten individuals representing
4businesses that are minority-owned, or women-owned,
5veteran-owned, or owned by persons with disabilities, 2
6individuals representing the business community, and a
7representative of public institutions of higher education
8shall be appointed by the Governor. These members shall serve
92-year 2 year terms and shall be eligible for reappointment.
10Any vacancy occurring on the Council shall also be filled by
11the Governor. Any member appointed to fill a vacancy occurring
12prior to the expiration of the term for which his or her
13predecessor was appointed shall be appointed for the remainder
14of such term. Members of the Council shall serve without
15compensation but shall be reimbursed for any ordinary and
16necessary expenses incurred in the performance of their
17duties.
18    The Director of the Department of Central Management
19Services shall serve as the Council chairperson and shall
20select, subject to approval of the council, a Secretary
21responsible for the operation of the program who shall serve
22as the Division Manager of the Business Enterprise for
23Minorities, Women, Veterans, and Persons with Disabilities
24Division of the Department of Central Management Services.
25    The Director of each State agency and the chief executive
26officer of each public institution institutions of higher

 

 

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1education shall appoint a liaison to the Council. The liaison
2shall be responsible for submitting to the Council any reports
3and documents necessary under this Act.
4    (2) The Council's authority and responsibility shall be
5to:
6        (a) Devise a certification procedure to assure that
7    businesses taking advantage of this Act are legitimately
8    classified as businesses owned by minorities, women,
9    veterans, or persons with disabilities and a registration
10    procedure to recognize, without additional evidence of
11    Business Enterprise Program eligibility, the certification
12    of businesses owned by minorities, women, or persons with
13    disabilities certified by the City of Chicago, Cook
14    County, or other jurisdictional programs with requirements
15    and procedures equaling or exceeding those in this Act.
16        (b) Maintain a list of all businesses legitimately
17    classified as businesses owned by minorities, women,
18    veterans, or persons with disabilities to provide to State
19    agencies and public institutions of higher education.
20        (c) Review rules and regulations for the
21    implementation of the program for businesses owned by
22    minorities, women, veterans, and persons with
23    disabilities.
24        (d) Review compliance plans submitted by each State
25    agency and public institution institutions of higher
26    education pursuant to this Act.

 

 

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1        (e) Make annual reports as provided in Section 8f to
2    the Governor and the General Assembly on the status of the
3    program.
4        (f) Serve as a central clearinghouse for information
5    on State contracts, including the maintenance of a list of
6    all pending State contracts upon which businesses owned by
7    minorities, women, veterans, and persons with disabilities
8    may bid. At the Council's discretion, maintenance of the
9    list may include 24-hour electronic access to the list
10    along with the bid and application information.
11        (g) Establish a toll-free toll free telephone number
12    to facilitate information requests concerning the
13    certification process and pending contracts.
14    (3) No premium bond rate of a surety company for a bond
15required of a business owned by a minority, woman, veteran, or
16person with a disability bidding for a State contract shall be
17higher than the lowest rate charged by that surety company for
18a similar bond in the same classification of work that would be
19written for a business not owned by a minority, woman,
20veteran, or person with a disability.
21    (4) Any Council member who has direct financial or
22personal interest in any measure pending before the Council
23shall disclose this fact to the Council and refrain from
24participating in the determination upon such measure.
25    (5) The Secretary shall have the following duties and
26responsibilities:

 

 

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1        (a) To be responsible for the day-to-day operation of
2    the Council.
3        (b) To serve as a coordinator for all of the State's
4    programs for businesses owned by minorities, women,
5    veterans, and persons with disabilities and as the
6    information and referral center for all State initiatives
7    for businesses owned by minorities, women, veterans, and
8    persons with disabilities.
9        (c) To establish an enforcement procedure whereby the
10    Council may recommend to the appropriate State legal
11    officer that the State exercise its legal remedies which
12    shall include (1) termination of the contract involved,
13    (2) prohibition of participation by the respondent in
14    public contracts for a period not to exceed 3 years, (3)
15    imposition of a penalty not to exceed any profit acquired
16    as a result of violation, or (4) any combination thereof.
17    Such procedures shall require prior approval by Council.
18    All funds collected as penalties under this subsection
19    shall be used exclusively for maintenance and further
20    development of the Business Enterprise Program and
21    encouragement of participation in State procurement by
22    minorities, women, and persons with disabilities.
23        (d) To devise appropriate policies, regulations, and
24    procedures for including participation by businesses owned
25    by minorities, women, veterans, and persons with
26    disabilities as prime contractors, including, but not

 

 

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1    limited to: , (i) encouraging the inclusions of qualified
2    businesses owned by minorities, women, veterans, and
3    persons with disabilities on solicitation lists, (ii)
4    investigating the potential of blanket bonding programs
5    for small construction jobs, and (iii) investigating and
6    making recommendations concerning the use of the sheltered
7    market process.
8        (e) To devise procedures for the waiver of the
9    participation goals in appropriate circumstances.
10        (f) To accept donations and, with the approval of the
11    Council or the Director of Central Management Services,
12    grants related to the purposes of this Act; to conduct
13    seminars related to the purpose of this Act and to charge
14    reasonable registration fees; and to sell directories,
15    vendor lists, and other such information to interested
16    parties, except that forms necessary to become eligible
17    for the program shall be provided free of charge to a
18    business or individual applying for the program.
19(Source: P.A. 100-391, eff. 8-25-17; 100-801, eff. 8-10-18;
20101-601, eff. 1-1-20; revised 8-18-20.)
 
21    (30 ILCS 575/6)  (from Ch. 127, par. 132.606)
22    (Section scheduled to be repealed on June 30, 2024)
23    Sec. 6. Agency compliance plans. Each State agency and
24public institutions of higher education under the jurisdiction
25of this Act shall file with the Council an annual compliance

 

 

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1plan which shall outline the goals of the State agency or
2public institutions of higher education for contracting with
3businesses owned by minorities, women, veterans, and persons
4with disabilities for the then current fiscal year, the manner
5in which the agency intends to reach these goals and a
6timetable for reaching these goals. The Council shall review
7and approve the plan of each State agency and public
8institutions of higher education and may reject any plan that
9does not comply with this Act or any rules or regulations
10promulgated pursuant to this Act.
11    (a) The compliance plan shall also include, but not be
12limited to, (1) a policy statement, signed by the State agency
13or public institution of higher education head, expressing a
14commitment to encourage the use of businesses owned by
15minorities, women, veterans, and persons with disabilities,
16(2) the designation of the liaison officer provided for in
17Section 5 of this Act, (3) procedures to distribute to
18potential contractors and vendors the list of all businesses
19legitimately classified as businesses owned by minorities,
20women, veterans, and persons with disabilities and so
21certified under this Act, (4) procedures to set separate
22contract goals on specific prime contracts and purchase orders
23with subcontracting possibilities based upon the type of work
24or services and subcontractor availability, (5) procedures to
25assure that contractors and vendors make good faith efforts to
26meet contract goals, (6) procedures for contract goal

 

 

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1exemption, modification and waiver, and (7) the delineation of
2separate contract goals for businesses owned by minorities,
3women, veterans, and persons with disabilities.
4    (b) Approval of the compliance plans shall include such
5delegation of responsibilities to the requesting State agency
6or public institution of higher education as the Council deems
7necessary and appropriate to fulfill the purpose of this Act.
8Such responsibilities may include, but need not be limited to
9those outlined in subsections (1), (2) and (3) of Section 7,
10paragraph (a) of Section 8, and Section 8a of this Act.
11    (c) Each State agency and public institution of higher
12education under the jurisdiction of this Act shall file with
13the Council an annual report of its utilization of businesses
14owned by minorities, women, veterans, and persons with
15disabilities during the preceding fiscal year including lapse
16period spending and a mid-fiscal year report of its
17utilization to date for the then current fiscal year. The
18reports shall include a self-evaluation of the efforts of the
19State agency or public institution of higher education to meet
20its goals under the Act.
21    (d) Notwithstanding any provisions to the contrary in this
22Act, any State agency or public institution of higher
23education which administers a construction program, for which
24federal law or regulations establish standards and procedures
25for the utilization of businesses owned by minorities, women,
26veterans, and persons with disabilities minority-owned and

 

 

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1women-owned businesses and disadvantaged businesses, shall
2implement a disadvantaged business enterprise program to
3include businesses owned by minorities, women, veterans, and
4persons with disabilities minority-owned and women-owned
5businesses and disadvantaged businesses, using the federal
6standards and procedures for the establishment of goals and
7utilization procedures for the State-funded, as well as the
8federally assisted, portions of the program. In such cases,
9these goals shall not exceed those established pursuant to the
10relevant federal statutes or regulations. Notwithstanding the
11provisions of Section 8b, the Illinois Department of
12Transportation is authorized to establish sheltered markets
13for the State-funded portions of the program consistent with
14federal law and regulations. Additionally, a compliance plan
15which is filed by such State agency or public institution of
16higher education pursuant to this Act, which incorporates
17equivalent terms and conditions of its federally-approved
18compliance plan, shall be deemed approved under this Act.
19(Source: P.A. 99-462, eff. 8-25-15; 100-391, eff. 8-25-17.)
 
20    (30 ILCS 575/6a)  (from Ch. 127, par. 132.606a)
21    (Section scheduled to be repealed on June 30, 2024)
22    Sec. 6a. Notice of contracts to Council. Except in case of
23emergency as defined in the Illinois Procurement Code, or as
24authorized by rule promulgated by the Department of Central
25Management Services, each agency and public institution of

 

 

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1higher education under the jurisdiction of this Act shall
2notify the Secretary of the Council of proposed contracts for
3professional and artistic services and provide the information
4in the form and detail as required by rule promulgated by the
5Department of Central Management Services. Notification may be
6made through direct written communication to the Secretary to
7be received at least 14 days before execution of the contract
8(or the solicitation response date, if applicable). The agency
9or public institution of higher education must consider any
10vendor referred by the Secretary before execution of the
11contract. The provisions of this Section shall not apply to
12any State agency or public institution of higher education
13that has awarded contracts for professional and artistic
14services to businesses owned by minorities, women, veterans,
15and persons with disabilities totaling in the aggregate
16$40,000,000 or more during the preceding fiscal year.
17(Source: P.A. 99-462, eff. 8-25-15; 100-391, eff. 8-25-17.)
 
18    (30 ILCS 575/7)  (from Ch. 127, par. 132.607)
19    (Section scheduled to be repealed on June 30, 2024)
20    Sec. 7. Exemptions; waivers; publication of data.
21    (1) Individual contract exemptions. The Council, at the
22written request of the affected agency, public institution of
23higher education, or recipient of a grant or loan of State
24funds of $250,000 or more complying with Section 45 of the
25State Finance Act, may permit an individual contract or

 

 

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1contract package, (related contracts being bid or awarded
2simultaneously for the same project or improvements) be made
3wholly or partially exempt from State contracting goals for
4businesses owned by minorities, women, veterans, and persons
5with disabilities prior to the advertisement for bids or
6solicitation of proposals whenever there has been a
7determination, reduced to writing and based on the best
8information available at the time of the determination, that
9there is an insufficient number of businesses owned by
10minorities, women, veterans, and persons with disabilities to
11ensure adequate competition and an expectation of reasonable
12prices on bids or proposals solicited for the individual
13contract or contract package in question. Any such exemptions
14shall be given by the Council to the Bureau on Apprenticeship
15Programs.
16        (a) Written request for contract exemption. A written
17    request for an individual contract exemption must include,
18    but is not limited to, the following:
19            (i) a list of eligible businesses owned by
20        minorities, women, veterans, and persons with
21        disabilities;
22            (ii) a clear demonstration that the number of
23        eligible businesses identified in subparagraph (i)
24        above is insufficient to ensure adequate competition;
25            (iii) the difference in cost between the contract
26        proposals being offered by businesses owned by

 

 

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1        minorities, women, veterans, and persons with
2        disabilities and the agency or public institution of
3        higher education's expectations of reasonable prices
4        on bids or proposals within that class; and
5            (iv) a list of eligible businesses owned by
6        minorities, women, veterans, and persons with
7        disabilities that the contractor has used in the
8        current and prior fiscal years.
9        (b) Determination. The Council's determination
10    concerning an individual contract exemption must consider,
11    at a minimum, the following:
12            (i) the justification for the requested exemption,
13        including whether diligent efforts were undertaken to
14        identify and solicit eligible businesses owned by
15        minorities, women, veterans, and persons with
16        disabilities;
17            (ii) the total number of exemptions granted to the
18        affected agency, public institution of higher
19        education, or recipient of a grant or loan of State
20        funds of $250,000 or more complying with Section 45 of
21        the State Finance Act that have been granted by the
22        Council in the current and prior fiscal years; and
23            (iii) the percentage of contracts awarded by the
24        agency or public institution of higher education to
25        eligible businesses owned by minorities, women,
26        veterans, and persons with disabilities in the current

 

 

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1        and prior fiscal years.
2    (2) Class exemptions.
3        (a) Creation. The Council, at the written request of
4    the affected agency or public institution of higher
5    education, may permit an entire class of contracts be made
6    exempt from State contracting goals for businesses owned
7    by minorities, women, veterans, and persons with
8    disabilities whenever there has been a determination,
9    reduced to writing and based on the best information
10    available at the time of the determination, that there is
11    an insufficient number of qualified businesses owned by
12    minorities, women, veterans, and persons with disabilities
13    to ensure adequate competition and an expectation of
14    reasonable prices on bids or proposals within that class.
15    Any such exemption shall be given by the Council to the
16    Bureau on Apprenticeship Programs.
17        (a-1) Written request for class exemption. A written
18    request for a class exemption must include, but is not
19    limited to, the following:
20            (i) a list of eligible businesses owned by
21        minorities, women, veterans, and persons with
22        disabilities;
23            (ii) a clear demonstration that the number of
24        eligible businesses identified in subparagraph (i)
25        above is insufficient to ensure adequate competition;
26            (iii) the difference in cost between the contract

 

 

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1        proposals being offered by eligible businesses owned
2        by minorities, women, veterans, and persons with
3        disabilities and the agency or public institution of
4        higher education's expectations of reasonable prices
5        on bids or proposals within that class; and
6            (iv) the number of class exemptions the affected
7        agency or public institution of higher education
8        requested in the current and prior fiscal years.
9        (a-2) Determination. The Council's determination
10    concerning class exemptions must consider, at a minimum,
11    the following:
12            (i) the justification for the requested exemption,
13        including whether diligent efforts were undertaken to
14        identify and solicit eligible businesses owned by
15        minorities, women, veterans, and persons with
16        disabilities;
17            (ii) the total number of class exemptions granted
18        to the requesting agency or public institution of
19        higher education that have been granted by the Council
20        in the current and prior fiscal years; and
21            (iii) the percentage of contracts awarded by the
22        agency or public institution of higher education to
23        eligible businesses owned by minorities, women,
24        veterans, and persons with disabilities the current
25        and prior fiscal years.
26        (b) Limitation. Any such class exemption shall not be

 

 

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1    permitted for a period of more than one year at a time.
2    (3) Waivers. Where a particular contract requires a
3contractor to meet a goal established pursuant to this Act,
4the contractor shall have the right to request a waiver from
5such requirements. The Council shall grant the waiver where
6the contractor demonstrates that there has been made a good
7faith effort to comply with the goals for participation by
8businesses owned by minorities, women, veterans, and persons
9with disabilities. Any such waiver shall also be transmitted
10in writing to the Bureau on Apprenticeship Programs.
11        (a) Request for waiver. A contractor's request for a
12    waiver under this subsection (3) must include, but is not
13    limited to, the following, if available:
14            (i) a list of eligible businesses owned by
15        minorities, women, veterans, and persons with
16        disabilities that pertain to the class of contracts in
17        the requested waiver;
18            (ii) a clear demonstration that the number of
19        eligible businesses identified in subparagraph (i)
20        above is insufficient to ensure competition;
21            (iii) the difference in cost between the contract
22        proposals being offered by businesses owned by
23        minorities, women, veterans, and persons with
24        disabilities and the agency or the public institution
25        of higher education's expectations of reasonable
26        prices on bids or proposals within that class; and

 

 

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1            (iv) a list of businesses owned by minorities,
2        women, veterans, and persons with disabilities that
3        the contractor has used in the current and prior
4        fiscal years.
5        (b) Determination. The Council's determination
6    concerning waivers must include following:
7            (i) the justification for the requested waiver,
8        including whether the requesting contractor made a
9        good faith effort to identify and solicit eligible
10        businesses owned by minorities, women, veterans, and
11        persons with disabilities;
12            (ii) the total number of waivers the contractor
13        has been granted by the Council in the current and
14        prior fiscal years;
15            (iii) the percentage of contracts awarded by the
16        agency or public institution of higher education to
17        eligible businesses owned by minorities, women,
18        veterans, and persons with disabilities in the current
19        and prior fiscal years; and
20            (iv) the contractor's use of businesses owned by
21        minorities, women, veterans, and persons with
22        disabilities in the current and prior fiscal years.
23    (3.5) (Blank).
24    (4) Conflict with other laws. In the event that any State
25contract, which otherwise would be subject to the provisions
26of this Act, is or becomes subject to federal laws or

 

 

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1regulations which conflict with the provisions of this Act or
2actions of the State taken pursuant hereto, the provisions of
3the federal laws or regulations shall apply and the contract
4shall be interpreted and enforced accordingly.
5    (5) Each chief procurement officer, as defined in the
6Illinois Procurement Code, shall maintain on his or her
7official Internet website a database of the following: (i)
8waivers granted under this Section with respect to contracts
9under his or her jurisdiction; (ii) a State agency or public
10institution of higher education's written request for an
11exemption of an individual contract or an entire class of
12contracts; and (iii) the Council's written determination
13granting or denying a request for an exemption of an
14individual contract or an entire class of contracts. The
15database, which shall be updated periodically as necessary,
16shall be searchable by contractor name and by contracting
17State agency.
18    (6) Each chief procurement officer, as defined by the
19Illinois Procurement Code, shall maintain on its website a
20list of all firms that have been prohibited from bidding,
21offering, or entering into a contract with the State of
22Illinois as a result of violations of this Act.
23    Each public notice required by law of the award of a State
24contract shall include for each bid or offer submitted for
25that contract the following: (i) the bidder's or offeror's
26name, (ii) the bid amount, (iii) the name or names of the

 

 

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1certified firms identified in the bidder's or offeror's
2submitted utilization plan, and (iv) the bid's amount and
3percentage of the contract awarded to businesses owned by
4minorities, women, veterans, and persons with disabilities
5identified in the utilization plan.
6(Source: P.A. 100-391, eff. 8-25-17; 101-170, eff. 1-1-20;
7101-601, eff. 1-1-20.)
 
8    (30 ILCS 575/8)  (from Ch. 127, par. 132.608)
9    (Section scheduled to be repealed on June 30, 2024)
10    Sec. 8. Enforcement.
11    (1) The Council shall make such findings, recommendations
12and proposals to the Governor as are necessary and appropriate
13to enforce this Act. If, as a result of its monitoring
14activities, the Council determines that its goals and policies
15are not being met by any State agency or public institution of
16higher education, the Council may recommend any or all of the
17following actions:
18        (a) Establish enforcement procedures whereby the
19    Council may recommend to the appropriate State agency,
20    public institutions of higher education, or law
21    enforcement officer that legal or administrative remedies
22    be initiated for violations of contract provisions or
23    rules issued hereunder or by a contracting State agency or
24    public institutions of higher education. State agencies
25    and public institutions of higher education shall be

 

 

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1    authorized to adopt remedies for such violations which
2    shall include (1) termination of the contract involved,
3    (2) prohibition of participation of the respondents in
4    public contracts for a period not to exceed one year, (3)
5    imposition of a penalty not to exceed any profit acquired
6    as a result of violation, or (4) any combination thereof.
7        (b) If the Council concludes that a compliance plan
8    submitted under Section 6 is unlikely to produce the
9    participation goals for businesses owned by minorities,
10    women, veterans, and persons with disabilities within the
11    then current fiscal year, the Council may recommend that
12    the State agency or public institution of higher education
13    revise its plan to provide additional opportunities for
14    participation by businesses owned by minorities, women,
15    veterans, and persons with disabilities. Such recommended
16    revisions may include, but shall not be limited to, the
17    following:
18            (i) assurances of stronger and better focused
19        solicitation efforts to obtain more businesses owned
20        by minorities, women, veterans, and persons with
21        disabilities as potential sources of supply;
22            (ii) division of job or project requirements, when
23        economically feasible, into tasks or quantities to
24        permit participation of businesses owned by
25        minorities, women, veterans, and persons with
26        disabilities;

 

 

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1            (iii) elimination of extended experience or
2        capitalization requirements, when programmatically
3        feasible, to permit participation of businesses owned
4        by minorities, women, veterans, and persons with
5        disabilities;
6            (iv) identification of specific proposed contracts
7        as particularly attractive or appropriate for
8        participation by businesses owned by minorities,
9        women, veterans, and persons with disabilities, such
10        identification to result from and be coupled with the
11        efforts of subparagraphs (i) through (iii);
12            (v) implementation of those regulations
13        established for the use of the sheltered market
14        process.
15    (2) State agencies and public institutions of higher
16education shall review a vendor's compliance with its
17utilization plan and the terms of its contract. Without
18limitation, a vendor's failure to comply with its contractual
19commitments as contained in the utilization plan; failure to
20cooperate in providing information regarding its compliance
21with its utilization plan; or the provision of false or
22misleading information or statements concerning compliance,
23certification status, or eligibility of the Business
24Enterprise Program-certified vendor, good faith efforts, or
25any other material fact or representation shall constitute a
26material breach of the contract and entitle the State agency

 

 

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1or public institution of higher education to declare a
2default, terminate the contract, or exercise those remedies
3provided for in the contract, at law, or in equity.
4    (3) A vendor shall be in breach of the contract and may be
5subject to penalties for failure to meet contract goals
6established under this Act, unless the vendor can show that it
7made good faith efforts to meet the contract goals.
8(Source: P.A. 99-462, eff. 8-25-15; 100-391, eff. 8-25-17.)
 
9    (30 ILCS 575/8a)  (from Ch. 127, par. 132.608a)
10    (Section scheduled to be repealed on June 30, 2024)
11    Sec. 8a. Advance and progress payments. Any contract
12awarded to a business owned by a minority, woman, veteran, or
13person with a disability pursuant to this Act may contain a
14provision for advance or progress payments, or both, except
15that a State construction contract awarded to a businesses
16owned by minorities, women, veterans, and persons with
17disabilities minority-owned or women-owned business pursuant
18to this Act may contain a provision for progress payments but
19may not contain a provision for advance payments.
20(Source: P.A. 100-391, eff. 8-25-17.)
 
21    (30 ILCS 575/8b)  (from Ch. 127, par. 132.608b)
22    (Section scheduled to be repealed on June 30, 2024)
23    Sec. 8b. Scheduled council meetings; sheltered market. The
24Council shall conduct regular meetings to carry out its

 

 

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1responsibilities under this Act. At each of the regularly
2scheduled meetings, time shall be allocated for the Council to
3receive, review and discuss any evidence regarding past or
4present racial, ethnic or gender based discrimination which
5directly impacts State contracting with businesses owned by
6minorities, women, veterans, and persons with disabilities. If
7after reviewing such evidence the Council finds that there is
8or has been such discrimination against a specific group, race
9or sex, the Council shall establish sheltered markets or
10adjust existing sheltered markets tailored to address the
11Council's specific findings.
12    "Sheltered market" shall mean a procurement procedure
13whereby certain contracts are selected and specifically set
14aside for businesses owned by minorities, women, veterans, and
15persons with disabilities on a competitive bid or negotiated
16basis.
17    As part of the annual report which the Council must file
18pursuant to paragraph (e) of subsection (2) of Section 5, the
19Council shall report on any findings made pursuant to this
20Section.
21(Source: P.A. 100-391, eff. 8-25-17.)
 
22    (30 ILCS 575/8f)
23    (Section scheduled to be repealed on June 30, 2024)
24    Sec. 8f. Annual report. The Council shall file no later
25than March 1 of each year, an annual report that shall detail

 

 

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1the level of achievement toward the goals specified in this
2Act over the 3 most recent fiscal years. The annual report
3shall include, but need not be limited to the following:
4        (1) a summary detailing expenditures subject to the
5    goals, the actual goals specified, and the goals attained
6    by each State agency and public institution of higher
7    education;
8        (2) a summary of the number of contracts awarded and
9    the average contract amount by each State agency and
10    public institution of higher education;
11        (3) an analysis of the level of overall goal
12    achievement concerning purchases from minority-owned
13    businesses, women-owned businesses, veteran-owned
14    businesses, and businesses owned by persons with
15    disabilities;
16        (4) an analysis of the number of businesses owned by
17    minorities, women, veterans, and persons with disabilities
18    that are certified under the program as well as the number
19    of those businesses that received State procurement
20    contracts; and
21        (5) a summary of the number of contracts awarded to
22    businesses with annual gross sales of less than
23    $1,000,000; of $1,000,000 or more, but less than
24    $5,000,000; of $5,000,000 or more, but less than
25    $10,000,000; and of $10,000,000 or more.
26(Source: P.A. 99-462, eff. 8-25-15; 100-391, eff. 8-25-17.)
 

 

 

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1    (30 ILCS 575/8g)
2    (Section scheduled to be repealed on June 30, 2024)
3    Sec. 8g. Business Enterprise Program Council reports.
4    (a) The Department of Central Management Services shall
5provide a report to the Council identifying all State agency
6non-construction solicitations that exceed $20,000,000 and
7that have less than a 20% established goal prior to
8publication.
9    (b) The Department of Central Management Services shall
10provide a report to the Council identifying all State agency
11non-construction awards that exceed $20,000,000. The report
12shall contain the following: (i) the name of the awardee; (ii)
13the total bid amount; (iii) the established Business
14Enterprise Program goal; (iv) the dollar amount and percentage
15of participation by businesses owned by minorities, women,
16veterans, and persons with disabilities; and (v) the names of
17the certified firms identified in the utilization plan.
18(Source: P.A. 100-391, eff. 8-25-17; 100-863, eff. 8-14-18.)
 
19    (30 ILCS 575/8h)
20    (Section scheduled to be repealed on June 30, 2024)
21    Sec. 8h. Encouragement for telecom and communications
22entities to submit supplier diversity reports.
23    (1) The following entities that do business in Illinois or
24serve Illinois customers shall be subject to this Section:

 

 

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1        (i) all local exchange telecommunications carriers
2    with at least 35,000 subscriber access lines;
3        (ii) cable and video providers, as defined in Section
4    21-20l of the Public Utilities Act;
5        (iii) interconnected VoIP providers, as defined in
6    Section 13-235 of the Public Utilities Act;
7        (iv) wireless service providers;
8        (v) broadband internet access services providers; and
9        (vi) any other entity that provides messaging, voice,
10    or video services via the Internet or a social media
11    platform.
12    (2) Each entity subject to this Section may submit to the
13Illinois Commerce Commission and the Business Enterprise
14Council an annual report by April 15, 20l8, and every April 15
15thereafter, which provides, for the previous calendar year,
16information and data on diversity goals, and progress toward
17achieving those goals, by certified businesses owned by
18minorities, women, veterans, and persons with disabilities,
19and service-disabled veterans, provided that if the entity
20does not track such information and data for businesses owned
21by service-disabled veterans, the entity may provide
22information and data for businesses owned by veterans.
23    The diversity report shall include the following:
24        (i) Overall annual spending on all such certified
25    businesses.
26        (ii) A narrative description of the entity's supplier

 

 

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1    diversity goals and plans for meeting those goals.
2        (iii) The entity's best estimate of its annual
3    spending in professional services and spending with
4    certified businesses owned by minorities, women, veterans,
5    and persons with disabilities, and service-disabled
6    veterans (or veterans, if the reporting entity does not
7    track spending with service-disabled veterans), including,
8    but not limited to, the following professional services
9    categories: accounting; architecture and engineering;
10    consulting; information technology; insurance; financial,
11    legal, and marketing services; and other professional
12    services. The diversity report shall also include the
13    entity's overall annual spending in the listed
14    professional service categories. For the diversity reports
15    due on April 15, 2018 and April 15, 2019, the information
16    on annual spending with certified businesses for
17    professional services required by this Section may be
18    provided for all professional services on an aggregated
19    basis.
20        (iv) Beginning with the diversity report due on April
21    15, 2020, the total number and percentage of women,
22    veterans, and minorities that provided services for each
23    construction project in the State.
24    An entity subject to this Section which is part of an
25affiliated group of entities may provide information for the
26affiliated group as a whole.

 

 

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1    (3) Any entity that is subject to this Section that does
2not submit a report shall be reported by the Business
3Enterprise Council to each chief procurement officer. Upon
4receiving a report from the Business Enterprise Council, the
5chief procurement officer may prohibit any entities that do
6not submit a report from bidding on State contracts for a
7period of one year beginning the first day of the following
8fiscal year and post on its respective bulletin the names of
9all entities that fail to comply with the provisions of this
10Section.
11    (4) A vendor may appeal any of the actions taken pursuant
12to this Section in the same manner as a vendor denied
13certification, by following the appeal procedures in the
14administrative rules created pursuant to this Act.
15(Source: P.A. 100-391, eff. 8-25-17.)
 
16    Section 110. The Illinois Income Tax Act is amended by
17changing Section 220 as follows:
 
18    (35 ILCS 5/220)
19    Sec. 220. Angel investment credit.
20    (a) As used in this Section:
21    "Applicant" means a corporation, partnership, limited
22liability company, or a natural person that makes an
23investment in a qualified new business venture. The term
24"applicant" does not include (i) a corporation, partnership,

 

 

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1limited liability company, or a natural person who has a
2direct or indirect ownership interest of at least 51% in the
3profits, capital, or value of the qualified new business
4venture receiving the investment or (ii) a related member.
5    "Claimant" means an applicant certified by the Department
6who files a claim for a credit under this Section.
7    "Department" means the Department of Commerce and Economic
8Opportunity.
9    "Investment" means money (or its equivalent) given to a
10qualified new business venture, at a risk of loss, in
11consideration for an equity interest of the qualified new
12business venture. The Department may adopt rules to permit
13certain forms of contingent equity investments to be
14considered eligible for a tax credit under this Section.
15    "Qualified new business venture" means a business that is
16registered with the Department under this Section.
17    "Related member" means a person that, with respect to the
18applicant, is any one of the following:
19        (1) An individual, if the individual and the members
20    of the individual's family (as defined in Section 318 of
21    the Internal Revenue Code) own directly, indirectly,
22    beneficially, or constructively, in the aggregate, at
23    least 50% of the value of the outstanding profits,
24    capital, stock, or other ownership interest in the
25    qualified new business venture that is the recipient of
26    the applicant's investment.

 

 

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1        (2) A partnership, estate, or trust and any partner or
2    beneficiary, if the partnership, estate, or trust and its
3    partners or beneficiaries own directly, indirectly,
4    beneficially, or constructively, in the aggregate, at
5    least 50% of the profits, capital, stock, or other
6    ownership interest in the qualified new business venture
7    that is the recipient of the applicant's investment.
8        (3) A corporation, and any party related to the
9    corporation in a manner that would require an attribution
10    of stock from the corporation under the attribution rules
11    of Section 318 of the Internal Revenue Code, if the
12    applicant and any other related member own, in the
13    aggregate, directly, indirectly, beneficially, or
14    constructively, at least 50% of the value of the
15    outstanding stock of the qualified new business venture
16    that is the recipient of the applicant's investment.
17        (4) A corporation and any party related to that
18    corporation in a manner that would require an attribution
19    of stock from the corporation to the party or from the
20    party to the corporation under the attribution rules of
21    Section 318 of the Internal Revenue Code, if the
22    corporation and all such related parties own, in the
23    aggregate, at least 50% of the profits, capital, stock, or
24    other ownership interest in the qualified new business
25    venture that is the recipient of the applicant's
26    investment.

 

 

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1        (5) A person to or from whom there is attribution of
2    ownership of stock in the qualified new business venture
3    that is the recipient of the applicant's investment in
4    accordance with Section 1563(e) of the Internal Revenue
5    Code, except that for purposes of determining whether a
6    person is a related member under this paragraph, "20%"
7    shall be substituted for "5%" whenever "5%" appears in
8    Section 1563(e) of the Internal Revenue Code.
9    (b) For taxable years beginning after December 31, 2010,
10and ending on or before December 31, 2021, subject to the
11limitations provided in this Section, a claimant may claim, as
12a credit against the tax imposed under subsections (a) and (b)
13of Section 201 of this Act, an amount equal to 25% of the
14claimant's investment made directly in a qualified new
15business venture. In order for an investment in a qualified
16new business venture to be eligible for tax credits, the
17business must have applied for and received certification
18under subsection (e) for the taxable year in which the
19investment was made prior to the date on which the investment
20was made. The credit under this Section may not exceed the
21taxpayer's Illinois income tax liability for the taxable year.
22If the amount of the credit exceeds the tax liability for the
23year, the excess may be carried forward and applied to the tax
24liability of the 5 taxable years following the excess credit
25year. The credit shall be applied to the earliest year for
26which there is a tax liability. If there are credits from more

 

 

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1than one tax year that are available to offset a liability, the
2earlier credit shall be applied first. In the case of a
3partnership or Subchapter S Corporation, the credit is allowed
4to the partners or shareholders in accordance with the
5determination of income and distributive share of income under
6Sections 702 and 704 and Subchapter S of the Internal Revenue
7Code.
8    (c) The minimum amount an applicant must invest in any
9single qualified new business venture in order to be eligible
10for a credit under this Section is $10,000. The maximum amount
11of an applicant's total investment made in any single
12qualified new business venture that may be used as the basis
13for a credit under this Section is $2,000,000.
14    (d) The Department shall implement a program to certify an
15applicant for an angel investment credit. Upon satisfactory
16review, the Department shall issue a tax credit certificate
17stating the amount of the tax credit to which the applicant is
18entitled. The Department shall annually certify that: (i) each
19qualified new business venture that receives an angel
20investment under this Section has maintained a minimum
21employment threshold, as defined by rule, in the State (and
22continues to maintain a minimum employment threshold in the
23State for a period of no less than 3 years from the issue date
24of the last tax credit certificate issued by the Department
25with respect to such business pursuant to this Section); and
26(ii) the claimant's investment has been made and remains,

 

 

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1except in the event of a qualifying liquidity event, in the
2qualified new business venture for no less than 3 years.
3    If an investment for which a claimant is allowed a credit
4under subsection (b) is held by the claimant for less than 3
5years, other than as a result of a permitted sale of the
6investment to person who is not a related member, the claimant
7shall pay to the Department of Revenue, in the manner
8prescribed by the Department of Revenue, the aggregate amount
9of the disqualified credits that the claimant received related
10to the subject investment.
11    If the Department determines that a qualified new business
12venture failed to maintain a minimum employment threshold in
13the State through the date which is 3 years from the issue date
14of the last tax credit certificate issued by the Department
15with respect to the subject business pursuant to this Section,
16the claimant or claimants shall pay to the Department of
17Revenue, in the manner prescribed by the Department of
18Revenue, the aggregate amount of the disqualified credits that
19claimant or claimants received related to investments in that
20business.
21    (e) The Department shall implement a program to register
22qualified new business ventures for purposes of this Section.
23A business desiring registration under this Section shall be
24required to submit a full and complete application to the
25Department. A submitted application shall be effective only
26for the taxable year in which it is submitted, and a business

 

 

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1desiring registration under this Section shall be required to
2submit a separate application in and for each taxable year for
3which the business desires registration. Further, if at any
4time prior to the acceptance of an application for
5registration under this Section by the Department one or more
6events occurs which makes the information provided in that
7application materially false or incomplete (in whole or in
8part), the business shall promptly notify the Department of
9the same. Any failure of a business to promptly provide the
10foregoing information to the Department may, at the discretion
11of the Department, result in a revocation of a previously
12approved application for that business, or disqualification of
13the business from future registration under this Section, or
14both. The Department may register the business only if all of
15the following conditions are satisfied:
16        (1) it has its principal place of business in this
17    State;
18        (2) at least 51% of the employees employed by the
19    business are employed in this State;
20        (3) the business has the potential for increasing jobs
21    in this State, increasing capital investment in this
22    State, or both, as determined by the Department, and
23    either of the following apply:
24            (A) it is principally engaged in innovation in any
25        of the following: manufacturing; biotechnology;
26        nanotechnology; communications; agricultural

 

 

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1        sciences; clean energy creation or storage technology;
2        processing or assembling products, including medical
3        devices, pharmaceuticals, computer software, computer
4        hardware, semiconductors, other innovative technology
5        products, or other products that are produced using
6        manufacturing methods that are enabled by applying
7        proprietary technology; or providing services that are
8        enabled by applying proprietary technology; or
9            (B) it is undertaking pre-commercialization
10        activity related to proprietary technology that
11        includes conducting research, developing a new product
12        or business process, or developing a service that is
13        principally reliant on applying proprietary
14        technology;
15        (4) it is not principally engaged in real estate
16    development, insurance, banking, lending, lobbying,
17    political consulting, professional services provided by
18    attorneys, accountants, business consultants, physicians,
19    or health care consultants, wholesale or retail trade,
20    leisure, hospitality, transportation, or construction,
21    except construction of power production plants that derive
22    energy from a renewable energy resource, as defined in
23    Section 1 of the Illinois Power Agency Act;
24        (5) at the time it is first certified:
25            (A) it has fewer than 100 employees;
26            (B) it has been in operation in Illinois for not

 

 

SB0611- 135 -LRB102 15356 RJF 20716 b

1        more than 10 consecutive years prior to the year of
2        certification; and
3            (C) it has received not more than $10,000,000 in
4        aggregate investments;
5        (5.1) it agrees to maintain a minimum employment
6    threshold in the State of Illinois prior to the date which
7    is 3 years from the issue date of the last tax credit
8    certificate issued by the Department with respect to that
9    business pursuant to this Section;
10        (6) (blank); and
11        (7) it has received not more than $4,000,000 in
12    investments that qualified for tax credits under this
13    Section.
14    (f) The Department, in consultation with the Department of
15Revenue, shall adopt rules to administer this Section. The
16aggregate amount of the tax credits that may be claimed under
17this Section for investments made in qualified new business
18ventures shall be limited at $10,000,000 per calendar year, of
19which $500,000 shall be reserved for investments made in
20qualified new business ventures which are minority-owned
21businesses, women-owned businesses, veteran-owned businesses,
22or businesses owned by a person with a disability (as those
23terms are used and defined in the Business Enterprise for
24Minorities, Women, Veterans, and Persons with Disabilities
25Act), and an additional $500,000 shall be reserved for
26investments made in qualified new business ventures with their

 

 

SB0611- 136 -LRB102 15356 RJF 20716 b

1principal place of business in counties with a population of
2not more than 250,000. The foregoing annual allowable amounts
3shall be allocated by the Department, on a per calendar
4quarter basis and prior to the commencement of each calendar
5year, in such proportion as determined by the Department,
6provided that: (i) the amount initially allocated by the
7Department for any one calendar quarter shall not exceed 35%
8of the total allowable amount; (ii) any portion of the
9allocated allowable amount remaining unused as of the end of
10any of the first 3 calendar quarters of a given calendar year
11shall be rolled into, and added to, the total allocated amount
12for the next available calendar quarter; and (iii) the
13reservation of tax credits for investments in minority-owned
14businesses, women-owned businesses, veteran-owned businesses,
15businesses owned by a person with a disability, and in
16businesses in counties with a population of not more than
17250,000 is limited to the first 3 calendar quarters of a given
18calendar year, after which they may be claimed by investors in
19any qualified new business venture.
20    (g) A claimant may not sell or otherwise transfer a credit
21awarded under this Section to another person.
22    (h) On or before March 1 of each year, the Department shall
23report to the Governor and to the General Assembly on the tax
24credit certificates awarded under this Section for the prior
25calendar year.
26        (1) This report must include, for each tax credit

 

 

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1    certificate awarded:
2            (A) the name of the claimant and the amount of
3        credit awarded or allocated to that claimant;
4            (B) the name and address (including the county) of
5        the qualified new business venture that received the
6        investment giving rise to the credit, the North
7        American Industry Classification System (NAICS) code
8        applicable to that qualified new business venture, and
9        the number of employees of the qualified new business
10        venture; and
11            (C) the date of approval by the Department of each
12        claimant's tax credit certificate.
13        (2) The report must also include:
14            (A) the total number of applicants and the total
15        number of claimants, including the amount of each tax
16        credit certificate awarded to a claimant under this
17        Section in the prior calendar year;
18            (B) the total number of applications from
19        businesses seeking registration under this Section,
20        the total number of new qualified business ventures
21        registered by the Department, and the aggregate amount
22        of investment upon which tax credit certificates were
23        issued in the prior calendar year; and
24            (C) the total amount of tax credit certificates
25        sought by applicants, the amount of each tax credit
26        certificate issued to a claimant, the aggregate amount

 

 

SB0611- 138 -LRB102 15356 RJF 20716 b

1        of all tax credit certificates issued in the prior
2        calendar year and the aggregate amount of tax credit
3        certificates issued as authorized under this Section
4        for all calendar years.
5    (i) For each business seeking registration under this
6Section after December 31, 2016, the Department shall require
7the business to include in its application the North American
8Industry Classification System (NAICS) code applicable to the
9business and the number of employees of the business at the
10time of application. Each business registered by the
11Department as a qualified new business venture that receives
12an investment giving rise to the issuance of a tax credit
13certificate pursuant to this Section shall, for each of the 3
14years following the issue date of the last tax credit
15certificate issued by the Department with respect to such
16business pursuant to this Section, report to the Department
17the following:
18        (1) the number of employees and the location at which
19    those employees are employed, both as of the end of each
20    year;
21        (2) the amount of additional new capital investment
22    raised as of the end of each year, if any; and
23        (3) the terms of any liquidity event occurring during
24    such year; for the purposes of this Section, a "liquidity
25    event" means any event that would be considered an exit
26    for an illiquid investment, including any event that

 

 

SB0611- 139 -LRB102 15356 RJF 20716 b

1    allows the equity holders of the business (or any material
2    portion thereof) to cash out some or all of their
3    respective equity interests.
4(Source: P.A. 100-328, eff. 1-1-18; 100-686, eff. 1-1-19;
5100-863, eff. 8-14-18; 101-81, eff. 7-12-19.)
 
6    Section 115. The Film Production Services Tax Credit Act
7of 2008 is amended by changing Sections 30 and 45 as follows:
 
8    (35 ILCS 16/30)
9    Sec. 30. Review of application for accredited production
10certificate.
11    (a) In determining whether to issue an accredited
12production certificate, the Department must determine that a
13preponderance of the following conditions exist:
14        (1) The applicant's production intends to make the
15    expenditure in the State required for certification.
16        (2) The applicant's production is economically sound
17    and will benefit the people of the State of Illinois by
18    increasing opportunities for employment and strengthen the
19    economy of Illinois.
20        (3) The applicant has filed a diversity plan with the
21    Department outlining specific goals (i) for hiring
22    minority persons and women, as defined in the Business
23    Enterprise for Minorities, Women, Veterans, and Persons
24    with Disabilities Act, and (ii) for using vendors

 

 

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1    receiving certification under the Business Enterprise for
2    Minorities, Women, Veterans, and Persons with Disabilities
3    Act; the Department has approved the plan as meeting the
4    requirements established by the Department; and the
5    Department has verified that the applicant has met or made
6    good-faith efforts in achieving those goals. The
7    Department must adopt any rules that are necessary to
8    ensure compliance with the provisions of this item (3) and
9    that are necessary to require that the applicant's plan
10    reflects the diversity of this State.
11        (4) The applicant's production application indicates
12    whether the applicant intends to participate in training,
13    education, and recruitment programs that are organized in
14    cooperation with Illinois colleges and universities, labor
15    organizations, and the motion picture industry and are
16    designed to promote and encourage the training and hiring
17    of Illinois residents who represent the diversity of the
18    Illinois population.
19        (5) That, if not for the credit, the applicant's
20    production would not occur in Illinois, which may be
21    demonstrated by any means including, but not limited to,
22    evidence that the applicant has multi-state or
23    international location options and could reasonably and
24    efficiently locate outside of the State, or demonstration
25    that at least one other state or nation is being
26    considered for the production, or evidence that the

 

 

SB0611- 141 -LRB102 15356 RJF 20716 b

1    receipt of the credit is a major factor in the applicant's
2    decision and that without the credit the applicant likely
3    would not create or retain jobs in Illinois, or
4    demonstration that receiving the credit is essential to
5    the applicant's decision to create or retain new jobs in
6    the State.
7        (6) Awarding the credit will result in an overall
8    positive impact to the State, as determined by the
9    Department using the best available data.
10    (b) If any of the provisions in this Section conflict with
11any existing collective bargaining agreements, the terms and
12conditions of those collective bargaining agreements shall
13control.
14(Source: P.A. 100-391, eff. 8-25-17.)
 
15    (35 ILCS 16/45)
16    Sec. 45. Evaluation of tax credit program; reports to the
17General Assembly.
18    (a) The Department shall evaluate the tax credit program.
19The evaluation must include an assessment of the effectiveness
20of the program in creating and retaining new jobs in Illinois
21and of the revenue impact of the program, and may include a
22review of the practices and experiences of other states or
23nations with similar programs. Upon completion of this
24evaluation, the Department shall determine the overall success
25of the program, and may make a recommendation to extend,

 

 

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1modify, or not extend the program based on this evaluation.
2    (b) At the end of each fiscal quarter, the Department must
3submit to the General Assembly a report that includes, without
4limitation, the following information:
5        (1) the economic impact of the tax credit program,
6    including the number of jobs created and retained,
7    including whether the job positions are entry level,
8    management, talent-related, vendor-related, or
9    production-related;
10        (2) the amount of film production spending brought to
11    Illinois, including the amount of spending and type of
12    Illinois vendors hired in connection with an accredited
13    production; and
14        (3) an overall picture of whether the human
15    infrastructure of the motion picture industry in Illinois
16    reflects the geographical, racial and ethnic, gender, and
17    income-level diversity of the State of Illinois.
18    (c) At the end of each fiscal year, the Department must
19submit to the General Assembly a report that includes the
20following information:
21        (1) an identification of each vendor that provided
22    goods or services that were included in an accredited
23    production's Illinois production spending, provided that
24    the accredited production's Illinois production spending
25    attributable to that vendor exceeds, in the aggregate,
26    $10,000 or 10% of the accredited production's Illinois

 

 

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1    production spending, whichever is less;
2        (2) the amount paid to each identified vendor by the
3    accredited production;
4        (3) for each identified vendor, a statement as to
5    whether the vendor is a minority-owned business or a
6    women-owned business, as defined under Section 2 of the
7    Business Enterprise for Minorities, Women, Veterans, and
8    Persons with Disabilities Act, based on the best efforts
9    of an accredited production; and
10        (4) a description of any steps taken by the Department
11    to encourage accredited productions to use vendors who are
12    a minority-owned business or a women-owned business.
13(Source: P.A. 100-391, eff. 8-25-17; 100-603, eff. 7-13-18;
14101-81, eff. 7-12-19.)
 
15    Section 120. The Live Theater Production Tax Credit Act is
16amended by changing Sections 10-30 and 10-50 as follows:
 
17    (35 ILCS 17/10-30)
18    Sec. 10-30. Review of application for accredited theater
19production certificate.
20    (a) The Department shall issue an accredited theater
21production certificate to an applicant if it finds that by a
22preponderance the following conditions exist:
23        (1) the applicant intends to make the expenditure in
24    the State required for certification of the accredited

 

 

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1    theater production;
2        (2) the applicant's accredited theater production is
3    economically sound and will benefit the people of the
4    State of Illinois by increasing opportunities for
5    employment and will strengthen the economy of Illinois;
6        (3) the following requirements related to the
7    implementation of a diversity plan have been met: (i) the
8    applicant has filed with the Department a diversity plan
9    outlining specific goals for hiring Illinois labor
10    expenditure eligible minority persons and women, as
11    defined in the Business Enterprise for Minorities, Women,
12    Veterans, and Persons with Disabilities Act, and for using
13    vendors receiving certification under the Business
14    Enterprise for Minorities, Women, Veterans, and Persons
15    with Disabilities Act; (ii) the Department has approved
16    the plan as meeting the requirements established by the
17    Department and verified that the applicant has met or made
18    good faith efforts in achieving those goals; and (iii) the
19    Department has adopted any rules that are necessary to
20    ensure compliance with the provisions set forth in this
21    paragraph and necessary to require that the applicant's
22    plan reflects the diversity of the population of this
23    State;
24        (4) the applicant's accredited theater production
25    application indicates whether the applicant intends to
26    participate in training, education, and recruitment

 

 

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1    programs that are organized in cooperation with Illinois
2    colleges and universities, labor organizations, and the
3    holders of accredited theater production certificates and
4    are designed to promote and encourage the training and
5    hiring of Illinois residents who represent the diversity
6    of Illinois;
7        (5) if not for the tax credit award, the applicant's
8    accredited theater production would not occur in Illinois,
9    which may be demonstrated by any means, including, but not
10    limited to, evidence that: (i) the applicant, presenter,
11    owner, or licensee of the production rights has other
12    state or international location options at which to
13    present the production and could reasonably and
14    efficiently locate outside of the State, (ii) at least one
15    other state or nation could be considered for the
16    production, (iii) the receipt of the tax award credit is a
17    major factor in the decision of the applicant, presenter,
18    production owner or licensee as to where the production
19    will be presented and that without the tax credit award
20    the applicant likely would not create or retain jobs in
21    Illinois, or (iv) receipt of the tax credit award is
22    essential to the applicant's decision to create or retain
23    new jobs in the State; and
24        (6) the tax credit award will result in an overall
25    positive impact to the State, as determined by the
26    Department using the best available data.

 

 

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1    (b) If any of the provisions in this Section conflict with
2any existing collective bargaining agreements, the terms and
3conditions of those collective bargaining agreements shall
4control.
5    (c) The Department shall act expeditiously regarding
6approval of applications for accredited theater production
7certificates so as to accommodate the pre-production work,
8booking, commencement of ticket sales, determination of
9performance dates, load in, and other matters relating to the
10live theater productions for which approval is sought.
11(Source: P.A. 100-391, eff. 8-25-17.)
 
12    (35 ILCS 17/10-50)
13    Sec. 10-50. Live theater tax credit award program
14evaluation and reports.
15    (a) The Department's live theater tax credit award
16evaluation must include:
17        (i) an assessment of the effectiveness of the program
18    in creating and retaining new jobs in Illinois;
19        (ii) an assessment of the revenue impact of the
20    program;
21        (iii) in the discretion of the Department, a review of
22    the practices and experiences of other states or nations
23    with similar programs; and
24        (iv) an assessment of the overall success of the
25    program. The Department may make a recommendation to

 

 

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1    extend, modify, or not extend the program based on the
2    evaluation.
3    (b) At the end of each fiscal quarter, the Department
4shall submit to the General Assembly a report that includes,
5without limitation:
6        (i) an assessment of the economic impact of the
7    program, including the number of jobs created and
8    retained, and whether the job positions are entry level,
9    management, vendor, or production related;
10        (ii) the amount of accredited theater production
11    spending brought to Illinois, including the amount of
12    spending and type of Illinois vendors hired in connection
13    with an accredited theater production; and
14        (iii) a determination of whether those receiving
15    qualifying Illinois labor expenditure salaries or wages
16    reflect the geographical, racial and ethnic, gender, and
17    income level diversity of the State of Illinois.
18    (c) At the end of each fiscal year, the Department shall
19submit to the General Assembly a report that includes, without
20limitation:
21        (i) the identification of each vendor that provided
22    goods or services that were included in an accredited
23    theater production's Illinois production spending;
24        (ii) a statement of the amount paid to each identified
25    vendor by the accredited theater production and whether
26    the vendor is a minority-owned or women-owned business as

 

 

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1    defined in Section 2 of the Business Enterprise for
2    Minorities, Women, Veterans, and Persons with Disabilities
3    Act; and
4        (iii) a description of the steps taken by the
5    Department to encourage accredited theater productions to
6    use vendors who are minority-owned or women-owned
7    businesses.
8(Source: P.A. 100-391, eff. 8-25-17.)
 
9    Section 125. The Illinois Pension Code is amended by
10changing Sections 1-109.1, 1-113.21, and 1-113.22 as follows:
 
11    (40 ILCS 5/1-109.1)  (from Ch. 108 1/2, par. 1-109.1)
12    Sec. 1-109.1. Allocation and delegation of fiduciary
13duties.
14    (1) Subject to the provisions of Section 22A-113 of this
15Code and subsections (2) and (3) of this Section, the board of
16trustees of a retirement system or pension fund established
17under this Code may:
18        (a) Appoint one or more investment managers as
19    fiduciaries to manage (including the power to acquire and
20    dispose of) any assets of the retirement system or pension
21    fund; and
22        (b) Allocate duties among themselves and designate
23    others as fiduciaries to carry out specific fiduciary
24    activities other than the management of the assets of the

 

 

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1    retirement system or pension fund.
2    (2) The board of trustees of a pension fund established
3under Article 5, 6, 8, 9, 10, 11, 12 or 17 of this Code may not
4transfer its investment authority, nor transfer the assets of
5the fund to any other person or entity for the purpose of
6consolidating or merging its assets and management with any
7other pension fund or public investment authority, unless the
8board resolution authorizing such transfer is submitted for
9approval to the contributors and pensioners of the fund at
10elections held not less than 30 days after the adoption of such
11resolution by the board, and such resolution is approved by a
12majority of the votes cast on the question in both the
13contributors election and the pensioners election. The
14election procedures and qualifications governing the election
15of trustees shall govern the submission of resolutions for
16approval under this paragraph, insofar as they may be made
17applicable.
18    (3) Pursuant to subsections (h) and (i) of Section 6 of
19Article VII of the Illinois Constitution, the investment
20authority of boards of trustees of retirement systems and
21pension funds established under this Code is declared to be a
22subject of exclusive State jurisdiction, and the concurrent
23exercise by a home rule unit of any power affecting such
24investment authority is hereby specifically denied and
25preempted.
26    (4) For the purposes of this Code, "emerging investment

 

 

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1manager" means a qualified investment adviser that manages an
2investment portfolio of at least $10,000,000 but less than
3$10,000,000,000 and is a "minority-owned business",
4"women-owned business", "veteran-owned business", or "business
5owned by a person with a disability" as those terms are defined
6in the Business Enterprise for Minorities, Women, Veterans,
7and Persons with Disabilities Act.
8    It is hereby declared to be the public policy of the State
9of Illinois to encourage the trustees of public employee
10retirement systems, pension funds, and investment boards to
11use emerging investment managers in managing their system's
12assets, encompassing all asset classes, and increase the
13racial, ethnic, and gender diversity of its fiduciaries, to
14the greatest extent feasible within the bounds of financial
15and fiduciary prudence, and to take affirmative steps to
16remove any barriers to the full participation in investment
17opportunities afforded by those retirement systems, pension
18funds, and investment boards.
19    A On or before January 1, 2010, a retirement system,
20pension fund, or investment board subject to this Code, except
21those whose investments are restricted by Section 1-113.2 of
22this Code, shall adopt a policy that sets forth goals for
23utilization of emerging investment managers. This policy shall
24include quantifiable goals for the management of assets in
25specific asset classes by emerging investment managers. The
26retirement system, pension fund, or investment board shall

 

 

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1establish 4 3 separate goals for: (i) emerging investment
2managers that are minority-owned businesses; (ii) emerging
3investment managers that are women-owned businesses; and (iii)
4emerging investment managers that are veteran-owned
5businesses; and (iv) emerging investment managers that are
6businesses owned by a person with a disability. The goals
7established shall be based on the percentage of total dollar
8amount of investment service contracts let to minority-owned
9businesses, women-owned businesses, veteran-owned businesses,
10and businesses owned by a person with a disability, as those
11terms are defined in the Business Enterprise for Minorities,
12Women, Veterans, and Persons with Disabilities Act. The
13retirement system, pension fund, or investment board shall
14annually review the goals established under this subsection.
15    If in any case an emerging investment manager meets the
16criteria established by a board for a specific search and
17meets the criteria established by a consultant for that
18search, then that emerging investment manager shall receive an
19invitation by the board of trustees, or an investment
20committee of the board of trustees, to present his or her firm
21for final consideration of a contract. In the case where
22multiple emerging investment managers meet the criteria of
23this Section, the staff may choose the most qualified firm or
24firms to present to the board.
25    The use of an emerging investment manager does not
26constitute a transfer of investment authority for the purposes

 

 

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1of subsection (2) of this Section.
2    (5) Each retirement system, pension fund, or investment
3board subject to this Code, except those whose investments are
4restricted by Section 1-113.2 of this Code, shall establish a
5policy that sets forth goals for increasing the racial,
6ethnic, and gender diversity of its fiduciaries, including its
7consultants and senior staff. Each retirement system, pension
8fund, or investment board shall make its best efforts to
9ensure that the racial and ethnic makeup of its senior
10administrative staff represents the racial and ethnic makeup
11of its membership. Each system, fund, and investment board
12shall annually review the goals established under this
13subsection.
14    (6) A On or before January 1, 2010, a retirement system,
15pension fund, or investment board subject to this Code, except
16those whose investments are restricted by Section 1-113.2 of
17this Code, shall adopt a policy that sets forth goals for
18utilization of businesses owned by minorities, women,
19veterans, and persons with disabilities for all contracts and
20services. The goals established shall be based on the
21percentage of total dollar amount of all contracts let to
22minority-owned businesses, women-owned businesses,
23veteran-owned businesses, and businesses owned by a person
24with a disability, as those terms are defined in the Business
25Enterprise for Minorities, Women, Veterans, and Persons with
26Disabilities Act. The retirement system, pension fund, or

 

 

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1investment board shall annually review the goals established
2under this subsection.
3    (7) A On or before January 1, 2010, a retirement system,
4pension fund, or investment board subject to this Code, except
5those whose investments are restricted by Section 1-113.2 of
6this Code, shall adopt a policy that sets forth goals for
7increasing the utilization of minority broker-dealers. For the
8purposes of this Code, "minority broker-dealer" means a
9qualified broker-dealer who meets the definition of
10"minority-owned business", "women-owned business",
11"veteran-owned businesses", or "business owned by a person
12with a disability", as those terms are defined in the Business
13Enterprise for Minorities, Women, Veterans, and Persons with
14Disabilities Act. The retirement system, pension fund, or
15investment board shall annually review the goals established
16under this Section.
17    (8) Each retirement system, pension fund, and investment
18board subject to this Code, except those whose investments are
19restricted by Section 1-113.2 of this Code, shall submit a
20report to the Governor and the General Assembly by January 1 of
21each year that includes the following: (i) the policy adopted
22under subsection (4) of this Section, including the names and
23addresses of the emerging investment managers used, percentage
24of the assets under the investment control of emerging
25investment managers for the 4 3 separate goals, and the
26actions it has undertaken to increase the use of emerging

 

 

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1investment managers, including encouraging other investment
2managers to use emerging investment managers as subcontractors
3when the opportunity arises; (ii) the policy adopted under
4subsection (5) of this Section; (iii) the policy adopted under
5subsection (6) of this Section; (iv) the policy adopted under
6subsection (7) of this Section, including specific actions
7undertaken to increase the use of minority broker-dealers; and
8(v) the policy adopted under subsection (9) of this Section.
9    (9) A On or before February 1, 2015, a retirement system,
10pension fund, or investment board subject to this Code, except
11those whose investments are restricted by Section 1-113.2 of
12this Code, shall adopt a policy that sets forth goals for
13increasing the utilization of minority investment managers.
14For the purposes of this Code, "minority investment manager"
15means a qualified investment manager that manages an
16investment portfolio and meets the definition of
17"minority-owned business", "women-owned business",
18"veteran-owned business", or "business owned by a person with
19a disability", as those terms are defined in the Business
20Enterprise for Minorities, Women, Veterans, and Persons with
21Disabilities Act.
22    It is hereby declared to be the public policy of the State
23of Illinois to encourage the trustees of public employee
24retirement systems, pension funds, and investment boards to
25use minority investment managers in managing their systems'
26assets, encompassing all asset classes, and to increase the

 

 

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1racial, ethnic, and gender diversity of their fiduciaries, to
2the greatest extent feasible within the bounds of financial
3and fiduciary prudence, and to take affirmative steps to
4remove any barriers to the full participation in investment
5opportunities afforded by those retirement systems, pension
6funds, and investment boards.
7    The retirement system, pension fund, or investment board
8shall establish 4 3 separate goals for: (i) minority
9investment managers that are minority-owned businesses; (ii)
10minority investment managers that are women-owned businesses;
11and (iii) minority investment managers that are veteran-owned
12businesses; and (iv) minority investment managers that are
13businesses owned by a person with a disability. The retirement
14system, pension fund, or investment board shall annually
15review the goals established under this Section.
16    If in any case a minority investment manager meets the
17criteria established by a board for a specific search and
18meets the criteria established by a consultant for that
19search, then that minority investment manager shall receive an
20invitation by the board of trustees, or an investment
21committee of the board of trustees, to present his or her firm
22for final consideration of a contract. In the case where
23multiple minority investment managers meet the criteria of
24this Section, the staff may choose the most qualified firm or
25firms to present to the board.
26    The use of a minority investment manager does not

 

 

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1constitute a transfer of investment authority for the purposes
2of subsection (2) of this Section.
3    (10) It Beginning January 1, 2016, it shall be the
4aspirational goal for a retirement system, pension fund, or
5investment board subject to this Code to use emerging
6investment managers for not less than 20% of the total funds
7under management. Furthermore, it shall be the aspirational
8goal that not less than 20% of investment advisors be
9minorities, women, veterans, and persons with disabilities as
10those terms are defined in the Business Enterprise for
11Minorities, Women, Veterans, and Persons with Disabilities
12Act. It shall be the aspirational goal to utilize businesses
13owned by minorities, women, veterans, and persons with
14disabilities for not less than 20% of contracts awarded for
15"information technology services", "accounting services",
16"insurance brokers", "architectural and engineering services",
17and "legal services" as those terms are defined in the Act.
18(Source: P.A. 99-462, eff. 8-25-15; 100-391, eff. 8-25-17;
19100-902, eff. 8-17-18.)
 
20    (40 ILCS 5/1-113.21)
21    Sec. 1-113.21. Contracts for services.
22    (a) No Beginning January 1, 2015, no contract, oral or
23written, for investment services, consulting services, or
24commitment to a private market fund shall be awarded by a
25retirement system, pension fund, or investment board

 

 

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1established under this Code unless the investment advisor,
2consultant, or private market fund first discloses:
3        (1) the number of its investment and senior staff and
4    the percentage of its investment and senior staff who are
5    (i) a minority person, (ii) a woman, and (iii) a person
6    with a disability; and
7        (2) the number of contracts, oral or written, for
8    investment services, consulting services, and professional
9    and artistic services that the investment advisor,
10    consultant, or private market fund has with (i) a
11    minority-owned business, (ii) a women-owned business, or
12    (iii) a business owned by a person with a disability, or
13    (iv) a veteran-owned business; and
14        (3) the number of contracts, oral or written, for
15    investment services, consulting services, and professional
16    and artistic services the investment advisor, consultant,
17    or private market fund has with a business other than (i) a
18    minority-owned business, (ii) a women-owned business, or
19    (iii) a business owned by a person with a disability, or
20    (iv) a veteran-owned business, if more than 50% of
21    services performed pursuant to the contract are performed
22    by (i) a minority person, (ii) a woman, and (iii) a person
23    with a disability, and (iv) a veteran.
24    (b) The disclosures required by this Section shall be
25considered, within the bounds of financial and fiduciary
26prudence, prior to the awarding of a contract, oral or

 

 

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1written, for investment services, consulting services, or
2commitment to a private market fund.
3    (c) For the purposes of this Section, the terms "minority
4person", "woman", "veteran", "person with a disability",
5"minority-owned business", "women-owned business",
6"veteran-owned business", and "business owned by a person with
7a disability" have the same meaning as those terms have in the
8Business Enterprise for Minorities, Women, Veterans, and
9Persons with Disabilities Act.
10    (d) For purposes of this Section, the term "private market
11fund" means any private equity fund, private equity fund of
12funds, venture capital fund, hedge fund, hedge fund of funds,
13real estate fund, or other investment vehicle that is not
14publicly traded.
15(Source: P.A. 100-391, eff. 8-25-17.)
 
16    (40 ILCS 5/1-113.22)
17    Sec. 1-113.22. Required disclosures from consultants;
18minority-owned businesses, women-owned businesses,
19veteran-owned businesses, and businesses owned by persons with
20a disability.
21    (a) No later than January 1, 2018 and each January 1
22thereafter, each consultant retained by the board of a
23retirement system, board of a pension fund, or investment
24board shall disclose to that board of the retirement system,
25board of the pension fund, or investment board:

 

 

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1        (1) the total number of searches for investment
2    services made by the consultant in the prior calendar
3    year;
4        (2) the total number of searches for investment
5    services made by the consultant in the prior calendar year
6    that included (i) a minority-owned business, (ii) a
7    women-owned business, or (iii) a business owned by a
8    person with a disability, or (iv) a veteran-owned
9    business;
10        (3) the total number of searches for investment
11    services made by the consultant in the prior calendar year
12    in which the consultant recommended for selection (i) a
13    minority-owned business, (ii) a women-owned business, or
14    (iii) a business owned by a person with a disability, or
15    (iv) a veteran-owned business;
16        (4) the total number of searches for investment
17    services made by the consultant in the prior calendar year
18    that resulted in the selection of (i) a minority-owned
19    business, (ii) a women-owned business, or (iii) a business
20    owned by a person with a disability, or (iv) a
21    veteran-owned business; and
22        (5) the total dollar amount of investment made in the
23    previous calendar year with (i) a minority-owned business,
24    (ii) a women-owned business, or (iii) a business owned by
25    a person with a disability, or (iv) a veteran-owned
26    business that was selected after a search for investment

 

 

SB0611- 160 -LRB102 15356 RJF 20716 b

1    services performed by the consultant.
2    (b) No Beginning January 1, 2018, no contract, oral or
3written, for consulting services shall be awarded by a board
4of a retirement system, a board of a pension fund, or an
5investment board without first requiring the consultant to
6make the disclosures required in subsection (a) of this
7Section.
8    (c) The disclosures required by subsection (b) of this
9Section shall be considered, within the bounds of financial
10and fiduciary prudence, prior to the awarding of a contract,
11oral or written, for consulting services.
12    (d) As used in this Section, the terms "minority person",
13"woman", "veteran", "person with a disability",
14"minority-owned business", "women-owned business",
15"veteran-owned business", and "business owned by a person with
16a disability" have the same meaning as those terms have in the
17Business Enterprise for Minorities, Women, Veterans, and
18Persons with Disabilities Act.
19(Source: P.A. 100-542, eff. 11-8-17; 100-863, eff. 8-14-18.)
 
20    Section 130. The Counties Code is amended by changing
21Section 5-1134 as follows:
 
22    (55 ILCS 5/5-1134)
23    Sec. 5-1134. Project labor agreements.
24    (a) Any sports, arts, or entertainment facilities that

 

 

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1receive revenue from a tax imposed under subsection (b) of
2Section 5-1030 of this Code shall be considered to be public
3works within the meaning of the Prevailing Wage Act. The
4county authorities responsible for the construction,
5renovation, modification, or alteration of the sports, arts,
6or entertainment facilities shall enter into project labor
7agreements with labor organizations as defined in the National
8Labor Relations Act to assure that no labor dispute interrupts
9or interferes with the construction, renovation, modification,
10or alteration of the projects.
11    (b) The project labor agreements must include the
12following:
13        (1) provisions establishing the minimum hourly wage
14    for each class of labor organization employees;
15        (2) provisions establishing the benefits and other
16    compensation for such class of labor organization; and
17        (3) provisions establishing that no strike or disputes
18    will be engaged in by the labor organization employees.
19    The county, taxing bodies, municipalities, and the labor
20organizations shall have the authority to include other terms
21and conditions as they deem necessary.
22    (c) The project labor agreement shall be filed with the
23Director of the Illinois Department of Labor in accordance
24with procedures established by the Department. At a minimum,
25the project labor agreement must provide the names, addresses,
26and occupations of the owner of the facilities and the

 

 

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1individuals representing the labor organization employees
2participating in the project labor agreement. The agreement
3must also specify the terms and conditions required in
4subsection (b) of this Section.
5    (d) In any agreement for the construction or
6rehabilitation of a facility using revenue generated under
7subsection (b) of Section 5-1030 of this Code, in connection
8with the prequalification of general contractors for
9construction or rehabilitation of the facility, it shall be
10required that a commitment will be submitted detailing how the
11general contractor will expend 15% or more of the aggregate
12dollar value of the project as a whole with one or more
13minority-owned businesses, women-owned businesses,
14veteran-owned businesses, or businesses owned by a person with
15a disability, as these terms are defined in Section 2 of the
16Business Enterprise for Minorities, Women, Veterans, and
17Persons with Disabilities Act.
18(Source: P.A. 100-391, eff. 8-25-17.)
 
19    Section 135. The River Edge Redevelopment Zone Act is
20amended by changing Section 10-5.3 as follows:
 
21    (65 ILCS 115/10-5.3)
22    Sec. 10-5.3. Certification of River Edge Redevelopment
23Zones.
24    (a) Approval of designated River Edge Redevelopment Zones

 

 

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1shall be made by the Department by certification of the
2designating ordinance. The Department shall promptly issue a
3certificate for each zone upon its approval. The certificate
4shall be signed by the Director of the Department, shall make
5specific reference to the designating ordinance, which shall
6be attached thereto, and shall be filed in the office of the
7Secretary of State. A certified copy of the River Edge
8Redevelopment Zone Certificate, or a duplicate original
9thereof, shall be recorded in the office of the recorder of
10deeds of the county in which the River Edge Redevelopment Zone
11lies.
12    (b) A River Edge Redevelopment Zone shall be effective
13upon its certification. The Department shall transmit a copy
14of the certification to the Department of Revenue, and to the
15designating municipality. Upon certification of a River Edge
16Redevelopment Zone, the terms and provisions of the
17designating ordinance shall be in effect, and may not be
18amended or repealed except in accordance with Section 10-5.4.
19    (c) A River Edge Redevelopment Zone shall be in effect for
20the period stated in the certificate, which shall in no event
21exceed 30 calendar years. Zones shall terminate at midnight of
22December 31 of the final calendar year of the certified term,
23except as provided in Section 10-5.4.
24    (d) In calendar years 2006 and 2007, the Department may
25certify one pilot River Edge Redevelopment Zone in the City of
26East St. Louis, one pilot River Edge Redevelopment Zone in the

 

 

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1City of Rockford, and one pilot River Edge Redevelopment Zone
2in the City of Aurora.
3    In calendar year 2009, the Department may certify one
4pilot River Edge Redevelopment Zone in the City of Elgin.
5    On or after the effective date of this amendatory Act of
6the 97th General Assembly, the Department may certify one
7additional pilot River Edge Redevelopment Zone in the City of
8Peoria.
9    Thereafter the Department may not certify any additional
10River Edge Redevelopment Zones, but may amend and rescind
11certifications of existing River Edge Redevelopment Zones in
12accordance with Section 10-5.4, except that no River Edge
13Redevelopment Zone may be extended on or after the effective
14date of this amendatory Act of the 97th General Assembly. Each
15River Edge Redevelopment Zone in existence on the effective
16date of this amendatory Act of the 97th General Assembly shall
17continue until its scheduled termination under this Act,
18unless the Zone is decertified sooner. At the time of its term
19expiration each River Edge Redevelopment Zone will become an
20open enterprise zone, available for the previously designated
21area or a different area to compete for designation as an
22enterprise zone. No preference for designation as a Zone will
23be given to the previously designated area.
24    (e) A municipality in which a River Edge Redevelopment
25Zone has been certified must submit to the Department, within
2660 days after the certification, a plan for encouraging the

 

 

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1participation by minority persons, women, persons with
2disabilities, and veterans in the zone. The Department may
3assist the municipality in developing and implementing the
4plan. The terms "minority person", "woman", "veteran", and
5"person with a disability" have the meanings set forth under
6Section 2 of the Business Enterprise for Minorities, Women,
7Veterans, and Persons with Disabilities Act. "Veteran" means
8an Illinois resident who is a veteran as defined in subsection
9(h) of Section 1491 of Title 10 of the United States Code.
10(Source: P.A. 100-391, eff. 8-25-17.)
 
11    Section 140. The Metropolitan Pier and Exposition
12Authority Act is amended by changing Sections 10.2 and 23.1 as
13follows:
 
14    (70 ILCS 210/10.2)
15    Sec. 10.2. Bonding disclosure.
16    (a) Truth in borrowing disclosure. Within 60 business days
17after the issuance of any bonds under this Act, the Authority
18shall disclose the total principal and interest payments to be
19paid on the bonds over the full stated term of the bonds. The
20disclosure also shall include principal and interest payments
21to be made by each fiscal year over the full stated term of the
22bonds and total principal and interest payments to be made by
23each fiscal year on all other outstanding bonds issued under
24this Act over the full stated terms of those bonds. These

 

 

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1disclosures shall be calculated assuming bonds are not
2redeemed or refunded prior to their stated maturities. Amounts
3included in these disclosures as payment of interest on
4variable rate bonds shall be computed at an interest rate
5equal to the rate at which the variable rate bonds are first
6set upon issuance, plus 2.5%, after taking into account any
7credits permitted in the related indenture or other instrument
8against the amount of such interest for each fiscal year.
9    (b) Bond sale expenses disclosure. Within 60 business days
10after the issuance of any bonds under this Act, the Authority
11shall disclose all costs of issuance on each sale of bonds
12under this Act. The disclosure shall include, as applicable,
13the respective percentages of participation and compensation
14of each underwriter that is a member of the underwriting
15syndicate, legal counsel, financial advisors, and other
16professionals for the bond issue and an identification of all
17costs of issuance paid to minority-owned businesses,
18women-owned businesses, veteran-owned businesses, and
19businesses owned by persons with disabilities. The terms
20"minority-owned businesses", "women-owned businesses",
21"veteran-owned businesses", and "business owned by a person
22with a disability" have the meanings given to those terms in
23the Business Enterprise for Minorities, Women, Veterans, and
24Persons with Disabilities Act. In addition, the Authority
25shall provide copies of all contracts under which any costs of
26issuance are paid or to be paid to the Commission on Government

 

 

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1Forecasting and Accountability within 60 business days after
2the issuance of bonds for which those costs are paid or to be
3paid. Instead of filing a second or subsequent copy of the same
4contract, the Authority may file a statement that specified
5costs are paid under specified contracts filed earlier with
6the Commission.
7    (c) The disclosures required in this Section shall be
8published by posting the disclosures for no less than 30 days
9on the website of the Authority and shall be available to the
10public upon request. The Authority shall also provide the
11disclosures to the Governor's Office of Management and Budget,
12the Commission on Government Forecasting and Accountability,
13and the General Assembly.
14(Source: P.A. 100-391, eff. 8-25-17.)
 
15    (70 ILCS 210/23.1)  (from Ch. 85, par. 1243.1)
16    Sec. 23.1. Affirmative action.
17    (a) The Authority shall, within 90 days after the
18effective date of this amendatory Act of 1984, establish and
19maintain an affirmative action program designed to promote
20equal employment opportunity and eliminate the effects of past
21discrimination. Such program shall include a plan, including
22timetables where appropriate, which shall specify goals and
23methods for increasing participation by women, veterans, and
24minorities, and persons with disabilities in employment,
25including employment related to the planning, organization,

 

 

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1and staging of the games, by the Authority and by parties which
2contract with the Authority. The Authority shall submit a
3detailed plan with the General Assembly prior to September 1
4of each year. Such program shall also establish procedures and
5sanctions, which the Authority shall enforce to ensure
6compliance with the plan established pursuant to this Section
7and with State and federal laws and regulations relating to
8the employment of women, veterans, and minorities, and persons
9with disabilities. A determination by the Authority as to
10whether a party to a contract with the Authority has achieved
11the goals or employed the methods for increasing participation
12by women, veterans, and minorities, and persons with
13disabilities shall be determined in accordance with the terms
14of such contracts or the applicable provisions of rules and
15regulations of the Authority existing at the time such
16contract was executed, including any provisions for
17consideration of good faith efforts at compliance which the
18Authority may reasonably adopt.
19    (b) The Authority shall adopt and maintain minority-owned,
20veteran-owned, and women-owned business, and persons with
21disabilities-owned enterprise procurement programs under the
22affirmative action program described in subsection (a) for any
23and all work, including all contracting related to the
24planning, organization, and staging of the games, undertaken
25by the Authority. That work shall include, but is not limited
26to, the purchase of professional services, construction

 

 

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1services, supplies, materials, and equipment. The programs
2shall establish goals of awarding not less than 30% 25% of the
3annual dollar value of all contracts, purchase orders, or
4other agreements (collectively referred to as "contracts") to
5minority-owned businesses, woman-owned businesses,
6veteran-owned businesses, and businesses owned by persons with
7disabilities and 5% of the annual dollar value of all
8contracts to women-owned businesses. Without limiting the
9generality of the foregoing, the programs shall require in
10connection with the prequalification or consideration of
11vendors for professional service contracts, construction
12contracts, and contracts for supplies, materials, equipment,
13and services that each proposer or bidder submit as part of his
14or her proposal or bid a commitment detailing how he or she
15will expend 30% 25% or more of the dollar value of his or her
16contracts with one or more minority-owned businesses,
17woman-owned businesses, veteran-owned businesses, or
18businesses owned by persons with disabilities and 5% or more
19of the dollar value with one or more women-owned businesses.
20Bids or proposals that do not include such detailed
21commitments are not responsive and shall be rejected unless
22the Authority deems it appropriate to grant a waiver of these
23requirements. In addition the Authority may, in connection
24with the selection of providers of professional services,
25reserve the right to select a minority-owned business, or
26women-owned business, veteran-owned business, or business

 

 

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1owned by a person with a disability or businesses to fulfill
2the commitment to minority, and woman, veteran, and person
3with a disability business participation. The commitment to
4minority, and woman, veteran, and person with a disability
5business participation may be met by the contractor or
6professional service provider's status as a minority-owned, or
7women-owned, or veteran-owned business or a business owned by
8a person with a disability, by joint venture or by
9subcontracting a portion of the work with or purchasing
10materials for the work from one or more such businesses, or by
11any combination thereof. Each contract shall require the
12contractor or provider to submit a certified monthly report
13detailing the status of that contractor or provider's
14compliance with the Authority's minority-owned, and
15women-owned, veteran-owned, and persons with a
16disability-owned business enterprise procurement program. The
17Authority, after reviewing the monthly reports of the
18contractors and providers, shall compile a comprehensive
19report regarding compliance with this procurement program and
20file it quarterly with the General Assembly. If, in connection
21with a particular contract, the Authority determines that it
22is impracticable or excessively costly to obtain
23minority-owned, or women-owned, veteran-owned, and persons
24with a disability-owned businesses to perform sufficient work
25to fulfill the commitment required by this subsection, the
26Authority shall reduce or waive the commitment in the

 

 

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1contract, as may be appropriate. The Authority shall establish
2rules and regulations setting forth the standards to be used
3in determining whether or not a reduction or waiver is
4appropriate. The terms "minority-owned business", and
5"women-owned business", "veteran-owned business", and
6"business owned by a person with a disability" have the
7meanings given to those terms in the Business Enterprise for
8Minorities, Women, Veterans, and Persons with Disabilities
9Act.
10    (c) The Authority shall adopt and maintain an affirmative
11action program in connection with the hiring of minorities,
12and women, veterans, and persons with a disability on the
13Expansion Project and on any and all construction projects,
14including all contracting related to the planning,
15organization, and staging of the games, undertaken by the
16Authority. The program shall be designed to promote equal
17employment opportunity and shall specify the goals and methods
18for increasing the participation of minorities, and women,
19veterans, and persons with a disability in a representative
20mix of job classifications required to perform the respective
21contracts awarded by the Authority.
22    (d) In connection with the Expansion Project, the
23Authority shall incorporate the following elements into its
24minority-owned, and women-owned, veteran-owned, and persons
25with a disability-owned business procurement programs to the
26extent feasible: (1) a major contractors program that permits

 

 

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1minority-owned businesses, and women-owned businesses,
2veteran-owned businesses, and businesses owned by a person
3with a disability to bear significant responsibility and risk
4for a portion of the project; (2) a mentor/protege program
5that provides financial, technical, managerial, equipment, and
6personnel support to minority-owned businesses, and
7women-owned businesses, veteran-owned businesses, and
8businesses owned by a person with a disability; (3) an
9emerging firms program that includes minority-owned
10businesses, and women-owned businesses, veteran-owned
11businesses, and businesses owned by a person with a disability
12that would not otherwise qualify for the project due to
13inexperience or limited resources; (4) a small projects
14program that includes participation by smaller minority-owned
15businesses, and women-owned businesses, veteran-owned
16businesses, and businesses owned by a person with a disability
17on jobs where the total dollar value is $5,000,000 or less; and
18(5) a set-aside program that will identify contracts requiring
19the expenditure of funds less than $50,000 for bids to be
20submitted solely by minority-owned businesses, and women-owned
21businesses, veteran-owned businesses, and businesses owned by
22a person with a disability.
23    (e) The Authority is authorized to enter into agreements
24with contractors' associations, labor unions, and the
25contractors working on the Expansion Project to establish an
26Apprenticeship Preparedness Training Program to provide for an

 

 

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1increase in the number of minority, and women, veteran, and
2persons with a disability journeymen and apprentices in the
3building trades and to enter into agreements with Community
4College District 508 to provide readiness training. The
5Authority is further authorized to enter into contracts with
6public and private educational institutions and persons in the
7hospitality industry to provide training for employment in the
8hospitality industry.
9    (f) McCormick Place Advisory Board. There is created a
10McCormick Place Advisory Board composed as follows: 2 members
11shall be appointed by the Mayor of Chicago; 2 members shall be
12appointed by the Governor; 2 members shall be State Senators
13appointed by the President of the Senate; 2 members shall be
14State Senators appointed by the Minority Leader of the Senate;
152 members shall be State Representatives appointed by the
16Speaker of the House of Representatives; and 2 members shall
17be State Representatives appointed by the Minority Leader of
18the House of Representatives. The terms of all previously
19appointed members of the Advisory Board expire on the
20effective date of this amendatory Act of the 92nd General
21Assembly. A State Senator or State Representative member may
22appoint a designee to serve on the McCormick Place Advisory
23Board in his or her absence.
24    "Minority person", "woman", "veteran", "person with a
25disability", "minority-owned business", "women-owned
26business", "veteran-owned business", and "business owned by a

 

 

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1person with a disability" have the meanings provided in the
2Business Enterprise and Minorities, Women, Veterans, and
3Persons with Disabilities Act.
4    A "member of a minority group" shall mean a person who is a
5citizen or lawful permanent resident of the United States and
6who is any of the following:
7        (1) American Indian or Alaska Native (a person having
8    origins in any of the original peoples of North and South
9    America, including Central America, and who maintains
10    tribal affiliation or community attachment).
11        (2) Asian (a person having origins in any of the
12    original peoples of the Far East, Southeast Asia, or the
13    Indian subcontinent, including, but not limited to,
14    Cambodia, China, India, Japan, Korea, Malaysia, Pakistan,
15    the Philippine Islands, Thailand, and Vietnam).
16        (3) Black or African American (a person having origins
17    in any of the black racial groups of Africa). Terms such as
18    "Haitian" or "Negro" can be used in addition to "Black or
19    African American".
20        (4) Hispanic or Latino (a person of Cuban, Mexican,
21    Puerto Rican, South or Central American, or other Spanish
22    culture or origin, regardless of race).
23        (5) Native Hawaiian or Other Pacific Islander (a
24    person having origins in any of the original peoples of
25    Hawaii, Guam, Samoa, or other Pacific Islands).
26    Members of the McCormick Place Advisory Board shall serve

 

 

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12-year terms and until their successors are appointed, except
2members who serve as a result of their elected position whose
3terms shall continue as long as they hold their designated
4elected positions. Vacancies shall be filled by appointment
5for the unexpired term in the same manner as original
6appointments are made. The McCormick Place Advisory Board
7shall elect its own chairperson.
8    Members of the McCormick Place Advisory Board shall serve
9without compensation but, at the Authority's discretion, shall
10be reimbursed for necessary expenses in connection with the
11performance of their duties.
12    The McCormick Place Advisory Board shall meet quarterly,
13or as needed, shall produce any reports it deems necessary,
14and shall:
15        (1) Work with the Authority on ways to improve the
16    area physically and economically;
17        (2) Work with the Authority regarding potential means
18    for providing increased economic opportunities to
19    minorities and women produced indirectly or directly from
20    the construction and operation of the Expansion Project;
21        (3) Work with the Authority to minimize any potential
22    impact on the area surrounding the McCormick Place
23    Expansion Project, including any impact on minority-owned
24    or women-owned businesses, resulting from the construction
25    and operation of the Expansion Project;
26        (4) Work with the Authority to find candidates for

 

 

SB0611- 176 -LRB102 15356 RJF 20716 b

1    building trades apprenticeships, for employment in the
2    hospitality industry, and to identify job training
3    programs;
4        (5) Work with the Authority to implement the
5    provisions of subsections (a) through (e) of this Section
6    in the construction of the Expansion Project, including
7    the Authority's goal of awarding not less than 30% 25% and
8    5% of the annual dollar value of contracts to
9    minority-owned businesses, and women-owned businesses,
10    veteran-owned businesses, and businesses owned by persons
11    with a disability, the outreach program for minorities,
12    and women, veterans, and persons with a disability, and
13    the mentor/protege program for providing assistance to
14    minority-owned businesses, and women-owned businesses,
15    veteran-owned businesses, and businesses owned by persons
16    with a disability.
17    (g) The Authority shall comply with subsection (e) of
18Section 5-42 of the Olympic Games and Paralympic Games (2016)
19Law. For purposes of this Section, the term "games" has the
20meaning set forth in the Olympic Games and Paralympic Games
21(2016) Law.
22(Source: P.A. 100-391, eff. 8-25-17.)
 
23    Section 145. The Illinois Sports Facilities Authority Act
24is amended by changing Section 9 as follows:
 

 

 

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1    (70 ILCS 3205/9)  (from Ch. 85, par. 6009)
2    Sec. 9. Duties. In addition to the powers set forth
3elsewhere in this Act, subject to the terms of any agreements
4with the holders of the Authority's bonds or notes, the
5Authority shall:
6        (1) Comply with all zoning, building, and land use
7    controls of the municipality within which is located any
8    stadium facility owned by the Authority or for which the
9    Authority provides financial assistance.
10        (2) With respect to a facility owned or to be owned by
11    the Authority, enter or have entered into a management
12    agreement with a tenant of the Authority to operate the
13    facility that requires the tenant to operate the facility
14    for a period at least as long as the term of any bonds
15    issued to finance the development, establishment,
16    construction, erection, acquisition, repair,
17    reconstruction, remodeling, adding to, extension,
18    improvement, equipping, operation, and maintenance of the
19    facility. Such agreement shall contain appropriate and
20    reasonable provisions with respect to termination, default
21    and legal remedies.
22        (3) With respect to a facility owned or to be owned by
23    a governmental owner other than the Authority, enter into
24    an assistance agreement with either a governmental owner
25    of a facility or its tenant, or both, that requires the
26    tenant, or if the tenant is not a party to the assistance

 

 

SB0611- 178 -LRB102 15356 RJF 20716 b

1    agreement requires the governmental owner to enter into an
2    agreement with the tenant that requires the tenant to use
3    the facility for a period at least as long as the term of
4    any bonds issued to finance the reconstruction,
5    renovation, remodeling, extension or improvement of all or
6    substantially all of the facility.
7        (4) Create and maintain a separate financial reserve
8    for repair and replacement of capital assets of any
9    facility owned by the Authority or for which the Authority
10    provides financial assistance and deposit into this
11    reserve not less than $1,000,000 per year for each such
12    facility beginning at such time as the Authority and the
13    tenant, or the Authority and a governmental owner of a
14    facility, as applicable, shall agree.
15        (5) In connection with prequalification of general
16    contractors for the construction of a new stadium facility
17    or the reconstruction, renovation, remodeling, extension,
18    or improvement of all or substantially all of an existing
19    facility, the Authority shall require submission of a
20    commitment detailing how the general contractor will
21    expend 30% 25% or more of the dollar value of the general
22    contract with one or more minority-owned businesses,
23    women-owned businesses, veteran-owned businesses, and
24    businesses owned by persons with a disability and 5% or
25    more of the dollar value with one or more women-owned
26    businesses. This commitment may be met by contractor's

 

 

SB0611- 179 -LRB102 15356 RJF 20716 b

1    status as a minority-owned business, businesses or
2    women-owned business businesses, veteran-owned business,
3    or business owned by a person with a disability, by a joint
4    venture or by subcontracting a portion of the work with or
5    by purchasing materials for the work from one or more such
6    businesses, or by any combination thereof. Any contract
7    with the general contractor for construction of the new
8    stadium facility and any contract for the reconstruction,
9    renovation, remodeling, adding to, extension or
10    improvement of all or substantially all of an existing
11    facility shall require the general contractor to meet the
12    foregoing obligations and shall require monthly reporting
13    to the Authority with respect to the status of the
14    implementation of the contractor's affirmative action plan
15    and compliance with that plan. This report shall be filed
16    with the General Assembly. The Authority shall establish
17    and maintain an affirmative action program designed to
18    promote equal employment opportunity which specifies the
19    goals and methods for increasing participation by
20    minorities and women in a representative mix of job
21    classifications required to perform the respective
22    contracts. The Authority shall file a report before March
23    1 of each year with the General Assembly detailing its
24    implementation of this paragraph. The terms
25    "minority-owned business businesses", "women-owned
26    business businesses", veteran-owned business, and

 

 

SB0611- 180 -LRB102 15356 RJF 20716 b

1    "business owned by a person with a disability" have the
2    meanings given to those terms in the Business Enterprise
3    for Minorities, Women, Veterans, and Persons with
4    Disabilities Act.
5        (6) Provide for the construction of any new facility
6    pursuant to one or more contracts which require delivery
7    of a completed facility at a fixed maximum price to be
8    insured or guaranteed by a third party determined by the
9    Authority to be financially capable of causing completion
10    of such construction of the new facility.
11    In connection with any assistance agreement with a
12governmental owner that provides financial assistance for a
13facility to be used by a National Football League team, the
14assistance agreement shall provide that the Authority or its
15agent shall enter into the contract or contracts for the
16design and construction services or design/build services for
17such facility and thereafter transfer its rights and
18obligations under the contract or contracts to the
19governmental owner of the facility. In seeking parties to
20provide design and construction services or design/build
21services with respect to such facility, the Authority may use
22such procurement procedures as it may determine, including,
23without limitation, the selection of design professionals and
24construction managers or design/builders as may be required by
25a team that is at risk, in whole or in part, for the cost of
26design and construction of the facility.

 

 

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1    An assistance agreement may not provide, directly or
2indirectly, for the payment to the Chicago Park District of
3more than a total of $10,000,000 on account of the District's
4loss of property or revenue in connection with the renovation
5of a facility pursuant to the assistance agreement.
6(Source: P.A. 100-391, eff. 8-25-17.)
 
7    Section 150. The Downstate Illinois Sports Facilities
8Authority Act is amended by changing Section 40 as follows:
 
9    (70 ILCS 3210/40)
10    Sec. 40. Duties.
11    (a) In addition to the powers set forth elsewhere in this
12Act, subject to the terms of any agreements with the holders of
13the Authority's evidences of indebtedness, the Authority shall
14do the following:
15        (1) Comply with all zoning, building, and land use
16    controls of the municipality within which is located any
17    stadium facility owned by the Authority or for which the
18    Authority provides financial assistance.
19        (2) Enter into a loan agreement with an owner of a
20    facility to finance the acquisition, construction,
21    maintenance, or rehabilitation of the facility. The
22    agreement shall contain appropriate and reasonable
23    provisions with respect to termination, default, and legal
24    remedies. The loan may be at below-market interest rates.

 

 

SB0611- 182 -LRB102 15356 RJF 20716 b

1        (3) Create and maintain a financial reserve for repair
2    and replacement of capital assets.
3    (b) In a loan agreement for the construction of a new
4facility, in connection with prequalification of general
5contractors for construction of the facility, the Authority
6shall require that the owner of the facility require
7submission of a commitment detailing how the general
8contractor will expend 30% 25% or more of the dollar value of
9the general contract with one or more minority-owned
10businesses, women-owned businesses, veteran-owned businesses,
11or businesses owned by persons with a disability and 5% or more
12of the dollar value with one or more women-owned businesses.
13This commitment may be met by contractor's status as a
14minority-owned business, businesses or women-owned business,
15businesses, veteran-owned business, or a business owned by a
16person with a disability by a joint venture, or by
17subcontracting a portion of the work with or by purchasing
18materials for the work from one or more such businesses, or by
19any combination thereof. Any contract with the general
20contractor for construction of the new facility shall require
21the general contractor to meet the foregoing obligations and
22shall require monthly reporting to the Authority with respect
23to the status of the implementation of the contractor's
24affirmative action plan and compliance with that plan. This
25report shall be filed with the General Assembly. The Authority
26shall require that the facility owner establish and maintain

 

 

SB0611- 183 -LRB102 15356 RJF 20716 b

1an affirmative action program designed to promote equal
2employment opportunity and that specifies the goals and
3methods for increasing participation by minorities and women
4in a representative mix of job classifications required to
5perform the respective contracts. The Authority shall file a
6report before March 1 of each year with the General Assembly
7detailing its implementation of this subsection. The terms
8"minority-owned businesses", and "women-owned businesses",
9"veteran-owned business", and "business owned by persons with
10a disability" have the meanings provided in the Business
11Enterprise for Minorities, Women, Veterans, and Persons with
12Disabilities Act.
13    (c) With respect to a facility owned or to be owned by the
14Authority, enter or have entered into a management agreement
15with a tenant of the Authority to operate the facility that
16requires the tenant to operate the facility for a period at
17least as long as the term of any bonds issued to finance the
18development, establishment, construction, erection,
19acquisition, repair, reconstruction, remodeling, adding to,
20extension, improvement, equipping, operation, and maintenance
21of the facility. Such agreement shall contain appropriate and
22reasonable provisions with respect to termination, default,
23and legal remedies.
24(Source: P.A. 100-391, eff. 8-25-17.)
 
25    Section 155. The Metropolitan Transit Authority Act is

 

 

SB0611- 184 -LRB102 15356 RJF 20716 b

1amended by changing Section 12c as follows:
 
2    (70 ILCS 3605/12c)
3    Sec. 12c. Retiree Benefits Bonds and Notes.
4    (a) In addition to all other bonds or notes that it is
5authorized to issue, the Authority is authorized to issue its
6bonds or notes for the purposes of providing funds for the
7Authority to make the deposits described in Section 12c(b)(1)
8and (2), for refunding any bonds authorized to be issued under
9this Section, as well as for the purposes of paying costs of
10issuance, obtaining bond insurance or other credit enhancement
11or liquidity facilities, paying costs of obtaining related
12swaps as authorized in the Bond Authorization Act ("Swaps"),
13providing a debt service reserve fund, paying Debt Service (as
14defined in paragraph (i) of this Section 12c), and paying all
15other costs related to any such bonds or notes.
16    (b)(1) After its receipt of a certified copy of a report of
17the Auditor General of the State of Illinois meeting the
18requirements of Section 3-2.3 of the Illinois State Auditing
19Act, the Authority may issue $1,348,550,000 aggregate original
20principal amount of bonds and notes. After payment of the
21costs of issuance and necessary deposits to funds and accounts
22established with respect to debt service, the net proceeds of
23such bonds or notes shall be deposited only in the Retirement
24Plan for Chicago Transit Authority Employees and used only for
25the purposes required by Section 22-101 of the Illinois

 

 

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1Pension Code. Provided that no less than $1,110,500,000 has
2been deposited in the Retirement Plan, remaining proceeds of
3bonds issued under this subparagraph (b)(1) may be used to pay
4costs of issuance and make necessary deposits to funds and
5accounts with respect to debt service for bonds and notes
6issued under this subparagraph or subparagraph (b)(2).
7    (2) After its receipt of a certified copy of a report of
8the Auditor General of the State of Illinois meeting the
9requirements of Section 3-2.3 of the Illinois State Auditing
10Act, the Authority may issue $639,680,000 aggregate original
11principal amount of bonds and notes. After payment of the
12costs of issuance and necessary deposits to funds and accounts
13established with respect to debt service, the net proceeds of
14such bonds or notes shall be deposited only in the Retiree
15Health Care Trust and used only for the purposes required by
16Section 22-101B of the Illinois Pension Code. Provided that no
17less than $528,800,000 has been deposited in the Retiree
18Health Care Trust, remaining proceeds of bonds issued under
19this subparagraph (b)(2) may be used to pay costs of issuance
20and make necessary deposits to funds and accounts with respect
21to debt service for bonds and notes issued under this
22subparagraph or subparagraph (b)(1).
23    (3) In addition, refunding bonds are authorized to be
24issued for the purpose of refunding outstanding bonds or notes
25issued under this Section 12c.
26    (4) The bonds or notes issued under 12c(b)(1) shall be

 

 

SB0611- 186 -LRB102 15356 RJF 20716 b

1issued as soon as practicable after the Auditor General issues
2the report provided in Section 3-2.3(b) of the Illinois State
3Auditing Act. The bonds or notes issued under 12c(b)(2) shall
4be issued as soon as practicable after the Auditor General
5issues the report provided in Section 3-2.3(c) of the Illinois
6State Auditing Act.
7    (5) With respect to bonds and notes issued under
8subparagraph (b), scheduled aggregate annual payments of
9interest or deposits into funds and accounts established for
10the purpose of such payment shall commence within one year
11after the bonds and notes are issued. With respect to
12principal and interest, scheduled aggregate annual payments of
13principal and interest or deposits into funds and accounts
14established for the purpose of such payment shall be not less
15than 70% in 2009, 80% in 2010, and 90% in 2011, respectively,
16of scheduled payments or deposits of principal and interest in
172012 and shall be substantially equal beginning in 2012 and
18each year thereafter. For purposes of this subparagraph (b),
19"substantially equal" means that debt service in any full year
20after calendar year 2011 is not more than 115% of debt service
21in any other full year after calendar year 2011 during the term
22of the bonds or notes. For the purposes of this subsection (b),
23with respect to bonds and notes that bear interest at a
24variable rate, interest shall be assumed at a rate equal to the
25rate for United States Treasury Securities - State and Local
26Government Series for the same maturity, plus 75 basis points.

 

 

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1If the Authority enters into a Swap with a counterparty
2requiring the Authority to pay a fixed interest rate on a
3notional amount, and the Authority has made a determination
4that such Swap was entered into for the purpose of providing
5substitute interest payments for variable interest rate bonds
6or notes of a particular maturity or maturities in a principal
7amount equal to the notional amount of the Swap, then during
8the term of the Swap for purposes of any calculation of
9interest payable on such bonds or notes, the interest rate on
10the bonds or notes of such maturity or maturities shall be
11determined as if such bonds or notes bore interest at the fixed
12interest rate payable by the Authority under such Swap.
13    (6) No bond or note issued under this Section 12c shall
14mature later than December 31, 2040.
15    (c) The Chicago Transit Board shall provide for the
16issuance of bonds or notes as authorized in this Section 12c by
17the adoption of an ordinance. The ordinance, together with the
18bonds or notes, shall constitute a contract among the
19Authority, the owners from time to time of the bonds or notes,
20any bond trustee with respect to the bonds or notes, any
21related credit enhancer and any provider of any related Swaps.
22    (d) The Authority is authorized to cause the proceeds of
23the bonds or notes, and any interest or investment earnings on
24the bonds or notes, and of any Swaps, to be invested until the
25proceeds and any interest or investment earnings have been
26deposited with the Retirement Plan or the Retiree Health Care

 

 

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1Trust.
2    (e) Bonds or notes issued pursuant to this Section 12c may
3be general obligations of the Authority, to which shall be
4pledged the full faith and credit of the Authority, or may be
5obligations payable solely from particular sources of funds
6all as may be provided in the authorizing ordinance. The
7authorizing ordinance for the bonds and notes, whether or not
8general obligations of the Authority, may provide for the Debt
9Service (as defined in paragraph (i) of this Section 12c) to
10have a claim for payment from particular sources of funds,
11including, without limitation, amounts to be paid to the
12Authority or a bond trustee. The authorizing ordinance may
13provide for the means by which the bonds or notes (and any
14related Swaps) may be secured, which may include, a pledge of
15any revenues or funds of the Authority from whatever source
16which may by law be utilized for paying Debt Service. In
17addition to any other security, upon the written approval of
18the Regional Transportation Authority by the affirmative vote
19of 12 of its then Directors, the ordinance may provide a
20specific pledge or assignment of and lien on or security
21interest in amounts to be paid to the Authority by the Regional
22Transportation Authority and direct payment thereof to the
23bond trustee for payment of Debt Service with respect to the
24bonds or notes, subject to the provisions of existing lease
25agreements of the Authority with any public building
26commission. The authorizing ordinance may also provide a

 

 

SB0611- 189 -LRB102 15356 RJF 20716 b

1specific pledge or assignment of and lien on or security
2interest in and direct payment to the trustee of all or a
3portion of the moneys otherwise payable to the Authority from
4the City of Chicago pursuant to an intergovernmental agreement
5with the Authority to provide financial assistance to the
6Authority. Any such pledge, assignment, lien or security
7interest for the benefit of owners of bonds or notes shall be
8valid and binding from the time the bonds or notes are issued,
9without any physical delivery or further act, and shall be
10valid and binding as against and prior to the claims of all
11other parties having claims of any kind against the Authority
12or any other person, irrespective of whether such other
13parties have notice of such pledge, assignment, lien or
14security interest, all as provided in the Local Government
15Debt Reform Act, as it may be amended from time to time. The
16bonds or notes of the Authority issued pursuant to this
17Section 12c shall have such priority of payment and as to their
18claim for payment from particular sources of funds, including
19their priority with respect to obligations of the Authority
20issued under other Sections of this Act, all as shall be
21provided in the ordinances authorizing the issuance of the
22bonds or notes. The ordinance authorizing the issuance of any
23bonds or notes under this Section may provide for the creation
24of, deposits in, and regulation and disposition of sinking
25fund or reserve accounts relating to those bonds or notes and
26related agreements. The ordinance authorizing the issuance of

 

 

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1any such bonds or notes authorized under this Section 12c may
2contain provisions for the creation of a separate fund to
3provide for the payment of principal of and interest on those
4bonds or notes and related agreements. The ordinance may also
5provide limitations on the issuance of additional bonds or
6notes of the Authority.
7    (f) Bonds or notes issued under this Section 12c shall not
8constitute an indebtedness of the Regional Transportation
9Authority, the State of Illinois, or of any other political
10subdivision of or municipality within the State, except the
11Authority.
12    (g) The ordinance of the Chicago Transit Board authorizing
13the issuance of bonds or notes pursuant to this Section 12c may
14provide for the appointment of a corporate trustee (which may
15be any trust company or bank having the powers of a trust
16company within Illinois) with respect to bonds or notes issued
17pursuant to this Section 12c. The ordinance shall prescribe
18the rights, duties, and powers of the trustee to be exercised
19for the benefit of the Authority and the protection of the
20owners of bonds or notes issued pursuant to this Section 12c.
21The ordinance may provide for the trustee to hold in trust,
22invest and use amounts in funds and accounts created as
23provided by the ordinance with respect to the bonds or notes in
24accordance with this Section 12c. The Authority may apply, as
25it shall determine, any amounts received upon the sale of the
26bonds or notes to pay any Debt Service on the bonds or notes.

 

 

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1The ordinance may provide for a trust indenture to set forth
2terms of, sources of payment for and security for the bonds and
3notes.
4    (h) The State of Illinois pledges to and agrees with the
5owners of the bonds or notes issued pursuant to Section 12c
6that the State of Illinois will not limit the powers vested in
7the Authority by this Act to pledge and assign its revenues and
8funds as security for the payment of the bonds or notes, or
9vested in the Regional Transportation Authority by the
10Regional Transportation Authority Act or this Act, so as to
11materially impair the payment obligations of the Authority
12under the terms of any contract made by the Authority with
13those owners or to materially impair the rights and remedies
14of those owners until those bonds or notes, together with
15interest and any redemption premium, and all costs and
16expenses in connection with any action or proceedings by or on
17behalf of such owners are fully met and discharged. The
18Authority is authorized to include these pledges and
19agreements of the State of Illinois in any contract with
20owners of bonds or notes issued pursuant to this Section 12c.
21    (i) For purposes of this Section, "Debt Service" with
22respect to bonds or notes includes, without limitation,
23principal (at maturity or upon mandatory redemption),
24redemption premium, interest, periodic, upfront, and
25termination payments on Swaps, fees for bond insurance or
26other credit enhancement, liquidity facilities, the funding of

 

 

SB0611- 192 -LRB102 15356 RJF 20716 b

1bond or note reserves, bond trustee fees, and all other costs
2of providing for the security or payment of the bonds or notes.
3    (j) The Authority shall adopt a procurement program with
4respect to contracts relating to the following service
5providers in connection with the issuance of debt for the
6benefit of the Retirement Plan for Chicago Transit Authority
7Employees: underwriters, bond counsel, financial advisors, and
8accountants. The program shall include goals for the payment
9of not less than 30% of the total dollar value of the fees from
10these contracts to minority-owned businesses, and women-owned
11businesses, veteran-owned businesses, and businesses owned by
12persons with a disability as defined in the Business
13Enterprise for Minorities, Women, Veterans, and Persons with
14Disabilities Act. The Authority shall conduct outreach to
15minority-owned businesses, and women-owned businesses,
16veteran-owned businesses, and businesses owned by persons with
17a disability. Outreach shall include, but is not limited to,
18advertisements in periodicals and newspapers, mailings, and
19other appropriate media. The Authority shall submit to the
20General Assembly a comprehensive report that shall include, at
21a minimum, the details of the procurement plan, outreach
22efforts, and the results of the efforts to achieve goals for
23the payment of fees. The service providers selected by the
24Authority pursuant to such program shall not be subject to
25approval by the Regional Transportation Authority, and the
26Regional Transportation Authority's approval pursuant to

 

 

SB0611- 193 -LRB102 15356 RJF 20716 b

1subsection (e) of this Section 12c related to the issuance of
2debt shall not be based in any way on the service providers
3selected by the Authority pursuant to this Section.
4    (k) No person holding an elective office in this State,
5holding a seat in the General Assembly, serving as a director,
6trustee, officer, or employee of the Regional Transportation
7Authority or the Chicago Transit Authority, including the
8spouse or minor child of that person, may receive a legal,
9banking, consulting, or other fee related to the issuance of
10any bond issued by the Chicago Transit Authority pursuant to
11this Section.
12(Source: P.A. 100-391, eff. 8-25-17.)
 
13    Section 160. The School Code is amended by changing
14Section 10-20.44 as follows:
 
15    (105 ILCS 5/10-20.44)
16    Sec. 10-20.44. Report on contracts.
17    (a) This Section applies to all school districts,
18including a school district organized under Article 34 of this
19Code.
20    (b) A school board must list on the district's Internet
21website, if any, all contracts over $25,000 and any contract
22that the school board enters into with an exclusive bargaining
23representative.
24    (c) Each year, in conjunction with the submission of the

 

 

SB0611- 194 -LRB102 15356 RJF 20716 b

1Statement of Affairs to the State Board of Education prior to
2December 1, provided for in Section 10-17, each school
3district shall submit to the State Board of Education an
4annual report on all contracts over $25,000 awarded by the
5school district during the previous fiscal year. The report
6shall include at least the following:
7        (1) the total number of all contracts awarded by the
8    school district;
9        (2) the total value of all contracts awarded;
10        (3) the number of contracts awarded to minority-owned
11    businesses, women-owned businesses, veteran-owned
12    businesses, and businesses owned by persons with
13    disabilities, as defined in the Business Enterprise for
14    Minorities, Women, Veterans, and Persons with Disabilities
15    Act, and locally owned businesses; and
16        (4) the total value of contracts awarded to
17    minority-owned businesses, women-owned businesses,
18    veteran-owned businesses, and businesses owned by persons
19    with disabilities, as defined in the Business Enterprise
20    for Minorities, Women, Veterans, and Persons with
21    Disabilities Act, and locally owned businesses.
22    The report shall be made available to the public,
23including publication on the school district's Internet
24website, if any.
25(Source: P.A. 100-391, eff. 8-25-17.)
 

 

 

SB0611- 195 -LRB102 15356 RJF 20716 b

1    Section 165. The Public University Energy Conservation Act
2is amended by changing Sections 3 and 5-10 as follows:
 
3    (110 ILCS 62/3)
4    Sec. 3. Applicable laws. Other State laws and related
5administrative requirements apply to this Act, including, but
6not limited to, the following laws and related administrative
7requirements: the Illinois Human Rights Act, the Prevailing
8Wage Act, the Public Construction Bond Act, the Public Works
9Preference Act (repealed on June 16, 2010 by Public Act
1096-929), the Employment of Illinois Workers on Public Works
11Act, the Freedom of Information Act, the Open Meetings Act,
12the Illinois Architecture Practice Act of 1989, the
13Professional Engineering Practice Act of 1989, the Structural
14Engineering Practice Act of 1989, the Architectural,
15Engineering, and Land Surveying Qualifications Based Selection
16Act, the Public Contract Fraud Act, the Business Enterprise
17for Minorities, Women, Veterans, and Persons with Disabilities
18Act, and the Public Works Employment Discrimination Act.
19(Source: P.A. 100-391, eff. 8-25-17.)
 
20    (110 ILCS 62/5-10)
21    Sec. 5-10. Energy conservation measure.
22    (a) "Energy conservation measure" means any improvement,
23repair, alteration, or betterment of any building or facility,
24subject to all applicable building codes, owned or operated by

 

 

SB0611- 196 -LRB102 15356 RJF 20716 b

1a public university or any equipment, fixture, or furnishing
2to be added to or used in any such building or facility that is
3designed to reduce energy consumption or operating costs, and
4may include, without limitation, one or more of the following:
5        (1) Insulation of the building structure or systems
6    within the building.
7        (2) Storm windows or doors, caulking or
8    weatherstripping, multiglazed windows or doors, heat
9    absorbing or heat reflective glazed and coated window or
10    door systems, additional glazing, reductions in glass
11    area, or other window and door system modifications that
12    reduce energy consumption.
13        (3) Automated or computerized energy control systems.
14        (4) Heating, ventilating, or air conditioning system
15    modifications or replacements.
16        (5) Replacement or modification of lighting fixtures
17    to increase the energy efficiency of the lighting system
18    without increasing the overall illumination of a facility,
19    unless an increase in illumination is necessary to conform
20    to the applicable State or local building code for the
21    lighting system after the proposed modifications are made.
22        (6) Energy recovery systems.
23        (7) Energy conservation measures that provide
24    long-term operating cost reductions.
25    (b) From the effective date of this amendatory Act of the
2696th General Assembly until January 1, 2015, "energy

 

 

SB0611- 197 -LRB102 15356 RJF 20716 b

1conservation measure" includes a renewable energy center pilot
2project at Eastern Illinois University, provided that:
3        (1) the University signs a partnership contract with a
4    qualified energy conservation measure provider as provided
5    in this Act;
6        (2) the University has responsibility for the
7    qualified provider's actions with regard to applicable
8    laws;
9        (3) the University obtains a performance bond in
10    accordance with this Act;
11        (4) the University and the qualified provider follow
12    all aspects of the Prevailing Wage Act as provided by this
13    Act;
14        (5) the University and the qualified provider use an
15    approved list of firms from the Capital Development Board
16    (CDB), unless the University requires services that are
17    not typically performed by the firms on CDB's list;
18        (6) the University provides monthly progress reports
19    to the Procurement Policy Board, and the University allows
20    a representative from CDB to monitor the project, provided
21    that such involvement is at no cost to the University;
22        (7) the University requires the qualified provider to
23    follow the provisions of the Business Enterprise for
24    Minorities, Women, Veterans, and Persons with Disabilities
25    Act and the Public Works Employment Discrimination Act as
26    provided in this Act;

 

 

SB0611- 198 -LRB102 15356 RJF 20716 b

1        (8) the University agrees to award new building
2    construction work to a responsible bidder, as defined in
3    Section 30-22 of the Illinois Procurement Code;
4        (9) the University includes in its contract with the
5    qualified provider a requirement that the qualified
6    provider name the sub-contractors that it will use, and
7    the qualified provider may not change these without the
8    University's written approval;
9        (10) the University follows, to the extent possible,
10    the Design-Build Procurement Act for construction of the
11    project, taking into consideration the current status of
12    the project; for purposes of this Act, the definition of
13    "State construction agency" in the Design-Build
14    Procurement Act means Eastern Illinois University for the
15    purpose of this project;
16        (11) the University follows, to the extent possible,
17    the Architectural, Engineering, and Land Surveying
18    Qualifications Based Selection Act;
19        (12) the University requires all engineering,
20    architecture, and design work related to the installation
21    or modification of facilities be performed by design
22    professionals licensed by the State of Illinois and
23    professional design firms registered in the State of
24    Illinois; and
25        (13) the University produces annual reports and a
26    final report describing the project upon completion and

 

 

SB0611- 199 -LRB102 15356 RJF 20716 b

1    files the reports with the Procurement Policy Board, CDB,
2    and the General Assembly.
3    The provisions of this subsection (b), other than this
4sentence, are inoperative after January 1, 2015.
5(Source: P.A. 100-391, eff. 8-25-17.)
 
6    Section 170. The Illinois State University Law is amended
7by changing Section 20-115 as follows:
 
8    (110 ILCS 675/20-115)
9    Sec. 20-115. Illinois Institute for Entrepreneurship
10Education.
11    (a) There is created, effective July 1, 1997, within the
12State at Illinois State University, the Illinois Institute for
13Entrepreneurship Education, hereinafter referred to as the
14Institute.
15    (b) The Institute created under this Section shall
16commence its operations on July 1, 1997 and shall have a board
17composed of 15 members representative of education, commerce
18and industry, government, or labor, appointed as follows: 2
19members shall be appointees of the Governor, one of whom shall
20be a minority or woman person as defined in Section 2 of the
21Business Enterprise for Minorities, Women, Veterans, and
22Persons with Disabilities Act; one member shall be an
23appointee of the President of the Senate; one member shall be
24an appointee of the Minority Leader of the Senate; one member

 

 

SB0611- 200 -LRB102 15356 RJF 20716 b

1shall be an appointee of the Speaker of the House of
2Representatives; one member shall be an appointee of the
3Minority Leader of the House of Representatives; 2 members
4shall be appointees of Illinois State University; one member
5shall be an appointee of the Board of Higher Education; one
6member shall be an appointee of the State Board of Education;
7one member shall be an appointee of the Department of Commerce
8and Economic Opportunity; one member shall be an appointee of
9the Illinois chapter of Economics America; and 3 members shall
10be appointed by majority vote of the other 12 appointed
11members to represent business owner-entrepreneurs. Each member
12shall have expertise and experience in the area of
13entrepreneurship education, including small business and
14entrepreneurship. The majority of voting members must be from
15the private sector. The members initially appointed to the
16board of the Institute created under this Section shall be
17appointed to take office on July 1, 1997 and shall by lot
18determine the length of their respective terms as follows: 5
19members shall be selected by lot to serve terms of one year, 5
20members shall be selected by lot to serve terms of 2 years, and
215 members shall be selected by lot to serve terms of 3 years.
22Subsequent appointees shall each serve terms of 3 years. The
23board shall annually select a chairperson from among its
24members. Each board member shall serve without compensation
25but shall be reimbursed for expenses incurred in the
26performance of his or her duties.

 

 

SB0611- 201 -LRB102 15356 RJF 20716 b

1    (c) The purpose of the Institute shall be to foster the
2growth and development of entrepreneurship education in the
3State of Illinois. The Institute shall help remedy the
4deficiencies in the preparation of entrepreneurship education
5teachers, increase the quality and quantity of
6entrepreneurship education programs, improve instructional
7materials, and prepare personnel to serve as leaders and
8consultants in the field of entrepreneurship education and
9economic development. The Institute shall promote
10entrepreneurship as a career option, promote and support the
11development of innovative entrepreneurship education materials
12and delivery systems, promote business, industry, and
13education partnerships, promote collaboration and involvement
14in entrepreneurship education programs, encourage and support
15in-service and preservice teacher education programs within
16various educational systems, and develop and distribute
17relevant materials. The Institute shall provide a framework
18under which the public and private sectors may work together
19toward entrepreneurship education goals. These goals shall be
20achieved by bringing together programs that have an impact on
21entrepreneurship education to achieve coordination among
22agencies and greater efficiency in the expenditure of funds.
23    (d) Beginning July 1, 1997, the Institute shall have the
24following powers subject to State and Illinois State
25University Board of Trustees regulations and guidelines:
26        (1) To employ and determine the compensation of an

 

 

SB0611- 202 -LRB102 15356 RJF 20716 b

1    executive director and such staff as it deems necessary;
2        (2) To own property and expend and receive funds and
3    generate funds;
4        (3) To enter into agreements with public and private
5    entities in the furtherance of its purpose; and
6        (4) To request and receive the cooperation and
7    assistance of all State departments and agencies in the
8    furtherance of its purpose.
9    (e) The board of the Institute shall be a policy making
10body with the responsibility for planning and developing
11Institute programs. The Institute, through the Board of
12Trustees of Illinois State University, shall annually report
13to the Governor and General Assembly by January 31 as to its
14activities and operations, including its findings and
15recommendations.
16    (f) Beginning on July 1, 1997, the Institute created under
17this Section shall be deemed designated by law as the
18successor to the Illinois Institute for Entrepreneurship
19Education, previously created and existing under Section
202-11.5 of the Public Community College Act until its abolition
21on July 1, 1997 as provided in that Section. On July 1, 1997,
22all financial and other records of the Institute so abolished
23and all of its property, whether real or personal, including
24but not limited to all inventory and equipment, shall be
25deemed transferred by operation of law to the Illinois
26Institute for Entrepreneurship Education created under this

 

 

SB0611- 203 -LRB102 15356 RJF 20716 b

1Section 20-115. The Illinois Institute for Entrepreneurship
2Education created under this Section 20-115 shall have, with
3respect to the predecessor Institute so abolished, all
4authority, powers, and duties of a successor agency under
5Section 10-15 of the Successor Agency Act.
6(Source: P.A. 100-391, eff. 8-25-17.)
 
7    Section 175. The Public Utilities Act is amended by
8changing Section 9-220 as follows:
 
9    (220 ILCS 5/9-220)  (from Ch. 111 2/3, par. 9-220)
10    Sec. 9-220. Rate changes based on changes in fuel costs.
11    (a) Notwithstanding the provisions of Section 9-201, the
12Commission may authorize the increase or decrease of rates and
13charges based upon changes in the cost of fuel used in the
14generation or production of electric power, changes in the
15cost of purchased power, or changes in the cost of purchased
16gas through the application of fuel adjustment clauses or
17purchased gas adjustment clauses. The Commission may also
18authorize the increase or decrease of rates and charges based
19upon expenditures or revenues resulting from the purchase or
20sale of emission allowances created under the federal Clean
21Air Act Amendments of 1990, through such fuel adjustment
22clauses, as a cost of fuel. For the purposes of this paragraph,
23cost of fuel used in the generation or production of electric
24power shall include the amount of any fees paid by the utility

 

 

SB0611- 204 -LRB102 15356 RJF 20716 b

1for the implementation and operation of a process for the
2desulfurization of the flue gas when burning high sulfur coal
3at any location within the State of Illinois irrespective of
4the attainment status designation of such location; but shall
5not include transportation costs of coal (i) except to the
6extent that for contracts entered into on and after the
7effective date of this amendatory Act of 1997, the cost of the
8coal, including transportation costs, constitutes the lowest
9cost for adequate and reliable fuel supply reasonably
10available to the public utility in comparison to the cost,
11including transportation costs, of other adequate and reliable
12sources of fuel supply reasonably available to the public
13utility, or (ii) except as otherwise provided in the next 3
14sentences of this paragraph. Such costs of fuel shall, when
15requested by a utility or at the conclusion of the utility's
16next general electric rate proceeding, whichever shall first
17occur, include transportation costs of coal purchased under
18existing coal purchase contracts. For purposes of this
19paragraph "existing coal purchase contracts" means contracts
20for the purchase of coal in effect on the effective date of
21this amendatory Act of 1991, as such contracts may thereafter
22be amended, but only to the extent that any such amendment does
23not increase the aggregate quantity of coal to be purchased
24under such contract. Nothing herein shall authorize an
25electric utility to recover through its fuel adjustment clause
26any amounts of transportation costs of coal that were included

 

 

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1in the revenue requirement used to set base rates in its most
2recent general rate proceeding. Cost shall be based upon
3uniformly applied accounting principles. Annually, the
4Commission shall initiate public hearings to determine whether
5the clauses reflect actual costs of fuel, gas, power, or coal
6transportation purchased to determine whether such purchases
7were prudent, and to reconcile any amounts collected with the
8actual costs of fuel, power, gas, or coal transportation
9prudently purchased. In each such proceeding, the burden of
10proof shall be upon the utility to establish the prudence of
11its cost of fuel, power, gas, or coal transportation purchases
12and costs. The Commission shall issue its final order in each
13such annual proceeding for an electric utility by December 31
14of the year immediately following the year to which the
15proceeding pertains, provided, that the Commission shall issue
16its final order with respect to such annual proceeding for the
17years 1996 and earlier by December 31, 1998.
18    (b) A public utility providing electric service, other
19than a public utility described in subsections (e) or (f) of
20this Section, may at any time during the mandatory transition
21period file with the Commission proposed tariff sheets that
22eliminate the public utility's fuel adjustment clause and
23adjust the public utility's base rate tariffs by the amount
24necessary for the base fuel component of the base rates to
25recover the public utility's average fuel and power supply
26costs per kilowatt-hour for the 2 most recent years for which

 

 

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1the Commission has issued final orders in annual proceedings
2pursuant to subsection (a), where the average fuel and power
3supply costs per kilowatt-hour shall be calculated as the sum
4of the public utility's prudent and allowable fuel and power
5supply costs as found by the Commission in the 2 proceedings
6divided by the public utility's actual jurisdictional
7kilowatt-hour sales for those 2 years. Notwithstanding any
8contrary or inconsistent provisions in Section 9-201 of this
9Act, in subsection (a) of this Section or in any rules or
10regulations promulgated by the Commission pursuant to
11subsection (g) of this Section, the Commission shall review
12and shall by order approve, or approve as modified, the
13proposed tariff sheets within 60 days after the date of the
14public utility's filing. The Commission may modify the public
15utility's proposed tariff sheets only to the extent the
16Commission finds necessary to achieve conformance to the
17requirements of this subsection (b). During the 5 years
18following the date of the Commission's order, but in any event
19no earlier than January 1, 2007, a public utility whose fuel
20adjustment clause has been eliminated pursuant to this
21subsection shall not file proposed tariff sheets seeking, or
22otherwise petition the Commission for, reinstatement of a fuel
23adjustment clause.
24    (c) Notwithstanding any contrary or inconsistent
25provisions in Section 9-201 of this Act, in subsection (a) of
26this Section or in any rules or regulations promulgated by the

 

 

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1Commission pursuant to subsection (g) of this Section, a
2public utility providing electric service, other than a public
3utility described in subsection (e) or (f) of this Section,
4may at any time during the mandatory transition period file
5with the Commission proposed tariff sheets that establish the
6rate per kilowatt-hour to be applied pursuant to the public
7utility's fuel adjustment clause at the average value for such
8rate during the preceding 24 months, provided that such
9average rate results in a credit to customers' bills, without
10making any revisions to the public utility's base rate
11tariffs. The proposed tariff sheets shall establish the fuel
12adjustment rate for a specific time period of at least 3 years
13but not more than 5 years, provided that the terms and
14conditions for any reinstatement earlier than 5 years shall be
15set forth in the proposed tariff sheets and subject to
16modification or approval by the Commission. The Commission
17shall review and shall by order approve the proposed tariff
18sheets if it finds that the requirements of this subsection
19are met. The Commission shall not conduct the annual hearings
20specified in the last 3 sentences of subsection (a) of this
21Section for the utility for the period that the factor
22established pursuant to this subsection is in effect.
23    (d) A public utility providing electric service, or a
24public utility providing gas service may file with the
25Commission proposed tariff sheets that eliminate the public
26utility's fuel or purchased gas adjustment clause and adjust

 

 

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1the public utility's base rate tariffs to provide for recovery
2of power supply costs or gas supply costs that would have been
3recovered through such clause; provided, that the provisions
4of this subsection (d) shall not be available to a public
5utility described in subsections (e) or (f) of this Section to
6eliminate its fuel adjustment clause. Notwithstanding any
7contrary or inconsistent provisions in Section 9-201 of this
8Act, in subsection (a) of this Section, or in any rules or
9regulations promulgated by the Commission pursuant to
10subsection (g) of this Section, the Commission shall review
11and shall by order approve, or approve as modified in the
12Commission's order, the proposed tariff sheets within 240 days
13after the date of the public utility's filing. The
14Commission's order shall approve rates and charges that the
15Commission, based on information in the public utility's
16filing or on the record if a hearing is held by the Commission,
17finds will recover the reasonable, prudent and necessary
18jurisdictional power supply costs or gas supply costs incurred
19or to be incurred by the public utility during a 12 month
20period found by the Commission to be appropriate for these
21purposes, provided, that such period shall be either (i) a 12
22month historical period occurring during the 15 months ending
23on the date of the public utility's filing, or (ii) a 12 month
24future period ending no later than 15 months following the
25date of the public utility's filing. The public utility shall
26include with its tariff filing information showing both (1)

 

 

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1its actual jurisdictional power supply costs or gas supply
2costs for a 12 month historical period conforming to (i) above
3and (2) its projected jurisdictional power supply costs or gas
4supply costs for a future 12 month period conforming to (ii)
5above. If the Commission's order requires modifications in the
6tariff sheets filed by the public utility, the public utility
7shall have 7 days following the date of the order to notify the
8Commission whether the public utility will implement the
9modified tariffs or elect to continue its fuel or purchased
10gas adjustment clause in force as though no order had been
11entered. The Commission's order shall provide for any
12reconciliation of power supply costs or gas supply costs, as
13the case may be, and associated revenues through the date that
14the public utility's fuel or purchased gas adjustment clause
15is eliminated. During the 5 years following the date of the
16Commission's order, a public utility whose fuel or purchased
17gas adjustment clause has been eliminated pursuant to this
18subsection shall not file proposed tariff sheets seeking, or
19otherwise petition the Commission for, reinstatement or
20adoption of a fuel or purchased gas adjustment clause. Nothing
21in this subsection (d) shall be construed as limiting the
22Commission's authority to eliminate a public utility's fuel
23adjustment clause or purchased gas adjustment clause in
24accordance with any other applicable provisions of this Act.
25    (e) Notwithstanding any contrary or inconsistent
26provisions in Section 9-201 of this Act, in subsection (a) of

 

 

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1this Section, or in any rules promulgated by the Commission
2pursuant to subsection (g) of this Section, a public utility
3providing electric service to more than 1,000,000 customers in
4this State may, within the first 6 months after the effective
5date of this amendatory Act of 1997, file with the Commission
6proposed tariff sheets that eliminate, effective January 1,
71997, the public utility's fuel adjustment clause without
8adjusting its base rates, and such tariff sheets shall be
9effective upon filing. To the extent the application of the
10fuel adjustment clause had resulted in net charges to
11customers after January 1, 1997, the utility shall also file a
12tariff sheet that provides for a refund stated on a per
13kilowatt-hour basis of such charges over a period not to
14exceed 6 months; provided however, that such refund shall not
15include the proportional amounts of taxes paid under the Use
16Tax Act, Service Use Tax Act, Service Occupation Tax Act, and
17Retailers' Occupation Tax Act on fuel used in generation. The
18Commission shall issue an order within 45 days after the date
19of the public utility's filing approving or approving as
20modified such tariff sheet. If the fuel adjustment clause is
21eliminated pursuant to this subsection, the Commission shall
22not conduct the annual hearings specified in the last 3
23sentences of subsection (a) of this Section for the utility
24for any period after December 31, 1996 and prior to any
25reinstatement of such clause. A public utility whose fuel
26adjustment clause has been eliminated pursuant to this

 

 

SB0611- 211 -LRB102 15356 RJF 20716 b

1subsection shall not file a proposed tariff sheet seeking, or
2otherwise petition the Commission for, reinstatement of the
3fuel adjustment clause prior to January 1, 2007.
4    (f) Notwithstanding any contrary or inconsistent
5provisions in Section 9-201 of this Act, in subsection (a) of
6this Section, or in any rules or regulations promulgated by
7the Commission pursuant to subsection (g) of this Section, a
8public utility providing electric service to more than 500,000
9customers but fewer than 1,000,000 customers in this State
10may, within the first 6 months after the effective date of this
11amendatory Act of 1997, file with the Commission proposed
12tariff sheets that eliminate, effective January 1, 1997, the
13public utility's fuel adjustment clause and adjust its base
14rates by the amount necessary for the base fuel component of
15the base rates to recover 91% of the public utility's average
16fuel and power supply costs for the 2 most recent years for
17which the Commission, as of January 1, 1997, has issued final
18orders in annual proceedings pursuant to subsection (a), where
19the average fuel and power supply costs per kilowatt-hour
20shall be calculated as the sum of the public utility's prudent
21and allowable fuel and power supply costs as found by the
22Commission in the 2 proceedings divided by the public
23utility's actual jurisdictional kilowatt-hour sales for those
242 years, provided, that such tariff sheets shall be effective
25upon filing. To the extent the application of the fuel
26adjustment clause had resulted in net charges to customers

 

 

SB0611- 212 -LRB102 15356 RJF 20716 b

1after January 1, 1997, the utility shall also file a tariff
2sheet that provides for a refund stated on a per kilowatt-hour
3basis of such charges over a period not to exceed 6 months.
4Provided however, that such refund shall not include the
5proportional amounts of taxes paid under the Use Tax Act,
6Service Use Tax Act, Service Occupation Tax Act, and
7Retailers' Occupation Tax Act on fuel used in generation. The
8Commission shall issue an order within 45 days after the date
9of the public utility's filing approving or approving as
10modified such tariff sheet. If the fuel adjustment clause is
11eliminated pursuant to this subsection, the Commission shall
12not conduct the annual hearings specified in the last 3
13sentences of subsection (a) of this Section for the utility
14for any period after December 31, 1996 and prior to any
15reinstatement of such clause. A public utility whose fuel
16adjustment clause has been eliminated pursuant to this
17subsection shall not file a proposed tariff sheet seeking, or
18otherwise petition the Commission for, reinstatement of the
19fuel adjustment clause prior to January 1, 2007.
20    (g) The Commission shall have authority to promulgate
21rules and regulations to carry out the provisions of this
22Section.
23    (h) Any Illinois gas utility may enter into a contract on
24or before September 30, 2011 for up to 10 years of supply with
25any company for the purchase of substitute natural gas (SNG)
26produced from coal through the gasification process if the

 

 

SB0611- 213 -LRB102 15356 RJF 20716 b

1company has commenced construction of a clean coal SNG
2facility by July 1, 2012 and commencement of construction
3shall mean that material physical site work has occurred, such
4as site clearing and excavation, water runoff prevention,
5water retention reservoir preparation, or foundation
6development. The contract shall contain the following
7provisions: (i) at least 90% of feedstock to be used in the
8gasification process shall be coal with a high volatile
9bituminous rank and greater than 1.7 pounds of sulfur per
10million Btu content; (ii) at the time the contract term
11commences, the price per million Btu may not exceed $7.95 in
122008 dollars, adjusted annually based on the change in the
13Annual Consumer Price Index for All Urban Consumers for the
14Midwest Region as published in April by the United States
15Department of Labor, Bureau of Labor Statistics (or a suitable
16Consumer Price Index calculation if this Consumer Price Index
17is not available) for the previous calendar year; provided
18that the price per million Btu shall not exceed $9.95 at any
19time during the contract; (iii) the utility's supply contract
20for the purchase of SNG does not exceed 15% of the annual
21system supply requirements of the utility as of 2008; and (iv)
22the contract costs pursuant to subsection (h-10) of this
23Section shall not include any lobbying expenses, charitable
24contributions, advertising, organizational memberships,
25carbon dioxide pipeline or sequestration expenses, or
26marketing expenses.

 

 

SB0611- 214 -LRB102 15356 RJF 20716 b

1    Any gas utility that is providing service to more than
2150,000 customers on August 2, 2011 (the effective date of
3Public Act 97-239) shall either elect to enter into a contract
4on or before September 30, 2011 for 10 years of SNG supply with
5the owner of a clean coal SNG facility or to file biennial rate
6proceedings before the Commission in the years 2012, 2014, and
72016, with such filings made after August 2, 2011 and no later
8than September 30 of the years 2012, 2014, and 2016 consistent
9with all requirements of 83 Ill. Adm. Code 255 and 285 as
10though the gas utility were filing for an increase in its
11rates, without regard to whether such filing would produce an
12increase, a decrease, or no change in the gas utility's rates,
13and the Commission shall review the gas utility's filing and
14shall issue its order in accordance with the provisions of
15Section 9-201 of this Act.
16    Within 7 days after August 2, 2011, the owner of the clean
17coal SNG facility shall submit to the Illinois Power Agency
18and each gas utility that is providing service to more than
19150,000 customers on August 2, 2011 a copy of a draft contract.
20Within 30 days after the receipt of the draft contract, each
21such gas utility shall provide the Illinois Power Agency and
22the owner of the clean coal SNG facility with its comments and
23recommended revisions to the draft contract. Within 7 days
24after the receipt of the gas utility's comments and
25recommended revisions, the owner of the facility shall submit
26its responsive comments and a further revised draft of the

 

 

SB0611- 215 -LRB102 15356 RJF 20716 b

1contract to the Illinois Power Agency. The Illinois Power
2Agency shall review the draft contract and comments.
3    During its review of the draft contract, the Illinois
4Power Agency shall:
5        (1) review and confirm in writing that the terms
6    stated in this subsection (h) are incorporated in the SNG
7    contract;
8        (2) review the SNG pricing formula included in the
9    contract and approve that formula if the Illinois Power
10    Agency determines that the formula, at the time the
11    contract term commences: (A) starts with a price of $6.50
12    per MMBtu adjusted by the adjusted final capitalized plant
13    cost; (B) takes into account budgeted miscellaneous net
14    revenue after cost allowance, including sale of SNG
15    produced by the clean coal SNG facility above the
16    nameplate capacity of the facility and other by-products
17    produced by the facility, as approved by the Illinois
18    Power Agency; (C) does not include carbon dioxide
19    transportation or sequestration expenses; and (D) includes
20    all provisions required under this subsection (h); if the
21    Illinois Power Agency does not approve of the SNG pricing
22    formula, then the Illinois Power Agency shall modify the
23    formula to ensure that it meets the requirements of this
24    subsection (h);
25        (3) review and approve the amount of budgeted
26    miscellaneous net revenue after cost allowance, including

 

 

SB0611- 216 -LRB102 15356 RJF 20716 b

1