Illinois General Assembly - Full Text of HB1878
Illinois General Assembly

  Bills & Resolutions  
  Compiled Statutes  
  Public Acts  
  Legislative Reports  
  IL Constitution  
  Legislative Guide  
  Legislative Glossary  

 Search By Number
 (example: HB0001)
Search Tips

Search By Keyword

Full Text of HB1878  102nd General Assembly

HB1878 102ND GENERAL ASSEMBLY

  
  

 


 
102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB1878

 

Introduced 2/17/2021, by Rep. Ryan Spain

 

SYNOPSIS AS INTRODUCED:
 
See Index

    Creates the Innovations for Transportation Infrastructure Act. Contains a statement of legislative policy. Defines terms. Adds provisions governing: authorization of project delivery methods; preconditions to commencement of procurement; procurement; evaluation and selection of proposals; project records; confidentiality; public disclosure; design-build contracts; construction manager/general contractor contracts; funding and financing; minority, disadvantaged, and women-owned businesses; acquisition of property; federal requirements; powers of the Department of Transportation and the Illinois State Toll Highway Authority; and rulemaking. Makes corresponding changes in the Department of Transportation Law of the Civil Administrative Code of Illinois; Illinois Finance Authority Act; the Illinois Procurement Code; the Public Construction Bond Act; the Employment of Illinois Workers on Public Works Act; the Business Enterprise for Minorities, Women, and Persons with Disabilities Act; the Toll Highway Act; the Eminent Domain Act; and the Prevailing Wage Act. Provides that the provisions of the Act are severable. Effective immediately.


LRB102 15346 RAM 20705 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB1878LRB102 15346 RAM 20705 b

1    AN ACT concerning transportation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the
5Innovations for Transportation Infrastructure Act.
 
6    Section 5. Legislative policy.
7    (a) It is the public policy of the State of Illinois to
8promote the development of infrastructure projects that serve
9the needs of the public.
10    (b) The design-build project delivery method and
11Construction Manager/General Contractor project delivery
12method and use of Alternative Technical Concepts have the
13potential to capture private sector innovation and safely
14deliver infrastructure projects on more predictable schedules
15and budgets. Earlier completion and lower cost for projects
16are possible with the ability to shift or share risks with the
17private sector that are generally retained by the public in
18the conventional design-bid-build project delivery method.
19    (c) It is the intent of the General Assembly that the
20Department of Transportation and the Illinois State Toll
21Highway Authority may evaluate and use Alternative Technical
22Concepts proposed by bidders and proposers and to use the
23design-build project delivery method and Construction

 

 

HB1878- 2 -LRB102 15346 RAM 20705 b

1Manager/General Contractor project delivery method.
2    (d) It is the intent of this Act to use design
3professionals, construction companies, and workers from this
4State to the greatest extent possible.
5    (e) The powers granted in this Act are in addition to any
6other powers authorized under applicable law.
 
7    Section 10. Definitions. As used in this Act:
8    "Alternative Technical Concepts" means a proposed
9deviation from the contract technical requirements set forth
10in the procurement documents for a transportation facility
11that offers a solution that is equal to or better than the
12requirements in the procurement documents.
13    "Authority" means the Illinois State Toll Highway
14Authority.
15    "Best value" means any selection process in which
16proposals contain both price and qualitative components and
17award is based upon a combination of price, qualitative
18concepts, and other factors.
19    "Chief procurement officer" means the chief procurement
20officer for the Transportation Agency.
21    "Construction Manager/General Contractor" means a proposer
22that has entered into a Construction Manager/General
23Contractor contract under this Act.
24    "Construction Manager/General Contractor contract" means a
25two-phase contract between the Transportation Agency and a

 

 

HB1878- 3 -LRB102 15346 RAM 20705 b

1Construction Manager/General Contractor that includes a first
2phase addressing preconstruction services and a second phase
3addressing the construction of the transportation facility.
4    "Construction Manager/General Contractor project delivery
5method" means a method of procurement and contracting that
6makes a Construction Manager/General Contractor who enters
7into a contract with the Transportation Agency responsible for
8certain preconstruction services and then, if the parties
9reach agreement on key terms, responsible for construction of
10the transportation facility.
11    "Department" means the Illinois Department of
12Transportation.
13    "Design-bid-build project delivery method" means the
14traditional method of procuring and contracting for design
15services and construction services used separately in this
16State that incorporates the Architectural, Engineering, and
17Land Surveying Qualifications Based Selection Act and the
18principles of competitive bidding under the Illinois
19Procurement Code.
20    "Design-build contract" means a contract between the
21Transportation Agency and a design-builder under which the
22design-builder agrees to furnish architectural, surveying,
23engineering, construction, and related services for a
24transportation facility.
25    "Design-build project delivery method" means a method of
26procurement and contracting that provides responsibility

 

 

HB1878- 4 -LRB102 15346 RAM 20705 b

1within a single contract between the Transportation Agency and
2a design-builder for the furnishing of architectural,
3surveying, engineering, construction, and related services for
4a transportation facility.
5    "Design-builder" means a proposer that has entered into a
6design-build contract with the Transportation Agency under
7this Act.
8    "Evaluation Committee" means the committee assembled to
9evaluate and score statements of qualifications and proposals.
10    "Evaluation criteria" means the standards and requirements
11established by the Transportation Agency against which the
12qualifications and proposals of a proposer will be assessed
13during the procurement of a design-build contract or
14Construction Manager/General Contractor contract, as
15applicable.
16    "Executive Director" means the Executive Director of the
17Illinois State Toll Highway Authority.
18    "Metropolitan planning organization" means a metropolitan
19planning organization under 23 U.S.C. 134 whose metropolitan
20planning area boundaries are partially or completely within
21this State.
22    "Preconstruction services" means all
23non-construction-related services that a Construction
24Manager/General Contractor is required to perform during the
25first phase of a Construction Manager/General Contractor
26contract, and may include, but is not limited to, giving

 

 

HB1878- 5 -LRB102 15346 RAM 20705 b

1advice to the Transportation Agency regarding scheduling, work
2sequencing, cost engineering, constructability, cost
3estimating, and risk identification.
4    "Proposal" means a proposer's response to a request for
5proposals.
6    "Proposer" means any individual, sole proprietorship,
7firm, partnership, joint venture, corporation, professional
8corporation, or other entity legally established to conduct
9business in this State that proposes to be the design-builder
10or Construction Manager/General Contractor for any
11transportation facility under this Act.
12    "Qualifications" means a statement of qualifications
13submitted by a proposer in response to a request for
14qualifications.
15    "Request for proposals" means the document issued by the
16Transportation Agency to solicit proposals and describe the
17procurement process for a design-build contract or
18Construction Manager/General Contractor contract in accordance
19with the design-build project delivery method or the
20Construction Manager/General Contractor project delivery
21method, as applicable.
22    "Request for qualifications" means the document issued by
23the Transportation Agency in the first phase of a two-phase
24procurement to solicit qualifications from proposers in
25accordance with the design-build project delivery method or
26the Construction Manager/General Contractor project delivery

 

 

HB1878- 6 -LRB102 15346 RAM 20705 b

1method, as applicable.
2    "Scope and performance requirements" means the activities,
3constructed elements, and standards of performance the
4Transportation Agency requires the design-builder or the
5Construction Manager/General Contractor to comply with in the
6development of the transportation facility, and may include,
7but is not limited to, the intended usage, capacity, size,
8scope, quality and performance standards, life-cycle costs,
9preliminary engineering, design, and other requirements as
10developed and determined by the Transportation Agency.
11    "Secretary" means the Secretary of the Illinois Department
12of Transportation.
13    "Transportation Agency" means the Illinois Department of
14Transportation or the Illinois State Toll Highway Authority.
15    "Transportation facility" means any new or existing
16facility or group of facilities that are the subject of a
17design-build contract or a Construction Manager/General
18Contractor contract, and includes highways, roads, bridges,
19tunnels, overpasses, bus ways, guideways, ferries, airports or
20other aviation facilities, public transportation facilities,
21vehicle parking facilities, port facilities, rail facilities,
22stations, hubs, terminals, intermodal facilities, transit
23facilities, or similar facilities used for the transportation
24of persons or goods, together with any buildings, structures,
25parking areas, appurtenances, intelligent transportation
26systems, and other property or facilities related to the

 

 

HB1878- 7 -LRB102 15346 RAM 20705 b

1operation or maintenance of these facilities.
 
2    Section 15. Authorization of project delivery methods.
3    (a) Notwithstanding any other law, and as authority
4supplemental to its existing powers, the Transportation
5Agency, in accordance with this Act, may use the design-build
6project delivery method for transportation facilities if the
7capital costs for transportation facilities delivered using
8the design-build project delivery method or Construction
9Manager/General Contractor project delivery method or
10Alternative Technical Concepts in a design-bid-build project
11delivery method do not: (i) for transportation facilities
12delivered by the Department, exceed 20% of the Department's
13multi-year highway improvement program for any 5-year period
14with no one year period exceeding 30%; or (ii) for
15transportation facilities delivered by the Authority, exceed
1620% of the Authority's annual improvement program. The
17Transportation Agency shall make this calculation before
18commencing the procurement. Notwithstanding any other law, and
19as authority supplemental to its existing powers, the
20Department, in accordance with this Act, may use the
21Construction Manager/General Contractor project delivery
22method for up to 2 transportation facilities. Before
23commencing a procurement under this Act for either a
24design-build contract or a Construction Manager/General
25Contractor contract, the Transportation Agency shall first

 

 

HB1878- 8 -LRB102 15346 RAM 20705 b

1undertake an analysis and make a written determination that it
2is in the best interests of this State to use the selected
3delivery method for that transportation facility. The analysis
4and determination shall discuss the design-build project
5delivery method or Construction Manager/General Contractor
6project delivery method's impact on the anticipated schedule,
7completion date, and project costs. The best interests of the
8State analysis shall be made available to the public.
9    (b) The Transportation Agency shall report to the General
10Assembly annually for the first 5 years after the effective
11date of this Act on the progress of procurements and
12transportation facilities procured under this Act.
13    (c) The Architectural, Engineering, and Land Surveying
14Qualifications Based Selection Act does not apply to
15procurements under this Act.
 
16    Section 20. Preconditions to commencement of procurement.
17    If the Transportation Agency determines to use the
18design-build project delivery method or the Construction
19Manager/General Contractor project delivery method for a
20particular transportation facility, the Transportation Agency
21may not commence a procurement for the transportation facility
22until the Transportation Agency has satisfied the following
23requirements:
24    (1) the Transportation Agency does one of the following:
25        (A) the Transportation Agency includes the

 

 

HB1878- 9 -LRB102 15346 RAM 20705 b

1    transportation facility in the Transportation Agency's
2    respective multi-year highway improvement program and
3    designates it as a design-build project delivery method
4    project or Construction Manager/General Contractor
5    project;
6        (B) the Transportation Agency issues a notice of
7    intent to receive qualifications, that includes a
8    description of the proposed procurement and transportation
9    facility, at least 14 days before the issuance of the
10    request for qualifications, and for a Department-issued
11    notice of intent publishes the notice in the Illinois
12    Transportation Procurement Bulletin and for an
13    Authority-issued notice of intent publishes the notice in
14    the Illinois Procurement Bulletin; or
15        (C) for a single-phase procurement authorized under
16    subsection (a) of Section 25 of this Act, the
17    Transportation Agency issues a notice of intent to receive
18    proposals, that includes a description of the proposed
19    procurement and transportation facility, at least 14 days
20    before the issuance of the request for proposals, and for
21    a Department-issued notice of intent publishes the notice
22    in the Illinois Transportation Procurement Bulletin and
23    for an Authority-issued notice of intent publishes the
24    notice in the Illinois Procurement Bulletin; and
25    (2) the Transportation Agency uses its best efforts to
26ensure that the transportation facility is consistent with the

 

 

HB1878- 10 -LRB102 15346 RAM 20705 b

1regional plan in existence at the time of any metropolitan
2planning organization in which the boundaries of the
3transportation facility is located, or any other
4publicly-approved plan.
 
5    Section 25. Procurement process.
6    (a) The Transportation Agency may solicit a proposer with
7which to enter into a design-build contract or Construction
8Manager/General Contractor contract, as applicable, by using,
9without limitation, one or more requests for qualifications, a
10shortlisting of the most highly qualified proposers, requests
11for proposals, and negotiations. The Transportation Agency
12shall use a two-phase procurement for a design-build contract
13to select the successful proposer, except that the
14Transportation Agency may use a single-phase procurement if
15the transportation facility is estimated to cost less than
16$5,000,000 or the Secretary or the Executive Director makes a
17written determination that the Transportation Agency may use a
18single-phase procurement for a particular transportation
19facility. In a two-phase procurement, the Transportation
20Agency shall use the first phase to evaluate and shortlist the
21most highly qualified proposers based on a proposer's
22qualifications, and then use the second phase to evaluate and
23select a proposer based on proposals submitted by the
24shortlisted proposers. During the first phase of a two-phase
25procurement, the Transportation Agency shall not consider

 

 

HB1878- 11 -LRB102 15346 RAM 20705 b

1price proposals to make its shortlist decision. In a
2single-phase procurement, the Transportation Agency shall
3solicit proposers with a request for proposals, and shall
4evaluate and select a proposer based on those proposals.
5    (b) The request for qualifications may contain any terms
6deemed appropriate by the Transportation Agency including,
7without limitation, the following:
8        (1) a description of the anticipated scope of work for
9    the transportation facility;
10        (2) a requirement that the proposer identify certain
11    key personnel, and for design-build contracts certain key
12    firms, the experience of the personnel and firms, and the
13    conditions on which identified personnel and firms can be
14    replaced;
15        (3) the evaluation criteria for the qualifications and
16    the relative importance of those criteria; these
17    evaluation criteria may address, without limitation, the
18    proposer's technical and financial qualifications, such as
19    specialized experience, technical competence, capability
20    to perform, financial capacity, the proposer's workload,
21    local office presence, past performance including the
22    proposer's safety record, and any other
23    qualifications-based factors;
24        (4) the Transportation Agency's prequalification,
25    licensing, and registration requirements, including any
26    requirements from the Professional Engineering Practice

 

 

HB1878- 12 -LRB102 15346 RAM 20705 b

1    Act of 1989, the Illinois Architecture Practice Act of
2    1989, the Structural Engineering Practice Act of 1989, and
3    the Illinois Professional Land Surveyor Act of 1989,
4    except that nothing contained herein precludes the
5    Transportation Agency's use of additional prequalification
6    criteria or pass-fail evaluation factors addressing
7    minimum levels of technical experience or financial
8    capabilities;
9        (5) the maximum number of proposers the Transportation
10    Agency will shortlist to submit proposals; and
11        (6) any other relevant information the Transportation
12    Agency deems appropriate.
13    (c) Upon completion of the qualifications evaluation, the
14Transportation Agency shall, based on the evaluation criteria
15set forth in the request for qualifications, create a
16shortlist of the most highly qualified proposers. The
17Transportation Agency shall shortlist no more than 5 and no
18fewer than 2 of the most highly qualified proposers.
19Notwithstanding other provisions of this subsection (c), the
20Transportation Agency may shortlist fewer than 2 proposers if
21the Secretary or the Executive Director makes a finding that
22an emergency justifies the limited shortlisting and fewer than
232 proposers meet any applicable prequalification or pass-fail
24requirements set forth in the request for qualifications.
25    (d) The request for proposals may contain any terms deemed
26appropriate by the Transportation Agency including, without

 

 

HB1878- 13 -LRB102 15346 RAM 20705 b

1limitation, the following:
2        (1) the form and amount of required bid security;
3        (2) the terms of the design-build contract or
4    Construction Manager/General Contractor contract,
5    including, but not limited to, scope and performance
6    requirements, schedule or completion date requirements,
7    subcontractor requirements, payment and performance
8    security requirements, and insurance requirements;
9        (3) the requirements for the technical component of
10    the proposal, including a description of the level of
11    design, scope and type of renderings, drawings, and
12    specifications to be provided in the proposals;
13        (4) the requirements for the price component of the
14    proposal, which for Construction Manager/General
15    Contractor contracts may include a requirement for the
16    proposer to submit a lump sum price for the direct costs to
17    perform the required preconstruction services and
18    percentage mark-up on those direct costs;
19        (5) the evaluation criteria for the proposals,
20    including technical criteria, innovation, and schedule,
21    and the relative importance of those criteria, as the
22    Transportation Agency deems appropriate;
23        (6) a process for the Transportation Agency to review
24    and accept Alternative Technical Concepts;
25        (7) requirements regarding the proposer's
26    qualifications; and

 

 

HB1878- 14 -LRB102 15346 RAM 20705 b

1        (8) any other relevant information the Transportation
2    Agency deems appropriate.
3    (e) Before the proposers' submittal of proposals, the
4Transportation Agency may conduct confidential meetings and
5exchange confidential information with proposers to promote
6understanding of the request for proposals, review Alternative
7Technical Concepts, or discuss other issues related to the
8procurement.
9    (f) The date proposals are due must be at least 28 calendar
10days after the date the Transportation Agency first issues the
11request for proposals.
12    (g) The Transportation Agency may offer to pay a stipend
13in an amount and on the terms and conditions determined by the
14Transportation Agency and as set forth in the request for
15proposals to: (1) all shortlisted proposers if the
16Transportation Agency cancels the procurement before the due
17date for proposals; or (2) each unsuccessful proposer that
18submits a responsive proposal. The Transportation Agency may
19pay a stipend only to those proposers who grant to the
20Transportation Agency the right to use any work product
21contained in the unsuccessful proposer's proposal and other
22proposal-related submissions or, if the Transportation Agency
23cancels the procurement before the due date for proposals, any
24work product developed before cancellation, including
25technologies, techniques, methods, processes, and information
26contained in the recipient's design for the transportation

 

 

HB1878- 15 -LRB102 15346 RAM 20705 b

1facility.
2    (h) The Transportation Agency shall, as appropriate
3depending on whether the transportation facility includes
4building facilities, directly employ or retain a professional
5engineer or engineers licensed in this State or a licensed
6architect or architects, or both engineers licensed in this
7State and licensed architects, to prepare the scope and assist
8in the evaluation of the proposals' technical submissions
9under a design-build project delivery method. The professional
10engineers and licensed architects performing these services
11are generally precluded from participating in the procurement
12of the transportation facility at issue as a member of a
13proposer team.
14    (i) The Transportation Agency has the right to reject any
15and all qualifications or proposals, including, but not
16limited to, the right to reject any qualifications or
17proposals as non-responsive, if, in the Transportation
18Agency's sole discretion, the qualifications or proposals do
19not meet all material requirements of the request for
20qualifications or request for proposals, as appropriate. The
21Transportation Agency shall not consider a proposal that does
22not include:
23        (1) the proposer's plan to comply with requirements
24    established by the Transportation Agency regarding
25    utilization of business enterprises, including
26    disadvantaged business enterprises; or

 

 

HB1878- 16 -LRB102 15346 RAM 20705 b

1        (2) bid security in the form and amount designated in
2    the request for proposals.
3    (j) The Transportation Agency shall consult with the
4appropriate chief procurement officer on the design-build
5project delivery method and the Construction Manager/General
6Contractor project delivery method procurement processes, and
7the Secretary or the Executive Director, in consultation with
8the chief procurement officer, shall determine which
9procedures to adopt and apply to the design-build project
10delivery method and Construction Manager/General Contractor
11project delivery method procurement processes in order to
12ensure an open, transparent, and efficient process that
13accomplishes the purposes of this Act.
 
14    Section 30. Evaluation committee.
15    (a) The Transportation Agency shall establish one or more
16evaluation committees to assist in selecting a design-builder
17and a Construction Manager/General Contractor. The
18Transportation Agency, in its sole discretion, shall determine
19the appropriate size and composition of the evaluation
20committee; however, at least half of the committee must be
21licensed design professionals.
22    (b) The Transportation Agency may establish an evaluation
23committee for a set term or for the procurement of a particular
24transportation facility.
25    (c) Once the Transportation Agency identifies the

 

 

HB1878- 17 -LRB102 15346 RAM 20705 b

1proposers for a transportation facility, each member of an
2evaluation committee must certify that no conflict of interest
3exists between the member and the proposers. If the
4Transportation Agency, after consultation with the chief
5procurement officer, determines that an actual conflict
6exists, the member shall not participate on the evaluation
7committee for that procurement and the Transportation Agency
8shall appoint a replacement member on either a permanent or a
9temporary basis.
 
10    Section 35. Procedures for selection. The Transportation
11Agency shall review, evaluate, score, and rank proposals and
12determine which proposal offers the best value to the public
13based on the evaluation criteria set forth in the request for
14proposals. The Transportation Agency shall award the contract
15based on this determination. Notwithstanding other provisions
16of this Section, if for any reason the proposer awarded the
17contract is unable or unwilling to execute the contract,
18including the failure of the proposer and the Transportation
19Agency to successfully complete negotiations, if any, of the
20contract, the Transportation Agency may award the contract to
21the proposer whose proposal the Transportation Agency
22determines offers the public the next best value.
 
23    Section 40. Project records; confidentiality; public
24disclosure.

 

 

HB1878- 18 -LRB102 15346 RAM 20705 b

1    (a) The Transportation Agency shall maintain all written
2decisions, qualification and proposal evaluations, scoring
3documents, selection evaluations, proposals, and procurement
4documents in a procurement file maintained by the
5Transportation Agency.
6    (b) A proposer may identify those portions of a proposal
7or other submission that the proposer considers to be trade
8secrets or confidential, commercial, financial, or proprietary
9information. Confidential and proprietary information,
10including trade secrets, shall be exempt from disclosure only
11if the proposer does the following:
12        (1) requests exclusion from disclosure upon submission
13    of the information or other materials for which protection
14    is sought;
15        (2) identifies the data or other materials for which
16    protection is sought;
17        (3) states the statutory or regulatory basis for the
18    protection;
19        (4) fully complies with the federal Freedom of
20    Information Act and any other applicable provisions of
21    State law, including, but not limited to, the Freedom of
22    Information Act, with respect to information the proposer
23    contends should be exempt from disclosure; and
24        (5) certifies if the information is in accordance with
25    the protection of the Illinois Trade Secrets Act.
26    (c) Notwithstanding any other provision of law, in order

 

 

HB1878- 19 -LRB102 15346 RAM 20705 b

1to properly balance the need to maximize competition under
2this Act with the need to create a transparent procurement
3process, the qualifications, proposals, and other information
4and documents submitted by proposers and the Transportation
5Agency's evaluation records shall not be subject to release or
6disclosure by the Transportation Agency until execution of the
7design-build contract or Construction Manager/General
8Contractor contract, as applicable. If the Transportation
9Agency terminates the procurement for a transportation
10facility, the exemption from release or disclosure under this
11Section shall remain in place until the Transportation Agency
12re-procures the transportation facility and has entered into a
13design-build contract or Construction Manager/General
14Contractor contract, as applicable. However, this exemption
15shall lapse if the Transportation Agency does not commence the
16re-procurement of the transportation facility within 5 years
17of the termination.
 
18    Section 45. Design-build contract. A design-build contract
19may include any provisions the Transportation Agency
20determines are necessary or appropriate, including, but not
21limited to, provisions regarding the following:
22        (1) compensation or payments to the design-builder;
23        (2) grounds for termination of the design-build
24    contract, including the Transportation Agency's right to
25    terminate for convenience;

 

 

HB1878- 20 -LRB102 15346 RAM 20705 b

1        (3) liability for damages and nonperformance;
2        (4) events of default and the rights and remedies
3    available to the design-builder and the Transportation
4    Agency in the event of a default or delay;
5        (5) the identification of any technical specifications
6    that the design-builder must comply with when developing
7    plans or performing construction work;
8        (6) the procedures for review and approval of the
9    design-builder's plans;
10        (7) required performance and payment security;
11        (8) the terms and conditions of indemnification and
12    minimum insurance requirements; and
13        (9) any other terms and conditions the Transportation
14    Agency deems necessary.
 
15    Section 50. Construction Manager/General Contractor
16contract.
17    (a) The Construction Manager/General Contractor contract
18shall divide the Construction Manager/General Contractor
19services into 2 phases. The first phase shall address
20preconstruction services and the procedures the parties shall
21follow to finalize the contract terms for the second phase.
22The second phase shall address the Construction
23Manager/General Contractor's construction of the
24transportation facility for a lump sum or a guaranteed maximum
25price.

 

 

HB1878- 21 -LRB102 15346 RAM 20705 b

1    (b) A Construction Manager/General Contractor contract
2shall include provisions regarding the following:
3        (1) the Construction Manager/General Contractor's
4    provision of preconstruction services during the first
5    phase of the contract, including the Construction
6    Manager/General Contractor's compensation for those
7    services;
8        (2) a requirement that, during the first phase of the
9    contract, the Construction Manager/General Contractor
10    shall use a competitive bidding process to procure
11    subcontracts for at least the minimum percentage of
12    construction work specified in the request for proposals,
13    provided that:
14            (A) compliance with this requirement shall be
15        based on an estimated cost for the construction work
16        approved by the Transportation Agency before the start
17        of the competitive bidding process; and
18            (B) the Construction Manager/General Contractor
19        may not use subcontracts with its wholly or partially
20        owned subsidiaries, parent companies, or affiliates to
21        satisfy this obligation;
22        (3) the process the Transportation Agency and the
23    Construction Manager/General Contractor shall use to
24    determine a lump sum or guaranteed maximum price for the
25    construction work, including a requirement that the
26    Transportation Agency conduct an independent cost estimate

 

 

HB1878- 22 -LRB102 15346 RAM 20705 b

1    for the construction work; and
2        (4) grounds for termination of the Construction
3    Manager/General Contractor contract, including the
4    Transportation Agency's right to terminate the contract
5    and not proceed with the construction phase of the project
6    if the Transportation Agency and the Construction
7    Manager/General Contractor are unable to negotiate a lump
8    sum or guaranteed maximum price for the construction work.
9    (c) In addition to the provisions under subsection (b) of
10this Section, a Construction Manager/General Contractor
11contract may include any other provisions the Transportation
12Agency determines are necessary or appropriate, including, but
13not limited to, provisions regarding the following:
14        (1) liability for damages and nonperformance;
15        (2) events of default and the rights and remedies
16    available to the Construction Manager/General Contractor
17    and the Transportation Agency in the event of a default or
18    delay;
19        (3) the identification of any technical specifications
20    that the Construction Manager/General Contractor must
21    comply with when aiding the Transportation Agency with
22    developing plans or performing construction work;
23        (4) required performance and payment security for the
24    construction phase of the contract;
25        (5) the terms and conditions of indemnification and
26    minimum insurance requirements; and

 

 

HB1878- 23 -LRB102 15346 RAM 20705 b

1        (6) any other terms and conditions the Transportation
2    Agency deems necessary.
3    (d) If the Construction Manager/General Contractor
4contract is terminated for any reason, the Transportation
5Agency, in its sole discretion, may readvertise the
6Construction Manager/General Contractor contract under this
7Act or use any other authorized procurement method to complete
8the transportation facility or any portion of the
9transportation facility. Once the contract is terminated, the
10Transportation Agency may use any work product developed by
11the Construction Manager/General Contractor to complete the
12transportation facility.
 
13    Section 55. Funding and financing.
14    (a) The Transportation Agency may use any lawful source of
15funding and financing to compensate a design-builder and
16Construction Manager/General Contractor for work and services
17performed under a design-build contract or Construction
18Manager/General Contractor contract, as applicable, and the
19Transportation Agency may combine federal, State, local, and
20private funds to finance a transportation facility.
21    (b) Subject to appropriation by the General Assembly of
22the required amounts, the Transportation Agency may obligate
23and make expenditures of funds as and when needed to satisfy
24its payment obligations under a design-build contract or
25Construction Manager/General Contractor contract.
 

 

 

HB1878- 24 -LRB102 15346 RAM 20705 b

1    Section 56. Utilization requirements. Design-builder and
2Construction Manager/General Contractor projects shall comply
3with Section 2-105 of the Illinois Human Rights Act and all
4applicable laws and rules that establish standards and
5procedures for the utilization of minority, disadvantaged, and
6women-owned businesses, including, but not limited to, the
7Business Enterprise for Minorities, Women, and Persons with
8Disabilities Act.
 
9    Section 60. Acquisition of property and related
10agreements. The Transportation Agency may exercise any and all
11powers of condemnation or eminent domain, including quick-take
12powers, to acquire lands or estates or interests in land for a
13transportation facility under this Act to the extent the
14Transportation Agency finds that the action serves the public
15purpose of this Act and deems the action appropriate in the
16exercise of its powers under this Act. In addition, the
17Transportation Agency and a design-builder or Construction
18Manager/General Contractor may enter into leases, licenses,
19easements, and other grants of property interests that the
20Transportation Agency determines are necessary to deliver a
21transportation facility under this Act.
 
22    Section 65. Federal requirements. In the procurement of
23design-build contracts and Construction Manager/General

 

 

HB1878- 25 -LRB102 15346 RAM 20705 b

1Contractor contracts, the Transportation Agency shall, to the
2extent applicable, comply with federal law and regulations and
3take all necessary steps to adapt its rules, policies, and
4procedures to remain eligible for federal aid.
 
5    Section 70. Powers. The powers granted to the
6Transportation Agency under this Act, including the power to
7procure and enter into design-build contracts and Construction
8Manager/General Contractor contracts, shall be liberally
9construed to accomplish its purpose, are in addition to any
10existing powers of the Transportation Agency, and shall not
11affect or impair any other powers authorized under applicable
12law.
 
13    Section 75. Rulemaking.
14    (a) The Illinois Administrative Procedure Act applies to
15all administrative rules and procedures of the Transportation
16Agency under this Act, except that nothing in this Act shall be
17construed to render any prequalification or other
18responsibility criteria as a "license" or "licensing" under
19that Act.
20    (b) The appropriate chief procurement officer, in
21consultation with the Transportation Agency, may adopt rules
22to carry out the provisions of this Act.
 
23    Section 905. The Department of Transportation Law of the

 

 

HB1878- 26 -LRB102 15346 RAM 20705 b

1Civil Administrative Code of Illinois is amended by adding
2Section 2705-233 as follows:
 
3    (20 ILCS 2705/2705-233 new)
4    Sec. 2705-233. Innovations for Transportation
5Infrastructure Act. The Department may exercise all powers
6granted to it under the Innovations for Transportation
7Infrastructure Act, including, but not limited to, the power
8to enter into all contracts or agreements necessary or
9incidental to the performance of its powers under that Act,
10and powers related to any transportation facility implemented
11under that Act.
 
12    Section 910. The Illinois Finance Authority Act is amended
13by adding Section 825-108 as follows:
 
14    (20 ILCS 3501/825-108 new)
15    Sec. 825-108. Transportation project financing. For the
16purpose of financing a transportation facility undertaken
17under the Innovations for Transportation Infrastructure Act,
18the Authority may apply for an allocation of tax-exempt bond
19financing authorization provided by subsection (m) of Section
20142 of the United States Internal Revenue Code, as well as
21financing available under any other federal law or program.
 
22    Section 915. The Illinois Procurement Code is amended by

 

 

HB1878- 27 -LRB102 15346 RAM 20705 b

1adding Section 1-10.5 as follows:
 
2    (30 ILCS 500/1-10.5 new)
3    Sec. 1-10.5. Alternative Technical Concepts.
4    (a) For the purposes of this Section, "Alternative
5Technical Concepts" and "design-bid-build project delivery
6method" have the meanings ascribed to those terms in the
7Innovations for Transportation Infrastructure Act.
8    (b) Notwithstanding subsection (b) of Section 1-10 of this
9Code, the Department of Transportation may allow bidders and
10proposers to submit Alternative Technical Concepts in their
11bids and proposals, if the Department determines that the
12Alternative Technical Concepts provide an equal or better
13solution than the underlying technical requirements applicable
14to the work. Notwithstanding the foregoing, for projects the
15Department delivers using the design-bid-build project
16delivery method, the Department shall use the Alternative
17Technical Concepts process for no more than 3 projects. If the
18Department allows bidders or proposers for a particular
19contract to submit Alternative Technical Concepts, the
20Department shall describe the process for submission and
21evaluation of Alternative Technical Concepts in the
22procurement documents for that contract, including the
23potential use of confidential meetings and the exchange of
24confidential information with bidders and proposers to review
25and discuss potential or proposed Alternative Technical

 

 

HB1878- 28 -LRB102 15346 RAM 20705 b

1Concepts.
 
2    Section 920. The Public Construction Bond Act is amended
3by adding Section 1.9 as follows:
 
4    (30 ILCS 550/1.9 new)
5    Sec. 1.9. Design-build contracts and Construction
6Manager/General Contractor contracts. This Act applies to any
7design-build contract or Construction Manager/General
8Contractor contract entered into under the Innovations for
9Transportation Infrastructure Act.
 
10    Section 925. The Employment of Illinois Workers on Public
11Works Act is amended by adding Section 2.8 as follows:
 
12    (30 ILCS 570/2.8 new)
13    Sec. 2.8. Design-build and Construction Manager/General
14Contractor contracts. This Act applies to any design-build
15contracts and Construction Manager/General Contractor
16contracts entered into under the Innovations for
17Transportation Infrastructure Act.
 
18    Section 930. The Business Enterprise for Minorities,
19Women, and Persons with Disabilities Act is amended by adding
20Section 2.8 as follows:
 

 

 

HB1878- 29 -LRB102 15346 RAM 20705 b

1    (30 ILCS 575/2.8 new)
2    Sec. 2.8. Design-build and Construction Manager/General
3Contractor contracts. This Act applies to any design-build
4contracts and Construction Manager/General Contractor
5contracts entered into under the Innovations for
6Transportation Infrastructure Act.
 
7    Section 935. The Toll Highway Act is amended by adding
8Section 11.2 as follows:
 
9    (605 ILCS 10/11.2 new)
10    Sec. 11.2. Innovations for Transportation Infrastructure
11Act. The Authority may exercise all powers granted to it under
12the Innovations for Transportation Infrastructure Act,
13including, but not limited to, the power to enter into all
14contracts or agreements necessary to perform its powers under
15that Act, and any powers related to a transportation facility
16implemented under that Act.
 
17    Section 940. The Eminent Domain Act is amended by adding
18Section 15-5-48 as follows:
 
19    (735 ILCS 30/15-5-48 new)
20    Sec. 15-5-48. Eminent domain powers in new Acts. The
21following provisions of law may include express grants of the
22power to acquire property by condemnation or eminent domain:

 

 

HB1878- 30 -LRB102 15346 RAM 20705 b

1    The Innovations for Transportation Infrastructure Act; for
2the purposes of constructing a transportation facility under
3the Act.
 
4    Section 945. The Prevailing Wage Act is amended by
5changing Section 2 as follows:
 
6    (820 ILCS 130/2)  (from Ch. 48, par. 39s-2)
7    Sec. 2. This Act applies to the wages of laborers,
8mechanics and other workers employed in any public works, as
9hereinafter defined, by any public body and to anyone under
10contracts for public works. This includes any maintenance,
11repair, assembly, or disassembly work performed on equipment
12whether owned, leased, or rented.
13    As used in this Act, unless the context indicates
14otherwise:
15    "Public works" means all fixed works constructed or
16demolished by any public body, or paid for wholly or in part
17out of public funds. "Public works" as defined herein includes
18all projects financed in whole or in part with bonds, grants,
19loans, or other funds made available by or through the State or
20any of its political subdivisions, including but not limited
21to: bonds issued under the Industrial Project Revenue Bond Act
22(Article 11, Division 74 of the Illinois Municipal Code), the
23Industrial Building Revenue Bond Act, the Illinois Finance
24Authority Act, the Illinois Sports Facilities Authority Act,

 

 

HB1878- 31 -LRB102 15346 RAM 20705 b

1or the Build Illinois Bond Act; loans or other funds made
2available pursuant to the Build Illinois Act; loans or other
3funds made available pursuant to the Riverfront Development
4Fund under Section 10-15 of the River Edge Redevelopment Zone
5Act; or funds from the Fund for Illinois' Future under Section
66z-47 of the State Finance Act, funds for school construction
7under Section 5 of the General Obligation Bond Act, funds
8authorized under Section 3 of the School Construction Bond
9Act, funds for school infrastructure under Section 6z-45 of
10the State Finance Act, and funds for transportation purposes
11under Section 4 of the General Obligation Bond Act. "Public
12works" also includes (i) all projects financed in whole or in
13part with funds from the Department of Commerce and Economic
14Opportunity under the Illinois Renewable Fuels Development
15Program Act for which there is no project labor agreement;
16(ii) all work performed pursuant to a public private agreement
17under the Public Private Agreements for the Illiana Expressway
18Act or the Public-Private Agreements for the South Suburban
19Airport Act; and (iii) all projects undertaken under a
20public-private agreement under the Public-Private Partnerships
21for Transportation Act; and (iv) all transportation facilities
22undertaken under a design-build contract or a Construction
23Manager/General Contractor contract under the Innovations for
24Transportation Infrastructure Act. "Public works" also
25includes all projects at leased facility property used for
26airport purposes under Section 35 of the Local Government

 

 

HB1878- 32 -LRB102 15346 RAM 20705 b

1Facility Lease Act. "Public works" also includes the
2construction of a new wind power facility by a business
3designated as a High Impact Business under Section
45.5(a)(3)(E) of the Illinois Enterprise Zone Act. "Public
5works" does not include work done directly by any public
6utility company, whether or not done under public supervision
7or direction, or paid for wholly or in part out of public
8funds. "Public works" also includes any corrective action
9performed pursuant to Title XVI of the Environmental
10Protection Act for which payment from the Underground Storage
11Tank Fund is requested. "Public works" does not include
12projects undertaken by the owner at an owner-occupied
13single-family residence or at an owner-occupied unit of a
14multi-family residence. "Public works" does not include work
15performed for soil and water conservation purposes on
16agricultural lands, whether or not done under public
17supervision or paid for wholly or in part out of public funds,
18done directly by an owner or person who has legal control of
19those lands.
20    "Construction" means all work on public works involving
21laborers, workers or mechanics. This includes any maintenance,
22repair, assembly, or disassembly work performed on equipment
23whether owned, leased, or rented.
24    "Locality" means the county where the physical work upon
25public works is performed, except (1) that if there is not
26available in the county a sufficient number of competent

 

 

HB1878- 33 -LRB102 15346 RAM 20705 b

1skilled laborers, workers and mechanics to construct the
2public works efficiently and properly, "locality" includes any
3other county nearest the one in which the work or construction
4is to be performed and from which such persons may be obtained
5in sufficient numbers to perform the work and (2) that, with
6respect to contracts for highway work with the Department of
7Transportation of this State, "locality" may at the discretion
8of the Secretary of the Department of Transportation be
9construed to include two or more adjacent counties from which
10workers may be accessible for work on such construction.
11    "Public body" means the State or any officer, board or
12commission of the State or any political subdivision or
13department thereof, or any institution supported in whole or
14in part by public funds, and includes every county, city,
15town, village, township, school district, irrigation, utility,
16reclamation improvement or other district and every other
17political subdivision, district or municipality of the state
18whether such political subdivision, municipality or district
19operates under a special charter or not.
20    "Labor organization" means an organization that is the
21exclusive representative of an employer's employees recognized
22or certified pursuant to the National Labor Relations Act.
23    The terms "general prevailing rate of hourly wages",
24"general prevailing rate of wages" or "prevailing rate of
25wages" when used in this Act mean the hourly cash wages plus
26annualized fringe benefits for training and apprenticeship

 

 

HB1878- 34 -LRB102 15346 RAM 20705 b

1programs approved by the U.S. Department of Labor, Bureau of
2Apprenticeship and Training, health and welfare, insurance,
3vacations and pensions paid generally, in the locality in
4which the work is being performed, to employees engaged in
5work of a similar character on public works.
6(Source: P.A. 100-1177, eff. 6-1-19.)
 
7    Section 997. Severability. The provisions of this Act are
8severable under Section 1.31 of the Statute on Statutes.
 
9    Section 999. Effective date. This Act takes effect upon
10becoming law.

 

 

HB1878- 35 -LRB102 15346 RAM 20705 b

1 INDEX
2 Statutes amended in order of appearance
3    New Act
4    20 ILCS 2705/2705-233 new
5    20 ILCS 3501/825-108 new
6    30 ILCS 500/1-10.5 new
7    30 ILCS 550/1.9 new
8    30 ILCS 570/2.8 new
9    30 ILCS 575/2.8 new
10    605 ILCS 10/11.2 new
11    735 ILCS 30/15-5-48 new
12    820 ILCS 130/2from Ch. 48, par. 39s-2
13    735 ILCS 30/15-5-48 new