Illinois General Assembly - Full Text of HR0038
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Full Text of HR0038  98th General Assembly

HR0038 98TH GENERAL ASSEMBLY


  

 


 
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1
HOUSE RESOLUTION

 
2    WHEREAS, The State of Illinois has deemed it important to
3undo historical prejudices by creating special classifications
4for businesses that are majority owned and operated by
5minorities (MBE), females (WBE), or veterans (VOB and SDVOB);
6and
 
7    WHEREAS, The State of Illinois' procurement policies
8commonly request that goals be met by MBE, WBE, and VOB/SDVOB
9businesses; and
 
10    WHEREAS, The State of Illinois has defined a special
11classification company as a company that is at least 51% owned
12by a special classification individual or a group of special
13classification individuals and is actually controlled by the
14same special individual or group of individuals; and
 
15    WHEREAS, The State of Illinois Central Management
16Services' Business Enterprise Program Council has been charged
17with the task of determining whether a company meets the
18criteria for a special classification; and
 
19    WHEREAS, There have been well documented cases of
20fraudulent MBE, WBE, SDVOB, and VOD companies being created; it
21is the responsibility of the Business Enterprise Program to

 

 

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1continue to oppose these applications for special
2classification; and
 
3    WHEREAS, Small businesses in the present day marketplace
4will often sell equity in their company to investors, such as
5angel investors and venture capitalists, in order to raise
6capital; and
 
7    WHEREAS, It is acknowledged that equity investors in
8companies often will have no say in the operation, control, or
9direction of the company; therefore, be it
 
10    RESOLVED, BY THE HOUSE OF REPRESENTATIVES OF THE
11NINETY-EIGHTH GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, that
12we request that the Central Management Services Business
13Enterprise Program Council includes the equity ownership of
14silent investors of the same special classification in the
15calculations of the majority ownership of a company; and be it
16further
 
17    RESOLVED, That we request that the Central Management
18Services Business Enterprise Program Council include silent
19investor equity when calculating control of a company when the
20silent investors have given controlling authority to one or
21more persons of that classification; and be it further
 

 

 

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1    RESOLVED, That a suitable copy of this resolution be
2delivered to the Central Management Services Business
3Enterprise Program Council.