Illinois General Assembly - Full Text of HB3060
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Full Text of HB3060  97th General Assembly

HB3060 97TH GENERAL ASSEMBLY

  
  

 


 
97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB3060

 

Introduced 2/23/2011, by Rep. David Harris

 

SYNOPSIS AS INTRODUCED:
 
30 ILCS 500/50-37

    Amends the Illinois Procurement Code. Prohibits certain business entities with State contracts or pending bids or proposals on State contracts from making political contributions to any political committee (i) established to promote the candidacy of an officeholder or declared candidate for that office, (ii) established to promote the candidacy of any member of the General Assembly or declared candidate for membership in the General Assembly, or (iii) of a State central committee of any political party that is represented by an officeholder or member of the General Assembly or a declared candidate for that office or membership in the General Assembly (now, any political committee established to promote the candidacy of an officeholder responsible for awarding the contracts or, with regard to business entities with State contracts, any other declared candidate for that office).


LRB097 09435 PJG 49570 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

HB3060LRB097 09435 PJG 49570 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 Illinois Procurement Code is amended by
5changing Section 50-37 as follows:
 
6    (30 ILCS 500/50-37)
7    Sec. 50-37. Prohibition of political contributions.
8    (a) As used in this Section:
9        The terms "contract", "State contract", and "contract
10    with a State agency" each mean any contract, as defined in
11    this Code, between a business entity and a State agency let
12    or awarded pursuant to this Code. The terms "contract",
13    "State contract", and "contract with a State agency" do not
14    include cost reimbursement contracts; purchase of care
15    agreements as defined in Section 1-15.68 of this Code;
16    contracts for projects eligible for full or partial
17    federal-aid funding reimbursements authorized by the
18    Federal Highway Administration; grants, including but are
19    not limited to grants for job training or transportation;
20    and grants, loans, or tax credit agreements for economic
21    development purposes.
22        "Contribution" means a contribution as defined in
23    Section 9-1.4 of the Election Code.

 

 

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1        "Declared candidate" means a person who has filed a
2    statement of candidacy and petition for nomination or
3    election in the principal office of the State Board of
4    Elections.
5        "State agency" means and includes all boards,
6    commissions, agencies, institutions, authorities, and
7    bodies politic and corporate of the State, created by or in
8    accordance with the Illinois Constitution or State
9    statute, of the executive branch of State government and
10    does include colleges, universities, public employee
11    retirement systems, and institutions under the
12    jurisdiction of the governing boards of the University of
13    Illinois, Southern Illinois University, Illinois State
14    University, Eastern Illinois University, Northern Illinois
15    University, Western Illinois University, Chicago State
16    University, Governors State University, Northeastern
17    Illinois University, and the Illinois Board of Higher
18    Education.
19        "Officeholder" means the Governor, Lieutenant
20    Governor, Attorney General, Secretary of State,
21    Comptroller, or Treasurer. The Governor shall be
22    considered the officeholder responsible for awarding all
23    contracts by all officers and employees of, and vendors and
24    others doing business with, executive branch State
25    agencies under the jurisdiction of the Executive Ethics
26    Commission and not within the jurisdiction of the Attorney

 

 

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1    General, the Secretary of State, the Comptroller, or the
2    Treasurer.
3        "Sponsoring entity" means a sponsoring entity as
4    defined in Section 9-3 of the Election Code.
5        "Affiliated person" means (i) any person with any
6    ownership interest or distributive share of the bidding or
7    contracting business entity in excess of 7.5%, (ii)
8    executive employees of the bidding or contracting business
9    entity, and (iii) the spouse of any such persons.
10    "Affiliated person" does not include a person prohibited by
11    federal law from making contributions or expenditures in
12    connection with a federal, state, or local election.
13        "Affiliated entity" means (i) any corporate parent and
14    each operating subsidiary of the bidding or contracting
15    business entity, (ii) each operating subsidiary of the
16    corporate parent of the bidding or contracting business
17    entity, (iii) any organization recognized by the United
18    States Internal Revenue Service as a tax-exempt
19    organization described in Section 501(c) of the Internal
20    Revenue Code of 1986 (or any successor provision of federal
21    tax law) established by the bidding or contracting business
22    entity, any affiliated entity of that business entity, or
23    any affiliated person of that business entity, or (iv) any
24    political committee for which the bidding or contracting
25    business entity, or any 501(c) organization described in
26    item (iii) related to that business entity, is the

 

 

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1    sponsoring entity. "Affiliated entity" does not include an
2    entity prohibited by federal law from making contributions
3    or expenditures in connection with a federal, state, or
4    local election.
5        "Business entity" means any entity doing business for
6    profit, whether organized as a corporation, partnership,
7    sole proprietorship, limited liability company or
8    partnership, or otherwise.
9        "Executive employee" means (i) the President,
10    Chairman, or Chief Executive Officer of a business entity
11    and any other individual that fulfills equivalent duties as
12    the President, Chairman of the Board, or Chief Executive
13    Officer of a business entity; and (ii) any employee of a
14    business entity whose compensation is determined directly,
15    in whole or in part, by the award or payment of contracts
16    by a State agency to the entity employing the employee. A
17    regular salary that is paid irrespective of the award or
18    payment of a contract with a State agency shall not
19    constitute "compensation" under item (ii) of this
20    definition. "Executive employee" does not include any
21    person prohibited by federal law from making contributions
22    or expenditures in connection with a federal, state, or
23    local election.
24    (b) Any business entity whose contracts with State
25agencies, in the aggregate, annually total more than $50,000,
26and any affiliated entities or affiliated persons of such

 

 

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1business entity, are prohibited from making any contributions
2to (i) any political committees established to promote the
3candidacy of an officeholder or declared candidate for that
4office, (ii) any political committees established to promote
5the candidacy of any member of the General Assembly or declared
6candidate for membership in the General Assembly, or (iii) any
7political committee of a State central committee of any
8political party that is represented by an officeholder or
9member of the General Assembly or a declared candidate for that
10office or membership in the General Assembly (i) the
11officeholder responsible for awarding the contracts or (ii) any
12other declared candidate for that office. This prohibition
13shall be effective for the duration of the terms term of the
14contracts and office of the incumbent officeholder awarding the
15contracts or for a period of 2 years following the expiration
16or termination of the contracts, whichever is longer.
17    (c) Any business entity whose aggregate pending bids and
18proposals on State contracts total more than $50,000, or whose
19aggregate pending bids and proposals on State contracts
20combined with the business entity's aggregate annual total
21value of State contracts exceed $50,000, and any affiliated
22entities or affiliated persons of such business entity, are
23prohibited from making any contributions to (i) any political
24committee established to promote the candidacy of an
25officeholder or declared candidate for that office, (ii) any
26political committees established to promote the candidacy of

 

 

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1any member of the General Assembly or declared candidate for
2membership in the General Assembly, or (iii) any political
3committee of a State central committee of any political party
4that is represented by an officeholder or member of the General
5Assembly or a declared candidate for that office or membership
6in the General Assembly. This prohibition shall be effective
7the officeholder responsible for awarding the contract on which
8the business entity has submitted a bid or proposal during the
9period beginning on the date the invitation for bids or request
10for proposals is issued and ending on the day after the date
11the contract is awarded.
12    (d) All contracts between State agencies and a business
13entity that violate subsection (b) or (c) shall be voidable
14under Section 50-60. If a business entity violates subsection
15(b) 3 or more times within a 36-month period, then all
16contracts between State agencies and that business entity shall
17be void, and that business entity shall not bid or respond to
18any invitation to bid or request for proposals from any State
19agency or otherwise enter into any contract with any State
20agency for 3 years from the date of the last violation. A
21notice of each violation and the penalty imposed shall be
22published in both the Procurement Bulletin and the Illinois
23Register.
24    (e) Any political committee that has received a
25contribution in violation of subsection (b) or (c) shall pay an
26amount equal to the value of the contribution to the State no

 

 

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1more than 30 days after notice of the violation concerning the
2contribution appears in the Illinois Register. Payments
3received by the State pursuant to this subsection shall be
4deposited into the general revenue fund.
5    (f) Nothing in this Section shall prohibit an individual
6from making a contribution to a political committee established
7to promote his or her own candidacy for office or for
8membership in the General Assembly.
9    (g) This Section shall not apply in circumstances when it
10is determined by the federal government or a court of competent
11jurisdiction that its application would violate federal law or
12regulation or otherwise prevent the State's receipt of federal
13funds.
14(Source: P.A. 95-971, eff. 1-1-09; 95-1038, eff. 3-11-09;
1596-795, eff. 7-1-10 (see Section 5 of P.A. 96-793 for the
16effective date of changes made by P.A. 96-795); 96-848, eff.
171-1-10.)