August 18, 2009
To the Honorable Members of the
Illinois Senate,
96th General
Assembly:
In accordance
with Article IV, Section 9(e) of the Illinois Constitution, I hereby return Senate
Bill 51 with specific recommendations for change.
Senate Bill 51
is a major overhaul of the manner in which our state procures goods and
services. The abuse of state procurement has been a consistent feature of
corruption scandals involving high-ranking officials of Illinois government. I
commend the members of the General Assembly for passing this landmark reform.
Although I
support fundamental principles that this legislation embodies, my post-session
review of the bill has revealed subtle but significant problems in the bill
that require modification.
Foremost among
these is the requirement that the Chief Procurement Officer for the Illinois
Department of Transportation (IDOT) be appointed by the Executive Ethics
Commission (EEC). The purpose of mandating EEC appointment for chief
procurement officers was to help insulate procurement from undue political
influence. Unfortunately, removing IDOT procurement from the jurisdiction of
the Secretary of Transportation runs afoul of Federal law, thereby jeopardizing
federal matching funds for transportation projects. The solution I propose is
for the Secretary to nominate the Chief Procurement Officer, with the consent
of the EEC. The federal government has confirmed that with this change, IDOT
procurement will conform to federal law, eliminating any risk to our continued receipt
of federal funds.
Another serious
issue is the effective date of the bill. As drafted, it is unclear whether and
to what extent the new rules of procurement would apply to procurements pending
on the effective date of the bill. My specific recommendation for change would
move the effective date to July 1, 2010, and create a clear standard for
determining when and to which procurements the new rules apply. This will
allow for the efficient implementation of the new procurement rules.
Because the new
structure for procurement will insulate procurement officials from undue
political influence, a number of employees currently employed by the agencies
they serve will move to a separate payroll. This administrative change, though
appropriate, gives rise to a number of ambiguities about how the Personnel Code
and the personnel-related administrative rules apply to these employees. My
recommendations resolve these ambiguities.
Therefore, pursuant to Article
IV, Section 9(e) of the Illinois Constitution of 1970, I hereby return Senate
Bill 51, entitled “AN ACT concerning State government.” with the following
specific recommendations for change:
on page 9,
immediately below line 23, by inserting the following:
“Section 95-12. The Personnel Code
is amended by changing Section 4c as follows:
(20 ILCS 415/4c) (from
Ch. 127, par. 63b104c)
Sec. 4c. General exemptions. The following
positions in State service shall be exempt from jurisdictions A, B, and C,
unless the jurisdictions shall be extended as provided in this Act:
(1) All officers
elected by the people.
(2) All
positions under the Lieutenant Governor, Secretary of State, State Treasurer,
State Comptroller, State Board of Education, Clerk of the Supreme Court,
Attorney General, and State Board of Elections.
(3) Judges, and
officers and employees of the courts, and notaries public.
(4) All officers
and employees of the Illinois General Assembly, all employees of legislative
commissions, all officers and employees of the Illinois Legislative Reference
Bureau, the Legislative Research Unit, and the Legislative Printing Unit.
(5) All
positions in the Illinois National Guard and Illinois State Guard, paid from
federal funds or positions in the State Military Service filled by enlistment
and paid from State funds.
(6) All
employees of the Governor at the executive mansion and on his immediate
personal staff.
(7) Directors of
Departments, the Adjutant General, the Assistant Adjutant General, the Director
of the Illinois Emergency Management Agency, members of boards and commissions,
and all other positions appointed by the Governor by and with the consent of
the Senate.
(8) The
presidents, other principal administrative officers, and teaching, research and
extension faculties of Chicago State University, Eastern Illinois University,
Governors State University, Illinois State University, Northeastern Illinois
University, Northern Illinois University, Western Illinois University, the
Illinois Community College Board, Southern Illinois University, Illinois Board
of Higher Education, University of Illinois, State Universities Civil Service
System, University Retirement System of Illinois, and the administrative
officers and scientific and technical staff of the Illinois State Museum.
(9) All other
employees except the presidents, other principal administrative officers, and
teaching, research and extension faculties of the universities under the
jurisdiction of the Board of Regents and the colleges and universities under
the jurisdiction of the Board of Governors of State Colleges and Universities,
Illinois Community College Board, Southern Illinois University, Illinois Board
of Higher Education, Board of Governors of State Colleges and Universities, the
Board of Regents, University of Illinois, State Universities Civil Service
System, University Retirement System of Illinois, so long as these are subject
to the provisions of the State Universities Civil Service Act.
(10) The State
Police so long as they are subject to the merit provisions of the State Police
Act.
(11) (Blank).
(12) The technical
and engineering staffs of the Department of Transportation, the Department of
Nuclear Safety, the Pollution Control Board, and the Illinois Commerce
Commission, and the technical and engineering staff providing architectural and
engineering services in the Department of Central Management Services.
(13) All employees
of the Illinois State Toll Highway Authority.
(14) The Secretary
of the Illinois Workers' Compensation Commission.
(15) All persons
who are appointed or employed by the Director of Insurance under authority of
Section 202 of the Illinois Insurance Code to assist the Director of Insurance
in discharging his responsibilities relating to the rehabilitation,
liquidation, conservation, and dissolution of companies that are subject to the
jurisdiction of the Illinois Insurance Code.
(16) All employees
of the St. Louis Metropolitan Area Airport Authority.
(17) All
investment officers employed by the Illinois State Board of Investment.
(18) Employees of
the Illinois Young Adult Conservation Corps program, administered by the
Illinois Department of Natural Resources, authorized grantee under Title VIII
of the Comprehensive Employment and Training Act of 1973, 29 USC 993.
(19) Seasonal
employees of the Department of Agriculture for the operation of the Illinois
State Fair and the DuQuoin State Fair, no one person receiving more than 29
days of such employment in any calendar year.
(20) All
"temporary" employees hired under the Department of Natural
Resources' Illinois Conservation Service, a youth employment program that hires
young people to work in State parks for a period of one year or less.
(21) All hearing
officers of the Human Rights Commission.
(22) All employees
of the Illinois Mathematics and Science Academy.
(23) All employees
of the Kankakee River Valley Area Airport Authority.
(24) The
commissioners and employees of the Executive Ethics Commission, except for
those employees appointed under the changes made to the Illinois Procurement
Code by this amendatory Act of the 96th General Assembly.
(25) The Executive
Inspectors General, including special Executive Inspectors General, and
employees of each Office of an Executive Inspector General.
(26) The
commissioners and employees of the Legislative Ethics Commission.
(27) The
Legislative Inspector General, including special Legislative Inspectors
General, and employees of the Office of the Legislative Inspector General.
(28) The Auditor
General's Inspector General and employees of the Office of the Auditor
General's Inspector General.”; and
on page 31,
line 16, by deleting “and”; and
on page 31, by replacing line 18
with “Section 5-15 of the Civil Administrative Code of Illinois, and any
other agency, board, or commission designated by the Executive Ethics
Commission and”; and
on page 33, by replacing lines 7
through 11 with “chief internal auditor of a State agency in accordance with
applicable provisions of the Personnel Code, personnel rules, and bargaining
agreements. A chief internal auditor transferred or appointed under this
amendatory Act of the 96th General Assembly shall be an employee of the State
agency to which he or she was transferred or appointed. All other audit staff
shall be transferred to State agencies at the direction of the Director of
Central Management Services. A chief internal auditor transferred or appointed
under this amendatory Act of the 96th General Assembly shall be appointed to a
5-year term beginning on the date of the appointment.”; and
on page 33, by replacing line 22
with “executive officer of that State agency in coordination with the
Director of Central Management Services. Unexpended appropriations shall be
transferred at the direction of the Director of the Governor’s Office of
Management and Budget.”; and
on page 34, by replacing lines 13
through 19 with the following:
“degree, in accordance with the
Personnel Code, personnel rules, and applicable bargaining agreements who is:
(1) a certified internal
auditor, a certified public accountant, or a certified information system
auditor;
(2) an individual with at least
5 years of experience conducting audits in units of government or fields
related to the activities of the State agency that he or she is appointed to;
and
(3) an individual who possesses
at least 2 years of supervisory experience in conducting audits in units of
government or fields related to the activities of the State agency that he or
she is appointed to.
If the chief internal auditor
appointed pursuant to this Section is an audit staff employee transferred under
this amendatory Act of the 96th General Assembly, he or she shall meet the
requirements of this subsection (a) within 18 months from the date of his or
her appointment. degree,
who is either:
(1) a certified
internal auditor by examination or a certified public accountant and who has at
least 4 years of progressively responsible professional auditing experience; or
(2) an auditor with
at least 5 years of progressively responsible professional auditing experience.”; and
by replacing line 20 of page 35
through line 17 on page 36 with the following:
“Sec. 1‑15.15. Chief Procurement Officer. "Chief
Procurement Officer" means:
(1) for procurements for construction and construction‑related
services committed by law to the jurisdiction or responsibility of the Capital
Development Board, the independent chief procurement officer appointed by a
majority of the members of the Executive Ethics Commission the executive
director of the Capital Development Board.
(2) for procurements for all construction and
, construction‑related services, operation of any facility,
and the provision of any construction or construction related service or
activity committed by law to the jurisdiction or responsibility of the
Illinois Department of Transportation, including the direct or reimbursable
expenditure of all federal funds for which the Department of Transportation is
responsible or accountable for the use thereof in accordance with federal law,
regulation, or procedure, the independent chief procurement officer
appointed by the Secretary of Transportation after the
consent of the majority of the members of the
Executive Ethics Commission.
(3) for all procurements made by a public
institution of higher education, the independent chief procurement officer
appointed by a majority of the members of the Executive Ethics Commission
a representative designated by the Governor.
(4) (Blank) for all procurements made
by the Illinois Power Agency, the Director of the Illinois Power Agency.
(5) for all other procurements, the
independent chief procurement officer appointed by a majority of the members of
the Executive Ethics Commission. the Director of the Department of
Central Management Services.”; and
on page 38, line 5, by replacing “or
another subcontractor” with “or another subcontractor who directly
provides”; and
on page 38, line 9, by replacing “State
agency.” with “State agency. However, “subcontract” does not include
any subcontract for procurements identified in Section 1-15.15(a) of the
Procurement Code with a value of $25,000 or less.”
on page 38, by replacing line 20,
with “procured by the State. The Board shall assist the Executive
Procurement Officer in developing and recommending”; and
on page 38, line 21, by deleting “to
recommend”; and
on page 43, line 13, by replacing “officer.”
with “officer and shall be an employee of the Executive Ethics Commission. A
State purchasing officer may be assigned to one or more agencies.”; and
on page 43, line 17, by replacing “enter
into contracts for” with “approve contracts prior to execution by”;
and
on page 45, line 12, by replacing “officer.”
with “officer and shall be an employee of the Executive Ethics Commission. A
procurement compliance monitor may be assigned to one or more agencies.”;
and
on page 47, line 9, by inserting
after “appoint”, “or approve as provided for by this amendatory Act
of the 96th General Assembly”; and
on page 47, line 23, by inserting
after “procedure”, “;the chief
procurement officer recommended for approval under this item appointed by the
Secretary of Transportation after consent by the Executive Ethics Commission”;
and
on page 49, immediately below line
12, by inserting the following:
“(e) The rights of employees in
State agencies that are engaged in purchasing activities on the effective date
of this amendatory Act of the 96th General Assembly under the Personnel Code
and applicable collective bargaining agreement or under any pension retirement
or annuity plan shall not be affected by this amendatory Act of the 96th
General Assembly. Those employees shall remain employees of the agencies in
which they are employed on the effective date of this amendatory Act of the
96th General Assembly. The employees shall continue to be located in the State
agency where they are located on the effective date of this amendatory Act of
the 96th General Assembly or later assigned.
(f) All pending business on the
effective date of this amendatory Act of the 96th General Assembly pertaining
to the contracts, powers, duties, rights and responsibilities is transferred by
this amendatory Act from the chief procurement officers on the effective date
of this amendatory Act to the new chief procurement officers. Chief
procurement officers on the effective date of this amendatory Act shall retain
their powers and duties until a new chief procurement officer is appointed.”; and
on page 64, line 12, by inserting after “contract.”, “Nothing
in this Section shall be construed to prohibit the State from accepting
rebates, discounts, or marketing allowances offered in the ordinary course of
business.”; and
on page 70, line 12, after “later.” insert “For
purposes of this Section 20-120, a subcontractor is a person or entity who
enters into a subcontract as the term “subcontract” is defined in Section 1-15.107.”;
and
on page 75, line 15, by replacing “or proposal.” with “or
proposal or is on file with the State Board of Elections.”; and
on page 81, line 18, by replacing “request for proposals”
with “solicitation”; and
on page 103, line 1 by replacing “shareholder.” with
“shareholder, except pursuant to a contract providing for reimbursement
limited to the rates approved for state employee travel.”; and
on page 120, by replacing lines 13 and 14 with the following:
“Section 99-99. Effective date. This Act takes effect July
1, 2010 and shall apply to all procurements initiated on or after that date.”.
With these
changes, Senate Bill 51 will have my approval. I respectfully request your
concurrence.
Sincerely,
Pat Quinn
Governor
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