HB2870sam001 102ND GENERAL ASSEMBLY

Sen. Eric Mattson

Filed: 1/9/2023

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 2870

2    AMENDMENT NO. ______. Amend House Bill 2870 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Illinois Municipal Code is amended by
5changing Sections 11-135.5-15, 11-135.5-25, and 11-135.5-35
6and by adding Sections 11-135.5-7, 11-135.5-50, 11-135.5-55,
711-135.5-60, 11-135.5-65, 11-135.5-70, and 11-135.5-75 as
8follows:
 
9    (65 ILCS 5/11-135.5-7 new)
10    Sec. 11-135.5-7. Definitions. As used in this Division:
11    "Design-build" means a delivery system that provides
12responsibility within a single contract for the furnishing of
13architecture, engineering, land surveying, and related
14services as required and the labor, materials, equipment, and
15other construction services for the project.
16    "Design-build contract" means a contract for a public

 

 

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1project under this Division between a commission and a
2design-build entity to furnish: architecture, engineering,
3land surveying, public art or interpretive exhibits, and
4related services, as required; and the labor, materials,
5equipment, and other construction services for the project.
6    "Design-build entity" means any individual, sole
7proprietorship, firm, partnership, joint venture, corporation,
8professional corporation, or other entity that proposes to
9design and construct any public project under this Division.
10    "Design professional" means any individual, sole
11proprietorship, firm, partnership, joint venture, corporation,
12professional corporation, or other entity that offers services
13under the Illinois Architecture Practice Act of 1989, the
14Professional Engineering Practice Act of 1989, the Structural
15Engineering Practice Act of 1989, or the Illinois Professional
16Land Surveyor Act of 1989.
17    "Evaluation criteria" means the requirements for the
18separate phases of the selection process as defined in this
19Division and may include the specialized experience, technical
20qualifications and competence, capacity to perform, past
21performance, experience with similar projects, assignment of
22personnel to the project, and other appropriate factors.
23    "Proposal" means the offer to enter into a design-build
24contract as submitted by a design-build entity in accordance
25with this Division.
26    "Request for proposal" means the document used by the

 

 

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1commission to solicit proposals for a design-build contract.
2    "Scope and performance criteria" means the requirements
3for the commission project, including, but not limited to, the
4intended usage, capacity, size, scope, quality and performance
5standards, life-cycle costs, and other programmatic criteria
6that are expressed in performance-oriented and quantifiable
7specifications and drawings that can be reasonably inferred
8and are suited to allow a design-build entity to develop a
9proposal.
 
10    (65 ILCS 5/11-135.5-15)
11    Sec. 11-135.5-15. Establishment of commission; members;
12initial costs and funding.
13    (a) Establishment of commission. Two or more
14municipalities, at least one of which is located in whole or in
15part in the county of Cook, Kane, Kendall, Lake, McHenry, or
16Will and has 140,000 or more inhabitants at the time of
17establishment of a regional water commission, excluding cities
18of 500,000 or more inhabitants, may acquire, either by
19purchase or construction, a waterworks system or a common
20source of supply of water, or both, and may operate jointly a
21waterworks system or a common source of supply of water, or
22both, and improve and extend the same, as provided in this
23Division. The municipality meeting the requirement to have
24140,000 or more inhabitants as required by this paragraph must
25have attained that population as of December 16, 2021 (the

 

 

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1effective date of Public Act 102-684) this amendatory Act of
2the 102nd General Assembly.
3    The corporate authorities of the municipalities desiring
4to avail themselves of the provisions of this Division shall
5establish a regional water commission by adopting an ordinance
6determining and electing to acquire and operate jointly a
7waterworks system or a common source of supply of water, or
8both, as the case may be, and approving an intergovernmental
9agreement among the municipalities establishing the regional
10water commission. This agreement may be amended at any time
11upon the adoption, by the corporate authorities of all member
12municipalities, of concurring ordinances approving the
13amendment to the agreement by the corporate authorities of all
14member municipalities.
15    (b) Addition or withdrawal of members; dissolution. The
16agreement may provide for additional municipalities to join
17the commission upon adoption of an ordinance by the corporate
18authorities of the joining municipality and, upon such
19consents, conditions, and approvals of the board of
20commissioners and of existing member municipalities as shall
21be provided in the agreement. The agreement shall provide the
22manner and terms on which a municipality may withdraw from
23membership in the commission and on which the commission may
24terminate and dissolve in whole or in part.
25    (c) Filing of agreement. Promptly upon entering into the
26agreement or any amendment to it, a copy of such agreement or

 

 

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1amendment shall be filed in the office of the Secretary of
2State. Promptly upon the addition or withdrawal of a
3municipality, or, upon the dissolution of the commission, that
4fact shall be certified by an officer of the commission to the
5Secretary of State.
6    (d) Development costs. A municipality whose corporate
7authorities adopted an ordinance and approved an
8intergovernmental agreement to acquire and operate jointly a
9waterworks system or a common source of supply of water, or
10both, as the case may be, under the provisions of this
11Division, may from time to time pay, advance, or obligate
12itself to the commission to bear a proportionate share of the
13development costs, including principal and interest, of any
14project proposed by the commission, including plans,
15feasibility reports, and engineering, even if the project is
16never constructed or water is never supplied by the commission
17to such municipality.
18    Whenever the corporate authorities of a municipality
19determine that the municipality will pay, advance, or be
20obligated for its proportionate share of development costs as
21provided in this subsection, they shall adopt an ordinance
22declaring their intention that the municipality will do so,
23fix the maximum amount of the municipality's share of the cost
24the municipality proposes to pay or that the municipality will
25advance or to obligate the municipality for, and fix the
26period over which it is proposed to pay the obligation (not

 

 

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1exceeding 10 years), and the maximum amount to be paid
2annually, if such obligation is to be paid in installments.
3The time of payment of any such installment obligation may be
4extended for a period not exceeding 10 years from the final
5maturity date of the original obligation. On and after the
6date such ordinance becomes effective, the municipality shall
7include an amount sufficient to pay the annual installments of
8its obligation each year in the next succeeding appropriation
9ordinances. The commission may require that if any such
10municipality whose corporate authorities determined to pay, to
11advance, or to obligate the municipality to the commission for
12development costs defaults in such payments, advances, or
13obligations, then the remaining municipalities whose corporate
14authorities have determined to pay, to advance, or to obligate
15the respective municipalities to the commission for
16development costs will be required to pay for all or a portion
17of the payments, advances by, or obligations of the defaulting
18municipality. No prior appropriation shall be required for the
19corporate authorities of a municipality to authorize the
20payments, advances, or obligations herein provided for.
21    Whenever the corporate authorities of a municipality have
22obligated the municipality for development costs as herein
23provided and after the effective date of the ordinance under
24which the municipality became obligated for a specific amount
25for development costs of a project and after approval of such
26obligation by the commission, the commission is authorized to

 

 

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1borrow funds temporarily for payment of such development costs
2in advance of permanent financing. The commission may from
3time to time and pursuant to an appropriate ordinance or
4resolution borrow money and issue its interim notes to
5evidence borrowings for such purpose, including all necessary
6and incidental expenses in connection therewith.
7    An ordinance or resolution authorizing the issuance of
8such notes shall describe the project and the development
9costs to be undertaken and specify the principal amount, rate
10of interest as authorized under Section 2 of the Bond
11Authorization Act, and the maturity date, which shall coincide
12with the due date of the obligations or the installments
13thereof incurred by the respective municipalities pursuant to
14this Section not, however, to exceed 10 years from date.
15    Contemporaneously with the issuance of revenue bonds under
16Section 11-135.5-30, all outstanding interim notes issued for
17development costs of a project though they have not then
18matured shall be paid, both principal and interest to date of
19payment, from funds derived from the sale of revenue bonds for
20the permanent financing of any such project for which interim
21notes may have been issued and such interim notes shall be
22surrendered and cancelled, or, in the alternative, the
23commission may determine to pay such interim notes out of
24receipts from other sources available to the commission,
25including grants and loans.
26    Whenever a member municipality has incurred development

 

 

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1costs for a project and has advanced funds or otherwise
2obligated itself for the payment of such costs, the commission
3is authorized to accept assignment of such debt instruments
4and the payment obligations thereunder and to thereafter make
5all necessary payments to meet such obligations out of
6receipts from other sources available to the commission,
7including grants and loans, or provide for credits against
8amounts otherwise due to the commission from the municipality,
9including interest on the amounts due.
10    As used in this subsection, "development costs" means the
11costs of development of a project, including debt incurred and
12principal and interest payments, whether incurred by the
13commission or a member municipality.
14    (e) Construction and operating costs. A municipality, the
15corporate authorities of which adopted an ordinance and
16approved an intergovernmental agreement to acquire and operate
17jointly a waterworks system or a common source of supply of
18water, or both, as the case may be, under the provisions of
19this Division, may from time to time pay, advance, or obligate
20itself to the commission to bear a proportionate share of the
21construction and operating costs of any project proposed by
22the commission.
23    Whenever the corporate authorities of a municipality
24determine that the municipality will pay, advance, or be
25obligated for its proportionate share of construction or
26operating costs as above provided, they shall adopt an

 

 

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1ordinance declaring their intention to do so, fix the maximum
2amount of the municipality's share of the cost it proposes to
3pay, to advance, or to obligate itself for, and fix the period
4over which it is proposed to pay the obligation, and state the
5maximum amount to be paid annually, if such obligation is to be
6paid in installments. On and after the date such ordinance
7becomes effective, the municipality shall include an amount
8sufficient to pay the annual installments of its obligation
9each year in the next succeeding appropriation ordinances. The
10commission may require that if any such municipality whose
11corporate authorities determined that the municipality will
12pay, advance, or be obligated to the commission for
13construction or operating costs defaults in such payments,
14advances, or obligations, then the remaining municipalities
15whose corporate authorities have determined that the
16municipality will pay, advance, or be obligated to the
17commission for construction or operating costs will be
18required to pay for all or a portion of the payments, advances
19by, or obligations of the defaulting municipality. No prior
20appropriation shall be required for the corporate authorities
21of a municipality to authorize the payments, advances, or
22obligations herein provided for.
23    Whenever a municipality, through its corporate
24authorities, has paid, advanced, or obligated the municipality
25for development, construction, or operating costs as herein
26provided, the commission may contract with the municipality,

 

 

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1on such terms as may be agreed, for the repayment to the
2municipality by the commission of any payment or advance made
3by the municipality to the commission and to charge, in
4addition to all other charges and rates authorized under this
5Division, such rates and charges for water sold by the
6commission as shall be necessary to provide for such
7repayment. In addition, any payment or advance of such costs
8made by a municipality pursuant to this Section may be repaid
9by the commission to the municipality: (i) from the proceeds
10of revenue bonds authorized to be issued by the commission
11pursuant to this Division; (ii) or, in the alternative, the
12commission may determine to pay all or part of such amounts out
13of receipts from other sources available to the commission,
14including grants and loans; or (iii) by the commission
15providing credits against amounts otherwise due to the
16commission from the municipality, including interest on the
17amounts due.
18    Whenever a member municipality has incurred construction
19and operating costs for a project and has advanced funds or
20otherwise obligated itself for the payment of such costs, the
21commission is authorized to accept assignment of such debt
22instruments and the payment obligations thereunder and to
23thereafter make all necessary payments to meet such
24obligations: (i) from the proceeds of revenue bonds authorized
25to be issued by the commission pursuant to this Division; (ii)
26or, in the alternative, the commission may determine to pay

 

 

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1all or part of such amounts out of receipts from other sources
2available to the commission, including grants and loans; or
3(iii) by the commission providing credits against amounts
4otherwise due to the commission from the municipality,
5including interest on the amounts due.
6    As used in this subsection, "construction and operating
7costs" means the costs of construction and operation of a
8project, including debt incurred and principal and interest
9payments, whether incurred by the commission or a member
10municipality.
11    (f) Commission facilities. A waterworks system or a common
12source of supply of water, or both, purchased or constructed
13by the commission: (1) may be located within or without the
14corporate limits of any member municipality; (2) may include,
15or may consist of, without limitation, facilities for
16receiving, storing, and transmitting water from any source for
17supplying water to member municipalities and other purchasers
18of water from the commission; and (3) may include, without
19limitation, facilities that are developed, acquired,
20constructed, extended, or improved by the commission that may
21at any time be owned by another unit of local government if
22such facilities will serve the waterworks system or provide a
23common source of supply of water for the commission.
24(Source: P.A. 102-684, eff. 12-16-21.)
 
25    (65 ILCS 5/11-135.5-25)

 

 

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1    Sec. 11-135.5-25. Board organization and powers.
2    (a) Organization of board. A commission shall organize by
3electing a chair from among its own members and shall elect
4persons, who need not be commissioners, to such other offices
5as shall be designated in the agreement. It shall adopt its own
6bylaws, rules, and regulations and provide for its meetings.
7The commission has full and complete supervision, management,
8and control of the waterworks system or the common source of
9supply of water, or both, as provided in the agreement and
10ordinances for acquiring and operating the same, and in their
11maintenance, operation, and extension. The board of
12commissioners shall determine the general policy of the
13commission, shall approve the annual budget, shall make all
14appropriations (which may include appropriations made at any
15time in addition to those made in any annual appropriation
16document), shall approve all contracts for the purchase or
17sale of water, shall adopt ordinances or resolutions providing
18for the issuance of bonds or notes by the commission, shall
19adopt its bylaws, rules, and regulations, and shall have such
20other powers and duties as may be prescribed in the agreement.
21Such agreement may further specify the voting and approval
22requirements for actions regarding the commission's powers and
23duties, including those powers and actions of the commission
24which shall be authorized only upon votes of greater than a
25majority of all commissioners or only upon consents of the
26corporate authorities of a certain number of member

 

 

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1municipalities, or both.
2    The agreement may provide for the establishment of a
3technical advisory committee to consist of a municipal
4employee member from each member municipality as designated by
5ordinance or other official action, from time to time by the
6corporate authorities of the member municipality, and having
7the qualifications as prescribed in the agreement, and also
8may provide for such functions and duties of the committee as
9will support the efficient administration and operation of the
10commission.
11    The board of commissioners may establish other committees
12from time to time, consisting of either members of the board or
13members who are municipal employees from each member
14municipality, in order to support the efficient administration
15and operation of the commission.
16    (b) Water contracts to acquire water supply. A commission
17may contract to acquire a supply of water on such terms and
18conditions as it finds in the best interests of the commission
19for a period not exceeding 101 years. The term of the water
20supply contract may, at the end of the initial or extended
21term, be extended by an amendment, renewal, or revision beyond
22101 years by further agreement of the parties. A commission
23may contract with any person, corporation, political
24subdivision, municipal corporation, or other governmental or
25non-governmental entity for a supply of water, and any such
26political subdivision, municipal corporation, or other

 

 

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1governmental entity is authorized to enter into such a
2contract with the commission. A commission may accept from a
3municipality that is a member of the commission the assignment
4of a contract to acquire a supply of water and to accept and
5perform the duties and obligations and make all payments
6required pursuant to such assigned contract.
7    A contract made by or assigned to a commission for a supply
8of water may contain provisions whereby the commission is
9obligated to pay for such supply of water without setoff or
10counterclaim and irrespective of whether such supply of water
11is ever furnished, made available, or delivered to the
12commission or whether any project for the supply of water
13contemplated by the contract is completed, operable, or
14operating and notwithstanding any suspension, interruption,
15interference, reduction, or curtailment of the supply of water
16from such project.
17    No prior appropriation shall be required before entering
18into or accepting assignment of such contract, and no
19appropriation shall be required to authorize payments to be
20made under the terms of the contract, notwithstanding any
21provision of this Code to the contrary. The contract shall not
22be a debt within the meaning of any statutory or
23constitutional limitations.
24    (c) Water contracts to provide water supply to members.
25The commission is authorized to contract with the
26municipalities which established the commission, and with

 

 

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1other municipalities that have become members pursuant to the
2process established in the intergovernmental agreement, for a
3supply of water to those municipalities, for a period not
4exceeding 101 years, and those municipalities are authorized
5to enter into such contracts with the commission. The term of
6the water supply contract may, at the end of the initial or
7extended term, be extended by an amendment, renewal, or
8revision beyond 101 years by further agreement of the parties.
9    Any such contract made by a commission and any such
10municipalities to supply water may contain provisions whereby
11the purchasing municipality is obligated to pay for such
12supply of water without setoff or counterclaim and
13irrespective of whether such supply of water is ever
14furnished, made available, or delivered to the purchasing
15municipality or whether any project for the supply of water
16contemplated by any such contract is completed, operable, or
17operating and notwithstanding any suspension, interruption,
18interference, reduction, or curtailment of the supply of water
19from such project. Any such contract may provide that if one or
20more of the other purchasers' defaults in the payment of its
21obligations under the contract or similar contract made with
22the supplier of the water, the remaining purchasers party to
23such contract or such similar contract shall be required to
24pay for all or a portion of the obligations of the defaulting
25purchaser. Each municipality that enters into such a contract
26shall be obligated and have the duty to include an amount

 

 

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1sufficient to pay the annual amount of its obligation each
2year in the next succeeding appropriation ordinances. No prior
3appropriation shall be required for a municipality to
4authorize the payments, advances, or obligations provided for
5in such contracts or this subsection.
6    (d) Water contracts to provide water supply to nonmembers
7and extend system. A commission may supply water to and
8contract with a person, corporation, political subdivision,
9municipal corporation, or other governmental or
10non-governmental entity, in addition to the municipalities
11which have formed the commission and other municipalities that
12have become members pursuant to the process established in the
13intergovernmental agreement, and to construct water
14transmission and distribution lines within a radius of 25
15miles outside the corporate limits of member municipalities
16for the purpose of furnishing water to any additional entities
17which contract with the commission for a supply of water, upon
18such payment, terms, and conditions as may be mutually agreed
19upon. Any such contract shall be a continuing, valid, and
20binding obligation of the purchaser for such period of years,
21not to exceed 40, as may be provided in such contract.
22    Any such contract entered into to supply water to a
23municipal corporation or political subdivision shall provide
24that the payments to be made thereunder shall be from the
25revenues to be derived by such municipality or political
26subdivision from the operation of the waterworks system or

 

 

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1combined waterworks and sewer system of such municipality or
2political subdivision or from receipts from other sources
3available to the municipality or political subdivision,
4including grants and loans. Any such contract made by a
5commission and a purchaser that is such a municipal
6corporation or political subdivision to supply water may
7contain provisions whereby the purchaser is obligated to pay
8for such supply of water without setoff or counterclaim and
9irrespective of whether such supply of water is ever
10furnished, made available, or delivered to the purchaser or
11whether any project for the supply of water contemplated by
12any such contract is completed, operable, or operating and
13notwithstanding any suspension, interruption, interference,
14reduction, or curtailment of the supply of water from such
15project. The contract may provide that, if one or more of the
16other purchasers defaults in the payment of its obligations
17under such contract or similar contract made with the supplier
18of the water, the remaining purchasers party to such contract
19or such similar contract shall be required to pay for all or a
20portion of the obligations of the defaulting purchaser. Each
21municipal corporation or political subdivision that enters
22into such a contract shall be obligated and have the duty to
23include an amount sufficient to pay the annual amount of its
24obligation each year in the next succeeding appropriation
25ordinances. No prior appropriation shall be required for a
26municipality or political subdivision to authorize the

 

 

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1payments, advances, or obligations provided for in such
2contracts or this subsection. Any such contract shall not be a
3debt within the meaning of any statutory or constitutional
4limitations.
5    (e) Additional powers. In addition to any other powers set
6forth in this Division and in the agreement, a commission has
7the following powers:
8        (1) The power to enter into intergovernmental police
9    assistance agreements with any municipality or county.
10        (2) The power to enter into intergovernmental
11    agreements with any unit of local government or other
12    governmental entity in order to carry out the purposes for
13    which the commission was formed.
14(Source: P.A. 102-684, eff. 12-16-21.)
 
15    (65 ILCS 5/11-135.5-35)
16    Sec. 11-135.5-35. Revenues; rates; costs; construction
17contracts.
18    (a) Revenue fund. Whenever bonds are issued under this
19Division, the revenue received from the operation of the
20properties under the control of the commission shall be set
21aside as collected and deposited in a separate fund to be used
22only (1) in paying the cost of the operation and maintenance of
23those properties, (2) in providing an adequate depreciation
24fund, (3) in paying the principal of and interest upon the
25revenue bonds issued by the commission, as provided by this

 

 

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1Division, (4) to comply with the covenants of the ordinance or
2resolution, or the master trust indenture or any applicable
3supplemental trust indenture or both, authorizing the issuance
4of such bonds, and (5) to carry out the corporate purposes and
5powers of the commission.
6    (b) Rates and charges for waterworks system. If the
7commission has charge of the operation of a complete
8waterworks system, including the distribution mains, the
9commission shall establish rates and charges for water and the
10use of commission waterworks system facilities, which shall be
11sufficient at all times to pay the cost of operation and
12maintenance, to provide an adequate depreciation fund, to pay
13the principal of and interest upon all revenue bonds issued as
14provided by this Division, to comply with the covenants of the
15ordinance or resolution, or the master trust indenture or any
16applicable supplemental trust indenture or both, authorizing
17the issuance of such bonds, and to carry out the corporate
18purposes and powers of the commission. Charges and rates shall
19be established, revised, and maintained by ordinance and
20become payable as the commission may determine by ordinance.
21    (c) Rates and charges for water source of supply. If the
22commission has charge of the operation of a common source of
23supply of water, the municipalities represented by the
24commission shall contract with the commission for water. These
25municipalities shall establish such charges and rates for
26water supplied by them to consumers as will be sufficient at

 

 

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1all times (1) to pay the cost of operation and maintenance of
2the respective waterworks systems (or combined waterworks and
3sewerage systems) of the municipalities, (2) to provide an
4adequate depreciation fund therefor, (3) to pay the principal
5of and interest on all revenue bonds of the municipalities
6payable from the revenues of the waterworks system (or
7combined waterworks and sewerage system), and (4) to pay the
8charges and rates established by the commission for the sale
9of water by the commission to, and the use of commission
10waterworks system facilities by, those municipalities. The
11commission shall establish such charges and rates for water
12supplied to those municipalities and the use of commission
13waterworks system facilities as will be sufficient at all
14times (1) to pay the cost of operation and maintenance of the
15common source of supply of water, (2) to provide an adequate
16depreciation fund therefor, (3) to pay the principal of and
17interest on the revenue bonds issued by the commission, (4) to
18comply with the covenants of the ordinance or resolution, or
19the master trust indenture or any applicable supplemental
20trust indenture or both, authorizing the issuance of such
21bonds, and (5) to carry out the corporate purposes and powers
22of the commission, under the provisions of this Division.
23Contracts entered into between the commission and the
24specified municipalities shall include covenants for the
25establishment of rates and charges as provided in this
26Section.

 

 

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1    (d) Pension costs. Contributions to a retirement fund or
2other pension alternative authorized by the Illinois Pension
3Code, including, without limitation, the Illinois Municipal
4Retirement Fund, by commissions created under this Division
5which have been included under the retirement fund or other
6pension alternative shall be considered a cost of operation
7and maintenance for the purposes of this Section.
8    (e) Enforcement of obligations. An owner A holder of a
9bond or of any of its coupons issued under this Division, a
10trustee under a master trust indenture or supplemental trust
11indenture or both with respect to the bonds issued under this
12Division, or both the owner and trustee may, in a civil action,
13mandamus action, or other proceeding, may enforce and compel
14performance of all duties required by this Division to be
15performed by such a commission or by any of the
16municipalities, including the making of rates and charges, the
17collecting of sufficient revenue, and the application thereof,
18as provided in this Division.
19    (f) Construction contracts. All or any portion of a
20waterworks system or other public improvement of such a
21commission, when the expense thereof will exceed the greater
22of (i) $25,000 or (ii) the amount of expense above which a work
23or public improvement by a municipality must be let to the
24lowest responsible bidder after advertising for bids under
25Section 8-9-1 of this Code, shall be constructed, maintained,
26or repaired either: (1) by a contract let to the lowest

 

 

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1responsible bidder after advertising for bids, in the manner
2prescribed by the commission's bylaws, rules, and regulations
3and by the vote required as established in the
4intergovernmental agreement pursuant to Section 11-135.5-25;
5or (2) without advertising for bids, if authorized by a vote of
6greater than a majority of all the commissioners as
7established in the intergovernmental agreement pursuant to
8Section 11-135.5-25. The commission's bylaws, rules, and
9regulations shall provide for an alternative procedure for
10emergency procurement if an emergency makes it impracticable
11to follow the procedures in this subsection.
12    (g) Alternative project delivery. A commission may use
13alternative project delivery methods if the commission
14determines it to be in the commission's best interest for a
15particular project. An alternative project delivery method may
16include, without limitation, design-build or
17construction-manager-at-risk. All notices for the procurement
18of goods, services, or work to be provided pursuant to an
19alternate delivery method shall include all requirements for
20the goods, services, or work to be procured. All awards of
21contracts or agreements for the procurement of goods,
22services, or work to be provided pursuant to an alternate
23delivery method shall be made on the basis of demonstrated
24competence and qualifications and with due regard for the
25principles of competitive selection. As part of an alternate
26project delivery procurement process, prior to submission of

 

 

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1proposals, the commission may conduct meetings and exchange
2confidential information with proposers to promote
3understanding of the request for proposals, review alternative
4design concepts, or discuss other issues related to the
5procurement.
6    As used in this subsection:
7    "Construction-manager-at-risk" means a delivery method in
8which the party proposing to be the construction manager
9commits to be responsible for performance of certain
10preconstruction services and, if the parties reach agreement
11on key terms, becomes responsible for construction of the
12project.
13    "Design-build" means a delivery method that provides
14responsibility within a single contract for furnishing the
15architectural, engineering, land-surveying, and related
16services for the project, as well as the labor, materials,
17equipment, and other construction services for the project.
18    (h) Procurement goals and requirements. A commission may
19establish goals or requirements for the procurement of goods
20and services and for construction contracts to promote and
21encourage the continuing economic development of (i)
22businesses that are owned and operated by minorities, women,
23persons with disabilities, or veterans; (ii) businesses that
24are located within the territory of one or more of the
25municipalities that are members of the commission; (iii)
26businesses that employ persons who reside in the territory of

 

 

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1one or more of the municipalities that are members of the
2commission; (iv) businesses that are located within the
3territory of a municipality having more than 2,000,000
4inhabitants in which a portion of the commission's waterworks
5system or other commission improvement is located; or (v)
6businesses that employ persons who reside in the territory of
7a municipality having more than 2,000,000 inhabitants in which
8a portion of the commission's waterworks system or other
9commission improvement is located.
10    A commission may also establish other goals or
11requirements that result in the award to a responsible bidder
12other than the lowest responsible bidder if the commission
13determines that the award is in the commission's best
14interests, notwithstanding the requirements of subsection (f).
15Goals or requirements that are set by a commission that result
16in a preference being applied to a bidder or proposer, who has
17met those goals or requirements, in a commission's process for
18awarding construction contracts and for the procurement of
19goods and services must comply with the constitutional
20standards applicable to the preferences.
21    (i) Contract assignment. A member municipality may enter
22into a contract for any portion of a waterworks system or other
23public improvement of a commission pursuant to a contracting
24method that is consistent with the requirements applicable to
25the municipality and generally consistent with the principles
26in subsection (f) or (g). The commission may accept assignment

 

 

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1of such a contract and of payment obligations under that
2contract.
3    (j) (g) Project labor agreement. In connection with a
4contract by a commission for the construction of all or any
5portion of a waterworks system or other public improvement of
6the commission, the commission must enter into a project labor
7agreement with the applicable local building trades council
8prior to the commencement of any and all construction,
9building, renovation, demolition, or any material change to
10the structure or land.
11(Source: P.A. 102-684, eff. 12-16-21.)
 
12    (65 ILCS 5/11-135.5-50 new)
13    Sec. 11-135.5-50. Solicitation of proposals.
14    (a) A commission may enter into design-build contracts. In
15addition to the requirements set forth in its local
16ordinances, when the commission elects to use the design-build
17delivery method, it must issue a notice of intent to receive
18proposals for the project at least 14 days before issuing the
19request for the proposal. The commission must publish the
20advance notice in the manner prescribed by ordinance, which
21shall include posting the advance notice online on its
22website. The commission may publish the notice in construction
23industry publications or post the notice on construction
24industry websites. A brief description of the proposed
25procurement must be included in the notice. The commission

 

 

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1must provide a copy of the request for proposal to any party
2requesting 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 commission.
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 Commission shall
14    include, at a minimum, its normal prequalification,
15    licensing, registration, and other requirements; however,
16    nothing precludes the use of additional prequalification
17    criteria by the commission.
18        (5) Material requirements of the contract, including,
19    but not limited to, the proposed terms and conditions,
20    required performance and payment bonds, and insurance.
21        (6) The performance criteria.
22        (7) The evaluation criteria for each phase of the
23    solicitation. Price may not be used as a factor in the
24    evaluation of Phase I proposals.
25        (8) The number of entities that will be considered for
26    the technical and cost evaluation phase.

 

 

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1    (c) The commission may include any other relevant
2information that it chooses to supply. The design-build entity
3shall be entitled to rely upon the accuracy of this
4documentation in the development of its proposal.
5    (d) The date that proposals are due must be at least 21
6calendar days after the date of the issuance of the request for
7proposal. If the cost of the project is estimated to exceed
8$12,000,000, then the proposal due date must be at least 28
9calendar days after the date of the issuance of the request for
10proposal. The commission shall include in the request for
11proposal a minimum of 30 days to develop the Phase II
12submissions after the selection of entities from the Phase I
13evaluation is completed.
 
14    (65 ILCS 5/11-135.5-55 new)
15    Sec. 11-135.5-55. Development of scope and performance
16criteria.
17    (a) The commission shall develop, with the assistance of a
18licensed design professional or public art designer, a request
19for proposal, which shall include scope and performance
20criteria. The scope and performance criteria must be in
21sufficient detail and contain adequate information to
22reasonably apprise the qualified design-build entities of the
23commission's overall programmatic needs and goals, including
24criteria and preliminary design plans, general budget
25parameters, schedule, and delivery requirements.

 

 

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1    (b) Each request for proposal shall also include a
2description of the level of design to be provided in the
3proposals. This description must include the scope and type of
4renderings, drawings, and specifications that, at a minimum,
5will be required by the commission to be produced by the
6design-build entities.
7    (c) The scope and performance criteria shall be prepared
8by a design professional or public art designer who is an
9employee of the commission, or the commission may contract
10with an independent design professional or public art designer
11selected under the Local Government Professional Services
12Selection Act to provide these services.
13    (d) The design professional or public art designer that
14prepares the scope and performance criteria is prohibited from
15participating in any design-build entity proposal for the
16project.
17    (e) The design-build contract may be conditioned upon
18subsequent refinements in scope and price and may allow the
19commission to make modifications in the project scope without
20invalidating the design-build contract.
 
21    (65 ILCS 5/11-135.5-60 new)
22    Sec. 11-135.5-60. Procedures for selection.
23    (a) The commission must use a two-phase procedure for the
24selection of the successful design-build entity. Phase I of
25the procedure will evaluate and shortlist the design-build

 

 

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1entities based on qualifications, and Phase II will evaluate
2the technical and cost proposals.
3    (b) The commission shall include in the request for
4proposal the evaluating factors to be used in Phase I. These
5factors are in addition to any prequalification requirements
6of design-build entities that the commission has set forth.
7Each request for proposal shall establish the relative
8importance assigned to each evaluation factor and subfactor,
9including any weighting of criteria to be employed by the
10commission. The commission must maintain a record of the
11evaluation scoring to be disclosed in event of a protest
12regarding the solicitation.
13    The commission shall include the following criteria in
14every Phase I evaluation of design-build entities: (i)
15experience of personnel; (ii) successful experience with
16similar project types; (iii) financial capability; (iv)
17timeliness of past performance; (v) experience with similarly
18sized projects; (vi) successful reference checks of the firm;
19and (vii) commitment to assign personnel for the duration of
20the project and qualifications of the entity's consultants.
21    The commission may include any additional relevant
22criteria in Phase I that it deems necessary for a proper
23qualification review. The commission may not consider any
24design-build entity for evaluation or award if the entity has
25any pecuniary interest in the project or has other
26relationships or circumstances, including, but not limited to,

 

 

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1long-term leasehold, mutual performance, or development
2contracts with the commission, that may give the design-build
3entity a financial or tangible advantage over other
4design-build entities in the preparation, evaluation, or
5performance of the design-build contract or that create the
6appearance of impropriety.
7    Upon completion of the qualifications evaluation, the
8commission shall create a shortlist of the most highly
9qualified design-build entities. The commission, in its
10discretion, is not required to shortlist the maximum number of
11entities as identified for Phase II evaluation, provided that
12no less than 2 design-build entities nor more than 6 are
13selected to submit Phase II proposals. The commission shall
14notify the entities selected for the shortlist in writing.
15This notification shall commence the period for the
16preparation of the Phase II technical and cost evaluations.
17The commission must allow sufficient time for the shortlist
18entities to prepare their Phase II submittals considering the
19scope and detail requested by the commission.
20    (c) The commission shall include in the request for
21proposal the evaluating factors to be used in the technical
22and cost submission components of Phase II. Each request for
23proposal shall establish, for both the technical and cost
24submission components of Phase II, the relative importance
25assigned to each evaluation factor and subfactor, including
26any weighting of criteria to be employed by the commission.

 

 

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1The commission must maintain a record of the evaluation
2scoring to be disclosed in event of a protest regarding the
3solicitation.
4    The commission shall include the following criteria in
5every Phase II technical evaluation of design-build entities:
6(i) compliance with objectives of the project; (ii) compliance
7of proposed services to the request for proposal requirements;
8(iii) quality of products or materials proposed; (iv) quality
9of design parameters; (v) design concepts; (vi) innovation in
10meeting the scope and performance criteria; and (vii)
11constructability of the proposed project. The commission may
12include any additional relevant technical evaluation factors
13it deems necessary for proper selection.
14    The commission shall include the following criteria in
15every Phase II cost evaluation: the total project cost; the
16construction costs; and the time of completion. The commission
17may include any additional relevant technical evaluation
18factors it deems necessary for proper selection. The total
19project cost criteria weighting factor shall not exceed 30%.
20    The commission shall directly employ or retain a licensed
21design professional or a public art designer to evaluate the
22technical and cost submissions to determine if the technical
23submissions are in accordance with generally accepted industry
24standards.
25    Upon completion of the technical submissions and cost
26submissions evaluation, the commission may award the

 

 

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1design-build contract to the highest overall ranked entity.
 
2    (65 ILCS 5/11-135.5-65 new)
3    Sec. 11-135.5-65. Small projects. In any case where the
4total overall cost of the project is estimated to be less than
5$12,000,000, the commission may combine the two-phase
6procedure for selection described in Section 11-135.5-60 into
7one combined step, provided that all the requirements of
8evaluation are performed in accordance with Section
911-135.5-60.
 
10    (65 ILCS 5/11-135.5-70 new)
11    Sec. 11-135.5-70. Submission of proposals. Proposals must
12be properly identified and sealed. Proposals may not be
13reviewed until after the deadline for submission has passed as
14set forth in the request for proposals. All design-build
15entities submitting proposals shall be disclosed after the
16deadline for submission, and all design-build entities who are
17selected for Phase II evaluation shall also be disclosed at
18the time of that determination.
19    Proposals shall include a bid bond in the form and
20security as designated in the request for proposals. Proposals
21shall also contain a separate sealed envelope with the cost
22information within the overall proposal submission. Proposals
23shall include a list of all design professionals, public art
24designers, and other entities to which any work may be

 

 

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1subcontracted during the performance of the contract.
2    Proposals must meet all material requirements of the
3request for proposal or they may be rejected as
4non-responsive. The commission has the right to reject any and
5all proposals.
6    The drawings and specifications of the proposal may remain
7the property of the design-build entity.
8    The commission shall review the proposals for compliance
9with the performance criteria and evaluation factors.
10    Proposals may be withdrawn prior to evaluation for any
11cause. After evaluation begins by the commission, clear and
12convincing evidence of error is required for withdrawal.
 
13    (65 ILCS 5/11-135.5-75 new)
14    Sec. 11-135.5-75. Award; performance. The commission may
15award the contract to the highest overall ranked entity.
16Notice of award shall be made in writing. Unsuccessful
17entities shall also be notified in writing. The commission may
18not request a best and final offer after the receipt of
19proposals. The commission may negotiate with the selected
20design-build entity after award but prior to contract
21execution for the purpose of securing better terms than
22originally proposed, provided that the salient features of the
23request for proposal are not diminished.
24    A design-build entity and associated design professionals
25shall conduct themselves in accordance with the relevant laws

 

 

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1of this State and the related provisions of the Illinois
2Administrative Code.
 
3    Section 99. Effective date. This Act takes effect upon
4becoming law.".