Full Text of SB1875 97th General Assembly
SB1875 97TH GENERAL ASSEMBLY |
| | 97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012 SB1875 Introduced 2/10/2011, by Sen. A. J. Wilhelmi SYNOPSIS AS INTRODUCED: |
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Creates the Responsible Bidder in Service Contracts Act. Provides certain criteria for "lowest responsible bidder". Provides that a bidder who, within a 3-year period, has twice violated the prevailing wage provisions of the Illinois Procurement Code shall be deemed not to be a responsible bidder for 4 years. Provides that a bidder shall remain neutral in any union organizing campaign. Provides that when an award is not recommended to be given to the lowest bidder, the purchasing agent shall prepare a statement of the reasons for the recommendation. Provides that when 2 or more responsible bidders submit the same low bid, the contract award shall be determined by drawing lots. Provides for a private right of action. Effective immediately.
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| | | FISCAL NOTE ACT MAY APPLY | |
| | A BILL FOR |
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| 1 | | AN ACT concerning finance.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 1. Short title. This Act may be cited as the | 5 | | Responsible Bidder in Service Contracts Act. | 6 | | Section 5. Purpose. The State expends substantial | 7 | | municipal funds for public services. A large portion of that | 8 | | money derives from taxes paid by Illinois residents. It is | 9 | | therefore in the public interest, health, welfare, and safety | 10 | | to let all public service contracts of $2,000 or more or $200 | 11 | | or more per month to the lowest responsive and responsible | 12 | | bidder. | 13 | | Section 10. Definition. For purposes of this Act the terms | 14 | | "work" and "labor" mean the same as "services" as defined in | 15 | | Section 25-60 of the Illinois Procurement Code. | 16 | | Section 15. Criteria. "Lowest responsible bidder" is a | 17 | | bidder who meets all of the following applicable criteria and | 18 | | submits evidence of that compliance: | 19 | | (a) Compliance with all applicable laws prerequisite | 20 | | to doing business in Illinois. | 21 | | (b) Compliance with: |
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| 1 | | (1) Federal employer tax identification number or, | 2 | | for sole proprietors, social security number | 3 | | requirements. | 4 | | (2) Provisions of the Equal Employment Opportunity | 5 | | Act of 1972 (42 U.S.C. 2000e through 2000e-17) and | 6 | | Federal Executive Order No. 11246 as amended by Federal | 7 | | Executive Order No. 11375. | 8 | | (c) Certificates of insurance indicating the following | 9 | | coverage as necessary for the contract and in amounts | 10 | | specified in the bid specifications: | 11 | | (1) General liability. | 12 | | (2) Worker's compensation. | 13 | | (3) Hazardous occupation. | 14 | | (4) Product liability. | 15 | | (5) Professional liability. | 16 | | (d) Proof of performance bond, which in no event shall | 17 | | provide coverage for less than 20% of the total cost of the | 18 | | contract to be awarded. | 19 | | (e) Compliance with Section 25-60 of the Illinois | 20 | | Procurement Code, including wages and fringe benefits for | 21 | | those classifications of services covered in the Code. | 22 | | (f) All labor shall be covered by an approved health | 23 | | and hospital plan and an approved pension plan. A statement | 24 | | of employee benefits must be completed and made part of the | 25 | | bid in order for the bid to be accepted. | 26 | | (g) Proof of any professional or trade license required |
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| 1 | | by law for any trade or specialty area in which the bidder | 2 | | is seeking a contract award. Additionally, the bidder must | 3 | | disclose any suspension or revocation of such a license | 4 | | held by the company, or of any director, officer, or | 5 | | manager employed by the bidder. | 6 | | Failure to produce these items within 5 business days after | 7 | | the date of written request by the State shall result in the | 8 | | bidder's disqualification. | 9 | | Section 20. Employee misclassification. A contractor must | 10 | | swear under oath that employees on the project are properly | 11 | | classified pursuant to the federal tax code and as clarified in | 12 | | current IRS regulations. | 13 | | Section 25. Prevailing wage requirements. | 14 | | (a) A bidder who has been found to be in violation of the | 15 | | prevailing wage provisions of the Illinois Procurement Code | 16 | | twice within a 3-year period shall be deemed not to be a | 17 | | responsible bidder for 4 years after the date of the latest | 18 | | finding. | 19 | | (b) A bidder must file with the State a signed statement | 20 | | that the bidder has reviewed the prevailing wage provisions of | 21 | | the Illinois Procurement Code, that the bidder has reviewed and | 22 | | agrees to pay the applicable prevailing wage rate as set forth | 23 | | in the wage rate schedule attached to the bid specifications, | 24 | | and that the bidder will strictly comply with Section 25-60 of |
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| 1 | | the Illinois Procurement Code. | 2 | | Section 30. Union neutrality. A bidder or contractor shall | 3 | | remain neutral in any union organizing campaign and shall not | 4 | | use public funds to influence the decision of its employees to | 5 | | join or not join the union of their choice. | 6 | | Section 35. Additional criteria available. If the criteria | 7 | | set forth in Section 15 are otherwise satisfied, the State may | 8 | | also consider the following factors, in its discretion, in | 9 | | awarding the project if that information is requested: | 10 | | (a) Statements as to past performance, which shall give | 11 | | an accurate and complete record of all work completed in | 12 | | the past 3 years by the contractor. The bidder shall give | 13 | | the names and addresses of the projects, original contract | 14 | | price, final contract price, and the names of all | 15 | | subcontractors used, if applicable, and a statement as to | 16 | | compliance with awarded contracts. | 17 | | (b) Any determinations relating to violations of | 18 | | federal, state, or local laws including but not limited to | 19 | | violations of OSHA, the National Labor Relations Act, or | 20 | | the McNamara Service Contract Act. | 21 | | Section 40. Debarment. For any second or subsequent | 22 | | violation of these provisions by an employer or entity, as | 23 | | determined by the Department of Central Management Services |
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| 1 | | (CMS), which is within 3 years of an earlier violation by the | 2 | | employer or entity, CMS shall add the name of the employer or | 3 | | entity to a list to be posted on CMS's official website. Upon | 4 | | posting the name of the employer or entity, CMS shall notify | 5 | | the violating employer or entity. No state contract shall be | 6 | | awarded to an employer or entity appearing on the list until 4 | 7 | | years have elapsed from the date of its last violation. | 8 | | Section 45. Lowest bidder not chosen. When the award is not | 9 | | recommended to be given to the lowest responsible bidder, a | 10 | | statement of the reasons for that award recommendation shall be | 11 | | prepared by the purchasing agent. | 12 | | Section 50. Multiple low bids. When 2 or more responsible | 13 | | bidders submit the same low bid, the contract award shall be | 14 | | determined by drawing lots in the presence of the responsible | 15 | | bidders involved. However, if one bidder is a local bidder and | 16 | | one is a non-local bidder, then the local bidder shall be | 17 | | awarded the contract. | 18 | | Section 55. Private right of action. | 19 | | (a) An interested party or person aggrieved by a violation | 20 | | of this Act or any rule adopted under this Act by an employer | 21 | | or entity may file suit in circuit court in the county where | 22 | | the alleged offense occurred or where any person who is party | 23 | | to the action resides, without regard to exhaustion of any |
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| 1 | | alternative administrative remedies provided in this Act. | 2 | | Actions may be brought by one or more persons for and on behalf | 3 | | of themselves and other persons similarly situated. A person | 4 | | whose rights have been violated under this Act by an employer | 5 | | or entity is entitled to collect: | 6 | | (1) the amount of any wages, salary, or employment; | 7 | | (2) compensatory damages and an amount up to $500 for | 8 | | each violation of this Act or any rule adopted under this | 9 | | Act; | 10 | | (3) in the case of unlawful retaliation, all legal or | 11 | | equitable relief as may be appropriate; and | 12 | | (4) attorney's fees and costs. | 13 | | (b) The right of an interested party or aggrieved person to | 14 | | bring an action under this Section terminates 3 years after the | 15 | | final date the party performed services for the employer or | 16 | | entity. This limitations period is tolled if an employer or | 17 | | entity has deterred a person's exercise of rights under this | 18 | | Act. | 19 | | Section 60. Materiality. The requirements of this Act are a | 20 | | material part of the contract, and the successful bidder shall | 21 | | incorporate those requirements into all subcontracts. | 22 | | Section 97. Severability. The provisions of this Act are | 23 | | severable under Section 1.31 of the Statute on Statutes.
| 24 | | Section 99. Effective date. This Act takes effect upon |
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| 1 | | becoming law.
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