Full Text of HB3384 100th General Assembly
HB3384 100TH GENERAL ASSEMBLY |
| | 100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018 HB3384 Introduced , by Rep. Jeanne M Ives SYNOPSIS AS INTRODUCED: |
| 50 ILCS 105/3 | from Ch. 102, par. 3 |
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Amends the Public Officer Prohibited Activities Act. Provides that a public officer's direct or indirect financial interest in a contract or work to be done is not removed by an abstention or present vote. Provides that an abstention during a vote on a contract or the performance of any work is considered a vote and carries with the majority. Effective immediately.
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| | A BILL FOR |
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| 1 | | AN ACT concerning local government.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Public Officer Prohibited Activities Act is | 5 | | amended by changing Section 3 as follows:
| 6 | | (50 ILCS 105/3) (from Ch. 102, par. 3)
| 7 | | Sec. 3. Prohibited interest in contracts.
| 8 | | (a) No person holding any office, either by election or
| 9 | | appointment under the laws or Constitution of this State, may | 10 | | be in any
manner financially interested directly
in
his own | 11 | | name or indirectly in
the name of any other person, | 12 | | association, trust, or corporation, in any
contract or the | 13 | | performance of any work in the making or letting of
which such | 14 | | officer may be called upon to act or vote. Any direct or | 15 | | indirect financial interest of an officer is not removed by an | 16 | | abstention or present vote. An abstention during a vote on a | 17 | | contract or the performance of any work is considered a vote | 18 | | and carries with the majority. No such officer
may represent, | 19 | | either as agent or otherwise, any person, association,
trust, | 20 | | or corporation, with respect to any application or bid for any
| 21 | | contract or work in regard to which such officer may be called | 22 | | upon to
vote. Nor may any such officer take or receive, or | 23 | | offer to take or
receive, either directly or indirectly, any |
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| 1 | | money or other thing of
value as a gift or bribe or means of | 2 | | influencing his vote or action in
his official character. Any | 3 | | contract made and procured in violation
hereof is void. This | 4 | | Section shall not apply to any person serving on an
advisory | 5 | | panel or commission, to any director serving on a hospital
| 6 | | district board as provided under subsection (a-5) of Section 13 | 7 | | of the Hospital
District Law, or to any person serving as both | 8 | | a contractual employee and as a member of a public hospital | 9 | | board as provided under Article 11 of the Illinois Municipal | 10 | | Code in a municipality with a population between 13,000 and | 11 | | 16,000 that is located in a county with a population between | 12 | | 50,000 and 70,000.
| 13 | | (b) However, any elected or appointed member of the | 14 | | governing body
may provide materials, merchandise, property, | 15 | | services, or labor, subject
to
the following provisions under | 16 | | either paragraph (1) or (2):
| 17 | | (1) If:
| 18 | | A. the contract is with a person, firm, | 19 | | partnership, association,
corporation, or cooperative | 20 | | association in which such interested member
of the | 21 | | governing body of the municipality has less than a 7 | 22 | | 1/2% share in
the ownership; and
| 23 | | B. such interested member publicly discloses the | 24 | | nature and extent
of his interest prior to or during | 25 | | deliberations concerning the proposed
award of the | 26 | | contract; and
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| 1 | | C. such interested member abstains from voting on | 2 | | the award of the
contract, though he shall be | 3 | | considered present for the purposes of
establishing a | 4 | | quorum; and
| 5 | | D. such contract is approved by a majority vote of | 6 | | those members
presently holding office; and
| 7 | | E. the contract is awarded after sealed bids to the | 8 | | lowest
responsible bidder if the amount of the contract | 9 | | exceeds $1500, or
awarded without bidding if the amount | 10 | | of the contract is less than
$1500; and
| 11 | | F. the award of the contract would not cause the | 12 | | aggregate amount of
all such contracts so awarded to | 13 | | the same person, firm, association,
partnership, | 14 | | corporation, or cooperative association in the same | 15 | | fiscal
year to exceed $25,000.
| 16 | | (2) If:
| 17 | | A. the award of the contract is approved by a | 18 | | majority vote of the
governing body of the municipality | 19 | | provided that any such interested member
shall abstain | 20 | | from voting; and
| 21 | | B. the amount of the contract does not exceed | 22 | | $2,000; and
| 23 | | C. the award of the contract would not cause the | 24 | | aggregate amount of
all such contracts so awarded to | 25 | | the same person, firm, association,
partnership, | 26 | | corporation, or cooperative association in the same |
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| 1 | | fiscal
year to exceed $4,000; and
| 2 | | D. such interested member publicly discloses the | 3 | | nature and extent
of his interest prior to or during | 4 | | deliberations concerning the proposed
award of the | 5 | | contract; and
| 6 | | E. such interested member abstains from voting on | 7 | | the award of the
contract, though he shall be | 8 | | considered present for the purposes of
establishing a | 9 | | quorum.
| 10 | | (b-5) In addition to the above exemptions, any elected or | 11 | | appointed
member
of the governing body may provide materials, | 12 | | merchandise, property, services,
or labor if:
| 13 | | A. the contract is with a person, firm, partnership, | 14 | | association,
corporation, or cooperative association in | 15 | | which the interested member of the
governing body of the | 16 | | municipality, advisory panel, or commission has less than
a | 17 | | 1% share in the ownership; and
| 18 | | B. the award of the contract is approved by a majority | 19 | | vote of the
governing body of the municipality provided | 20 | | that any such interested member
shall abstain from voting; | 21 | | and
| 22 | | C. such interested member publicly discloses the | 23 | | nature and extent of his
interest before or during | 24 | | deliberations concerning the proposed award of the
| 25 | | contract; and
| 26 | | D. such interested member abstains from voting on the |
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| 1 | | award of the
contract, though he shall be considered | 2 | | present for the purposes of
establishing a quorum.
| 3 | | (c) A contract for the procurement of public utility | 4 | | services by
a
public entity with a public utility company is | 5 | | not barred by this
Section by one or more members of the | 6 | | governing body of the public
entity being an officer or | 7 | | employee of the public utility company or
holding an ownership | 8 | | interest of no more than 7 1/2% in the public
utility company, | 9 | | or holding an ownership interest of any size if the public
| 10 | | entity is a municipality with a population of less than 7,500 | 11 | | and the public
utility's rates are approved by the Illinois | 12 | | Commerce Commission. An elected
or appointed member of the | 13 | | governing body of the public entity having such
an interest | 14 | | shall be deemed not to have a prohibited interest under this
| 15 | | Section.
| 16 | | (d) Notwithstanding any other provision of this Section or | 17 | | any
other
law to the contrary, until January 1, 1994, a member | 18 | | of
the city council of a municipality with a population under | 19 | | 20,000 may
purchase real estate from the municipality, at a | 20 | | price of not less than
100% of the value of the real estate as | 21 | | determined by a written MAI
certified appraisal or by a written | 22 | | certified appraisal of a State
certified or licensed real | 23 | | estate appraiser,
if the purchase is approved by a
unanimous | 24 | | vote of the city council members then holding office (except | 25 | | for
the member desiring to purchase the real estate, who shall | 26 | | not vote on the
question).
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| 1 | | (e) For the purposes of this Section only, a municipal | 2 | | officer shall not
be deemed interested if the officer is an | 3 | | employee of a company or owns or
holds
an
interest of 1% or | 4 | | less in the municipal officer's individual name in a company,
| 5 | | or
both, that company is involved in the
transaction of | 6 | | business
with the municipality, and that company's stock is | 7 | | traded on a nationally
recognized securities market, provided | 8 | | the interested member: (i) publicly
discloses the fact that he | 9 | | or she is an employee or holds an interest of 1% or
less in a | 10 | | company before deliberation of the proposed award of the
| 11 | | contract; (ii) refrains from evaluating, recommending, | 12 | | approving, deliberating,
or otherwise participating in | 13 | | negotiation, approval, or both, of the contract,
work, or | 14 | | business; (iii) abstains from voting on the award of the | 15 | | contract
though he or she shall be considered present for | 16 | | purposes of establishing a
quorum; and (iv) the contract is | 17 | | approved by a majority vote of those members
currently holding | 18 | | office.
| 19 | | A municipal officer shall not be deemed interested if the | 20 | | officer owns or
holds an interest of 1% or less, not in the | 21 | | officer's individual name but
through a mutual fund or | 22 | | exchange-traded fund, in a company, that company is involved in | 23 | | the
transaction
of business with the municipality, and that | 24 | | company's stock is traded on a
nationally recognized securities | 25 | | market.
| 26 | | (f) Under either of the following circumstances, a |
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| 1 | | municipal or county officer may hold a position on the board of | 2 | | a not-for-profit corporation that is interested in a contract, | 3 | | work, or business of the municipality or county: | 4 | | (1) If the municipal or county officer is appointed by | 5 | | the governing body of the municipality or county to | 6 | | represent the interests of the municipality or county on a | 7 | | not-for-profit corporation's board, then the municipal or | 8 | | county officer may actively vote on matters involving | 9 | | either that board or the municipality or county, at any | 10 | | time, so long as the membership on the not-for-profit board | 11 | | is not a paid position, except that the municipal or county | 12 | | officer may be reimbursed by the not-for-profit | 13 | | non-for-profit board for expenses incurred as the result of | 14 | | membership on the not-for-profit non-for-profit board. | 15 | | (2) If the municipal or county officer is not appointed | 16 | | to the governing body of a not-for-profit corporation by | 17 | | the governing body of the municipality or county, then the | 18 | | municipal or county officer may continue to serve; however, | 19 | | the municipal or county officer shall abstain from voting | 20 | | on any proposition before the municipal or county governing | 21 | | body directly involving the not-for-profit corporation | 22 | | and, for those matters, shall not be counted as present for | 23 | | the purposes of a quorum of the municipal or county | 24 | | governing body. | 25 | | (Source: P.A. 97-520, eff. 8-23-11; 98-1083, eff. 1-1-15; | 26 | | revised 9-22-16.)
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| 1 | | Section 99. Effective date. This Act takes effect upon | 2 | | becoming law.
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