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| [ Introduced ] | [ House Amendment 001 ] |
90_HB0291eng
30 ILCS 505/6 from Ch. 127, par. 132.6
Amends the Illinois Purchasing Act. Increases from one
year to 10 years the maximum period that a contractor may be
suspended for violating competitive procurement procedures or
failing to conform to contract specifications or delivery
terms. Effective immediately.
LRB9001427MWpc
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1 AN ACT to amend the Illinois Purchasing Act by changing
2 Section 6.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Illinois Purchasing Act is amended by
6 changing Section 6 as follows:
7 (30 ILCS 505/6) (from Ch. 127, par. 132.6)
8 Sec. 6. State agency purchasing procedures. State
9 agencies may provide that prospective contractors be
10 prequalified to determine their responsibility, as required
11 by this Act. State agencies shall also provide, among other
12 matters which are not in conflict with the policies and
13 principles herein set forth:
14 a. That all purchases, contracts and expenditure of
15 funds shall be awarded pursuant to a competitive selection
16 procedure which may provide that contracts be awarded to the
17 lowest responsible bidder considering conformity with
18 specifications, terms of delivery, quality and
19 serviceability, except as provided in paragraphs e, f, g and
20 h of this Section.
21 However, a competitive selection procedure need not be
22 followed in the following cases:
23 (1) Where the goods or services to be procured are
24 economically procurable from only one source, such as
25 contracts for local exchange telephone service,
26 electrical energy, and other public utility services,
27 books, pamphlets and periodicals, and specially designed
28 business and research equipment and related supplies.
29 (2) Where the services required are for
30 professional or artistic skills pursuant to a written
31 contract.
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1 (3) In emergencies involving public health, public
2 safety, or where immediate expenditure is necessary for
3 repairs to State property in order to protect against
4 further loss of or damage to State property, to prevent
5 or minimize serious disruption in State services or to
6 insure the integrity of State records.
7 If funds are expended in an emergency under this
8 subdivision a(3), by purchase, contract, or otherwise,
9 the person authorizing the expenditure shall file an
10 affidavit with the Auditor General within 10 days after
11 the purchase or contract, setting forth the amount
12 expended, the name of the vendor or contractor, and the
13 circumstances requiring the emergency purchase. If only
14 an estimate of the cost is available at the time of
15 filing, the person authorizing the expenditure must
16 report the actual cost to the Auditor General as soon as
17 that cost is determined.
18 The Auditor General shall file with the Legislative
19 Audit Commission and the Governor, at the end of each
20 fiscal quarter, a complete listing of all emergency
21 purchases and contracts reported during that fiscal
22 quarter. The Legislative Audit Commission shall make a
23 thorough review of all emergency purchases so reported,
24 and in its annual report to the General Assembly the
25 Commission shall identify any emergency purchase that
26 appears to constitute an abuse of the authority granted
27 under this subdivision a(3).
28 (4) In case of expenditures for personal services
29 paid to employees or officers of a State agency. As used
30 in this paragraph, "personal services" has the meaning
31 ascribed to that term in Section 14 of the State Finance
32 Act.
33 (5) Contracts for repairs, maintenance, remodeling,
34 renovation, or construction of a single project involving
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1 an expenditure not to exceed $10,000 and not involving a
2 change or increase in the size, type or extent of an
3 existing facility.
4 (6) Contracts for repairs, maintenance, or any
5 other services not specifically exempt from a competitive
6 selection procedure under this Act where individual
7 orders for such services do not exceed $25,000.
8 (7) Purchases of commodities and equipment where
9 individual orders are less than $25,000.
10 (8) Contracts for the maintenance or servicing of,
11 or provision of repair parts for equipment which are made
12 with the manufacturers or authorized service agent of
13 that equipment where the provision of parts, maintenance
14 or servicing can best be performed by the manufacturer or
15 authorized service agent or such a contract would
16 otherwise be advantageous to the State, but the exception
17 provided in this sub-paragraph (8) does not apply to the
18 subdivisions of work listed in paragraph a-1-a of this
19 Section.
20 (9) Where the goods or services are procured from
21 another governmental agency.
22 (10) Purchases and contracts for the use, purchase,
23 delivery, movement or installation of data processing
24 equipment, software or services and telecommunications
25 and inter-connect equipment, software and services.
26 (11) Personal service contracts made by members,
27 officers, committees, or commissions of the General
28 Assembly.
29 (12) Any contract for duplicating machines and
30 supplies.
31 (13) Any contract for the purchase of natural gas
32 when the cost is less than that offered by a public
33 utility.
34 (14) Any contract for State Lottery tickets or
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1 shares or for other State Lottery game related services.
2 (15) Purchases of and contracts for office
3 equipment and associated supplies when such contracts
4 provide for prices that are equal to or lower than
5 Federal General Services Administration contracts and
6 when such contracts or pricing result in economical
7 advantage to the State.
8 (16) Purchases and contracts by the Department of
9 State Police for the use, purchase or installation of
10 forensic science laboratory analytical equipment and
11 analytical data processing equipment used for forensic
12 science laboratory purposes only, including equipment
13 which is microprocessor controlled or controllable, and
14 its software. Prior to the purchase of or contract for
15 such equipment, the Director of the Department of State
16 Police shall certify to the Comptroller and the Auditor
17 General that such equipment is necessary and an integral
18 component of the Department of State Police's statutory
19 investigatory duties and that competitive bidding will
20 hamper such statutory duties. Such certification shall
21 include the prices of and specifications of the equipment
22 to be purchased or contracted for and the prices,
23 specifications and reasons for rejection of comparative
24 equipment by the Department of State Police. The
25 Comptroller shall file such certification with any
26 purchase vouchers or files maintained for the purchase.
27 The Auditor General shall require such certification to
28 be noted in audits performed at his direction.
29 (17) Purchases and contracts by the Department of
30 Nuclear Safety for the use, purchase or installation of
31 radiochemistry laboratory equipment, instruments and
32 equipment used to detect radiation or radioactivity, and
33 data processing equipment used for purposes of detecting
34 radiation or radioactivity. Prior to the purchase of or
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1 contract for such equipment, the Director of the
2 Department of Nuclear Safety shall certify to the
3 Comptroller that such equipment is necessary and an
4 integral component of the Department of Nuclear Safety's
5 emergency response or radiation monitoring programs and
6 that competitive bidding will hamper such programs. Such
7 certification shall include the prices of and
8 specifications of the equipment to be purchased or
9 contracted for and the prices, specifications and reasons
10 for rejection of comparable equipment by the Department
11 of Nuclear Safety. The Comptroller shall file such
12 certification with any purchase vouchers or files
13 maintained for the purchase.
14 a-1. In case of contracts for the construction of
15 buildings, or for other construction work in or about
16 buildings and grounds, where the entire estimated cost of
17 such work exceeds $25,000, State agencies may provide that
18 prospective contractors, as well as architects and engineers
19 employed in connection with such projects, be prequalified to
20 determine their responsibility. Such prequalification may
21 require, without limitation, that the applicant for
22 prequalification list all public works contracts he has
23 performed within 2 years of the date of application, or the 4
24 most recent public works contracts he has performed,
25 whichever is fewer, and state whether he complied with the
26 Illinois Wage Assignment Act in performing such contracts.
27 Such statement shall be made under oath or affirmation and if
28 made falsely is punishable as perjury under Section 32-2 of
29 the Criminal Code of 1961.
30 a-1-a. Separate specifications shall be prepared, with
31 the exception of the Cardinal Creek Housing project and 2
32 grade schools associated with the Scott Joint-Use Airport in
33 St. Clair County which shall be permitted, as a one-time
34 exclusion, to allow turn-key development of the required
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1 facilities on the basis of competitive quality, performance,
2 and price, for all equipment, labor and materials in
3 connection with the following 5 subdivisions of the work to
4 be performed:
5 1. Plumbing.
6 2. Heating, piping, refrigeration and automatic
7 temperature control systems, including the testing and
8 balancing of such systems.
9 3. Ventilating and distribution systems for
10 conditioned air, including the testing and balancing of
11 such systems.
12 4. Electric wiring.
13 5. General contract work.
14 Such specifications shall be so drawn as to permit
15 separate and independent competitive bidding upon each of the
16 above 5 subdivisions of work; provided, however, if the total
17 estimated cost of all such work is less than $250,000,
18 separate and independent specifications are not required.
19 All contracts awarded for any part thereof shall award the 5
20 subdivisions of such work separately to responsible and
21 reliable persons, firms or corporations engaged in these
22 classes of work. Such contracts, at the discretion of the
23 awarding authority, may be assigned to the successful bidder
24 on the general contract work, or to the successful bidder on
25 the subdivision of work designated by the awarding authority
26 prior to competitive bidding as the prime subdivision of
27 work; provided that all payments will be made directly to the
28 contractors for the 5 subdivisions of such work upon
29 compliance with the conditions of the contract. A contract
30 may be let for one or more buildings in any project to the
31 same contractor. The specifications shall require, however,
32 that unless the buildings are identical, a separate price
33 shall be submitted for each building. The contract may be
34 awarded to the lowest responsible bidder for each or all of
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1 the buildings included in the specifications.
2 As used in this subdivision a-1-a, "competitive bidding"
3 means bidding in which (i) bids are publicly solicited and
4 opened, (ii) the terms and conditions of the solicitation and
5 the bidding process apply equally to all bidders, (iii) bids
6 are awarded to the lowest responsive responsible bidder, and
7 (iv) the procedures used and imposed by the agency conform to
8 any applicable agency rules. A solicitation for bids may not
9 impose restrictions on source, supplier, or manufacturer,
10 except as otherwise provided in this Section. Competitive
11 bidding constitutes a competitive selection procedure for the
12 purposes of this Act.
13 Whenever any contract entered into by a State agency for
14 the repair, remodeling, renovation or construction of a
15 building or structure or for the construction or maintenance
16 of a highway, as those terms are defined in Article 2 of the
17 Illinois Highway Code, or for the reclamation of abandoned
18 lands as those terms are defined in Article I of the
19 Abandoned Mined Lands and Water Reclamation Act, provides for
20 retention of a percentage of the contract price until final
21 completion and acceptance of the work, upon the request of
22 the contractor and with the approval of the State agency the
23 amount so retained may be deposited under a trust agreement
24 with an Illinois bank of the contractor's choice and subject
25 to the approval of the State agency. The contractor shall
26 receive any interest thereon. Upon application by the
27 contractor, the trust agreement must contain, as a minimum,
28 the following provisions:
29 A. the amount to be deposited subject to the trust;
30 B. the terms and conditions of payment in case of
31 default of the contractor;
32 C. the termination of the trust agreement upon
33 completion of the contract; and
34 D. the contractor shall be responsible for
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1 obtaining the written consent of the bank trustee, and
2 any costs or service fees shall be borne by the
3 contractor.
4 The trust agreement may, at the discretion of the State
5 agency and upon request of the contractor, become operative
6 at the time of the first partial payment in accordance with
7 existing statutes and the State agency procedures.
8 a-2. In case of contracts for the purchase of supplies,
9 materials, commodities and equipment, wherever feasible
10 proposals shall be required to be itemized as to kind and the
11 solicitation for proposals shall state, with such degree of
12 particularity as the nature of the case permits, the quantity
13 of each item required.
14 a-3. That all contracts for the rental or lease of
15 electronic data processing equipment shall include a clause
16 that if more favorable terms are granted by the lessor,
17 supplier, dealer, or manufacturer to any similar state or
18 local governmental agency in any state in contemporaneous
19 leases or rental agreements covering data processing
20 equipment let under the same or similar financial terms and
21 circumstances, the more favorable terms shall be applicable
22 to all agreements or contracts made by any similar Illinois
23 state agency for the rental or lease of comparable data
24 processing equipment from the lessor, supplier, dealer, or
25 manufacturer.
26 b. That competitive procurement procedures shall be in
27 conformance with accepted business practices.
28 c. That proposals shall be publicly opened at the day
29 and hour and at the place specified in the solicitations.
30 d. That any contractor, person, or business may be
31 suspended for up to 5 years not more than one year for
32 violation of the competitive procurement procedure or rules
33 of any State agency, or for failure to conform to
34 specifications or terms of delivery, or for any act involving
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1 the procurement or performance of any public contract that is
2 indicative of a lack of business integrity and honesty. No
3 State agency shall enter into or approve a contract with a
4 suspended contractor, person, or business; or shall approve
5 any subcontract, material supply agreement, equipment lease,
6 or other business involvement with or by any suspended
7 contractor, person, or business in connection with a contract
8 entered into or approved by the Agency during the period of
9 suspension.
10 e. When a public contract is to be awarded under
11 competitive selection procedures, a resident contractor must
12 be allowed a preference as against a non-resident bidder from
13 any state which gives or requires a preference to contractors
14 from that state. The preference is to be equal to the
15 preference given or required by the state of the non-resident
16 contractor. Further, if only non-resident contractors are
17 under consideration, the purchasing agency is within its
18 right to specify that Illinois labor and manufacturing
19 locations be used as a part of the manufacturing process, if
20 applicable. This specification may be negotiated, as part of
21 the solicitation process.
22 f. "Resident contractor" as used in this Section means a
23 person authorized to transact business in this State and
24 having a bona fide establishment for transacting business
25 within this State at which it was actually transacting
26 business on the date when any competitive solicitation for a
27 public contract is first advertised or announced, including a
28 foreign corporation duly authorized to transact business in
29 this State which has a bona fide establishment for
30 transacting business within this State at which it was
31 actually transacting business on the date when any
32 competitive solicitation for a public contract is first
33 advertised or announced.
34 g. Paragraphs e and f of this Section do not apply to
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1 any contract for any project as to which federal funds are
2 available for expenditure when such paragraphs may be in
3 conflict with federal law or federal regulation.
4 h. When a public contract is to be awarded under
5 competitive procurement procedures, an otherwise qualified
6 bidder who will fulfill the contract through the use of
7 products made of recycled materials may, on a pilot basis or
8 pursuant to a pilot study, be given preference over other
9 contractors unable to do so, provided that the cost included
10 in the proposal of products made of recycled materials is not
11 more than 10% greater than the cost of such products not made
12 of recycled materials.
13 i. That every contract for the provision of goods or
14 services shall provide that the vendor or contractor shall
15 maintain, for a minimum of 5 years after the completion of
16 the contract, adequate books, records, and supporting
17 documents to verify the amounts, recipients, and uses of all
18 disbursements of funds passing in conjunction with the
19 contract; that the contract and all books, records, and
20 supporting documents related to the contract shall be
21 available for review and audit by the Auditor General; and
22 that the contractor agrees to cooperate fully with any audit
23 conducted by the Auditor General and to provide full access
24 to all relevant materials. Failure to maintain the books,
25 records, and supporting documents required by this Section
26 shall establish a presumption in favor of the State for the
27 recovery of any funds paid by the State under the contract
28 for which adequate books, records, and supporting
29 documentation are not available to support their purported
30 disbursement.
31 j. A contract or expenditure that was made after June
32 30, 1992 and before the effective date of this amendatory Act
33 of 1995 shall not become invalid or be otherwise affected by
34 the changes to subdivision a-1-a of this Section made by this
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1 amendatory Act of 1995.
2 (Source: P.A. 88-45; 89-254, eff. 8-8-95.)
3 Section 99. Effective date. This Act takes effect upon
4 becoming law.