State of Illinois
90th General Assembly
Legislation

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90_HB1912

      65 ILCS 5/8-10-3          from Ch. 24, par. 8-10-3
      65 ILCS 5/8-10-5          from Ch. 24, par. 8-10-5
      65 ILCS 5/8-10-6          from Ch. 24, par. 8-10-6
      65 ILCS 5/8-10-7          from Ch. 24, par. 8-10-7
      65 ILCS 5/8-10-8.5
      65 ILCS 5/8-10-10         from Ch. 24, par. 8-10-10
      65 ILCS 5/8-10-13         from Ch. 24, par. 8-10-13
          Amends the Municipal Code to provide that purchases  over
      $25,000  (now  $10,000)  shall  be  made  by  free  and  open
      competitive bidding.  Increases to $100,000 (now $40,000) the
      amount  of emergency purchases for supplies, materials, work,
      or equipment (now supplies, materials, or equipment) that may
      be made without competitive bidding.  Effective immediately.
                                                     LRB9003023PTcw
                                               LRB9003023PTcw
 1        AN ACT to amend the Illinois Municipal Code  by  changing
 2    Sections  8-10-3,  8-10-5, 8-10-6, 8-10-7, 8-10-8.5, 8-10-10,
 3    and 8-10-13.
 4        Be it enacted by the People of  the  State  of  Illinois,
 5    represented in the General Assembly:
 6        Section  5.  The  Illinois  Municipal  Code is amended by
 7    changing Sections 8-10-3, 8-10-5, 8-10-6,  8-10-7,  8-10-8.5,
 8    8-10-10, and 8-10-13 as follows:
 9        (65 ILCS 5/8-10-3) (from Ch. 24, par. 8-10-3)
10        Sec.  8-10-3.  Except  as  otherwise herein provided, all
11    purchase orders or contracts of whatever nature,  for  labor,
12    services  or  work,  the purchase, lease, or sale of personal
13    property, materials, equipment or supplies, involving amounts
14    in excess of $25,000 $10,000, made by or  on  behalf  of  any
15    such  municipality, shall be let by free and open competitive
16    bidding  after  advertisement,  to  the  lowest   responsible
17    bidder,  or,  in  the  appropriate  instance,  to the highest
18    responsible  bidder,  depending   upon   whether   the   such
19    municipality  is  to  expend  or  to  receive money. All such
20    purchase orders or contracts, as defined  above,  that  which
21    shall  involve  amounts of $25,000 $10,000, or less, shall be
22    let in  the  manner  described  above  whenever  practicable,
23    except  that  these  such purchase orders or contracts may be
24    let in the open market in a manner calculated to  insure  the
25    best  interests  of the public, after solicitation of bids by
26    mail, telephone, or otherwise. The provisions of this Section
27    are subject  to  any  contrary  provision  contained  in  the
28    Illinois  Mined  Coal  Act  "An  Act  concerning  the  use of
29    Illinois mined coal  in  certain  plants  and  institutions",
30    filed July 13, 1937, as heretofore and hereafter amended.
31    (Source: P.A. 81-1376.)
                            -2-                LRB9003023PTcw
 1        (65 ILCS 5/8-10-5) (from Ch. 24, par. 8-10-5)
 2        Sec.  8-10-5.  In  the case of an emergency affecting the
 3    public  health  or  safety,  so  declared  by  the  corporate
 4    authorities of the municipality at  a  meeting  thereof  duly
 5    convened,  which  declaration  shall  require the affirmative
 6    vote of a majority of all the members thereof and  shall  set
 7    forth  the  nature  of  the  danger  to  the public health or
 8    safety, contracts may be  let  to  the  extent  necessary  to
 9    resolve  the such emergency without public advertisement. The
10    resolution or ordinance in  which  the  such  declaration  is
11    embodied  shall  fix  the  date upon which the such emergency
12    shall terminate.  The, which date may be extended or abridged
13    by  the  corporate  authorities  as  in  their  judgment  the
14    circumstances require.
15        The  purchasing  agent  hereinafter  provided  for,   may
16    purchase  or  may  authorize  in writing any agency of a such
17    municipal  government  or  of  the  institutions,  boards  or
18    commissions thereof, if any, to purchase in the  open  market
19    without  filing  a  requisition  or  estimate  therefor,  and
20    without  advertisement,  any  supplies,  materials,  work, or
21    equipment, for immediate delivery to meet bona fide operating
22    emergencies where the amount thereof  is  not  in  excess  of
23    $100,000   $40,000.  A  full  written  account  of  any  such
24    emergency together with  a  requisition  for  the  materials,
25    supplies,  work,  or  equipment  required  for  the emergency
26    therefor shall be submitted  immediately  to  the  purchasing
27    agent  and shall be open to public inspection for a period of
28    at least  one  year  subsequent  to  the  date  of  the  such
29    emergency  purchase.  The  exercise  of the authority in this
30    Section herein vested in the purchasing agent in  respect  to
31    purchases  for such bona fide operating emergencies shall not
32    be dependent upon a declaration of emergency by the corporate
33    authorities under the first paragraph of this Section.
34    (Source: P.A. 81-1376.)
                            -3-                LRB9003023PTcw
 1        (65 ILCS 5/8-10-6) (from Ch. 24, par. 8-10-6)
 2        Sec.  8-10-6.  The  responsible  head   of   each   major
 3    department,  office,  institution, board, commission, agency,
 4    or instrumentality of the  such  municipal  government  shall
 5    certify  in  writing to the purchasing agent the names of the
 6    such  officers  or  employees  who   shall   be   exclusively
 7    authorized  to  sign  requests  for  purchase  for  the  such
 8    respective    department,    office,    institution,   board,
 9    commission, agency, or instrumentality, and all requests  for
10    purchase  shall be void unless executed by the such certified
11    officers or employees and approved by the purchasing agent.
12        Except as to emergency contracts  authorized  by  Section
13    8-10-5, no undertaking involving amounts in excess of $25,000
14    $10,000  shall  be  split  into  parts, by the requisitioning
15    agent or otherwise, so  as  to  produce  amounts  of  $25,000
16    $10,000  or  less, for the purpose of avoiding the provisions
17    of this Division 10.
18        The term "responsible head" as used herein shall, in  the
19    case of the corporate authorities of the municipality, be the
20    such  member,  members,  or  committee  thereof  as  shall be
21    designated by appropriate resolution or order adopted by  the
22    such corporate authorities.
23    (Source: P.A. 81-1376.)
24        (65 ILCS 5/8-10-7) (from Ch. 24, par. 8-10-7)
25        Sec.  8-10-7.   All proposals to award purchase orders or
26    contracts involving amounts  in  excess  of  $25,000  $10,000
27    shall  be  published  at least 10 days, excluding Sundays and
28    legal holidays, in advance of  the  date  announced  for  the
29    receiving  of  bids,  in  a  secular  English  language daily
30    newspaper  of  general  circulation   throughout   the   such
31    municipality  and  shall  simultaneously be posted on readily
32    accessible bulletin boards in the office  of  the  purchasing
33    agent.  Nothing  contained in this section shall be construed
                            -4-                LRB9003023PTcw
 1    to prohibit the  purchasing  agent  from  placing  additional
 2    announcements  in  recognized  trade journals. Advertisements
 3    for  bids  shall  describe  the  character  of  the  proposed
 4    contract or agreement in  sufficient  detail  to  enable  the
 5    bidders  thereon  to  know  what  their  obligations will be,
 6    either in  the  advertisement  itself,  or  by  reference  to
 7    detailed  plans and specifications on file at the time of the
 8    publication of the first announcement. The Such advertisement
 9    shall also state the date, time and place  assigned  for  the
10    opening  of  bids,  and no bids shall be received at any time
11    subsequent  to  the  time  indicated  in  the   announcement.
12    However,  an extension of time may be granted for the opening
13    of such bids upon publication in a secular English  newspaper
14    of  general  circulation  throughout the such municipality of
15    the date to which the bid opening has been extended. The time
16    of the bid extension opening shall not be less  than  5  days
17    after its the publication thereof, Sundays and legal holidays
18    excluded.
19        Cash, cashier's check, a certified check, a comptroller's
20    certificate  of  moneys  owed the particular vendor, or a bid
21    bond with adequate surety approved by the purchasing agent as
22    a deposit of good faith, in a reasonable amount, but  not  in
23    excess  of 10% of the contract amount may be required of each
24    bidder by the purchasing agent on all bids involving  amounts
25    in  excess  of  $25,000  $10,000  and,  if  so  required, the
26    advertisement for bids shall so specify.
27    (Source: P.A. 84-1269.)
28        (65 ILCS 5/8-10-8.5)
29        Sec. 8-10-8.5.  Disclosure. Each person submitting a  bid
30    or  proposal in relation to any contract in excess of $25,000
31    $10,000 under this Division 10,  including  contracts  exempt
32    from competitive bidding under Section 8-10-4 or 8-10-5, must
33    disclose   in  his  or  her  application  the  name  of  each
                            -5-                LRB9003023PTcw
 1    individual having a beneficial interest of more than  7  1/2%
 2    in  the enterprise and, if the person wishing to submit a bid
 3    or proposal is a corporation, the names of all  its  officers
 4    and  directors.  The  person shall notify the municipality of
 5    any changes in its ownership or officers  at  the  time  such
 6    changes  occur.   In  the  case  of emergency contracts under
 7    Section 8-10-5, disclosure under this Section shall  be  made
 8    within 14 days after the contract.
 9    (Source: P.A. 89-405, eff. 11-8-95.)
10        (65 ILCS 5/8-10-10) (from Ch. 24, par. 8-10-10)
11        Sec. 8-10-10. The award of any contract involving amounts
12    in  excess of $25,000 $10,000 shall be made by the purchasing
13    agent to the lowest or highest responsible bidder as provided
14    in Section 8-10-3. Every contract involving amounts in excess
15    of $25,000 $10,000 shall be signed by the mayor or  his  duly
16    designated  agent,  by  the comptroller and by the purchasing
17    agent, respectively, of the such municipality. Each bid, with
18    the name of the bidder, shall be entered on  a  record  that,
19    which record with the name of the successful bidder indicated
20    thereon,  shall,  after  award of contract, be open to public
21    inspection in the office of the purchasing agent of the  such
22    municipality.
23        All  purchase  orders  or  contracts involving amounts of
24    $25,000 $10,000 or less shall be awarded  by  the  purchasing
25    agent to the lowest or highest responsible bidder as provided
26    in Section 8-10-3 and shall be signed by the purchasing agent
27    and by the comptroller.
28        An  official  copy  of  each  awarded  purchase  order or
29    contract together with  all  necessary  attachments  thereto,
30    including  assignments  and  written  consents thereto of the
31    purchasing agent as authorized by Section 8-10-14,  shall  be
32    retained  by the purchasing agent in an appropriate file open
33    to the public for a such period of time after termination  of
                            -6-                LRB9003023PTcw
 1    contract  during  which action against the municipality might
 2    ensue under applicable laws of limitation.  After  that  such
 3    period  the  such purchase orders, contracts, and attachments
 4    may be destroyed by direction of the purchasing agent.
 5    (Source: P.A. 81-1376.)
 6        (65 ILCS 5/8-10-13) (from Ch. 24, par. 8-10-13)
 7        Sec. 8-10-13. Bond, with sufficient sureties, in an  such
 8    amount  as  shall  be  deemed  adequate,  not  only to insure
 9    performance of contract in the time and manner prescribed  in
10    the  contract, but also to save, indemnify, and keep harmless
11    the  municipality  against   all   loss,   damages,   claims,
12    liabilities, judgments, costs, and expenses that which may in
13    any   way   anywise   accrue   against  the  municipality  in
14    consequence of the granting of the contract,  or  that  which
15    may  in  any  way anywise result from the contract therefrom,
16    may be required  of  each  bidder  upon  contracts  involving
17    amounts  in excess of $25,000 $10,000 when, in the opinion of
18    the purchasing agent, the public  interests  will  be  served
19    thereby.
20    (Source: P.A. 81-1376.)
21        Section  99.   Effective date. This Act takes effect upon
22    becoming law.

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