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90_HB3809ham001 LRB9008460JMmbam03 1 AMENDMENT TO HOUSE BILL 3809 2 AMENDMENT NO. . Amend House Bill 3809 by replacing 3 everything after the enacting clause with the following: 4 "ARTICLE 1 5 GENERAL PROVISIONS 6 Section 1-1. Short title. This Act may be cited as the 7 Illinois Procurement Code of 1999. 8 Section 1-5. Public policy. It is the purpose of this 9 Code and is declared to be the policy of the State that the 10 principles of competitive bidding and economical procurement 11 practices shall be applicable to all purchases and contracts 12 by or for any State agency. 13 Section 1-10. Application. 14 (a) This Code applies only to procurements for which 15 contractors were first solicited on or after January 1, 1999. 16 This Code shall not be construed to affect or impair any 17 contract, or any provision of a contract, entered into prior 18 to the implementation date of this Code as described in 19 Article 99, including but not limited to, any covenant 20 entered into with respect to any revenue bonds or similar -2- LRB9008460JMmbam03 1 instruments. 2 (b) This Code applies regardless of the source of the 3 funds with which the contracts are paid, including federal 4 assistance moneys. This Code does not apply to: (1) 5 contracts between the State and its political subdivisions or 6 other governments, or between State governmental bodies 7 except as specifically provided in this Code; (2) grants; (3) 8 purchase of care; (4) contracts for personal services as an 9 employee rather than as an independent contractor; or (5) 10 collective bargaining contracts. Nothing in this Code or in 11 rules promulgated hereunder shall prevent any State 12 governmental body from complying with the terms and 13 conditions of any grant, gift, bequest, or cooperative 14 agreement. 15 Section 1-15. Definitions. For the purposes of this 16 Code, the words set forth in the following Sections of this 17 Article have the meanings set forth in those Sections. 18 Section 1-15.03. Bidder or offeror. "Bidder" or 19 "offeror" means any person who submits a bid, proposal, or 20 other type of offer. These terms may be used 21 interchangeably. 22 Section 1-15.05. Board. "Board" means the Procurement 23 Policy Board. 24 Section 1-15.10. Business. "Business" means any 25 corporation, partnership, individual, sole proprietorship, 26 joint stock company, joint venture, or other private legal 27 entity. 28 Section 1-15.15. Chief Procurement Officer. "Chief 29 Procurement Officer" means: -3- LRB9008460JMmbam03 1 (1) for procurements for construction and 2 construction-related services committed by law to the 3 jurisdiction or responsibility of the Capital Development 4 Board, the executive director of the Capital Development 5 Board. 6 (2) for procurements for all construction, 7 construction-related services, operation of any facility, and 8 the provision of any service or activity committed by law to 9 the jurisdiction or responsibility of the Illinois Department 10 of Transportation, including the direct or reimbursable 11 expenditure of all federal funds for which the Department of 12 Transportation is responsible or accountable for the use 13 thereof in accordance with federal law, regulation, or 14 procedure, the Secretary of Transportation. 15 (3) for all procurements made by a public institution of 16 higher education, a representative designated by the 17 Governor. 18 (4) for all other procurements of the executive branch 19 under the jurisdiction of the Governor or outside the 20 jurisdiction of any other executive branch constitutional 21 officer, the Director of the Department of Central Management 22 Services. 23 (5) for all procurements under the jurisdiction of an 24 executive branch constitutional officer other than the 25 Governor, the appropriate executive branch constitutional 26 officer. 27 (6) for all procurements under the jurisdiction of the 28 President of the Senate, the President of the Senate. 29 (7) for all procurements under the jurisdiction of the 30 Speaker of the House of Representatives, the Speaker of the 31 House of Representatives. 32 (8) for all procurements under the jurisdiction of the 33 Minority Leader of the Senate, the Minority Leader of the 34 Senate. -4- LRB9008460JMmbam03 1 (9) for all procurements under the jurisdiction of the 2 Minority Leader of the House of Representatives, the Minority 3 Leader of the House of Representatives. 4 (10) for all procurements of the legislative support 5 service agencies, a person designated by the Joint Committee 6 on Legislative Support Services. 7 Section 1-15.17. Concession. "Concession" means any use 8 of State property, primarily real estate, by a party not 9 associated with State government, whether or not a charge is 10 levied for that use. 11 Section 1-15.20. Construction or construction-related 12 services. "Construction" means building, altering, 13 repairing, improving, or demolishing any public structure or 14 building, or making improvements of any kind to public real 15 property. Construction does not include the routine 16 operation, routine repair, or routine maintenance of existing 17 structures, buildings, or real property. "Construction- 18 related services" means those services including construction 19 design, layout, inspection, support, feasibility or location 20 study, research, development, planning, or other 21 investigative study undertaken by a construction agency 22 concerning construction or potential construction. 23 Section 1-15.25. Construction agency. "Construction 24 agency" means the Capital Development Board for construction 25 or remodeling of State-owned facilities; the Illinois 26 Department of Transportation for construction or maintenance 27 of roads, highways, bridges, and airports; the Illinois Toll 28 Highway Authority for construction or maintenance of toll 29 highways; and any other State agency entering into 30 construction contracts as authorized by law or by delegation 31 from the Procurement Policy Board. -5- LRB9008460JMmbam03 1 Section 1-15.30. Contract. "Contract" means all types 2 of State agreements, regardless of what they may be called, 3 for the procurement or use of goods, services, including 4 professional or artistic services, construction, or real 5 property leases, and including master contracts and contracts 6 for financing through use of installment or lease-purchase 7 arrangements. 8 Section 1-15.35. Cost-reimbursement contract. 9 "Cost-reimbursement contract" means a contract under which a 10 contractor is reimbursed for costs that are allowable and 11 allocable in accordance with the contract terms and the 12 provisions of this Code, and a fee, if any. 13 Section 1-15.37. Director. "Director" means the head 14 executive officer of a State agency. 15 Section 1-15.42. Goods. "Goods" means all personal 16 property, including but not limited to, equipment, materials, 17 printing, and insurance, and the financing of those goods. 18 Section 1-15.44. Grant. "Grant" means the furnishing by 19 the State of assistance, whether financial or otherwise, to 20 any person to support a program authorized by law. It does 21 not include an award, the primary purpose of which is to 22 procure an end product for the direct benefit or use of the 23 State governmental body making the grant, whether in the form 24 of goods, services, or construction; a contract resulting 25 from such an award is not a grant but a procurement contract. 26 Section 1-15.47. Inspector General. "Inspector General" 27 means that person appointed by the Governor as Inspector 28 General for Procurement under Section 5-10. -6- LRB9008460JMmbam03 1 Section 1-15.50. Invitation for bids. "Invitation for 2 bids" means the process by which a purchasing agency requests 3 information from bidders, including all documents, whether 4 attached or incorporated by reference, used for soliciting 5 bids. 6 Section 1-15.53. Negotiation. "Negotiation" means the 7 process of selecting a contractor other than by competitive 8 sealed bids, or multi-step sealed bidding, whereby a 9 purchasing agency can establish any and all terms and 10 conditions of a procurement contract by discussion with one 11 or more prospective contractors. 12 Section 1-15.55. Person. "Person" means any business, 13 public or private corporation, partnership, individual, 14 union, committee, club, unincorporated association or other 15 organization or group of individuals, or other legal entity. 16 Section 1-15.56. Personal services. "Personal services" 17 means services rendered to the State by an individual, as an 18 employee and not an independent contractor, and for whom 19 federal income taxes are withheld. 20 Section 1-15.57. Price. "Price" means any dollar 21 related factor relevant to the State, including but not 22 limited to, discounts and transportation, and where specified 23 in purchase specifications or descriptions, "price" means 24 total or life cycle costs. 25 Section 1-15.58. Procurement. "Procurement" means 26 buying, renting, leasing, licensing, or otherwise acquiring 27 any goods, services, construction, or real estate lease. It 28 also includes all functions that pertain to the obtaining 29 same, including describing requirements, selection and -7- LRB9008460JMmbam03 1 soliciting sources, preparing and awarding contracts, and all 2 phases of contract administration. 3 Section 1-15.60. Professional and artistic services. 4 "Professional and artistic services" means those services 5 provided under contract to a State agency by a person or 6 business, acting as an independent contractor, qualified by 7 education, experience, and technical ability to advise and 8 assist in solving specific management and programmatic 9 problems involving the organization, planning, direction, 10 control, and operation of State agencies. 11 Section 1-15.65. Purchase description. "Purchase 12 description" means the words used in a solicitation to 13 describe the supplies, services, professional or artistic 14 services, construction, or real property or capital 15 improvements to be procured or leased and includes 16 specifications attached to or made a part of the 17 solicitation. 18 Section 1-15.67. Purchase of care. "Purchase of care" 19 means a contract with a person for the furnishing of medical, 20 educational, psychiatric, vocational, rehabilitative, social, 21 or human services directly to a recipient of a State aid 22 program. 23 Section 1-15.70. Purchasing agency. "Purchasing agency" 24 means a State agency that is authorized by this Code, by its 25 implementing rules, or by authorized delegation of a State 26 purchasing officer to enter into contracts. 27 Section 1-15.75. Request for proposals. "Request for 28 proposals" means the process by which a purchasing agency 29 requests information from offerors, including all documents, -8- LRB9008460JMmbam03 1 whether attached or incorporated by reference, used for 2 soliciting proposals. 3 Section 1-15.80. Responsible bidder or offeror. 4 "Responsible bidder or offeror" means a person who has the 5 capability in all respects to perform fully the contract 6 requirements and the integrity and reliability that will 7 assure good faith performance. 8 Section 1-15.85. Responsive bidder. "Responsive bidder" 9 means a person who has submitted a bid that conforms in all 10 material respects to the invitation for bids. 11 Section 1-15.90. Services. "Services" means the 12 furnishing of labor, time, or effort by a contractor, not 13 involving the delivery of a specific end product other than 14 reports or supplies that are incidental to the required 15 performance. 16 Section 1-15.93. Solicitation. "Solicitation" means an 17 invitation for bids, request for proposals, request for 18 information, or other means of requesting contractors to 19 respond with offers or qualifications. 20 Section 1-15.95. Specifications. "Specifications" means 21 any description, provision, or requirement pertaining to the 22 physical or functional characteristics or of the nature of a 23 supply, service, or other item to be procured under a 24 contract. Specifications may include a description of any 25 requirement for inspecting, testing, or preparing a supply, 26 service, professional or artistic service, construction, or 27 other item for delivery. 28 Section 1-15.100. State agency. "State agency" means -9- LRB9008460JMmbam03 1 all officers, boards, commissions, and agencies created by 2 the Constitution, whether in the executive or legislative 3 branch; all officers, departments, boards, commissions, 4 agencies, institutions, authorities, universities, bodies 5 politic and corporate of the State; and administrative units 6 or corporate outgrowths of the State government that are 7 created by or in accordance with statute, other than units of 8 local government and their officers, school districts, and 9 boards of election commissioners; all public employee 10 retirement systems or investment boards that are subject to 11 fiduciary duties imposed by the Illinois Pension Code; and 12 all administrative units and corporate outgrowths of State 13 agencies and as may be created by executive order of the 14 Governor. "State agency" does not include the Illinois 15 Comprehensive Health Insurance Board. 16 Section 1-15.105. State purchasing officer. "State 17 purchasing officer" means a person appointed by a chief 18 procurement officer to exercise the procurement authority 19 created by this Code. 20 Section 1-15.110. Supplies. "Supplies" means all 21 personal property, including but not limited to equipment, 22 materials, printing, and insurance, and the financing of 23 those supplies. 24 Section 1-15.115. Using agency. "Using agency" means a 25 State agency that uses items procured under this Code. 26 Section 1-25. Property rights. No person shall have any 27 right to a specific contract with the State unless that 28 person has a contract that has been signed by an officer or 29 employee of the purchasing agency with appropriate signature 30 authority, or by officers or employees as required by Section -10- LRB9008460JMmbam03 1 20-57. The State shall be under no obligation to issue an 2 award or execute a contract. 3 Section 1-30. Applicability to the Judicial Branch. The 4 judicial branch is exempt from this Code. The judicial 5 branch shall make procurements in accordance with rules 6 promulgated to meet its needs. Procurement rules promulgated 7 by the judicial branch may incorporate provisions of this 8 Code. 9 ARTICLE 5 10 POLICY ORGANIZATION 11 Section 5-5. Procurement Policy Board. 12 (a) Creation. There is created a Procurement Policy 13 Board. 14 (b) Authority and duties. The Board shall have the 15 authority and responsibility to promulgate rules, consistent 16 with this Code, governing the procurement, management, 17 control, and disposal of supplies, services, professional or 18 artistic services, construction, and real property and 19 capital improvement leases procured by the State. All rules 20 shall be promulgated and published in accordance with the 21 Illinois Administrative Procedure Act. The Board shall 22 consider and decide matters of policy within the provisions 23 of this Code. The Board shall have the power to audit and 24 monitor the implementation of its rules and the requirements 25 of this Code but shall not exercise authority over the award 26 or administration of any particular contract or over any 27 dispute, claim, or litigation pertaining to a particular 28 contract, except as provided in Section 20-30. The Board 29 shall maintain a list of all State vendors, contractors, and 30 bidders from information supplied by the State purchasing 31 officers. -11- LRB9008460JMmbam03 1 (c) Members. The Board shall consist of 5 members 2 appointed by the Governor, with the advice and consent of the 3 Senate, three-fifths of the members elected concurring by 4 record vote. No more than 3 members may be of the same 5 political party. Each member shall have demonstrated 6 sufficient business or professional experience in the area of 7 procurement to perform the functions of the Board. 8 (d) Terms. Of the initial appointees, the Governor 9 shall designate one member to serve a one-year term, 2 10 members to serve 2-year terms, and 2 members to serve 3-year 11 terms. Subsequent terms shall be 4 years. Members may be 12 reappointed for succeeding terms. 13 (e) Reimbursement. Members shall receive no 14 compensation but shall be reimbursed for any expenses 15 reasonably incurred in the performance of their duties. 16 (f) Staff support. The Board shall have sufficient 17 staff to perform the duties required by this Code. 18 Section 5-10. Inspector General for Procurement. 19 (a) Creation and appointment. There is created the 20 Office of the Inspector General for Procurement. The 21 Governor, with the advice and consent of the Senate, 22 three-fifths of the members elected concurring by record 23 vote, shall appoint the Inspector General for a 6-year term. 24 (b) Authority and duties. The Inspector General shall 25 be responsible for overseeing implementation of the Board's 26 rules and policies. The Inspector General shall report any 27 suspected violations to the appropriate agency, the State's 28 Attorney in the county in which the suspected violation 29 occurs, and the Attorney General. 30 (c) Compensation. The Inspector General shall be a 31 full-time position compensated in an amount equal to the 32 compensation of the Auditor General. A member of the Board 33 may not serve as Inspector General. -12- LRB9008460JMmbam03 1 (d) Staff support. The Inspector General shall have 2 sufficient staff to perform the duties required by this Code. 3 (e) The Inspector General shall file semi-annual reports 4 with the Legislative Audit Commission. 5 Section 5-25. Rulemaking authority. The Board may 6 authorize a State agency to promulgate rules to make 7 procurements when the Board determines that specific rules 8 are necessary. All rules shall be promulgated in accordance 9 with the Illinois Administrative Procedure Act and shall be 10 subject to the approval of the Board. 11 ARTICLE 10 12 PROCUREMENT ORGANIZATION 13 Section 10-5. Exercise of procurement authority. 14 (a) The State purchasing officers shall exercise the 15 procurement authority created by this Code except as 16 otherwise provided in this Code. 17 (b) (1) Procurements for all construction, construction 18 related services, operation of any facility, and the 19 provision of any service or activity committed by law to the 20 jurisdiction or responsibility of the Illinois Department of 21 Transportation, including the direct or reimbursable 22 expenditure of all federal funds for which the Department of 23 Transportation is responsible or accountable for the use 24 thereof in accordance with federal law, regulation or 25 procedure, shall be exercised by the Secretary of 26 Transportation if required to comply with federal law. 27 (2) Procurements for all construction, construction 28 related services, operation of any facility, and the 29 provision of any service or activity committed by law to the 30 jurisdiction or responsibility of the Illinois Toll Highway 31 Authority, including the direct or reimbursable expenditure -13- LRB9008460JMmbam03 1 of all federal funds for which the Authority is responsible 2 or accountable for the use thereof in accordance with federal 3 law, regulation or procedure, shall be delegated to the 4 Authority if required to comply with federal law. 5 Section 10-10. State purchasing officers. 6 (a) The appropriate chief procurement officer shall 7 appoint and the director of each State agency shall approve a 8 State purchasing officer to exercise within his or her 9 jurisdiction the procurement authority created by this Code. 10 In the absence of an appointed and approved State purchasing 11 officer, the appropriate chief procurement officer shall 12 exercise the procurement authority created by this Code. 13 No new personnel position may be created to fill the 14 position of State purchasing officer. 15 (b) Vendor list. Each State purchasing officer shall 16 maintain a list of vendors, contractors, and bidders and 17 forward that list to the Board at least once per month in 18 accordance with Board rules. 19 Section 10-15. Delegation of authority. A State 20 purchasing officer may delegate procurement powers and duties 21 to an employee under that officer's jurisdiction as 22 authorized by the Board. 23 ARTICLE 15 24 PROCUREMENT BULLETIN 25 Section 15-5. Publisher. The Board shall designate a 26 State agency responsible for publishing the Illinois 27 Procurement Bulletin. 28 Section 15-10. Contents. The Illinois Procurement 29 Bulletin shall contain notices and other information required -14- LRB9008460JMmbam03 1 by this Code or by rules promulgated under this Code to be 2 published in the Illinois Procurement Bulletin. The rules of 3 the Board promulgated under this Section shall require 4 inclusion in the Bulletin sufficient information to 5 adequately inform the public of the nature of each contract. 6 Each issue shall include a comprehensive index of its 7 contents. A purchasing agency may also choose, as applicable 8 and in accordance with rules of the Board, to place notices 9 in the official State newspaper or a newspaper circulating in 10 a locality relevant to the specified procurement. 11 Section 15-15. Publication. The Illinois Procurement 12 Bulletin shall be published at least once per month. It 13 shall be available through subscription for a minimal fee not 14 exceeding publication and distribution costs. The Illinois 15 Procurement Bulletin shall be distributed free to public 16 libraries within Illinois. 17 Each volume of the Illinois Procurement Bulletin shall be 18 available electronically and may be available in print. 19 References in this Code to the publication and distribution 20 of the Illinois Procurement Bulletin include both its print 21 and electronic formats. 22 Section 15-20. Qualified bidders. Subscription to the 23 Illinois Procurement Bulletin shall not be required to 24 qualify as a bidder or offeror under this Code. 25 Section 15-25. Bulletin content. 26 (a) Invitations for bids. Notice of each and every 27 contract that is offered, including renegotiated contracts 28 and change orders, shall be published in the Bulletin. The 29 Board may provide by rule an organized format for the 30 publication of this information, but in any case it must 31 include at least the date first offered, the date submission -15- LRB9008460JMmbam03 1 of offers is due, the location that offers are to be 2 submitted to, the purchasing State agency, the responsible 3 State purchasing officer, a brief purchase description, the 4 method of source selection, and information of how to obtain 5 a comprehensive purchase description and any disclosure and 6 contract forms. 7 (b) Contracts let or awarded. Notice of each and every 8 contract that is let or awarded, including renegotiated 9 contracts and change orders, shall be published in the next 10 available subsequent Bulletin, and the Board may provide by 11 rule an organized format for the publication of this 12 information, but in any case it must include at least all of 13 the information specified in subsection (a) as well as the 14 name of the successful responsible bidder or offeror, the 15 contract price, the number of unsuccessful responsive 16 bidders, and any other disclosure specified in any Section of 17 this Code. 18 (c) Emergency purchase disclosure. Any chief 19 procurement officer, State purchasing officer, or designee 20 exercising emergency purchase authority under this Code shall 21 publish a written description and reasons and the total cost, 22 if known, or an estimate if unknown and the name of the 23 responsible chief procurement officer and State purchasing 24 officer, and the business or person contracted with for all 25 emergency purchases in the next timely, practicable Bulletin. 26 Such description shall also state the name of the Board 27 member granting approval pursuant to Section 20-30. 28 (d) Other required disclosure. The applicable chief 29 procurement officer shall provide by rule for the organized 30 publication in a timely manner of all other disclosure 31 required in other Sections of this Code. 32 ARTICLE 20 33 SOURCE SELECTION AND CONTRACT FORMATION -16- LRB9008460JMmbam03 1 Section 20-5. Method of source selection. Unless 2 otherwise authorized by this Code or by other law, all State 3 contracts shall be awarded by competitive sealed bidding, in 4 accordance with Section 20-10. 5 Section 20-10. Competitive sealed bidding. 6 (a) Conditions for use. All contracts shall be awarded 7 by competitive sealed bidding except as otherwise provided in 8 Section 20-5. 9 (b) Invitation for bids. An invitation for bids shall 10 be issued and shall include a purchase description and the 11 material contractual terms and conditions applicable to the 12 procurement. 13 (c) Public notice. Public notice of the invitation for 14 bids shall be published in the Illinois Procurement Bulletin 15 at least 28 days before the date set in the invitation for 16 the opening of bids. 17 (d) Bid submission and opening. Bids shall be submitted 18 in a sealed form and shall be opened publicly in the presence 19 of one or more witnesses at the time and place designated in 20 the invitation for bids. The rules may provide for the 21 acceptance of bids submitted by fax, electronic data 22 exchange, or by other methods. The name of each bidder, the 23 amount of each bid, and other relevant information as may be 24 specified by rule shall be recorded. After the award of the 25 contract, the winning bid and the record of each unsuccessful 26 bid shall be open to public inspection. 27 (e) Bid acceptance and bid evaluation. Bids shall be 28 unconditionally accepted without alteration or correction, 29 except as authorized in this Code. Bids shall be evaluated 30 based on the requirements set forth in the invitation for 31 bids, which may include criteria to determine acceptability 32 such as inspection, testing, quality, workmanship, delivery, 33 and suitability for a particular purpose. Those criteria -17- LRB9008460JMmbam03 1 that will affect the bid price and be considered in 2 evaluation for award, such as discounts, transportation 3 costs, and total or life cycle costs, shall be objectively 4 measurable. The invitation for bids shall set forth the 5 evaluation criteria to be used. Only criteria set forth in 6 the invitation for bids may be used in the bid evaluation. 7 (f) Correction or withdrawal of bids. Correction or 8 withdrawal of inadvertently erroneous bids before or after 9 award, or cancellation of awards of contracts based on bid 10 mistakes, shall be permitted in accordance with rules of the 11 Board. After bid opening, no changes in bid prices or other 12 provisions of bids prejudicial to the interest of the State 13 or fair competition shall be permitted. All decisions to 14 permit the correction or withdrawal of bids based on bid 15 mistakes shall be supported by written determination made by 16 a purchasing agency. 17 (g) Award. The contract shall be awarded with 18 reasonable promptness by written notice to the lowest 19 responsible and responsive bidder whose bid meets the 20 requirements and criteria set forth in the invitation for 21 bids. 22 (h) Multi-step sealed bidding. When it is considered 23 impracticable to initially prepare a purchase description to 24 support an award based on price, an invitation for bids may 25 be issued, in accordance with the rules of the Board, 26 requesting the submission of unpriced offers to be followed 27 by an invitation for bids limited to those bidders whose 28 offers have been qualified under the criteria set forth in 29 the first solicitation. 30 Section 20-20. Small purchases. 31 (a) Amount. Any individual procurement of supplies or 32 services not exceeding $10,000 and any procurement of 33 construction not exceeding $30,000 may be made without -18- LRB9008460JMmbam03 1 competitive sealed bidding. Procurements shall not be 2 artificially divided so as to constitute a small purchase 3 under this Section. 4 (b) Adjustment. Each July 1, the small purchase 5 maximums established in subsection (a) shall be adjusted for 6 inflation as determined by the Consumer Price Index for All 7 Urban Consumers as determined by the United States Department 8 of Labor and rounded to the nearest $100. 9 Section 20-25. Sole source procurements. Contracts may 10 be awarded without notice or competition when there is only 11 one economically feasible source for the item, including but 12 not limited to, contracts for specific works of art and for 13 the services of a particular artist. Procurements under this 14 Section must be approved in advance by the Board. The 15 procuring agency shall maintain a list of contracts awarded 16 on a sole source basis including the reasons for determining 17 the contractor was the sole economically feasible source. 18 The list and the reasons shall be open to inspection, and 19 shall be published in the Illinois Procurement Bulletin in 20 the issue published after the contract is awarded. 21 Section 20-30. Emergency purchases. 22 (a) Conditions for use. In accordance with standards 23 set forth in rules promulgated by the Board, a purchasing 24 agency may make emergency procurements without competitive 25 sealed bidding or prior notice when there exists a threat to 26 public health or public safety, or when immediate expenditure 27 is necessary for repairs to State property in order to 28 protect against further loss of or damage to State property, 29 to prevent or minimize serious disruption in State services, 30 or to ensure the integrity of State records. Emergency 31 procurements shall be made with as much competition as is 32 practical under the circumstances and as required by the rule -19- LRB9008460JMmbam03 1 of the Board. Emergency procurements must be approved in 2 advance by at least one member of the Board. A written 3 description of the basis for the emergency and reasons for 4 the selection of the particular contractor shall be included 5 in the contract file. 6 (b) Notice. Before the 10th of each month, the 7 purchasing agency shall publish in the Illinois Procurement 8 Bulletin a copy of each written description and reasons and 9 the total cost of each emergency procurement made during the 10 previous month. When only an estimate of the total cost is 11 known at the time of publication, the estimate shall be 12 identified as an estimate and published. When the actual 13 total cost is determined, it shall also be published in like 14 manner before the 10th day of the next succeeding month. 15 (c) Affidavits. A purchasing agency making a 16 procurement under this Section shall file affidavits with 17 the Board and the Inspector General within 10 days after the 18 procurement setting forth the amount expended, the name of 19 the contractor involved, and the conditions and circumstances 20 requiring the emergency procurement. When only an estimate 21 of the cost is available within 10 days after the 22 procurement, the actual cost shall be reported immediately 23 after it is determined. The Board shall review the 24 affidavits for each emergency procurement at least once a 25 month, and any member of the Board may append comments. At 26 the end of each fiscal quarter, the Inspector General shall 27 file with the Auditor General, the Legislative Audit 28 Commission, and the Governor a complete listing of all 29 emergency procurements reported during that fiscal quarter. 30 The Legislative Audit Commission shall review the emergency 31 procurements so reported and, in its annual reports, advise 32 the General Assembly of procurements that appear to 33 constitute an abuse of this Section. 34 (d) Quick purchases. The Board may promulgate policies -20- LRB9008460JMmbam03 1 extending the circumstances by which a purchasing agency may 2 make purchases under this Section, including but not limited 3 to the procurement of items available at a discount for a 4 limited period of time. 5 Section 20-35. Competitive selection procedures. 6 (a) Conditions for use. The services specified in 7 Article 35 shall be procured in accordance with this Section, 8 except as authorized under Sections 20-25 and 20-30 of this 9 Article or as authorized by the Board in accordance with the 10 provisions of this Code. 11 (b) Statement of qualifications. Potential contractors 12 may submit statements of qualifications and expressions of 13 interest. The Board may specify a uniform format for 14 statements of qualifications. Persons may amend these 15 statements at any time by filing a new statement. 16 (c) Public announcement and form of request for 17 proposals. Public notice of the need for the procurement 18 shall be given in the form of a request for proposals and 19 published in the Illinois Procurement Bulletin at least 14 20 days before the date set in the request for proposals for the 21 opening of proposals. The request for proposals shall 22 describe the services required, list the type of information 23 and data required of each offeror, and shall state the 24 relative importance of particular qualifications. 25 (d) Discussions. The purchasing agency may conduct 26 discussions with any offeror who has submitted a proposal to 27 determine the offeror's qualifications for further 28 consideration. Discussions shall not disclose any 29 information derived from proposals submitted by other 30 offerors. 31 (e) Award. Award shall be made to the offeror 32 determined in writing by the purchasing agency to be best 33 qualified based on the evaluation factors set forth in the -21- LRB9008460JMmbam03 1 request for proposals and negotiation of compensation 2 determined to be fair and reasonable. If compensation cannot 3 be agreed upon with the best qualified offeror, then 4 negotiations shall be formally terminated with the selected 5 offeror. If proposals were submitted by one or more other 6 offerors determined to be qualified, negotiations may be 7 conducted with the other offeror or offerors, in the order of 8 their respective qualification ranking. The contract may be 9 awarded to the offeror then ranked as best qualified if the 10 amount of compensation is determined to be fair and 11 reasonable. 12 Section 20-40. Cancellation of invitations for bids or 13 requests for proposals. An invitation for bids, a request 14 for proposals, or any other solicitation may be cancelled, or 15 any and all bids or proposals may be rejected in whole or in 16 part as may be specified in the solicitation, when it is in 17 the best interests of the State in accordance with rules 18 promulgated by the Board. The reasons for cancellation or 19 rejection shall be made part of the contract file. 20 Section 20-45. Prequalification of suppliers. The Board 21 shall promulgate rules for the development of prequalified 22 supplier lists for appropriate categories of purchases and 23 the periodic updating of those lists. 24 Section 20-50. Specifications. Specifications shall be 25 prepared in accordance with standards set forth in rules 26 promulgated by the Board. Those standards shall include a 27 prohibition against the use of brand-name products except 28 under specified circumstances and a restriction on the use of 29 specifications drafted by a potential bidder. All 30 specifications shall seek to promote overall economy for the 31 purposes intended and encourage competition in satisfying the -22- LRB9008460JMmbam03 1 State's needs and shall not be unduly restrictive. 2 Section 20-55. Types of contracts. Subject to the 3 limitations of this Section and unless otherwise authorized 4 by law, any type of contract that will promote the best 5 interests of the State may be used, except that 6 cost-plus-a-percentage-of-cost contracts are prohibited. A 7 cost-reimbursement contract may be used only when a 8 determination is made in writing that a cost-reimbursement 9 contract is likely to be less costly to the State than any 10 other type or that it is impracticable to obtain the item 11 required except under that type of contract. The general 12 form of contracts shall be specified by the Comptroller. 13 Section 20-57. Contracts of $100,000 or more in a fiscal 14 year. 15 (a) Approval or signature. With respect to new 16 contracts, contract renewals, orders against master 17 contracts, and leases in the amount of $100,000 or more in a 18 fiscal year, and with respect to contract amendments or 19 changes to existing contracts, including change orders, task 20 orders, or requisitions that increase the value of such 21 contract to or by $100,000 or more in a fiscal year, no State 22 agency has authority to enter into any such new contract, 23 renewal, order, amendment, or change, or to file it with the 24 Comptroller, or to make payment thereon, unless and until it 25 has been approved in writing or signed by at least the 26 following 3 individuals: 27 (1) the director, secretary, or chief executive of 28 the State agency; 29 (2) the agency's State purchasing officer; and 30 (3) the chief legal counsel of the State agency; 31 provided, however, that if it does not employ a chief 32 legal counsel, then a senior administrative official of -23- LRB9008460JMmbam03 1 the State agency. 2 (b) Artificial division. Procurements shall not be 3 artificially divided to avoid the requirements of this 4 Section. 5 (c) Notification. The State purchasing officer shall 6 notify the Board and the Inspector General within 10 days of 7 the execution of any contract pursuant to this Section. 8 Section 20-60. Duration of contracts. 9 (a) Maximum duration. A contract may be entered into 10 for any period of time deemed by the Board to be in the best 11 interests of the State but not exceeding 10 years. The 12 length of a lease for real property or capital improvements 13 may be in accordance with the provisions of Section 40-25. 14 (b) Subject to appropriation. All contracts made or 15 entered into shall recite that they are subject to 16 termination and cancellation in any year for which the 17 General Assembly fails to make an appropriation to make 18 payments under the terms of the contract. 19 Section 20-65. Right to audit records. 20 (a) Maintenance of books and records. Every contract 21 and subcontract shall require the contractor or 22 subcontractor, as applicable, to maintain books and records 23 relating to the performance of the contract or subcontract 24 and necessary to support amounts charged to the State under 25 the contract or subcontract. The books and records shall be 26 maintained by the contractor for a period of 5 years from the 27 later of the date of final payment under the contract or 28 completion of the contract and by the subcontractor for a 29 period of 5 years from the later of the date of final payment 30 under the subcontract or completion of the subcontract. 31 However, the 5-year period shall be extended for the duration 32 of any audit in progress at the time of that period's -24- LRB9008460JMmbam03 1 expiration. 2 (b) Audit. Every contract and subcontract shall provide 3 that all books and records required to be maintained under 4 subsection (a) shall be available for review and audit by the 5 Auditor General and the purchasing agency. Every contract 6 and subcontract shall require the contractor and 7 subcontractor, as applicable, to cooperate fully with any 8 audit. 9 (c) Failure to maintain books and records. Failure to 10 maintain the books and records required by this Section shall 11 establish a presumption in favor of the State for the 12 recovery of any funds paid by the State for which required 13 books and records are not available. 14 Section 20-70. Finality of determinations. 15 Determinations made by a purchasing agency under this Code 16 are final and conclusive unless they are clearly erroneous, 17 arbitrary, capricious, or contrary to law. 18 Section 20-75. Disputes and protests. The Board shall 19 by rule establish procedures to be followed by purchasing 20 agencies in resolving protested solicitations and awards and 21 contract controversies, for debarment or suspension of 22 contractors, and for resolving other procurement-related 23 disputes. 24 Section 20-80. Contract files. 25 (a) Written determinations. All written determinations 26 required under this Article shall be placed in the contract 27 file maintained by the purchasing agency. 28 (b) Filing with Comptroller. Except for (1) contracts 29 paid from personal services or (2) contracts between the 30 State and its employees to defer compensation in accordance 31 with Article 24 of the Illinois Pension Code, whenever a -25- LRB9008460JMmbam03 1 contract liability exceeding $10,000 is incurred by any State 2 agency, a copy of the contract, purchase order, or lease 3 shall be filed with the Comptroller within 15 days 4 thereafter. Any cancellation or modification to any such 5 contract liability shall be filed with the Comptroller within 6 15 days after its execution. 7 (c) Late filing affidavit. When a contract, purchase 8 order, or lease required to be filed by this Section has not 9 been filed within 30 days after execution, the Comptroller 10 shall refuse to issue a warrant for payment thereunder until 11 the agency files with the Comptroller the contract, purchase 12 order, or lease and an affidavit, signed by the chief 13 executive officer of the agency or his or her designee, 14 setting forth an explanation of why the contract liability 15 was not filed within 30 days after execution. A copy of this 16 affidavit shall be filed with the Inspector General. 17 (d) Professional and artistic services contracts. No 18 voucher shall be submitted to the Comptroller for a warrant 19 to be drawn for the payment of money from the State treasury 20 or from other funds held by the State Treasurer on account of 21 any contract for services involving professional or artistic 22 skills involving an expenditure of more than $5,000 for the 23 same type of service at the same location during any fiscal 24 year unless the contract is reduced to writing before the 25 services are performed and filed with the Comptroller. When 26 a contract for professional or artistic skills in excess of 27 $5,000 was not reduced to writing before the services were 28 performed, the Comptroller shall refuse to issue a warrant 29 for payment for the services until the State agency files 30 with the Comptroller: 31 (1) a written contract covering the services, and 32 (2) an affidavit, signed by the chief executive 33 officer of the State agency or his or her designee, 34 stating that the services for which payment is being made -26- LRB9008460JMmbam03 1 were agreed to before commencement of the services and 2 setting forth an explanation of why the contract was not 3 reduced to writing before the services commenced. 4 A copy of this affidavit shall be filed with the Inspector 5 General. The Comptroller shall maintain professional or 6 artistic service contracts filed under this Section 7 separately from other filed contracts. 8 (e) Method of source selection. When a contract is 9 filed with the Comptroller under this Section, the 10 Comptroller's file shall identify the method of source 11 selection used in obtaining the contract. 12 Section 20-85. List of State contractors and bidders. 13 Each State purchasing officer and each construction agency 14 shall compile and maintain a list of all vendors, bidders, 15 and contractors who submit a bid, proposal, or other type of 16 offer, whether successful or unsuccessful. The list shall be 17 forwarded to the Board as provided by Board rules. The Board 18 shall compile and maintain a complete list of all bidders for 19 all State agencies. The Board shall update the list and 20 publish it in the Procurement Bulletin at least 21 semi-annually. The list shall be made publicly available. 22 Section 20-90. Federal requirements. A State agency 23 receiving federal funds shall have authority to adapt its 24 procedures, rules, project statements, drawings, maps, 25 surveys, plans, specifications, contract terms, estimates, 26 bid forms, bond forms, and other documents or practices 27 necessary to comply with the regulations, policies, and 28 procedures of the designated authority, administration or 29 department of the United States in order to remain eligible 30 for such federal funds; provided that procurement by any such 31 State agency using non-federal funds shall be subject to the 32 provisions of this Code. -27- LRB9008460JMmbam03 1 Section 20-95. Foreign country procurements. 2 Procurements to meet the needs of State offices located in 3 foreign countries shall comply with the provisions of this 4 Code to the extent practical. 5 Section 20-105. Donations. Nothing in this Code or in 6 the rules promulgated hereunder shall prevent any State 7 agency from complying with the terms and conditions of any 8 grant, gift, or bequest which calls for the procurement of a 9 particular good or service, or use of a particular 10 contractor, provided the grant, gift, or bequest provides 11 complete funding for the contract. 12 ARTICLE 25 13 SUPPLIES AND SERVICES (EXCLUDING 14 PROFESSIONAL OR ARTISTIC) 15 Section 25-5. Applicability. All contracts for supplies 16 and services shall be procured in accordance with the 17 provisions of this Article. 18 Section 25-10. Authority. State purchasing officers 19 shall have the authority to procure supplies and services, 20 except as that authority may be limited by the Board or 21 delegated by the State purchasing officer in accordance with 22 Section 10-15. 23 Section 25-15. Method of source selection. Except as 24 provided in Sections 20-20, 20-25, and 20-30, all State 25 contracts for supplies and services shall be awarded by 26 competitive sealed bidding in accordance with Section 20-10. 27 Section 25-20. Prevailing wage requirements. 28 (a) Applicability. All services furnished under -28- LRB9008460JMmbam03 1 printing contracts exceeding $25,000 and under service 2 contracts exceeding $2,000 or $200 per month shall be 3 performed by employees of the contractor receiving the 4 prevailing wage rate and working under conditions prevalent 5 in the locality in which the work is produced. A contract 6 bidder or offeror, in order to be considered a responsible 7 bidder or offeror for the purposes of this Code, shall 8 certify to the State purchasing officer that wages paid to 9 its employees are no less, and fringe benefits and working 10 conditions of employees are not less favorable, than those 11 prevailing in the locality where the contract is to be 12 performed. Prevailing wages and working conditions shall be 13 determined by the Director of Labor. Whenever a collective 14 bargaining agreement is in effect between an employer, other 15 than a State agency, and service or printing employees as 16 defined in this Section who are represented by a responsible 17 organization that is in no way influenced or controlled by 18 the management, that agreement and its provisions shall be 19 considered as conditions prevalent in that locality and shall 20 be the minimum requirements taken into consideration by the 21 Director of Labor. Collective bargaining agreements between 22 State employees and the State of Illinois shall not be taken 23 into account by the Department of Labor in determining the 24 prevailing wage rate. 25 (b) Services and printing defined. As used in this 26 Section, "services" means janitorial cleaning services, 27 window cleaning services, food services, and security 28 services. "Printing" means all processes and operations 29 involved in printing and any type of photographic 30 reproduction or other duplicating process, including but not 31 limited to letterpress, offset, and gravure processes, the 32 multilith method, any type of photographic or other 33 duplicating process, and the operations of composition, 34 platemaking, presswork, and binding; and the end products of -29- LRB9008460JMmbam03 1 those processes, methods, and operations. As used in this 2 Section "printing" does not include photocopiers used in the 3 course of normal business activities, photographic equipment 4 used for geographic mapping, printed matter used in the 5 normal day to day operations of the General Assembly, the 6 printing of State Lottery tickets, shares, or other State 7 Lottery game related materials, or preprinted or printed 8 matter that is commonly available to the general public from 9 contractor inventory. 10 (c) Inapplicability. This Section does not apply to 11 services furnished under contracts for professional or 12 artistic services. This Section does not apply to vocational 13 programs of training for persons with physical or mental 14 disabilities. 15 Section 25-30. More favorable terms. A supply or 16 service contract may include, if determined by a State 17 purchasing officer to be in the best interests of the State, 18 a clause requiring that if more favorable terms are granted 19 by the contractor to any similar state or local governmental 20 agency in any state in a contemporaneous agreement let under 21 the same or similar financial terms and circumstances for 22 comparable supplies or services, the more favorable terms 23 shall be applicable under the contract. 24 Section 25-35. Purchase of coal and postage stamps. 25 (a) Delivery of necessary supplies. To avoid 26 interruption or impediment of delivery of necessary supplies, 27 commodities, and coal, State purchasing officers may make 28 purchases of or contracts for supplies and commodities after 29 April 30 of a fiscal year when delivery of the supplies and 30 commodities is to be made after June 30 of that fiscal year 31 and payment for which is to be made from appropriations for 32 the next fiscal year. -30- LRB9008460JMmbam03 1 (b) Postage. All postage stamps purchased from State 2 funds must be perforated for identification purposes. A 3 General Assembly member may furnish the U.S. Post Office with 4 a warrant so as to allow for the creation or continuation of 5 a bulk rate mailing fund in the name of the General Assembly 6 member or may furnish a postage meter company or post office 7 with a warrant so as to facilitate the purchase of a postage 8 meter and its stamps. Any postage meter so purchased must 9 also contain a stamp that shall state "Official State Mail". 10 Section 25-40. Freight increases. If the Illinois 11 Department of Transportation provides by contract or 12 regulation that general increases in freight rates incurred 13 by a contractor after entering into the contract may be added 14 to the contract price or passed through to the Department, 15 then this remedy shall be available to the contractor whether 16 the increased general freight rates are for railroads, barge 17 lines, or motor carriers of property. 18 Section 25-45. Energy conservation program. State 19 purchasing officers may enter into energy conservation 20 program contracts that provide for utility cost savings. The 21 Board shall promulgate and adopt rules for the implementation 22 of this Section. 23 Section 25-55. Annual reports. Every printed annual 24 report produced by a State agency shall bear a statement 25 indicating whether it was printed by the State of Illinois or 26 by contract and indicating the printing cost per copy and the 27 number of copies printed. The Department of Central 28 Management Services shall prepare and submit to the General 29 Assembly on the fourth Wednesday of January in each year a 30 report setting forth with respect to each State agency for 31 the calendar year immediately preceding the calendar year in -31- LRB9008460JMmbam03 1 which the report is filed the total quantity of annual 2 reports printed, the total cost, and the cost per copy and 3 the cost per page of the annual report of the State agency 4 printed during the calendar year covered by the report. 5 Section 25-60. General Assembly printing; session laws. 6 (a) Authority. Public printing for the use of either 7 House of the General Assembly shall be subject to its 8 control. Any printing or operation of printing that the 9 Legislative Printing Unit is unable to perform may be 10 purchased in accordance with this Article. 11 (b) Time of delivery. Daily calendars, journals, and 12 other similar printing for which manuscript or copy is 13 delivered to the Legislative Printing Unit by the clerical 14 officer of either House shall be printed so as to permit 15 delivery at any reasonable time required by the clerical 16 officer. Any petition, bill, resolution, joint resolution, 17 memorial, and similar manuscript or copy delivered to the 18 Legislative Printing Unit by the clerical officer of either 19 House shall be printed at any reasonable time required by 20 that officer. 21 (c) Style. The manner, form, style, size, and 22 arrangement of type used in printing the bills, resolutions, 23 amendments, conference reports, and journals, including daily 24 journals, of the General Assembly shall be as provided in the 25 Rules of the General Assembly. 26 (d) Daily journal. The Clerk of the House of 27 Representatives and the Secretary of the Senate shall each 28 prepare and deliver to the Legislative Printing Unit, 29 immediately after the close of each daily session, a 30 printer's copy of the daily journal for their respective 31 House. 32 (e) Daily and bound journals. 33 (1) Subscriptions. The Legislative Printing Unit -32- LRB9008460JMmbam03 1 shall have printed the number of copies of the daily 2 journal as may be requested by the clerical officer of 3 each House. The Secretary of the Senate and the Clerk of 4 the House of Representatives shall furnish a copy of each 5 daily journal of their respective House to those persons 6 who apply therefor upon payment of a reasonable 7 subscription fee established separately by the Secretary 8 of the Senate and the Clerk of the House for their 9 respective House. Each subscriber shall specify at the 10 time he or she subscribes the address where he or she 11 wishes the journals mailed. The daily journals shall be 12 furnished free of charge on a pickup basis to State 13 offices and to the public as long as the supply lasts. 14 The Secretary of the Senate and the Clerk of the House 15 shall determine the number of journals available for 16 pickup at their respective offices. 17 (2) Other copies. After the General Assembly 18 adjourns, the Clerk of the House and the Secretary of the 19 Senate shall prepare and deliver to the Legislative 20 Printing Unit a printer's copy of matter for the regular 21 House and Senate journals, together with any matter, not 22 previously printed in the daily journals, that is 23 required by law, by order of either House, or by joint 24 resolution to be printed in the journals. The 25 Legislative Printing Unit shall have printed the number 26 of copies of the bound journal as may be requested by the 27 clerical officer of each House. A reasonable number of 28 bound volumes of the journal of each House of the General 29 Assembly shall be provided to State and local officers, 30 boards, commissions, institutions, departments, agencies, 31 and libraries requesting them through canvasses conducted 32 separately by the Secretary of the Senate and the Clerk 33 of the House. Reasonable fees established separately by 34 the Secretary of the Senate and the Clerk of the House -33- LRB9008460JMmbam03 1 may be charged for bound volumes of the journal of each 2 House of the General Assembly. 3 (f) Session laws. Immediately after the General Assembly 4 adjourns, the Secretary of State shall prepare a printer's 5 copy for the "Session Laws of Illinois" that shall set forth 6 in full all Acts and joint resolutions passed by the General 7 Assembly at the session just concluded and all executive 8 orders of the Governor taking effect under Article V, Section 9 11 of the Constitution and the Executive Reorganization 10 Implementation Act. The printer's copy shall be furnished 11 and delivered to the Secretary of State by the Enrolling and 12 Engrossing Department of the 2 Houses. At the time an 13 enrolled law is filed with the Secretary of State, whether 14 before or after the conclusion of the session in which it was 15 passed, it shall be assigned a Public Act number, the first 16 part of which shall be the number of the General Assembly 17 followed by a dash and then a number showing the order in 18 which that law was filed with the Secretary of State. The 19 title page of each volume of the session laws shall contain 20 the following: "Printed by the authority of the General 21 Assembly of the State of Illinois". The laws shall be 22 arranged by the Secretary of State and printed in the 23 chronological order of Public Act numbers. At the end of 24 each Act the dates when the Act was passed by the General 25 Assembly and when the Act was approved by the Governor shall 26 be stated. Any Act becoming law without the approval of the 27 Governor shall be marked at its end in the session laws by 28 the printed certificate of the Secretary of State. Executive 29 orders taking effect under Article V, Section 11 of the 30 Constitution and the Executive Reorganization Implementation 31 Act shall be printed in chronological order of executive 32 order number and shall state at the end of each executive 33 order the date it was transmitted to the General Assembly and 34 the date it takes effect. In the case of an amendatory Act, -34- LRB9008460JMmbam03 1 the changes made by the amendatory Act shall be indicated in 2 the session laws in the following manner: (i) all new matter 3 shall be underscored; and (ii) all matter deleted by the 4 amendatory Act shall be shown crossed with a line. The 5 Secretary of State shall prepare and furnish a table of 6 contents and an index to each volume of the session laws. 7 (g) Distribution. The bound volumes of the session laws 8 of the General Assembly shall be made available to the 9 following: 10 (1) one copy of each to each State officer, board, 11 commission, institution, and department requesting a copy 12 in accordance with a canvass conducted by the Secretary 13 of State before the printing of the session laws except 14 judges of the appellate courts and judges and associate 15 judges of the circuit courts; 16 (2) 10 copies to the law library of the Supreme 17 Court; one copy each to the law libraries of the 18 appellate courts; and one copy to each of the county law 19 libraries or, in those counties without county law 20 libraries, one copy to the clerk of the circuit court; 21 (3) one copy of each to each county clerk; 22 (4) 10 copies of each to the library of the 23 University of Illinois; 24 (5) 3 copies of each to the libraries of the 25 University of Illinois at Chicago, Southern Illinois 26 University at Carbondale, Southern Illinois University at 27 Edwardsville, Northern Illinois University, Western 28 Illinois University, Eastern Illinois University, 29 Illinois State University, Chicago State University, 30 Northeastern Illinois University, Chicago Kent College of 31 Law, DePaul University, John Marshall Law School, Loyola 32 University, Northwestern University, Roosevelt 33 University, and the University of Chicago; 34 (6) a number of copies sufficient for exchange -35- LRB9008460JMmbam03 1 purposes to the Legislative Reference Bureau and the 2 University of Illinois College of Law Library; 3 (7) a number of copies sufficient for public 4 libraries in the State and the State Library; and 5 (8) the remainder shall be retained for 6 distribution as the interests of the State may require to 7 persons making application in writing or in person for 8 the publication. 9 (h) Messages and reports. The following shall be 10 printed in a quantity not to exceed the maximum stated in 11 this subsection and bound and distributed at public expense: 12 (1) messages to the General Assembly by the 13 Governor, 10,000 copies; 14 (2) the biennial report of the Lieutenant Governor, 15 1,000 copies; 16 (3) the biennial report of the Secretary of State, 17 3,000 copies; 18 (4) the biennial report of the State Comptroller, 19 5,000 copies; 20 (5) the biennial report of the State Treasurer, 21 3,000 copies; 22 (6) the annual report of the State Board of 23 Education, 6,000 copies; and 24 (7) the biennial report and annual opinions of the 25 Attorney General, 5,000 copies. 26 The reports of all other State officers, boards, 27 commissions, institutions, and departments shall be printed, 28 bound, and distributed at public expense in a number of 29 copies determined from previous experience not to exceed the 30 probable and reasonable demands of the State therefor. Any 31 other report required by law to be made to the Governor 32 shall, upon his or her order, be printed in the quantity 33 ordered by the Governor, bound and distributed at public 34 expense. -36- LRB9008460JMmbam03 1 (i) Prohibition. All books, pamphlets, documents, and 2 reports published through or by the State of Illinois or any 3 State agency, board, or commission shall have printed thereon 4 "Printed by authority of the State of Illinois", the date of 5 each publication, the number of copies printed, and the 6 printing order number. Each using agency shall be 7 responsible for ascertaining the compliance of printing 8 materials procured by or for it with this subsection. No 9 printing or reproduction contract shall be let and no 10 printing or reproduction shall be accomplished when that 11 wording does not appear on the material to be printed or 12 reproduced. No publication may have written, stamped, or 13 printed on it, or attached to it, "Compliments of ........ 14 (naming a person)" or any words of similar import. 15 Section 25-65. Printing cost offsets. The chief 16 procurement officers may promulgate rules permitting the 17 exchange of advertising rights in or receipt of free copies 18 of printed products procured under this Article as a means of 19 reducing printing costs. The rules shall specify the 20 appropriate method of source selection to be used to 21 competitively acquire printing cost offsets. 22 ARTICLE 30 23 CONSTRUCTION AND CONSTRUCTION- 24 RELATED PROFESSIONAL SERVICES 25 Section 30-5. Applicability. Construction and 26 construction-related professional services shall be procured 27 in accordance with this Article. 28 Section 30-10. Authority. Construction agencies shall 29 have the authority to procure construction and 30 construction-related professional services. -37- LRB9008460JMmbam03 1 Section 30-15. Method of source selection. 2 (a) Competitive sealed bidding. Except as provided 3 otherwise by this Code or by other law, all State 4 construction contracts shall be awarded by competitive sealed 5 bidding in accordance with Section 20-10. 6 (b) Construction-related professional services. All 7 construction-related professional services contracts shall be 8 awarded in accordance with the provisions of the 9 Architectural, Engineering, and Land Surveying Qualifications 10 Based Selection Act and Article 35 of this Code. 11 "Professional services" means those services within the scope 12 of the practice of architecture, professional engineering, 13 structural engineering, or registered land surveying, as 14 defined by the laws of this State. 15 (c) Correctional facilities. Remodeling and 16 rehabilitation projects at correctional facilities under 17 $25,000 are exempt from the provisions of this Code only when 18 the Department of Corrections uses inmate labor for the 19 remodeling or rehabilitation. 20 Section 30-20. Prequalification. The Board shall 21 promulgate rules for the development of prequalified supplier 22 lists for construction and construction-related professional 23 services and the periodic updating of those lists. 24 Construction and construction-related professional services 25 contracts over $25,000 may be awarded to any qualified 26 suppliers pursuant to the provisions of this Code. 27 Section 30-25. Retention of a percentage of contract 28 price. Whenever any contract entered into by a construction 29 agency for the repair, remodeling, renovation, or 30 construction of a building or structure, for the construction 31 or maintenance of a highway, as those terms are defined in 32 Article 2 of the Illinois Highway Code, or for the -38- LRB9008460JMmbam03 1 reclamation of abandoned lands as those terms are defined in 2 Article I of the Abandoned Mined Lands and Water Reclamation 3 Act provides for the retention of a percentage of the 4 contract price until final completion and acceptance of the 5 work, upon the request of the contractor and with the 6 approval of the construction agency the amount so retained 7 may be deposited under a trust agreement with an Illinois 8 bank of the contractor's choice and subject to the approval 9 of the construction agency. The contractor shall receive any 10 interest on the deposited amount. Upon application by the 11 contractor, the trust agreement must contain, at a minimum, 12 the following provisions: 13 (1) the amount to be deposited subject to the 14 trust; 15 (2) the terms and conditions of payment in case of 16 default by the contractor; 17 (3) the termination of the trust agreement upon 18 completion of the contract; and 19 (4) the contractor shall be responsible for 20 obtaining the written consent of the bank trustee and for 21 any costs or service fees. 22 The trust agreement may, at the discretion of the 23 construction agency and upon request of the contractor, 24 become effective at the time of the first partial payment in 25 accordance with existing statutes and rules of the Board. 26 Section 30-30. Contracts in excess of $250,000. For 27 construction contracts in excess of $250,000, separate 28 specifications shall be prepared for all equipment, labor, 29 and materials in connection with the following 5 subdivisions 30 of the work to be performed: 31 (1) plumbing; 32 (2) heating, piping, refrigeration, and automatic 33 temperature control systems, including the testing and -39- LRB9008460JMmbam03 1 balancing of those systems; 2 (3) ventilating and distribution systems for 3 conditioned air, including the testing and balancing of 4 those systems; 5 (4) electric wiring; and 6 (5) general contract work. 7 The specifications must be so drawn as to permit separate 8 and independent bidding upon each of the 5 subdivisions of 9 work. All contracts awarded for any part thereof shall award 10 the 5 subdivisions of work separately to responsible and 11 reliable persons, firms, or corporations engaged in these 12 classes of work. The contracts, at the discretion of the 13 construction agency, may be assigned to the successful bidder 14 on the general contract work or to the successful bidder on 15 the subdivision of work designated by the construction agency 16 before the bidding as the prime subdivision of work, provided 17 that all payments will be made directly to the contractors 18 for the 5 subdivisions of work upon compliance with the 19 conditions of the contract. A contract may be let for one or 20 more buildings in any project to the same contractor. The 21 specifications shall require, however, that unless the 22 buildings are identical, a separate price shall be submitted 23 for each building. The contract may be awarded to the lowest 24 responsible bidder for each or all of the buildings included 25 in the specifications. 26 Section 30-35. Expenditure in excess of contract price. 27 (a) Germaneness. No funds in excess of the contract 28 price may be obligated or expended unless the additional work 29 to be performed or materials to be furnished is germane to 30 the original contract. Even if germane to the original 31 contract, no additional expenditures or obligations may, in 32 their total combined amounts, be in excess of the percentages 33 of the original contract amount set forth in subsection (b) -40- LRB9008460JMmbam03 1 unless they have received the prior written approval of the 2 construction agency. In the event that the total of the 3 combined additional expenditures or obligations exceeds the 4 percentages of the original contract amount set forth in 5 subsection (b), the construction agency shall investigate all 6 the additional expenditures or obligations in excess of the 7 original contract amount and shall in writing approve or 8 disapprove subsequent expenditures or obligations and state 9 in detail the reasons for the approval or disapproval. 10 (b) Written determination required. When the contract 11 amount is no more than $75,000, the percentage shall be 9% 12 (maximum $6,750). When the contract amount is between 13 $75,001 and $200,000, the percentage shall be 7% of the 14 amount above $75,000 plus $6,750, but not to exceed 7% of 15 $200,000 (maximum $14,000). When the contract amount is 16 between $200,001 and $500,000, the percentage shall be 5% of 17 the amount above $200,000 plus $14,000, but not to exceed 5% 18 of $500,000 (maximum $25,000). When the contract amount is 19 in excess of $500,000, the percentage shall be 3% of the 20 amount above $500,000 plus $25,000. 21 Section 30-40. Certification. Any contract entered into 22 or expenditure of funds by a construction agency for 23 remodeling, renovation, or construction, involving an 24 expenditure in excess of $10,000, shall be subject to the 25 supervision of a licensed architect or engineer. No payment 26 shall be made for the remodeling, renovation, or construction 27 unless the vouchers or invoice for the work is accompanied by 28 a written certificate of the licensed architect or engineer 29 that the payment represents work satisfactorily completed, 30 labor, or materials incorporated in or stored at the site of 31 the work; provided, periodic payments can be made during the 32 course of the work upon a certificate of the licensed 33 architect or engineer indicating the proportionate amount of -41- LRB9008460JMmbam03 1 the total work completed satisfactorily. Architect or 2 engineer supervision and certification shall not apply to 3 refurbishing, repair, or maintenance projects that are 4 determined by the Illinois Capital Development Board's 5 Executive Director or its designated technical staff as not 6 being the practice of architecture as defined in Section 3 of 7 the Illinois Architecture Practice Act of 1989, nor the 8 practice of professional engineering as defined in Section 3 9 of the Professional Engineering Practice Act of 1989, nor the 10 practice of structural engineering as defined in Section 5 of 11 the Structural Engineering Licensing Act of 1989. 12 Section 30-45. Other Acts. This Article is subject to 13 applicable provisions of the following Acts: 14 (1) the Prevailing Wage Act; 15 (2) the Public Construction Bond Act; 16 (3) the Public Works Employment Discrimination Act; 17 (4) the Public Works Preference Act; 18 (5) the Employment of Illinois Workers on Public 19 Works Act; 20 (6) the Public Contract Fraud Act; and 21 (7) the Illinois Construction Evaluation Act. 22 ARTICLE 35 23 PROFESSIONAL OR ARTISTIC SERVICES 24 Section 35-5. Applicability. All contracts for 25 professional or artistic services shall be procured in 26 accordance with the provisions of this Article. 27 Section 35-10. Authority. Each State agency shall have 28 the authority to procure its own professional or artistic 29 services. -42- LRB9008460JMmbam03 1 Section 35-15. Method of source selection. Competitive 2 selection procedures. Except as provided otherwise by this 3 Code or by other law, all State contracts for professional or 4 artistic services of less than $50,000 shall be awarded by a 5 competitive request for proposal process in accordance with 6 this Section and Section 20-35. Except as provided otherwise 7 by this Code or by other law, all State contracts for 8 professional or artistic services of $50,000 or more shall be 9 awarded by competitive sealed bidding in accordance with 10 Section 20-10. Nothing in this Section shall prohibit a 11 contract of less than $50,000 from being awarded by 12 competitive sealed bidding in accordance with Section 20-10. 13 Section 35-17. Prequalification. 14 (a) The Board shall develop appropriate and reasonable 15 prequalification standards and categories of professional and 16 artistic services. 17 (b) The prequalifications and categorizations shall be 18 published for public comment prior to their submission to the 19 Joint Committee on Administrative Rules for approval. 20 (c) Each State purchasing officer shall assemble and 21 maintain a comprehensive list of prequalified and categorized 22 businesses and persons. 23 (d) Prequalification shall not be used to bar or prevent 24 any qualified business or person for bidding or responding to 25 invitations for bid or proposal. 26 Section 35-20. Uniformity in procurement. 27 (a) The Board shall develop, cause to be printed, and 28 distribute uniform documents for the solicitation, review, 29 and acceptance of all professional and artistic services. 30 (b) All State purchasing officers and their designees 31 shall use the uniform procedures and forms specified in this 32 Code for all professional and artistic services. -43- LRB9008460JMmbam03 1 (c) These forms shall include in detail, in writing, at 2 least: 3 (1) a description of the goal to be achieved; 4 (2) the services to be performed; 5 (3) the need for the service; 6 (4) the qualifications that are necessary; and 7 (5) a plan for post-performance review. 8 Section 35-25. Uniformity in contract. 9 (a) The Board shall develop, cause to be printed, and 10 distribute uniform documents for the contracting of 11 professional and artistic services. 12 (b) All State purchasing officers and their designees 13 shall use these uniform contracts and forms in contracting 14 for all professional and artistic services. 15 (c) These contracts and forms shall include in detail, 16 in writing, at least: 17 (1) the detail listed in subsection (c) of Section 18 35-20; 19 (2) the duration of the contract, with a schedule 20 of delivery, when applicable; 21 (3) the method for charging and measuring cost 22 (hourly, per day, etc.); 23 (4) the rate of remuneration; and 24 (5) the maximum price. 25 Section 35-30. Awards. 26 (a) All State contracts for professional and artistic 27 services that are awarded using the competitive request for 28 proposal process shall be awarded as outlined in this 29 Section. 30 (b) For each contract offered, the chief procurement 31 officer, State purchasing officer, or his or her designee 32 shall use the appropriate standard solicitation forms -44- LRB9008460JMmbam03 1 available from the Board. 2 (c) Prepared forms shall be submitted to the State 3 purchasing officer for publication in the Illinois 4 Procurement Bulletin and circulation to the State purchasing 5 officer's list of prequalified vendors. Notice of the offer 6 or request for proposal shall appear at least 28 days before 7 the response to the offer is due. 8 (d) All interested respondents shall return their 9 responses to the State purchasing officer, who shall open and 10 record them. The State purchasing officer then shall forward 11 the responses, together with any information he or she has 12 available about the qualifications and other State work of 13 the respondents. 14 (e) After evaluation, ranking, and selection, the 15 responsible State purchasing officer, or his or her designee 16 shall notify the Board of the successful respondent and shall 17 forward a copy of the signed contract for the Board's file. 18 The Board shall publish the names of the responsible 19 procurement decision-maker, the agency letting the contract, 20 the successful respondent, a contract reference, and value of 21 the let contract in the next appropriate volume of the 22 Illinois Procurement Bulletin. 23 (f) For all professional and artistic contracts with 24 annualized value that exceeds $25,000, evaluation and ranking 25 by price are required. When the lowest proposal is not 26 selected, the chief procurement officer or the State 27 purchasing officer shall forward together with the contract 28 notice of who made the low proposal and a written decision as 29 to why another was selected to the Board. The Board shall 30 publish as provided in subsection (e), but shall include 31 notice of the chief procurement officer's or State purchasing 32 officer's written decision. 33 Section 35-32. Exception to competitive request for -45- LRB9008460JMmbam03 1 proposal procedure. 2 (a) An exception to Section 35-30 is allowed at the 3 discretion of the chief procurement officer or the State 4 purchasing officer, but not their designees, for professional 5 and artistic contracts that are nonrenewable, are one year or 6 less in duration, and have a value of less than $10,000. 7 (b) All exceptions granted under this Section must still 8 be submitted to the Board and published as provided in 9 subsection (f) of Section 35-30, shall name the authorizing 10 chief procurement officer or State purchasing officer, and 11 shall include a brief explanation of the reason for the 12 exception. 13 Section 35-35. Subcontractors. 14 (a) Use specified. Any contract for professional or 15 artistic services shall state whether the services of a 16 subcontractor will be used. The contract shall include the 17 names and addresses of all subcontractors and the anticipated 18 amount of money that they will receive under the contract. 19 (b) Amendment. If at any time a contractor for 20 professional or artistic services that had not intended to 21 use the services of a subcontractor decides to use a 22 subcontractor, the contractor and the State agency shall file 23 an amendment to the original contract with the Comptroller 24 stating the names and addresses of all subcontractors and the 25 anticipated amount of money that they will receive under the 26 original contract. 27 ARTICLE 40 28 REAL PROPERTY AND CAPITAL IMPROVEMENT LEASES 29 Section 40-5. Applicability. All leases for real 30 property or capital improvements, including office and 31 storage space, buildings, and other facilities for State -46- LRB9008460JMmbam03 1 agencies, shall be procured in accordance with the provisions 2 of this Article. 3 Section 40-10. Authority. State purchasing officers 4 shall have the authority to procure leases for real property 5 or capital improvements, except as that authority may be 6 limited by the Board or delegated by the State purchasing 7 officer in accordance with Section 10-15. 8 Section 40-15. Method of source selection. 9 (a) Request for information. Except as provided in 10 subsections (b) and (c), all State contracts for leases of 11 real property or capital improvements shall be awarded by a 12 request for information process in accordance with Section 13 40-20. 14 (b) Other methods. A request for information process 15 need not be used in procuring any of the following leases: 16 (1) Property of less than 10,000 square feet. 17 (2) Rent of less than $100,000 per year. 18 (3) Duration of less than one year that cannot be 19 renewed. 20 (4) Specialized space available at only one 21 location. 22 (c) Leases with governmental units. Leases with other 23 governmental units may be negotiated without using the 24 request for information process when deemed by the Board to 25 be in the best interest of the State. 26 Section 40-20. Request for information. 27 (a) Conditions for use. Leases shall be procured by 28 request for information except as otherwise provided in 29 Section 40-15. 30 (b) Form. A request for information shall be issued and 31 shall include: -47- LRB9008460JMmbam03 1 (1) the type of property to be leased; 2 (2) the proposed uses of the property; 3 (3) the duration of the lease; 4 (4) the preferred location of the property; and 5 (5) a general description of the configuration 6 desired. 7 (c) Public notice. Public notice of the request for 8 information for the availability of real property to lease 9 shall be published in the Illinois Procurement Bulletin at 10 least 14 days before the date set forth in the request for 11 receipt of responses and shall also be published in similar 12 manner in a newspaper of general circulation in the community 13 or communities where the using agency is seeking space. 14 (d) Response. The request for information response 15 shall consist of written information sufficient to show that 16 the respondent can meet minimum criteria set forth in the 17 request. State purchasing officers may enter into 18 discussions with respondents for the purpose of clarifying 19 State needs and the information supplied by the respondents. 20 On the basis of the information supplied and discussions, if 21 any, a State purchasing officer shall make a written 22 determination identifying the responses that meet the minimum 23 criteria set forth in the request for information. 24 Negotiations shall be entered into with all qualified 25 respondents for the purpose of securing a lease that is in 26 the best interest of the State. A written report of the 27 negotiations shall be retained in the lease files and shall 28 include the reasons for the final selection. All leases 29 shall be reduced to writing and filed in accordance with the 30 provisions of Section 20-80. 31 (e) Exceptions. A request for information process need 32 not be used and the procurement may be negotiated when, 33 according to Board rules, the purchasing officer determines 34 that negotiations are in the best interest of the State in -48- LRB9008460JMmbam03 1 the following situations: 2 (1) renewal or extension of leases; 3 (2) temporary space as defined by rule; or 4 (3) specialized space available at only one 5 location and parking. 6 Section 40-25. Length of leases. 7 (a) Maximum term. Leases shall be for a term not to 8 exceed 10 years and shall include a termination option in 9 favor of the State after 5 years. 10 (b) Renewal. Leases may include a renewal option. An 11 option to renew may be exercised only when a State purchasing 12 officer determines in writing that renewal is in the best 13 interest of the State. 14 (c) Subject to appropriation. All leases shall recite 15 that they are subject to termination and cancellation in any 16 year for which the General Assembly fails to make an 17 appropriation to make payments under the terms of the lease. 18 Section 40-30. Purchase option. Initial leases of all 19 space in entire, free-standing buildings shall include an 20 option to purchase exerciseable by the State, unless the 21 purchasing officer determines that inclusion of such purchase 22 option is not in the State's best interest and makes that 23 determination in writing along with the reasons for making 24 that determination. Leases from governmental units and 25 not-for-profit entities are exempt from requirements of this 26 Section. 27 Section 40-35. Rent without occupancy. Except when 28 deemed by the Board to be in the best interest of the State, 29 no State agency may incur rental obligations before occupying 30 the space rented. -49- LRB9008460JMmbam03 1 Section 40-40. Local site preferences. Upon the request 2 of the chief executive officer of a unit of local government, 3 leasing preferences may be given to sites located in 4 enterprise zones, tax increment districts, or redevelopment 5 districts. 6 ARTICLE 42 7 CONCESSIONS 8 Section 42-10. Concessions and leases of State property. 9 (a) Authority. Concessions, including the assignment, 10 license, sale, or transfer of interests in or rights to 11 discoveries, inventions, patents, or copyrightable works, and 12 leases of State property, including easements, may be entered 13 into by the State agency with jurisdiction over the property, 14 whether tangible or intangible. 15 (b) Awards. All concessions and leases of State 16 property shall be reduced to writing and shall be awarded 17 under the provisions of Article 20, except that the contract 18 shall be awarded to the highest and best bidder or offeror. 19 Section 42-20. Contract duration and terms. The 20 duration and terms of concessions and leases of State 21 property shall be in accordance with applicable law or rule. 22 ARTICLE 45 23 PREFERENCES 24 Section 45-5. Procurement preferences. To promote 25 business and employment opportunities in Illinois, 26 procurement preferences are established and shall be 27 applicable to any procurement made under this Code. 28 Section 45-10. Resident bidders. -50- LRB9008460JMmbam03 1 (a) Amount of preference. 2 (1) A resident contractor shall be allowed a 3 preference as against a non-resident contractor in the 4 event of a tie bid. 5 (2) A resident contractor shall be allowed a 6 preference as against a non-resident contractor from any 7 state that gives or requires a preference to contractors 8 from that state. The preference shall be equal to the 9 preference given or required by the state of the 10 non-resident contractor. 11 (3) If only non-resident contractors are competing, 12 the purchasing agency is within its right to specify that 13 Illinois labor and manufacturing locations be used as a 14 part of the manufacturing process, if applicable. This 15 specification may be negotiated as part of the 16 procurement process. 17 (b) Residency. A resident bidder is a person authorized 18 to transact business in this State and having a bona fide 19 establishment for transacting business within this State 20 where it was actually transacting business on the date when 21 any bid for a public contract is first advertised or 22 announced. A resident bidder includes a foreign corporation 23 duly authorized to transact business in this State that has a 24 bona fide establishment for transacting business within this 25 State where it was actually transacting business on the date 26 when any bid for a public contract is first advertised or 27 announced. 28 (c) Federal funds. This Section does not apply to any 29 contract for any project as to which federal funds are 30 available for expenditure when its provisions may be in 31 conflict with federal law or federal regulation. 32 Section 45-15. Soybean oil-based ink. 33 (a) Contracts requiring the procurement of printing -51- LRB9008460JMmbam03 1 services shall specify the use of soybean oil-based ink 2 unless a State purchasing officer determines that another 3 type of ink is required to assure high quality and reasonable 4 pricing of the printed product. 5 (b) All other printing done by or for the State shall 6 use soybean oil-based ink unless the agency by or for whom 7 the printing is done determines that another type of ink is 8 required to assure high quality and reasonable pricing of the 9 printed product. Printing done by or for the State in 10 soybean oil-based ink shall state, if practical, that soybean 11 oil-based ink was used. 12 Section 45-20. Recycled materials. When a public 13 contract is to be awarded to the lowest responsible bidder, 14 an otherwise qualified bidder who will fulfill the contract 15 through the use of products made of recycled materials may, 16 on a pilot basis or in accordance with a pilot study, be 17 given preference over other bidders unable to do so, provided 18 that the cost included in the bid of products made of 19 recycled materials is not more than 10% greater than the cost 20 of products not made of recycled materials. 21 Section 45-25. Recyclable paper. All paper purchased 22 for use by State agencies must be recyclable paper unless 23 recyclable paper cannot be used to meet the requirements of 24 the State agencies. State agencies shall determine their 25 paper requirements to allow the use of recyclable paper 26 whenever possible, including without limitation using plain 27 paper rather than colored paper that is not recyclable. 28 Section 45-30. Correctional industries. Notwithstanding 29 any other provision to the contrary, the Board shall, in 30 consultation with the Department of Corrections, determine 31 which articles, materials, industry related services, food -52- LRB9008460JMmbam03 1 stuffs, and supplies that are produced or manufactured by 2 persons confined in institutions and facilities of the 3 Department of Corrections shall be given preference by 4 purchasing agencies procuring those items. The Board shall 5 develop and distribute to the various Procurement and Using 6 Agencies procedures for executing this Section. 7 Section 45-35. Sheltered workshops for the severely 8 handicapped. 9 (a) Qualification. Supplies and services may be 10 procured without advertising or calling for bids from any 11 qualified not-for-profit agency for the severely handicapped 12 that: 13 (1) complies with Illinois laws governing private 14 not-for-profit organizations; 15 (2) is certified as a sheltered workshop by the 16 Wage and Hour Division of the United States Department of 17 Labor; and 18 (3) meets the Department of Human Services just 19 standards for rehabilitation facilities. 20 (b) Participation. To participate, the not-for-profit 21 agency must have indicated an interest in providing the 22 supplies and services, must meet the specifications and needs 23 of the using agency, and must set a fair market price. 24 (c) Committee. There is created within the jurisdiction 25 of the Board a committee to facilitate the purchase of 26 products and services of persons so severely handicapped by a 27 physical or mental disability that they cannot engage in 28 normal competitive employment. The committee shall consist 29 of the Director of Central Management Services, the Director 30 of Human Services, and 2 representatives from private 31 business and 2 public members all appointed by the Governor 32 who are knowledgeable in the needs and concerns of 33 rehabilitation facilities in Illinois. The public members -53- LRB9008460JMmbam03 1 shall serve 2 year terms, commencing upon appointment and 2 every 2 years thereafter. A public member may be 3 reappointed, and vacancies may be filled by appointment for 4 the completion of the term. The members shall serve without 5 compensation but shall be reimbursed for expenses at a rate 6 equal to that of State employees on a per diem basis by the 7 Board. All members shall be entitled to vote on issues before 8 the committee. 9 The committee shall have the following powers and duties: 10 (1) To request from any State agency information as 11 to product specification and service requirements in 12 order to carry out its purpose. 13 (2) To meet quarterly or more often as necessary to 14 carry out its purposes. 15 (3) To request a quarterly report from each 16 participating qualified not-for-profit agency for the 17 severely handicapped describing the volume of sales for 18 each product or service sold under this Section. 19 (4) To prepare a report for the Governor and the 20 Board annually. 21 (5) To prepare a publication that lists all 22 supplies and services currently available from any 23 qualified not-for-profit agency for the severely 24 handicapped. This list and any revisions shall be 25 distributed to all purchasing agencies. 26 (6) To encourage diversity in supplies and services 27 provided by qualified not-for-profit agencies for the 28 severely handicapped and discourage unnecessary 29 duplication or competition among facilities. 30 (7) To develop guidelines to be followed by 31 qualifying agencies for participation under the 32 provisions of this Section. The guidelines shall be 33 developed within 6 months after the effective date of 34 this Code and made available on a nondiscriminatory basis -54- LRB9008460JMmbam03 1 to all qualifying agencies. 2 (8) To review all bids submitted under the 3 provisions of this Section and reject any bid for any 4 purchase that is determined to be substantially more than 5 the purchase would have cost had it been competitively 6 bid. 7 (d) Former committee. The committee created under 8 subsection (c) shall replace the committee created under 9 Section 7-2 of the Illinois Purchasing Act, which shall 10 continue to operate until the appointments under subsection 11 (c) are made. 12 Section 45-40. Gas mileage. 13 (a) Specification. Contracts for the purchase or lease 14 of new passenger automobiles, other than station wagons, 15 vans, four-wheel drive vehicles, emergency vehicles, and 16 police and fire vehicles, shall specify the procurement of a 17 model that, according to the most current mileage study 18 published by the U.S. Environmental Protection Agency, can 19 achieve at least the minimum average fuel economy in miles 20 per gallon imposed upon manufacturers of vehicles under Title 21 V of The Motor Vehicle Information and Cost Savings Act. 22 (b) Exemptions. The State purchasing officer may exempt 23 procurements from the requirement of subsection (a) when 24 there is a demonstrated need, submitted in writing, for an 25 automobile that does not meet the minimum average fuel 26 economy standards. The Board shall promulgate rules for 27 determining need consistent with the intent of this Section. 28 Section 45-45. Small businesses. 29 (a) Set-asides. The Board has authority to designate as 30 small business set-asides a fair proportion of construction, 31 supply, and service contracts for award to small businesses 32 in Illinois. Advertisements for bids or offers for those -55- LRB9008460JMmbam03 1 contracts shall specify designation as small business 2 set-asides. In awarding the contracts, only bids or offers 3 from qualified small businesses shall be considered. 4 (b) Small business. "Small business" means a business 5 that is independently owned and operated and that is not 6 dominant in its field of operation. The Board shall 7 establish a detailed definition by rule, using in addition to 8 the foregoing criteria other criteria, including the number 9 of employees and the dollar volume of business. When 10 computing the size status of a bidder, annual sales and 11 receipts of the bidder and all of its affiliates shall be 12 included. The maximum number of employees and the maximum 13 dollar volume that a small business may have under the rules 14 promulgated by the Board may vary from industry to industry 15 to the extent necessary to reflect differing characteristics 16 of those industries, subject to the following limitations: 17 (1) No wholesale business is a small business if 18 its annual sales for its most recently completed fiscal 19 year exceed $7,500,000. 20 (2) No retail business or business selling services 21 is a small business if its annual sales and receipts 22 exceed $1,500,000. 23 (3) No manufacturing business is a small business 24 if it employs more than 250 persons. 25 (4) No construction business is a small business if 26 its annual sales and receipts exceed $3,000,000. 27 (c) Fair proportion. For the purpose of subsection (a), 28 a fair proportion of construction contracts shall be no less 29 than 25% nor more than 40% of the annual total contracts for 30 construction. 31 (d) Withdrawal of designation. A small business 32 set-aside designation may be withdrawn by the purchasing 33 agency when deemed in the best interests of the State. Upon 34 withdrawal, all bids or offers shall be rejected, and the -56- LRB9008460JMmbam03 1 bidders or offerors shall be notified of the reason for 2 rejection. The contract shall then be awarded in accordance 3 with this Code without the designation of small business 4 set-aside. 5 (e) Small business assistance. The purchasing officers 6 shall assist small businesses by: 7 (1) Compiling and maintaining a comprehensive 8 bidders list of small businesses. In this duty, he or 9 she shall cooperate with the Federal Small Business 10 Administration in locating potential sources for various 11 products and services. 12 (2) Assisting small businesses in complying with 13 the procedures for bidding on State contracts. 14 (3) Examining requests from State agencies for the 15 purchase of property or services to help determine which 16 invitations to bid are to be designated small business 17 set-asides. 18 (4) Making recommendations to the Board for the 19 simplification of specifications and terms in order to 20 increase the opportunities for small business 21 participation. 22 (5) Assisting in investigations by purchasing 23 agencies to determine the responsibility of bidders on 24 small business set-asides. 25 (f) Small business annual report. The State purchasing 26 officer designated under subsection (e) shall annually before 27 December 1 report in writing to the General Assembly 28 concerning the awarding of contracts to small businesses. 29 The report shall include the total value of awards made in 30 the preceding fiscal year under the designation of small 31 business set-aside. 32 The requirement for reporting to the General Assembly 33 shall be satisfied by filing copies of the report as required 34 by Section 3.1 of the General Assembly Organization Act. -57- LRB9008460JMmbam03 1 Section 45-50. Illinois agricultural products. In 2 awarding contracts requiring the procurement of agricultural 3 products, preference may be given to an otherwise qualified 4 bidder or offeror who will fulfill the contract through the 5 use of agricultural products grown in Illinois. 6 Section 45-55. Corn-based plastics. In awarding 7 contracts requiring the procurement of plastic products, 8 preference may be given to an otherwise qualified bidder or 9 offeror who will fulfill the contract through the use of 10 plastic products made from Illinois corn by-products. 11 Section 45-60. Vehicles powered by agricultural 12 commodity-based fuel. In awarding contracts requiring the 13 procurement of vehicles, preference may be given to an 14 otherwise qualified bidder or offeror who will fulfill the 15 contract through the use of vehicles powered by ethanol 16 produced from Illinois corn or biodiesel fuels produced from 17 Illinois soybeans. 18 Section 45-65. Additional preferences. This Code is 19 subject to applicable provisions of: 20 (1) the Public Purchases in Other States Act; 21 (2) the Illinois Mined Coal Act; 22 (3) the Steel Products Procurement Act; 23 (4) the Veterans Preference Act; and 24 (5) the Business Enterprise for Minorities, 25 Females, and Disabled Persons Act. 26 ARTICLE 50 27 PROHIBITIONS, RESTRICTIONS, AND PENALTIES 28 Section 50-1. Purpose. It is the express duty of all 29 chief procurement officers, State purchasing officers, and -58- LRB9008460JMmbam03 1 their designees to maximize the value of the expenditure of 2 public moneys in procuring goods, services, and contracts for 3 the State of Illinois and to act in a manner that maintains 4 the integrity and public trust of State government. In 5 discharging this duty, they are charged to use all available 6 information, reasonable efforts, and reasonable actions to 7 protect, safeguard, and maintain the procurement process of 8 the State of Illinois. 9 Section 50-5. Bribery. 10 (a) Prohibition. No person or business shall be awarded 11 a contract or subcontract under this Code who: 12 (1) has been convicted under the laws of Illinois 13 or any other state of bribery or attempting to bribe an 14 officer or employee of the State of Illinois or any other 15 state in that officer's or employee's official capacity; 16 or 17 (2) has made an admission of guilt of that conduct 18 that is a matter of record but has not been prosecuted 19 for that conduct. 20 (b) Businesses. No business shall be barred from 21 contracting with any unit of State or local government as a 22 result of a conviction under this Section of any employee or 23 agent of the business if the employee or agent is no longer 24 employed by the business and: 25 (1) the business has been finally adjudicated not 26 guilty; or 27 (2) the business demonstrates to the governmental 28 entity with which it seeks to contract, and that entity 29 finds that the commission of the offense was not 30 authorized, requested, commanded, or performed by a 31 director, officer, or high managerial agent on behalf of 32 the business as provided in paragraph (2) of subsection 33 (a) of Section 5-4 of the Criminal Code of 1961. -59- LRB9008460JMmbam03 1 (c) Conduct on behalf of business. For purposes of this 2 Section, when an official, agent, or employee of a business 3 committed the bribery or attempted bribery on behalf of the 4 business and in accordance with the direction or 5 authorization of a responsible official of the business, the 6 business shall be chargeable with the conduct. 7 (d) Certification. Every bid submitted to and contract 8 executed by the State shall contain a certification by the 9 contractor that the contractor is not barred from being 10 awarded a contract or subcontract under this Section. A 11 contractor who makes a false statement, material to the 12 certification, commits a Class 3 felony. 13 Section 50-10. Felons. Unless otherwise provided, no 14 person or business convicted of a felony shall do business 15 with the State of Illinois or any State agency from the date 16 of conviction until 5 years after the date of completion of 17 the sentence for that felony, unless no person held 18 responsible by a prosecutorial office for the facts upon 19 which the conviction was based continues to have any 20 involvement with the business. 21 Section 50-15. Conflicts of interest. 22 (a) Prohibition. It is unlawful for any person holding 23 an elective office in this State, holding a seat in the 24 General Assembly, or appointed to or employed in any of the 25 offices or agencies of State government, irrespective of the 26 rate of compensation for that employment, or who is an 27 officer or employee of the Capital Development Board or the 28 Illinois Toll Highway Authority, or who is the spouse or 29 minor child of any such person to have or acquire any 30 contract, or any direct pecuniary interest in any contract 31 therein, whether for stationery, printing, paper, or any 32 services, materials, or supplies, that will be wholly or -60- LRB9008460JMmbam03 1 partially satisfied by the payment of funds appropriated by 2 the General Assembly of the State of Illinois or in any 3 contract of the Capital Development Board or the Illinois 4 Toll Highway Authority. 5 (b) Interests. It is unlawful for any firm, 6 partnership, association, or corporation in which any person 7 listed in subsection (a) is entitled to receive (i) more than 8 7 1/2% of the total distributable income, or (ii) an amount 9 in excess of the salary of the Governor, whichever is lower, 10 to have or acquire any such contract or direct pecuniary 11 interest therein. 12 (c) Combined interests. It is unlawful for any firm, 13 partnership, association, or corporation in which any person 14 listed in subsection (a) together with his or her spouse or 15 minor children is entitled to receive (i) more than 15%, in 16 the aggregate, of the total distributable income, or (ii) an 17 amount in excess of 2 times the Governor's salary, whichever 18 is lower, to have or acquire any such contract or direct 19 pecuniary interest therein. 20 (d) Securities. Nothing in this Section invalidates the 21 provisions of any bond or other security previously offered 22 or to be offered for sale or sold by or for the State of 23 Illinois. 24 (e) Prior interests. This Section does not affect the 25 validity of any contract made between the State and an 26 officer or employee of the State or member of the General 27 Assembly, his or her spouse, minor child or any combination 28 of those persons if that contract was in existence before his 29 or her election or employment as an officer, member, or 30 employee. The contract is void, however, if it cannot be 31 completed within 6 months after the officer, member, or 32 employee takes office or is employed. 33 (f) Exceptions. 34 (1) Public aid payments. This Section does not -61- LRB9008460JMmbam03 1 apply to payments made for a public aid recipient. 2 (2) Teaching. This Section does not apply to a 3 contract for personal services as a teacher or school 4 administrator between a member of the General Assembly or 5 his or her spouse, or a State officer or employee or his 6 or her spouse, and any school district, public community 7 college district, or the State colleges and universities 8 and their governing boards. 9 (3) Ministerial duties. This Section does not 10 apply to a contract for personal services of a wholly 11 ministerial character, including but not limited to 12 services as a laborer, clerk, typist, stenographer, page, 13 bookkeeper, receptionist, or telephone switchboard 14 operator, made by a spouse or minor child of an elective 15 or appointive State officer or employee or of a member of 16 the General Assembly. 17 (4) Child and family services. This Section does 18 not apply to payments made to a member of the General 19 Assembly, a State officer or employee, his or her spouse 20 or minor child acting as a foster parent, homemaker, 21 advocate, or volunteer for or in behalf of a child or 22 family served by the Department of Children and Family 23 Services. 24 (g) Penalty. Any person convicted of a violation of 25 this Section is guilty of a business offense and shall be 26 fined not less than $1,000 nor more than $5,000. 27 Section 50-20. Negotiations. 28 (a) Prohibition. Except as provided in Section 50-25, 29 it is unlawful for any person employed in or on a continual 30 contractual relationship with any of the offices or agencies 31 of State government to participate in contract negotiations 32 on behalf of that office or agency with any firm, 33 partnership, association, or corporation with whom that -62- LRB9008460JMmbam03 1 person has a contract for future employment or is negotiating 2 concerning possible future employment. 3 (b) Penalty. Any person violating this Section is 4 guilty of a business offense and shall be fined not less than 5 $1,000 and not more than $5,000. 6 Section 50-25. Exemptions. The Board may exempt named 7 individuals or business from the prohibitions of Section 8 50-5, 50-10, or 50-15 when, in the discretion of the Board, 9 it is determined that the public interest in having the 10 individual in the service of the State outweighs the public 11 policy evidenced in those Sections. An exemption is 12 effective only when it is filed with the Secretary of State 13 and the Comptroller and includes a statement setting forth 14 the name of the individual and all the pertinent facts that 15 would make that Section applicable, setting forth the reason 16 for the exemption, and declaring the individual exempted from 17 that Section. Notice of each exemption shall be published in 18 the Illinois Procurement Bulletin. 19 Section 50-30. Inducement. Any person who offers or 20 pays any money or other valuable thing to any person to 21 induce him or her not to bid for a State contract or as 22 recompense for not having bid on a State contract is guilty 23 of a Class 4 felony. Any person who accepts any money or 24 other valuable thing for not bidding for a State contract or 25 who withholds a bid in consideration of the promise for the 26 payment of money or other valuable thing is guilty of a Class 27 4 felony. 28 Section 50-35. Revolving door prohibition. State 29 employees whose duties with the State were directly related 30 to procurement may not, for a period of 2 years following 31 separation of service with the employing agency, have a -63- LRB9008460JMmbam03 1 contract with that agency, or engage in lobbying that agency 2 whether directly or as an employee or agent of another. 3 Section 50-37. Disclosure and potential conflicts of 4 interest. 5 (a) All offers from responsive bidders or offerors with 6 an annual value of more than $10,000 shall be accompanied by 7 disclosure of the financial interests of the contractor, 8 bidder, or proposer. The financial disclosure of each 9 successful bidder or offeror shall become part of the 10 publicly available contract or procurement file maintained by 11 the appropriate chief procurement officer. 12 (b) Disclosure by the responsive bidders or offerors 13 shall include any ownership or distributive income share that 14 is in excess of 5%, or an amount greater than 60% of the 15 annual salary of the Governor, of the bidding entity or its 16 parent entity, whichever is less, unless the contractor or 17 bidder is a publicly traded entity subject to Federal 10K 18 reporting, in which case it may submit its 10K disclosure in 19 place of the prescribed disclosure. The form of disclosure 20 shall be prescribed by the applicable chief procurement 21 officer and must include at least the names, addresses, and 22 dollar or proportionate share of ownership of each person 23 identified in this Section, their instrument of ownership or 24 beneficial relationship, and notice of any potential conflict 25 of interest resulting from the current ownership or 26 beneficial relationship of each person identified in this 27 Section having in addition any of the following 28 relationships: 29 (1) State employment, currently or in the previous 30 3 years, including contractual employment of services. 31 (2) State employment of spouse, father, mother, 32 son, or daughter, including contractual employment for 33 services in the previous 2 years. -64- LRB9008460JMmbam03 1 (3) Elective status; the holding of elective office 2 of the State of Illinois, the government of the United 3 States, any unit of local government authorized by the 4 Constitution of the State of Illinois or the statutes of 5 the State of Illinois currently or in the previous 3 6 years. 7 (4) Relationship to anyone holding elective office 8 currently or in the previous 2 years; spouse, father, 9 mother, son, or daughter. 10 (5) Appointive office; the holding of any 11 appointive government office of the State of Illinois, 12 the United States of America, or any unit of local 13 government authorized by the Constitution of the State of 14 Illinois or the statutes of the State of Illinois, which 15 office entitles the holder to compensation in excess of 16 expenses incurred in the discharge of that office 17 currently or in the previous 3 years. 18 (6) Relationship to anyone holding appointive 19 office currently or in the previous 2 years; spouse, 20 father, mother, son, or daughter. 21 (7) Employment, currently or in the previous 3 22 years, as or by any registered lobbyist of the State 23 government. 24 (8) Relationship to anyone who is or was a 25 registered lobbyist in the previous 2 years; spouse, 26 father, mother, son, or daughter. 27 (9) Compensated employment, currently or in the 28 previous 3 years, by any registered election or 29 re-election committee registered with the Secretary of 30 State or any county clerk in the State of Illinois, or 31 any political action committee registered with either the 32 Secretary of State or the Federal Board of Elections. 33 (10) Relationship to anyone; spouse, father, 34 mother, son, or daughter; who is or was a compensated -65- LRB9008460JMmbam03 1 employee in the last 2 years of any registered election 2 or re-election committee registered with the Secretary of 3 State or any county clerk in the State of Illinois, or 4 any political action committee registered with either the 5 Secretary of State or the Federal Board of Elections. 6 (c) The disclosure in subsection (b) is not intended to 7 prohibit or prevent any contract. The disclosure is meant to 8 fully and publicly disclose any potential conflict to the 9 chief procurement officers, State purchasing officers, their 10 designees, and executive officers so they may adequately 11 discharge their duty to protect the State. 12 (d) In the case of any contract for personal services in 13 excess of $50,000; any contract competitively bid in excess 14 of $250,000; any other contract in excess of $50,000; when a 15 potential for a conflict of interest is identified, 16 discovered, or reasonably suspected it shall be reviewed and 17 commented on in writing by the Governor of the State of 18 Illinois, or by an executive ethics board or commission he or 19 she might designate. The comment shall be returned to the 20 responsible chief procurement officer who must rule in 21 writing whether to void or allow the contract, bid, offer, or 22 proposal weighing the best interest of the State of Illinois. 23 The comment and determination shall become a publicly 24 available part of the contract, bid, or proposal file. 25 (e) These threshholds and disclosure do not relieve the 26 chief procurement officers, the State purchasing officers, or 27 their designees from reasonable care and diligence for any 28 contract, bid, offer, or proposal. The chief procurement 29 officers, the State purchasing officers, or their designees 30 shall be responsible for using any reasonably known and 31 publicly available information to discover any undisclosed 32 potential conflict of interest and act to protect the best 33 interest of the State of Illinois. 34 (f) Inadvertent or accidental failure to fully disclose -66- LRB9008460JMmbam03 1 shall render the contract, bid, proposal, or relationship 2 voidable by the chief procurement officer if he or she deems 3 it in the best interest of the State of Illinois and, at his 4 or her discretion, may be cause for barring from future 5 contracts, bids, proposals, or relationships with the State 6 for a period of up to 2 years. 7 (g) Intentional, willful, or material failure to 8 disclose shall render the contract, bid, proposal, or 9 relationship voidable by the chief procurement officer if he 10 or she deems it in the best interest of the State of Illinois 11 and shall result in debarment from future contracts, bids, 12 proposals, or relationships for a period of not less than 2 13 years and not more than 10 years. Reinstatement after 2 14 years and before 10 years must be reviewed and commented on 15 in writing by the Governor of the State of Illinois, or by an 16 executive ethics board or commission he or she might 17 designate. The comment shall be returned to the responsible 18 chief procurement officer who must rule in writing whether 19 and when to reinstate. 20 (h) In addition, all disclosures shall note any other 21 current or pending contracts, proposals, leases, or other 22 ongoing procurement relationships the bidding, proposing, or 23 offering entity has with any other unit of State government 24 and shall clearly identify the unit and the contract, 25 proposal, lease, or other relationship. 26 Section 50-45. Disclosures by State employees and 27 officers. 28 (a) Contract negotiations. Any person participating in 29 the making of a contract, or who enters into a contract, on 30 behalf of an office or agency of State government with the 31 knowledge that his or her spouse, child, parent, or sibling 32 is entitled to receive (i) more than 7.5% of the total 33 distributable income of the other contracting party or (ii) -67- LRB9008460JMmbam03 1 an amount in excess of the salary of the Governor, whichever 2 is lower, or in which that child, parent, or sibling, 3 together with his or her spouse or minor children, is 4 entitled to receive (i) more than 15%, in the aggregate, of 5 the total distributable income of the other contracting party 6 or (ii) an amount in excess of 2 times the salary of the 7 Governor, whichever is lower, shall immediately file a 8 written statement setting out the facts of the transaction. 9 The statement shall be filed with the administrative head of 10 the office or agency and be kept available for public 11 inspection. A copy of the statement shall be forwarded by 12 the administrative head to the Inspector General. A person 13 failing to file a statement or filing a false statement is 14 guilty of a business offense and shall be fined not less than 15 $1,000 and not more than $5,000. Any such contract is 16 contrary to public policy and may be voided at the option of 17 the State unless it is shown to be in the best interests of 18 the State. Moreover, if fraud or substantial monetary harm 19 to the State results from the nepotic element of the 20 transaction, the government officer or employee involved in 21 the element is guilty of a Class A misdemeanor. 22 (b) Other positions and contracts. Each State employee 23 is responsible for annually notifying his or her State 24 employer of contracts held by the employee or by the 25 employee's spouse and minor children and of other payroll 26 positions held by the employee. The State employee shall 27 notify his or her employer of any changes in this 28 notification at the time the changes occur. 29 Section 50-50. Identical bids. Every State agency that 30 obtains 2 or more identical bids under this Code shall inform 31 the Inspector General and the Attorney General in writing of 32 those facts within 30 days after the disposition of all bids 33 received in response for bids, whether by the awarding of the -68- LRB9008460JMmbam03 1 contract or other action. The Attorney General shall 2 prescribe the form and manner of notification. 3 Section 50-55. Reporting of anticompetitive practices. 4 When for any reason collusion or other anticompetitive 5 practices are suspected among any bidders or offerors, a 6 notice of the relevant facts shall be transmitted to the 7 Inspector General and the Attorney General. 8 Section 50-58. Confidentiality. The Inspector General 9 or any State purchasing officer, designee, or executive 10 officer who willfully uses or allows the use of 11 specifications, competitive bid documents, proprietary 12 competitive information, proposals, contracts, or selection 13 information to compromise the fairness or integrity of the 14 procurement, bidding, or contract process shall be subject to 15 discipline up to and including immediate dismissal, 16 regardless of the Personnel Code, and may in addition be 17 subject to criminal prosecution. 18 Section 50-60. Insider information. It is unlawful for 19 any current or former elected or appointed State official or 20 State employee to knowingly use confidential information 21 available only by virtue of that office or employment for 22 actual or anticipated personal gain or for the actual or 23 anticipated personal gain of another person. 24 Section 50-65. Supply inventory. Every State agency 25 shall inventory or stock no more than a 12-month need of 26 equipment, supplies, commodities, articles, and other items, 27 except as otherwise authorized by the State agency's 28 regulations. Every State agency shall periodically review 29 its inventory to ensure compliance with this Section. If, 30 upon review, an agency determines it has more than a 12-month -69- LRB9008460JMmbam03 1 supply of any equipment, supplies, commodities, or other 2 items, the agency shall undertake transfers of the 3 oversupplied items or other action necessary to maintain 4 compliance with this Section. This Section shall not apply 5 to lifesaving medications, mechanical spare parts, and items 6 for which the supplier requires a minimum order stipulation. 7 Section 50-75. Suspension and debarment. Any contractor 8 may be suspended for violation of this Code or for failure to 9 conform to specifications or terms of delivery. Suspension 10 shall be for cause and may be for a period of up to 5 years 11 at the discretion of the applicable chief procurement 12 officer. Contractors may be debarred in accordance with 13 rules promulgated by the Board or as otherwise provided by 14 law. 15 Section 50-80. Additional provisions. This Code is 16 subject to applicable provisions of the following Acts: 17 (1) Article 33E of the Criminal Code of 1961; 18 (2) the Illinois Human Rights Act; 19 (3) the Discriminatory Club Act; 20 (4) the Illinois Governmental Ethics Act; 21 (5) the State Prompt Payment Act; 22 (6) the Public Officer Prohibited Activities Act; 23 and 24 (7) the Drug Free Workplace Act. 25 Section 50-85. Other violations. 26 (a) The Inspector General or any State purchasing 27 officer or designee who willfully violates or allows the 28 violation of this Code shall be subject to discipline up to 29 and including immediate dismissal, regardless of the 30 Personnel Code. 31 (b) Except as otherwise provided in this Code, whoever -70- LRB9008460JMmbam03 1 violates this Code or the rules promulgated under it is 2 guilty of a Class A misdemeanor. 3 ARTICLE 90 4 MISCELLANEOUS PROVISIONS 5 Section 90-5. References to repealed provisions. After 6 the effective date of this Act, all references to the 7 provisions of law repealed by this Act or by Public Act 8 90-572 (the Illinois Procurement Code) shall be construed, 9 where necessary and appropriate, as references to the 10 Illinois Procurement Code of 1999. 11 Section 90-10. Severability. If any provision of this 12 Code or any application of it to any person or circumstance 13 is held invalid, that invalidity shall not affect other 14 provisions or applications of this Code that can be given 15 effect without the invalid provision or application, and to 16 this end the provisions of this Code are declared to be 17 severable. 18 Section 90-15. Voidable contracts. If any contract is 19 entered into or purchase or expenditure of funds is made in 20 violation of this Code or any other law, the contract may be 21 declared void by the purchasing officer, or may be 22 terminated, ratified and affirmed, provided it is determined 23 that ratification is in the best interests of the State. If 24 the contract is ratified and affirmed, it shall be without 25 prejudice to the State's rights to any appropriate damages. 26 ARTICLE 95 27 AMENDATORY AND REPEALING PROVISIONS 28 Section 95-5. The Governmental Joint Purchasing Act is -71- LRB9008460JMmbam03 1 amended by changing Section 3 as follows: 2 (30 ILCS 525/3) (from Ch. 85, par. 1603) 3 Sec. 3. Any agreement of the governmental units which 4 desire to make joint purchases, one of the governmental units 5 shall conduct the letting of bids. Where the State of 6 Illinois is a party to the joint purchase agreement, the 7 Department of Central Management Services shall conduct the 8 letting of bids. Expenses of such bid-letting may be shared 9 by the participating governmental units in proportion to the 10 amount of personal property, supplies or services each unit 11 purchases. 12 When the State of Illinois is a party to the joint 13 purchase agreement, the acceptance of bids shall be in 14 accordance with the Illinois Procurement Code of 1999 and 15 rules promulgated under that Code. When the State of 16 Illinois is not a party to the joint purchase agreement, the 17 acceptance of bids shall be governed by the agreement. 18 The personal property, supplies or services involved 19 shall be distributed or rendered directly to each 20 governmental unit taking part in the purchase. The person 21 selling the personal property, supplies or services may bill 22 each governmental unit separately for its proportionate share 23 of the cost of the personal property, supplies or services 24 purchased. 25 The credit or liability of each governmental unit shall 26 remain separate and distinct. Disputes between bidders and 27 governmental units shall be resolved between the immediate 28 parties. 29 (Source: P.A. 90-572, eff. date - See Sec. 99-5.) 30 Section 95-16. The Civil Administrative Code of Illinois 31 is amended by changing Section 67.02 as follows: -72- LRB9008460JMmbam03 1 (20 ILCS 405/67.02) (from Ch. 127, par. 63b13.2) 2 Sec. 67.02. (a) To lease or purchase office and storage 3 space, buildings, land and other facilities for all State 4 agencies, authorities, boards, commissions, departments, 5 institutions, bodies politic and all other administrative 6 units or outgrowths of the executive branch of State 7 government except the Constitutional officers, the State 8 Board of Education and the State colleges and universities 9 and their governing bodies. However, before leasing or 10 purchasing any office or storage space, buildings, land or 11 other facilities in any municipality the Department shall 12 survey the existing State-owned and State-leased property to 13 make a determination of need. Such leases shall be for a 14 term not to exceed 5 years, except that such leases may 15 contain a renewal clause subject to acceptance by the State 16 after that date or an option to purchase. Such purchases 17 shall be made through contracts which may provide for the 18 title to the property to transfer immediately to the State or 19 a trustee or nominee for the benefit of the State and which 20 shall: provide for the consideration to be paid in 21 installments to be made at stated intervals during a certain 22 term not to exceed 30 years from the date of the contract and 23 may provide for the payment of interest on the unpaid balance 24 at a rate that does not exceed a rate determined by adding 3 25 percentage points to the annual yield on United States 26 Treasury obligations of comparable maturity as most recently 27 published in the Wall Street Journal at the time such 28 contract is signed. Such leases and purchase contracts shall 29 be and shall recite that they are subject to termination and 30 cancellation in any year for which the General Assembly fails 31 to make an appropriation to pay the rent or purchase 32 installments payable under the terms of the lease or purchase 33 contract. Additionally such purchase contract shall specify 34 that title to the office and storage space, buildings, land -73- LRB9008460JMmbam03 1 and other facilities being acquired under such a contract 2 shall revert to the Seller in the event of the failure of 3 the General Assembly to appropriate suitable funds. 4 However, this limitation on the term of such leases does not 5 apply to leases to and with the Illinois Building Authority, 6 as provided for in the Act enacted by the Seventy-second 7 General Assembly entitled the Building Authority Act, which 8 leases to and with said Authority may be entered into for a 9 term not to exceed 30 years and shall be and shall recite 10 that they are subject to termination and cancellation in any 11 year for which the General Assembly fails to make an 12 appropriation to pay the rent payable under the terms of such 13 lease. These limitations do not apply where the lease or 14 purchase contract contains a provision limiting the liability 15 for the payment of the rentals or installments thereof solely 16 to funds received from the Federal government. 17 (b) To lease from an airport authority office, aircraft 18 hangar and service buildings constructed upon a public 19 airport under the Airport Authorities Act for the use and 20 occupancy of the State Department of Transportation, which 21 lease may be entered into for a term not to exceed 30 years. 22 (c) To establish training programs for teaching State 23 leasing procedures and practices to new employees of the 24 Department and to keep all employees of the Department 25 informed about current leasing practices and developments in 26 the real estate industry. 27 (d) To enter into an agreement with a municipality or 28 county to construct, remodel or convert a structure for the 29 purposes of its serving as a correctional institution or 30 facility pursuant to paragraph (c) of Section 3-2-2 of the 31 Unified Code of Corrections. 32 (e) To enter into an agreement with a private 33 individual, trust, partnership or corporation or a 34 municipality or other unit of local government, when -74- LRB9008460JMmbam03 1 authorized to do so by the Department of Corrections, whereby 2 such individual, trust, partnership or corporation or 3 municipality or other unit of local government will 4 construct, remodel or convert a structure for the purposes of 5 its serving as a correctional institution or facility and 6 then lease such structure to the Department for the use of 7 the Department of Corrections. A lease entered into pursuant 8 to the authority granted in this subsection shall be for a 9 term not to exceed 30 years, but may grant to the State the 10 option to purchase the structure outright. 11 Such leases shall be and shall recite that they are 12 subject to termination and cancellation in any year for which 13 the General Assembly fails to make an appropriation to pay 14 the rent payable under the terms of the lease. 15 (f) On and after September 17, 1983, the powers granted 16 to the Department under this Section shall be exercised 17 exclusively by the Department and no other State agency may 18 concurrently exercise any such power, unless specifically 19 authorized otherwise by a later enacted law. This subsection 20 is not intended to impair any contract existing as of 21 September 17, 1983. 22 However, no lease for more than 10,000 square feet of 23 space shall be executed unless the Director in consultation 24 with the Executive Director of the Capital Development Board 25 has certified that leasing is in the best interest of the 26 State, considering programmatic requirements, availability of 27 vacant State-owned space, the cost-benefits of purchasing or 28 constructing new space and other criteria as he shall 29 determine. The Director shall not permit multiple leases for 30 less than 10,000 square feet to be executed in order to evade 31 this provision. 32 (g) To develop and implement, in cooperation with the 33 Interagency Energy Conservation Committee, a system for 34 evaluating energy consumption in facilities leased by the -75- LRB9008460JMmbam03 1 Department, and to develop energy consumption standards for 2 use in evaluating prospective lease sites. 3 (h) (1) After the effective date of this amendatory Act 4 of 1997, the Department shall not enter into an agreement 5 for the installment purchase or lease purchase of 6 buildings, land, or facilities unless: 7 (A) the using agency certifies to the 8 Department that the agency reasonably expects the 9 building, land, or facilities being considered for 10 purchase will meet a permanent space need; 11 (B) the building or facilities will be 12 substantially occupied by State agencies after 13 purchase (or after acceptance in the case of a build 14 to suit); 15 (C) the building or facilities shall be in new 16 or like new condition and have a remaining economic 17 life exceeding the term of the contract; 18 (D) no structural or other major building 19 component or system shall have a remaining economic 20 life of less than 10 years; 21 (E) the building, land or facilities: 22 (i) is free of any identifiable 23 environmental hazard, or 24 (ii) is subject to a management plan, 25 provided by the seller and acceptable to the 26 State, to address the known environmental 27 hazard; 28 (F) the building, land, or facilities satisfy 29 applicable handicap accessibility and applicable 30 building codes; and 31 (G) the State's cost to lease purchase or 32 installment purchase the building, land, or 33 facilities is less than the cost to lease space of 34 comparable quality, size, and location over the -76- LRB9008460JMmbam03 1 lease purchase or installment purchase term. 2 (2) The Department shall establish the methodology 3 for comparing lease costs to the costs of installment or 4 lease purchases. The cost comparison shall take into 5 account all relevant cost factors including, but not 6 limited to, debt service, operating and maintenance 7 costs, insurance and risk costs, real estate taxes, 8 reserves for replacement and repairs, security costs, and 9 utilities. Such methodology shall also provide: 10 (A) that the comparison will be made using 11 level payment plans; and 12 (B) that a purchase price must not exceed the 13 fair market value of the buildings, land, or 14 facilities, and that such price must be 15 substantiated by an appraisal or by a competitive 16 selection process in accordance with the Illinois 17 Procurement Code of 1999. 18 (3) If the Department intends to enter into an 19 installment purchase or lease purchase agreement for 20 buildings, land, or facilities under circumstances that 21 do not satisfy the conditions specified by this Section, 22 it must issue a notice to the Secretary of the Senate and 23 the Clerk of the House. Such notice shall contain (i) 24 specific details of the State's proposed purchase, 25 including the amounts, purposes, and financing terms; 26 (ii) a specific description of how the proposed purchase 27 varies from the procedures set forth in this Section; and 28 (iii) a specific justification, signed by the Director, 29 of why it is in the State's best interests to proceed 30 with the purchase. The Department may not proceed with 31 such an installment purchase or lease purchase agreement 32 if, within 60 calendar days after delivery of the notice, 33 the General Assembly, by joint resolution, disapproves 34 the transaction. Delivery may take place on a day and at -77- LRB9008460JMmbam03 1 an hour when the Senate and House are not in session so 2 long as the offices of Secretary and Clerk are open to 3 receive the notice. In determining the 60 day period 4 within which the General Assembly must act, the day on 5 which delivery is made to the Senate and House shall not 6 be counted. If delivery of the notice to the 2 houses 7 occurs on different days, the 60 day period shall begin 8 on the day following the later delivery. 9 (4) On or before February 15 of each year, the 10 Department shall submit an annual report to the Director 11 of the Bureau of the Budget and the General Assembly 12 regarding installment purchases or lease purchases of 13 buildings, land, or facilities that were entered into 14 during the preceding calendar year. The report shall 15 include a summary statement of the aggregate amount of 16 the State's obligations under such purchases; specific 17 details pertaining to each purchase, the amounts, 18 purposes, and financing terms and payment schedule for 19 each purchase; and any other matter that the Department 20 deems advisable. 21 The requirement for reporting to the General 22 Assembly shall be satisfied by filing copies of the 23 report with the Auditor General, the Speaker, the 24 Minority Leader, and the Clerk of the House of 25 Representatives and the President, the Minority Leader, 26 and the Secretary of the Senate, the Chairs of the 27 Appropriations Committees, and the Legislative Research 28 Unit, as required by Section 3.1 of the General Assembly 29 Organization Act, and filing such additional copies with 30 the State Government Report Distribution Center for the 31 General Assembly as is required under paragraph (t) of 32 Section 7 of the State Library Act. 33 (5) Installment purchase and lease purchase 34 agreements for buildings, land, and facilities, whether -78- LRB9008460JMmbam03 1 entered into under this Section or as specified in 2 paragraph (3) of this subsection, are subject to the 3 Illinois Procurement Code of 1999. 4 (Source: P.A. 90-520, eff. 6-1-98.) 5 Section 95-17. The Personnel Code is amended by changing 6 Section 25 as follows: 7 (20 ILCS 415/25) 8 Sec. 25. Illinois Procurement Code of 1999. This Code 9 is subject to thedisciplinary and penaltyprovisions of the 10 Illinois Procurement Code of 1999. 11 (Source: P.A. 90-572, eff. date - See Sec. 99-5.) 12 (25 ILCS 10/10 rep.) 13 Section 95-20. The General Assembly Operations Act is 14 amended by repealing Section 10. 15 (30 ILCS 500/Act rep.) 16 Section 95-25. The Illinois Procurement Code is 17 repealed. 18 Section 95-45. The Toll Highway Act is amended by 19 changing Sections 3, 8, 16, and 16.1 as follows: 20 (605 ILCS 10/3) (from Ch. 121, par. 100-3) 21 Sec. 3. There is hereby created an Authority to be known 22 as The Illinois State Toll Highway Authority, which is hereby 23 constituted an instrumentality and an administrative agency 24 of the State of Illinois. The said Authority shall consist of 25 11 directors; the Governor and the Secretary of the 26 Department of Transportation, ex officio, and 9 directors 27 appointed by the Governor with the advice and consent of the 28 Senate, from the State at large, which said directors and -79- LRB9008460JMmbam03 1 their successors are hereby authorized to carry out the 2 provisions of this Act, and to exercise the powers herein 3 conferred. Of the 9 directors appointed by the Governor, no 4 more than 5 shall be members of the same political party. 5 Vacancies shall be filled for the unexpired term in the same 6 manner as original appointments. All appointments shall be in 7 writing and filed with the Secretary of State as a public 8 record. It is the intention of this section that the 9 Governor's appointments shall be made with due consideration 10 to the location of proposed toll highway routes so that 11 maximum geographic representation from the areas served by 12 said toll highway routes may be accomplished insofar as 13 practicable. The said Authority shall have the power to 14 contract and be contracted with, in accordance with the 15 Illinois Procurement Code of 1999 in the case of procurement 16 contracts, to acquire, hold and convey personal and real 17 property or any interest therein including rights of way, 18 franchises and easements; to have and use a common seal, and 19 to alter the same at will; to make and establish resolutions, 20 by-laws, rules, rates and regulations, and to alter or repeal 21 the same as the Authority shall deem necessary and expedient 22 for the construction, operation, relocation, regulation and 23 maintenance of a system of toll highways within and through 24 the State of Illinois. 25 Appointment of the additional directors provided for by 26 this amendatory Act of 1980 shall be made within 30 days 27 after the effective date of this amendatory Act of 1980. 28 (Source: P.A. 86-1164.) 29 (605 ILCS 10/8) (from Ch. 121, par. 100-8) 30 Sec. 8. The Authority shall have the power: 31 (a) To acquire, own, use, hire, lease, operate and 32 dispose of personal property, real property, any interest 33 therein, including rights-of-way, franchises and easements. -80- LRB9008460JMmbam03 1 (b) To enter into all contracts and agreements necessary 2 or incidental to the performance of its powers under this 3 Act. All employment contracts let under this Act shall be in 4 conformity with the applicable provisions of the Prevailing 5 Wage Act"An Act regulating wages of laborers, mechanics and6other workers employed under contracts for public works,"7approved June 26, 1941, as amended. 8 (c) To employ and discharge, without regard to the 9 requirements of any civil service or personnel act, such 10 administrative, engineering, traffic, architectural, 11 construction, and financial experts, and inspectors, and such 12 other employees, as are necessary in the Authority's judgment 13 to carry out the purposes of this Act; and to establish and 14 administer standards of classification of all of such persons 15 with respect to their compensation, duties, performance, and 16 tenure; and to enter into contracts of employment with such 17 persons for such periods and on such terms as the Authority 18 deems desirable. 19 (d) To appoint by and with the consent of the Attorney 20 General, assistant attorneys for such Authority, which said 21 assistant attorneys shall be under the control, direction and 22 supervision of the Attorney General and shall serve at his 23 pleasure. 24 (e) To retain special counsel, subject to the approval 25 of the Attorney General, as needed from time to time, and fix 26 their compensation, provided however, such special counsel 27 shall be subject to the control, direction and supervision of 28 the Attorney General and shall serve at his pleasure. 29 (f) To acquire, construct, relocate, operate, regulate 30 and maintain a system of toll highways through and within the 31 State of Illinois. However, the Authority does not have the 32 power to acquire, operate, regulate or maintain any system of 33 toll highways or toll bridges or portions of them (including 34 but not limited to any system organized pursuant to Division -81- LRB9008460JMmbam03 1 108 of Article 11 of the Illinois Municipal Code) in the 2 event either of the following conditions exists at the time 3 the proposed acquisition, operation, regulation or 4 maintenance of such system is to become effective: 5 (1) the principal or interest on bonds or other 6 instruments evidencing indebtedness of the system are in 7 default; or 8 (2) the principal or interest on bonds or other 9 instruments evidencing indebtedness of the system have been 10 in default at any time during the 5 year period prior to the 11 proposed acquisition. 12 To facilitate such construction, operation and 13 maintenance and subject to the approval of the Division of 14 Highways of the Department of Transportation, the Authority 15 shall have the full use and advantage of the engineering 16 staff and facilities of the Department. 17 The powers of the Authority are subject to the Illinois 18 Procurement Code of 1999. 19 (Source: P.A. 83-1258.) 20 (605 ILCS 10/16) (from Ch. 121, par. 100-16) 21 Sec. 16. All contracts let for the construction of any 22 work authorized to be done under the provisions of the Act 23 shall be procured in accordance with the Illinois Procurement 24 Code of 1999, where the amount thereof is in excess of the25sum of $10,000, shall be let to the lowest responsible26bidder, or bidders, on open, competitive bidding after public27advertisement made at least 15 days prior to the opening of28bids, in a newspaper of general circulation published in each29of the seven largest cities of the State, as determined by30the last preceding Federal census, in such manner and at such31intervals, as may be prescribed by the Authority except for32contracts for the completion of a terminated or defaulted33contract. The successful bidders for such work shall enter-82- LRB9008460JMmbam03 1into contracts furnished and prescribed by the Authority.2SuchContracts shall contain a provision that asuch3 successful bidder shall indemnify and save harmless the State 4 of Illinois for any accidental injuries or damages arising 5 out of his or her negligence in the performance of such 6 contract, and shall, and in addition, execute and give bonds, 7 payable to the Authority, with a corporate surety authorized 8 to do business under the laws of the State of Illinois, equal 9 to at least 50% of the contract price, one conditioned upon 10 faithful performance of the contract and the other for the 11 payment of all labor furnished and materials supplied in the 12 prosecution of the contracted work. 13 (Source: P.A. 86-1164.) 14 (605 ILCS 10/16.1) (from Ch. 121, par. 100-16.1) 15 Sec. 16.1.(A)All contracts for services or supplies 16 required from time to time by the Authority in the 17 maintenance and operation of any toll highway or part thereof 18 under the provisions of this Act or all direct contracts for 19 supplies to be used in the construction of any toll highway 20 or part thereof to be awarded under this Section, rather than 21 as a part of a contract pursuant to Section 16 of this Act, 22 shall be procured in accordance with the Illinois Procurement 23 Code of 1999, when the amount of any such supplies or24services is in excess of the sum of $7,500 shall be let to25the lowest responsible bidder or bidders, on open,26competitive bidding after public advertisement made at least275 days prior to the opening of bids, in a newspaper of28general circulation in any city of over 500,000 population,29or in any county through which the tollway passes, in such30manner and on one or more occasions as may be prescribed by31the Authority, except that bidding shall not be required in32the following cases:331. Where the goods or services to be procured are-83- LRB9008460JMmbam03 1economically procurable from only one source, such as2contracts for telephone service, electric energy and3other public utility services, housekeeping services,4books, pamphlets and periodicals and specially designed5business equipment and software.62. Where the services required are for7professional, technical or artistic skills.83. Where the services required are for advertising,9promotional and public relations services.104. In emergencies, provided that an affidavit of11the person or persons authorizing the expenditure shall12be filed with the Authority and the Auditor General13within 10 days after such authorization setting forth the14conditions and circumstances requiring the emergency15purchase, the amount expended and the name of the vendor16or contractor involved; if only an estimate is available,17however, within the 10 days allowed for filing the18affidavit, the actual cost shall be reported immediately19after it is determined.205. In case of expenditures for personal services.216. Contracts for equipment and spare parts in22support thereof for the maintenance and operation of any23toll highway, or any part thereof, whenever, the24Authority shall, by resolution, declare and find that a25particular make and type of equipment is required for26efficient maintenance and operation and proper servicing,27for uniformity in and integration with the spare parts28program and inventory control, or for other reasons29peculiar to the problems of the toll highway or its30previously acquired equipment; however, competition and31competitive bids shall be obtained by the Authority with32respect to such specified equipment or spare parts,33insofar as possible, and when effective, pursuant to34public advertisement as hereinbefore provided.-84- LRB9008460JMmbam03 17. Contracts for insurance, fidelity and surety2bonds.38. Contracts or agreements for the completion of a4terminated or defaulted contract or agreement.5(B) The solicitation for bids shall be in conformance6with accepted business practices and the method of7solicitation shall be set out in detail in the rules and8regulations of the Authority.9(C) Proposals received pursuant to public advertisement10shall be publicly opened at the day and hour and at the place11specified in the solicitation for such bids.12(D) Successful bidders for such services and supplies13shall enter into contracts furnished and prescribed by the14Authority.15(E) All purchases, contracts or other obligations or16expenditures of funds by the Authority shall be in accordance17with rules and regulations governing the Authority's18procurement practice and procedures and19 The Authority shallpromulgate andpublish its 20 procurementsuchpractices and procedures in sufficient 21 number for distribution to persons interested in bidding on 22 purchases or contracts to be let by the Authority. Such rules 23 and regulations shall be kept on file with the Secretary of 24 the Authority at all times and shall be available for 25 inspection by members of the public at all reasonable times 26 and hours. 27 Such rules and regulations shall be filed and become 28 effective in connection with the Illinois Administrative 29 Procedure Act. 30(F) Any contract entered into for purchase or31expenditure of funds of the Authority made in violation of32this Act or the rules and regulations in pursuance thereof is33void and of no effect.34(G) Warrant.All sellers to the Authority shall attach a -85- LRB9008460JMmbam03 1 statement to the delivery invoice attesting that the 2 standards set forth in the contracts have been met. The 3 statement shall be substantially in the following form: 4 "The Seller,.... hereby certifies that the goods, 5 merchandise and wares shipped in accordance with the attached 6 delivery invoice have met all the required standards set 7 forth in the purchasing contract. 8 ....(Seller)." 9 Failure to attach the statement(H) Whoever violates the10provisions of this Section, or the rules and regulations11adopted in pursuance thereof,isguilty ofa Class A 12 misdemeanor. 13 (Source: P.A. 86-1164.) 14 ARTICLE 98 15 HUMAN SERVICES DELIVERY ACT 16 Section 98-1. Short title. This Article may be cited as 17 the Human Services Delivery Act. 18 Section 98-5. Legislative findings and declaration of 19 policy. 20 (a) The purpose of this Article is to set forth a 21 program to better provide human services to needy citizens of 22 the State of Illinois. The State of Illinois contracts with 23 or provides grants to private entities for the purpose of 24 providing residential and day treatment services to the 25 mentally ill and developmentally disabled. The State of 26 Illinois enters into these contracts and provides these 27 grants in order to best provide the human services necessary 28 for the care and development of its neediest citizens. 29 (b) The legislature finds that the needs of its mentally 30 ill and developmentally disabled citizens cannot be met if 31 the services provided to them through contracts or grants -86- LRB9008460JMmbam03 1 between the State of Illinois and private providers are 2 subject to disruption. The legislature further finds that 3 the services are most likely to be disrupted if the private 4 providers of the services have illegally interfered with the 5 rights of the private providers' employees under federal law. 6 Private providers or employers found guilty of violating the 7 National Labor Relations Act are most likely to be subject to 8 strikes and other work stoppages by their employees, which 9 strikes or work stoppages have a detrimental effect on the 10 services being provided to Illinois citizens who are mentally 11 ill or developmentally disabled. 12 (c) It is hereby declared to be the policy of the State 13 of Illinois that in order to prevent the disruption of 14 residential and day treatment services to the mentally ill 15 and developmentally disabled citizens, the State of Illinois 16 shall not contract with or provide grants to private 17 providers to provide these services if the private provider 18 has been found to have violated the National Labor Relations 19 Act by committing 3 or more unfair labor practices in any 24 20 month period in the 3 years preceding the effective date or 21 renewal date of the contract, agreement, or grant. 22 Section 98-10. Definitions. As used in this Article, 23 unless the context otherwise requires: 24 "Contractor or grantee" means an entity other than the 25 State of Illinois, a department of the State of Illinois, or 26 political subdivision of the State of Illinois which has a 27 contractual or other relationship with the State of Illinois 28 or a department of the State of Illinois to provide 29 residential or day treatment services to the mentally ill or 30 developmentally disabled, which contract is funded in whole 31 or in part by the State of Illinois or through the Medicaid 32 Program of the State of Illinois. 33 "National Labor Relations Act" means the federal statute, -87- LRB9008460JMmbam03 1 found at 29 U.S.C. Section 101, et seq., as amended. 2 "Violation of the National Labor Relations Act" means a 3 decision by the National Labor Relations Board that the 4 National Labor Relations Act has been violated. 5 Section 98-20. Certification. No grantee or contractor 6 shall receive a grant or be considered for the purposes of 7 being awarded a contract for providing residential or day 8 treatment services for the mentally ill or developmentally 9 disabled, unless that grantee or contractor has certified to 10 the State of Illinois or to the granting or contracting 11 agency that it has not been found to have committed 3 or more 12 unfair labor practices during a 24 month period in the 3 13 years preceding the effective date of the contract or grant. 14 Section 98-25. Suspension or termination of the contract 15 or grant. Each contract or grant awarded by the State of 16 Illinois shall be subject to suspension of payments or 17 termination or both if it is determined that: 18 (a) The contractor or grantee has made a false 19 certification under Section 98-20 of this Article; or 20 (b) The contractor or grantee, after the effective date 21 of the contract or grant, is found to have committed 3 or 22 more unfair labor practices during a 24 month period under 23 the National Labor Relations Act. 24 Section 98-30. Debarment. Any contractor or grantee who 25 files a false certification under Section 98-20 or whose 26 contract or grant is suspended or terminated under Section 27 98-25 shall be debarred from seeking or obtaining a new 28 contract or grant covered under this Article for a period of 29 one year from the date that the contract or grant was 30 terminated or suspended. -88- LRB9008460JMmbam03 1 Section 98-35. Suspension, termination or debarment 2 proceedings; remediation. 3 (a) In any determination proceeding for suspension of 4 payment, termination, or debarment pursuant to this Article, 5 the only question shall be whether the contractor or grantee 6 has violated the National Labor Relations Act as defined by 7 this Article. 8 (b) All proceedings for suspension of payment, 9 termination, or debarment pursuant to this Article shall be 10 conducted in accordance with the Illinois Administrative 11 Procedure Act. 12 (c) Upon notice to the Department of Human Services from 13 a labor organization that a complaint has been issued by the 14 National Labor Relations Board against a contractor or 15 grantee, the Department shall at the request of the labor 16 organization convene a remediation session between the labor 17 organization and the contractor or grantee. The Department 18 shall establish rules concerning the conduct of the sessions. 19 (d) As minor violations of a technical nature are not 20 likely to result in interference with employees' rights 21 sufficient to cause significant disruption in the provision 22 of essential services, nothing herein shall preclude the 23 Department from making a finding that the violations were of 24 a technical nature with only de minimus impact on the rights 25 guaranteed under the National Labor Relations Act. 26 ARTICLE 99 27 EFFECTIVE DATE 28 Section 99-5. Effective date and transition. This 29 Article 99 and Article 98 take effect upon becoming law. 30 Article 95 takes effect January 1, 1999. Articles 1 through 31 90 take effect upon becoming law solely for the purposes of 32 appointment of the Procurement Policy Board and allowing the -89- LRB9008460JMmbam03 1 Procurement Policy Board and State agencies designated under 2 Article 5 to promulgate rules to implement this Code. 3 Articles 1 through 90, for all other purposes, take effect 4 January 1, 1999.".