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Public Act 096-0841
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| HB0613 Re-Enrolled |
LRB096 03444 NHT 13468 b |
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AN ACT concerning education.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The School Code is amended by changing Section |
10-20.21 as follows:
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(105 ILCS 5/10-20.21) (from Ch. 122, par. 10-20.21)
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Sec. 10-20.21. Contracts.
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(a)
To award all contracts for
purchase of supplies, |
materials or work or contracts with private carriers
for |
transportation of pupils involving an expenditure in excess of |
$25,000 or a lower amount as required by board policy
to the |
lowest responsible bidder, considering conformity with
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specifications, terms of delivery, quality and serviceability, |
after due
advertisement, except the following: (i) contracts |
for the services of
individuals possessing a high degree of |
professional skill where the
ability or fitness of the |
individual plays an important part; (ii)
contracts for the |
printing of finance committee reports and departmental
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reports; (iii) contracts for the printing or engraving of |
bonds, tax
warrants and other evidences of indebtedness; (iv) |
contracts for the
purchase of perishable foods and perishable |
beverages; (v) contracts for
materials and work which have been |
awarded to the lowest responsible bidder
after due |
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advertisement, but due to unforeseen revisions, not the fault |
of
the contractor for materials and work, must be revised |
causing expenditures
not in excess of 10% of the contract |
price; (vi)
contracts for the maintenance or servicing of, or |
provision of
repair parts for, equipment which are made with |
the manufacturer or
authorized service agent of that equipment |
where the provision of parts,
maintenance, or servicing can |
best be performed by the manufacturer or
authorized service |
agent; (vii) purchases and contracts for the use,
purchase, |
delivery, movement, or installation of data processing |
equipment,
software, or services and telecommunications and |
interconnect
equipment, software, and services; (viii) |
contracts for duplicating
machines and supplies; (ix) |
contracts for the purchase of natural gas when
the cost is less |
than that offered by a public utility; (x) purchases of
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equipment previously owned by some entity other than the |
district
itself; (xi) contracts for repair, maintenance, |
remodeling, renovation, or
construction, or a single project |
involving an expenditure not to exceed
$50,000 and not |
involving a change or increase in the size, type, or extent
of |
an existing facility; (xii) contracts for goods or services |
procured
from another governmental agency; (xiii) contracts |
for goods or services
which are economically procurable from |
only one source, such as for the
purchase of magazines, books, |
periodicals, pamphlets and reports, and for
utility services |
such as water, light, heat, telephone or telegraph;
(xiv) where |
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funds are expended in an emergency and such emergency
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expenditure is approved by 3/4 of the members of the board; and |
(xv) State master contracts authorized under Article 28A of |
this Code. |
All competitive
bids for contracts involving an |
expenditure in excess of $25,000 or a lower amount as required |
by board policy must be
sealed by the bidder and must be opened |
by a member or employee of the
school board at a public bid |
opening at which the contents of the bids
must be announced. |
Each bidder must receive at least 3 days' notice of the
time |
and place of the bid opening. For purposes of this Section due
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advertisement includes, but is not limited to, at least one |
public notice
at least 10 days before the bid date in a |
newspaper published in the
district, or if no newspaper is |
published in the district, in a newspaper
of general |
circulation in the area of the district. State master contracts |
and certified education purchasing contracts, as defined in |
Article 28A of this Code, are not subject to the requirements |
of this paragraph.
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Under this Section, the acceptance of bids sealed by a |
bidder and the opening of these bids at a public bid opening |
may be permitted by an electronic process for communicating, |
accepting, and opening competitive bids. However, bids for |
construction purposes are prohibited from being communicated, |
accepted, or opened electronically. An electronic bidding |
process must provide for, but is not limited to, the following |
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safeguards: |
(1) On the date and time certain of a bid opening, the |
primary person conducting the competitive, sealed, |
electronic bid process shall log onto a specified database |
using a unique username and password previously assigned to |
the bidder to allow access to the bidder's specific bid |
project number. |
(2) The specified electronic database must be on a |
network that (i) is in a secure environment behind a |
firewall; (ii) has specific encryption tools; (iii) |
maintains specific intrusion detection systems; (iv) has |
redundant systems architecture with data storage back-up, |
whether by compact disc or tape; and (v) maintains a |
disaster recovery plan.
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It is the legislative intent of this amendatory Act of the 96th |
General Assembly to maintain the integrity of the sealed |
bidding process provided for in this Section, to further limit |
any possibility of bid-rigging, to reduce administrative costs |
to school districts, and to effect efficiencies in |
communications with bidders. |
(b) To require, as a condition of any contract for goods |
and services,
that persons
bidding for and awarded a contract |
and all affiliates of the person collect and
remit
Illinois Use |
Tax on all sales of tangible personal property into the State |
of
Illinois in
accordance with the provisions of the Illinois |
Use Tax Act regardless of whether
the
person or affiliate is a |
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"retailer maintaining a place of business within this
State" as
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defined in Section 2 of the Use Tax Act. For purposes of this |
Section, the term
"affiliate"
means any entity that (1) |
directly, indirectly, or constructively controls
another |
entity, (2)
is directly, indirectly, or constructively |
controlled by another entity, or (3)
is subject to
the control |
of a common entity. For purposes of this subsection (b), an |
entity
controls
another entity if it owns, directly or |
individually, more than 10% of the
voting
securities
of that |
entity. As used in this subsection (b), the term "voting |
security"
means a security
that (1) confers upon the holder the |
right to vote for the election of members
of the board
of |
directors or similar governing body of the business or (2) is |
convertible
into, or entitles
the holder to receive upon its |
exercise, a security that confers such a right
to
vote. A
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general partnership interest is a voting security.
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To require that bids and contracts include a certification |
by the bidder
or
contractor that the bidder or contractor is |
not barred from bidding for or
entering into a
contract under |
this Section and that the bidder or contractor acknowledges |
that
the school
board may declare the contract void if the |
certification completed pursuant to
this
subsection (b) is |
false.
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(b-5) To require all contracts and agreements that pertain |
to goods and services and that are intended to generate |
additional revenue and other remunerations for the school |
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district in excess of $1,000, including without limitation |
vending machine contracts, sports and other attire, class |
rings, and photographic services, to be approved by the school |
board. The school board shall file as an attachment to its |
annual budget a report, in a form as determined by the State |
Board of Education, indicating for the prior year the name of |
the vendor, the product or service provided, and the actual net |
revenue and non-monetary remuneration from each of the |
contracts or agreements. In addition, the report shall indicate |
for what purpose the revenue was used and how and to whom the |
non-monetary remuneration was distributed.
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(c) If the State education purchasing entity creates a |
master contract as defined in Article 28A of this Code, then |
the State education purchasing entity shall notify school |
districts of the existence of the master contract. |
(d) In purchasing supplies, materials, equipment, or |
services that are not subject to subsection (c) of this |
Section, before a school district solicits bids or awards a |
contract, the district may review and consider as a bid under |
subsection (a) of this Section certified education purchasing |
contracts that are already available through the State |
education purchasing entity. |
(Source: P.A. 94-714, eff. 7-1-06; 95-990, eff. 10-3-08.)
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Section 90. The State Mandates Act is amended by adding |
Section 8.33 as follows:
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