101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB4865

 

Introduced 2/18/2020, by Rep. Kambium Buckner - Jehan Gordon-Booth - Mary E. Flowers, La Shawn K. Ford and Camille Y. Lilly

 

SYNOPSIS AS INTRODUCED:
 
5 ILCS 315/9.5 new
30 ILCS 575/2
30 ILCS 575/4  from Ch. 127, par. 132.604
30 ILCS 575/4f
30 ILCS 575/6  from Ch. 127, par. 132.606
30 ILCS 575/7  from Ch. 127, par. 132.607
30 ILCS 575/8f

    Amends the Business Enterprise for Minorities, Women, and Persons with Disabilities Act. Provides that it shall be established as an aspirational goal to award State contracts to businesses owned by Descendants of American Slavery in a total dollar amount that is proportionate to the percentage of such persons who are residents of this State. Provides further requirements concerning the awarding of State contracts to businesses owned by Descendants of American Slavery. Requires reporting concerning the disparity between the representation of Descendants of American Slavery in State contracts compared to the percentage of such persons who are residents of this State. Specifies further requirements concerning waiver requests under the Act. Amends the Illinois Public Labor Relations Act. Requires labor organizations to establish and maintain membership that includes Descendants of American Slavery that is proportionate to the percentage of such persons who are residents of this State, and report those actions. Defines the term "minority person" to include a Descendant of American Slavery. Makes conforming changes.


LRB101 19316 RJF 68785 b

 

 

A BILL FOR

 

HB4865LRB101 19316 RJF 68785 b

1    AN ACT concerning finance.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Public Labor Relations Act is
5amended by adding Section 9.5 as follows:
 
6    (5 ILCS 315/9.5 new)
7    Sec. 9.5. Labor organization diverse membership. Any labor
8organization that is selected as the exclusive representative
9of the employees of a bargaining unit and subject to the
10provisions of this Act shall take actions to establish and
11maintain membership that includes Descendants of American
12Slavery that is proportionate to the percentage of such persons
13who are residents of this State, and shall report those actions
14to the Business Enterprise Council for Minorities, Women, and
15Persons with Disabilities. For the purposes of this Section,
16"Descendants of American Slavery" means a person as described
17within the meaning of "minority person" under Section 2 of the
18Business Enterprise for Minorities, Women, and Persons with
19Disabilities Act.
 
20    Section 10. The Business Enterprise for Minorities, Women,
21and Persons with Disabilities Act is amended by changing
22Sections 2, 4, 4f, 6, 7, and 8f as follows:
 

 

 

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1    (30 ILCS 575/2)
2    (Section scheduled to be repealed on June 30, 2024)
3    Sec. 2. Definitions.
4    (A) For the purpose of this Act, the following terms shall
5have the following definitions:
6        (1) "Minority person" shall mean a person who is a
7    citizen or lawful permanent resident of the United States
8    and who is any of the following:
9            (a) American Indian or Alaska Native (a person
10        having origins in any of the original peoples of North
11        and South America, including Central America, and who
12        maintains tribal affiliation or community attachment).
13            (b) Asian (a person having origins in any of the
14        original peoples of the Far East, Southeast Asia, or
15        the Indian subcontinent, including, but not limited
16        to, Cambodia, China, India, Japan, Korea, Malaysia,
17        Pakistan, the Philippine Islands, Thailand, and
18        Vietnam).
19            (c) Black or African American (a person having
20        origins in any of the black racial groups of Africa).
21            (c-5) Descendant of American Slavery (a person
22        having direct ancestral lineage to victims of slavery
23        in the United States of America).
24            (d) Hispanic or Latino (a person of Cuban, Mexican,
25        Puerto Rican, South or Central American, or other

 

 

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1        Spanish culture or origin, regardless of race).
2            (e) Native Hawaiian or Other Pacific Islander (a
3        person having origins in any of the original peoples of
4        Hawaii, Guam, Samoa, or other Pacific Islands).
5        (2) "Woman" shall mean a person who is a citizen or
6    lawful permanent resident of the United States and who is
7    of the female gender.
8        (2.05) "Person with a disability" means a person who is
9    a citizen or lawful resident of the United States and is a
10    person qualifying as a person with a disability under
11    subdivision (2.1) of this subsection (A).
12        (2.1) "Person with a disability" means a person with a
13    severe physical or mental disability that:
14            (a) results from:
15            amputation,
16            arthritis,
17            autism,
18            blindness,
19            burn injury,
20            cancer,
21            cerebral palsy,
22            Crohn's disease,
23            cystic fibrosis,
24            deafness,
25            head injury,
26            heart disease,

 

 

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1            hemiplegia,
2            hemophilia,
3            respiratory or pulmonary dysfunction,
4            an intellectual disability,
5            mental illness,
6            multiple sclerosis,
7            muscular dystrophy,
8            musculoskeletal disorders,
9            neurological disorders, including stroke and
10        epilepsy,
11            paraplegia,
12            quadriplegia and other spinal cord conditions,
13            sickle cell anemia,
14            ulcerative colitis,
15            specific learning disabilities, or
16            end stage renal failure disease; and
17            (b) substantially limits one or more of the
18        person's major life activities.
19        Another disability or combination of disabilities may
20    also be considered as a severe disability for the purposes
21    of item (a) of this subdivision (2.1) if it is determined
22    by an evaluation of rehabilitation potential to cause a
23    comparable degree of substantial functional limitation
24    similar to the specific list of disabilities listed in item
25    (a) of this subdivision (2.1).
26        (3) "Minority-owned business" means a business which

 

 

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1    is at least 51% owned by one or more minority persons, or
2    in the case of a corporation, at least 51% of the stock in
3    which is owned by one or more minority persons; and the
4    management and daily business operations of which are
5    controlled by one or more of the minority individuals who
6    own it.
7        (4) "Women-owned business" means a business which is at
8    least 51% owned by one or more women, or, in the case of a
9    corporation, at least 51% of the stock in which is owned by
10    one or more women; and the management and daily business
11    operations of which are controlled by one or more of the
12    women who own it.
13        (4.1) "Business owned by a person with a disability"
14    means a business that is at least 51% owned by one or more
15    persons with a disability and the management and daily
16    business operations of which are controlled by one or more
17    of the persons with disabilities who own it. A
18    not-for-profit agency for persons with disabilities that
19    is exempt from taxation under Section 501 of the Internal
20    Revenue Code of 1986 is also considered a "business owned
21    by a person with a disability".
22        (4.2) "Council" means the Business Enterprise Council
23    for Minorities, Women, and Persons with Disabilities
24    created under Section 5 of this Act.
25        (5) "State contracts" means all contracts entered into
26    by the State, any agency or department thereof, or any

 

 

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1    public institution of higher education, including
2    community college districts, regardless of the source of
3    the funds with which the contracts are paid, which are not
4    subject to federal reimbursement. "State contracts" does
5    not include contracts awarded by a retirement system,
6    pension fund, or investment board subject to Section
7    1-109.1 of the Illinois Pension Code. This definition shall
8    control over any existing definition under this Act or
9    applicable administrative rule.
10        "State construction contracts" means all State
11    contracts entered into by a State agency or public
12    institution of higher education for the repair,
13    remodeling, renovation or construction of a building or
14    structure, or for the construction or maintenance of a
15    highway defined in Article 2 of the Illinois Highway Code.
16        (6) "State agencies" shall mean all departments,
17    officers, boards, commissions, institutions and bodies
18    politic and corporate of the State, but does not include
19    the Board of Trustees of the University of Illinois, the
20    Board of Trustees of Southern Illinois University, the
21    Board of Trustees of Chicago State University, the Board of
22    Trustees of Eastern Illinois University, the Board of
23    Trustees of Governors State University, the Board of
24    Trustees of Illinois State University, the Board of
25    Trustees of Northeastern Illinois University, the Board of
26    Trustees of Northern Illinois University, the Board of

 

 

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1    Trustees of Western Illinois University, municipalities or
2    other local governmental units, or other State
3    constitutional officers.
4        (7) "Public institutions of higher education" means
5    the University of Illinois, Southern Illinois University,
6    Chicago State University, Eastern Illinois University,
7    Governors State University, Illinois State University,
8    Northeastern Illinois University, Northern Illinois
9    University, Western Illinois University, the public
10    community colleges of the State, and any other public
11    universities, colleges, and community colleges now or
12    hereafter established or authorized by the General
13    Assembly.
14        (8) "Certification" means a determination made by the
15    Council or by one delegated authority from the Council to
16    make certifications, or by a State agency with statutory
17    authority to make such a certification, that a business
18    entity is a business owned by a minority, woman, or person
19    with a disability for whatever purpose. A business owned
20    and controlled by women shall be certified as a
21    "woman-owned business". A business owned and controlled by
22    women who are also minorities shall be certified as both a
23    "women-owned business" and a "minority-owned business".
24        (9) "Control" means the exclusive or ultimate and sole
25    control of the business including, but not limited to,
26    capital investment and all other financial matters,

 

 

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1    property, acquisitions, contract negotiations, legal
2    matters, officer-director-employee selection and
3    comprehensive hiring, operating responsibilities,
4    cost-control matters, income and dividend matters,
5    financial transactions and rights of other shareholders or
6    joint partners. Control shall be real, substantial and
7    continuing, not pro forma. Control shall include the power
8    to direct or cause the direction of the management and
9    policies of the business and to make the day-to-day as well
10    as major decisions in matters of policy, management and
11    operations. Control shall be exemplified by possessing the
12    requisite knowledge and expertise to run the particular
13    business and control shall not include simple majority or
14    absentee ownership.
15        (10) "Business" means a business that has annual gross
16    sales of less than $75,000,000 as evidenced by the federal
17    income tax return of the business. A firm with gross sales
18    in excess of this cap may apply to the Council for
19    certification for a particular contract if the firm can
20    demonstrate that the contract would have significant
21    impact on businesses owned by minorities, women, or persons
22    with disabilities as suppliers or subcontractors or in
23    employment of minorities, women, or persons with
24    disabilities.
25        (11) "Utilization plan" means a form and additional
26    documentations included in all bids or proposals that

 

 

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1    demonstrates a vendor's proposed utilization of vendors
2    certified by the Business Enterprise Program to meet the
3    targeted goal. The utilization plan shall demonstrate that
4    the Vendor has either: (1) met the entire contract goal or
5    (2) requested a full or partial waiver and made good faith
6    efforts towards meeting the goal.
7        (12) "Business Enterprise Program" means the Business
8    Enterprise Program of the Department of Central Management
9    Services.
10    (B) When a business is owned at least 51% by any
11combination of minority persons, women, or persons with
12disabilities, even though none of the 3 classes alone holds at
13least a 51% interest, the ownership requirement for purposes of
14this Act is considered to be met. The certification category
15for the business is that of the class holding the largest
16ownership interest in the business. If 2 or more classes have
17equal ownership interests, the certification category shall be
18determined by the business.
19(Source: P.A. 100-391, eff. 8-25-17; 101-601, eff. 1-1-20.)
 
20    (30 ILCS 575/4)  (from Ch. 127, par. 132.604)
21    (Section scheduled to be repealed on June 30, 2024)
22    Sec. 4. Award of State contracts.
23    (a) Except as provided in subsections subsection (b) and
24(b-5), not less than 20% of the total dollar amount of State
25contracts, as defined by the Secretary of the Council and

 

 

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1approved by the Council, shall be established as an
2aspirational goal to be awarded to businesses owned by
3minorities, women, and persons with disabilities; provided,
4however, that of the total amount of all State contracts
5awarded to businesses owned by minorities, women, and persons
6with disabilities pursuant to this Section, contracts
7representing at least 11% shall be awarded to businesses owned
8by minorities, contracts representing at least 7% shall be
9awarded to women-owned businesses, and contracts representing
10at least 2% shall be awarded to businesses owned by persons
11with disabilities.
12    The above percentage relates to the total dollar amount of
13State contracts during each State fiscal year, calculated by
14examining independently each type of contract for each agency
15or public institutions of higher education which lets such
16contracts. Only that percentage of arrangements which
17represents the participation of businesses owned by
18minorities, women, and persons with disabilities on such
19contracts shall be included. State contracts subject to the
20requirements of this Act shall include the requirement that
21only expenditures to businesses owned by minorities, women, and
22persons with disabilities that perform a commercially useful
23function may be counted toward the goals set forth by this Act.
24Contracts shall include a definition of "commercially useful
25function" that is consistent with 49 CFR 26.55(c).
26    (b) Except as provided in subsection (b-5), not Not less

 

 

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1than 20% of the total dollar amount of State construction
2contracts is established as an aspirational goal to be awarded
3to businesses owned by minorities, women, and persons with
4disabilities; provided that, contracts representing at least
511% of the total dollar amount of State construction contracts
6shall be awarded to businesses owned by minorities; contracts
7representing at least 7% of the total dollar amount of State
8construction contracts shall be awarded to women-owned
9businesses; and contracts representing at least 2% of the total
10dollar amount of State construction contracts shall be awarded
11to businesses owned by persons with disabilities.
12    (b-5) Notwithstanding the provisions of subsections (a)
13and (b), it shall be established as an aspirational goal to
14award State contracts to businesses owned by Descendants of
15American Slavery in a total dollar amount that is proportionate
16to the percentage of such persons who are residents of this
17State.
18    Those who submit bids or proposals for State contracts
19subject to the provisions of this Act, whose bids or proposals
20are successful, but that fail to meet the goals set forth in
21this subsection (b-5), shall be notified of that deficiency and
22shall be afforded a period not to exceed 10 calendar days from
23the date of notification to cure that deficiency in the bid or
24proposal. The deficiency in the bid or proposal may only be
25cured by contracting with additional subcontractors who are
26owned by Descendants of American Slavery. Any increase in cost

 

 

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1to a contract for the addition of a subcontractor to cure a
2bid's deficiency shall not affect the bid price, shall not be
3used in the request for an exemption in this Act, and in no
4case shall an identified subcontractor with a certification
5made pursuant to this Act be terminated from the contract
6without the written consent of the State agency or public
7institution of higher education entering into the contract.
8    A contractor submitting bids or proposals for State
9contracts subject to the provisions of this Act shall submit a
10plan to the Council outlining its efforts to utilize
11subcontractors owned by Descendants of American Slavery for the
12purposes of fulfilling the goals and requirements established
13under this Act.
14    (c) (Blank).
15    (d) Within one year after April 28, 2009 (the effective
16date of Public Act 96-8), the Department of Central Management
17Services shall conduct a social scientific study that measures
18the impact of discrimination on minority and women business
19development in Illinois. Within 18 months after April 28, 2009
20(the effective date of Public Act 96-8), the Department shall
21issue a report of its findings and any recommendations on
22whether to adjust the goals for minority and women
23participation established in this Act. Copies of this report
24and the social scientific study shall be filed with the
25Governor and the General Assembly.
26    By December 1, 2020, the Department of Central Management

 

 

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1Services shall conduct a new social scientific study that
2measures the impact of discrimination on minority and women
3business development in Illinois. By June 1, 2022, the
4Department shall issue a report of its findings and any
5recommendations on whether to adjust the goals for minority and
6women participation established in this Act. Copies of this
7report and the social scientific study shall be filed with the
8Governor, the Advisory Board, and the General Assembly. By
9December 1, 2022, the Department of Central Management Services
10Business Enterprise Program shall develop a model for social
11scientific disparity study sourcing for local governmental
12units to adapt and implement to address regional disparities in
13public procurement.
14    (e) Except as permitted under this Act or as otherwise
15mandated by federal law or regulation, those who submit bids or
16proposals for State contracts subject to the provisions of this
17Act, whose bids or proposals are successful and include a
18utilization plan but that fail to meet the goals set forth in
19subsection (b) of this Section, shall be notified of that
20deficiency and shall be afforded a period not to exceed 10
21calendar days from the date of notification to cure that
22deficiency in the bid or proposal. The deficiency in the bid or
23proposal may only be cured by contracting with additional
24subcontractors who are owned by minorities or women. Any
25increase in cost to a contract for the addition of a
26subcontractor to cure a bid's deficiency shall not affect the

 

 

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1bid price, shall not be used in the request for an exemption in
2this Act, and in no case shall an identified subcontractor with
3a certification made pursuant to this Act be terminated from
4the contract without the written consent of the State agency or
5public institution of higher education entering into the
6contract.
7    (f) Non-construction solicitations that include Business
8Enterprise Program participation goals shall require bidders
9and offerors to include utilization plans. Utilization plans
10are due at the time of bid or offer submission. Failure to
11complete and include a utilization plan, including
12documentation demonstrating good faith effort when requesting
13a waiver, shall render the bid or offer non-responsive.
14(Source: P.A. 100-391, eff. 8-25-17; 101-170, eff. 1-1-20;
15101-601, eff. 1-1-20.)
 
16    (30 ILCS 575/4f)
17    (Section scheduled to be repealed on June 30, 2024)
18    Sec. 4f. Award of State contracts.
19    (1) It is hereby declared to be the public policy of the
20State of Illinois to promote and encourage each State agency
21and public institution of higher education to use businesses
22owned by minorities, women, and persons with disabilities in
23the area of goods and services, including, but not limited to,
24insurance services, investment management services,
25information technology services, accounting services,

 

 

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1architectural and engineering services, and legal services.
2Furthermore, each State agency and public institution of higher
3education shall utilize such firms to the greatest extent
4feasible within the bounds of financial and fiduciary prudence,
5and take affirmative steps to remove any barriers to the full
6participation of such firms in the procurement and contracting
7opportunities afforded.
8        (a) When a State agency or public institution of higher
9    education, other than a community college, awards a
10    contract for insurance services, for each State agency or
11    public institution of higher education, it shall be the
12    aspirational goal to use insurance brokers owned by
13    minorities, women, and persons with disabilities as
14    defined by this Act, for not less than 20% of the total
15    annual premiums or fees; provided that, contracts
16    representing at least 11% of the total annual premiums or
17    fees shall be awarded to businesses owned by minorities;
18    contracts representing at least 7% of the total annual
19    premiums or fees shall be awarded to women-owned
20    businesses; and contracts representing at least 2% of the
21    total annual premiums or fees shall be awarded to
22    businesses owned by persons with disabilities.
23        (a-5) Notwithstanding subsection (a), when a State
24    agency or public institution of higher education awards a
25    contract for insurance services, for each State agency or
26    public institution of higher education, it shall be the

 

 

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1    aspirational goal to use insurance brokers owned by
2    Descendants of American Slavery in a percentage of the
3    total annual premiums or fees that is proportionate to the
4    percentage of such persons who are residents of this State.
5        (b) When a State agency or public institution of higher
6    education, other than a community college, awards a
7    contract for investment services, for each State agency or
8    public institution of higher education, it shall be the
9    aspirational goal to use emerging investment managers
10    owned by minorities, women, and persons with disabilities
11    as defined by this Act, for not less than 20% of the total
12    funds under management; provided that, contracts
13    representing at least 11% of the total funds under
14    management shall be awarded to businesses owned by
15    minorities; contracts representing at least 7% of the total
16    funds under management shall be awarded to women-owned
17    businesses; and contracts representing at least 2% of the
18    total funds under management shall be awarded to businesses
19    owned by persons with disabilities. Furthermore, it is the
20    aspirational goal that not less than 20% of the direct
21    asset managers of the State funds be minorities, women, and
22    persons with disabilities.
23        (b-5) Notwithstanding subsection (b), when a State
24    agency or public institution of higher education awards a
25    contract for investment services, for each State agency or
26    public institution of higher education, it shall be the

 

 

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1    aspirational goal to use emerging investment managers
2    owned by Descendants of American Slavery in a percentage of
3    the total funds under management that is proportionate to
4    the percentage of such persons who are residents of this
5    State.
6        (c) When a State agency or public institution of higher
7    education, other than a community college, awards
8    contracts for information technology services, accounting
9    services, architectural and engineering services, and
10    legal services, for each State agency and public
11    institution of higher education, it shall be the
12    aspirational goal to use such firms owned by minorities,
13    women, and persons with disabilities as defined by this Act
14    and lawyers who are minorities, women, and persons with
15    disabilities as defined by this Act, for not less than 20%
16    of the total dollar amount of State contracts; provided
17    that, contracts representing at least 11% of the total
18    dollar amount of State contracts shall be awarded to
19    businesses owned by minorities or minority lawyers;
20    contracts representing at least 7% of the total dollar
21    amount of State contracts shall be awarded to women-owned
22    businesses or women who are lawyers; and contracts
23    representing at least 2% of the total dollar amount of
24    State contracts shall be awarded to businesses owned by
25    persons with disabilities or persons with disabilities who
26    are lawyers.

 

 

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1        (c-5) Notwithstanding subsection (c), when a State
2    agency or public institution of higher education awards
3    contracts for information technology services, accounting
4    services, architectural and engineering services, and
5    legal services, for each State agency or public institution
6    of higher education, it shall be the aspirational goal to
7    use such firms owned by Descendants of American Slavery and
8    lawyers who are Descendants of American Slavery in a
9    percentage of the total dollar amount of State contracts
10    that is proportionate to the percentage of such persons who
11    are residents of this State.
12        (d) When a community college awards a contract for
13    insurance services, investment services, information
14    technology services, accounting services, architectural
15    and engineering services, and legal services, it shall be
16    the aspirational goal of each community college to use
17    businesses owned by minorities, women, and persons with
18    disabilities as defined in this Act for not less than 20%
19    of the total amount spent on contracts for these services
20    collectively; provided that, contracts representing at
21    least 11% of the total amount spent on contracts for these
22    services shall be awarded to businesses owned by
23    minorities; contracts representing at least 7% of the total
24    amount spent on contracts for these services shall be
25    awarded to women-owned businesses; and contracts
26    representing at least 2% of the total amount spent on

 

 

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1    contracts for these services shall be awarded to businesses
2    owned by persons with disabilities. When a community
3    college awards contracts for investment services,
4    contracts awarded to investment managers who are not
5    emerging investment managers as defined in this Act shall
6    not be considered businesses owned by minorities, women, or
7    persons with disabilities for the purposes of this Section.
8    (2) As used in this Section:
9        "Accounting services" means the measurement,
10    processing and communication of financial information
11    about economic entities including, but is not limited to,
12    financial accounting, management accounting, auditing,
13    cost containment and auditing services, taxation and
14    accounting information systems.
15        "Architectural and engineering services" means
16    professional services of an architectural or engineering
17    nature, or incidental services, that members of the
18    architectural and engineering professions, and individuals
19    in their employ, may logically or justifiably perform,
20    including studies, investigations, surveying and mapping,
21    tests, evaluations, consultations, comprehensive planning,
22    program management, conceptual designs, plans and
23    specifications, value engineering, construction phase
24    services, soils engineering, drawing reviews, preparation
25    of operating and maintenance manuals, and other related
26    services.

 

 

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1        "Emerging investment manager" means an investment
2    manager or claims consultant having assets under
3    management below $10 billion or otherwise adjudicating
4    claims.
5        "Information technology services" means, but is not
6    limited to, specialized technology-oriented solutions by
7    combining the processes and functions of software,
8    hardware, networks, telecommunications, web designers,
9    cloud developing resellers, and electronics.
10        "Insurance broker" means an insurance brokerage firm,
11    claims administrator, or both, that procures, places all
12    lines of insurance, or administers claims with annual
13    premiums or fees of at least $5,000,000 but not more than
14    $10,000,000.
15        "Legal services" means work performed by a lawyer
16    including, but not limited to, contracts in anticipation of
17    litigation, enforcement actions, or investigations.
18    (3) Each State agency and public institution of higher
19education shall adopt policies that identify its plan and
20implementation procedures for increasing the use of service
21firms owned by minorities, women, and persons with
22disabilities.
23    (4) Except as provided in subsection (5), the Council shall
24file no later than March 1 of each year an annual report to the
25Governor, the Bureau on Apprenticeship Programs, and the
26General Assembly. The report filed with the General Assembly

 

 

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1shall be filed as required in Section 3.1 of the General
2Assembly Organization Act. This report shall: (i) identify the
3service firms used by each State agency and public institution
4of higher education, (ii) identify the actions it has
5undertaken to increase the use of service firms owned by
6minorities, women, and persons with disabilities, including
7encouraging non-minority-owned firms to use other service
8firms owned by minorities, women, and persons with disabilities
9as subcontractors when the opportunities arise, (iii) state any
10recommendations made by the Council to each State agency and
11public institution of higher education to increase
12participation by the use of service firms owned by minorities,
13women, and persons with disabilities, and (iv) include the
14following:
15        (A) For insurance services: the names of the insurance
16    brokers or claims consultants used, the total of risk
17    managed by each State agency and public institution of
18    higher education by insurance brokers, the total
19    commissions, fees paid, or both, the lines or insurance
20    policies placed, and the amount of premiums placed; and the
21    percentage of the risk managed by insurance brokers, the
22    percentage of total commission, fees paid, or both, the
23    lines or insurance policies placed, and the amount of
24    premiums placed with each by the insurance brokers owned by
25    minorities, women, and persons with disabilities by each
26    State agency and public institution of higher education.

 

 

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1        (B) For investment management services: the names of
2    the investment managers used, the total funds under
3    management of investment managers; the total commissions,
4    fees paid, or both; the total and percentage of funds under
5    management of emerging investment managers owned by
6    minorities, women, and persons with disabilities,
7    including the total and percentage of total commissions,
8    fees paid, or both by each State agency and public
9    institution of higher education.
10        (C) The names of service firms, the percentage and
11    total dollar amount paid for professional services by
12    category by each State agency and public institution of
13    higher education.
14        (D) The names of service firms, the percentage and
15    total dollar amount paid for services by category to firms
16    owned by minorities, women, and persons with disabilities
17    by each State agency and public institution of higher
18    education.
19        (E) The total number of contracts awarded for services
20    by category and the total number of contracts awarded to
21    firms owned by minorities, women, and persons with
22    disabilities by each State agency and public institution of
23    higher education.
24    (5) For community college districts, the Business
25Enterprise Council shall only report the following information
26for each community college district: (i) the name of the

 

 

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1community colleges in the district, (ii) the name and contact
2information of a person at each community college appointed to
3be the single point of contact for vendors owned by minorities,
4women, or persons with disabilities, (iii) the policy of the
5community college district concerning certified vendors, (iv)
6the certifications recognized by the community college
7district for determining whether a business is owned or
8controlled by a minority, woman, or person with a disability,
9(v) outreach efforts conducted by the community college
10district to increase the use of certified vendors, (vi) the
11total expenditures by the community college district in the
12prior fiscal year in the divisions of work specified in
13paragraphs (a), (b), and (c) of subsection (1) of this Section
14and the amount paid to certified vendors in those divisions of
15work, and (vii) the total number of contracts entered into for
16the divisions of work specified in paragraphs (a), (b), and (c)
17of subsection (1) of this Section and the total number of
18contracts awarded to certified vendors providing these
19services to the community college district. The Business
20Enterprise Council shall not make any utilization reports under
21this Act for community college districts for Fiscal Year 2015
22and Fiscal Year 2016, but shall make the report required by
23this subsection for Fiscal Year 2017 and for each fiscal year
24thereafter. The Business Enterprise Council shall report the
25information in items (i), (ii), (iii), and (iv) of this
26subsection beginning in September of 2016. The Business

 

 

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1Enterprise Council may collect the data needed to make its
2report from the Illinois Community College Board.
3    (6) The status of the utilization of services shall be
4discussed at each of the regularly scheduled Business
5Enterprise Council meetings. Time shall be allotted for the
6Council to receive, review, and discuss the progress of the use
7of service firms owned by minorities, women, and persons with
8disabilities by each State agency and public institution of
9higher education; and any evidence regarding past or present
10racial, ethnic, or gender-based discrimination which directly
11impacts a State agency or public institution of higher
12education contracting with such firms. If after reviewing such
13evidence the Council finds that there is or has been such
14discrimination against a specific group, race or sex, the
15Council shall establish sheltered markets or adjust existing
16sheltered markets tailored to address the Council's specific
17findings for the divisions of work specified in paragraphs (a),
18(b), and (c) of subsection (1) of this Section.
19(Source: P.A. 100-391, eff. 8-25-17; 101-170, eff. 1-1-20.)
 
20    (30 ILCS 575/6)  (from Ch. 127, par. 132.606)
21    (Section scheduled to be repealed on June 30, 2024)
22    Sec. 6. Agency compliance plans. Each State agency and
23public institutions of higher education under the jurisdiction
24of this Act shall file with the Council an annual compliance
25plan which shall outline the goals of the State agency or

 

 

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1public institutions of higher education for contracting with
2businesses owned by minorities, women, and persons with
3disabilities for the then current fiscal year, the manner in
4which the agency intends to reach these goals and a timetable
5for reaching these goals. The Council shall review and approve
6the plan of each State agency and public institutions of higher
7education and may reject any plan that does not comply with
8this Act or any rules or regulations promulgated pursuant to
9this Act.
10    (a) The compliance plan shall also include, but not be
11limited to, (1) a policy statement, signed by the State agency
12or public institution of higher education head, expressing a
13commitment to encourage the use of businesses owned by
14minorities, women, and persons with disabilities, (2) the
15designation of the liaison officer provided for in Section 5 of
16this Act, (3) procedures to distribute to potential contractors
17and vendors the list of all businesses legitimately classified
18as businesses owned by minorities, women, and persons with
19disabilities and so certified under this Act, (4) procedures to
20set separate contract goals on specific prime contracts and
21purchase orders with subcontracting possibilities based upon
22the type of work or services and subcontractor availability,
23(5) procedures to assure that contractors and vendors make good
24faith efforts to meet contract goals, (6) procedures for
25contract goal exemption, modification and waiver, and (7) the
26delineation of separate contract goals for businesses owned by

 

 

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1minorities, women, and persons with disabilities.
2    (b) Approval of the compliance plans shall include such
3delegation of responsibilities to the requesting State agency
4or public institution of higher education as the Council deems
5necessary and appropriate to fulfill the purpose of this Act.
6Such responsibilities may include, but need not be limited to
7those outlined in subsections (1), (2) and (3) of Section 7,
8paragraph (a) of Section 8, and Section 8a of this Act.
9    (c) Each State agency and public institution of higher
10education under the jurisdiction of this Act shall file with
11the Council an annual report of its utilization of businesses
12owned by minorities, women, and persons with disabilities
13during the preceding fiscal year including lapse period
14spending and a mid-fiscal year report of its utilization to
15date for the then current fiscal year. The reports shall
16include a self-evaluation of the efforts of the State agency or
17public institution of higher education to meet its goals under
18the Act.
19    (d) Notwithstanding any provisions to the contrary in this
20Act, any State agency or public institution of higher education
21which administers a construction program, for which federal law
22or regulations establish standards and procedures for the
23utilization of minority-owned and women-owned businesses and
24disadvantaged businesses, shall implement a disadvantaged
25business enterprise program to include minority-owned and
26women-owned businesses and disadvantaged businesses, using the

 

 

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1federal standards and procedures for the establishment of goals
2and utilization procedures for the State-funded, as well as the
3federally assisted, portions of the program. In such cases,
4these goals shall not exceed those established pursuant to the
5relevant federal statutes or regulations. Notwithstanding the
6provisions of Section 8b, the Illinois Department of
7Transportation is authorized to establish sheltered markets
8for the State-funded portions of the program consistent with
9federal law and regulations. Additionally, a compliance plan
10which is filed by such State agency or public institution of
11higher education pursuant to this Act, which incorporates
12equivalent terms and conditions of its federally-approved
13compliance plan, shall be deemed approved under this Act.
14    (e) Each State agency and public institution of higher
15education under the jurisdiction of this Act shall include,
16along with the compliance plan filed with the Council under
17this Section, an annual plan of action to specifically rectify
18the disparity between the representation of Descendants of
19American Slavery in State contracts compared to the percentage
20of such persons who are residents of this State. The plan of
21action shall outline actions to be taken by the State agency to
22increase representation of Descendants of American Slavery in
23State contracting, and include the percentage of contracts
24entered into between the State agency and businesses owned by
25Descendants of American Slavery.
26(Source: P.A. 99-462, eff. 8-25-15; 100-391, eff. 8-25-17.)
 

 

 

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1    (30 ILCS 575/7)  (from Ch. 127, par. 132.607)
2    (Section scheduled to be repealed on June 30, 2024)
3    Sec. 7. Exemptions; waivers; publication of data.
4    (1) Individual contract exemptions. The Council, at the
5written request of the affected agency, public institution of
6higher education, or recipient of a grant or loan of State
7funds of $250,000 or more complying with Section 45 of the
8State Finance Act, may permit an individual contract or
9contract package, (related contracts being bid or awarded
10simultaneously for the same project or improvements) be made
11wholly or partially exempt from State contracting goals for
12businesses owned by minorities, women, and persons with
13disabilities prior to the advertisement for bids or
14solicitation of proposals whenever there has been a
15determination, reduced to writing and based on the best
16information available at the time of the determination, that
17there is an insufficient number of businesses owned by
18minorities, women, and persons with disabilities to ensure
19adequate competition and an expectation of reasonable prices on
20bids or proposals solicited for the individual contract or
21contract package in question. Any such exemptions shall be
22given by the Council to the Bureau on Apprenticeship Programs.
23        (a) Written request for contract exemption. A written
24    request for an individual contract exemption must include,
25    but is not limited to, the following:

 

 

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1            (i) a list of eligible businesses owned by
2        minorities, women, and persons with disabilities;
3            (ii) a clear demonstration that the number of
4        eligible businesses identified in subparagraph (i)
5        above is insufficient to ensure adequate competition;
6            (iii) the difference in cost between the contract
7        proposals being offered by businesses owned by
8        minorities, women, and persons with disabilities and
9        the agency or public institution of higher education's
10        expectations of reasonable prices on bids or proposals
11        within that class; and
12            (iv) a list of eligible businesses owned by
13        minorities, women, and persons with disabilities that
14        the contractor has used in the current and prior fiscal
15        years.
16        (b) Determination. The Council's determination
17    concerning an individual contract exemption must consider,
18    at a minimum, the following:
19            (i) the justification for the requested exemption,
20        including whether diligent efforts were undertaken to
21        identify and solicit eligible businesses owned by
22        minorities, women, and persons with disabilities;
23            (ii) the total number of exemptions granted to the
24        affected agency, public institution of higher
25        education, or recipient of a grant or loan of State
26        funds of $250,000 or more complying with Section 45 of

 

 

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1        the State Finance Act that have been granted by the
2        Council in the current and prior fiscal years; and
3            (iii) the percentage of contracts awarded by the
4        agency or public institution of higher education to
5        eligible businesses owned by minorities, women, and
6        persons with disabilities in the current and prior
7        fiscal years.
8    (2) Class exemptions.
9        (a) Creation. The Council, at the written request of
10    the affected agency or public institution of higher
11    education, may permit an entire class of contracts be made
12    exempt from State contracting goals for businesses owned by
13    minorities, women, and persons with disabilities whenever
14    there has been a determination, reduced to writing and
15    based on the best information available at the time of the
16    determination, that there is an insufficient number of
17    qualified businesses owned by minorities, women, and
18    persons with disabilities to ensure adequate competition
19    and an expectation of reasonable prices on bids or
20    proposals within that class. Any such exemption shall be
21    given by the Council to the Bureau on Apprenticeship
22    Programs.
23        (a-1) Written request for class exemption. A written
24    request for a class exemption must include, but is not
25    limited to, the following:
26            (i) a list of eligible businesses owned by

 

 

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1        minorities, women, and persons with disabilities;
2            (ii) a clear demonstration that the number of
3        eligible businesses identified in subparagraph (i)
4        above is insufficient to ensure adequate competition;
5            (iii) the difference in cost between the contract
6        proposals being offered by eligible businesses owned
7        by minorities, women, and persons with disabilities
8        and the agency or public institution of higher
9        education's expectations of reasonable prices on bids
10        or proposals within that class; and
11            (iv) the number of class exemptions the affected
12        agency or public institution of higher education
13        requested in the current and prior fiscal years.
14        (a-2) Determination. The Council's determination
15    concerning class exemptions must consider, at a minimum,
16    the following:
17            (i) the justification for the requested exemption,
18        including whether diligent efforts were undertaken to
19        identify and solicit eligible businesses owned by
20        minorities, women, and persons with disabilities;
21            (ii) the total number of class exemptions granted
22        to the requesting agency or public institution of
23        higher education that have been granted by the Council
24        in the current and prior fiscal years; and
25            (iii) the percentage of contracts awarded by the
26        agency or public institution of higher education to

 

 

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1        eligible businesses owned by minorities, women, and
2        persons with disabilities the current and prior fiscal
3        years.
4        (b) Limitation. Any such class exemption shall not be
5    permitted for a period of more than one year at a time.
6    (3) Waivers. Where a particular contract requires a
7contractor to meet a goal established pursuant to this Act, the
8contractor shall have the right to request a waiver from such
9requirements. Except as otherwise provided in this Section, the
10The Council shall grant the waiver where the contractor
11demonstrates that there has been made a good faith effort to
12comply with the goals for participation by businesses owned by
13minorities, women, and persons with disabilities. Any such
14waiver shall also be transmitted in writing to the Bureau on
15Apprenticeship Programs.
16        (a) Request for waiver. A contractor's request for a
17    waiver under this subsection (3) must include, but is not
18    limited to, the following, if available:
19            (i) a list of eligible businesses owned by
20        minorities, women, and persons with disabilities that
21        pertain to the class of contracts in the requested
22        waiver;
23            (ii) a clear demonstration that the number of
24        eligible businesses identified in subparagraph (i)
25        above is insufficient to ensure competition;
26            (iii) the difference in cost between the contract

 

 

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1        proposals being offered by businesses owned by
2        minorities, women, and persons with disabilities and
3        the agency or the public institution of higher
4        education's expectations of reasonable prices on bids
5        or proposals within that class; and
6            (iv) a list of businesses owned by minorities,
7        women, and persons with disabilities that the
8        contractor has used in the current and prior fiscal
9        years.
10        (b) Determination. The Council's determination
11    concerning waivers must include following:
12            (i) the justification for the requested waiver,
13        including whether the requesting contractor made a
14        good faith effort to identify and solicit eligible
15        businesses owned by minorities, women, and persons
16        with disabilities;
17            (ii) the total number of waivers the contractor has
18        been granted by the Council in the current and prior
19        fiscal years;
20            (iii) the percentage of contracts awarded by the
21        agency or public institution of higher education to
22        eligible businesses owned by minorities, women, and
23        persons with disabilities in the current and prior
24        fiscal years; and
25            (iv) the contractor's use of businesses owned by
26        minorities, women, and persons with disabilities in

 

 

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1        the current and prior fiscal years.
2        (c) Contract value. Any waiver request submitted under
3    this Section for which the contract has a total dollar
4    amount valued between $100,000 and $999,000 must be
5    approved by the Council. Any contract request submitted
6    under this Section for which the contract has a total
7    dollar amount valued at $1,000,000 or more must be approved
8    by the General Assembly.
9    (3.5) (Blank).
10    (4) Conflict with other laws. In the event that any State
11contract, which otherwise would be subject to the provisions of
12this Act, is or becomes subject to federal laws or regulations
13which conflict with the provisions of this Act or actions of
14the State taken pursuant hereto, the provisions of the federal
15laws or regulations shall apply and the contract shall be
16interpreted and enforced accordingly.
17    (5) Each chief procurement officer, as defined in the
18Illinois Procurement Code, shall maintain on his or her
19official Internet website a database of the following: (i)
20waivers granted under this Section with respect to contracts
21under his or her jurisdiction; (ii) a State agency or public
22institution of higher education's written request for an
23exemption of an individual contract or an entire class of
24contracts; and (iii) the Council's written determination
25granting or denying a request for an exemption of an individual
26contract or an entire class of contracts. The database, which

 

 

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1shall be updated periodically as necessary, shall be searchable
2by contractor name and by contracting State agency.
3    (6) Each chief procurement officer, as defined by the
4Illinois Procurement Code, shall maintain on its website a list
5of all firms that have been prohibited from bidding, offering,
6or entering into a contract with the State of Illinois as a
7result of violations of this Act.
8    Each public notice required by law of the award of a State
9contract shall include for each bid or offer submitted for that
10contract the following: (i) the bidder's or offeror's name,
11(ii) the bid amount, (iii) the name or names of the certified
12firms identified in the bidder's or offeror's submitted
13utilization plan, and (iv) the bid's amount and percentage of
14the contract awarded to businesses owned by minorities, women,
15and persons with disabilities identified in the utilization
16plan.
17(Source: P.A. 100-391, eff. 8-25-17; 101-170, eff. 1-1-20;
18101-601, eff. 1-1-20.)
 
19    (30 ILCS 575/8f)
20    (Section scheduled to be repealed on June 30, 2024)
21    Sec. 8f. Annual report. The Council shall file no later
22than March 1 of each year, an annual report that shall detail
23the level of achievement toward the goals specified in this Act
24over the 3 most recent fiscal years. The annual report shall
25include, but need not be limited to the following:

 

 

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1        (1) a summary detailing expenditures subject to the
2    goals, the actual goals specified, and the goals attained
3    by each State agency and public institution of higher
4    education;
5        (2) a summary of the number of contracts awarded and
6    the average contract amount by each State agency and public
7    institution of higher education;
8        (3) an analysis of the level of overall goal
9    achievement concerning purchases from minority-owned
10    businesses, women-owned businesses, and businesses owned
11    by persons with disabilities;
12        (4) an analysis of the number of businesses owned by
13    minorities, women, and persons with disabilities that are
14    certified under the program as well as the number of those
15    businesses that received State procurement contracts; and
16        (5) a summary of the number of contracts awarded to
17    businesses with annual gross sales of less than $1,000,000;
18    of $1,000,000 or more, but less than $5,000,000; of
19    $5,000,000 or more, but less than $10,000,000; and of
20    $10,000,000 or more; and .
21        (6) a summary detailing the disparity between the
22    representation of Descendants of American Slavery in State
23    contracts compared to the percentage of such persons who
24    are residents of this State, and a summary of the efforts
25    to eliminate that disparity based upon the requirements of
26    this Act.

 

 

HB4865- 37 -LRB101 19316 RJF 68785 b

1(Source: P.A. 99-462, eff. 8-25-15; 100-391, eff. 8-25-17.)