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| 1 | AN ACT concerning procurement.
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| 2 | Be it enacted by the People of the State of Illinois,
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| 3 | represented in the General Assembly:
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| 4 | Section 5. The Illinois Procurement Code is amended by | ||||||
| 5 | changing Section 45-45 as follows:
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| 6 | (30 ILCS 500/45-45)
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| 7 | Sec. 45-45. Small businesses.
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| 8 | (a) Set-asides. The chief procurement officer has | ||||||
| 9 | authority to designate as
small business set-asides a fair
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| 10 | proportion of construction, supply, and service contracts for | ||||||
| 11 | award
to small businesses in Illinois.
Advertisements for bids | ||||||
| 12 | or offers for those contracts shall
specify designation as | ||||||
| 13 | small business
set-asides. In awarding the contracts, only bids | ||||||
| 14 | or offers from
qualified small businesses shall
be considered.
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| 15 | (b) Small business. "Small business" means a business that
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| 16 | is independently owned and
operated and that is not dominant in | ||||||
| 17 | its field of operation. The
chief procurement officer shall | ||||||
| 18 | establish a detailed
definition by rule, using in addition to | ||||||
| 19 | the foregoing criteria
other criteria, including the number
of | ||||||
| 20 | employees and the dollar volume of business. When computing
the | ||||||
| 21 | size status of a bidder,
annual sales and receipts of the | ||||||
| 22 | bidder and all of its affiliates
shall be included. The maximum
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| 23 | number of employees and the maximum dollar volume that a small
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| 24 | business may have under
the rules promulgated by the chief | ||||||
| 25 | procurement officer may vary from industry
to
industry to the | ||||||
| 26 | extent necessary
to reflect differing characteristics of those | ||||||
| 27 | industries, subject
to the following limitations:
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| 28 | (1) No wholesale business is a small business if its
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| 29 | annual sales for its most
recently completed fiscal year | ||||||
| 30 | exceed $10,000,000
$7,500,000.
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| 31 | (2) No retail business or business selling services is
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| 32 | a small business if its
annual sales and receipts exceed | ||||||
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| 1 | $6,000,000
$1,500,000.
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| 2 | (3) No manufacturing business is a small business if it
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| 3 | employs more than 250
persons.
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| 4 | (4) No construction business is a small business if its
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| 5 | annual sales and receipts
exceed $10,000,000.
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| 6 | (c) Fair proportion. For the purpose of subsection (a), for | ||||||
| 7 | State agencies
of the executive branch, a
fair proportion of | ||||||
| 8 | construction
contracts shall be no less than 25% nor more than | ||||||
| 9 | 40% of the
annual total contracts for
construction.
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| 10 | (d) Withdrawal of designation. A small business set-aside
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| 11 | designation may be withdrawn
by the purchasing agency when | ||||||
| 12 | deemed in the best interests of the
State. Upon withdrawal, all
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| 13 | bids or offers shall be rejected, and the bidders or offerors
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| 14 | shall be notified of the reason for
rejection. The contract | ||||||
| 15 | shall then be awarded in accordance with
this Code without the
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| 16 | designation of small business set-aside.
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| 17 | (e) Small business specialist. The chief procurement | ||||||
| 18 | officer shall
designate a
State purchasing officer
who will be | ||||||
| 19 | responsible for engaging an experienced contract
negotiator to | ||||||
| 20 | serve as its small
business specialist, whose duties shall | ||||||
| 21 | include:
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| 22 | (1) Compiling and maintaining a comprehensive bidders
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| 23 | list of small
businesses. In this duty, he or she shall | ||||||
| 24 | cooperate with the
Federal Small Business
Administration | ||||||
| 25 | in locating potential sources for various products
and | ||||||
| 26 | services.
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| 27 | (2) Assisting small businesses in complying with the
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| 28 | procedures for bidding
on State contracts.
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| 29 | (3) Examining requests from State agencies for the
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| 30 | purchase of property or
services to help determine which | ||||||
| 31 | invitations to bid are to be
designated small business | ||||||
| 32 | set-asides.
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| 33 | (4) Making recommendations to the chief procurement | ||||||
| 34 | officer for the
simplification of
specifications and terms | ||||||
| 35 | in order to increase the opportunities
for small business | ||||||
| 36 | participation.
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| 1 | (5) Assisting in investigations by purchasing agencies
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| 2 | to determine the
responsibility of bidders on small | ||||||
| 3 | business set-asides.
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| 4 | (f) Small business annual report. The State purchasing
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| 5 | officer designated under
subsection (e) shall annually before | ||||||
| 6 | December 1 report in writing
to the General Assembly
concerning | ||||||
| 7 | the awarding of contracts to small businesses. The
report shall | ||||||
| 8 | include the total
value of awards made in the preceding fiscal | ||||||
| 9 | year under the
designation of small business set-aside.
The | ||||||
| 10 | report shall also include the total value of awards made to
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| 11 | businesses owned by minorities, females, and persons with | ||||||
| 12 | disabilities, as
defined in the Business Enterprise for | ||||||
| 13 | Minorities, Females, and Persons with
Disabilities Act, in the | ||||||
| 14 | preceding fiscal year under the designation of small
business | ||||||
| 15 | set-aside.
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| 16 | The requirement for reporting to the General Assembly shall
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| 17 | be satisfied by filing copies
of the report as required by | ||||||
| 18 | Section 3.1 of the General Assembly
Organization Act.
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| 19 | (Source: P.A. 92-60, eff. 7-12-01.)
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