HB2870 EnrolledLRB102 14777 AWJ 20130 b

1    AN ACT concerning local government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Municipal Code is amended by
5changing Sections 11-135.5-15, 11-135.5-25, and 11-135.5-35
6and by adding Sections 11-135.5-7, 11-135.5-50, 11-135.5-55,
711-135.5-60, 11-135.5-65, 11-135.5-70, and 11-135.5-75 as
8follows:
 
9    (65 ILCS 5/11-135.5-7 new)
10    Sec. 11-135.5-7. Definitions. As used in this Division:
11    "Design-build" means a delivery system that provides
12responsibility within a single contract for the furnishing of
13architecture, engineering, land surveying, and related
14services as required and the labor, materials, equipment, and
15other construction services for the project.
16    "Design-build contract" means a contract for a public
17project under this Division between a commission and a
18design-build entity to furnish: architecture, engineering,
19land surveying, public art or interpretive exhibits, and
20related services, as required; and the labor, materials,
21equipment, and other construction services for the project.
22    "Design-build entity" means any individual, sole
23proprietorship, firm, partnership, joint venture, corporation,

 

 

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1professional corporation, or other entity that proposes to
2design and construct any public project under this Division.
3    "Design professional" means any individual, sole
4proprietorship, firm, partnership, joint venture, corporation,
5professional corporation, or other entity that offers services
6under the Illinois Architecture Practice Act of 1989, the
7Professional Engineering Practice Act of 1989, the Structural
8Engineering Practice Act of 1989, or the Illinois Professional
9Land Surveyor Act of 1989.
10    "Evaluation criteria" means the requirements for the
11separate phases of the selection process as defined in this
12Division and may include the specialized experience, technical
13qualifications and competence, capacity to perform, past
14performance, experience with similar projects, assignment of
15personnel to the project, and other appropriate factors.
16    "Proposal" means the offer to enter into a design-build
17contract as submitted by a design-build entity in accordance
18with this Division.
19    "Request for proposal" means the document used by the
20commission to solicit proposals for a design-build contract.
21    "Scope and performance criteria" means the requirements
22for the commission project, including, but not limited to, the
23intended usage, capacity, size, scope, quality and performance
24standards, life-cycle costs, and other programmatic criteria
25that are expressed in performance-oriented and quantifiable
26specifications and drawings that can be reasonably inferred

 

 

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1and are suited to allow a design-build entity to develop a
2proposal.
 
3    (65 ILCS 5/11-135.5-15)
4    Sec. 11-135.5-15. Establishment of commission; members;
5initial costs and funding.
6    (a) Establishment of commission. Two or more
7municipalities, at least one of which is located in whole or in
8part in the county of Cook, Kane, Kendall, Lake, McHenry, or
9Will and has 140,000 or more inhabitants at the time of
10establishment of a regional water commission, excluding cities
11of 500,000 or more inhabitants, may acquire, either by
12purchase or construction, a waterworks system or a common
13source of supply of water, or both, and may operate jointly a
14waterworks system or a common source of supply of water, or
15both, and improve and extend the same, as provided in this
16Division. The municipality meeting the requirement to have
17140,000 or more inhabitants as required by this paragraph must
18have attained that population as of December 16, 2021 (the
19effective date of Public Act 102-684) this amendatory Act of
20the 102nd General Assembly.
21    The corporate authorities of the municipalities desiring
22to avail themselves of the provisions of this Division shall
23establish a regional water commission by adopting an ordinance
24determining and electing to acquire and operate jointly a
25waterworks system or a common source of supply of water, or

 

 

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1both, as the case may be, and approving an intergovernmental
2agreement among the municipalities establishing the regional
3water commission. This agreement may be amended at any time
4upon the adoption, by the corporate authorities of all member
5municipalities, of concurring ordinances approving the
6amendment to the agreement by the corporate authorities of all
7member municipalities.
8    (b) Addition or withdrawal of members; dissolution. The
9agreement may provide for additional municipalities to join
10the commission upon adoption of an ordinance by the corporate
11authorities of the joining municipality and, upon such
12consents, conditions, and approvals of the board of
13commissioners and of existing member municipalities as shall
14be provided in the agreement. The agreement shall provide the
15manner and terms on which a municipality may withdraw from
16membership in the commission and on which the commission may
17terminate and dissolve in whole or in part.
18    (c) Filing of agreement. Promptly upon entering into the
19agreement or any amendment to it, a copy of such agreement or
20amendment shall be filed in the office of the Secretary of
21State. Promptly upon the addition or withdrawal of a
22municipality, or, upon the dissolution of the commission, that
23fact shall be certified by an officer of the commission to the
24Secretary of State.
25    (d) Development costs. A municipality whose corporate
26authorities adopted an ordinance and approved an

 

 

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1intergovernmental agreement to acquire and operate jointly a
2waterworks system or a common source of supply of water, or
3both, as the case may be, under the provisions of this
4Division, may from time to time pay, advance, or obligate
5itself to the commission to bear a proportionate share of the
6development costs, including principal and interest, of any
7project proposed by the commission, including plans,
8feasibility reports, and engineering, even if the project is
9never constructed or water is never supplied by the commission
10to such municipality.
11    Whenever the corporate authorities of a municipality
12determine that the municipality will pay, advance, or be
13obligated for its proportionate share of development costs as
14provided in this subsection, they shall adopt an ordinance
15declaring their intention that the municipality will do so,
16fix the maximum amount of the municipality's share of the cost
17the municipality proposes to pay or that the municipality will
18advance or to obligate the municipality for, and fix the
19period over which it is proposed to pay the obligation (not
20exceeding 10 years), and the maximum amount to be paid
21annually, if such obligation is to be paid in installments.
22The time of payment of any such installment obligation may be
23extended for a period not exceeding 10 years from the final
24maturity date of the original obligation. On and after the
25date such ordinance becomes effective, the municipality shall
26include an amount sufficient to pay the annual installments of

 

 

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1its obligation each year in the next succeeding appropriation
2ordinances. The commission may require that if any such
3municipality whose corporate authorities determined to pay, to
4advance, or to obligate the municipality to the commission for
5development costs defaults in such payments, advances, or
6obligations, then the remaining municipalities whose corporate
7authorities have determined to pay, to advance, or to obligate
8the respective municipalities to the commission for
9development costs will be required to pay for all or a portion
10of the payments, advances by, or obligations of the defaulting
11municipality. No prior appropriation shall be required for the
12corporate authorities of a municipality to authorize the
13payments, advances, or obligations herein provided for.
14    Whenever the corporate authorities of a municipality have
15obligated the municipality for development costs as herein
16provided and after the effective date of the ordinance under
17which the municipality became obligated for a specific amount
18for development costs of a project and after approval of such
19obligation by the commission, the commission is authorized to
20borrow funds temporarily for payment of such development costs
21in advance of permanent financing. The commission may from
22time to time and pursuant to an appropriate ordinance or
23resolution borrow money and issue its interim notes to
24evidence borrowings for such purpose, including all necessary
25and incidental expenses in connection therewith.
26    An ordinance or resolution authorizing the issuance of

 

 

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1such notes shall describe the project and the development
2costs to be undertaken and specify the principal amount, rate
3of interest as authorized under Section 2 of the Bond
4Authorization Act, and the maturity date, which shall coincide
5with the due date of the obligations or the installments
6thereof incurred by the respective municipalities pursuant to
7this Section not, however, to exceed 10 years from date.
8    Contemporaneously with the issuance of revenue bonds under
9Section 11-135.5-30, all outstanding interim notes issued for
10development costs of a project though they have not then
11matured shall be paid, both principal and interest to date of
12payment, from funds derived from the sale of revenue bonds for
13the permanent financing of any such project for which interim
14notes may have been issued and such interim notes shall be
15surrendered and cancelled, or, in the alternative, the
16commission may determine to pay such interim notes out of
17receipts from other sources available to the commission,
18including grants and loans.
19    Whenever a member municipality has incurred development
20costs for a project and has advanced funds or otherwise
21obligated itself for the payment of such costs, the commission
22is authorized to accept assignment of such debt instruments
23and the payment obligations thereunder and to thereafter make
24all necessary payments to meet such obligations out of
25receipts from other sources available to the commission,
26including grants and loans, or provide for credits against

 

 

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1amounts otherwise due to the commission from the municipality,
2including interest on the amounts due.
3    As used in this subsection, "development costs" means the
4costs of development of a project, including debt incurred and
5principal and interest payments, whether incurred by the
6commission or a member municipality.
7    (e) Construction and operating costs. A municipality, the
8corporate authorities of which adopted an ordinance and
9approved an intergovernmental agreement to acquire and operate
10jointly a waterworks system or a common source of supply of
11water, or both, as the case may be, under the provisions of
12this Division, may from time to time pay, advance, or obligate
13itself to the commission to bear a proportionate share of the
14construction and operating costs of any project proposed by
15the commission.
16    Whenever the corporate authorities of a municipality
17determine that the municipality will pay, advance, or be
18obligated for its proportionate share of construction or
19operating costs as above provided, they shall adopt an
20ordinance declaring their intention to do so, fix the maximum
21amount of the municipality's share of the cost it proposes to
22pay, to advance, or to obligate itself for, and fix the period
23over which it is proposed to pay the obligation, and state the
24maximum amount to be paid annually, if such obligation is to be
25paid in installments. On and after the date such ordinance
26becomes effective, the municipality shall include an amount

 

 

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1sufficient to pay the annual installments of its obligation
2each year in the next succeeding appropriation ordinances. The
3commission may require that if any such municipality whose
4corporate authorities determined that the municipality will
5pay, advance, or be obligated to the commission for
6construction or operating costs defaults in such payments,
7advances, or obligations, then the remaining municipalities
8whose corporate authorities have determined that the
9municipality will pay, advance, or be obligated to the
10commission for construction or operating costs will be
11required to pay for all or a portion of the payments, advances
12by, or obligations of the defaulting municipality. No prior
13appropriation shall be required for the corporate authorities
14of a municipality to authorize the payments, advances, or
15obligations herein provided for.
16    Whenever a municipality, through its corporate
17authorities, has paid, advanced, or obligated the municipality
18for development, construction, or operating costs as herein
19provided, the commission may contract with the municipality,
20on such terms as may be agreed, for the repayment to the
21municipality by the commission of any payment or advance made
22by the municipality to the commission and to charge, in
23addition to all other charges and rates authorized under this
24Division, such rates and charges for water sold by the
25commission as shall be necessary to provide for such
26repayment. In addition, any payment or advance of such costs

 

 

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1made by a municipality pursuant to this Section may be repaid
2by the commission to the municipality: (i) from the proceeds
3of revenue bonds authorized to be issued by the commission
4pursuant to this Division; (ii) or, in the alternative, the
5commission may determine to pay all or part of such amounts out
6of receipts from other sources available to the commission,
7including grants and loans; or (iii) by the commission
8providing credits against amounts otherwise due to the
9commission from the municipality, including interest on the
10amounts due.
11    Whenever a member municipality has incurred construction
12and operating costs for a project and has advanced funds or
13otherwise obligated itself for the payment of such costs, the
14commission is authorized to accept assignment of such debt
15instruments and the payment obligations thereunder and to
16thereafter make all necessary payments to meet such
17obligations: (i) from the proceeds of revenue bonds authorized
18to be issued by the commission pursuant to this Division; (ii)
19or, in the alternative, the commission may determine to pay
20all or part of such amounts out of receipts from other sources
21available to the commission, including grants and loans; or
22(iii) by the commission providing credits against amounts
23otherwise due to the commission from the municipality,
24including interest on the amounts due.
25    As used in this subsection, "construction and operating
26costs" means the costs of construction and operation of a

 

 

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1project, including debt incurred and principal and interest
2payments, whether incurred by the commission or a member
3municipality.
4    (f) Commission facilities. A waterworks system or a common
5source of supply of water, or both, purchased or constructed
6by the commission: (1) may be located within or without the
7corporate limits of any member municipality; (2) may include,
8or may consist of, without limitation, facilities for
9receiving, storing, and transmitting water from any source for
10supplying water to member municipalities and other purchasers
11of water from the commission; and (3) may include, without
12limitation, facilities that are developed, acquired,
13constructed, extended, or improved by the commission that may
14at any time be owned by another unit of local government if
15such facilities will serve the waterworks system or provide a
16common source of supply of water for the commission.
17(Source: P.A. 102-684, eff. 12-16-21.)
 
18    (65 ILCS 5/11-135.5-25)
19    Sec. 11-135.5-25. Board organization and powers.
20    (a) Organization of board. A commission shall organize by
21electing a chair from among its own members and shall elect
22persons, who need not be commissioners, to such other offices
23as shall be designated in the agreement. It shall adopt its own
24bylaws, rules, and regulations and provide for its meetings.
25The commission has full and complete supervision, management,

 

 

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1and control of the waterworks system or the common source of
2supply of water, or both, as provided in the agreement and
3ordinances for acquiring and operating the same, and in their
4maintenance, operation, and extension. The board of
5commissioners shall determine the general policy of the
6commission, shall approve the annual budget, shall make all
7appropriations (which may include appropriations made at any
8time in addition to those made in any annual appropriation
9document), shall approve all contracts for the purchase or
10sale of water, shall adopt ordinances or resolutions providing
11for the issuance of bonds or notes by the commission, shall
12adopt its bylaws, rules, and regulations, and shall have such
13other powers and duties as may be prescribed in the agreement.
14Such agreement may further specify the voting and approval
15requirements for actions regarding the commission's powers and
16duties, including those powers and actions of the commission
17which shall be authorized only upon votes of greater than a
18majority of all commissioners or only upon consents of the
19corporate authorities of a certain number of member
20municipalities, or both.
21    The agreement may provide for the establishment of a
22technical advisory committee to consist of a municipal
23employee member from each member municipality as designated by
24ordinance or other official action, from time to time by the
25corporate authorities of the member municipality, and having
26the qualifications as prescribed in the agreement, and also

 

 

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1may provide for such functions and duties of the committee as
2will support the efficient administration and operation of the
3commission.
4    The board of commissioners may establish other committees
5from time to time, consisting of either members of the board or
6members who are municipal employees from each member
7municipality, in order to support the efficient administration
8and operation of the commission.
9    (b) Water contracts to acquire water supply. A commission
10may contract to acquire a supply of water on such terms and
11conditions as it finds in the best interests of the commission
12for a period not exceeding 101 years. The term of the water
13supply contract may, at the end of the initial or extended
14term, be extended by an amendment, renewal, or revision beyond
15101 years by further agreement of the parties. A commission
16may contract with any person, corporation, political
17subdivision, municipal corporation, or other governmental or
18non-governmental entity for a supply of water, and any such
19political subdivision, municipal corporation, or other
20governmental entity is authorized to enter into such a
21contract with the commission. A commission may accept from a
22municipality that is a member of the commission the assignment
23of a contract to acquire a supply of water and to accept and
24perform the duties and obligations and make all payments
25required pursuant to such assigned contract.
26    A contract made by or assigned to a commission for a supply

 

 

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1of water may contain provisions whereby the commission is
2obligated to pay for such supply of water without setoff or
3counterclaim and irrespective of whether such supply of water
4is ever furnished, made available, or delivered to the
5commission or whether any project for the supply of water
6contemplated by the contract is completed, operable, or
7operating and notwithstanding any suspension, interruption,
8interference, reduction, or curtailment of the supply of water
9from such project.
10    No prior appropriation shall be required before entering
11into or accepting assignment of such contract, and no
12appropriation shall be required to authorize payments to be
13made under the terms of the contract, notwithstanding any
14provision of this Code to the contrary. The contract shall not
15be a debt within the meaning of any statutory or
16constitutional limitations.
17    (c) Water contracts to provide water supply to members.
18The commission is authorized to contract with the
19municipalities which established the commission, and with
20other municipalities that have become members pursuant to the
21process established in the intergovernmental agreement, for a
22supply of water to those municipalities, for a period not
23exceeding 101 years, and those municipalities are authorized
24to enter into such contracts with the commission. The term of
25the water supply contract may, at the end of the initial or
26extended term, be extended by an amendment, renewal, or

 

 

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1revision beyond 101 years by further agreement of the parties.
2    Any such contract made by a commission and any such
3municipalities to supply water may contain provisions whereby
4the purchasing municipality is obligated to pay for such
5supply of water without setoff or counterclaim and
6irrespective of whether such supply of water is ever
7furnished, made available, or delivered to the purchasing
8municipality or whether any project for the supply of water
9contemplated by any such contract is completed, operable, or
10operating and notwithstanding any suspension, interruption,
11interference, reduction, or curtailment of the supply of water
12from such project. Any such contract may provide that if one or
13more of the other purchasers' defaults in the payment of its
14obligations under the contract or similar contract made with
15the supplier of the water, the remaining purchasers party to
16such contract or such similar contract shall be required to
17pay for all or a portion of the obligations of the defaulting
18purchaser. Each municipality that enters into such a contract
19shall be obligated and have the duty to include an amount
20sufficient to pay the annual amount of its obligation each
21year in the next succeeding appropriation ordinances. No prior
22appropriation shall be required for a municipality to
23authorize the payments, advances, or obligations provided for
24in such contracts or this subsection.
25    (d) Water contracts to provide water supply to nonmembers
26and extend system. A commission may supply water to and

 

 

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1contract with a person, corporation, political subdivision,
2municipal corporation, or other governmental or
3non-governmental entity, in addition to the municipalities
4which have formed the commission and other municipalities that
5have become members pursuant to the process established in the
6intergovernmental agreement, and to construct water
7transmission and distribution lines within a radius of 25
8miles outside the corporate limits of member municipalities
9for the purpose of furnishing water to any additional entities
10which contract with the commission for a supply of water, upon
11such payment, terms, and conditions as may be mutually agreed
12upon. Any such contract shall be a continuing, valid, and
13binding obligation of the purchaser for such period of years,
14not to exceed 40, as may be provided in such contract.
15    Any such contract entered into to supply water to a
16municipal corporation or political subdivision shall provide
17that the payments to be made thereunder shall be from the
18revenues to be derived by such municipality or political
19subdivision from the operation of the waterworks system or
20combined waterworks and sewer system of such municipality or
21political subdivision or from receipts from other sources
22available to the municipality or political subdivision,
23including grants and loans. Any such contract made by a
24commission and a purchaser that is such a municipal
25corporation or political subdivision to supply water may
26contain provisions whereby the purchaser is obligated to pay

 

 

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1for such supply of water without setoff or counterclaim and
2irrespective of whether such supply of water is ever
3furnished, made available, or delivered to the purchaser or
4whether any project for the supply of water contemplated by
5any such contract is completed, operable, or operating and
6notwithstanding any suspension, interruption, interference,
7reduction, or curtailment of the supply of water from such
8project. The contract may provide that, if one or more of the
9other purchasers defaults in the payment of its obligations
10under such contract or similar contract made with the supplier
11of the water, the remaining purchasers party to such contract
12or such similar contract shall be required to pay for all or a
13portion of the obligations of the defaulting purchaser. Each
14municipal corporation or political subdivision that enters
15into such a contract shall be obligated and have the duty to
16include an amount sufficient to pay the annual amount of its
17obligation each year in the next succeeding appropriation
18ordinances. No prior appropriation shall be required for a
19municipality or political subdivision to authorize the
20payments, advances, or obligations provided for in such
21contracts or this subsection. Any such contract shall not be a
22debt within the meaning of any statutory or constitutional
23limitations.
24    (e) Additional powers. In addition to any other powers set
25forth in this Division and in the agreement, a commission has
26the following powers:

 

 

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1        (1) The power to enter into intergovernmental police
2    assistance agreements with any municipality or county.
3        (2) The power to enter into intergovernmental
4    agreements with any unit of local government or other
5    governmental entity in order to carry out the purposes for
6    which the commission was formed.
7(Source: P.A. 102-684, eff. 12-16-21.)
 
8    (65 ILCS 5/11-135.5-35)
9    Sec. 11-135.5-35. Revenues; rates; costs; construction
10contracts.
11    (a) Revenue fund. Whenever bonds are issued under this
12Division, the revenue received from the operation of the
13properties under the control of the commission shall be set
14aside as collected and deposited in a separate fund to be used
15only (1) in paying the cost of the operation and maintenance of
16those properties, (2) in providing an adequate depreciation
17fund, (3) in paying the principal of and interest upon the
18revenue bonds issued by the commission, as provided by this
19Division, (4) to comply with the covenants of the ordinance or
20resolution, or the master trust indenture or any applicable
21supplemental trust indenture or both, authorizing the issuance
22of such bonds, and (5) to carry out the corporate purposes and
23powers of the commission.
24    (b) Rates and charges for waterworks system. If the
25commission has charge of the operation of a complete

 

 

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1waterworks system, including the distribution mains, the
2commission shall establish rates and charges for water and the
3use of commission waterworks system facilities, which shall be
4sufficient at all times to pay the cost of operation and
5maintenance, to provide an adequate depreciation fund, to pay
6the principal of and interest upon all revenue bonds issued as
7provided by this Division, to comply with the covenants of the
8ordinance or resolution, or the master trust indenture or any
9applicable supplemental trust indenture or both, authorizing
10the issuance of such bonds, and to carry out the corporate
11purposes and powers of the commission. Charges and rates shall
12be established, revised, and maintained by ordinance and
13become payable as the commission may determine by ordinance.
14    (c) Rates and charges for water source of supply. If the
15commission has charge of the operation of a common source of
16supply of water, the municipalities represented by the
17commission shall contract with the commission for water. These
18municipalities shall establish such charges and rates for
19water supplied by them to consumers as will be sufficient at
20all times (1) to pay the cost of operation and maintenance of
21the respective waterworks systems (or combined waterworks and
22sewerage systems) of the municipalities, (2) to provide an
23adequate depreciation fund therefor, (3) to pay the principal
24of and interest on all revenue bonds of the municipalities
25payable from the revenues of the waterworks system (or
26combined waterworks and sewerage system), and (4) to pay the

 

 

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1charges and rates established by the commission for the sale
2of water by the commission to, and the use of commission
3waterworks system facilities by, those municipalities. The
4commission shall establish such charges and rates for water
5supplied to those municipalities and the use of commission
6waterworks system facilities as will be sufficient at all
7times (1) to pay the cost of operation and maintenance of the
8common source of supply of water, (2) to provide an adequate
9depreciation fund therefor, (3) to pay the principal of and
10interest on the revenue bonds issued by the commission, (4) to
11comply with the covenants of the ordinance or resolution, or
12the master trust indenture or any applicable supplemental
13trust indenture or both, authorizing the issuance of such
14bonds, and (5) to carry out the corporate purposes and powers
15of the commission, under the provisions of this Division.
16Contracts entered into between the commission and the
17specified municipalities shall include covenants for the
18establishment of rates and charges as provided in this
19Section.
20    (d) Pension costs. Contributions to a retirement fund or
21other pension alternative authorized by the Illinois Pension
22Code, including, without limitation, the Illinois Municipal
23Retirement Fund, by commissions created under this Division
24which have been included under the retirement fund or other
25pension alternative shall be considered a cost of operation
26and maintenance for the purposes of this Section.

 

 

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1    (e) Enforcement of obligations. An owner A holder of a
2bond or of any of its coupons issued under this Division, a
3trustee under a master trust indenture or supplemental trust
4indenture or both with respect to the bonds issued under this
5Division, or both the owner and trustee may, in a civil action,
6mandamus action, or other proceeding, may enforce and compel
7performance of all duties required by this Division to be
8performed by such a commission or by any of the
9municipalities, including the making of rates and charges, the
10collecting of sufficient revenue, and the application thereof,
11as provided in this Division.
12    (f) Construction contracts. All or any portion of a
13waterworks system or other public improvement of such a
14commission, when the expense thereof will exceed the greater
15of (i) $25,000 or (ii) the amount of expense above which a work
16or public improvement by a municipality must be let to the
17lowest responsible bidder after advertising for bids under
18Section 8-9-1 of this Code, shall be constructed, maintained,
19or repaired either: (1) by a contract let to the lowest
20responsible bidder after advertising for bids, in the manner
21prescribed by the commission's bylaws, rules, and regulations
22and by the vote required as established in the
23intergovernmental agreement pursuant to Section 11-135.5-25;
24or (2) without advertising for bids, if authorized by a vote of
25greater than a majority of all the commissioners as
26established in the intergovernmental agreement pursuant to

 

 

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1Section 11-135.5-25. The commission's bylaws, rules, and
2regulations shall provide for an alternative procedure for
3emergency procurement if an emergency makes it impracticable
4to follow the procedures in this subsection.
5    (g) Alternative project delivery. A commission may use
6alternative project delivery methods if the commission
7determines it to be in the commission's best interest for a
8particular project. An alternative project delivery method may
9include, without limitation, design-build or
10construction-manager-at-risk. All notices for the procurement
11of goods, services, or work to be provided pursuant to an
12alternate delivery method shall include all requirements for
13the goods, services, or work to be procured. All awards of
14contracts or agreements for the procurement of goods,
15services, or work to be provided pursuant to an alternate
16delivery method shall be made on the basis of demonstrated
17competence and qualifications and with due regard for the
18principles of competitive selection. As part of an alternate
19project delivery procurement process, prior to submission of
20proposals, the commission may conduct meetings and exchange
21confidential information with proposers to promote
22understanding of the request for proposals, review alternative
23design concepts, or discuss other issues related to the
24procurement.
25    As used in this subsection:
26    "Construction-manager-at-risk" means a delivery method in

 

 

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1which the party proposing to be the construction manager
2commits to be responsible for performance of certain
3preconstruction services and, if the parties reach agreement
4on key terms, becomes responsible for construction of the
5project.
6    "Design-build" means a delivery method that provides
7responsibility within a single contract for furnishing the
8architectural, engineering, land-surveying, and related
9services for the project, as well as the labor, materials,
10equipment, and other construction services for the project.
11    (h) Procurement goals and requirements. A commission may
12establish goals or requirements for the procurement of goods
13and services and for construction contracts to promote and
14encourage the continuing economic development of (i)
15businesses that are owned and operated by minorities, women,
16persons with disabilities, or veterans; (ii) businesses that
17are located within the territory of one or more of the
18municipalities that are members of the commission; (iii)
19businesses that employ persons who reside in the territory of
20one or more of the municipalities that are members of the
21commission; (iv) businesses that are located within the
22territory of a municipality having more than 2,000,000
23inhabitants in which a portion of the commission's waterworks
24system or other commission improvement is located; or (v)
25businesses that employ persons who reside in the territory of
26a municipality having more than 2,000,000 inhabitants in which

 

 

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1a portion of the commission's waterworks system or other
2commission improvement is located.
3    A commission may also establish other goals or
4requirements that result in the award to a responsible bidder
5other than the lowest responsible bidder if the commission
6determines that the award is in the commission's best
7interests, notwithstanding the requirements of subsection (f).
8Goals or requirements that are set by a commission that result
9in a preference being applied to a bidder or proposer, who has
10met those goals or requirements, in a commission's process for
11awarding construction contracts and for the procurement of
12goods and services must comply with the constitutional
13standards applicable to the preferences.
14    (i) Contract assignment. A member municipality may enter
15into a contract for any portion of a waterworks system or other
16public improvement of a commission pursuant to a contracting
17method that is consistent with the requirements applicable to
18the municipality and generally consistent with the principles
19in subsection (f) or (g). The commission may accept assignment
20of such a contract and of payment obligations under that
21contract.
22    (j) (g) Project labor agreement. In connection with a
23contract by a commission for the construction of all or any
24portion of a waterworks system or other public improvement of
25the commission, the commission must enter into a project labor
26agreement with the applicable local building trades council

 

 

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1prior to the commencement of any and all construction,
2building, renovation, demolition, or any material change to
3the structure or land.
4(Source: P.A. 102-684, eff. 12-16-21.)
 
5    (65 ILCS 5/11-135.5-50 new)
6    Sec. 11-135.5-50. Solicitation of proposals.
7    (a) A commission may enter into design-build contracts. In
8addition to the requirements set forth in its local
9ordinances, when the commission elects to use the design-build
10delivery method, it must issue a notice of intent to receive
11proposals for the project at least 14 days before issuing the
12request for the proposal. The commission must publish the
13advance notice in the manner prescribed by ordinance, which
14shall include posting the advance notice online on its
15website. The commission may publish the notice in construction
16industry publications or post the notice on construction
17industry websites. A brief description of the proposed
18procurement must be included in the notice. The commission
19must provide a copy of the request for proposal to any party
20requesting a copy.
21    (b) The request for proposal shall be prepared for each
22project and must contain, without limitation, the following
23information:
24        (1) The name of the commission.
25        (2) A preliminary schedule for the completion of the

 

 

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1    contract.
2        (3) The proposed budget for the project, the source of
3    funds, and the currently available funds at the time the
4    request for proposal is submitted.
5        (4) Prequalification criteria for design-build
6    entities wishing to submit proposals. The Commission shall
7    include, at a minimum, its normal prequalification,
8    licensing, registration, and other requirements; however,
9    nothing precludes the use of additional prequalification
10    criteria by the commission.
11        (5) Material requirements of the contract, including,
12    but not limited to, the proposed terms and conditions,
13    required performance and payment bonds, and insurance.
14        (6) The performance criteria.
15        (7) The evaluation criteria for each phase of the
16    solicitation. Price may not be used as a factor in the
17    evaluation of Phase I proposals.
18        (8) The number of entities that will be considered for
19    the technical and cost evaluation phase.
20    (c) The commission may include any other relevant
21information that it chooses to supply. The design-build entity
22shall be entitled to rely upon the accuracy of this
23documentation in the development of its proposal.
24    (d) The date that proposals are due must be at least 21
25calendar days after the date of the issuance of the request for
26proposal. If the cost of the project is estimated to exceed

 

 

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1$12,000,000, then the proposal due date must be at least 28
2calendar days after the date of the issuance of the request for
3proposal. The commission shall include in the request for
4proposal a minimum of 30 days to develop the Phase II
5submissions after the selection of entities from the Phase I
6evaluation is completed.
 
7    (65 ILCS 5/11-135.5-55 new)
8    Sec. 11-135.5-55. Development of scope and performance
9criteria.
10    (a) The commission shall develop, with the assistance of a
11licensed design professional or public art designer, a request
12for proposal, which shall include scope and performance
13criteria. The scope and performance criteria must be in
14sufficient detail and contain adequate information to
15reasonably apprise the qualified design-build entities of the
16commission's overall programmatic needs and goals, including
17criteria and preliminary design plans, general budget
18parameters, schedule, and delivery requirements.
19    (b) Each request for proposal shall also include a
20description of the level of design to be provided in the
21proposals. This description must include the scope and type of
22renderings, drawings, and specifications that, at a minimum,
23will be required by the commission to be produced by the
24design-build entities.
25    (c) The scope and performance criteria shall be prepared

 

 

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1by a design professional or public art designer who is an
2employee of the commission, or the commission may contract
3with an independent design professional or public art designer
4selected under the Local Government Professional Services
5Selection Act to provide these services.
6    (d) The design professional or public art designer that
7prepares the scope and performance criteria is prohibited from
8participating in any design-build entity proposal for the
9project.
10    (e) The design-build contract may be conditioned upon
11subsequent refinements in scope and price and may allow the
12commission to make modifications in the project scope without
13invalidating the design-build contract.
 
14    (65 ILCS 5/11-135.5-60 new)
15    Sec. 11-135.5-60. Procedures for selection.
16    (a) The commission must use a two-phase procedure for the
17selection of the successful design-build entity. Phase I of
18the procedure will evaluate and shortlist the design-build
19entities based on qualifications, and Phase II will evaluate
20the technical and cost proposals.
21    (b) The commission shall include in the request for
22proposal the evaluating factors to be used in Phase I. These
23factors are in addition to any prequalification requirements
24of design-build entities that the commission has set forth.
25Each request for proposal shall establish the relative

 

 

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1importance assigned to each evaluation factor and subfactor,
2including any weighting of criteria to be employed by the
3commission. The commission must maintain a record of the
4evaluation scoring to be disclosed in event of a protest
5regarding the solicitation.
6    The commission shall include the following criteria in
7every Phase I evaluation of design-build entities: (i)
8experience of personnel; (ii) successful experience with
9similar project types; (iii) financial capability; (iv)
10timeliness of past performance; (v) experience with similarly
11sized projects; (vi) successful reference checks of the firm;
12and (vii) commitment to assign personnel for the duration of
13the project and qualifications of the entity's consultants.
14    The commission may include any additional relevant
15criteria in Phase I that it deems necessary for a proper
16qualification review. The commission may not consider any
17design-build entity for evaluation or award if the entity has
18any pecuniary interest in the project or has other
19relationships or circumstances, including, but not limited to,
20long-term leasehold, mutual performance, or development
21contracts with the commission, that may give the design-build
22entity a financial or tangible advantage over other
23design-build entities in the preparation, evaluation, or
24performance of the design-build contract or that create the
25appearance of impropriety.
26    Upon completion of the qualifications evaluation, the

 

 

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1commission shall create a shortlist of the most highly
2qualified design-build entities. The commission, in its
3discretion, is not required to shortlist the maximum number of
4entities as identified for Phase II evaluation, provided that
5no less than 2 design-build entities nor more than 6 are
6selected to submit Phase II proposals. The commission shall
7notify the entities selected for the shortlist in writing.
8This notification shall commence the period for the
9preparation of the Phase II technical and cost evaluations.
10The commission must allow sufficient time for the shortlist
11entities to prepare their Phase II submittals considering the
12scope and detail requested by the commission.
13    (c) The commission shall include in the request for
14proposal the evaluating factors to be used in the technical
15and cost submission components of Phase II. Each request for
16proposal shall establish, for both the technical and cost
17submission components of Phase II, the relative importance
18assigned to each evaluation factor and subfactor, including
19any weighting of criteria to be employed by the commission.
20The commission must maintain a record of the evaluation
21scoring to be disclosed in event of a protest regarding the
22solicitation.
23    The commission shall include the following criteria in
24every Phase II technical evaluation of design-build entities:
25(i) compliance with objectives of the project; (ii) compliance
26of proposed services to the request for proposal requirements;

 

 

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1(iii) quality of products or materials proposed; (iv) quality
2of design parameters; (v) design concepts; (vi) innovation in
3meeting the scope and performance criteria; and (vii)
4constructability of the proposed project. The commission may
5include any additional relevant technical evaluation factors
6it deems necessary for proper selection.
7    The commission shall include the following criteria in
8every Phase II cost evaluation: the total project cost; the
9construction costs; and the time of completion. The commission
10may include any additional relevant technical evaluation
11factors it deems necessary for proper selection. The total
12project cost criteria weighting factor shall not exceed 30%.
13    The commission shall directly employ or retain a licensed
14design professional or a public art designer to evaluate the
15technical and cost submissions to determine if the technical
16submissions are in accordance with generally accepted industry
17standards.
18    Upon completion of the technical submissions and cost
19submissions evaluation, the commission may award the
20design-build contract to the highest overall ranked entity.
 
21    (65 ILCS 5/11-135.5-65 new)
22    Sec. 11-135.5-65. Small projects. In any case where the
23total overall cost of the project is estimated to be less than
24$12,000,000, the commission may combine the two-phase
25procedure for selection described in Section 11-135.5-60 into

 

 

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1one combined step, provided that all the requirements of
2evaluation are performed in accordance with Section
311-135.5-60.
 
4    (65 ILCS 5/11-135.5-70 new)
5    Sec. 11-135.5-70. Submission of proposals. Proposals must
6be properly identified and sealed. Proposals may not be
7reviewed until after the deadline for submission has passed as
8set forth in the request for proposals. All design-build
9entities submitting proposals shall be disclosed after the
10deadline for submission, and all design-build entities who are
11selected for Phase II evaluation shall also be disclosed at
12the time of that determination.
13    Proposals shall include a bid bond in the form and
14security as designated in the request for proposals. Proposals
15shall also contain a separate sealed envelope with the cost
16information within the overall proposal submission. Proposals
17shall include a list of all design professionals, public art
18designers, and other entities to which any work may be
19subcontracted during the performance of the contract.
20    Proposals must meet all material requirements of the
21request for proposal or they may be rejected as
22non-responsive. The commission has the right to reject any and
23all proposals.
24    The drawings and specifications of the proposal may remain
25the property of the design-build entity.

 

 

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1    The commission shall review the proposals for compliance
2with the performance criteria and evaluation factors.
3    Proposals may be withdrawn prior to evaluation for any
4cause. After evaluation begins by the commission, clear and
5convincing evidence of error is required for withdrawal.
 
6    (65 ILCS 5/11-135.5-75 new)
7    Sec. 11-135.5-75. Award; performance. The commission may
8award the contract to the highest overall ranked entity.
9Notice of award shall be made in writing. Unsuccessful
10entities shall also be notified in writing. The commission may
11not request a best and final offer after the receipt of
12proposals. The commission may negotiate with the selected
13design-build entity after award but prior to contract
14execution for the purpose of securing better terms than
15originally proposed, provided that the salient features of the
16request for proposal are not diminished.
17    A design-build entity and associated design professionals
18shall conduct themselves in accordance with the relevant laws
19of this State and the related provisions of the Illinois
20Administrative Code.
 
21    Section 99. Effective date. This Act takes effect upon
22becoming law.