HB0779 EngrossedLRB103 04371 RPS 49377 b

1    AN ACT concerning State government.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 1. Short title. This Act may be cited as the
5Reimagining Hotel Florence Act.
6    Section 5. Legislative intent. Originally built in 1881,
7the Hotel Florence is located within the Pullman Historic
8District and was placed on the National Register of Historic
9Places in 1969 and was designated a National Historic Landmark
10on December 30, 1970. To save it from demolition the Historic
11Pullman Foundation purchased the hotel in 1975 and maintained
12ownership until 1991 when the State of Illinois took title of
13the building. The Hotel Florence is continually closed for
14renovations and is a semi-closed public space.
15    The hotel sits next to the Pullman National Historic
16Landmark District, which was designated as a National Monument
17in 2015 and recently redesignated as Illinois's first National
18Park on December 29, 2022 and is operated by the U.S. National
19Park Service. This redesignation allows for the National Park
20Service to enter into cooperative agreements with outside
21parties for interpretive and educational programs at
22nonfederal historic properties within the boundaries of the
23park and to provide assistance for the preservation of



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1nonfederal land within the boundaries of the historical park
2and at sites in close proximity to it, which may include the
3Hotel Florence.
4    The General Assembly has allocated $21,000,000 in capital
5infrastructure funds to aid in the redevelopment of the Hotel
7    The General Assembly finds that allowing for the
8Department of Natural Resources to enter into a public-private
9partnership that will allow the Hotel Florence to become a
10fully reactivated space in a timely manner that is in the
11public benefit of the State and the local Pullman community.
12    Section 10. Definitions. In this Act:
13    "Agreement" means a public-private agreement.
14    "Contractor" means a person that has been selected to
15enter or has entered into a public-private agreement with the
16Department on behalf of the State for the development,
17financing, construction, management, or operation of the Hotel
18Florence pursuant to this Act.
19    "Department" means the Department of Natural Resources.
20    "Hotel Florence" means real property in City of Chicago
21located within the Pullman Historic District that is owned by
22the Illinois Department of Natural Resources and was acquired
23in 1991, at the address of 11111 S. Forrestville Avenue,
24Chicago, Illinois, as well as the adjacent Hotel Florence
25Annex building located at 537 East 111th Street, Chicago,



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1Illinois 60628 and any associated grounds connected to either
3    "Maintain" or "maintenance" includes ordinary maintenance,
4repair, rehabilitation, capital maintenance, maintenance
5replacement, and any other categories of maintenance that may
6be designated by the Department.
7    "Offeror" means a person that responds to a request for
8proposals under this Act.
9    "Operate" or "operation" means to do one or more of the
10following: maintain, improve, equip, modify, or otherwise
12    "Person" means any individual, firm, association, joint
13venture, partnership, estate, trust, syndicate, fiduciary,
14corporation, or any other legal entity, group, or combination
16    "Public-private agreement" means an agreement or contract
17between the Department on behalf of the State and all
18schedules, exhibits, and attachments thereto, entered into
19pursuant to a competitive request for proposals process
20governed by this Act, for the development, financing,
21construction, management, or operation of the Hotel Florence
22under this Act.
23    "Revenues" means all revenues, including, but not limited
24to, income, user fees, earnings, interest, lease payments,
25allocations, moneys from the federal government, the State,
26and units of local government, including, but not limited to,



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1federal, State, and local appropriations, grants, loans, lines
2of credit, and credit guarantees; bond proceeds; equity
3investments; service payments; or other receipts arising out
4of or in connection with the financing, development,
5construction, management, or operation of the Hotel Florence.
6    "State" means the State of Illinois.
7    Section 15. Authority to enter public-private agreement.
8    (a) Notwithstanding any provision of law to the contrary,
9the Department on behalf of the State may, pursuant to a
10competitive request for proposals process governed by the
11Illinois Procurement Code, rules adopted under that Code, and
12this Act, enter into a public-private agreement to develop,
13finance, construct, lease, manage, or operate the Hotel
14Florence on behalf of the State, pursuant to which the
15contractors may receive certain revenues, including management
16or user fees in consideration of the payment of moneys to the
17State for that right.
18    (b) The term of a public-private agreement shall be no
19less than 25 years and no more than 75 years.
20    (c) The term of a public-private agreement may be
21extended, but only if the extension is specifically authorized
22by the General Assembly by law.
23    Section 20. Procurement; prequalification. The Department
24may establish a process for prequalification of offerors. If



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1the Department does create such a process, it shall:
2        (1) provide a public notice of the prequalification at
3    least 30 days prior to the date on which applications are
4    due;
5        (2) set forth requirements and evaluation criteria in
6    order to become prequalified;
7        (3) determine which offerors that have submitted
8    prequalification applications, if any, meet the
9    requirements and evaluation criteria; and
10        (4) allow only those offerors that have been
11    prequalified to respond to the request for proposals.
12    Section 25. Request for proposals process to enter into
13public-private agreement.
14    (a) Notwithstanding any provision of law to the contrary,
15the Department on behalf of the State shall select a
16contractor through a competitive request for proposals process
17governed by the Illinois Procurement Code and rules adopted
18under that Code and this Act.
19    (b) The competitive request for proposals process shall,
20at a minimum, solicit statements of qualification and
21proposals from offerors.
22    (c) The competitive request for proposals process shall,
23at a minimum, take into account the following criteria:
24        (1) the offeror's plans for the Hotel Florence
25    project;



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1        (2) the offeror's current and past business practices;
2        (3) the offeror's poor or inadequate past performance
3    in developing, financing, constructing, managing, or
4    operating historic landmark properties or other public
5    assets;
6        (4) the offeror's ability to meet and past performance
7    in meeting or exhausting good faith efforts to meet the
8    utilization goals for business enterprises established in
9    the Business Enterprise for Minorities, Women, and Persons
10    with Disabilities Act;
11        (5) the offeror's ability to comply with and past
12    performance in complying with Section 2-105 of the
13    Illinois Human Rights Act; and
14        (6) the offeror's plans to comply with the Business
15    Enterprise for Minorities, Women, and Persons with
16    Disabilities Act and Section 2-105 of the Illinois Human
17    Rights Act.
18    (d) The Department shall not include terms in the request
19for proposals that provide an advantage, whether directly or
20indirectly, to any contractor presently providing goods,
21services, or equipment to the Department.
22    (e) The Department shall select one or more offerors as
24    (f) After the procedures required in this Section have
25been completed, the Department shall make a determination as
26to whether the offeror should be designated as the contractor



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1for the Hotel Florence project and shall submit the decision
2to the Governor and to the Governor's Office of Management and
3Budget. After review of the Department's determination, the
4Governor may accept or reject the determination. If the
5Governor accepts the determination of the Department, the
6Governor shall designate the offeror for the Hotel Florence
8    Section 30. Provisions of the public-private agreement.
9    (a) The public-private agreement shall include all of the
11        (1) the term of the public-private agreement that is
12    consistent with Section 40;
13        (2) the powers, duties, responsibilities, obligations,
14    and functions of the Department and the contractor;
15        (3) compensation or payments to the Department, if
16    applicable;
17        (4) compensation or payments to the contractor, if
18    applicable;
19        (5) a provision specifying that the Department:
20            (A) has ready access to information regarding the
21        contractor's powers, duties, responsibilities,
22        obligations, and functions under the public-private
23        agreement;
24            (B) has the right to demand and receive
25        information from the contractor concerning any aspect



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1        of the contractor's powers, duties, responsibilities,
2        obligations, and functions under the public-private
3        agreement; and
4            (C) has the authority to direct or countermand
5        decisions by the contractor at any time;
6        (6) a provision imposing an affirmative duty on the
7    contractor to provide the Department with any information
8    the contractor reasonably believes the Department would
9    want to know or would need to know to enable the Department
10    to exercise its powers, carry out its duties,
11    responsibilities, and obligations, and perform its
12    functions under this Act or the public-private agreement
13    or as otherwise required by law;
14        (7) the authority of the Department to enter into
15    contracts with third parties pursuant to Section 40;
16        (8) the authority of the Department to request that
17    the contractor reimburse the Department for third party
18    consultants related to the monitoring the project;
19        (9) a provision governing the contractor's authority
20    to negotiate and execute subcontracts with third parties;
21        (10) the authority of the contractor to impose user
22    fees and the amounts of those fees;
23        (11) a provision governing the deposit and allocation
24    of revenues including user fees;
25        (12) a provision governing rights to real and personal
26    property of the State, the Department, the contractor, and



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1    other third parties;
2        (13) grounds for termination of the agreement by the
3    Department or the contractor and a restatement of the
4    Department's rights under this Act;
5        (14) a requirement that the contractor enter into a
6    project labor agreement;
7        (15) a provision stating that construction contractors
8    shall comply with the requirements of Section 30-22 of the
9    Illinois Procurement Code;
10        (16) rights and remedies of the Department if the
11    contractor defaults or otherwise fails to comply with the
12    terms of the agreement;
13        (17) procedures for amendment to the agreement; and
14        (18) all other terms, conditions, and provisions
15    acceptable to the Department that the Department deems
16    necessary and proper and in the public interest.
17    Section 35. Time limitations. The Department shall issue a
18request for proposals within 6 months after the effective date
19of this Act. The Department shall have 6 months from the date
20of issuance of the request for proposals to select a
22    Section 40. Term of agreement; reversion of property to
23the Department.
24    (a) The Department may terminate the contractor's



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1authority and duties under the public-private agreement on the
2date set forth in the public-private agreement.
3    (b) Upon termination of the public-private agreement, the
4authority and duties of the contractor under this Act cease,
5except for those duties and obligations that extend beyond the
6termination, as set forth in the public-private agreement, and
7all interests in the Hotel Florence shall revert to the
9    Section 45. Prohibited local action; home rule. A unit of
10local government, including a home rule unit, may not take any
11action that would have the effect of impairing the
12public-private agreement under this Act. This Section is a
13denial and limitation of home rule powers and functions under
14subsection (h) of Section 6 of Article VII of the Illinois
16    Section 50. Powers liberally construed. The powers
17conferred by this Act shall be liberally construed in order to
18accomplish their purposes and shall be in addition and
19supplemental to the powers conferred by any other law. If any
20other law or rule is inconsistent with this Act, this Act is
21controlling as to any public-private agreement entered into
22under this Act.
23    Section 55. Full and complete authority. This Act



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1contains full and complete authority for agreements and leases
2with private entities to carry out the activities described in
3this Act. Except as otherwise required by law, no procedure,
4proceedings, publications, notices, consents, approvals,
5orders, or acts by the Department or any other State or local
6agency or official are required to enter into an agreement or
8    Section 97. Severability. The provisions of this Act are
9severable under Section 1.31 of the Statute on Statutes.
10    Section 99. Effective date. This Act takes effect upon
11becoming law.