103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
HB3889

 

Introduced 2/17/2023, by Rep. William "Will" Davis

 

SYNOPSIS AS INTRODUCED:
 
30 ILCS 575/4  from Ch. 127, par. 132.604

    Amends the Business Enterprise for Minorities, Women, and Persons with Disabilities Act. Provides that notwithstanding any other provision of law, the goals established in this Act should apply to 100% of a State agencies total procurement spending.


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A BILL FOR

 

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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 Business Enterprise for Minorities, Women,
5and Persons with Disabilities Act is amended by changing
6Section 4 as follows:
 
7    (30 ILCS 575/4)  (from Ch. 127, par. 132.604)
8    (Section scheduled to be repealed on June 30, 2024)
9    Sec. 4. Award of State contracts.
10    (a) Except as provided in subsection (b), not less than
1130% of the total dollar amount of State contracts, as defined
12by the Secretary of the Council and approved by the Council,
13shall be established as an aspirational goal to be awarded to
14businesses owned by minorities, women, and persons with
15disabilities; provided, however, that of the total amount of
16all State contracts awarded to businesses owned by minorities,
17women, and persons with disabilities pursuant to this Section,
18contracts representing at least 16% shall be awarded to
19businesses owned by minorities, contracts representing at
20least 10% shall be awarded to women-owned businesses, and
21contracts representing at least 4% shall be awarded to
22businesses owned by persons with disabilities.
23    (a-5) In addition to the aspirational goals in awarding

 

 

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1State contracts set under subsection (a), the Commission shall
2by rule further establish targeted efforts to encourage the
3participation of businesses owned by minorities, women, and
4persons with disabilities on State contracts. Such efforts
5shall include, but not be limited to, further concerted
6outreach efforts to businesses owned by minorities, women, and
7persons with disabilities.
8    The above percentage relates to the total dollar amount of
9State contracts during each State fiscal year, calculated by
10examining independently each type of contract for each agency
11or public institutions of higher education which lets such
12contracts. Only that percentage of arrangements which
13represents the participation of businesses owned by
14minorities, women, and persons with disabilities on such
15contracts shall be included. State contracts subject to the
16requirements of this Act shall include the requirement that
17only expenditures to businesses owned by minorities, women,
18and persons with disabilities that perform a commercially
19useful function may be counted toward the goals set forth by
20this Act. Contracts shall include a definition of
21"commercially useful function" that is consistent with 49 CFR
2226.55(c).
23    (b) Not less than 20% of the total dollar amount of State
24construction contracts is established as an aspirational goal
25to be awarded to businesses owned by minorities, women, and
26persons with disabilities; provided that, contracts

 

 

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1representing at least 11% of the total dollar amount of State
2construction contracts shall be awarded to businesses owned by
3minorities; contracts representing at least 7% of the total
4dollar amount of State construction contracts shall be awarded
5to women-owned businesses; and contracts representing at least
62% of the total dollar amount of State construction contracts
7shall be awarded to businesses owned by persons with
8disabilities.
9    (c) (Blank).
10    (c-5) All goals established under this Section shall be
11contingent upon the results of the most recent disparity study
12conducted by the State.
13    (d) Within one year after April 28, 2009 (the effective
14date of Public Act 96-8), the Department of Central Management
15Services shall conduct a social scientific study that measures
16the impact of discrimination on minority and women business
17development in Illinois. Within 18 months after April 28, 2009
18(the effective date of Public Act 96-8), the Department shall
19issue a report of its findings and any recommendations on
20whether to adjust the goals for minority and women
21participation established in this Act. Copies of this report
22and the social scientific study shall be filed with the
23Governor and the General Assembly.
24    By December 1, 2020, the Department of Central Management
25Services shall conduct a new social scientific study that
26measures the impact of discrimination on minority and women

 

 

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1business development in Illinois. By June 1, 2022, the
2Department shall issue a report of its findings and any
3recommendations on whether to adjust the goals for minority
4and women participation established in this Act. Copies of
5this report and the social scientific study shall be filed
6with the Governor and the General Assembly. By December 1,
72022, the Commission on Equity and Inclusion Business
8Enterprise Program shall develop a model for social scientific
9disparity study sourcing for local governmental units to adapt
10and implement to address regional disparities in public
11procurement.
12    (e) All State contract solicitations that include Business
13Enterprise Program participation goals shall require bidders
14or offerors to include utilization plans. Utilization plans
15are due at the time of bid or offer submission. Failure to
16complete and include a utilization plan, including
17documentation demonstrating good faith efforts when requesting
18a waiver, shall render the bid or offer non-responsive.
19    Except as permitted under this Act or as otherwise
20mandated by federal regulation, a bidder or offeror whose bid
21or offer is accepted and who included in that bid a completed
22utilization plan but who fails to meet the goals set forth in
23the plan shall be notified of the deficiency by the
24contracting agency or public institution of higher education
25and shall be given a period of 10 calendar days to cure the
26deficiency by contracting with additional subcontractors who

 

 

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1are certified by the Business Enterprise Program or by
2increasing the work to be performed by previously identified
3vendors certified by the Business Enterprise Program.
4    Deficiencies that may be cured include: (i) scrivener's
5errors, such as transposed numbers; (ii) information submitted
6in an incorrect form or format; (iii) mistakes resulting from
7failure to follow instructions or to identify and adequately
8document good faith efforts taken to comply with the
9utilization plan; or (iv) a proposal to use a firm whose
10Business Enterprise Program certification has lapsed or is not
11yet recognized. Cure is not authorized if the bidder or
12offeror submits a blank utilization plan, a utilization plan
13that shows lack of reasonable effort to complete the form on
14time, or a utilization plan that states the contract will be
15self-performed, by a non-certified vendor, without showing
16good faith efforts or a request for a waiver. All cure activity
17shall address the deficiencies identified by the purchasing
18agency and shall require clear documentation, including that
19of good faith efforts, to address those deficiencies. Any
20increase in cost to a contract for the addition of a
21subcontractor to cure a bid's deficiency shall not affect the
22bid price and shall not be used in the request for an exemption
23under this Act, and, in no case, shall an identified
24subcontractor with a Business Enterprise Program certification
25made under this Act be terminated from a contract without the
26written consent of the State agency or public institution of

 

 

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1higher education entering into the contract. The purchasing
2agency or public institution of higher education shall make
3the determination whether the cure is adequate.
4    Vendors certified with the Business Enterprise Program at
5the time and date submittals are due and who do not submit a
6utilization plan or have utilization plan deficiencies shall
7have 10 business days to submit a utilization plan or to
8correct the utilization plan deficiencies.
9    (f) (Blank).
10    (g) (Blank).
11    (h) State agencies and public institutions of higher
12education shall notify the Commission on Equity and Inclusion
13of all non-responsive bids or proposals for State contracts.
14    Notwithstanding any other provision of law, the goals
15established in this Act should apply to 100% of a State
16agencies total procurement spending.
17(Source: P.A. 101-170, eff. 1-1-20; 101-601, eff. 1-1-20;
18101-657, Article 1, Section 1-5, eff. 1-1-22; 101-657, Article
1940, Section 40-130, eff. 1-1-22; 102-29, eff. 6-25-21;
20102-558, eff. 8-20-21; 102-1119, eff. 1-23-23.)