103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB3153

 

Introduced 2/6/2024, by Sen. Napoleon Harris, III

 

SYNOPSIS AS INTRODUCED:
 
New Act

    Creates the 21st Century Diversity Business Act. Provides that the Department of Commerce and Economic Opportunity shall create and administer the 21st Century Diversity Business Program to provide loans and financial assistance to minority-owned businesses in 21st Century Diversity Business districts. Provides for application, eligibility, and loan requirements. Requires the Department and its grantees to provide technical assistance to businesses receiving loans through the Program. Requires the Department to enter into an agreement with businesses receiving loans through the Program with specified content. Requires the Office of the Secretary of State to make available to the public on the Internet website of the Office of the Secretary of State a registry of self-certified minority business owners from which both public and private entities may seek services. Provides further requirements concerning the registry. Provides for the adoption of rules.


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A BILL FOR

 

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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 21st
5Century Diversity Business Act.
 
6    Section 5. Definitions. As used in this Act:
7    "21st Century Diversity Business District" or "District"
8means a designated area of economic and business growth
9created by a municipality, whose resident population is at
10least 51% minority, participating in the Program created under
11this Act for which Program loan funds are utilized. An area is
12qualified to become a 21st Century Diversity Business District
13which: (i) is a contiguous area; (ii) comprises a minimum of
14one-half square mile and not more than 5 square miles in total
15area, exclusive of lakes and waterways; (iii) is entirely
16within the municipal corporate boundaries; and (iv) 51% or
17more of the residents within district are minority
18individuals.
19    "Agreement" means the loan agreement between a business
20and the Department.
21    "Department" means the Department of Commerce and Economic
22Opportunity.
23    "Minority-owned business" means a business which is at

 

 

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1least 51% owned by one or more minority persons, or in the case
2of a corporation, at least 51% of the stock in which is owned
3by one or more minority persons; and the management and daily
4business operations of which are controlled by one or more of
5the minority individuals who owns it.
6    "Minority person" shall mean a person who is a citizen or
7lawful permanent resident of the United States and who is any
8of the following:
9        (1) American Indian or Alaska Native (a person having
10    origins in any of the original peoples of North and South
11    America, including Central America, and who maintains
12    tribal affiliation or community attachment).
13        (2) Asian (a person having origins in any of the
14    original peoples of the Far East, Southeast Asia, or the
15    Indian subcontinent, including, but not limited to,
16    Cambodia, China, India, Japan, Korea, Malaysia, Pakistan,
17    the Philippine Islands, Thailand, and Vietnam).
18        (3) Black or African American (a person having origins
19    in any of the black racial groups of Africa).
20        (4) Hispanic or Latino (a person of Cuban, Mexican,
21    Puerto Rican, South or Central American, or other Spanish
22    culture or origin, regardless of race).
23        (5) Native Hawaiian or Other Pacific Islander (a
24    person having origins in any of the original peoples of
25    Hawaii, Guam, Samoa, or other Pacific Islands).
26    "Program" means the 21st Century Diversity Business

 

 

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1Program created under this Act.
 
2    Section 10. 21st Century Diversity Business Program.
3    (a) The Department of Commerce and Economic Opportunity
4shall, subject to appropriation, create and administer the
521st Century Diversity Business Program to provide loans and
6financial assistance to minority-owned businesses in a 21st
7Century Diversity Business district as provided under this
8Act.
9    (b) Any municipality may apply, on an annual basis, to the
10Department to create a 21st Century Diversity Business
11District under the Program. To be eligible, an applicant
12municipality must pass an ordinance declaring its intent to
13create a 21st Century Diversity Business District in the
14municipality. No more than 5 eligible municipalities may be
15chosen by the Department to create districts under the Program
16per year. At no point shall more than 30 municipalities be
17participating in the Program.
18    (c) Any eligible municipality chosen by the Department
19under subsection (b) shall, subject to appropriation, be
20entitled to have minority-owned businesses in their 21st
21Century Diversity Business District apply for a subsidized
22loan from the Department. No individual business shall
23accumulate loans in aggregate greater than $1,000,000 under
24this Act. At no point, collectively, shall businesses in any
25participating municipality aggregate more than $5,000,000 in

 

 

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1loans through the Program.
2    (d) Each municipality chosen by the Department to create a
3district under this Section shall, as prerequisite to
4participation, establish a 21st Century Diversity Business
5Investment Board with the purpose of helping grow
6minority-owned businesses.
7    (e) The Department and its grantees shall provide
8technical assistance to businesses receiving loans through the
9Program. This is including, but not limited to, support in
10business plans, business development, financial management,
11marketing, any other service that the Department may deem
12relevant to the establishment of a business for the purposes
13of this Act. At least once a year, the Department shall host an
14informational session, either in-person or virtually, for
15municipalities eligible to apply. At least once a year, the
16Department shall host an informational session, either
17in-person or virtually, for eligible businesses in the 21st
18Century Diversity Business district to learn more about
19opportunities for growth and access to state resources.
20    (f) The Department shall enter into an agreement with a
21business that has received a loan under this Act. The
22agreement must include all of the following:
23        (1) A requirement that the business shall make a
24    good-faith effort to maintain operations in the State of
25    Illinois for the duration of the loan.
26        (2) A requirement that the Director is authorized to

 

 

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1    verify with the appropriate State agencies information
2    provided by the applicant.
3        (3) Any other performance conditions or contract
4    provisions as the Department determines are appropriate.
 
5    Section 15. Minority-owned business database.
6    (a) The Office of the Secretary of State shall, subject to
7appropriation, make available to the public on the Internet
8website of the Office of the Secretary of State a registry of
9self-certified minority business owners from which both public
10and private entities may seek services.
11    (b) The registry shall allow for self-certified minority
12business owners to voluntarily add themselves to the registry.
13The Office of the Secretary of State may utilize data already
14held by other agencies. The Office of the Secretary of State
15may utilize existing forms to voluntarily collect
16self-reported information.
 
17    Section 20. Administrative rules. The Department shall
18adopt all rules necessary for the administration of the
19Program and the implementation of the requirements of this
20Act.