SB3728 103RD GENERAL ASSEMBLY

LRB103 39056 AWJ 69193 b

103RD GENERAL ASSEMBLY
State of Illinois
2023 and 2024
SB3728

Introduced 2/9/2024, by Sen. Jason Plummer

SYNOPSIS AS INTRODUCED:

New Act
5 ILCS 430/20-10
740 ILCS 174/15

Creates the Research, Education, and Government Operations Protection Act. Defines terms. Provides that the purpose of the Act is to protect Illinois' research, educational system, and government operations from malicious influence from foreign countries of concern. Requires a State agency, political subdivision, institution of K-12 education, or institution of higher education to disclose information about gifts and contracts from specified countries of concern, and requires approval from the Executive Inspector General for the Agencies of the Illinois Governor for gifts and contracts from counties of concern. Restricts international cultural agreements and student associations within institutions of K-12 education and institutions of higher education. Requires institutes of higher education with a research budget of $10,000,000 or more to perform specified research and foreign travel screening before accepting applicants from countries of concern or allowing travel to countries of concern. Provides that, subject to the approval of the State Board of Higher Education and Illinois Community College Board, an institution of higher education shall only enter into a new or renew an existing academic partnership with an academic or research institution located in a country of concern under specified circumstances. Prohibits certain trade secret actions, imposing a Class X felony for violation of the provisions. Limits the concurrent exercise of home rule powers. Amends the State Officials and Employees Ethics Act and Whistleblower Act to make conforming changes. Effective January 1, 2025.

A BILL FOR

AN ACT concerning government.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Research, Education, and Government Operations Protection Act.

Section 5. Purpose. The purpose of this Act is to protect Illinois' research, educational system, and government operations from malicious influence from foreign countries of concern.

Section 10. Definitions. As used in this Act:

"Affiliate organization" means an entity under the control of or established for the benefit of an organization required to report under the Act, including a direct-support organization.

"Agreement" means a written or spoken statement of mutual interest in cultural exchange or academic or research collaboration.

"Country of concern" means the People's Republic of China, the Russian Federation, the Islamic Republic of Iran, the Democratic People's Republic of Korea, the Republic of Cuba, the Venezuelan regime of Nicolás Maduro, the Syrian Arab Republic, a foreign terrorist organization as designated by the Secretary of State under Section 219 of the Immigration and Naturalization Act (8 U.S.C. 1189), including an agent of or any other entity under significant control of such an entity, or any other entity declared by the Governor to be a "country of concern" after consultation with the Director of the Illinois Emergency Management Agency and Office of Homeland Security.

"Direct-support organization" means an organization that is organized and operated to receive, hold, invest, and administer property and to make expenditures to or for the benefit of an institution of higher education or for the benefit of a research and development park or research and development authority affiliated with an institution of higher education.

"Executive Inspector General" means the Executive Inspector General for the Agencies of the Illinois Governor.

"Foreign agent" means an officer, employee, proxy, servant, delegate, or representative of a foreign government.

"Foreign government" means the government of a country, nation, or group of nations, or a province or other political subdivision of a country or nation, including an agent of the government, other than the government of the United States.

"Foreign instrumentality" means an agency, bureau, ministry, component, institution, association or a legal, commercial, or business organization, corporation, firm, or entity that is substantially owned, controlled, sponsored, commanded, managed, or dominated by a foreign government.

"Foreign source" means any of the following:

(1) A foreign government or an agency of a foreign government.

(2) A legal entity, governmental or otherwise, created solely under the laws of a foreign state or states.

(3) An individual who is not a citizen or a national of the United States or a territory or protectorate of the United States.

(4) A partnership, association, corporation, organization, or any other combination of persons organized under the laws of or having its principal place of business in a country of concern or subsidiary of such entity.

(5) An agent, including a subsidiary or an affiliate organization of a foreign legal entity, acting on behalf of a foreign government or foreign instrumentality.

(6) A political party or member of a political party. For the purposes of this paragraph, "political party" means an organization or combination of individuals whose aim or purpose is, or who is engaged in an activity devoted in whole or in part to, the establishment, administration, control, or acquisition of administration or control of a government of a country of concern or a subdivision thereof, or the furtherance or influencing of the political or public interest, policies, or relations of a government of a country of concern of subdivision thereof.

"Gift" means money or property of any kind voluntarily transferred, granted, endowed, awarded, donated, or any combination thereof, including a conditional or unconditional pledge of a voluntarily transfer, endowment, award, or donation. As used in this definition, "pledge" means a promise, an agreement, or an expressed intention to give a gift, and "grant" means a transfer of money for a specified purpose, including a conditional gift.

"Institution of higher education" means a public institution of higher education, as that term is defined in Section 5 of the Public Higher Education Act.

"Institution of K-12 education" means a public school, as that term is defined in Section 1-3 of the School Code.

"Obtain or use" means any manner of:

(A) taking or exercising unlawful control over property;

(B) making an unauthorized use, disposition, or transfer of property;

(C) obtaining property by fraud, willful misrepresentation of a future act, or false promise; or

(D) conduct generally known as stealing; larceny, purloining, abstracting, embezzlement, misapplication, misappropriation, conversion, or obtaining money or property by false pretenses, fraud, or deception or other conduct similar in nature.

"Partnership" means, as used in Section 15, a faculty or student exchange program, a study-abroad program, a matriculation program, a recruiting program, or a dual degree program.

"Person" means a natural person, corporation, business trust, estate, trust, partnership, association, joint venture, government, governmental subdivision or agency, or any other legal or commercial entity.

"State agency or political subdivision" means an agency or unit of the State or a unit of local government created or established by law.

"Trade secret" means the whole or a portion or phase of a formula, pattern, device, combination of devices, or compilation of information which is for use, or is used, in the operation of a business and which provides the business an advantage, or an opportunity to obtain an advantage, over those who do not know or use it. "Trade secret" includes scientific, technical, or commercial information, including financial information, and includes a design, process, procedure, list of suppliers, list of customers, business code, or improvement thereof, whether tangible or intangible, and regardless of whether or how it is stored, compiled, or memorialized physically, electronically, graphically, photographically, or in writing. "Trade secret" also includes, irrespective of novelty, invention, patentability, the state of the prior art, and the level of skill in the business, art, or field to which the subject matter pertains, the following elements:

(1) a secret;

(2) of value;

(3) for use or in use by the business; and

(4) of advantage to the business, or providing an opportunity to obtain an advantage, over those who do not know or use it when the owner thereof takes measures to prevent it from becoming available to persons other than those selected by the owner to have access thereto for limited purposes.

"Traffic" means, as used in Section 30:

(1) to sell, transfer, distribute, dispense, or otherwise dispose of property; or

(2) to buy, receive, possess, obtain control of, or use property with the intent to sell, transfer, distribute, dispense, or otherwise dispose of such property.

Section 15. Gift and contract reporting requirements for countries of concern.

(a) Disclosure requirements for past gifts from countries of concern.

(1) A State agency, political subdivision, institution of K-12 education, or institution of higher education that has received directly or indirectly a gift with any value from a foreign source from a country of concern after January 1, 2025 shall disclose such gifts to the Executive Inspector General by March 1, 2025:

(2) Unless otherwise prohibited or deemed confidential under State or federal law, such disclosure shall include the date of the gift, the amount of the gift, the purpose of the gift, the identification of the persons for whom the gift is explicitly intended to benefit, any applicable conditions, requirements, restrictions, or terms made part of the gift, the name and country of residence or domicile of the foreign source, the name and mailing address of the disclosing entity, and, as applicable, the date of termination of the gift.

(3) The Executive Inspector General shall maintain a public web portal to disclose information on past gifts from countries of concern.

(4) Under this subsection, a gift received from a foreign source through an intermediary or affiliate organization shall be considered an indirect gift to the State agency, political subdivision, institution of K-12 education, or institution of higher education and is subject to the disclosure process described in this subsection.

(5) Upon the request of the Governor, the President of the Senate, or the Speaker of the House of Representatives, the Executive Inspector General must inspect or audit a past gift or gift agreement.

(b) Approval requirements for future gifts from countries of concern.

(1) A State agency, political subdivision, institution of K-12 education, or institution of higher education that has been offered directly or indirectly a gift with any value from a foreign source from a country of concern after January 1, 2025 shall disclose such gift. State agencies and other political subdivisions, including institutions of K-12 education and institutions of higher education, shall disclose such gifts to the Executive Inspector General before accepting such gifts.

(2) Unless otherwise prohibited or deemed confidential under State or federal law, such disclosure shall include the date of the gift, the amount of the gift, the purpose of the gift, the identification of the persons for whom the gift is explicitly intended to benefit, any applicable conditions, requirements, restrictions, or terms made part of the gift, the name and country of residence or domicile of the foreign source, the name and mailing address of the disclosing entity, and, as applicable, the date of termination of the gift.

(3) Within 30 days after receiving the disclosure of the proposed gift, the Executive Inspector General shall issue a final decision to the relevant State agency, political subdivision, institution of K-12 education, or institution of higher education on whether and under what conditions the relevant State agency, political subdivision, institution of K-12 education, or institution of higher education may accept the gift as follows:

(A) The Executive Inspector General shall develop disclosure forms, rules, and procedures for deciding upon whether to allow a State agency, political subdivision, institution of K-12 education, or institution of higher education to accept gifts from countries of concern.

(B) The Executive Inspector General shall maintain a public web portal disclosing proposed and accepted gifts from countries of concern described in this Section, along with the Executive Inspector General's final decision on whether to allow the relevant State agency, political subdivision, institution of K-12 education, or institution of higher education to accept the gift.

(4) Under this subsection, a gift received from a foreign source through an intermediary shall be considered an indirect gift with the State agency, political subdivision, institution of K-12 education, or institution of higher education and is subject to the approval process described in this subsection.

(5) Upon the request of the Governor, the President of the Senate, or the Speaker of the House of Representatives, the Executive Inspector General must inspect or audit a gift or gift agreement.

(c) Disclosure requirements for past contracts from countries of concern

(1) A State agency, political subdivision, institution of K-12 education, or institution of higher education that has entered into directly or indirectly a contract with any value from a foreign source from a country of concern before January 1, 2025 shall disclose such contracts to the Executive Inspector General by March 1, 2025.

(2) Unless otherwise prohibited or deemed confidential under State or federal law, such disclosure shall include the date of the contract, the amount of the contract, the purpose of the contract, the identification of the persons for whom the contract is explicitly intended to benefit, any applicable conditions, requirements, restrictions, or terms made part of the contract, a copy of the contract, the name and country of residence or domicile of the foreign source, the name and mailing address of the disclosing entity, and, as applicable, the date of termination of the contract.

(3) Under this subsection, a contract entered into with a foreign source through an intermediary or affiliate organization shall be considered an indirect contract to the State agency, political subdivision, institution of K-12 education, or institution of higher education and is subject to the disclosure process described in this subsection.

(4) The Executive Inspector General shall maintain a public web portal to disclose information on past proposed and entered into contracts from countries of concern.

(5) Upon the request of the Governor, the President of the Senate, or the Speaker of the House of Representatives, the Executive Inspector General must inspect or audit a past contract.

(d) Approval requirements for future contracts from countries of concern

(1) A State agency, political subdivision, institution of K-12 education, or institution of higher education that has been offered or has proposed directly or indirectly a contract with any value from or with a foreign source from a country of concern after January 1, 2025 shall disclose such proposed contract to the Executive Inspector General before entering into such contract.

(2) Unless otherwise prohibited or deemed confidential under State or federal law, such disclosure shall include the date of the gift, the amount of the gift, the purpose of the gift, the identification of the persons for whom the gift is explicitly intended to benefit, any applicable conditions, requirements, restrictions, or terms made part of the gift, the name and country of residence or domicile of the foreign source, the name and mailing address of the disclosing entity, and, as applicable, the date of termination of the gift.

(3) Within 30 days of receiving the disclosure of the proposed gift, the Executive Inspector General shall issue a final decision to the relevant State agency, political subdivision, institution of K-12 education, or institution of higher education on whether and under what conditions the relevant State agency, political subdivision, institution of K-12 education, or institution of higher education may accept the gift as follows:

(A) The Executive Inspector General shall develop disclosure forms, rules, and procedures for deciding upon whether to allow State agencies or political subdivisions to accept gifts from countries of concern.

(B) The Executive Inspector General shall maintain a public web portal disclosing proposed gifts from countries of concern and information on past proposed and entered into contracts from countries of concern described in this Section, along with the Executive Inspector General's final decision on whether to allow the relevant State agency or political subdivision to accept the gift.

(4) Under this subsection, a contract proposed from a foreign source through an intermediary or affiliate organization shall be considered an indirect contract with the State agency, political subdivision, institution of K-12 education, or institution of higher education and is subject to the approval process described in this subsection.

(5) Upon the request of the Governor, the President of the Senate, or the Speaker of the House of Representatives, the Executive Inspector General must inspect or audit a contract agreement.

(e) Enforcement, penalties, and rewards.

(1) Upon receiving a referral from the a compliance officer of a State agency, political subdivision, institution of K-12 education, or institution of higher education or a sworn complaint based upon substantive information and reasonable belief, the Executive Inspector General must investigate an allegation of violation of this Act. The Executive Inspector General may request records relevant to a reasonable suspicion of a violation of this Act. The entity with whom records were requested must provide the required records within 10 days after such request or at a later time agreed to by the investigating State agency, political subdivision, institution of K-12 education, or institution of higher education.

(2) Except as provided by paragraph (4), failure to make a disclosure required under this Act or failure to provide records requested under paragraph (1) constitutes a civil violation punishable upon a final administrative finding with a civil penalty of $10,000 for a first violation or $20,000 for a subsequent violation. The Executive Inspector General may assess the penalty after a hearing after notice to the State agency, political subdivision, institution of K-12 education, or institution of higher education with an opportunity of the agency, political subdivision, or institution to be heard. The Attorney General may bring an action in circuit court to enforce a civil penalty assessed under this paragraph. If the State is the prevailing party, the State is entitled to costs and reasonable attorney's fees.

(3) In addition to a civil penalty assessed under paragraph (2), a final order determining a violation by the Executive Inspector General must include a determination of the identity of the officer responsible for acceptance of the undisclosed gift. Such order must also include a referral by the Executive Inspector General to the Governor or other officer authorized to suspend or remove from public office the officer responsible for acceptance of the undisclosed gift. A copy of such referral must be provided to the President of the Senate and the Speaker of the House of Representatives for oversight of such suspension and removal authority.

(4) An institution of K-12 education or an institution of higher education that knowingly, willfully, or negligently fails to disclose the information required by this subsection shall be subject to a civil penalty of 105% of the amount of the undisclosed gift or contract, payable only from non-State funds of the institution of K-12 education or institution of higher education or the affiliate organization that received such gift. The recovered funds must be deposited into the General Revenue Fund. The Executive Inspector General may enforce this subsection and impose the civil penalty as provided in paragraph (2).

(5) A whistleblower who reports an undisclosed foreign gift or contract to the Executive Inspector General may also report such undisclosed gift or contract to the Attorney General or a State agency, political subdivision, institution of K-12 education, or institution of higher education and retain whistleblower protection under the Whistleblower Act or State Officials and Employees Ethics Act, as applicable. Such whistleblower shall be entitled to receive a reward in the amount of 25% of any penalty recovered by the Executive Inspector General or the Attorney General under this subsection. The Executive Inspector General or the Attorney General may incur expenditures to provide such reward from the penalty recovery. The reward may be paid through an intermediate attorney or trustee designated by the whistleblower.

(f) Information reported under subsection (a) is not confidential or exempt from disclosure under the Freedom of Information Act, except as otherwise provided by law, including laws protecting trade secrets.

(g) The Executive Inspector General may adopt rules to implement this Section.

Section 20. International cultural agreements and student associations within educational institutions.

(a) International cultural agreements and student associations within institutions of K-12 education or institutions of higher education are restricted as follows:

(1) An institution of K-12 education or institution of higher education may not participate in a cultural exchange agreement with a foreign source from a country of concern, or an entity controlled by a country of concern, that:

(A) constrains the freedom of contract of such public entity;

(B) allows the curricula or values of a program in the State to be directed, controlled, or influenced by the country of concern; or

(C) promotes an agenda detrimental to the safety or security of Illinois, its residents, or the United States.

(2) Prior to the execution of a cultural exchange agreement with a foreign source from a country of concern, the substance of the agreement shall be shared with federal agencies concerned with protecting national security or enforcing trade sanctions, embargoes, or other restrictions under federal law. If a federal agency provides information suggesting that such an agreement promotes an agenda detrimental to the safety or security of Illinois, the United States, or its residents, the institution of K-12 education or institution of higher education may not enter into the agreement.

(3) Prior to the execution of a cultural exchange agreement with a foreign source from a country of concern, the substance of the agreement shall be shared with the Executive Inspector General. If the Executive Inspector General provides information suggesting that such an agreement promotes an agenda detrimental to the safety or security of Illinois, the United States, or its residents, the institution of K-12 education or institution of higher education may not enter into the agreement.

(4) Each institution of higher education shall submit the information required in paragraph (5) to each institution's board and each institution of K-12 education shall submit the information required in paragraph (5) to the State Board of Education, respectively, by July 1, 2025, and on each July 1 thereafter.

(5) By December 1, 2025, and each December 1 thereafter, the State Board of Higher Education, the Illinois Community College Board, and the State Board of Education, respectively, shall submit a report to the Governor, the President of the Senate, and the Speaker of the House of Representatives relating to partnerships and agreements of institutions of K-12 education and institutions of higher education made with educational institutions or other institutions based in countries of concern. At a minimum, the report must include the following information for the previous fiscal year:

(A) Data reflecting a grant program, agreement, partnership, or contract between an institution of higher education and a college, university, or entity that is based in or controlled by a country of concern or foreign principal.

(B) Data reflecting an office, campus, or physical location used or maintained by an institution of higher education in a country of concern or foreign principal.

(C) The date on which a grant program, agreement, partnership, or contract reported pursuant to subparagraph (A) is expected to terminate.

(6) No students' or scholars' association affiliated with an institution of K-12 education or an institution of higher education may accept a gift or grant from a foreign source from a country of concern or enter into a contract or agreement with a foreign source from a country of concern, subject to the following:

(A) The institution of K-12 education or institution of higher education must end any affiliation with the student or scholars' association if the student or scholars' association violates this paragraph (6).

(B) Member dues or fees received are not a gift or grant from a foreign source from a country of concern.

(b) The State Board of Higher Education, the Illinois Community College Board, and the State Board of Education shall adopt rules to administer this Section.

Section 25. Higher education research; foreign travel screening.

(a) Screening requirements and disclosure.

(1) Each institute of higher education or affiliate organization that has a research budget of $10,000,000 or more must screen applicants seeking employment in research or research-related support positions, graduate and undergraduate students applying for research or research-related support positions, and applicants for positions of visiting researcher who are citizens of a foreign country and who are not permanent residents of the United States, or who are citizens and permanent residents of the United States who have an affiliation with an institution or program, or at least one year of prior employment or training, with the exception of employment or training by the agency of the United States government, in a country of concern. Such screening is required prior to interviewing such applicants or offering to such an applicant a position of employment or of visiting researcher. At the discretion of the university or entity, other applicants for such positions may be screened.

(2) In addition to satisfying all employment and enrollment qualifications imposed by federal law, the Board of Governors or governing board of the applicable entity must require the following of applicants included in paragraph (1):

(A) A foreign applicant must submit a complete copy of the applicant's passport and most recently submitted Online Nonimmigrant Visa Application (DS-160). After extraction and submission of all information relevant to the requirements of this Section, a university or entity may destroy or return the copy of the DS-160 submitted by an applicant to the applicant.

(B) All applicants described in paragraph (1) must submit:

(i) a complete resume and curriculum vitae, including every institution of higher education attended;

(ii) all previous employment since the applicant's eighteenth birthday;

(iii) a list of all published material for which the applicant received credit as an author, a researcher, or otherwise to which the applicant contributed significant research, writing, or editorial support;

(iv) a list of the applicant's current and pending research funding from any source, including funder, amount, applicant's role on the project, and brief description of the research;

(v) a full disclosure of nonuniversity professional activities, including an affiliation with an institution or program in a country of concern; and

(vi) for applicants who have been continually employed or enrolled in a postsecondary education institution in the United States for 20 years or more, the resume may include employment history before the most recent 20 years.

(3) The president or chief administrative officer of the institute of higher education or affiliate organization shall designate a research integrity office to review all materials required in paragraph (2) and take reasonable steps to verify all attendance, employment, publications, and contributions listed in the application required in paragraph (2). Reasonable steps include searching public databases for research publications and presentations and public conflict of interest records to identify a research publication or presentation that may have been omitted from the application, contacting all employers of the most recent 10 years to verify employment, contacting all institutions of higher education attended to verify enrollment and educational progress, searching public listings of persons subject to sanctions or restrictions under federal law, submitting the applicant's name and other identifying information to the Federal Bureau of Investigation or a federal agency reasonably willing to scrutinize such applicant for national security or counterespionage purposes, and any other steps deemed appropriate to the office. The institute of higher education or affiliate organization may also direct the office to approve applicants for hire based on a risk-based determination considering the nature of the research and the background and ongoing affiliations of the applicant.

(4) The requirements of this Section must be completed before interviewing or offering a position to an individual described in paragraph (1) in a research or research-related support position and before granting such individual any access to research data or activities or other sensitive data. An applicant who must be screened under this Section may not be employed in a research or research-related support position if he or she fails to disclose a substantial educational, employment, or research-related activity or publication or presentation at the time of submitting an application required in paragraph (2) unless the department head, or a designee, certifies in writing the substance of the nondisclosure and the reasons for disregarding such failure to disclose. A copy of such certification must be kept in the investigative file of the Executive Inspector General and must be submitted to the nearest Federal Bureau of Investigation field office.

(5) The Executive Inspector General must report to the nearest Federal Bureau of Investigation field office, and to any law enforcement agency designated by the Governor, and to the governing board of the institution of higher education or affiliate organization described in paragraph (1), the identity of the applicant who was rejected for employment based on the scrutiny required by this Section or other risk-based screening.

(6) By December 31, 2025, the Executive Inspector General, the State Board of Education, State Board Of Higher education, and the Illinois Community College Board must perform an operation audit regarding the implementation of this Section.

(b) International travel approval and monitoring program. By December 31, 2025, each institution of higher education or affiliate organization that has a research budget of $10,000,000 or more must establish an international travel approval and monitoring program. The program must require preapproval and screening by a research integrity office designated by the president or chief administrative officer of the institution of higher education or affiliate organization for an employment-related foreign travel and employment-related foreign activities engaged in by all faculty, researchers, and research department staff. Such requirement shall be in addition to any other travel approval process applicable to the institution of higher education or affiliate.

(c) Pre-approval requirements.

(1) Pre-approval by the research integrity office must be based on the applicant's review and acknowledgment of guidance published by the employing institution of higher education or affiliate organization which relates to countries of concern, countries under sanction, or other restrictions or designations imposed by the State or the United States government; including any federal licensing requirements; customs rules; export controls; restrictions on taking university or entity property, including intellectual property, abroad; restrictions on presentations, teaching, and interactions with foreign colleagues; and other subjects important to the research and academic integrity of the institution of higher education.

(2) Pre-approval must be based on the binding commitment of the individual traveler not to violate the institution of higher education's or affiliate organization's limitations on travel and activities abroad and to obey all applicable federal laws.

(d) Record maintenance. The institution of higher education or affiliate organization must maintain records of all foreign travel requests and approvals; expenses reimbursed by the university or affiliate organization during such travel, including for travel, food, and lodging; and payments and honoraria received during such travel and activities, including for travel, food, and lodging. The institution of higher education must also keep records of the purpose of the travel and any records related to the foreign activity review. Such records must be retained for at least 3 years or any longer period of time required by any other applicable State or federal law.

(e) Annual report. An institution of higher education or affiliate must provide an annual report of foreign travel to countries of concern listing individual travelers, foreign locations visited, and foreign institutions visited to the governing board of the applicable entity.

(f) Operational audit. By December 31, 2025, the Executive Inspector General, the State Board of Education, State Board Of Higher Education, or the Illinois Community College Board must perform an operational audit regarding the implementation of this Section.

Section 30. Research Partnerships.

(a) Subject to the approval of the State Board of Higher Education and Illinois Community College Board, an institution of higher education shall only enter into a new or renew an existing academic partnership with an academic or research institution located in a country of concern if the institution of higher education maintains sufficient structural safeguards to protect the institution of higher education's intellectual property, the security of the State of Illinois, and the national security interests of the United States. The State Board of Higher Education and Illinois Community College Board shall only approve an institution of higher education's partnership if the institution's board, in consultation with the Attorney General, determines the partnership meets the safeguard requirements prescribed under this Section. The safeguard requirements shall include, at a minimum, all of the following:

(1) compliance with all federal requirements, including the requirements of federal research sponsors and federal export control agencies, including regulations regarding international traffic in arms and export administration regulations, and economic and trade sanctions administered by the federal office of foreign assets control;

(2) annual formal institution-level programs for faculty on conflicts of interest and conflicts of commitment; and

(3) a formalized foreign visitor process and uniform visiting scholar agreement.

(b) The State Board of Higher Education and Illinois Community College Board, in consultation with the Attorney General, may reject or terminate a research partnership between an institution of higher education and an academic or research institution located in a country of concern at any time and for any purpose.

Section 35. Intellectual property protections.

(a) Prohibitions.

(1) It is unlawful for a person to willfully and without authorization obtain or use or attempt to obtain or use a trade secret with the intent to either temporarily or permanently:

(A) deprive or withhold from the owner thereof the control or benefit of a trade secret; or

(B) appropriate a trade secret to the person's own use or to the use of another person not entitled to the trade secret.

(b) Penalties.

(1) A person who violates subsection (a) commits theft of a trade secret, a Class X felony.

(2) A person who traffics in or attempts to traffic in a trade secret that the person knows or should know was obtained or used without authorization commits trafficking in trade secrets, a Class X felony.

(3) Whenever a person is charged with a violation of paragraph (1) or (2) that was committed with the intent to benefit a foreign government, a foreign agent, or a foreign instrumentality, the offense for which the person is charged shall be classified as follows:

(A) In the case of theft of a trade secret, a Class X felony.

(B) In the case of trafficking in trade secrets, a Class X felony.

Section 90. Home rule. A home rule unit may not regulate gifts and contracts from foreign countries of concern in a manner inconsistent with this Act. This Act is a limitation under subsection (i) of Section 6 of Article VII of the Illinois Constitution on the concurrent exercise by home rule units of powers and functions exercised by the State.

Section 97. Severability. The provisions of this Act are severable under Section 1.31 of the Statute on Statutes.

Section 900. The State Officials and Employees Ethics Act is amended by changing Section 20-10 as follows:

(5 ILCS 430/20-10)

Sec. 20-10. Offices of Executive Inspectors General.

(a) Five independent Offices of the Executive Inspector General are created, one each for the Governor, the Attorney General, the Secretary of State, the Comptroller, and the Treasurer. Each Office shall be under the direction and supervision of an Executive Inspector General and shall be a fully independent office with separate appropriations.

(b) The Governor, Attorney General, Secretary of State, Comptroller, and Treasurer shall each appoint an Executive Inspector General, without regard to political affiliation and solely on the basis of integrity and demonstrated ability. Appointments shall be made by and with the advice and consent of the Senate by three-fifths of the elected members concurring by record vote. Any nomination not acted upon by the Senate within 60 session days of the receipt thereof shall be deemed to have received the advice and consent of the Senate. If, during a recess of the Senate, there is a vacancy in an office of Executive Inspector General, the appointing authority shall make a temporary appointment until the next meeting of the Senate when the appointing authority shall make a nomination to fill that office. No person rejected for an office of Executive Inspector General shall, except by the Senate's request, be nominated again for that office at the same session of the Senate or be appointed to that office during a recess of that Senate.

Nothing in this Article precludes the appointment by the Governor, Attorney General, Secretary of State, Comptroller, or Treasurer of any other inspector general required or permitted by law. The Governor, Attorney General, Secretary of State, Comptroller, and Treasurer each may appoint an existing inspector general as the Executive Inspector General required by this Article, provided that such an inspector general is not prohibited by law, rule, jurisdiction, qualification, or interest from serving as the Executive Inspector General required by this Article. An appointing authority may not appoint a relative as an Executive Inspector General.

Each Executive Inspector General shall have the following qualifications:

(1) has not been convicted of any felony under the laws of this State, another State, or the United States;

(2) has earned a baccalaureate degree from an institution of higher education; and

(3) has 5 or more years of cumulative service (A) with a federal, State, or local law enforcement agency, at least 2 years of which have been in a progressive investigatory capacity; (B) as a federal, State, or local prosecutor; (C) as a senior manager or executive of a federal, State, or local agency; (D) as a member, an officer, or a State or federal judge; or (E) representing any combination of items (A) through (D).

The term of each initial Executive Inspector General shall commence upon qualification and shall run through June 30, 2008. The initial appointments shall be made within 60 days after the effective date of this Act.

After the initial term, each Executive Inspector General shall serve for 5-year terms commencing on July 1 of the year of appointment and running through June 30 of the fifth following year. An Executive Inspector General may be reappointed to one or more subsequent terms.

A vacancy occurring other than at the end of a term shall be filled by the appointing authority only for the balance of the term of the Executive Inspector General whose office is vacant.

Terms shall run regardless of whether the position is filled.

(c) The Executive Inspector General appointed by the Attorney General shall have jurisdiction over the Attorney General and all officers and employees of, and vendors and others doing business with, State agencies within the jurisdiction of the Attorney General. The Executive Inspector General appointed by the Secretary of State shall have jurisdiction over the Secretary of State and all officers and employees of, and vendors and others doing business with, State agencies within the jurisdiction of the Secretary of State. The Executive Inspector General appointed by the Comptroller shall have jurisdiction over the Comptroller and all officers and employees of, and vendors and others doing business with, State agencies within the jurisdiction of the Comptroller. The Executive Inspector General appointed by the Treasurer shall have jurisdiction over the Treasurer and all officers and employees of, and vendors and others doing business with, State agencies within the jurisdiction of the Treasurer. The Executive Inspector General appointed by the Governor shall have jurisdiction over (i) the Governor, (ii) the Lieutenant Governor, (iii) all officers and employees of, and vendors and others doing business with, executive branch State agencies under the jurisdiction of the Executive Ethics Commission and not within the jurisdiction of the Attorney General, the Secretary of State, the Comptroller, or the Treasurer, (iv) all board members and employees of the Regional Transit Boards and all vendors and others doing business with the Regional Transit Boards, and (v) all board members and employees of the Regional Development Authorities and all vendors and others doing business with the Regional Development Authorities, and (vi) entities to which the Executive Inspector General was given jurisdiction over in the Research, Education, and Government Operations Protection Act.

The jurisdiction of each Executive Inspector General is to investigate allegations of fraud, waste, abuse, mismanagement, misconduct, nonfeasance, misfeasance, malfeasance, or violations of this Act or violations of other related laws and rules.

Each Executive Inspector General shall have jurisdiction over complainants in violation of subsection (e) of Section 20-63 for disclosing a summary report prepared by the respective Executive Inspector General.

(d) The compensation for each Executive Inspector General shall be determined by the Executive Ethics Commission and shall be provided from appropriations made to the Comptroller for this purpose. For terms of office beginning on or after July 1, 2023, each Executive Inspector General shall receive, on July 1 of each year, beginning on July 1, 2024, an increase in salary based on a cost of living adjustment as authorized by Senate Joint Resolution 192 of the 86th General Assembly. Subject to Section 20-45 of this Act, each Executive Inspector General has full authority to organize his or her Office of the Executive Inspector General, including the employment and determination of the compensation of staff, such as deputies, assistants, and other employees, as appropriations permit. A separate appropriation shall be made for each Office of Executive Inspector General.

(e) No Executive Inspector General or employee of the Office of the Executive Inspector General may, during his or her term of appointment or employment:

(1) become a candidate for any elective office;

(2) hold any other elected or appointed public office except for appointments on governmental advisory boards or study commissions or as otherwise expressly authorized by law;

(3) be actively involved in the affairs of any political party or political organization; or

(4) advocate for the appointment of another person to an appointed or elected office or position or actively participate in any campaign for any elective office.

In this subsection an appointed public office means a position authorized by law that is filled by an appointing authority as provided by law and does not include employment by hiring in the ordinary course of business.

(e-1) No Executive Inspector General or employee of the Office of the Executive Inspector General may, for one year after the termination of his or her appointment or employment:

(1) become a candidate for any elective office;

(2) hold any elected public office; or

(3) hold any appointed State, county, or local judicial office.

(e-2) The requirements of item (3) of subsection (e-1) may be waived by the Executive Ethics Commission.

(f) An Executive Inspector General may be removed only for cause and may be removed only by the appointing constitutional officer. At the time of the removal, the appointing constitutional officer must report to the Executive Ethics Commission the justification for the removal.

(Source: P.A. 102-558, eff. 8-20-21; 102-1115, eff. 1-9-23; 103-517, eff. 8-11-23.)

Section 905. The Whistleblower Act is amended by changing Section 15 as follows:

(740 ILCS 174/15)

Sec. 15. Retaliation for certain disclosures prohibited.

(a) An employer may not retaliate against an employee who discloses information in a court, an administrative hearing, or before a legislative commission or committee, or in any other proceeding, where the employee has reasonable cause to believe that the information discloses a violation of a State or federal law, rule, or regulation.

(b) An employer may not retaliate against an employee for disclosing information to a government or law enforcement agency, where the employee has reasonable cause to believe that the information discloses a violation of a State or federal law, rule, or regulation.

A State agency, political subdivision, institution of K-12 education, or institution of higher education, as those terms are defined in Section 10 of the Research, Education, and Government Operations Protection Act, may not retaliate against any person, whether or not that person is an employee of the agency, political subdivision, or institution, for disclosing information under the Research, Education, and Government Operations Protection Act if the employee has reasonable cause to believe that the information discloses a violation of State or federal law, rule, or regulation.

(Source: P.A. 95-128, eff. 1-1-08.)

Section 999. Effective date. This Act takes effect January 1, 2025.