Full Text of HB3820 102nd General Assembly
HB3820ham003 102ND GENERAL ASSEMBLY | Rep. Jay Hoffman Filed: 2/18/2022
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| 1 | | AMENDMENT TO HOUSE BILL 3820
| 2 | | AMENDMENT NO. ______. Amend House Bill 3820, AS AMENDED, | 3 | | by replacing everything after the enacting clause with the | 4 | | following:
| 5 | | "Section 5. The Illinois Procurement Code is amended by | 6 | | adding Section 45-105 as follows: | 7 | | (30 ILCS 500/45-105 new) | 8 | | Sec. 45-105. Bid preference for Illinois businesses. | 9 | | (a) For the purposes of this Section: | 10 | | "Illinois business" means a contractor that: (i) is | 11 | | headquartered in Illinois and providing, at the time that an | 12 | | invitation for a bid or notice of contract opportunity is | 13 | | first advertised, construction or construction-related | 14 | | professional services for Illinois-based projects; (ii) | 15 | | conducts meaningful day-to-day business operations at a | 16 | | facility in Illinois that is the place of employment for the |
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| 1 | | majority of its regular, full-time workforce; (iii) holds all | 2 | | appropriate State licenses; and (iv) is subject to applicable | 3 | | State taxes. "Illinois business" does not include any | 4 | | subcontractors. | 5 | | "Illinois-based project" means an individual project of | 6 | | construction and other construction-related services for a | 7 | | construction agency that will result in the conduct of | 8 | | business within the State or the employment of individuals | 9 | | within the State. | 10 | | (b) It is hereby declared to be the public policy of the | 11 | | State of Illinois to promote the economy of Illinois through | 12 | | the use of Illinois businesses for all State construction | 13 | | contracts. | 14 | | (c) Construction agencies procuring construction and | 15 | | construction-related professional services shall make | 16 | | reasonable efforts to contract with Illinois businesses. | 17 | | (d) Beginning in 2022, each construction agency shall | 18 | | submit a report to the Governor and the General Assembly by | 19 | | September 1 of each year that identifies the Illinois | 20 | | businesses procured by the construction agency, the primary | 21 | | location of the construction project, the percentage of the | 22 | | construction agency's utilization of Illinois businesses on | 23 | | the project as a whole, and the actions that the construction | 24 | | agency has undertaken to increase the use of Illinois | 25 | | businesses. | 26 | | (e) In procuring construction and construction-related |
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| 1 | | professional services for projects with a total construction | 2 | | cost of more than $100,000, construction agencies shall | 3 | | provide a bid preference to a responsible bidder that is an | 4 | | Illinois business as defined in this Section. The construction | 5 | | agency shall allocate to any responsible bidder that is an | 6 | | Illinois business a bid preference of 4% of the contract base | 7 | | bid. | 8 | | (f) This Section does not apply to any contract for any | 9 | | project for which federal funds are available for expenditure | 10 | | when its provisions may be in conflict with federal law or | 11 | | federal regulation. | 12 | | Section 10. The Procurement of Domestic Products Act is | 13 | | amended by changing Sections 5, 10, and 25 and by adding | 14 | | Sections 3 and 35 as follows: | 15 | | (30 ILCS 517/3 new) | 16 | | Sec. 3. Policy. It is hereby declared to be the public | 17 | | policy of the State of Illinois for each purchasing agency to | 18 | | use the terms and conditions of State financial assistance | 19 | | awards and State procurements to maximize the use of goods, | 20 | | products, and materials produced in Illinois. | 21 | | (30 ILCS 517/5)
| 22 | | Sec. 5. Definitions. As used in this Act: | 23 | | "Manufactured in Illinois" means, in the case of assembled |
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| 1 | | articles, materials, or supplies, having been designed, | 2 | | finally assembled, processed, packaged, tested, or otherwise | 3 | | processed in Illinois in a manner that adds value, quality, or | 4 | | reliability. | 5 | | "Manufactured in the United States" means, in the case of | 6 | | assembled articles, materials, or supplies, that design, final | 7 | | assembly, processing, packaging, testing, or other process | 8 | | that adds value, quality, or reliability occurs in the United | 9 | | States. | 10 | | "Procured products" means assembled articles, materials, | 11 | | or supplies purchased by a State agency.
| 12 | | "Purchasing agency" has the meaning ascribed to that term | 13 | | in Section 1-15.70 of the Illinois Procurement Code means a | 14 | | State agency . | 15 | | "State agency" has the meaning ascribed to that term in | 16 | | Section 1-15.100 of the Illinois Procurement Code means each | 17 | | agency, department, authority, board, or commission of the | 18 | | executive branch of State government, including each | 19 | | university, whether created by statute or by executive order | 20 | | of the Governor .
| 21 | | "United States" means the United States and any place | 22 | | subject to the jurisdiction of the United States.
| 23 | | (Source: P.A. 98-463, eff. 8-16-13.) | 24 | | (30 ILCS 517/10)
| 25 | | Sec. 10. Domestic United States products. |
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| 1 | | (a) Each purchasing agency making purchases of procured | 2 | | products shall promote the purchase of and give preference to | 3 | | manufactured articles, materials, and supplies that have been | 4 | | manufactured in the United States. Procured products | 5 | | manufactured in the United States shall be specified and | 6 | | purchased unless the purchasing agency determines that any of | 7 | | the following applies: | 8 | | (1) The procured products are not manufactured in the | 9 | | United States in reasonably available quantities. | 10 | | (2) The price of the procured products manufactured in | 11 | | the United States exceeds by an unreasonable amount the | 12 | | price of available and comparable procured products | 13 | | manufactured outside of the United States by 12% or more . | 14 | | (3) The quality of the procured products manufactured | 15 | | in the United States is substantially less than the | 16 | | quality of the comparably priced, available, and | 17 | | comparable procured products manufactured outside of the | 18 | | United States. | 19 | | (4) The purchase of the procured products manufactured | 20 | | outside of the United States better serves the public | 21 | | interest by helping to protect or save life, property, or | 22 | | the environment. | 23 | | (5) The purchase of the procured products is made in | 24 | | conjunction with contracts or offerings of | 25 | | telecommunications, fire suppression, security systems, | 26 | | communications services, Internet services, or information |
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| 1 | | services. | 2 | | (6) The purchase is of pharmaceutical products, drugs, | 3 | | biologics, vaccines, medical devices used to provide | 4 | | medical and health care or treat disease or used in | 5 | | medical or research diagnostic tests, and medical | 6 | | nutritionals regulated by the Food and Drug Administration | 7 | | under the federal Food, Drug and Cosmetic Act. | 8 | | (7) The purchase is an emergency purchase authorized | 9 | | under Section 20-30 of the Illinois Procurement Code. | 10 | | (8) The purchase is a sole source or sole economically | 11 | | feasible source purchase authorized under Section 20-25 of | 12 | | the Illinois Procurement Code. | 13 | | (b) If there is a tie between 2 bidders or offerors who | 14 | | have certified that they will provide products manufactured in | 15 | | the United States, the bidder or offeror that certifies it | 16 | | will provide products manufactured in Illinois shall be given | 17 | | preference. | 18 | | (c) In determining the price of procured products for | 19 | | purposes of this Section, consideration shall be given to the | 20 | | life-cycle cost, including maintenance and repair of those | 21 | | procured products.
| 22 | | (Source: P.A. 93-954, eff. 1-1-05; 94-540, eff. 1-1-06.) | 23 | | (30 ILCS 517/25)
| 24 | | Sec. 25. Penalties. If a contractor is awarded a contract | 25 | | through the use of a preference under this Act and knowingly |
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| 1 | | supplies
procured products under that contract that are not | 2 | | manufactured in Illinois or the United States, as applicable, | 3 | | then (i) the contractor
is barred from obtaining any State | 4 | | contract for a period of 5 years after the violation is | 5 | | discovered by the purchasing agency, (ii) the purchasing | 6 | | agency may void the contract, and (iii) the purchasing agency | 7 | | may recover damages in a civil action in an amount 3 times the | 8 | | value of the preference.
| 9 | | (Source: P.A. 93-954, eff. 1-1-05; 94-540, eff. 1-1-06.) | 10 | | (30 ILCS 517/35 new) | 11 | | Sec. 35. Compliance reports. Beginning within 180 days | 12 | | after the effective date of this amendatory Act of the 102nd | 13 | | General Assembly, and annually thereafter, each purchasing | 14 | | agency shall submit to the chief procurement officer a report | 15 | | on: (i) the purchasing agency's compliance with the Act, | 16 | | including details on any incidents of noncompliance; (ii) the | 17 | | purchasing agency's analysis of goods, products, and materials | 18 | | not subject to the Act, including details of any procured | 19 | | products purchased under an exception listed in subsection (a) | 20 | | of Section 10; and (iii) any recommendations for how to | 21 | | further effectuate the policy set forth in this Act.
| 22 | | Section 99. Effective date. This Act takes effect upon | 23 | | becoming law.".
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