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90_SB0579 20 ILCS 3505/7.72 new 20 ILCS 3505/8 from Ch. 48, par. 850.08 30 ILCS 575/5 from Ch. 127, par. 132.605 Amends the Illinois Development Finance Authority Act. Increases amount of bonds that the Authority may have outstanding from $2,900,000,000 to $2,950,000,000. Provides that the additional $50,000,000 shall be used to fund start up and expansion loans for businesses that qualify under the Business Enterprise for Minorities, Females, and Persons with Disabilities Act. Provides that the Authority shall work with the Business Enterprise Council for Minorities, Females, and Persons with Disabilities in developing a program to distribute and administer the loans. Provides that no loan issued under the program may fund more than 25% of the start up or expansion costs incurred by the qualifying business enterprise. Amends the Business Enterprise for Minorities, Females, and Persons with Disabilities Act to include in the list of responsibilities and authorities of the Council the cooperation with the Illinois Development Finance Authority in development and administration of the start up and expansion loan program. Effective immediately. LRB9002119KDpk LRB9002119KDpk 1 AN ACT in relation to business development, amending 2 named Acts. 3 Be it enacted by the People of the State of Illinois, 4 represented in the General Assembly: 5 Section 5. The Illinois Development Finance Authority 6 Act is amended by adding Section 7.72 and changing Section 8 7 as follows: 8 (20 ILCS 3505/7.72 new) 9 Sec. 7.72. Business enterprise assistance program. It 10 is the public policy of the State to promote and encourage 11 the continuing economic development of businesses within this 12 State owned and operated by minorities, females, and persons 13 with disabilities. The Authority shall develop a program for 14 financing start up and expansion loans for business 15 enterprises that qualify under the Business Enterprise for 16 Minorities, Females, and Persons with Disabilities Act. 17 Loans issued under the program may not exceed 25% of the 18 total start up or expansion costs incurred by the business 19 enterprise applying for the loan. The Business Enterprise 20 Council for Minorities, Females, and Persons with 21 Disabilities shall participate in developing and 22 administering the program. All loans financed by the 23 Authority shall require the approval of both the Business 24 Enterprise Council for Minorities, Females, and Persons with 25 Disabilities and the Authority. 26 (20 ILCS 3505/8) (from Ch. 48, par. 850.08) 27 Sec. 8. Exclusive of the bonds authorized to be issued 28 under Section 7.8 or under the Illinois Environmental 29 Facilities Financing Act, and exclusive of the authorization 30 under Section 7.56a of this Act, the Authority may not have -2- LRB9002119KDpk 1 outstanding at any one time bonds for any of its corporate 2 purposes in an aggregate principal amount exceeding 3 $2,950,000,000$2,900,000,000, excluding bonds issued to 4 refund outstanding bonds. Up to $100,000,000 of such 5 outstanding bonds shall be issued with respect to industrial 6 projects located within areas designated as Enterprise Zones 7 by the Department of Commerce and Community Affairs. Fifty 8 million of the outstanding bonds shall be issued with respect 9 to start up and expansion loans for business enterprises for 10 minorities, females, and persons with disabilities in 11 accordance with Section 7.72 of this Act. 12 (Source: P.A. 89-460, eff. 5-24-96.) 13 Section 10. The Business Enterprise for Minorities, 14 Females, and Persons with Disabilities Act is amended by 15 changing Section 5 as follows: 16 (30 ILCS 575/5) (from Ch. 127, par. 132.605) 17 (Text of Section before amendment by P.A. 89-507) 18 (Section scheduled to be repealed on September 6, 1999) 19 Sec. 5. Business Enterprise Council. 20 (1) To help implement, monitor and enforce the goals of 21 this Act, there is created the Business Enterprise Council 22 for Minorities, Females, and Persons with Disabilities, 23 hereinafter referred to as the Council, composed of the 24 directors of the Department of Human Rights, the Department 25 of Commerce and Community Affairs, the Department of Central 26 Management Services, the Department of Rehabilitation 27 Services, the Department of Transportation and the Capital 28 Development Board, or their duly appointed representatives. 29 Ten individuals representing businesses that are minority or 30 female owned or owned by persons with disabilities, 2 31 individuals representing the business community, and a 32 representative of public universities shall be appointed by -3- LRB9002119KDpk 1 the Governor. These members shall serve 2 year terms and 2 shall be eligible for reappointment. Any vacancy occurring 3 on the Council shall also be filled by the Governor. Any 4 member appointed to fill a vacancy occurring prior to the 5 expiration of the term for which his predecessor was 6 appointed shall be appointed for the remainder of such term. 7 Members of the Council shall serve without compensation but 8 shall be reimbursed for any ordinary and necessary expenses 9 incurred in the performance of their duties. 10 The Director of the Department of Central Management 11 Services shall serve as the Council chairperson and shall 12 select, subject to approval of the council, a Secretary 13 responsible for the operation of the program who shall serve 14 as the Division Manager of the Business Enterprise for 15 Minorities, Females, and Persons with Disabilities Division 16 of the Department of Central Management Services. 17 The Director of each State agency and the chief executive 18 officer of each State university shall appoint a liaison to 19 the Council. The liaison shall be responsible for submitting 20 to the Council any reports and documents necessary under this 21 Act. 22 (2) The Council's authority and responsibility shall be 23 to: 24 (a) Devise a certification procedure to assure that 25 businesses taking advantage of this Act are legitimately 26 classified as businesses owned by minorities, females, or 27 persons with disabilities. 28 (b) Maintain a list of all businesses legitimately 29 classified as businesses owned by minorities, females, or 30 persons with disabilities to provide to State agencies 31 and State universities. 32 (c) Review rules and regulations for the 33 implementation of the program for businesses owned by 34 minorities, females, and persons with disabilities. -4- LRB9002119KDpk 1 (d) Review compliance plans submitted by each State 2 agency and State university pursuant to this Act. 3 (e) Make annual reports as provided in Section 8f 4 to the Governor and the General Assembly on the status of 5 the program. 6 (f) Serve as a central clearinghouse for 7 information on State contracts, including the maintenance 8 of a list of all pending State contracts upon which 9 businesses owned by minorities, females, and persons with 10 disabilities may bid. At the Council's discretion, 11 maintenance of the list may include 24-hour electronic 12 access to the list along with the bid and application 13 information. 14 (g) Establish a toll free telephone number to 15 facilitate information requests concerning the 16 certification process and pending contracts. 17 (h) Cooperate with the Illinois Development Finance 18 Authority in the development and administration of the 19 start up and expansion loan program prescribed in Section 20 7.72 of the Illinois Development Finance Authority Act. 21 (3) No premium bond rate of a surety company for a bond 22 required of a business owned by a minority, female, or person 23 with a disability bidding for a State contract shall be 24 higher than the lowest rate charged by that surety company 25 for a similar bond in the same classification of work that 26 would be written for a business not owned by a minority, 27 female, or person with a disability. 28 (4) Any Council member who has direct financial or 29 personal interest in any measure pending before the Council 30 shall disclose this fact to the Council and refrain from 31 participating in the determination upon such measure. 32 (5) The Secretary shall have the following duties and 33 responsibilities: 34 (a) To be responsible for the day-to-day operation -5- LRB9002119KDpk 1 of the Council. 2 (b) To serve as a coordinator for all of the 3 State's programs for businesses owned by minorities, 4 females, and persons with disabilities and as the 5 information and referral center for all State initiatives 6 for businesses owned by minorities, females, and persons 7 with disabilities. 8 (c) To establish an enforcement procedure whereby 9 the Council may recommend to the appropriate State legal 10 officer that the State exercise its legal remedies which 11 shall include (1) termination of the contract involved, 12 (2) prohibition of participation by the respondent in 13 public contracts for a period not to exceed one year, 14 (3) imposition of a penalty not to exceed any profit 15 acquired as a result of violation, or (4) any combination 16 thereof. Such procedures shall require prior approval by 17 Council. 18 (d) To devise appropriate policies, regulations and 19 procedures for including participation by businesses 20 owned by minorities, females, and persons with 21 disabilities as prime contractors including, but not 22 limited to, (i) encouraging the inclusions of qualified 23 businesses owned by minorities, females, and persons with 24 disabilities on solicitation lists, (ii) investigating 25 the potential of blanket bonding programs for small 26 construction jobs, (iii) investigating and making 27 recommendations concerning the use of the sheltered 28 market process. 29 (e) To devise procedures for the waiver of the 30 participation goals in appropriate circumstances. 31 (f) To accept donations and, with the approval of 32 the Council or the Director of Central Management 33 Services, grants related to the purposes of this Act; to 34 conduct seminars related to the purpose of this Act and -6- LRB9002119KDpk 1 to charge reasonable registration fees; and to sell 2 directories, vendor lists and other such information to 3 interested parties, except that forms necessary to become 4 eligible for the program shall be provided free of charge 5 to a business or individual applying for the program. 6 (Source: P.A. 87-701; 88-377; 88-597, eff. 8-28-94.) 7 (Text of Section after amendment by P.A. 89-507) 8 (Section scheduled to be repealed on September 6, 1999) 9 Sec. 5. Business Enterprise Council. 10 (1) To help implement, monitor and enforce the goals of 11 this Act, there is created the Business Enterprise Council 12 for Minorities, Females, and Persons with Disabilities, 13 hereinafter referred to as the Council, composed of the 14 Secretary of Human Services and the Directors of the 15 Department of Human Rights, the Department of Commerce and 16 Community Affairs, the Department of Central Management 17 Services, the Department of Transportation and the Capital 18 Development Board, or their duly appointed representatives. 19 Ten individuals representing businesses that are minority or 20 female owned or owned by persons with disabilities, 2 21 individuals representing the business community, and a 22 representative of public universities shall be appointed by 23 the Governor. These members shall serve 2 year terms and 24 shall be eligible for reappointment. Any vacancy occurring 25 on the Council shall also be filled by the Governor. Any 26 member appointed to fill a vacancy occurring prior to the 27 expiration of the term for which his predecessor was 28 appointed shall be appointed for the remainder of such term. 29 Members of the Council shall serve without compensation but 30 shall be reimbursed for any ordinary and necessary expenses 31 incurred in the performance of their duties. 32 The Director of the Department of Central Management 33 Services shall serve as the Council chairperson and shall 34 select, subject to approval of the council, a Secretary -7- LRB9002119KDpk 1 responsible for the operation of the program who shall serve 2 as the Division Manager of the Business Enterprise for 3 Minorities, Females, and Persons with Disabilities Division 4 of the Department of Central Management Services. 5 The Director of each State agency and the chief executive 6 officer of each State university shall appoint a liaison to 7 the Council. The liaison shall be responsible for submitting 8 to the Council any reports and documents necessary under this 9 Act. 10 (2) The Council's authority and responsibility shall be 11 to: 12 (a) Devise a certification procedure to assure that 13 businesses taking advantage of this Act are legitimately 14 classified as businesses owned by minorities, females, or 15 persons with disabilities. 16 (b) Maintain a list of all businesses legitimately 17 classified as businesses owned by minorities, females, or 18 persons with disabilities to provide to State agencies 19 and State universities. 20 (c) Review rules and regulations for the 21 implementation of the program for businesses owned by 22 minorities, females, and persons with disabilities. 23 (d) Review compliance plans submitted by each State 24 agency and State university pursuant to this Act. 25 (e) Make annual reports as provided in Section 8f 26 to the Governor and the General Assembly on the status of 27 the program. 28 (f) Serve as a central clearinghouse for 29 information on State contracts, including the maintenance 30 of a list of all pending State contracts upon which 31 businesses owned by minorities, females, and persons with 32 disabilities may bid. At the Council's discretion, 33 maintenance of the list may include 24-hour electronic 34 access to the list along with the bid and application -8- LRB9002119KDpk 1 information. 2 (g) Establish a toll free telephone number to 3 facilitate information requests concerning the 4 certification process and pending contracts. 5 (h) Cooperate with the Illinois Development Finance 6 Authority in the development and administration of the 7 start up and expansion loan program prescribed in Section 8 7.72 of the Illinois Development Finance Authority Act. 9 (3) No premium bond rate of a surety company for a bond 10 required of a business owned by a minority, female, or person 11 with a disability bidding for a State contract shall be 12 higher than the lowest rate charged by that surety company 13 for a similar bond in the same classification of work that 14 would be written for a business not owned by a minority, 15 female, or person with a disability. 16 (4) Any Council member who has direct financial or 17 personal interest in any measure pending before the Council 18 shall disclose this fact to the Council and refrain from 19 participating in the determination upon such measure. 20 (5) The Secretary shall have the following duties and 21 responsibilities: 22 (a) To be responsible for the day-to-day operation 23 of the Council. 24 (b) To serve as a coordinator for all of the 25 State's programs for businesses owned by minorities, 26 females, and persons with disabilities and as the 27 information and referral center for all State initiatives 28 for businesses owned by minorities, females, and persons 29 with disabilities. 30 (c) To establish an enforcement procedure whereby 31 the Council may recommend to the appropriate State legal 32 officer that the State exercise its legal remedies which 33 shall include (1) termination of the contract involved, 34 (2) prohibition of participation by the respondent in -9- LRB9002119KDpk 1 public contracts for a period not to exceed one year, 2 (3) imposition of a penalty not to exceed any profit 3 acquired as a result of violation, or (4) any combination 4 thereof. Such procedures shall require prior approval by 5 Council. 6 (d) To devise appropriate policies, regulations and 7 procedures for including participation by businesses 8 owned by minorities, females, and persons with 9 disabilities as prime contractors including, but not 10 limited to, (i) encouraging the inclusions of qualified 11 businesses owned by minorities, females, and persons with 12 disabilities on solicitation lists, (ii) investigating 13 the potential of blanket bonding programs for small 14 construction jobs, (iii) investigating and making 15 recommendations concerning the use of the sheltered 16 market process. 17 (e) To devise procedures for the waiver of the 18 participation goals in appropriate circumstances. 19 (f) To accept donations and, with the approval of 20 the Council or the Director of Central Management 21 Services, grants related to the purposes of this Act; to 22 conduct seminars related to the purpose of this Act and 23 to charge reasonable registration fees; and to sell 24 directories, vendor lists and other such information to 25 interested parties, except that forms necessary to become 26 eligible for the program shall be provided free of charge 27 to a business or individual applying for the program. 28 (Source: P.A. 88-377; 88-597, eff. 8-28-94; 89-507, eff. 29 7-1-97.) 30 Section 95. No acceleration or delay. Where this Act 31 makes changes in a statute that is represented in this Act by 32 text that is not yet or no longer in effect (for example, a 33 Section represented by multiple versions), the use of that -10- LRB9002119KDpk 1 text does not accelerate or delay the taking effect of (i) 2 the changes made by this Act or (ii) provisions derived from 3 any other Public Act. 4 Section 99. Effective date. This Act takes effect upon 5 becoming law.