1 | 1 | | 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. LRB103 30517 DTM 56950 b A BILL FOR 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 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. LRB103 30517 DTM 56950 b LRB103 30517 DTM 56950 b A BILL FOR |
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2 | 2 | | 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3889 Introduced 2/17/2023, by Rep. William "Will" Davis SYNOPSIS AS INTRODUCED: |
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3 | 3 | | 30 ILCS 575/4 from Ch. 127, par. 132.604 30 ILCS 575/4 from Ch. 127, par. 132.604 |
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4 | 4 | | 30 ILCS 575/4 from Ch. 127, par. 132.604 |
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5 | 5 | | 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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6 | 6 | | LRB103 30517 DTM 56950 b LRB103 30517 DTM 56950 b |
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7 | 7 | | LRB103 30517 DTM 56950 b |
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8 | 8 | | A BILL FOR |
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9 | 9 | | HB3889LRB103 30517 DTM 56950 b HB3889 LRB103 30517 DTM 56950 b |
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10 | 10 | | HB3889 LRB103 30517 DTM 56950 b |
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11 | 11 | | 1 AN ACT concerning finance. |
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12 | 12 | | 2 Be it enacted by the People of the State of Illinois, |
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13 | 13 | | 3 represented in the General Assembly: |
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14 | 14 | | 4 Section 5. The Business Enterprise for Minorities, Women, |
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15 | 15 | | 5 and Persons with Disabilities Act is amended by changing |
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16 | 16 | | 6 Section 4 as follows: |
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17 | 17 | | 7 (30 ILCS 575/4) (from Ch. 127, par. 132.604) |
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18 | 18 | | 8 (Section scheduled to be repealed on June 30, 2024) |
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19 | 19 | | 9 Sec. 4. Award of State contracts. |
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20 | 20 | | 10 (a) Except as provided in subsection (b), not less than |
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21 | 21 | | 11 30% of the total dollar amount of State contracts, as defined |
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22 | 22 | | 12 by the Secretary of the Council and approved by the Council, |
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23 | 23 | | 13 shall be established as an aspirational goal to be awarded to |
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24 | 24 | | 14 businesses owned by minorities, women, and persons with |
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25 | 25 | | 15 disabilities; provided, however, that of the total amount of |
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26 | 26 | | 16 all State contracts awarded to businesses owned by minorities, |
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27 | 27 | | 17 women, and persons with disabilities pursuant to this Section, |
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28 | 28 | | 18 contracts representing at least 16% shall be awarded to |
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29 | 29 | | 19 businesses owned by minorities, contracts representing at |
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30 | 30 | | 20 least 10% shall be awarded to women-owned businesses, and |
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31 | 31 | | 21 contracts representing at least 4% shall be awarded to |
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32 | 32 | | 22 businesses owned by persons with disabilities. |
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33 | 33 | | 23 (a-5) In addition to the aspirational goals in awarding |
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36 | 36 | | |
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37 | 37 | | 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB3889 Introduced 2/17/2023, by Rep. William "Will" Davis SYNOPSIS AS INTRODUCED: |
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38 | 38 | | 30 ILCS 575/4 from Ch. 127, par. 132.604 30 ILCS 575/4 from Ch. 127, par. 132.604 |
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39 | 39 | | 30 ILCS 575/4 from Ch. 127, par. 132.604 |
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40 | 40 | | 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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41 | 41 | | LRB103 30517 DTM 56950 b LRB103 30517 DTM 56950 b |
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42 | 42 | | LRB103 30517 DTM 56950 b |
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43 | 43 | | A BILL FOR |
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48 | 48 | | |
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49 | 49 | | 30 ILCS 575/4 from Ch. 127, par. 132.604 |
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53 | 53 | | LRB103 30517 DTM 56950 b |
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63 | 63 | | HB3889 LRB103 30517 DTM 56950 b |
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66 | 66 | | HB3889- 2 -LRB103 30517 DTM 56950 b HB3889 - 2 - LRB103 30517 DTM 56950 b |
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67 | 67 | | HB3889 - 2 - LRB103 30517 DTM 56950 b |
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68 | 68 | | 1 State contracts set under subsection (a), the Commission shall |
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69 | 69 | | 2 by rule further establish targeted efforts to encourage the |
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70 | 70 | | 3 participation of businesses owned by minorities, women, and |
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71 | 71 | | 4 persons with disabilities on State contracts. Such efforts |
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72 | 72 | | 5 shall include, but not be limited to, further concerted |
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73 | 73 | | 6 outreach efforts to businesses owned by minorities, women, and |
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74 | 74 | | 7 persons with disabilities. |
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75 | 75 | | 8 The above percentage relates to the total dollar amount of |
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76 | 76 | | 9 State contracts during each State fiscal year, calculated by |
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77 | 77 | | 10 examining independently each type of contract for each agency |
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78 | 78 | | 11 or public institutions of higher education which lets such |
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79 | 79 | | 12 contracts. Only that percentage of arrangements which |
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80 | 80 | | 13 represents the participation of businesses owned by |
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81 | 81 | | 14 minorities, women, and persons with disabilities on such |
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82 | 82 | | 15 contracts shall be included. State contracts subject to the |
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83 | 83 | | 16 requirements of this Act shall include the requirement that |
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84 | 84 | | 17 only expenditures to businesses owned by minorities, women, |
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85 | 85 | | 18 and persons with disabilities that perform a commercially |
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86 | 86 | | 19 useful function may be counted toward the goals set forth by |
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87 | 87 | | 20 this Act. Contracts shall include a definition of |
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88 | 88 | | 21 "commercially useful function" that is consistent with 49 CFR |
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89 | 89 | | 22 26.55(c). |
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90 | 90 | | 23 (b) Not less than 20% of the total dollar amount of State |
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91 | 91 | | 24 construction contracts is established as an aspirational goal |
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92 | 92 | | 25 to be awarded to businesses owned by minorities, women, and |
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93 | 93 | | 26 persons with disabilities; provided that, contracts |
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99 | 99 | | HB3889 - 2 - LRB103 30517 DTM 56950 b |
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102 | 102 | | HB3889- 3 -LRB103 30517 DTM 56950 b HB3889 - 3 - LRB103 30517 DTM 56950 b |
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103 | 103 | | HB3889 - 3 - LRB103 30517 DTM 56950 b |
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104 | 104 | | 1 representing at least 11% of the total dollar amount of State |
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105 | 105 | | 2 construction contracts shall be awarded to businesses owned by |
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106 | 106 | | 3 minorities; contracts representing at least 7% of the total |
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107 | 107 | | 4 dollar amount of State construction contracts shall be awarded |
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108 | 108 | | 5 to women-owned businesses; and contracts representing at least |
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109 | 109 | | 6 2% of the total dollar amount of State construction contracts |
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110 | 110 | | 7 shall be awarded to businesses owned by persons with |
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111 | 111 | | 8 disabilities. |
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112 | 112 | | 9 (c) (Blank). |
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113 | 113 | | 10 (c-5) All goals established under this Section shall be |
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114 | 114 | | 11 contingent upon the results of the most recent disparity study |
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115 | 115 | | 12 conducted by the State. |
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116 | 116 | | 13 (d) Within one year after April 28, 2009 (the effective |
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117 | 117 | | 14 date of Public Act 96-8), the Department of Central Management |
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118 | 118 | | 15 Services shall conduct a social scientific study that measures |
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119 | 119 | | 16 the impact of discrimination on minority and women business |
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120 | 120 | | 17 development in Illinois. Within 18 months after April 28, 2009 |
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121 | 121 | | 18 (the effective date of Public Act 96-8), the Department shall |
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122 | 122 | | 19 issue a report of its findings and any recommendations on |
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123 | 123 | | 20 whether to adjust the goals for minority and women |
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124 | 124 | | 21 participation established in this Act. Copies of this report |
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125 | 125 | | 22 and the social scientific study shall be filed with the |
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126 | 126 | | 23 Governor and the General Assembly. |
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127 | 127 | | 24 By December 1, 2020, the Department of Central Management |
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128 | 128 | | 25 Services shall conduct a new social scientific study that |
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129 | 129 | | 26 measures the impact of discrimination on minority and women |
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135 | 135 | | HB3889 - 3 - LRB103 30517 DTM 56950 b |
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138 | 138 | | HB3889- 4 -LRB103 30517 DTM 56950 b HB3889 - 4 - LRB103 30517 DTM 56950 b |
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139 | 139 | | HB3889 - 4 - LRB103 30517 DTM 56950 b |
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140 | 140 | | 1 business development in Illinois. By June 1, 2022, the |
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141 | 141 | | 2 Department shall issue a report of its findings and any |
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142 | 142 | | 3 recommendations on whether to adjust the goals for minority |
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143 | 143 | | 4 and women participation established in this Act. Copies of |
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144 | 144 | | 5 this report and the social scientific study shall be filed |
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145 | 145 | | 6 with the Governor and the General Assembly. By December 1, |
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146 | 146 | | 7 2022, the Commission on Equity and Inclusion Business |
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147 | 147 | | 8 Enterprise Program shall develop a model for social scientific |
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148 | 148 | | 9 disparity study sourcing for local governmental units to adapt |
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149 | 149 | | 10 and implement to address regional disparities in public |
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150 | 150 | | 11 procurement. |
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151 | 151 | | 12 (e) All State contract solicitations that include Business |
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152 | 152 | | 13 Enterprise Program participation goals shall require bidders |
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153 | 153 | | 14 or offerors to include utilization plans. Utilization plans |
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154 | 154 | | 15 are due at the time of bid or offer submission. Failure to |
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155 | 155 | | 16 complete and include a utilization plan, including |
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156 | 156 | | 17 documentation demonstrating good faith efforts when requesting |
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157 | 157 | | 18 a waiver, shall render the bid or offer non-responsive. |
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158 | 158 | | 19 Except as permitted under this Act or as otherwise |
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159 | 159 | | 20 mandated by federal regulation, a bidder or offeror whose bid |
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160 | 160 | | 21 or offer is accepted and who included in that bid a completed |
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161 | 161 | | 22 utilization plan but who fails to meet the goals set forth in |
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162 | 162 | | 23 the plan shall be notified of the deficiency by the |
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163 | 163 | | 24 contracting agency or public institution of higher education |
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164 | 164 | | 25 and shall be given a period of 10 calendar days to cure the |
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165 | 165 | | 26 deficiency by contracting with additional subcontractors who |
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171 | 171 | | HB3889 - 4 - LRB103 30517 DTM 56950 b |
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174 | 174 | | HB3889- 5 -LRB103 30517 DTM 56950 b HB3889 - 5 - LRB103 30517 DTM 56950 b |
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175 | 175 | | HB3889 - 5 - LRB103 30517 DTM 56950 b |
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176 | 176 | | 1 are certified by the Business Enterprise Program or by |
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177 | 177 | | 2 increasing the work to be performed by previously identified |
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178 | 178 | | 3 vendors certified by the Business Enterprise Program. |
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179 | 179 | | 4 Deficiencies that may be cured include: (i) scrivener's |
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180 | 180 | | 5 errors, such as transposed numbers; (ii) information submitted |
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181 | 181 | | 6 in an incorrect form or format; (iii) mistakes resulting from |
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182 | 182 | | 7 failure to follow instructions or to identify and adequately |
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183 | 183 | | 8 document good faith efforts taken to comply with the |
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184 | 184 | | 9 utilization plan; or (iv) a proposal to use a firm whose |
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185 | 185 | | 10 Business Enterprise Program certification has lapsed or is not |
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186 | 186 | | 11 yet recognized. Cure is not authorized if the bidder or |
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187 | 187 | | 12 offeror submits a blank utilization plan, a utilization plan |
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188 | 188 | | 13 that shows lack of reasonable effort to complete the form on |
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189 | 189 | | 14 time, or a utilization plan that states the contract will be |
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190 | 190 | | 15 self-performed, by a non-certified vendor, without showing |
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191 | 191 | | 16 good faith efforts or a request for a waiver. All cure activity |
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192 | 192 | | 17 shall address the deficiencies identified by the purchasing |
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193 | 193 | | 18 agency and shall require clear documentation, including that |
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194 | 194 | | 19 of good faith efforts, to address those deficiencies. Any |
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195 | 195 | | 20 increase in cost to a contract for the addition of a |
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196 | 196 | | 21 subcontractor to cure a bid's deficiency shall not affect the |
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197 | 197 | | 22 bid price and shall not be used in the request for an exemption |
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198 | 198 | | 23 under this Act, and, in no case, shall an identified |
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199 | 199 | | 24 subcontractor with a Business Enterprise Program certification |
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200 | 200 | | 25 made under this Act be terminated from a contract without the |
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201 | 201 | | 26 written consent of the State agency or public institution of |
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212 | 212 | | 1 higher education entering into the contract. The purchasing |
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213 | 213 | | 2 agency or public institution of higher education shall make |
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214 | 214 | | 3 the determination whether the cure is adequate. |
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215 | 215 | | 4 Vendors certified with the Business Enterprise Program at |
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216 | 216 | | 5 the time and date submittals are due and who do not submit a |
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217 | 217 | | 6 utilization plan or have utilization plan deficiencies shall |
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218 | 218 | | 7 have 10 business days to submit a utilization plan or to |
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219 | 219 | | 8 correct the utilization plan deficiencies. |
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220 | 220 | | 9 (f) (Blank). |
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221 | 221 | | 10 (g) (Blank). |
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222 | 222 | | 11 (h) State agencies and public institutions of higher |
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223 | 223 | | 12 education shall notify the Commission on Equity and Inclusion |
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224 | 224 | | 13 of all non-responsive bids or proposals for State contracts. |
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225 | 225 | | 14 Notwithstanding any other provision of law, the goals |
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226 | 226 | | 15 established in this Act should apply to 100% of a State |
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227 | 227 | | 16 agencies total procurement spending. |
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228 | 228 | | 17 (Source: P.A. 101-170, eff. 1-1-20; 101-601, eff. 1-1-20; |
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229 | 229 | | 18 101-657, Article 1, Section 1-5, eff. 1-1-22; 101-657, Article |
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230 | 230 | | 19 40, Section 40-130, eff. 1-1-22; 102-29, eff. 6-25-21; |
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231 | 231 | | 20 102-558, eff. 8-20-21; 102-1119, eff. 1-23-23.) |
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237 | 237 | | HB3889 - 6 - LRB103 30517 DTM 56950 b |
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