103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5117 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED: New Act Creates the Deforestation-Free Procurement Act. Prohibits the State and any governmental agency, political subdivision, or public benefit corporation of the State from purchasing or obtaining for any purpose any tropical hardwoods or tropical hardwood products. Prohibits a bid proposal or solicitation, request for bid or proposal, or contract for the construction of any public work, building maintenance, or improvement for or on behalf of the State and any government agency, political subdivision, or public benefit corporation of the State from requiring or permitting the use of any tropical hardwood or tropical wood product. Provides that every contract entered into by a State agency or authority that includes the procurement of any product comprised of a tropical forest-risk commodity shall require the contractor to confirm that the commodity furnished to the State under the contract was not extracted from, grown, derived, harvested, reared, or produced on land where tropical or boreal deforestation or primary forest degradation occurred on or after January 1, 2022. Sets forth forest policies that large contractors must adopt. Provides for sanctions against a contractor or subcontractor who violates the Act. Requires the Department of Central Management Services to adopt rules to implement the Act. Requires the Director of the Department to submit an assessment to the General Assembly regarding the details of all contracts certified under the Act. Requires the Environmental Protection Agency to complete a study to determine whether the requirements of the Act shall apply to tropical forest-risk commodities originating in boreal forests. Requires the Director to issue a report every 2 years on the implementation of the Act. Makes other changes. Effective immediately. LRB103 37077 JAG 67195 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5117 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED: New Act New Act Creates the Deforestation-Free Procurement Act. Prohibits the State and any governmental agency, political subdivision, or public benefit corporation of the State from purchasing or obtaining for any purpose any tropical hardwoods or tropical hardwood products. Prohibits a bid proposal or solicitation, request for bid or proposal, or contract for the construction of any public work, building maintenance, or improvement for or on behalf of the State and any government agency, political subdivision, or public benefit corporation of the State from requiring or permitting the use of any tropical hardwood or tropical wood product. Provides that every contract entered into by a State agency or authority that includes the procurement of any product comprised of a tropical forest-risk commodity shall require the contractor to confirm that the commodity furnished to the State under the contract was not extracted from, grown, derived, harvested, reared, or produced on land where tropical or boreal deforestation or primary forest degradation occurred on or after January 1, 2022. Sets forth forest policies that large contractors must adopt. Provides for sanctions against a contractor or subcontractor who violates the Act. Requires the Department of Central Management Services to adopt rules to implement the Act. Requires the Director of the Department to submit an assessment to the General Assembly regarding the details of all contracts certified under the Act. Requires the Environmental Protection Agency to complete a study to determine whether the requirements of the Act shall apply to tropical forest-risk commodities originating in boreal forests. Requires the Director to issue a report every 2 years on the implementation of the Act. Makes other changes. Effective immediately. LRB103 37077 JAG 67195 b LRB103 37077 JAG 67195 b A BILL FOR 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5117 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED: New Act New Act New Act Creates the Deforestation-Free Procurement Act. Prohibits the State and any governmental agency, political subdivision, or public benefit corporation of the State from purchasing or obtaining for any purpose any tropical hardwoods or tropical hardwood products. Prohibits a bid proposal or solicitation, request for bid or proposal, or contract for the construction of any public work, building maintenance, or improvement for or on behalf of the State and any government agency, political subdivision, or public benefit corporation of the State from requiring or permitting the use of any tropical hardwood or tropical wood product. Provides that every contract entered into by a State agency or authority that includes the procurement of any product comprised of a tropical forest-risk commodity shall require the contractor to confirm that the commodity furnished to the State under the contract was not extracted from, grown, derived, harvested, reared, or produced on land where tropical or boreal deforestation or primary forest degradation occurred on or after January 1, 2022. Sets forth forest policies that large contractors must adopt. Provides for sanctions against a contractor or subcontractor who violates the Act. Requires the Department of Central Management Services to adopt rules to implement the Act. Requires the Director of the Department to submit an assessment to the General Assembly regarding the details of all contracts certified under the Act. Requires the Environmental Protection Agency to complete a study to determine whether the requirements of the Act shall apply to tropical forest-risk commodities originating in boreal forests. Requires the Director to issue a report every 2 years on the implementation of the Act. Makes other changes. Effective immediately. LRB103 37077 JAG 67195 b LRB103 37077 JAG 67195 b LRB103 37077 JAG 67195 b A BILL FOR HB5117LRB103 37077 JAG 67195 b HB5117 LRB103 37077 JAG 67195 b HB5117 LRB103 37077 JAG 67195 b 1 AN ACT concerning finance. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 1. Short title. This Act may be cited as the 5 Deforestation-Free Procurement Act. 6 Section 5. Legislative findings. The General Assembly 7 finds and declares the following: 8 (1) Tropical forests cover roughly 7% of Earth's 9 surface, but harbor close to 50% of all species on Earth. 10 (2) Boreal forests represent about 30% of the global 11 forest area, help regulate the climate through the 12 exchange of energy and water, and are a large reservoir of 13 biogenic carbon. 14 (3) It has been estimated that at least 30% of the 15 world's greenhouse gas emissions come from deforestation 16 and forest degradation. Taking into account carbon 17 sequestration potential, experts estimate that stopping 18 the loss of tropical forests, mangroves, and wetlands will 19 achieve over 20% of climate mitigation by 2030. 20 Section 10. Definitions. As used in this Section: 21 "Boreal countries" include Russia, Canada, the United 22 States, Finland, Sweden, Norway, Iceland, China, and Japan. 103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5117 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED: New Act New Act New Act Creates the Deforestation-Free Procurement Act. Prohibits the State and any governmental agency, political subdivision, or public benefit corporation of the State from purchasing or obtaining for any purpose any tropical hardwoods or tropical hardwood products. Prohibits a bid proposal or solicitation, request for bid or proposal, or contract for the construction of any public work, building maintenance, or improvement for or on behalf of the State and any government agency, political subdivision, or public benefit corporation of the State from requiring or permitting the use of any tropical hardwood or tropical wood product. Provides that every contract entered into by a State agency or authority that includes the procurement of any product comprised of a tropical forest-risk commodity shall require the contractor to confirm that the commodity furnished to the State under the contract was not extracted from, grown, derived, harvested, reared, or produced on land where tropical or boreal deforestation or primary forest degradation occurred on or after January 1, 2022. Sets forth forest policies that large contractors must adopt. Provides for sanctions against a contractor or subcontractor who violates the Act. Requires the Department of Central Management Services to adopt rules to implement the Act. Requires the Director of the Department to submit an assessment to the General Assembly regarding the details of all contracts certified under the Act. Requires the Environmental Protection Agency to complete a study to determine whether the requirements of the Act shall apply to tropical forest-risk commodities originating in boreal forests. Requires the Director to issue a report every 2 years on the implementation of the Act. Makes other changes. Effective immediately. LRB103 37077 JAG 67195 b LRB103 37077 JAG 67195 b LRB103 37077 JAG 67195 b A BILL FOR New Act LRB103 37077 JAG 67195 b HB5117 LRB103 37077 JAG 67195 b HB5117- 2 -LRB103 37077 JAG 67195 b HB5117 - 2 - LRB103 37077 JAG 67195 b HB5117 - 2 - LRB103 37077 JAG 67195 b 1 "Boreal forest" means a forest growing in high-latitude 2 environments where freezing temperatures occur for 6 to 8 3 months and in which trees are capable of reaching a minimum 4 height of 5 meters and a canopy cover of 10%. 5 "Contractor" means any person or entity that has a 6 contract with a State agency or authority for public works or 7 improvements to be performed, for a franchise, concession, or 8 lease of property, for grant moneys or goods and services or 9 supplies to be purchased at the expense of the State agency or 10 authority or to be paid out of moneys deposited into the State 11 treasury or out of trust moneys under the control of or 12 collected by the State agency or authority. 13 "Deforestation" means direct human-induced conversion of 14 tropical or boreal forests to agriculture, a tree plantation, 15 or other nonforest land use. 16 "Forest-risk commodity" means any commodity and its 17 derived products, including agricultural and nonagricultural 18 commodities but excluding tropical hardwood and tropical wood 19 products, whether in raw or processed form, that commodity is 20 commonly extracted from or grown, derived, harvested, reared, 21 or produced on land where tropical or boreal deforestation or 22 intact forest degradation has occurred or is likely to occur. 23 "Forest-risk commodity" includes palm oil, soy, beef, coffee, 24 leather, wood pulp, paper, logs, lumber, and any additional 25 commodities identified as such by the Director of Central 26 Management Services by rule. "Tropical forest-risk commodity" HB5117 - 2 - LRB103 37077 JAG 67195 b HB5117- 3 -LRB103 37077 JAG 67195 b HB5117 - 3 - LRB103 37077 JAG 67195 b HB5117 - 3 - LRB103 37077 JAG 67195 b 1 does not include wood pulp or paper made entirely from 2 recovered fiber. 3 "Forest-risk commodity" means any commodity and its 4 derived products, including agricultural and nonagricultural 5 commodities but excluding tropical hardwood and tropical wood 6 products, whether in raw or processed form, that commodity is 7 commonly extracted from or grown, derived, harvested, reared, 8 or produced on land where tropical or boreal deforestation or 9 intact forest degradation has occurred or is likely to occur. 10 "Tropical forest-risk commodity" includes palm oil, soy, beef, 11 coffee, leather, wood pulp, paper, logs, lumber, and any 12 additional commodities identified as such by the Director of 13 Central Management Services by rule. "Tropical forest-risk 14 commodity" does not include wood pulp or paper made entirely 15 from recovered fiber. 16 "Free, prior, and informed consent" means the principle 17 that a community has the right to give or withhold its consent 18 to proposed developments that may affect the land and waters 19 it legally or customarily owns, occupies, or otherwise uses, 20 as described in the United Nations Declaration on the Rights 21 of Indigenous Peoples, the Indigenous and Tribal Peoples 22 Convention of 1989, and other international instruments. 23 "Free, prior, and informed consent" also means informed, 24 noncoercive negotiations between investors, companies, or 25 governments and indigenous peoples and local communities prior 26 to project development. HB5117 - 3 - LRB103 37077 JAG 67195 b HB5117- 4 -LRB103 37077 JAG 67195 b HB5117 - 4 - LRB103 37077 JAG 67195 b HB5117 - 4 - LRB103 37077 JAG 67195 b 1 "Illinois State Product" means products that are grown, 2 harvested, or produced in this State or processed inside or 3 outside this State comprising over 51% raw materials grown, 4 harvested, or produced in this State, by weight or volume. 5 "Intact forest" means a forest that has never been 6 industrially logged and has developed following natural 7 disturbances and under natural processes, regardless of its 8 age. "Intact forest" includes a forest that has experienced 9 nonindustrial-scale human impacts, including traditional or 10 subsistence activities carried out by indigenous communities. 11 "Intact forest degradation" means severe and sustained 12 degradation of a tropical or boreal forest resulting in 13 significant intact forest loss or a profound change in species 14 composition, structure, or ecological function of that forest. 15 "Large contractor" means any contractor whose annual 16 revenue, or that of its parent company, is equal to or greater 17 than $100,000,000. 18 "Medium-sized business" means a business that operates in 19 this State, is independently owned and operated, not dominant 20 in its field, and employs between 100 and 500 persons. 21 "Minority-owned business" has the meaning given to that 22 term in Section 2 of the Business Enterprise for Minorities, 23 Women, and Persons with Disabilities Act. 24 "Peat" means a soil that is rich in organic matter 25 composed of partially decomposed plant materials equal to or 26 greater than 40 centimeters of the top 100 centimeters of the HB5117 - 4 - LRB103 37077 JAG 67195 b HB5117- 5 -LRB103 37077 JAG 67195 b HB5117 - 5 - LRB103 37077 JAG 67195 b HB5117 - 5 - LRB103 37077 JAG 67195 b 1 soil. 2 "Peatlands" means wetlands with a layer of peat made up of 3 dead and decaying plant material. "Peatlands" includes moors, 4 bogs, mires, peat swamp forests, and permafrost tundra. 5 "Point-of-origin" means the geographic location, as 6 identified by the smallest administrative unit of land, where 7 a commodity was grown, derived, harvested, reared, or 8 produced. 9 "Recovered fiber" means postconsumer fiber such as paper, 10 paperboard, and fibrous materials from retail stores, office 11 buildings, and homes, after having passed through their end 12 usage, including used corrugated boxes, old newspapers, old 13 magazines, mixed waste paper, tabulating cards, and used 14 cordage, and all paper, paperboard, and fibrous materials that 15 enter and are collected from municipal solid waste, and 16 manufacturing wastes such as dry paper and paperboard waste 17 generated after completion of the papermaking process, 18 including envelope cuttings, bindery trimmings, and other 19 paper and paperboard waste resulting from printing, cutting, 20 forming, and other converting operations, bag, box, and carton 21 manufacturing wastes, and butt rolls, mill wrappers, and 22 rejected unused stock, and repulped finished paper and 23 paperboard from obsolete inventories of paper and paperboard 24 manufacturers, merchants, wholesalers, dealers, printers, 25 converters, and others. 26 "Secondary material" means any material recovered from or HB5117 - 5 - LRB103 37077 JAG 67195 b HB5117- 6 -LRB103 37077 JAG 67195 b HB5117 - 6 - LRB103 37077 JAG 67195 b HB5117 - 6 - LRB103 37077 JAG 67195 b 1 otherwise destined for the wastestream, including, but not 2 limited to, post-consumer material, industrial scrap material 3 and overstock or obsolete inventories from distributors, 4 wholesalers and other companies but such term does not include 5 those materials and by-products generated from, and commonly 6 reused within, an original manufacturing process. 7 "Small business" has the meaning given to that term in 8 Section 45-45 of the Illinois Procurement Code. 9 "Tropical hardwood" means any and all hardwood, 10 scientifically classified as angiosperm, that grows in any 11 tropical forest. "Tropical hardwood" shall include but shall 12 not be limited to the following species: 13 (1) Prunus Africana (African cherry, red stinkwood) 14 (2) Caryocar Costaricense (garlic tree) 15 (3) Calophyllum species (bintangor) 16 (4) Cedrela species (cedar, Spanish cedar, South 17 American cedar) 18 (5) Neobalanocarpus Heimii (chengal) 19 (6) Octomeles Sumatrana (Benuang) 20 (7) Myroxylon Balsamum (balsamo) 21 (8) Apuleia Leiocarpa (garapa) 22 (9) Parastemon Urophyllus (malas) 23 (10) Spicatus Ridley Hopea species (merawan) 24 (11) Araucaria Araucana (monkey puzzle, Chilean pine) 25 (12) Senna Siamea (Siamese cassia) 26 (13) Pometia Pinnata (taun) HB5117 - 6 - LRB103 37077 JAG 67195 b HB5117- 7 -LRB103 37077 JAG 67195 b HB5117 - 7 - LRB103 37077 JAG 67195 b HB5117 - 7 - LRB103 37077 JAG 67195 b 1 (14) Millettia Leucantha, Millettia Stuhlmannii, 2 Millettia Laurentii (sathon, panga panga, wenge) 3 (15) Bulnesia Arborea, Bulnesia Sarmientoi (verawood, 4 Argentine lignum vitae) 5 (16) Tristaniopsis Laurina (water gum) 6 (17) Terminalia species (limba, afara, ofram, idigbo, 7 framire, black afara, amarillo, nargusta) 8 (18) Homalium Foetidum (malas) 9 (19) Dillenia Papuana (dillenia) 10 (20) Canarium species (red canarium, grey canarium) 11 (21) Burkrella Macropoda (rang rang) 12 (22) Dracontomelon Dao (New Guinea walnut) 13 (23) Planchonella species (white planchonella, red 14 planchonella) 15 (24) Lophopetalum species (perupok) 16 (25) Cariniana Pyriformis (Colombian mahogany, abarco, 17 jequitiba) 18 (26) Mitragyna Ciliata (abura) 19 (27) Vouacapoua Americana (acapu) 20 (28) Amburana Cearensis (amburana, cerejeira, cumare) 21 (29) Lovoa species (African walnut, tigerwood) 22 (30) Pericopsis Elata (afrormosia) 23 (31) Peltogyne species (amaranth, purpleheart) 24 (32) Pterogyne Nitens (amendoim) 25 (33) Carapa Guianensis, Dicorynia Guianensis, Bagassa 26 Guianensis, Couratari Guianensis (andiroba, angelique, HB5117 - 7 - LRB103 37077 JAG 67195 b HB5117- 8 -LRB103 37077 JAG 67195 b HB5117 - 8 - LRB103 37077 JAG 67195 b HB5117 - 8 - LRB103 37077 JAG 67195 b 1 tatajuba, bagasse) 2 (34) Aningeria species (aningeria, anegre, anigre) 3 (35) Dipterocarpus species (apitong, keruing) 4 (36) Centrolobium species (arariba) 5 (37) Brosimum Utile, Brosimum Alicastrum (baco, 6 breadnut) 7 (38) Ochroma Lagopus, Ochroma Pyramidale (balsa) 8 (39) Berlinia species (berlinia, rose zebrano) 9 (40) Symphonia Globulifera (boarwood) 10 (41) Detarium Senegalense (boire) 11 (42) Caesalpinia Echinata, Paubrasilia Echinata 12 (Brazilwood, pernambuco) 13 (43) Bertholletia Excelsa (Brazil nut, mora) 14 (44) Guibourtia species (bubinga, African rosewood, 15 kevazingo, amazique) 16 (45) Toona Calantas (calantas) 17 (46) Prioria copaifera (cativo) 18 (47) Ceiba Pentandra (ceiba) 19 (48) Antiaris africana (chechen, antiaris) 20 (49) Tabebuia Donnell-Smithii (copal) 21 (50) Daniellia species (daniellia) 22 (51) Cordia species (cordia wood, bocote, ziricote, 23 louro, freijo) 24 (52) Hymenaea Courbaril (courbaril, West Indian 25 locust) 26 (53) Dipteryx Odorata (cumaru, Brazilian teak) HB5117 - 8 - LRB103 37077 JAG 67195 b HB5117- 9 -LRB103 37077 JAG 67195 b HB5117 - 9 - LRB103 37077 JAG 67195 b HB5117 - 9 - LRB103 37077 JAG 67195 b 1 (54) Piptadeniastrum Africanum (dahoma) 2 (55) Calycophyllum Candidissimum (dagame, lemonwood) 3 (56) Afzelia species (doussie) 4 (57) Diospyros species (ebony, ceylon ebony, 5 marblewood) 6 (58) Lophira Alata (ekki, azobe, red ironwood) 7 (59) Combretodendron Macrocarpum (esia) 8 (60) Chlorophora Tinctoria, Chlorophora Excelsa 9 (fustic, iroko, African teak) 10 (61) Aucoumea Klaineana (gaboon, okoume) 11 (62) Astronium species (goncalo alves, tigerwood) 12 (63) Ocotea Rodiei (greenheart) 13 (64) Enterolobium Cyclocarpum (guanacaste, 14 elephant-ear tree) 15 (65) Guarea species (guarea, bosse) 16 (66) Phoebe Porosa (imbuia, Brazilian walnut) 17 (67) Handroanthus species (ipe, pau d'arco, lapacho) 18 (68) Jacaranda Copaia (jacaranda) 19 (69) Machaerium Villosum (jacaranda pardo) 20 (70) Dyera Costulata (jelutong) 21 (71) Dryobalanops species (kapur, keladan) 22 (72) Koompassia Malaccensis (kempas) 23 (73) Acacia Koa (koa) 24 (74) Pterygota Macrocarpa (koto, African pterygota) 25 (75) Oxandra Lanceolata (lancewood) 26 (76) Shorea species (lauan, luan, lawaan, meranti, HB5117 - 9 - LRB103 37077 JAG 67195 b HB5117- 10 -LRB103 37077 JAG 67195 b HB5117 - 10 - LRB103 37077 JAG 67195 b HB5117 - 10 - LRB103 37077 JAG 67195 b 1 seraya, Philippine mahogany, balau) 2 (77) Nothofagus Pumilio, Nothofagus Obliqua (lenga 3 beech, roble) 4 (78) Guaiacum Officinale (roughbark lignum-vitae) 5 (79) Aniba Rosaeodora, Aniba Duckei (pau rosa) 6 (80) Nectandra species (louro preto) 7 (81) Khaya species (African mahogany) 8 (82) Swietenia species (mahogany, West Indian 9 mahogany, Honduran mahogany, Cuban mahogany, big-leaf 10 mahogany) 11 (83) Tieghemella Heckelii (makora) 12 (84) Intsia Bijuga, Intsia Palembanica (Borneo teak, 13 merbau) 14 (85) Anisoptera species (mersawa, krabak, palosapis) 15 (86) Distemonanthus Benthamianus (movingui, ayan) 16 (87) Pterocarpus species (narra, amboyna, Papua New 17 Guinea rosewood, mukula, kosso, zitan, hongmu, padauk, 18 vermillion wood) 19 (88) Palaquium species (nyatoh) 20 (89) Triplochiton Scleroxylon (African whitewood, 21 obeche, sambawawa) 22 (90) Nauclea Diderrichii (opepe) 23 (91) Balfourodendron Riedelianum (marfim) 24 (92) Aspidosperma species (peroba rosa) 25 (93) Paratecoma Peroba (peroba branca) 26 (94) Gonystylus species (ramin) HB5117 - 10 - LRB103 37077 JAG 67195 b HB5117- 11 -LRB103 37077 JAG 67195 b HB5117 - 11 - LRB103 37077 JAG 67195 b HB5117 - 11 - LRB103 37077 JAG 67195 b 1 (95) Melanorrhoea Curtisii (rengas, Borneo rosewood) 2 (96) Hevea Brasiliensis (rubber tree) 3 (97) Dalbergia species (rosewood, Indian rosewood, 4 Honduras rosewood, cocobolo, granadillo, pinkwood, 5 tulipwood, African blackwood) 6 (98) Entandrophragma cylindricum, Entandrophragma 7 Candollei, Entandrophragma Utile (sapele, sapelli, kosipo, 8 omu, utile, sipo) 9 (99) Acanthopanax Ricinofolius (sen) 10 (100) Brosimum Aubletti, Piratinera (snakewood, 11 letterwood, leopardwood) 12 (101) Juglans species (South American walnut, Peruvian 13 walnut) 14 (102) Sterculia Rhinopetalia (sterculia) 15 (103) Tectona Grandis (teak) 16 (104) Virola species (virola, cumala) 17 (105) Pentacme Contorta (white lauan) 18 (106) Microberlinia species (zebrawood, zingana) 19 "Tropical forest" a natural ecosystem within the tropical 20 regions, approximately bounded geographically by the tropics 21 of Cancer and Capricorn, but possibly affected by other 22 factors such as prevailing winds, containing native species 23 composition, structure, and ecological function, with a tree 24 canopy cover of more than 10% over an area of at least 0.5 25 hectares. "Tropical forest" includes all of the following: (i) 26 human-managed tropical forests or partially degraded tropical HB5117 - 11 - LRB103 37077 JAG 67195 b HB5117- 12 -LRB103 37077 JAG 67195 b HB5117 - 12 - LRB103 37077 JAG 67195 b HB5117 - 12 - LRB103 37077 JAG 67195 b 1 forests that are regenerating; and (ii) tropical forests 2 identified by multi-objective conservation-based assessment 3 methodologies, such as High Conservation Value areas (HCV), as 4 defined by the HCV Resource Network, or High Carbon Stock 5 Forests, as defined by the High Carbon Stock Approach, or by 6 another methodology with equivalent or higher standards that 7 includes primary forests and tropical peatlands of any depth. 8 "Tropical forest" does not include plantations of any type. 9 (1) human-managed tropical forests or partially 10 degraded tropical forests that are regenerating; and 11 (2) forests identified by multiobjective conservation 12 based assessment methodologies, such as high conservation 13 value areas, as defined by the High Conservation Value 14 Resource Network, or high carbon stock forests, as defined 15 by the High Carbon Stock Approach, or by another 16 methodology with equivalent or higher standards that 17 includes primary forests and peatlands of any depth. 18 "Tropical hardwood product" means any wood product, 19 wholesale or retail, in any form, including, but not limited 20 to, plywood, veneer, furniture, cabinets, paneling, siding, 21 moldings, doors, doorskins, joinery, flooring, or sawnwood, 22 which are composed, in whole or in part, of tropical hardwood. 23 "Tropical peatland" means wetlands with a layer of peat 24 made up of dead and decaying plant material. "Tropical 25 peatland" includes moors, bogs, mires, and peat swamp forests. 26 "Tropical forest" does not include plantations of any type. HB5117 - 12 - LRB103 37077 JAG 67195 b HB5117- 13 -LRB103 37077 JAG 67195 b HB5117 - 13 - LRB103 37077 JAG 67195 b HB5117 - 13 - LRB103 37077 JAG 67195 b 1 "Women-owned business" has the meaning given to that term 2 in Section 2 of the Business Enterprise for Minorities, Women, 3 and Persons with Disabilities Act. 4 Section 15. Purchase of tropical hardwoods prohibited. 5 (a) Except as otherwise provided, the State and any 6 governmental agency, political subdivision, or public benefit 7 corporation of the State shall not purchase or obtain for any 8 purpose any tropical hardwoods or tropical hardwood products, 9 wholesale or in retail, in any form. 10 (b) Subsection (a) shall not apply to: 11 (1) any binding contractual obligations for purchase 12 of commodities entered into prior to September 1, 2024; or 13 (2) any grant, subvention, or contract with an agency 14 of the United States or instruction of an authorized 15 representative of any such agency if the inclusion or 16 application of such provisions violate or are inconsistent 17 with the terms or conditions of the grant, subvention, 18 contract, or instruction. 19 Section 20. Use of tropical hardwood or wood product 20 prohibited. 21 (a) No bid proposal or solicitation, request for bid or 22 proposal, or contract for the construction of any public work, 23 building maintenance, or improvement for or on behalf of the 24 State and any government agency, political subdivision, or HB5117 - 13 - LRB103 37077 JAG 67195 b HB5117- 14 -LRB103 37077 JAG 67195 b HB5117 - 14 - LRB103 37077 JAG 67195 b HB5117 - 14 - LRB103 37077 JAG 67195 b 1 public benefit corporation of the State shall require or 2 permit the use of any tropical hardwood or tropical wood 3 product. 4 (b) Every bid proposal, solicitation, request for bid or 5 proposal, and contract for the construction of any public 6 work, building maintenance, or improvement shall contain a 7 statement that any bid, proposal, or other response to a 8 solicitation for bid or proposal which proposes or calls for 9 the use of any tropical hardwood or tropical wood product in 10 performance of the contract shall be void. 11 (c) Subsections (a) and (b) shall not apply to: 12 (1) to bid packages advertised and made available to 13 the public or any competitive and sealed bids received or 14 entered into prior to September 1, 2024; 15 (2) to any amendment, modification, or renewal of a 16 contract, which contract was entered into prior to 17 September 1, 2024, where such application would delay 18 timely completion of a project or involve an increase in 19 the total monies to be paid under that contract; or 20 (3) to any grant, subvention, or contract with any 21 agency of the United States or instruction of an 22 authorized representative of any such agency if the 23 contracting officer finds that the inclusion or 24 application of such provisions violate or are inconsistent 25 with the terms or conditions of a grant, subvention, 26 contract, or instruction. HB5117 - 14 - LRB103 37077 JAG 67195 b HB5117- 15 -LRB103 37077 JAG 67195 b HB5117 - 15 - LRB103 37077 JAG 67195 b HB5117 - 15 - LRB103 37077 JAG 67195 b 1 Section 25. Forest-risk commodity procurement. 2 (a) Every contract entered into by a State agency or 3 authority that includes the procurement of any product 4 comprised, in whole or in part, of a forest-risk commodity 5 shall require the contractor to confirm that the commodity 6 furnished to the State under the contract was not extracted 7 from, grown, derived, harvested, reared, or produced on land 8 where tropical or boreal deforestation or intact forest 9 degradation occurred on or after January 1, 2022. The 10 contractor shall agree to comply with this provision of the 11 contract. 12 (b) This Section shall not apply to any grant, subvention, 13 or contract with an agency of the United States or instruction 14 of an authorized representative of any such agency if the 15 inclusion or application of such provisions violate or are 16 inconsistent with the terms or conditions of the grant, 17 subvention, contract, or instruction. 18 Section 30. Compliance. 19 (a) Every contract shall specify that the contractor is 20 required to cooperate fully in providing reasonable access to 21 the contractor's records, documents, agents, employees, or 22 premises if reasonably required by authorized officials of the 23 contracting State agency or authority, the Department of 24 Central Management Services, the Office of the Attorney HB5117 - 15 - LRB103 37077 JAG 67195 b HB5117- 16 -LRB103 37077 JAG 67195 b HB5117 - 16 - LRB103 37077 JAG 67195 b HB5117 - 16 - LRB103 37077 JAG 67195 b 1 General, or the Environmental Protection Agency to determine 2 the contractor's compliance with the requirements under 3 Section 25. 4 (b) Contractors shall exercise due diligence in ensuring 5 that their subcontractors comply with the requirements under 6 Section 35. Contractors shall require each subcontractor to 7 certify that the subcontractor is in compliance with the 8 requirements under Section 25. 9 Section 35. Required forest policies. In addition to the 10 requirements of Sections 25 and 30, large contractors subject 11 to Section 25 must confirm that they have adopted a forest 12 policy that complies with rules issued under paragraph (6) of 13 Section 70. The adoption of forest policy by a contractor, 14 subcontractor, or supplier that is not a large contractor is 15 not required to comply with this Section but may be used to 16 demonstrate compliance with Section 25. Such forest policy and 17 all corresponding data shall be made publicly available, and 18 shall contain, at a minimum, all of the following: 19 (1) due diligence measures on the point-of-origin of 20 forest-risk commodities and ensures compliance with the 21 policy where supply chain risks are present; 22 (2) data detailing the complete list of direct and 23 indirect suppliers and supply chain traceability 24 information, including refineries, processing plants, 25 farms, and plantations, and their respective owners, HB5117 - 16 - LRB103 37077 JAG 67195 b HB5117- 17 -LRB103 37077 JAG 67195 b HB5117 - 17 - LRB103 37077 JAG 67195 b HB5117 - 17 - LRB103 37077 JAG 67195 b 1 parent companies, and farmers, maps, and geolocations, for 2 each forest-risk commodity found in products that may be 3 furnished to the State; 4 (3) measures taken to ensure the product does not 5 contribute to tropical or boreal deforestation or primary 6 forest degradation, including: 7 (A) no development in tropical or boreal primary 8 forests; 9 (B) no origination from a site where commodity 10 production has replaced tropical or boreal primary 11 forests after January 1, 2023;" 12 (C) no development of high carbon stock forests; 13 (D) no development of high conservation value 14 areas; 15 (E) no burning; 16 (F) efforts to ensure progressive reductions of 17 greenhouse gas emissions on existing plantations; 18 (G) no development of peat, regardless of depth; 19 (H) best management practices for existing 20 plantations on peat; and 21 (I) where feasible, activities oriented toward 22 peat restoration; 23 (4) measures taken to prevent exploitation and redress 24 grievances of workers and local communities, including: 25 (A) respect for and recognition of the rights of 26 all workers including contract, temporary, and migrant HB5117 - 17 - LRB103 37077 JAG 67195 b HB5117- 18 -LRB103 37077 JAG 67195 b HB5117 - 18 - LRB103 37077 JAG 67195 b HB5117 - 18 - LRB103 37077 JAG 67195 b 1 workers; 2 (B) respect for and recognition of land tenure 3 rights of communities; 4 (C) respect for the rights of indigenous and local 5 communities to give or withhold their free, prior, and 6 informed consent to operations on lands to which they 7 hold legal, communal, or customary rights; 8 (D) explicit policies and processes to prevent 9 violence, intimidation, and coercion of workers and 10 local communities; and 11 (E) formal, open, transparent, and consultative 12 processes to address all complaints and conflicts; 13 (5) measures taken to protect biodiversity and prevent 14 the poaching of endangered species in all operations and 15 adjacent areas; 16 (6) measures taken to ensure compliance with the laws 17 of countries where forest-risk commodities in a company's 18 supply chain were produced; and 19 (7) measures to deter violence, threats, and 20 harassment against environmental human rights defenders 21 (EHRDs), including respecting internationally recognized 22 human rights standards, and educating employees, 23 contractors, and partners on the rights of EHRDs to 24 express their views, conduct peaceful protests, and 25 criticize practices without intimidation or retaliation. HB5117 - 18 - LRB103 37077 JAG 67195 b HB5117- 19 -LRB103 37077 JAG 67195 b HB5117 - 19 - LRB103 37077 JAG 67195 b HB5117 - 19 - LRB103 37077 JAG 67195 b 1 Section 40. Violations and sanctions. 2 (a) If it is determined that any contractor contracting 3 with the State knew or should have known that a product 4 comprising, in whole or in part, of a forest-risk commodity 5 was furnished to the State in violation of Sections 25 and 30, 6 the contracting State agency or authority shall issue a 7 written notice of violation and provide an opportunity for 8 such contractor to come into compliance. If, after such 9 notice, a contractor fails to come into compliance within a 10 time established by the Department of Central Management 11 Services, such contractor may have either or both of the 12 following sanctions imposed: 13 (1) the contract under which the prohibited 14 forest-risk commodity was furnished may be voided at the 15 option of the State agency or authority to which the 16 commodity was furnished; or 17 (2) the contractor may be assessed a penalty that 18 shall be the greater of $1,000 or an amount equaling 20% of 19 the value of the product that the State agency or 20 authority demonstrates was comprised, in whole or in part, 21 of a forest-risk commodity and furnished to the State in 22 violation of Sections 25 and 30. 23 A hearing or opportunity to be heard shall be provided 24 prior to the assessment of any penalty. 25 (b) Notwithstanding subsection (a), a contractor that has 26 complied with the Section 30 shall not be subject to sanctions HB5117 - 19 - LRB103 37077 JAG 67195 b HB5117- 20 -LRB103 37077 JAG 67195 b HB5117 - 20 - LRB103 37077 JAG 67195 b HB5117 - 20 - LRB103 37077 JAG 67195 b 1 for violations, of which the contractor had no knowledge of 2 the requirements of Sections 25 and 30, that were committed 3 solely by a subcontractor. Sanctions described under 4 subsection (a) shall instead be imposed against the 5 subcontractor that committed the violation. 6 Section 45. Investigations of violations. 7 (a) Any State agency or authority that investigates a 8 complaint against a contractor or subcontractor for violation 9 of this Act may limit its investigation to evaluating the 10 information provided by the person or entity submitting the 11 complaint and the information provided by the contractor or 12 subcontractor. 13 (b) Whenever a contracting officer of the contracting 14 State agency or authority has reason to believe that the 15 contractor failed to comply with Sections 25 and 30, the State 16 agency or authority shall refer the matter for investigation 17 to the head of the State agency or authority and, as the head 18 of the State agency or authority determines appropriate, to 19 either the Department of Central Management Services, the 20 Office of the Attorney General, or the Environmental 21 Protection Agency. 22 Section 50. Preference. 23 (a) When a State agency's or authority's contract for the 24 purchase of a commodity or product covered by this Act is to be HB5117 - 20 - LRB103 37077 JAG 67195 b HB5117- 21 -LRB103 37077 JAG 67195 b HB5117 - 21 - LRB103 37077 JAG 67195 b HB5117 - 21 - LRB103 37077 JAG 67195 b 1 awarded to the lowest responsible bidder, an otherwise 2 qualified bidder who is a small business or medium-sized 3 business or a minority-owned business or women-owned business, 4 or who will fulfill the contract through the use of Illinois 5 State products may be given preference over other bidders, as 6 long as the cost included in the bid is not more than 10% 7 greater than the cost included in a bid that is not from a 8 small business or medium-sized business or a minority-owned 9 business or women-owned business or fulfilled through the use 10 of Illinois State products. 11 (b) This Section shall not apply if the head of the 12 contracting State agency or authority purchasing such 13 products, in his or her sole discretion, determines that 14 giving preference to bidders under this Section: 15 (1) would be against the public interest; 16 (2) would increase the cost of the contract by an 17 unreasonable amount; or 18 (3) if Illinois State products cannot be obtained in 19 sufficient and reasonable available quantities and of 20 satisfactory quality to meet the contracting State 21 agency's or authority's requirements. 22 (c) Nothing in this Section shall be construed to conflict 23 with or otherwise limit the goals and requirements set forth 24 by Article 45 of the Illinois Procurement Code and the 25 Business Enterprise for Minorities, Women, and Persons with 26 Disabilities Act. HB5117 - 21 - LRB103 37077 JAG 67195 b HB5117- 22 -LRB103 37077 JAG 67195 b HB5117 - 22 - LRB103 37077 JAG 67195 b HB5117 - 22 - LRB103 37077 JAG 67195 b 1 Section 55. Purchase restrictions. 2 (a) The certification requirements set forth in this 3 Section shall not apply to a purchase of goods of $2,500 or 4 less. 5 (b) The total amount of goods exempted under subsection 6 (a) shall not exceed $7,500 per year for each contractor from 7 which a State agency or authority is purchasing goods. It 8 shall be the responsibility of each State agency or authority 9 to monitor the use of this exemption and adhere to these 10 restrictions on these purchases. 11 Section 60. Voluntary certification process. The Director 12 of Central Management Services shall establish a voluntary 13 certification process for current or aspiring contractors to 14 be recognized as supplying deforestation-free products which 15 shall be consulted on the creation of requirements outlined by 16 the rules in this Act, and shall exercise an oversight role 17 under Section 65. 18 Section 65. Rules. On or before July 1, 2024, the 19 Department of Central Management Services shall issue rules 20 for the implementation of this Act. The rules shall be 21 developed in consultation with the Director of the 22 Environmental Protection Agency. The rules shall include, but 23 not be limited to, all of the following: HB5117 - 22 - LRB103 37077 JAG 67195 b HB5117- 23 -LRB103 37077 JAG 67195 b HB5117 - 23 - LRB103 37077 JAG 67195 b HB5117 - 23 - LRB103 37077 JAG 67195 b 1 (1) a list of forest-risk commodities subject to the 2 requirements of this Act, including, but not limited to, 3 palm oil, soy, beef, coffee, leather, wood pulp, paper, 4 logs, and lumber. The list shall be reviewed and updated 5 at least every 3 years. When evaluating inclusion of 6 additional commodities in the list, the Director of 7 Central Management Services shall consider the impact of 8 the commodity as a driver of tropical or boreal 9 deforestation or primary forest degradation, the state of 10 existing supply chain transparency and traceability 11 systems for the commodity, and the feasibility of 12 including the commodity in the requirements of Section 25. 13 The first review shall include, but not be limited to, the 14 evaluation of cocoa, rubber, leather, and other 15 cattle-derived products; 16 (2) a list of products derived, in whole or in part, 17 from forest-risk commodities; 18 (3) a list of products furnished to the State or used 19 by State contractors in high-volume purchases that contain 20 or are comprised in whole or in part of forest-risk 21 commodities; 22 (4) a set of responsible sourcing guidelines and 23 policies derived from best practices in supply chain 24 transparency to the point-of-origin; 25 (5) guidance to assist contractors in identifying 26 forest-risk commodities in their supply chain, performing HB5117 - 23 - LRB103 37077 JAG 67195 b HB5117- 24 -LRB103 37077 JAG 67195 b HB5117 - 24 - LRB103 37077 JAG 67195 b HB5117 - 24 - LRB103 37077 JAG 67195 b 1 necessary due diligence to meet the requirements of this 2 Act, and certifying that the commodity did not contribute 3 to tropical or boreal deforestation or primary forest 4 degradation; 5 (6) the full set of requirements for a large 6 contractor's forest policy under Section 35; 7 (7) the process through which contractors shall 8 certify to the Department of Central Management Services 9 that they are in compliance with Sections 25 and 30; 10 (8) a process for ensuring that details of certified 11 contracts are made available for public inspection of the 12 website of the Department of Central Management Services; 13 and 14 (9) an easily accessible procedure to receive public 15 complaints and information regarding violations of this 16 Act. 17 Section 70. Assessment. 18 (a) At any time after January 1, 2025, but no less 19 frequently than every 6 months thereafter, the Director of 20 Central Management Services shall submit to the General 21 Assembly the details of all contracts certified under this 22 Act. The Director of Central Management Services shall assess 23 the compliance of all or a representative subset of all 24 contracts with the requirements of this Act. Following such 25 assessment, and subject to approval by a majority of members, HB5117 - 24 - LRB103 37077 JAG 67195 b HB5117- 25 -LRB103 37077 JAG 67195 b HB5117 - 25 - LRB103 37077 JAG 67195 b HB5117 - 25 - LRB103 37077 JAG 67195 b 1 the General Assembly may: 2 (1) make recommendations to the Director of Central 3 Management Services regarding changes to the rules 4 implementing this Act; or 5 (2) make recommendations to the Director of Central 6 Management Services, the Office of the Attorney General, 7 the Office of the State Comptroller, or a contracting 8 State agency or authority regarding deficiencies in 9 contract certifications, violations of this Act, or 10 enforcement actions. 11 (b) All work products produced under Section 25 shall be 12 made available to the public on the website of the Department 13 of Central Management Services. 14 (c) In completing a study under Section 80, the 15 Environmental Protection Agency shall consult with 16 individuals, including academics and experts from 17 nongovernmental organizations, having expertise in forest 18 sustainability, biodiversity, and climate science, as well as 19 representatives of indigenous communities located within 20 boreal regions, and hold at least one public hearing, and may 21 base study findings on existing literature. 22 Section 75. Study. 23 (a) Not later than June 1, 2025, the Environmental 24 Protection Agency, in consultation with the Director of 25 Central Management Services, shall complete a study to HB5117 - 25 - LRB103 37077 JAG 67195 b HB5117- 26 -LRB103 37077 JAG 67195 b HB5117 - 26 - LRB103 37077 JAG 67195 b HB5117 - 26 - LRB103 37077 JAG 67195 b 1 determine whether the requirements of this Act shall apply to 2 forest-risk commodities originating in boreal forests. 3 (b) The study shall examine, but not be limited to, the 4 following considerations: 5 (1) the short-term and long-term impact on greenhouse 6 gas emissions, biodiversity, ecosystem function, and 7 climate resilience, of clearcutting primary boreal 8 forests; 9 (2) the differential impact on greenhouse gas 10 emissions, biodiversity, ecosystem function, and climate 11 resilience of clearcutting primary boreal forests versus 12 previously logged or second-growth forests, within 13 30-year, 50-year, and 100-year timeframes; 14 (3) the differential impact on greenhouse gas 15 emissions, biodiversity, ecosystem function, and climate 16 resilience of clearcutting primary boreal forests versus 17 no industrial forest activity, within 30-year, 50-year, 18 and 100-year timeframes; 19 (4) the actual carbon storage capacity of various 20 harvested wood products, and the percentage of logged 21 boreal biomass in each of the boreal countries that ends 22 up in long-lasting versus short-term consumable end uses; 23 (5) the effectiveness of existing available 24 certification schemes in use in each of the boreal 25 countries in ensuring compliance with the goals of this 26 Act; HB5117 - 26 - LRB103 37077 JAG 67195 b HB5117- 27 -LRB103 37077 JAG 67195 b HB5117 - 27 - LRB103 37077 JAG 67195 b HB5117 - 27 - LRB103 37077 JAG 67195 b 1 (6) an independent assessment of the current 2 greenhouse gas footprint of the forest products industry 3 in each of the boreal countries; 4 (7) an independent assessment of whether current 5 forest management policies in each of the boreal countries 6 are sufficient to prevent the forestry industry's role in 7 the decline of at-risk species; 8 (8) the effectiveness of the forestry policies of each 9 of the boreal countries in ensuring the free, prior, and 10 informed consent of indigenous peoples affected by 11 industrial logging within the boreal forest; and 12 (9) the effectiveness of replanting practices in 13 restoring the ecological benefits of primary boreal 14 forests that have been logged, and the timescale for 15 restoring these benefits. 16 (c) The requirements of this Act shall apply to all 17 forest-risk commodities unless the Director of the 18 Environmental Protection Agency and the Director of Central 19 Management Services have, not later than June 1, 2025, jointly 20 designated the provisions of this Act inapplicable to 21 forest-risk commodities originating in boreal forests based on 22 the results of the study. 23 Section 80. Applicability. This Act shall apply to all 24 contracts entered into, extended, or renewed on or after 25 January 1, 2025. HB5117 - 27 - LRB103 37077 JAG 67195 b HB5117- 28 -LRB103 37077 JAG 67195 b HB5117 - 28 - LRB103 37077 JAG 67195 b HB5117 - 28 - LRB103 37077 JAG 67195 b 1 Section 95. Report. Beginning 2 years after the effective 2 date of this Act and biennially thereafter, the Director of 3 Central Management Services shall issue a report to the 4 Governor, the Senate President, and the Speaker of the House 5 of Representatives on the implementation of this Act. HB5117 - 28 - LRB103 37077 JAG 67195 b