Illinois 2025-2026 Regular Session

Illinois House Bill HB1225 Compare Versions

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1-HB1225 EngrossedLRB104 06111 SPS 16144 b HB1225 Engrossed LRB104 06111 SPS 16144 b
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1+104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB1225 Introduced 1/9/2025, by Rep. Justin Slaughter SYNOPSIS AS INTRODUCED: New Act Creates the Best Customer Price Act. Provides that a public institution of higher education or a State agency may require best customer pricing for any goods it procures. Provides that, if goods are to be purchased by the State from a supplier or reseller, the supplier or reseller shall attest that the price is the best customer price. Provides that the supplier or reseller shall include a provision in the letter of supply from the manufacturer that the supplier or reseller can secure the supply and quantity of goods to be purchased, and that the manufacturer has extended the same best customer pricing from the manufacturer to each of the suppliers or resellers registered with the State for the goods to be purchased. Provides that, if a public institution of higher education or a State agency requires best customer pricing for the goods but does not believe the price is competitive, the public institution of higher education or the State agency may decline to award the bid. Effective immediately. LRB104 06111 SPS 16144 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB1225 Introduced 1/9/2025, by Rep. Justin Slaughter SYNOPSIS AS INTRODUCED: New Act New Act Creates the Best Customer Price Act. Provides that a public institution of higher education or a State agency may require best customer pricing for any goods it procures. Provides that, if goods are to be purchased by the State from a supplier or reseller, the supplier or reseller shall attest that the price is the best customer price. Provides that the supplier or reseller shall include a provision in the letter of supply from the manufacturer that the supplier or reseller can secure the supply and quantity of goods to be purchased, and that the manufacturer has extended the same best customer pricing from the manufacturer to each of the suppliers or resellers registered with the State for the goods to be purchased. Provides that, if a public institution of higher education or a State agency requires best customer pricing for the goods but does not believe the price is competitive, the public institution of higher education or the State agency may decline to award the bid. Effective immediately. LRB104 06111 SPS 16144 b LRB104 06111 SPS 16144 b A BILL FOR
2+104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB1225 Introduced 1/9/2025, by Rep. Justin Slaughter SYNOPSIS AS INTRODUCED:
3+New Act New Act
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5+Creates the Best Customer Price Act. Provides that a public institution of higher education or a State agency may require best customer pricing for any goods it procures. Provides that, if goods are to be purchased by the State from a supplier or reseller, the supplier or reseller shall attest that the price is the best customer price. Provides that the supplier or reseller shall include a provision in the letter of supply from the manufacturer that the supplier or reseller can secure the supply and quantity of goods to be purchased, and that the manufacturer has extended the same best customer pricing from the manufacturer to each of the suppliers or resellers registered with the State for the goods to be purchased. Provides that, if a public institution of higher education or a State agency requires best customer pricing for the goods but does not believe the price is competitive, the public institution of higher education or the State agency may decline to award the bid. Effective immediately.
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311 1 AN ACT concerning State government.
412 2 Be it enacted by the People of the State of Illinois,
513 3 represented in the General Assembly:
614 4 Section 1. Short title. This Act may be cited as the Best
715 5 Customer Price Act.
816 6 Section 5. Findings. The General Assembly finds and
917 7 declares that:
1018 8 (1) It has been the long-standing public policy of
1119 9 this State to provide a level playing field in procurement
1220 10 for small and mid-sized businesses. Despite this policy,
1321 11 the portion of State funds spent on small and mid-sized
1422 12 businesses, especially minority-owned, women-owned, and
1523 13 veteran-owned businesses, is persistently far below where
1624 14 the General Assembly believes it should be.
1725 15 (2) This State has a choice in implementing pricing
1826 16 policy for goods. Manufacturers sometimes give their best
1927 17 price to the largest suppliers and largest resellers,
2028 18 leaving small and mid-sized suppliers and small and
2129 19 mid-sized resellers to pay a higher price. Allowing
2230 20 manufacturers to force smaller suppliers for State
2331 21 purchases to pay a higher price excludes small suppliers
2432 22 from any low-bid State procurement.
2533 23 (3) On average, minority-owned, women-owned, and
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37+104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB1225 Introduced 1/9/2025, by Rep. Justin Slaughter SYNOPSIS AS INTRODUCED:
38+New Act New Act
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40+Creates the Best Customer Price Act. Provides that a public institution of higher education or a State agency may require best customer pricing for any goods it procures. Provides that, if goods are to be purchased by the State from a supplier or reseller, the supplier or reseller shall attest that the price is the best customer price. Provides that the supplier or reseller shall include a provision in the letter of supply from the manufacturer that the supplier or reseller can secure the supply and quantity of goods to be purchased, and that the manufacturer has extended the same best customer pricing from the manufacturer to each of the suppliers or resellers registered with the State for the goods to be purchased. Provides that, if a public institution of higher education or a State agency requires best customer pricing for the goods but does not believe the price is competitive, the public institution of higher education or the State agency may decline to award the bid. Effective immediately.
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3468 1 veteran-owned businesses are smaller than incumbent firms,
3569 2 and policies that level the playing field in procurement
3670 3 for firms that are smaller will disproportionately benefit
3771 4 minority-owned, women-owned and veteran-owned businesses,
3872 5 rectifying past decades of discrimination in a
3973 6 race-neutral and gender-neutral way.
4074 7 (4) It has long been public policy to empower State
4175 8 purchasing officials with the ability to require the most
4276 9 favorable terms to be granted to this State on any
4377 10 purchase of supplies or services, and extending this
4478 11 policy to ensure the best customer pricing is extended by
4579 12 manufacturers to this State's suppliers and resellers is
4680 13 consistent with both federal procurement law and State
4781 14 procurement law.
4882 15 (5) Requiring the best customer price for procured
4983 16 goods will create a more inclusive choice for State
5084 17 procurement and a level playing field for all suppliers,
5185 18 both from the manufacturers to suppliers or resellers and
5286 19 from suppliers or resellers to this State.
5387 20 (6) It is in the best interest of the taxpayers of this
5488 21 State to ensure that this State's purchases of goods
5589 22 always get the best customer pricing from all participants
5690 23 in the transaction, both from the manufacturer to the
5791 24 supplier or reseller and from the supplier or reseller to
5892 25 this State.
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69103 1 Section 10. Definitions. As used in this Act:
70104 2 "Best customer pricing" means the best price offered to
71105 3 any customer for the goods this State is seeking to buy,
72106 4 including price, discounts, commissions, rebates, and other
73107 5 incentives that impact the consideration paid for the good.
74108 6 "Letter of supply" means a document from the manufacturer
75109 7 to a supplier or reseller that indicates the supplier or
76110 8 reseller is able to secure the goods this State seeks to buy.
77111 9 "Public institution of higher education" has the meaning
78112 10 given to that term in Section 1-13 of the Illinois Procurement
79113 11 Code.
80114 12 "Reseller" means a registered vendor of this State that
81115 13 supplies goods the company does not manufacture.
82116 14 "State agency" has the meaning given to that term in
83117 15 Section 1-15.100 of the Illinois Procurement Code.
84118 16 "Supplier" means a registered vendor of this State that
85119 17 supplies goods the company does not manufacture.
86120 18 Section 15. Best consumer pricing.
87-19 (a) The provisions of this Act apply if a public
88-20 institution of higher education or a State agency
89-21 affirmatively requires best customer pricing for a particular
90-22 procurement of goods. If goods are to be purchased by this
91-23 State from a supplier or reseller, the supplier or reseller
92-24 shall attest that the price is the best customer price. The
93-25 supplier or reseller shall include a provision in the letter
121+19 (a) A public institution of higher education or a State
122+20 agency may require best customer pricing for any goods it
123+21 procures. If goods are to be purchased by this State from a
124+22 supplier or reseller, the supplier or reseller shall attest
125+23 that the price is the best customer price. The supplier or
126+24 reseller shall include a provision in the letter of supply
127+25 from the manufacturer that the supplier or reseller can secure
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104-1 of supply from the manufacturer that the supplier or reseller
105-2 can secure the supply and quantity of goods to be purchased,
106-3 and that the manufacturer has extended the same best customer
107-4 pricing from the manufacturer to each of the suppliers or
108-5 resellers registered with this State for the goods to be
109-6 purchased.
110-7 (b) Nothing in this Section shall require the manufacturer
111-8 to extend best customer pricing to any supplier or reseller
112-9 for any goods that are not purchased by this State.
113-10 (c) Nothing in this Section shall regulate or impact any
114-11 commercial relationship between a manufacturer and a supplier
115-12 or reseller for any goods that are not the subject of a State
116-13 purchase.
117-14 (d) Nothing in this Section shall require any
118-15 manufacturer, reseller, or supplier to disclose any
119-16 proprietary information in the letter of supply.
120-17 Section 20. Declining bids. If a public institution of
121-18 higher education or a State agency requires best customer
122-19 pricing for the goods but does not believe the price is
123-20 competitive, the public institution of higher education or the
124-21 State agency may decline to award the bid.
125-22 Section 25. Repeal. This Act is repealed on January 1,
126-23 2031.
127-24 Section 99. Effective date. This Act takes effect upon
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138+1 the supply and quantity of goods to be purchased, and that the
139+2 manufacturer has extended the same best customer pricing from
140+3 the manufacturer to each of the suppliers or resellers
141+4 registered with this State for the goods to be purchased.
142+5 (b) Nothing in this Section shall require the manufacturer
143+6 to extend best customer pricing to any supplier or reseller
144+7 for any goods that are not purchased by this State.
145+8 (c) Nothing in this Section shall regulate or impact any
146+9 commercial relationship between a manufacturer and a supplier
147+10 or reseller for any goods that are not the subject of a State
148+11 purchase.
149+12 (d) Nothing in this Section shall require any
150+13 manufacturer, reseller, or supplier to disclose any
151+14 proprietary information in the letter of supply.
152+15 Section 20. Declining bids. If a public institution of
153+16 higher education or a State agency requires best customer
154+17 pricing for the goods but does not believe the price is
155+18 competitive, the public institution of higher education or the
156+19 State agency may decline to award the bid.
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