104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3197 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED: New Act Creates the Deforestation-Free Illinois Act. Provides that neither the State nor any government agency of the State shall purchase, at wholesale or retail, or obtain for any purpose any tropical hardwood or tropical hardwood product. Provides that no 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 or any government agency of the State shall require or permit the use of any tropical hardwood or tropical hardwood product. Provides that every contract entered into by a State agency that includes the procurement of any product that consists, in whole or in part, of a 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 deforestation or forest degradation occurred. Effective immediately. LRB104 09398 HLH 19457 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3197 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED: New Act New Act Creates the Deforestation-Free Illinois Act. Provides that neither the State nor any government agency of the State shall purchase, at wholesale or retail, or obtain for any purpose any tropical hardwood or tropical hardwood product. Provides that no 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 or any government agency of the State shall require or permit the use of any tropical hardwood or tropical hardwood product. Provides that every contract entered into by a State agency that includes the procurement of any product that consists, in whole or in part, of a 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 deforestation or forest degradation occurred. Effective immediately. LRB104 09398 HLH 19457 b LRB104 09398 HLH 19457 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3197 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED: New Act New Act New Act Creates the Deforestation-Free Illinois Act. Provides that neither the State nor any government agency of the State shall purchase, at wholesale or retail, or obtain for any purpose any tropical hardwood or tropical hardwood product. Provides that no 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 or any government agency of the State shall require or permit the use of any tropical hardwood or tropical hardwood product. Provides that every contract entered into by a State agency that includes the procurement of any product that consists, in whole or in part, of a 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 deforestation or forest degradation occurred. Effective immediately. LRB104 09398 HLH 19457 b LRB104 09398 HLH 19457 b LRB104 09398 HLH 19457 b A BILL FOR HB3197LRB104 09398 HLH 19457 b HB3197 LRB104 09398 HLH 19457 b HB3197 LRB104 09398 HLH 19457 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 Illinois Act. 6 Section 5. Legislative findings. The General Assembly 7 finds and declares the following: 8 (1) Studies show that preventing deforestation is 9 among the most cost-effective climate mitigation 10 strategies with large global mitigation benefits. 11 Preventing deforestation is also one of the few large 12 mitigation options that does not risk trade-offs to 13 solving other challenges; on the contrary, it provides 14 co-benefits like enhancing health, clean water, and 15 sanitation. 16 (2) Studies also suggest that protecting existing 17 forests and allowing them to mature could potentially 18 store 151.7 gigatons of carbon, or about a quarter of 19 excess emissions since industrialization. 20 (3) Deforestation and forest degradation generates 21 between 4.3 and 5.5 GtCO2eq annually. This is between 7% 22 and 10% of all CO2 equivalent emissions from all sources 23 globally. Emissions associated with deforestation and 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3197 Introduced , by Rep. Daniel Didech SYNOPSIS AS INTRODUCED: New Act New Act New Act Creates the Deforestation-Free Illinois Act. Provides that neither the State nor any government agency of the State shall purchase, at wholesale or retail, or obtain for any purpose any tropical hardwood or tropical hardwood product. Provides that no 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 or any government agency of the State shall require or permit the use of any tropical hardwood or tropical hardwood product. Provides that every contract entered into by a State agency that includes the procurement of any product that consists, in whole or in part, of a 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 deforestation or forest degradation occurred. Effective immediately. LRB104 09398 HLH 19457 b LRB104 09398 HLH 19457 b LRB104 09398 HLH 19457 b A BILL FOR New Act LRB104 09398 HLH 19457 b HB3197 LRB104 09398 HLH 19457 b HB3197- 2 -LRB104 09398 HLH 19457 b HB3197 - 2 - LRB104 09398 HLH 19457 b HB3197 - 2 - LRB104 09398 HLH 19457 b 1 forest degradation contribute most of the 13% of total 2 anthropogenic CO2 emissions attributed to agriculture. 3 (4) Most forest destruction is caused by a few 4 high-risk commodities we can avoid - cattle products, 5 cocoa, coffee, soy, palm oil, paper, and rubber - by 6 selecting products from supply chains not contributing to 7 deforestation, forest degradation, and interrelated human 8 rights abuses. 9 Article 60. Deforestation-Free Procurement. 10 Section 60-1. Definitions. As used in this Section: 11 "Contractor" means any person or entity that has a 12 contract with a State agency for any of the following: 13 (1) public works or improvements; 14 (2) a franchise, concession, or lease of property; or 15 (3) grant moneys or goods and services or supplies to 16 be purchased at the expense of the State agency or to be 17 paid for out of moneys deposited into the State treasury 18 or out of trust moneys under the control of or collected by 19 the State agency. 20 "Deforestation" means direct human-induced conversion of 21 forest to agriculture, a tree plantation, or other non-forest 22 land use. 23 "Forest degradation" means structural changes to forest 24 cover that result in a change in species composition, HB3197 - 2 - LRB104 09398 HLH 19457 b HB3197- 3 -LRB104 09398 HLH 19457 b HB3197 - 3 - LRB104 09398 HLH 19457 b HB3197 - 3 - LRB104 09398 HLH 19457 b 1 structure, or ecological function of that forest, as indicated 2 by factors including impacts to carbon storage and other 3 ecosystem services, native species abundance and composition, 4 forest structure, and tree age class distribution. "Forest 5 degradation" includes converting primary forest or naturally 6 regenerating forest into plantation forest or into other 7 wooded land and the conversion of primary forest into planted 8 forests. 9 "Forest-risk commodity" means: 10 (1) any commodity, including any agricultural or 11 nonagricultural commodity, whether in raw or processed 12 form, that is commonly extracted from or grown, derived, 13 harvested, reared, or produced on land where deforestation 14 or forest degradation has occurred or is likely to occur; 15 or 16 (2) any product derived from a product described in 17 paragraph (1). 18 "Forest-risk commodity" includes beef, cocoa, coffee, 19 leather, logs, lumber, palm oil, paper, soy, rubber, wood 20 pulp, and any other commodity identified as such by the 21 Director of Central Management Services by rule. "Forest-risk 22 commodity" does not include wood pulp or paper made entirely 23 from recovered fiber. For any wood pulp or paper product made 24 partially from recovered fiber, the contractor must only 25 confirm that the components that were not derived from 26 recovered fibers were not extracted from, grown, derived, HB3197 - 3 - LRB104 09398 HLH 19457 b HB3197- 4 -LRB104 09398 HLH 19457 b HB3197 - 4 - LRB104 09398 HLH 19457 b HB3197 - 4 - LRB104 09398 HLH 19457 b 1 harvested, reared, or produced on land where deforestation or 2 forest degradation occurred in accordance with rules as 3 provided in Section 60-11. 4 "Free, prior, and informed consent" means an authorization 5 that embodies the principle that a community has the right to 6 give or withhold its approval of a proposed development that 7 may affect the land and waters it legally or customarily owns, 8 occupies, or otherwise uses, as described in the United 9 Nations Declaration on the Rights of Indigenous Peoples, the 10 Indigenous and Tribal Peoples Convention of 1989, and other 11 international instruments. "Free, prior, and informed consent" 12 includes informed, noncoercive negotiations between investors, 13 companies, or governments and Indigenous peoples prior to 14 project development, and the formalized ability for impacted 15 Indigenous peoples to say no if projects do not meet their 16 needs and, where the risk of harm to Indigenous Peoples' 17 rights is significant, projects should not proceed without the 18 affected People's consent. 19 "Illinois State product" means: 20 (1) a product that is grown, harvested, or produced in 21 this State; or 22 (2) a product that is processed inside or outside of 23 this State comprising over 51%, by weight or volume, raw 24 materials that are grown, harvested, or produced in this 25 State. 26 "Industrial development" means the processes and HB3197 - 4 - LRB104 09398 HLH 19457 b HB3197- 5 -LRB104 09398 HLH 19457 b HB3197 - 5 - LRB104 09398 HLH 19457 b HB3197 - 5 - LRB104 09398 HLH 19457 b 1 operations involved in the large-scale production of goods, 2 including, but not limited to, manufacturing, processing, 3 warehousing, transporting, or repairing. "Industrial 4 development" also means the creation of facilities and 5 transportation infrastructure for these activities, such as 6 power generation, ship building, road development, and waste 7 storage and treatment. 8 "Large contractor" means any contractor whose annual 9 revenue, or that of its parent company, is equal to or greater 10 than $100,000,000. 11 "Medium-sized business" means a business that operates in 12 this State, is independently owned and operated, not dominant 13 in its field, and employs between 100 and 500 persons. 14 "Minority-owned business" has the meaning given to that 15 term in Section 2 of the Business Enterprise for Minorities, 16 Women, and Persons with Disabilities Act. 17 "Peat" means a soil that is rich in organic matter 18 composed of partially decomposed and decaying plant materials, 19 and comprises 40 centimeters of the top 100 centimeters of the 20 soil profile. 21 "Peatlands" means wetlands with a layer of peat. 22 "Peatlands" includes moors, bogs, mires, peat swamp forests, 23 and permafrost tundra. 24 "Point of origin" means the geographic location, as 25 identified by the smallest administrative unit of land, where 26 a commodity is grown, derived, harvested, reared, or produced. HB3197 - 5 - LRB104 09398 HLH 19457 b HB3197- 6 -LRB104 09398 HLH 19457 b HB3197 - 6 - LRB104 09398 HLH 19457 b HB3197 - 6 - LRB104 09398 HLH 19457 b 1 "Primary forest" or "pre-industrial forest" means a forest 2 that has never been disturbed by industrial development or 3 large-scale harvesting and has developed following natural 4 disturbances and under natural processes, regardless of its 5 age. "Primary forest" includes a forest in any geography that 6 has experienced nonindustrial-scale human impacts, including 7 traditional or subsistence activities carried out by 8 Indigenous communities. 9 "Recovered fiber" means postconsumer fiber such as paper, 10 paperboard, and fibrous materials from places including retail 11 stores, office buildings, and homes, after having passed 12 through its end usage, including used corrugated boxes, old 13 newspapers, old magazines, mixed waste paper, tabulating 14 cards, and used cordage, and all paper, paperboard, and 15 fibrous materials that enter and are collected from municipal 16 solid waste, and manufacturing wastes such as dry paper and 17 paperboard waste generated after completion of the papermaking 18 process, including envelope cuttings, bindery trimmings, and 19 other paper and paperboard waste resulting from printing, 20 cutting, forming, and other converting operations, bag, box, 21 and carton manufacturing wastes, and butt rolls, mill 22 wrappers, and rejected unused stock, and repulped finished 23 paper and paperboard from obsolete inventories of paper and 24 paperboard manufacturers, merchants, wholesalers, dealers, 25 printers, converters, and others. 26 "Secondary material" means any material recovered from or HB3197 - 6 - LRB104 09398 HLH 19457 b HB3197- 7 -LRB104 09398 HLH 19457 b HB3197 - 7 - LRB104 09398 HLH 19457 b HB3197 - 7 - LRB104 09398 HLH 19457 b 1 otherwise destined for the waste stream, 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. "Secondary material" does not 5 include those materials and byproducts generated from, and 6 commonly reused within, an original manufacturing process. 7 "Small business" has the same meaning given to that term 8 in Section 45-45 of the Illinois Procurement Code. 9 "Tropical hardwood" means any and all hardwood, 10 specifically classified as angiosperm, that grows in any 11 tropical forest. "Tropical hardwood" includes, but is not 12 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) HB3197 - 7 - LRB104 09398 HLH 19457 b HB3197- 8 -LRB104 09398 HLH 19457 b HB3197 - 8 - LRB104 09398 HLH 19457 b HB3197 - 8 - LRB104 09398 HLH 19457 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, HB3197 - 8 - LRB104 09398 HLH 19457 b HB3197- 9 -LRB104 09398 HLH 19457 b HB3197 - 9 - LRB104 09398 HLH 19457 b HB3197 - 9 - LRB104 09398 HLH 19457 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) HB3197 - 9 - LRB104 09398 HLH 19457 b HB3197- 10 -LRB104 09398 HLH 19457 b HB3197 - 10 - LRB104 09398 HLH 19457 b HB3197 - 10 - LRB104 09398 HLH 19457 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, HB3197 - 10 - LRB104 09398 HLH 19457 b HB3197- 11 -LRB104 09398 HLH 19457 b HB3197 - 11 - LRB104 09398 HLH 19457 b HB3197 - 11 - LRB104 09398 HLH 19457 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) HB3197 - 11 - LRB104 09398 HLH 19457 b HB3197- 12 -LRB104 09398 HLH 19457 b HB3197 - 12 - LRB104 09398 HLH 19457 b HB3197 - 12 - LRB104 09398 HLH 19457 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" means a natural ecosystem within the 20 tropical regions, approximately bounded geographically by the 21 tropics of Cancer and Capricorn, but possibly affected by 22 other factors such as prevailing winds, containing native 23 species composition, structure, and ecological function, with 24 a tree canopy cover of more than 10% over an area of at least 25 0.5 hectares. "Tropical forest" includes all of the following: 26 (i) human-managed tropical forests or partially degraded HB3197 - 12 - LRB104 09398 HLH 19457 b HB3197- 13 -LRB104 09398 HLH 19457 b HB3197 - 13 - LRB104 09398 HLH 19457 b HB3197 - 13 - LRB104 09398 HLH 19457 b 1 tropical forests that are regenerating; and (ii) tropical 2 forests identified by multi-objective conservation-based 3 assessment methodologies, such as High Conservation Value 4 areas (HCV), as defined by the HCV Resource Network, or High 5 Carbon Stock Forests, as defined by the High Carbon Stock 6 Approach, or by another methodology with equivalent or higher 7 standards that includes primary forests and tropical peatlands 8 of any depth. "Tropical forest" does not include plantations 9 of any type. 10 "Tropical hardwood product" means any product that 11 contains tropical hardwood, regardless of whether it is sold 12 at wholesale or retail, including, but not limited to, 13 plywood, veneer, furniture, cabinets, paneling, siding, 14 moldings, doors, doorskins, joinery, flooring, or sawnwood. 15 "Tropical peatland" means tropical wetlands with a layer 16 of peat. "Tropical peatland" includes moors, bogs, mires, and 17 peat swamp forests. 18 "Women-owned business" has the meaning given to that term 19 in Section 2 of the Business Enterprise for Minorities, Women, 20 and Persons with Disabilities Act. 21 Section 60-2. Purchase of tropical hardwoods prohibited. 22 (a) Except as otherwise provided in this Act, neither the 23 State nor any government agency of the State shall purchase, 24 at wholesale or retail, or obtain for any purpose any tropical 25 hardwood or tropical hardwood product. HB3197 - 13 - LRB104 09398 HLH 19457 b HB3197- 14 -LRB104 09398 HLH 19457 b HB3197 - 14 - LRB104 09398 HLH 19457 b HB3197 - 14 - LRB104 09398 HLH 19457 b 1 (b) Subsection (a) shall not apply to: 2 (1) any binding contractual obligations for the 3 purchase of commodities entered into prior to issuance of 4 rules as described in Section 60-11; or 5 (2) any grant, subvention, or contract with an agency 6 of the United States or instruction of an authorized 7 representative of any such agency if the inclusion or 8 application of such provisions violates or is inconsistent 9 with the terms or conditions of the grant, subvention, 10 contract, or instruction. 11 Section 60-3. Use of tropical hardwood or tropical 12 hardwood products prohibited. 13 (a) No bid proposal or solicitation, request for bid or 14 proposal, or contract for the construction of any public work, 15 building maintenance, or improvement for or on behalf of the 16 State or any government agency of the State shall require or 17 permit the use of any tropical hardwood or tropical hardwood 18 product. 19 (b) Every bid proposal, solicitation, request for bid or 20 proposal, and contract for the construction of any public 21 work, building maintenance, or improvement shall contain a 22 statement that any bid, proposal, or other response to a 23 solicitation for bid or proposal which proposes or calls for 24 the use of any tropical hardwood or tropical hardwood product 25 in performance of the contract shall be void. HB3197 - 14 - LRB104 09398 HLH 19457 b HB3197- 15 -LRB104 09398 HLH 19457 b HB3197 - 15 - LRB104 09398 HLH 19457 b HB3197 - 15 - LRB104 09398 HLH 19457 b 1 (c) The use of any tropical hardwood or tropical hardwood 2 product on lands owned or managed by the State or by any 3 governmental agency of the State is prohibited. 4 (d) Subsections (a) and (b) shall not apply to the 5 following: 6 (1) bid packages advertised and made available to the 7 public or any competitive and sealed bids received or 8 entered into prior to issuance of rules as described in 9 Section 60-11; 10 (2) any amendment, modification, or renewal of a 11 contract if the contract was entered into prior to the 12 issuance of rules as described in Section 60-11, and in 13 which such application would delay timely completion of a 14 project or involve an increase in the total moneys to be 15 paid under that contract; or 16 (3) any grant, subvention, contract with any agency of 17 the United States or instruction of an authorized 18 representative of any such agency if the contracting 19 officer finds that the inclusion or application of such 20 provisions violates or is inconsistent with the terms or 21 conditions of a grant, subvention, contract, or 22 instruction. 23 Section 60-4. Forest-risk commodity procurement. 24 (a) Every contract entered into by a State agency that 25 includes the procurement of any product that consists, in HB3197 - 15 - LRB104 09398 HLH 19457 b HB3197- 16 -LRB104 09398 HLH 19457 b HB3197 - 16 - LRB104 09398 HLH 19457 b HB3197 - 16 - LRB104 09398 HLH 19457 b 1 whole or in part, of a forest-risk commodity shall require the 2 contractor to confirm that the commodity furnished to the 3 State under the contract was not extracted from, grown, 4 derived, harvested, reared, or produced on land where 5 deforestation or forest degradation occurred on or after the 6 date of issuance of the rules adopted under Section 60-11. The 7 contractor shall agree to comply with this provision of the 8 contract. 9 (b) This Section does not apply to any grant, subvention, 10 or contract with an agency of the United States or instruction 11 of an authorized representative of any such agency if the 12 inclusion or application of such provisions violates or is 13 inconsistent with the terms or conditions of the grant, 14 subvention, contractor, or instruction. 15 Section 60-5. Compliance. 16 (a) Every contract shall specify that the contractor is 17 required to cooperate fully in providing access to the 18 contractor's records, documents, agents, employees, or 19 premises if required by authorized officials of the 20 contracting State agency, Central Management Services, or the 21 Office of the Attorney General to determine the contractor's 22 compliance with the requirements under Section 60-4. 23 (b) Contractors shall exercise due diligence in ensuring 24 that their subcontractors comply with Section 60-4. 25 Contractors shall require each subcontractor to certify in HB3197 - 16 - LRB104 09398 HLH 19457 b HB3197- 17 -LRB104 09398 HLH 19457 b HB3197 - 17 - LRB104 09398 HLH 19457 b HB3197 - 17 - LRB104 09398 HLH 19457 b 1 writing that the subcontractor complies with Section 60-4. 2 Section 60-6. Required forest policies. In addition to the 3 requirements of Sections 60-4 and 60-5, large contractors 4 subject to Section 60-4 must confirm that they have adopted a 5 forest policy that complies with the rules issued under 6 paragraph (f) of Section 60-11. The adoption of a forest 7 policy by a contractor, subcontractor, or supplier is not 8 required for compliance with this Section if that entity is 9 not a large contractor, but the adoption of such a policy may 10 be used to demonstrate the entity's compliance with Section 11 60-6. Such a forest policy and all corresponding data shall be 12 made publicly available and shall contain, at a minimum, all 13 of the following: 14 (1) due diligence measures on the point of origin of 15 forest-risk commodities that ensure compliance with the 16 policy where supply chain risks are present; 17 (2) data detailing the complete list of direct and 18 indirect suppliers and supply chain traceability 19 information, including refineries, processing plants, 20 farms, and plantations, and their respective owners, 21 parent companies, and farmers, maps, and geolocations, for 22 each forest-risk commodity found in products that may be 23 furnished to the State; 24 (3) measures to be taken to ensure that the product 25 does not contribute to deforestation or forest HB3197 - 17 - LRB104 09398 HLH 19457 b HB3197- 18 -LRB104 09398 HLH 19457 b HB3197 - 18 - LRB104 09398 HLH 19457 b HB3197 - 18 - LRB104 09398 HLH 19457 b 1 degradation, including measures to ensure: 2 (A) no industrial development or logging in 3 primary forests; 4 (B) no origination from a site where commodity 5 production has replaced primary forests in accordance 6 with this Act; 7 (C) no industrial development of high carbon stock 8 forests; 9 (D) no industrial development of high conservation 10 value areas; 11 (E) no industrial development on forests deemed 12 critical habitat for threatened or endangered species; 13 (F) no burning for the purposes of clearing land 14 for agriculture and cultivation of land for non-wood 15 products regulated by this Act; 16 (G) progressive reductions of greenhouse gas 17 emissions on existing plantations; 18 (H) no development of peat, regardless of depth; 19 (I) best management practices for existing 20 plantations on peat; and 21 (J) where feasible, activities are oriented toward 22 peat restoration; and 23 (4) measures taken to prevent exploitation and redress 24 grievances of Indigenous peoples, workers and local 25 communities, including measures to ensure: 26 (A) respect for and recognition of the rights of HB3197 - 18 - LRB104 09398 HLH 19457 b HB3197- 19 -LRB104 09398 HLH 19457 b HB3197 - 19 - LRB104 09398 HLH 19457 b HB3197 - 19 - LRB104 09398 HLH 19457 b 1 all workers including contract, temporary, and migrant 2 workers; 3 (B) respect for and recognition of land tenure of 4 rights of communities; 5 (C) respect for the rights of Indigenous peoples 6 to give or withhold their free, prior, and informed 7 consent to operations on lands to which they hold 8 legal, communal, or customary rights; 9 (D) explicit policies and processes to prevent 10 violence, intimidation, and coercion of workers and 11 local communities; and 12 (E) formal, open, transparent, and consultative 13 processes to address all complaints and conflicts; 14 (5) measures to be taken to protect biodiversity and 15 prevent the poaching of endangered species in all 16 operations and adjacent areas; 17 (6) measures to be taken to ensure compliance with the 18 laws of countries where forest-risk commodities in a 19 company's supply chain were produced; and 20 (7) measures to deter violence, threats, and 21 harassment against environmental human rights defenders, 22 including respecting internationally recognized human 23 rights standards, and educating employees, contractors, 24 and partners on the rights of EHRDs to express their 25 views, conduct peaceful protests, and criticize practices 26 without intimidation or retaliation. HB3197 - 19 - LRB104 09398 HLH 19457 b HB3197- 20 -LRB104 09398 HLH 19457 b HB3197 - 20 - LRB104 09398 HLH 19457 b HB3197 - 20 - LRB104 09398 HLH 19457 b 1 Section 60-7. Stakeholder advisory group. The Director of 2 Central Management Services shall convene a stakeholder 3 advisory group, which shall be consulted on the creation of 4 rules for the implementation of this Act. Members of the 5 advisory group shall be selected by the Director of Central 6 Management Services and shall consist of at least: 7 (1) representatives of current or former contractors 8 dealing in each of the forest-risk commodities, with an 9 emphasis on small and medium-sized businesses; 10 (2) representatives from civil society with relevant 11 expertise in supply chain traceability, forest 12 sustainability, biodiversity, forest carbon dynamics, 13 natural history, climate science, human and labor rights, 14 and indigenous rights; members selected under this 15 paragraph should be of at least equal number to members 16 selected under paragraph (1); and 17 (3) a minimum of 2 additional representatives from 18 indigenous communities residing within forests covered by 19 this Act. 20 The advisory group shall meet virtually. Membership in the 21 group shall be voluntary, and, therefore, members shall 22 receive no salary or compensation for participation. 23 Section 60-8. Violations and sanctions. 24 (a) If it is determined that any contractor contracting HB3197 - 20 - LRB104 09398 HLH 19457 b HB3197- 21 -LRB104 09398 HLH 19457 b HB3197 - 21 - LRB104 09398 HLH 19457 b HB3197 - 21 - LRB104 09398 HLH 19457 b 1 with the State knew or should have known that a product that 2 consists, in whole or in part, of a forest-risk commodity was 3 furnished to the State in violation of Sections 60-4, 60-5, or 4 60-6, the contracting State agency shall issue a written 5 notice of violation and provide an opportunity for the 6 contractor to come into compliance with the Act. If, after 7 such notice, a contractor fails to come into compliance with a 8 timeframe established by the Department of Central Management 9 Services after consultation with the advisory group, the 10 contractor may have either one or both of the following 11 sanctions imposed: 12 (1) the contract under which the prohibited 13 forest-risk commodity was furnished may be voided at the 14 option of the State agency to which the commodity was 15 furnished; or 16 (2) the contractor may be assessed a penalty that 17 shall be the greater of $1,000 or an amount equaling 20% of 18 the value of the product that the State agency 19 demonstrates was comprised, in whole or in part, of a 20 forest-risk commodity and furnished to the State in 21 violation of Sections 60-4, 60-5, or 60-6. 22 A hearing or opportunity to be heard shall be provided 23 prior to the assessment of any penalty. 24 (b) Notwithstanding subsection (a), a contractor that 25 complies with Section 60-5 shall not be subject to sanctions 26 for violations if the contractor had no knowledge of the HB3197 - 21 - LRB104 09398 HLH 19457 b HB3197- 22 -LRB104 09398 HLH 19457 b HB3197 - 22 - LRB104 09398 HLH 19457 b HB3197 - 22 - LRB104 09398 HLH 19457 b 1 requirements of Sections 60-4, 60-5, and 60-6, and if the 2 violations were committed solely by a subcontractor. Under 3 this subsection (b), sanctions described under subsection (a) 4 shall instead be imposed against the subcontractor that 5 committed the violation. 6 Section 60-9. Investigation of violations. 7 (a) Any State agency that investigates a complaint against 8 a contractor or subcontractor for violation of this Act may 9 limit its investigation to evaluating the information provided 10 by the person or entity submitting the complaint and the 11 information provided by the contractor or subcontractor. 12 (b) Whenever a contracting officer of the contracting 13 State agency has reason to believe that the contractor failed 14 to comply with Sections 60-4, 60-5, or 60-6, the State Agency 15 shall refer the matter for investigation to the head of the 16 State agency and, as the head of the State agency determines 17 appropriate, to the Office of the Attorney General, in 18 consultation with the stakeholder advisory group established 19 under Section 60-7. 20 Section 60-10. Preference for Illinois State products. 21 (a) When a State's agency's contract for the purchase of a 22 commodity or product covered by this Act is to be awarded to 23 the lowest responsible bidder, an otherwise qualified bidder 24 who is a small business, medium-sized business, minority-owned HB3197 - 22 - LRB104 09398 HLH 19457 b HB3197- 23 -LRB104 09398 HLH 19457 b HB3197 - 23 - LRB104 09398 HLH 19457 b HB3197 - 23 - LRB104 09398 HLH 19457 b 1 business, women-owned business, or who will fulfill the 2 contract through the use of Illinois State products may be 3 given preference over other bidders, as long as (i) the 4 product does not contribute to deforestation or forest 5 degradation and (ii) the cost included in the bid is not more 6 than 10% greater than the cost included in a bid that is not 7 from a small business, medium-sized business, minority-owned 8 business, women-owned business, or fulfilled through the use 9 of Illinois State products. 10 (b) This Section shall not apply if the head of the 11 contracting State agency purchasing the products determines 12 that giving preference to bidders under this Section: 13 (1) would be against the public interest; 14 (2) would increase the cost of the contract by an 15 unreasonable amount; or 16 (3) would be impracticable because Illinois State 17 products cannot be obtained in sufficient and reasonable 18 available quantities and of satisfactory quality to meet 19 the contracting State agency's requirements. 20 (c) Nothing in this Section shall be construed to conflict 21 with or otherwise limit the goals and requirements set forth 22 by Article 45 of the Illinois Procurement Code and the 23 Business Enterprise for Minorities, Women, and Persons with 24 Disabilities Act. 25 Section 60-11. Rules. HB3197 - 23 - LRB104 09398 HLH 19457 b HB3197- 24 -LRB104 09398 HLH 19457 b HB3197 - 24 - LRB104 09398 HLH 19457 b HB3197 - 24 - LRB104 09398 HLH 19457 b 1 (a) The Department of Central Management Services shall 2 facilitate a rule-making process outlined below and issue 3 rules for the implementation of this Act to be completed on or 4 before July 1, 2026. The rules shall be developed in 5 consultation with the stakeholder advisory group established 6 under Section 60-7. The rules shall include, but shall not be 7 limited to, all of the following: 8 (1) Rules establishing a list of forest-risk 9 commodities that are subject to the requirements of this 10 Act, including, but not limited to, beef, cocoa, coffee, 11 leather, palm oil, rubber, soy, and wood and paper 12 products, referring to any product derived from wood, 13 including lumber, pulp, paper, fuel wood, particle board, 14 and cardboard; the list shall be reviewed and updated at 15 least every 4 years by the Department of Central 16 Management Services in consultation with the stakeholder 17 advisory group established under 60-7. When evaluating 18 inclusion of additional commodities in the list, the 19 Director of Central Management Services and the 20 stakeholder advisory group shall consider the impact of 21 the commodity as a driver of deforestation or forest 22 degradation, the state of existing supply chain 23 transparency and traceability systems for the commodity 24 across all the regions from which it is sourced, and the 25 feasibility of including the commodity in the requirements 26 of Section 60-4. The first issuance of rules on or before HB3197 - 24 - LRB104 09398 HLH 19457 b HB3197- 25 -LRB104 09398 HLH 19457 b HB3197 - 25 - LRB104 09398 HLH 19457 b HB3197 - 25 - LRB104 09398 HLH 19457 b 1 July 1, 2026, shall include, but not be limited to, the 2 additional evaluation of bananas; corn; mining products, 3 including bauxite, coal, copper, diamonds, gold, iron, 4 manganese, nickel, petroleum, and tin; and other 5 cattle-derived products. Following review of the list of 6 forest-risk commodities, the Director of Central 7 Management Services shall issue a report to the Governor 8 and the General Assembly outlining the reasons for the 9 inclusion or non-inclusion of any reviewed commodities. 10 (2) Rules establishing a list of products derived, in 11 whole or in part, from forest-risk commodities. 12 (3) Rules establishing a list of products furnished to 13 the State or used by State contractors in high-volume 14 purchases that contain or are comprised in whole or in 15 part of forest-risk commodities. 16 (4) Rules establishing a set of responsible sourcing 17 guidelines and policies derived from best practices in 18 supply chain transparency to the point-of-origin. 19 (5) Rules establishing guidance to assist contractors 20 in identifying forest-risk commodities in their supply 21 chain, performing necessary due diligence to meet the 22 requirements of this Act, and certifying that the 23 commodity did not contribute to deforestation or forest 24 degradation. 25 (6) Rules establishing the full set of requirements 26 for a large contractor's forest policy under Section 60-6. HB3197 - 25 - LRB104 09398 HLH 19457 b HB3197- 26 -LRB104 09398 HLH 19457 b HB3197 - 26 - LRB104 09398 HLH 19457 b HB3197 - 26 - LRB104 09398 HLH 19457 b 1 (7) Rules establishing the process through which 2 contractors shall certify to the Department of Central 3 Management Services that they are in compliance with 4 Sections 60-4, 60-5, and 60-6. 5 (8) Rules establishing a process to ensure that 6 details of certified contracts are made available for 7 public inspection of the website of the Department of 8 Central Management Services. 9 (9) Rules establishing an easily accessible system 10 through which members of the public may make complaints 11 and submit information regarding violations of this Act. 12 (10) Rules establishing an information-sharing system 13 between State Agencies purchasing products subject to the 14 regulations under this Act and the Department of Central 15 Management Services regarding contracts involving 16 purchases of hardwoods and forest-risk commodities after 17 the effective date of this Act. 18 (11) Rules establishing any information-sharing 19 systems with external partners implementing regulations 20 comparable to this Act. 21 (b) The Director of Central Management Services may 22 establish a voluntary certification process for current or 23 aspiring contractors to be recognized as supplying 24 deforestation-free products as a part of the rulemaking 25 process if the Director of Central Management Services, in 26 consultation with the stakeholder advisory group established HB3197 - 26 - LRB104 09398 HLH 19457 b HB3197- 27 -LRB104 09398 HLH 19457 b HB3197 - 27 - LRB104 09398 HLH 19457 b HB3197 - 27 - LRB104 09398 HLH 19457 b 1 under Section 60-7, deems it would be advantageous to the 2 ongoing implementation of this Act. If the Director of Central 3 Management Services, in consultation with the stakeholder 4 advisory group established under Section 60-7, deems it would 5 be advantageous to establish a voluntary certification process 6 for current or aspiring contractors to be recognized as 7 supplying deforestation-free products, certification shall 8 include the following purchase restrictions: 9 (1) that the certification requirements set forth in 10 this Act shall not apply to a purchase of goods of $2,500 11 or less; and 12 (2) that the total amount of goods exempted under 13 paragraph (1) shall not exceed $7,500 per year for each 14 contractor from which a State agency is purchasing goods. 15 It shall be the responsibility of each State agency to 16 monitor the use of this exemption and adhere to these 17 restrictions on these purchases. 18 Section 60-12. Assessment. 19 (a) At any time after issuance of rules as described in 20 Section 60-11, but no less frequently than every 6 months 21 thereafter, the Director of Central Management Services shall 22 submit to the General Assembly the details of all contracts 23 certified under this Act. The Director of Central Management 24 Services shall assess the compliance of all or a 25 representative subject of all contracts with the requirements HB3197 - 27 - LRB104 09398 HLH 19457 b HB3197- 28 -LRB104 09398 HLH 19457 b HB3197 - 28 - LRB104 09398 HLH 19457 b HB3197 - 28 - LRB104 09398 HLH 19457 b 1 of this Act. Following such assessment, and subject to the 2 approval by a majority of members, the General Assembly may: 3 (1) make recommendations to the Director of Central 4 Management Services regarding changes to the rules 5 implementing this Act; or 6 (2) make recommendations to the Director of Central 7 Management Services, the Office of the Attorney General, 8 the Office of the State Comptroller, or a contracting 9 State agency regarding deficiencies in contract 10 certifications, violations of this Act, or enforcement 11 actions. 12 (b) All work products produced under Section 60-4 shall be 13 made available to the public on the website of the Department 14 of Central Management Services. 15 Section 60-13. The supply chain transparency assistance 16 program. 17 (a) As used in this Section, "eligible business" means a 18 small business, medium-sized business, minority-owned 19 business, or woman-owned business seeking to comply with the 20 requirements of this Act. 21 (b) In partnership with the Department of Central 22 Management Services, the stakeholder advisory group 23 established under Section 60-7 of this Act is hereby 24 authorized and directed, within one year after the effective 25 date of this Act, to establish, develop, and issue, within HB3197 - 28 - LRB104 09398 HLH 19457 b HB3197- 29 -LRB104 09398 HLH 19457 b HB3197 - 29 - LRB104 09398 HLH 19457 b HB3197 - 29 - LRB104 09398 HLH 19457 b 1 available appropriations, a supply chain transparency 2 assistance program to assist small businesses, medium-sized 3 businesses, and minority-owned and women-owned businesses in 4 achieving supply chains that comply with the requirements of 5 this Act. 6 (c) The purpose of the program developed under this 7 Section is to compile and share resources that: 8 (1) help participating eligible businesses with 9 compliance with supply chain related regulations, 10 procurement standards, or contracting requirements 11 established under this Act; and 12 (2) identify funding streams, grant moneys, financial 13 assistance and other resources that may be available to 14 help participating eligible businesses achieve 15 transparent, traceable, ethical, and sustainable supply 16 chains as it pertains to this Act. 17 (d) The Department of Central Management Services is 18 responsible for publishing the resources compiled by the 19 stakeholder advisory group and facilitating communications 20 between eligible businesses and the stakeholder advisory 21 group. 22 Section 60-14. Report. Beginning 2 years after the 23 effective date of this Act and biennially thereafter, the 24 Director of Central Management Services shall issue a report 25 to the State Procurement Task Force, the Governor, and the HB3197 - 29 - LRB104 09398 HLH 19457 b HB3197- 30 -LRB104 09398 HLH 19457 b HB3197 - 30 - LRB104 09398 HLH 19457 b HB3197 - 30 - LRB104 09398 HLH 19457 b 1 General Assembly on the implementation of this Act. 2 Section 60-15. Applicability. 3 (a) This Act shall apply to all contracts entered into, 4 extended, or renewed on or after issuance of rules as 5 described in Section 60-11. 6 (b) If the Governor or the Director of the Department of 7 Public Health has issued a disaster declaration because of a 8 disaster as defined in Section 4 of the Illinois Emergency 9 Management Act and compliance with all the terms of this Act 10 would be impracticable because critical commodities cannot be 11 obtained in sufficient and reasonable available quantities and 12 of satisfactory quality to meet the contracting State agency's 13 requirements, then the comprehensive requirements of this Act 14 shall be suspended for a period of 60 days beginning the day 15 the disaster declaration, in accordance with which critical 16 commodities regulated by this Act cannot be obtained in 17 sufficient and reasonable available quantities and of 18 satisfactory quality to meet the contracting State agency's 19 requirements. 20 (b) Ongoing suspension of the comprehensive requirements 21 of this Act for terms beyond the initial 60 days must be 22 formally renewed by the Department of Central Management 23 Services and 24 (1) must be dependent upon the existence of an ongoing 25 disaster declaration as defined in Section 4 of the HB3197 - 30 - LRB104 09398 HLH 19457 b HB3197- 31 -LRB104 09398 HLH 19457 b HB3197 - 31 - LRB104 09398 HLH 19457 b HB3197 - 31 - LRB104 09398 HLH 19457 b 1 Illinois Emergency Management Act, and 2 (2) a reality where compliance with all of the terms 3 of this Act would be impracticable because critical 4 commodities cannot be obtained in sufficient and 5 reasonable available quantities and of satisfactory 6 quality to meet the contracting State agency's 7 requirements. 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