Illinois 2025-2026 Regular Session

Illinois House Bill HB3704 Compare Versions

Only one version of the bill is available at this time.

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1	1	104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3704 Introduced , by Rep. Lawrence "Larry" Walsh, Jr. SYNOPSIS AS INTRODUCED: 65 ILCS 5/11-135.5-35 Amends the Regional Water Commission Division of the Illinois Municipal Code. Provides that in connection with a contract by a commission for the construction of all or any portion of a waterworks system or other public improvement of the commission, the commission must enter into a project labor agreement with the applicable local building trades council or the applicable local buildings trades council must enter into a project labor agreement with the general contractor selected by the commission (rather than the commission must enter into a project labor agreement with the applicable local building trades council) prior to the commencement of any and all construction, building, renovation, demolition, or any material change to the structure or land. Effective immediately. LRB104 09883 RTM 19952 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3704 Introduced , by Rep. Lawrence "Larry" Walsh, Jr. SYNOPSIS AS INTRODUCED: 65 ILCS 5/11-135.5-35 65 ILCS 5/11-135.5-35 Amends the Regional Water Commission Division of the Illinois Municipal Code. Provides that in connection with a contract by a commission for the construction of all or any portion of a waterworks system or other public improvement of the commission, the commission must enter into a project labor agreement with the applicable local building trades council or the applicable local buildings trades council must enter into a project labor agreement with the general contractor selected by the commission (rather than the commission must enter into a project labor agreement with the applicable local building trades council) prior to the commencement of any and all construction, building, renovation, demolition, or any material change to the structure or land. Effective immediately. LRB104 09883 RTM 19952 b LRB104 09883 RTM 19952 b A BILL FOR
2	2	104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3704 Introduced , by Rep. Lawrence "Larry" Walsh, Jr. SYNOPSIS AS INTRODUCED:
3	3	65 ILCS 5/11-135.5-35 65 ILCS 5/11-135.5-35
4	4	65 ILCS 5/11-135.5-35
5	5	Amends the Regional Water Commission Division of the Illinois Municipal Code. Provides that in connection with a contract by a commission for the construction of all or any portion of a waterworks system or other public improvement of the commission, the commission must enter into a project labor agreement with the applicable local building trades council or the applicable local buildings trades council must enter into a project labor agreement with the general contractor selected by the commission (rather than the commission must enter into a project labor agreement with the applicable local building trades council) prior to the commencement of any and all construction, building, renovation, demolition, or any material change to the structure or land. Effective immediately.
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8	8	A BILL FOR
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11	11	1 AN ACT concerning local government.
12	12	2 Be it enacted by the People of the State of Illinois,
13	13	3 represented in the General Assembly:
14	14	4 Section 5. The Illinois Municipal Code is amended by
15	15	5 changing Section 11-135.5-35 as follows:
16	16	6 (65 ILCS 5/11-135.5-35)
17	17	7 Sec. 11-135.5-35. Revenues; rates; costs; construction
18	18	8 contracts.
19	19	9 (a) Revenue fund. Whenever bonds are issued under this
20	20	10 Division, the revenue received from the operation of the
21	21	11 properties under the control of the commission shall be set
22	22	12 aside as collected and deposited in a separate fund to be used
23	23	13 only (1) in paying the cost of the operation and maintenance of
24	24	14 those properties, (2) in providing an adequate depreciation
25	25	15 fund, (3) in paying the principal of and interest upon the
26	26	16 revenue bonds issued by the commission, as provided by this
27	27	17 Division, (4) to comply with the covenants of the ordinance or
28	28	18 resolution, or the master trust indenture or any applicable
29	29	19 supplemental trust indenture or both, authorizing the issuance
30	30	20 of such bonds, and (5) to carry out the corporate purposes and
31	31	21 powers of the commission.
32	32	22 (b) Rates and charges for waterworks system. If the
33	33	23 commission has charge of the operation of a complete
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37	37	104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB3704 Introduced , by Rep. Lawrence "Larry" Walsh, Jr. SYNOPSIS AS INTRODUCED:
38	38	65 ILCS 5/11-135.5-35 65 ILCS 5/11-135.5-35
39	39	65 ILCS 5/11-135.5-35
40	40	Amends the Regional Water Commission Division of the Illinois Municipal Code. Provides that in connection with a contract by a commission for the construction of all or any portion of a waterworks system or other public improvement of the commission, the commission must enter into a project labor agreement with the applicable local building trades council or the applicable local buildings trades council must enter into a project labor agreement with the general contractor selected by the commission (rather than the commission must enter into a project labor agreement with the applicable local building trades council) prior to the commencement of any and all construction, building, renovation, demolition, or any material change to the structure or land. Effective immediately.
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43	43	A BILL FOR
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49	49	65 ILCS 5/11-135.5-35
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68	68	1 waterworks system, including the distribution mains, the
69	69	2 commission shall establish rates and charges for water and the
70	70	3 use of commission waterworks system facilities, which shall be
71	71	4 sufficient at all times to pay the cost of operation and
72	72	5 maintenance, to provide an adequate depreciation fund, to pay
73	73	6 the principal of and interest upon all revenue bonds issued as
74	74	7 provided by this Division, to comply with the covenants of the
75	75	8 ordinance or resolution, or the master trust indenture or any
76	76	9 applicable supplemental trust indenture or both, authorizing
77	77	10 the issuance of such bonds, and to carry out the corporate
78	78	11 purposes and powers of the commission. Charges and rates shall
79	79	12 be established, revised, and maintained by ordinance and
80	80	13 become payable as the commission may determine by ordinance.
81	81	14 (c) Rates and charges for water source of supply. If the
82	82	15 commission has charge of the operation of a common source of
83	83	16 supply of water, the municipalities represented by the
84	84	17 commission shall contract with the commission for water. These
85	85	18 municipalities shall establish such charges and rates for
86	86	19 water supplied by them to consumers as will be sufficient at
87	87	20 all times (1) to pay the cost of operation and maintenance of
88	88	21 the respective waterworks systems (or combined waterworks and
89	89	22 sewerage systems) of the municipalities, (2) to provide an
90	90	23 adequate depreciation fund therefor, (3) to pay the principal
91	91	24 of and interest on all revenue bonds of the municipalities
92	92	25 payable from the revenues of the waterworks system (or
93	93	26 combined waterworks and sewerage system), and (4) to pay the
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104	104	1 charges and rates established by the commission for the sale
105	105	2 of water by the commission to, and the use of commission
106	106	3 waterworks system facilities by, those municipalities. The
107	107	4 commission shall establish such charges and rates for water
108	108	5 supplied to those municipalities and the use of commission
109	109	6 waterworks system facilities as will be sufficient at all
110	110	7 times (1) to pay the cost of operation and maintenance of the
111	111	8 common source of supply of water, (2) to provide an adequate
112	112	9 depreciation fund therefor, (3) to pay the principal of and
113	113	10 interest on the revenue bonds issued by the commission, (4) to
114	114	11 comply with the covenants of the ordinance or resolution, or
115	115	12 the master trust indenture or any applicable supplemental
116	116	13 trust indenture or both, authorizing the issuance of such
117	117	14 bonds, and (5) to carry out the corporate purposes and powers
118	118	15 of the commission, under the provisions of this Division.
119	119	16 Contracts entered into between the commission and the
120	120	17 specified municipalities shall include covenants for the
121	121	18 establishment of rates and charges as provided in this
122	122	19 Section.
123	123	20 (d) Pension costs. Contributions to a retirement fund or
124	124	21 other pension alternative authorized by the Illinois Pension
125	125	22 Code, including, without limitation, the Illinois Municipal
126	126	23 Retirement Fund, by commissions created under this Division
127	127	24 which have been included under the retirement fund or other
128	128	25 pension alternative shall be considered a cost of operation
129	129	26 and maintenance for the purposes of this Section.
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140	140	1 (e) Enforcement of obligations. An owner of a bond issued
141	141	2 under this Division, a trustee under a master trust indenture
142	142	3 or supplemental trust indenture or both with respect to the
143	143	4 bonds issued under this Division, or both the owner and
144	144	5 trustee may, in a civil action, mandamus action, or other
145	145	6 proceeding, enforce and compel performance of all duties
146	146	7 required by this Division to be performed by such a commission
147	147	8 or by any of the municipalities, including the making of rates
148	148	9 and charges, the collecting of sufficient revenue, and the
149	149	10 application thereof, as provided in this Division.
150	150	11 (f) Construction contracts. All or any portion of a
151	151	12 waterworks system or other public improvement of such a
152	152	13 commission, when the expense thereof will exceed the greater
153	153	14 of (i) $25,000 or (ii) the amount of expense above which a work
154	154	15 or public improvement by a municipality must be let to the
155	155	16 lowest responsible bidder after advertising for bids under
156	156	17 Section 8-9-1 of this Code, shall be constructed, maintained,
157	157	18 or repaired either: (1) by a contract let to the lowest
158	158	19 responsible bidder after advertising for bids, in the manner
159	159	20 prescribed by the commission's bylaws, rules, and regulations
160	160	21 and by the vote required as established in the
161	161	22 intergovernmental agreement pursuant to Section 11-135.5-25;
162	162	23 or (2) without advertising for bids, if authorized by a vote of
163	163	24 greater than a majority of all the commissioners as
164	164	25 established in the intergovernmental agreement pursuant to
165	165	26 Section 11-135.5-25. The commission's bylaws, rules, and
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176	176	1 regulations shall provide for an alternative procedure for
177	177	2 emergency procurement if an emergency makes it impracticable
178	178	3 to follow the procedures in this subsection.
179	179	4 (g) Alternative project delivery. A commission may use
180	180	5 alternative project delivery methods if the commission
181	181	6 determines it to be in the commission's best interest for a
182	182	7 particular project. An alternative project delivery method may
183	183	8 include, without limitation, design-build or
184	184	9 construction-manager-at-risk. All notices for the procurement
185	185	10 of goods, services, or work to be provided pursuant to an
186	186	11 alternate delivery method shall include all requirements for
187	187	12 the goods, services, or work to be procured. All awards of
188	188	13 contracts or agreements for the procurement of goods,
189	189	14 services, or work to be provided pursuant to an alternate
190	190	15 delivery method shall be made on the basis of demonstrated
191	191	16 competence and qualifications and with due regard for the
192	192	17 principles of competitive selection. As part of an alternate
193	193	18 project delivery procurement process, prior to submission of
194	194	19 proposals, the commission may conduct meetings and exchange
195	195	20 confidential information with proposers to promote
196	196	21 understanding of the request for proposals, review alternative
197	197	22 design concepts, or discuss other issues related to the
198	198	23 procurement.
199	199	24 As used in this subsection:
200	200	25 "Construction-manager-at-risk" means a delivery method in
201	201	26 which the party proposing to be the construction manager
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212	212	1 commits to be responsible for performance of certain
213	213	2 preconstruction services and, if the parties reach agreement
214	214	3 on key terms, becomes responsible for construction of the
215	215	4 project.
216	216	5 "Design-build" means a delivery method that provides
217	217	6 responsibility within a single contract for furnishing the
218	218	7 architectural, engineering, land-surveying, and related
219	219	8 services for the project, as well as the labor, materials,
220	220	9 equipment, and other construction services for the project.
221	221	10 (h) Procurement goals and requirements. A commission may
222	222	11 establish goals or requirements for the procurement of goods
223	223	12 and services and for construction contracts to promote and
224	224	13 encourage the continuing economic development of (i)
225	225	14 businesses that are owned and operated by minorities, women,
226	226	15 persons with disabilities, or veterans; (ii) businesses that
227	227	16 are located within the territory of one or more of the
228	228	17 municipalities that are members of the commission; (iii)
229	229	18 businesses that employ persons who reside in the territory of
230	230	19 one or more of the municipalities that are members of the
231	231	20 commission; (iv) businesses that are located within the
232	232	21 territory of a municipality having more than 2,000,000
233	233	22 inhabitants in which a portion of the commission's waterworks
234	234	23 system or other commission improvement is located; or (v)
235	235	24 businesses that employ persons who reside in the territory of
236	236	25 a municipality having more than 2,000,000 inhabitants in which
237	237	26 a portion of the commission's waterworks system or other
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248	248	1 commission improvement is located.
249	249	2 A commission may also establish other goals or
250	250	3 requirements that result in the award to a responsible bidder
251	251	4 other than the lowest responsible bidder if the commission
252	252	5 determines that the award is in the commission's best
253	253	6 interests, notwithstanding the requirements of subsection (f).
254	254	7 Goals or requirements that are set by a commission that result
255	255	8 in a preference being applied to a bidder or proposer, who has
256	256	9 met those goals or requirements, in a commission's process for
257	257	10 awarding construction contracts and for the procurement of
258	258	11 goods and services must comply with the constitutional
259	259	12 standards applicable to the preferences.
260	260	13 (i) Contract assignment. A member municipality may enter
261	261	14 into a contract for any portion of a waterworks system or other
262	262	15 public improvement of a commission pursuant to a contracting
263	263	16 method that is consistent with the requirements applicable to
264	264	17 the municipality and generally consistent with the principles
265	265	18 in subsection (f) or (g). The commission may accept assignment
266	266	19 of such a contract and of payment obligations under that
267	267	20 contract.
268	268	21 (j) Project labor agreement. In connection with a contract
269	269	22 by a commission for the construction of all or any portion of a
270	270	23 waterworks system or other public improvement of the
271	271	24 commission, the commission must enter into a project labor
272	272	25 agreement with the applicable local building trades council or
273	273	26 the applicable local buildings trades council must enter into
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284	284	1 a project labor agreement with the general contractor selected
285	285	2 by the commission prior to the commencement of any and all
286	286	3 construction, building, renovation, demolition, or any
287	287	4 material change to the structure or land.
288	288	5 (Source: P.A. 102-684, eff. 12-16-21; 102-1134, eff. 2-10-23.)
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