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Illinois Senate Bill SB1691

Illinois 2025-2026 Regular Session

Illinois Senate Bill SB1691 Compare Versions

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11 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1691 Introduced 2/5/2025, by Sen. David Koehler SYNOPSIS AS INTRODUCED: 30 ILCS 559/20-1030 ILCS 559/20-1530 ILCS 559/20-2030 ILCS 559/20-25 Amends the Illinois Works Jobs Program Act. Provides that the term "community-based organization" includes a high-school based program. Provides that funding from the Illinois Works Fund shall be categorized based on Illinois Department of Transportation regions. Adds a member to the Illinois Works Review panel who shall be a representative of a community-based organization that addresses high school-based workforce programs. Makes other changes. LRB104 09975 HLH 20045 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1691 Introduced 2/5/2025, by Sen. David Koehler SYNOPSIS AS INTRODUCED: 30 ILCS 559/20-1030 ILCS 559/20-1530 ILCS 559/20-2030 ILCS 559/20-25 30 ILCS 559/20-10 30 ILCS 559/20-15 30 ILCS 559/20-20 30 ILCS 559/20-25 Amends the Illinois Works Jobs Program Act. Provides that the term "community-based organization" includes a high-school based program. Provides that funding from the Illinois Works Fund shall be categorized based on Illinois Department of Transportation regions. Adds a member to the Illinois Works Review panel who shall be a representative of a community-based organization that addresses high school-based workforce programs. Makes other changes. LRB104 09975 HLH 20045 b LRB104 09975 HLH 20045 b A BILL FOR
22 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1691 Introduced 2/5/2025, by Sen. David Koehler SYNOPSIS AS INTRODUCED:
33 30 ILCS 559/20-1030 ILCS 559/20-1530 ILCS 559/20-2030 ILCS 559/20-25 30 ILCS 559/20-10 30 ILCS 559/20-15 30 ILCS 559/20-20 30 ILCS 559/20-25
44 30 ILCS 559/20-10
55 30 ILCS 559/20-15
66 30 ILCS 559/20-20
77 30 ILCS 559/20-25
88 Amends the Illinois Works Jobs Program Act. Provides that the term "community-based organization" includes a high-school based program. Provides that funding from the Illinois Works Fund shall be categorized based on Illinois Department of Transportation regions. Adds a member to the Illinois Works Review panel who shall be a representative of a community-based organization that addresses high school-based workforce programs. Makes other changes.
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1414 1 AN ACT concerning finance.
1515 2 Be it enacted by the People of the State of Illinois,
1616 3 represented in the General Assembly:
1717 4 Section 5. The Illinois Works Jobs Program Act is amended
1818 5 by changing Sections 20-10, 20-15, 20-20, and 20-25 as
1919 6 follows:
2020 7 (30 ILCS 559/20-10)
2121 8 Sec. 20-10. Definitions.
2222 9 "Apprentice" means a participant in an apprenticeship
2323 10 program approved by and registered with the United States
2424 11 Department of Labor's Bureau of Apprenticeship and Training.
2525 12 For purposes of bid credit eligibility pursuant to Section
2626 13 20-15 of this Act, "apprentice" means an individual who (i)
2727 14 has completed the Illinois Works Preapprenticeship Program,
2828 15 (ii) is working in a construction and building trade, and
2929 16 (iii) has certification approved by the Department that the
3030 17 individual is anticipated to be a participant in an
3131 18 apprenticeship program approved by and registered with the
3232 19 United States Department of Labor's Bureau of Apprenticeship
3333 20 and Training within 12 months after completing the Illinois
3434 21 Works Preapprenticeship Program.
3535 22 "Apprenticeship program" means an apprenticeship and
3636 23 training program approved by and registered with the United
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4040 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB1691 Introduced 2/5/2025, by Sen. David Koehler SYNOPSIS AS INTRODUCED:
4141 30 ILCS 559/20-1030 ILCS 559/20-1530 ILCS 559/20-2030 ILCS 559/20-25 30 ILCS 559/20-10 30 ILCS 559/20-15 30 ILCS 559/20-20 30 ILCS 559/20-25
4242 30 ILCS 559/20-10
4343 30 ILCS 559/20-15
4444 30 ILCS 559/20-20
4545 30 ILCS 559/20-25
4646 Amends the Illinois Works Jobs Program Act. Provides that the term "community-based organization" includes a high-school based program. Provides that funding from the Illinois Works Fund shall be categorized based on Illinois Department of Transportation regions. Adds a member to the Illinois Works Review panel who shall be a representative of a community-based organization that addresses high school-based workforce programs. Makes other changes.
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5858 30 ILCS 559/20-25
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7777 1 States Department of Labor's Bureau of Apprenticeship and
7878 2 Training.
7979 3 "Bid credit" means a virtual dollar for a contractor or
8080 4 subcontractor to use toward future bids on contracts with the
8181 5 State for public works projects.
8282 6 "Community-based organization" means a nonprofit
8383 7 organization, including an accredited public college or
8484 8 university or a high school-based program, selected by the
8585 9 Department to participate in the Illinois Works
8686 10 Preapprenticeship Program. To qualify as a "community-based
8787 11 organization", the organization must demonstrate the
8888 12 following:
8989 13 (1) the ability to effectively serve diverse and
9090 14 underrepresented populations, including by providing
9191 15 employment services to such populations;
9292 16 (2) knowledge of the construction and building trades;
9393 17 (3) the ability to recruit, prescreen, and provide
9494 18 preapprenticeship training to prepare workers for
9595 19 employment in the construction and building trades; and
9696 20 (4) a plan to provide the following:
9797 21 (A) preparatory classes;
9898 22 (B) workplace readiness skills, such as resume
9999 23 preparation and interviewing techniques;
100100 24 (C) strategies for overcoming barriers to entry
101101 25 and completion of an apprenticeship program; and
102102 26 (D) any prerequisites for acceptance into an
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113113 1 apprenticeship program.
114114 2 "Contractor" means a person, corporation, partnership,
115115 3 limited liability company, or joint venture entering into a
116116 4 contract to construct a public work.
117117 5 "Department" means the Department of Commerce and Economic
118118 6 Opportunity.
119119 7 "Labor hours" means the total hours for workers who are
120120 8 receiving an hourly wage and who are directly employed for the
121121 9 public works project. "Labor hours" includes hours performed
122122 10 by workers employed by the contractor and subcontractors on
123123 11 the public works project. "Labor hours" does not include hours
124124 12 worked by the forepersons, superintendents, owners, and
125125 13 workers who are not subject to prevailing wage requirements.
126126 14 "Minorities" means minority persons as defined in the
127127 15 Business Enterprise for Minorities, Women, and Persons with
128128 16 Disabilities Act.
129129 17 "Public works" means all projects, contracted or funded by
130130 18 the State or any agency of the State, in whole or in part, from
131131 19 appropriated capital funds, that constitute public works under
132132 20 the Prevailing Wage Act.
133133 21 "Subcontractor" means a person, corporation, partnership,
134134 22 limited liability company, or joint venture that has
135135 23 contracted with the contractor to perform all or part of the
136136 24 work to construct a public work by a contractor.
137137 25 "Underrepresented populations" means populations
138138 26 identified by the Department that historically have had
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149149 1 barriers to entry or advancement in the workforce.
150150 2 "Underrepresented populations" includes, but is not limited
151151 3 to, minorities, women, and veterans.
152152 4 (Source: P.A. 101-31, eff. 6-28-19; 101-601, eff. 12-10-19.)
153153 5 (30 ILCS 559/20-15)
154154 6 Sec. 20-15. Illinois Works Preapprenticeship Program;
155155 7 Illinois Works Bid Credit Program.
156156 8 (a) The Illinois Works Preapprenticeship Program is
157157 9 established and shall be administered by the Department. The
158158 10 goal of the Illinois Works Preapprenticeship Program is to
159159 11 create a network of community-based organizations throughout
160160 12 the State that will recruit, prescreen, and provide
161161 13 preapprenticeship skills training, for which participants may
162162 14 attend free of charge and receive a stipend, to create a
163163 15 qualified, diverse pipeline of workers who are prepared for
164164 16 careers in the construction and building trades. Upon
165165 17 completion of the Illinois Works Preapprenticeship Program,
166166 18 the candidates will be skilled and work-ready.
167167 19 (b) There is created the Illinois Works Fund, a special
168168 20 fund in the State treasury. The Illinois Works Fund shall be
169169 21 administered by the Department. The Illinois Works Fund shall
170170 22 be used to provide funding for community-based organizations
171171 23 throughout the State. Such funding shall be categorized as
172172 24 follows: (i) funding for projects in Illinois Department of
173173 25 Transportation Region 1; (ii) funding for projects in Illinois
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184184 1 Department of Transportation Regions 2 and 3; and (iii)
185185 2 funding for projects in Illinois Department of Transportation
186186 3 Regions 4 and 5. In addition to any other transfers that may be
187187 4 provided for by law, on and after July 1, 2019 at the direction
188188 5 of the Director of the Governor's Office of Management and
189189 6 Budget, the State Comptroller shall direct and the State
190190 7 Treasurer shall transfer amounts not exceeding a total of
191191 8 $50,000,000 from the Rebuild Illinois Projects Fund to the
192192 9 Illinois Works Fund.
193193 10 (b-5) In addition to any other transfers that may be
194194 11 provided for by law, beginning July 1, 2024 and each July 1
195195 12 thereafter, or as soon thereafter as practical, the State
196196 13 Comptroller shall direct and the State Treasurer shall
197197 14 transfer $20,000,000 from the Capital Projects Fund to the
198198 15 Illinois Works Fund.
199199 16 (c) Each community-based organization that receives
200200 17 funding from the Illinois Works Fund shall provide an annual
201201 18 report to the Illinois Works Review Panel by April 1 of each
202202 19 calendar year. The annual report shall include the following
203203 20 information:
204204 21 (1) a description of the community-based
205205 22 organization's recruitment, screening, and training
206206 23 efforts;
207207 24 (2) the number of individuals who apply to,
208208 25 participate in, and complete the community-based
209209 26 organization's program, broken down by race, gender, age,
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220220 1 and veteran status; and
221221 2 (3) the number of the individuals referenced in item (2)
222222 3 of this subsection who are initially accepted and placed
223223 4 into apprenticeship programs in the construction and
224224 5 building trades.
225225 6 (d) The Department shall create and administer the
226226 7 Illinois Works Bid Credit Program that shall provide economic
227227 8 incentives, through bid credits, to encourage contractors and
228228 9 subcontractors to provide contracting and employment
229229 10 opportunities to historically underrepresented populations in
230230 11 the construction industry.
231231 12 The Illinois Works Bid Credit Program shall allow
232232 13 contractors and subcontractors to earn bid credits for use
233233 14 toward future bids for public works projects contracted by the
234234 15 State or an agency of the State in order to increase the
235235 16 chances that the contractor and the subcontractors will be
236236 17 selected.
237237 18 Contractors or subcontractors may be eligible to earn bid
238238 19 credits for employing apprentices who have completed the
239239 20 Illinois Works Preapprenticeship Program. Contractors or
240240 21 subcontractors shall earn bid credits at a rate established by
241241 22 the Department and based on labor hours worked by apprentices
242242 23 who have completed the Illinois Works Preapprenticeship
243243 24 Program. In order to earn bid credits, contractors and
244244 25 subcontractors shall provide the Department with certified
245245 26 payroll documenting the hours performed by apprentices who
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256256 1 have completed the Illinois Works Preapprenticeship Program.
257257 2 Contractors and subcontractors can use bid credits toward
258258 3 future bids for public works projects contracted or funded by
259259 4 the State or an agency of the State in order to increase the
260260 5 likelihood of being selected as the contractor for the public
261261 6 works project toward which they have applied the bid credit.
262262 7 The Department shall establish the rate by rule and shall
263263 8 publish it on the Department's website. The rule may include
264264 9 maximum bid credits allowed per contractor, per subcontractor,
265265 10 per apprentice, per bid, or per year.
266266 11 The Illinois Works Credit Bank is hereby created and shall
267267 12 be administered by the Department. The Illinois Works Credit
268268 13 Bank shall track the bid credits.
269269 14 A contractor or subcontractor who has been awarded bid
270270 15 credits under any other State program for employing
271271 16 apprentices who have completed the Illinois Works
272272 17 Preapprenticeship Program is not eligible to receive bid
273273 18 credits under the Illinois Works Bid Credit Program relating
274274 19 to the same contract.
275275 20 The Department shall report to the Illinois Works Review
276276 21 Panel the following: (i) the number of bid credits awarded by
277277 22 the Department; (ii) the number of bid credits submitted by
278278 23 the contractor or subcontractor to the agency administering
279279 24 the public works contract; and (iii) the number of bid credits
280280 25 accepted by the agency for such contract. Any agency that
281281 26 awards bid credits pursuant to the Illinois Works Credit Bank
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292292 1 Program shall report to the Department the number of bid
293293 2 credits it accepted for the public works contract.
294294 3 Upon a finding that a contractor or subcontractor has
295295 4 reported falsified records to the Department in order to
296296 5 fraudulently obtain bid credits, the Department may bar the
297297 6 contractor or subcontractor from participating in the Illinois
298298 7 Works Bid Credit Program and may suspend the contractor or
299299 8 subcontractor from bidding on or participating in any public
300300 9 works project. False or fraudulent claims for payment relating
301301 10 to false bid credits may be subject to damages and penalties
302302 11 under applicable law.
303303 12 (e) Subject to approval of the Department, community-based
304304 13 organizations may be authorized to provide high school-based
305305 14 preapprenticeship programming, which may include participants
306306 15 under the age of 18 and be subject to preapprenticeship
307307 16 program completion requirements consistent with the
308308 17 participant's school year and related attendance.
309309 18 (f) (e) The Department shall adopt any rules deemed
310310 19 necessary to implement this Section. In order to provide for
311311 20 the expeditious and timely implementation of this Act, the
312312 21 Department may adopt emergency rules. The adoption of
313313 22 emergency rules authorized by this subsection is deemed to be
314314 23 necessary for the public interest, safety, and welfare.
315315 24 (Source: P.A. 103-8, eff. 6-7-23; 103-305, eff. 7-28-23;
316316 25 103-588, eff. 6-5-24; 103-605, eff. 7-1-24.)
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327327 1 (30 ILCS 559/20-20)
328328 2 Sec. 20-20. Illinois Works Apprenticeship Initiative.
329329 3 (a) The Illinois Works Apprenticeship Initiative is
330330 4 established and shall be administered by the Department.
331331 5 (1) Subject to the exceptions set forth in subsection
332332 6 (b) of this Section, apprentices shall be utilized on all
333333 7 public works projects estimated to cost $500,000 or more
334334 8 in accordance with this subsection (a).
335335 9 (2) For public works projects estimated to cost
336336 10 $500,000 or more, the goal of the Illinois Works
337337 11 Apprenticeship Initiative is that apprentices will perform
338338 12 either 10% of the total labor hours actually worked in
339339 13 each prevailing wage classification or 10% of the
340340 14 estimated labor hours in each prevailing wage
341341 15 classification, whichever is less. For contracts and grant
342342 16 agreements executed after the effective date of this
343343 17 amendatory Act of the 103rd General Assembly and before
344344 18 January 1, 2024, of this goal, at least 25% of the labor
345345 19 hours of each prevailing wage classification performed by
346346 20 apprentices shall be performed by graduates of the
347347 21 Illinois Works Preapprenticeship Program, the Illinois
348348 22 Climate Works Preapprenticeship Program, or the Highway
349349 23 Construction Careers Training Program. For contracts and
350350 24 grant agreements executed on or after January 1, 2024, of
351351 25 this goal, at least 50% of the labor hours of each
352352 26 prevailing wage classification performed by apprentices
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363363 1 shall be performed by graduates of the Illinois Works
364364 2 Preapprenticeship Program, the Illinois Climate Works
365365 3 Preapprenticeship Program, or the Highway Construction
366366 4 Careers Training Program.
367367 5 (b) Before or during the term of a contract subject to this
368368 6 Section, the Department may reduce or waive the goals set
369369 7 forth in paragraph (2) of subsection (a). Prior to the
370370 8 Department granting a request for a reduction or waiver, the
371371 9 Department shall determine, in its discretion, whether to hold
372372 10 a public hearing on the request. In determining whether to
373373 11 hold a public hearing, the Department may consider factors,
374374 12 including the scale of the project and whether the contractor
375375 13 or subcontractor seeking the reduction or waiver has
376376 14 previously requested reductions or waivers on other projects.
377377 15 The Department may also consult with the Business Enterprise
378378 16 Council under the Business Enterprise for Minorities, Women,
379379 17 and Persons with Disabilities Act and the Chief Procurement
380380 18 Officer of the agency administering the public works contract.
381381 19 The Department may grant a reduction or waiver upon a
382382 20 determination that:
383383 21 (1) the contractor or subcontractor has demonstrated
384384 22 that insufficient apprentices are available;
385385 23 (2) the reasonable and necessary requirements of the
386386 24 contract do not allow the goal to be met;
387387 25 (3) there is a disproportionately high ratio of
388388 26 material costs to labor hours that makes meeting the goal
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399399 1 infeasible;
400400 2 (4) apprentice labor hour goals conflict with existing
401401 3 requirements, including federal requirements, in
402402 4 connection with the public work; or
403403 5 (5) the contractor or subcontractor has demonstrated
404404 6 that insufficient graduates of the Illinois Works
405405 7 Preapprenticeship Program are available to meet the
406406 8 requirements of paragraph (2) of subsection (a).
407407 9 (c) Contractors and subcontractors must submit a
408408 10 certification to the Department and the agency that is
409409 11 administering the contract, or the grant agreement funding the
410410 12 contract, demonstrating that the contractor or subcontractor
411411 13 has:
412412 14 (1) met the apprentice labor hour goals set forth in
413413 15 paragraph (2) of subsection (a);
414414 16 (2) received a reduction or waiver pursuant to
415415 17 subsection (b); or
416416 18 (3) not complied with the labor hour goals in
417417 19 paragraph (2) of subsection (a) and did not receive a
418418 20 reduction or waiver pursuant to subsection (b).
419419 21 It shall be deemed to be a material breach of the contract,
420420 22 or the grant agreement funding the contract, and entitle the
421421 23 State to declare a default, terminate the contract or grant
422422 24 agreement funding it, and exercise those remedies provided for
423423 25 in the contract, at law, or in equity if the contractor or
424424 26 subcontractor fails to submit the certification required in
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435435 1 this subsection or submits false or misleading information.
436436 2 Intentional failure to comply with the Illinois Works
437437 3 Apprenticeship Initiative may result in the State agency that
438438 4 contracted or funded the public works project: (i) terminating
439439 5 the contract or agreement involved, (ii) prohibiting the party
440440 6 that contracted with the State from participating in public
441441 7 contracts or agreements for a period not to exceed 3 years,
442442 8 (iii) seeking a penalty of up to 25% of the contract or
443443 9 agreement as a result of the violation, or (iv) any
444444 10 combination of items (i) through (iii). State agencies shall
445445 11 report to the Department all projects that did not comply with
446446 12 the Illinois Works Apprenticeship Initiative and any action
447447 13 taken against the noncompliant party and shall provide an
448448 14 action plan to address the reported instance of noncompliance
449449 15 with the Illinois Works Apprenticeship Initiative.
450450 16 (d) No later than one year after the effective date of this
451451 17 Act, and by April 1 of every calendar year thereafter, the
452452 18 Department of Labor shall submit a report to the Illinois
453453 19 Works Review Panel regarding the use of apprentices under the
454454 20 Illinois Works Apprenticeship Initiative for public works
455455 21 projects. To the extent it is available, the report shall
456456 22 include the following information:
457457 23 (1) the total number of labor hours on each project
458458 24 and the percentage of labor hours actually worked by
459459 25 apprentices on each public works project;
460460 26 (2) the number of apprentices used in each public
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471471 1 works project, broken down by trade; and
472472 2 (3) the number and percentage of minorities, women,
473473 3 and veterans utilized as apprentices on each public works
474474 4 project.
475475 5 (e) The Department shall adopt any rules deemed necessary
476476 6 to implement the Illinois Works Apprenticeship Initiative. In
477477 7 order to provide for the expeditious and timely implementation
478478 8 of this Act, the Department may adopt emergency rules. The
479479 9 adoption of emergency rules authorized by this subsection is
480480 10 deemed to be necessary for the public interest, safety, and
481481 11 welfare.
482482 12 (f) The Illinois Works Apprenticeship Initiative shall not
483483 13 interfere with any contracts or grants in existence on the
484484 14 effective date of this Act.
485485 15 (g) Notwithstanding any provisions to the contrary in this
486486 16 Act, any State agency that administers a construction program
487487 17 for which federal law or regulations establish standards and
488488 18 procedures for the utilization of apprentices may implement
489489 19 the Illinois Works Apprenticeship Initiative using the federal
490490 20 standards and procedures for the establishment of goals and
491491 21 utilization procedures for the State-funded, as well as the
492492 22 federally assisted, portions of the program. In such cases,
493493 23 these goals shall not exceed those established pursuant to the
494494 24 relevant federal statutes or regulations.
495495 25 (h) The Department shall maintain a list of graduates of
496496 26 the Illinois Works Preapprenticeship Program for a period of
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507507 1 not less than one year after the participant graduates from
508508 2 the Program. The list shall include the name, address, county
509509 3 of residence, phone number, email address, and the
510510 4 self-attested construction and building trade career path
511511 5 preferences of each graduate. This list shall be made
512512 6 available to any contractor or subcontractor, as well as any
513513 7 apprenticeship program approved by and registered with the
514514 8 United States Department of Labor's Bureau of Apprenticeship
515515 9 and Training in alignment with the graduate's self-attested
516516 10 construction and building trade career path preferences.
517517 11 Subject to approval of the Department, community-based
518518 12 organizations may be authorized to provide services pursuant
519519 13 to this subsection (h) of Section 20-20 of this Act.
520520 14 (Source: P.A. 103-305, eff. 7-28-23.)
521521 15 (30 ILCS 559/20-25)
522522 16 Sec. 20-25. The Illinois Works Review Panel.
523523 17 (a) The Illinois Works Review Panel is created and shall
524524 18 be comprised of 26 25 members, each serving 3-year terms. The
525525 19 Speaker of the House of Representatives and the President of
526526 20 the Senate shall each appoint 5 members within 30 days after
527527 21 the effective date of this amendatory Act of the 101st General
528528 22 Assembly. The Minority Leader of the House of Representatives
529529 23 and the Minority Leader of the Senate shall each appoint 5
530530 24 members within 30 days after the effective date of this
531531 25 amendatory Act of the 101st General Assembly. The Director of
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542542 1 Commerce and Economic Opportunity, or his or her designee,
543543 2 shall serve as a member. The Governor shall appoint the
544544 3 following individuals to serve as members within 30 days after
545545 4 the effective date of this amendatory Act of the 101st General
546546 5 Assembly: a representative from a contractor organization; a
547547 6 representative from a labor organization; and 3 2 members of
548548 7 the public with workforce development expertise, one of whom
549549 8 shall be a representative of a nonprofit organization that
550550 9 addresses workforce development and one of whom shall be a
551551 10 representative of a community-based organization that
552552 11 addresses high school-based workforce programs.
553553 12 (b) The members of the Illinois Works Review Panel shall
554554 13 make recommendations to the Department regarding
555555 14 identification and evaluation of community-based
556556 15 organizations.
557557 16 (c) The Illinois Works Review Panel shall meet, at least
558558 17 quarterly, to review and evaluate (i) the Illinois Works
559559 18 Preapprenticeship Program and the Illinois Works
560560 19 Apprenticeship Initiative, (ii) ideas to diversify the trainee
561561 20 corps in the Illinois Works Preapprenticeship Program and the
562562 21 workforce in the construction industry in Illinois, (iii)
563563 22 ideas to increase diversity in active apprenticeship programs
564564 23 in Illinois, and (iv) workforce demographic data collected by
565565 24 the Illinois Department of Labor, and (v) Office of Illinois
566566 25 Works appeal decisions regarding community-based organization
567567 26 performance appeals. The Illinois Works Review Panel shall
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