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Illinois Senate Bill SB2198

Illinois 2025-2026 Regular Session

Illinois Senate Bill SB2198 Compare Versions

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11 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB2198 Introduced 2/7/2025, by Sen. Adriane Johnson SYNOPSIS AS INTRODUCED: 20 ILCS 605/605-1118 new30 ILCS 500/45-4530 ILCS 500/50-95 new Amends the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois. Provides that, subject to appropriation, the Department of Commerce and Economic Opportunity shall create a small business financing program to provide low-interest financing to small businesses that secure State contracts to assist with the fulfilment of those contracts. Amends the Illinois Procurement Code. Provides that the Department of Central Management Services shall, in consultation with State agencies, develop a scorecard for the assessment of bids from businesses that have annual gross sales of less than $15,000,000 as evidenced by the federal income tax return of the business. Makes changes in provisions concerning the advertisement of bids to small businesses. LRB104 10102 HLH 20174 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB2198 Introduced 2/7/2025, by Sen. Adriane Johnson SYNOPSIS AS INTRODUCED: 20 ILCS 605/605-1118 new30 ILCS 500/45-4530 ILCS 500/50-95 new 20 ILCS 605/605-1118 new 30 ILCS 500/45-45 30 ILCS 500/50-95 new Amends the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois. Provides that, subject to appropriation, the Department of Commerce and Economic Opportunity shall create a small business financing program to provide low-interest financing to small businesses that secure State contracts to assist with the fulfilment of those contracts. Amends the Illinois Procurement Code. Provides that the Department of Central Management Services shall, in consultation with State agencies, develop a scorecard for the assessment of bids from businesses that have annual gross sales of less than $15,000,000 as evidenced by the federal income tax return of the business. Makes changes in provisions concerning the advertisement of bids to small businesses. LRB104 10102 HLH 20174 b LRB104 10102 HLH 20174 b A BILL FOR
22 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 SB2198 Introduced 2/7/2025, by Sen. Adriane Johnson SYNOPSIS AS INTRODUCED:
33 20 ILCS 605/605-1118 new30 ILCS 500/45-4530 ILCS 500/50-95 new 20 ILCS 605/605-1118 new 30 ILCS 500/45-45 30 ILCS 500/50-95 new
44 20 ILCS 605/605-1118 new
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77 Amends the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois. Provides that, subject to appropriation, the Department of Commerce and Economic Opportunity shall create a small business financing program to provide low-interest financing to small businesses that secure State contracts to assist with the fulfilment of those contracts. Amends the Illinois Procurement Code. Provides that the Department of Central Management Services shall, in consultation with State agencies, develop a scorecard for the assessment of bids from businesses that have annual gross sales of less than $15,000,000 as evidenced by the federal income tax return of the business. Makes changes in provisions concerning the advertisement of bids to small businesses.
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1313 1 AN ACT concerning finance.
1414 2 Be it enacted by the People of the State of Illinois,
1515 3 represented in the General Assembly:
1616 4 Section 5. The Department of Commerce and Economic
1717 5 Opportunity Law of the Civil Administrative Code of Illinois
1818 6 is amended by adding Section 605-1118 as follows:
1919 7 (20 ILCS 605/605-1118 new)
2020 8 Sec. 605-1118. Small business financing program. Subject
2121 9 to appropriation, the Department shall create a small business
2222 10 financing program to provide low-interest financing to small
2323 11 businesses that secure State contracts to assist with the
2424 12 fulfilment of those contracts.
2525 13 Section 10. The Illinois Procurement Code is amended by
2626 14 changing Section 45-45 and by adding Section 50-95 as follows:
2727 15 (30 ILCS 500/45-45)
2828 16 Sec. 45-45. Small businesses.
2929 17 (a) Set-asides. Each chief procurement officer has
3030 18 authority to designate as small business set-asides a fair
3131 19 proportion of construction, supply, and service contracts for
3232 20 award to small businesses in Illinois. Advertisements for bids
3333 21 or offers for those contracts shall specify designation as
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3838 20 ILCS 605/605-1118 new30 ILCS 500/45-4530 ILCS 500/50-95 new 20 ILCS 605/605-1118 new 30 ILCS 500/45-45 30 ILCS 500/50-95 new
3939 20 ILCS 605/605-1118 new
4040 30 ILCS 500/45-45
4141 30 ILCS 500/50-95 new
4242 Amends the Department of Commerce and Economic Opportunity Law of the Civil Administrative Code of Illinois. Provides that, subject to appropriation, the Department of Commerce and Economic Opportunity shall create a small business financing program to provide low-interest financing to small businesses that secure State contracts to assist with the fulfilment of those contracts. Amends the Illinois Procurement Code. Provides that the Department of Central Management Services shall, in consultation with State agencies, develop a scorecard for the assessment of bids from businesses that have annual gross sales of less than $15,000,000 as evidenced by the federal income tax return of the business. Makes changes in provisions concerning the advertisement of bids to small businesses.
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7272 1 small business set-asides and the advertisements shall be
7373 2 uniformly distributed to the small business community in this
7474 3 State. In awarding the contracts, only bids or offers from
7575 4 qualified small businesses shall be considered.
7676 5 (b) Small business. "Small business" means a business that
7777 6 is independently owned and operated and that is not dominant
7878 7 in its field of operation. The chief procurement officer shall
7979 8 establish a detailed definition by rule, using in addition to
8080 9 the foregoing criteria other criteria, including the number of
8181 10 employees and the dollar volume of business. When computing
8282 11 the size status of a potential contractor, annual sales and
8383 12 receipts of the potential contractor and all of its affiliates
8484 13 shall be included. The maximum number of employees and the
8585 14 maximum dollar volume that a small business may have under the
8686 15 rules promulgated by the chief procurement officer may vary
8787 16 from industry to industry to the extent necessary to reflect
8888 17 differing characteristics of those industries, subject to the
8989 18 following limitations:
9090 19 (1) No wholesale business is a small business if its
9191 20 annual sales for its most recently completed fiscal year
9292 21 exceed $13,000,000.
9393 22 (2) No retail business or business selling services is
9494 23 a small business if its annual sales and receipts exceed
9595 24 $8,000,000.
9696 25 (3) No manufacturing business is a small business if
9797 26 it employs more than 250 persons.
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108108 1 (4) No construction business is a small business if
109109 2 its annual sales and receipts exceed $14,000,000.
110110 3 (c) Fair proportion. For the purpose of subsection (a),
111111 4 for State agencies of the executive branch, a fair proportion
112112 5 of construction contracts shall be no less than 25% nor more
113113 6 than 40% of the annual total contracts for construction.
114114 7 (d) Withdrawal of designation. A small business set-aside
115115 8 designation may be withdrawn by the purchasing agency when
116116 9 deemed in the best interests of the State. Upon withdrawal,
117117 10 all bids or offers shall be rejected, and the bidders or
118118 11 offerors shall be notified of the reason for rejection. The
119119 12 contract shall then be awarded in accordance with this Code
120120 13 without the designation of small business set-aside. Each
121121 14 chief procurement officer shall make the annual report
122122 15 available on his or her official website. Each chief
123123 16 procurement officer shall also issue a press release in
124124 17 conjunction with the small business annual report that
125125 18 includes an executive summary of the annual report and a link
126126 19 to the annual report on the chief procurement officer's
127127 20 website.
128128 21 (e) Small business specialist. Each chief procurement
129129 22 officer shall designate one or more individuals to serve as
130130 23 its small business specialist. The small business specialists
131131 24 shall collectively work together to accomplish the following
132132 25 duties:
133133 26 (1) Compiling and maintaining a comprehensive list of
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144144 1 potential small contractors. In this duty, he or she shall
145145 2 cooperate with the Federal Small Business Administration
146146 3 in locating potential sources for various products and
147147 4 services.
148148 5 (2) Assisting small businesses in complying with the
149149 6 procedures for bidding on State contracts.
150150 7 (3) Examining requests from State agencies for the
151151 8 purchase of property or services to help determine which
152152 9 invitations to bid are to be designated small business
153153 10 set-asides.
154154 11 (4) Making recommendations to the chief procurement
155155 12 officer for the simplification of specifications and terms
156156 13 in order to increase the opportunities for small business
157157 14 participation.
158158 15 (5) Assisting in investigations by purchasing agencies
159159 16 to determine the responsibility of bidders or offerors on
160160 17 small business set-asides.
161161 18 (f) Small business annual report. Each small business
162162 19 specialist designated under subsection (e) shall annually
163163 20 before November 1 report in writing to the General Assembly
164164 21 concerning the awarding of contracts to small businesses. The
165165 22 report shall include the total value of awards made in the
166166 23 preceding fiscal year under the designation of small business
167167 24 set-aside. The report shall also include the total value of
168168 25 awards made to businesses owned by minorities, women, and
169169 26 persons with disabilities, as defined in the Business
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180180 1 Enterprise for Minorities, Women, and Persons with
181181 2 Disabilities Act, in the preceding fiscal year under the
182182 3 designation of small business set-aside.
183183 4 The requirement for reporting to the General Assembly
184184 5 shall be satisfied by filing copies of the report as required
185185 6 by Section 3.1 of the General Assembly Organization Act.
186186 7 (Source: P.A. 103-570, eff. 1-1-24.)
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