Rep. Michael Halpin

Filed: 4/26/2017

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 3539

2    AMENDMENT NO. ______. Amend House Bill 3539 by replacing
3everything after the enacting clause with the following:
 
4    "Section 1. Short title. This Act may be cited as the Equal
5Pay Certificate Act.
 
6    Section 5. Scope of Act.
7    (a) After June 1, 2018, no contract to which this Act
8applies shall be executed with a bidder, offeror, contractor,
9vendor, or potential contractor, as defined in the Illinois
10Procurement Code, unless it has an equal pay certificate or it
11has an equal pay certificate or it has certified in writing
12that it is exempt.
13    (b) A certificate is valid for 4 years.
 
14    Section 10. Application for equal pay certificate.
15    (a) A bidder shall apply for equal pay certificate by

 

 

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1paying a $150 filing fee and submitting an equal pay compliance
2statement to the Department of Employment Security. The
3proceeds from the fees collected under this Act shall be
4deposited in to the Equal Pay Certificate Fund, a special fund
5created in the State Treasury. Money in the Fund shall be
6appropriated to the Department of Employment Security for the
7purposes of this Act. The Department of Employment Security
8shall issue an equal pay certificate of compliance to a
9business that submits to the Department of Employment Security
10a statement signed by the chairperson of the board of chief
11executive officer of that business:
12        (1) that the business is in compliance with Title VII
13    of the Civil Rights Act of 1964, the Equal Pay Act of 2003,
14    the Equal Wage Act, and the Illinois Human Rights Act;
15        (2) that the average compensation for its female
16    employees is not consistently below the average
17    compensation for its male employees within each of the
18    major job categories in the Employer Information Report
19    EEO-1 for which an employee is expected to perform work
20    under the contract, taking into account factors such as
21    length of service, requirements of specific jobs,
22    experience, skill, effort, responsibility, working
23    conditions of the job, or other mitigating factors;
24        (3) that the business does not restrict employees of
25    one sex to certain job classifications and makes retention
26    and promotion decisions without regard to sex;

 

 

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1        (4) that wage and benefit disparities are corrected
2    when identified to ensure compliance with the laws cited in
3    item (1) and with item (2); and
4        (5) how often wages and benefits are evaluated to
5    ensure compliance with the laws cited in item (1) and with
6    item (2).
7    (b) The equal pay compliance statement shall also indicate
8whether the business, in setting compensation and benefits
9utilizes:
10        (1) a market pricing approach;
11        (2) state prevailing wage or union contract
12    requirements;
13        (3) a performance pay system;
14        (4) an internal analysis; or
15        (5) an alternative approach to determine what level of
16    wages and benefits to pay its employees.
17    If the business uses an alternative approach, the business
18must provide a description of its approach.
19    (c) Receipt of the equal pay compliance statement by the
20Department of Employment Security does not establish
21compliance with the laws identified in item (1) of subsection
22(a).
 
23    Section 15. Issuance or rejection of certificate. The
24Department of Employment Security must issue an equal pay
25certificate, or a statement of why the application was

 

 

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1rejected, within 15 days after receipt of the application. An
2application may be rejected only if it does not comply with the
3requirements of Section 10.
 
4    Section 20. Revocation of certificate. An equal pay
5certificate for a business may be suspended or revoked by the
6Department of Employment Security when the business fails to
7make a good-faith effort to comply with the laws identified in
8item (1) of subsection (a) of Section 10, fails to make a
9good-faith effort to comply with this Act, or has multiple
10violations of this Article or the laws identified in item (1)
11of subsection (a) of Section 10. Prior to suspending or
12revoking a certificate, the Department of Employment Security
13must first have sought to conciliate with the business
14regarding wages and benefits due to employees.
 
15    Section 25. Administrative review.
16    (a) A business may obtain an administrative hearing before
17the suspension or revocation of its certificate is effective
18pursuant to the Illinois Administrative Procedure Acts.
19    (b) The Department of Employment Security shall adopt rules
20for the fair administration of suspending or revoking equal pay
21certificates by March 1, 2018.
 
22    Section 30. Revocation of contract.
23    (a) If a contract is awarded to a business that does have

 

 

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1an equal pay certificate as required under Section 10, or a
2business that is not in compliance with subsection (a) of
3Section 10, the Department of Employment Security may recommend
4that the contract be voided by the applicable Chief Procurement
5Officer as provided by Section 50-60 of the Illinois
6Procurement Code. The purchasing agency that is a party to the
7agreement must be notified by the Department of Employment
8Security prior to the Department of Employment Security making
9a recommendation to the applicable Chief Procurement Officer.
10    (b) A contract subject to this Act may be amended or
11terminated upon notice that the Department of Employment
12Security has suspended or revoked the certificate of the
13business.
 
14    Section 35. Technical Assistance. The Department of
15Employment Security must provide technical assistance to any
16business that requests assistance regarding this Act.
 
17    Section 40. Audit. The Department of Employment Security
18may audit the business' compliance with this Act. As part of an
19audit, upon request, a business must provide the Department of
20Employment Security the following information with respect to
21employees expected to perform work under the contract in each
22of the major job categories in the Employer Information Report
23EEO-1:
24        (1) number of male employees;

 

 

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1        (2) number of female employees;
2        (3) average annualized salaries paid to male employees
3    and to female employees, in the manner most consistent with
4    the employer's compensation system, within each major job
5    category;
6        (4) information on performance payments, benefits, or
7    other elements of compensation, in the manner most
8    consistent with the employer's compensation system, if
9    requested by the Department of Employment Security as part
10    of a determination as to whether these elements of
11    compensation are different for male and female employees;
12        (5) average length of service for male and female
13    employees in each major job category; and
14        (6) other information identified by the business or by
15    the Department of Employment Security, as needed, to
16    determine compliance with items specified in subsection
17    (a) of Section 10.
 
18    Section 45. Access to data. Data submitted to the
19Department of Employment Security related to equal pay
20certificates are private data on individuals or nonpublic data
21with respect to persons other than Department employees. The
22Department's decision to issue, not issue, revoke, or suspend
23an equal pay certificate is public data. The Department shall
24publish a list of all businesses in compliance with this Act
25with current and valid equal pay certificates on its website.
 

 

 

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1    Section 50. Report. The Department of Employment Security
2shall report to the Governor and the General Assembly by
3January 31 of every odd-numbered year, beginning January 31,
42019. The report shall indicate the number of equal pay
5certificates issued, the number of audits conducted, the
6processes used by contractors to ensure compliance with
7subsection (a) of Section 10, and a summary of its auditing
8efforts.
 
9    Section 55. The State Finance Act is amended by adding
10Section 5.878 as follows:
 
11    (30 ILCS 105/5.878 new)
12    Sec. 5.878. The Equal Pay Certificate Fund.
 
13    Section 99. Effective date. This Act takes effect upon
14becoming law.".