HB3914 EngrossedLRB102 16820 RJF 22223 b

1    AN ACT concerning State government.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the
5Positive Action Act.
 
6    Section 5. Definitions. As used in this Act:
7    "Employer" means and includes: (i) any person employing
8one or more employees within this State; (ii) the State and any
9political subdivision, municipal corporation, or other
10governmental unit or agency, without regard to the number of
11employees; and (iii) any party to a public contract without
12regard to the number of employees.
13    "Eugenics-inspired policies" means any administrative rule
14or policy, including State agency rules, policies, and
15procedures, derived from a belief that heredity is the
16fundamental determinant of an individual's ability to
17contribute to society, which excludes, or has the effect of
18excluding, persons and groups judged to be inferior, based
19upon such characteristics as race, ethnicity, mental and
20physical disabilities, country of origin, and poverty, while
21promoting, or having the effect of promoting, those judged to
22be superior.
23    "Positive action" means measures, including, but not

 

 

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1limited to, measures as provided under this Act, that are
2taken regarding people from underrepresented groups or people
3having a protected characteristic to aid them in overcoming
4discrimination and disadvantages in competing with or in
5relation to persons not of the disadvantaged group. Any
6reference in any law or rule to the term "affirmative action"
7as used within the context of eliminating past discrimination
8or preventing future discrimination is deemed to be a
9reference to "positive action" as defined and used under this
10Act. Any reference in any law or rule to the term "positive
11action" is deemed to be a reference to "positive action" as
12defined and used under this Act, unless explicitly indicated
13otherwise.
14    "Protected characteristic" means race and any other
15characteristic which may be used, either directly or
16indirectly, to discriminate against or place at a disadvantage
17such persons having that characteristic.
18    "State agency" shall have the same meaning as provided
19under Section 1-7 of the Illinois State Auditing Act.
 
20    Section 10. Positive action.
21    (a) Each State agency and employer shall take positive
22action within each respective entity when it reasonably
23believes such action is necessary to rectify discrimination or
24a disadvantage towards persons having a protected
25characteristic based upon the following circumstances:

 

 

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1        (1) persons who share a protected characteristic
2    suffer a disadvantage connected to the characteristic;
3        (2) persons who share a protected characteristic have
4    needs that are different from the needs of persons who do
5    not share that characteristic; or
6        (3) participation in an opportunity or activity by
7    persons who share a protected characteristic is
8    disproportionately low.
9    (b) Subject to subsection (c), for the purpose of
10specifically enabling or encouraging persons who share a
11protected characteristic to overcome or minimize disadvantages
12or to participate in an opportunity or activity that has
13disproportionately low participation by persons sharing the
14protected characteristic, a State agency or employer may
15consider persons sharing the protected characteristic more
16favorably than persons who do not share that characteristic in
17the process of recruitment or promotion.
18    (c) Favorable consideration in the process of recruitment
19or promotion under subsection (b) shall only be allowed if:
20        (1) the person having the protected characteristic is
21    as qualified as the person not having the protected
22    characteristic;
23        (2) the State agency or employer does not have a
24    policy of considering persons who share the protected
25    characteristic more favorably in connection with
26    recruitment or promotion than persons who do not share the

 

 

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1    characteristic; and
2        (3) taking the action in question is a proportionate
3    means of enabling or encouraging persons who share a
4    protected characteristic to overcome or minimize
5    disadvantages or to participate in an opportunity or
6    activity that has disproportionately low participation by
7    persons sharing the protected characteristic.
 
8    Section 15. Duty of equality.
9    (a) In addition to the requirements of Section 10, each
10State agency and employer shall have a duty of equality in
11relation to employment and its employees as provided under
12this Section.
13    (b) Each State agency shall, in the exercise of its
14functions, develop a policy for and take positive action
15towards the following:
16        (1) elimination of discrimination, harassment,
17    victimization, and any other discriminatory conduct that
18    may be directed towards employees having a protected
19    characteristic;
20        (2) advancement of equality of opportunity within the
21    State agency between persons who share a relevant
22    protected characteristic and persons who do not share that
23    characteristic; and
24        (3) fostering of good relations within the State
25    agency between persons who share a relevant protected

 

 

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1    characteristic and persons who do not share that
2    characteristic.
3    (c) An employer shall, in the exercise of its functions,
4develop a policy and take positive action to the extent
5specified under subsection (a). Nothing in this subsection (c)
6precludes an employer from developing a policy or taking
7action in excess of that required under subsection (a).
8    (d) Each State agency and employer shall, for the purpose
9of advancing equality of employment opportunities between
10persons who share a relevant protected characteristic and
11persons who do not share that characteristic, take positive
12action to:
13        (1) remove or minimize disadvantages suffered by
14    persons who share a relevant protected characteristic that
15    are connected to that characteristic;
16        (2) meet the needs of persons who share a relevant
17    protected characteristic that are different from the needs
18    of persons who do not share that characteristic; and
19        (3) encourage persons who share a relevant protected
20    characteristic to participate in opportunities in which
21    participation by such persons is disproportionately low.
22    (e) Each State agency and employer shall, for the purpose
23of fostering good employee relations between persons who share
24a relevant protected characteristic and persons who do not
25share that characteristic, take positive action to: (i)
26minimize prejudice; and (ii) promote understanding.
 

 

 

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1    Section 20. Eugenics-inspired policies; positive action.
2    (a) Each State agency shall perform an internal
3examination for the existence of eugenics-inspired policies or
4administrative rules, policies, and procedures that otherwise
5have or may have a discriminatory impact creating disparities
6between classes of persons, and issue an annual report to the
7Governor and the General Assembly. Each State agency shall
8also make its report available to the public on its Internet
9website.
10    (b) Each State agency shall take positive action and
11implement strategies and programs to eliminate and prevent any
12disparities created by discriminatory administrative rules,
13policies, and procedures, and make the services provided by
14the State agency more readily accessible to the public.
 
15    Section 25. Rules. Each State agency subject to the
16provisions of this Act may adopt all rules necessary to
17perform its requirements under this Act.
 
18    Section 30. Construction. Nothing in this Act shall be
19construed to contravene any federal law or requirement
20regarding affirmative action or its application to State law.
 
21    Section 100. The Election Code is amended by changing
22Section 7-14.1 as follows:
 

 

 

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1    (10 ILCS 5/7-14.1)  (from Ch. 46, par. 7-14.1)
2    Sec. 7-14.1. Delegates and alternate delegates to national
3nominating conventions shall be chosen according to one of the
4following alternative methods of allocating delegates for
5election. The State central committee of each political party
6established pursuant to this Article 7 shall certify to the
7State Board of Elections, not less than 30 days prior to the
8first date for filing of petitions for election as delegate or
9alternate delegate to a national nominating convention, which
10of the following alternatives it wishes to be utilized in
11allocating the delegates and alternate delegates to which
12Illinois will be entitled at its national nominating
13convention. The State Board of Elections shall meet promptly
14and, not less than 20 days prior to the first date for filing
15of such petitions, shall publish and certify to the county
16clerk in each county the number of delegates or alternate
17delegates to be elected from each congressional district or
18from the State at large or State convention of a political
19party, as the case may be, according to the method chosen by
20each State central committee. If a State central committee
21fails to certify to the State Board of Elections its choice of
22one of the following methods prior to the aforementioned
23meeting of the State Board of Elections, the State Board of
24Elections shall certify delegates for that political party
25pursuant to whichever of the alternatives below was used by

 

 

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1that political party pursuant to whichever of the alternatives
2below was used by that political party in the most recent year
3in which delegates were selected, subject to any subsequent
4amendments.
5    Prior to the aforementioned meeting of the State Board of
6Elections at which the Board shall publish and certify to the
7county clerk the number of delegates or alternate delegates to
8be elected from each congressional district or the State at
9large or State convention, the Secretary of State shall
10ascertain from the call of the national convention of each
11political party the number of delegates and alternate
12delegates to which Illinois will be entitled at the respective
13national nominating conventions. The Secretary of State shall
14report the number of delegates and alternate delegates to
15which Illinois will be entitled at the respective national
16nominating conventions to the State Board of Elections
17convened as aforesaid to be utilized by the State Board of
18Elections in calculating the number of delegates and
19alternates to be elected from each congressional district in
20the State at large or State convention, as the case may be.
21    Alternative A: The State Board of Elections shall allocate
22the number of delegates and alternate delegates to which the
23State is entitled among the congressional districts in the
24State.
25    1. Of the number of delegates to which the State is
26entitled, 10, plus those remaining unallocated under paragraph

 

 

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12, shall be delegates at large. The State central committee of
2the appropriate political party shall determine whether the
3delegates at large shall be (a) elected in the primary from the
4State at large, (b) selected by the State convention, or (c)
5chosen by a combination of these 2 methods. If the State
6central committee determines that all or a specified number of
7the delegates at large shall be elected in the primary, the
8committee shall file with the Board a report of such
9determination at the same time it certifies the alternative it
10wishes to use in allocating its delegates.
11    2. All delegates other than the delegates at large shall
12be elected from the congressional districts. Two delegates
13shall be allocated from this number to each district. After
14reserving 10 delegates to be delegates at large and allocating
152 delegates to each district, the Board shall allocate the
16remaining delegates to the congressional districts pursuant to
17the following formula:
18        (a) For each district, the number of remaining
19    delegates shall be multiplied by a fraction, the numerator
20    of which is the vote cast in the congressional district
21    for the party's nominee in the last Presidential election,
22    and the denominator of which is the vote cast in the State
23    for the party's nominee in the last Presidential election.
24        (b) The Board shall first allocate to each district a
25    number of delegates equal to the whole number in the
26    product resulting from the multiplication procedure in

 

 

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1    subparagraph (a).
2        (c) The Board shall then allocate any remaining
3    delegates, one to each district, in the order of the
4    largest fractional remainder in the product resulting from
5    the multiplication procedure in subparagraph (a), omitting
6    those districts for which that product is less than 1.875.
7        (d) The Board shall then allocate any remaining
8    delegates, one to each district, in the order of the
9    largest fractional remainder in the product resulting from
10    the multiplication procedure in subparagraph (a), among
11    those districts for which that product is at least one but
12    less than 1.875.
13        (e) Any delegates remaining unallocated shall be
14    delegates at large and shall be selected as determined by
15    the State central committee under paragraph 1 of this
16    Alternative A.
17    3. The alternate delegates at large shall be allocated in
18the same manner as the delegates at large. The alternate
19delegates other than the alternate delegates at large shall be
20allocated in the same manner as the delegates other than the
21delegates at large.
22    Alternative B: the chair of the State central committee
23shall file with the State Board of Elections a statement of the
24number of delegates and alternate delegates to which the State
25is entitled and the number of such delegates and alternate
26delegates to be elected from congressional districts. The

 

 

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1State Board of Elections shall allocate such number of
2delegates and alternate delegates, as the case may be, among
3the congressional districts in the State for election from the
4congressional districts.
5    The Board shall utilize the sum of 1/3 of each of the
6following formulae to determine the number of delegates and
7alternate delegates, as the case may be, to be elected from
8each congressional district:
9    (1) Formula 1 shall be determined by multiplying
10paragraphs (a), (b), and (c) together as follows:
11        (a) The fraction derived by dividing the population of
12    the district by the population of the State and adding to
13    that fraction the following: 1/2 of the fraction
14    calculated by dividing the total district vote for the
15    party's candidate in the most recent presidential election
16    by the total statewide vote for that candidate in that
17    election, plus 1/2 of the fraction calculated by dividing
18    the total district vote for the party's candidate in the
19    second most recent Presidential election by the total
20    statewide vote for that candidate in that election;
21        (b) 1/2;
22        (c) The number of delegates or alternate delegates, as
23    the case may be, to which the State is entitled at the
24    party's national nominating convention.
25    (2) Formula 2 shall be determined by multiplying
26paragraphs (a), (b), and (c) together as follows:

 

 

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1        (a) The fraction calculated by dividing the total
2    numbers of votes in the district for the party's candidate
3    in the most recent Gubernatorial election by the total
4    statewide vote for that candidate in that election, plus,
5    the fraction calculated by dividing the total district
6    vote for the party's candidate in the most recent
7    presidential election by the total statewide vote for that
8    candidate in that election;
9        (b) 1/2;
10        (c) The number of delegates or alternate delegates, as
11    the case may be, to which the State is entitled at the
12    party's national nominating convention.
13    (3) Formula 3 shall be determined by multiplying
14paragraphs (a), (b), and (c) together as follows:
15        (a) 1/2 of the fraction calculated by dividing the
16    total district vote for the party's candidate in the most
17    recent presidential election by the total statewide vote
18    for that candidate in that election, plus 1/2 of the
19    fraction calculated by dividing the total district vote
20    for the party's candidate in the second most recent
21    presidential election by the total statewide vote for that
22    candidate in that election. This sum shall be added to the
23    fraction calculated by dividing the total voter
24    registration of the party in the district by the total
25    voter registration of the party in the State as of January
26    1 of the year prior to the year in which the national

 

 

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1    nominating convention is held;
2        (b) 1/2;
3        (c) The number of delegates or alternate delegates, as
4    the case may be, to which the State is entitled at the
5    party's national nominating convention.
6    Fractional numbers of delegates and alternate delegates
7shall be rounded upward in rank order to the next whole number,
8largest fraction first, until the total number of delegates
9and alternate delegates, respectively, to be so chosen have
10been allocated.
11    The remainder of the delegates and alternate delegates
12shall be selected as determined by the State central committee
13of the party and shall be certified to the State Board of
14Elections by the chair of the State central committee.
15    Notwithstanding anything to the contrary contained herein,
16with respect to all aspects of the selection of delegates and
17alternate delegates to a national nominating convention under
18Alternative B, this Code shall be superseded by the delegate
19selection rules and policies of the national political party
20including, but not limited to, the development of a positive
21action an affirmative action plan.
22(Source: P.A. 100-1027, eff. 1-1-19.)
 
23    Section 105. The Secretary of State Merit Employment Code
24is amended by changing Section 18 as follows:
 

 

 

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1    (15 ILCS 310/18)  (from Ch. 124, par. 118)
2    Sec. 18. Positive Action Affirmative Action. The Secretary
3of State shall appoint an Equal Employment Opportunity Officer
4who shall serve until his or her successor is appointed and
5qualified.
6(Source: P.A. 80-13.)
 
7    Section 110. The Comptroller Merit Employment Code is
8amended by changing Section 18 as follows:
 
9    (15 ILCS 410/18)  (from Ch. 15, par. 453)
10    Sec. 18. Positive Action Affirmative Action. The
11Comptroller shall appoint an Equal Employment Opportunity
12Officer who shall serve until his or her successor is
13appointed. The Equal Employment Opportunity Officer may be
14assigned such other duties as the Comptroller may direct.
15(Source: P.A. 80-1397.)
 
16    Section 115. The African American Employment Plan Act is
17amended by changing Section 20 as follows:
 
18    (20 ILCS 30/20)
19    Sec. 20. State agency positive action affirmative action
20and equal employment opportunity goals.
21    (a) Each State agency shall implement strategies and
22programs in accordance with the African American Employment

 

 

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1Plan to increase the number of African Americans employed by
2that State agency and the number of African Americans employed
3by that State agency at supervisory, technical, professional,
4and managerial levels.
5    (b) Each State agency shall report annually to the
6Department and the Department of Human Rights, in a format
7prescribed by the Department, all of the agency's activities
8in implementing the African American Employment Plan. Each
9agency's annual report shall include reports or information
10related to the agency's African American employment strategies
11and programs that the agency has received from the Department,
12the Department of Human Rights, or the Auditor General,
13pursuant to their periodic review responsibilities; findings
14made by the Governor in his or her report to the General
15Assembly; assessments of service needs based upon the agency's
16service populations; information on the agency's studies and
17monitoring success concerning the number of African Americans
18employed by the agency at the supervisory, technical,
19professional, and managerial levels and any increases in those
20categories from the prior year; and information concerning the
21agency's African American employment budget allocations.
22    (c) The Department shall assist State agencies required to
23establish preparation and promotion training programs under
24subsection (H) of Section 7-105 of the Illinois Human Rights
25Act for failure to meet their positive action affirmative
26action and equal employment opportunity goals. The Department

 

 

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1shall survey State agencies to identify effective existing
2training programs and shall serve as a resource to other State
3agencies. The Department shall assist agencies in the
4development and modification of training programs to enable
5them to meet their positive action affirmative action and
6equal employment opportunity goals and shall provide
7information regarding other existing training and educational
8resources, such as the Upward Mobility Program, the Illinois
9Institute for Training and Development, the Central Management
10Services Training Center, Executive Recruitment Internships,
11and Graduate Public Service Internships.
12(Source: P.A. 96-1341, eff. 7-27-10.)
 
13    Section 120. The Illinois Act on the Aging is amended by
14changing Section 4.01 as follows:
 
15    (20 ILCS 105/4.01)  (from Ch. 23, par. 6104.01)
16    Sec. 4.01. Additional powers and duties of the Department.
17In addition to powers and duties otherwise provided by law,
18the Department shall have the following powers and duties:
19    (1) To evaluate all programs, services, and facilities for
20the aged and for minority senior citizens within the State and
21determine the extent to which present public or private
22programs, services and facilities meet the needs of the aged.
23    (2) To coordinate and evaluate all programs, services, and
24facilities for the Aging and for minority senior citizens

 

 

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1presently furnished by State agencies and make appropriate
2recommendations regarding such services, programs and
3facilities to the Governor and/or the General Assembly.
4    (2-a) To request, receive, and share information
5electronically through the use of data-sharing agreements for
6the purpose of (i) establishing and verifying the initial and
7continuing eligibility of older adults to participate in
8programs administered by the Department; (ii) maximizing
9federal financial participation in State assistance
10expenditures; and (iii) investigating allegations of fraud or
11other abuse of publicly funded benefits. Notwithstanding any
12other law to the contrary, but only for the limited purposes
13identified in the preceding sentence, this paragraph (2-a)
14expressly authorizes the exchanges of income, identification,
15and other pertinent eligibility information by and among the
16Department and the Social Security Administration, the
17Department of Employment Security, the Department of
18Healthcare and Family Services, the Department of Human
19Services, the Department of Revenue, the Secretary of State,
20the U.S. Department of Veterans Affairs, and any other
21governmental entity. The confidentiality of information
22otherwise shall be maintained as required by law. In addition,
23the Department on Aging shall verify employment information at
24the request of a community care provider for the purpose of
25ensuring program integrity under the Community Care Program.
26    (3) To function as the sole State agency to develop a

 

 

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1comprehensive plan to meet the needs of the State's senior
2citizens and the State's minority senior citizens.
3    (4) To receive and disburse State and federal funds made
4available directly to the Department including those funds
5made available under the Older Americans Act and the Senior
6Community Service Employment Program for providing services
7for senior citizens and minority senior citizens or for
8purposes related thereto, and shall develop and administer any
9State Plan for the Aging required by federal law.
10    (5) To solicit, accept, hold, and administer in behalf of
11the State any grants or legacies of money, securities, or
12property to the State of Illinois for services to senior
13citizens and minority senior citizens or purposes related
14thereto.
15    (6) To provide consultation and assistance to communities,
16area agencies on aging, and groups developing local services
17for senior citizens and minority senior citizens.
18    (7) To promote community education regarding the problems
19of senior citizens and minority senior citizens through
20institutes, publications, radio, television and the local
21press.
22    (8) To cooperate with agencies of the federal government
23in studies and conferences designed to examine the needs of
24senior citizens and minority senior citizens and to prepare
25programs and facilities to meet those needs.
26    (9) To establish and maintain information and referral

 

 

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1sources throughout the State when not provided by other
2agencies.
3    (10) To provide the staff support that may reasonably be
4required by the Council.
5    (11) To make and enforce rules and regulations necessary
6and proper to the performance of its duties.
7    (12) To establish and fund programs or projects or
8experimental facilities that are specially designed as
9alternatives to institutional care.
10    (13) To develop a training program to train the counselors
11presently employed by the Department's aging network to
12provide Medicare beneficiaries with counseling and advocacy in
13Medicare, private health insurance, and related health care
14coverage plans. The Department shall report to the General
15Assembly on the implementation of the training program on or
16before December 1, 1986.
17    (14) To make a grant to an institution of higher learning
18to study the feasibility of establishing and implementing a
19positive action an affirmative action employment plan for the
20recruitment, hiring, training and retraining of persons 60 or
21more years old for jobs for which their employment would not be
22precluded by law.
23    (15) To present one award annually in each of the
24categories of community service, education, the performance
25and graphic arts, and the labor force to outstanding Illinois
26senior citizens and minority senior citizens in recognition of

 

 

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1their individual contributions to either community service,
2education, the performance and graphic arts, or the labor
3force. The awards shall be presented to 4 senior citizens and
4minority senior citizens selected from a list of 44 nominees
5compiled annually by the Department. Nominations shall be
6solicited from senior citizens' service providers, area
7agencies on aging, senior citizens' centers, and senior
8citizens' organizations. The Department shall establish a
9central location within the State to be designated as the
10Senior Illinoisans Hall of Fame for the public display of all
11the annual awards, or replicas thereof.
12    (16) To establish multipurpose senior centers through area
13agencies on aging and to fund those new and existing
14multipurpose senior centers through area agencies on aging,
15the establishment and funding to begin in such areas of the
16State as the Department shall designate by rule and as
17specifically appropriated funds become available.
18    (17) (Blank).
19    (18) To develop a pamphlet in English and Spanish which
20may be used by physicians licensed to practice medicine in all
21of its branches pursuant to the Medical Practice Act of 1987,
22pharmacists licensed pursuant to the Pharmacy Practice Act,
23and Illinois residents 65 years of age or older for the purpose
24of assisting physicians, pharmacists, and patients in
25monitoring prescriptions provided by various physicians and to
26aid persons 65 years of age or older in complying with

 

 

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1directions for proper use of pharmaceutical prescriptions. The
2pamphlet may provide space for recording information including
3but not limited to the following:
4        (a) name and telephone number of the patient;
5        (b) name and telephone number of the prescribing
6    physician;
7        (c) date of prescription;
8        (d) name of drug prescribed;
9        (e) directions for patient compliance; and
10        (f) name and telephone number of dispensing pharmacy.
11    In developing the pamphlet, the Department shall consult
12with the Illinois State Medical Society, the Center for
13Minority Health Services, the Illinois Pharmacists Association
14and senior citizens organizations. The Department shall
15distribute the pamphlets to physicians, pharmacists and
16persons 65 years of age or older or various senior citizen
17organizations throughout the State.
18    (19) To conduct a study of the feasibility of implementing
19the Senior Companion Program throughout the State.
20    (20) The reimbursement rates paid through the community
21care program for chore housekeeping services and home care
22aides shall be the same.
23    (21) From funds appropriated to the Department from the
24Meals on Wheels Fund, a special fund in the State treasury that
25is hereby created, and in accordance with State and federal
26guidelines and the intrastate funding formula, to make grants

 

 

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1to area agencies on aging, designated by the Department, for
2the sole purpose of delivering meals to homebound persons 60
3years of age and older.
4    (22) To distribute, through its area agencies on aging,
5information alerting seniors on safety issues regarding
6emergency weather conditions, including extreme heat and cold,
7flooding, tornadoes, electrical storms, and other severe storm
8weather. The information shall include all necessary
9instructions for safety and all emergency telephone numbers of
10organizations that will provide additional information and
11assistance.
12    (23) To develop guidelines for the organization and
13implementation of Volunteer Services Credit Programs to be
14administered by Area Agencies on Aging or community based
15senior service organizations. The Department shall hold public
16hearings on the proposed guidelines for public comment,
17suggestion, and determination of public interest. The
18guidelines shall be based on the findings of other states and
19of community organizations in Illinois that are currently
20operating volunteer services credit programs or demonstration
21volunteer services credit programs. The Department shall offer
22guidelines for all aspects of the programs including, but not
23limited to, the following:
24        (a) types of services to be offered by volunteers;
25        (b) types of services to be received upon the
26    redemption of service credits;

 

 

HB3914 Engrossed- 23 -LRB102 16820 RJF 22223 b

1        (c) issues of liability for the volunteers and the
2    administering organizations;
3        (d) methods of tracking service credits earned and
4    service credits redeemed;
5        (e) issues of time limits for redemption of service
6    credits;
7        (f) methods of recruitment of volunteers;
8        (g) utilization of community volunteers, community
9    service groups, and other resources for delivering
10    services to be received by service credit program clients;
11        (h) accountability and assurance that services will be
12    available to individuals who have earned service credits;
13    and
14        (i) volunteer screening and qualifications.
15The Department shall submit a written copy of the guidelines
16to the General Assembly by July 1, 1998.
17    (24) To function as the sole State agency to receive and
18disburse State and federal funds for providing adult
19protective services in a domestic living situation in
20accordance with the Adult Protective Services Act.
21    (25) To hold conferences, trainings, and other programs
22for which the Department shall determine by rule a reasonable
23fee to cover related administrative costs. Rules to implement
24the fee authority granted by this paragraph (25) must be
25adopted in accordance with all provisions of the Illinois
26Administrative Procedure Act and all rules and procedures of

 

 

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1the Joint Committee on Administrative Rules; any purported
2rule not so adopted, for whatever reason, is unauthorized.
3(Source: P.A. 98-8, eff. 5-3-13; 98-49, eff. 7-1-13; 98-380,
4eff. 8-16-13; 98-756, eff. 7-16-14; 99-331, eff. 1-1-16.)
 
5    Section 125. The Department of Central Management Services
6Law of the Civil Administrative Code of Illinois is amended by
7changing Section 405-125 as follows:
 
8    (20 ILCS 405/405-125)  (was 20 ILCS 405/67.31)
9    Sec. 405-125. State agency positive action affirmative
10action and equal employment opportunity goals. Each State
11agency shall implement strategies and programs in accordance
12with the State Hispanic Employment Plan, the State
13Asian-American Employment Plan, and the Native American
14Employment Plan to increase the number of Hispanics employed
15by the State, the number of Asian-Americans employed by the
16State, the number of bilingual persons employed by the State,
17and the number of Native American persons employed by the
18State at supervisory, technical, professional, and managerial
19levels. Each State agency shall report annually to the
20Department and the Department of Human Rights, in a format
21prescribed by the Department, all of the agency's activities
22in implementing the State Hispanic Employment Plan, the State
23Asian-American Employment Plan, and the Native American
24Employment Plan. Each agency's annual report shall include

 

 

HB3914 Engrossed- 25 -LRB102 16820 RJF 22223 b

1reports or information related to the agency's Hispanic,
2Asian-American, Native American, and bilingual employment
3strategies and programs that the agency has received from the
4Illinois Department of Human Rights, the Department of Central
5Management Services, or the Auditor General, pursuant to their
6periodic review responsibilities; findings made by the
7Governor in his or her report to the General Assembly;
8assessments of bilingual service needs based upon the agency's
9service populations; information on the agency's studies and
10monitoring success concerning the number of Hispanics,
11Asian-Americans, Native Americans, and bilingual persons
12employed by the agency at the supervisory, technical,
13professional, and managerial levels and any increases in those
14categories from the prior year; and information concerning the
15agency's Hispanic, Asian-American, Native American, and
16bilingual employment budget allocations. The Department shall
17assist State agencies required to establish preparation and
18promotion training programs under subsection (H) of Section
197-105 of the Illinois Human Rights Act for failure to meet
20their positive action affirmative action and equal employment
21opportunity goals. The Department shall survey State agencies
22to identify effective existing training programs and shall
23serve as a resource to other State agencies. The Department
24shall assist agencies in the development and modification of
25training programs to enable them to meet their positive action
26affirmative action and equal employment opportunity goals and

 

 

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1shall provide information regarding other existing training
2and educational resources, such as the Upward Mobility
3Program, the Illinois Institute for Training and Development,
4the Central Management Services Training Center, Executive
5Recruitment Internships, and Graduate Public Service
6Internships.
7(Source: P.A. 101-534, eff. 1-1-20.)
 
8    Section 130. The Personnel Code is amended by changing
9Section 8b.3 as follows:
 
10    (20 ILCS 415/8b.3)  (from Ch. 127, par. 63b108b.3)
11    Sec. 8b.3. For the establishment of eligible lists for
12appointment and promotion, upon which lists shall be placed
13the names of successful candidates in order of their relative
14excellence in respective examinations. The Director may
15substitute rankings such as superior, excellent,
16well-qualified and qualified for numerical ratings and
17establish eligible lists accordingly. Such rules may provide
18for lists by area or location, by department or other agency,
19for removal of those not available for or refusing employment,
20for minimum and maximum duration of such lists, and for such
21other provisions as may be necessary to provide rapid and
22satisfactory service to the operating agencies. The Director
23may approve the written request of an agency or applicant to
24extend the eligibility of a qualified eligible candidate when

 

 

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1the extension is necessary to assist in achieving positive
2action affirmative action goals in employment. The extended
3period of eligibility shall not exceed the duration of the
4original period of eligibility and shall not be renewed. The
5rules may authorize removal of eligibles from lists if those
6eligibles fail to furnish evidence of availability upon forms
7sent to them by the Director.
8(Source: P.A. 87-545.)
 
9    Section 135. The Economic Development Area Tax Increment
10Allocation Act is amended by changing Section 3 as follows:
 
11    (20 ILCS 620/3)  (from Ch. 67 1/2, par. 1003)
12    Sec. 3. Definitions. In this Act, words or terms shall
13have the following meanings unless the context or usage
14clearly indicates that another meaning is intended.
15    (a) "Department" means the Department of Commerce and
16Economic Opportunity.
17    (b) "Economic development plan" means the written plan of
18a municipality which sets forth an economic development
19program for an economic development project area. Each
20economic development plan shall include but not be limited to
21(1) estimated economic development project costs, (2) the
22sources of funds to pay such costs, (3) the nature and term of
23any obligations to be issued by the municipality to pay such
24costs, (4) the most recent equalized assessed valuation of the

 

 

HB3914 Engrossed- 28 -LRB102 16820 RJF 22223 b

1economic development project area, (5) an estimate of the
2equalized assessed valuation of the economic development
3project area after completion of an economic development
4project, (6) the estimated date of completion of any economic
5development project proposed to be undertaken, (7) a general
6description of any proposed developer, user, or tenant of any
7property to be located or improved within the economic
8development project area, (8) a description of the type,
9structure and general character of the facilities to be
10developed or improved in the economic development project
11area, (9) a description of the general land uses to apply in
12the economic development project area, (10) a description of
13the type, class and number of employees to be employed in the
14operation of the facilities to be developed or improved in the
15economic development project area, and (11) a commitment by
16the municipality to fair employment practices and a positive
17action an affirmative action plan with respect to any economic
18development program to be undertaken by the municipality.
19    (c) "Economic development project" means any development
20project in furtherance of the objectives of this Act.
21    (d) "Economic development project area" means any improved
22or vacant area which (1) is located within or partially within
23or partially without the territorial limits of a municipality,
24provided that no area without the territorial limits of a
25municipality shall be included in an economic development
26project area without the express consent of the Department,

 

 

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1acting as agent for the State, (2) is contiguous, (3) is not
2less in the aggregate than three hundred twenty acres, (4) is
3suitable for siting by any commercial, manufacturing,
4industrial, research or transportation enterprise of
5facilities to include but not be limited to commercial
6businesses, offices, factories, mills, processing plants,
7assembly plants, packing plants, fabricating plants,
8industrial or commercial distribution centers, warehouses,
9repair overhaul or service facilities, freight terminals,
10research facilities, test facilities or transportation
11facilities, whether or not such area has been used at any time
12for such facilities and whether or not the area has been used
13or is suitable for other uses, including commercial
14agricultural purposes, and (5) which has been approved and
15certified by the Department pursuant to this Act.
16    (e) "Economic development project costs" mean and include
17the sum total of all reasonable or necessary costs incurred by
18a municipality incidental to an economic development project,
19including, without limitation, the following:
20        (1) Costs of studies, surveys, development of plans
21    and specifications, implementation and administration of
22    an economic development plan, personnel and professional
23    service costs for architectural, engineering, legal,
24    marketing, financial, planning, police, fire, public works
25    or other services, provided that no charges for
26    professional services may be based on a percentage of

 

 

HB3914 Engrossed- 30 -LRB102 16820 RJF 22223 b

1    incremental tax revenues;
2        (2) Property assembly costs within an economic
3    development project area, including but not limited to
4    acquisition of land and other real or personal property or
5    rights or interests therein, and specifically including
6    payments to developers or other nongovernmental persons as
7    reimbursement for property assembly costs incurred by such
8    developer or other nongovernmental person;
9        (3) Site preparation costs, including but not limited
10    to clearance of any area within an economic development
11    project area by demolition or removal of any existing
12    buildings, structures, fixtures, utilities and
13    improvements and clearing and grading; and including
14    installation, repair, construction, reconstruction, or
15    relocation of public streets, public utilities, and other
16    public site improvements within or without an economic
17    development project area which are essential to the
18    preparation of the economic development project area for
19    use in accordance with an economic development plan; and
20    specifically including payments to developers or other
21    nongovernmental persons as reimbursement for site
22    preparation costs incurred by such developer or
23    nongovernmental person;
24        (4) Costs of renovation, rehabilitation,
25    reconstruction, relocation, repair or remodeling of any
26    existing buildings, improvements, and fixtures within an

 

 

HB3914 Engrossed- 31 -LRB102 16820 RJF 22223 b

1    economic development project area, and specifically
2    including payments to developers or other nongovernmental
3    persons as reimbursement for such costs incurred by such
4    developer or nongovernmental person;
5        (5) Costs of construction, acquisition, and operation
6    within an economic development project area of public
7    improvements, including but not limited to, publicly owned
8    buildings, structures, works, utilities or fixtures;
9    provided that no allocation made to the municipality
10    pursuant to subparagraph (A) of paragraph (2) of
11    subsection (g) of Section 4 of this Act or subparagraph
12    (A) of paragraph (4) of subsection (g) of Section 4 of this
13    Act shall be used to operate a convention center or
14    similar entertainment complex or venue;
15        (6) Financing costs, including but not limited to all
16    necessary and incidental expenses related to the issuance
17    of obligations, payment of any interest on any obligations
18    issued hereunder which accrues during the estimated period
19    of construction of any economic development project for
20    which such obligations are issued and for not exceeding 36
21    months thereafter, and any reasonable reserves related to
22    the issuance of such obligations;
23        (7) All or a portion of a taxing district's capital
24    costs resulting from an economic development project
25    necessarily incurred or estimated to be incurred by a
26    taxing district in the furtherance of the objectives of an

 

 

HB3914 Engrossed- 32 -LRB102 16820 RJF 22223 b

1    economic development project, to the extent that the
2    municipality by written agreement accepts and approves
3    such costs;
4        (8) Relocation costs to the extent that a municipality
5    determines that relocation costs shall be paid or is
6    required to make payment of relocation costs by federal or
7    State law;
8        (9) The estimated tax revenues from real property in
9    an economic development project area acquired by a
10    municipality which, according to the economic development
11    plan, is to be used for a private use and which any taxing
12    district would have received had the municipality not
13    adopted tax increment allocation financing for an economic
14    development project area and which would result from such
15    taxing district's levies made after the time of the
16    adoption by the municipality of tax increment allocation
17    financing to the time the current equalized assessed value
18    of real property in the economic development project area
19    exceeds the total initial equalized value of real property
20    in said area;
21        (10) Costs of job training, advanced vocational or
22    career education, including but not limited to courses in
23    occupational, semi-technical or technical fields leading
24    directly to employment, incurred by one or more taxing
25    districts, provided that such costs are related to the
26    establishment and maintenance of additional job training,

 

 

HB3914 Engrossed- 33 -LRB102 16820 RJF 22223 b

1    advanced vocational education or career education programs
2    for persons employed or to be employed by employers
3    located in an economic development project area, and
4    further provided that when such costs are incurred by a
5    taxing district or taxing districts other than the
6    municipality they shall be set forth in a written
7    agreement by or among the municipality and the taxing
8    district or taxing districts, which agreement describes
9    the program to be undertaken, including but not limited to
10    the number of employees to be trained, a description of
11    the training and services to be provided, the number and
12    type of positions available or to be available, itemized
13    costs of the program and sources of funds to pay the same,
14    and the term of the agreement. Such costs include,
15    specifically, the payment by community college districts
16    of costs pursuant to Sections 3-37, 3-38, 3-40 and 3-40.1
17    of the Public Community College Act and by school
18    districts of costs pursuant to Sections 10-22.20a and
19    10-23.3a of the School Code;
20        (11) Private financing costs incurred by developers or
21    other nongovernmental persons in connection with an
22    economic development project, and specifically including
23    payments to developers or other nongovernmental persons as
24    reimbursement for such costs incurred by such developer or
25    other nongovernmental person, provided that:
26            (A) private financing costs shall be paid or

 

 

HB3914 Engrossed- 34 -LRB102 16820 RJF 22223 b

1        reimbursed by a municipality only pursuant to the
2        prior official action of the municipality evidencing
3        an intent to pay or reimburse such private financing
4        costs;
5            (B) except as provided in subparagraph (D), the
6        aggregate amount of such costs paid or reimbursed by a
7        municipality in any one year shall not exceed 30% of
8        such costs paid or incurred by the developer or other
9        nongovernmental person in that year;
10            (C) private financing costs shall be paid or
11        reimbursed by a municipality solely from the special
12        tax allocation fund established pursuant to this Act
13        and shall not be paid or reimbursed from the proceeds
14        of any obligations issued by a municipality;
15            (D) if there are not sufficient funds available in
16        the special tax allocation fund in any year to make
17        such payment or reimbursement in full, any amount of
18        such interest cost remaining to be paid or reimbursed
19        by a municipality shall accrue and be payable when
20        funds are available in the special tax allocation fund
21        to make such payment; and
22            (E) in connection with its approval and
23        certification of an economic development project
24        pursuant to Section 5 of this Act, the Department
25        shall review any agreement authorizing the payment or
26        reimbursement by a municipality of private financing

 

 

HB3914 Engrossed- 35 -LRB102 16820 RJF 22223 b

1        costs in its consideration of the impact on the
2        revenues of the municipality and the affected taxing
3        districts of the use of tax increment allocation
4        financing.
5    (f) "Municipality" means a city, village or incorporated
6town.
7    (g) "Obligations" means any instrument evidencing the
8obligation of a municipality to pay money, including without
9limitation, bonds, notes, installment or financing contracts,
10certificates, tax anticipation warrants or notes, vouchers,
11and any other evidence of indebtedness.
12    (h) "Taxing districts" means counties, townships,
13municipalities, and school, road, park, sanitary, mosquito
14abatement, forest preserve, public health, fire protection,
15river conservancy, tuberculosis sanitarium and any other
16municipal corporations or districts with the power to levy
17taxes upon property located within the economic development
18project area.
19(Source: P.A. 97-636, eff. 6-1-12.)
 
20    Section 140. The Illinois Promotion Act is amended by
21changing Section 13a as follows:
 
22    (20 ILCS 665/13a)  (from Ch. 127, par. 200-33a)
23    Sec. 13a. Positive action Affirmative action. The
24Department shall, within 90 days after the effective date of

 

 

HB3914 Engrossed- 36 -LRB102 16820 RJF 22223 b

1this amendatory Act of 1984, establish and maintain a positive
2action an affirmative action program designed to promote equal
3employment opportunity and eliminate the effects of past
4discrimination. Such program shall include a plan which shall
5specify goals and methods for increasing participation by
6women and minorities in employment by parties which receive
7funds pursuant to this Act. The Department shall submit a
8detailed plan with the General Assembly prior to March 1 of
9each year. Such program shall also establish procedures to
10ensure compliance with the plan established pursuant to this
11Section and with State and federal laws and regulations
12relating to the employment of women and minorities.
13(Source: P.A. 92-38, eff. 6-28-01.)
 
14    Section 145. The Department of Public Health Powers and
15Duties Law of the Civil Administrative Code of Illinois is
16amended by changing Section 2310-213 as follows:
 
17    (20 ILCS 2310/2310-213)
18    Sec. 2310-213. Diversity in Health Care Professions Task
19Force.
20    (a) The Diversity in Health Care Professions Task Force is
21created. The Director shall serve as the chairperson and shall
22appoint the following members to the Task Force, licensed to
23practice in their respective fields in Illinois:
24        (1) 2 dentists.

 

 

HB3914 Engrossed- 37 -LRB102 16820 RJF 22223 b

1        (2) 2 medical doctors.
2        (3) 2 nurses.
3        (4) 2 optometrists.
4        (5) 2 pharmacists.
5        (6) 2 physician assistants.
6        (7) 2 podiatrists.
7        (8) 2 public health practitioners.
8    (b) The Task Force has the following objectives:
9        (1) Minority students pursuing medicine or healthcare
10    as a career option. The goal is to diversify the health
11    care workforce by engaging students, parents, and the
12    community to build an infrastructure that assists students
13    in developing the skills necessary for careers in
14    healthcare.
15        (2) Establishing a mentee/mentor relationship with
16    current healthcare professionals and students, utilizing
17    social media to communicate important messages and success
18    stories, and holding a conference related to diversity and
19    inclusion in healthcare professions.
20        (3) Early employment and support, including (i)
21    researching and leveraging best practices, including
22    recruitment, retention, orientation, workplace diversity,
23    and inclusion training, (ii) identifying barriers to
24    inclusion and retention, and (iii) proposing solutions.
25        (4) Healthcare leadership and succession planning,
26    including:

 

 

HB3914 Engrossed- 38 -LRB102 16820 RJF 22223 b

1            (A) providing education, resources and tool kits
2        to fully support, implement, and cultivate diversity
3        and inclusion in Illinois health-related professions
4        through coordination of resources from professional
5        health care leadership organizations;
6            (B) developing healthy work environments,
7        leadership training on culture, diversity, and
8        inclusion; and
9            (C) obtaining workforce development concentrated
10        on graduate and post-graduate education and succession
11        planning.
12    (c) The Task Force may collaborate with policy makers,
13medical and specialty societies, national minority
14organizations, and other groups to achieve greater diversity
15in medicine and the health professions.
16    The Task Force's priorities are:
17        (1) Positive action Affirmative action programs should
18    be designed to promote the entry of racial and ethnic
19    minority students into medical school, as well as other
20    specialized training programs for other health
21    professions.
22        (2) Recruitment activities should support and advocate
23    for the full spectrum of racial, ethnic, and cultural
24    diversity, including language, national origin, and
25    religion within the healthcare profession. These
26    activities should maintain the high quality of the health

 

 

HB3914 Engrossed- 39 -LRB102 16820 RJF 22223 b

1    care workforce and encourage individuals from all
2    backgrounds to enter careers in healthcare.
3        (3) Recruitment and academic preparations of
4    underrepresented minority students should begin in
5    elementary school and continue through the entire scope of
6    their education and professional formation. Efforts to
7    recruit minority students into the various health care
8    professions should be targeted appropriately at each
9    educational level.
10        (4) Financial incentives should be increased to
11    minority students, including federal funding for diversity
12    programs, such as Title VII funding, loan forgiveness or
13    repayment programs, and tuition reimbursement.
14        (5) Enhancing diversity within the healthcare
15    workforce will require a commitment at the highest levels.
16    To put this commitment into practice, educational and
17    healthcare institutions, medical organizations, and other
18    relevant bodies should hire staff who are responsible
19    solely for the implementation, management, and evaluation
20    of diversity programs and who are accountable to the
21    organizational leadership. These programs should be
22    integrated into the organization's operations and provided
23    with an infrastructure adequate to implement and measure
24    the effectiveness of their activities.
25        (6) Institutional commitments to improve workforce
26    diversity must include a formal program or mechanism to

 

 

HB3914 Engrossed- 40 -LRB102 16820 RJF 22223 b

1    ensure that racial, ethnic, and cultural minority
2    individuals rise to leadership positions at all levels.
3        (7) Organizations with a stake in enhancing workforce
4    diversity should implement systems to track data and
5    information on race, ethnicity, and other cultural
6    attributes.
7    (d) Task Force members shall serve without compensation
8but may be reimbursed for their expenses incurred in
9performing their duties. The Task Force shall meet at least
10quarterly and at other times as called by the chairperson.
11    (e) The Department of Public Health shall provide
12administrative and other support to the Task Force.
13    (f) The Task Force shall prepare a report that summarizes
14its work and makes recommendations resulting from its study.
15The Task Force shall submit the report of its findings and
16recommendations to the Governor and the General Assembly by
17December 1, 2020 and annually thereafter.
18(Source: P.A. 101-273, eff. 1-1-20.)
 
19    Section 150. The Illinois Manufacturing Technology
20Alliance Act is amended by changing Section 9 as follows:
 
21    (20 ILCS 3990/9)  (from Ch. 48, par. 2609)
22    Sec. 9. Personnel. (a) The Board shall appoint, retain and
23employ such persons as it deems necessary to achieve the
24purposes of this Act. The Board shall establish regulations to

 

 

HB3914 Engrossed- 41 -LRB102 16820 RJF 22223 b

1insure that discharge shall not be arbitrary and that hiring
2and promotion are based on merit. No unlawful discrimination,
3as defined by the Illinois Human Rights Act, shall be made in
4any term or aspect of employment nor shall any discrimination
5be made on a basis of political affiliation.
6    The Alliance shall be subject to the Illinois Human Rights
7Act and the remedies and procedures established thereunder.
8The Alliance shall develop a positive action an affirmative
9action program and file it with the Department of Human Rights
10to assure that the employment of applicants and treatment of
11employees are without unlawful discrimination. Such positive
12action affirmative action program shall include provisions
13relating to hiring, upgrading, demotion, transfer,
14recruitment, recruitment advertising, selection for training
15and rates of pay or other forms of compensation.
16    (b) The Board shall organize the staff, assign their
17functions and duties, fix their compensation, benefits and
18conditions of employment, and regulate their travel.
19(Source: P.A. 86-1015.)
 
20    Section 155. The Legislative Commission Reorganization Act
21of 1984 is amended by changing Sections 1-2 and 1-4 as follows:
 
22    (25 ILCS 130/1-2)  (from Ch. 63, par. 1001-2)
23    Sec. 1-2. The Joint Committee on Legislative Support
24Services, hereinafter called the "Joint Committee", is hereby

 

 

HB3914 Engrossed- 42 -LRB102 16820 RJF 22223 b

1created and shall be composed of the President and Minority
2Leader of the Senate and the Speaker and Minority Leader of the
3House of Representatives, all ex officio. Members shall serve
4without compensation but shall be reimbursed for their
5reasonable expenses incurred in the performance of their
6duties under this Act. The Joint Committee on Legislative
7Support Services shall meet quarterly and at such other times
8as it determines necessary to perform its functions under this
9Act. Any action taken by such Joint Committee shall require
10the affirmative vote of at least 3 of the 4 members. The Joint
11Committee may appoint, retain, employ and fix the compensation
12of any necessary professional, technical and secretarial
13staff. The staff shall not be subject to the Personnel Code,
14but the Joint Committee shall adopt rules establishing
15personnel policies, including positive action affirmative
16action, to assure equality of employment opportunity.
17(Source: P.A. 83-1539.)
 
18    (25 ILCS 130/1-4)  (from Ch. 63, par. 1001-4)
19    Sec. 1-4. In addition to its general policy making and
20coordinating responsibilities for the legislative support
21services agencies, the Joint Committee on Legislative Support
22Services shall have the following powers and duties with
23respect to such agencies:
24        (1) To approve the executive director pursuant to
25    Section 1-5(e);

 

 

HB3914 Engrossed- 43 -LRB102 16820 RJF 22223 b

1        (2) To establish uniform hiring practices and
2    personnel procedures, including positive action
3    affirmative action, to assure equality of employment
4    opportunity;
5        (3) To establish uniform contract procedures,
6    including positive action affirmative action, to assure
7    equality in the awarding of contracts, and to maintain a
8    list of all contracts entered into;
9        (4) To establish uniform travel regulations and
10    approve all travel outside the State of Illinois;
11        (5) To coordinate all leases and rental of real
12    property;
13        (6) Except as otherwise expressly provided by law, to
14    coordinate and serve as the agency authorized to assign
15    studies to be performed by any legislative support
16    services agency. Any study requested by resolution or
17    joint resolution of either house of the General Assembly
18    shall be subject to the powers of the Joint Committee to
19    allocate resources available to the General Assembly
20    hereunder; provided, however, that nothing herein shall be
21    construed to preclude the participation by public members
22    in such studies or prohibit their reimbursement for
23    reasonable and necessary expenses in connection therewith;
24        (7) To make recommendations to the General Assembly
25    regarding the continuance of the various committees,
26    boards and commissions that are the subject of the

 

 

HB3914 Engrossed- 44 -LRB102 16820 RJF 22223 b

1    statutory provisions repealed March 31, 1985, under
2    Article 11 of this Act;
3        (8) To assist the Auditor General as necessary to
4    assure the orderly and efficient termination of the
5    various committees, boards and commissions that are
6    subject to Article 12 of this Act;
7        (9) To consider and make recommendations to the
8    General Assembly regarding further reorganization of the
9    legislative support services agencies, and other
10    legislative committees, boards and commissions, as it may
11    from time to time determine to be necessary;
12        (10) To consider and recommend a comprehensive
13    transition plan for the legislative support services
14    agencies, including but not limited to issues such as the
15    consolidation of the organizational structure,
16    centralization or decentralization of staff, appropriate
17    level of member participation, guidelines for policy
18    development, further reductions which may be necessary,
19    and measures which can be taken to improve efficiency, and
20    ensure accountability. To assist in such recommendations
21    the Joint Committee may appoint an Advisory Group.
22    Recommendations of the Joint Committee shall be reported
23    to the members of the General Assembly no later than
24    November 13, 1984. The requirement for reporting to the
25    General Assembly shall be satisfied by filing copies of
26    the report as required by Section 3.1 of the General

 

 

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1    Assembly Organization Act, and filing such additional
2    copies with the State Government Report Distribution
3    Center for the General Assembly as is required under
4    paragraph (t) of Section 7 of the State Library Act;
5        (11) To contract for the establishment of child care
6    services pursuant to the State Agency Employees Child Care
7    Services Act; and
8        (12) To use funds appropriated from the General
9    Assembly Computer Equipment Revolving Fund for the
10    purchase of computer equipment for the General Assembly
11    and for related expenses and for other operational
12    purposes of the General Assembly in accordance with
13    Section 6 of the Legislative Information System Act.
14(Source: P.A. 100-1148, eff. 12-10-18.)
 
15    Section 160. The Architectural, Engineering, and Land
16Surveying Qualifications Based Selection Act is amended by
17changing Section 80 as follows:
 
18    (30 ILCS 535/80)  (from Ch. 127, par. 4151-80)
19    Sec. 80. Positive action Affirmative action. Nothing in
20this Act shall be deemed to prohibit or restrict agencies from
21establishing or maintaining positive action affirmative action
22contracting goals for minorities or women, or small business
23setaside programs, now or hereafter established by law, rules
24and regulations, or executive order.

 

 

HB3914 Engrossed- 46 -LRB102 16820 RJF 22223 b

1(Source: P.A. 87-673.)
 
2    Section 165. The Local Government Facility Lease Act is
3amended by changing Section 10 as follows:
 
4    (50 ILCS 615/10)
5    Sec. 10. Compliance with applicable ordinances. Each party
6to whom facility property is leased shall comply with all
7applicable ordinances of the municipality in which the
8property is located governing contracting with minority-owned
9and women-owned businesses and prohibiting discrimination and
10requiring appropriate positive action affirmative action, to
11the extent permitted by law and federal funding restrictions,
12as if the party to whom the property is leased were that
13municipality.
14(Source: P.A. 94-750, eff. 5-9-06.)
 
15    Section 170. The Fire Department Promotion Act is amended
16by changing Section 10 as follows:
 
17    (50 ILCS 742/10)
18    Sec. 10. Applicability.
19    (a) This Act shall apply to all positions in an affected
20department, except those specifically excluded in items (i),
21(ii), (iii), (iv), and (v) of the definition of "promotion" in
22Section 5 unless such positions are covered by a collective

 

 

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1bargaining agreement in force on the effective date of this
2Act. Existing promotion lists shall continue to be valid until
3their expiration dates, or up to a maximum of 3 years after the
4effective date of this Act.
5    (b) Notwithstanding any statute, ordinance, rule, or other
6laws to the contrary, all promotions in an affected department
7to which this Act applies shall be administered in the manner
8provided for in this Act. Provisions of the Illinois Municipal
9Code, the Fire Protection District Act, municipal ordinances,
10or rules adopted pursuant to such authority and other laws
11relating to promotions in affected departments shall continue
12to apply to the extent they are compatible with this Act, but
13in the event of conflict between this Act and any other law,
14this Act shall control.
15    (c) A home rule or non-home rule municipality may not
16administer its fire department promotion process in a manner
17that is inconsistent with this Act. This Section is a
18limitation under subsection (i) of Section 6 of Article VII of
19the Illinois Constitution on the concurrent exercise by home
20rule units of the powers and functions exercised by the State.
21    (d) This Act is intended to serve as a minimum standard and
22shall be construed to authorize and not to limit:
23        (1) An appointing authority from establishing
24    different or supplemental promotional criteria or
25    components, provided that the criteria are job-related and
26    applied uniformly.

 

 

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1        (2) The right of an exclusive bargaining
2    representative to require an employer to negotiate clauses
3    within a collective bargaining agreement relating to
4    conditions, criteria, or procedures for the promotion of
5    employees to ranks, as defined in Section 5, covered by
6    this Act.
7        (3) The negotiation by an employer and an exclusive
8    bargaining representative of provisions within a
9    collective bargaining agreement to achieve positive action
10    affirmative action objectives, provided that such clauses
11    are consistent with applicable law.
12    (e) Local authorities and exclusive bargaining agents
13affected by this Act may agree to waive one or more of its
14provisions and bargain on the contents of those provisions,
15provided that any such waivers shall be considered permissive
16subjects of bargaining.
17(Source: P.A. 93-411, eff. 8-4-03; 94-809, eff. 5-26-06.)
 
18    Section 175. The County Economic Development Project Area
19Property Tax Allocation Act is amended by changing Section 3
20as follows:
 
21    (55 ILCS 85/3)  (from Ch. 34, par. 7003)
22    Sec. 3. Definitions. In this Act, words or terms shall
23have the following meanings unless the context usage clearly
24indicates that another meaning is intended.

 

 

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1    (a) "Department" means the Department of Commerce and
2Economic Opportunity.
3    (b) "Economic development plan" means the written plan of
4a county which sets forth an economic development program for
5an economic development project area. Each economic
6development plan shall include but not be limited to (1)
7estimated economic development project costs, (2) the sources
8of funds to pay such costs, (3) the nature and term of any
9obligations to be issued by the county to pay such costs, (4)
10the most recent equalized assessed valuation of the economic
11development project area, (5) an estimate of the equalized
12assessed valuation of the economic development project area
13after completion of the economic development plan, (6) the
14estimated date of completion of any economic development
15project proposed to be undertaken, (7) a general description
16of any proposed developer, user, or tenant of any property to
17be located or improved within the economic development project
18area, (8) a description of the type, structure and general
19character of the facilities to be developed or improved in the
20economic development project area, (9) a description of the
21general land uses to apply in the economic development project
22area, (10) a description of the type, class and number of
23employees to be employed in the operation of the facilities to
24be developed or improved in the economic development project
25area and (11) a commitment by the county to fair employment
26practices and a positive action an affirmative action plan

 

 

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1with respect to any economic development program to be
2undertaken by the county. The economic development plan for an
3economic development project area authorized by subsection
4(a-15) of Section 4 of this Act must additionally include (1)
5evidence indicating that the redevelopment project area on the
6whole has not been subject to growth and development through
7investment by private enterprise and is not reasonably
8expected to be subject to such growth and development without
9the assistance provided through the implementation of the
10economic development plan and (2) evidence that portions of
11the economic development project area have incurred Illinois
12Environmental Protection Agency or United States Environmental
13Protection Agency remediation costs for, or a study conducted
14by an independent consultant recognized as having expertise in
15environmental remediation has determined a need for, the
16clean-up of hazardous waste, hazardous substances, or
17underground storage tanks required by State or federal law,
18provided that the remediation costs constitute a material
19impediment to the development or redevelopment of the project
20area.
21    (c) "Economic development project" means any development
22project in furtherance of the objectives of this Act.
23    (d) "Economic development project area" means any improved
24or vacant area which is located within the corporate limits of
25a county and which (1) is within the unincorporated area of
26such county, or, with the consent of any affected

 

 

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1municipality, is located partially within the unincorporated
2area of such county and partially within one or more
3municipalities, (2) is contiguous, (3) is not less in the
4aggregate than 100 acres and, for an economic development
5project area authorized by subsection (a-15) of Section 4 of
6this Act, not more than 2,000 acres, (4) is suitable for siting
7by any commercial, manufacturing, industrial, research or
8transportation enterprise of facilities to include but not be
9limited to commercial businesses, offices, factories, mills,
10processing plants, assembly plants, packing plants,
11fabricating plants, industrial or commercial distribution
12centers, warehouses, repair overhaul or service facilities,
13freight terminals, research facilities, test facilities or
14transportation facilities, whether or not such area has been
15used at any time for such facilities and whether or not the
16area has been used or is suitable for such facilities and
17whether or not the area has been used or is suitable for other
18uses, including commercial agricultural purposes, and (5)
19which has been certified by the Department pursuant to this
20Act.
21    (e) "Economic development project costs" means and
22includes the sum total of all reasonable or necessary costs
23incurred by a county incidental to an economic development
24project, including, without limitation, the following:
25        (1) Costs of studies, surveys, development of plans
26    and specifications, implementation and administration of

 

 

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1    an economic development plan, personnel and professional
2    service costs for architectural, engineering, legal,
3    marketing, financial, planning, sheriff, fire, public
4    works or other services, provided that no charges for
5    professional services may be based on a percentage of
6    incremental tax revenue;
7        (2) Property assembly costs within an economic
8    development project area, including but not limited to
9    acquisition of land and other real or personal property or
10    rights or interests therein, and specifically including
11    payments to developers or other non-governmental persons
12    as reimbursement for property assembly costs incurred by
13    such developer or other non-governmental person;
14        (3) Site preparation costs, including but not limited
15    to clearance of any area within an economic development
16    project area by demolition or removal of any existing
17    buildings, structures, fixtures, utilities and
18    improvements and clearing and grading; site improvement
19    addressing ground level or below ground environmental
20    contamination; and including installation, repair,
21    construction, reconstruction, or relocation of public
22    streets, public utilities, and other public site
23    improvements within or without an economic development
24    project area which are essential to the preparation of the
25    economic development project area for use in accordance
26    with an economic development plan; and specifically

 

 

HB3914 Engrossed- 53 -LRB102 16820 RJF 22223 b

1    including payments to developers or other non-governmental
2    persons as reimbursement for site preparation costs
3    incurred by such developer or non-governmental person;
4        (4) Costs of renovation, rehabilitation,
5    reconstruction, relocation, repair or remodeling of any
6    existing buildings, improvements, and fixtures within an
7    economic development project area, and specifically
8    including payments to developers or other non-governmental
9    persons as reimbursement for such costs incurred by such
10    developer or non-governmental person;
11        (5) Costs of construction within an economic
12    development project area of public improvements, including
13    but not limited to, buildings, structures, works,
14    improvements, utilities or fixtures;
15        (6) Financing costs, including but not limited to all
16    necessary and incidental expenses related to the issuance
17    of obligations, payment of any interest on any obligations
18    issued hereunder which accrues during the estimated period
19    of construction of any economic development project for
20    which such obligations are issued and for not exceeding 36
21    months thereafter, and any reasonable reserves related to
22    the issuance of such obligations;
23        (7) All or a portion of a taxing district's capital
24    costs resulting from an economic development project
25    necessarily incurred or estimated to be incurred by a
26    taxing district in the furtherance of the objectives of an

 

 

HB3914 Engrossed- 54 -LRB102 16820 RJF 22223 b

1    economic development project, to the extent that the
2    county by written agreement accepts, approves and agrees
3    to incur or to reimburse such costs;
4        (8) Relocation costs to the extent that a county
5    determines that relocation costs shall be paid or is
6    required to make payment of relocation costs by federal or
7    State law;
8        (9) The estimated tax revenues from real property in
9    an economic development project area acquired by a county
10    which, according to the economic development plan, is to
11    be used for a private use and which any taxing district
12    would have received had the county not adopted property
13    tax allocation financing for an economic development
14    project area and which would result from such taxing
15    district's levies made after the time of the adoption by
16    the county of property tax allocation financing to the
17    time the current equalized assessed value of real property
18    in the economic development project area exceeds the total
19    initial equalized value of real property in that area;
20        (10) Costs of rebating ad valorem taxes paid by any
21    developer or other nongovernmental person in whose name
22    the general taxes were paid for the last preceding year on
23    any lot, block, tract or parcel of land in the economic
24    development project area, provided that:
25            (i) such economic development project area is
26        located in an enterprise zone created pursuant to the

 

 

HB3914 Engrossed- 55 -LRB102 16820 RJF 22223 b

1        Illinois Enterprise Zone Act; compliance with this
2        provision (i) is not required in Grundy County in
3        relation to one or more contiguous parcels not
4        exceeding a total area of 120 acres within which an
5        electric generating facility is intended to be
6        constructed and where the owner of such proposed
7        electric generating facility has entered into a
8        redevelopment agreement with Grundy County in respect
9        thereto between July 25, 2013 and July 26, 2017;
10            (ii) such ad valorem taxes shall be rebated only
11        in such amounts and for such tax year or years as the
12        county and any one or more affected taxing districts
13        shall have agreed by prior written agreement;
14        beginning on July 25, 2013 and ending on July 25, 2017,
15        compliance with this provision (ii) is not required in
16        Grundy County in relation to one or more contiguous
17        parcels not exceeding a total area of 120 acres within
18        which an electric generating facility is intended to
19        be constructed and where the owner of such proposed
20        electric generating facility has entered into a
21        redevelopment agreement with Grundy County in respect
22        thereto if the county receives approval from 2/3 of
23        the taxing districts having taxable property within
24        such parcels and representing no less than 75% of the
25        aggregate tax levy for those taxing districts for the
26        levy year;

 

 

HB3914 Engrossed- 56 -LRB102 16820 RJF 22223 b

1            (iii) any amount of rebate of taxes shall not
2        exceed the portion, if any, of taxes levied by the
3        county or such taxing district or districts which is
4        attributable to the increase in the current equalized
5        assessed valuation of each taxable lot, block, tract
6        or parcel of real property in the economic development
7        project area over and above the initial equalized
8        assessed value of each property existing at the time
9        property tax allocation financing was adopted for said
10        economic development project area; and
11            (iv) costs of rebating ad valorem taxes shall be
12        paid by a county solely from the special tax
13        allocation fund established pursuant to this Act and
14        shall be paid from the proceeds of any obligations
15        issued by a county.
16        (11) Costs of job training, advanced vocational
17    education or career education programs, including but not
18    limited to courses in occupational, semi-technical or
19    technical fields leading directly to employment, incurred
20    by one or more taxing districts, provided that such costs
21    are related to the establishment and maintenance of
22    additional job training, advanced vocational education or
23    career education programs for persons employed or to be
24    employed by employers located in an economic development
25    project area, and further provided, that when such costs
26    are incurred by a taxing district or taxing districts

 

 

HB3914 Engrossed- 57 -LRB102 16820 RJF 22223 b

1    other than the county, they shall be set forth in a written
2    agreement by or among the county and the taxing district
3    or taxing districts, which agreement describes the program
4    to be undertaken, including, but not limited to, the
5    number of employees to be trained, a description of the
6    training and services to be provided, the number and type
7    of positions available or to be available, itemized costs
8    of the program and sources of funds to pay the same, and
9    the term of the agreement. Such costs include,
10    specifically, the payment by community college districts
11    of costs pursuant to Section 3-37, 3-38, 3-40 and 3-40.1
12    of the Public Community College Act and by school
13    districts of costs pursuant to Sections 10-22.20 and
14    10-23.3a of the School Code;
15        (12) Private financing costs incurred by developers or
16    other non-governmental persons in connection with an
17    economic development project, and specifically including
18    payments to developers or other non-governmental persons
19    as reimbursement for such costs incurred by such developer
20    or other non-governmental persons provided that:
21            (A) private financing costs shall be paid or
22        reimbursed by a county only pursuant to the prior
23        official action of the county evidencing an intent to
24        pay such private financing costs;
25            (B) except as provided in subparagraph (D) of this
26        Section, the aggregate amount of such costs paid or

 

 

HB3914 Engrossed- 58 -LRB102 16820 RJF 22223 b

1        reimbursed by a county in any one year shall not exceed
2        30% of such costs paid or incurred by such developer or
3        other non-governmental person in that year;
4            (C) private financing costs shall be paid or
5        reimbursed by a county solely from the special tax
6        allocation fund established pursuant to this Act and
7        shall not be paid or reimbursed from the proceeds of
8        any obligations issued by a county;
9            (D) if there are not sufficient funds available in
10        the special tax allocation fund in any year to make
11        such payment or reimbursement in full, any amount of
12        such private financing costs remaining to be paid or
13        reimbursed by a county shall accrue and be payable
14        when funds are available in the special tax allocation
15        fund to make such payment; and
16            (E) in connection with its approval and
17        certification of an economic development project
18        pursuant to Section 5 of this Act, the Department
19        shall review any agreement authorizing the payment or
20        reimbursement by a county of private financing costs
21        in its consideration of the impact on the revenues of
22        the county and the affected taxing districts of the
23        use of property tax allocation financing.
24    (f) "Obligations" means any instrument evidencing the
25obligation of a county to pay money, including without
26limitation, bonds, notes, installment or financing contracts,

 

 

HB3914 Engrossed- 59 -LRB102 16820 RJF 22223 b

1certificates, tax anticipation warrants or notes, vouchers,
2and any other evidence of indebtedness.
3    (g) "Taxing districts" means municipalities, townships,
4counties, and school, road, park, sanitary, mosquito
5abatement, forest preserve, public health, fire protection,
6river conservancy, tuberculosis sanitarium and any other
7county corporations or districts with the power to levy taxes
8on real property.
9(Source: P.A. 98-109, eff. 7-25-13; 99-513, eff. 6-30-16.)
 
10    Section 180. The Illinois Municipal Code is amended by
11changing Sections 11-74.4-3 and 11-74.6-10 as follows:
 
12    (65 ILCS 5/11-74.4-3)  (from Ch. 24, par. 11-74.4-3)
13    Sec. 11-74.4-3. Definitions. The following terms, wherever
14used or referred to in this Division 74.4 shall have the
15following respective meanings, unless in any case a different
16meaning clearly appears from the context.
17    (a) For any redevelopment project area that has been
18designated pursuant to this Section by an ordinance adopted
19prior to November 1, 1999 (the effective date of Public Act
2091-478), "blighted area" shall have the meaning set forth in
21this Section prior to that date.
22    On and after November 1, 1999, "blighted area" means any
23improved or vacant area within the boundaries of a
24redevelopment project area located within the territorial

 

 

HB3914 Engrossed- 60 -LRB102 16820 RJF 22223 b

1limits of the municipality where:
2        (1) If improved, industrial, commercial, and
3    residential buildings or improvements are detrimental to
4    the public safety, health, or welfare because of a
5    combination of 5 or more of the following factors, each of
6    which is (i) present, with that presence documented, to a
7    meaningful extent so that a municipality may reasonably
8    find that the factor is clearly present within the intent
9    of the Act and (ii) reasonably distributed throughout the
10    improved part of the redevelopment project area:
11            (A) Dilapidation. An advanced state of disrepair
12        or neglect of necessary repairs to the primary
13        structural components of buildings or improvements in
14        such a combination that a documented building
15        condition analysis determines that major repair is
16        required or the defects are so serious and so
17        extensive that the buildings must be removed.
18            (B) Obsolescence. The condition or process of
19        falling into disuse. Structures have become ill-suited
20        for the original use.
21            (C) Deterioration. With respect to buildings,
22        defects including, but not limited to, major defects
23        in the secondary building components such as doors,
24        windows, porches, gutters and downspouts, and fascia.
25        With respect to surface improvements, that the
26        condition of roadways, alleys, curbs, gutters,

 

 

HB3914 Engrossed- 61 -LRB102 16820 RJF 22223 b

1        sidewalks, off-street parking, and surface storage
2        areas evidence deterioration, including, but not
3        limited to, surface cracking, crumbling, potholes,
4        depressions, loose paving material, and weeds
5        protruding through paved surfaces.
6            (D) Presence of structures below minimum code
7        standards. All structures that do not meet the
8        standards of zoning, subdivision, building, fire, and
9        other governmental codes applicable to property, but
10        not including housing and property maintenance codes.
11            (E) Illegal use of individual structures. The use
12        of structures in violation of applicable federal,
13        State, or local laws, exclusive of those applicable to
14        the presence of structures below minimum code
15        standards.
16            (F) Excessive vacancies. The presence of buildings
17        that are unoccupied or under-utilized and that
18        represent an adverse influence on the area because of
19        the frequency, extent, or duration of the vacancies.
20            (G) Lack of ventilation, light, or sanitary
21        facilities. The absence of adequate ventilation for
22        light or air circulation in spaces or rooms without
23        windows, or that require the removal of dust, odor,
24        gas, smoke, or other noxious airborne materials.
25        Inadequate natural light and ventilation means the
26        absence of skylights or windows for interior spaces or

 

 

HB3914 Engrossed- 62 -LRB102 16820 RJF 22223 b

1        rooms and improper window sizes and amounts by room
2        area to window area ratios. Inadequate sanitary
3        facilities refers to the absence or inadequacy of
4        garbage storage and enclosure, bathroom facilities,
5        hot water and kitchens, and structural inadequacies
6        preventing ingress and egress to and from all rooms
7        and units within a building.
8            (H) Inadequate utilities. Underground and overhead
9        utilities such as storm sewers and storm drainage,
10        sanitary sewers, water lines, and gas, telephone, and
11        electrical services that are shown to be inadequate.
12        Inadequate utilities are those that are: (i) of
13        insufficient capacity to serve the uses in the
14        redevelopment project area, (ii) deteriorated,
15        antiquated, obsolete, or in disrepair, or (iii)
16        lacking within the redevelopment project area.
17            (I) Excessive land coverage and overcrowding of
18        structures and community facilities. The
19        over-intensive use of property and the crowding of
20        buildings and accessory facilities onto a site.
21        Examples of problem conditions warranting the
22        designation of an area as one exhibiting excessive
23        land coverage are: (i) the presence of buildings
24        either improperly situated on parcels or located on
25        parcels of inadequate size and shape in relation to
26        present-day standards of development for health and

 

 

HB3914 Engrossed- 63 -LRB102 16820 RJF 22223 b

1        safety and (ii) the presence of multiple buildings on
2        a single parcel. For there to be a finding of excessive
3        land coverage, these parcels must exhibit one or more
4        of the following conditions: insufficient provision
5        for light and air within or around buildings,
6        increased threat of spread of fire due to the close
7        proximity of buildings, lack of adequate or proper
8        access to a public right-of-way, lack of reasonably
9        required off-street parking, or inadequate provision
10        for loading and service.
11            (J) Deleterious land use or layout. The existence
12        of incompatible land-use relationships, buildings
13        occupied by inappropriate mixed-uses, or uses
14        considered to be noxious, offensive, or unsuitable for
15        the surrounding area.
16            (K) Environmental clean-up. The proposed
17        redevelopment project area has incurred Illinois
18        Environmental Protection Agency or United States
19        Environmental Protection Agency remediation costs for,
20        or a study conducted by an independent consultant
21        recognized as having expertise in environmental
22        remediation has determined a need for, the clean-up of
23        hazardous waste, hazardous substances, or underground
24        storage tanks required by State or federal law,
25        provided that the remediation costs constitute a
26        material impediment to the development or

 

 

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1        redevelopment of the redevelopment project area.
2            (L) Lack of community planning. The proposed
3        redevelopment project area was developed prior to or
4        without the benefit or guidance of a community plan.
5        This means that the development occurred prior to the
6        adoption by the municipality of a comprehensive or
7        other community plan or that the plan was not followed
8        at the time of the area's development. This factor
9        must be documented by evidence of adverse or
10        incompatible land-use relationships, inadequate street
11        layout, improper subdivision, parcels of inadequate
12        shape and size to meet contemporary development
13        standards, or other evidence demonstrating an absence
14        of effective community planning.
15            (M) The total equalized assessed value of the
16        proposed redevelopment project area has declined for 3
17        of the last 5 calendar years prior to the year in which
18        the redevelopment project area is designated or is
19        increasing at an annual rate that is less than the
20        balance of the municipality for 3 of the last 5
21        calendar years for which information is available or
22        is increasing at an annual rate that is less than the
23        Consumer Price Index for All Urban Consumers published
24        by the United States Department of Labor or successor
25        agency for 3 of the last 5 calendar years prior to the
26        year in which the redevelopment project area is

 

 

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1        designated.
2        (2) If vacant, the sound growth of the redevelopment
3    project area is impaired by a combination of 2 or more of
4    the following factors, each of which is (i) present, with
5    that presence documented, to a meaningful extent so that a
6    municipality may reasonably find that the factor is
7    clearly present within the intent of the Act and (ii)
8    reasonably distributed throughout the vacant part of the
9    redevelopment project area to which it pertains:
10            (A) Obsolete platting of vacant land that results
11        in parcels of limited or narrow size or configurations
12        of parcels of irregular size or shape that would be
13        difficult to develop on a planned basis and in a manner
14        compatible with contemporary standards and
15        requirements, or platting that failed to create
16        rights-of-ways for streets or alleys or that created
17        inadequate right-of-way widths for streets, alleys, or
18        other public rights-of-way or that omitted easements
19        for public utilities.
20            (B) Diversity of ownership of parcels of vacant
21        land sufficient in number to retard or impede the
22        ability to assemble the land for development.
23            (C) Tax and special assessment delinquencies exist
24        or the property has been the subject of tax sales under
25        the Property Tax Code within the last 5 years.
26            (D) Deterioration of structures or site

 

 

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1        improvements in neighboring areas adjacent to the
2        vacant land.
3            (E) The area has incurred Illinois Environmental
4        Protection Agency or United States Environmental
5        Protection Agency remediation costs for, or a study
6        conducted by an independent consultant recognized as
7        having expertise in environmental remediation has
8        determined a need for, the clean-up of hazardous
9        waste, hazardous substances, or underground storage
10        tanks required by State or federal law, provided that
11        the remediation costs constitute a material impediment
12        to the development or redevelopment of the
13        redevelopment project area.
14            (F) The total equalized assessed value of the
15        proposed redevelopment project area has declined for 3
16        of the last 5 calendar years prior to the year in which
17        the redevelopment project area is designated or is
18        increasing at an annual rate that is less than the
19        balance of the municipality for 3 of the last 5
20        calendar years for which information is available or
21        is increasing at an annual rate that is less than the
22        Consumer Price Index for All Urban Consumers published
23        by the United States Department of Labor or successor
24        agency for 3 of the last 5 calendar years prior to the
25        year in which the redevelopment project area is
26        designated.

 

 

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1        (3) If vacant, the sound growth of the redevelopment
2    project area is impaired by one of the following factors
3    that (i) is present, with that presence documented, to a
4    meaningful extent so that a municipality may reasonably
5    find that the factor is clearly present within the intent
6    of the Act and (ii) is reasonably distributed throughout
7    the vacant part of the redevelopment project area to which
8    it pertains:
9            (A) The area consists of one or more unused
10        quarries, mines, or strip mine ponds.
11            (B) The area consists of unused rail yards, rail
12        tracks, or railroad rights-of-way.
13            (C) The area, prior to its designation, is subject
14        to (i) chronic flooding that adversely impacts on real
15        property in the area as certified by a registered
16        professional engineer or appropriate regulatory agency
17        or (ii) surface water that discharges from all or a
18        part of the area and contributes to flooding within
19        the same watershed, but only if the redevelopment
20        project provides for facilities or improvements to
21        contribute to the alleviation of all or part of the
22        flooding.
23            (D) The area consists of an unused or illegal
24        disposal site containing earth, stone, building
25        debris, or similar materials that were removed from
26        construction, demolition, excavation, or dredge sites.

 

 

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1            (E) Prior to November 1, 1999, the area is not less
2        than 50 nor more than 100 acres and 75% of which is
3        vacant (notwithstanding that the area has been used
4        for commercial agricultural purposes within 5 years
5        prior to the designation of the redevelopment project
6        area), and the area meets at least one of the factors
7        itemized in paragraph (1) of this subsection, the area
8        has been designated as a town or village center by
9        ordinance or comprehensive plan adopted prior to
10        January 1, 1982, and the area has not been developed
11        for that designated purpose.
12            (F) The area qualified as a blighted improved area
13        immediately prior to becoming vacant, unless there has
14        been substantial private investment in the immediately
15        surrounding area.
16    (b) For any redevelopment project area that has been
17designated pursuant to this Section by an ordinance adopted
18prior to November 1, 1999 (the effective date of Public Act
1991-478), "conservation area" shall have the meaning set forth
20in this Section prior to that date.
21    On and after November 1, 1999, "conservation area" means
22any improved area within the boundaries of a redevelopment
23project area located within the territorial limits of the
24municipality in which 50% or more of the structures in the area
25have an age of 35 years or more. Such an area is not yet a
26blighted area but because of a combination of 3 or more of the

 

 

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1following factors is detrimental to the public safety, health,
2morals or welfare and such an area may become a blighted area:
3        (1) Dilapidation. An advanced state of disrepair or
4    neglect of necessary repairs to the primary structural
5    components of buildings or improvements in such a
6    combination that a documented building condition analysis
7    determines that major repair is required or the defects
8    are so serious and so extensive that the buildings must be
9    removed.
10        (2) Obsolescence. The condition or process of falling
11    into disuse. Structures have become ill-suited for the
12    original use.
13        (3) Deterioration. With respect to buildings, defects
14    including, but not limited to, major defects in the
15    secondary building components such as doors, windows,
16    porches, gutters and downspouts, and fascia. With respect
17    to surface improvements, that the condition of roadways,
18    alleys, curbs, gutters, sidewalks, off-street parking, and
19    surface storage areas evidence deterioration, including,
20    but not limited to, surface cracking, crumbling, potholes,
21    depressions, loose paving material, and weeds protruding
22    through paved surfaces.
23        (4) Presence of structures below minimum code
24    standards. All structures that do not meet the standards
25    of zoning, subdivision, building, fire, and other
26    governmental codes applicable to property, but not

 

 

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1    including housing and property maintenance codes.
2        (5) Illegal use of individual structures. The use of
3    structures in violation of applicable federal, State, or
4    local laws, exclusive of those applicable to the presence
5    of structures below minimum code standards.
6        (6) Excessive vacancies. The presence of buildings
7    that are unoccupied or under-utilized and that represent
8    an adverse influence on the area because of the frequency,
9    extent, or duration of the vacancies.
10        (7) Lack of ventilation, light, or sanitary
11    facilities. The absence of adequate ventilation for light
12    or air circulation in spaces or rooms without windows, or
13    that require the removal of dust, odor, gas, smoke, or
14    other noxious airborne materials. Inadequate natural light
15    and ventilation means the absence or inadequacy of
16    skylights or windows for interior spaces or rooms and
17    improper window sizes and amounts by room area to window
18    area ratios. Inadequate sanitary facilities refers to the
19    absence or inadequacy of garbage storage and enclosure,
20    bathroom facilities, hot water and kitchens, and
21    structural inadequacies preventing ingress and egress to
22    and from all rooms and units within a building.
23        (8) Inadequate utilities. Underground and overhead
24    utilities such as storm sewers and storm drainage,
25    sanitary sewers, water lines, and gas, telephone, and
26    electrical services that are shown to be inadequate.

 

 

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1    Inadequate utilities are those that are: (i) of
2    insufficient capacity to serve the uses in the
3    redevelopment project area, (ii) deteriorated, antiquated,
4    obsolete, or in disrepair, or (iii) lacking within the
5    redevelopment project area.
6        (9) Excessive land coverage and overcrowding of
7    structures and community facilities. The over-intensive
8    use of property and the crowding of buildings and
9    accessory facilities onto a site. Examples of problem
10    conditions warranting the designation of an area as one
11    exhibiting excessive land coverage are: the presence of
12    buildings either improperly situated on parcels or located
13    on parcels of inadequate size and shape in relation to
14    present-day standards of development for health and safety
15    and the presence of multiple buildings on a single parcel.
16    For there to be a finding of excessive land coverage,
17    these parcels must exhibit one or more of the following
18    conditions: insufficient provision for light and air
19    within or around buildings, increased threat of spread of
20    fire due to the close proximity of buildings, lack of
21    adequate or proper access to a public right-of-way, lack
22    of reasonably required off-street parking, or inadequate
23    provision for loading and service.
24        (10) Deleterious land use or layout. The existence of
25    incompatible land-use relationships, buildings occupied by
26    inappropriate mixed-uses, or uses considered to be

 

 

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1    noxious, offensive, or unsuitable for the surrounding
2    area.
3        (11) Lack of community planning. The proposed
4    redevelopment project area was developed prior to or
5    without the benefit or guidance of a community plan. This
6    means that the development occurred prior to the adoption
7    by the municipality of a comprehensive or other community
8    plan or that the plan was not followed at the time of the
9    area's development. This factor must be documented by
10    evidence of adverse or incompatible land-use
11    relationships, inadequate street layout, improper
12    subdivision, parcels of inadequate shape and size to meet
13    contemporary development standards, or other evidence
14    demonstrating an absence of effective community planning.
15        (12) The area has incurred Illinois Environmental
16    Protection Agency or United States Environmental
17    Protection Agency remediation costs for, or a study
18    conducted by an independent consultant recognized as
19    having expertise in environmental remediation has
20    determined a need for, the clean-up of hazardous waste,
21    hazardous substances, or underground storage tanks
22    required by State or federal law, provided that the
23    remediation costs constitute a material impediment to the
24    development or redevelopment of the redevelopment project
25    area.
26        (13) The total equalized assessed value of the

 

 

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1    proposed redevelopment project area has declined for 3 of
2    the last 5 calendar years for which information is
3    available or is increasing at an annual rate that is less
4    than the balance of the municipality for 3 of the last 5
5    calendar years for which information is available or is
6    increasing at an annual rate that is less than the
7    Consumer Price Index for All Urban Consumers published by
8    the United States Department of Labor or successor agency
9    for 3 of the last 5 calendar years for which information is
10    available.
11    (c) "Industrial park" means an area in a blighted or
12conservation area suitable for use by any manufacturing,
13industrial, research or transportation enterprise, of
14facilities to include but not be limited to factories, mills,
15processing plants, assembly plants, packing plants,
16fabricating plants, industrial distribution centers,
17warehouses, repair overhaul or service facilities, freight
18terminals, research facilities, test facilities or railroad
19facilities.
20    (d) "Industrial park conservation area" means an area
21within the boundaries of a redevelopment project area located
22within the territorial limits of a municipality that is a
23labor surplus municipality or within 1 1/2 miles of the
24territorial limits of a municipality that is a labor surplus
25municipality if the area is annexed to the municipality; which
26area is zoned as industrial no later than at the time the

 

 

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1municipality by ordinance designates the redevelopment project
2area, and which area includes both vacant land suitable for
3use as an industrial park and a blighted area or conservation
4area contiguous to such vacant land.
5    (e) "Labor surplus municipality" means a municipality in
6which, at any time during the 6 months before the municipality
7by ordinance designates an industrial park conservation area,
8the unemployment rate was over 6% and was also 100% or more of
9the national average unemployment rate for that same time as
10published in the United States Department of Labor Bureau of
11Labor Statistics publication entitled "The Employment
12Situation" or its successor publication. For the purpose of
13this subsection, if unemployment rate statistics for the
14municipality are not available, the unemployment rate in the
15municipality shall be deemed to be the same as the
16unemployment rate in the principal county in which the
17municipality is located.
18    (f) "Municipality" shall mean a city, village,
19incorporated town, or a township that is located in the
20unincorporated portion of a county with 3 million or more
21inhabitants, if the county adopted an ordinance that approved
22the township's redevelopment plan.
23    (g) "Initial Sales Tax Amounts" means the amount of taxes
24paid under the Retailers' Occupation Tax Act, Use Tax Act,
25Service Use Tax Act, the Service Occupation Tax Act, the
26Municipal Retailers' Occupation Tax Act, and the Municipal

 

 

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1Service Occupation Tax Act by retailers and servicemen on
2transactions at places located in a State Sales Tax Boundary
3during the calendar year 1985.
4    (g-1) "Revised Initial Sales Tax Amounts" means the amount
5of taxes paid under the Retailers' Occupation Tax Act, Use Tax
6Act, Service Use Tax Act, the Service Occupation Tax Act, the
7Municipal Retailers' Occupation Tax Act, and the Municipal
8Service Occupation Tax Act by retailers and servicemen on
9transactions at places located within the State Sales Tax
10Boundary revised pursuant to Section 11-74.4-8a(9) of this
11Act.
12    (h) "Municipal Sales Tax Increment" means an amount equal
13to the increase in the aggregate amount of taxes paid to a
14municipality from the Local Government Tax Fund arising from
15sales by retailers and servicemen within the redevelopment
16project area or State Sales Tax Boundary, as the case may be,
17for as long as the redevelopment project area or State Sales
18Tax Boundary, as the case may be, exist over and above the
19aggregate amount of taxes as certified by the Illinois
20Department of Revenue and paid under the Municipal Retailers'
21Occupation Tax Act and the Municipal Service Occupation Tax
22Act by retailers and servicemen, on transactions at places of
23business located in the redevelopment project area or State
24Sales Tax Boundary, as the case may be, during the base year
25which shall be the calendar year immediately prior to the year
26in which the municipality adopted tax increment allocation

 

 

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1financing. For purposes of computing the aggregate amount of
2such taxes for base years occurring prior to 1985, the
3Department of Revenue shall determine the Initial Sales Tax
4Amounts for such taxes and deduct therefrom an amount equal to
54% of the aggregate amount of taxes per year for each year the
6base year is prior to 1985, but not to exceed a total deduction
7of 12%. The amount so determined shall be known as the
8"Adjusted Initial Sales Tax Amounts". For purposes of
9determining the Municipal Sales Tax Increment, the Department
10of Revenue shall for each period subtract from the amount paid
11to the municipality from the Local Government Tax Fund arising
12from sales by retailers and servicemen on transactions located
13in the redevelopment project area or the State Sales Tax
14Boundary, as the case may be, the certified Initial Sales Tax
15Amounts, the Adjusted Initial Sales Tax Amounts or the Revised
16Initial Sales Tax Amounts for the Municipal Retailers'
17Occupation Tax Act and the Municipal Service Occupation Tax
18Act. For the State Fiscal Year 1989, this calculation shall be
19made by utilizing the calendar year 1987 to determine the tax
20amounts received. For the State Fiscal Year 1990, this
21calculation shall be made by utilizing the period from January
221, 1988, until September 30, 1988, to determine the tax
23amounts received from retailers and servicemen pursuant to the
24Municipal Retailers' Occupation Tax and the Municipal Service
25Occupation Tax Act, which shall have deducted therefrom
26nine-twelfths of the certified Initial Sales Tax Amounts, the

 

 

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1Adjusted Initial Sales Tax Amounts or the Revised Initial
2Sales Tax Amounts as appropriate. For the State Fiscal Year
31991, this calculation shall be made by utilizing the period
4from October 1, 1988, to June 30, 1989, to determine the tax
5amounts received from retailers and servicemen pursuant to the
6Municipal Retailers' Occupation Tax and the Municipal Service
7Occupation Tax Act which shall have deducted therefrom
8nine-twelfths of the certified Initial Sales Tax Amounts,
9Adjusted Initial Sales Tax Amounts or the Revised Initial
10Sales Tax Amounts as appropriate. For every State Fiscal Year
11thereafter, the applicable period shall be the 12 months
12beginning July 1 and ending June 30 to determine the tax
13amounts received which shall have deducted therefrom the
14certified Initial Sales Tax Amounts, the Adjusted Initial
15Sales Tax Amounts or the Revised Initial Sales Tax Amounts, as
16the case may be.
17    (i) "Net State Sales Tax Increment" means the sum of the
18following: (a) 80% of the first $100,000 of State Sales Tax
19Increment annually generated within a State Sales Tax
20Boundary; (b) 60% of the amount in excess of $100,000 but not
21exceeding $500,000 of State Sales Tax Increment annually
22generated within a State Sales Tax Boundary; and (c) 40% of all
23amounts in excess of $500,000 of State Sales Tax Increment
24annually generated within a State Sales Tax Boundary. If,
25however, a municipality established a tax increment financing
26district in a county with a population in excess of 3,000,000

 

 

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1before January 1, 1986, and the municipality entered into a
2contract or issued bonds after January 1, 1986, but before
3December 31, 1986, to finance redevelopment project costs
4within a State Sales Tax Boundary, then the Net State Sales Tax
5Increment means, for the fiscal years beginning July 1, 1990,
6and July 1, 1991, 100% of the State Sales Tax Increment
7annually generated within a State Sales Tax Boundary; and
8notwithstanding any other provision of this Act, for those
9fiscal years the Department of Revenue shall distribute to
10those municipalities 100% of their Net State Sales Tax
11Increment before any distribution to any other municipality
12and regardless of whether or not those other municipalities
13will receive 100% of their Net State Sales Tax Increment. For
14Fiscal Year 1999, and every year thereafter until the year
152007, for any municipality that has not entered into a
16contract or has not issued bonds prior to June 1, 1988 to
17finance redevelopment project costs within a State Sales Tax
18Boundary, the Net State Sales Tax Increment shall be
19calculated as follows: By multiplying the Net State Sales Tax
20Increment by 90% in the State Fiscal Year 1999; 80% in the
21State Fiscal Year 2000; 70% in the State Fiscal Year 2001; 60%
22in the State Fiscal Year 2002; 50% in the State Fiscal Year
232003; 40% in the State Fiscal Year 2004; 30% in the State
24Fiscal Year 2005; 20% in the State Fiscal Year 2006; and 10% in
25the State Fiscal Year 2007. No payment shall be made for State
26Fiscal Year 2008 and thereafter.

 

 

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1    Municipalities that issued bonds in connection with a
2redevelopment project in a redevelopment project area within
3the State Sales Tax Boundary prior to July 29, 1991, or that
4entered into contracts in connection with a redevelopment
5project in a redevelopment project area before June 1, 1988,
6shall continue to receive their proportional share of the
7Illinois Tax Increment Fund distribution until the date on
8which the redevelopment project is completed or terminated.
9If, however, a municipality that issued bonds in connection
10with a redevelopment project in a redevelopment project area
11within the State Sales Tax Boundary prior to July 29, 1991
12retires the bonds prior to June 30, 2007 or a municipality that
13entered into contracts in connection with a redevelopment
14project in a redevelopment project area before June 1, 1988
15completes the contracts prior to June 30, 2007, then so long as
16the redevelopment project is not completed or is not
17terminated, the Net State Sales Tax Increment shall be
18calculated, beginning on the date on which the bonds are
19retired or the contracts are completed, as follows: By
20multiplying the Net State Sales Tax Increment by 60% in the
21State Fiscal Year 2002; 50% in the State Fiscal Year 2003; 40%
22in the State Fiscal Year 2004; 30% in the State Fiscal Year
232005; 20% in the State Fiscal Year 2006; and 10% in the State
24Fiscal Year 2007. No payment shall be made for State Fiscal
25Year 2008 and thereafter. Refunding of any bonds issued prior
26to July 29, 1991, shall not alter the Net State Sales Tax

 

 

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1Increment.
2    (j) "State Utility Tax Increment Amount" means an amount
3equal to the aggregate increase in State electric and gas tax
4charges imposed on owners and tenants, other than residential
5customers, of properties located within the redevelopment
6project area under Section 9-222 of the Public Utilities Act,
7over and above the aggregate of such charges as certified by
8the Department of Revenue and paid by owners and tenants,
9other than residential customers, of properties within the
10redevelopment project area during the base year, which shall
11be the calendar year immediately prior to the year of the
12adoption of the ordinance authorizing tax increment allocation
13financing.
14    (k) "Net State Utility Tax Increment" means the sum of the
15following: (a) 80% of the first $100,000 of State Utility Tax
16Increment annually generated by a redevelopment project area;
17(b) 60% of the amount in excess of $100,000 but not exceeding
18$500,000 of the State Utility Tax Increment annually generated
19by a redevelopment project area; and (c) 40% of all amounts in
20excess of $500,000 of State Utility Tax Increment annually
21generated by a redevelopment project area. For the State
22Fiscal Year 1999, and every year thereafter until the year
232007, for any municipality that has not entered into a
24contract or has not issued bonds prior to June 1, 1988 to
25finance redevelopment project costs within a redevelopment
26project area, the Net State Utility Tax Increment shall be

 

 

HB3914 Engrossed- 81 -LRB102 16820 RJF 22223 b

1calculated as follows: By multiplying the Net State Utility
2Tax Increment by 90% in the State Fiscal Year 1999; 80% in the
3State Fiscal Year 2000; 70% in the State Fiscal Year 2001; 60%
4in the State Fiscal Year 2002; 50% in the State Fiscal Year
52003; 40% in the State Fiscal Year 2004; 30% in the State
6Fiscal Year 2005; 20% in the State Fiscal Year 2006; and 10% in
7the State Fiscal Year 2007. No payment shall be made for the
8State Fiscal Year 2008 and thereafter.
9    Municipalities that issue bonds in connection with the
10redevelopment project during the period from June 1, 1988
11until 3 years after the effective date of this Amendatory Act
12of 1988 shall receive the Net State Utility Tax Increment,
13subject to appropriation, for 15 State Fiscal Years after the
14issuance of such bonds. For the 16th through the 20th State
15Fiscal Years after issuance of the bonds, the Net State
16Utility Tax Increment shall be calculated as follows: By
17multiplying the Net State Utility Tax Increment by 90% in year
1816; 80% in year 17; 70% in year 18; 60% in year 19; and 50% in
19year 20. Refunding of any bonds issued prior to June 1, 1988,
20shall not alter the revised Net State Utility Tax Increment
21payments set forth above.
22    (l) "Obligations" mean bonds, loans, debentures, notes,
23special certificates or other evidence of indebtedness issued
24by the municipality to carry out a redevelopment project or to
25refund outstanding obligations.
26    (m) "Payment in lieu of taxes" means those estimated tax

 

 

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1revenues from real property in a redevelopment project area
2derived from real property that has been acquired by a
3municipality which according to the redevelopment project or
4plan is to be used for a private use which taxing districts
5would have received had a municipality not acquired the real
6property and adopted tax increment allocation financing and
7which would result from levies made after the time of the
8adoption of tax increment allocation financing to the time the
9current equalized value of real property in the redevelopment
10project area exceeds the total initial equalized value of real
11property in said area.
12    (n) "Redevelopment plan" means the comprehensive program
13of the municipality for development or redevelopment intended
14by the payment of redevelopment project costs to reduce or
15eliminate those conditions the existence of which qualified
16the redevelopment project area as a "blighted area" or
17"conservation area" or combination thereof or "industrial park
18conservation area," and thereby to enhance the tax bases of
19the taxing districts which extend into the redevelopment
20project area, provided that, with respect to redevelopment
21project areas described in subsections (p-1) and (p-2),
22"redevelopment plan" means the comprehensive program of the
23affected municipality for the development of qualifying
24transit facilities. On and after November 1, 1999 (the
25effective date of Public Act 91-478), no redevelopment plan
26may be approved or amended that includes the development of

 

 

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1vacant land (i) with a golf course and related clubhouse and
2other facilities or (ii) designated by federal, State, county,
3or municipal government as public land for outdoor
4recreational activities or for nature preserves and used for
5that purpose within 5 years prior to the adoption of the
6redevelopment plan. For the purpose of this subsection,
7"recreational activities" is limited to mean camping and
8hunting. Each redevelopment plan shall set forth in writing
9the program to be undertaken to accomplish the objectives and
10shall include but not be limited to:
11        (A) an itemized list of estimated redevelopment
12    project costs;
13        (B) evidence indicating that the redevelopment project
14    area on the whole has not been subject to growth and
15    development through investment by private enterprise,
16    provided that such evidence shall not be required for any
17    redevelopment project area located within a transit
18    facility improvement area established pursuant to Section
19    11-74.4-3.3;
20        (C) an assessment of any financial impact of the
21    redevelopment project area on or any increased demand for
22    services from any taxing district affected by the plan and
23    any program to address such financial impact or increased
24    demand;
25        (D) the sources of funds to pay costs;
26        (E) the nature and term of the obligations to be

 

 

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1    issued;
2        (F) the most recent equalized assessed valuation of
3    the redevelopment project area;
4        (G) an estimate as to the equalized assessed valuation
5    after redevelopment and the general land uses to apply in
6    the redevelopment project area;
7        (H) a commitment to fair employment practices and a
8    positive action an affirmative action plan;
9        (I) if it concerns an industrial park conservation
10    area, the plan shall also include a general description of
11    any proposed developer, user and tenant of any property, a
12    description of the type, structure and general character
13    of the facilities to be developed, a description of the
14    type, class and number of new employees to be employed in
15    the operation of the facilities to be developed; and
16        (J) if property is to be annexed to the municipality,
17    the plan shall include the terms of the annexation
18    agreement.
19    The provisions of items (B) and (C) of this subsection (n)
20shall not apply to a municipality that before March 14, 1994
21(the effective date of Public Act 88-537) had fixed, either by
22its corporate authorities or by a commission designated under
23subsection (k) of Section 11-74.4-4, a time and place for a
24public hearing as required by subsection (a) of Section
2511-74.4-5. No redevelopment plan shall be adopted unless a
26municipality complies with all of the following requirements:

 

 

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1        (1) The municipality finds that the redevelopment
2    project area on the whole has not been subject to growth
3    and development through investment by private enterprise
4    and would not reasonably be anticipated to be developed
5    without the adoption of the redevelopment plan, provided,
6    however, that such a finding shall not be required with
7    respect to any redevelopment project area located within a
8    transit facility improvement area established pursuant to
9    Section 11-74.4-3.3.
10        (2) The municipality finds that the redevelopment plan
11    and project conform to the comprehensive plan for the
12    development of the municipality as a whole, or, for
13    municipalities with a population of 100,000 or more,
14    regardless of when the redevelopment plan and project was
15    adopted, the redevelopment plan and project either: (i)
16    conforms to the strategic economic development or
17    redevelopment plan issued by the designated planning
18    authority of the municipality, or (ii) includes land uses
19    that have been approved by the planning commission of the
20    municipality.
21        (3) The redevelopment plan establishes the estimated
22    dates of completion of the redevelopment project and
23    retirement of obligations issued to finance redevelopment
24    project costs. Those dates may not be later than the dates
25    set forth under Section 11-74.4-3.5.
26        A municipality may by municipal ordinance amend an

 

 

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1    existing redevelopment plan to conform to this paragraph
2    (3) as amended by Public Act 91-478, which municipal
3    ordinance may be adopted without further hearing or notice
4    and without complying with the procedures provided in this
5    Act pertaining to an amendment to or the initial approval
6    of a redevelopment plan and project and designation of a
7    redevelopment project area.
8        (3.5) The municipality finds, in the case of an
9    industrial park conservation area, also that the
10    municipality is a labor surplus municipality and that the
11    implementation of the redevelopment plan will reduce
12    unemployment, create new jobs and by the provision of new
13    facilities enhance the tax base of the taxing districts
14    that extend into the redevelopment project area.
15        (4) If any incremental revenues are being utilized
16    under Section 8(a)(1) or 8(a)(2) of this Act in
17    redevelopment project areas approved by ordinance after
18    January 1, 1986, the municipality finds: (a) that the
19    redevelopment project area would not reasonably be
20    developed without the use of such incremental revenues,
21    and (b) that such incremental revenues will be exclusively
22    utilized for the development of the redevelopment project
23    area.
24        (5) If: (a) the redevelopment plan will not result in
25    displacement of residents from 10 or more inhabited
26    residential units, and the municipality certifies in the

 

 

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1    plan that such displacement will not result from the plan;
2    or (b) the redevelopment plan is for a redevelopment
3    project area located within a transit facility improvement
4    area established pursuant to Section 11-74.4-3.3, and the
5    applicable project is subject to the process for
6    evaluation of environmental effects under the National
7    Environmental Policy Act of 1969, 42 U.S.C. 4321 et seq.,
8    then a housing impact study need not be performed. If,
9    however, the redevelopment plan would result in the
10    displacement of residents from 10 or more inhabited
11    residential units, or if the redevelopment project area
12    contains 75 or more inhabited residential units and no
13    certification is made, then the municipality shall
14    prepare, as part of the separate feasibility report
15    required by subsection (a) of Section 11-74.4-5, a housing
16    impact study.
17        Part I of the housing impact study shall include (i)
18    data as to whether the residential units are single family
19    or multi-family units, (ii) the number and type of rooms
20    within the units, if that information is available, (iii)
21    whether the units are inhabited or uninhabited, as
22    determined not less than 45 days before the date that the
23    ordinance or resolution required by subsection (a) of
24    Section 11-74.4-5 is passed, and (iv) data as to the
25    racial and ethnic composition of the residents in the
26    inhabited residential units. The data requirement as to

 

 

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1    the racial and ethnic composition of the residents in the
2    inhabited residential units shall be deemed to be fully
3    satisfied by data from the most recent federal census.
4        Part II of the housing impact study shall identify the
5    inhabited residential units in the proposed redevelopment
6    project area that are to be or may be removed. If inhabited
7    residential units are to be removed, then the housing
8    impact study shall identify (i) the number and location of
9    those units that will or may be removed, (ii) the
10    municipality's plans for relocation assistance for those
11    residents in the proposed redevelopment project area whose
12    residences are to be removed, (iii) the availability of
13    replacement housing for those residents whose residences
14    are to be removed, and shall identify the type, location,
15    and cost of the housing, and (iv) the type and extent of
16    relocation assistance to be provided.
17        (6) On and after November 1, 1999, the housing impact
18    study required by paragraph (5) shall be incorporated in
19    the redevelopment plan for the redevelopment project area.
20        (7) On and after November 1, 1999, no redevelopment
21    plan shall be adopted, nor an existing plan amended, nor
22    shall residential housing that is occupied by households
23    of low-income and very low-income persons in currently
24    existing redevelopment project areas be removed after
25    November 1, 1999 unless the redevelopment plan provides,
26    with respect to inhabited housing units that are to be

 

 

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1    removed for households of low-income and very low-income
2    persons, affordable housing and relocation assistance not
3    less than that which would be provided under the federal
4    Uniform Relocation Assistance and Real Property
5    Acquisition Policies Act of 1970 and the regulations under
6    that Act, including the eligibility criteria. Affordable
7    housing may be either existing or newly constructed
8    housing. For purposes of this paragraph (7), "low-income
9    households", "very low-income households", and "affordable
10    housing" have the meanings set forth in the Illinois
11    Affordable Housing Act. The municipality shall make a good
12    faith effort to ensure that this affordable housing is
13    located in or near the redevelopment project area within
14    the municipality.
15        (8) On and after November 1, 1999, if, after the
16    adoption of the redevelopment plan for the redevelopment
17    project area, any municipality desires to amend its
18    redevelopment plan to remove more inhabited residential
19    units than specified in its original redevelopment plan,
20    that change shall be made in accordance with the
21    procedures in subsection (c) of Section 11-74.4-5.
22        (9) For redevelopment project areas designated prior
23    to November 1, 1999, the redevelopment plan may be amended
24    without further joint review board meeting or hearing,
25    provided that the municipality shall give notice of any
26    such changes by mail to each affected taxing district and

 

 

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1    registrant on the interested party registry, to authorize
2    the municipality to expend tax increment revenues for
3    redevelopment project costs defined by paragraphs (5) and
4    (7.5), subparagraphs (E) and (F) of paragraph (11), and
5    paragraph (11.5) of subsection (q) of Section 11-74.4-3,
6    so long as the changes do not increase the total estimated
7    redevelopment project costs set out in the redevelopment
8    plan by more than 5% after adjustment for inflation from
9    the date the plan was adopted.
10    (o) "Redevelopment project" means any public and private
11development project in furtherance of the objectives of a
12redevelopment plan. On and after November 1, 1999 (the
13effective date of Public Act 91-478), no redevelopment plan
14may be approved or amended that includes the development of
15vacant land (i) with a golf course and related clubhouse and
16other facilities or (ii) designated by federal, State, county,
17or municipal government as public land for outdoor
18recreational activities or for nature preserves and used for
19that purpose within 5 years prior to the adoption of the
20redevelopment plan. For the purpose of this subsection,
21"recreational activities" is limited to mean camping and
22hunting.
23    (p) "Redevelopment project area" means an area designated
24by the municipality, which is not less in the aggregate than 1
251/2 acres and in respect to which the municipality has made a
26finding that there exist conditions which cause the area to be

 

 

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1classified as an industrial park conservation area or a
2blighted area or a conservation area, or a combination of both
3blighted areas and conservation areas.
4    (p-1) Notwithstanding any provision of this Act to the
5contrary, on and after August 25, 2009 (the effective date of
6Public Act 96-680), a redevelopment project area may include
7areas within a one-half mile radius of an existing or proposed
8Regional Transportation Authority Suburban Transit Access
9Route (STAR Line) station without a finding that the area is
10classified as an industrial park conservation area, a blighted
11area, a conservation area, or a combination thereof, but only
12if the municipality receives unanimous consent from the joint
13review board created to review the proposed redevelopment
14project area.
15    (p-2) Notwithstanding any provision of this Act to the
16contrary, on and after the effective date of this amendatory
17Act of the 99th General Assembly, a redevelopment project area
18may include areas within a transit facility improvement area
19that has been established pursuant to Section 11-74.4-3.3
20without a finding that the area is classified as an industrial
21park conservation area, a blighted area, a conservation area,
22or any combination thereof.
23    (q) "Redevelopment project costs", except for
24redevelopment project areas created pursuant to subsection
25(p-1) or (p-2), means and includes the sum total of all
26reasonable or necessary costs incurred or estimated to be

 

 

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1incurred, and any such costs incidental to a redevelopment
2plan and a redevelopment project. Such costs include, without
3limitation, the following:
4        (1) Costs of studies, surveys, development of plans,
5    and specifications, implementation and administration of
6    the redevelopment plan including but not limited to staff
7    and professional service costs for architectural,
8    engineering, legal, financial, planning or other services,
9    provided however that no charges for professional services
10    may be based on a percentage of the tax increment
11    collected; except that on and after November 1, 1999 (the
12    effective date of Public Act 91-478), no contracts for
13    professional services, excluding architectural and
14    engineering services, may be entered into if the terms of
15    the contract extend beyond a period of 3 years. In
16    addition, "redevelopment project costs" shall not include
17    lobbying expenses. After consultation with the
18    municipality, each tax increment consultant or advisor to
19    a municipality that plans to designate or has designated a
20    redevelopment project area shall inform the municipality
21    in writing of any contracts that the consultant or advisor
22    has entered into with entities or individuals that have
23    received, or are receiving, payments financed by tax
24    increment revenues produced by the redevelopment project
25    area with respect to which the consultant or advisor has
26    performed, or will be performing, service for the

 

 

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1    municipality. This requirement shall be satisfied by the
2    consultant or advisor before the commencement of services
3    for the municipality and thereafter whenever any other
4    contracts with those individuals or entities are executed
5    by the consultant or advisor;
6        (1.5) After July 1, 1999, annual administrative costs
7    shall not include general overhead or administrative costs
8    of the municipality that would still have been incurred by
9    the municipality if the municipality had not designated a
10    redevelopment project area or approved a redevelopment
11    plan;
12        (1.6) The cost of marketing sites within the
13    redevelopment project area to prospective businesses,
14    developers, and investors;
15        (2) Property assembly costs, including but not limited
16    to acquisition of land and other property, real or
17    personal, or rights or interests therein, demolition of
18    buildings, site preparation, site improvements that serve
19    as an engineered barrier addressing ground level or below
20    ground environmental contamination, including, but not
21    limited to parking lots and other concrete or asphalt
22    barriers, and the clearing and grading of land;
23        (3) Costs of rehabilitation, reconstruction or repair
24    or remodeling of existing public or private buildings,
25    fixtures, and leasehold improvements; and the cost of
26    replacing an existing public building if pursuant to the

 

 

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1    implementation of a redevelopment project the existing
2    public building is to be demolished to use the site for
3    private investment or devoted to a different use requiring
4    private investment; including any direct or indirect costs
5    relating to Green Globes or LEED certified construction
6    elements or construction elements with an equivalent
7    certification;
8        (4) Costs of the construction of public works or
9    improvements, including any direct or indirect costs
10    relating to Green Globes or LEED certified construction
11    elements or construction elements with an equivalent
12    certification, except that on and after November 1, 1999,
13    redevelopment project costs shall not include the cost of
14    constructing a new municipal public building principally
15    used to provide offices, storage space, or conference
16    facilities or vehicle storage, maintenance, or repair for
17    administrative, public safety, or public works personnel
18    and that is not intended to replace an existing public
19    building as provided under paragraph (3) of subsection (q)
20    of Section 11-74.4-3 unless either (i) the construction of
21    the new municipal building implements a redevelopment
22    project that was included in a redevelopment plan that was
23    adopted by the municipality prior to November 1, 1999,
24    (ii) the municipality makes a reasonable determination in
25    the redevelopment plan, supported by information that
26    provides the basis for that determination, that the new

 

 

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1    municipal building is required to meet an increase in the
2    need for public safety purposes anticipated to result from
3    the implementation of the redevelopment plan, or (iii) the
4    new municipal public building is for the storage,
5    maintenance, or repair of transit vehicles and is located
6    in a transit facility improvement area that has been
7    established pursuant to Section 11-74.4-3.3;
8        (5) Costs of job training and retraining projects,
9    including the cost of "welfare to work" programs
10    implemented by businesses located within the redevelopment
11    project area;
12        (6) Financing costs, including but not limited to all
13    necessary and incidental expenses related to the issuance
14    of obligations and which may include payment of interest
15    on any obligations issued hereunder including interest
16    accruing during the estimated period of construction of
17    any redevelopment project for which such obligations are
18    issued and for not exceeding 36 months thereafter and
19    including reasonable reserves related thereto;
20        (7) To the extent the municipality by written
21    agreement accepts and approves the same, all or a portion
22    of a taxing district's capital costs resulting from the
23    redevelopment project necessarily incurred or to be
24    incurred within a taxing district in furtherance of the
25    objectives of the redevelopment plan and project;
26        (7.5) For redevelopment project areas designated (or

 

 

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1    redevelopment project areas amended to add or increase the
2    number of tax-increment-financing assisted housing units)
3    on or after November 1, 1999, an elementary, secondary, or
4    unit school district's increased costs attributable to
5    assisted housing units located within the redevelopment
6    project area for which the developer or redeveloper
7    receives financial assistance through an agreement with
8    the municipality or because the municipality incurs the
9    cost of necessary infrastructure improvements within the
10    boundaries of the assisted housing sites necessary for the
11    completion of that housing as authorized by this Act, and
12    which costs shall be paid by the municipality from the
13    Special Tax Allocation Fund when the tax increment revenue
14    is received as a result of the assisted housing units and
15    shall be calculated annually as follows:
16            (A) for foundation districts, excluding any school
17        district in a municipality with a population in excess
18        of 1,000,000, by multiplying the district's increase
19        in attendance resulting from the net increase in new
20        students enrolled in that school district who reside
21        in housing units within the redevelopment project area
22        that have received financial assistance through an
23        agreement with the municipality or because the
24        municipality incurs the cost of necessary
25        infrastructure improvements within the boundaries of
26        the housing sites necessary for the completion of that

 

 

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1        housing as authorized by this Act since the
2        designation of the redevelopment project area by the
3        most recently available per capita tuition cost as
4        defined in Section 10-20.12a of the School Code less
5        any increase in general State aid as defined in
6        Section 18-8.05 of the School Code or evidence-based
7        funding as defined in Section 18-8.15 of the School
8        Code attributable to these added new students subject
9        to the following annual limitations:
10                (i) for unit school districts with a district
11            average 1995-96 Per Capita Tuition Charge of less
12            than $5,900, no more than 25% of the total amount
13            of property tax increment revenue produced by
14            those housing units that have received tax
15            increment finance assistance under this Act;
16                (ii) for elementary school districts with a
17            district average 1995-96 Per Capita Tuition Charge
18            of less than $5,900, no more than 17% of the total
19            amount of property tax increment revenue produced
20            by those housing units that have received tax
21            increment finance assistance under this Act; and
22                (iii) for secondary school districts with a
23            district average 1995-96 Per Capita Tuition Charge
24            of less than $5,900, no more than 8% of the total
25            amount of property tax increment revenue produced
26            by those housing units that have received tax

 

 

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1            increment finance assistance under this Act.
2            (B) For alternate method districts, flat grant
3        districts, and foundation districts with a district
4        average 1995-96 Per Capita Tuition Charge equal to or
5        more than $5,900, excluding any school district with a
6        population in excess of 1,000,000, by multiplying the
7        district's increase in attendance resulting from the
8        net increase in new students enrolled in that school
9        district who reside in housing units within the
10        redevelopment project area that have received
11        financial assistance through an agreement with the
12        municipality or because the municipality incurs the
13        cost of necessary infrastructure improvements within
14        the boundaries of the housing sites necessary for the
15        completion of that housing as authorized by this Act
16        since the designation of the redevelopment project
17        area by the most recently available per capita tuition
18        cost as defined in Section 10-20.12a of the School
19        Code less any increase in general state aid as defined
20        in Section 18-8.05 of the School Code or
21        evidence-based funding as defined in Section 18-8.15
22        of the School Code attributable to these added new
23        students subject to the following annual limitations:
24                (i) for unit school districts, no more than
25            40% of the total amount of property tax increment
26            revenue produced by those housing units that have

 

 

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1            received tax increment finance assistance under
2            this Act;
3                (ii) for elementary school districts, no more
4            than 27% of the total amount of property tax
5            increment revenue produced by those housing units
6            that have received tax increment finance
7            assistance under this Act; and
8                (iii) for secondary school districts, no more
9            than 13% of the total amount of property tax
10            increment revenue produced by those housing units
11            that have received tax increment finance
12            assistance under this Act.
13            (C) For any school district in a municipality with
14        a population in excess of 1,000,000, the following
15        restrictions shall apply to the reimbursement of
16        increased costs under this paragraph (7.5):
17                (i) no increased costs shall be reimbursed
18            unless the school district certifies that each of
19            the schools affected by the assisted housing
20            project is at or over its student capacity;
21                (ii) the amount reimbursable shall be reduced
22            by the value of any land donated to the school
23            district by the municipality or developer, and by
24            the value of any physical improvements made to the
25            schools by the municipality or developer; and
26                (iii) the amount reimbursed may not affect

 

 

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1            amounts otherwise obligated by the terms of any
2            bonds, notes, or other funding instruments, or the
3            terms of any redevelopment agreement.
4        Any school district seeking payment under this
5        paragraph (7.5) shall, after July 1 and before
6        September 30 of each year, provide the municipality
7        with reasonable evidence to support its claim for
8        reimbursement before the municipality shall be
9        required to approve or make the payment to the school
10        district. If the school district fails to provide the
11        information during this period in any year, it shall
12        forfeit any claim to reimbursement for that year.
13        School districts may adopt a resolution waiving the
14        right to all or a portion of the reimbursement
15        otherwise required by this paragraph (7.5). By
16        acceptance of this reimbursement the school district
17        waives the right to directly or indirectly set aside,
18        modify, or contest in any manner the establishment of
19        the redevelopment project area or projects;
20        (7.7) For redevelopment project areas designated (or
21    redevelopment project areas amended to add or increase the
22    number of tax-increment-financing assisted housing units)
23    on or after January 1, 2005 (the effective date of Public
24    Act 93-961), a public library district's increased costs
25    attributable to assisted housing units located within the
26    redevelopment project area for which the developer or

 

 

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1    redeveloper receives financial assistance through an
2    agreement with the municipality or because the
3    municipality incurs the cost of necessary infrastructure
4    improvements within the boundaries of the assisted housing
5    sites necessary for the completion of that housing as
6    authorized by this Act shall be paid to the library
7    district by the municipality from the Special Tax
8    Allocation Fund when the tax increment revenue is received
9    as a result of the assisted housing units. This paragraph
10    (7.7) applies only if (i) the library district is located
11    in a county that is subject to the Property Tax Extension
12    Limitation Law or (ii) the library district is not located
13    in a county that is subject to the Property Tax Extension
14    Limitation Law but the district is prohibited by any other
15    law from increasing its tax levy rate without a prior
16    voter referendum.
17        The amount paid to a library district under this
18    paragraph (7.7) shall be calculated by multiplying (i) the
19    net increase in the number of persons eligible to obtain a
20    library card in that district who reside in housing units
21    within the redevelopment project area that have received
22    financial assistance through an agreement with the
23    municipality or because the municipality incurs the cost
24    of necessary infrastructure improvements within the
25    boundaries of the housing sites necessary for the
26    completion of that housing as authorized by this Act since

 

 

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1    the designation of the redevelopment project area by (ii)
2    the per-patron cost of providing library services so long
3    as it does not exceed $120. The per-patron cost shall be
4    the Total Operating Expenditures Per Capita for the
5    library in the previous fiscal year. The municipality may
6    deduct from the amount that it must pay to a library
7    district under this paragraph any amount that it has
8    voluntarily paid to the library district from the tax
9    increment revenue. The amount paid to a library district
10    under this paragraph (7.7) shall be no more than 2% of the
11    amount produced by the assisted housing units and
12    deposited into the Special Tax Allocation Fund.
13        A library district is not eligible for any payment
14    under this paragraph (7.7) unless the library district has
15    experienced an increase in the number of patrons from the
16    municipality that created the tax-increment-financing
17    district since the designation of the redevelopment
18    project area.
19        Any library district seeking payment under this
20    paragraph (7.7) shall, after July 1 and before September
21    30 of each year, provide the municipality with convincing
22    evidence to support its claim for reimbursement before the
23    municipality shall be required to approve or make the
24    payment to the library district. If the library district
25    fails to provide the information during this period in any
26    year, it shall forfeit any claim to reimbursement for that

 

 

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1    year. Library districts may adopt a resolution waiving the
2    right to all or a portion of the reimbursement otherwise
3    required by this paragraph (7.7). By acceptance of such
4    reimbursement, the library district shall forfeit any
5    right to directly or indirectly set aside, modify, or
6    contest in any manner whatsoever the establishment of the
7    redevelopment project area or projects;
8        (8) Relocation costs to the extent that a municipality
9    determines that relocation costs shall be paid or is
10    required to make payment of relocation costs by federal or
11    State law or in order to satisfy subparagraph (7) of
12    subsection (n);
13        (9) Payment in lieu of taxes;
14        (10) Costs of job training, retraining, advanced
15    vocational education or career education, including but
16    not limited to courses in occupational, semi-technical or
17    technical fields leading directly to employment, incurred
18    by one or more taxing districts, provided that such costs
19    (i) are related to the establishment and maintenance of
20    additional job training, advanced vocational education or
21    career education programs for persons employed or to be
22    employed by employers located in a redevelopment project
23    area; and (ii) when incurred by a taxing district or
24    taxing districts other than the municipality, are set
25    forth in a written agreement by or among the municipality
26    and the taxing district or taxing districts, which

 

 

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1    agreement describes the program to be undertaken,
2    including but not limited to the number of employees to be
3    trained, a description of the training and services to be
4    provided, the number and type of positions available or to
5    be available, itemized costs of the program and sources of
6    funds to pay for the same, and the term of the agreement.
7    Such costs include, specifically, the payment by community
8    college districts of costs pursuant to Sections 3-37,
9    3-38, 3-40 and 3-40.1 of the Public Community College Act
10    and by school districts of costs pursuant to Sections
11    10-22.20a and 10-23.3a of the School Code;
12        (11) Interest cost incurred by a redeveloper related
13    to the construction, renovation or rehabilitation of a
14    redevelopment project provided that:
15            (A) such costs are to be paid directly from the
16        special tax allocation fund established pursuant to
17        this Act;
18            (B) such payments in any one year may not exceed
19        30% of the annual interest costs incurred by the
20        redeveloper with regard to the redevelopment project
21        during that year;
22            (C) if there are not sufficient funds available in
23        the special tax allocation fund to make the payment
24        pursuant to this paragraph (11) then the amounts so
25        due shall accrue and be payable when sufficient funds
26        are available in the special tax allocation fund;

 

 

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1            (D) the total of such interest payments paid
2        pursuant to this Act may not exceed 30% of the total
3        (i) cost paid or incurred by the redeveloper for the
4        redevelopment project plus (ii) redevelopment project
5        costs excluding any property assembly costs and any
6        relocation costs incurred by a municipality pursuant
7        to this Act;
8            (E) the cost limits set forth in subparagraphs (B)
9        and (D) of paragraph (11) shall be modified for the
10        financing of rehabilitated or new housing units for
11        low-income households and very low-income households,
12        as defined in Section 3 of the Illinois Affordable
13        Housing Act. The percentage of 75% shall be
14        substituted for 30% in subparagraphs (B) and (D) of
15        paragraph (11); and
16            (F) instead of the eligible costs provided by
17        subparagraphs (B) and (D) of paragraph (11), as
18        modified by this subparagraph, and notwithstanding any
19        other provisions of this Act to the contrary, the
20        municipality may pay from tax increment revenues up to
21        50% of the cost of construction of new housing units to
22        be occupied by low-income households and very
23        low-income households as defined in Section 3 of the
24        Illinois Affordable Housing Act. The cost of
25        construction of those units may be derived from the
26        proceeds of bonds issued by the municipality under

 

 

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1        this Act or other constitutional or statutory
2        authority or from other sources of municipal revenue
3        that may be reimbursed from tax increment revenues or
4        the proceeds of bonds issued to finance the
5        construction of that housing.
6            The eligible costs provided under this
7        subparagraph (F) of paragraph (11) shall be an
8        eligible cost for the construction, renovation, and
9        rehabilitation of all low and very low-income housing
10        units, as defined in Section 3 of the Illinois
11        Affordable Housing Act, within the redevelopment
12        project area. If the low and very low-income units are
13        part of a residential redevelopment project that
14        includes units not affordable to low and very
15        low-income households, only the low and very
16        low-income units shall be eligible for benefits under
17        this subparagraph (F) of paragraph (11). The standards
18        for maintaining the occupancy by low-income households
19        and very low-income households, as defined in Section
20        3 of the Illinois Affordable Housing Act, of those
21        units constructed with eligible costs made available
22        under the provisions of this subparagraph (F) of
23        paragraph (11) shall be established by guidelines
24        adopted by the municipality. The responsibility for
25        annually documenting the initial occupancy of the
26        units by low-income households and very low-income

 

 

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1        households, as defined in Section 3 of the Illinois
2        Affordable Housing Act, shall be that of the then
3        current owner of the property. For ownership units,
4        the guidelines will provide, at a minimum, for a
5        reasonable recapture of funds, or other appropriate
6        methods designed to preserve the original
7        affordability of the ownership units. For rental
8        units, the guidelines will provide, at a minimum, for
9        the affordability of rent to low and very low-income
10        households. As units become available, they shall be
11        rented to income-eligible tenants. The municipality
12        may modify these guidelines from time to time; the
13        guidelines, however, shall be in effect for as long as
14        tax increment revenue is being used to pay for costs
15        associated with the units or for the retirement of
16        bonds issued to finance the units or for the life of
17        the redevelopment project area, whichever is later;
18        (11.5) If the redevelopment project area is located
19    within a municipality with a population of more than
20    100,000, the cost of day care services for children of
21    employees from low-income families working for businesses
22    located within the redevelopment project area and all or a
23    portion of the cost of operation of day care centers
24    established by redevelopment project area businesses to
25    serve employees from low-income families working in
26    businesses located in the redevelopment project area. For

 

 

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1    the purposes of this paragraph, "low-income families"
2    means families whose annual income does not exceed 80% of
3    the municipal, county, or regional median income, adjusted
4    for family size, as the annual income and municipal,
5    county, or regional median income are determined from time
6    to time by the United States Department of Housing and
7    Urban Development.
8        (12) Costs relating to the development of urban
9    agricultural areas under Division 15.2 of the Illinois
10    Municipal Code.
11    Unless explicitly stated herein the cost of construction
12of new privately-owned buildings shall not be an eligible
13redevelopment project cost.
14    After November 1, 1999 (the effective date of Public Act
1591-478), none of the redevelopment project costs enumerated in
16this subsection shall be eligible redevelopment project costs
17if those costs would provide direct financial support to a
18retail entity initiating operations in the redevelopment
19project area while terminating operations at another Illinois
20location within 10 miles of the redevelopment project area but
21outside the boundaries of the redevelopment project area
22municipality. For purposes of this paragraph, termination
23means a closing of a retail operation that is directly related
24to the opening of the same operation or like retail entity
25owned or operated by more than 50% of the original ownership in
26a redevelopment project area, but it does not mean closing an

 

 

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1operation for reasons beyond the control of the retail entity,
2as documented by the retail entity, subject to a reasonable
3finding by the municipality that the current location
4contained inadequate space, had become economically obsolete,
5or was no longer a viable location for the retailer or
6serviceman.
7    No cost shall be a redevelopment project cost in a
8redevelopment project area if used to demolish, remove, or
9substantially modify a historic resource, after August 26,
102008 (the effective date of Public Act 95-934), unless no
11prudent and feasible alternative exists. "Historic resource"
12for the purpose of this paragraph means (i) a place or
13structure that is included or eligible for inclusion on the
14National Register of Historic Places or (ii) a contributing
15structure in a district on the National Register of Historic
16Places. This paragraph does not apply to a place or structure
17for which demolition, removal, or modification is subject to
18review by the preservation agency of a Certified Local
19Government designated as such by the National Park Service of
20the United States Department of the Interior.
21    If a special service area has been established pursuant to
22the Special Service Area Tax Act or Special Service Area Tax
23Law, then any tax increment revenues derived from the tax
24imposed pursuant to the Special Service Area Tax Act or
25Special Service Area Tax Law may be used within the
26redevelopment project area for the purposes permitted by that

 

 

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1Act or Law as well as the purposes permitted by this Act.
2    (q-1) For redevelopment project areas created pursuant to
3subsection (p-1), redevelopment project costs are limited to
4those costs in paragraph (q) that are related to the existing
5or proposed Regional Transportation Authority Suburban Transit
6Access Route (STAR Line) station.
7    (q-2) For a redevelopment project area located within a
8transit facility improvement area established pursuant to
9Section 11-74.4-3.3, redevelopment project costs means those
10costs described in subsection (q) that are related to the
11construction, reconstruction, rehabilitation, remodeling, or
12repair of any existing or proposed transit facility.
13    (r) "State Sales Tax Boundary" means the redevelopment
14project area or the amended redevelopment project area
15boundaries which are determined pursuant to subsection (9) of
16Section 11-74.4-8a of this Act. The Department of Revenue
17shall certify pursuant to subsection (9) of Section 11-74.4-8a
18the appropriate boundaries eligible for the determination of
19State Sales Tax Increment.
20    (s) "State Sales Tax Increment" means an amount equal to
21the increase in the aggregate amount of taxes paid by
22retailers and servicemen, other than retailers and servicemen
23subject to the Public Utilities Act, on transactions at places
24of business located within a State Sales Tax Boundary pursuant
25to the Retailers' Occupation Tax Act, the Use Tax Act, the
26Service Use Tax Act, and the Service Occupation Tax Act,

 

 

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1except such portion of such increase that is paid into the
2State and Local Sales Tax Reform Fund, the Local Government
3Distributive Fund, the Local Government Tax Fund and the
4County and Mass Transit District Fund, for as long as State
5participation exists, over and above the Initial Sales Tax
6Amounts, Adjusted Initial Sales Tax Amounts or the Revised
7Initial Sales Tax Amounts for such taxes as certified by the
8Department of Revenue and paid under those Acts by retailers
9and servicemen on transactions at places of business located
10within the State Sales Tax Boundary during the base year which
11shall be the calendar year immediately prior to the year in
12which the municipality adopted tax increment allocation
13financing, less 3.0% of such amounts generated under the
14Retailers' Occupation Tax Act, Use Tax Act and Service Use Tax
15Act and the Service Occupation Tax Act, which sum shall be
16appropriated to the Department of Revenue to cover its costs
17of administering and enforcing this Section. For purposes of
18computing the aggregate amount of such taxes for base years
19occurring prior to 1985, the Department of Revenue shall
20compute the Initial Sales Tax Amount for such taxes and deduct
21therefrom an amount equal to 4% of the aggregate amount of
22taxes per year for each year the base year is prior to 1985,
23but not to exceed a total deduction of 12%. The amount so
24determined shall be known as the "Adjusted Initial Sales Tax
25Amount". For purposes of determining the State Sales Tax
26Increment the Department of Revenue shall for each period

 

 

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1subtract from the tax amounts received from retailers and
2servicemen on transactions located in the State Sales Tax
3Boundary, the certified Initial Sales Tax Amounts, Adjusted
4Initial Sales Tax Amounts or Revised Initial Sales Tax Amounts
5for the Retailers' Occupation Tax Act, the Use Tax Act, the
6Service Use Tax Act and the Service Occupation Tax Act. For the
7State Fiscal Year 1989 this calculation shall be made by
8utilizing the calendar year 1987 to determine the tax amounts
9received. For the State Fiscal Year 1990, this calculation
10shall be made by utilizing the period from January 1, 1988,
11until September 30, 1988, to determine the tax amounts
12received from retailers and servicemen, which shall have
13deducted therefrom nine-twelfths of the certified Initial
14Sales Tax Amounts, Adjusted Initial Sales Tax Amounts or the
15Revised Initial Sales Tax Amounts as appropriate. For the
16State Fiscal Year 1991, this calculation shall be made by
17utilizing the period from October 1, 1988, until June 30,
181989, to determine the tax amounts received from retailers and
19servicemen, which shall have deducted therefrom nine-twelfths
20of the certified Initial State Sales Tax Amounts, Adjusted
21Initial Sales Tax Amounts or the Revised Initial Sales Tax
22Amounts as appropriate. For every State Fiscal Year
23thereafter, the applicable period shall be the 12 months
24beginning July 1 and ending on June 30, to determine the tax
25amounts received which shall have deducted therefrom the
26certified Initial Sales Tax Amounts, Adjusted Initial Sales

 

 

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1Tax Amounts or the Revised Initial Sales Tax Amounts.
2Municipalities intending to receive a distribution of State
3Sales Tax Increment must report a list of retailers to the
4Department of Revenue by October 31, 1988 and by July 31, of
5each year thereafter.
6    (t) "Taxing districts" means counties, townships, cities
7and incorporated towns and villages, school, road, park,
8sanitary, mosquito abatement, forest preserve, public health,
9fire protection, river conservancy, tuberculosis sanitarium
10and any other municipal corporations or districts with the
11power to levy taxes.
12    (u) "Taxing districts' capital costs" means those costs of
13taxing districts for capital improvements that are found by
14the municipal corporate authorities to be necessary and
15directly result from the redevelopment project.
16    (v) As used in subsection (a) of Section 11-74.4-3 of this
17Act, "vacant land" means any parcel or combination of parcels
18of real property without industrial, commercial, and
19residential buildings which has not been used for commercial
20agricultural purposes within 5 years prior to the designation
21of the redevelopment project area, unless the parcel is
22included in an industrial park conservation area or the parcel
23has been subdivided; provided that if the parcel was part of a
24larger tract that has been divided into 3 or more smaller
25tracts that were accepted for recording during the period from
261950 to 1990, then the parcel shall be deemed to have been

 

 

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1subdivided, and all proceedings and actions of the
2municipality taken in that connection with respect to any
3previously approved or designated redevelopment project area
4or amended redevelopment project area are hereby validated and
5hereby declared to be legally sufficient for all purposes of
6this Act. For purposes of this Section and only for land
7subject to the subdivision requirements of the Plat Act, land
8is subdivided when the original plat of the proposed
9Redevelopment Project Area or relevant portion thereof has
10been properly certified, acknowledged, approved, and recorded
11or filed in accordance with the Plat Act and a preliminary
12plat, if any, for any subsequent phases of the proposed
13Redevelopment Project Area or relevant portion thereof has
14been properly approved and filed in accordance with the
15applicable ordinance of the municipality.
16    (w) "Annual Total Increment" means the sum of each
17municipality's annual Net Sales Tax Increment and each
18municipality's annual Net Utility Tax Increment. The ratio of
19the Annual Total Increment of each municipality to the Annual
20Total Increment for all municipalities, as most recently
21calculated by the Department, shall determine the proportional
22shares of the Illinois Tax Increment Fund to be distributed to
23each municipality.
24    (x) "LEED certified" means any certification level of
25construction elements by a qualified Leadership in Energy and
26Environmental Design Accredited Professional as determined by

 

 

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1the U.S. Green Building Council.
2    (y) "Green Globes certified" means any certification level
3of construction elements by a qualified Green Globes
4Professional as determined by the Green Building Initiative.
5(Source: P.A. 99-792, eff. 8-12-16; 100-201, eff. 8-18-17;
6100-465, eff. 8-31-17; 100-1133, eff. 1-1-19.)
 
7    (65 ILCS 5/11-74.6-10)
8    Sec. 11-74.6-10. Definitions.
9    (a) "Environmentally contaminated area" means any improved
10or vacant area within the boundaries of a redevelopment
11project area located within the corporate limits of a
12municipality when, (i) there has been a determination of
13release or substantial threat of release of a hazardous
14substance or pesticide, by the United States Environmental
15Protection Agency or the Illinois Environmental Protection
16Agency, or the Illinois Pollution Control Board, or any court,
17or a release or substantial threat of release which is
18addressed as part of the Pre-Notice Site Cleanup Program under
19Section 22.2(m) of the Illinois Environmental Protection Act,
20or a release or substantial threat of release of petroleum
21under Section 22.12 of the Illinois Environmental Protection
22Act, and (ii) which release or threat of release presents an
23imminent and substantial danger to public health or welfare or
24presents a significant threat to public health or the
25environment, and (iii) which release or threat of release

 

 

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1would have a significant impact on the cost of redeveloping
2the area.
3    (b) "Department" means the Department of Commerce and
4Economic Opportunity.
5    (c) "Industrial park" means an area in a redevelopment
6project area suitable for use by any manufacturing,
7industrial, research, or transportation enterprise, of
8facilities, including but not limited to factories, mills,
9processing plants, assembly plants, packing plants,
10fabricating plants, distribution centers, warehouses, repair
11overhaul or service facilities, freight terminals, research
12facilities, test facilities or railroad facilities. An
13industrial park may contain space for commercial and other use
14as long as the expected principal use of the park is industrial
15and is reasonably expected to result in the creation of a
16significant number of new permanent full time jobs. An
17industrial park may also contain related operations and
18facilities including, but not limited to, business and office
19support services such as centralized computers,
20telecommunications, publishing, accounting, photocopying and
21similar activities and employee services such as child care,
22health care, food service and similar activities. An
23industrial park may also include demonstration projects,
24prototype development, specialized training on developing
25technology, and pure research in any field related or
26adaptable to business and industry.

 

 

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1    (d) "Research park" means an area in a redevelopment
2project area suitable for development of a facility or complex
3that includes research laboratories and related operations.
4These related operations may include, but are not limited to,
5business and office support services such as centralized
6computers, telecommunications, publishing, accounting,
7photocopying and similar activities, and employee services
8such as child care, health care, food service and similar
9activities. A research park may include demonstration
10projects, prototype development, specialized training on
11developing technology, and pure research in any field related
12or adaptable to business and industry.
13    (e) "Industrial park conservation area" means an area
14within the boundaries of a redevelopment project area located
15within the corporate limits of a municipality or within 1 1/2
16miles of the corporate limits of a municipality if the area is
17to be annexed to the municipality, if the area is zoned as
18industrial no later than the date on which the municipality by
19ordinance designates the redevelopment project area, and if
20the area includes improved or vacant land suitable for use as
21an industrial park or a research park, or both. To be
22designated as an industrial park conservation area, the area
23shall also satisfy one of the following standards:
24        (1) Standard One: The municipality must be a labor
25    surplus municipality and the area must be served by
26    adequate public and or road transportation for access by

 

 

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1    the unemployed and for the movement of goods or materials
2    and the redevelopment project area shall contain no more
3    than 2% of the most recently ascertained equalized
4    assessed value of all taxable real properties within the
5    corporate limits of the municipality after adjustment for
6    all annexations associated with the establishment of the
7    redevelopment project area or be located in the vicinity
8    of a waste disposal site or other waste facility. The
9    project plan shall include a plan for and shall establish
10    a marketing program to attract appropriate businesses to
11    the proposed industrial park conservation area and shall
12    include an adequate plan for financing and construction of
13    the necessary infrastructure. No redevelopment projects
14    may be authorized by the municipality under Standard One
15    of subsection (e) of this Section unless the project plan
16    also provides for an employment training project that
17    would prepare unemployed workers for work in the
18    industrial park conservation area, and the project has
19    been approved by official action of or is to be operated by
20    the local community college district, public school
21    district or state or locally designated private industry
22    council or successor agency, or
23        (2) Standard Two: The municipality must be a
24    substantial labor surplus municipality and the area must
25    be served by adequate public and or road transportation
26    for access by the unemployed and for the movement of goods

 

 

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1    or materials and the redevelopment project area shall
2    contain no more than 2% of the most recently ascertained
3    equalized assessed value of all taxable real properties
4    within the corporate limits of the municipality after
5    adjustment for all annexations associated with the
6    establishment of the redevelopment project area. No
7    redevelopment projects may be authorized by the
8    municipality under Standard Two of subsection (e) of this
9    Section unless the project plan also provides for an
10    employment training project that would prepare unemployed
11    workers for work in the industrial park conservation area,
12    and the project has been approved by official action of or
13    is to be operated by the local community college district,
14    public school district or state or locally designated
15    private industry council or successor agency.
16    (f) "Vacant industrial buildings conservation area" means
17an area containing one or more industrial buildings located
18within the corporate limits of the municipality that has been
19zoned industrial for at least 5 years before the designation
20of that area as a redevelopment project area by the
21municipality and is planned for reuse principally for
22industrial purposes. For the area to be designated as a vacant
23industrial buildings conservation area, the area shall also
24satisfy one of the following standards:
25        (1) Standard One: The area shall consist of one or
26    more industrial buildings totaling at least 50,000 net

 

 

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1    square feet of industrial space, with a majority of the
2    total area of all the buildings having been vacant for at
3    least 18 months; and (A) the area is located in a labor
4    surplus municipality or a substantial labor surplus
5    municipality, or (B) the equalized assessed value of the
6    properties within the area during the last 2 years is at
7    least 25% lower than the maximum equalized assessed value
8    of those properties during the immediately preceding 10
9    years.
10        (2) Standard Two: The area exclusively consists of
11    industrial buildings or a building complex operated by a
12    user or related users (A) that has within the immediately
13    preceding 5 years either (i) employed 200 or more
14    employees at that location, or (ii) if the area is located
15    in a municipality with a population of 12,000 or less,
16    employed more than 50 employees at that location and (B)
17    either is currently vacant, or the owner has: (i) directly
18    notified the municipality of the user's intention to
19    terminate operations at the facility or (ii) filed a
20    notice of closure under the Worker Adjustment and
21    Retraining Notification Act.
22    (g) "Labor surplus municipality" means a municipality in
23which, during the 4 calendar years immediately preceding the
24date the municipality by ordinance designates an industrial
25park conservation area, the average unemployment rate was 1%
26or more over the State average unemployment rate for that same

 

 

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1period of time as published in the United States Department of
2Labor Bureau of Labor Statistics publication entitled "The
3Employment Situation" or its successor publication. For the
4purpose of this subsection (g), if unemployment rate
5statistics for the municipality are not available, the
6unemployment rate in the municipality shall be deemed to be:
7(i) for a municipality that is not in an urban county, the same
8as the unemployment rate in the principal county where the
9municipality is located or (ii) for a municipality in an urban
10county at that municipality's option, either the unemployment
11rate certified for the municipality by the Department after
12consultation with the Illinois Department of Labor or the
13federal Bureau of Labor Statistics, or the unemployment rate
14of the municipality as determined by the most recent federal
15census if that census was not dated more than 5 years prior to
16the date on which the determination is made.
17    (h) "Substantial labor surplus municipality" means a
18municipality in which, during the 5 calendar years immediately
19preceding the date the municipality by ordinance designates an
20industrial park conservation area, the average unemployment
21rate was 2% or more over the State average unemployment rate
22for that same period of time as published in the United States
23Department of Labor Statistics publication entitled "The
24Employment Situation" or its successor publication. For the
25purpose of this subsection (h), if unemployment rate
26statistics for the municipality are not available, the

 

 

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1unemployment rate in the municipality shall be deemed to be:
2(i) for a municipality that is not in an urban county, the same
3as the unemployment rate in the principal county in which the
4municipality is located; or (ii) for a municipality in an
5urban county, at that municipality's option, either the
6unemployment rate certified for the municipality by the
7Department after consultation with the Illinois Department of
8Labor or the federal Bureau of Labor Statistics, or the
9unemployment rate of the municipality as determined by the
10most recent federal census if that census was not dated more
11than 5 years prior to the date on which the determination is
12made.
13    (i) "Municipality" means a city, village or incorporated
14town.
15    (j) "Obligations" means bonds, loans, debentures, notes,
16special certificates or other evidence of indebtedness issued
17by the municipality to carry out a redevelopment project or to
18refund outstanding obligations.
19    (k) "Payment in lieu of taxes" means those estimated tax
20revenues from real property in a redevelopment project area
21derived from real property that has been acquired by a
22municipality, which according to the redevelopment project or
23plan are to be used for a private use, that taxing districts
24would have received had a municipality not acquired the real
25property and adopted tax increment allocation financing and
26that would result from levies made after the time of the

 

 

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1adoption of tax increment allocation financing until the time
2the current equalized assessed value of real property in the
3redevelopment project area exceeds the total initial equalized
4assessed value of real property in that area.
5    (l) "Redevelopment plan" means the comprehensive program
6of the municipality for development or redevelopment intended
7by the payment of redevelopment project costs to reduce or
8eliminate the conditions that qualified the redevelopment
9project area or redevelopment planning area, or both, as an
10environmentally contaminated area or industrial park
11conservation area, or vacant industrial buildings conservation
12area, or combination thereof, and thereby to enhance the tax
13bases of the taxing districts that extend into the
14redevelopment project area or redevelopment planning area. On
15and after the effective date of this amendatory Act of the 91st
16General Assembly, no redevelopment plan may be approved or
17amended to include the development of vacant land (i) with a
18golf course and related clubhouse and other facilities or (ii)
19designated by federal, State, county, or municipal government
20as public land for outdoor recreational activities or for
21nature preserves and used for that purpose within 5 years
22prior to the adoption of the redevelopment plan. For the
23purpose of this subsection, "recreational activities" is
24limited to mean camping and hunting. Each redevelopment plan
25must set forth in writing the bases for the municipal findings
26required in this subsection, the program to be undertaken to

 

 

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1accomplish the objectives, including but not limited to: (1)
2an itemized list of estimated redevelopment project costs, (2)
3evidence indicating that the redevelopment project area or the
4redevelopment planning area, or both, on the whole has not
5been subject to growth and development through investment by
6private enterprise, (3) (i) in the case of an environmentally
7contaminated area, industrial park conservation area, or a
8vacant industrial buildings conservation area classified under
9either Standard One, or Standard Two of subsection (f) where
10the building is currently vacant, evidence that implementation
11of the redevelopment plan is reasonably expected to create a
12significant number of permanent full time jobs, (ii) in the
13case of a vacant industrial buildings conservation area
14classified under Standard Two (B)(i) or (ii) of subsection
15(f), evidence that implementation of the redevelopment plan is
16reasonably expected to retain a significant number of existing
17permanent full time jobs, and (iii) in the case of a
18combination of an environmentally contaminated area,
19industrial park conservation area, or vacant industrial
20buildings conservation area, evidence that the standards
21concerning the creation or retention of jobs for each area set
22forth in (i) or (ii) above are met, (4) an assessment of the
23financial impact of the redevelopment project area or the
24redevelopment planning area, or both, on the overlapping
25taxing bodies or any increased demand for services from any
26taxing district affected by the plan and any program to

 

 

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1address such financial impact or increased demand, (5) the
2sources of funds to pay costs, (6) the nature and term of the
3obligations to be issued, (7) the most recent equalized
4assessed valuation of the redevelopment project area or the
5redevelopment planning area, or both, (8) an estimate of the
6equalized assessed valuation after redevelopment and the
7general land uses that are applied in the redevelopment
8project area or the redevelopment planning area, or both, (9)
9a commitment to fair employment practices and a positive
10action an affirmative action plan, (10) if it includes an
11industrial park conservation area, the following: (i) a
12general description of any proposed developer, (ii) user and
13tenant of any property, (iii) a description of the type,
14structure and general character of the facilities to be
15developed, and (iv) a description of the type, class and
16number of new employees to be employed in the operation of the
17facilities to be developed, (11) if it includes an
18environmentally contaminated area, the following: either (i) a
19determination of release or substantial threat of release of a
20hazardous substance or pesticide or of petroleum by the United
21States Environmental Protection Agency or the Illinois
22Environmental Protection Agency, or the Illinois Pollution
23Control Board or any court; or (ii) both an environmental
24audit report by a nationally recognized independent
25environmental auditor having a reputation for expertise in
26these matters and a copy of the signed Review and Evaluation

 

 

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1Services Agreement indicating acceptance of the site by the
2Illinois Environmental Protection Agency into the Pre-Notice
3Site Cleanup Program, (12) if it includes a vacant industrial
4buildings conservation area, the following: (i) a general
5description of any proposed developer, (ii) user and tenant of
6any building or buildings, (iii) a description of the type,
7structure and general character of the building or buildings
8to be developed, and (iv) a description of the type, class and
9number of new employees to be employed or existing employees
10to be retained in the operation of the building or buildings to
11be redeveloped, and (13) if property is to be annexed to the
12municipality, the terms of the annexation agreement.
13    No redevelopment plan shall be adopted by a municipality
14without findings that:
15        (1) the redevelopment project area or redevelopment
16    planning area, or both, on the whole has not been subject
17    to growth and development through investment by private
18    enterprise and would not reasonably be anticipated to be
19    developed in accordance with public goals stated in the
20    redevelopment plan without the adoption of the
21    redevelopment plan;
22        (2) the redevelopment plan and project conform to the
23    comprehensive plan for the development of the municipality
24    as a whole, or, for municipalities with a population of
25    100,000 or more, regardless of when the redevelopment plan
26    and project was adopted, the redevelopment plan and

 

 

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1    project either: (i) conforms to the strategic economic
2    development or redevelopment plan issued by the designated
3    planning authority of the municipality or (ii) includes
4    land uses that have been approved by the planning
5    commission of the municipality;
6        (3) that the redevelopment plan is reasonably expected
7    to create or retain a significant number of permanent full
8    time jobs as set forth in paragraph (3) of subsection (l)
9    above;
10        (4) the estimated date of completion of the
11    redevelopment project and retirement of obligations
12    incurred to finance redevelopment project costs is not
13    later than December 31 of the year in which the payment to
14    the municipal treasurer as provided in subsection (b) of
15    Section 11-74.6-35 is to be made with respect to ad
16    valorem taxes levied in the twenty-third calendar year
17    after the year in which the ordinance approving the
18    redevelopment project area is adopted; a municipality may
19    by municipal ordinance amend an existing redevelopment
20    plan to conform to this paragraph (4) as amended by this
21    amendatory Act of the 91st General Assembly concerning
22    ordinances adopted on or after January 15, 1981, which
23    municipal ordinance may be adopted without further hearing
24    or notice and without complying with the procedures
25    provided in this Law pertaining to an amendment to or the
26    initial approval of a redevelopment plan and project and

 

 

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1    designation of a redevelopment project area;
2        (5) in the case of an industrial park conservation
3    area, that the municipality is a labor surplus
4    municipality or a substantial labor surplus municipality
5    and that the implementation of the redevelopment plan is
6    reasonably expected to create a significant number of
7    permanent full time new jobs and, by the provision of new
8    facilities, significantly enhance the tax base of the
9    taxing districts that extend into the redevelopment
10    project area;
11        (6) in the case of an environmentally contaminated
12    area, that the area is subject to a release or substantial
13    threat of release of a hazardous substance, pesticide or
14    petroleum which presents an imminent and substantial
15    danger to public health or welfare or presents a
16    significant threat to public health or environment, that
17    such release or threat of release will have a significant
18    impact on the cost of redeveloping the area, that the
19    implementation of the redevelopment plan is reasonably
20    expected to result in the area being redeveloped, the tax
21    base of the affected taxing districts being significantly
22    enhanced thereby, and the creation of a significant number
23    of permanent full time jobs; and
24        (7) in the case of a vacant industrial buildings
25    conservation area, that the area is located within the
26    corporate limits of a municipality that has been zoned

 

 

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1    industrial for at least 5 years before its designation as
2    a project redeveloped area, that it contains one or more
3    industrial buildings, and whether the area has been
4    designated under Standard One or Standard Two of
5    subsection (f) and the basis for that designation.
6    (m) "Redevelopment project" means any public or private
7development project in furtherance of the objectives of a
8redevelopment plan. On and after the effective date of this
9amendatory Act of the 91st General Assembly, no redevelopment
10plan may be approved or amended to include the development of
11vacant land (i) with a golf course and related clubhouse and
12other facilities or (ii) designated by federal, State, county,
13or municipal government as public land for outdoor
14recreational activities or for nature preserves and used for
15that purpose within 5 years prior to the adoption of the
16redevelopment plan. For the purpose of this subsection,
17"recreational activities" is limited to mean camping and
18hunting.
19    (n) "Redevelopment project area" means a contiguous area
20designated by the municipality that is not less in the
21aggregate than 1 1/2 acres, and for which the municipality has
22made a finding that there exist conditions that cause the area
23to be classified as an industrial park conservation area, a
24vacant industrial building conservation area, an
25environmentally contaminated area or a combination of these
26types of areas.

 

 

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1    (o) "Redevelopment project costs" means the sum total of
2all reasonable or necessary costs incurred or estimated to be
3incurred by the municipality, and any of those costs
4incidental to a redevelopment plan and a redevelopment
5project. These costs include, without limitation, the
6following:
7        (1) Costs of studies, surveys, development of plans,
8    and specifications, implementation and administration of
9    the redevelopment plan, staff and professional service
10    costs for architectural, engineering, legal, marketing,
11    financial, planning, or other services, but no charges for
12    professional services may be based on a percentage of the
13    tax increment collected; except that on and after the
14    effective date of this amendatory Act of the 91st General
15    Assembly, no contracts for professional services,
16    excluding architectural and engineering services, may be
17    entered into if the terms of the contract extend beyond a
18    period of 3 years. In addition, "redevelopment project
19    costs" shall not include lobbying expenses. After
20    consultation with the municipality, each tax increment
21    consultant or advisor to a municipality that plans to
22    designate or has designated a redevelopment project area
23    shall inform the municipality in writing of any contracts
24    that the consultant or advisor has entered into with
25    entities or individuals that have received, or are
26    receiving, payments financed by tax increment revenues

 

 

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1    produced by the redevelopment project area with respect to
2    which the consultant or advisor has performed, or will be
3    performing, service for the municipality. This requirement
4    shall be satisfied by the consultant or advisor before the
5    commencement of services for the municipality and
6    thereafter whenever any other contracts with those
7    individuals or entities are executed by the consultant or
8    advisor;
9        (1.5) After July 1, 1999, annual administrative costs
10    shall not include general overhead or administrative costs
11    of the municipality that would still have been incurred by
12    the municipality if the municipality had not designated a
13    redevelopment project area or approved a redevelopment
14    plan;
15        (1.6) The cost of marketing sites within the
16    redevelopment project area to prospective businesses,
17    developers, and investors.
18        (2) Property assembly costs within a redevelopment
19    project area, including but not limited to acquisition of
20    land and other real or personal property or rights or
21    interests therein.
22        (3) Site preparation costs, including but not limited
23    to clearance of any area within a redevelopment project
24    area by demolition or removal of any existing buildings,
25    structures, fixtures, utilities and improvements and
26    clearing and grading; and including installation, repair,

 

 

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1    construction, reconstruction, or relocation of public
2    streets, public utilities, and other public site
3    improvements within or without a redevelopment project
4    area which are essential to the preparation of the
5    redevelopment project area for use in accordance with a
6    redevelopment plan.
7        (4) Costs of renovation, rehabilitation,
8    reconstruction, relocation, repair or remodeling of any
9    existing public or private buildings, improvements, and
10    fixtures within a redevelopment project area; and the cost
11    of replacing an existing public building if pursuant to
12    the implementation of a redevelopment project the existing
13    public building is to be demolished to use the site for
14    private investment or devoted to a different use requiring
15    private investment.
16        (5) Costs of construction within a redevelopment
17    project area of public improvements, including but not
18    limited to, buildings, structures, works, utilities or
19    fixtures, except that on and after the effective date of
20    this amendatory Act of the 91st General Assembly,
21    redevelopment project costs shall not include the cost of
22    constructing a new municipal public building principally
23    used to provide offices, storage space, or conference
24    facilities or vehicle storage, maintenance, or repair for
25    administrative, public safety, or public works personnel
26    and that is not intended to replace an existing public

 

 

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1    building as provided under paragraph (4) unless either (i)
2    the construction of the new municipal building implements
3    a redevelopment project that was included in a
4    redevelopment plan that was adopted by the municipality
5    prior to the effective date of this amendatory Act of the
6    91st General Assembly or (ii) the municipality makes a
7    reasonable determination in the redevelopment plan,
8    supported by information that provides the basis for that
9    determination, that the new municipal building is required
10    to meet an increase in the need for public safety purposes
11    anticipated to result from the implementation of the
12    redevelopment plan.
13        (6) Costs of eliminating or removing contaminants and
14    other impediments required by federal or State
15    environmental laws, rules, regulations, and guidelines,
16    orders or other requirements or those imposed by private
17    lending institutions as a condition for approval of their
18    financial support, debt or equity, for the redevelopment
19    projects, provided, however, that in the event (i) other
20    federal or State funds have been certified by an
21    administrative agency as adequate to pay these costs
22    during the 18 months after the adoption of the
23    redevelopment plan, or (ii) the municipality has been
24    reimbursed for such costs by persons legally responsible
25    for them, such federal, State, or private funds shall,
26    insofar as possible, be fully expended prior to the use of

 

 

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1    any revenues deposited in the special tax allocation fund
2    of the municipality and any other such federal, State or
3    private funds received shall be deposited in the fund. The
4    municipality shall seek reimbursement of these costs from
5    persons legally responsible for these costs and the costs
6    of obtaining this reimbursement.
7        (7) Costs of job training and retraining projects.
8        (8) Financing costs, including but not limited to all
9    necessary and incidental expenses related to the issuance
10    of obligations and which may include payment of interest
11    on any obligations issued under this Act including
12    interest accruing during the estimated period of
13    construction of any redevelopment project for which the
14    obligations are issued and for not exceeding 36 months
15    thereafter and including reasonable reserves related to
16    those costs.
17        (9) All or a portion of a taxing district's capital
18    costs resulting from the redevelopment project necessarily
19    incurred or to be incurred in furtherance of the
20    objectives of the redevelopment plan and project, to the
21    extent the municipality by written agreement accepts and
22    approves those costs.
23        (10) Relocation costs to the extent that a
24    municipality determines that relocation costs shall be
25    paid or is required to make payment of relocation costs by
26    federal or State law.

 

 

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1        (11) Payments in lieu of taxes.
2        (12) Costs of job training, retraining, advanced
3    vocational education or career education, including but
4    not limited to courses in occupational, semi-technical or
5    technical fields leading directly to employment, incurred
6    by one or more taxing districts, if those costs are: (i)
7    related to the establishment and maintenance of additional
8    job training, advanced vocational education or career
9    education programs for persons employed or to be employed
10    by employers located in a redevelopment project area; and
11    (ii) are incurred by a taxing district or taxing districts
12    other than the municipality and are set forth in a written
13    agreement by or among the municipality and the taxing
14    district or taxing districts, which agreement describes
15    the program to be undertaken, including but not limited to
16    the number of employees to be trained, a description of
17    the training and services to be provided, the number and
18    type of positions available or to be available, itemized
19    costs of the program and sources of funds to pay for the
20    same, and the term of the agreement. These costs include,
21    specifically, the payment by community college districts
22    of costs under Sections 3-37, 3-38, 3-40 and 3-40.1 of the
23    Public Community College Act and by school districts of
24    costs under Sections 10-22.20a and 10-23.3a of the School
25    Code.
26        (13) The interest costs incurred by redevelopers or

 

 

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1    other nongovernmental persons in connection with a
2    redevelopment project, and specifically including payments
3    to redevelopers or other nongovernmental persons as
4    reimbursement for such costs incurred by such redeveloper
5    or other nongovernmental person, provided that:
6            (A) interest costs shall be paid or reimbursed by
7        a municipality only pursuant to the prior official
8        action of the municipality evidencing an intent to pay
9        or reimburse such interest costs;
10            (B) such payments in any one year may not exceed
11        30% of the annual interest costs incurred by the
12        redeveloper with regard to the redevelopment project
13        during that year;
14            (C) except as provided in subparagraph (E), the
15        aggregate amount of such costs paid or reimbursed by a
16        municipality shall not exceed 30% of the total (i)
17        costs paid or incurred by the redeveloper or other
18        nongovernmental person in that year plus (ii)
19        redevelopment project costs excluding any property
20        assembly costs and any relocation costs incurred by a
21        municipality pursuant to this Act;
22            (D) interest costs shall be paid or reimbursed by
23        a municipality solely from the special tax allocation
24        fund established pursuant to this Act and shall not be
25        paid or reimbursed from the proceeds of any
26        obligations issued by a municipality;

 

 

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1            (E) if there are not sufficient funds available in
2        the special tax allocation fund in any year to make
3        such payment or reimbursement in full, any amount of
4        such interest cost remaining to be paid or reimbursed
5        by a municipality shall accrue and be payable when
6        funds are available in the special tax allocation fund
7        to make such payment.
8        (14) The costs of construction of new privately owned
9    buildings shall not be an eligible redevelopment project
10    cost.
11    If a special service area has been established under the
12Special Service Area Tax Act, then any tax increment revenues
13derived from the tax imposed thereunder to the Special Service
14Area Tax Act may be used within the redevelopment project area
15for the purposes permitted by that Act as well as the purposes
16permitted by this Act.
17    (p) "Redevelopment Planning Area" means an area so
18designated by a municipality after the municipality has
19complied with all the findings and procedures required to
20establish a redevelopment project area, including the
21existence of conditions that qualify the area as an industrial
22park conservation area, or an environmentally contaminated
23area, or a vacant industrial buildings conservation area, or a
24combination of these types of areas, and adopted a
25redevelopment plan and project for the planning area and its
26included redevelopment project areas. The area shall not be

 

 

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1designated as a redevelopment planning area for more than 5
2years, or 10 years in the case of a redevelopment planning area
3in the City of Rockford. At any time in the 5 years, or 10
4years in the case of the City of Rockford, following that
5designation of the redevelopment planning area, the
6municipality may designate the redevelopment planning area, or
7any portion of the redevelopment planning area, as a
8redevelopment project area without making additional findings
9or complying with additional procedures required for the
10creation of a redevelopment project area. An amendment of a
11redevelopment plan and project in accordance with the findings
12and procedures of this Act after the designation of a
13redevelopment planning area at any time within the 5 years
14after the designation of the redevelopment planning area, or
1510 years after the designation of the redevelopment planning
16area in the City of Rockford, shall not require new
17qualification of findings for the redevelopment project area
18to be designated within the redevelopment planning area.
19    The terms "redevelopment plan", "redevelopment project",
20and "redevelopment project area" have the definitions set out
21in subsections (l), (m), and (n), respectively.
22    (q) "Taxing districts" means counties, townships,
23municipalities, and school, road, park, sanitary, mosquito
24abatement, forest preserve, public health, fire protection,
25river conservancy, tuberculosis sanitarium and any other
26municipal corporations or districts with the power to levy

 

 

HB3914 Engrossed- 139 -LRB102 16820 RJF 22223 b

1taxes.
2    (r) "Taxing districts' capital costs" means those costs of
3taxing districts for capital improvements that are found by
4the municipal corporate authorities to be necessary and a
5direct result of the redevelopment project.
6    (s) "Urban county" means a county with 240,000 or more
7inhabitants.
8    (t) "Vacant area", as used in subsection (a) of this
9Section, means any parcel or combination of parcels of real
10property without industrial, commercial and residential
11buildings that has not been used for commercial agricultural
12purposes within 5 years before the designation of the
13redevelopment project area, unless that parcel is included in
14an industrial park conservation area.
15(Source: P.A. 96-606, eff. 8-24-09.)
 
16    Section 185. The Economic Development Project Area Tax
17Increment Allocation Act of 1995 is amended by changing
18Section 10 as follows:
 
19    (65 ILCS 110/10)
20    Sec. 10. Definitions. In this Act, words or terms have the
21following meanings:
22    (a) "Closed military installation" means a former base,
23camp, post, station, yard, center, homeport facility for any
24ship, or other activity under the jurisdiction of the United

 

 

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1States Department of the Defense which is not less in the
2aggregate than 500 acres and which is closed or in the process
3of being closed by the Secretary of Defense under and pursuant
4to Title II of the Defense Base Closure and Realignment Act
5(Public Law 100-526; 10 U.S.C. 2687 note), The Defense Base
6Closure and Realignment Act of 1990 (part A of title XXIX of
7Public Law 101-510; 10 U.S.C. 2687 note), Section 2687 of
8Title 10 of the United States Code (10 U.S.C. 2687), or an
9installation, described in subsection (b) of Section 15 of the
10Joliet Arsenal Development Authority Act, that has been
11transferred or is in the process of being transferred by the
12Secretary of the Army pursuant to the Illinois Land
13Conservation Act (Title XXIX of Public Law 104-106; 16 U.S.C.
141609), as each may be further supplemented or amended.
15    (b) "Economic development plan" means the written plan of
16a municipality that sets forth an economic development program
17for an economic development project area. Each economic
18development plan shall include but not be limited to (i)
19estimated economic development project costs, (ii) the sources
20of funds to pay those costs, (iii) the nature and term of any
21obligations to be issued by the municipality to pay those
22costs, (iv) the most recent equalized assessed valuation of
23the economic development project area, (v) an estimate of the
24equalized assessed valuation of the economic development
25project area after completion of an economic development
26project, (vi) the estimated date of completion of any economic

 

 

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1development project proposed to be undertaken, (vii) a general
2description of the types of any proposed developers, users, or
3tenants of any property to be located or improved within the
4economic development project area, (viii) a description of the
5type, structure, and general character of the facilities to be
6developed or improved, (ix) a description of the general land
7uses to apply in the economic development project area, (x) a
8general description or an estimate of the type, class, and
9number of employees to be employed in the operation of the
10facilities to be developed or improved, and (xi) a commitment
11by the municipality to fair employment practices and a
12positive action an affirmative action plan regarding any
13economic development program to be undertaken by the
14municipality.
15    (c) "Economic development project" means any development
16project furthering the objectives of this Act.
17    (d) "Economic development project area" means any improved
18or vacant area that (i) is within or partially within and
19contiguous to the boundaries of a closed military installation
20as defined in subsection (a) of this Section (except the
21installation described in Section 15 of the Joliet Arsenal
22Development Authority Act) or, only in the case of the
23installation described in Section 15 of the Joliet Arsenal
24Development Authority Act, is within or contiguous to the
25closed military installation, (ii) is located entirely within
26the territorial limits of a municipality, (iii) is contiguous,

 

 

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1(iv) is not less in the aggregate than 1 1/2 acres, (v) is
2suitable for siting by a commercial, manufacturing,
3industrial, research, transportation or residential housing
4enterprise or facilities to include but not be limited to
5commercial businesses, offices, factories, mills, processing
6plants, industrial or commercial distribution centers,
7warehouses, repair overhaul or service facilities, freight
8terminals, research facilities, test facilities,
9transportation facilities or single or multi-family
10residential housing units, regardless of whether the area has
11been used at any time for those facilities and regardless of
12whether the area has been used or is suitable for other uses
13and (vi) has been approved and certified by the corporate
14authorities of the municipality pursuant to this Act.
15    (e) "Economic development project costs" means and
16includes the total of all reasonable or necessary costs
17incurred or to be incurred under an economic development
18project, including, without limitation, the following:
19        (1) Costs of studies, surveys, development of plans
20    and specifications, and implementation and administration
21    of an economic development plan and personnel and
22    professional service costs for architectural, engineering,
23    legal, marketing, financial planning, police, fire, public
24    works, public utility, or other services. No charges for
25    professional services, however, may be based on a
26    percentage of incremental tax revenues.

 

 

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1        (2) Property assembly costs within an economic
2    development project area, including but not limited to
3    acquisition of land and other real or personal property or
4    rights or interests in property.
5        (3) Site preparation costs, including but not limited
6    to clearance of any area within an economic development
7    project area by demolition or removal of any existing
8    buildings, structures, fixtures, utilities, and
9    improvements and clearing and grading; and including
10    installation, repair, construction, reconstruction,
11    extension or relocation of public streets, public
12    utilities, and other public site improvements located
13    outside the boundaries of an economic development project
14    area that are essential to the preparation of the economic
15    development project area for use with an economic
16    development plan.
17        (4) Costs of renovation, rehabilitation,
18    reconstruction, relocation, repair, or remodeling of any
19    existing buildings, improvements, equipment, and fixtures
20    within an economic development project area.
21        (5) Costs of installation or construction within an
22    economic development project area of any buildings,
23    structures, works, streets, improvements, equipment,
24    utilities, or fixtures, whether publicly or privately
25    owned or operated.
26        (6) Financing costs, including but not limited to all

 

 

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1    necessary and incidental expenses related to the issuance
2    of obligations, payment of any interest on any obligations
3    issued under this Act that accrues during the estimated
4    period of construction of any economic development project
5    for which the obligations are issued and for not more than
6    36 months after that period, and any reasonable reserves
7    related to the issuance of the obligations.
8        (7) All or a portion of a taxing district's capital or
9    operating costs resulting from an economic development
10    project necessarily incurred or estimated to be incurred
11    by a taxing district in the furtherance of the objectives
12    of an economic development project, to the extent that the
13    municipality, by written agreement, accepts and approves
14    those costs.
15        (8) Relocation costs to the extent that a municipality
16    determines that relocation costs shall be paid or is
17    required to pay relocation costs by federal or State law.
18        (9) The estimated tax revenues from real property in
19    an economic development project area acquired by a
20    municipality in furtherance of an economic development
21    project under this Act that, according to the economic
22    development plan, is to be used for a private use (i) that
23    any taxing district would have received had the
24    municipality not adopted tax increment allocation
25    financing for an economic development project area and
26    (ii) that would result from the taxing district's levies

 

 

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1    made after the time of the adoption by the municipality of
2    tax increment allocation financing to the time the current
3    equalized assessed value of real property in the economic
4    development project area exceeds the total initial
5    equalized value of real property.
6        (10) Costs of rebating ad valorem taxes paid by any
7    developer or other nongovernmental person in whose name
8    the general taxes were paid for the last preceding year on
9    any lot, block, tract, or parcel of land in the economic
10    development project area, provided that:
11            (A) the economic development project area is
12        located in an enterprise zone created under the
13        Illinois Enterprise Zone Act;
14            (B) the ad valorem taxes shall be rebated only in
15        amounts and for a tax year or years as the municipality
16        and any one or more affected taxing districts have
17        agreed by prior written agreement;
18            (C) any amount of rebate of taxes shall not exceed
19        the portion, if any, of taxes levied by the
20        municipality or taxing district or districts that is
21        attributable to the increase in the current equalized
22        assessed valuation of each taxable lot, block, tract,
23        or parcel of real property in the economic development
24        project area over and above the initial equalized
25        assessed value of each property existing at the time
26        property tax allocation financing was adopted for the

 

 

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1        economic development project area; and
2            (D) costs of rebating ad valorem taxes shall be
3        paid by a municipality solely from the special tax
4        allocation fund established under this Act and shall
5        not be paid from the proceeds of any obligations
6        issued by a municipality.
7        (11) Costs of job training or advanced vocational or
8    career education, including but not limited to courses in
9    occupational, semi-technical, or technical fields leading
10    directly to employment, incurred by one or more taxing
11    districts, but only if the costs are related to the
12    establishment and maintenance of additional job training,
13    advanced vocational education, or career education
14    programs for persons employed or to be employed by
15    employers located in the economic development project area
16    and only if, when the costs are incurred by a taxing
17    district or taxing districts other than the municipality,
18    they shall be set forth in a written agreement by or among
19    the municipality and the taxing district or taxing
20    districts that describes the program to be undertaken,
21    including without limitation the number of employees to be
22    trained, a description of the training and services to be
23    provided, the number and type of positions available or to
24    be available, itemized costs of the program and sources of
25    funds to pay the costs, and the term of the agreement.
26    These costs include, specifically, the payment by

 

 

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1    community college districts of costs pursuant to Sections
2    3-37, 3-38, 3-40 and 3-40.1 of the Public Community
3    College Act and by school districts of costs pursuant to
4    Sections 10-22.20 and 10-23.3a of the School Code.
5        (12) Private financing costs incurred by a developer
6    or other nongovernmental person in connection with an
7    economic development project, provided that:
8            (A) private financing costs shall be paid or
9        reimbursed by a municipality only pursuant to the
10        prior official action of the municipality evidencing
11        an intent to pay or reimburse such private financing
12        costs;
13            (B) except as provided in subparagraph (D), the
14        aggregate amount of the costs paid or reimbursed by a
15        municipality in any one year shall not exceed 30% of
16        the costs paid or incurred by the developer or other
17        nongovernmental person in that year;
18            (C) private financing costs shall be paid or
19        reimbursed by a municipality solely from the special
20        tax allocation fund established under this Act and
21        shall not be paid from the proceeds of any obligations
22        issued by a municipality; and
23            (D) if there are not sufficient funds available in
24        the special tax allocation fund in any year to make the
25        payment or reimbursement in full, any amount of the
26        interest costs remaining to be paid or reimbursed by a

 

 

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1        municipality shall accrue and be payable when funds
2        are available in the special tax allocation fund to
3        make the payment.
4    If a special service area has been established under the
5Special Service Area Tax Act, then any tax increment revenues
6derived from the tax imposed pursuant to the Special Service
7Area Tax Act may be used within the economic development
8project area for the purposes permitted by that Act as well as
9the purposes permitted by this Act.
10    (f) "Municipality" means a city, village, or incorporated
11town.
12    (g) "Obligations" means any instrument evidencing the
13obligation of a municipality to pay money, including without
14limitation bonds, notes, installment or financing contracts,
15certificates, tax anticipation warrants or notes, vouchers,
16and any other evidences of indebtedness.
17    (h) "Taxing districts" means counties, townships, and
18school, road, park, sanitary, mosquito abatement, forest
19preserve, public health, fire protection, river conservancy,
20tuberculosis sanitarium, and any other districts or other
21municipal corporations with the power to levy taxes.
22(Source: P.A. 91-642, eff. 8-20-99.)
 
23    Section 190. The Metropolitan Pier and Exposition
24Authority Act is amended by changing Sections 23.1 and 26 as
25follows:
 

 

 

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1    (70 ILCS 210/23.1)  (from Ch. 85, par. 1243.1)
2    Sec. 23.1. Positive action Affirmative action.
3    (a) The Authority shall, within 90 days after the
4effective date of this amendatory Act of 1984, establish and
5maintain a positive action an affirmative action program
6designed to promote equal employment opportunity and eliminate
7the effects of past discrimination. Such program shall include
8a plan, including timetables where appropriate, which shall
9specify goals and methods for increasing participation by
10women and minorities in employment, including employment
11related to the planning, organization, and staging of the
12games, by the Authority and by parties which contract with the
13Authority. The Authority shall submit a detailed plan with the
14General Assembly prior to September 1 of each year. Such
15program shall also establish procedures and sanctions, which
16the Authority shall enforce to ensure compliance with the plan
17established pursuant to this Section and with State and
18federal laws and regulations relating to the employment of
19women and minorities. A determination by the Authority as to
20whether a party to a contract with the Authority has achieved
21the goals or employed the methods for increasing participation
22by women and minorities shall be determined in accordance with
23the terms of such contracts or the applicable provisions of
24rules and regulations of the Authority existing at the time
25such contract was executed, including any provisions for

 

 

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1consideration of good faith efforts at compliance which the
2Authority may reasonably adopt.
3    (b) The Authority shall adopt and maintain minority-owned
4and women-owned business enterprise procurement programs under
5the positive action affirmative action program described in
6subsection (a) for any and all work, including all contracting
7related to the planning, organization, and staging of the
8games, undertaken by the Authority. That work shall include,
9but is not limited to, the purchase of professional services,
10construction services, supplies, materials, and equipment. The
11programs shall establish goals of awarding not less than 25%
12of the annual dollar value of all contracts, purchase orders,
13or other agreements (collectively referred to as "contracts")
14to minority-owned businesses and 5% of the annual dollar value
15of all contracts to women-owned businesses. Without limiting
16the generality of the foregoing, the programs shall require in
17connection with the prequalification or consideration of
18vendors for professional service contracts, construction
19contracts, and contracts for supplies, materials, equipment,
20and services that each proposer or bidder submit as part of his
21or her proposal or bid a commitment detailing how he or she
22will expend 25% or more of the dollar value of his or her
23contracts with one or more minority-owned businesses and 5% or
24more of the dollar value with one or more women-owned
25businesses. Bids or proposals that do not include such
26detailed commitments are not responsive and shall be rejected

 

 

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1unless the Authority deems it appropriate to grant a waiver of
2these requirements. In addition the Authority may, in
3connection with the selection of providers of professional
4services, reserve the right to select a minority-owned or
5women-owned business or businesses to fulfill the commitment
6to minority and woman business participation. The commitment
7to minority and woman business participation may be met by the
8contractor or professional service provider's status as a
9minority-owned or women-owned business, by joint venture or by
10subcontracting a portion of the work with or purchasing
11materials for the work from one or more such businesses, or by
12any combination thereof. Each contract shall require the
13contractor or provider to submit a certified monthly report
14detailing the status of that contractor or provider's
15compliance with the Authority's minority-owned and women-owned
16business enterprise procurement program. The Authority, after
17reviewing the monthly reports of the contractors and
18providers, shall compile a comprehensive report regarding
19compliance with this procurement program and file it quarterly
20with the General Assembly. If, in connection with a particular
21contract, the Authority determines that it is impracticable or
22excessively costly to obtain minority-owned or women-owned
23businesses to perform sufficient work to fulfill the
24commitment required by this subsection, the Authority shall
25reduce or waive the commitment in the contract, as may be
26appropriate. The Authority shall establish rules and

 

 

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1regulations setting forth the standards to be used in
2determining whether or not a reduction or waiver is
3appropriate. The terms "minority-owned business" and
4"women-owned business" have the meanings given to those terms
5in the Business Enterprise for Minorities, Women, and Persons
6with Disabilities Act.
7    (c) The Authority shall adopt and maintain a positive
8action an affirmative action program in connection with the
9hiring of minorities and women on the Expansion Project and on
10any and all construction projects, including all contracting
11related to the planning, organization, and staging of the
12games, undertaken by the Authority. The program shall be
13designed to promote equal employment opportunity and shall
14specify the goals and methods for increasing the participation
15of minorities and women in a representative mix of job
16classifications required to perform the respective contracts
17awarded by the Authority.
18    (d) In connection with the Expansion Project, the
19Authority shall incorporate the following elements into its
20minority-owned and women-owned business procurement programs
21to the extent feasible: (1) a major contractors program that
22permits minority-owned businesses and women-owned businesses
23to bear significant responsibility and risk for a portion of
24the project; (2) a mentor/protege program that provides
25financial, technical, managerial, equipment, and personnel
26support to minority-owned businesses and women-owned

 

 

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1businesses; (3) an emerging firms program that includes
2minority-owned businesses and women-owned businesses that
3would not otherwise qualify for the project due to
4inexperience or limited resources; (4) a small projects
5program that includes participation by smaller minority-owned
6businesses and women-owned businesses on jobs where the total
7dollar value is $5,000,000 or less; and (5) a set-aside
8program that will identify contracts requiring the expenditure
9of funds less than $50,000 for bids to be submitted solely by
10minority-owned businesses and women-owned businesses.
11    (e) The Authority is authorized to enter into agreements
12with contractors' associations, labor unions, and the
13contractors working on the Expansion Project to establish an
14Apprenticeship Preparedness Training Program to provide for an
15increase in the number of minority and women journeymen and
16apprentices in the building trades and to enter into
17agreements with Community College District 508 to provide
18readiness training. The Authority is further authorized to
19enter into contracts with public and private educational
20institutions and persons in the hospitality industry to
21provide training for employment in the hospitality industry.
22    (f) McCormick Place Advisory Board. There is created a
23McCormick Place Advisory Board composed as follows: 2 members
24shall be appointed by the Mayor of Chicago; 2 members shall be
25appointed by the Governor; 2 members shall be State Senators
26appointed by the President of the Senate; 2 members shall be

 

 

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1State Senators appointed by the Minority Leader of the Senate;
22 members shall be State Representatives appointed by the
3Speaker of the House of Representatives; and 2 members shall
4be State Representatives appointed by the Minority Leader of
5the House of Representatives. The terms of all previously
6appointed members of the Advisory Board expire on the
7effective date of this amendatory Act of the 92nd General
8Assembly. A State Senator or State Representative member may
9appoint a designee to serve on the McCormick Place Advisory
10Board in his or her absence.
11    A "member of a minority group" shall mean a person who is a
12citizen or lawful permanent resident of the United States and
13who is any of the following:
14        (1) American Indian or Alaska Native (a person having
15    origins in any of the original peoples of North and South
16    America, including Central America, and who maintains
17    tribal affiliation or community attachment).
18        (2) Asian (a person having origins in any of the
19    original peoples of the Far East, Southeast Asia, or the
20    Indian subcontinent, including, but not limited to,
21    Cambodia, China, India, Japan, Korea, Malaysia, Pakistan,
22    the Philippine Islands, Thailand, and Vietnam).
23        (3) Black or African American (a person having origins
24    in any of the black racial groups of Africa). Terms such as
25    "Haitian" or "Negro" can be used in addition to "Black or
26    African American".

 

 

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1        (4) Hispanic or Latino (a person of Cuban, Mexican,
2    Puerto Rican, South or Central American, or other Spanish
3    culture or origin, regardless of race).
4        (5) Native Hawaiian or Other Pacific Islander (a
5    person having origins in any of the original peoples of
6    Hawaii, Guam, Samoa, or other Pacific Islands).
7    Members of the McCormick Place Advisory Board shall serve
82-year terms and until their successors are appointed, except
9members who serve as a result of their elected position whose
10terms shall continue as long as they hold their designated
11elected positions. Vacancies shall be filled by appointment
12for the unexpired term in the same manner as original
13appointments are made. The McCormick Place Advisory Board
14shall elect its own chairperson.
15    Members of the McCormick Place Advisory Board shall serve
16without compensation but, at the Authority's discretion, shall
17be reimbursed for necessary expenses in connection with the
18performance of their duties.
19    The McCormick Place Advisory Board shall meet quarterly,
20or as needed, shall produce any reports it deems necessary,
21and shall:
22        (1) Work with the Authority on ways to improve the
23    area physically and economically;
24        (2) Work with the Authority regarding potential means
25    for providing increased economic opportunities to
26    minorities and women produced indirectly or directly from

 

 

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1    the construction and operation of the Expansion Project;
2        (3) Work with the Authority to minimize any potential
3    impact on the area surrounding the McCormick Place
4    Expansion Project, including any impact on minority-owned
5    or women-owned businesses, resulting from the construction
6    and operation of the Expansion Project;
7        (4) Work with the Authority to find candidates for
8    building trades apprenticeships, for employment in the
9    hospitality industry, and to identify job training
10    programs;
11        (5) Work with the Authority to implement the
12    provisions of subsections (a) through (e) of this Section
13    in the construction of the Expansion Project, including
14    the Authority's goal of awarding not less than 25% and 5%
15    of the annual dollar value of contracts to minority-owned
16    and women-owned businesses, the outreach program for
17    minorities and women, and the mentor/protege program for
18    providing assistance to minority-owned and women-owned
19    businesses.
20    (g) The Authority shall comply with subsection (e) of
21Section 5-42 of the Olympic Games and Paralympic Games (2016)
22Law. For purposes of this Section, the term "games" has the
23meaning set forth in the Olympic Games and Paralympic Games
24(2016) Law.
25(Source: P.A. 100-391, eff. 8-25-17.)
 

 

 

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1    (70 ILCS 210/26)  (from Ch. 85, par. 1246)
2    Sec. 26. (a) As soon after the end of each fiscal year as
3may be expedient, the Board shall cause to be prepared and
4printed a complete and detailed report and financial statement
5of its operations and of its assets and liabilities. A
6reasonably sufficient number of copies of such report shall be
7printed for distribution to persons interested, upon request,
8and a copy thereof shall be filed with the Governor, the Mayor,
9the General Assembly and the Park District President. Within 6
10months after the effective date of this amendatory Act of
111985, or as soon thereafter as is possible, the Authority
12shall adopt an accounting system which shall not be
13implemented until it has been approved by the Auditor General
14as appropriate for the Authority's operations.
15    (b) With respect to construction by the Authority funded
16in whole or in part with State or borrowed funds, including the
17Project, the Authority shall prepare a monthly report of the
18progress of construction. The report shall include a
19discussion of: (1) the status of construction; (2) delays or
20anticipated delays in the completion of the construction; (3)
21cost overruns; (4) funds available for construction and the
22current construction budget; (5) the status of the
23implementation of the Authority's positive action affirmative
24action program by contractor, trade and levels of skill; and
25(6) any problems, or anticipated problems, with respect to
26construction or costs of construction. The monthly reports

 

 

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1required by this Section shall be submitted to the Governor,
2the Mayor and the General Assembly.
3    In connection with any construction by the Authority
4funded in whole or in part by State or borrowed funds,
5including the Project, the Authority will, when such
6construction is to be done by a general contractor or a
7construction manager operating in a general contractor
8capacity, institute a quality assurance program, including
9independent quality control inspections. The Authority will
10file not less frequently than quarterly written reports on the
11results of its quality assurance program with the Governor,
12the Mayor and the General Assembly.
13(Source: P.A. 84-1027.)
 
14    Section 195. The Cook County Forest Preserve District Act
15is amended by changing Section 14 as follows:
 
16    (70 ILCS 810/14)  (from Ch. 96 1/2, par. 6417)
17    Sec. 14. The board, as corporate authority of a forest
18preserve district, shall have power to pass and enforce all
19necessary ordinances, rules and regulations for the management
20of the property and conduct of the business of such district.
21The president of such board shall have power to appoint a
22secretary and an assistant secretary, and treasurer and an
23assistant treasurer and such other officers and such employees
24as may be necessary, all of whom, excepting the treasurer and

 

 

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1attorneys, shall be under civil service rules and regulations,
2as provided in Section 17 of this Act. The assistant secretary
3and assistant treasurer shall perform the duties of the
4secretary and treasurer, respectively, in case of death of
5said officers or when said officers are unable to perform the
6duties of their respective offices because of absence or
7inability to act. All contracts for supplies, material or work
8involving an expenditure by forest preserve districts in
9excess of $25,000 shall be let to the lowest responsible
10bidder, after due advertisement, excepting work requiring
11personal confidence or necessary supplies under the control of
12monopolies, where competitive bidding is impossible. Contracts
13for supplies, material or work involving an expenditure of
14$25,000 or less may be let without advertising for bids, but
15whenever practicable, at least 3 competitive bids shall be
16obtained before letting such contract. Notwithstanding the
17provisions of this Section, a forest preserve district may
18establish procedures to comply with State and federal
19regulations concerning positive action affirmative action and
20the use of small businesses or businesses owned by minorities
21or women in construction and procurement contracts. All
22contracts for supplies, material or work shall be signed by
23the president of the board or by any such other officer as the
24board in its discretion may designate.
25    Salaries of employees shall be fixed by ordinance.
26(Source: P.A. 99-264, eff. 1-1-16.)
 

 

 

HB3914 Engrossed- 160 -LRB102 16820 RJF 22223 b

1    Section 200. The Chicago Park District Act is amended by
2changing Section 16a as follows:
 
3    (70 ILCS 1505/16a)  (from Ch. 105, par. 333.16a)
4    Sec. 16a. Personnel code.
5    (a) Notwithstanding the provisions of the Park System
6Civil Service Act or the provisions of any other law, the board
7of commissioners by ordinance may establish a personnel code
8for the Chicago Park District creating a system of personnel
9administration based on merit principles and scientific
10methods.
11    (b) The passage by the board of commissioners of a
12personnel code that complies with the provisions of this
13Section shall suspend the applicability to the Chicago Park
14District of the Park System Civil Service Act. That Act shall
15again become applicable to the Chicago Park District
16immediately upon the repeal by the board of commissioners of
17the personnel code or of any provision of that Code that is
18required by this Section.
19    (c) Any personnel code passed by the board of
20commissioners under the authority of this Section shall
21contain provisions necessary to create a personnel system
22based on merit principles and scientific methods and shall at
23a minimum contain the following provisions:
24        (1) The code shall create the office of Director of

 

 

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1    Human Resources. The Director of Human Resources shall be
2    a resident of the district and shall be appointed by the
3    board of commissioners.
4        (2) The code shall provide for a personnel board
5    consisting of 3 members. Two members shall be
6    commissioners and the third shall be the Director of Human
7    Resources or the person lawfully acting in that capacity.
8    Terms for members shall be prescribed by the personnel
9    code. The commissioner members of the personnel board
10    shall serve without compensation but shall be reimbursed
11    for necessary travel and other expenses. The personnel
12    board may administer oaths, subpoena witnesses, and compel
13    the production of books and papers pertinent to any
14    hearing authorized by this Section. Any circuit court,
15    upon application by the personnel board or any member of
16    the board, may, in its discretion, compel the attendance
17    of witnesses, the production of books and papers, and the
18    giving of testimony before the board or its hearing
19    officer in relation to a hearing. Any person who shall
20    refuse to comply with a lawfully served order to appear or
21    testify before the personnel board or its hearing officer,
22    or to produce books and papers relevant to the hearing as
23    commanded in a lawfully served subpoena, shall be guilty
24    of a Class B misdemeanor. Any person who, having taken an
25    oath or made affirmation before the board or its hearing
26    officer, knowingly swears or affirms falsely is guilty of

 

 

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1    perjury and upon conviction shall be punished accordingly.
2        (3) The code shall subject all positions of employment
3    in the Park District to the jurisdiction of the personnel
4    board, with the exception of offices or high-ranking
5    senior executive positions, confidential positions, or
6    special program positions that cannot be subject to career
7    service due to program requirements. The board of
8    commissioners shall, by resolution, specifically exempt
9    those offices or positions from the jurisdiction of the
10    personnel board.
11        (4) The substantive provisions of the code shall
12    provide, at a minimum, for the following:
13            (A) With the exceptions listed below, all
14        vacancies in positions of employment subject to the
15        jurisdiction of the personnel board shall be filled
16        only after providing reasonable public notice of the
17        vacancy and inviting those who meet the published
18        minimum requirements for the position as further
19        provided in this Section to apply for it. The district
20        shall specify in the announcement of the vacancy the
21        minimum requirements necessary to be considered for
22        the position, as contained in the official position
23        description for the position. The district shall
24        specify in the announcement of the vacancy whether
25        competition for the vacancy is open to non-employees
26        of the district, or to employees of the district, or to

 

 

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1        both. The district may dispense with this requirement
2        of public announcement when a vacancy, for reasons
3        promoting the efficiency of the district service, is
4        to be filled by demotion, recall from layoff or leave
5        of absence, or lateral transfer of an employee; or as
6        the result of a lawful order of a court, arbitrator, or
7        administrative agency; or as the result of a bona fide
8        settlement of a legal claim; or in accordance with the
9        provisions of this Section governing emergency
10        appointments; or as a result of a reclassification of
11        an employee's job title made in accordance with rules
12        prescribed by the district for correcting
13        misclassifications; or as the result of a need to
14        correct or avoid violations of any ethics ordinance of
15        the district.
16            (B) All vacancies that have been publicly
17        announced in accordance with the provisions of
18        subparagraph (A) of this paragraph (4) shall
19        thereafter be filled by a competitive evaluation of
20        the relative qualifications of those who apply for it.
21        Any method of evaluation shall be reasonably designed
22        to select candidates on the basis of job-related
23        criteria. The personnel board shall prescribe by rule
24        the various methods of evaluation that may be used.
25        The public announcement of the vacancy shall specify
26        the method that will be used for the particular

 

 

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1        vacancy. The Director of Human Resources shall
2        document the process of conducting each competitive
3        evaluation for each vacancy in sufficient detail that
4        the personnel board may determine the process by
5        which, and the basis on which, the person selected to
6        fill the vacancy was selected.
7            (C) The district, where it determines that it is
8        in the interest of the efficiency of the service, may
9        specify reasonable lines of promotion or "career
10        ladder" progressions grouping related positions. The
11        district may, in its discretion, restrict competition
12        for a particular vacancy (i) to existing employees who
13        seek promotion to that vacancy from the position class
14        at the next lower step in the relevant line of
15        promotion or career ladder progression or (ii) if
16        there is no such lower step, to existing employees
17        seeking promotion from a particular job classification
18        or classifications whose duties are reasonably related
19        to the duties of the vacancy being filled. No
20        restriction of competition for a vacancy to be filled
21        by promotion shall be applied unless the line of
22        promotion or similar restriction has first been
23        approved by the personnel board.
24            (D) Persons appointed to a position of permanent
25        employment shall acquire "career service" status
26        following successful completion of a 6-month period of

 

 

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1        probation.
2            (E) The district may prescribe reasonable rules
3        that extend appropriate preference in filling
4        vacancies to qualified persons who have been members
5        of the armed forces of the United States in time of
6        hostilities with a foreign country or to qualified
7        persons who, while citizens of the United States, were
8        members of the armed forces of allies of the United
9        States in time of hostilities with a foreign country.
10        A "time of hostilities with a foreign country" means
11        the period of time from December 7, 1941, to December
12        31, 1945, and from June 27, 1950, to December 31, 1976
13        and during any other period prescribed by the Board of
14        Commissioners to take account of periods in which the
15        armed forces were subjected to the risks of
16        hostilities with a foreign country. To qualify for
17        this preference, a person must have served in the
18        armed forces for at least 6 months, been discharged on
19        the ground of hardship, or been released from active
20        duty because of a service-connected disability; the
21        person must not have received a dishonorable
22        discharge.
23            (F) The district may make emergency appointments
24        without public announcement or competition where
25        immediate appointment is required for reasons of the
26        security or safety of the public or of the district's

 

 

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1        property. Emergency appointments shall be immediately
2        reported to the personnel board, which may disapprove
3        them and order them ended. No emergency appointment
4        may last more than 30 days, and no emergency
5        appointment shall be renewed.
6            (G) The district may make temporary appointments
7        to positions in which it is determined by the
8        personnel board that the continuous services of the
9        employee will be needed for less than 12 months.
10        Appointments shall be made by public announcement and
11        competitive methods as provided in subparagraph (A) of
12        this paragraph (4), but the employee thus appointed
13        shall not acquire career service status during the
14        period of his or her temporary appointment.
15            (H) The district may transfer employees without
16        competitive procedures from a position to a similar
17        position involving similar qualifications, duties,
18        responsibilities, and salary ranges.
19            (I) The district may make layoffs by reason of
20        lack of funds or work, abolition of a position, or
21        material change in duties or organization. The
22        personnel code may provide for reemployment of
23        employees so laid off, giving consideration in both
24        layoffs and reemployment to performance record,
25        seniority in service, and impact on achieving equal
26        employment opportunity goals.

 

 

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1            (J) Any employee with career service status shall
2        be discharged or suspended without pay for more than
3        30 days only for cause and only upon written charges
4        for the discharge or suspension. The employee shall
5        have an opportunity to appeal the action to the
6        personnel board and to receive a hearing before the
7        personnel board or a hearing officer appointed by it.
8        The district may suspend, without pay, the charged
9        employee pending a hearing and determination of an
10        appeal by the personnel board. All final
11        administrative decisions by the personnel board
12        discharging or suspending, for more than 30 days, an
13        employee with career service status are subject to
14        judicial review under the Administrative Review Law.
15            (K) The district shall extend, to persons who are
16        working in a position in which they lawfully acquired
17        civil service status by virtue of being examined under
18        the Park System Civil Service Act, career service
19        status in that position without further examination.
20            (L) In filling any position subject to the
21        jurisdiction of the personnel board and not exempted
22        under paragraph (3) of subsection (c), the district
23        shall take no account, whether favorably or
24        unfavorably, of any candidate's political affiliation,
25        political preferences or views, or service to any
26        political party or organization. The district shall

 

 

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1        maintain procedures through which employees may
2        complain of violations of this prohibition and through
3        which any established violation may be corrected.
4            (M) The district shall provide, by rule of the
5        personnel board, by collective bargaining agreements
6        with the appropriate collective bargaining
7        representatives, or both, for continued recognition of
8        any right acquired on or before the effective date of
9        this amendatory Act of 1991 by an employee of the
10        district to be employed or reemployed, as the result
11        of a layoff or a recall, in a position in which the
12        employee previously held civil service status. Those
13        previously acquired rights may be modified by mutual
14        agreement between the district and the appropriate
15        collective bargaining representative.
16            (N) The code shall provide that in filling
17        vacancies, the district will follow the provisions of
18        any lawful positive action affirmative action plan
19        approved by the board of commissioners.
20            (O) The code shall set forth specific standards of
21        employee performance that all district employees shall
22        be required to follow.
23        (5) The code shall provide for the preparation,
24    maintenance, and revision by the personnel board of a
25    position classification plan for all positions of
26    employment within the district, based on similarity of

 

 

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1    duties performed, responsibilities assigned, and
2    conditions of employment, so that the same schedule of pay
3    may be equitably applied to all positions in the same
4    class. Every class of positions shall have a position
5    description approved by the personnel board, specifying
6    the duties expected of the occupant of the position, the
7    minimum requirements of education, training, or experience
8    required for the position, and any other information the
9    personnel board by rule may prescribe for inclusion in the
10    position descriptions. No position shall be filled, and no
11    salary or other remuneration paid to an occupant of a
12    position, until the position has been incorporated by the
13    personnel board into the position classification plan.
14        (6) The code shall provide for the preparation,
15    maintenance, and revision of a pay plan. The pay plan
16    shall be approved, and all revisions to it shall be
17    approved, by the board of commissioners. The pay plan
18    shall assign rates of pay to each position within the
19    approved position classification plan of the district. No
20    salary for any position of employment in the district
21    shall be paid unless and until that position has been
22    lawfully included in the pay plan. Nothing in this Section
23    shall relieve the district from the obligation to bargain
24    over rates of pay under the Illinois Public Labor
25    Relations Act or any other statute that regulates the
26    labor relations of the district.

 

 

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1        (7) The code shall provide that no disbursing or
2    auditing officer of the district shall make or approve any
3    payment for personal service to any person holding a
4    position in the service of the district unless the payroll
5    voucher or account of the payment bears the certification
6    of the Director of Human Resources that each person named
7    therein has been appointed and employed in accordance with
8    the provisions of the personnel code and the provisions of
9    this Section. The certification shall be based either upon
10    verification of the individual items in each payroll
11    period or upon procedures developed for avoiding
12    unnecessary repetitive verification when other evidence of
13    compliance with applicable laws and rules is available.
14    The procedures may be based either upon a continuation of
15    payroll preparation by individual departments or upon the
16    use of a central payroll preparation unit. The Director of
17    Human Resources shall furnish the personnel board with a
18    copy of each payroll as certified.
19(Source: P.A. 91-918, eff. 7-7-00.)
 
20    Section 205. The Metropolitan Water Reclamation District
21Act is amended by changing Section 11.3 as follows:
 
22    (70 ILCS 2605/11.3)  (from Ch. 42, par. 331.3)
23    Sec. 11.3. Except as provided in Sections 11.4 and 11.5,
24all purchase orders or contracts involving amounts in excess

 

 

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1of the mandatory competitive bid threshold and made by or on
2behalf of the sanitary district for labor, services or work,
3the purchase, lease or sale of personal property, materials,
4equipment or supplies, or the granting of any concession,
5shall be let by free and open competitive bidding after
6advertisement, to the lowest responsible bidder or to the
7highest responsible bidder, as the case may be, depending upon
8whether the sanitary district is to expend or receive money.
9    All such purchase orders or contracts which shall involve
10amounts that will not exceed the mandatory competitive bid
11threshold, shall also be let in the manner prescribed above
12whenever practicable, except that after solicitation of bids,
13such purchase orders or contracts may be let in the open
14market, in a manner calculated to insure the best interests of
15the public. The provisions of this section are subject to any
16contrary provisions contained in "An Act concerning the use of
17Illinois mined coal in certain plants and institutions", filed
18July 13, 1937, as heretofore and hereafter amended. For
19purposes of this Section, the "mandatory competitive bid
20threshold" is a dollar amount equal to 0.1% of the total
21general fixed assets of the district as reported in the most
22recent required audit report. In no event, however, shall the
23mandatory competitive bid threshold dollar amount be less than
24$10,000 or more than $40,000.
25    If a unit of local government performs non-emergency
26construction, alteration, repair, improvement, or maintenance

 

 

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1work on the public way, the sanitary district may enter into an
2intergovernmental agreement with the unit of local government
3allowing similar construction work to be performed by the
4sanitary district on the same project, in an amount no greater
5than $100,000, to save taxpayer funds and eliminate
6duplication of government effort. The sanitary district and
7the other unit of local government shall, before work is
8performed by either unit of local government on a project,
9adopt a resolution by a majority vote of both governing bodies
10certifying work will occur at a specific location, the reasons
11why both units of local government require work to be
12performed in the same location, and the projected cost savings
13if work is performed by both units of local government on the
14same project. Officials or employees of the sanitary district
15may, if authorized by resolution, purchase in the open market
16any supplies, materials, equipment, or services for use within
17the project in an amount no greater than $100,000 without
18advertisement or without filing a requisition or estimate. A
19full written account of each project performed by the sanitary
20district and a requisition for the materials, supplies,
21equipment, and services used by the sanitary district required
22to complete the project must be submitted by the officials or
23employees authorized to make purchases to the board of
24trustees of the sanitary district no later than 30 days after
25purchase. The full written account must be available for
26public inspection for at least one year after expenditures are

 

 

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1made.
2    Notwithstanding the provisions of this Section, the
3sanitary district is expressly authorized to establish such
4procedures as it deems appropriate to comply with state or
5federal regulations as to positive action affirmative action
6and the utilization of small and minority businesses in
7construction and procurement contracts.
8(Source: P.A. 100-882, eff. 8-14-18.)
 
9    Section 210. The Illinois Sports Facilities Authority Act
10is amended by changing Section 9 as follows:
 
11    (70 ILCS 3205/9)  (from Ch. 85, par. 6009)
12    Sec. 9. Duties. In addition to the powers set forth
13elsewhere in this Act, subject to the terms of any agreements
14with the holders of the Authority's bonds or notes, the
15Authority shall:
16        (1) Comply with all zoning, building, and land use
17    controls of the municipality within which is located any
18    stadium facility owned by the Authority or for which the
19    Authority provides financial assistance.
20        (2) With respect to a facility owned or to be owned by
21    the Authority, enter or have entered into a management
22    agreement with a tenant of the Authority to operate the
23    facility that requires the tenant to operate the facility
24    for a period at least as long as the term of any bonds

 

 

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1    issued to finance the development, establishment,
2    construction, erection, acquisition, repair,
3    reconstruction, remodeling, adding to, extension,
4    improvement, equipping, operation, and maintenance of the
5    facility. Such agreement shall contain appropriate and
6    reasonable provisions with respect to termination, default
7    and legal remedies.
8        (3) With respect to a facility owned or to be owned by
9    a governmental owner other than the Authority, enter into
10    an assistance agreement with either a governmental owner
11    of a facility or its tenant, or both, that requires the
12    tenant, or if the tenant is not a party to the assistance
13    agreement requires the governmental owner to enter into an
14    agreement with the tenant that requires the tenant to use
15    the facility for a period at least as long as the term of
16    any bonds issued to finance the reconstruction,
17    renovation, remodeling, extension or improvement of all or
18    substantially all of the facility.
19        (4) Create and maintain a separate financial reserve
20    for repair and replacement of capital assets of any
21    facility owned by the Authority or for which the Authority
22    provides financial assistance and deposit into this
23    reserve not less than $1,000,000 per year for each such
24    facility beginning at such time as the Authority and the
25    tenant, or the Authority and a governmental owner of a
26    facility, as applicable, shall agree.

 

 

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1        (5) In connection with prequalification of general
2    contractors for the construction of a new stadium facility
3    or the reconstruction, renovation, remodeling, extension,
4    or improvement of all or substantially all of an existing
5    facility, the Authority shall require submission of a
6    commitment detailing how the general contractor will
7    expend 25% or more of the dollar value of the general
8    contract with one or more minority-owned businesses and 5%
9    or more of the dollar value with one or more women-owned
10    businesses. This commitment may be met by contractor's
11    status as a minority-owned businesses or women-owned
12    businesses, by a joint venture or by subcontracting a
13    portion of the work with or by purchasing materials for
14    the work from one or more such businesses, or by any
15    combination thereof. Any contract with the general
16    contractor for construction of the new stadium facility
17    and any contract for the reconstruction, renovation,
18    remodeling, adding to, extension or improvement of all or
19    substantially all of an existing facility shall require
20    the general contractor to meet the foregoing obligations
21    and shall require monthly reporting to the Authority with
22    respect to the status of the implementation of the
23    contractor's positive action affirmative action plan and
24    compliance with that plan. This report shall be filed with
25    the General Assembly. The Authority shall establish and
26    maintain a positive action an affirmative action program

 

 

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1    designed to promote equal employment opportunity which
2    specifies the goals and methods for increasing
3    participation by minorities and women in a representative
4    mix of job classifications required to perform the
5    respective contracts. The Authority shall file a report
6    before March 1 of each year with the General Assembly
7    detailing its implementation of this paragraph. The terms
8    "minority-owned businesses", "women-owned businesses",
9    and "business owned by a person with a disability" have
10    the meanings given to those terms in the Business
11    Enterprise for Minorities, Women, and Persons with
12    Disabilities Act.
13        (6) Provide for the construction of any new facility
14    pursuant to one or more contracts which require delivery
15    of a completed facility at a fixed maximum price to be
16    insured or guaranteed by a third party determined by the
17    Authority to be financially capable of causing completion
18    of such construction of the new facility.
19    In connection with any assistance agreement with a
20governmental owner that provides financial assistance for a
21facility to be used by a National Football League team, the
22assistance agreement shall provide that the Authority or its
23agent shall enter into the contract or contracts for the
24design and construction services or design/build services for
25such facility and thereafter transfer its rights and
26obligations under the contract or contracts to the

 

 

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1governmental owner of the facility. In seeking parties to
2provide design and construction services or design/build
3services with respect to such facility, the Authority may use
4such procurement procedures as it may determine, including,
5without limitation, the selection of design professionals and
6construction managers or design/builders as may be required by
7a team that is at risk, in whole or in part, for the cost of
8design and construction of the facility.
9    An assistance agreement may not provide, directly or
10indirectly, for the payment to the Chicago Park District of
11more than a total of $10,000,000 on account of the District's
12loss of property or revenue in connection with the renovation
13of a facility pursuant to the assistance agreement.
14(Source: P.A. 100-391, eff. 8-25-17.)
 
15    Section 215. The Downstate Illinois Sports Facilities
16Authority Act is amended by changing Section 40 as follows:
 
17    (70 ILCS 3210/40)
18    Sec. 40. Duties.
19    (a) In addition to the powers set forth elsewhere in this
20Act, subject to the terms of any agreements with the holders of
21the Authority's evidences of indebtedness, the Authority shall
22do the following:
23        (1) Comply with all zoning, building, and land use
24    controls of the municipality within which is located any

 

 

HB3914 Engrossed- 178 -LRB102 16820 RJF 22223 b

1    stadium facility owned by the Authority or for which the
2    Authority provides financial assistance.
3        (2) Enter into a loan agreement with an owner of a
4    facility to finance the acquisition, construction,
5    maintenance, or rehabilitation of the facility. The
6    agreement shall contain appropriate and reasonable
7    provisions with respect to termination, default, and legal
8    remedies. The loan may be at below-market interest rates.
9        (3) Create and maintain a financial reserve for repair
10    and replacement of capital assets.
11    (b) In a loan agreement for the construction of a new
12facility, in connection with prequalification of general
13contractors for construction of the facility, the Authority
14shall require that the owner of the facility require
15submission of a commitment detailing how the general
16contractor will expend 25% or more of the dollar value of the
17general contract with one or more minority-owned businesses
18and 5% or more of the dollar value with one or more women-owned
19businesses. This commitment may be met by contractor's status
20as a minority-owned businesses or women-owned businesses, by a
21joint venture, or by subcontracting a portion of the work with
22or by purchasing materials for the work from one or more such
23businesses, or by any combination thereof. Any contract with
24the general contractor for construction of the new facility
25shall require the general contractor to meet the foregoing
26obligations and shall require monthly reporting to the

 

 

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1Authority with respect to the status of the implementation of
2the contractor's positive action affirmative action plan and
3compliance with that plan. This report shall be filed with the
4General Assembly. The Authority shall require that the
5facility owner establish and maintain a positive action an
6affirmative action program designed to promote equal
7employment opportunity and that specifies the goals and
8methods for increasing participation by minorities and women
9in a representative mix of job classifications required to
10perform the respective contracts. The Authority shall file a
11report before March 1 of each year with the General Assembly
12detailing its implementation of this subsection. The terms
13"minority-owned businesses" and "women-owned businesses" have
14the meanings provided in the Business Enterprise for
15Minorities, Women, and Persons with Disabilities Act.
16    (c) With respect to a facility owned or to be owned by the
17Authority, enter or have entered into a management agreement
18with a tenant of the Authority to operate the facility that
19requires the tenant to operate the facility for a period at
20least as long as the term of any bonds issued to finance the
21development, establishment, construction, erection,
22acquisition, repair, reconstruction, remodeling, adding to,
23extension, improvement, equipping, operation, and maintenance
24of the facility. Such agreement shall contain appropriate and
25reasonable provisions with respect to termination, default,
26and legal remedies.

 

 

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1(Source: P.A. 100-391, eff. 8-25-17.)
 
2    Section 220. The Regional Transportation Authority Act is
3amended by changing Sections 2.02, 2.14, 3A.05, and 3B.05 as
4follows:
 
5    (70 ILCS 3615/2.02)  (from Ch. 111 2/3, par. 702.02)
6    Sec. 2.02. Purchase of service contracts; grants.
7    (a) The Service Boards may purchase public transportation
8from transportation agencies upon such terms and conditions as
9may be set forth in purchase of service agreements between the
10Service Boards and the transportation agencies.
11    (b) Grants may be made either by: (i) the Authority to a
12Service Board; or (ii) a Service Board to either a
13transportation agency or another Service Board, all for
14operating and other expenses, or for developing or planning
15public transportation or for constructing or acquiring public
16transportation facilities, all upon such terms and conditions
17as that Service Board or the Authority shall prescribe or as
18that Service Board and the Authority or that Service Board and
19the transportation agency shall agree in any grant contract.
20    (c) The Board shall adopt, to the extent it determines
21feasible, guidelines setting forth uniform standards for the
22making of grants and purchase of service agreements. Such
23grant contracts or purchase of service agreements may be for
24such number of years or duration as the parties shall agree.

 

 

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1    Any purchase of service agreement with a transportation
2agency which is not a public body shall be upon terms and
3conditions which will allow the transportation agency to
4receive for the public transportation provided pursuant to the
5agreement net income, after reasonable deductions for
6depreciation and other proper and necessary reserves, equal to
7an amount which is a reasonable return upon the value of such
8portion of the transportation agency's property as is used and
9useful in rendering such transportation service. This
10paragraph shall be construed in a manner consistent with the
11principles applicable to such a transportation agency in rate
12proceedings under the Public Utilities Act. This paragraph
13shall not be construed to provide for the funding of reserves
14or guarantee that such a transportation agency shall in fact
15receive any return. A Service Board shall, within 180 days
16after receiving a written request from a transportation agency
17which is not a public body, tender and offer to enter into with
18such transportation agency a purchase of service agreement
19that is in conformity with this Act and that covers the public
20transportation services by rail (other than experimental or
21demonstration services) which such agency is providing at the
22time of such request and which services either were in
23operation for at least one year immediately preceding the
24effective date of this Act or were in operation pursuant to a
25purchase of service or grant agreement with the Authority or
26Service Board. No such tender by a Service Board need be made

 

 

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1before April 1, 1975. The first purchase of service agreement
2so requested shall not, unless the parties agree otherwise,
3become effective prior to June 30, 1975. If, following such a
4request and tender, a Service Board and the transportation
5agency do not agree upon the amount of compensation to be
6provided to the agency by the Service Board under the purchase
7of service agreement or fares and charges under the purchase
8of service agreement, either of them may submit such
9unresolved issues to the Illinois Commerce Commission for
10determination. The Commission shall determine the unresolved
11issues in conformity with this Act. The Commission's
12determination shall be set forth in writing, together with
13such terms as are agreed by the parties and any other
14unresolved terms as tendered by the Service Board, in a single
15document which shall constitute the entire purchase of service
16agreement between the Service Board and the transportation
17agency, which agreement, in the absence of contrary agreement
18by the parties, shall be for a term of 3 years effective as of
19July 1, 1975, or, if the agreement is requested to succeed a
20currently effective or recently expired purchase of service
21agreement between the parties, as of the date of such
22expiration. The decision of the Commission shall be binding
23upon the Service Board and the transportation agency, subject
24to judicial review as provided in the Public Utilities Act,
25but the parties may at any time mutually amend or terminate a
26purchase of service agreement. Prompt settlement between the

 

 

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1parties shall be made of any sums owing under the terms of the
2purchase of service agreement so established for public
3transportation services performed on and after the effective
4date of any such agreement. If the Authority reduces the
5amount of operating subsidy available to a Service Board under
6the provisions of Section 4.09 or Section 4.11, the Service
7Board shall, from those funds available to it under Section
84.02, first discharge its financial obligations under the
9terms of a purchase of service contract to any transportation
10agency which is not a public body, unless such transportation
11agency has failed to take any action requested by the Service
12Board, which under the terms of the purchase of service
13contract the Service Board can require the transportation
14agency to take, which would have the effect of reducing the
15financial obligation of the Service Board to the
16transportation agency. The provisions of this paragraph (c)
17shall not preclude a Service Board and a transportation agency
18from otherwise entering into a purchase of service or grant
19agreement in conformity with this Act or an agreement for the
20Authority or a Service Board to purchase or a Service Board to
21operate that agency's public transportation facilities, and
22shall not limit the exercise of the right of eminent domain by
23the Authority pursuant to this Act.
24    (d) Any transportation agency providing public
25transportation pursuant to a purchase of service or grant
26agreement with the Authority or a Service Board shall be

 

 

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1subject to the Illinois Human Rights Act and the remedies and
2procedures established thereunder. Such agency shall file a
3positive action an affirmative action program for employment
4by it with regard to public transportation so provided with
5the Department of Human Rights within one year of the purchase
6of service or grant agreement, to ensure that applicants are
7employed and that employees are treated during employment,
8without unlawful discrimination. Such positive action
9affirmative action program shall include provisions relating
10to hiring, upgrading, demotion, transfer, recruitment,
11recruitment advertising, selection for training and rates of
12pay or other forms of compensation. No unlawful discrimination
13as defined and prohibited in the Illinois Human Rights Act in
14any such employment shall be made in any term or aspect of
15employment and discrimination based upon political reasons or
16factors shall be prohibited.
17    (e) A Service Board, subject to the provisions of
18paragraph (c) of this Section, may not discriminate against a
19transportation agency with which it has a purchase of service
20contract or grant agreement in any condition affecting the
21operation of the public transportation facility including the
22level of subsidy provided, the quality or standard of public
23transportation to be provided or in meeting the financial
24obligations to transportation agencies under the terms of a
25purchase of service or grant contract. Any transportation
26agency that believes that a Service Board is discriminating

 

 

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1against it may, after attempting to resolve the alleged
2discrimination by meeting with the Service Board with which it
3has a purchase of service or grant contract, appeal to the
4Authority. The Board shall name 3 of its members, other than a
5member of the board of the concerned Service Board, to serve as
6a panel to arbitrate the dispute. The panel shall render a
7recommended decision to the Board which shall be binding on
8the Service Board and the transportation agency if adopted by
9the Board. The panel may not require the Service Board to take
10any action which would increase the operating budget of the
11Service Board. The decision of the Board shall be enforceable
12in a court of general jurisdiction.
13(Source: P.A. 100-863, eff. 8-14-18.)
 
14    (70 ILCS 3615/2.14)  (from Ch. 111 2/3, par. 702.14)
15    Sec. 2.14. Appointment of Officers and Employees. The
16Authority may appoint, retain and employ officers, attorneys,
17agents, engineers and employees. The officers shall include an
18Executive Director, who shall be the chief executive officer
19of the Authority, appointed by the Chairman with the
20concurrence of 11 of the other then Directors of the Board. The
21Executive Director shall organize the staff of the Authority,
22shall allocate their functions and duties, shall transfer such
23staff to the Suburban Bus Division and the Commuter Rail
24Division as is sufficient to meet their purposes, shall fix
25compensation and conditions of employment of the staff of the

 

 

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1Authority, and consistent with the policies of and direction
2from the Board, take all actions necessary to achieve its
3purposes, fulfill its responsibilities and carry out its
4powers, and shall have such other powers and responsibilities
5as the Board shall determine. The Executive Director must be
6an individual of proven transportation and management skills
7and may not be a member of the Board. The Authority may employ
8its own professional management personnel to provide
9professional and technical expertise concerning its purposes
10and powers and to assist it in assessing the performance of the
11Service Boards in the metropolitan region.
12    No employee, officer, or agent of the Authority may
13receive a bonus that exceeds 10% of his or her annual salary
14unless that bonus has been reviewed by the Board for a period
15of 14 days. After 14 days, the contract shall be considered
16reviewed. This Section does not apply to usual and customary
17salary adjustments.
18    No unlawful discrimination, as defined and prohibited in
19the Illinois Human Rights Act, shall be made in any term or
20aspect of employment nor shall there be discrimination based
21upon political reasons or factors. The Authority shall
22establish regulations to insure that its discharges shall not
23be arbitrary and that hiring and promotion are based on merit.
24    The Authority shall be subject to the "Illinois Human
25Rights Act", as now or hereafter amended, and the remedies and
26procedure established thereunder. The Authority shall file a

 

 

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1positive action an affirmative action program for employment
2by it with the Department of Human Rights to ensure that
3applicants are employed and that employees are treated during
4employment, without regard to unlawful discrimination. Such a
5positive action affirmative action program shall include
6provisions relating to hiring, upgrading, demotion, transfer,
7recruitment, recruitment advertising, selection for training
8and rates of pay or other forms of compensation.
9(Source: P.A. 98-1027, eff. 1-1-15.)
 
10    (70 ILCS 3615/3A.05)  (from Ch. 111 2/3, par. 703A.05)
11    Sec. 3A.05. Appointment of officers and employees. The
12Suburban Bus Board shall appoint an Executive Director who
13shall be the chief executive officer of the Division,
14appointed, retained or dismissed with the concurrence of 9 of
15the directors of the Suburban Bus Board. The Executive
16Director shall appoint, retain and employ officers, attorneys,
17agents, engineers, employees and shall organize the staff,
18shall allocate their functions and duties, fix compensation
19and conditions of employment, and consistent with the policies
20of and direction from the Suburban Bus Board take all actions
21necessary to achieve its purposes, fulfill its
22responsibilities and carry out its powers, and shall have such
23other powers and responsibilities as the Suburban Bus Board
24shall determine. The Executive Director shall be an individual
25of proven transportation and management skills and may not be

 

 

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1a member of the Suburban Bus Board. The Division may employ its
2own professional management personnel to provide professional
3and technical expertise concerning its purposes and powers and
4to assist it in assessing the performance of transportation
5agencies in the metropolitan region.
6    No employee, officer, or agent of the Suburban Bus Board
7may receive a bonus that exceeds 10% of his or her annual
8salary unless that bonus has been reviewed by the Regional
9Transportation Authority Board for a period of 14 days. After
1014 days, the contract shall be considered reviewed. This
11Section does not apply to usual and customary salary
12adjustments.
13    No unlawful discrimination, as defined and prohibited in
14the Illinois Human Rights Act, shall be made in any term or
15aspect of employment nor shall there be discrimination based
16upon political reasons or factors. The Suburban Bus Board
17shall establish regulations to insure that its discharges
18shall not be arbitrary and that hiring and promotion are based
19on merit.
20    The Division shall be subject to the "Illinois Human
21Rights Act", as now or hereafter amended, and the remedies and
22procedure established thereunder. The Suburban Bus Board shall
23file a positive action an affirmative action program for
24employment by it with the Department of Human Rights to ensure
25that applicants are employed and that employees are treated
26during employment, without regard to unlawful discrimination.

 

 

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1Such positive action affirmative action program shall include
2provisions relating to hiring, upgrading, demotion, transfer,
3recruitment, recruitment advertising, selection for training
4and rates of pay or other forms of compensation.
5(Source: P.A. 98-1027, eff. 1-1-15.)
 
6    (70 ILCS 3615/3B.05)  (from Ch. 111 2/3, par. 703B.05)
7    Sec. 3B.05. Appointment of officers and employees. The
8Commuter Rail Board shall appoint an Executive Director who
9shall be the chief executive officer of the Division,
10appointed, retained or dismissed with the concurrence of 8 of
11the directors of the Commuter Rail Board. The Executive
12Director shall appoint, retain and employ officers, attorneys,
13agents, engineers, employees and shall organize the staff,
14shall allocate their functions and duties, fix compensation
15and conditions of employment, and consistent with the policies
16of and direction from the Commuter Rail Board take all actions
17necessary to achieve its purposes, fulfill its
18responsibilities and carry out its powers, and shall have such
19other powers and responsibilities as the Commuter Rail Board
20shall determine. The Executive Director shall be an individual
21of proven transportation and management skills and may not be
22a member of the Commuter Rail Board. The Division may employ
23its own professional management personnel to provide
24professional and technical expertise concerning its purposes
25and powers and to assist it in assessing the performance of

 

 

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1transportation agencies in the metropolitan region.
2    No employee, officer, or agent of the Commuter Rail Board
3may receive a bonus that exceeds 10% of his or her annual
4salary unless that bonus has been reviewed by the Regional
5Transportation Authority Board for a period of 14 days. After
614 days, the contract shall be considered reviewed. This
7Section does not apply to usual and customary salary
8adjustments.
9    No unlawful discrimination, as defined and prohibited in
10the Illinois Human Rights Act, shall be made in any term or
11aspect of employment nor shall there be discrimination based
12upon political reasons or factors. The Commuter Rail Board
13shall establish regulations to insure that its discharges
14shall not be arbitrary and that hiring and promotion are based
15on merit.
16    The Division shall be subject to the "Illinois Human
17Rights Act", as now or hereafter amended, and the remedies and
18procedure established thereunder. The Commuter Rail Board
19shall file a positive action an affirmative action program for
20employment by it with the Department of Human Rights to ensure
21that applicants are employed and that employees are treated
22during employment, without regard to unlawful discrimination.
23Such positive action affirmative action program shall include
24provisions relating to hiring, upgrading, demotion, transfer,
25recruitment, recruitment advertising, selection for training
26and rates of pay or other forms of compensation.

 

 

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1(Source: P.A. 98-1027, eff. 1-1-15.)
 
2    Section 225. The School Code is amended by changing
3Sections 10-23.5 and 24-12 as follows:
 
4    (105 ILCS 5/10-23.5)  (from Ch. 122, par. 10-23.5)
5    Sec. 10-23.5. Educational support personnel employees.
6    (a) To employ such educational support personnel employees
7as it deems advisable and to define their employment duties;
8provided that residency within any school district shall not
9be considered in determining the employment or the
10compensation of any such employee, or whether to retain,
11promote, assign or transfer such employee. If an educational
12support personnel employee is removed or dismissed or the
13hours he or she works are reduced as a result of a decision of
14the school board (i) to decrease the number of educational
15support personnel employees employed by the board or (ii) to
16discontinue some particular type of educational support
17service, written notice shall be mailed to the employee and
18also given to the employee either by certified mail, return
19receipt requested, or personal delivery with receipt, at least
2030 days before the employee is removed or dismissed or the
21hours he or she works are reduced, together with a statement of
22honorable dismissal and the reason therefor if applicable.
23However, if a reduction in hours is due to an unforeseen
24reduction in the student population, then the written notice

 

 

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1must be mailed and given to the employee at least 5 days before
2the hours are reduced. The employee with the shorter length of
3continuing service with the district, within the respective
4category of position, shall be dismissed first unless an
5alternative method of determining the sequence of dismissal is
6established in a collective bargaining agreement or contract
7between the board and any exclusive bargaining agent and
8except that this provision shall not impair the operation of
9any positive action affirmative action program in the
10district, regardless of whether it exists by operation of law
11or is conducted on a voluntary basis by the board. If the board
12has any vacancies for the following school term or within one
13calendar year from the beginning of the following school term,
14the positions thereby becoming available within a specific
15category of position shall be tendered to the employees so
16removed or dismissed from that category or any other category
17of position, so far as they are qualified to hold such
18positions. Each board shall, in consultation with any
19exclusive employee representative or bargaining agent, each
20year establish a list, categorized by positions, showing the
21length of continuing service of each full time educational
22support personnel employee who is qualified to hold any such
23positions, unless an alternative method of determining a
24sequence of dismissal is established as provided for in this
25Section, in which case a list shall be made in accordance with
26the alternative method. Copies of the list shall be

 

 

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1distributed to the exclusive employee representative or
2bargaining agent on or before February 1 of each year.
3    If an educational support personnel employee is removed or
4dismissed as a result of a decision of the board to decrease
5the number of educational support personnel employed by the
6board or to discontinue some particular type of educational
7support service and he or she accepts the tender of a vacancy
8within one calendar year from the beginning of the following
9school term, then that employee shall maintain any rights
10accrued during his or her previous service with the school
11district.
12    Where an educational support personnel employee is
13dismissed by the board as a result of a decrease in the number
14of employees or the discontinuance of the employee's job, the
15employee shall be paid all earned compensation on or before
16the next regular pay date following his or her last day of
17employment.
18    The provisions of this amendatory Act of 1986 relating to
19residency within any school district shall not apply to cities
20having a population exceeding 500,000 inhabitants.
21    (b) In the case of a new school district or districts
22formed in accordance with Article 11E of this Code, a school
23district or districts that annex all of the territory of one or
24more entire other school districts in accordance with Article
257 of this Code, or a school district receiving students from a
26deactivated school facility in accordance with Section

 

 

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110-22.22b of this Code, the employment of educational support
2personnel in the new, annexing, or receiving school district
3immediately following the reorganization shall be governed by
4this subsection (b). Lists of the educational support
5personnel employed in the individual districts for the school
6year immediately prior to the effective date of the new
7district or districts, annexation, or deactivation shall be
8combined for the districts forming the new district or
9districts, for the annexed and annexing districts, or for the
10deactivating and receiving districts, as the case may be. The
11combined list shall be categorized by positions, showing the
12length of continuing service of each full-time educational
13support personnel employee who is qualified to hold any such
14position. If there are more full-time educational support
15personnel employees on the combined list than there are
16available positions in the new, annexing, or receiving school
17district, then the employing school board shall first remove
18or dismiss those educational support personnel employees with
19the shorter length of continuing service within the respective
20category of position, following the procedures outlined in
21subsection (a) of this Section. The employment and position of
22each educational support personnel employee on the combined
23list not so removed or dismissed shall be transferred to the
24new, annexing, or receiving school board, and the new,
25annexing, or receiving school board is subject to this Code
26with respect to any educational support personnel employee so

 

 

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1transferred as if the educational support personnel employee
2had been the new, annexing, or receiving board's employee
3during the time the educational support personnel employee was
4actually employed by the school board of the district from
5which the employment and position were transferred.
6    The changes made by Public Act 95-148 shall not apply to
7the formation of a new district or districts in accordance
8with Article 11E of this Code, the annexation of one or more
9entire districts in accordance with Article 7 of this Code, or
10the deactivation of a school facility in accordance with
11Section 10-22.22b of this Code effective on or before July 1,
122007.
13(Source: P.A. 101-46, eff. 7-12-19.)
 
14    (105 ILCS 5/24-12)  (from Ch. 122, par. 24-12)
15    Sec. 24-12. Removal or dismissal of teachers in
16contractual continued service.
17    (a) This subsection (a) applies only to honorable
18dismissals and recalls in which the notice of dismissal is
19provided on or before the end of the 2010-2011 school term. If
20a teacher in contractual continued service is removed or
21dismissed as a result of a decision of the board to decrease
22the number of teachers employed by the board or to discontinue
23some particular type of teaching service, written notice shall
24be mailed to the teacher and also given the teacher either by
25certified mail, return receipt requested or personal delivery

 

 

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1with receipt at least 60 days before the end of the school
2term, together with a statement of honorable dismissal and the
3reason therefor, and in all such cases the board shall first
4remove or dismiss all teachers who have not entered upon
5contractual continued service before removing or dismissing
6any teacher who has entered upon contractual continued service
7and who is legally qualified to hold a position currently held
8by a teacher who has not entered upon contractual continued
9service.
10    As between teachers who have entered upon contractual
11continued service, the teacher or teachers with the shorter
12length of continuing service with the district shall be
13dismissed first unless an alternative method of determining
14the sequence of dismissal is established in a collective
15bargaining agreement or contract between the board and a
16professional faculty members' organization and except that
17this provision shall not impair the operation of any positive
18action affirmative action program in the district, regardless
19of whether it exists by operation of law or is conducted on a
20voluntary basis by the board. Any teacher dismissed as a
21result of such decrease or discontinuance shall be paid all
22earned compensation on or before the third business day
23following the last day of pupil attendance in the regular
24school term.
25    If the board has any vacancies for the following school
26term or within one calendar year from the beginning of the

 

 

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1following school term, the positions thereby becoming
2available shall be tendered to the teachers so removed or
3dismissed so far as they are legally qualified to hold such
4positions; provided, however, that if the number of honorable
5dismissal notices based on economic necessity exceeds 15% of
6the number of full-time equivalent positions filled by
7certified employees (excluding principals and administrative
8personnel) during the preceding school year, then if the board
9has any vacancies for the following school term or within 2
10calendar years from the beginning of the following school
11term, the positions so becoming available shall be tendered to
12the teachers who were so notified and removed or dismissed
13whenever they are legally qualified to hold such positions.
14Each board shall, in consultation with any exclusive employee
15representatives, each year establish a list, categorized by
16positions, showing the length of continuing service of each
17teacher who is qualified to hold any such positions, unless an
18alternative method of determining a sequence of dismissal is
19established as provided for in this Section, in which case a
20list shall be made in accordance with the alternative method.
21Copies of the list shall be distributed to the exclusive
22employee representative on or before February 1 of each year.
23Whenever the number of honorable dismissal notices based upon
24economic necessity exceeds 5, or 150% of the average number of
25teachers honorably dismissed in the preceding 3 years,
26whichever is more, then the board also shall hold a public

 

 

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1hearing on the question of the dismissals. Following the
2hearing and board review, the action to approve any such
3reduction shall require a majority vote of the board members.
4    (b) This subsection (b) applies only to honorable
5dismissals and recalls in which the notice of dismissal is
6provided during the 2011-2012 school term or a subsequent
7school term. If any teacher, whether or not in contractual
8continued service, is removed or dismissed as a result of a
9decision of a school board to decrease the number of teachers
10employed by the board, a decision of a school board to
11discontinue some particular type of teaching service, or a
12reduction in the number of programs or positions in a special
13education joint agreement, then written notice must be mailed
14to the teacher and also given to the teacher either by
15electronic mail, certified mail, return receipt requested, or
16personal delivery with receipt at least 45 days before the end
17of the school term, together with a statement of honorable
18dismissal and the reason therefor, and in all such cases the
19sequence of dismissal shall occur in accordance with this
20subsection (b); except that this subsection (b) shall not
21impair the operation of any positive action affirmative action
22program in the school district, regardless of whether it
23exists by operation of law or is conducted on a voluntary basis
24by the board.
25    Each teacher must be categorized into one or more
26positions for which the teacher is qualified to hold, based

 

 

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1upon legal qualifications and any other qualifications
2established in a district or joint agreement job description,
3on or before the May 10 prior to the school year during which
4the sequence of dismissal is determined. Within each position
5and subject to agreements made by the joint committee on
6honorable dismissals that are authorized by subsection (c) of
7this Section, the school district or joint agreement must
8establish 4 groupings of teachers qualified to hold the
9position as follows:
10        (1) Grouping one shall consist of each teacher who is
11    not in contractual continued service and who (i) has not
12    received a performance evaluation rating, (ii) is employed
13    for one school term or less to replace a teacher on leave,
14    or (iii) is employed on a part-time basis. "Part-time
15    basis" for the purposes of this subsection (b) means a
16    teacher who is employed to teach less than a full-day,
17    teacher workload or less than 5 days of the normal student
18    attendance week, unless otherwise provided for in a
19    collective bargaining agreement between the district and
20    the exclusive representative of the district's teachers.
21    For the purposes of this Section, a teacher (A) who is
22    employed as a full-time teacher but who actually teaches
23    or is otherwise present and participating in the
24    district's educational program for less than a school term
25    or (B) who, in the immediately previous school term, was
26    employed on a full-time basis and actually taught or was

 

 

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1    otherwise present and participated in the district's
2    educational program for 120 days or more is not considered
3    employed on a part-time basis.
4        (2) Grouping 2 shall consist of each teacher with a
5    Needs Improvement or Unsatisfactory performance evaluation
6    rating on either of the teacher's last 2 performance
7    evaluation ratings.
8        (3) Grouping 3 shall consist of each teacher with a
9    performance evaluation rating of at least Satisfactory or
10    Proficient on both of the teacher's last 2 performance
11    evaluation ratings, if 2 ratings are available, or on the
12    teacher's last performance evaluation rating, if only one
13    rating is available, unless the teacher qualifies for
14    placement into grouping 4.
15        (4) Grouping 4 shall consist of each teacher whose
16    last 2 performance evaluation ratings are Excellent and
17    each teacher with 2 Excellent performance evaluation
18    ratings out of the teacher's last 3 performance evaluation
19    ratings with a third rating of Satisfactory or Proficient.
20    Among teachers qualified to hold a position, teachers must
21be dismissed in the order of their groupings, with teachers in
22grouping one dismissed first and teachers in grouping 4
23dismissed last.
24    Within grouping one, the sequence of dismissal must be at
25the discretion of the school district or joint agreement.
26Within grouping 2, the sequence of dismissal must be based

 

 

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1upon average performance evaluation ratings, with the teacher
2or teachers with the lowest average performance evaluation
3rating dismissed first. A teacher's average performance
4evaluation rating must be calculated using the average of the
5teacher's last 2 performance evaluation ratings, if 2 ratings
6are available, or the teacher's last performance evaluation
7rating, if only one rating is available, using the following
8numerical values: 4 for Excellent; 3 for Proficient or
9Satisfactory; 2 for Needs Improvement; and 1 for
10Unsatisfactory. As between or among teachers in grouping 2
11with the same average performance evaluation rating and within
12each of groupings 3 and 4, the teacher or teachers with the
13shorter length of continuing service with the school district
14or joint agreement must be dismissed first unless an
15alternative method of determining the sequence of dismissal is
16established in a collective bargaining agreement or contract
17between the board and a professional faculty members'
18organization.
19    Each board, including the governing board of a joint
20agreement, shall, in consultation with any exclusive employee
21representatives, each year establish a sequence of honorable
22dismissal list categorized by positions and the groupings
23defined in this subsection (b). Copies of the list showing
24each teacher by name and categorized by positions and the
25groupings defined in this subsection (b) must be distributed
26to the exclusive bargaining representative at least 75 days

 

 

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1before the end of the school term, provided that the school
2district or joint agreement may, with notice to any exclusive
3employee representatives, move teachers from grouping one into
4another grouping during the period of time from 75 days until
545 days before the end of the school term. Each year, each
6board shall also establish, in consultation with any exclusive
7employee representatives, a list showing the length of
8continuing service of each teacher who is qualified to hold
9any such positions, unless an alternative method of
10determining a sequence of dismissal is established as provided
11for in this Section, in which case a list must be made in
12accordance with the alternative method. Copies of the list
13must be distributed to the exclusive employee representative
14at least 75 days before the end of the school term.
15    Any teacher dismissed as a result of such decrease or
16discontinuance must be paid all earned compensation on or
17before the third business day following the last day of pupil
18attendance in the regular school term.
19    If the board or joint agreement has any vacancies for the
20following school term or within one calendar year from the
21beginning of the following school term, the positions thereby
22becoming available must be tendered to the teachers so removed
23or dismissed who were in grouping 3 or 4 of the sequence of
24dismissal and are qualified to hold the positions, based upon
25legal qualifications and any other qualifications established
26in a district or joint agreement job description, on or before

 

 

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1the May 10 prior to the date of the positions becoming
2available, provided that if the number of honorable dismissal
3notices based on economic necessity exceeds 15% of the number
4of full-time equivalent positions filled by certified
5employees (excluding principals and administrative personnel)
6during the preceding school year, then the recall period is
7for the following school term or within 2 calendar years from
8the beginning of the following school term. If the board or
9joint agreement has any vacancies within the period from the
10beginning of the following school term through February 1 of
11the following school term (unless a date later than February
121, but no later than 6 months from the beginning of the
13following school term, is established in a collective
14bargaining agreement), the positions thereby becoming
15available must be tendered to the teachers so removed or
16dismissed who were in grouping 2 of the sequence of dismissal
17due to one "needs improvement" rating on either of the
18teacher's last 2 performance evaluation ratings, provided
19that, if 2 ratings are available, the other performance
20evaluation rating used for grouping purposes is
21"satisfactory", "proficient", or "excellent", and are
22qualified to hold the positions, based upon legal
23qualifications and any other qualifications established in a
24district or joint agreement job description, on or before the
25May 10 prior to the date of the positions becoming available.
26On and after July 1, 2014 (the effective date of Public Act

 

 

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198-648), the preceding sentence shall apply to teachers
2removed or dismissed by honorable dismissal, even if notice of
3honorable dismissal occurred during the 2013-2014 school year.
4Among teachers eligible for recall pursuant to the preceding
5sentence, the order of recall must be in inverse order of
6dismissal, unless an alternative order of recall is
7established in a collective bargaining agreement or contract
8between the board and a professional faculty members'
9organization. Whenever the number of honorable dismissal
10notices based upon economic necessity exceeds 5 notices or
11150% of the average number of teachers honorably dismissed in
12the preceding 3 years, whichever is more, then the school
13board or governing board of a joint agreement, as applicable,
14shall also hold a public hearing on the question of the
15dismissals. Following the hearing and board review, the action
16to approve any such reduction shall require a majority vote of
17the board members.
18    For purposes of this subsection (b), subject to agreement
19on an alternative definition reached by the joint committee
20described in subsection (c) of this Section, a teacher's
21performance evaluation rating means the overall performance
22evaluation rating resulting from an annual or biennial
23performance evaluation conducted pursuant to Article 24A of
24this Code by the school district or joint agreement
25determining the sequence of dismissal, not including any
26performance evaluation conducted during or at the end of a

 

 

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1remediation period. No more than one evaluation rating each
2school term shall be one of the evaluation ratings used for the
3purpose of determining the sequence of dismissal. Except as
4otherwise provided in this subsection for any performance
5evaluations conducted during or at the end of a remediation
6period, if multiple performance evaluations are conducted in a
7school term, only the rating from the last evaluation
8conducted prior to establishing the sequence of honorable
9dismissal list in such school term shall be the one evaluation
10rating from that school term used for the purpose of
11determining the sequence of dismissal. Averaging ratings from
12multiple evaluations is not permitted unless otherwise agreed
13to in a collective bargaining agreement or contract between
14the board and a professional faculty members' organization.
15The preceding 3 sentences are not a legislative declaration
16that existing law does or does not already require that only
17one performance evaluation each school term shall be used for
18the purpose of determining the sequence of dismissal. For
19performance evaluation ratings determined prior to September
201, 2012, any school district or joint agreement with a
21performance evaluation rating system that does not use either
22of the rating category systems specified in subsection (d) of
23Section 24A-5 of this Code for all teachers must establish a
24basis for assigning each teacher a rating that complies with
25subsection (d) of Section 24A-5 of this Code for all of the
26performance evaluation ratings that are to be used to

 

 

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1determine the sequence of dismissal. A teacher's grouping and
2ranking on a sequence of honorable dismissal shall be deemed a
3part of the teacher's performance evaluation, and that
4information shall be disclosed to the exclusive bargaining
5representative as part of a sequence of honorable dismissal
6list, notwithstanding any laws prohibiting disclosure of such
7information. A performance evaluation rating may be used to
8determine the sequence of dismissal, notwithstanding the
9pendency of any grievance resolution or arbitration procedures
10relating to the performance evaluation. If a teacher has
11received at least one performance evaluation rating conducted
12by the school district or joint agreement determining the
13sequence of dismissal and a subsequent performance evaluation
14is not conducted in any school year in which such evaluation is
15required to be conducted under Section 24A-5 of this Code, the
16teacher's performance evaluation rating for that school year
17for purposes of determining the sequence of dismissal is
18deemed Proficient, except that, during any time in which the
19Governor has declared a disaster due to a public health
20emergency pursuant to Section 7 of the Illinois Emergency
21Management Agency Act, this default to Proficient does not
22apply to any teacher who has entered into contractual
23continued service and who was deemed Excellent on his or her
24most recent evaluation. During any time in which the Governor
25has declared a disaster due to a public health emergency
26pursuant to Section 7 of the Illinois Emergency Management

 

 

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1Agency Act and unless the school board and any exclusive
2bargaining representative have completed the performance
3rating for teachers or have mutually agreed to an alternate
4performance rating, any teacher who has entered into
5contractual continued service, whose most recent evaluation
6was deemed Excellent, and whose performance evaluation is not
7conducted when the evaluation is required to be conducted
8shall receive a teacher's performance rating deemed Excellent.
9A school board and any exclusive bargaining representative may
10mutually agree to an alternate performance rating for teachers
11not in contractual continued service during any time in which
12the Governor has declared a disaster due to a public health
13emergency pursuant to Section 7 of the Illinois Emergency
14Management Agency Act, as long as the agreement is in writing.
15If a performance evaluation rating is nullified as the result
16of an arbitration, administrative agency, or court
17determination, then the school district or joint agreement is
18deemed to have conducted a performance evaluation for that
19school year, but the performance evaluation rating may not be
20used in determining the sequence of dismissal.
21    Nothing in this subsection (b) shall be construed as
22limiting the right of a school board or governing board of a
23joint agreement to dismiss a teacher not in contractual
24continued service in accordance with Section 24-11 of this
25Code.
26    Any provisions regarding the sequence of honorable

 

 

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1dismissals and recall of honorably dismissed teachers in a
2collective bargaining agreement entered into on or before
3January 1, 2011 and in effect on June 13, 2011 (the effective
4date of Public Act 97-8) that may conflict with Public Act 97-8
5shall remain in effect through the expiration of such
6agreement or June 30, 2013, whichever is earlier.
7    (c) Each school district and special education joint
8agreement must use a joint committee composed of equal
9representation selected by the school board and its teachers
10or, if applicable, the exclusive bargaining representative of
11its teachers, to address the matters described in paragraphs
12(1) through (5) of this subsection (c) pertaining to honorable
13dismissals under subsection (b) of this Section.
14        (1) The joint committee must consider and may agree to
15    criteria for excluding from grouping 2 and placing into
16    grouping 3 a teacher whose last 2 performance evaluations
17    include a Needs Improvement and either a Proficient or
18    Excellent.
19        (2) The joint committee must consider and may agree to
20    an alternative definition for grouping 4, which definition
21    must take into account prior performance evaluation
22    ratings and may take into account other factors that
23    relate to the school district's or program's educational
24    objectives. An alternative definition for grouping 4 may
25    not permit the inclusion of a teacher in the grouping with
26    a Needs Improvement or Unsatisfactory performance

 

 

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1    evaluation rating on either of the teacher's last 2
2    performance evaluation ratings.
3        (3) The joint committee may agree to including within
4    the definition of a performance evaluation rating a
5    performance evaluation rating administered by a school
6    district or joint agreement other than the school district
7    or joint agreement determining the sequence of dismissal.
8        (4) For each school district or joint agreement that
9    administers performance evaluation ratings that are
10    inconsistent with either of the rating category systems
11    specified in subsection (d) of Section 24A-5 of this Code,
12    the school district or joint agreement must consult with
13    the joint committee on the basis for assigning a rating
14    that complies with subsection (d) of Section 24A-5 of this
15    Code to each performance evaluation rating that will be
16    used in a sequence of dismissal.
17        (5) Upon request by a joint committee member submitted
18    to the employing board by no later than 10 days after the
19    distribution of the sequence of honorable dismissal list,
20    a representative of the employing board shall, within 5
21    days after the request, provide to members of the joint
22    committee a list showing the most recent and prior
23    performance evaluation ratings of each teacher identified
24    only by length of continuing service in the district or
25    joint agreement and not by name. If, after review of this
26    list, a member of the joint committee has a good faith

 

 

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1    belief that a disproportionate number of teachers with
2    greater length of continuing service with the district or
3    joint agreement have received a recent performance
4    evaluation rating lower than the prior rating, the member
5    may request that the joint committee review the list to
6    assess whether such a trend may exist. Following the joint
7    committee's review, but by no later than the end of the
8    applicable school term, the joint committee or any member
9    or members of the joint committee may submit a report of
10    the review to the employing board and exclusive bargaining
11    representative, if any. Nothing in this paragraph (5)
12    shall impact the order of honorable dismissal or a school
13    district's or joint agreement's authority to carry out a
14    dismissal in accordance with subsection (b) of this
15    Section.
16    Agreement by the joint committee as to a matter requires
17the majority vote of all committee members, and if the joint
18committee does not reach agreement on a matter, then the
19otherwise applicable requirements of subsection (b) of this
20Section shall apply. Except as explicitly set forth in this
21subsection (c), a joint committee has no authority to agree to
22any further modifications to the requirements for honorable
23dismissals set forth in subsection (b) of this Section. The
24joint committee must be established, and the first meeting of
25the joint committee each school year must occur on or before
26December 1.

 

 

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1    The joint committee must reach agreement on a matter on or
2before February 1 of a school year in order for the agreement
3of the joint committee to apply to the sequence of dismissal
4determined during that school year. Subject to the February 1
5deadline for agreements, the agreement of a joint committee on
6a matter shall apply to the sequence of dismissal until the
7agreement is amended or terminated by the joint committee.
8    The provisions of the Open Meetings Act shall not apply to
9meetings of a joint committee created under this subsection
10(c).
11    (d) Notwithstanding anything to the contrary in this
12subsection (d), the requirements and dismissal procedures of
13Section 24-16.5 of this Code shall apply to any dismissal
14sought under Section 24-16.5 of this Code.
15        (1) If a dismissal of a teacher in contractual
16    continued service is sought for any reason or cause other
17    than an honorable dismissal under subsections (a) or (b)
18    of this Section or a dismissal sought under Section
19    24-16.5 of this Code, including those under Section
20    10-22.4, the board must first approve a motion containing
21    specific charges by a majority vote of all its members.
22    Written notice of such charges, including a bill of
23    particulars and the teacher's right to request a hearing,
24    must be mailed to the teacher and also given to the teacher
25    either by electronic mail, certified mail, return receipt
26    requested, or personal delivery with receipt within 5 days

 

 

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1    of the adoption of the motion. Any written notice sent on
2    or after July 1, 2012 shall inform the teacher of the right
3    to request a hearing before a mutually selected hearing
4    officer, with the cost of the hearing officer split
5    equally between the teacher and the board, or a hearing
6    before a board-selected hearing officer, with the cost of
7    the hearing officer paid by the board.
8        Before setting a hearing on charges stemming from
9    causes that are considered remediable, a board must give
10    the teacher reasonable warning in writing, stating
11    specifically the causes that, if not removed, may result
12    in charges; however, no such written warning is required
13    if the causes have been the subject of a remediation plan
14    pursuant to Article 24A of this Code.
15        If, in the opinion of the board, the interests of the
16    school require it, the board may suspend the teacher
17    without pay, pending the hearing, but if the board's
18    dismissal or removal is not sustained, the teacher shall
19    not suffer the loss of any salary or benefits by reason of
20    the suspension.
21        (2) No hearing upon the charges is required unless the
22    teacher within 17 days after receiving notice requests in
23    writing of the board that a hearing be scheduled before a
24    mutually selected hearing officer or a hearing officer
25    selected by the board. The secretary of the school board
26    shall forward a copy of the notice to the State Board of

 

 

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1    Education.
2        (3) Within 5 business days after receiving a notice of
3    hearing in which either notice to the teacher was sent
4    before July 1, 2012 or, if the notice was sent on or after
5    July 1, 2012, the teacher has requested a hearing before a
6    mutually selected hearing officer, the State Board of
7    Education shall provide a list of 5 prospective, impartial
8    hearing officers from the master list of qualified,
9    impartial hearing officers maintained by the State Board
10    of Education. Each person on the master list must (i) be
11    accredited by a national arbitration organization and have
12    had a minimum of 5 years of experience directly related to
13    labor and employment relations matters between employers
14    and employees or their exclusive bargaining
15    representatives and (ii) beginning September 1, 2012, have
16    participated in training provided or approved by the State
17    Board of Education for teacher dismissal hearing officers
18    so that he or she is familiar with issues generally
19    involved in evaluative and non-evaluative dismissals.
20        If notice to the teacher was sent before July 1, 2012
21    or, if the notice was sent on or after July 1, 2012, the
22    teacher has requested a hearing before a mutually selected
23    hearing officer, the board and the teacher or their legal
24    representatives within 3 business days shall alternately
25    strike one name from the list provided by the State Board
26    of Education until only one name remains. Unless waived by

 

 

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1    the teacher, the teacher shall have the right to proceed
2    first with the striking. Within 3 business days of receipt
3    of the list provided by the State Board of Education, the
4    board and the teacher or their legal representatives shall
5    each have the right to reject all prospective hearing
6    officers named on the list and notify the State Board of
7    Education of such rejection. Within 3 business days after
8    receiving this notification, the State Board of Education
9    shall appoint a qualified person from the master list who
10    did not appear on the list sent to the parties to serve as
11    the hearing officer, unless the parties notify it that
12    they have chosen to alternatively select a hearing officer
13    under paragraph (4) of this subsection (d).
14        If the teacher has requested a hearing before a
15    hearing officer selected by the board, the board shall
16    select one name from the master list of qualified
17    impartial hearing officers maintained by the State Board
18    of Education within 3 business days after receipt and
19    shall notify the State Board of Education of its
20    selection.
21        A hearing officer mutually selected by the parties,
22    selected by the board, or selected through an alternative
23    selection process under paragraph (4) of this subsection
24    (d) (A) must not be a resident of the school district, (B)
25    must be available to commence the hearing within 75 days
26    and conclude the hearing within 120 days after being

 

 

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1    selected as the hearing officer, and (C) must issue a
2    decision as to whether the teacher must be dismissed and
3    give a copy of that decision to both the teacher and the
4    board within 30 days from the conclusion of the hearing or
5    closure of the record, whichever is later.
6        If the Governor has declared a disaster due to a
7    public health emergency pursuant to Section 7 of the
8    Illinois Emergency Management Agency Act and except if the
9    parties mutually agree otherwise and the agreement is in
10    writing, the requirements of this Section pertaining to
11    prehearings and hearings are paused and do not begin to
12    toll until the proclamation is no longer in effect. If
13    mutually agreed to and reduced to writing, the parties may
14    proceed with the prehearing and hearing requirements of
15    this Section and may also agree to extend the timelines of
16    this Section connected to the appointment and selection of
17    a hearing officer and those connected to commencing and
18    concluding a hearing. Any hearing convened during a public
19    health emergency pursuant to Section 7 of the Illinois
20    Emergency Management Agency Act may be convened remotely.
21    Any hearing officer for a hearing convened during a public
22    health emergency pursuant to Section 7 of the Illinois
23    Emergency Management Agency Act may voluntarily withdraw
24    from the hearing and another hearing officer shall be
25    selected or appointed pursuant to this Section.
26        (4) In the alternative to selecting a hearing officer

 

 

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1    from the list received from the State Board of Education
2    or accepting the appointment of a hearing officer by the
3    State Board of Education or if the State Board of
4    Education cannot provide a list or appoint a hearing
5    officer that meets the foregoing requirements, the board
6    and the teacher or their legal representatives may
7    mutually agree to select an impartial hearing officer who
8    is not on the master list either by direct appointment by
9    the parties or by using procedures for the appointment of
10    an arbitrator established by the Federal Mediation and
11    Conciliation Service or the American Arbitration
12    Association. The parties shall notify the State Board of
13    Education of their intent to select a hearing officer
14    using an alternative procedure within 3 business days of
15    receipt of a list of prospective hearing officers provided
16    by the State Board of Education, notice of appointment of
17    a hearing officer by the State Board of Education, or
18    receipt of notice from the State Board of Education that
19    it cannot provide a list that meets the foregoing
20    requirements, whichever is later.
21        (5) If the notice of dismissal was sent to the teacher
22    before July 1, 2012, the fees and costs for the hearing
23    officer must be paid by the State Board of Education. If
24    the notice of dismissal was sent to the teacher on or after
25    July 1, 2012, the hearing officer's fees and costs must be
26    paid as follows in this paragraph (5). The fees and

 

 

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1    permissible costs for the hearing officer must be
2    determined by the State Board of Education. If the board
3    and the teacher or their legal representatives mutually
4    agree to select an impartial hearing officer who is not on
5    a list received from the State Board of Education, they
6    may agree to supplement the fees determined by the State
7    Board to the hearing officer, at a rate consistent with
8    the hearing officer's published professional fees. If the
9    hearing officer is mutually selected by the parties, then
10    the board and the teacher or their legal representatives
11    shall each pay 50% of the fees and costs and any
12    supplemental allowance to which they agree. If the hearing
13    officer is selected by the board, then the board shall pay
14    100% of the hearing officer's fees and costs. The fees and
15    costs must be paid to the hearing officer within 14 days
16    after the board and the teacher or their legal
17    representatives receive the hearing officer's decision set
18    forth in paragraph (7) of this subsection (d).
19        (6) The teacher is required to answer the bill of
20    particulars and aver affirmative matters in his or her
21    defense, and the time for initially doing so and the time
22    for updating such answer and defenses after pre-hearing
23    discovery must be set by the hearing officer. The State
24    Board of Education shall promulgate rules so that each
25    party has a fair opportunity to present its case and to
26    ensure that the dismissal process proceeds in a fair and

 

 

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1    expeditious manner. These rules shall address, without
2    limitation, discovery and hearing scheduling conferences;
3    the teacher's initial answer and affirmative defenses to
4    the bill of particulars and the updating of that
5    information after pre-hearing discovery; provision for
6    written interrogatories and requests for production of
7    documents; the requirement that each party initially
8    disclose to the other party and then update the disclosure
9    no later than 10 calendar days prior to the commencement
10    of the hearing, the names and addresses of persons who may
11    be called as witnesses at the hearing, a summary of the
12    facts or opinions each witness will testify to, and all
13    other documents and materials, including information
14    maintained electronically, relevant to its own as well as
15    the other party's case (the hearing officer may exclude
16    witnesses and exhibits not identified and shared, except
17    those offered in rebuttal for which the party could not
18    reasonably have anticipated prior to the hearing);
19    pre-hearing discovery and preparation, including provision
20    for written interrogatories and requests for production of
21    documents, provided that discovery depositions are
22    prohibited; the conduct of the hearing; the right of each
23    party to be represented by counsel, the offer of evidence
24    and witnesses and the cross-examination of witnesses; the
25    authority of the hearing officer to issue subpoenas and
26    subpoenas duces tecum, provided that the hearing officer

 

 

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1    may limit the number of witnesses to be subpoenaed on
2    behalf of each party to no more than 7; the length of
3    post-hearing briefs; and the form, length, and content of
4    hearing officers' decisions. The hearing officer shall
5    hold a hearing and render a final decision for dismissal
6    pursuant to Article 24A of this Code or shall report to the
7    school board findings of fact and a recommendation as to
8    whether or not the teacher must be dismissed for conduct.
9    The hearing officer shall commence the hearing within 75
10    days and conclude the hearing within 120 days after being
11    selected as the hearing officer, provided that the hearing
12    officer may modify these timelines upon the showing of
13    good cause or mutual agreement of the parties. Good cause
14    for the purpose of this subsection (d) shall mean the
15    illness or otherwise unavoidable emergency of the teacher,
16    district representative, their legal representatives, the
17    hearing officer, or an essential witness as indicated in
18    each party's pre-hearing submission. In a dismissal
19    hearing pursuant to Article 24A of this Code in which a
20    witness is a student or is under the age of 18, the hearing
21    officer must make accommodations for the witness, as
22    provided under paragraph (6.5) of this subsection. The
23    hearing officer shall consider and give weight to all of
24    the teacher's evaluations written pursuant to Article 24A
25    that are relevant to the issues in the hearing.
26        Each party shall have no more than 3 days to present

 

 

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1    its case, unless extended by the hearing officer to enable
2    a party to present adequate evidence and testimony,
3    including due to the other party's cross-examination of
4    the party's witnesses, for good cause or by mutual
5    agreement of the parties. The State Board of Education
6    shall define in rules the meaning of "day" for such
7    purposes. All testimony at the hearing shall be taken
8    under oath administered by the hearing officer. The
9    hearing officer shall cause a record of the proceedings to
10    be kept and shall employ a competent reporter to take
11    stenographic or stenotype notes of all the testimony. The
12    costs of the reporter's attendance and services at the
13    hearing shall be paid by the party or parties who are
14    responsible for paying the fees and costs of the hearing
15    officer. Either party desiring a transcript of the hearing
16    shall pay for the cost thereof. Any post-hearing briefs
17    must be submitted by the parties by no later than 21 days
18    after a party's receipt of the transcript of the hearing,
19    unless extended by the hearing officer for good cause or
20    by mutual agreement of the parties.
21        (6.5) In the case of charges involving sexual abuse or
22    severe physical abuse of a student or a person under the
23    age of 18, the hearing officer shall make alternative
24    hearing procedures to protect a witness who is a student
25    or who is under the age of 18 from being intimidated or
26    traumatized. Alternative hearing procedures may include,

 

 

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1    but are not limited to: (i) testimony made via a
2    telecommunication device in a location other than the
3    hearing room and outside the physical presence of the
4    teacher and other hearing participants, (ii) testimony
5    outside the physical presence of the teacher, or (iii)
6    non-public testimony. During a testimony described under
7    this subsection, each party must be permitted to ask a
8    witness who is a student or who is under 18 years of age
9    all relevant questions and follow-up questions. All
10    questions must exclude evidence of the witness' sexual
11    behavior or predisposition, unless the evidence is offered
12    to prove that someone other than the teacher subject to
13    the dismissal hearing engaged in the charge at issue.
14        (7) The hearing officer shall, within 30 days from the
15    conclusion of the hearing or closure of the record,
16    whichever is later, make a decision as to whether or not
17    the teacher shall be dismissed pursuant to Article 24A of
18    this Code or report to the school board findings of fact
19    and a recommendation as to whether or not the teacher
20    shall be dismissed for cause and shall give a copy of the
21    decision or findings of fact and recommendation to both
22    the teacher and the school board. If a hearing officer
23    fails without good cause, specifically provided in writing
24    to both parties and the State Board of Education, to
25    render a decision or findings of fact and recommendation
26    within 30 days after the hearing is concluded or the

 

 

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1    record is closed, whichever is later, the parties may
2    mutually agree to select a hearing officer pursuant to the
3    alternative procedure, as provided in this Section, to
4    rehear the charges heard by the hearing officer who failed
5    to render a decision or findings of fact and
6    recommendation or to review the record and render a
7    decision. If any hearing officer fails without good cause,
8    specifically provided in writing to both parties and the
9    State Board of Education, to render a decision or findings
10    of fact and recommendation within 30 days after the
11    hearing is concluded or the record is closed, whichever is
12    later, the hearing officer shall be removed from the
13    master list of hearing officers maintained by the State
14    Board of Education for not more than 24 months. The
15    parties and the State Board of Education may also take
16    such other actions as it deems appropriate, including
17    recovering, reducing, or withholding any fees paid or to
18    be paid to the hearing officer. If any hearing officer
19    repeats such failure, he or she must be permanently
20    removed from the master list maintained by the State Board
21    of Education and may not be selected by parties through
22    the alternative selection process under this paragraph (7)
23    or paragraph (4) of this subsection (d). The board shall
24    not lose jurisdiction to discharge a teacher if the
25    hearing officer fails to render a decision or findings of
26    fact and recommendation within the time specified in this

 

 

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1    Section. If the decision of the hearing officer for
2    dismissal pursuant to Article 24A of this Code or of the
3    school board for dismissal for cause is in favor of the
4    teacher, then the hearing officer or school board shall
5    order reinstatement to the same or substantially
6    equivalent position and shall determine the amount for
7    which the school board is liable, including, but not
8    limited to, loss of income and benefits.
9        (8) The school board, within 45 days after receipt of
10    the hearing officer's findings of fact and recommendation
11    as to whether (i) the conduct at issue occurred, (ii) the
12    conduct that did occur was remediable, and (iii) the
13    proposed dismissal should be sustained, shall issue a
14    written order as to whether the teacher must be retained
15    or dismissed for cause from its employ. The school board's
16    written order shall incorporate the hearing officer's
17    findings of fact, except that the school board may modify
18    or supplement the findings of fact if, in its opinion, the
19    findings of fact are against the manifest weight of the
20    evidence.
21        If the school board dismisses the teacher
22    notwithstanding the hearing officer's findings of fact and
23    recommendation, the school board shall make a conclusion
24    in its written order, giving its reasons therefor, and
25    such conclusion and reasons must be included in its
26    written order. The failure of the school board to strictly

 

 

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1    adhere to the timelines contained in this Section shall
2    not render it without jurisdiction to dismiss the teacher.
3    The school board shall not lose jurisdiction to discharge
4    the teacher for cause if the hearing officer fails to
5    render a recommendation within the time specified in this
6    Section. The decision of the school board is final, unless
7    reviewed as provided in paragraph (9) of this subsection
8    (d).
9        If the school board retains the teacher, the school
10    board shall enter a written order stating the amount of
11    back pay and lost benefits, less mitigation, to be paid to
12    the teacher, within 45 days after its retention order.
13    Should the teacher object to the amount of the back pay and
14    lost benefits or amount mitigated, the teacher shall give
15    written objections to the amount within 21 days. If the
16    parties fail to reach resolution within 7 days, the
17    dispute shall be referred to the hearing officer, who
18    shall consider the school board's written order and
19    teacher's written objection and determine the amount to
20    which the school board is liable. The costs of the hearing
21    officer's review and determination must be paid by the
22    board.
23        (9) The decision of the hearing officer pursuant to
24    Article 24A of this Code or of the school board's decision
25    to dismiss for cause is final unless reviewed as provided
26    in Section 24-16 of this Code. If the school board's

 

 

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1    decision to dismiss for cause is contrary to the hearing
2    officer's recommendation, the court on review shall give
3    consideration to the school board's decision and its
4    supplemental findings of fact, if applicable, and the
5    hearing officer's findings of fact and recommendation in
6    making its decision. In the event such review is
7    instituted, the school board shall be responsible for
8    preparing and filing the record of proceedings, and such
9    costs associated therewith must be divided equally between
10    the parties.
11        (10) If a decision of the hearing officer for
12    dismissal pursuant to Article 24A of this Code or of the
13    school board for dismissal for cause is adjudicated upon
14    review or appeal in favor of the teacher, then the trial
15    court shall order reinstatement and shall remand the
16    matter to the school board with direction for entry of an
17    order setting the amount of back pay, lost benefits, and
18    costs, less mitigation. The teacher may challenge the
19    school board's order setting the amount of back pay, lost
20    benefits, and costs, less mitigation, through an expedited
21    arbitration procedure, with the costs of the arbitrator
22    borne by the school board.
23        Any teacher who is reinstated by any hearing or
24    adjudication brought under this Section shall be assigned
25    by the board to a position substantially similar to the
26    one which that teacher held prior to that teacher's

 

 

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1    suspension or dismissal.
2        (11) Subject to any later effective date referenced in
3    this Section for a specific aspect of the dismissal
4    process, the changes made by Public Act 97-8 shall apply
5    to dismissals instituted on or after September 1, 2011.
6    Any dismissal instituted prior to September 1, 2011 must
7    be carried out in accordance with the requirements of this
8    Section prior to amendment by Public Act 97-8.
9    (e) Nothing contained in Public Act 98-648 repeals,
10supersedes, invalidates, or nullifies final decisions in
11lawsuits pending on July 1, 2014 (the effective date of Public
12Act 98-648) in Illinois courts involving the interpretation of
13Public Act 97-8.
14(Source: P.A. 100-768, eff. 1-1-19; 101-81, eff. 7-12-19;
15101-531, eff. 8-23-19; 101-643, eff. 6-18-20.)
 
16    Section 230. The Board of Higher Education Act is amended
17by changing Section 9.21 as follows:
 
18    (110 ILCS 205/9.21)  (from Ch. 144, par. 189.21)
19    Sec. 9.21. Human Relations.
20    (a) The Board shall monitor, budget, evaluate, and report
21to the General Assembly in accordance with Section 9.16 of
22this Act on programs to improve human relations to include
23race, ethnicity, gender and other issues related to improving
24human relations. The programs shall at least:

 

 

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1        (1) require each public institution of higher
2    education to include, in the general education
3    requirements for obtaining a degree, coursework on
4    improving human relations to include race, ethnicity,
5    gender and other issues related to improving human
6    relations to address racism and sexual harassment on their
7    campuses, through existing courses;
8        (2) require each public institution of higher
9    education to report annually to the Department of Human
10    Rights and the Attorney General on each adjudicated case
11    in which a finding of racial, ethnic or religious
12    intimidation or sexual harassment made in a grievance,
13    positive action affirmative action or other proceeding
14    established by that institution to investigate and
15    determine allegations of racial, ethnic or religious
16    intimidation and sexual harassment; and
17        (3) require each public institution of higher
18    education to forward to the local State's Attorney any
19    report received by campus security or by a university
20    police department alleging the commission of a hate crime
21    as defined under Section 12-7.1 of the Criminal Code of
22    2012.
23    (b) In this subsection (b):
24    "Higher education institution" means a public university,
25a public community college, or an independent, not-for-profit
26or for-profit higher education institution located in this

 

 

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1State.
2    "Sexual violence" means physical sexual acts attempted or
3perpetrated against a person's will or when a person is
4incapable of giving consent, including without limitation
5rape, sexual assault, sexual battery, sexual abuse, and sexual
6coercion.
7    On or before November 1, 2017 and on or before every
8November 1 thereafter, each higher education institution shall
9provide an annual report, concerning the immediately preceding
10calendar year, to the Department of Human Rights and the
11Attorney General with all of the following components:
12        (1) A copy of the higher education institution's most
13    recent comprehensive policy adopted in accordance with
14    Section 10 of the Preventing Sexual Violence in Higher
15    Education Act.
16        (2) A copy of the higher education institution's most
17    recent concise, written notification of a survivor's
18    rights and options under its comprehensive policy,
19    required pursuant to Section 15 of the Preventing Sexual
20    Violence in Higher Education Act.
21        (3) The number, type, and number of attendees, if
22    applicable, of primary prevention and awareness
23    programming at the higher education institution.
24        (4) The number of incidents of sexual violence,
25    domestic violence, dating violence, and stalking reported
26    to the Title IX coordinator or other responsible employee,

 

 

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1    pursuant to Title IX of the federal Education Amendments
2    of 1972, of the higher education institution.
3        (5) The number of confidential and anonymous reports
4    to the higher education institution of sexual violence,
5    domestic violence, dating violence, and stalking.
6        (6) The number of allegations in which the survivor
7    requested not to proceed with the higher education
8    institution's complaint resolution procedure.
9        (7) The number of allegations of sexual violence,
10    domestic violence, dating violence, and stalking that the
11    higher education institution investigated.
12        (8) The number of allegations of sexual violence,
13    domestic violence, dating violence, and stalking that were
14    referred to local or State law enforcement.
15        (9) The number of allegations of sexual violence,
16    domestic violence, dating violence, and stalking that the
17    higher education institution reviewed through its
18    complaint resolution procedure.
19        (10) With respect to all allegations of sexual
20    violence, domestic violence, dating violence, and stalking
21    reviewed under the higher education institution's
22    complaint resolution procedure, an aggregate list of the
23    number of students who were (i) dismissed or expelled,
24    (ii) suspended, (iii) otherwise disciplined, or (iv) found
25    not responsible for violation of the comprehensive policy
26    through the complaint resolution procedure during the

 

 

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1    reporting period.
2    The Office of the Attorney General shall maintain on its
3Internet website for public inspection a list of all higher
4education institutions that fail to comply with the annual
5reporting requirements as set forth in this subsection (b).
6(Source: P.A. 99-426, eff. 8-21-15.)
 
7    Section 235. The Illinois Horse Racing Act of 1975 is
8amended by changing Sections 12.1 and 20 as follows:
 
9    (230 ILCS 5/12.1)  (from Ch. 8, par. 37-12.1)
10    Sec. 12.1. (a) The General Assembly finds that the
11Illinois Racing Industry does not include a fair proportion of
12minority or female workers.
13    Therefore, the General Assembly urges that the job
14training institutes, trade associations and employers involved
15in the Illinois Horse Racing Industry take positive action
16affirmative action to encourage equal employment opportunity
17to all workers regardless of race, color, creed or sex.
18    Before an organization license, inter-track wagering
19license or inter-track wagering location license can be
20granted, the applicant for any such license shall execute and
21file with the Board a good faith positive action affirmative
22action plan to recruit, train and upgrade minorities and
23females in all classifications with the applicant for license.
24One year after issuance of any such license, and each year

 

 

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1thereafter, the licensee shall file a report with the Board
2evidencing and certifying compliance with the originally filed
3positive action affirmative action plan.
4    (b) At least 10% of the total amount of all State contracts
5for the infrastructure improvement of any race track grounds
6in this State shall be let to minority-owned businesses or
7women-owned businesses. "State contract", "minority-owned
8business" and "women-owned business" shall have the meanings
9ascribed to them under the Business Enterprise for Minorities,
10Women, and Persons with Disabilities Act.
11(Source: P.A. 100-391, eff. 8-25-17.)
 
12    (230 ILCS 5/20)  (from Ch. 8, par. 37-20)
13    Sec. 20. (a) Any person desiring to conduct a horse race
14meeting may apply to the Board for an organization license.
15The application shall be made on a form prescribed and
16furnished by the Board. The application shall specify:
17        (1) the dates on which it intends to conduct the horse
18    race meeting, which dates shall be provided under Section
19    21;
20        (2) the hours of each racing day between which it
21    intends to hold or conduct horse racing at such meeting;
22        (3) the location where it proposes to conduct the
23    meeting; and
24        (4) any other information the Board may reasonably
25    require.

 

 

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1    (b) A separate application for an organization license
2shall be filed for each horse race meeting which such person
3proposes to hold. Any such application, if made by an
4individual, or by any individual as trustee, shall be signed
5and verified under oath by such individual. If the application
6is made by individuals, then it shall be signed and verified
7under oath by at least 2 of the individuals; if the application
8is made by a partnership, an association, a corporation, a
9corporate trustee, a limited liability company, or any other
10entity, it shall be signed by an authorized officer, a
11partner, a member, or a manager, as the case may be, of the
12entity.
13    (c) The application shall specify:
14        (1) the name of the persons, association, trust, or
15    corporation making such application;
16        (2) the principal address of the applicant;
17        (3) if the applicant is a trustee, the names and
18    addresses of the beneficiaries; if the applicant is a
19    corporation, the names and addresses of all officers,
20    stockholders and directors; or if such stockholders hold
21    stock as a nominee or fiduciary, the names and addresses
22    of the parties who are the beneficial owners thereof or
23    who are beneficially interested therein; if the applicant
24    is a partnership, the names and addresses of all partners,
25    general or limited; if the applicant is a limited
26    liability company, the names and addresses of the manager

 

 

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1    and members; and if the applicant is any other entity, the
2    names and addresses of all officers or other authorized
3    persons of the entity.
4    (d) The applicant shall execute and file with the Board a
5good faith positive action affirmative action plan to recruit,
6train, and upgrade minorities in all classifications within
7the association.
8    (e) With such application there shall be delivered to the
9Board a certified check or bank draft payable to the order of
10the Board for an amount equal to $1,000. All applications for
11the issuance of an organization license shall be filed with
12the Board before August 1 of the year prior to the year for
13which application is made and shall be acted upon by the Board
14at a meeting to be held on such date as shall be fixed by the
15Board during the last 15 days of September of such prior year.
16At such meeting, the Board shall announce the award of the
17racing meets, live racing schedule, and designation of host
18track to the applicants and its approval or disapproval of
19each application. No announcement shall be considered binding
20until a formal order is executed by the Board, which shall be
21executed no later than October 15 of that prior year. Absent
22the agreement of the affected organization licensees, the
23Board shall not grant overlapping race meetings to 2 or more
24tracks that are within 100 miles of each other to conduct the
25thoroughbred racing.
26    (e-1) The Board shall award standardbred racing dates to

 

 

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1organization licensees with an organization gaming license
2pursuant to the following schedule:
3        (1) For the first calendar year of operation of
4    gambling games by an organization gaming licensee under
5    this amendatory Act of the 101st General Assembly, when a
6    single entity requests standardbred racing dates, the
7    Board shall award no fewer than 100 days of racing. The
8    100-day requirement may be reduced to no fewer than 80
9    days if no dates are requested for the first 3 months of a
10    calendar year. If more than one entity requests
11    standardbred racing dates, the Board shall award no fewer
12    than 140 days of racing between the applicants.
13        (2) For the second calendar year of operation of
14    gambling games by an organization gaming licensee under
15    this amendatory Act of the 101st General Assembly, when a
16    single entity requests standardbred racing dates, the
17    Board shall award no fewer than 100 days of racing. The
18    100-day requirement may be reduced to no fewer than 80
19    days if no dates are requested for the first 3 months of a
20    calendar year. If more than one entity requests
21    standardbred racing dates, the Board shall award no fewer
22    than 160 days of racing between the applicants.
23        (3) For the third calendar year of operation of
24    gambling games by an organization gaming licensee under
25    this amendatory Act of the 101st General Assembly, and
26    each calendar year thereafter, when a single entity

 

 

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1    requests standardbred racing dates, the Board shall award
2    no fewer than 120 days of racing. The 120-day requirement
3    may be reduced to no fewer than 100 days if no dates are
4    requested for the first 3 months of a calendar year. If
5    more than one entity requests standardbred racing dates,
6    the Board shall award no fewer than 200 days of racing
7    between the applicants.
8    An organization licensee shall apply for racing dates
9pursuant to this subsection (e-1). In awarding racing dates
10under this subsection (e-1), the Board shall have the
11discretion to allocate those standardbred racing dates among
12these organization licensees.
13    (e-2) The Board shall award thoroughbred racing days to
14Cook County organization licensees pursuant to the following
15schedule:
16        (1) During the first year in which only one
17    organization licensee is awarded an organization gaming
18    license, the Board shall award no fewer than 110 days of
19    racing.
20        During the second year in which only one organization
21    licensee is awarded an organization gaming license, the
22    Board shall award no fewer than 115 racing days.
23        During the third year and every year thereafter, in
24    which only one organization licensee is awarded an
25    organization gaming license, the Board shall award no
26    fewer than 120 racing days.

 

 

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1        (2) During the first year in which 2 organization
2    licensees are awarded an organization gaming license, the
3    Board shall award no fewer than 139 total racing days.
4        During the second year in which 2 organization
5    licensees are awarded an organization gaming license, the
6    Board shall award no fewer than 160 total racing days.
7        During the third year and every year thereafter in
8    which 2 organization licensees are awarded an organization
9    gaming license, the Board shall award no fewer than 174
10    total racing days.
11    A Cook County organization licensee shall apply for racing
12dates pursuant to this subsection (e-2). In awarding racing
13dates under this subsection (e-2), the Board shall have the
14discretion to allocate those thoroughbred racing dates among
15these Cook County organization licensees.
16    (e-3) In awarding racing dates for calendar year 2020 and
17thereafter in connection with a racetrack in Madison County,
18the Board shall award racing dates and such organization
19licensee shall run at least 700 thoroughbred races at the
20racetrack in Madison County each year.
21    Notwithstanding Section 7.7 of the Illinois Gambling Act
22or any provision of this Act other than subsection (e-4.5),
23for each calendar year for which an organization gaming
24licensee located in Madison County requests racing dates
25resulting in less than 700 live thoroughbred races at its
26racetrack facility, the organization gaming licensee may not

 

 

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1conduct gaming pursuant to an organization gaming license
2issued under the Illinois Gambling Act for the calendar year
3of such requested live races.
4    (e-4) Notwithstanding the provisions of Section 7.7 of the
5Illinois Gambling Act or any provision of this Act other than
6subsections (e-3) and (e-4.5), for each calendar year for
7which an organization gaming licensee requests thoroughbred
8racing dates which results in a number of live races under its
9organization license that is less than the total number of
10live races which it conducted in 2017 at its racetrack
11facility, the organization gaming licensee may not conduct
12gaming pursuant to its organization gaming license for the
13calendar year of such requested live races.
14    (e-4.1) Notwithstanding the provisions of Section 7.7 of
15the Illinois Gambling Act or any provision of this Act other
16than subsections (e-3) and (e-4.5), for each calendar year for
17which an organization licensee requests racing dates for
18standardbred racing which results in a number of live races
19that is less than the total number of live races required in
20subsection (e-1), the organization gaming licensee may not
21conduct gaming pursuant to its organization gaming license for
22the calendar year of such requested live races.
23    (e-4.5) The Board shall award the minimum live racing
24guarantees contained in subsections (e-1), (e-2), and (e-3) to
25ensure that each organization licensee shall individually run
26a sufficient number of races per year to qualify for an

 

 

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1organization gaming license under this Act. The General
2Assembly finds that the minimum live racing guarantees
3contained in subsections (e-1), (e-2), and (e-3) are in the
4best interest of the sport of horse racing, and that such
5guarantees may only be reduced in the calendar year in which
6they will be conducted in the limited circumstances described
7in this subsection. The Board may decrease the number of
8racing days without affecting an organization licensee's
9ability to conduct gaming pursuant to an organization gaming
10license issued under the Illinois Gambling Act only if the
11Board determines, after notice and hearing, that:
12        (i) a decrease is necessary to maintain a sufficient
13    number of betting interests per race to ensure the
14    integrity of racing;
15        (ii) there are unsafe track conditions due to weather
16    or acts of God;
17        (iii) there is an agreement between an organization
18    licensee and the breed association that is applicable to
19    the involved live racing guarantee, such association
20    representing either the largest number of thoroughbred
21    owners and trainers or the largest number of standardbred
22    owners, trainers and drivers who race horses at the
23    involved organization licensee's racing meeting, so long
24    as the agreement does not compromise the integrity of the
25    sport of horse racing; or
26        (iv) the horse population or purse levels are

 

 

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1    insufficient to provide the number of racing opportunities
2    otherwise required in this Act.
3    In decreasing the number of racing dates in accordance
4with this subsection, the Board shall hold a hearing and shall
5provide the public and all interested parties notice and an
6opportunity to be heard. The Board shall accept testimony from
7all interested parties, including any association representing
8owners, trainers, jockeys, or drivers who will be affected by
9the decrease in racing dates. The Board shall provide a
10written explanation of the reasons for the decrease and the
11Board's findings. The written explanation shall include a
12listing and content of all communication between any party and
13any Illinois Racing Board member or staff that does not take
14place at a public meeting of the Board.
15    (e-5) In reviewing an application for the purpose of
16granting an organization license consistent with the best
17interests of the public and the sport of horse racing, the
18Board shall consider:
19        (1) the character, reputation, experience, and
20    financial integrity of the applicant and of any other
21    separate person that either:
22            (i) controls the applicant, directly or
23        indirectly, or
24            (ii) is controlled, directly or indirectly, by
25        that applicant or by a person who controls, directly
26        or indirectly, that applicant;

 

 

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1        (2) the applicant's facilities or proposed facilities
2    for conducting horse racing;
3        (3) the total revenue without regard to Section 32.1
4    to be derived by the State and horsemen from the
5    applicant's conducting a race meeting;
6        (4) the applicant's good faith positive action
7    affirmative action plan to recruit, train, and upgrade
8    minorities in all employment classifications;
9        (5) the applicant's financial ability to purchase and
10    maintain adequate liability and casualty insurance;
11        (6) the applicant's proposed and prior year's
12    promotional and marketing activities and expenditures of
13    the applicant associated with those activities;
14        (7) an agreement, if any, among organization licensees
15    as provided in subsection (b) of Section 21 of this Act;
16    and
17        (8) the extent to which the applicant exceeds or meets
18    other standards for the issuance of an organization
19    license that the Board shall adopt by rule.
20    In granting organization licenses and allocating dates for
21horse race meetings, the Board shall have discretion to
22determine an overall schedule, including required simulcasts
23of Illinois races by host tracks that will, in its judgment, be
24conducive to the best interests of the public and the sport of
25horse racing.
26    (e-10) The Illinois Administrative Procedure Act shall

 

 

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1apply to administrative procedures of the Board under this Act
2for the granting of an organization license, except that (1)
3notwithstanding the provisions of subsection (b) of Section
410-40 of the Illinois Administrative Procedure Act regarding
5cross-examination, the Board may prescribe rules limiting the
6right of an applicant or participant in any proceeding to
7award an organization license to conduct cross-examination of
8witnesses at that proceeding where that cross-examination
9would unduly obstruct the timely award of an organization
10license under subsection (e) of Section 20 of this Act; (2) the
11provisions of Section 10-45 of the Illinois Administrative
12Procedure Act regarding proposals for decision are excluded
13under this Act; (3) notwithstanding the provisions of
14subsection (a) of Section 10-60 of the Illinois Administrative
15Procedure Act regarding ex parte communications, the Board may
16prescribe rules allowing ex parte communications with
17applicants or participants in a proceeding to award an
18organization license where conducting those communications
19would be in the best interest of racing, provided all those
20communications are made part of the record of that proceeding
21pursuant to subsection (c) of Section 10-60 of the Illinois
22Administrative Procedure Act; (4) the provisions of Section
2314a of this Act and the rules of the Board promulgated under
24that Section shall apply instead of the provisions of Article
2510 of the Illinois Administrative Procedure Act regarding
26administrative law judges; and (5) the provisions of

 

 

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1subsection (d) of Section 10-65 of the Illinois Administrative
2Procedure Act that prevent summary suspension of a license
3pending revocation or other action shall not apply.
4    (f) The Board may allot racing dates to an organization
5licensee for more than one calendar year but for no more than 3
6successive calendar years in advance, provided that the Board
7shall review such allotment for more than one calendar year
8prior to each year for which such allotment has been made. The
9granting of an organization license to a person constitutes a
10privilege to conduct a horse race meeting under the provisions
11of this Act, and no person granted an organization license
12shall be deemed to have a vested interest, property right, or
13future expectation to receive an organization license in any
14subsequent year as a result of the granting of an organization
15license. Organization licenses shall be subject to revocation
16if the organization licensee has violated any provision of
17this Act or the rules and regulations promulgated under this
18Act or has been convicted of a crime or has failed to disclose
19or has stated falsely any information called for in the
20application for an organization license. Any organization
21license revocation proceeding shall be in accordance with
22Section 16 regarding suspension and revocation of occupation
23licenses.
24    (f-5) If, (i) an applicant does not file an acceptance of
25the racing dates awarded by the Board as required under part
26(1) of subsection (h) of this Section 20, or (ii) an

 

 

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1organization licensee has its license suspended or revoked
2under this Act, the Board, upon conducting an emergency
3hearing as provided for in this Act, may reaward on an
4emergency basis pursuant to rules established by the Board,
5racing dates not accepted or the racing dates associated with
6any suspension or revocation period to one or more
7organization licensees, new applicants, or any combination
8thereof, upon terms and conditions that the Board determines
9are in the best interest of racing, provided, the organization
10licensees or new applicants receiving the awarded racing dates
11file an acceptance of those reawarded racing dates as required
12under paragraph (1) of subsection (h) of this Section 20 and
13comply with the other provisions of this Act. The Illinois
14Administrative Procedure Act shall not apply to the
15administrative procedures of the Board in conducting the
16emergency hearing and the reallocation of racing dates on an
17emergency basis.
18    (g) (Blank).
19    (h) The Board shall send the applicant a copy of its
20formally executed order by certified mail addressed to the
21applicant at the address stated in his application, which
22notice shall be mailed within 5 days of the date the formal
23order is executed.
24    Each applicant notified shall, within 10 days after
25receipt of the final executed order of the Board awarding
26racing dates:

 

 

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1        (1) file with the Board an acceptance of such award in
2    the form prescribed by the Board;
3        (2) pay to the Board an additional amount equal to
4    $110 for each racing date awarded; and
5        (3) file with the Board the bonds required in Sections
6    21 and 25 at least 20 days prior to the first day of each
7    race meeting.
8Upon compliance with the provisions of paragraphs (1), (2),
9and (3) of this subsection (h), the applicant shall be issued
10an organization license.
11    If any applicant fails to comply with this Section or
12fails to pay the organization license fees herein provided, no
13organization license shall be issued to such applicant.
14(Source: P.A. 101-31, eff. 6-28-19.)
 
15    Section 240. The Illinois Gambling Act is amended by
16changing Sections 5.1, 7, and 7.11 as follows:
 
17    (230 ILCS 10/5.1)  (from Ch. 120, par. 2405.1)
18    Sec. 5.1. Disclosure of records.
19    (a) Notwithstanding any applicable statutory provision to
20the contrary, the Board shall, on written request from any
21person, provide information furnished by an applicant or
22licensee concerning the applicant or licensee, his products,
23services or gambling enterprises and his business holdings, as
24follows:

 

 

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1        (1) The name, business address and business telephone
2    number of any applicant or licensee.
3        (2) An identification of any applicant or licensee
4    including, if an applicant or licensee is not an
5    individual, the names and addresses of all stockholders
6    and directors, if the entity is a corporation; the names
7    and addresses of all members, if the entity is a limited
8    liability company; the names and addresses of all
9    partners, both general and limited, if the entity is a
10    partnership; and the names and addresses of all
11    beneficiaries, if the entity is a trust. If an applicant
12    or licensee has a pending registration statement filed
13    with the Securities and Exchange Commission, only the
14    names of those persons or entities holding interest of 5%
15    or more must be provided.
16        (3) An identification of any business, including, if
17    applicable, the state of incorporation or registration, in
18    which an applicant or licensee or an applicant's or
19    licensee's spouse or children has an equity interest of
20    more than 1%. If an applicant or licensee is a
21    corporation, partnership or other business entity, the
22    applicant or licensee shall identify any other
23    corporation, partnership or business entity in which it
24    has an equity interest of 1% or more, including, if
25    applicable, the state of incorporation or registration.
26    This information need not be provided by a corporation,

 

 

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1    partnership or other business entity that has a pending
2    registration statement filed with the Securities and
3    Exchange Commission.
4        (4) Whether an applicant or licensee has been
5    indicted, convicted, pleaded guilty or nolo contendere, or
6    forfeited bail concerning any criminal offense under the
7    laws of any jurisdiction, either felony or misdemeanor
8    (except for traffic violations), including the date, the
9    name and location of the court, arresting agency and
10    prosecuting agency, the case number, the offense, the
11    disposition and the location and length of incarceration.
12        (5) Whether an applicant or licensee has had any
13    license or certificate issued by a licensing authority in
14    Illinois or any other jurisdiction denied, restricted,
15    suspended, revoked or not renewed and a statement
16    describing the facts and circumstances concerning the
17    denial, restriction, suspension, revocation or
18    non-renewal, including the licensing authority, the date
19    each such action was taken, and the reason for each such
20    action.
21        (6) Whether an applicant or licensee has ever filed or
22    had filed against it a proceeding in bankruptcy or has
23    ever been involved in any formal process to adjust, defer,
24    suspend or otherwise work out the payment of any debt
25    including the date of filing, the name and location of the
26    court, the case and number of the disposition.

 

 

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1        (7) Whether an applicant or licensee has filed, or
2    been served with a complaint or other notice filed with
3    any public body, regarding the delinquency in the payment
4    of, or a dispute over the filings concerning the payment
5    of, any tax required under federal, State or local law,
6    including the amount, type of tax, the taxing agency and
7    time periods involved.
8        (8) A statement listing the names and titles of all
9    public officials or officers of any unit of government,
10    and relatives of said public officials or officers who,
11    directly or indirectly, own any financial interest in,
12    have any beneficial interest in, are the creditors of or
13    hold any debt instrument issued by, or hold or have any
14    interest in any contractual or service relationship with,
15    an applicant or licensee.
16        (9) Whether an applicant or licensee has made,
17    directly or indirectly, any political contribution, or any
18    loans, donations or other payments, to any candidate or
19    office holder, within 5 years from the date of filing the
20    application, including the amount and the method of
21    payment.
22        (10) The name and business telephone number of the
23    counsel representing an applicant or licensee in matters
24    before the Board.
25        (11) A description of any proposed or approved
26    gambling operation, including the type of boat, home dock,

 

 

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1    or casino or gaming location, expected economic benefit to
2    the community, anticipated or actual number of employees,
3    any statement from an applicant or licensee regarding
4    compliance with federal and State affirmative action and
5    positive action guidelines, projected or actual admissions
6    and projected or actual adjusted gross gaming receipts.
7        (12) A description of the product or service to be
8    supplied by an applicant for a supplier's license.
9    (b) Notwithstanding any applicable statutory provision to
10the contrary, the Board shall, on written request from any
11person, also provide the following information:
12        (1) The amount of the wagering tax and admission tax
13    paid daily to the State of Illinois by the holder of an
14    owner's license.
15        (2) Whenever the Board finds an applicant for an
16    owner's license unsuitable for licensing, a copy of the
17    written letter outlining the reasons for the denial.
18        (3) Whenever the Board has refused to grant leave for
19    an applicant to withdraw his application, a copy of the
20    letter outlining the reasons for the refusal.
21    (c) Subject to the above provisions, the Board shall not
22disclose any information which would be barred by:
23        (1) Section 7 of the Freedom of Information Act; or
24        (2) The statutes, rules, regulations or
25    intergovernmental agreements of any jurisdiction.
26    (d) The Board may assess fees for the copying of

 

 

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1information in accordance with Section 6 of the Freedom of
2Information Act.
3(Source: P.A. 101-31, eff. 6-28-19.)
 
4    (230 ILCS 10/7)  (from Ch. 120, par. 2407)
5    Sec. 7. Owners licenses.
6    (a) The Board shall issue owners licenses to persons or
7entities that apply for such licenses upon payment to the
8Board of the non-refundable license fee as provided in
9subsection (e) or (e-5) and upon a determination by the Board
10that the applicant is eligible for an owners license pursuant
11to this Act and the rules of the Board. From December 15, 2008
12(the effective date of Public Act 95-1008) this amendatory Act
13of the 95th General Assembly until (i) 3 years after December
1415, 2008 (the effective date of Public Act 95-1008) this
15amendatory Act of the 95th General Assembly, (ii) the date any
16organization licensee begins to operate a slot machine or
17video game of chance under the Illinois Horse Racing Act of
181975 or this Act, (iii) the date that payments begin under
19subsection (c-5) of Section 13 of this Act, (iv) the wagering
20tax imposed under Section 13 of this Act is increased by law to
21reflect a tax rate that is at least as stringent or more
22stringent than the tax rate contained in subsection (a-3) of
23Section 13, or (v) when an owners licensee holding a license
24issued pursuant to Section 7.1 of this Act begins conducting
25gaming, whichever occurs first, as a condition of licensure

 

 

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1and as an alternative source of payment for those funds
2payable under subsection (c-5) of Section 13 of this Act, any
3owners licensee that holds or receives its owners license on
4or after May 26, 2006 (the effective date of Public Act 94-804)
5this amendatory Act of the 94th General Assembly, other than
6an owners licensee operating a riverboat with adjusted gross
7receipts in calendar year 2004 of less than $200,000,000, must
8pay into the Horse Racing Equity Trust Fund, in addition to any
9other payments required under this Act, an amount equal to 3%
10of the adjusted gross receipts received by the owners
11licensee. The payments required under this Section shall be
12made by the owners licensee to the State Treasurer no later
13than 3:00 o'clock p.m. of the day after the day when the
14adjusted gross receipts were received by the owners licensee.
15A person or entity is ineligible to receive an owners license
16if:
17        (1) the person has been convicted of a felony under
18    the laws of this State, any other state, or the United
19    States;
20        (2) the person has been convicted of any violation of
21    Article 28 of the Criminal Code of 1961 or the Criminal
22    Code of 2012, or substantially similar laws of any other
23    jurisdiction;
24        (3) the person has submitted an application for a
25    license under this Act which contains false information;
26        (4) the person is a member of the Board;

 

 

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1        (5) a person defined in (1), (2), (3), or (4) is an
2    officer, director, or managerial employee of the entity;
3        (6) the entity employs a person defined in (1), (2),
4    (3), or (4) who participates in the management or
5    operation of gambling operations authorized under this
6    Act;
7        (7) (blank); or
8        (8) a license of the person or entity issued under
9    this Act, or a license to own or operate gambling
10    facilities in any other jurisdiction, has been revoked.
11    The Board is expressly prohibited from making changes to
12the requirement that licensees make payment into the Horse
13Racing Equity Trust Fund without the express authority of the
14Illinois General Assembly and making any other rule to
15implement or interpret Public Act 95-1008 this amendatory Act
16of the 95th General Assembly. For the purposes of this
17paragraph, "rules" is given the meaning given to that term in
18Section 1-70 of the Illinois Administrative Procedure Act.
19    (b) In determining whether to grant an owners license to
20an applicant, the Board shall consider:
21        (1) the character, reputation, experience, and
22    financial integrity of the applicants and of any other or
23    separate person that either:
24            (A) controls, directly or indirectly, such
25        applicant; , or
26            (B) is controlled, directly or indirectly, by such

 

 

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1        applicant or by a person which controls, directly or
2        indirectly, such applicant;
3        (2) the facilities or proposed facilities for the
4    conduct of gambling;
5        (3) the highest prospective total revenue to be
6    derived by the State from the conduct of gambling;
7        (4) the extent to which the ownership of the applicant
8    reflects the diversity of the State by including minority
9    persons, women, and persons with a disability and the good
10    faith positive action affirmative action plan of each
11    applicant to recruit, train and upgrade minority persons,
12    women, and persons with a disability in all employment
13    classifications; the Board shall further consider granting
14    an owners license and giving preference to an applicant
15    under this Section to applicants in which minority persons
16    and women hold ownership interest of at least 16% and 4%,
17    respectively; .
18        (4.5) the extent to which the ownership of the
19    applicant includes veterans of service in the armed forces
20    of the United States, and the good faith positive action
21    affirmative action plan of each applicant to recruit,
22    train, and upgrade veterans of service in the armed forces
23    of the United States in all employment classifications;
24        (5) the financial ability of the applicant to purchase
25    and maintain adequate liability and casualty insurance;
26        (6) whether the applicant has adequate capitalization

 

 

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1    to provide and maintain, for the duration of a license, a
2    riverboat or casino;
3        (7) the extent to which the applicant exceeds or meets
4    other standards for the issuance of an owners license
5    which the Board may adopt by rule;
6        (8) the amount of the applicant's license bid;
7        (9) the extent to which the applicant or the proposed
8    host municipality plans to enter into revenue sharing
9    agreements with communities other than the host
10    municipality; and
11        (10) the extent to which the ownership of an applicant
12    includes the most qualified number of minority persons,
13    women, and persons with a disability.
14    (c) Each owners license shall specify the place where the
15casino shall operate or the riverboat shall operate and dock.
16    (d) Each applicant shall submit with his or her
17application, on forms provided by the Board, 2 sets of his or
18her fingerprints.
19    (e) In addition to any licenses authorized under
20subsection (e-5) of this Section, the Board may issue up to 10
21licenses authorizing the holders of such licenses to own
22riverboats. In the application for an owners license, the
23applicant shall state the dock at which the riverboat is based
24and the water on which the riverboat will be located. The Board
25shall issue 5 licenses to become effective not earlier than
26January 1, 1991. Three of such licenses shall authorize

 

 

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1riverboat gambling on the Mississippi River, or, with approval
2by the municipality in which the riverboat was docked on
3August 7, 2003 and with Board approval, be authorized to
4relocate to a new location, in a municipality that (1) borders
5on the Mississippi River or is within 5 miles of the city
6limits of a municipality that borders on the Mississippi River
7and (2) on August 7, 2003, had a riverboat conducting
8riverboat gambling operations pursuant to a license issued
9under this Act; one of which shall authorize riverboat
10gambling from a home dock in the city of East St. Louis; and
11one of which shall authorize riverboat gambling from a home
12dock in the City of Alton. One other license shall authorize
13riverboat gambling on the Illinois River in the City of East
14Peoria or, with Board approval, shall authorize land-based
15gambling operations anywhere within the corporate limits of
16the City of Peoria. The Board shall issue one additional
17license to become effective not earlier than March 1, 1992,
18which shall authorize riverboat gambling on the Des Plaines
19River in Will County. The Board may issue 4 additional
20licenses to become effective not earlier than March 1, 1992.
21In determining the water upon which riverboats will operate,
22the Board shall consider the economic benefit which riverboat
23gambling confers on the State, and shall seek to assure that
24all regions of the State share in the economic benefits of
25riverboat gambling.
26    In granting all licenses, the Board may give favorable

 

 

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1consideration to economically depressed areas of the State, to
2applicants presenting plans which provide for significant
3economic development over a large geographic area, and to
4applicants who currently operate non-gambling riverboats in
5Illinois. The Board shall review all applications for owners
6licenses, and shall inform each applicant of the Board's
7decision. The Board may grant an owners license to an
8applicant that has not submitted the highest license bid, but
9if it does not select the highest bidder, the Board shall issue
10a written decision explaining why another applicant was
11selected and identifying the factors set forth in this Section
12that favored the winning bidder. The fee for issuance or
13renewal of a license pursuant to this subsection (e) shall be
14$250,000.
15    (e-5) In addition to licenses authorized under subsection
16(e) of this Section:
17        (1) the Board may issue one owners license authorizing
18    the conduct of casino gambling in the City of Chicago;
19        (2) the Board may issue one owners license authorizing
20    the conduct of riverboat gambling in the City of Danville;
21        (3) the Board may issue one owners license authorizing
22    the conduct of riverboat gambling in the City of Waukegan;
23        (4) the Board may issue one owners license authorizing
24    the conduct of riverboat gambling in the City of Rockford;
25        (5) the Board may issue one owners license authorizing
26    the conduct of riverboat gambling in a municipality that

 

 

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1    is wholly or partially located in one of the following
2    townships of Cook County: Bloom, Bremen, Calumet, Rich,
3    Thornton, or Worth Township; and
4        (6) the Board may issue one owners license authorizing
5    the conduct of riverboat gambling in the unincorporated
6    area of Williamson County adjacent to the Big Muddy River.
7    Except for the license authorized under paragraph (1),
8each application for a license pursuant to this subsection
9(e-5) shall be submitted to the Board no later than 120 days
10after June 28, 2019 (the effective date of Public Act 101-31).
11All applications for a license under this subsection (e-5)
12shall include the nonrefundable application fee and the
13nonrefundable background investigation fee as provided in
14subsection (d) of Section 6 of this Act. In the event that an
15applicant submits an application for a license pursuant to
16this subsection (e-5) prior to June 28, 2019 (the effective
17date of Public Act 101-31), such applicant shall submit the
18nonrefundable application fee and background investigation fee
19as provided in subsection (d) of Section 6 of this Act no later
20than 6 months after June 28, 2019 (the effective date of Public
21Act 101-31).
22    The Board shall consider issuing a license pursuant to
23paragraphs (1) through (6) of this subsection only after the
24corporate authority of the municipality or the county board of
25the county in which the riverboat or casino shall be located
26has certified to the Board the following:

 

 

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1        (i) that the applicant has negotiated with the
2    corporate authority or county board in good faith;
3        (ii) that the applicant and the corporate authority or
4    county board have mutually agreed on the permanent
5    location of the riverboat or casino;
6        (iii) that the applicant and the corporate authority
7    or county board have mutually agreed on the temporary
8    location of the riverboat or casino;
9        (iv) that the applicant and the corporate authority or
10    the county board have mutually agreed on the percentage of
11    revenues that will be shared with the municipality or
12    county, if any;
13        (v) that the applicant and the corporate authority or
14    county board have mutually agreed on any zoning,
15    licensing, public health, or other issues that are within
16    the jurisdiction of the municipality or county;
17        (vi) that the corporate authority or county board has
18    passed a resolution or ordinance in support of the
19    riverboat or casino in the municipality or county;
20        (vii) the applicant for a license under paragraph (1)
21    has made a public presentation concerning its casino
22    proposal; and
23        (viii) the applicant for a license under paragraph (1)
24    has prepared a summary of its casino proposal and such
25    summary has been posted on a public website of the
26    municipality or the county.

 

 

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1    At least 7 days before the corporate authority of a
2municipality or county board of the county submits a
3certification to the Board concerning items (i) through (viii)
4of this subsection, it shall hold a public hearing to discuss
5items (i) through (viii), as well as any other details
6concerning the proposed riverboat or casino in the
7municipality or county. The corporate authority or county
8board must subsequently memorialize the details concerning the
9proposed riverboat or casino in a resolution that must be
10adopted by a majority of the corporate authority or county
11board before any certification is sent to the Board. The Board
12shall not alter, amend, change, or otherwise interfere with
13any agreement between the applicant and the corporate
14authority of the municipality or county board of the county
15regarding the location of any temporary or permanent facility.
16    In addition, within 10 days after June 28, 2019 (the
17effective date of Public Act 101-31), the Board, with consent
18and at the expense of the City of Chicago, shall select and
19retain the services of a nationally recognized casino gaming
20feasibility consultant. Within 45 days after June 28, 2019
21(the effective date of Public Act 101-31), the consultant
22shall prepare and deliver to the Board a study concerning the
23feasibility of, and the ability to finance, a casino in the
24City of Chicago. The feasibility study shall be delivered to
25the Mayor of the City of Chicago, the Governor, the President
26of the Senate, and the Speaker of the House of

 

 

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1Representatives. Ninety days after receipt of the feasibility
2study, the Board shall make a determination, based on the
3results of the feasibility study, whether to recommend to the
4General Assembly that the terms of the license under paragraph
5(1) of this subsection (e-5) should be modified. The Board may
6begin accepting applications for the owners license under
7paragraph (1) of this subsection (e-5) upon the determination
8to issue such an owners license.
9    In addition, prior to the Board issuing the owners license
10authorized under paragraph (4) of subsection (e-5), an impact
11study shall be completed to determine what location in the
12city will provide the greater impact to the region, including
13the creation of jobs and the generation of tax revenue.
14    (e-10) The licenses authorized under subsection (e-5) of
15this Section shall be issued within 12 months after the date
16the license application is submitted. If the Board does not
17issue the licenses within that time period, then the Board
18shall give a written explanation to the applicant as to why it
19has not reached a determination and when it reasonably expects
20to make a determination. The fee for the issuance or renewal of
21a license issued pursuant to this subsection (e-10) shall be
22$250,000. Additionally, a licensee located outside of Cook
23County shall pay a minimum initial fee of $17,500 per gaming
24position, and a licensee located in Cook County shall pay a
25minimum initial fee of $30,000 per gaming position. The
26initial fees payable under this subsection (e-10) shall be

 

 

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1deposited into the Rebuild Illinois Projects Fund. If at any
2point after June 1, 2020 there are no pending applications for
3a license under subsection (e-5) and not all licenses
4authorized under subsection (e-5) have been issued, then the
5Board shall reopen the license application process for those
6licenses authorized under subsection (e-5) that have not been
7issued. The Board shall follow the licensing process provided
8in subsection (e-5) with all time frames tied to the last date
9of a final order issued by the Board under subsection (e-5)
10rather than the effective date of the amendatory Act.
11    (e-15) Each licensee of a license authorized under
12subsection (e-5) of this Section shall make a reconciliation
13payment 3 years after the date the licensee begins operating
14in an amount equal to 75% of the adjusted gross receipts for
15the most lucrative 12-month period of operations, minus an
16amount equal to the initial payment per gaming position paid
17by the specific licensee. Each licensee shall pay a
18$15,000,000 reconciliation fee upon issuance of an owners
19license. If this calculation results in a negative amount,
20then the licensee is not entitled to any reimbursement of fees
21previously paid. This reconciliation payment may be made in
22installments over a period of no more than 6 years.
23    All payments by licensees under this subsection (e-15)
24shall be deposited into the Rebuild Illinois Projects Fund.
25    (e-20) In addition to any other revocation powers granted
26to the Board under this Act, the Board may revoke the owners

 

 

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1license of a licensee which fails to begin conducting gambling
2within 15 months of receipt of the Board's approval of the
3application if the Board determines that license revocation is
4in the best interests of the State.
5    (f) The first 10 owners licenses issued under this Act
6shall permit the holder to own up to 2 riverboats and equipment
7thereon for a period of 3 years after the effective date of the
8license. Holders of the first 10 owners licenses must pay the
9annual license fee for each of the 3 years during which they
10are authorized to own riverboats.
11    (g) Upon the termination, expiration, or revocation of
12each of the first 10 licenses, which shall be issued for a
133-year period, all licenses are renewable annually upon
14payment of the fee and a determination by the Board that the
15licensee continues to meet all of the requirements of this Act
16and the Board's rules. However, for licenses renewed on or
17after May 1, 1998, renewal shall be for a period of 4 years,
18unless the Board sets a shorter period.
19    (h) An owners license, except for an owners license issued
20under subsection (e-5) of this Section, shall entitle the
21licensee to own up to 2 riverboats.
22    An owners licensee of a casino or riverboat that is
23located in the City of Chicago pursuant to paragraph (1) of
24subsection (e-5) of this Section shall limit the number of
25gaming positions to 4,000 for such owner. An owners licensee
26authorized under subsection (e) or paragraph (2), (3), (4), or

 

 

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1(5) of subsection (e-5) of this Section shall limit the number
2of gaming positions to 2,000 for any such owners license. An
3owners licensee authorized under paragraph (6) of subsection
4(e-5) of this Section shall limit the number of gaming
5positions to 1,200 for such owner. The initial fee for each
6gaming position obtained on or after June 28, 2019 (the
7effective date of Public Act 101-31) shall be a minimum of
8$17,500 for licensees not located in Cook County and a minimum
9of $30,000 for licensees located in Cook County, in addition
10to the reconciliation payment, as set forth in subsection
11(e-15) of this Section. The fees under this subsection (h)
12shall be deposited into the Rebuild Illinois Projects Fund.
13The fees under this subsection (h) that are paid by an owners
14licensee authorized under subsection (e) shall be paid by July
151, 2021.
16    Each owners licensee under subsection (e) of this Section
17shall reserve its gaming positions within 30 days after June
1828, 2019 (the effective date of Public Act 101-31). The Board
19may grant an extension to this 30-day period, provided that
20the owners licensee submits a written request and explanation
21as to why it is unable to reserve its positions within the
2230-day period.
23    Each owners licensee under subsection (e-5) of this
24Section shall reserve its gaming positions within 30 days
25after issuance of its owners license. The Board may grant an
26extension to this 30-day period, provided that the owners

 

 

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1licensee submits a written request and explanation as to why
2it is unable to reserve its positions within the 30-day
3period.
4    A licensee may operate both of its riverboats
5concurrently, provided that the total number of gaming
6positions on both riverboats does not exceed the limit
7established pursuant to this subsection. Riverboats licensed
8to operate on the Mississippi River and the Illinois River
9south of Marshall County shall have an authorized capacity of
10at least 500 persons. Any other riverboat licensed under this
11Act shall have an authorized capacity of at least 400 persons.
12    (h-5) An owners licensee who conducted gambling operations
13prior to January 1, 2012 and obtains positions pursuant to
14Public Act 101-31 shall make a reconciliation payment 3 years
15after any additional gaming positions begin operating in an
16amount equal to 75% of the owners licensee's average gross
17receipts for the most lucrative 12-month period of operations
18minus an amount equal to the initial fee that the owners
19licensee paid per additional gaming position. For purposes of
20this subsection (h-5), "average gross receipts" means (i) the
21increase in adjusted gross receipts for the most lucrative
2212-month period of operations over the adjusted gross receipts
23for 2019, multiplied by (ii) the percentage derived by
24dividing the number of additional gaming positions that an
25owners licensee had obtained by the total number of gaming
26positions operated by the owners licensee. If this calculation

 

 

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1results in a negative amount, then the owners licensee is not
2entitled to any reimbursement of fees previously paid. This
3reconciliation payment may be made in installments over a
4period of no more than 6 years. These reconciliation payments
5shall be deposited into the Rebuild Illinois Projects Fund.
6    (i) A licensed owner is authorized to apply to the Board
7for and, if approved therefor, to receive all licenses from
8the Board necessary for the operation of a riverboat or
9casino, including a liquor license, a license to prepare and
10serve food for human consumption, and other necessary
11licenses. All use, occupation, and excise taxes which apply to
12the sale of food and beverages in this State and all taxes
13imposed on the sale or use of tangible personal property apply
14to such sales aboard the riverboat or in the casino.
15    (j) The Board may issue or re-issue a license authorizing
16a riverboat to dock in a municipality or approve a relocation
17under Section 11.2 only if, prior to the issuance or
18re-issuance of the license or approval, the governing body of
19the municipality in which the riverboat will dock has by a
20majority vote approved the docking of riverboats in the
21municipality. The Board may issue or re-issue a license
22authorizing a riverboat to dock in areas of a county outside
23any municipality or approve a relocation under Section 11.2
24only if, prior to the issuance or re-issuance of the license or
25approval, the governing body of the county has by a majority
26vote approved of the docking of riverboats within such areas.

 

 

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1    (k) An owners licensee may conduct land-based gambling
2operations upon approval by the Board and payment of a fee of
3$250,000, which shall be deposited into the State Gaming Fund.
4    (l) An owners licensee may conduct gaming at a temporary
5facility pending the construction of a permanent facility or
6the remodeling or relocation of an existing facility to
7accommodate gaming participants for up to 24 months after the
8temporary facility begins to conduct gaming. Upon request by
9an owners licensee and upon a showing of good cause by the
10owners licensee, the Board shall extend the period during
11which the licensee may conduct gaming at a temporary facility
12by up to 12 months. The Board shall make rules concerning the
13conduct of gaming from temporary facilities.
14(Source: P.A. 100-391, eff. 8-25-17; 100-1152, eff. 12-14-18;
15101-31, eff. 6-28-19; 101-648, eff. 6-30-20; revised 8-19-20.)
 
16    (230 ILCS 10/7.11)
17    Sec. 7.11. Annual report on diversity.
18    (a) Each licensee that receives a license under Sections
197, 7.1, and 7.7 shall execute and file a report with the Board
20no later than December 31 of each year that shall contain, but
21not be limited to, the following information:
22        (i) a good faith positive action affirmative action
23    plan to recruit, train, and upgrade minority persons,
24    women, and persons with a disability in all employment
25    classifications;

 

 

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1        (ii) the total dollar amount of contracts that were
2    awarded to businesses owned by minority persons, women,
3    and persons with a disability;
4        (iii) the total number of businesses owned by minority
5    persons, women, and persons with a disability that were
6    utilized by the licensee;
7        (iv) the utilization of businesses owned by minority
8    persons, women, and persons with disabilities during the
9    preceding year; and
10        (v) the outreach efforts used by the licensee to
11    attract investors and businesses consisting of minority
12    persons, women, and persons with a disability.
13    (b) The Board shall forward a copy of each licensee's
14annual reports to the General Assembly no later than February
151 of each year. The reports to the General Assembly shall be
16filed with the Clerk of the House of Representatives and the
17Secretary of the Senate in electronic form only, in the manner
18that the Clerk and the Secretary shall direct.
19(Source: P.A. 101-31, eff. 6-28-19.)
 
20    Section 245. The O'Hare Modernization Act is amended by
21changing Section 27 as follows:
 
22    (620 ILCS 65/27)
23    Sec. 27. Minority and women-owned businesses and workers.
24All City contracts for the O'Hare Modernization Program shall

 

 

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1be subject to all applicable ordinances of the City governing
2contracting with minority and women-owned businesses and
3prohibiting discrimination and requiring appropriate positive
4action affirmative action with respect to minority and women
5participants in the work force, including but not limited to
6Section 2-92-330 of the Municipal Code of the City of Chicago
7(relating to hiring of Chicago residents), Section 2-92-390 of
8the Municipal Code of the City of Chicago (relating to hiring
9of women and minorities), and Sections 2-92-420 through
102-92-570 of the Municipal Code of the City of Chicago
11(relating to contracting with minority-owned and women-owned
12business enterprises), to the extent permitted by law and
13federal funding restrictions. The City of Chicago shall file
14semi-annual reports with the General Assembly documenting
15compliance with such ordinances with respect to work performed
16as part of the O'Hare Modernization Program and disclosing the
17extent to which that work is performed by minority and women
18workers and minority-owned and women-owned business
19enterprises.
20(Source: P.A. 93-450, eff. 8-6-03.)
 
21    Section 250. The Illinois Human Rights Act is amended by
22changing Sections 1-101.1, 1-102, 1-103, 2-105, 2-106, 7-101,
237-105, 7-105a, and 10-102 as follows:
 
24    (775 ILCS 5/1-101.1)

 

 

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1    Sec. 1-101.1. Construction. Nothing in this Act shall be
2construed as requiring any employer, employment agency, or
3labor organization to give preferential treatment or special
4rights based on sexual orientation or to implement positive
5action affirmative action policies or programs based on
6sexual orientation.
7(Source: P.A. 93-1078, eff. 1-1-06.)
 
8    (775 ILCS 5/1-102)  (from Ch. 68, par. 1-102)
9    Sec. 1-102. Declaration of Policy. It is the public
10policy of this State:
11    (A) Freedom from Unlawful Discrimination. To secure for
12all individuals within Illinois the freedom from
13discrimination against any individual because of his or her
14race, color, religion, sex, national origin, ancestry, age,
15order of protection status, marital status, physical or mental
16disability, military status, sexual orientation, pregnancy, or
17unfavorable discharge from military service in connection with
18employment, real estate transactions, access to financial
19credit, and the availability of public accommodations.
20    (B) Freedom from Sexual Harassment-Employment and
21Elementary, Secondary, and Higher Education. To prevent sexual
22harassment in employment and sexual harassment in elementary,
23secondary, and higher education.
24    (C) Freedom from Discrimination Based on Citizenship
25Status-Employment. To prevent discrimination based on

 

 

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1citizenship status in employment.
2    (D) Freedom from Discrimination Based on Familial
3Status-Real Estate Transactions. To prevent discrimination
4based on familial status in real estate transactions.
5    (E) Public Health, Welfare and Safety. To promote the
6public health, welfare and safety by protecting the interest
7of all people in Illinois in maintaining personal dignity, in
8realizing their full productive capacities, and in furthering
9their interests, rights and privileges as citizens of this
10State.
11    (F) Implementation of Constitutional Guarantees. To secure
12and guarantee the rights established by Sections 17, 18 and 19
13of Article I of the Illinois Constitution of 1970.
14    (G) Equal Opportunity, Positive Action Affirmative Action.
15To establish Equal Opportunity and Positive Action Affirmative
16Action as the policies of this State in all of its decisions,
17programs and activities, and to assure that all State
18departments, boards, commissions and instrumentalities
19rigorously take positive action affirmative action to provide
20equality of opportunity and eliminate the effects of past
21discrimination in the internal affairs of State government and
22in their relations with the public.
23    (H) Unfounded Charges. To protect citizens of this State
24against unfounded charges of unlawful discrimination, sexual
25harassment in employment and sexual harassment in elementary,
26secondary, and higher education, and discrimination based on

 

 

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1citizenship status in employment.
2(Source: P.A. 98-1050, eff. 1-1-15.)
 
3    (775 ILCS 5/1-103)  (from Ch. 68, par. 1-103)
4    Sec. 1-103. General definitions. When used in this Act,
5unless the context requires otherwise, the term:
6    (A) Age. "Age" means the chronological age of a person who
7is at least 40 years old, except with regard to any practice
8described in Section 2-102, insofar as that practice concerns
9training or apprenticeship programs. In the case of training
10or apprenticeship programs, for the purposes of Section 2-102,
11"age" means the chronological age of a person who is 18 but not
12yet 40 years old.
13    (B) Aggrieved party. "Aggrieved party" means a person who
14is alleged or proved to have been injured by a civil rights
15violation or believes he or she will be injured by a civil
16rights violation under Article 3 that is about to occur.
17    (B-5) Arrest record. "Arrest record" means:
18        (1) an arrest not leading to a conviction;
19        (2) a juvenile record; or
20        (3) criminal history record information ordered
21    expunged, sealed, or impounded under Section 5.2 of the
22    Criminal Identification Act.
23    (C) Charge. "Charge" means an allegation filed with the
24Department by an aggrieved party or initiated by the
25Department under its authority.

 

 

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1    (D) Civil rights violation. "Civil rights violation"
2includes and shall be limited to only those specific acts set
3forth in Sections 2-102, 2-103, 2-105, 3-102, 3-102.1, 3-103,
43-104, 3-104.1, 3-105, 3-105.1, 4-102, 4-103, 5-102, 5A-102,
56-101, and 6-102 of this Act.
6    (E) Commission. "Commission" means the Human Rights
7Commission created by this Act.
8    (F) Complaint. "Complaint" means the formal pleading filed
9by the Department with the Commission following an
10investigation and finding of substantial evidence of a civil
11rights violation.
12    (G) Complainant. "Complainant" means a person including
13the Department who files a charge of civil rights violation
14with the Department or the Commission.
15    (H) Department. "Department" means the Department of Human
16Rights created by this Act.
17    (I) Disability. "Disability" means a determinable physical
18or mental characteristic of a person, including, but not
19limited to, a determinable physical characteristic which
20necessitates the person's use of a guide, hearing or support
21dog, the history of such characteristic, or the perception of
22such characteristic by the person complained against, which
23may result from disease, injury, congenital condition of birth
24or functional disorder and which characteristic:
25        (1) For purposes of Article 2, is unrelated to the
26    person's ability to perform the duties of a particular job

 

 

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1    or position and, pursuant to Section 2-104 of this Act, a
2    person's illegal use of drugs or alcohol is not a
3    disability;
4        (2) For purposes of Article 3, is unrelated to the
5    person's ability to acquire, rent, or maintain a housing
6    accommodation;
7        (3) For purposes of Article 4, is unrelated to a
8    person's ability to repay;
9        (4) For purposes of Article 5, is unrelated to a
10    person's ability to utilize and benefit from a place of
11    public accommodation;
12        (5) For purposes of Article 5, also includes any
13    mental, psychological, or developmental disability,
14    including autism spectrum disorders.
15    (J) Marital status. "Marital status" means the legal
16status of being married, single, separated, divorced, or
17widowed.
18    (J-1) Military status. "Military status" means a person's
19status on active duty in or status as a veteran of the armed
20forces of the United States, status as a current member or
21veteran of any reserve component of the armed forces of the
22United States, including the United States Army Reserve,
23United States Marine Corps Reserve, United States Navy
24Reserve, United States Air Force Reserve, and United States
25Coast Guard Reserve, or status as a current member or veteran
26of the Illinois Army National Guard or Illinois Air National

 

 

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1Guard.
2    (K) National origin. "National origin" means the place in
3which a person or one of his or her ancestors was born.
4    (K-5) "Order of protection status" means a person's status
5as being a person protected under an order of protection
6issued pursuant to the Illinois Domestic Violence Act of 1986,
7Article 112A of the Code of Criminal Procedure of 1963, the
8Stalking No Contact Order Act, or the Civil No Contact Order
9Act, or an order of protection issued by a court of another
10state.
11    (L) Person. "Person" includes one or more individuals,
12partnerships, associations or organizations, labor
13organizations, labor unions, joint apprenticeship committees,
14or union labor associations, corporations, the State of
15Illinois and its instrumentalities, political subdivisions,
16units of local government, legal representatives, trustees in
17bankruptcy or receivers.
18    (L-3) Positive action. "Positive action" has the same
19meaning as provided under Section 5 of the Positive Action
20Act.
21    (L-5) Pregnancy. "Pregnancy" means pregnancy, childbirth,
22or medical or common conditions related to pregnancy or
23childbirth.
24    (M) Public contract. "Public contract" includes every
25contract to which the State, any of its political
26subdivisions, or any municipal corporation is a party.

 

 

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1    (N) Religion. "Religion" includes all aspects of religious
2observance and practice, as well as belief, except that with
3respect to employers, for the purposes of Article 2,
4"religion" has the meaning ascribed to it in paragraph (F) of
5Section 2-101.
6    (O) Sex. "Sex" means the status of being male or female.
7    (O-1) Sexual orientation. "Sexual orientation" means
8actual or perceived heterosexuality, homosexuality,
9bisexuality, or gender-related identity, whether or not
10traditionally associated with the person's designated sex at
11birth. "Sexual orientation" does not include a physical or
12sexual attraction to a minor by an adult.
13    (P) Unfavorable military discharge. "Unfavorable military
14discharge" includes discharges from the Armed Forces of the
15United States, their Reserve components, or any National Guard
16or Naval Militia which are classified as RE-3 or the
17equivalent thereof, but does not include those characterized
18as RE-4 or "Dishonorable".
19    (Q) Unlawful discrimination. "Unlawful discrimination"
20means discrimination against a person because of his or her
21actual or perceived: race, color, religion, national origin,
22ancestry, age, sex, marital status, order of protection
23status, disability, military status, sexual orientation,
24pregnancy, or unfavorable discharge from military service as
25those terms are defined in this Section.
26(Source: P.A. 100-714, eff. 1-1-19; 101-81, eff. 7-12-19;

 

 

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1101-221, eff. 1-1-20; 101-565, eff. 1-1-20; revised 9-18-19.)
 
2    (775 ILCS 5/2-105)  (from Ch. 68, par. 2-105)
3    Sec. 2-105. Equal Employment Opportunities; Positive
4Action Affirmative Action.
5    (A) Public Contracts. Every party to a public contract and
6every eligible bidder shall:
7        (1) Refrain from unlawful discrimination and
8    discrimination based on citizenship status in employment
9    and undertake positive action affirmative action to assure
10    equality of employment opportunity and eliminate the
11    effects of past discrimination;
12        (2) Comply with the procedures and requirements of the
13    Department's regulations concerning equal employment
14    opportunities and positive action affirmative action;
15        (3) Provide such information, with respect to its
16    employees and applicants for employment, and assistance as
17    the Department may reasonably request;
18        (4) Have written sexual harassment policies that shall
19    include, at a minimum, the following information: (i) the
20    illegality of sexual harassment; (ii) the definition of
21    sexual harassment under State law; (iii) a description of
22    sexual harassment, utilizing examples; (iv) the vendor's
23    internal complaint process including penalties; (v) the
24    legal recourse, investigative and complaint process
25    available through the Department and the Commission; (vi)

 

 

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1    directions on how to contact the Department and
2    Commission; and (vii) protection against retaliation as
3    provided by Section 6-101 of this Act. A copy of the
4    policies shall be provided to the Department upon request.
5    Additionally, each bidder who submits a bid or offer for a
6    State contract under the Illinois Procurement Code shall
7    have a written copy of the bidder's sexual harassment
8    policy as required under this paragraph (4). A copy of the
9    policy shall be provided to the State agency entering into
10    the contract upon request.
11    (B) State Agencies. Every State executive department,
12State agency, board, commission, and instrumentality shall:
13        (1) Comply with the procedures and requirements of the
14    Department's regulations concerning equal employment
15    opportunities and positive action affirmative action;
16        (2) Provide such information and assistance as the
17    Department may request.
18        (3) Establish, maintain, and carry out a continuing
19    positive action affirmative action plan consistent with
20    this Act and the regulations of the Department designed to
21    promote equal opportunity for all State residents in every
22    aspect of agency personnel policy and practice. For
23    purposes of these positive action affirmative action
24    plans, the race and national origin categories to be
25    included in the plans are: American Indian or Alaska
26    Native, Asian, Black or African American, Hispanic or

 

 

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1    Latino, Native Hawaiian or Other Pacific Islander.
2        This plan shall include a current detailed status
3    report:
4            (a) indicating, by each position in State service,
5        the number, percentage, and average salary of
6        individuals employed by race, national origin, sex and
7        disability, and any other category that the Department
8        may require by rule;
9            (b) identifying all positions in which the
10        percentage of the people employed by race, national
11        origin, sex and disability, and any other category
12        that the Department may require by rule, is less than
13        four-fifths of the percentage of each of those
14        components in the State work force;
15            (c) specifying the goals and methods for
16        increasing the percentage by race, national origin,
17        sex and disability, and any other category that the
18        Department may require by rule, in State positions;
19            (d) indicating progress and problems toward
20        meeting equal employment opportunity goals, including,
21        if applicable, but not limited to, Department of
22        Central Management Services recruitment efforts,
23        publicity, promotions, and use of options designating
24        positions by linguistic abilities;
25            (e) establishing a numerical hiring goal for the
26        employment of qualified persons with disabilities in

 

 

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1        the agency as a whole, to be based on the proportion of
2        people with work disabilities in the Illinois labor
3        force as reflected in the most recent employment data
4        made available by the United States Census Bureau.
5        (4) If the agency has 1000 or more employees, appoint
6    a full-time Equal Employment Opportunity officer, subject
7    to the Department's approval, whose duties shall include:
8            (a) Advising the head of the particular State
9        agency with respect to the preparation of equal
10        employment opportunity programs, procedures,
11        regulations, reports, and the agency's positive action
12        affirmative action plan.
13            (b) Evaluating in writing each fiscal year the
14        sufficiency of the total agency program for equal
15        employment opportunity and reporting thereon to the
16        head of the agency with recommendations as to any
17        improvement or correction in recruiting, hiring or
18        promotion needed, including remedial or disciplinary
19        action with respect to managerial or supervisory
20        employees who have failed to cooperate fully or who
21        are in violation of the program.
22            (c) Making changes in recruitment, training and
23        promotion programs and in hiring and promotion
24        procedures designed to eliminate discriminatory
25        practices when authorized.
26            (d) Evaluating tests, employment policies,

 

 

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1        practices and qualifications and reporting to the head
2        of the agency and to the Department any policies,
3        practices and qualifications that have unequal impact
4        by race, national origin as required by Department
5        rule, sex or disability or any other category that the
6        Department may require by rule, and to assist in the
7        recruitment of people in underrepresented
8        classifications. This function shall be performed in
9        cooperation with the State Department of Central
10        Management Services.
11            (e) Making any aggrieved employee or applicant for
12        employment aware of his or her remedies under this
13        Act.
14            In any meeting, investigation, negotiation,
15        conference, or other proceeding between a State
16        employee and an Equal Employment Opportunity officer,
17        a State employee (1) who is not covered by a collective
18        bargaining agreement and (2) who is the complaining
19        party or the subject of such proceeding may be
20        accompanied, advised and represented by (1) an
21        attorney licensed to practice law in the State of
22        Illinois or (2) a representative of an employee
23        organization whose membership is composed of employees
24        of the State and of which the employee is a member. A
25        representative of an employee, other than an attorney,
26        may observe but may not actively participate, or

 

 

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1        advise the State employee during the course of such
2        meeting, investigation, negotiation, conference or
3        other proceeding. Nothing in this Section shall be
4        construed to permit any person who is not licensed to
5        practice law in Illinois to deliver any legal services
6        or otherwise engage in any activities that would
7        constitute the unauthorized practice of law. Any
8        representative of an employee who is present with the
9        consent of the employee, shall not, during or after
10        termination of the relationship permitted by this
11        Section with the State employee, use or reveal any
12        information obtained during the course of the meeting,
13        investigation, negotiation, conference or other
14        proceeding without the consent of the complaining
15        party and any State employee who is the subject of the
16        proceeding and pursuant to rules and regulations
17        governing confidentiality of such information as
18        promulgated by the appropriate State agency.
19        Intentional or reckless disclosure of information in
20        violation of these confidentiality requirements shall
21        constitute a Class B misdemeanor.
22        (5) Establish, maintain and carry out a continuing
23    sexual harassment program that shall include the
24    following:
25            (a) Develop a written sexual harassment policy
26        that includes at a minimum the following information:

 

 

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1        (i) the illegality of sexual harassment; (ii) the
2        definition of sexual harassment under State law; (iii)
3        a description of sexual harassment, utilizing
4        examples; (iv) the agency's internal complaint process
5        including penalties; (v) the legal recourse,
6        investigative and complaint process available through
7        the Department and the Commission; (vi) directions on
8        how to contact the Department and Commission; and
9        (vii) protection against retaliation as provided by
10        Section 6-101 of this Act. The policy shall be
11        reviewed annually.
12            (b) Post in a prominent and accessible location
13        and distribute in a manner to assure notice to all
14        agency employees without exception the agency's sexual
15        harassment policy. Such documents may meet, but shall
16        not exceed, the 6th grade literacy level. Distribution
17        shall be effectuated within 90 days of the effective
18        date of this amendatory Act of 1992 and shall occur
19        annually thereafter.
20            (c) Provide training on sexual harassment
21        prevention and the agency's sexual harassment policy
22        as a component of all ongoing or new employee training
23        programs.
24        (6) Notify the Department 30 days before effecting any
25    layoff. Once notice is given, the following shall occur:
26            (a) No layoff may be effective earlier than 10

 

 

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1        working days after notice to the Department, unless an
2        emergency layoff situation exists.
3            (b) The State executive department, State agency,
4        board, commission, or instrumentality in which the
5        layoffs are to occur must notify each employee
6        targeted for layoff, the employee's union
7        representative (if applicable), and the State
8        Dislocated Worker Unit at the Department of Commerce
9        and Economic Opportunity.
10            (c) The State executive department, State agency,
11        board, commission, or instrumentality in which the
12        layoffs are to occur must conform to applicable
13        collective bargaining agreements.
14            (d) The State executive department, State agency,
15        board, commission, or instrumentality in which the
16        layoffs are to occur should notify each employee
17        targeted for layoff that transitional assistance may
18        be available to him or her under the Economic
19        Dislocation and Worker Adjustment Assistance Act
20        administered by the Department of Commerce and
21        Economic Opportunity. Failure to give such notice
22        shall not invalidate the layoff or postpone its
23        effective date.
24     As used in this subsection (B), "disability" shall be
25defined in rules promulgated under the Illinois Administrative
26Procedure Act.

 

 

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1    (C) Civil Rights Violations. It is a civil rights
2violation for any public contractor or eligible bidder to:
3        (1) fail to comply with the public contractor's or
4    eligible bidder's duty to refrain from unlawful
5    discrimination and discrimination based on citizenship
6    status in employment under subsection (A)(1) of this
7    Section; or
8        (2) fail to comply with the public contractor's or
9    eligible bidder's duties of positive action affirmative
10    action under subsection (A) of this Section, provided
11    however, that the Department has notified the public
12    contractor or eligible bidder in writing by certified mail
13    that the public contractor or eligible bidder may not be
14    in compliance with positive action affirmative action
15    requirements of subsection (A). A minimum of 60 days to
16    comply with the requirements shall be afforded to the
17    public contractor or eligible bidder before the Department
18    may issue formal notice of non-compliance.
19    (D) As used in this Section:
20        (1) "American Indian or Alaska Native" means a person
21    having origins in any of the original peoples of North and
22    South America, including Central America, and who
23    maintains tribal affiliation or community attachment.
24        (2) "Asian" means a person having origins in any of
25    the original peoples of the Far East, Southeast Asia, or
26    the Indian subcontinent, including, but not limited to,

 

 

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1    Cambodia, China, India, Japan, Korea, Malaysia, Pakistan,
2    the Philippine Islands, Thailand, and Vietnam.
3        (3) "Black or African American" means a person having
4    origins in any of the black racial groups of Africa. Terms
5    such as "Haitian" or "Negro" can be used in addition to
6    "Black or African American".
7        (4) "Hispanic or Latino" means a person of Cuban,
8    Mexican, Puerto Rican, South or Central American, or other
9    Spanish culture or origin, regardless of race.
10        (5) "Native Hawaiian or Other Pacific Islander" means
11    a person having origins in any of the original peoples of
12    Hawaii, Guam, Samoa, or other Pacific Islands.
13(Source: P.A. 99-933, eff. 1-27-17; 100-698, eff. 1-1-19.)
 
14    (775 ILCS 5/2-106)
15    Sec. 2-106. Interagency Committee on Employees with
16Disabilities.
17    (A) As used in this Section:
18    "State agency" means all officers, boards, commissions,
19and agencies created by the Constitution in the executive
20branch; all officers, departments, boards, commissions,
21agencies, institutions, authorities, universities, bodies
22politic and corporate of the State; and administrative units
23or corporate outgrowths of the State government which are
24created by or pursuant to statute, other than units of local
25government and their officers, school districts, and boards of

 

 

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1election commissioners; all administrative units and corporate
2outgrowths of the above and as may be created by executive
3order of the Governor.
4    "State employee" means an employee of a State agency.
5    (B) The Interagency Committee on Employees with
6Disabilities, created under repealed Section 19a of the
7Personnel Code, is continued as set forth in this Section. The
8Committee is composed of 18 members as follows: the
9Chairperson of the Civil Service Commission or his or her
10designee, the Director of Veterans' Affairs or his or her
11designee, the Director of Central Management Services or his
12or her designee, the Secretary of Human Services or his or her
13designee, the Director of Human Rights or his or her designee,
14the Director of the Illinois Council on Developmental
15Disabilities or his or her designee, the Lieutenant Governor
16or his or her designee, the Attorney General or his or her
17designee, the Secretary of State or his or her designee, the
18State Comptroller or his or her designee, the State Treasurer
19or his or her designee, and 7 State employees with
20disabilities appointed by and serving at the pleasure of the
21Governor.
22    (C) The Director of Human Rights and the Secretary of
23Human Services shall serve as co-chairpersons of the
24Committee. The Committee shall meet as often as it deems
25necessary, but in no case less than 6 times annually at the
26call of the co-chairpersons. Notice shall be given to the

 

 

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1members in writing in advance of a scheduled meeting.
2    (D) The Department of Human Rights shall provide
3administrative support to the Committee.
4    (E) The purposes and functions of the Committee are: (1)
5to provide a forum where problems of general concern to State
6employees with disabilities can be raised and methods of their
7resolution can be suggested to the appropriate State agencies;
8(2) to provide a clearinghouse of information for State
9employees with disabilities by working with those agencies to
10develop and retain such information; (3) to promote positive
11action affirmative action efforts pertaining to the employment
12of persons with disabilities by State agencies; and (4) to
13recommend, where appropriate, means of strengthening the
14positive action affirmative action programs for employees with
15disabilities in State agencies.
16    (F) The Committee shall annually make a complete report to
17the General Assembly on the Committee's achievements and
18accomplishments. Such report may also include an evaluation by
19the Committee of the effectiveness of the hiring and
20advancement practices in State government.
21    (G) This amendatory Act of the 99th General Assembly is
22not intended to disqualify any current member of the Committee
23from continued membership on the Committee in accordance with
24the terms of this Section or the member's appointment.
25(Source: P.A. 99-314, eff. 8-7-15.)
 

 

 

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1    (775 ILCS 5/7-101)  (from Ch. 68, par. 7-101)
2    Sec. 7-101. Powers and Duties. In addition to other powers
3and duties prescribed in this Act, the Department shall have
4the following powers:
5    (A) Rules and Regulations. To adopt, promulgate, amend,
6and rescind rules and regulations not inconsistent with the
7provisions of this Act pursuant to the Illinois Administrative
8Procedure Act.
9    (B) Charges. To issue, receive, investigate, conciliate,
10settle, and dismiss charges filed in conformity with this Act.
11    (C) Compulsory Process. To request subpoenas as it deems
12necessary for its investigations.
13    (D) Complaints. To file complaints with the Commission in
14conformity with this Act.
15    (E) Judicial Enforcement. To seek temporary relief and to
16enforce orders of the Commission in conformity with this Act.
17    (F) Equal Employment Opportunities. To take such action as
18may be authorized to provide for equal employment
19opportunities and positive action affirmative action.
20    (G) Recruitment; Research; Public Communication; Advisory
21Councils. To engage in such recruitment, research and public
22communication and create such advisory councils as may be
23authorized to effectuate the purposes of this Act.
24    (H) Coordination with other Agencies. To coordinate its
25activities with federal, state, and local agencies in
26conformity with this Act.

 

 

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1    (I) Public Grants; Private Gifts. To accept public grants
2and private gifts as may be authorized.
3    (J) Education and Training. To implement a formal and
4unbiased program of education and training for all employees
5assigned to investigate and conciliate charges under Articles
67A and 7B. The training program shall include the following:
7        (1) substantive and procedural aspects of the
8    investigation and conciliation positions;
9        (2) current issues in human rights law and practice;
10        (3) lectures by specialists in substantive areas
11    related to human rights matters;
12        (4) orientation to each operational unit of the
13    Department and Commission;
14        (5) observation of experienced Department
15    investigators and attorneys conducting conciliation
16    conferences, combined with the opportunity to discuss
17    evidence presented and rulings made;
18        (6) the use of hypothetical cases requiring the
19    Department investigator and conciliation conference
20    attorney to issue judgments as a means to evaluating
21    knowledge and writing ability;
22        (7) writing skills;
23        (8) computer skills, including but not limited to word
24    processing and document management.
25    A formal, unbiased and ongoing professional development
26program including, but not limited to, the above-noted areas

 

 

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1shall be implemented to keep Department investigators and
2attorneys informed of recent developments and issues and to
3assist them in maintaining and enhancing their professional
4competence.
5(Source: P.A. 99-74, eff. 7-20-15.)
 
6    (775 ILCS 5/7-105)  (from Ch. 68, par. 7-105)
7    Sec. 7-105. Equal Employment Opportunities; Positive
8Action Affirmative Action. In order to establish and
9effectuate the policies of equal employment opportunity and
10positive action affirmative action, the Department shall, with
11respect to state executive departments, boards, commissions
12and instrumentalities and any party to a public contract:
13    (A) Policies; Rules; Regulations. Establish equal
14employment opportunity and positive action affirmative action
15policies, rules and regulations which specify plans, programs
16and reporting procedures. Such rules may provide for
17exemptions or modifications as may be necessary to assure the
18continuity of federal requirements in State agencies supported
19in whole or in part by federal funds.
20    (B) Minimum Compliance Criteria. Establish minimum
21compliance criteria and procedures for evaluating equal
22employment opportunity and positive action affirmative action
23programs and plans.
24    (C) Technical Assistance. Provide technical assistance,
25training, and advice for the establishment and implementation

 

 

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1of required programs.
2    (D) Meetings. Hold meetings at least annually with the
3head of each State agency and when necessary with any party to
4a public contract to:
5        (1) Review equal employment opportunity plans and
6    progress, performance and problems in meeting equal
7    opportunity goals.
8        (2) Recommend appropriate changes to the plans and
9    procedures and the methods employed to implement the
10    plans.
11    (E) Report. Include within its annual report, filed
12pursuant to Section 5-650 of the Departments of State
13Government Law (20 ILCS 5/5-650), the progress, performance,
14and problems of meeting equal opportunity goals, and the
15identity of any State agency which fails to comply with the
16requirements of this Act and the circumstances surrounding
17such violation.
18    (F) Personnel Operations. Periodically review personnel
19operations of State agencies to assure their conformity with
20this Act and the agency's plan.
21    (G) Equal Employment Opportunity Officers. Approve the
22appointment of equal employment opportunity officers hired
23pursuant to subparagraph (4) of paragraph (B) of Section
242-105.
25    (H) Enforcement. Require State agencies which fail to meet
26their positive action affirmative action and equal employment

 

 

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1opportunity goals by equal employment opportunity category to
2establish necessary training programs for preparation and
3promotion of the category of individuals affected by the
4failure. An agency required to establish training programs
5under this subsection shall do so in cooperation with the
6Department of Central Management Services as provided in
7Section 405-125 of the Department of Central Management
8Services Law (20 ILCS 405/405-125).
9    The Department by rule or regulation shall provide for the
10implementation of this subsection. Such rules or regulations
11shall prescribe but not be limited to the following:
12        (1) the circumstances and conditions which constitute
13    an agency's failure to meet its positive action
14    affirmative action and equal employment opportunity goals;
15        (2) the time period for measuring success or failure
16    in reaching positive action affirmative action and equal
17    employment opportunity goals; and
18        (3) that training programs shall be limited to State
19    employees.
20    This subsection shall not be construed to conflict with
21any contract between the State and any party which is approved
22and ratified by or on September 11, 1990.
23(Source: P.A. 91-239, eff. 1-1-00.)
 
24    (775 ILCS 5/7-105a)  (from Ch. 68, par. 7-105a)
25    Sec. 7-105a. (a) In order to facilitate the implementation

 

 

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1of the policies of equal employment opportunity and positive
2action affirmative action, the State executive departments,
3boards, commissions and instrumentalities shall, on and after
4the effective date of this amendatory Act of 1983, on all forms
5used to collect information from individuals for official
6purposes, when such forms request information concerning the
7race or ethnicity of an individual by providing spaces for the
8designation of that individual as "white" or "black", or the
9semantic equivalent thereof, provide an additional space for a
10designation as "Hispanic".
11    (b) Whenever a State executive department, board,
12commission or instrumentality is required to supply
13information to the Department concerning the racial or ethnic
14composition of its employees, clients or other groups of
15individuals on or after the effective date of this amendatory
16Act of 1983, the agency supplying such information shall
17supply the information by categories of "white", "black", and
18"Hispanic", or the semantic equivalent thereof, unless
19otherwise required by the Department.
20(Source: P.A. 83-648.)
 
21    (775 ILCS 5/10-102)  (from Ch. 68, par. 10-102)
22    Sec. 10-102. Court Actions. (A) Circuit Court Actions. (1)
23An aggrieved party may commence a civil action in an
24appropriate Circuit Court not later than 2 years after the
25occurrence or the termination of an alleged civil rights

 

 

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1violation or the breach of a conciliation or settlement
2agreement entered into under this Act, whichever occurs last,
3to obtain appropriate relief with respect to the alleged civil
4rights violation or breach. Venue for such civil action shall
5be determined under Section 8-111(B)(6).
6    (2) The computation of such 2-year period shall not
7include any time during which an administrative proceeding
8under this Act was pending with respect to a complaint or
9charge under this Act based upon the alleged civil rights
10violation. This paragraph does not apply to actions arising
11from a breach of a conciliation or settlement agreement.
12    (3) An aggrieved party may commence a civil action under
13this subsection whether or not a charge has been filed under
14Section 7B-102 and without regard to the status of any such
15charge, however, if the Department or local agency has
16obtained a conciliation or settlement agreement with the
17consent of an aggrieved party, no action may be filed under
18this subsection by such aggrieved party with respect to the
19alleged civil rights violation practice which forms the basis
20for such complaint except for the purpose of enforcing the
21terms of such conciliation or settlement agreement.
22    (4) An aggrieved party shall not commence a civil action
23under this subsection with respect to an alleged civil rights
24violation which forms the basis of a complaint issued by the
25Department if a hearing officer has commenced a hearing on the
26record under Article 3 of this Act with respect to such

 

 

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1complaint.
2    (B) Appointment of Attorney by Court. Upon application by
3a person alleging a civil rights violation or a person against
4whom the civil rights violation is alleged, if in the opinion
5of the court such person is financially unable to bear the
6costs of such action, the court may:
7    (1) appoint an attorney for such person, any attorney so
8appointed may petition for an award of attorneys fees pursuant
9to subsection (C)(2) of this Section; or
10    (2) authorize the commencement or continuation of a civil
11action under subsection (A) without the payment of fees,
12costs, or security.
13    (C) Relief which may be granted. (1) In a civil action
14under subsection (A) if the court finds that a civil rights
15violation has occurred or is about to occur, the court may
16award to the plaintiff actual and punitive damages, and may
17grant as relief, as the court deems appropriate, any permanent
18or preliminary injunction, temporary restraining order, or
19other order, including an order enjoining the defendant from
20engaging in such civil rights violation or ordering such
21positive action affirmative action as may be appropriate.
22    (2) In a civil action under subsection (A), the court, in
23its discretion, may allow the prevailing party, other than the
24State of Illinois, reasonable attorneys fees and costs. The
25State of Illinois shall be liable for such fees and costs to
26the same extent as a private person.

 

 

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1    (D) Intervention By The Department. The Attorney General
2of Illinois may intervene on behalf of the Department if the
3Department certifies that the case is of general public
4importance. Upon such intervention the court may award such
5relief as is authorized to be granted to a plaintiff in a civil
6action under Section 10-102(C).
7(Source: P.A. 86-910.)
 
8    Section 255. The Motor Vehicle Franchise Act is amended by
9changing Section 4 as follows:
 
10    (815 ILCS 710/4)  (from Ch. 121 1/2, par. 754)
11    Sec. 4. Unfair competition and practices.
12    (a) The unfair methods of competition and unfair and
13deceptive acts or practices listed in this Section are hereby
14declared to be unlawful. In construing the provisions of this
15Section, the courts may be guided by the interpretations of
16the Federal Trade Commission Act (15 U.S.C. 45 et seq.), as
17from time to time amended.
18    (b) It shall be deemed a violation for any manufacturer,
19factory branch, factory representative, distributor or
20wholesaler, distributor branch, distributor representative or
21motor vehicle dealer to engage in any action with respect to a
22franchise which is arbitrary, in bad faith or unconscionable
23and which causes damage to any of the parties or to the public.
24    (c) It shall be deemed a violation for a manufacturer, a

 

 

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1distributor, a wholesaler, a distributor branch or division, a
2factory branch or division, or a wholesale branch or division,
3or officer, agent or other representative thereof, to coerce,
4or attempt to coerce, any motor vehicle dealer:
5        (1) to accept, buy or order any motor vehicle or
6    vehicles, appliances, equipment, parts or accessories
7    therefor, or any other commodity or commodities or service
8    or services which such motor vehicle dealer has not
9    voluntarily ordered or requested except items required by
10    applicable local, state or federal law; or to require a
11    motor vehicle dealer to accept, buy, order or purchase
12    such items in order to obtain any motor vehicle or
13    vehicles or any other commodity or commodities which have
14    been ordered or requested by such motor vehicle dealer;
15        (2) to order or accept delivery of any motor vehicle
16    with special features, appliances, accessories or
17    equipment not included in the list price of the motor
18    vehicles as publicly advertised by the manufacturer
19    thereof, except items required by applicable law; or
20        (3) to order for anyone any parts, accessories,
21    equipment, machinery, tools, appliances or any commodity
22    whatsoever, except items required by applicable law.
23    (d) It shall be deemed a violation for a manufacturer, a
24distributor, a wholesaler, a distributor branch or division,
25or officer, agent or other representative thereof:
26        (1) to adopt, change, establish or implement a plan or

 

 

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1    system for the allocation and distribution of new motor
2    vehicles to motor vehicle dealers which is arbitrary or
3    capricious or to modify an existing plan so as to cause the
4    same to be arbitrary or capricious;
5        (2) to fail or refuse to advise or disclose to any
6    motor vehicle dealer having a franchise or selling
7    agreement, upon written request therefor, the basis upon
8    which new motor vehicles of the same line make are
9    allocated or distributed to motor vehicle dealers in the
10    State and the basis upon which the current allocation or
11    distribution is being made or will be made to such motor
12    vehicle dealer;
13        (3) to refuse to deliver in reasonable quantities and
14    within a reasonable time after receipt of dealer's order,
15    to any motor vehicle dealer having a franchise or selling
16    agreement for the retail sale of new motor vehicles sold
17    or distributed by such manufacturer, distributor,
18    wholesaler, distributor branch or division, factory branch
19    or division or wholesale branch or division, any such
20    motor vehicles as are covered by such franchise or selling
21    agreement specifically publicly advertised in the State by
22    such manufacturer, distributor, wholesaler, distributor
23    branch or division, factory branch or division, or
24    wholesale branch or division to be available for immediate
25    delivery. However, the failure to deliver any motor
26    vehicle shall not be considered a violation of this Act if

 

 

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1    such failure is due to an act of God, a work stoppage or
2    delay due to a strike or labor difficulty, a shortage of
3    materials, a lack of manufacturing capacity, a freight
4    embargo or other cause over which the manufacturer,
5    distributor, or wholesaler, or any agent thereof has no
6    control;
7        (4) to coerce, or attempt to coerce, any motor vehicle
8    dealer to enter into any agreement with such manufacturer,
9    distributor, wholesaler, distributor branch or division,
10    factory branch or division, or wholesale branch or
11    division, or officer, agent or other representative
12    thereof, or to do any other act prejudicial to the dealer
13    by threatening to reduce his allocation of motor vehicles
14    or cancel any franchise or any selling agreement existing
15    between such manufacturer, distributor, wholesaler,
16    distributor branch or division, or factory branch or
17    division, or wholesale branch or division, and the dealer.
18    However, notice in good faith to any motor vehicle dealer
19    of the dealer's violation of any terms or provisions of
20    such franchise or selling agreement or of any law or
21    regulation applicable to the conduct of a motor vehicle
22    dealer shall not constitute a violation of this Act;
23        (5) to require a franchisee to participate in an
24    advertising campaign or contest or any promotional
25    campaign, or to purchase or lease any promotional
26    materials, training materials, show room or other display

 

 

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1    decorations or materials at the expense of the franchisee;
2        (6) to cancel or terminate the franchise or selling
3    agreement of a motor vehicle dealer without good cause and
4    without giving notice as hereinafter provided; to fail or
5    refuse to extend the franchise or selling agreement of a
6    motor vehicle dealer upon its expiration without good
7    cause and without giving notice as hereinafter provided;
8    or, to offer a renewal, replacement or succeeding
9    franchise or selling agreement containing terms and
10    provisions the effect of which is to substantially change
11    or modify the sales and service obligations or capital
12    requirements of the motor vehicle dealer arbitrarily and
13    without good cause and without giving notice as
14    hereinafter provided notwithstanding any term or provision
15    of a franchise or selling agreement.
16            (A) If a manufacturer, distributor, wholesaler,
17        distributor branch or division, factory branch or
18        division or wholesale branch or division intends to
19        cancel or terminate a franchise or selling agreement
20        or intends not to extend or renew a franchise or
21        selling agreement on its expiration, it shall send a
22        letter by certified mail, return receipt requested, to
23        the affected franchisee at least 60 days before the
24        effective date of the proposed action, or not later
25        than 10 days before the proposed action when the
26        reason for the action is based upon either of the

 

 

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1        following:
2                (i) the business operations of the franchisee
3            have been abandoned or the franchisee has failed
4            to conduct customary sales and service operations
5            during customary business hours for at least 7
6            consecutive business days unless such closing is
7            due to an act of God, strike or labor difficulty or
8            other cause over which the franchisee has no
9            control; or
10                (ii) the conviction of or plea of nolo
11            contendere by the motor vehicle dealer or any
12            operator thereof in a court of competent
13            jurisdiction to an offense punishable by
14            imprisonment for more than two years.
15            Each notice of proposed action shall include a
16        detailed statement setting forth the specific grounds
17        for the proposed cancellation, termination, or refusal
18        to extend or renew and shall state that the dealer has
19        only 30 days from receipt of the notice to file with
20        the Motor Vehicle Review Board a written protest
21        against the proposed action.
22            (B) If a manufacturer, distributor, wholesaler,
23        distributor branch or division, factory branch or
24        division or wholesale branch or division intends to
25        change substantially or modify the sales and service
26        obligations or capital requirements of a motor vehicle

 

 

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1        dealer as a condition to extending or renewing the
2        existing franchise or selling agreement of such motor
3        vehicle dealer, it shall send a letter by certified
4        mail, return receipt requested, to the affected
5        franchisee at least 60 days before the date of
6        expiration of the franchise or selling agreement. Each
7        notice of proposed action shall include a detailed
8        statement setting forth the specific grounds for the
9        proposed action and shall state that the dealer has
10        only 30 days from receipt of the notice to file with
11        the Motor Vehicle Review Board a written protest
12        against the proposed action.
13            (C) Within 30 days from receipt of the notice
14        under subparagraphs (A) and (B), the franchisee may
15        file with the Board a written protest against the
16        proposed action.
17            When the protest has been timely filed, the Board
18        shall enter an order, fixing a date (within 60 days of
19        the date of the order), time, and place of a hearing on
20        the protest required under Sections 12 and 29 of this
21        Act, and send by certified mail, return receipt
22        requested, a copy of the order to the manufacturer
23        that filed the notice of intention of the proposed
24        action and to the protesting dealer or franchisee.
25            The manufacturer shall have the burden of proof to
26        establish that good cause exists to cancel or

 

 

HB3914 Engrossed- 302 -LRB102 16820 RJF 22223 b

1        terminate, or fail to extend or renew the franchise or
2        selling agreement of a motor vehicle dealer or
3        franchisee, and to change substantially or modify the
4        sales and service obligations or capital requirements
5        of a motor vehicle dealer as a condition to extending
6        or renewing the existing franchise or selling
7        agreement. The determination whether good cause exists
8        to cancel, terminate, or refuse to renew or extend the
9        franchise or selling agreement, or to change or modify
10        the obligations of the dealer as a condition to offer
11        renewal, replacement, or succession shall be made by
12        the Board under subsection (d) of Section 12 of this
13        Act.
14            (D) Notwithstanding the terms, conditions, or
15        provisions of a franchise or selling agreement, the
16        following shall not constitute good cause for
17        cancelling or terminating or failing to extend or
18        renew the franchise or selling agreement: (i) the
19        change of ownership or executive management of the
20        franchisee's dealership; or (ii) the fact that the
21        franchisee or owner of an interest in the franchise
22        owns, has an investment in, participates in the
23        management of, or holds a license for the sale of the
24        same or any other line make of new motor vehicles.
25            (E) The manufacturer may not cancel or terminate,
26        or fail to extend or renew a franchise or selling

 

 

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1        agreement or change or modify the obligations of the
2        franchisee as a condition to offering a renewal,
3        replacement, or succeeding franchise or selling
4        agreement before the hearing process is concluded as
5        prescribed by this Act, and thereafter, if the Board
6        determines that the manufacturer has failed to meet
7        its burden of proof and that good cause does not exist
8        to allow the proposed action;
9        (7) notwithstanding the terms of any franchise
10    agreement, to fail to indemnify and hold harmless its
11    franchised dealers against any judgment or settlement for
12    damages, including, but not limited to, court costs,
13    expert witness fees, reasonable attorneys' fees of the new
14    motor vehicle dealer, and other expenses incurred in the
15    litigation, so long as such fees and costs are reasonable,
16    arising out of complaints, claims, or lawsuits, including,
17    but not limited to, strict liability, negligence,
18    misrepresentation, warranty (express or implied), or
19    rescission of the sale as defined in Section 2-608 of the
20    Uniform Commercial Code, to the extent that the judgment
21    or settlement relates to the alleged defective or
22    negligent manufacture, assembly or design of new motor
23    vehicles, parts or accessories or other functions by the
24    manufacturer, beyond the control of the dealer; provided
25    that, in order to provide an adequate defense, the
26    manufacturer receives notice of the filing of a complaint,

 

 

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1    claim, or lawsuit within 60 days after the filing;
2        (8) to require or otherwise coerce a motor vehicle
3    dealer to underutilize the motor vehicle dealer's
4    facilities by requiring or otherwise coercing the motor
5    vehicle dealer to exclude or remove from the motor vehicle
6    dealer's facilities operations for selling or servicing of
7    any vehicles for which the motor vehicle dealer has a
8    franchise agreement with another manufacturer,
9    distributor, wholesaler, distribution branch or division,
10    or officer, agent, or other representative thereof;
11    provided, however, that, in light of all existing
12    circumstances, (i) the motor vehicle dealer maintains a
13    reasonable line of credit for each make or line of new
14    motor vehicle, (ii) the new motor vehicle dealer remains
15    in compliance with any reasonable facilities requirements
16    of the manufacturer, (iii) no change is made in the
17    principal management of the new motor vehicle dealer, and
18    (iv) the addition of the make or line of new motor vehicles
19    would be reasonable. The reasonable facilities requirement
20    set forth in item (ii) of subsection (d)(8) shall not
21    include any requirement that a franchisee establish or
22    maintain exclusive facilities, personnel, or display
23    space. Any decision by a motor vehicle dealer to sell
24    additional makes or lines at the motor vehicle dealer's
25    facility shall be presumed to be reasonable, and the
26    manufacturer shall have the burden to overcome that

 

 

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1    presumption. A motor vehicle dealer must provide a written
2    notification of its intent to add a make or line of new
3    motor vehicles to the manufacturer. If the manufacturer
4    does not respond to the motor vehicle dealer, in writing,
5    objecting to the addition of the make or line within 60
6    days after the date that the motor vehicle dealer sends
7    the written notification, then the manufacturer shall be
8    deemed to have approved the addition of the make or line;
9        (9) to use or consider the performance of a motor
10    vehicle dealer relating to the sale of the manufacturer's,
11    distributor's, or wholesaler's vehicles or the motor
12    vehicle dealer's ability to satisfy any minimum sales or
13    market share quota or responsibility relating to the sale
14    of the manufacturer's, distributor's, or wholesaler's new
15    vehicles in determining:
16            (A) the motor vehicle dealer's eligibility to
17        purchase program, certified, or other used motor
18        vehicles from the manufacturer, distributor, or
19        wholesaler;
20            (B) the volume, type, or model of program,
21        certified, or other used motor vehicles that a motor
22        vehicle dealer is eligible to purchase from the
23        manufacturer, distributor, or wholesaler;
24            (C) the price of any program, certified, or other
25        used motor vehicle that the dealer is eligible to
26        purchase from the manufacturer, distributor, or

 

 

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1        wholesaler; or
2            (D) the availability or amount of any discount,
3        credit, rebate, or sales incentive that the dealer is
4        eligible to receive from the manufacturer,
5        distributor, or wholesaler for the purchase of any
6        program, certified, or other used motor vehicle
7        offered for sale by the manufacturer, distributor, or
8        wholesaler;
9        (10) to take any adverse action against a dealer
10    pursuant to an export or sale-for-resale prohibition
11    because the dealer sold or leased a vehicle to a customer
12    who either exported the vehicle to a foreign country or
13    resold the vehicle in violation of the prohibition, unless
14    the export or sale-for-resale prohibition policy was
15    provided to the dealer in writing either electronically or
16    on paper, prior to the sale or lease, and the dealer knew
17    or reasonably should have known of the customer's intent
18    to export or resell the vehicle in violation of the
19    prohibition at the time of the sale or lease. If the dealer
20    causes the vehicle to be registered and titled in this or
21    any other state, and collects or causes to be collected
22    any applicable sales or use tax to this State, a
23    rebuttable presumption is established that the dealer did
24    not have reason to know of the customer's intent to resell
25    the vehicle;
26        (11) to coerce or require any dealer to construct

 

 

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1    improvements to his or her facilities or to install new
2    signs or other franchiser image elements that replace or
3    substantially alter those improvements, signs, or
4    franchiser image elements completed within the past 10
5    years that were required and approved by the manufacturer
6    or one of its affiliates. The 10-year period under this
7    paragraph (11) begins to run for a dealer, including that
8    dealer's successors and assigns, on the date that the
9    manufacturer gives final written approval of the facility
10    improvements or installation of signs or other franchiser
11    image elements or the date that the dealer receives a
12    certificate of occupancy, whichever is later. For the
13    purpose of this paragraph (11), the term "substantially
14    alter" does not include routine maintenance, including,
15    but not limited to, interior painting, that is reasonably
16    necessary to keep a dealer facility in attractive
17    condition; or
18        (12) to require a dealer to purchase goods or services
19    to make improvements to the dealer's facilities from a
20    vendor selected, identified, or designated by a
21    manufacturer or one of its affiliates by agreement,
22    program, incentive provision, or otherwise without making
23    available to the dealer the option to obtain the goods or
24    services of substantially similar quality and overall
25    design from a vendor chosen by the dealer and approved by
26    the manufacturer; however, approval by the manufacturer

 

 

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1    shall not be unreasonably withheld, and the dealer's
2    option to select a vendor shall not be available if the
3    manufacturer provides substantial reimbursement for the
4    goods or services offered. "Substantial reimbursement"
5    means an amount equal to or greater than the cost savings
6    that would result if the dealer were to utilize a vendor of
7    the dealer's own selection instead of using the vendor
8    identified by the manufacturer. For the purpose of this
9    paragraph (12), the term "goods" does not include movable
10    displays, brochures, and promotional materials containing
11    material subject to the intellectual property rights of a
12    manufacturer. If signs, other than signs containing the
13    manufacturer's brand or logo or free-standing signs that
14    are not directly attached to a building, or other
15    franchiser image or design elements or trade dress are to
16    be leased to the dealer by a vendor selected, identified,
17    or designated by the manufacturer, the dealer has the
18    right to purchase the signs or other franchiser image or
19    design elements or trade dress of substantially similar
20    quality and design from a vendor selected by the dealer if
21    the signs, franchiser image or design elements, or trade
22    dress are approved by the manufacturer. Approval by the
23    manufacturer shall not be unreasonably withheld. This
24    paragraph (12) shall not be construed to allow a dealer or
25    vendor to impair, infringe upon, or eliminate, directly or
26    indirectly, the intellectual property rights of the

 

 

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1    manufacturer, including, but not limited to, the
2    manufacturer's intellectual property rights in any
3    trademarks or trade dress, or other intellectual property
4    interests owned or controlled by the manufacturer. This
5    paragraph (12) shall not be construed to permit a dealer
6    to erect or maintain signs that do not conform to the
7    manufacturer's intellectual property rights or trademark
8    or trade dress usage guidelines.
9    (e) It shall be deemed a violation for a manufacturer, a
10distributor, a wholesaler, a distributor branch or division or
11officer, agent or other representative thereof:
12        (1) to resort to or use any false or misleading
13    advertisement in connection with his business as such
14    manufacturer, distributor, wholesaler, distributor branch
15    or division or officer, agent or other representative
16    thereof;
17        (2) to offer to sell or lease, or to sell or lease, any
18    new motor vehicle to any motor vehicle dealer at a lower
19    actual price therefor than the actual price offered to any
20    other motor vehicle dealer for the same model vehicle
21    similarly equipped or to utilize any device including, but
22    not limited to, sales promotion plans or programs which
23    result in such lesser actual price or fail to make
24    available to any motor vehicle dealer any preferential
25    pricing, incentive, rebate, finance rate, or low interest
26    loan program offered to competing motor vehicle dealers in

 

 

HB3914 Engrossed- 310 -LRB102 16820 RJF 22223 b

1    other contiguous states. However, the provisions of this
2    paragraph shall not apply to sales to a motor vehicle
3    dealer for resale to any unit of the United States
4    Government, the State or any of its political
5    subdivisions;
6        (3) to offer to sell or lease, or to sell or lease, any
7    new motor vehicle to any person, except a wholesaler,
8    distributor or manufacturer's employees at a lower actual
9    price therefor than the actual price offered and charged
10    to a motor vehicle dealer for the same model vehicle
11    similarly equipped or to utilize any device which results
12    in such lesser actual price. However, the provisions of
13    this paragraph shall not apply to sales to a motor vehicle
14    dealer for resale to any unit of the United States
15    Government, the State or any of its political
16    subdivisions;
17        (4) to prevent or attempt to prevent by contract or
18    otherwise any motor vehicle dealer or franchisee from
19    changing the executive management control of the motor
20    vehicle dealer or franchisee unless the franchiser, having
21    the burden of proof, proves that such change of executive
22    management will result in executive management control by
23    a person or persons who are not of good moral character or
24    who do not meet the franchiser's existing and, with
25    consideration given to the volume of sales and service of
26    the dealership, uniformly applied minimum business

 

 

HB3914 Engrossed- 311 -LRB102 16820 RJF 22223 b

1    experience standards in the market area. However, where
2    the manufacturer rejects a proposed change in executive
3    management control, the manufacturer shall give written
4    notice of his reasons to the dealer within 60 days of
5    notice to the manufacturer by the dealer of the proposed
6    change. If the manufacturer does not send a letter to the
7    franchisee by certified mail, return receipt requested,
8    within 60 days from receipt by the manufacturer of the
9    proposed change, then the change of the executive
10    management control of the franchisee shall be deemed
11    accepted as proposed by the franchisee, and the
12    manufacturer shall give immediate effect to such change;
13        (5) to prevent or attempt to prevent by contract or
14    otherwise any motor vehicle dealer from establishing or
15    changing the capital structure of his dealership or the
16    means by or through which he finances the operation
17    thereof; provided the dealer meets any reasonable capital
18    standards agreed to between the dealer and the
19    manufacturer, distributor or wholesaler, who may require
20    that the sources, method and manner by which the dealer
21    finances or intends to finance its operation, equipment or
22    facilities be fully disclosed;
23        (6) to refuse to give effect to or prevent or attempt
24    to prevent by contract or otherwise any motor vehicle
25    dealer or any officer, partner or stockholder of any motor
26    vehicle dealer from selling or transferring any part of

 

 

HB3914 Engrossed- 312 -LRB102 16820 RJF 22223 b

1    the interest of any of them to any other person or persons
2    or party or parties unless such sale or transfer is to a
3    transferee who would not otherwise qualify for a new motor
4    vehicle dealers license under the Illinois Vehicle Code or
5    unless the franchiser, having the burden of proof, proves
6    that such sale or transfer is to a person or party who is
7    not of good moral character or does not meet the
8    franchiser's existing and reasonable capital standards
9    and, with consideration given to the volume of sales and
10    service of the dealership, uniformly applied minimum
11    business experience standards in the market area. However,
12    nothing herein shall be construed to prevent a franchiser
13    from implementing positive action affirmative action
14    programs providing business opportunities for minorities
15    or from complying with applicable federal, State or local
16    law:
17            (A) If the manufacturer intends to refuse to
18        approve the sale or transfer of all or a part of the
19        interest, then it shall, within 60 days from receipt
20        of the completed application forms generally utilized
21        by a manufacturer to conduct its review and a copy of
22        all agreements regarding the proposed transfer, send a
23        letter by certified mail, return receipt requested,
24        advising the franchisee of any refusal to approve the
25        sale or transfer of all or part of the interest and
26        shall state that the dealer only has 30 days from the

 

 

HB3914 Engrossed- 313 -LRB102 16820 RJF 22223 b

1        receipt of the notice to file with the Motor Vehicle
2        Review Board a written protest against the proposed
3        action. The notice shall set forth specific criteria
4        used to evaluate the prospective transferee and the
5        grounds for refusing to approve the sale or transfer
6        to that transferee. Within 30 days from the
7        franchisee's receipt of the manufacturer's notice, the
8        franchisee may file with the Board a written protest
9        against the proposed action.
10            When a protest has been timely filed, the Board
11        shall enter an order, fixing the date (within 60 days
12        of the date of such order), time, and place of a
13        hearing on the protest, required under Sections 12 and
14        29 of this Act, and send by certified mail, return
15        receipt requested, a copy of the order to the
16        manufacturer that filed notice of intention of the
17        proposed action and to the protesting franchisee.
18            The manufacturer shall have the burden of proof to
19        establish that good cause exists to refuse to approve
20        the sale or transfer to the transferee. The
21        determination whether good cause exists to refuse to
22        approve the sale or transfer shall be made by the Board
23        under subdivisions (6)(B). The manufacturer shall not
24        refuse to approve the sale or transfer by a dealer or
25        an officer, partner, or stockholder of a franchise or
26        any part of the interest to any person or persons

 

 

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1        before the hearing process is concluded as prescribed
2        by this Act, and thereafter if the Board determines
3        that the manufacturer has failed to meet its burden of
4        proof and that good cause does not exist to refuse to
5        approve the sale or transfer to the transferee.
6            (B) Good cause to refuse to approve such sale or
7        transfer under this Section is established when such
8        sale or transfer is to a transferee who would not
9        otherwise qualify for a new motor vehicle dealers
10        license under the Illinois Vehicle Code or such sale
11        or transfer is to a person or party who is not of good
12        moral character or does not meet the franchiser's
13        existing and reasonable capital standards and, with
14        consideration given to the volume of sales and service
15        of the dealership, uniformly applied minimum business
16        experience standards in the market area.
17        (7) to obtain money, goods, services, anything of
18    value, or any other benefit from any other person with
19    whom the motor vehicle dealer does business, on account of
20    or in relation to the transactions between the dealer and
21    the other person as compensation, except for services
22    actually rendered, unless such benefit is promptly
23    accounted for and transmitted to the motor vehicle dealer;
24        (8) to grant an additional franchise in the relevant
25    market area of an existing franchise of the same line make
26    or to relocate an existing motor vehicle dealership within

 

 

HB3914 Engrossed- 315 -LRB102 16820 RJF 22223 b

1    or into a relevant market area of an existing franchise of
2    the same line make. However, if the manufacturer wishes to
3    grant such an additional franchise to an independent
4    person in a bona fide relationship in which such person is
5    prepared to make a significant investment subject to loss
6    in such a dealership, or if the manufacturer wishes to
7    relocate an existing motor vehicle dealership, then the
8    manufacturer shall send a letter by certified mail, return
9    receipt requested, to each existing dealer or dealers of
10    the same line make whose relevant market area includes the
11    proposed location of the additional or relocated franchise
12    at least 60 days before the manufacturer grants an
13    additional franchise or relocates an existing franchise of
14    the same line make within or into the relevant market area
15    of an existing franchisee of the same line make. Each
16    notice shall set forth the specific grounds for the
17    proposed grant of an additional or relocation of an
18    existing franchise and shall state that the dealer has
19    only 30 days from the date of receipt of the notice to file
20    with the Motor Vehicle Review Board a written protest
21    against the proposed action. Unless the parties agree upon
22    the grant or establishment of the additional or relocated
23    franchise within 30 days from the date the notice was
24    received by the existing franchisee of the same line make
25    or any person entitled to receive such notice, the
26    franchisee or other person may file with the Board a

 

 

HB3914 Engrossed- 316 -LRB102 16820 RJF 22223 b

1    written protest against the grant or establishment of the
2    proposed additional or relocated franchise.
3        When a protest has been timely filed, the Board shall
4    enter an order fixing a date (within 60 days of the date of
5    the order), time, and place of a hearing on the protest,
6    required under Sections 12 and 29 of this Act, and send by
7    certified or registered mail, return receipt requested, a
8    copy of the order to the manufacturer that filed the
9    notice of intention to grant or establish the proposed
10    additional or relocated franchise and to the protesting
11    dealer or dealers of the same line make whose relevant
12    market area includes the proposed location of the
13    additional or relocated franchise.
14        When more than one protest is filed against the grant
15    or establishment of the additional or relocated franchise
16    of the same line make, the Board may consolidate the
17    hearings to expedite disposition of the matter. The
18    manufacturer shall have the burden of proof to establish
19    that good cause exists to allow the grant or establishment
20    of the additional or relocated franchise. The manufacturer
21    may not grant or establish the additional franchise or
22    relocate the existing franchise before the hearing process
23    is concluded as prescribed by this Act, and thereafter if
24    the Board determines that the manufacturer has failed to
25    meet its burden of proof and that good cause does not exist
26    to allow the grant or establishment of the additional

 

 

HB3914 Engrossed- 317 -LRB102 16820 RJF 22223 b

1    franchise or relocation of the existing franchise.
2        The determination whether good cause exists for
3    allowing the grant or establishment of an additional
4    franchise or relocated existing franchise, shall be made
5    by the Board under subsection (c) of Section 12 of this
6    Act. If the manufacturer seeks to enter into a contract,
7    agreement or other arrangement with any person,
8    establishing any additional motor vehicle dealership or
9    other facility, limited to the sale of factory repurchase
10    vehicles or late model vehicles, then the manufacturer
11    shall follow the notice procedures set forth in this
12    Section and the determination whether good cause exists
13    for allowing the proposed agreement shall be made by the
14    Board under subsection (c) of Section 12, with the
15    manufacturer having the burden of proof.
16            A. (Blank).
17            B. For the purposes of this Section, appointment
18        of a successor motor vehicle dealer at the same
19        location as its predecessor, or within 2 miles of such
20        location, or the relocation of an existing dealer or
21        franchise within 2 miles of the relocating dealer's or
22        franchisee's existing location, shall not be construed
23        as a grant, establishment or the entering into of an
24        additional franchise or selling agreement, or a
25        relocation of an existing franchise. The reopening of
26        a motor vehicle dealership that has not been in

 

 

HB3914 Engrossed- 318 -LRB102 16820 RJF 22223 b

1        operation for 18 months or more shall be deemed the
2        grant of an additional franchise or selling agreement.
3            C. This Section does not apply to the relocation
4        of an existing dealership or franchise in a county
5        having a population of more than 300,000 persons when
6        the new location is within the dealer's current
7        relevant market area, provided the new location is
8        more than 7 miles from the nearest dealer of the same
9        line make. This Section does not apply to the
10        relocation of an existing dealership or franchise in a
11        county having a population of less than 300,000
12        persons when the new location is within the dealer's
13        current relevant market area, provided the new
14        location is more than 12 miles from the nearest dealer
15        of the same line make. A dealer that would be farther
16        away from the new location of an existing dealership
17        or franchise of the same line make after a relocation
18        may not file a written protest against the relocation
19        with the Motor Vehicle Review Board.
20            D. Nothing in this Section shall be construed to
21        prevent a franchiser from implementing positive action
22        affirmative action programs providing business
23        opportunities for minorities or from complying with
24        applicable federal, State or local law;
25        (9) to require a motor vehicle dealer to assent to a
26    release, assignment, novation, waiver or estoppel which

 

 

HB3914 Engrossed- 319 -LRB102 16820 RJF 22223 b

1    would relieve any person from liability imposed by this
2    Act;
3        (10) to prevent or refuse to give effect to the
4    succession to the ownership or management control of a
5    dealership by any legatee under the will of a dealer or to
6    an heir under the laws of descent and distribution of this
7    State unless the franchisee has designated a successor to
8    the ownership or management control under the succession
9    provisions of the franchise. Unless the franchiser, having
10    the burden of proof, proves that the successor is a person
11    who is not of good moral character or does not meet the
12    franchiser's existing and reasonable capital standards
13    and, with consideration given to the volume of sales and
14    service of the dealership, uniformly applied minimum
15    business experience standards in the market area, any
16    designated successor of a dealer or franchisee may succeed
17    to the ownership or management control of a dealership
18    under the existing franchise if:
19                (i) The designated successor gives the
20            franchiser written notice by certified mail,
21            return receipt requested, of his or her intention
22            to succeed to the ownership of the dealer within
23            60 days of the dealer's death or incapacity; and
24                (ii) The designated successor agrees to be
25            bound by all the terms and conditions of the
26            existing franchise.

 

 

HB3914 Engrossed- 320 -LRB102 16820 RJF 22223 b

1        Notwithstanding the foregoing, in the event the motor
2    vehicle dealer or franchisee and manufacturer have duly
3    executed an agreement concerning succession rights prior
4    to the dealer's death or incapacitation, the agreement
5    shall be observed.
6            (A) If the franchiser intends to refuse to honor
7        the successor to the ownership of a deceased or
8        incapacitated dealer or franchisee under an existing
9        franchise agreement, the franchiser shall send a
10        letter by certified mail, return receipt requested, to
11        the designated successor within 60 days from receipt
12        of a proposal advising of its intent to refuse to honor
13        the succession and to discontinue the existing
14        franchise agreement and shall state that the
15        designated successor only has 30 days from the receipt
16        of the notice to file with the Motor Vehicle Review
17        Board a written protest against the proposed action.
18        The notice shall set forth the specific grounds for
19        the refusal to honor the succession and discontinue
20        the existing franchise agreement.
21            If notice of refusal is not timely served upon the
22        designated successor, the franchise agreement shall
23        continue in effect subject to termination only as
24        otherwise permitted by paragraph (6) of subsection (d)
25        of Section 4 of this Act.
26            Within 30 days from the date the notice was

 

 

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1        received by the designated successor or any other
2        person entitled to notice, the designee or other
3        person may file with the Board a written protest
4        against the proposed action.
5            When a protest has been timely filed, the Board
6        shall enter an order, fixing a date (within 60 days of
7        the date of the order), time, and place of a hearing on
8        the protest, required under Sections 12 and 29 of this
9        Act, and send by certified mail, return receipt
10        requested, a copy of the order to the franchiser that
11        filed the notice of intention of the proposed action
12        and to the protesting designee or such other person.
13            The manufacturer shall have the burden of proof to
14        establish that good cause exists to refuse to honor
15        the succession and discontinue the existing franchise
16        agreement. The determination whether good cause exists
17        to refuse to honor the succession shall be made by the
18        Board under subdivision (B) of this paragraph (10).
19        The manufacturer shall not refuse to honor the
20        succession or discontinue the existing franchise
21        agreement before the hearing process is concluded as
22        prescribed by this Act, and thereafter if the Board
23        determines that it has failed to meet its burden of
24        proof and that good cause does not exist to refuse to
25        honor the succession and discontinue the existing
26        franchise agreement.

 

 

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1            (B) No manufacturer shall impose any conditions
2        upon honoring the succession and continuing the
3        existing franchise agreement with the designated
4        successor other than that the franchisee has
5        designated a successor to the ownership or management
6        control under the succession provisions of the
7        franchise, or that the designated successor is of good
8        moral character or meets the reasonable capital
9        standards and, with consideration given to the volume
10        of sales and service of the dealership, uniformly
11        applied minimum business experience standards in the
12        market area;
13        (11) to prevent or refuse to approve a proposal to
14    establish a successor franchise at a location previously
15    approved by the franchiser when submitted with the
16    voluntary termination by the existing franchisee unless
17    the successor franchisee would not otherwise qualify for a
18    new motor vehicle dealer's license under the Illinois
19    Vehicle Code or unless the franchiser, having the burden
20    of proof, proves that such proposed successor is not of
21    good moral character or does not meet the franchiser's
22    existing and reasonable capital standards and, with
23    consideration given to the volume of sales and service of
24    the dealership, uniformly applied minimum business
25    experience standards in the market area. However, when
26    such a rejection of a proposal is made, the manufacturer

 

 

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1    shall give written notice of its reasons to the franchisee
2    within 60 days of receipt by the manufacturer of the
3    proposal. However, nothing herein shall be construed to
4    prevent a franchiser from implementing positive action
5    affirmative action programs providing business
6    opportunities for minorities, or from complying with
7    applicable federal, State or local law;
8        (12) to prevent or refuse to grant a franchise to a
9    person because such person owns, has investment in or
10    participates in the management of or holds a franchise for
11    the sale of another make or line of motor vehicles within 7
12    miles of the proposed franchise location in a county
13    having a population of more than 300,000 persons, or
14    within 12 miles of the proposed franchise location in a
15    county having a population of less than 300,000 persons;
16        (13) to prevent or attempt to prevent any new motor
17    vehicle dealer from establishing any additional motor
18    vehicle dealership or other facility limited to the sale
19    of factory repurchase vehicles or late model vehicles or
20    otherwise offering for sale factory repurchase vehicles of
21    the same line make at an existing franchise by failing to
22    make available any contract, agreement or other
23    arrangement which is made available or otherwise offered
24    to any person; or
25        (14) to exercise a right of first refusal or other
26    right to acquire a franchise from a dealer, unless the

 

 

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1    manufacturer:
2            (A) notifies the dealer in writing that it intends
3        to exercise its right to acquire the franchise not
4        later than 60 days after the manufacturer's or
5        distributor's receipt of a notice of the proposed
6        transfer from the dealer and all information and
7        documents reasonably and customarily required by the
8        manufacturer or distributor supporting the proposed
9        transfer;
10            (B) pays to the dealer the same or greater
11        consideration as the dealer has contracted to receive
12        in connection with the proposed transfer or sale of
13        all or substantially all of the dealership assets,
14        stock, or other ownership interest, including the
15        purchase or lease of all real property, leasehold, or
16        improvements related to the transfer or sale of the
17        dealership. Upon exercise of the right of first
18        refusal or such other right, the manufacturer or
19        distributor shall have the right to assign the lease
20        or to convey the real property;
21            (C) assumes all of the duties, obligations, and
22        liabilities contained in the agreements that were to
23        be assumed by the proposed transferee and with respect
24        to which the manufacturer or distributor exercised the
25        right of first refusal or other right to acquire the
26        franchise;

 

 

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1            (D) reimburses the proposed transferee for all
2        reasonable expenses incurred in evaluating,
3        investigating, and negotiating the transfer of the
4        dealership prior to the manufacturer's or
5        distributor's exercise of its right of first refusal
6        or other right to acquire the dealership. For purposes
7        of this paragraph, "reasonable expenses" includes the
8        usual and customary legal and accounting fees charged
9        for similar work, as well as expenses associated with
10        the evaluation and investigation of any real property
11        on which the dealership is operated. The proposed
12        transferee shall submit an itemized list of its
13        expenses to the manufacturer or distributor not later
14        than 30 days after the manufacturer's or distributor's
15        exercise of the right of first refusal or other right
16        to acquire the motor vehicle franchise. The
17        manufacturer or distributor shall reimburse the
18        proposed transferee for its expenses not later than 90
19        days after receipt of the itemized list. A
20        manufacturer or distributor may request to be provided
21        with the itemized list of expenses before exercising
22        the manufacturer's or distributor's right of first
23        refusal.
24        Except as provided in this paragraph (14), neither the
25    selling dealer nor the manufacturer or distributor shall
26    have any liability to any person as a result of a

 

 

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1    manufacturer or distributor exercising its right of first
2    refusal.
3        For the purpose of this paragraph, "proposed
4    transferee" means the person to whom the franchise would
5    have been transferred to, or was proposed to be
6    transferred to, had the right of first refusal or other
7    right to acquire the franchise not been exercised by the
8    manufacturer or distributor.
9    (f) It is deemed a violation for a manufacturer, a
10distributor, a wholesaler, a distributor branch or division, a
11factory branch or division, or a wholesale branch or division,
12or officer, agent, broker, shareholder, except a shareholder
13of 1% or less of the outstanding shares of any class of
14securities of a manufacturer, distributor, or wholesaler which
15is a publicly traded corporation, or other representative,
16directly or indirectly, to own or operate a place of business
17as a motor vehicle franchisee or motor vehicle financing
18affiliate, except that, this subsection shall not prohibit:
19        (1) the ownership or operation of a place of business
20    by a manufacturer, distributor, or wholesaler for a
21    period, not to exceed 18 months, during the transition
22    from one motor vehicle franchisee to another;
23        (2) the investment in a motor vehicle franchisee by a
24    manufacturer, distributor, or wholesaler if the investment
25    is for the sole purpose of enabling a partner or
26    shareholder in that motor vehicle franchisee to acquire an

 

 

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1    interest in that motor vehicle franchisee and that partner
2    or shareholder is not otherwise employed by or associated
3    with the manufacturer, distributor, or wholesaler and
4    would not otherwise have the requisite capital investment
5    funds to invest in the motor vehicle franchisee, and has
6    the right to purchase the entire equity interest of the
7    manufacturer, distributor, or wholesaler in the motor
8    vehicle franchisee within a reasonable period of time not
9    to exceed 5 years; or
10        (3) the ownership or operation of a place of business
11    by a manufacturer that manufactures only diesel engines
12    for installation in trucks having a gross vehicle weight
13    rating of more than 16,000 pounds that are required to be
14    registered under the Illinois Vehicle Code, provided that:
15            (A) the manufacturer does not otherwise
16        manufacture, distribute, or sell motor vehicles as
17        defined under Section 1-217 of the Illinois Vehicle
18        Code;
19            (B) the manufacturer owned a place of business and
20        it was in operation as of January 1, 2016;
21            (C) the manufacturer complies with all obligations
22        owed to dealers that are not owned, operated, or
23        controlled by the manufacturer, including, but not
24        limited to those obligations arising pursuant to
25        Section 6;
26            (D) to further avoid any acts or practices, the

 

 

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1        effect of which may be to lessen or eliminate
2        competition, the manufacturer provides to dealers on
3        substantially equal terms access to all support for
4        completing repairs, including, but not limited to,
5        parts and assemblies, training, and technical service
6        bulletins, and other information concerning repairs
7        that the manufacturer provides to facilities that are
8        owned, operated, or controlled by the manufacturer;
9        and
10            (E) the manufacturer does not require that
11        warranty repair work be performed by a
12        manufacturer-owned repair facility and the
13        manufacturer provides any dealer that has an agreement
14        with the manufacturer to sell and perform warranty
15        repairs on the manufacturer's engines the opportunity
16        to perform warranty repairs on those engines,
17        regardless of whether the dealer sold the truck into
18        which the engine was installed.
19    (g) Notwithstanding the terms, provisions, or conditions
20of any agreement or waiver, it shall be deemed a violation for
21a manufacturer, a distributor, a wholesaler, a distributor
22branch or division, a factory branch or division, or a
23wholesale branch or division, or officer, agent or other
24representative thereof, to directly or indirectly condition
25the awarding of a franchise to a prospective new motor vehicle
26dealer, the addition of a line make or franchise to an existing

 

 

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1dealer, the renewal of a franchise of an existing dealer, the
2approval of the relocation of an existing dealer's facility,
3or the approval of the sale or transfer of the ownership of a
4franchise on the willingness of a dealer, proposed new dealer,
5or owner of an interest in the dealership facility to enter
6into a site control agreement or exclusive use agreement
7unless separate and reasonable consideration was offered and
8accepted for that agreement.
9    For purposes of this subsection (g), the terms "site
10control agreement" and "exclusive use agreement" include any
11agreement that has the effect of either (i) requiring that the
12dealer establish or maintain exclusive dealership facilities;
13or (ii) restricting the ability of the dealer, or the ability
14of the dealer's lessor in the event the dealership facility is
15being leased, to transfer, sell, lease, or change the use of
16the dealership premises, whether by sublease, lease,
17collateral pledge of lease, or other similar agreement. "Site
18control agreement" and "exclusive use agreement" also include
19a manufacturer restricting the ability of a dealer to
20transfer, sell, or lease the dealership premises by right of
21first refusal to purchase or lease, option to purchase, or
22option to lease if the transfer, sale, or lease of the
23dealership premises is to a person who is an immediate family
24member of the dealer. For the purposes of this subsection (g),
25"immediate family member" means a spouse, parent, son,
26daughter, son-in-law, daughter-in-law, brother, and sister.

 

 

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1    If a manufacturer exercises any right of first refusal to
2purchase or lease or option to purchase or lease with regard to
3a transfer, sale, or lease of the dealership premises to a
4person who is not an immediate family member of the dealer,
5then (1) within 60 days from the receipt of the completed
6application forms generally utilized by a manufacturer to
7conduct its review and a copy of all agreements regarding the
8proposed transfer, the manufacturer must notify the dealer of
9its intent to exercise the right of first refusal to purchase
10or lease or option to purchase or lease and (2) the exercise of
11the right of first refusal to purchase or lease or option to
12purchase or lease must result in the dealer receiving
13consideration, terms, and conditions that either are the same
14as or greater than that which they have contracted to receive
15in connection with the proposed transfer, sale, or lease of
16the dealership premises.
17    Any provision contained in any agreement entered into on
18or after November 25, 2009 (the effective date of Public Act
1996-824) that is inconsistent with the provisions of this
20subsection (g) shall be voidable at the election of the
21affected dealer, prospective dealer, or owner of an interest
22in the dealership facility.
23    (h) For purposes of this subsection:
24    "Successor manufacturer" means any motor vehicle
25manufacturer that, on or after January 1, 2009, acquires,
26succeeds to, or assumes any part of the business of another

 

 

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1manufacturer, referred to as the "predecessor manufacturer",
2as the result of any of the following:
3        (i) A change in ownership, operation, or control of
4    the predecessor manufacturer by sale or transfer of
5    assets, corporate stock or other equity interest,
6    assignment, merger, consolidation, combination, joint
7    venture, redemption, court-approved sale, operation of law
8    or otherwise.
9        (ii) The termination, suspension, or cessation of a
10    part or all of the business operations of the predecessor
11    manufacturer.
12        (iii) The discontinuance of the sale of the product
13    line.
14        (iv) A change in distribution system by the
15    predecessor manufacturer, whether through a change in
16    distributor or the predecessor manufacturer's decision to
17    cease conducting business through a distributor
18    altogether.
19    "Former Franchisee" means a new motor vehicle dealer that
20has entered into a franchise with a predecessor manufacturer
21and that has either:
22        (i) entered into a termination agreement or deferred
23    termination agreement with a predecessor or successor
24    manufacturer related to such franchise; or
25        (ii) has had such franchise canceled, terminated,
26    nonrenewed, noncontinued, rejected, nonassumed, or

 

 

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1    otherwise ended.
2    For a period of 3 years from: (i) the date that a successor
3manufacturer acquires, succeeds to, or assumes any part of the
4business of a predecessor manufacturer; (ii) the last day that
5a former franchisee is authorized to remain in business as a
6franchised dealer with respect to a particular franchise under
7a termination agreement or deferred termination agreement with
8a predecessor or successor manufacturer; (iii) the last day
9that a former franchisee that was cancelled, terminated,
10nonrenewed, noncontinued, rejected, nonassumed, or otherwise
11ended by a predecessor or successor manufacturer is authorized
12to remain in business as a franchised dealer with respect to a
13particular franchise; or (iv) November 25, 2009 (the effective
14date of Public Act 96-824), whichever is latest, it shall be
15unlawful for such successor manufacturer to enter into a same
16line make franchise with any person or to permit the
17relocation of any existing same line make franchise, for a
18line make of the predecessor manufacturer that would be
19located or relocated within the relevant market area of a
20former franchisee who owned or leased a dealership facility in
21that relevant market area without first offering the
22additional or relocated franchise to the former franchisee, or
23the designated successor of such former franchisee in the
24event the former franchisee is deceased or a person with a
25disability, at no cost and without any requirements or
26restrictions other than those imposed generally on the

 

 

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1manufacturer's other franchisees at that time, unless one of
2the following applies:
3        (1) As a result of the former franchisee's
4    cancellation, termination, noncontinuance, or nonrenewal
5    of the franchise, the predecessor manufacturer had
6    consolidated the line make with another of its line makes
7    for which the predecessor manufacturer had a franchisee
8    with a then-existing dealership facility located within
9    that relevant market area.
10        (2) The successor manufacturer has paid the former
11    franchisee, or the designated successor of such former
12    franchisee in the event the former franchisee is deceased
13    or a person with a disability, the fair market value of the
14    former franchisee's franchise on (i) the date the
15    franchiser announces the action which results in the
16    termination, cancellation, or nonrenewal; or (ii) the date
17    the action which results in termination, cancellation, or
18    nonrenewal first became general knowledge; or (iii) the
19    day 12 months prior to the date on which the notice of
20    termination, cancellation, or nonrenewal is issued,
21    whichever amount is higher. Payment is due within 90 days
22    of the effective date of the termination, cancellation, or
23    nonrenewal. If the termination, cancellation, or
24    nonrenewal is due to a manufacturer's change in
25    distributors, the manufacturer may avoid paying fair
26    market value to the dealer if the new distributor or the

 

 

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1    manufacturer offers the dealer a franchise agreement with
2    terms acceptable to the dealer.
3        (3) The successor manufacturer proves that it would
4    have had good cause to terminate the franchise agreement
5    of the former franchisee, or the successor of the former
6    franchisee under item (e)(10) in the event that the former
7    franchisee is deceased or a person with a disability. The
8    determination of whether the successor manufacturer would
9    have had good cause to terminate the franchise agreement
10    of the former franchisee, or the successor of the former
11    franchisee, shall be made by the Board under subsection
12    (d) of Section 12. A successor manufacturer that seeks to
13    assert that it would have had good cause to terminate a
14    former franchisee, or the successor of the former
15    franchisee, must file a petition seeking a hearing on this
16    issue before the Board and shall have the burden of
17    proving that it would have had good cause to terminate the
18    former franchisee or the successor of the former
19    franchisee. No successor dealer, other than the former
20    franchisee, may be appointed or franchised by the
21    successor manufacturer within the relevant market area of
22    the former franchisee until the Board has held a hearing
23    and rendered a determination on the issue of whether the
24    successor manufacturer would have had good cause to
25    terminate the former franchisee.
26    In the event that a successor manufacturer attempts to

 

 

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1enter into a same line make franchise with any person or to
2permit the relocation of any existing line make franchise
3under this subsection (h) at a location that is within the
4relevant market area of 2 or more former franchisees, then the
5successor manufacturer may not offer it to any person other
6than one of those former franchisees unless the successor
7manufacturer can prove that at least one of the 3 exceptions in
8items (1), (2), and (3) of this subsection (h) applies to each
9of those former franchisees.
10(Source: P.A. 99-143, eff. 7-27-15; 99-844, eff. 8-19-16;
11100-201, eff. 8-18-17; 100-308, eff. 8-24-17; 100-863, eff.
128-14-18.)

 

 

HB3914 Engrossed- 336 -LRB102 16820 RJF 22223 b

1 INDEX
2 Statutes amended in order of appearance
3    New Act
4    10 ILCS 5/7-14.1from Ch. 46, par. 7-14.1
5    15 ILCS 310/18from Ch. 124, par. 118
6    15 ILCS 410/18from Ch. 15, par. 453
7    20 ILCS 30/20
8    20 ILCS 105/4.01from Ch. 23, par. 6104.01
9    20 ILCS 405/405-125was 20 ILCS 405/67.31
10    20 ILCS 415/8b.3from Ch. 127, par. 63b108b.3
11    20 ILCS 620/3from Ch. 67 1/2, par. 1003
12    20 ILCS 665/13afrom Ch. 127, par. 200-33a
13    20 ILCS 2310/2310-213
14    20 ILCS 3990/9from Ch. 48, par. 2609
15    25 ILCS 130/1-2from Ch. 63, par. 1001-2
16    25 ILCS 130/1-4from Ch. 63, par. 1001-4
17    30 ILCS 535/80from Ch. 127, par. 4151-80
18    50 ILCS 615/10
19    50 ILCS 742/10
20    55 ILCS 85/3from Ch. 34, par. 7003
21    65 ILCS 5/11-74.4-3from Ch. 24, par. 11-74.4-3
22    65 ILCS 5/11-74.6-10
23    65 ILCS 110/10
24    70 ILCS 210/23.1from Ch. 85, par. 1243.1
25    70 ILCS 210/26from Ch. 85, par. 1246

 

 

HB3914 Engrossed- 337 -LRB102 16820 RJF 22223 b

1    70 ILCS 810/14from Ch. 96 1/2, par. 6417
2    70 ILCS 1505/16afrom Ch. 105, par. 333.16a
3    70 ILCS 2605/11.3from Ch. 42, par. 331.3
4    70 ILCS 3205/9from Ch. 85, par. 6009
5    70 ILCS 3210/40
6    70 ILCS 3615/2.02from Ch. 111 2/3, par. 702.02
7    70 ILCS 3615/2.14from Ch. 111 2/3, par. 702.14
8    70 ILCS 3615/3A.05from Ch. 111 2/3, par. 703A.05
9    70 ILCS 3615/3B.05from Ch. 111 2/3, par. 703B.05
10    105 ILCS 5/10-23.5from Ch. 122, par. 10-23.5
11    105 ILCS 5/24-12from Ch. 122, par. 24-12
12    110 ILCS 205/9.21from Ch. 144, par. 189.21
13    230 ILCS 5/12.1from Ch. 8, par. 37-12.1
14    230 ILCS 5/20from Ch. 8, par. 37-20
15    230 ILCS 10/5.1from Ch. 120, par. 2405.1
16    230 ILCS 10/7from Ch. 120, par. 2407
17    230 ILCS 10/7.11
18    620 ILCS 65/27
19    775 ILCS 5/1-101.1
20    775 ILCS 5/1-102from Ch. 68, par. 1-102
21    775 ILCS 5/1-103from Ch. 68, par. 1-103
22    775 ILCS 5/2-105from Ch. 68, par. 2-105
23    775 ILCS 5/2-106
24    775 ILCS 5/7-101from Ch. 68, par. 7-101
25    775 ILCS 5/7-105from Ch. 68, par. 7-105
26    775 ILCS 5/7-105afrom Ch. 68, par. 7-105a

 

 

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1    775 ILCS 5/10-102from Ch. 68, par. 10-102
2    815 ILCS 710/4from Ch. 121 1/2, par. 754