Full Text of HB5890 95th General Assembly
HB5890 95TH GENERAL ASSEMBLY
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95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008 HB5890
Introduced , by Rep. Brent Hassert - Renée Kosel - Ed Sullivan, Jr. SYNOPSIS AS INTRODUCED: |
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Amends the Illinois Procurement Code. Requires that the disclosure of financial interests filed by a State contract bidder or offeror include the financial interests of each subcontractor named in the bid or offer.
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A BILL FOR
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HB5890 |
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LRB095 17970 JAM 44052 b |
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| AN ACT concerning finance.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The Illinois Procurement Code is amended by | 5 |
| changing Section 50-35 as follows:
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| (30 ILCS 500/50-35)
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| Sec. 50-35. Disclosure and potential conflicts of | 8 |
| interest.
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| (a) All offers from responsive bidders or offerors with an | 10 |
| annual value of
more than $10,000 shall be accompanied by | 11 |
| disclosure of the financial
interests of (i) the contractor, | 12 |
| bidder, or proposer and (ii) each subcontractor named in the | 13 |
| offer . The financial disclosure of
each successful bidder or | 14 |
| offeror shall become
part of the publicly available contract or | 15 |
| procurement file
maintained by the appropriate chief | 16 |
| procurement officer.
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| (b) Disclosure by the responsive bidders or offerors shall | 18 |
| include any
ownership or distributive income share that is in | 19 |
| excess of 5%, or an amount
greater than 60% of the annual | 20 |
| salary of the Governor, of the bidding entity
or its parent | 21 |
| entity, whichever is less, unless the contractor or bidder
(i) | 22 |
| is a
publicly traded entity subject to Federal 10K reporting, | 23 |
| in which case it may
submit its 10K
disclosure in place of the |
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| prescribed disclosure, or (ii) is a privately held
entity that | 2 |
| is exempt from Federal 10k reporting but has more than 400
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| shareholders, in which case it may submit the information that | 4 |
| Federal 10k
reporting companies are required to report under 17 | 5 |
| CFR 229.401 and list the
names of any person or entity holding | 6 |
| any ownership share that is in excess of
5% in place of the | 7 |
| prescribed disclosure. The form of disclosure shall
be | 8 |
| prescribed by the applicable chief procurement officer and must | 9 |
| include at
least the names,
addresses, and dollar or | 10 |
| proportionate share of ownership of each person
identified in | 11 |
| this Section, their instrument of ownership or beneficial
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| relationship, and notice of any potential conflict of interest | 13 |
| resulting from
the current ownership or beneficial | 14 |
| relationship of each person identified in
this Section having | 15 |
| in addition any of the following relationships:
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| (1) State employment, currently or in the previous 3 | 17 |
| years, including
contractual employment of services.
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| (2) State employment of spouse, father, mother, son, or | 19 |
| daughter,
including
contractual employment for services in | 20 |
| the previous 2 years.
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| (3) Elective status; the holding of elective office of | 22 |
| the State of
Illinois, the government of the United States, | 23 |
| any unit of local government
authorized by the Constitution | 24 |
| of the State of Illinois or the statutes of the
State of | 25 |
| Illinois currently or in the previous 3 years.
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| (4) Relationship to anyone holding elective office |
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| currently or in the
previous 2 years; spouse, father, | 2 |
| mother, son, or daughter.
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| (5) Appointive office; the holding of any appointive | 4 |
| government office of
the State of Illinois, the United | 5 |
| States of America, or any unit of local
government | 6 |
| authorized by the Constitution of the State of Illinois or | 7 |
| the
statutes of the State of Illinois, which office | 8 |
| entitles the holder to
compensation in excess of expenses | 9 |
| incurred in the discharge of that office
currently or in | 10 |
| the previous 3 years.
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| (6) Relationship to anyone holding appointive office | 12 |
| currently or in the
previous 2 years; spouse, father, | 13 |
| mother, son, or daughter.
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| (7) Employment, currently or in the previous 3 years, | 15 |
| as or by any
registered lobbyist of the State government.
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| (8) Relationship to anyone who is or was a registered | 17 |
| lobbyist in the
previous 2 years; spouse, father, mother, | 18 |
| son, or daughter.
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| (9) Compensated employment, currently or in the | 20 |
| previous 3 years, by any
registered election or re-election | 21 |
| committee registered with the Secretary of
State or any | 22 |
| county clerk in the State of Illinois, or any political | 23 |
| action
committee registered with either the Secretary of | 24 |
| State or the Federal Board of
Elections.
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| (10) Relationship to anyone; spouse, father, mother, | 26 |
| son, or daughter; who
is or was a compensated employee in |
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| the last 2 years of any registered
election or re-election | 2 |
| committee registered with the Secretary of State or any
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| county clerk in the State of Illinois, or any political | 4 |
| action committee
registered with either the Secretary of | 5 |
| State or the Federal Board of
Elections.
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| (b-5) The disclosure required by this Section shall include | 7 |
| each interest, as described in subsection (b), of each | 8 |
| subcontractor named in the offer. | 9 |
| (c) The disclosure in subsection (b) is not intended to | 10 |
| prohibit or prevent
any
contract. The disclosure is meant to | 11 |
| fully and publicly disclose any potential
conflict to the chief | 12 |
| procurement officers, State purchasing officers, their
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| designees, and executive officers so they may adequately | 14 |
| discharge their duty
to protect the State.
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| (d) In the case of any contract for personal services in | 16 |
| excess of
$50,000; any contract competitively bid in excess of | 17 |
| $250,000; any other
contract in excess of $50,000; when a | 18 |
| potential for a conflict of interest
is identified, discovered, | 19 |
| or reasonably suspected it shall be reviewed and
commented on | 20 |
| in writing by the Governor of the State of Illinois, or by an
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| executive ethics board or commission he or she might designate. | 22 |
| The comment
shall be
returned to the responsible chief | 23 |
| procurement officer who must rule in writing
whether to void or
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| allow the contract, bid, offer, or proposal weighing the best | 25 |
| interest of the
State of Illinois. The comment and | 26 |
| determination shall become a publicly
available part of the |
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| contract, bid, or proposal file.
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| (e) These thresholds and disclosure do not relieve the | 3 |
| chief procurement
officer, the State purchasing officer, or
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| their designees from reasonable care and diligence for any | 5 |
| contract, bid,
offer,
or proposal. The chief procurement | 6 |
| officer, the State purchasing officer, or
their designees shall | 7 |
| be
responsible for using any reasonably known and publicly | 8 |
| available information
to
discover any undisclosed potential | 9 |
| conflict of interest and act to protect the
best interest of | 10 |
| the State of Illinois.
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| (f) Inadvertent or accidental failure to fully disclose | 12 |
| shall render the
contract, bid, proposal, or relationship | 13 |
| voidable by the chief procurement
officer if he or she deems it | 14 |
| in
the best interest of the State of Illinois and, at his or | 15 |
| her discretion, may
be cause for barring from future contracts, | 16 |
| bids, proposals, or
relationships with the State for a period | 17 |
| of up to 2 years.
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| (g) Intentional, willful, or material failure to disclose | 19 |
| shall render the
contract, bid, proposal, or relationship | 20 |
| voidable by the chief procurement
officer if he or she deems it | 21 |
| in
the best interest of the State of Illinois and shall result | 22 |
| in debarment from
future contracts, bids, proposals, or | 23 |
| relationships for a period of not less
than 2 years and not | 24 |
| more than 10 years. Reinstatement after 2 years and
before 10 | 25 |
| years must be reviewed and commented on in writing by the | 26 |
| Governor
of the State of Illinois, or by an executive ethics |
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| board or commission he or
she
might designate. The comment | 2 |
| shall be returned to the responsible chief
procurement officer | 3 |
| who must
rule in writing whether and when to reinstate.
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| (h) In addition, all disclosures shall note any other | 5 |
| current or pending
contracts, proposals, leases, or other | 6 |
| ongoing procurement relationships the
bidding, proposing, or | 7 |
| offering entity has with any other unit of State
government and | 8 |
| shall clearly identify the unit and the contract, proposal,
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| lease, or other relationship.
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| (Source: P.A. 95-331, eff. 8-21-07.)
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