Sen. Chuck Weaver

Filed: 4/5/2019

 

 


 

 


 
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1
AMENDMENT TO SENATE BILL 1626

2    AMENDMENT NO. ______. Amend Senate Bill 1626 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The School Code is amended by changing Section
510-20.21 as follows:
 
6    (105 ILCS 5/10-20.21)
7    Sec. 10-20.21. Contracts.
8    (a) To award all contracts for purchase of supplies and
9materials or work involving an expenditure in excess of $25,000
10or a lower amount as required by board policy to the lowest
11responsible bidder, considering conformity with
12specifications, terms of delivery, quality and serviceability,
13after due advertisement, except the following: (i) contracts
14for the services of individuals possessing a high degree of
15professional skill where the ability or fitness of the
16individual plays an important part; (ii) contracts for the

 

 

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1printing of finance committee reports and departmental
2reports; (iii) contracts for the printing or engraving of
3bonds, tax warrants and other evidences of indebtedness; (iv)
4contracts for the purchase of perishable foods and perishable
5beverages; (v) contracts for materials and work which have been
6awarded to the lowest responsible bidder after due
7advertisement, but due to unforeseen revisions, not the fault
8of the contractor for materials and work, must be revised
9causing expenditures not in excess of 10% of the contract
10price; (vi) contracts for the maintenance or servicing of, or
11provision of repair parts for, equipment which are made with
12the manufacturer or authorized service agent of that equipment
13where the provision of parts, maintenance, or servicing can
14best be performed by the manufacturer or authorized service
15agent; (vii) purchases and contracts for the use, purchase,
16delivery, movement, or installation of data processing
17equipment, software, or services and telecommunications and
18interconnect equipment, software, and services; (viii)
19contracts for duplicating machines and supplies; (ix)
20contracts for the purchase of commodities with prices affected
21by the trade of commodities and derivatives on a United States
22commodities exchange, including, but not limited to, gasoline,
23diesel, and natural gas when the cost is less than that offered
24by a public utility; (x) purchases of equipment previously
25owned by some entity other than the district itself; (xi)
26contracts for repair, maintenance, remodeling, renovation, or

 

 

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1construction, or a single project involving an expenditure not
2to exceed $50,000 and not involving a change or increase in the
3size, type, or extent of an existing facility; (xii) contracts
4for goods or services procured from another governmental
5agency; (xiii) contracts for goods or services which are
6economically procurable from only one source, such as for the
7purchase of magazines, books, periodicals, pamphlets and
8reports, and for utility services such as water, light, heat,
9telephone or telegraph; (xiv) where funds are expended in an
10emergency and such emergency expenditure is approved by 3/4 of
11the members of the board; (xv) State master contracts
12authorized under Article 28A of this Code; and (xvi) contracts
13providing for the transportation of pupils, which contracts
14must be advertised in the same manner as competitive bids and
15awarded by first considering the bidder or bidders most able to
16provide safety and comfort for the pupils, stability of
17service, and any other factors set forth in the request for
18proposal regarding quality of service, and then price. However,
19at no time shall a cause of action lie against a school board
20for awarding a pupil transportation contract per the standards
21set forth in this subsection (a) unless the cause of action is
22based on fraudulent conduct.
23    All competitive bids for contracts involving an
24expenditure in excess of $25,000 or a lower amount as required
25by board policy must be sealed by the bidder and must be opened
26by a member or employee of the school board at a public bid

 

 

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1opening at which the contents of the bids must be announced.
2Each bidder must receive at least 3 days' notice of the time
3and place of the bid opening. For purposes of this Section due
4advertisement includes, but is not limited to, at least one
5public notice at least 10 days before the bid date in a
6newspaper published in the district, or if no newspaper is
7published in the district, in a newspaper of general
8circulation in the area of the district. State master contracts
9and certified education purchasing contracts, as defined in
10Article 28A of this Code, are not subject to the requirements
11of this paragraph.
12    Under this Section, the acceptance of bids sealed by a
13bidder and the opening of these bids at a public bid opening
14may be permitted by an electronic process for communicating,
15accepting, and opening competitive bids. However, bids for
16construction purposes are prohibited from being communicated,
17accepted, or opened electronically. An electronic bidding
18process must provide for, but is not limited to, the following
19safeguards:
20        (1) On the date and time certain of a bid opening, the
21    primary person conducting the competitive, sealed,
22    electronic bid process shall log onto a specified database
23    using a unique username and password previously assigned to
24    the bidder to allow access to the bidder's specific bid
25    project number.
26        (2) The specified electronic database must be on a

 

 

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1    network that (i) is in a secure environment behind a
2    firewall; (ii) has specific encryption tools; (iii)
3    maintains specific intrusion detection systems; (iv) has
4    redundant systems architecture with data storage back-up,
5    whether by compact disc or tape; and (v) maintains a
6    disaster recovery plan.
7It is the legislative intent of Public Act 96-841 to maintain
8the integrity of the sealed bidding process provided for in
9this Section, to further limit any possibility of bid-rigging,
10to reduce administrative costs to school districts, and to
11effect efficiencies in communications with bidders.
12    (b) To require, as a condition of any contract for goods
13and services, that persons bidding for and awarded a contract
14and all affiliates of the person collect and remit Illinois Use
15Tax on all sales of tangible personal property into the State
16of Illinois in accordance with the provisions of the Illinois
17Use Tax Act regardless of whether the person or affiliate is a
18"retailer maintaining a place of business within this State" as
19defined in Section 2 of the Use Tax Act. For purposes of this
20Section, the term "affiliate" means any entity that (1)
21directly, indirectly, or constructively controls another
22entity, (2) is directly, indirectly, or constructively
23controlled by another entity, or (3) is subject to the control
24of a common entity. For purposes of this subsection (b), an
25entity controls another entity if it owns, directly or
26individually, more than 10% of the voting securities of that

 

 

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1entity. As used in this subsection (b), the term "voting
2security" means a security that (1) confers upon the holder the
3right to vote for the election of members of the board of
4directors or similar governing body of the business or (2) is
5convertible into, or entitles the holder to receive upon its
6exercise, a security that confers such a right to vote. A
7general partnership interest is a voting security.
8    To require that bids and contracts include a certification
9by the bidder or contractor that the bidder or contractor is
10not barred from bidding for or entering into a contract under
11this Section and that the bidder or contractor acknowledges
12that the school board may declare the contract void if the
13certification completed pursuant to this subsection (b) is
14false.
15    (b-5) To require all contracts and agreements that pertain
16to goods and services and that are intended to generate
17additional revenue and other remunerations for the school
18district in excess of $1,000, including without limitation
19vending machine contracts, sports and other attire, class
20rings, and photographic services, to be approved by the school
21board. The school board shall file as an attachment to its
22annual budget a report, in a form as determined by the State
23Board of Education, indicating for the prior year the name of
24the vendor, the product or service provided, and the actual net
25revenue and non-monetary remuneration from each of the
26contracts or agreements. In addition, the report shall indicate

 

 

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1for what purpose the revenue was used and how and to whom the
2non-monetary remuneration was distributed.
3    (b-10) To prohibit any contract to purchase food with a
4bidder or offeror if the bidder's or offeror's contract terms
5prohibit the school from donating food to food banks,
6including, but not limited to, homeless shelters, food
7pantries, and soup kitchens.
8    (c) If the State education purchasing entity creates a
9master contract as defined in Article 28A of this Code, then
10the State education purchasing entity shall notify school
11districts of the existence of the master contract.
12    (d) In purchasing supplies, materials, equipment, or
13services that are not subject to subsection (c) of this
14Section, before a school district solicits bids or awards a
15contract, the district may review and consider as a bid under
16subsection (a) of this Section certified education purchasing
17contracts that are already available through the State
18education purchasing entity.
19(Source: P.A. 99-552, eff. 7-15-16.)".