Sen. John J. Cullerton

Filed: 5/25/2012

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 2083

2    AMENDMENT NO. ______. Amend House Bill 2083 by replacing
3everything after the enacting clause with the following:
 
4    "Section 1. Short title. This Act may be cited as the
5Illinois Business and Economic Advocacy and Development Act of
62012.
 
7    Section 5. Findings. The General Assembly determines and
8declares the following:
9    (a) The General Assembly finds that economic development is
10an important public purpose and that both the public and
11private sectors have a shared interest in fostering the
12economic vitality of the State. Therefore, it is the purpose of
13this Act to implement economic development policy in the State
14by means of a collaboration between government and the private
15sector.
16    (b) The collaboration shall involve the Illinois Economic

 

 

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1Development Authority and the Illinois Business and Economic
2Development Corporation, both of which shall work together to
3further economic development policy according to the
4provisions of this Act.
 
5    Section 10. Definitions. In this Act:
6    "Authority" means the Illinois Economic Development
7Authority.
8    "Board" means the Board of Directors of the Illinois
9Economic Development Authority.
10    "Board of Directors of the Corporation" means the Board of
11Directors of the Illinois Business and Economic Development
12Corporation.
13    "Business enterprise" means a work or improvement located
14within the State, including but not limited to real property,
15buildings, equipment, furnishings, and any other real and
16personal property or any interest therein, financed,
17refinanced, acquired, owned, constructed, reconstructed,
18extended, rehabilitated, improved, or equipped, directly or
19indirectly, in whole or in part, by the Authority or through
20loans made by it and which is designed and intended for the
21purpose of providing facilities for manufacturing, industrial,
22processing, warehousing, wholesale or retail commercial,
23recreational, hotel, office, research, business, or other
24related purposes, including but not limited to machinery and
25equipment deemed necessary or desirable for the operation

 

 

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1thereof.
2    "Chief Executive Officer" means the Chief Executive
3Officer of the Corporation.
4    "Corporation" means the Illinois Business and Economic
5Development Corporation.
6    "Executive Director" means the Executive Director of the
7Authority.
8    "Financial assistance" means assistance provided only from
9the funds, rights, and assets legally available to the
10Authority, including but not limited to assistance in the form
11of grants, loans, forgivable loans, and royalty payments.
 
12    Section 15. Creation.
13    (a) There is created the Illinois Economic Development
14Authority, which shall constitute a public instrumentality and
15agency of the State exercising public and essential
16governmental functions, to undertake programs which implement
17economic development policy in the State, and to undertake
18certain finance programs.
19    (b) The powers of the Authority are vested in and shall be
20exercised by a Board of Directors composed of 9 voting members
21appointed by the Governor, with the advice and consent of the
22Senate, as follows: one person who has experience in the
23management of a not-for-profit or educational entity; one
24person who has professional experience in finance, insurance,
25or investment banking; one person who has professional

 

 

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1experience in advanced manufacturing; one person with
2professional experience in small business development; one
3person with professional experience representing the interests
4of organized labor; and 4 persons who are actively employed in
5the private, for profit sector of the economy or who otherwise
6have substantial expertise in economic development.
7        (1) Except as otherwise provided, the individuals must
8    be employed in, or retired from, the private or non-profit
9    sector, or academia.
10        (2) No more than 5 members shall be appointed from the
11    same political party.
12        (3) Upon appointment, members shall file with the
13    Secretary of State the disclosures required under Section
14    3A-30 of the Illinois Governmental Ethics Act.
15        (4) The Governor shall not appoint a person who is the
16    spouse of, partner in a civil union with, or immediate
17    family member of a current member of the Board, or a
18    current member of the Board of Directors of the
19    Corporation.
20        (5) Members are not entitled to compensation for their
21    services, but are entitled to reimbursement for all
22    necessary expenses incurred in connection with the
23    performance of their duties as members.
24        (6) Members should reflect the ethnic, cultural, and
25    geographic diversity of the State.
26    (c) Members of the Board shall be appointed for terms of 4

 

 

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1years, and until their successor is appointed and qualified. Of
2the initial terms of the 9 members appointed by the Governor, 3
3shall serve until the third Monday in January 2014, 3 shall
4serve until the third Monday in January 2015, and 3 shall serve
5until the third Monday in January 2016. All successors to the
6original appointments shall hold office for a term of 4 years
7commencing the third Monday in January of the year in which
8their term commences, except in the case of an appointment to
9fill a vacancy. Vacancies occurring among the members shall be
10filled for the remainder of the term. In case of vacancy when
11the Senate is not in session, the Governor may make a temporary
12appointment until the next meeting of the Senate when a person
13shall be nominated to fill the office, and, upon confirmation
14by the Senate, he or she shall hold office during the remainder
15of the term. A member is eligible for reappointment.
16    Should the Governor fail to make an initial appointment to
17the Board within 60 days after the effective date of this Act,
18or to make an appointment to fill a vacancy on the Board within
1960 days after the date that the vacancy first occurred, then
20the appointment shall be made by the State Treasurer, with the
21advice and consent of the Senate.
22    (d) A member of the Board may be removed from office by the
23Governor for incompetence, neglect of duty, or malfeasance in
24office.
25    (e) Five voting members of the Board constitute a quorum.
26        (1) The affirmative vote of 5 members is necessary for

 

 

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1    any action taken by the Board. The majority shall not
2    include any member who has a conflict of interest, and a
3    statement by a member of a conflict of interest shall be
4    conclusive for this purpose.
5        (2) A vacancy in the membership does not impair the
6    right of a quorum to exercise all rights and perform all
7    duties of the Authority.
8    (f) Members of the Board shall give bond as required under
9the Official Bond Act.
10    (g) Meetings of the Board shall be held at the call of the
11chairperson or when 2 members so request in writing.
12    (h) Members shall elect from their number a chairperson and
13vice chairperson annually, and other officers as they
14determine, but the Executive Director shall serve as secretary
15to the Board.
16    (i) Members of the Board shall provide input, and such
17assistance as may be requested, to the Board of Directors of
18the Corporation to enable them to develop a strategic plan for
19economic development in the State.
20    (j) Within 30 days after the occurrence of a vacancy in the
21office of the Executive Director of the Authority, the members
22of the Board shall designate to the Governor 3 nominees to
23serve as the Executive Director of the Authority, each of whom
24shall meet the qualifications for Executive Director required
25under Section 40 of this Act.
26    (k) The net earnings of the Authority, beyond that

 

 

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1necessary to implement the public purposes and programs herein
2authorized, shall not inure to the benefit of any person other
3than the State. Upon termination of the existence of the
4Authority, title to all property owned by the Authority,
5including any such net earnings of the Authority, shall vest in
6the State. The State reserves the right at any time to alter,
7amend, repeal, or otherwise change the structure,
8organization, programs, or activities of the Authority,
9including the power to terminate the Authority, except that no
10law shall impair the obligation of any contract or contracts
11entered into by the Authority to the extent that any such law
12would contravene Article I, Section 16, of the Constitution of
13the State of Illinois, or Article I, Section 10, of the
14Constitution of the United States.
15    (l) The Authority shall receive the protections from
16liability provided to a "local public entity", and the members
17of the Board, employees or agents of the Authority, while
18acting within the scope of their office or employment by the
19Authority, shall receive the protections from liability
20provided to a "public employee entity" under the Local
21Governmental and Governmental Employees Tort Immunity Act.
 
22    Section 20. Successor to the Department of Commerce and
23Economic Opportunity.
24    (a) The Department of Commerce and Economic Opportunity is
25hereby abolished. On the effective date of this Act, all

 

 

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1powers, duties, rights, and responsibilities of the Department
2of Commerce and Economic Opportunity shall be transferred to
3the Illinois Economic Development Authority, as the successor
4agency to the Department.
5    (b) Notwithstanding any provision of law to the contrary,
6references to the Department of Commerce and Economic
7Opportunity or the Department of Commerce and Community Affairs
8shall be construed as references to the Illinois Economic
9Development Authority. All references to the Director of the
10Department of Commerce and Economic Opportunity or the
11Department of Commerce and Community Affairs shall be construed
12as references to the Executive Director of the Illinois
13Economic Development Authority.
14    (c) Unless otherwise provided for by law, the personnel of
15the Department of Commerce and Economic Opportunity shall be
16transferred to the Illinois Economic Development Authority.
17The status and rights of such employees under the Personnel
18Code shall not be affected by the transfer. The rights of the
19employees and the State of Illinois and its agencies under the
20Personnel Code and applicable collective bargaining agreements
21or under any pension, retirement, or annuity plan shall not be
22affected by this Act.
23    (d) All books, records, papers, documents, property (real
24and personal), contracts, causes of action, and pending
25business pertaining to the powers, duties, rights, and
26responsibilities transferred by this Act from the Department of

 

 

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1Commerce and Economic Opportunity, including, but not limited
2to, material in electronic or magnetic format and necessary
3computer hardware and software, shall be transferred to the
4Illinois Economic Development Authority.
5    (e) All unexpended appropriations and balances and other
6funds available for use by the Department of Commerce and
7Economic Opportunity shall be transferred to the Illinois
8Economic Development Authority to be expended only for the
9purpose for which the appropriations were originally made.
10    (f) The powers, duties, rights, and responsibilities
11transferred from the Department of Commerce and Economic
12Opportunity by this Act shall be vested in and shall be
13exercised by the Illinois Economic Development Authority.
14    (g) Whenever reports or notices are now required to be made
15or given or papers or documents furnished or served by any
16person to or upon Department of Commerce and Economic
17Opportunity in connection with any of the powers, duties,
18rights, and responsibilities transferred by this Act, the same
19shall be made, given, furnished, or served in the same manner
20to or upon the Illinois Economic Development Authority.
21    (h) This Act does not affect any act done, ratified, or
22canceled or any right occurring or established or any action or
23proceeding had or commenced in an administrative, civil, or
24criminal cause by the Department of Commerce and Economic
25Opportunity before this Act takes effect; such actions or
26proceedings may be prosecuted and continued by the Illinois

 

 

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1Economic Development Authority.
2    (i) Any rules of the Department of Commerce and Economic
3Opportunity that relate to its powers, duties, rights, and
4responsibilities and are in full force on the effective date of
5this Act shall become the rules of the Illinois Economic
6Development Authority. This Act does not affect the legality of
7any such rules in the Illinois Administrative Code.
8    Any proposed rules filed with the Secretary of State by the
9Department of Commerce and Economic Opportunity that are
10pending in the rulemaking process on the effective date of this
11Act and pertain to the powers, duties, rights, and
12responsibilities transferred, shall be deemed to have been
13filed by the Illinois Economic Development Authority. As soon
14as practicable hereafter, the Illinois Economic Development
15Authority shall revise and clarify the rules transferred to it
16under this Act to reflect the reorganization of powers, duties,
17rights, and responsibilities affected by this Act, using the
18procedures for recodification of rules available under the
19Illinois Administrative Procedure Act, except that existing
20title, part, and section numbering for the affected rules may
21be retained. The Illinois Economic Development Authority may
22propose and adopt under the Illinois Administrative Procedure
23Act such other rules as may be needed for the activities and
24programs of the Department of Commerce and Economic Opportunity
25that will now be administered by the Illinois Economic
26Development Authority.

 

 

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1    To the extent that, prior to the effective date of this
2Act, the Director of the Department of Commerce and Economic
3Opportunity had been empowered to prescribe rules or had other
4rulemaking authority jointly with the Secretary or Director of
5another State agency, such duties shall be exercised from and
6after the effective date of this Act solely by the Executive
7Director of the Illinois Economic Development Authority.
 
8    Section 25. Conflicts of interest.
9    (a) If a member of the Board or employee of the Authority
10has an interest, either direct or indirect, in a contract to
11which the Authority is, or is to be, a party, the interest
12shall be disclosed to the Authority in writing and shall be set
13forth in the minutes of the Board.
14        (1) The member or employee having the interest shall
15    not participate in any action of the Authority with respect
16    to that contract. However, a resolution of the Authority is
17    not invalid because of a vote cast by a member in violation
18    of this subsection or of Section 15 of this Act, unless the
19    vote was decisive in the passage of the resolution.
20        (2) For the purposes of this subsection, "action of the
21    Authority with respect to that contract" means only an
22    action directly affecting a separate contract, and does not
23    include an action which benefits the general public or
24    which affects all or a substantial portion of the contracts
25    included in a program of the Authority.

 

 

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1    (b) The Executive Director shall not have an interest in a
2bank or other financial institution in which the funds of the
3Authority are, or are to be, deposited or which is, or is to
4be, acting as trustee or paying agent under a trust indenture
5to which the Authority is a party. The Executive Director shall
6not receive, in addition to fixed salary or compensation, any
7money or valuable thing, either directly or indirectly, or
8through any substantial interest in any other corporation or
9business unit, for negotiating, procuring, recommending, or
10aiding in any purchase or sale of property, or loan, made by
11the Authority, nor shall the Executive Director be pecuniarily
12interested, either as principal, co-principal, agent, or
13beneficiary, either directly or indirectly, or through any
14substantial interest in any other corporation or business unit,
15in any such purchase, sale, or loan.
16    (c) A person shall not be employed concurrently by both the
17Authority and the Corporation.
18    (d) A person leaving employment with the Authority shall
19not be employed by the Corporation until a period of 2 years
20has passed. A person leaving employment with the Corporation
21shall not be employed by the Authority until a period of 2
22years has passed.
23    (e) Not more than one principal executive, employee, or
24other representative from a business or its affiliates may
25serve concurrently on the Board, the Board of Directors of the
26Corporation, or any combination thereof.

 

 

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1    (f) Conflict of interest.
2        (1) In addition to the provisions of subsection (a) of
3    Section 50-13 of the Illinois Procurement Code, it is
4    unlawful for a member, the spouse of, or partner in a civil
5    union with, the member, or an immediate family member of
6    the member living in the member's residence to have or
7    acquire a contract, or have or acquire a direct pecuniary
8    interest in a contract with the State, that relates to the
9    Authority or the Corporation, during and for one year after
10    the conclusion of the member's term.
11        (2) If (i) a person subject to paragraph (1) of this
12    subsection is entitled to receive more than 7 1/2% of the
13    total distributable income of a partnership, association,
14    corporation, or other business entity or (ii) a person
15    subject to paragraph (1) of this subsection together with
16    his or her spouse, partner in a civil union, and immediate
17    family members living in that person's residence are
18    entitled to receive more than 15%, in the aggregate, of the
19    total distributable income of a partnership, association,
20    corporation, or other business entity, then it is unlawful
21    for that partnership, association, corporation, or other
22    business entity to have or acquire a contract or a direct
23    pecuniary interest in a contract prohibited by paragraph
24    (1) of this subsection during and for one year after the
25    conclusion of the member's term of office.
 

 

 

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1    Section 30. General powers.
2    (a) The Authority possesses all the powers of a body
3corporate necessary and convenient to accomplish the purposes
4of this Act, including, without limitation upon the general
5powers hereby conferred, the following powers:
6        (1) Sue and be sued in its own name.
7        (2) Have and alter a corporate seal.
8        (3) To adopt all needful ordinances, resolutions,
9    bylaws, rules, and regulations for the conduct of its
10    business and affairs.
11        (4) Make and execute agreements, contracts, and other
12    instruments of any and all types on such terms and
13    conditions as the Authority may find necessary or
14    convenient to the purposes of the Authority with any public
15    or private entity, including but not limited to contracts
16    for goods and services. All political subdivisions, other
17    public agencies, and State departments and agencies may
18    enter into contracts and otherwise cooperate with the
19    Authority.
20        (5) To designate a fiscal year for the Authority.
21        (6) Adopt by rule pursuant to the Illinois Procurement
22    Code procedures relating to competitive bidding, including
23    the identification of those circumstances under which
24    competitive bidding by the Authority, either formally or
25    informally, shall be required. In any bidding process, the
26    Authority may administer its own bidding and procurement or

 

 

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1    may utilize the services of the Department of Central
2    Management Services or any other agency. Except when such
3    rules apply, the Authority and all contracts made by it in
4    carrying out its public and essential governmental
5    functions with respect to any of its programs shall be
6    exempt from the provisions and requirements of all laws or
7    rules of the State which require competitive bids in
8    connection with the letting of such contracts.
9        (7) Acquire, hold, improve, mortgage, lease, and
10    dispose of real and personal property, including but not
11    limited to the power to sell at public or private sale,
12    with or without public bidding, any such property, or other
13    obligation held by it.
14        (8) Procure insurance against any loss in connection
15    with its operations and property interests.
16        (9) Request, receive and expend appropriations, gifts,
17    grants, loans, or other aid from public or private
18    entities. A record of all gifts or grants, stating the
19    type, amount, and donor, shall be clearly set out in the
20    Authority's annual report along with the record of other
21    receipts.
22        (10) Provide to public and private entities technical
23    assistance and counseling related to the Authority's
24    purposes.
25        (11) In cooperation with other local, State, or federal
26    governmental agencies, conduct research studies, develop

 

 

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1    estimates of unmet economic development needs, gather and
2    compile data useful to facilitating decision making, and
3    enter into agreements to carry out programs within or
4    without the State which the Authority finds to be
5    consistent with the goals of the Authority.
6        (12) Enter into agreements with the federal government
7    and other states to undertake economic development
8    activities in the State of Illinois.
9        (13) Own or acquire intellectual property rights
10    including but not limited to copyrights, trademarks,
11    service marks, and patents, and enforce the rights of the
12    Authority with respect to such intellectual property
13    rights.
14        (14) Make, alter, interpret, and repeal rules
15    consistent with the provisions of this Act, and subject to
16    the requirements of the Illinois Administrative Procedure
17    Act.
18        (15) Establish a fund, which shall be called the
19    Illinois Economic Development Authority Fund, within the
20    State treasury under the control of the Authority.
21    Notwithstanding any provisions to the contrary, moneys
22    invested by the State Treasurer pursuant to this Section
23    shall not revert to the general revenue of the State, and
24    interest accrued on the moneys shall be moneys of the
25    Authority and shall not be credited to general revenue. The
26    non-reversion of moneys allowed under this paragraph does

 

 

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1    not apply to moneys appropriated to the Authority by the
2    General Assembly.
3        (16) Select projects to receive assistance by the
4    exercise of diligence and care.
5        (17) Exercise generally all powers typically exercised
6    by private enterprises engaged in business pursuits unless
7    the exercise of such a power would violate the terms of
8    this Section or the Constitution of the State of Illinois.
9        (18) To engage in any activity or operation which is
10    incidental to and in furtherance of efficient operation to
11    accomplish the Authority's primary purpose.
12    (b) The powers enumerated in this Section are cumulative of
13and in addition to those powers enumerated elsewhere in this
14Act, or otherwise provided for by law, including but not
15limited to any powers formerly exercised by the Department of
16Commerce and Economic Opportunity, and such powers shall not be
17construed to limit or otherwise restrict any other powers of
18the Authority.
 
19    Section 35. Specific program powers.
20    (a) In addition to the general powers described in Section
2130, the Authority shall have all powers convenient and
22necessary to carry out its programs.
23    (b) For purposes of this Section, "powers convenient and
24necessary" includes, but is not limited to, the power to:
25        (1) Provide input and, upon request, assistance to the

 

 

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1    Board of Directors of the Corporation to facilitate the
2    creation of the strategic plan required under subsection
3    (g) of Section 50.
4        (2) Cooperate with the Corporation in carrying out its
5    stated purposes in order to further the overall development
6    and economic well-being of the State.
7        (3) Pursuant to a contract executed between the
8    Authority and the Corporation, the Authority may delegate
9    to the Corporation the performance of the following
10    functions on behalf of the Authority:
11            (A) Marketing and promotional activities.
12            (B) Policy research.
13            (C) Economic analysis.
14            (D) Expansion of international markets for
15        Illinois-produced or Illinois-based products.
16            (E) Consulting services.
17            (F) Services related to statewide
18        commercialization development.
19        A contract executed pursuant to this paragraph (3)
20    shall not delegate an essential government function,
21    including the budgetary or personnel management
22    responsibilities of the Authority, and shall not be
23    construed to delegate any sovereign power of the State.
24        The terms of a contract executed pursuant to this
25    paragraph (3) may provide for compensation at the fair
26    market value of the services to be provided under the

 

 

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1    contract.
2        (4) Notwithstanding any provisions of law to the
3    contrary, the Authority may enter into contracts with the
4    Corporation for the sole source procurement of services. In
5    entering into such sole source contracts, the Authority
6    shall negotiate a fair and reasonable price for the
7    services and shall thoroughly document the circumstances
8    of such sole source procurements.
9        (5) A contract executed pursuant to paragraph (3) of
10    this Section shall be drafted and executed with the
11    assistance and advice of the Attorney General.
12        (6) The Authority may enter into contracts on behalf of
13    the Corporation. Such contracts may delegate the
14    performance of functions to the Corporation only if the
15    contracts meet the requirements of paragraph (3) of this
16    Section.
17    (c) If the Authority enters into a contract, including but
18not limited to a contract executed pursuant to paragraph (3) of
19subsection (b) of this Section, with a nonprofit corporation
20organized under the General Not For Profit Corporation Act of
211986, or under the similar laws of another state, the Authority
22shall ensure that the terms of the contract shall provide for
23the disclosure of all gifts, grants, bequests, donations, or
24other conveyances of financial assistance to the Corporation
25from all private and public sources. Such disclosure shall
26include information from the Corporation's current fiscal year

 

 

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1and its most recent 3 fiscal years and shall include the name
2and address of the person or entity making the conveyance and
3the amount.
4        (1) If the Authority enters into a contract for the
5    provision of financial assistance to a business, the
6    Authority shall ensure that the terms of the contract
7    provide for the disclosure of all donations the business
8    has ever made to the Corporation. The Authority shall not
9    consider the amount or frequency of such donations when
10    evaluating the merits of the business's application or when
11    determining the amount of financial assistance to be
12    awarded to the business.
13        (2) The Authority shall not enter into a contract for
14    services that exceeds 2 years in duration.
 
15    Section 40. Executive Director; responsibilities.
16    (a) The day to day operations of the Authority shall be
17administered by the Executive Director of the Illinois Economic
18Development Authority, who shall be appointed by the Governor,
19with the advice and consent of the Senate, and who shall serve
20for a 4-year term beginning on the third Monday in January,
212013. An appointment by the Governor to fill a vacancy in the
22office of the Executive Director shall be for the balance of
23the unexpired 4-year term. The Governor shall select the
24individual to appoint as the Executive Director from the 3
25nominees designated by the Board under subsection (j) of

 

 

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1Section 15 of this Act.
2    The individual serving on the effective date of this Act as
3Director of the Department of Commerce and Economic
4Opportunity, or his or her successor, shall serve as the
5Executive Director of the Authority until the third Monday in
6January 2013.
7    Except as otherwise provided in this subsection (a), the
8Executive Director shall possess the following qualifications:
9        (1) private sector or public sector economic
10    development experience, or a combination thereof, totaling
11    5 years;
12        (2) ten years of experience working in or with the for
13    profit sector of the economy;
14        (3) five years of management experience;
15        (4) an advanced degree in economics, risk management,
16    law, business, or a related field; and
17        (5) shall not hold outside employment.
18    (b) The Executive Director shall not, directly or
19indirectly, exert influence to induce any other officers or
20employees of the State to adopt a political view or to favor a
21political candidate for office. The Executive Director shall
22ensure that the Authority is operated free from political
23influence. The Executive Director shall give bond as required
24under the Official Bond Act.
25    (c) The Executive Director shall advise the Authority on
26matters relating to economic development and act on the

 

 

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1Authority's behalf to carry out all directives from the Board
2in regard to the operation of the Authority.
3    (d) The Executive Director shall employ personnel as
4necessary to carry out the duties and responsibilities of the
5Authority.
6    (e) The Executive Director shall not be employed
7concurrently by both the Authority and the Corporation.
8    (f) Conflict of interest.
9        (1) In addition to the provisions of subsection (a) of
10    Section 50-13 of the Illinois Procurement Code, it is
11    unlawful for the Executive Director, the spouse of, or
12    partner in a civil union with, the Executive Director, or
13    an immediate family member of the Executive Director living
14    in the Executive Director's residence to have or acquire a
15    contract, or have or acquire a direct pecuniary interest in
16    a contract with the State, that relates to the Authority or
17    the Corporation, during and for one year after the
18    conclusion of the Executive Director's term.
19        (2) If (i) a person subject to paragraph (1) of this
20    subsection is entitled to receive more than 7 1/2% of the
21    total distributable income of a partnership, association,
22    corporation, or other business entity or (ii) a person
23    subject to paragraph (1) of this subsection together with
24    his or her spouse, partner in a civil union, and immediate
25    family members living in that person's residence are
26    entitled to receive more than 15%, in the aggregate, of the

 

 

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1    total distributable income of a partnership, association,
2    corporation, or other business entity, then it is unlawful
3    for that partnership, association, corporation, or other
4    business entity to have or acquire a contract or a direct
5    pecuniary interest in a contract prohibited by paragraph
6    (1) of this subsection during and for one year after the
7    conclusion of the Executive Director's term of office.
8    (g) The Executive Director may create organizational
9divisions within the Authority in the manner the Executive
10Director deems most efficient to carry out the duties and
11responsibilities of the Authority.
12    (h) In structuring the Authority, the Executive Director
13shall create a small business development division and ensure
14that the division focuses administrative efforts, program
15resources, and financial assistance awards on small
16businesses.
 
17    Section 45. Review of Authority operations.
18    (a) Commencing January 1, 2014, the Commission on
19Government Forecasting and Accountability shall conduct a
20review of the Authority and its activities and shall issue a
21report with findings and recommendations to the General
22Assembly on or before January 1, 2015.
23    (b) On or before January 1, 2014, and every January 1
24thereafter, the Authority shall submit a report to the Governor
25and the General Assembly assessing the extent to which each of

 

 

09700HB2083sam002- 24 -LRB097 10539 JWD 69891 a

1the Authority's programs can be used to provide assistance to
2small businesses and making recommendations for legislative
3changes to such programs in order to better and more
4intensively focus economic development efforts on such small
5businesses. The report shall also address the extent to which
6the Authority's programs address local economic development
7needs and efforts.
 
8    Section 50. Illinois Business and Economic Development
9Corporation.
10    (a) There is created the Illinois Business and Economic
11Development Corporation as a non-profit corporation organized
12under the General Not For Profit Corporation Act of 1986 and
13qualifying under Section 501(c)(3) of the Internal Revenue Code
14as an organization exempt from taxation. Unless otherwise
15provided in this Section, the Corporation is subject to the
16provisions of the General Not For Profit Corporation Act of
171986. The Corporation shall be established for the purpose of
18receiving and disbursing funds from public or private sources
19to be used to further the overall development and economic
20well-being of the State.
21    (b) The Corporation shall collaborate with the Authority as
22described in this Act, but the Corporation shall not be
23considered, in whole or in part, an agency, political
24subdivision, or instrumentality of the State.
25        (1) The Corporation shall not receive appropriations

 

 

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1    from the General Assembly.
2        (2) The Corporation shall not be required to comply
3    with any requirements that apply to a State agency or
4    political subdivision and shall not exercise any sovereign
5    power of the State.
6        (3) The Corporation does not have authority to pledge
7    the credit of the State, and the State shall not be liable
8    for the debts or obligations of the Corporation. All debts
9    and obligations of the Corporation shall be payable solely
10    from the Corporation's funds.
11    (c) The Corporation shall be established, maintained and
12operated so that donations and bequests to it qualify as tax
13deductible under State income tax laws and under Section
14501(c)(3) of the Internal Revenue Code.
15    The Corporation shall be established for the purpose of
16expanding economic development opportunities in the State of
17Illinois and for Illinois businesses operating in foreign
18markets in connection with the public purpose of economic
19development in Illinois. The Corporation shall also assist the
20Authority in creating and maintaining a strategic economic
21development plan including marketing, benchmarks, and
22performance measures. The Corporation may effectuate this
23purpose by performing certain functions delegated to it by the
24Authority pursuant to Section 35.
25    (d) The bylaws of the Corporation shall provide for its
26governance and its efficient management. In providing for its

 

 

09700HB2083sam002- 26 -LRB097 10539 JWD 69891 a

1governance, the bylaws of the Corporation shall provide for or
2address the following:
3        (1) A Board of Directors to govern the Corporation. The
4    Board of Directors of the Corporation shall be composed of
5    the following 7 members:
6                (A) three members appointed by the Governor,
7        with the advice and consent of the Senate;
8                (B) one member appointed by the President of
9        the Senate;
10                (C) one member appointed by the Speaker of the
11        House of Representatives;
12                (D) one member appointed by the Minority
13        Leader of the Senate; and
14                (E) one member appointed by the Minority
15        Leader of the House of Representatives.
16        The initial members appointed to the Board of Directors
17    shall continue in office until the first Wednesday in
18    February 2014. All successors to the original appointments
19    shall hold office for a term of 2 years commencing the
20    first Wednesday in February of the year in which their term
21    commences, except in the case of an appointment to fill a
22    vacancy. Vacancies occurring among the members shall be
23    filled by the appointing authority for the remainder of the
24    unexpired term. In case of vacancy in the appointments of
25    the Governor when the Senate is not in session, the
26    Governor may make a temporary appointment until the next

 

 

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1    meeting of the Senate when a person shall be nominated to
2    fill the office, and, upon confirmation by the Senate, he
3    or she shall hold office during the remainder of the term.
4    A member is eligible for reappointment.
5        The members of the Board of Directors of the
6    Corporation shall possess the following qualifications:
7    private sector or public sector economic development
8    experience, or a combination thereof, totaling 5 years; and
9    10 years of experience working in or with the for profit
10    sector of the economy.
11        Should the Governor fail to make an initial appointment
12    to the Board of Directors of the Corporation within 60 days
13    after the effective date of this Act, or to make an
14    appointment to fill a vacancy on the Board of Directors of
15    the Corporation within 60 days after the date that the
16    vacancy first occurred, then the appointment shall be made
17    by the State Treasurer, with the advice and consent of the
18    Senate.
19        (2) No appointing authority shall appoint or select any
20    person who is either the spouse of, a partner in a civil
21    union with, or a relative within the first degree of
22    consanguinity of a serving member of the Board of Directors
23    of the Corporation or of the Authority Board.
24        (3) The appointment of a Chief Executive Officer by the
25    Board to manage the Corporation's daily operations.
26        (4) The delegation of such powers and responsibilities

 

 

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1    to the Chief Executive Officer as may be necessary for the
2    Corporation's efficient operation.
3    (e) The Corporation may employ such personnel as may be
4necessary for the efficient performance of the duties assigned
5to the Corporation. All such personnel shall be considered
6employees of a private, nonprofit corporation and shall be
7exempt from the personnel requirements imposed on State
8agencies and political subdivisions.
9    (f) The bylaws of the Corporation shall provide for the
10financial operations of the Corporation, including the
11authority to receive and expend funds from public and private
12sources and to use its property, money, or other resources for
13the purpose of the Corporation.
14    (g) The members of the Board of Directors of the
15Corporation, with input from the Board of the Authority, shall
16develop a strategic plan for economic development in the State.
17        (1) The strategic plan shall identify the
18    Corporation's goals for the next calendar year and shall
19    include a set of metrics that will be used to gauge and
20    assess the extent to which the Corporation achieves those
21    goals. Such metrics shall include, but are not limited to:
22            (A) The number of net new jobs created in the
23        State.
24            (B) The average wage and benefit levels for such
25        jobs.
26            (C) The impact to average household income for

 

 

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1        Illinois families as a result of the jobs created.
2            (D) Such other information as the Board of
3        Directors of the Corporation deems relevant.
4        (2) The strategic plan shall be submitted to the
5    General Assembly and the Governor's office on or before
6    January 31 of each year.
7    (h) The Board of Directors of the Corporation and the Chief
8Executive Officer shall act to ensure all of the following:
9        (1) That the Board of Directors of the Corporation
10    implement the strategic plan developed by the Corporation
11    pursuant to subsection (g) of this Section.
12        (2) That the Corporation prepares an annual budget that
13    includes funding levels for the Corporation's activities
14    and that shows sufficient moneys are available to support
15    those activities.
16    (i) The Corporation shall complete and file all reports and
17returns required under the General Not For Profit Corporation
18Act of 1986.
 
19    Section 55. Duties and responsibilities of the
20Corporation.
21    (a) The Board of Directors of the Corporation and the Chief
22Executive Officer shall determine the activities and
23priorities of the Corporation within the general parameters of
24the duties and responsibilities described in this Act.
25    (b) The Corporation shall, to the extent that its bylaws

 

 

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1provide and within its public purpose, do all of the following
2with the purpose of increasing innovation in Illinois's economy
3and bringing more innovative businesses to the State:
4        (1) Consult with the Illinois Economic Development
5    Authority in the creation of a comprehensive strategic
6    plan.
7        (2) Act as an innovation intermediary by aligning local
8    technologies, assets, and resources to work together on
9    advancing innovation.
10        (3) Perform any functions delegated by the Authority
11    pursuant to Section 35.
12            (A) In performing such functions, the Corporation
13        shall not subcontract the performance of a delegated
14        function except as provided in subparagraph (B).
15            (B) The Corporation may subcontract services under
16        the following conditions:
17                (i) The services are necessary to accomplish
18            the functions delegated to the Corporation.
19                (ii) The contract delegating the function
20            contains a list of the services that may be
21            subcontracted pursuant to this subparagraph.
22                (iii) The contract delegating the function
23            requires that any agreement to subcontract a
24            service must be approved by the Authority prior to
25            the execution of such an agreement by the
26            Corporation.

 

 

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1        (4) Encourage, stimulate, and support the development
2    and expansion of the State's economy.
3        (5) Develop and implement effective marketing and
4    promotional programs.
5        (6) Provide pertinent information to prospective new
6    businesses.
7        (7) Formulate and pursue programs for encouraging the
8    location of new businesses in the State and for retaining
9    and fostering the growth of existing businesses.
10        (8) Solicit the involvement of the private sector,
11    including support and funding, for economic development
12    initiatives in the State.
13        (9) Coordinate the economic development efforts of
14    other State and local entities in an effort to achieve
15    policy consistency.
16        (10) Collect and maintain any economic data and
17    research that is relevant to the formulation and
18    implementation of effective policies.
19        (11) Cooperate with and provide information to State
20    agencies, local governments, community colleges, and State
21    universities on economic development matters, including
22    the areas of workforce development and job training.
 
23    Section 60. Oversight of Corporation.
24    (a) In performing delegated functions pursuant to Section
2535 or when engaged in activities that utilize public funding,

 

 

09700HB2083sam002- 32 -LRB097 10539 JWD 69891 a

1the Corporation shall comply with the provisions of this
2Section.
3    (b) The Corporation shall submit an annual report to the
4Governor, General Assembly, and the Auditor General on January
515 of each year. The report shall include the Corporation's
6operations and activities during the prior fiscal year to the
7extent that such operations and activities pertain to the
8functions delegated to the Corporation by the Authority, as
9provided in Sections 35 and 55 of this Act.
10        (1) The report shall describe how the operations and
11    activities serve the interests of the State and further
12    economic development.
13        (2) An annual audit of the Corporation performed by a
14    certified public accountant in accordance with generally
15    accepted accounting principles shall be filed with the
16    office of the Auditor General and made available to the
17    public.
18    (c) The deliberations or meetings of the Board of Directors
19of the Corporation that pertain to the performance of delegated
20functions or activities that utilize public funding shall be
21conducted in accordance with the Open Meetings Act.
22    (d) All of the following shall be subject to Freedom of
23Information Act:
24        (1) Minutes of the meetings conducted in accordance
25    with subsection (c).
26        (2) All records pertaining to the performance by the

 

 

09700HB2083sam002- 33 -LRB097 10539 JWD 69891 a

1    Corporation of delegated functions or activities that
2    utilize public funding.
 
3    Section 75. The Statute on Statutes is amended by adding
4Section 1.39 as follows:
 
5    (5 ILCS 70/1.39 new)
6    Sec. 1.39. Department of Commerce and Economic
7Opportunity. References to the Department of Commerce and
8Economic Opportunity or the Department of Commerce and
9Community Affairs shall be construed as references to the
10Illinois Economic Development Authority created by the
11Illinois Business and Economic Advocacy and Development Act.
12All references to the Director of the Department of Commerce
13and Economic Opportunity or the Department of Commerce and
14Community Affairs shall be construed as references to the
15Executive Director of the Illinois Economic Development
16Authority created by the Illinois Business and Economic
17Advocacy and Development Act.
 
18    Section 80. The Executive Reorganization Implementation
19Act is amended by changing Section 3.1 as follows:
 
20    (15 ILCS 15/3.1)  (from Ch. 127, par. 1803.1)
21    Sec. 3.1. "Agency directly responsible to the Governor" or
22"agency" means any office, officer, division, or part thereof,

 

 

09700HB2083sam002- 34 -LRB097 10539 JWD 69891 a

1and any other office, nonelective officer, department,
2division, bureau, board, or commission in the executive branch
3of State government, except that it does not apply to any
4agency whose primary function is service to the General
5Assembly or the Judicial Branch of State government, or to any
6agency administered by the Attorney General, Secretary of
7State, State Comptroller or State Treasurer. In addition the
8term does not apply to the following agencies created by law
9with the primary responsibility of exercising regulatory or
10adjudicatory functions independently of the Governor:
11    (1) the State Board of Elections;
12    (2) the State Board of Education;
13    (3) the Illinois Commerce Commission;
14    (4) the Illinois Workers' Compensation Commission;
15    (5) the Civil Service Commission;
16    (6) the Fair Employment Practices Commission;
17    (7) the Pollution Control Board;
18    (8) the Department of State Police Merit Board;
19    (9) the Illinois Racing Board;
20    (10) the Illinois Power Agency. ;
21    (11) the Illinois Economic Development Authority.
22(Source: P.A. 96-796, eff. 10-29-09; 97-618, eff. 10-26-11.)
 
23    Section 85. The Civil Administrative Code of Illinois is
24amended by changing Sections 5-15 and 5-20 as follows:
 

 

 

09700HB2083sam002- 35 -LRB097 10539 JWD 69891 a

1    (20 ILCS 5/5-15)  (was 20 ILCS 5/3)
2    Sec. 5-15. Departments of State government. The
3Departments of State government are created as follows:
4    The Department on Aging.
5    The Department of Agriculture.
6    The Department of Central Management Services.
7    The Department of Children and Family Services.
8    The Department of Commerce and Economic Opportunity.
9    The Department of Corrections.
10    The Department of Employment Security.
11    The Illinois Emergency Management Agency.
12    The Department of Financial and Professional Regulation.
13    The Department of Healthcare and Family Services.
14    The Department of Human Rights.
15    The Department of Human Services.
16    The Department of Juvenile Justice.
17    The Department of Labor.
18    The Department of the Lottery.
19    The Department of Natural Resources.
20    The Department of Public Health.
21    The Department of Revenue.
22    The Department of State Police.
23    The Department of Transportation.
24    The Department of Veterans' Affairs.
25(Source: P.A. 96-328, eff. 8-11-09; 97-618, eff. 10-26-11.)
 

 

 

09700HB2083sam002- 36 -LRB097 10539 JWD 69891 a

1    (20 ILCS 5/5-20)  (was 20 ILCS 5/4)
2    Sec. 5-20. Heads of departments. Each department shall have
3an officer as its head who shall be known as director or
4secretary and who shall, subject to the provisions of the Civil
5Administrative Code of Illinois, execute the powers and
6discharge the duties vested by law in his or her respective
7department.
8    The following officers are hereby created:
9    Director of Aging, for the Department on Aging.
10    Director of Agriculture, for the Department of
11Agriculture.
12    Director of Central Management Services, for the
13Department of Central Management Services.
14    Director of Children and Family Services, for the
15Department of Children and Family Services.
16    Director of Commerce and Economic Opportunity, for the
17Department of Commerce and Economic Opportunity.
18    Director of Corrections, for the Department of
19Corrections.
20    Director of the Illinois Emergency Management Agency, for
21the Illinois Emergency Management Agency.
22    Director of Employment Security, for the Department of
23Employment Security.
24    Secretary of Financial and Professional Regulation, for
25the Department of Financial and Professional Regulation.
26    Director of Healthcare and Family Services, for the

 

 

09700HB2083sam002- 37 -LRB097 10539 JWD 69891 a

1Department of Healthcare and Family Services.
2    Director of Human Rights, for the Department of Human
3Rights.
4    Secretary of Human Services, for the Department of Human
5Services.
6    Director of Juvenile Justice, for the Department of
7Juvenile Justice.
8    Director of Labor, for the Department of Labor.
9    Director of Natural Resources, for the Department of
10Natural Resources.
11    Director of Public Health, for the Department of Public
12Health.
13    Director of Revenue, for the Department of Revenue.
14    Director of State Police, for the Department of State
15Police.
16    Secretary of Transportation, for the Department of
17Transportation.
18    Director of Veterans' Affairs, for the Department of
19Veterans' Affairs.
20(Source: P.A. 96-328, eff. 8-11-09; 97-464, eff. 10-15-11;
2197-618, eff. 10-26-11; revised 11-9-11.)
 
22    Section 90. The Department of Commerce and Economic
23Opportunity Law of the Civil Administrative Code of Illinois is
24amended by changing Section 605-5 as follows:
 

 

 

09700HB2083sam002- 38 -LRB097 10539 JWD 69891 a

1    (20 ILCS 605/605-5)  (was 20 ILCS 605/46.1 in part)
2    Sec. 605-5. Definitions. As used in the Sections following
3this Section:
4    "Department" means the Department of Commerce and Economic
5Opportunity. On or after the effective date of this amendatory
6Act of the 97th General Assembly, "Department" shall be
7construed to mean the Illinois Economic Development Authority
8created by the Illinois Business and Economic Advocacy and
9Development Act.
10    "Director" means the Director of Commerce and Economic
11Opportunity. On or after the effective date of this amendatory
12Act of the 97th General Assembly, "Director" shall be construed
13to mean the Executive Director of the Illinois Economic
14Development Authority created by the Illinois Business and
15Economic Advocacy and Development Act.
16    "Local government" means every county, municipality,
17township, school district, and other local political
18subdivision having authority to enact laws and ordinances, to
19administer laws and ordinances, to raise taxes, or to expend
20funds.
21(Source: P.A. 93-25, eff. 6-20-03.)
 
22    Section 95. The State Finance Act is amended by adding
23Section 5.811 as follows:
 
24    (30 ILCS 105/5.811 new)

 

 

09700HB2083sam002- 39 -LRB097 10539 JWD 69891 a

1    Sec. 5.811. The Illinois Economic Development Authority
2Fund.
 
3    (20 ILCS 5/5-120 rep.)
4    (20 ILCS 5/5-330 rep.)
5    Section 105. The Civil Administrative Code of Illinois is
6amended by repealing Sections 5-120 and 5-330.
 
7    Section 999. Effective date. This Act takes effect upon
8becoming law.".