99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
SB2399

 

Introduced 2/3/2016, by Sen. Iris Y. Martinez

 

SYNOPSIS AS INTRODUCED:
 
New Act

    Creates the Chicago Local Government Vendor Diversity Act. Creates the Chicago Local Government Vendor Diversity Task Force to promote and encourage open access in the awarding of governmental contracts to businesses with diverse hiring practices. Sets forth the membership of the Task Force and the terms of office of its members. Provides that the Department of Central Management Services shall house, staff, and otherwise provide day-to-day support to the Task Force necessary to achieve the policy objectives and enforcement described in the Act. Requires vendors who enter into a contracts with a governmental participant on or after January 1, 2017 to file certain reports with the Department of Central Management Services. Provides that each vendor that fails to file a report is ineligible to do any business with or provide any services to any governmental participant. Effective immediately.


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FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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1    AN ACT concerning finance.
 
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
5Chicago Local Government Vendor Diversity Act.
 
6    Section 5. Definitions. For the purposes of this Act:
7    "Department" means the Department of Central Management
8Services.
9    "Governmental participant" means any political
10subdivision, sanitary district, special district, non-home
11rule unit of local government, pension fund, or defined
12contribution plan located or having a principal place of
13business in the City of Chicago, other than the City of Chicago
14or any department, agency, or commission of the City of
15Chicago.
16    "Minority person" means a person who is a citizen or lawful
17permanent resident of the United States and who is any of the
18following:
19        (1) American Indian or Alaska Native (a person having
20    origins in any of the original peoples of North and South
21    America, including Central America, and who maintains
22    tribal affiliation or community attachment).
23        (2) Asian (a person having origins in any of the

 

 

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1    original peoples of the Far East, Southeast Asia, or the
2    Indian subcontinent, including, but not limited to,
3    Cambodia, China, India, Japan, Korea, Malaysia, Pakistan,
4    the Philippine Islands, Thailand, and Vietnam).
5        (3) Black or African-American (a person having origins
6    in any of the black racial groups of Africa).
7        (4) Hispanic or Latino (a person of Cuban, Mexican,
8    Puerto Rican, South or Central American, or other Spanish
9    culture or origin, regardless of race).
10        (5) Native Hawaiian or Other Pacific Islander (a person
11    having origins in any of the original peoples of Hawaii,
12    Guam, Samoa, or other Pacific Islands).
13    "Task Force" means the Chicago Local Government Vendor
14Diversity Task Force.
15    "Vendor" means any law firm, financial advisor, municipal
16advisor, bank, trustee, verification agent, fund manager,
17asset manager, institutional investment manager, fund
18consultant or underwriter that provides any professional
19service to any governmental participant (as defined hereafter)
20in connection with debt obligation transactions, auditing,
21financial services, asset management services, or brokerage
22services.
23    "Woman" means a person who is a citizen or lawful permanent
24resident of the United States and who is of the female gender.
 
25    Section 10. Chicago Local Government Vendor Diversity Task

 

 

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1Force.
2    (a) There is created the Chicago Local Government Vendor
3Diversity Task Force to promote and encourage open access in
4the awarding of governmental contracts to businesses with
5diverse hiring practices. The State of Illinois further
6declares that it is the public policy of this State to promote
7and encourage the continuous economic development of
8businesses that hire and promote minority persons and women.
9For this propose, the Task Force has the authority to oversee
10all aspects of the diversity reporting initiative created by
11this Act. The Task Force may adopt rules under the Illinois
12Administrative Procedure Act to further administer the above
13described policy objective.
14    (b) The Task Force shall be composed of the following
15members serving without compensation:
16        (1) 3 members appointed by the Speaker of the House of
17    Representatives;
18        (2) 3 members appointed by the President of the Senate;
19    and
20        (3) 3 members appointed by the Governor.
21    (c) The Speaker of the House of Representatives, the
22President of the Senate, and the Governor shall each make their
23initial appointments to the Task Force within 45 days after the
24effective date of this Act. The terms of office of the initial
25members appointed shall begin on January 1, 2017. Of the
26initial members appointed, one member appointed by each

 

 

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1appointing authority shall be appointed for a 2-year term; one
2member appointed by each appointing authority shall be
3appointed for a 3-year term; and one member appointed by each
4appointing authority shall be appointed for a 4-year term.
5Those members shall serve until their successors are appointed
6and qualified. Thereafter, all members shall be appointed for
7terms of 4 years and shall serve until their successors are
8appointed and qualified. Appointments to fill vacancies shall
9be made in the same manner as the original appointments for the
10unexpired portion of the vacated term.
11    (d) No more than 6 members of the Task Force shall be
12affiliated with the same political party.
13    (e) As soon as practicable after the initial members of the
14Task Force have been appointed, they shall meet and elect a
15chairman and a secretary. The chairman and secretary shall be
16elected by the Task Force from among its members for terms of 2
17years or for the remainder of their term of office as a member
18of the Task Force, whichever is shorter. The Task Force is
19subject to the Open Meetings Act. The Task Force shall hold
20regular quarterly meetings and such other meetings as may be
21called by the chairman.
22    (f) The Department shall house, staff, and otherwise
23provide day-to-day support to the Task Force necessary to
24achieve the policy objectives and enforcement described in this
25Act.
26    (g) The Task Force has the power to investigate the

 

 

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1enforcement of this Act and its rules.
 
2    Section 15. Reporting requirements.
3    (a) The Department shall produce 2 forms requesting from
4vendors demographic information of those professionals who
5will participate in the performance required under the contract
6with the governmental participant: (i) a front-end report of
7professionals and (ii) a supplemental report of professionals.
8Each vendor who enters into a contract with a governmental
9participant on or after January 1, 2017 shall accurately report
10and file with the Department of Central Management Services
11both a front-end report upon entering into the contract and a
12supplemental report upon completion of the contract.
13    (b) All vendors who are required to file reports under
14subsection (a) shall, at the time of executing the contract
15with the governmental participant, complete the front-end
16report and submit it to the Department. The vendor shall
17disclose to the Department those professionals who are expected
18to participate in the performance of the contract and shall
19provide within the front-end report the following with respect
20to each such professional:
21        (1) racial, ethnic background, and gender;
22        (2) position within the company; and
23        (3) job title.
24    (c) Within 30 days after the completion of performance
25under the contract, the vendor shall file with the Department a

 

 

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1supplemental report stating the following:
2        (1) the total time the vendor worked, per the terms of
3    the contract;
4        (2) the racial, ethnic background, and gender of each
5    professional who participated in the performance required
6    under the contract; and
7        (3) the amount of time spent by each such professional
8    to work on the performance required under the contract.
9    (d) The Department shall, by rule, provide that each vendor
10that fails to file a report under this Section is ineligible to
11do any business with or provide services to any governmental
12participant and may grant extensions of the time to file a
13report for good cause shown. The Department shall adopt rules
14necessary to establish procedures to reinstate vendors who have
15been declared ineligible.
16    (e) The Department shall deliver to the Task Force each
17quarter all collected data, vendor forms, information, and
18reports, together with a list of vendors who failed to comply.
19    (f) The Task Force shall report its findings and
20recommendations to the Governor, the General Assembly, and the
21City Council of the City of Chicago by December 31, 2017 and by
22December 31 of each year thereafter through December 31, 2026.
 
23    Section 20. Repeal. This Act is repealed on January 1,
242028.
 
25    Section 99. Effective date. This Act takes effect upon

 

 

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1becoming law.