SB0534sam003 101ST GENERAL ASSEMBLY

Sen. Emil Jones, III

Filed: 5/23/2019

 

 


 

 


 
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1
AMENDMENT TO SENATE BILL 534

2    AMENDMENT NO. ______. Amend Senate Bill 534 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The Department of Labor Law of the Civil
5Administrative Code of Illinois is amended by adding Section
61505-215 as follows:
 
7    (20 ILCS 1505/1505-215 new)
8    Sec. 1505-215. Bureau on Apprenticeship Programs; Advisory
9Board.
10    (a) There is created within the Department of Labor a
11Bureau on Apprenticeship Programs. This Bureau shall work to
12increase minority participation in active apprentice programs
13in Illinois that are approved by the United States Department
14of Labor. The Bureau shall identify barriers to minorities
15gaining access to construction careers and make
16recommendations to the Governor and the General Assembly for

 

 

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1policies to remove those barriers. The Department may hire
2staff to perform outreach in promoting diversity in active
3apprenticeship programs approved by the United States
4Department of Labor. The Bureau shall annually compile racial
5and gender workforce diversity information from contractors
6receiving State or other public funds and by labor unions with
7members working on projects receiving State or other public
8funds.
9    (b) There is created the Advisory Board for Diversity in
10Active Apprenticeship Programs Approved by the United States
11Department of Labor. This Advisory Board shall be composed of
1212 legislators; 3 members appointed by the President of the
13Senate, 3 members appointed by the Speaker of the House of
14Representatives, 3 members appointed by the Minority Leader of
15the Senate, and 3 members appointed by the Minority Leader of
16the House of Representatives. The President of the Senate and
17the Speaker of the House of Representatives shall each appoint
18a co-chairperson. Members of the Advisory Board shall receive
19no compensation for serving as members of the Advisory Board.
20The Advisory Board shall meet quarterly. The Advisory Board may
21request necessary additional information from the Department
22for the purposes of performing its duties under this Section.
23The Advisory Board may advise the Department of programs to
24increase diversity in active apprenticeship programs. The
25Department shall provide administrative support and staffing
26for the Advisory Board.
 

 

 

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1    Section 10. The Business Enterprise for Minorities, Women,
2and Persons with Disabilities Act is amended by changing
3Sections 4, 4f, and 7 as follows:
 
4    (30 ILCS 575/4)  (from Ch. 127, par. 132.604)
5    (Section scheduled to be repealed on June 30, 2020)
6    Sec. 4. Award of State contracts.
7    (a) Except as provided in subsections (b) and (c), not less
8than 20% of the total dollar amount of State contracts, as
9defined by the Secretary of the Council and approved by the
10Council, shall be established as an aspirational goal to be
11awarded to businesses owned by minorities, women, and persons
12with disabilities; provided, however, that of the total amount
13of all State contracts awarded to businesses owned by
14minorities, women, and persons with disabilities pursuant to
15this Section, contracts representing at least 11% shall be
16awarded to businesses owned by minorities, contracts
17representing at least 7% shall be awarded to women-owned
18businesses, and contracts representing at least 2% shall be
19awarded to businesses owned by persons with disabilities.
20    The above percentage relates to the total dollar amount of
21State contracts during each State fiscal year, calculated by
22examining independently each type of contract for each agency
23or public institutions of higher education which lets such
24contracts. Only that percentage of arrangements which

 

 

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1represents the participation of businesses owned by
2minorities, women, and persons with disabilities on such
3contracts shall be included.
4    (b) In the case of State construction contracts, the
5provisions of subsection (a) requiring a portion of State
6contracts to be awarded to businesses owned and controlled by
7persons with disabilities do not apply. The following
8aspirational goals are established for State construction
9contracts: not less than 20% of the total dollar amount of
10State construction contracts is established as a goal to be
11awarded to businesses owned by minorities, women, and persons
12with disabilities. Contracts representing at least 11% of the
13total dollar amount of State construction contracts shall be
14awarded to businesses owned by minorities. Contracts
15representing at least 7% of the total dollar amount of State
16construction contracts shall be awarded to women-owned
17businesses. Contracts representing at least 2% of the total
18dollar amount of State construction contracts shall be awarded
19to businesses owned by persons with disabilities
20minority-owned and women-owned businesses.
21    (c) (Blank). In the case of all work undertaken by the
22University of Illinois related to the planning, organization,
23and staging of the games, the University of Illinois shall
24establish a goal of awarding not less than 25% of the annual
25dollar value of all contracts, purchase orders, and other
26agreements (collectively referred to as "the contracts") to

 

 

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1minority-owned businesses or businesses owned by a person with
2a disability and 5% of the annual dollar value the contracts to
3women-owned businesses. For purposes of this subsection, the
4term "games" has the meaning set forth in the Olympic Games and
5Paralympic Games (2016) Law.
6    (d) Within one year after April 28, 2009 (the effective
7date of Public Act 96-8), the Department of Central Management
8Services shall conduct a social scientific study that measures
9the impact of discrimination on minority and women business
10development in Illinois. Within 18 months after April 28, 2009
11(the effective date of Public Act 96-8), the Department shall
12issue a report of its findings and any recommendations on
13whether to adjust the goals for minority and women
14participation established in this Act. Copies of this report
15and the social scientific study shall be filed with the
16Governor and the General Assembly.
17    (e) Except as permitted under this Act or as otherwise
18mandated by federal law or regulation, those who submit bids or
19proposals for State contracts subject to the provisions of this
20Act, whose bids or proposals are successful and include a
21utilization plan but that fail to meet the goals set forth in
22subsection (b) of this Section, shall be notified of that
23deficiency and shall be afforded a period not to exceed 10
24calendar days from the date of notification to cure that
25deficiency in the bid or proposal. The deficiency in the bid or
26proposal may only be cured by contracting with additional

 

 

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1subcontractors who are owned by minorities or women, but in no
2case shall an identified subcontractor with a certification
3made pursuant to this Act be terminated from the contract
4without the written consent of the State agency or public
5institution of higher education entering into the contract.
6    (f) Non-construction solicitations that include Business
7Enterprise Program participation goals shall require bidders
8and offerors to include utilization plans. Utilization plans
9are due at the time of bid or offer submission. Failure to
10complete and include a utilization plan, including
11documentation demonstrating good faith effort when requesting
12a waiver, shall render the bid or offer non-responsive.
13(Source: P.A. 99-462, eff. 8-25-15; 99-514, eff. 6-30-16;
14100-391, eff. 8-25-17.)
 
15    (30 ILCS 575/4f)
16    (Section scheduled to be repealed on June 30, 2020)
17    Sec. 4f. Award of State contracts.
18    (1) It is hereby declared to be the public policy of the
19State of Illinois to promote and encourage each State agency
20and public institution of higher education to use businesses
21owned by minorities, women, and persons with disabilities in
22the area of goods and services, including, but not limited to,
23insurance services, investment management services,
24information technology services, accounting services,
25architectural and engineering services, and legal services.

 

 

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1Furthermore, each State agency and public institution of higher
2education shall utilize such firms to the greatest extent
3feasible within the bounds of financial and fiduciary prudence,
4and take affirmative steps to remove any barriers to the full
5participation of such firms in the procurement and contracting
6opportunities afforded.
7        (a) When a State agency or public institution of higher
8    education, other than a community college, awards a
9    contract for insurance services, for each State agency or
10    public institution of higher education, it shall be the
11    aspirational goal to use insurance brokers owned by
12    minorities, women, and persons with disabilities as
13    defined by this Act, for not less than 20% of the total
14    annual premiums or fees. Contracts representing at least
15    11% of the total annual premiums or fees shall be awarded
16    to businesses owned by minorities. Contracts representing
17    at least 7% of the total annual premiums or fees shall be
18    awarded to women-owned businesses. Contracts representing
19    at least 2% of the total annual premiums or fees shall be
20    awarded to businesses owned by persons with disabilities.
21        (b) When a State agency or public institution of higher
22    education, other than a community college, awards a
23    contract for investment services, for each State agency or
24    public institution of higher education, it shall be the
25    aspirational goal to use emerging investment managers
26    owned by minorities, women, and persons with disabilities

 

 

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1    as defined by this Act, for not less than 20% of the total
2    funds under management. Contracts representing at least
3    11% of the total funds under management shall be awarded to
4    businesses owned by minorities. Contracts representing at
5    least 7% of the total funds under management shall be
6    awarded to women-owned businesses. Contracts representing
7    at least 2% of the total funds under management shall be
8    awarded to businesses owned by persons with disabilities.
9    Furthermore, it is the aspirational goal that not less than
10    20% of the direct asset managers of the State funds be
11    minorities, women, and persons with disabilities.
12        (c) When a State agency or public institution of higher
13    education, other than a community college, awards
14    contracts for information technology services, accounting
15    services, architectural and engineering services, and
16    legal services, for each State agency and public
17    institution of higher education, it shall be the
18    aspirational goal to use such firms owned by minorities,
19    women, and persons with disabilities as defined by this Act
20    and lawyers who are minorities, women, and persons with
21    disabilities as defined by this Act, for not less than 20%
22    of the total dollar amount of State contracts. Contracts
23    representing at least 11% of the total dollar amount of
24    State contracts shall be awarded to businesses owned by
25    minorities or minority lawyers. Contracts representing at
26    least 7% of the total dollar amount of State contracts

 

 

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1    shall be awarded to women-owned businesses or women who are
2    lawyers. Contracts representing at least 2% of the total
3    dollar amount of State contracts shall be awarded to
4    businesses owned by persons with disabilities or persons
5    with disabilities who are lawyers.
6        (d) When a community college awards a contract for
7    insurance services, investment services, information
8    technology services, accounting services, architectural
9    and engineering services, and legal services, it shall be
10    the aspirational goal of each community college to use
11    businesses owned by minorities, women, and persons with
12    disabilities as defined in this Act for not less than 20%
13    of the total amount spent on contracts for these services
14    collectively. Contracts representing at least 11% of the
15    total amount spent on contracts for these services shall be
16    awarded to businesses owned by minorities. Contracts
17    representing at least 7% of the total amount spent on
18    contracts for these services shall be awarded to
19    women-owned businesses. Contracts representing at least 2%
20    of the total amount spent on contracts for these services
21    shall be awarded to businesses owned by persons with
22    disabilities. When a community college awards contracts
23    for investment services, contracts awarded to investment
24    managers who are not emerging investment managers as
25    defined in this Act shall not be considered businesses
26    owned by minorities, women, or persons with disabilities

 

 

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1    for the purposes of this Section.
2    (2) As used in this Section:
3        "Accounting services" means the measurement,
4    processing and communication of financial information
5    about economic entities including, but is not limited to,
6    financial accounting, management accounting, auditing,
7    cost containment and auditing services, taxation and
8    accounting information systems.
9        "Architectural and engineering services" means
10    professional services of an architectural or engineering
11    nature, or incidental services, that members of the
12    architectural and engineering professions, and individuals
13    in their employ, may logically or justifiably perform,
14    including studies, investigations, surveying and mapping,
15    tests, evaluations, consultations, comprehensive planning,
16    program management, conceptual designs, plans and
17    specifications, value engineering, construction phase
18    services, soils engineering, drawing reviews, preparation
19    of operating and maintenance manuals, and other related
20    services.
21        "Emerging investment manager" means an investment
22    manager or claims consultant having assets under
23    management below $10 billion or otherwise adjudicating
24    claims.
25        "Information technology services" means, but is not
26    limited to, specialized technology-oriented solutions by

 

 

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1    combining the processes and functions of software,
2    hardware, networks, telecommunications, web designers,
3    cloud developing resellers, and electronics.
4        "Insurance broker" means an insurance brokerage firm,
5    claims administrator, or both, that procures, places all
6    lines of insurance, or administers claims with annual
7    premiums or fees of at least $5,000,000 but not more than
8    $10,000,000.
9        "Legal services" means work performed by a lawyer
10    including, but not limited to, contracts in anticipation of
11    litigation, enforcement actions, or investigations.
12    (3) Each State agency and public institution of higher
13education shall adopt policies that identify its plan and
14implementation procedures for increasing the use of service
15firms owned by minorities, women, and persons with
16disabilities.
17    (4) Except as provided in subsection (5), the Council shall
18file no later than March 1 of each year an annual report to the
19Governor and the General Assembly. The report filed with the
20General Assembly shall be filed as required in Section 3.1 of
21the General Assembly Organization Act. This report shall: (i)
22identify the service firms used by each State agency and public
23institution of higher education, (ii) identify the actions it
24has undertaken to increase the use of service firms owned by
25minorities, women, and persons with disabilities, including
26encouraging non-minority-owned firms to use other service

 

 

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1firms owned by minorities, women, and persons with disabilities
2as subcontractors when the opportunities arise, (iii) state any
3recommendations made by the Council to each State agency and
4public institution of higher education to increase
5participation by the use of service firms owned by minorities,
6women, and persons with disabilities, and (iv) include the
7following:
8        (A) For insurance services: the names of the insurance
9    brokers or claims consultants used, the total of risk
10    managed by each State agency and public institution of
11    higher education by insurance brokers, the total
12    commissions, fees paid, or both, the lines or insurance
13    policies placed, and the amount of premiums placed; and the
14    percentage of the risk managed by insurance brokers, the
15    percentage of total commission, fees paid, or both, the
16    lines or insurance policies placed, and the amount of
17    premiums placed with each by the insurance brokers owned by
18    minorities, women, and persons with disabilities by each
19    State agency and public institution of higher education.
20        (B) For investment management services: the names of
21    the investment managers used, the total funds under
22    management of investment managers; the total commissions,
23    fees paid, or both; the total and percentage of funds under
24    management of emerging investment managers owned by
25    minorities, women, and persons with disabilities,
26    including the total and percentage of total commissions,

 

 

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1    fees paid, or both by each State agency and public
2    institution of higher education.
3        (C) The names of service firms, the percentage and
4    total dollar amount paid for professional services by
5    category by each State agency and public institution of
6    higher education.
7        (D) The names of service firms, the percentage and
8    total dollar amount paid for services by category to firms
9    owned by minorities, women, and persons with disabilities
10    by each State agency and public institution of higher
11    education.
12        (E) The total number of contracts awarded for services
13    by category and the total number of contracts awarded to
14    firms owned by minorities, women, and persons with
15    disabilities by each State agency and public institution of
16    higher education.
17    (5) For community college districts, the Business
18Enterprise Council shall only report the following information
19for each community college district: (i) the name of the
20community colleges in the district, (ii) the name and contact
21information of a person at each community college appointed to
22be the single point of contact for vendors owned by minorities,
23women, or persons with disabilities, (iii) the policy of the
24community college district concerning certified vendors, (iv)
25the certifications recognized by the community college
26district for determining whether a business is owned or

 

 

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1controlled by a minority, woman, or person with a disability,
2(v) outreach efforts conducted by the community college
3district to increase the use of certified vendors, (vi) the
4total expenditures by the community college district in the
5prior fiscal year in the divisions of work specified in
6paragraphs (a), (b), and (c) of subsection (1) of this Section
7and the amount paid to certified vendors in those divisions of
8work, and (vii) the total number of contracts entered into for
9the divisions of work specified in paragraphs (a), (b), and (c)
10of subsection (1) of this Section and the total number of
11contracts awarded to certified vendors providing these
12services to the community college district. The Business
13Enterprise Council shall not make any utilization reports under
14this Act for community college districts for Fiscal Year 2015
15and Fiscal Year 2016, but shall make the report required by
16this subsection for Fiscal Year 2017 and for each fiscal year
17thereafter. The Business Enterprise Council shall report the
18information in items (i), (ii), (iii), and (iv) of this
19subsection beginning in September of 2016. The Business
20Enterprise Council may collect the data needed to make its
21report from the Illinois Community College Board.
22    (6) The status of the utilization of services shall be
23discussed at each of the regularly scheduled Business
24Enterprise Council meetings. Time shall be allotted for the
25Council to receive, review, and discuss the progress of the use
26of service firms owned by minorities, women, and persons with

 

 

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1disabilities by each State agency and public institution of
2higher education; and any evidence regarding past or present
3racial, ethnic, or gender-based discrimination which directly
4impacts a State agency or public institution of higher
5education contracting with such firms. If after reviewing such
6evidence the Council finds that there is or has been such
7discrimination against a specific group, race or sex, the
8Council shall establish sheltered markets or adjust existing
9sheltered markets tailored to address the Council's specific
10findings for the divisions of work specified in paragraphs (a),
11(b), and (c) of subsection (1) of this Section.
12(Source: P.A. 99-462, eff. 8-25-15; 99-642, eff. 7-28-16;
13100-391, eff. 8-25-17.)
 
14    (30 ILCS 575/7)  (from Ch. 127, par. 132.607)
15    (Section scheduled to be repealed on June 30, 2020)
16    Sec. 7. Exemptions; waivers; publication of data.
17    (1) Individual contract exemptions. The Council, on its own
18initiative or at the request of the affected agency, public
19institution of higher education, or recipient of a grant or
20loan of State funds of $250,000 or more complying with Section
2145 of the State Finance Act, may permit an individual contract
22or contract package, (related contracts being bid or awarded
23simultaneously for the same project or improvements) be made
24wholly or partially exempt from State contracting goals for
25businesses owned by minorities, women, and persons with

 

 

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1disabilities prior to the advertisement for bids or
2solicitation of proposals whenever there has been a
3determination, reduced to writing and based on the best
4information available at the time of the determination, that
5there is an insufficient number of businesses owned by
6minorities, women, and persons with disabilities to ensure
7adequate competition and an expectation of reasonable prices on
8bids or proposals solicited for the individual contract or
9contract package in question.
10        (a) Written request for contract exemption. A written
11    request for an individual contract exception must include,
12    but is not limited to, the following:
13            (i) a list of qualified businesses owned by
14        minorities, women, and persons with disabilities that
15        would qualify for the purpose of the contract;
16            (ii) each business's deficiency that would impair
17        adequate competition or qualification; and
18            (iii) the difference in cost between the contract
19        proposals being offered by businesses owned by
20        minorities, women, and persons with disabilities and
21        the agency or the public institution of higher
22        education's expectations of reasonable prices on bids
23        or proposals within that class.
24        (b) Determination. The Council's determination
25    concerning an individual contract exemption must include
26    the following:

 

 

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1            (i) the justification for each business's
2        disqualification;
3            (ii) the number of waivers of the affected agency,
4        public institution of higher education, or recipient
5        of a grant or loan of State funds of $250,000 or more
6        complying with Section 45 of the State Finance Act that
7        have been granted by the Council for that fiscal year;
8        and
9            (iii) the affected agency or public institution of
10        higher education's most current percentages in
11        contracts awarded to businesses owned by minorities,
12        women, and persons with disabilities for that fiscal
13        year.
14    (2) Class exemptions.
15        (a) Creation. The Council, on its own initiative or at
16    the request of the affected agency or public institution of
17    higher education, may permit an entire class of contracts
18    be made exempt from State contracting goals for businesses
19    owned by minorities, women, and persons with disabilities
20    whenever there has been a determination, reduced to writing
21    and based on the best information available at the time of
22    the determination, that there is an insufficient number of
23    qualified businesses owned by minorities, women, and
24    persons with disabilities to ensure adequate competition
25    and an expectation of reasonable prices on bids or
26    proposals within that class.

 

 

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1        (a-1) Written request for class exemption. A written
2    request for a class exception must include, but is not
3    limited to, the following:
4            (i) a list of qualified businesses owned by
5        minorities, women, and persons with disabilities that
6        pertain to the class of contracts in the requested
7        waiver;
8            (ii) each business's deficiency that would impair
9        adequate competition or qualification; and
10            (iii) the difference in cost between the contract
11        proposals being offered by businesses owned by
12        minorities, women, and persons with disabilities and
13        the agency or the public institution of higher
14        education's expectations of reasonable prices on bids
15        or proposals within that class.
16        (a-2) Determination. The Council's determination
17    concerning class exemptions must include the following:
18            (i) the justification for each business's
19        disqualification;
20            (ii) the number of waivers of the requesting agency
21        or public institution of higher education that have
22        been granted by the Council for that fiscal year; and
23            (iii) the agency or public institution of higher
24        education's most current percentages in contracts
25        awarded to businesses owned by minorities, women, and
26        persons with disabilities for that fiscal year.

 

 

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1        (b) Limitation. Any such class exemption shall not be
2    permitted for a period of more than one year at a time.
3    (3) Waivers. Where a particular contract requires a
4contractor to meet a goal established pursuant to this Act, the
5contractor shall have the right to request a waiver from such
6requirements. The Council shall grant the waiver where the
7contractor demonstrates that there has been made a good faith
8effort to comply with the goals for participation by businesses
9owned by minorities, women, and persons with disabilities.
10        (a) Request for waiver. A contractor's request for a
11    waiver under this subsection (3) must include, but is not
12    limited to, the following:
13            (i) a list of qualified businesses owned by
14        minorities, women, and persons with disabilities that
15        pertain to the class of contracts in the requested
16        waiver;
17            (ii) each business's deficiency that would impair
18        adequate competition or qualification;
19            (iii) the difference in cost between the contract
20        proposals being offered by businesses owned by
21        minorities, women, and persons with disabilities and
22        the agency or the public institution of higher
23        education's expectations of reasonable prices on bids
24        or proposals within that class.
25        (b) Determination. The Council's determination
26    concerning waivers must include following:

 

 

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1            (i) the justification for each business's
2        disqualification;
3            (ii) the number of waivers the contractor has been
4        granted by the Council for that fiscal year; and
5            (iii) the affected agency or public institution of
6        higher education's most current percentages in
7        contracts awarded to businesses owned by minorities,
8        women, and persons with disabilities for that fiscal
9        year.
10    (4) Conflict with other laws. In the event that any State
11contract, which otherwise would be subject to the provisions of
12this Act, is or becomes subject to federal laws or regulations
13which conflict with the provisions of this Act or actions of
14the State taken pursuant hereto, the provisions of the federal
15laws or regulations shall apply and the contract shall be
16interpreted and enforced accordingly.
17    (5) Each chief procurement officer, as defined in the
18Illinois Procurement Code, shall maintain on his or her
19official Internet website a database of the following: (i)
20waivers granted under this Section with respect to contracts
21under his or her jurisdiction; (ii) a State agency or public
22institution of higher education's written request for an
23exemption of an individual contract or an entire class of
24contracts; and (iii) The Council's written determination
25granting or denying a request for an exemption of an individual
26contract or an entire class of contracts. The database, which

 

 

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1shall be updated periodically as necessary, shall be searchable
2by contractor name and by contracting State agency.
3    (6) Each chief procurement officer, as defined by the
4Illinois Procurement Code, shall maintain on its website a list
5of all firms that have been prohibited from bidding, offering,
6or entering into a contract with the State of Illinois as a
7result of violations of this Act.
8    Each public notice required by law of the award of a State
9contract shall include for each bid or offer submitted for that
10contract the following: (i) the bidder's or offeror's name,
11(ii) the bid amount, (iii) the name or names of the certified
12firms identified in the bidder's or offeror's submitted
13utilization plan, and (iv) the bid's amount and percentage of
14the contract awarded to businesses owned by minorities, women,
15and persons with disabilities identified in the utilization
16plan.
17(Source: P.A. 99-462, eff. 8-25-15; 100-391, eff. 8-25-17.)
 
18    Section 15. The Criminal Code of 2012 is amended by
19changing Section 33E-15 as follows:
 
20    (720 ILCS 5/33E-15)
21    Sec. 33E-15. False entries.
22    (a) An officer, agent, or employee of, or anyone who is
23affiliated in any capacity with any unit of local government or
24school district commits false entries when he or she makes a

 

 

10100SB0534sam003- 22 -LRB101 04295 RJF 61052 a

1false entry in any book, report, or statement of any unit of
2local government or school district with the intent to defraud
3the unit of local government or school district.
4    (b) Sentence. False entries is a Class 2 3 felony.
5(Source: P.A. 97-1108, eff. 1-1-13.)
 
6    Section 99. Effective date. This Act takes effect upon
7becoming law.".