[ Search ] [ Legislation ]
[ Home ] [ Back ] [ Bottom ]
| [ Introduced ] | [ Engrossed ] | [ Enrolled ] |
| [ Senate Amendment 001 ] |
91_HB1510ham001
LRB9103440LDmbam02
1 AMENDMENT TO HOUSE BILL 1510
2 AMENDMENT NO. . Amend House Bill 1510 by replacing
3 everything after the enacting clause with the following:
4 "Section 1. Short title. This Act may be cited as the
5 Correctional Facilities Nursing Services Privatization
6 Regulation Act.
7 Section 5. Purpose. It is the purpose of this Act and
8 the policy of the State to ensure that the residents of the
9 State correctional facilities receive high quality nursing
10 services at the lowest possible cost, with due regard for the
11 taxpayers of the State and the needs of both public and
12 private sector nurses.
13 Section 10. Definitions. As used in this Act:
14 "Department" means the Department of Corrections.
15 "Privatization" means a contract between the Department
16 of Corrections and a person or firm in the private sector for
17 the purpose of providing nursing services in Illinois
18 correctional facilities.
19 "State nurse" means a registered professional nurse who
20 is a state employee providing nursing services in Illinois
21 correctional facilities.
-2- LRB9103440LDmbam02
1 "Displace" means the layoff, demotion, bumping,
2 involuntary transfer to a new class, title, or location, time
3 based reduction, or reduction in customary hours of work,
4 wages, or benefits of any State nurse.
5 "Cost-effectiveness study" means an analysis conducted in
6 accordance with the standard methodology comparing the
7 projected cost of delivering the service under the proposed
8 contract to the cost of delivering the service in-house. The
9 analysis shall include in the projected cost of the proposed
10 contract any continuing State costs associated with the
11 service, such as the costs of inspection, supervision, and
12 monitoring. The analysis shall exclude from the cost of
13 delivering the service in-house all overhead costs unless the
14 costs are attributable solely to the service.
15 "Firm" means a corporation, partnership, nonprofit
16 organization, or sole proprietorship.
17 Section 15. Privatization requirements. Privatization
18 is permissible to achieve cost savings when all of the
19 following conditions are met.
20 (a) The Department of Corrections clearly demonstrates
21 that the proposed contract will result in actual overall cost
22 savings to the State, provided that:
23 (1) In comparing costs, there shall be included the
24 State's additional cost of providing the same nursing
25 services as proposed by a contractor. These additional
26 costs shall include the salaries and benefits of
27 additional nursing staff that would be needed and the
28 cost of additional space, equipment, and materials needed
29 to perform the function.
30 (2) In comparing costs, there shall not be included
31 the State's indirect overhead costs unless these costs
32 can be attributed solely to the function in question and
33 would not exist if that function was not performed in
-3- LRB9103440LDmbam02
1 State service. Indirect overhead costs means the pro
2 rata share of existing administrative salaries and
3 benefits, rent, equipment costs, utilities, and
4 materials.
5 (3) In comparing costs, there shall be included in
6 the cost of a contractor providing nursing service any
7 continuing State costs that would be directly associated
8 with the contracted services. These continuing State
9 costs shall include, but not be limited to, those for
10 inspection, supervision, and monitoring.
11 (b) The contract includes specific provisions pertaining
12 to the qualifications of the registered professional nurse
13 who will perform the work under contract, as well as
14 assurance that the contractor's hiring practices meet
15 applicable nondiscrimination and affirmative action
16 standards.
17 (c) The contract must provide that the contractor shall
18 not pay hourly wages and benefits at a rate lower than that
19 provided to State employees performing comparable nursing
20 services at the entry level step established by the
21 applicable collective bargaining agreement.
22 Section 20. Privatization permitted. Privatization
23 initiatives also shall be permissible when any of the
24 following conditions are met.
25 (1) The services contracted are not available or cannot
26 be performed satisfactorily by State nurses, or are of such a
27 highly specialized or technical nature that the necessary
28 expert knowledge, experience, and ability is not available in
29 the State workforce.
30 (2) A private contractor can provide equipment,
31 materials, facilities, or support services that cannot
32 feasibly be provided by the State in the location where the
33 nursing services are to be performed.
-4- LRB9103440LDmbam02
1 (3) The services are of such an urgent, temporary, or
2 occasional nature that State nurses cannot adequately perform
3 them.
4 Section 25. Eligibility of contractors. All contractors
5 submitting bids must submit an eligibility report to the
6 Department, which shall be available for public inspection
7 upon request. The report shall include, but not be limited
8 to:
9 (1) the union status and representation for each
10 registered professional nurse for the last 2 years;
11 (2) the ethnic, racial, and gender make-up of its
12 workforce for the last 2 years; and
13 (3) a list of the principals of the contractor for the
14 last 4 years.
15 Section 30. Annual performance reports. All contractors
16 awarded procurement under Section 15 and 20 of this Act shall
17 submit annual performance reports to the Department of
18 Corrections, which shall be available for public inspection
19 upon request. The performance report shall include, but not
20 be limited to:
21 (1) payroll records listing the name, work site, hours
22 worked, hourly wage paid, and fringe benefits paid for each
23 registered professional nurse;
24 (2) the union status and representation for each
25 employee;
26 (3) the ethnic, racial, and gender make-up of the
27 workforce; and
28 (4) a list of the principals of the contractor for the
29 last year. The reports shall be public documents available
30 for public inspection.
31 Section 35. Withholding reimbursement. When
-5- LRB9103440LDmbam02
1 privatization initiatives are funded under this Act, the
2 Department of Corrections shall include a withholding clause
3 in the privatization contract providing the State with the
4 authority to withhold reimbursement if the contractor fails
5 to comply with Section 30 of this Act.
6 Section 45. Procedures. Prior to making a decision to
7 contract registered professional nursing services and at a
8 time that is early in the period of considering such
9 decisions, the Department of Corrections shall notify all
10 organizations that represent State nurses who perform the
11 type of work to be contracted. Any person or organization
12 that has filed with the Department a request for notice shall
13 be contacted immediately by the Department so that he or she
14 may be given a reasonable opportunity to comment on the
15 proposed contract. Departments or agencies submitting
16 proposed contracts shall retain and provide all data and
17 other information relevant to the contracts and necessary for
18 a specific application of the standards set forth in Section
19 15. Any employee organization representing State nurses may
20 request, within 10 days of notification, the Department to
21 review any contract proposed or executed under Section 15.
22 Upon such a request, the Department shall review the contract
23 for compliance with the standards specified in Section 15.
24 Section 50. Other proposed contracts; reviews. The
25 Department of Central Management Services, at the request of
26 an employee organization that represents State nurses, shall
27 review the adequacy of any proposed or executed contract that
28 is of a type enumerated in Section 15.
29 Section 65. Worker protection. At Department of
30 Corrections facilities where medical services are currently
31 provided by a contractor, and cost analysis demonstrates that
-6- LRB9103440LDmbam02
1 the requirements for privatization set forth in Section 15 of
2 this Act are not met, the Department shall provide those
3 services directly and shall offer employment to all staff
4 employed by a contractor at each facility to perform their
5 same duties for the Department, subject to available
6 appropriations. The employees shall be granted civil service
7 status in the appropriate State title and shall be granted
8 seniority credit for all time employed by a medical
9 contractor at the Department of Corrections facility for
10 purposes of salary step placement and accrued benefits only.
11 In no instance shall such employees suffer a diminution in
12 wages or benefits.
13 Section 90. Applicability. This Act applies only to
14 contracts executed or renewed after the effective date of
15 this Act.
16 Section 95. Severability. The provisions of this Act are
17 severable under Section 1.31 of the Statutes on Statutes.
18 Section 99. Effective date. This Act takes effect upon
19 becoming law.".