Bill Amendment: IL SB3384 | 2019-2020 | 101st General Assembly

NOTE: For additional amemendments please see the Bill Drafting List

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Bill Title: PROCURE-APPLICABILITY & LEASES

Status: 2021-01-13 - Session Sine Die [SB3384 Detail]

Download: Illinois-2019-SB3384-Senate_Amendment_001.html

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Sen. Michael E. Hastings

Filed: 2/27/2020

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AMENDMENT TO SENATE BILL 3384
AMENDMENT NO. ______. Amend Senate Bill 3384 by replacing
everything after the enacting clause with the following:
"Section 5. The Illinois Procurement Code is amended by
changing Sections 1-13 and 40-25 as follows:
(30 ILCS 500/1-13)
Sec. 1-13. Applicability to public institutions of higher
education.
(a) This Code shall apply to public institutions of higher
education, regardless of the source of the funds with which
contracts are paid, except as provided in this Section.
(b) Except as provided in this Section, this Code shall not
apply to procurements made by or on behalf of public
institutions of higher education for any of the following:
(1) Memberships in professional, academic, research,
or athletic organizations on behalf of a public institution

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of higher education, an employee of a public institution of
higher education, or a student at a public institution of
higher education.
(2) Procurement expenditures for events or activities
paid for exclusively by revenues generated by the event or
activity, gifts or donations for the event or activity,
private grants, or any combination thereof.
(3) Procurement expenditures for events or activities
for which the use of specific potential contractors is
mandated or identified by the sponsor of the event or
activity, provided that the sponsor is providing a majority
of the funding for the event or activity.
(4) Procurement expenditures necessary to provide
athletic, artistic or musical services, performances,
events, or productions by or for a public institution of
higher education.
(5) Procurement expenditures for periodicals, books,
subscriptions, database licenses, and other publications
procured for use by a university library or academic
department, except for expenditures related to procuring
textbooks for student use or materials for resale or
rental.
(6) Procurement expenditures for placement of students
in externships, practicums, field experiences, and for
medical residencies and rotations.
(7) Contracts for programming and broadcast license

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rights for university-operated radio and television
stations.
(8) Procurement expenditures necessary to perform
sponsored research and other sponsored activities under
grants and contracts funded by the sponsor or by sources
other than State appropriations.
(9) Contracts with a foreign entity for research or
educational activities, provided that the foreign entity
either does not maintain an office in the United States or
is the sole source of the service or product.
Notice of each contract entered into by a public institution of
higher education that is related to the procurement of goods
and services identified in items (1) through (9) of this
subsection shall be published in the Procurement Bulletin
within 14 calendar days after contract execution. The Chief
Procurement Officer shall prescribe the form and content of the
notice. Each public institution of higher education shall
provide the Chief Procurement Officer, on a monthly basis, in
the form and content prescribed by the Chief Procurement
Officer, a report of contracts that are related to the
procurement of goods and services identified in this
subsection. At a minimum, this report shall include the name of
the contractor, a description of the supply or service
provided, the total amount of the contract, the term of the
contract, and the exception to the Code utilized. A copy of any
or all of these contracts shall be made available to the Chief

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Procurement Officer immediately upon request. The Chief
Procurement Officer shall submit a report to the Governor and
General Assembly no later than November 1 of each year that
shall include, at a minimum, an annual summary of the monthly
information reported to the Chief Procurement Officer.
(b-5) Except as provided in this subsection, the provisions
of this Code shall not apply to contracts for medical supplies,
and to contracts for medical services necessary for the
delivery of care and treatment at medical, dental, or
veterinary teaching facilities utilized by Southern Illinois
University or the University of Illinois and at any
university-operated health care center or dispensary that
provides care, treatment, and medications for students,
faculty and staff. Other supplies and services, including
services for search and placement of medical practitioners and
academic staff for facilities described in this subsection
(b-5), needed for these teaching facilities shall be subject to
the jurisdiction of the Chief Procurement Officer for Public
Institutions of Higher Education who may establish expedited
procurement procedures and may waive or modify certification,
contract, hearing, process and registration requirements
required by the Code. All procurements made under this
subsection shall be documented and may require publication in
the Illinois Procurement Bulletin.
(c) Procurements made by or on behalf of public
institutions of higher education for the fulfillment of a grant

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shall be made in accordance with the requirements of this Code
to the extent practical.
Upon the written request of a public institution of higher
education, the Chief Procurement Officer may waive contract,
registration, certification, and hearing requirements of this
Code if, based on the item to be procured or the terms of a
grant, compliance is impractical. The public institution of
higher education shall provide the Chief Procurement Officer
with specific reasons for the waiver, including the necessity
of contracting with a particular potential contractor, and
shall certify that an effort was made in good faith to comply
with the provisions of this Code. The Chief Procurement Officer
shall provide written justification for any waivers. By
November 1 of each year, the Chief Procurement Officer shall
file a report with the General Assembly identifying each
contract approved with waivers and providing the justification
given for any waivers for each of those contracts. Notice of
each waiver made under this subsection shall be published in
the Procurement Bulletin within 14 calendar days after contract
execution. The Chief Procurement Officer shall prescribe the
form and content of the notice.
(d) Notwithstanding this Section, a waiver of the
registration requirements of Section 20-160 does not permit a
business entity and any affiliated entities or affiliated
persons to make campaign contributions if otherwise prohibited
by Section 50-37. The total amount of contracts awarded in

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accordance with this Section shall be included in determining
the aggregate amount of contracts or pending bids of a business
entity and any affiliated entities or affiliated persons.
(e) Notwithstanding subsection (e) of Section 50-10.5 of
this Code, the Chief Procurement Officer, with the approval of
the Executive Ethics Commission, may permit a public
institution of higher education to accept a bid or enter into a
contract with a business that assisted the public institution
of higher education in determining whether there is a need for
a contract or assisted in reviewing, drafting, or preparing
documents related to a bid or contract, provided that the bid
or contract is essential to research administered by the public
institution of higher education and it is in the best interest
of the public institution of higher education to accept the bid
or contract. For purposes of this subsection, "business"
includes all individuals with whom a business is affiliated,
including, but not limited to, any officer, agent, employee,
consultant, independent contractor, director, partner,
manager, or shareholder of a business. The Executive Ethics
Commission may promulgate rules and regulations for the
implementation and administration of the provisions of this
subsection (e).
(f) As used in this Section:
"Grant" means non-appropriated funding provided by a
federal or private entity to support a project or program
administered by a public institution of higher education and

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any non-appropriated funding provided to a sub-recipient of the
grant.
"Public institution of higher education" means Chicago
State University, Eastern Illinois University, Governors State
University, Illinois State University, Northeastern Illinois
University, Northern Illinois University, Southern Illinois
University, University of Illinois, Western Illinois
University, and, for purposes of this Code only, the Illinois
Mathematics and Science Academy.
(g) (Blank).
(h) The General Assembly finds and declares that:
(1) Public Act 98-1076, which took effect on January 1,
2015, changed the repeal date set for this Section from
December 31, 2014 to December 31, 2016.
(2) The Statute on Statutes sets forth general rules on
the repeal of statutes and the construction of multiple
amendments, but Section 1 of that Act also states that
these rules will not be observed when the result would be
"inconsistent with the manifest intent of the General
Assembly or repugnant to the context of the statute".
(3) This amendatory Act of the 100th General Assembly
manifests the intention of the General Assembly to remove
the repeal of this Section.
(4) This Section was originally enacted to protect,
promote, and preserve the general welfare. Any
construction of this Section that results in the repeal of

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this Section on December 31, 2014 would be inconsistent
with the manifest intent of the General Assembly and
repugnant to the context of this Code.
It is hereby declared to have been the intent of the
General Assembly that this Section not be subject to repeal on
December 31, 2014.
This Section shall be deemed to have been in continuous
effect since December 20, 2011 (the effective date of Public
Act 97-643), and it shall continue to be in effect henceforward
until it is otherwise lawfully repealed. All previously enacted
amendments to this Section taking effect on or after December
31, 2014, are hereby validated.
All actions taken in reliance on or pursuant to this
Section by any public institution of higher education, person,
or entity are hereby validated.
In order to ensure the continuing effectiveness of this
Section, it is set forth in full and re-enacted by this
amendatory Act of the 100th General Assembly. This re-enactment
is intended as a continuation of this Section. It is not
intended to supersede any amendment to this Section that is
enacted by the 100th General Assembly.
In this amendatory Act of the 100th General Assembly, the
base text of the reenacted Section is set forth as amended by
Public Act 98-1076. Striking and underscoring is used only to
show changes being made to the base text.
This Section applies to all procurements made on or before

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the effective date of this amendatory Act of the 100th General
Assembly.
(Source: P.A. 100-43, eff. 8-9-17.)
(30 ILCS 500/40-25)
Sec. 40-25. Length of leases.
(a) Maximum term. Except as otherwise provided under
subsection (a-5), leases shall be for a term not to exceed 10
years inclusive, beginning January, 1, 2010, of proposed
contract renewals and shall include a termination option in
favor of the State after 5 years. The length of energy
conservation program contracts or energy savings contracts or
leases shall be in accordance with the provisions of Section
25-45.
(a-5) Extended term. A lease for real property owned by the
University of Illinois to be used by the University of Illinois
at Chicago for an ambulatory surgical center, which would
include both clinical services and retail space, may exceed 10
years in length where: (i) the lease requires the lessor to
make capital improvements in excess of $100,000; and (ii) the
Board of Trustees of the University of Illinois determines a
term of more than 10 years is necessary and is in the best
interest of the University. A lease under this subsection (a-5)
may not exceed 30 years in length.
(a-10) Extended term. A lease for real property owned by
Southern Illinois University to be used by the Southern

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Illinois University School of Medicine for an ambulatory
surgical center, which would include both clinical services and
retail space, may exceed 10 years in length where: (i) the
lease requires the lessor to make capital improvements in
excess of $100,000; and (ii) the Board of Trustees of Southern
Illinois University determines a term of more than 10 years is
necessary and is in the best interest of the University. A
lease under this subsection (a-10) may not exceed 30 years in
length.
(b) Renewal. Leases may include a renewal option. An option
to renew may be exercised only when a State purchasing officer
determines in writing that renewal is in the best interest of
the State and notice of the exercise of the option is published
in the appropriate volume of the Procurement Bulletin at least
30 calendar days prior to the exercise of the option.
(c) Subject to appropriation. All leases shall recite that
they are subject to termination and cancellation in any year
for which the General Assembly fails to make an appropriation
to make payments under the terms of the lease.
(d) Holdover. Beginning January 1, 2010, no lease may
continue on a month-to-month or other holdover basis for a
total of more than 6 months. Beginning July 1, 2010, the
Comptroller shall withhold payment of leases beyond this
holdover period.
(Source: P.A. 100-23, eff. 7-6-17; 100-1047, eff. 1-1-19;
101-426, eff. 1-1-20.)".