Bill Text: IL HB2959 | 2021-2022 | 102nd General Assembly | Introduced

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Bill Title: Creates the Park and Museum District Business Enterprise Act. Creates the Park and Museum District Business Enterprise Council for Minorities, Women, and Persons with Disabilities comprised of members appointed by the Governor, including individuals representing businesses that are minority-owned or women-owned or owned by persons with disabilities, an individual representing the business community, and individuals representing park districts and museum districts. Provides for an aspirational goal in park districts and museum districts of not less than 30% of the total dollar amount of specified park and museum district contracts to be awarded to businesses owned by minorities, women, and persons with disabilities. Provides, however, that of the total amount of all park and museum district contracts awarded to businesses owned by minorities, women, and persons with disabilities, contracts representing at least 16% shall be awarded to businesses owned by minorities, contracts representing at least 10% shall be awarded to women-owned businesses, and contracts representing at least 3% shall be awarded to businesses owned by persons with disabilities. Provides for duties of the Secretary of the Council and for annual report requirements of the Council. Provides for compliance, exemptions, waivers, and other requirements. Provides that the Department of Central Management Services shall conduct studies that measures the impact of discrimination on minority and women business development in park and museum districts in Illinois. Amends the State Finance Act making conforming changes.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2021-04-23 - Rule 19(a) / Re-referred to Rules Committee [HB2959 Detail]

Download: Illinois-2021-HB2959-Introduced.html

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102ND GENERAL ASSEMBLY State of Illinois 2021 and 2022 HB2959 Introduced , by Rep. Camille Y. Lilly SYNOPSIS AS INTRODUCED:
New Act
30 ILCS 105/45
Creates the Park and Museum District Business Enterprise Act. Creates the Park and Museum District Business Enterprise Council for Minorities, Women, and Persons with Disabilities comprised of members appointed by the Governor, including individuals representing businesses that are minority-owned or women-owned or owned by persons with disabilities, an individual representing the business community, and individuals representing park districts and museum districts. Provides for an aspirational goal in park districts and museum districts of not less than 30% of the total dollar amount of specified park and museum district contracts to be awarded to businesses owned by minorities, women, and persons with disabilities. Provides, however, that of the total amount of all park and museum district contracts awarded to businesses owned by minorities, women, and persons with disabilities, contracts representing at least 16% shall be awarded to businesses owned by minorities, contracts representing at least 10% shall be awarded to women-owned businesses, and contracts representing at least 3% shall be awarded to businesses owned by persons with disabilities. Provides for duties of the Secretary of the Council and for annual report requirements of the Council. Provides for compliance, exemptions, waivers, and other requirements. Provides that the Department of Central Management Services shall conduct studies that measures the impact of discrimination on minority and women business development in park and museum districts in Illinois. Amends the State Finance Act making conforming changes.
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FISCAL NOTE ACT MAY APPLY
A BILL FOR
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AN ACT concerning local government.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 1. Short title. This Act may be cited as the Park
and Museum District Business Enterprise Act.
Section 5. Definitions.As used in this Act:
"Board" means the board of commissioners of a governmental
unit.
"Business", "business Enterprise Program", "business owned
by a person with a disability", "certification", "minority
person", "minority-owned business", "person with a
disability", "utilization plan", "woman", and "women-owned
business" have the meanings given to those terms in Section 2
of the Business Enterprise for Minorities, Women, and Persons
with Disabilities Act.
"Chief executive officer" means the president of the board
of a museum district, the chairperson of a board of
commissioners of a park district, or the General
Superintendent of the Chicago Park District.
"Council" means the Park and Museum District Business
Enterprise Council for Minorities, Women, and Persons with
Disabilities created under Section 10 of this Act.
"Governmental unit" or "unit" means a: (i) park district

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organized under the Park District Code or Chicago Park
District Act; or (ii) museum district organized under the
Museum District Act.
"Sheltered market" means a procurement procedure whereby
certain contracts are selected and specifically set aside for
businesses owned by minorities, women, and persons with
disabilities on a competitive bid or negotiated basis.
"Unit construction contracts" means all contracts entered
into by a single governmental unit for the repair, remodeling,
renovation or construction of a building or structure, or for
the construction or maintenance of a highway defined in
Article 2 of the Illinois Highway Code.
"Unit contracts" means all contracts entered into by a
single governmental unit, regardless of the source of the
funds with which the contracts are paid, which are not subject
to federal reimbursement.
Section 10. Park and Museum District Business Enterprise
Council for Minorities, Women, and Persons with Disabilities.
(a) To help implement, monitor, and enforce the goals of
this Act, there is created the Park and Museum District
Business Enterprise Council for Minorities, Women, and Persons
with Disabilities composed of the following individuals
appointed by the Governor: 6 individuals representing
businesses that are minority-owned or women-owned or owned by
persons with disabilities, one individual representing the

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business community, and 2 individuals representing each of the
following: park districts, other than the Chicago Park
District; the Chicago Park District; and museum districts.
These members shall serve 2 year terms and shall be eligible
for reappointment. Any vacancy occurring on the Council shall
also be filled by the Governor. Any member appointed to fill a
vacancy occurring prior to the expiration of the term for
which his or her predecessor was appointed shall be appointed
for the remainder of such term. Members of the Council shall
serve without compensation but shall be reimbursed for any
ordinary and necessary expenses incurred in the performance of
their duties.
The Council shall select one of the Council members
representing a park district or museum district as chairperson
and the chairperson shall select a Secretary responsible for
the operation of the program.
The board of every governmental unit shall appoint a
liaison to the Council. Each liaison shall be responsible for
submitting to the Council any reports and documents necessary
under this Act.
(b) The Council's authority and responsibility shall be
to:
(1) Devise a certification procedure to assure that
businesses taking advantage of this Act are legitimately
classified as businesses owned by minorities, women, or
persons with disabilities and a registration procedure to

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recognize, without additional evidence of Business
Enterprise Program eligibility, the certification of
businesses owned by minorities, women, or persons with
disabilities certified by the City of Chicago, Cook
County, or other jurisdictional programs with requirements
and procedures equaling or exceeding those in this Act.
(2) Maintain a list of all businesses legitimately
classified as businesses owned by minorities, women, or
persons with disabilities to provide to governmental
units.
(3) Review rules and regulations for the
implementation of the program for businesses owned by
minorities, women, and persons with disabilities.
(4) Review compliance plans submitted by each
governmental unit pursuant to this Act.
(5) Make annual reports as provided in Section 35 to
the Governor and the General Assembly on the status of the
program.
(6) Serve as a central clearinghouse for information
on unit contracts, including the maintenance of a list of
all pending unit contracts upon which businesses owned by
minorities, women, and persons with disabilities may bid.
At the Council's discretion, maintenance of the list may
include 24-hour electronic access to the list along with
the bid and application information.
(7) Establish a toll free telephone number to

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facilitate information requests concerning the
certification process and pending contracts.
(c) No premium bond rate of a surety company for a bond
required of a business owned by a minority, woman, or person
with a disability bidding for a unit contract shall be higher
than the lowest rate charged by that surety company for a
similar bond in the same classification of work that would be
written for a business not owned by a minority, woman, or
person with a disability.
(d) Any Council member who has direct financial or
personal interest in any measure pending before the Council
shall disclose this fact to the Council and refrain from
participating in the determination upon such measure.
(e) The Secretary shall have the following duties and
responsibilities:
(1) To be responsible for the day-to-day operation of
the Council.
(2) To serve as a coordinator for all of the Council's
programs for businesses owned by minorities, women, and
persons with disabilities and as the information and
referral center for all Council initiatives for businesses
owned by minorities, women, and persons with disabilities.
(3) To establish an enforcement procedure whereby the
Council may recommend to the appropriate unit legal
officer that the unit exercise its legal remedies which
shall include (i) termination of the contract involved,

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(ii) prohibition of participation by the respondent in
unit contracts for a period not to exceed 3 years, (iii)
imposition of a penalty not to exceed any profit acquired
as a result of violation, or (iv) any combination thereof.
Such procedures shall require prior approval by Council.
All funds collected as penalties under this subsection
shall be used exclusively for maintenance and further
development of the Business Enterprise Program and
encouragement of participation in unit procurement by
minorities, women, and persons with disabilities.
(4) To devise appropriate policies, regulations and
procedures for including participation by businesses owned
by minorities, women, and persons with disabilities as
prime contractors including, but not limited to, (i)
encouraging the inclusions of qualified businesses owned
by minorities, women, and persons with disabilities on
solicitation lists, (ii) investigating the potential of
blanket bonding programs for small construction jobs, or
(iii) investigating and making recommendations concerning
the use of the sheltered market process.
(5) To devise procedures for the waiver of the
participation goals in appropriate circumstances.
(6) To accept donations and, with the approval of the
Council, grants related to the purposes of this Act.
(7) To conduct seminars related to the purpose of this
Act and to charge reasonable registration fees.

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(8) To sell directories, vendor lists, and other such
information to interested parties, except that forms
necessary to become eligible for the program shall be
provided free of charge to a business or individual
applying for the program.
(f) The Council shall conduct regular meetings to carry
out its responsibilities under this Act. At each of the
regularly scheduled meetings, time shall be allocated for the
Council to receive, review, and discuss any evidence regarding
past or present racial, ethnic, or gender based discrimination
which directly impacts the unit contracting with businesses
owned by minorities, women, and persons with disabilities. If
after reviewing such evidence the Council finds that there is
or has been such discrimination against a specific group,
race, or sex, the Council shall establish sheltered markets or
adjust existing sheltered markets tailored to address the
Council's specific findings.
As part of the annual report which the Council must file
pursuant to paragraph (5) of subsection (b), the Council shall
report on any findings made pursuant to this subsection.
(g) The Department of Central Management Services shall
provide administrative and other support to the Council.
Section 15. Governmental unit compliance plans.
(a) Each unit shall file with the Council an annual
compliance plan which shall outline the goals of the unit for

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contracting with businesses owned by minorities, women, and
persons with disabilities for the then current fiscal year,
the manner in which the unit intends to reach these goals, and
a timetable for reaching these goals. The Council shall review
and approve the plan of each unit and may reject any plan that
does not comply with this Act or any rules adopted by the
Council or the Department of Central Management Services
pursuant to this Act.
(b) The compliance plan shall also include, but not be
limited to, (i) a policy statement, signed by the chief
executive officer of the unit, expressing a commitment to
encourage the use of businesses owned by minorities, women,
and persons with disabilities, (ii) the designation of the
liaison officer provided for in Section 10, (iii) procedures
to distribute to potential contractors and vendors the list of
all businesses legitimately classified as businesses owned by
minorities, women, and persons with disabilities and so
certified under this Act, (iv) procedures to set separate
contract goals on specific prime contracts and purchase orders
with subcontracting possibilities based upon the type of work
or services and subcontractor availability, (v) procedures to
assure that contractors and vendors make good faith efforts to
meet contract goals, (vi) procedures for contract goal
exemption, modification, and waiver, and (vii) the delineation
of separate contract goals for businesses owned by minorities,
women, and persons with disabilities.

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(c) Approval of the compliance plans shall include such
delegation of responsibilities to the requesting unit as the
Council deems necessary and appropriate to fulfill the purpose
of this Act. Such responsibilities may include, but need not
be limited to, those outlined in subsections (a), (b), and (c)
of Section 25, paragraph (1) of subsection (a) of Section 35,
and Section 40.
(d) Each unit shall file with the Council an annual report
of its utilization of businesses owned by minorities, women,
and persons with disabilities during the preceding fiscal year
including lapse period spending and a mid-fiscal year report
of its utilization to date for the then current fiscal year.
The reports shall include a self-evaluation of the efforts of
the unit to meet its goals under the Act.
(e) Notwithstanding any provisions to the contrary in this
Act, any unit which administers a construction program, for
which federal law or regulations establish standards and
procedures for the utilization of minority-owned and
women-owned businesses and disadvantaged businesses, shall
implement a disadvantaged business enterprise program to
include minority-owned and women-owned businesses and
disadvantaged businesses, using the federal standards and
procedures for the establishment of goals and utilization
procedures for the State-funded, as well as the federally
assisted, portions of the program. In such cases, these goals
shall not exceed those established pursuant to the relevant

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federal statutes or regulations. Notwithstanding the
provisions of subsection (f) of Section 10, the Illinois
Department of Transportation is authorized to establish
sheltered markets for the State-funded portions of the program
consistent with federal law and regulations. Additionally, a
compliance plan which is filed by such unit pursuant to this
Act, which incorporates equivalent terms and conditions of its
federally-approved compliance plan, shall be deemed approved
under this Act.
Section 20. Notice of contracts to Council. Except in case
of emergency, as that term is defined in Section 20-30 of the
Illinois Procurement Code, each unit shall notify the
Secretary of the Council of proposed contracts for
professional and artistic services and provide the information
in the form and detail as required the Secretary of the
Council. Notification may be made through direct written
communication to the Secretary to be received at least 14 days
before execution of the contract (or the solicitation response
date, if applicable). The unit must consider any vendor
referred by the Secretary before execution of the contract.
The provisions of this Section shall not apply to any unit that
has awarded contracts for professional and artistic services
to businesses owned by minorities, women, and persons with
disabilities totaling in the aggregate $40,000,000 or more
during the preceding fiscal year.

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Section 25. Exemptions; waivers; posting of data.
(a) The Council, at the written request of the affected
unit or recipient of a grant or loan of State funds of $250,000
or more complying with Section 45 of the State Finance Act, may
permit an individual contract or contract package (related
contracts being bid or awarded simultaneously for the same
project or improvements) be made wholly or partially exempt
from unit contracting goals for businesses owned by
minorities, women, and persons with disabilities prior to the
advertisement for bids or solicitation of proposals whenever
there has been a determination, reduced to writing and based
on the best information available at the time of the
determination, that there is an insufficient number of
businesses owned by minorities, women, and persons with
disabilities to ensure adequate competition and an expectation
of reasonable prices on bids or proposals solicited for the
individual contract or contract package in question.
(1) The following procedures shall be followed for
individual exemptions:
(A) A written request for an individual contract
exemption must include, but is not limited to, the
following:
(i) a list of eligible businesses owned by
minorities, women, and persons with disabilities;
(ii) a clear demonstration that the number of

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eligible businesses identified in subdivision (i)
above is insufficient to ensure adequate
competition;
(iii) the difference in cost between the
contract proposals being offered by businesses
owned by minorities, women, and persons with
disabilities and the unit's expectations of
reasonable prices on bids or proposals within that
class; and
(iv) a list of eligible businesses owned by
minorities, women, and persons with disabilities
that the contractor has used in the current and
prior fiscal years.
(B) The Council's determination concerning an
individual contract exemption must consider, at a
minimum, the following:
(i) the justification for the requested
exemption, including whether diligent efforts were
undertaken to identify and solicit eligible
businesses owned by minorities, women, and persons
with disabilities;
(ii) the total number of exemptions granted to
the affected unit or recipient of a grant or loan
of State funds of $250,000 or more complying with
Section 45 of the State Finance Act that have been
granted by the Council in the current and prior

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fiscal years; and
(iii) the percentage of contracts awarded by
the unit to eligible businesses owned by
minorities, women, and persons with disabilities
in the current and prior fiscal years.
(2) The following procedures shall be followed for
class exemptions:
(A) The Council, at the written request of an
affected unit, may permit an entire class of contracts
be made exempt from unit contracting goals for
businesses owned by minorities, women, and persons
with disabilities whenever there has been a
determination, reduced to writing and based on the
best information available at the time of the
determination, that there is an insufficient number of
qualified businesses owned by minorities, women, and
persons with disabilities to ensure adequate
competition and an expectation of reasonable prices on
bids or proposals within that class.
(B) A written request for a class exemption must
include, but is not limited to, the following:
(i) a list of eligible businesses owned by
minorities, women, and persons with disabilities;
(ii) a clear demonstration that the number of
eligible businesses identified in subdivision (i)
above is insufficient to ensure adequate

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competition;
(iii) the difference in cost between the
contract proposals being offered by eligible
businesses owned by minorities, women, and persons
with disabilities and the unit's expectations of
reasonable prices on bids or proposals within that
class; and
(iv) the number of class exemptions the
affected unit requested in the current and prior
fiscal years.
(C) The Council's determination concerning class
exemptions must consider, at a minimum, the following:
(i) the justification for the requested
exemption, including whether diligent efforts were
undertaken to identify and solicit eligible
businesses owned by minorities, women, and persons
with disabilities;
(ii) the total number of class exemptions
granted to the requesting unit that have been
granted by the Council in the current and prior
fiscal years; and
(iii) the percentage of contracts awarded by
the unit to eligible businesses owned by
minorities, women, and persons with disabilities
the current and prior fiscal years.
(D) Any such class exemption shall not be

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permitted for a period of more than one year at a time.
(b) Where a particular contract requires a contractor to
meet a goal established pursuant to this Act, the contractor
shall have the right to request a waiver from such
requirement. The Council shall grant the waiver where the
contractor demonstrates that there has been made a good faith
effort to comply with the goals for participation by
businesses owned by minorities, women, and persons with
disabilities. The following procedures shall be followed for
waivers:
(1) A contractor's request for a waiver under this
subsection must include, but is not limited to, the
following, if available:
(A) a list of eligible businesses owned by
minorities, women, and persons with disabilities that
pertain to the class of contracts in the requested
waiver;
(B) a clear demonstration that the number of
eligible businesses identified in subparagraph (A)
above is insufficient to ensure competition;
(C) the difference in cost between the contract
proposals being offered by businesses owned by
minorities, women, and persons with disabilities and
the unit's expectations of reasonable prices on bids
or proposals within that class; and
(D) a list of businesses owned by minorities,

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women, and persons with disabilities that the
contractor has used in the current and prior fiscal
years.
(2) The Council's determination concerning waivers
must include following:
(A) the justification for the requested waiver,
including whether the requesting contractor made a
good faith effort to identify and solicit eligible
businesses owned by minorities, women, and persons
with disabilities;
(B) the total number of waivers the contractor has
been granted by the Council in the current and prior
fiscal years;
(C) the percentage of contracts awarded by the
unit to eligible businesses owned by minorities,
women, and persons with disabilities in the current
and prior fiscal years; and
(D) the contractor's use of businesses owned by
minorities, women, and persons with disabilities in
the current and prior fiscal years.
(c) If any unit contract, which otherwise would be subject
to the provisions of this Act, is or becomes subject to federal
laws or regulations which conflict with the provisions of this
Act or actions of the State taken pursuant hereto, the
provisions of the federal laws or regulations shall apply and
the contract shall be interpreted and enforced accordingly.

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(d) Each unit shall post and maintain on its website a
database of the following: (i) waivers granted under this
Section with respect to contracts under his or her
jurisdiction; (ii) a unit's written request for an exemption
of an individual contract or an entire class of contracts; and
(iii) the Council's written determination granting or denying
a request for an exemption of an individual contract or an
entire class of contracts. The database, which shall be
updated periodically as necessary, shall be searchable by
contractor name and by contracting unit.
(e) Each unit shall post and maintain on its website a list
of all firms that have been prohibited from bidding, offering,
or entering into a contract with the unit as a result of
violations of this Act.
Each public notice required by law of the award of a unit
contract shall include, for each bid or offer submitted for
that contract, the following: (i) the bidder's or offeror's
name, (ii) the bid amount, (iii) the name or names of the
certified firms identified in the bidder's or offeror's
submitted utilization plan, and (iv) the bid's amount and
percentage of the contract awarded to businesses owned by
minorities, women, and persons with disabilities identified in
the utilization plan.
Section 30. Award of unit contracts.
(a) Except as provided in subsection (b), not less than

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30% of the total dollar amount of unit contracts, as defined by
the Secretary of the Council and approved by the Council,
shall be established as an aspirational goal to be awarded to
businesses owned by minorities, women, and persons with
disabilities; provided, however, that of the total amount of
all unit contracts awarded to businesses owned by minorities,
women, and persons with disabilities pursuant to this Section,
contracts representing at least 16% shall be awarded to
businesses owned by minorities, contracts representing at
least 10% shall be awarded to women-owned businesses, and
contracts representing at least 3% shall be awarded to
businesses owned by persons with disabilities.
The above percentage relates to the total dollar amount of
unit contracts during each unit's fiscal year, calculated by
examining independently each type of contract for each unit
which lets such contracts. Only that percentage of
arrangements which represents the participation of businesses
owned by minorities, women, and persons with disabilities on
such contracts shall be included. Unit contracts subject to
the requirements of this Act shall include the requirement
that only expenditures to businesses owned by minorities,
women, and persons with disabilities that perform a
commercially useful function may be counted toward the goals
set forth by this Act. Contracts shall include a definition of
"commercially useful function" that is consistent with 49 CFR
26.55(c).

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(b) Not less than 30% of the total dollar amount of unit
construction contracts is established as an aspirational goal
to be awarded to businesses owned by minorities, women, and
persons with disabilities; provided that, contracts
representing at least 16% of the total dollar amount of unit
construction contracts shall be awarded to businesses owned by
minorities; contracts representing at least 10% of the total
dollar amount of unit construction contracts shall be awarded
to women-owned businesses; and contracts representing at least
3% of the total dollar amount of unit construction contracts
shall be awarded to businesses owned by persons with
disabilities.
(c) By July 1, 2023, the Department of Central Management
Services shall conduct a social scientific study that measures
the impact of discrimination on minority and women business
development in governmental units in Illinois. By December 1,
2024, the Department shall issue a report of its findings and
any recommendations on whether to adjust the goals for
minority and women participation established in this Act.
Copies of this report and the social scientific study shall be
filed with the Council, the Governor, and the General
Assembly.
By December 1, 2030, the Department of Central Management
Services shall conduct a new social scientific study that
measures the impact of discrimination on minority and women
business development in governmental units in Illinois. By

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June 1, 2032, the Department shall issue a report of its
findings and any recommendations on whether to adjust the
goals for minority and women participation established in this
Act. Copies of this report and the social scientific study
shall be filed with the Council, the Governor, and the General
Assembly. By December 1, 2032, the Department of Central
Management Services Business Enterprise Program shall develop
a model for social scientific disparity study sourcing for
units to adapt and implement to address regional disparities
in public procurement.
(d) Except as permitted under this Act or as otherwise
mandated by federal law or regulation, those who submit bids
or proposals for unit contracts subject to the provisions of
this Act, whose bids or proposals are successful and include a
utilization plan but that fail to meet the goals set forth in
subsection (b), shall be notified of that deficiency and shall
be afforded a period not to exceed 10 calendar days from the
date of notification to cure that deficiency in the bid or
proposal. The deficiency in the bid or proposal may only be
cured by contracting with additional subcontractors who are
owned by minorities or women. Any increase in cost to a
contract for the addition of a subcontractor to cure a bid's
deficiency shall not affect the bid price, shall not be used in
the request for an exemption in this Act, and in no case shall
an identified subcontractor with a certification made pursuant
to this Act be terminated from the contract without the

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written consent of the unit entering into the contract.
(e) Non-construction solicitations that include park and
museum district Business Enterprise Program participation
goals shall require bidders and offerors to include
utilization plans. Utilization plans are due at the time of
bid or offer submission. Failure to complete and include a
utilization plan, including documentation demonstrating good
faith effort when requesting a waiver, shall render the bid or
offer nonresponsive.
Section 35. Enforcement.
(a) The Council shall make such findings, recommendations
and proposals to the Governor and General Assembly as are
necessary and appropriate to enforce this Act. If, as a result
of its monitoring activities, the Council determines that its
goals and policies are not being met by any unit, the Council
may recommend any or all of the following actions:
(1) Establish enforcement procedures whereby the
Council may recommend to the appropriate unit or law
enforcement agency that legal or administrative remedies
be initiated for violations of contract provisions or
rules adopted hereunder or by a contracting unit. Units
may adopt remedies for such violations, which may include
(i) termination of the contract involved, (ii) prohibition
of participation of the respondents in public contracts
for a period not to exceed one year, (iii) imposition of a

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penalty not to exceed any profit acquired as a result of
violation, or (iv) any combination of items (i), (ii), or
(iii).
(2) If the Council concludes that a compliance plan
submitted under Section 15 is unlikely to produce the
participation goals for businesses owned by minorities,
women, and persons with disabilities within the then
current fiscal year, the Council may recommend that the
unit revise its plan to provide additional opportunities
for participation by businesses owned by minorities,
women, and persons with disabilities. Such recommended
revisions may include, but are not limited to, the
following:
(A) Assurances of stronger and better focused
solicitation efforts to obtain more businesses owned
by minorities, women, and persons with disabilities as
potential sources of supply.
(B) Division of job or project requirements, when
economically feasible, into tasks or quantities to
permit participation of businesses owned by
minorities, women, and persons with disabilities.
(C) Elimination of extended experience or
capitalization requirements, when programmatically
feasible, to permit participation of businesses owned
by minorities, women, and persons with disabilities.
(D) Identification of specific proposed contracts

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as particularly attractive or appropriate for
participation by businesses owned by minorities,
women, and persons with disabilities, such
identification to result from and be coupled with the
efforts of subparagraphs (A) through (C).
(E) Implementation of those regulations
established for the use of the sheltered market
process.
(b) Units shall review a vendor's compliance with its
utilization plan and the terms of its contract. Without
limitation, a vendor's failure to comply with its contractual
commitments as contained in the utilization plan; failure to
cooperate in providing information regarding its compliance
with its utilization plan; or the provision of false or
misleading information or statements concerning compliance,
certification status, or eligibility of the Business
Enterprise Program-certified vendor, good faith efforts, or
any other material fact or representation shall constitute a
material breach of the contract and entitle the unit to
declare a default, terminate the contract, or exercise those
remedies provided for in the contract, at law, or in equity.
(c) A vendor shall be in breach of the contract and may be
subject to penalties for failure to meet contract goals
established under this Act, unless the vendor can show that it
made good faith efforts to meet the contract goals.

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Section 40. Annual report.
(a) The Council shall post and file an annual report that
shall detail the level of achievement toward the goals
specified in this Act over the 3 most recent calendar or fiscal
years. The annual report shall include, but need not be
limited to, the following:
(1) a summary detailing expenditures subject to the
goals, the actual goals specified, and the goals attained
by each unit;
(2) a summary of the number of contracts awarded and
the average contract amount by each unit;
(3) an analysis of the level of overall goal
achievement concerning purchases from minority-owned
businesses, women-owned businesses, and businesses owned
by persons with disabilities;
(4) an analysis of the number of businesses owned by
minorities, women, and persons with disabilities that are
certified under the program as well as the number of those
businesses that received State procurement contracts; and
(5) a summary of the number of contracts awarded to
businesses with annual gross sales of less than $100,000;
of $100,000 or more, but less than $250,000; of $250,000
or more, but less than $500,000; of $500,000 or more, but
less than $1,000,000; of $1,000,000 or more, but less than
$5,000,000; of $5,000,000 or more, but less than
$10,000,000; and of $10,000,000 or more.

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(b) Each annual report must be posted publicly on the
website of the unit and filed with the General Assembly and
Governor no later than January 31 for units that choose
calendar year annual reporting or no later than 30 days
following the conclusion of the unit's fiscal year for units
that choose fiscal year annual reporting. A unit may extend
the due date of its annual report by 15 days by posting a
public notice on the website of the entity and filing the
notice with the General Assembly and Governor. If an annual
report is posted and filed beyond the 15-day extension, units
will be issued a fine of $10,000 by the Council, enforceable by
the State Comptroller through withholding or reducing any form
of State funding to the entity, including, but not limited to,
grants, revenue sharing, and line-item appropriations. The
Comptroller shall transfer the amount withheld due to the
fines issued under this subsection to the Business Enterprise
Program and those amounts shall be used exclusively for
maintenance and further development of the Business Enterprise
Program.
Section 45. Ownership requirement for combination of
minority persons, women, or persons with disabilities. When a
business is owned at least 51% by any combination of minority
persons, women, or persons with disabilities, even though none
of the 3 classes alone holds at least a 51% interest, the
ownership requirement for purposes of this Act is considered

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to be met. The certification category for the business is that
of the class holding the largest ownership interest in the
business. If 2 or more classes have equal ownership interests,
the certification category shall be determined by the
business.
Section 50. Advance and progress payments. Any contract
awarded to a business owned by a minority, woman, or person
with a disability pursuant to this Act may contain a provision
for advance or progress payments, or both, except that a unit
construction contract awarded to a minority-owned or
women-owned business pursuant to this Act may contain a
provision for progress payments but may not contain a
provision for advance payments.
Section 55. Posting on website. If a governmental unit
does not have a website, any posting requirement by the unit
under this Act is satisfied by posting on the county website or
on the several county websites in which the unit is located to
satisfy the posting requirements of the Act.
Section 90. The State Finance Act is amended by changing
Section 45 as follows:
(30 ILCS 105/45)
Sec. 45. Award of capital funds. Each award by grant or

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loan of State funds of $250,000 or more for capital
construction costs or professional services is conditioned
upon the recipient's written certification that the recipient
shall comply with the business enterprise program practices
for minority-owned businesses, women-owned businesses, and
businesses owned by persons with disabilities of the Business
Enterprise for Minorities, Women, and Persons with
Disabilities Act, the Park and Museum District Business
Enterprise Act, (30 ILCS 575/) and the equal employment
practices of Section 2-105 of the Illinois Human Rights Act
(775 ILCS 5/2-105). This Section, however, does not apply to
any grant or loan (i) for which a grant or loan agreement was
executed before the effective date of this amendatory Act of
the 96th General Assembly, (ii) for which prior-incurred costs
are being reimbursed, or (iii) for a federally funded program
under which the requirement of this Section would contravene
federal law. Each recipient shall submit the written
certification and business enterprise program plan for
minority-owned businesses, women-owned businesses, and
businesses owned by persons with disabilities before signing
the relevant grant or loan agreement. Each grant or loan
agreement shall include a provision that the grant or loan
recipient agrees to comply with the provisions of the Business
Enterprise for Minorities, Women, and Persons with
Disabilities Act, the Park and Museum District Business
Enterprise Act, (30 ILCS 575/) and the equal employment

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practices of Section 2-105 of the Illinois Human Rights Act
(775 ILCS 5/2-105).
Each business enterprise program plan shall apply only to
the State-funded portion of the relevant capital project and
must be in compliance with all certification and other
requirements of the Business Enterprise for Minorities, Women,
and Persons with Disabilities Act.
(Source: P.A. 100-391, eff. 8-25-17.)