Bill Text: IL HB3216 | 2017-2018 | 100th General Assembly | Enrolled


Bill Title: Amends the Departments of State Government Law of the Civil Administrative Code of Illinois. Provides that notwithstanding any law to the contrary, third-party contracts entered into by the State are permissible only when they are in the best interests of the State. Provides conditions with which to measure whether a third-party contract is in the best interests of the State. Defines terms. Effective immediately.

Spectrum: Partisan Bill (Democrat 13-0)

Status: (Enrolled) 2017-05-25 - Passed Both Houses [HB3216 Detail]

Download: Illinois-2017-HB3216-Enrolled.html



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1 AN ACT concerning State government.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 5. The Civil Administrative Code of Illinois is
5amended by adding Section 5-725 as follows:
6 (20 ILCS 5/5-725 new)
7 Sec. 5-725. Third-party State contracts.
8 (a) For purposes of this Sections:
9 "Contractor" means any entity, including an
10 individual, institution, federal, State, or local
11 governmental entity, or any other public or private entity,
12 that enters into a third-party contract.
13 "State agency" means an executive office, department,
14 division, board, commission, or other office in the
15 executive branch of State government.
16 "Third-party contract" means an agreement, or
17 combination or series of agreements, by which a contractor
18 agrees with a State agency to provide services that are
19 substantially similar to and in lieu of services that would
20 otherwise be performed, in whole or in part, by State
21 employees.
22 "State employee" means an employee of any State agency.
23 (b) Notwithstanding any law to the contrary, third-party

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1contracts are permissible only when they are in the best
2interests of the State. For purposes of this Section, a
3third-party contract is in the best interests of the State when
4it is clearly demonstrated that all of the following conditions
5are met:
6 (1) The proposed third-party contract will result in
7 significant and measurable overall cost savings to the
8 State.
9 (2) The savings shall be large enough to ensure that
10 they will not be eliminated by private sector and State
11 cost fluctuations that could normally be expected during
12 the third-party contracting period.
13 (3) The amount of savings clearly justify the size and
14 duration of the third-party contract.
15 (4) The savings will not be achieved through
16 diminishment in the quality or quantity of services.
17 (5) The third-party contract is awarded through a
18 competitive bidding process as set forth in the Illinois
19 Procurement Code.
20 (6) The potential for future economic risk to the State
21 from potential contractor rate increases or increased
22 obstacles to future competitive bidding is minimal.
23 (7) The third-party contract does not adversely affect
24 the State's affirmative action efforts or veterans' hiring
25 preferences.
26 (8) The potential economic advantage of a third-party

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1 contract is not outweighed by the public's interest in
2 having a particular service performed directly by State
3 employees.
4 (9) The proposed third-party contract would not have
5 the effect of moving Illinois jobs to other states or
6 countries.
7 Section 99. Effective date. This Act takes effect upon
8becoming law.
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