Bill Text: IL HB4415 | 2013-2014 | 98th General Assembly | Introduced

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Bill Title: Amends the Illinois Procurement Code. Provides that the Director of Central Management Services (instead of the chief procurement officer) has the authority to designate small business set-asides. Provides that the Business Enterprise for Minorities, Females, and Persons with Disabilities Act applies to small business set-asides.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2014-12-03 - Session Sine Die [HB4415 Detail]

Download: Illinois-2013-HB4415-Introduced.html

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98TH GENERAL ASSEMBLY State of Illinois 2013 and 2014 HB4415 Introduced , by Rep. William Davis SYNOPSIS AS INTRODUCED:
30 ILCS 500/45-45
Amends the Illinois Procurement Code. Provides that the Director of Central Management Services (instead of the chief procurement officer) has the authority to designate small business set-asides. Provides that the Business Enterprise for Minorities, Females, and Persons with Disabilities Act applies to small business set-asides.
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FISCAL NOTE ACT MAY APPLY
A BILL FOR
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AN ACT concerning finance.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Illinois Procurement Code is amended by
changing Section 45-45 as follows:
(30 ILCS 500/45-45)
Sec. 45-45. Small businesses.
(a) Set-asides. The Director of Central Management
Services (Director) chief procurement officer has authority to
designate as small business set-asides a fair proportion of
construction, supply, and service contracts for award to small
businesses in Illinois. Advertisements for bids or offers for
those contracts shall specify designation as small business
set-asides. In awarding the contracts, only bids or offers from
qualified small businesses shall be considered.
(b) Small business. "Small business" means a business that
is independently owned and operated and that is not dominant in
its field of operation. The Director chief procurement officer
shall establish a detailed definition by rule, using in
addition to the foregoing criteria other criteria, including
the number of employees and the dollar volume of business. When
computing the size status of a bidder, annual sales and
receipts of the bidder and all of its affiliates shall be

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included. The maximum number of employees and the maximum
dollar volume that a small business may have under the rules
promulgated by the Director chief procurement officer may vary
from industry to industry to the extent necessary to reflect
differing characteristics of those industries, subject to the
following limitations:
(1) No wholesale business is a small business if its
annual sales for its most recently completed fiscal year
exceed $10,000,000.
(2) No retail business or business selling services is
a small business if its annual sales and receipts exceed
$6,000,000.
(3) No manufacturing business is a small business if it
employs more than 250 persons.
(4) No construction business is a small business if its
annual sales and receipts exceed $10,000,000.
(c) Fair proportion. For the purpose of subsection (a), for
State agencies of the executive branch, a fair proportion of
construction contracts shall be no less than 25% nor more than
40% of the annual total contracts for construction.
(d) Withdrawal of designation. A small business set-aside
designation may be withdrawn by the purchasing agency when
deemed in the best interests of the State. Upon withdrawal, all
bids or offers shall be rejected, and the bidders or offerors
shall be notified of the reason for rejection. The contract
shall then be awarded in accordance with this Code without the

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designation of small business set-aside.
(e) Small business specialist. The Director chief
procurement officer shall designate a State purchasing officer
who will be responsible for engaging an experienced contract
negotiator to serve as its small business specialist, whose
duties shall include:
(1) Compiling and maintaining a comprehensive bidders
list of small businesses. In this duty, he or she shall
cooperate with the Federal Small Business Administration
in locating potential sources for various products and
services.
(2) Assisting small businesses in complying with the
procedures for bidding on State contracts.
(3) Examining requests from State agencies for the
purchase of property or services to help determine which
invitations to bid are to be designated small business
set-asides.
(4) Making recommendations to the Director chief
procurement officer for the simplification of
specifications and terms in order to increase the
opportunities for small business participation.
(5) Assisting in investigations by purchasing agencies
to determine the responsibility of bidders on small
business set-asides.
(f) Small business annual report. The State purchasing
officer designated under subsection (e) shall annually before

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December 1 report in writing to the General Assembly concerning
the awarding of contracts to small businesses. The report shall
include the total value of awards made in the preceding fiscal
year under the designation of small business set-aside. The
report shall also include the total value of awards made to
businesses owned by minorities, females, and persons with
disabilities, as defined in the Business Enterprise for
Minorities, Females, and Persons with Disabilities Act, in the
preceding fiscal year under the designation of small business
set-aside.
The Business Enterprise for Minorities, Females, and
Persons with Disabilities Act applies to contracts procured
under this Section.
The requirement for reporting to the General Assembly shall
be satisfied by filing copies of the report as required by
Section 3.1 of the General Assembly Organization Act.
(Source: P.A. 92-60, eff. 7-12-01; 93-769, eff. 1-1-05.)