Bill Text: IL HB4865 | 2019-2020 | 101st General Assembly | Introduced

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Bill Title: Amends the Business Enterprise for Minorities, Women, and Persons with Disabilities Act. Provides that it shall be established as an aspirational goal to award State contracts to businesses owned by Descendants of American Slavery in a total dollar amount that is proportionate to the percentage of such persons who are residents of this State. Provides further requirements concerning the awarding of State contracts to businesses owned by Descendants of American Slavery. Requires reporting concerning the disparity between the representation of Descendants of American Slavery in State contracts compared to the percentage of such persons who are residents of this State. Specifies further requirements concerning waiver requests under the Act. Amends the Illinois Public Labor Relations Act. Requires labor organizations to establish and maintain membership that includes Descendants of American Slavery that is proportionate to the percentage of such persons who are residents of this State, and report those actions. Defines the term "minority person" to include a Descendant of American Slavery. Makes conforming changes.

Spectrum: Partisan Bill (Democrat 7-0)

Status: (Introduced - Dead) 2020-06-23 - Rule 19(b) / Re-referred to Rules Committee [HB4865 Detail]

Download: Illinois-2019-HB4865-Introduced.html

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101ST GENERAL ASSEMBLY State of Illinois 2019 and 2020 HB4865 Introduced , by Rep. Kambium Buckner SYNOPSIS AS INTRODUCED:
5 ILCS 315/9.5 new
30 ILCS 575/2
30 ILCS 575/4 from Ch. 127, par. 132.604
30 ILCS 575/4f
30 ILCS 575/6 from Ch. 127, par. 132.606
30 ILCS 575/7 from Ch. 127, par. 132.607
30 ILCS 575/8f
Amends the Business Enterprise for Minorities, Women, and Persons with Disabilities Act. Provides that it shall be established as an aspirational goal to award State contracts to businesses owned by Descendants of American Slavery in a total dollar amount that is proportionate to the percentage of such persons who are residents of this State. Provides further requirements concerning the awarding of State contracts to businesses owned by Descendants of American Slavery. Requires reporting concerning the disparity between the representation of Descendants of American Slavery in State contracts compared to the percentage of such persons who are residents of this State. Specifies further requirements concerning waiver requests under the Act. Amends the Illinois Public Labor Relations Act. Requires labor organizations to establish and maintain membership that includes Descendants of American Slavery that is proportionate to the percentage of such persons who are residents of this State, and report those actions. Defines the term "minority person" to include a Descendant of American Slavery. Makes conforming changes.
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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 Public Labor Relations Act is
amended by adding Section 9.5 as follows:
(5 ILCS 315/9.5 new)
Sec. 9.5. Labor organization diverse membership. Any labor
organization that is selected as the exclusive representative
of the employees of a bargaining unit and subject to the
provisions of this Act shall take actions to establish and
maintain membership that includes Descendants of American
Slavery that is proportionate to the percentage of such persons
who are residents of this State, and shall report those actions
to the Business Enterprise Council for Minorities, Women, and
Persons with Disabilities. For the purposes of this Section,
"Descendants of American Slavery" means a person as described
within the meaning of "minority person" under Section 2 of the
Business Enterprise for Minorities, Women, and Persons with
Disabilities Act.
Section 10. The Business Enterprise for Minorities, Women,
and Persons with Disabilities Act is amended by changing
Sections 2, 4, 4f, 6, 7, and 8f as follows:

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(30 ILCS 575/2)
(Section scheduled to be repealed on June 30, 2024)
Sec. 2. Definitions.
(A) For the purpose of this Act, the following terms shall
have the following definitions:
(1) "Minority person" shall mean a person who is a
citizen or lawful permanent resident of the United States
and who is any of the following:
(a) American Indian or Alaska Native (a person
having origins in any of the original peoples of North
and South America, including Central America, and who
maintains tribal affiliation or community attachment).
(b) Asian (a person having origins in any of the
original peoples of the Far East, Southeast Asia, or
the Indian subcontinent, including, but not limited
to, Cambodia, China, India, Japan, Korea, Malaysia,
Pakistan, the Philippine Islands, Thailand, and
Vietnam).
(c) Black or African American (a person having
origins in any of the black racial groups of Africa).
(c-5) Descendant of American Slavery (a person
having direct ancestral lineage to victims of slavery
in the United States of America).
(d) Hispanic or Latino (a person of Cuban, Mexican,
Puerto Rican, South or Central American, or other

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Spanish culture or origin, regardless of race).
(e) Native Hawaiian or Other Pacific Islander (a
person having origins in any of the original peoples of
Hawaii, Guam, Samoa, or other Pacific Islands).
(2) "Woman" shall mean a person who is a citizen or
lawful permanent resident of the United States and who is
of the female gender.
(2.05) "Person with a disability" means a person who is
a citizen or lawful resident of the United States and is a
person qualifying as a person with a disability under
subdivision (2.1) of this subsection (A).
(2.1) "Person with a disability" means a person with a
severe physical or mental disability that:
(a) results from:
amputation,
arthritis,
autism,
blindness,
burn injury,
cancer,
cerebral palsy,
Crohn's disease,
cystic fibrosis,
deafness,
head injury,
heart disease,

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hemiplegia,
hemophilia,
respiratory or pulmonary dysfunction,
an intellectual disability,
mental illness,
multiple sclerosis,
muscular dystrophy,
musculoskeletal disorders,
neurological disorders, including stroke and
epilepsy,
paraplegia,
quadriplegia and other spinal cord conditions,
sickle cell anemia,
ulcerative colitis,
specific learning disabilities, or
end stage renal failure disease; and
(b) substantially limits one or more of the
person's major life activities.
Another disability or combination of disabilities may
also be considered as a severe disability for the purposes
of item (a) of this subdivision (2.1) if it is determined
by an evaluation of rehabilitation potential to cause a
comparable degree of substantial functional limitation
similar to the specific list of disabilities listed in item
(a) of this subdivision (2.1).
(3) "Minority-owned business" means a business which

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is at least 51% owned by one or more minority persons, or
in the case of a corporation, at least 51% of the stock in
which is owned by one or more minority persons; and the
management and daily business operations of which are
controlled by one or more of the minority individuals who
own it.
(4) "Women-owned business" means a business which is at
least 51% owned by one or more women, or, in the case of a
corporation, at least 51% of the stock in which is owned by
one or more women; and the management and daily business
operations of which are controlled by one or more of the
women who own it.
(4.1) "Business owned by a person with a disability"
means a business that is at least 51% owned by one or more
persons with a disability and the management and daily
business operations of which are controlled by one or more
of the persons with disabilities who own it. A
not-for-profit agency for persons with disabilities that
is exempt from taxation under Section 501 of the Internal
Revenue Code of 1986 is also considered a "business owned
by a person with a disability".
(4.2) "Council" means the Business Enterprise Council
for Minorities, Women, and Persons with Disabilities
created under Section 5 of this Act.
(5) "State contracts" means all contracts entered into
by the State, any agency or department thereof, or any

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public institution of higher education, including
community college districts, regardless of the source of
the funds with which the contracts are paid, which are not
subject to federal reimbursement. "State contracts" does
not include contracts awarded by a retirement system,
pension fund, or investment board subject to Section
1-109.1 of the Illinois Pension Code. This definition shall
control over any existing definition under this Act or
applicable administrative rule.
"State construction contracts" means all State
contracts entered into by a State agency or public
institution of higher education 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.
(6) "State agencies" shall mean all departments,
officers, boards, commissions, institutions and bodies
politic and corporate of the State, but does not include
the Board of Trustees of the University of Illinois, the
Board of Trustees of Southern Illinois University, the
Board of Trustees of Chicago State University, the Board of
Trustees of Eastern Illinois University, the Board of
Trustees of Governors State University, the Board of
Trustees of Illinois State University, the Board of
Trustees of Northeastern Illinois University, the Board of
Trustees of Northern Illinois University, the Board of

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Trustees of Western Illinois University, municipalities or
other local governmental units, or other State
constitutional officers.
(7) "Public institutions of higher education" means
the University of Illinois, Southern Illinois University,
Chicago State University, Eastern Illinois University,
Governors State University, Illinois State University,
Northeastern Illinois University, Northern Illinois
University, Western Illinois University, the public
community colleges of the State, and any other public
universities, colleges, and community colleges now or
hereafter established or authorized by the General
Assembly.
(8) "Certification" means a determination made by the
Council or by one delegated authority from the Council to
make certifications, or by a State agency with statutory
authority to make such a certification, that a business
entity is a business owned by a minority, woman, or person
with a disability for whatever purpose. A business owned
and controlled by women shall be certified as a
"woman-owned business". A business owned and controlled by
women who are also minorities shall be certified as both a
"women-owned business" and a "minority-owned business".
(9) "Control" means the exclusive or ultimate and sole
control of the business including, but not limited to,
capital investment and all other financial matters,

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property, acquisitions, contract negotiations, legal
matters, officer-director-employee selection and
comprehensive hiring, operating responsibilities,
cost-control matters, income and dividend matters,
financial transactions and rights of other shareholders or
joint partners. Control shall be real, substantial and
continuing, not pro forma. Control shall include the power
to direct or cause the direction of the management and
policies of the business and to make the day-to-day as well
as major decisions in matters of policy, management and
operations. Control shall be exemplified by possessing the
requisite knowledge and expertise to run the particular
business and control shall not include simple majority or
absentee ownership.
(10) "Business" means a business that has annual gross
sales of less than $75,000,000 as evidenced by the federal
income tax return of the business. A firm with gross sales
in excess of this cap may apply to the Council for
certification for a particular contract if the firm can
demonstrate that the contract would have significant
impact on businesses owned by minorities, women, or persons
with disabilities as suppliers or subcontractors or in
employment of minorities, women, or persons with
disabilities.
(11) "Utilization plan" means a form and additional
documentations included in all bids or proposals that

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demonstrates a vendor's proposed utilization of vendors
certified by the Business Enterprise Program to meet the
targeted goal. The utilization plan shall demonstrate that
the Vendor has either: (1) met the entire contract goal or
(2) requested a full or partial waiver and made good faith
efforts towards meeting the goal.
(12) "Business Enterprise Program" means the Business
Enterprise Program of the Department of Central Management
Services.
(B) 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 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.
(Source: P.A. 100-391, eff. 8-25-17; 101-601, eff. 1-1-20.)
(30 ILCS 575/4) (from Ch. 127, par. 132.604)
(Section scheduled to be repealed on June 30, 2024)
Sec. 4. Award of State contracts.
(a) Except as provided in subsections subsection (b) and
(b-5), not less than 20% of the total dollar amount of State
contracts, as defined by the Secretary of the Council and

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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 State contracts
awarded to businesses owned by minorities, women, and persons
with disabilities pursuant to this Section, contracts
representing at least 11% shall be awarded to businesses owned
by minorities, contracts representing at least 7% shall be
awarded to women-owned businesses, and contracts representing
at least 2% shall be awarded to businesses owned by persons
with disabilities.
The above percentage relates to the total dollar amount of
State contracts during each State fiscal year, calculated by
examining independently each type of contract for each agency
or public institutions of higher education 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. State 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).
(b) Except as provided in subsection (b-5), not Not less

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than 20% of the total dollar amount of State 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
11% of the total dollar amount of State construction contracts
shall be awarded to businesses owned by minorities; contracts
representing at least 7% of the total dollar amount of State
construction contracts shall be awarded to women-owned
businesses; and contracts representing at least 2% of the total
dollar amount of State construction contracts shall be awarded
to businesses owned by persons with disabilities.
(b-5) Notwithstanding the provisions of subsections (a)
and (b), it shall be established as an aspirational goal to
award State contracts to businesses owned by Descendants of
American Slavery in a total dollar amount that is proportionate
to the percentage of such persons who are residents of this
State.
Those who submit bids or proposals for State contracts
subject to the provisions of this Act, whose bids or proposals
are successful, but that fail to meet the goals set forth in
this subsection (b-5), 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 Descendants of American Slavery. Any increase in cost

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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 written consent of the State agency or public
institution of higher education entering into the contract.
A contractor submitting bids or proposals for State
contracts subject to the provisions of this Act shall submit a
plan to the Council outlining its efforts to utilize
subcontractors owned by Descendants of American Slavery for the
purposes of fulfilling the goals and requirements established
under this Act.
(c) (Blank).
(d) Within one year after April 28, 2009 (the effective
date of Public Act 96-8), 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 Illinois. Within 18 months after April 28, 2009
(the effective date of Public Act 96-8), 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
Governor and the General Assembly.
By December 1, 2020, the Department of Central Management

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Services shall conduct a new social scientific study that
measures the impact of discrimination on minority and women
business development in Illinois. By June 1, 2022, 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
Governor, the Advisory Board, and the General Assembly. By
December 1, 2022, the Department of Central Management Services
Business Enterprise Program shall develop a model for social
scientific disparity study sourcing for local governmental
units to adapt and implement to address regional disparities in
public procurement.
(e) Except as permitted under this Act or as otherwise
mandated by federal law or regulation, those who submit bids or
proposals for State 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) of this Section, 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

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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 written consent of the State agency or
public institution of higher education entering into the
contract.
(f) Non-construction solicitations that include 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 non-responsive.
(Source: P.A. 100-391, eff. 8-25-17; 101-170, eff. 1-1-20;
101-601, eff. 1-1-20.)
(30 ILCS 575/4f)
(Section scheduled to be repealed on June 30, 2024)
Sec. 4f. Award of State contracts.
(1) It is hereby declared to be the public policy of the
State of Illinois to promote and encourage each State agency
and public institution of higher education to use businesses
owned by minorities, women, and persons with disabilities in
the area of goods and services, including, but not limited to,
insurance services, investment management services,
information technology services, accounting services,

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architectural and engineering services, and legal services.
Furthermore, each State agency and public institution of higher
education shall utilize such firms to the greatest extent
feasible within the bounds of financial and fiduciary prudence,
and take affirmative steps to remove any barriers to the full
participation of such firms in the procurement and contracting
opportunities afforded.
(a) When a State agency or public institution of higher
education, other than a community college, awards a
contract for insurance services, for each State agency or
public institution of higher education, it shall be the
aspirational goal to use insurance brokers owned by
minorities, women, and persons with disabilities as
defined by this Act, for not less than 20% of the total
annual premiums or fees; provided that, contracts
representing at least 11% of the total annual premiums or
fees shall be awarded to businesses owned by minorities;
contracts representing at least 7% of the total annual
premiums or fees shall be awarded to women-owned
businesses; and contracts representing at least 2% of the
total annual premiums or fees shall be awarded to
businesses owned by persons with disabilities.
(a-5) Notwithstanding subsection (a), when a State
agency or public institution of higher education awards a
contract for insurance services, for each State agency or
public institution of higher education, it shall be the

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aspirational goal to use insurance brokers owned by
Descendants of American Slavery in a percentage of the
total annual premiums or fees that is proportionate to the
percentage of such persons who are residents of this State.
(b) When a State agency or public institution of higher
education, other than a community college, awards a
contract for investment services, for each State agency or
public institution of higher education, it shall be the
aspirational goal to use emerging investment managers
owned by minorities, women, and persons with disabilities
as defined by this Act, for not less than 20% of the total
funds under management; provided that, contracts
representing at least 11% of the total funds under
management shall be awarded to businesses owned by
minorities; contracts representing at least 7% of the total
funds under management shall be awarded to women-owned
businesses; and contracts representing at least 2% of the
total funds under management shall be awarded to businesses
owned by persons with disabilities. Furthermore, it is the
aspirational goal that not less than 20% of the direct
asset managers of the State funds be minorities, women, and
persons with disabilities.
(b-5) Notwithstanding subsection (b), when a State
agency or public institution of higher education awards a
contract for investment services, for each State agency or
public institution of higher education, it shall be the

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aspirational goal to use emerging investment managers
owned by Descendants of American Slavery in a percentage of
the total funds under management that is proportionate to
the percentage of such persons who are residents of this
State.
(c) When a State agency or public institution of higher
education, other than a community college, awards
contracts for information technology services, accounting
services, architectural and engineering services, and
legal services, for each State agency and public
institution of higher education, it shall be the
aspirational goal to use such firms owned by minorities,
women, and persons with disabilities as defined by this Act
and lawyers who are minorities, women, and persons with
disabilities as defined by this Act, for not less than 20%
of the total dollar amount of State contracts; provided
that, contracts representing at least 11% of the total
dollar amount of State contracts shall be awarded to
businesses owned by minorities or minority lawyers;
contracts representing at least 7% of the total dollar
amount of State contracts shall be awarded to women-owned
businesses or women who are lawyers; and contracts
representing at least 2% of the total dollar amount of
State contracts shall be awarded to businesses owned by
persons with disabilities or persons with disabilities who
are lawyers.

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(c-5) Notwithstanding subsection (c), when a State
agency or public institution of higher education awards
contracts for information technology services, accounting
services, architectural and engineering services, and
legal services, for each State agency or public institution
of higher education, it shall be the aspirational goal to
use such firms owned by Descendants of American Slavery and
lawyers who are Descendants of American Slavery in a
percentage of the total dollar amount of State contracts
that is proportionate to the percentage of such persons who
are residents of this State.
(d) When a community college awards a contract for
insurance services, investment services, information
technology services, accounting services, architectural
and engineering services, and legal services, it shall be
the aspirational goal of each community college to use
businesses owned by minorities, women, and persons with
disabilities as defined in this Act for not less than 20%
of the total amount spent on contracts for these services
collectively; provided that, contracts representing at
least 11% of the total amount spent on contracts for these
services shall be awarded to businesses owned by
minorities; contracts representing at least 7% of the total
amount spent on contracts for these services shall be
awarded to women-owned businesses; and contracts
representing at least 2% of the total amount spent on

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contracts for these services shall be awarded to businesses
owned by persons with disabilities. When a community
college awards contracts for investment services,
contracts awarded to investment managers who are not
emerging investment managers as defined in this Act shall
not be considered businesses owned by minorities, women, or
persons with disabilities for the purposes of this Section.
(2) As used in this Section:
"Accounting services" means the measurement,
processing and communication of financial information
about economic entities including, but is not limited to,
financial accounting, management accounting, auditing,
cost containment and auditing services, taxation and
accounting information systems.
"Architectural and engineering services" means
professional services of an architectural or engineering
nature, or incidental services, that members of the
architectural and engineering professions, and individuals
in their employ, may logically or justifiably perform,
including studies, investigations, surveying and mapping,
tests, evaluations, consultations, comprehensive planning,
program management, conceptual designs, plans and
specifications, value engineering, construction phase
services, soils engineering, drawing reviews, preparation
of operating and maintenance manuals, and other related
services.

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"Emerging investment manager" means an investment
manager or claims consultant having assets under
management below $10 billion or otherwise adjudicating
claims.
"Information technology services" means, but is not
limited to, specialized technology-oriented solutions by
combining the processes and functions of software,
hardware, networks, telecommunications, web designers,
cloud developing resellers, and electronics.
"Insurance broker" means an insurance brokerage firm,
claims administrator, or both, that procures, places all
lines of insurance, or administers claims with annual
premiums or fees of at least $5,000,000 but not more than
$10,000,000.
"Legal services" means work performed by a lawyer
including, but not limited to, contracts in anticipation of
litigation, enforcement actions, or investigations.
(3) Each State agency and public institution of higher
education shall adopt policies that identify its plan and
implementation procedures for increasing the use of service
firms owned by minorities, women, and persons with
disabilities.
(4) Except as provided in subsection (5), the Council shall
file no later than March 1 of each year an annual report to the
Governor, the Bureau on Apprenticeship Programs, and the
General Assembly. The report filed with the General Assembly

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shall be filed as required in Section 3.1 of the General
Assembly Organization Act. This report shall: (i) identify the
service firms used by each State agency and public institution
of higher education, (ii) identify the actions it has
undertaken to increase the use of service firms owned by
minorities, women, and persons with disabilities, including
encouraging non-minority-owned firms to use other service
firms owned by minorities, women, and persons with disabilities
as subcontractors when the opportunities arise, (iii) state any
recommendations made by the Council to each State agency and
public institution of higher education to increase
participation by the use of service firms owned by minorities,
women, and persons with disabilities, and (iv) include the
following:
(A) For insurance services: the names of the insurance
brokers or claims consultants used, the total of risk
managed by each State agency and public institution of
higher education by insurance brokers, the total
commissions, fees paid, or both, the lines or insurance
policies placed, and the amount of premiums placed; and the
percentage of the risk managed by insurance brokers, the
percentage of total commission, fees paid, or both, the
lines or insurance policies placed, and the amount of
premiums placed with each by the insurance brokers owned by
minorities, women, and persons with disabilities by each
State agency and public institution of higher education.

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(B) For investment management services: the names of
the investment managers used, the total funds under
management of investment managers; the total commissions,
fees paid, or both; the total and percentage of funds under
management of emerging investment managers owned by
minorities, women, and persons with disabilities,
including the total and percentage of total commissions,
fees paid, or both by each State agency and public
institution of higher education.
(C) The names of service firms, the percentage and
total dollar amount paid for professional services by
category by each State agency and public institution of
higher education.
(D) The names of service firms, the percentage and
total dollar amount paid for services by category to firms
owned by minorities, women, and persons with disabilities
by each State agency and public institution of higher
education.
(E) The total number of contracts awarded for services
by category and the total number of contracts awarded to
firms owned by minorities, women, and persons with
disabilities by each State agency and public institution of
higher education.
(5) For community college districts, the Business
Enterprise Council shall only report the following information
for each community college district: (i) the name of the

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community colleges in the district, (ii) the name and contact
information of a person at each community college appointed to
be the single point of contact for vendors owned by minorities,
women, or persons with disabilities, (iii) the policy of the
community college district concerning certified vendors, (iv)
the certifications recognized by the community college
district for determining whether a business is owned or
controlled by a minority, woman, or person with a disability,
(v) outreach efforts conducted by the community college
district to increase the use of certified vendors, (vi) the
total expenditures by the community college district in the
prior fiscal year in the divisions of work specified in
paragraphs (a), (b), and (c) of subsection (1) of this Section
and the amount paid to certified vendors in those divisions of
work, and (vii) the total number of contracts entered into for
the divisions of work specified in paragraphs (a), (b), and (c)
of subsection (1) of this Section and the total number of
contracts awarded to certified vendors providing these
services to the community college district. The Business
Enterprise Council shall not make any utilization reports under
this Act for community college districts for Fiscal Year 2015
and Fiscal Year 2016, but shall make the report required by
this subsection for Fiscal Year 2017 and for each fiscal year
thereafter. The Business Enterprise Council shall report the
information in items (i), (ii), (iii), and (iv) of this
subsection beginning in September of 2016. The Business

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Enterprise Council may collect the data needed to make its
report from the Illinois Community College Board.
(6) The status of the utilization of services shall be
discussed at each of the regularly scheduled Business
Enterprise Council meetings. Time shall be allotted for the
Council to receive, review, and discuss the progress of the use
of service firms owned by minorities, women, and persons with
disabilities by each State agency and public institution of
higher education; and any evidence regarding past or present
racial, ethnic, or gender-based discrimination which directly
impacts a State agency or public institution of higher
education contracting with such firms. 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 for the divisions of work specified in paragraphs (a),
(b), and (c) of subsection (1) of this Section.
(Source: P.A. 100-391, eff. 8-25-17; 101-170, eff. 1-1-20.)
(30 ILCS 575/6) (from Ch. 127, par. 132.606)
(Section scheduled to be repealed on June 30, 2024)
Sec. 6. Agency compliance plans. Each State agency and
public institutions of higher education under the jurisdiction
of this Act shall file with the Council an annual compliance
plan which shall outline the goals of the State agency or

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public institutions of higher education for contracting with
businesses owned by minorities, women, and persons with
disabilities for the then current fiscal year, the manner in
which the agency intends to reach these goals and a timetable
for reaching these goals. The Council shall review and approve
the plan of each State agency and public institutions of higher
education and may reject any plan that does not comply with
this Act or any rules or regulations promulgated pursuant to
this Act.
(a) The compliance plan shall also include, but not be
limited to, (1) a policy statement, signed by the State agency
or public institution of higher education head, expressing a
commitment to encourage the use of businesses owned by
minorities, women, and persons with disabilities, (2) the
designation of the liaison officer provided for in Section 5 of
this Act, (3) 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, (4) 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,
(5) procedures to assure that contractors and vendors make good
faith efforts to meet contract goals, (6) procedures for
contract goal exemption, modification and waiver, and (7) the
delineation of separate contract goals for businesses owned by

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minorities, women, and persons with disabilities.
(b) Approval of the compliance plans shall include such
delegation of responsibilities to the requesting State agency
or public institution of higher education 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 (1), (2) and (3) of Section 7,
paragraph (a) of Section 8, and Section 8a of this Act.
(c) Each State agency and public institution of higher
education under the jurisdiction of this Act 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 State agency or
public institution of higher education to meet its goals under
the Act.
(d) Notwithstanding any provisions to the contrary in this
Act, any State agency or public institution of higher education
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

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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 federal statutes or regulations. Notwithstanding the
provisions of Section 8b, 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 State agency or public institution of
higher education pursuant to this Act, which incorporates
equivalent terms and conditions of its federally-approved
compliance plan, shall be deemed approved under this Act.
(e) Each State agency and public institution of higher
education under the jurisdiction of this Act shall include,
along with the compliance plan filed with the Council under
this Section, an annual plan of action to specifically rectify
the disparity between the representation of Descendants of
American Slavery in State contracts compared to the percentage
of such persons who are residents of this State. The plan of
action shall outline actions to be taken by the State agency to
increase representation of Descendants of American Slavery in
State contracting, and include the percentage of contracts
entered into between the State agency and businesses owned by
Descendants of American Slavery.
(Source: P.A. 99-462, eff. 8-25-15; 100-391, eff. 8-25-17.)

HB4865 - 28 - LRB101 19316 RJF 68785 b
(30 ILCS 575/7) (from Ch. 127, par. 132.607)
(Section scheduled to be repealed on June 30, 2024)
Sec. 7. Exemptions; waivers; publication of data.
(1) Individual contract exemptions. The Council, at the
written request of the affected agency, public institution of
higher education, 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 State 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. Any such exemptions shall be
given by the Council to the Bureau on Apprenticeship Programs.
(a) Written request for contract exemption. A written
request for an individual contract exemption must include,
but is not limited to, the following:

HB4865 - 29 - LRB101 19316 RJF 68785 b
(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 subparagraph (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 agency or public institution of higher education'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) Determination. 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 agency, public institution of higher
education, or recipient of a grant or loan of State
funds of $250,000 or more complying with Section 45 of

HB4865 - 30 - LRB101 19316 RJF 68785 b
the State Finance Act that have been granted by the
Council in the current and prior fiscal years; and
(iii) the percentage of contracts awarded by the
agency or public institution of higher education to
eligible businesses owned by minorities, women, and
persons with disabilities in the current and prior
fiscal years.
(2) Class exemptions.
(a) Creation. The Council, at the written request of
the affected agency or public institution of higher
education, may permit an entire class of contracts be made
exempt from State 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. Any such exemption shall be
given by the Council to the Bureau on Apprenticeship
Programs.
(a-1) Written request for class exemption. A written
request for a class exemption must include, but is not
limited to, the following:
(i) a list of eligible businesses owned by

HB4865 - 31 - LRB101 19316 RJF 68785 b
minorities, women, and persons with disabilities;
(ii) a clear demonstration that the number of
eligible businesses identified in subparagraph (i)
above is insufficient to ensure adequate 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 agency or public institution of higher
education's expectations of reasonable prices on bids
or proposals within that class; and
(iv) the number of class exemptions the affected
agency or public institution of higher education
requested in the current and prior fiscal years.
(a-2) Determination. 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 agency or public institution of
higher education that have been granted by the Council
in the current and prior fiscal years; and
(iii) the percentage of contracts awarded by the
agency or public institution of higher education to

HB4865 - 32 - LRB101 19316 RJF 68785 b
eligible businesses owned by minorities, women, and
persons with disabilities the current and prior fiscal
years.
(b) Limitation. Any such class exemption shall not be
permitted for a period of more than one year at a time.
(3) Waivers. 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
requirements. Except as otherwise provided in this Section, the
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. Any such
waiver shall also be transmitted in writing to the Bureau on
Apprenticeship Programs.
(a) Request for waiver. A contractor's request for a
waiver under this subsection (3) must include, but is not
limited to, the following, if available:
(i) a list of eligible businesses owned by
minorities, women, and persons with disabilities that
pertain to the class of contracts in the requested
waiver;
(ii) a clear demonstration that the number of
eligible businesses identified in subparagraph (i)
above is insufficient to ensure competition;
(iii) the difference in cost between the contract

HB4865 - 33 - LRB101 19316 RJF 68785 b
proposals being offered by businesses owned by
minorities, women, and persons with disabilities and
the agency or the public institution of higher
education's expectations of reasonable prices on bids
or proposals within that class; and
(iv) a list of businesses owned by minorities,
women, and persons with disabilities that the
contractor has used in the current and prior fiscal
years.
(b) Determination. The Council's determination
concerning waivers must include following:
(i) 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;
(ii) the total number of waivers the contractor has
been granted by the Council in the current and prior
fiscal years;
(iii) the percentage of contracts awarded by the
agency or public institution of higher education to
eligible businesses owned by minorities, women, and
persons with disabilities in the current and prior
fiscal years; and
(iv) the contractor's use of businesses owned by
minorities, women, and persons with disabilities in

HB4865 - 34 - LRB101 19316 RJF 68785 b
the current and prior fiscal years.
(c) Contract value. Any waiver request submitted under
this Section for which the contract has a total dollar
amount valued between $100,000 and $999,000 must be
approved by the Council. Any contract request submitted
under this Section for which the contract has a total
dollar amount valued at $1,000,000 or more must be approved
by the General Assembly.
(3.5) (Blank).
(4) Conflict with other laws. In the event that any State
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.
(5) Each chief procurement officer, as defined in the
Illinois Procurement Code, shall maintain on his or her
official Internet website a database of the following: (i)
waivers granted under this Section with respect to contracts
under his or her jurisdiction; (ii) a State agency or public
institution of higher education'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

HB4865 - 35 - LRB101 19316 RJF 68785 b
shall be updated periodically as necessary, shall be searchable
by contractor name and by contracting State agency.
(6) Each chief procurement officer, as defined by the
Illinois Procurement Code, shall maintain on its website a list
of all firms that have been prohibited from bidding, offering,
or entering into a contract with the State of Illinois as a
result of violations of this Act.
Each public notice required by law of the award of a State
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.
(Source: P.A. 100-391, eff. 8-25-17; 101-170, eff. 1-1-20;
101-601, eff. 1-1-20.)
(30 ILCS 575/8f)
(Section scheduled to be repealed on June 30, 2024)
Sec. 8f. Annual report. The Council shall file no later
than March 1 of each year, an annual report that shall detail
the level of achievement toward the goals specified in this Act
over the 3 most recent fiscal years. The annual report shall
include, but need not be limited to the following:

HB4865 - 36 - LRB101 19316 RJF 68785 b
(1) a summary detailing expenditures subject to the
goals, the actual goals specified, and the goals attained
by each State agency and public institution of higher
education;
(2) a summary of the number of contracts awarded and
the average contract amount by each State agency and public
institution of higher education;
(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 $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; and .
(6) a summary detailing the disparity between the
representation of Descendants of American Slavery in State
contracts compared to the percentage of such persons who
are residents of this State, and a summary of the efforts
to eliminate that disparity based upon the requirements of
this Act.

HB4865 - 37 - LRB101 19316 RJF 68785 b
(Source: P.A. 99-462, eff. 8-25-15; 100-391, eff. 8-25-17.)