SB 1966 — PROCUREMENT DISCLOSURES

*LRB09411403JAM42296b* SB1966 94THEngrossed GENERALLRB094 ASSEMBLY11403 StateJAM of42296 Illinoisb andAN 2006ACT SB1966concerning Introducedgovernment. 2/25/2005, by Sen.

Jeffrey M.

Schoenberg SYNOPSIS AS INTRODUCED:

ILCS 420/4A-105 from Ch.

127, par.

604A-105 ILCS 500/50-13 ILCS 500/50-20 Amends the Illinois Governmental Ethics Act.

Requires that a special government agent file his or her statement of economic interests within 60 days after assuming responsibilities as a special government agent (now, within 30 days after making an ex parte communication).

Amends the Illinois Procurement Code.

Prohibits all State employees from obtaining State contracts (now, those earning more than 60% of the Governor’s compensation).

Requires that a waiver from the prohibition against obtaining State contracts must be filed within the earlier of 60 days after it is issued or when contract performance begins, and provides that the contract is voidable if the waiver is not filed within that period.

LRB094 11403 JAM 42296 b A BILL FOR SB1966 LRB094 11403 JAM 42296 b AN ACT concerning government.

(c) Any other person required by this Article to file the statement shall file a statement at the time of his or SB1966 Engrossed - 2 - LRB094 11403 JAM 42296 b her initial appointment or employment in relation to that unit of government if appointed or employed by May 1.

All late filing fees and penalties collected pursuant to this Section shall be paid into the General Revenue Fund in the State treasury, if the Secretary of State receives such statement for filing, or into the general fund in the county SB1966 Engrossed - 3 - LRB094 11403 JAM 42296 b treasury, if the county clerk receives such statement for filing.

The Illinois Procurement Code is amended by changing Sections 50-13 and 50-20 and by adding Section 50-21 as follows:

It is unlawful for any firm, partnership, association, or corporation, in which any person listed in SB1966 Engrossed - 4 - LRB094 11403 JAM 42296 b association, or corporation, in which any person listed in subsection (a) is entitled to receive (i) more than 7 1/2% of the total distributable income or (ii) an amount in excess of the salary of the Governor, to have or acquire any such contract or direct pecuniary interest therein.

This Section does not apply to a contract for personal services as a teacher or school administrator between a member of the General Assembly or his or her spouse, or a State officer or employee or his or her spouse, and any school district, public community college SB1966 Engrossed - 5 - LRB094 11403 JAM 42296 b spouse, and any school district, public community college district, the University of Illinois, Southern Illinois University, Illinois State University, Eastern Illinois University, Northern Illinois University, Western Illinois University, Chicago State University, Governor State University, or Northeastern Illinois University.

With the approval of the appropriate chief procurement officer involved, the Governor, or an executive ethics board or commission he or she designates, may exempt named individuals from the prohibitions SB1966 Engrossed - 6 - LRB094 11403 JAM 42296 b of Section 50-13 when, in his, her, or its judgment, the public SB1966 - 6 - LRB094 11403 JAM 42296 b interest in having the individual in the service of the State outweighs the public policy evidenced in that Section.

2-6-98.) (30 ILCS 500/50-21 new) Sec.

50-21.

Bond issuances.

(a) A State agency shall not enter into a contract with respect to the issuance of bonds or other securities by the State or a State agency with any entity that uses an independent consultant.

As used in this subsection, "independent consultant" means a person used by the entity to obtain or retain securities business through direct or indirect communication by the person with a State official or employee on behalf of the entity when the communication is undertaken by the person in exchange for or with the understanding of receiving payment from the entity or another person.

"Independent consultant" does not include (i) a finance professional employed by the entity or (ii) a person whose sole basis of compensation from the entity is the actual provision of legal, accounting, or engineering advice, services, or assistance in connection with the securities business that the entity seeks to obtain or retain.

(b) Each contract entered into by a State agency with respect to the issuance of bonds or other securities by the SB1966 Engrossed - 7 - LRB094 11403 JAM 42296 b State or a State agency shall include a certification by any contracting party subject to the Municipal Securities Rulemaking Board’s Rule G-38, or a successor rule, that the contracting entity is and shall remain for the duration of the contract in compliance with the Rule’s requirements for reporting political contributions.

Violation of the certification makes the contract voidable by the State and shall bar the awarding of a State agency contract with respect to the issuance of bonds or other securities to the violator for a period of 10 years after the determination of the violation.

(c) Any entity convicted of violating the Municipal Securities Rulemaking Board’s Rule G-37 or Rule G-38, or any successor rules, with respect to the prohibitions of those rules against obtaining or retaining municipal securities business and the making of political contributions or payments is permanently barred from participating in any State agency contract with respect to the issuance of bonds or other securities.

Section 99.

Effective date.

This Act takes effect upon becoming law.