Public Act 102-1094
 
SB2981 EnrolledLRB102 21866 RAM 30987 b


  
    AN ACT concerning transportation.
  
 
    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 
Innovations for Transportation Infrastructure Act.
 
    Section 5. Legislative policy.

    (a)   It is the public policy of the State of Illinois to 
promote the development of infrastructure projects that serve 
the needs of the public.

    (b)   The design-build project delivery method and 
Construction Manager/General Contractor  project delivery 
method and use of Alternative Technical Concepts  have the 
potential to capture private sector innovation and safely 
deliver infrastructure projects on more predictable schedules 
and budgets. Earlier completion and lower cost for projects 
are possible with the ability to shift or share risks with the 
private sector that are generally retained by the public in 
the conventional design-bid-build project delivery method.

    (c)    It is the intent of the General Assembly that the 
Department of Transportation and the Illinois State Toll 
Highway Authority may evaluate and use Alternative Technical 
Concepts  proposed by bidders and proposers and to use the 
design-build project delivery method and Construction 
Manager/General Contractor project delivery method.

    (d)    It is the intent of this Act to use design 
professionals, construction companies, and workers from this 
State, reflecting the diversity of the State's businesses and 
workforce, to the greatest extent possible.

    (e)    Except as otherwise provided in this Act, the powers 
granted in this Act are in addition to any other powers 
authorized under applicable law.
 
    Section 10. Definitions. As used in this Act:

    "Alternative Technical Concepts" means a proposed 
deviation from the contract requirements set forth in the 
procurement documents for a transportation facility that 
offers a solution that is equal  to or better than the 
requirements in the procurement documents.

    "Authority" means the Illinois State Toll Highway 
Authority.
    "Best value" means any selection process in which 
proposals contain both price and qualitative components and 
award is based upon a combination of price, qualitative 
concepts, and other factors.

    "Chief procurement officer" means the chief procurement 
officer for the Transportation Agency.

    "Construction Manager/General Contractor" means a proposer 
that has entered into a Construction Manager/General 
Contractor contract under this Act.

    "Construction Manager/General Contractor contract" means a 
two-phase contract between the Transportation Agency and a 
Construction Manager/General Contractor that includes a first 
phase addressing preconstruction services and a second phase 
addressing the construction of the transportation facility.

    "Construction Manager/General Contractor project delivery 
method" means a method of procurement and contracting that 
makes a Construction Manager/General Contractor who enters 
into a contract with the Transportation Agency responsible for 
certain preconstruction services and then, if the parties 
reach agreement on key terms, responsible for construction of 
the transportation facility.

    "Department" means the Illinois Department of 
Transportation.
           
    "Design-bid-build project delivery method" means the 
traditional method of procuring and contracting for design 
services and construction services used separately in this 
State that incorporates the Architectural, Engineering, and 
Land Surveying Qualifications Based Selection Act and the 
principles of competitive bidding under the Illinois 
Procurement Code.

    "Design-build contract" means a contract between the 
Transportation Agency and a design-builder under which the 
design-builder agrees to furnish architectural, surveying, 
engineering, construction, and related services for a 
transportation facility, and may include, but is not limited 
to, the progressive design-build project delivery method.

    "Design-build project delivery method" means a method of 
procurement and contracting that provides responsibility 
within a single contract between the Transportation Agency and 
a design-builder for the furnishing of architectural, 
surveying, engineering, construction, and related services for 
a transportation facility.

    "Design-builder" means a proposer that has entered into a 
design-build contract with the Transportation Agency under 
this Act.

    "Evaluation Committee" means the committee assembled to 
evaluate and score statements of qualifications and proposals.

    "Evaluation criteria" means the standards and requirements 
established by the Transportation Agency against which the 
qualifications and proposals of a proposer will be assessed 
during the procurement of a design-build contract or 
Construction Manager/General Contractor contract, as 
applicable.

    "Executive Director" means the Executive Director of the 
Illinois State Toll Highway Authority.
    "Metropolitan planning organization" means a metropolitan 
planning organization under 23 U.S.C. 134 whose metropolitan 
planning area boundaries are partially or completely within 
this State.

    "Preconstruction services" means all 
non-construction-related services that a Construction 
Manager/General Contractor is required to perform during the 
first phase of a Construction Manager/General Contractor 
contract, and may include, but is not limited to, giving 
advice to the Transportation Agency regarding scheduling, work 
sequencing, cost engineering, constructability, cost 
estimating, and risk identification.

    "Progressive design-build project delivery method" is a 
type of design-build project delivery method that consists of 
2 phases, with the first phase including budget-level design 
development, preconstruction services, and negotiation of a 
contract price (either lump sum or guaranteed maximum price). 
After completion of the first phase, the second phase is 
begun. The second phase consists of final design, 
construction, and commissioning of the project.
    "Proposal" means a proposer's response to a request for 
proposals.

    "Proposer" means  any individual, sole proprietorship, 
firm, partnership, joint venture, corporation, professional 
corporation, or other entity legally established to conduct 
business in this State that proposes to be the design-builder 
or Construction Manager/General Contractor for any 
transportation facility under this Act.
    "Qualifications" means a statement of qualifications 
submitted by a proposer in response to a request for 
qualifications.

    "Request for proposals" means the document issued by the 
Transportation Agency to solicit proposals and describe the 
procurement process for a design-build contract or 
Construction Manager/General Contractor contract in accordance 
with the design-build project delivery method or the 
Construction Manager/General Contractor project delivery 
method, as applicable.

    "Request for qualifications" means the document issued by 
the Transportation Agency in the first phase of a two-phase 
procurement to solicit qualifications from proposers in 
accordance with the design-build project delivery method or 
the Construction Manager/General Contractor project delivery 
method, as applicable.

    "Scope and performance requirements" means the activities, 
constructed elements, and standards of performance the 
Transportation Agency requires the design-builder or the 
Construction Manager/General Contractor to comply with in the 
development of the transportation facility, and may include, 
but is not limited to, the intended usage, capacity, size, 
scope, quality and performance standards, life-cycle costs, 
preliminary engineering, design, and other requirements as 
developed and determined by the Transportation Agency.

    "Secretary" means the Secretary of the Illinois Department 
of Transportation.

    "Transportation Agency" means the Illinois Department of 
Transportation or the Illinois State Toll Highway Authority.
    "Transportation facility" means any new or existing 
facility or group of facilities that are the subject of a 
design-build contract or a Construction Manager/General 
Contractor contract, and includes highways, roads, bridges, 
tunnels, overpasses, bus ways, guideways, ferries, airports or 
other aviation facilities, public transportation facilities, 
vehicle parking facilities, port facilities, rail   facilities, 
stations, hubs, terminals, intermodal facilities, transit 
facilities, or similar facilities  used for the transportation 
of persons or goods, together with any buildings, structures, 
parking areas, appurtenances, intelligent transportation 
systems, and other property or facilities related to the 
operation or maintenance of these facilities.

 
    Section 15. Authorization of project delivery  methods.



    (a) Notwithstanding  any other law, and as authority 
supplemental to its existing powers, except as otherwise 
provided for in this Act, the Transportation Agency, in 
accordance with this Act, may use the design-build project 
delivery method for transportation facilities if the capital 
costs for transportation facilities delivered utilizing the 
design-build project delivery method or Construction 
Manager/General Contractor project delivery method or 
Alternative Technical Concepts  in a design-bid-build project 
delivery method do not: (i) for transportation facilities 
delivered by the Department, exceed $400 million of contracts 
awarded during the Department's multi-year highway improvement 
program for any 5-year period; or (ii) for transportation 
facilities delivered by the Authority, exceed 20% of the 
Authority's annual improvement program. The Transportation 
Agency shall make this calculation before commencing the 
procurement. Notwithstanding any other law, and as authority 
supplemental to its existing powers, the Department, in 
accordance with this Act, may use the Construction 
Manager/General Contractor project delivery method for up to 2 
transportation facilities per year. Before commencing  a  
procurement  under  this Act  for either a  design-build  contract 
or a Construction Manager/General Contractor  contract, the 
Transportation Agency shall first undertake an analysis and 
make a written determination  that  it is in  the  best  interests 
of  this State to use the   selected delivery method for that 
transportation facility. The analysis and determination shall 
discuss the design-build project delivery method or 
Construction Manager/General Contractor project delivery 
method's impact on the anticipated schedule, completion date, 
and project costs. The best interests of  the State analysis 
shall be made available to the public.

    (b) The Transportation Agency shall report to the General 
Assembly annually for the first 5 years after the effective 
date of this Act on the progress of procurements and 
transportation facilities procured under this Act.
    (c) A contract entered into pursuant to the provisions of 
this Act are excepted from the Public Contract Fraud Act.
 
    Section 20. Preconditions to commencement of procurement.

    If the Transportation Agency determines to use the 
design-build project delivery method or the Construction 
Manager/General Contractor project delivery method for a 
particular transportation facility, the Transportation Agency 
may not commence a procurement for the transportation facility 
until the Transportation Agency has satisfied the following 
requirements:
    (1) the Transportation Agency does one of the following:
        (A) the Transportation Agency includes the 
    transportation facility in the Transportation Agency's 
    respective multi-year highway
improvement program and 
    designates it as a design-build project delivery method 
    project or Construction Manager/General Contractor 
    project;
        (B) the Transportation Agency issues a notice of 
    intent to receive qualifications, that includes a 
    description of the proposed procurement and transportation 
    facility, at least 28 days before the issuance of the 
    request for qualifications, and for a Department-issued 
    notice of intent publishes the notice in the Illinois 
    Transportation Procurement Bulletin and for an 
    Authority-issued notice of intent publishes the notice in 
    the Illinois Procurement Bulletin; or
        (C) for a single-phase procurement authorized under 
    subsection (a) of Section 25 of this Act,  the 
    Transportation Agency issues a notice of intent to receive 
    proposals, that includes a description of the proposed 
    procurement and transportation facility, at least 14 days 
    before the issuance of the  request for proposals, and for 
    a Department-issued notice of intent publishes the notice 
    in the Illinois Transportation Procurement Bulletin and 
    for an Authority-issued notice of intent publishes the 
    notice in the Illinois Procurement Bulletin; and
    (2) the Transportation Agency uses its best efforts to 
ensure that the transportation facility is consistent with the 
regional plan in existence at the time of any metropolitan 
planning organization in which the boundaries of the 
transportation facility is located, or any other 
publicly-approved plan.
 
    Section 25. Procurement process.

    (a)      The Transportation Agency may solicit a proposer with 
which to enter into a design-build contract or Construction 
Manager/General Contractor contract, as applicable, by using, 
without limitation, one or more requests for qualifications, a 
shortlisting of the most highly qualified proposers, requests 
for proposals, and negotiations. The Transportation Agency 
shall use a two-phase procurement for a design-build contract 
to select the successful proposer, except that the 
Transportation Agency may use a single-phase procurement if 
the transportation facility is estimated to cost less than 
$5,000,000 or the Secretary or the Executive Director makes a 
written determination that the Transportation Agency may use a 
single-phase procurement for a particular transportation 
facility. In a two-phase procurement, the Transportation 
Agency shall use the first phase to evaluate and shortlist the 
most highly qualified proposers based on a proposer's 
qualifications, and then use the second phase to evaluate and 
select a proposer based on proposals submitted by the 
shortlisted proposers. During the first phase of a two-phase 
procurement, the  Transportation Agency shall not consider 
price proposals to make its shortlist decision. In a 
single-phase procurement, the Transportation Agency shall 
solicit proposers with a request for proposals, and shall 
evaluate and select a proposer based on those proposals.

    (b)     The request for qualifications may contain any terms 
deemed appropriate by the Transportation Agency including, 
without limitation, the following:
    
        (1)   a description of the anticipated scope of work for 
    the transportation facility;
    
        (2)   a  requirement that the  proposer identify certain 
    key personnel, and for design-build contracts certain key 
    firms, the experience of the personnel and firms, and the 
    conditions on which identified personnel and firms can be 
    replaced;
    
        (3)   the evaluation criteria for the qualifications and 
    the relative importance of those criteria; these 
    evaluation criteria may address, without limitation, the 
    proposer's   technical and financial qualifications, such as 
    specialized experience, technical competence, capability 
    to perform, financial capacity, the proposer's workload, 
    local office presence, past  performance including the 
    proposer's safety record and record of utilization of 
    business enterprises, including disadvantaged business 
    enterprises, and any other qualifications-based factors;
    
        (4)    the Transportation Agency's prequalification, 
    licensing, and registration requirements, including any 
    requirements from the Professional Engineering Practice 
    Act of 1989, the Illinois Architecture Practice Act of 
    1989, the Structural Engineering Practice Act of 1989, and 
    the Illinois Professional Land Surveyor Act of 1989, 
    except that nothing contained herein precludes the 
    Transportation Agency's use of additional prequalification 
    criteria or pass-fail evaluation factors addressing 
    minimum levels of technical experience or financial 
    capabilities;
    
        (5)    a requirement that the proposer provide references 
    or
contact information for persons who can attest to the 
    past performance of the proposer, including with respect 
    to successful project delivery, subcontracting, labor 
    relations, diverse business utilization, workforce 
    diversity, and compliance with contract requirements;
        (6) the maximum number of proposers the Transportation 
    Agency will shortlist to submit proposals; and
        (7)     any other relevant information the Transportation 
    Agency deems appropriate.

    (c)   Upon completion of the qualifications evaluation, the 
Transportation Agency shall, based on the evaluation criteria 
set forth in the request for qualifications, create a 
shortlist of the most highly qualified proposers. The 
Transportation Agency shall shortlist no more than 5 and no 
fewer than 2 of the most highly qualified proposers.  
Notwithstanding other provisions of this subsection (c), the 
Transportation Agency may shortlist fewer than 2 proposers if 
the Secretary or the Executive Director makes a finding that 
an emergency situation justifies the limited shortlisting and 
fewer than 2 proposers meet any applicable prequalification or 
pass-fail requirements set forth in the request for 
qualifications.

    (d)    The request for proposals may contain any terms deemed 
appropriate by the Transportation Agency including, without 
limitation, the following:
     
        (1)   the form and amount of required bid security;
     
        (2)   the terms of the design-build contract or 
    Construction Manager/General Contractor contract, 
    including, but not limited to, scope and performance 
    requirements, schedule or completion date requirements, 
    subcontractor requirements, payment and performance 
    security requirements, and insurance requirements;
     
        (3)   the requirements for the technical component of 
    the proposal, including a description of the level of 
    design, scope and type of renderings, drawings, and 
    specifications to be provided in the proposals;
     
        (4)   the requirements for the price component of the 
    proposal, which for Construction Manager/General 
    Contractor contracts may include a requirement for the 
    proposer to submit a lump sum price for the direct costs to 
    perform the required preconstruction services and 
    percentage mark-up on those direct costs;
     
        (5)   the evaluation criteria for the proposals, 
    including technical criteria, innovation, and schedule, 
    and the relative importance of those criteria, as the 
    Transportation Agency deems appropriate;
        (6)   a process for the Transportation Agency to review 
    and accept Alternative Technical Concepts;
     
        (7) requirements regarding utilization of business 
    enterprises, including disadvantaged business 
    enterprises, and workforce development, including a 
    description of utilization and workforce diversity plans 
    and certifications to be provided in the proposals for 
    both design and construction phases;

        (8)  requirements regarding the proposer's 
    qualifications; and
     
        (9)    any other relevant information the Transportation 
    Agency deems appropriate.

    (e)     Before the proposers' submittal of proposals, the 
Transportation Agency may conduct confidential meetings and 
exchange confidential information with proposers to promote 
understanding of the request for proposals, review Alternative 
Technical Concepts, or discuss other issues related to the 
procurement.

    (f)      The date proposals are due must be at least 28 calendar 
days after the date the Transportation Agency first issues the 
request for proposals.

    (g)      The Transportation Agency may offer to pay a stipend 
in an amount and on the terms and conditions determined by the 
Transportation Agency and as set forth in the request for 
proposals to: (1) all shortlisted proposers if the 
Transportation Agency cancels the procurement after the 
proposals have been released, but before the due date for 
proposals; or (2) each unsuccessful proposer that submits a 
responsive proposal; or (3) each member of the proposer team 
that
incurs costs in the preparation of the proposal. The 
Transportation Agency may pay a stipend only to those 
proposers who grant to the Transportation Agency the right to 
use any work product contained in the unsuccessful proposer's 
proposal and other proposal-related submissions or, if the 
Transportation Agency cancels the procurement after the 
proposals have been released, but before the due date for 
proposals, any work product developed before cancellation, 
including technologies, techniques, methods, processes, and 
information contained in the recipient's design for the 
transportation facility.

    (h)   The Transportation Agency shall, as appropriate 
depending on whether the transportation facility includes 
building facilities, directly employ or retain a professional 
engineer or engineers licensed in this State or a licensed 
architect or architects, or both engineers licensed in this 
State and licensed architects, to prepare the scope and assist 
in the evaluation of the proposals' technical submissions 
under a design-build project delivery method. The professional 
engineers and licensed architects performing these services 
are precluded from participating in the procurement of the 
transportation facility at issue as a member of a proposer 
team.

    (i)   The Transportation Agency has the right to reject any 
and all qualifications or proposals, including, but not 
limited to, the right to reject any qualifications or 
proposals as non-responsive, if, in the Transportation 
Agency's sole discretion, the qualifications or proposals do 
not meet all material requirements of the request for 
qualifications or request for proposals, as appropriate. The 
Transportation Agency shall not consider a proposal that does 
not include:
        (1) the proposer's plan to comply with requirements 
    established by the Transportation Agency regarding 
    utilization of business enterprises, including 
    disadvantaged business enterprises; or 
        (2) bid security in the form and amount designated in 
    the request for proposals.
    (j)   The Transportation Agency shall consult with the 
appropriate chief procurement officer on the design-build 
project delivery method and the Construction Manager/General 
Contractor project delivery method procurement processes, and 
the Secretary or the Executive Director, in consultation with 
the chief procurement officer, shall determine which 
procedures to adopt and apply to the design-build project 
delivery method and Construction Manager/General Contractor 
project delivery method procurement processes in order to 
ensure an open, transparent, and efficient process that 
accomplishes the purposes of this Act.
    (k) To ensure taxpayer accountability, for any project 
with an estimated cost over $30,000,000, the Transportation 
Agency shall independently procure an owner's representative 
or construction manager to supplement staff directly employed 
by the Transportation Agency, provide design reviews, 
constructability reviews, construction acceptance, oversight 
of utility relocations, independent quality assurance surveys, 
independent material testing, documentation of construction, 
risk mitigation,  and oversight of construction activities, 
including construction management, maintenance of traffic, 
permit compliance, and other services which may include: value 
engineering, stakeholder coordination, or public involvement 
management.

 
    Section 30. Evaluation committee.
    (a)      The Transportation   Agency shall establish one or more 
evaluation committees to assist in selecting a design-builder 
and a Construction Manager/General Contractor.  The 
Transportation  Agency,  in  its  sole discretion,  shall determine 
the appropriate size and composition of the evaluation 
committee; however, at least half  of  the  committee  must be 
licensed professional engineers.

    (b)   The Transportation  Agency  may  establish  an  evaluation  
committee  for  a  set term  or  for  the procurement of a particular 
transportation  facility.

    (c)   Once the Transportation Agency identifies the 
proposers for a transportation facility, each member of an 
evaluation committee must certify that no conflict of interest 
exists between the member and the proposers.   If the 
Transportation Agency,  after  consultation   with   the   chief 
procurement officer, determines that an actual conflict 
exists,  the member shall not participate on the evaluation 
committee  for  that  procurement  and the Transportation Agency 
shall appoint a replacement member on either a permanent or a 
temporary  basis.
 
    Section 35. Procedures for selection. 
    (a) The Transportation Agency shall review, evaluate, 
score, and rank proposals and determine which proposal offers 
the best value to the public based on the evaluation criteria 
set forth in the request for proposals. The Transportation 
Agency shall award the contract based on this determination. 
Notwithstanding other provisions of this Section, if for any 
reason the proposer awarded the contract is unable or 
unwilling to execute the contract, including the failure of 
the proposer and the Transportation Agency to successfully 
complete negotiations, if any, of the contract, the 
Transportation Agency may award the contract to the proposer 
whose proposal the Transportation Agency determines offers the 
public the next best value.
    (b) After a response to a request for qualifications or a 
request for proposals has been submitted as provided in 
Section 25, a design-builder shall not replace, remove, or 
otherwise modify any firm identified as a member of the 
proposer team unless authorized to do so by the Transportation 
Agency.
 
    Section 40. Project records; confidentiality; public 
disclosure.

    (a)     The Transportation Agency shall maintain all written 
decisions, qualification and proposal evaluations, scoring 
documents, selection evaluations, proposals, and procurement 
documents in a procurement file maintained by the 
Transportation Agency.

    (b)     A proposer may identify those portions of a proposal 
or other submission that the proposer considers to be trade 
secrets or confidential, commercial, financial, or proprietary 
information. Confidential and proprietary information, 
including trade secrets, shall be exempt from disclosure only 
if the proposer does the following:
     
        (1)   requests exclusion from disclosure upon submission 
    of the information or other materials for which protection 
    is sought;
                  
        (2)   identifies the data or other materials for which 
    protection is sought;
     
        (3)   states the statutory or regulatory basis for the 
    protection;
     
        (4)    fully complies with the federal Freedom of 
    Information Act and any other applicable provisions of 
    State law, including, but not limited to, the Freedom of 
    Information Act, with respect to information the proposer 
    contends should be exempt from disclosure; and
     
        (5)    certifies if the information is in accordance with 
    the protection of the Illinois Trade Secrets Act.

    (c)     Notwithstanding any other provision of law, in order 
to properly balance the need to maximize competition under 
this Act with the need to create a transparent procurement 
process, the qualifications, proposals, and other information 
and documents submitted by proposers and the Transportation 
Agency's evaluation records shall not be subject to release or 
disclosure by the Transportation Agency until execution of the 
design-build contract or Construction Manager/General 
Contractor contract, as applicable. If the Transportation 
Agency terminates the procurement for a transportation 
facility, the exemption from release or disclosure under this 
Section shall remain in place until the Transportation Agency 
re-procures the transportation facility and has entered into a 
design-build contract or Construction Manager/General 
Contractor contract, as applicable. However, this exemption 
shall lapse if the Transportation Agency does not commence the 
re-procurement of the transportation facility within 5 years 
of the termination.

 
    Section 45. Design-build contract.
A design-build contract 
may include any provisions the Transportation Agency 
determines are necessary or appropriate, including, but not 
limited to, provisions regarding the following:
     
        (1)   compensation or payments to the design-builder;
     
        (2) grounds for termination of the design-build 
    contract, including the Transportation Agency's right to 
    terminate for convenience;
     
        (3)   liability for damages and nonperformance;
     
        (4)   events of default and the rights and remedies 
    available to the design-builder and the Transportation 
    Agency in the event of a default or delay;
     
        (5)   the identification of any technical specifications 
    that the design-builder must comply with when developing 
    plans or performing construction work;
     
        (6)   the procedures for review and approval of the 
    design-builder's plans;
     
        (7)   required performance and payment security;
     
        (8)    the terms and conditions of indemnification and 
    minimum insurance requirements; and
     
        (9)  any other terms and conditions the Transportation 
    Agency deems necessary.
 
    Section 50. Construction Manager/General Contractor 
contract.

    (a)   The Construction Manager/General Contractor contract 
shall divide the Construction Manager/General Contractor 
services into 2 phases. The first phase shall address 
preconstruction services and the procedures the parties shall 
follow to finalize the contract terms for the second phase. 
The second phase shall address the Construction 
Manager/General Contractor's construction  of the 
transportation facility for a lump sum or a guaranteed maximum 
price.

    (b)   A Construction Manager/General Contractor contract 
shall include provisions regarding the following:
     
        (1)   the Construction Manager/General Contractor's 
    provision of preconstruction services during the first 
    phase of the contract, including the Construction 
    Manager/General Contractor's compensation for those 
    services;
     
        (2)   a requirement that, during the first phase of the 
    contract, the Construction Manager/General Contractor 
    shall use a competitive bidding process to procure 
    subcontracts for at least the minimum percentage of 
    construction work specified in the request for proposals, 
    provided that: 
            (A) compliance with this requirement shall be 
        based on an estimated cost for the construction work 
        approved by the Transportation Agency before the start 
        of the competitive bidding process; and 
            (B) the Construction Manager/General Contractor 
        may not use subcontracts with its wholly or partially 
        owned subsidiaries, parent companies, or affiliates to 
        satisfy this obligation;
     
        (3)   the process the Transportation Agency and the 
    Construction Manager/General Contractor shall use to 
    determine a lump sum or guaranteed maximum price for the 
    construction work, including a requirement that the 
    Transportation Agency conduct an independent cost estimate 
    for the construction work; and
     
        (4)   grounds for termination of the Construction 
    Manager/General Contractor contract, including the 
    Transportation Agency's right to terminate the contract 
    and not proceed with the construction phase of the project 
    if the Transportation Agency and the Construction 
    Manager/General Contractor are unable to negotiate a lump 
    sum or guaranteed maximum price for the construction work.

    (c)   In addition to the provisions under subsection (b) of 
this Section, a Construction Manager/General Contractor 
contract may include any other provisions the Transportation 
Agency determines are necessary or appropriate, including, but 
not limited to, provisions regarding the following:
     
        (1)   liability for damages and nonperformance;
     
        (2)   events of default and the rights and remedies 
    available to the Construction Manager/General Contractor 
    and the Transportation Agency in the event of a default or 
    delay;
     
        (3)   the identification of any technical specifications 
    that the Construction Manager/General Contractor must 
    comply with when aiding the Transportation Agency with 
    developing plans or performing construction work;
     
        (4)   required performance and payment security for the 
    construction phase of the contract;
     
        (5)   the terms and conditions of indemnification and 
    minimum insurance requirements; and
     
        (6)   any other terms and conditions the Transportation 
    Agency deems necessary.

    (d)   If the Construction Manager/General Contractor 
contract is terminated for any reason, the Transportation 
Agency, in its sole discretion, may readvertise the 
Construction Manager/General Contractor contract under this 
Act or use any other authorized procurement method to complete 
the transportation facility or any portion of the 
transportation facility. Once the contract is terminated, the 
Transportation Agency may use any work product developed by 
the Construction Manager/General Contractor to complete the 
transportation facility.

 
    Section 55. Funding and financing.

    (a)   The Transportation Agency may use any lawful source of 
funding and financing to compensate a design-builder and 
Construction Manager/General Contractor for work and services 
performed under a design-build contract or Construction 
Manager/General Contractor contract, as applicable, and the 
Transportation Agency may combine federal, State, local, and 
private funds to finance a transportation facility.
Any 
Transportation Agency that 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 cases of federal funding 
or federally assisted projects, these goals shall not exceed 
those established pursuant to the relevant and applicable 
federal statutes or regulations.
    (b)   Subject to appropriation by the General Assembly of 
the required amounts, the Transportation Agency may obligate 
and make expenditures of funds as and when needed to satisfy 
its payment obligations under a design-build contract or 
Construction Manager/General Contractor contract.

 
    Section 56. Utilization requirements. 
    (a) Design-builder and Construction Manager/General 
Contractor projects shall comply with Section 2-105 of the 
Illinois Human Rights Act and all applicable laws and rules 
that establish standards and procedures for the utilization of 
minority, disadvantaged, and women-owned businesses, 
including, but not limited to, the Business Enterprise for 
Minorities, Women, and Persons with Disabilities Act. Any 
Transportation Agency that 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 cases of federal funding 
or federally assisted projects, these goals shall not exceed 
those established pursuant to the relevant and applicable 
federal statutes or regulations. Each design-build contract 
and Construction Manager/General Contractor contract shall 
include remedies for a contractor's failure to comply with 
commitments made in the proposal or utilization plan, 
including, without limitation, failure to cooperate in 
providing information regarding compliance or termination of 
any subcontractor identified in the utilization plan without 
the consent of the Transportation Agency. Such remedies may 
include termination of the contract, imposition of a penalty 
in an amount equivalent to any profit or cost savings accruing 
to the contractor as a result of the violation, withholding of 
payments, liquidated damages, disqualification from future 
bidding as non-responsible, or any other remedy available to 
the Transportation Agency at law or in equity.

    (b) For the purposes of this Section, aspirational goals 
compliant with the Business Enterprise for Minorities, Women, 
and Persons with Disabilities Act and Disadvantaged Business 
Enterprise Program shall be established separately for 
construction-related professional services and shall be 
consistent with the Transportation Agency's methodology for 
design-bid-build contracts. As used in this Section, 
"construction-related professional services" means those 
services within the scope of the practice of architecture, 
professional engineering, structural engineering, or land 
surveying, as defined in the Illinois Architecture Practice 
Act of 1989, the Professional Engineering Practice Act of 
1989, the Illinois Professional Land Surveyor Act of 1989, or 
the Illinois Structural Engineering Practice Act of 1989.
 
    Section 57. Labor. 
    (a) A contract or agreement under this Act shall require 
the design-builder or Construction Manager/General Contractor, 
and all subcontractors, to comply with Section 30-22 of the 
Illinois Procurement Code as it applies to responsible bidders 
and to present satisfactory evidence of that compliance to the 
Transportation Agency, unless the transportation project is 
federally funded and the application of those requirements 
would jeopardize the receipt or use of federal funds in 
support of the transportation project.
    (b) A contract or agreement under this Act shall require 
the design-builder or Construction Manager/General Contractor 
to enter into a project labor agreement used by the 
Transportation Agency.
    (c) This Section does not apply to construction-related 
professional services. As used in this Section, 
"construction-related professional services" means those 
services within the scope of the practice of architecture, 
professional engineering, structural engineering, or land 
surveying, as defined in the Illinois Architecture Practice 
Act of 1989, the Professional Engineering Practice Act of 
1989, the Illinois Professional Land Surveyor Act of 1989, or 
the Illinois Structural Engineering Practice Act of 1989. 
 
    Section 58. Disadvantaged business enterprise liaison. The 
Office of Business and Workforce Diversity established under 
Section 2705-593 of the Department of Transportation Law of 
the Civil Administrative Code of Illinois shall retain a staff 
member or consultant to act as a liaison of for outreach, 
monitoring, and compliance with the Department's Disadvantaged 
Business Enterprise Program consistent with all applicable 
federal rules governing the disadvantaged business enterprise 
process. The Department shall also determine attainable goals 
for projects using the new project delivery procurement 
methods, in accordance with federal regulations. The 
Department shall publish a quarterly report regarding projects 
sourced through new procurements methods that includes 
utilization goals and utilization achieved.
 
    Section 60. Acquisition of property and related 
agreements. The Transportation Agency may exercise any and all 
powers of condemnation or eminent domain, including quick-take 
powers, to acquire lands or estates or interests in land for a 
transportation facility under this Act to the extent the 
Transportation Agency finds that the action serves the public 
purpose of this Act and deems the action appropriate in the 
exercise of its powers under this Act. In addition, the 
Transportation Agency and a design-builder or Construction 
Manager/General Contractor may enter into leases, licenses, 
easements, and other grants of property interests that the 
Transportation Agency determines are necessary to deliver a 
transportation facility under this Act.
 
    Section 65. Federal requirements. In the procurement of 
design-build contracts and Construction Manager/General 
Contractor contracts, the Transportation Agency shall, to the 
extent applicable, comply with federal law and regulations and 
take all necessary steps to adapt its rules, policies, and 
procedures to remain eligible for federal aid.
 
    Section 70. Powers. The powers granted to the 
Transportation Agency under this Act, including the power to 
procure and enter into design-build contracts and Construction 
Manager/General Contractor contracts, shall be liberally 
construed to accomplish its purpose, are in addition to any 
existing powers of the Transportation Agency, and shall not 
affect or impair any other powers authorized under applicable 
law, except as otherwise provided for in this Act.
 
    Section 75. Rulemaking. 
    (a) The Illinois Administrative Procedure Act applies to 
all administrative rules and procedures of the Transportation 
Agency under this Act, except that nothing in this Act shall be 
construed to render any prequalification or other 
responsibility criteria as a "license" or "licensing" under 
that Act.
    (b) The appropriate chief procurement officer, in 
consultation with the Transportation Agency, may adopt rules 
to carry out the provisions of this Act.
 
    Section 80. Repeal. This Act is repealed on July 1, 2032.
 
    Section 905. The Department of Transportation Law of the

Civil Administrative Code of Illinois is amended  by adding 
Section 2705-233 as follows:
 
    (20 ILCS 2705/2705-233 new)
    Sec. 2705-233. Innovations for Transportation 
Infrastructure Act. The Department may exercise all powers 
granted to it under the Innovations for Transportation 
Infrastructure Act, including, but not limited to, the power 
to enter into all contracts or agreements necessary or 
incidental to the performance of its powers under that Act, 
and powers related to any transportation facility implemented 
under that Act.
 
    Section 910. The Illinois Finance Authority Act is amended  
by adding Section 825-108 as follows:
 
    (20 ILCS 3501/825-108 new)
    Sec. 825-108. Transportation project financing. For the 
purpose of financing a transportation facility undertaken 
under the Innovations for Transportation Infrastructure Act, 
the Authority may apply for an allocation of tax-exempt bond 
financing authorization provided by subsection (m) of Section 
142 of the United States Internal Revenue Code, as well as 
financing available under any other federal law or program.
 
    Section 915. The Illinois Procurement Code is amended  by 
adding Section 1-10.5 as follows:
 
    (30 ILCS 500/1-10.5 new)
    Sec. 1-10.5. Alternative Technical Concepts.
    (a) For the purposes of this Section, "Alternative 
Technical Concepts" and "design-bid-build project delivery 
method" have the meanings ascribed to those terms in the 
Innovations for Transportation Infrastructure Act. 
    (b) Notwithstanding subsection (b) of Section 1-10 of this 
Code, the Department of Transportation may allow bidders and 
proposers to submit Alternative Technical Concepts in their 
bids and proposals, if the Department determines that the 
Alternative Technical Concepts provide an equal or better 
solution than the underlying technical requirements applicable 
to the work. Notwithstanding the foregoing, for projects the 
Department delivers using the design-bid-build project 
delivery method, the Department shall use the Alternative 
Technical Concepts process for no more than 3 projects per 
year. If the Department allows bidders or proposers for a 
particular contract to submit Alternative Technical Concepts, 
the Department shall describe the process for submission and 
evaluation of Alternative Technical Concepts in the 
procurement documents for that contract, including the 
potential use of confidential meetings and the exchange of 
confidential information with bidders and proposers to review 
and discuss potential or proposed Alternative Technical 
Concepts.
 
    Section 920. The Public Construction Bond Act is amended 
by adding Section 1.9 as follows:
 
    (30 ILCS 550/1.9 new)
    Sec. 1.9. Design-build contracts and Construction 
Manager/General Contractor contracts. This Act applies to any 
design-build contract or Construction Manager/General 
Contractor contract entered into under the Innovations for 
Transportation Infrastructure Act.
 
    Section 925. The Employment of Illinois Workers on Public 
Works Act is amended  by adding Section 2.8 as follows:
 
    (30 ILCS 570/2.8  new)
    Sec. 2.8. Design-build and Construction Manager/General 
Contractor contracts. This Act applies to any design-build 
contracts and Construction Manager/General Contractor 
contracts entered into under the Innovations for 
Transportation Infrastructure Act.
 
    Section 930. The Business Enterprise for Minorities, 
Women, and Persons with
Disabilities Act is amended  by adding 
Section 2.8 as follows:
 
    (30 ILCS 575/2.8  new)
    Sec. 2.8. Design-build and Construction Manager/General 
Contractor contracts. This Act applies to any design-build 
contracts and Construction Manager/General Contractor 
contracts entered into under the Innovations for 
Transportation Infrastructure Act.
 
    Section 935. The Toll Highway Act is amended by adding 
Section 11.2 as follows:
 
    (605 ILCS 10/11.2 new)
    Sec. 11.2. Innovations for Transportation Infrastructure 
Act. The Authority may exercise all powers granted to it under 
the Innovations for Transportation Infrastructure Act, 
including, but not limited to, the power to enter into all 
contracts or agreements necessary to perform its powers under 
that Act, and any powers related to a transportation facility 
implemented under that Act.
 
    Section 940. The Eminent Domain Act is amended  by adding 
Section 15-5-48 as follows:
 
    (735 ILCS 30/15-5-48 new)
    Sec. 15-5-48. Eminent domain powers in new Acts. The 
following provisions of law may include express grants of the 
power to acquire property by condemnation or eminent domain:
    The Innovations for Transportation Infrastructure Act; for 
the purposes of constructing a transportation facility under 
the Act.
 
    Section 945. The Prevailing Wage Act is amended  by 
changing Section 2 as follows:
 

    (820 ILCS 130/2)  (from Ch. 48, par. 39s-2)

 
  
    Sec. 2. This Act applies to the wages of laborers, 
mechanics and
other workers employed in any public works, as 
hereinafter defined, by
any public body and to anyone under 
contracts for public works. This includes any maintenance, 
repair, assembly, or disassembly work performed on equipment 
whether owned, leased, or rented.

    As used in this Act, unless the context indicates 
otherwise:

    "Public works" means all fixed works constructed or 
demolished  by
any public body,
or paid for wholly or in part 
out of public funds.  "Public works" as
defined herein includes 
all projects financed in whole
or in part with bonds, grants, 
loans, or other funds made available by or through the State or 
any of its political subdivisions, including but not limited 
to: bonds issued under the Industrial Project Revenue Bond
Act 
(Article 11, Division 74 of the Illinois Municipal Code), the 
Industrial
Building Revenue Bond Act, the Illinois Finance 
Authority Act,
the Illinois Sports Facilities Authority Act, 
or the Build Illinois Bond Act; loans or other funds made

available pursuant to the Build Illinois Act; loans or other 
funds made available pursuant to the Riverfront Development 
Fund under Section 10-15 of the River Edge Redevelopment Zone 
Act; or funds from the Fund for
Illinois' Future under Section 
6z-47 of the State Finance Act, funds for school
construction 
under Section 5 of the General Obligation Bond Act, funds

authorized under Section 3 of the School Construction Bond 
Act, funds for
school infrastructure under Section 6z-45 of 
the State Finance Act, and funds
for transportation purposes 
under Section 4 of the General Obligation Bond
Act.  "Public 
works" also includes (i) all projects financed in whole or in 
part
with funds from the Environmental Protection Agency under 
the Illinois Renewable Fuels Development Program
Act for which 
there is no project labor agreement; (ii) all work performed 
pursuant to a public private agreement under the Public 
Private Agreements for the Illiana Expressway Act or the 
Public-Private Agreements for the South Suburban Airport Act; 
and (iii) all projects undertaken under a public-private 
agreement under the Public-Private Partnerships for 
Transportation Act; and (iv) all transportation facilities 
undertaken under a design-build contract or a Construction 
Manager/General Contractor contract under the Innovations for 
Transportation Infrastructure Act. "Public works" also 
includes all projects at leased facility property used for 
airport purposes under Section 35 of  the  Local Government 
Facility Lease Act. "Public works" also includes the 
construction of a new wind power facility by a business 
designated as a High Impact Business under Section 
5.5(a)(3)(E) and the construction of a new utility-scale solar 
power facility by a business designated as a High Impact 
Business under Section 5.5(a)(3)(E-5) of the Illinois 
Enterprise Zone Act.
"Public works" also includes electric 
vehicle charging station projects financed pursuant to the 
Electric Vehicle Act and renewable energy projects required to 
pay the prevailing wage pursuant to the Illinois Power Agency 
Act. "Public works" does not include work done directly by any 
public utility company, whether or not done under public 
supervision or direction, or paid for wholly or in part out of 
public funds. "Public works" also includes construction 
projects performed by a third party contracted by any public 
utility, as described in subsection (a) of Section 2.1, in 
public rights-of-way, as defined in Section 21-201 of the 
Public Utilities Act, whether or not done under public 
supervision or direction, or paid for wholly or in part out of 
public funds. "Public works" also includes construction 
projects that exceed 15 aggregate miles of new fiber optic 
cable, performed by a third party contracted by any public 
utility, as described in subsection (b) of Section 2.1, in 
public rights-of-way, as defined in Section 21-201 of the 
Public Utilities Act, whether or not done under public 
supervision or direction, or paid for wholly or in part out of 
public funds.  "Public works" also includes any corrective 
action performed pursuant to Title XVI of the Environmental 
Protection Act for which payment from the Underground Storage 
Tank Fund is requested. "Public works" does not include 
projects undertaken by the owner at an owner-occupied 
single-family residence or at an owner-occupied unit of a 
multi-family residence. "Public works" does not include work 
performed for soil and water conservation purposes on 
agricultural lands, whether or not done under public 
supervision or paid for wholly or in part out of public funds, 
done directly by an owner or person who has legal control of 
those lands. 

    "Construction" means all work on public works involving 
laborers,
workers or mechanics. This includes any maintenance, 
repair, assembly, or disassembly work performed on equipment 
whether owned, leased, or rented.

    "Locality" means the county where the physical work upon 
public works
is performed, except (1) that if there is not 
available in the county a
sufficient number of competent 
skilled laborers, workers and mechanics
to construct the 
public works efficiently and properly, "locality"
includes any 
other county nearest the one in which the work or
construction 
is to be performed and from which such persons may be
obtained 
in sufficient numbers to perform the work and (2) that, with

respect to contracts for highway work with the Department of

Transportation of this State, "locality" may at the discretion 
of the
Secretary of the Department of Transportation be 
construed to include
two or more adjacent counties from which 
workers may be accessible for
work on such construction.

    "Public body" means the State or any officer, board or 
commission of
the State or any political subdivision or 
department thereof, or any
institution supported in whole or 
in part by public funds,
and includes every county, city, 
town,
village, township, school district, irrigation, utility, 
reclamation
improvement or other district and every other 
political subdivision,
district or municipality of the state 
whether such political
subdivision, municipality or district 
operates under a special charter
or not.

    "Labor organization" means an organization that is the 
exclusive representative of an
employer's employees recognized 
or certified pursuant to the National Labor Relations Act. 
    The terms "general prevailing rate of hourly wages", 
"general
prevailing rate of wages" or "prevailing rate of 
wages" when used in
this Act mean the hourly cash wages plus  
annualized fringe benefits for training and
apprenticeship 
programs approved by the U.S. Department of Labor, Bureau of

Apprenticeship and Training, health and welfare, insurance, 
vacations and
pensions paid generally, in the
locality in 
which the work is being performed, to employees engaged in

work of a similar character on public works.

(Source: P.A. 102-9, eff. 1-1-22; 102-444, eff. 8-20-21; 
102-673, eff. 11-30-21; revised 12-9-21.)

 
    Section 997. Severability. The provisions of this Act are 
severable under Section 1.31 of the Statute on Statutes.
 
 
    Section 999. Effective date. This Act takes effect upon 
becoming law.