SB2157 104TH GENERAL ASSEMBLY

LRB104 09412 HLH 19471 b

104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
SB2157

Introduced 2/7/2025, by Sen. Rachel Ventura

SYNOPSIS AS INTRODUCED:

New Act

Creates the Deforestation-Free Illinois Act. Provides that neither the State nor any government agency of the State shall purchase, at wholesale or retail, or obtain for any purpose any tropical hardwood or tropical hardwood product. Provides that no bid proposal or solicitation, request for bid or proposal, or contract for the construction of any public work, building maintenance, or improvement for or on behalf of the State or any government agency of the State shall require or permit the use of any tropical hardwood or tropical hardwood product. Provides that every contract entered into by a State agency that includes the procurement of any product that consists, in whole or in part, of a forest-risk commodity shall require the contractor to confirm that the commodity furnished to the State under the contract was not extracted from, grown, derived, harvested, reared, or produced on land where deforestation or forest degradation occurred. Effective immediately.

A BILL FOR

AN ACT concerning finance.

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 Deforestation-Free Illinois Act.

Section 5. Legislative findings. The General Assembly finds and declares the following:

(1) Studies show that preventing deforestation is among the most cost-effective climate mitigation strategies with large global mitigation benefits. Preventing deforestation is also one of the few large mitigation options that does not risk trade-offs to solving other challenges; on the contrary, it provides co-benefits like enhancing health, clean water, and sanitation.

(2) Studies also suggest that protecting existing forests and allowing them to mature could potentially store 151.7 gigatons of carbon, or about a quarter of excess emissions since industrialization.

(3) Deforestation and forest degradation generates between 4.3 and 5.5 GtCO2eq annually. This is between 7% and 10% of all CO₂ equivalent emissions from all sources globally. Emissions associated with deforestation and forest degradation contribute most of the 13% of total anthropogenic CO₂ emissions attributed to agriculture.

(4) Most forest destruction is caused by a few high-risk commodities we can avoid - cattle products, cocoa, coffee, soy, palm oil, paper, and rubber - by selecting products from supply chains not contributing to deforestation, forest degradation, and interrelated human rights abuses.

Article 60. Deforestation-Free Procurement.

Section 60-1. Definitions. As used in this Section:

"Contractor" means any person or entity that has a contract with a State agency for any of the following:

(1) public works or improvements;

(2) a franchise, concession, or lease of property; or

(3) grant moneys or goods and services or supplies to be purchased at the expense of the State agency or to be paid for out of moneys deposited into the State treasury or out of trust moneys under the control of or collected by the State agency.

"Deforestation" means direct human-induced conversion of forest to agriculture, a tree plantation, or other non-forest land use.

"Forest degradation" means structural changes to forest cover that result in a change in species composition, structure, or ecological function of that forest, as indicated by factors including impacts to carbon storage and other ecosystem services, native species abundance and composition, forest structure, and tree age class distribution. "Forest degradation" includes converting primary forest or naturally regenerating forest into plantation forest or into other wooded land and the conversion of primary forest into planted forests.

"Forest-risk commodity" means:

(1) any commodity, including any agricultural or nonagricultural commodity, whether in raw or processed form, that is commonly extracted from or grown, derived, harvested, reared, or produced on land where deforestation or forest degradation has occurred or is likely to occur; or

(2) any product derived from a product described in paragraph (1).

"Forest-risk commodity" includes beef, cocoa, coffee, leather, logs, lumber, palm oil, paper, soy, rubber, wood pulp, and any other commodity identified as such by the Director of Central Management Services by rule. "Forest-risk commodity" does not include wood pulp or paper made entirely from recovered fiber. For any wood pulp or paper product made partially from recovered fiber, the contractor must only confirm that the components that were not derived from recovered fibers were not extracted from, grown, derived, harvested, reared, or produced on land where deforestation or forest degradation occurred in accordance with rules as provided in Section 60-11.

"Free, prior, and informed consent" means an authorization that embodies the principle that a community has the right to give or withhold its approval of a proposed development that may affect the land and waters it legally or customarily owns, occupies, or otherwise uses, as described in the United Nations Declaration on the Rights of Indigenous Peoples, the Indigenous and Tribal Peoples Convention of 1989, and other international instruments. "Free, prior, and informed consent" includes informed, noncoercive negotiations between investors, companies, or governments and Indigenous peoples prior to project development, and the formalized ability for impacted Indigenous peoples to say no if projects do not meet their needs and, where the risk of harm to Indigenous Peoples' rights is significant, projects should not proceed without the affected People's consent.

"Illinois State product" means:

(1) a product that is grown, harvested, or produced in this State; or

(2) a product that is processed inside or outside of this State comprising over 51%, by weight or volume, raw materials that are grown, harvested, or produced in this State.

"Industrial development" means the processes and operations involved in the large-scale production of goods, including, but not limited to, manufacturing, processing, warehousing, transporting, or repairing. "Industrial development" also means the creation of facilities and transportation infrastructure for these activities, such as power generation, ship building, road development, and waste storage and treatment.

"Large contractor" means any contractor whose annual revenue, or that of its parent company, is equal to or greater than $100,000,000.

"Medium-sized business" means a business that operates in this State, is independently owned and operated, not dominant in its field, and employs between 100 and 500 persons.

"Minority-owned business" has the meaning given to that term in Section 2 of the Business Enterprise for Minorities, Women, and Persons with Disabilities Act.

"Peat" means a soil that is rich in organic matter composed of partially decomposed and decaying plant materials, and comprises 40 centimeters of the top 100 centimeters of the soil profile.

"Peatlands" means wetlands with a layer of peat. "Peatlands" includes moors, bogs, mires, peat swamp forests, and permafrost tundra.

"Point of origin" means the geographic location, as identified by the smallest administrative unit of land, where a commodity is grown, derived, harvested, reared, or produced.

"Primary forest" or "pre-industrial forest" means a forest that has never been disturbed by industrial development or large-scale harvesting and has developed following natural disturbances and under natural processes, regardless of its age. "Primary forest" includes a forest in any geography that has experienced nonindustrial-scale human impacts, including traditional or subsistence activities carried out by Indigenous communities.

"Recovered fiber" means postconsumer fiber such as paper, paperboard, and fibrous materials from places including retail stores, office buildings, and homes, after having passed through its end usage, including used corrugated boxes, old newspapers, old magazines, mixed waste paper, tabulating cards, and used cordage, and all paper, paperboard, and fibrous materials that enter and are collected from municipal solid waste, and manufacturing wastes such as dry paper and paperboard waste generated after completion of the papermaking process, including envelope cuttings, bindery trimmings, and other paper and paperboard waste resulting from printing, cutting, forming, and other converting operations, bag, box, and carton manufacturing wastes, and butt rolls, mill wrappers, and rejected unused stock, and repulped finished paper and paperboard from obsolete inventories of paper and paperboard manufacturers, merchants, wholesalers, dealers, printers, converters, and others.

"Secondary material" means any material recovered from or otherwise destined for the waste stream, including, but not limited to, post-consumer material, industrial scrap material and overstock or obsolete inventories from distributors, wholesalers and other companies. "Secondary material" does not include those materials and byproducts generated from, and commonly reused within, an original manufacturing process.

"Small business" has the same meaning given to that term in Section 45-45 of the Illinois Procurement Code.

"Tropical hardwood" means any and all hardwood, specifically classified as angiosperm, that grows in any tropical forest. "Tropical hardwood" includes, but is not limited to, the following species:

(1) Prunus Africana (African cherry, red stinkwood)

(2) Caryocar Costaricense (garlic tree)

(3) Calophyllum species (bintangor)

(4) Cedrela species (cedar, Spanish cedar, South American cedar)

(5) Neobalanocarpus Heimii (chengal)

(6) Octomeles Sumatrana (Benuang)

(7) Myroxylon Balsamum (balsamo)

(8) Apuleia Leiocarpa (garapa)

(9) Parastemon Urophyllus (malas)

(10) Spicatus Ridley Hopea species (merawan)

(11) Araucaria Araucana (monkey puzzle, Chilean pine)

(12) Senna Siamea (Siamese cassia)

(13) Pometia Pinnata (taun)

(14) Millettia Leucantha, Millettia Stuhlmannii, Millettia Laurentii (sathon, panga panga, wenge)

(15) Bulnesia Arborea, Bulnesia Sarmientoi (verawood, Argentine lignum vitae)

(16) Tristaniopsis Laurina (water gum)

(17) Terminalia species (limba, afara, ofram, idigbo, framire, black afara, amarillo, nargusta)

(18) Homalium Foetidum (malas)

(19) Dillenia Papuana (dillenia)

(20) Canarium species (red canarium, grey canarium)

(21) Burkrella Macropoda (rang rang)

(22) Dracontomelon Dao (New Guinea walnut)

(23) Planchonella species (white planchonella, red planchonella)

(24) Lophopetalum species (perupok)

(25) Cariniana Pyriformis (Colombian mahogany, abarco, jequitiba)

(26) Mitragyna Ciliata (abura)

(27) Vouacapoua Americana (acapu)

(28) Amburana Cearensis (amburana, cerejeira, cumare)

(29) Lovoa species (African walnut, tigerwood)

(30) Pericopsis Elata (afrormosia)

(31) Peltogyne species (amaranth, purpleheart)

(32) Pterogyne Nitens (amendoim)

(33) Carapa Guianensis, Dicorynia Guianensis, Bagassa Guianensis, Couratari Guianensis (andiroba, angelique, tatajuba, bagasse)

(34) Aningeria species (aningeria, anegre, anigre)

(35) Dipterocarpus species (apitong, keruing)

(36) Centrolobium species (arariba)

(37) Brosimum Utile, Brosimum Alicastrum (baco, breadnut)

(38) Ochroma Lagopus, Ochroma Pyramidale (balsa)

(39) Berlinia species (berlinia, rose zebrano)

(40) Symphonia Globulifera (boarwood)

(41) Detarium Senegalense (boire)

(42) Caesalpinia Echinata, Paubrasilia Echinata (Brazilwood, pernambuco)

(43) Bertholletia Excelsa (Brazil nut, mora)

(44) Guibourtia species (bubinga, African rosewood, kevazingo, amazique)

(45) Toona Calantas (calantas)

(46) Prioria copaifera (cativo)

(47) Ceiba Pentandra (ceiba)

(48) Antiaris africana (chechen, antiaris)

(49) Tabebuia Donnell-Smithii (copal)

(50) Daniellia species (daniellia)

(51) Cordia species (cordia wood, bocote, ziricote, louro, freijo)

(52) Hymenaea Courbaril (courbaril, West Indian locust)

(53) Dipteryx Odorata (cumaru, Brazilian teak)

(54) Piptadeniastrum Africanum (dahoma)

(55) Calycophyllum Candidissimum (dagame, lemonwood)

(56) Afzelia species (doussie)

(57) Diospyros species (ebony, ceylon ebony, marblewood)

(58) Lophira Alata (ekki, azobe, red ironwood)

(59) Combretodendron Macrocarpum (esia)

(60) Chlorophora Tinctoria, Chlorophora Excelsa (fustic, iroko, African teak)

(61) Aucoumea Klaineana (gaboon, okoume)

(62) Astronium species (goncalo alves, tigerwood)

(63) Ocotea Rodiei (greenheart)

(64) Enterolobium Cyclocarpum (guanacaste, elephant-ear tree)

(65) Guarea species (guarea, bosse)

(66) Phoebe Porosa (imbuia, Brazilian walnut)

(67) Handroanthus species (ipe, pau d'arco, lapacho)

(68) Jacaranda Copaia (jacaranda)

(69) Machaerium Villosum (jacaranda pardo)

(70) Dyera Costulata (jelutong)

(71) Dryobalanops species (kapur, keladan)

(72) Koompassia Malaccensis (kempas)

(73) Acacia Koa (koa)

(74) Pterygota Macrocarpa (koto, African pterygota)

(75) Oxandra Lanceolata (lancewood)

(76) Shorea species (lauan, luan, lawaan, meranti, seraya, Philippine mahogany, balau)

(77) Nothofagus Pumilio, Nothofagus Obliqua (lenga beech, roble)

(78) Guaiacum Officinale (roughbark lignum-vitae)

(79) Aniba Rosaeodora, Aniba Duckei (pau rosa)

(80) Nectandra species (louro preto)

(81) Khaya species (African mahogany)

(82) Swietenia species (mahogany, West Indian mahogany, Honduran mahogany, Cuban mahogany, big-leaf mahogany)

(83) Tieghemella Heckelii (makora)

(84) Intsia Bijuga, Intsia Palembanica (Borneo teak, merbau)

(85) Anisoptera species (mersawa, krabak, palosapis)

(86) Distemonanthus Benthamianus (movingui, ayan)

(87) Pterocarpus species (narra, amboyna, Papua New Guinea rosewood, mukula, kosso, zitan, hongmu, padauk, vermillion wood)

(88) Palaquium species (nyatoh)

(89) Triplochiton Scleroxylon (African whitewood, obeche, sambawawa)

(90) Nauclea Diderrichii (opepe)

(91) Balfourodendron Riedelianum (marfim)

(92) Aspidosperma species (peroba rosa)

(93) Paratecoma Peroba (peroba branca)

(94) Gonystylus species (ramin)

(95) Melanorrhoea Curtisii (rengas, Borneo rosewood)

(96) Hevea Brasiliensis (rubber tree)

(97) Dalbergia species (rosewood, Indian rosewood, Honduras rosewood, cocobolo, granadillo, pinkwood, tulipwood, African blackwood)

(98) Entandrophragma cylindricum, Entandrophragma Candollei, Entandrophragma Utile (sapele, sapelli, kosipo, omu, utile, sipo)

(99) Acanthopanax Ricinofolius (sen)

(100) Brosimum Aubletti, Piratinera (snakewood, letterwood, leopardwood)

(101) Juglans species (South American walnut, Peruvian walnut)

(102) Sterculia Rhinopetalia (sterculia)

(103) Tectona Grandis (teak)

(104) Virola species (virola, cumala)

(105) Pentacme Contorta (white lauan)

(106) Microberlinia species (zebrawood, zingana)

"Tropical forest" means a natural ecosystem within the tropical regions, approximately bounded geographically by the tropics of Cancer and Capricorn, but possibly affected by other factors such as prevailing winds, containing native species composition, structure, and ecological function, with a tree canopy cover of more than 10% over an area of at least 0.5 hectares. "Tropical forest" includes all of the following: (i) human-managed tropical forests or partially degraded tropical forests that are regenerating; and (ii) tropical forests identified by multi-objective conservation-based assessment methodologies, such as High Conservation Value areas (HCV), as defined by the HCV Resource Network, or High Carbon Stock Forests, as defined by the High Carbon Stock Approach, or by another methodology with equivalent or higher standards that includes primary forests and tropical peatlands of any depth. "Tropical forest" does not include plantations of any type.

"Tropical hardwood product" means any product that contains tropical hardwood, regardless of whether it is sold at wholesale or retail, including, but not limited to, plywood, veneer, furniture, cabinets, paneling, siding, moldings, doors, doorskins, joinery, flooring, or sawnwood.

"Tropical peatland" means tropical wetlands with a layer of peat. "Tropical peatland" includes moors, bogs, mires, and peat swamp forests.

"Women-owned business" has the meaning given to that term in Section 2 of the Business Enterprise for Minorities, Women, and Persons with Disabilities Act.

Section 60-2. Purchase of tropical hardwoods prohibited.

(a) Except as otherwise provided in this Act, neither the State nor any government agency of the State shall purchase, at wholesale or retail, or obtain for any purpose any tropical hardwood or tropical hardwood product.

(b) Subsection (a) shall not apply to:

(1) any binding contractual obligations for the purchase of commodities entered into prior to issuance of rules as described in Section 60-11; or

(2) any grant, subvention, or contract with an agency of the United States or instruction of an authorized representative of any such agency if the inclusion or application of such provisions violates or is inconsistent with the terms or conditions of the grant, subvention, contract, or instruction.

Section 60-3. Use of tropical hardwood or tropical hardwood products prohibited.

(a) No bid proposal or solicitation, request for bid or proposal, or contract for the construction of any public work, building maintenance, or improvement for or on behalf of the State or any government agency of the State shall require or permit the use of any tropical hardwood or tropical hardwood product.

(b) Every bid proposal, solicitation, request for bid or proposal, and contract for the construction of any public work, building maintenance, or improvement shall contain a statement that any bid, proposal, or other response to a solicitation for bid or proposal which proposes or calls for the use of any tropical hardwood or tropical hardwood product in performance of the contract shall be void.

(c) The use of any tropical hardwood or tropical hardwood product on lands owned or managed by the State or by any governmental agency of the State is prohibited.

(d) Subsections (a) and (b) shall not apply to the following:

(1) bid packages advertised and made available to the public or any competitive and sealed bids received or entered into prior to issuance of rules as described in Section 60-11;

(2) any amendment, modification, or renewal of a contract if the contract was entered into prior to the issuance of rules as described in Section 60-11, and in which such application would delay timely completion of a project or involve an increase in the total moneys to be paid under that contract; or

(3) any grant, subvention, contract with any agency of the United States or instruction of an authorized representative of any such agency if the contracting officer finds that the inclusion or application of such provisions violates or is inconsistent with the terms or conditions of a grant, subvention, contract, or instruction.

Section 60-4. Forest-risk commodity procurement.

(a) Every contract entered into by a State agency that includes the procurement of any product that consists, in whole or in part, of a forest-risk commodity shall require the contractor to confirm that the commodity furnished to the State under the contract was not extracted from, grown, derived, harvested, reared, or produced on land where deforestation or forest degradation occurred on or after the date of issuance of the rules adopted under Section 60-11. The contractor shall agree to comply with this provision of the contract.

(b) This Section does not apply to any grant, subvention, or contract with an agency of the United States or instruction of an authorized representative of any such agency if the inclusion or application of such provisions violates or is inconsistent with the terms or conditions of the grant, subvention, contractor, or instruction.

Section 60-5. Compliance.

(a) Every contract shall specify that the contractor is required to cooperate fully in providing access to the contractor's records, documents, agents, employees, or premises if required by authorized officials of the contracting State agency, Central Management Services, or the Office of the Attorney General to determine the contractor's compliance with the requirements under Section 60-4.

(b) Contractors shall exercise due diligence in ensuring that their subcontractors comply with Section 60-4. Contractors shall require each subcontractor to certify in writing that the subcontractor complies with Section 60-4.

Section 60-6. Required forest policies. In addition to the requirements of Sections 60-4 and 60-5, large contractors subject to Section 60-4 must confirm that they have adopted a forest policy that complies with the rules issued under paragraph (f) of Section 60-11. The adoption of a forest policy by a contractor, subcontractor, or supplier is not required for compliance with this Section if that entity is not a large contractor, but the adoption of such a policy may be used to demonstrate the entity's compliance with Section 60-6. Such a forest policy and all corresponding data shall be made publicly available and shall contain, at a minimum, all of the following:

(1) due diligence measures on the point of origin of forest-risk commodities that ensure compliance with the policy where supply chain risks are present;

(2) data detailing the complete list of direct and indirect suppliers and supply chain traceability information, including refineries, processing plants, farms, and plantations, and their respective owners, parent companies, and farmers, maps, and geolocations, for each forest-risk commodity found in products that may be furnished to the State;

(3) measures to be taken to ensure that the product does not contribute to deforestation or forest degradation, including measures to ensure:

(A) no industrial development or logging in primary forests;

(B) no origination from a site where commodity production has replaced primary forests in accordance with this Act;

(C) no industrial development of high carbon stock forests;

(D) no industrial development of high conservation value areas;

(E) no industrial development on forests deemed critical habitat for threatened or endangered species;

(F) no burning for the purposes of clearing land for agriculture and cultivation of land for non-wood products regulated by this Act;

(G) progressive reductions of greenhouse gas emissions on existing plantations;

(H) no development of peat, regardless of depth;

(I) best management practices for existing plantations on peat; and

(J) where feasible, activities are oriented toward peat restoration; and

(4) measures taken to prevent exploitation and redress grievances of Indigenous peoples, workers and local communities, including measures to ensure:

(A) respect for and recognition of the rights of all workers including contract, temporary, and migrant workers;

(B) respect for and recognition of land tenure of rights of communities;

(C) respect for the rights of Indigenous peoples to give or withhold their free, prior, and informed consent to operations on lands to which they hold legal, communal, or customary rights;

(D) explicit policies and processes to prevent violence, intimidation, and coercion of workers and local communities; and

(E) formal, open, transparent, and consultative processes to address all complaints and conflicts;

(5) measures to be taken to protect biodiversity and prevent the poaching of endangered species in all operations and adjacent areas;

(6) measures to be taken to ensure compliance with the laws of countries where forest-risk commodities in a company's supply chain were produced; and

(7) measures to deter violence, threats, and harassment against environmental human rights defenders, including respecting internationally recognized human rights standards, and educating employees, contractors, and partners on the rights of EHRDs to express their views, conduct peaceful protests, and criticize practices without intimidation or retaliation.

Section 60-7. Stakeholder advisory group. The Director of Central Management Services shall convene a stakeholder advisory group, which shall be consulted on the creation of rules for the implementation of this Act. Members of the advisory group shall be selected by the Director of Central Management Services and shall consist of at least:

(1) representatives of current or former contractors dealing in each of the forest-risk commodities, with an emphasis on small and medium-sized businesses;

(2) representatives from civil society with relevant expertise in supply chain traceability, forest sustainability, biodiversity, forest carbon dynamics, natural history, climate science, human and labor rights, and indigenous rights; members selected under this paragraph should be of at least equal number to members selected under paragraph (1); and

(3) a minimum of 2 additional representatives from indigenous communities residing within forests covered by this Act.

The advisory group shall meet virtually. Membership in the group shall be voluntary, and, therefore, members shall receive no salary or compensation for participation.

Section 60-8. Violations and sanctions.

(a) If it is determined that any contractor contracting with the State knew or should have known that a product that consists, in whole or in part, of a forest-risk commodity was furnished to the State in violation of Sections 60-4, 60-5, or 60-6, the contracting State agency shall issue a written notice of violation and provide an opportunity for the contractor to come into compliance with the Act. If, after such notice, a contractor fails to come into compliance with a timeframe established by the Department of Central Management Services after consultation with the advisory group, the contractor may have either one or both of the following sanctions imposed:

(1) the contract under which the prohibited forest-risk commodity was furnished may be voided at the option of the State agency to which the commodity was furnished; or

(2) the contractor may be assessed a penalty that shall be the greater of $1,000 or an amount equaling 20% of the value of the product that the State agency demonstrates was comprised, in whole or in part, of a forest-risk commodity and furnished to the State in violation of Sections 60-4, 60-5, or 60-6.

A hearing or opportunity to be heard shall be provided prior to the assessment of any penalty.

(b) Notwithstanding subsection (a), a contractor that complies with Section 60-5 shall not be subject to sanctions for violations if the contractor had no knowledge of the requirements of Sections 60-4, 60-5, and 60-6, and if the violations were committed solely by a subcontractor. Under this subsection (b), sanctions described under subsection (a) shall instead be imposed against the subcontractor that committed the violation.

Section 60-9. Investigation of violations.

(a) Any State agency that investigates a complaint against a contractor or subcontractor for violation of this Act may limit its investigation to evaluating the information provided by the person or entity submitting the complaint and the information provided by the contractor or subcontractor.

(b) Whenever a contracting officer of the contracting State agency has reason to believe that the contractor failed to comply with Sections 60-4, 60-5, or 60-6, the State Agency shall refer the matter for investigation to the head of the State agency and, as the head of the State agency determines appropriate, to the Office of the Attorney General, in consultation with the stakeholder advisory group established under Section 60-7.

Section 60-10. Preference for Illinois State products.

(a) When a State's agency's contract for the purchase of a commodity or product covered by this Act is to be awarded to the lowest responsible bidder, an otherwise qualified bidder who is a small business, medium-sized business, minority-owned business, women-owned business, or who will fulfill the contract through the use of Illinois State products may be given preference over other bidders, as long as (i) the product does not contribute to deforestation or forest degradation and (ii) the cost included in the bid is not more than 10% greater than the cost included in a bid that is not from a small business, medium-sized business, minority-owned business, women-owned business, or fulfilled through the use of Illinois State products.

(b) This Section shall not apply if the head of the contracting State agency purchasing the products determines that giving preference to bidders under this Section:

(1) would be against the public interest;

(2) would increase the cost of the contract by an unreasonable amount; or

(3) would be impracticable because Illinois State products cannot be obtained in sufficient and reasonable available quantities and of satisfactory quality to meet the contracting State agency's requirements.

(c) Nothing in this Section shall be construed to conflict with or otherwise limit the goals and requirements set forth by Article 45 of the Illinois Procurement Code and the Business Enterprise for Minorities, Women, and Persons with Disabilities Act.

Section 60-11. Rules.

(a) The Department of Central Management Services shall facilitate a rule-making process outlined below and issue rules for the implementation of this Act to be completed on or before July 1, 2026. The rules shall be developed in consultation with the stakeholder advisory group established under Section 60-7. The rules shall include, but shall not be limited to, all of the following:

(1) Rules establishing a list of forest-risk commodities that are subject to the requirements of this Act, including, but not limited to, beef, cocoa, coffee, leather, palm oil, rubber, soy, and wood and paper products, referring to any product derived from wood, including lumber, pulp, paper, fuel wood, particle board, and cardboard; the list shall be reviewed and updated at least every 4 years by the Department of Central Management Services in consultation with the stakeholder advisory group established under 60-7. When evaluating inclusion of additional commodities in the list, the Director of Central Management Services and the stakeholder advisory group shall consider the impact of the commodity as a driver of deforestation or forest degradation, the state of existing supply chain transparency and traceability systems for the commodity across all the regions from which it is sourced, and the feasibility of including the commodity in the requirements of Section 60-4. The first issuance of rules on or before July 1, 2026, shall include, but not be limited to, the additional evaluation of bananas; corn; mining products, including bauxite, coal, copper, diamonds, gold, iron, manganese, nickel, petroleum, and tin; and other cattle-derived products. Following review of the list of forest-risk commodities, the Director of Central Management Services shall issue a report to the Governor and the General Assembly outlining the reasons for the inclusion or non-inclusion of any reviewed commodities.

(2) Rules establishing a list of products derived, in whole or in part, from forest-risk commodities.

(3) Rules establishing a list of products furnished to the State or used by State contractors in high-volume purchases that contain or are comprised in whole or in part of forest-risk commodities.

(4) Rules establishing a set of responsible sourcing guidelines and policies derived from best practices in supply chain transparency to the point-of-origin.

(5) Rules establishing guidance to assist contractors in identifying forest-risk commodities in their supply chain, performing necessary due diligence to meet the requirements of this Act, and certifying that the commodity did not contribute to deforestation or forest degradation.

(6) Rules establishing the full set of requirements for a large contractor's forest policy under Section 60-6.

(7) Rules establishing the process through which contractors shall certify to the Department of Central Management Services that they are in compliance with Sections 60-4, 60-5, and 60-6.

(8) Rules establishing a process to ensure that details of certified contracts are made available for public inspection of the website of the Department of Central Management Services.

(9) Rules establishing an easily accessible system through which members of the public may make complaints and submit information regarding violations of this Act.

(10) Rules establishing an information-sharing system between State Agencies purchasing products subject to the regulations under this Act and the Department of Central Management Services regarding contracts involving purchases of hardwoods and forest-risk commodities after the effective date of this Act.

(11) Rules establishing any information-sharing systems with external partners implementing regulations comparable to this Act.

(b) The Director of Central Management Services may establish a voluntary certification process for current or aspiring contractors to be recognized as supplying deforestation-free products as a part of the rulemaking process if the Director of Central Management Services, in consultation with the stakeholder advisory group established under Section 60-7, deems it would be advantageous to the ongoing implementation of this Act. If the Director of Central Management Services, in consultation with the stakeholder advisory group established under Section 60-7, deems it would be advantageous to establish a voluntary certification process for current or aspiring contractors to be recognized as supplying deforestation-free products, certification shall include the following purchase restrictions:

(1) that the certification requirements set forth in this Act shall not apply to a purchase of goods of $2,500 or less; and

(2) that the total amount of goods exempted under paragraph (1) shall not exceed $7,500 per year for each contractor from which a State agency is purchasing goods. It shall be the responsibility of each State agency to monitor the use of this exemption and adhere to these restrictions on these purchases.

Section 60-12. Assessment.

(a) At any time after issuance of rules as described in Section 60-11, but no less frequently than every 6 months thereafter, the Director of Central Management Services shall submit to the General Assembly the details of all contracts certified under this Act. The Director of Central Management Services shall assess the compliance of all or a representative subject of all contracts with the requirements of this Act. Following such assessment, and subject to the approval by a majority of members, the General Assembly may:

(1) make recommendations to the Director of Central Management Services regarding changes to the rules implementing this Act; or

(2) make recommendations to the Director of Central Management Services, the Office of the Attorney General, the Office of the State Comptroller, or a contracting State agency regarding deficiencies in contract certifications, violations of this Act, or enforcement actions.

(b) All work products produced under Section 60-4 shall be made available to the public on the website of the Department of Central Management Services.

Section 60-13. The supply chain transparency assistance program.

(a) As used in this Section, "eligible business" means a small business, medium-sized business, minority-owned business, or woman-owned business seeking to comply with the requirements of this Act.

(b) In partnership with the Department of Central Management Services, the stakeholder advisory group established under Section 60-7 of this Act is hereby authorized and directed, within one year after the effective date of this Act, to establish, develop, and issue, within available appropriations, a supply chain transparency assistance program to assist small businesses, medium-sized businesses, and minority-owned and women-owned businesses in achieving supply chains that comply with the requirements of this Act.

(c) The purpose of the program developed under this Section is to compile and share resources that:

(1) help participating eligible businesses with compliance with supply chain related regulations, procurement standards, or contracting requirements established under this Act; and

(2) identify funding streams, grant moneys, financial assistance and other resources that may be available to help participating eligible businesses achieve transparent, traceable, ethical, and sustainable supply chains as it pertains to this Act.

(d) The Department of Central Management Services is responsible for publishing the resources compiled by the stakeholder advisory group and facilitating communications between eligible businesses and the stakeholder advisory group.

Section 60-14. Report. Beginning 2 years after the effective date of this Act and biennially thereafter, the Director of Central Management Services shall issue a report to the State Procurement Task Force, the Governor, and the General Assembly on the implementation of this Act.

Section 60-15. Applicability.

(a) This Act shall apply to all contracts entered into, extended, or renewed on or after issuance of rules as described in Section 60-11.

(b) If the Governor or the Director of the Department of Public Health has issued a disaster declaration because of a disaster as defined in Section 4 of the Illinois Emergency Management Act and compliance with all the terms of this Act would be impracticable because critical commodities cannot be obtained in sufficient and reasonable available quantities and of satisfactory quality to meet the contracting State agency's requirements, then the comprehensive requirements of this Act shall be suspended for a period of 60 days beginning the day the disaster declaration, in accordance with which critical commodities regulated by this Act cannot be obtained in sufficient and reasonable available quantities and of satisfactory quality to meet the contracting State agency's requirements.

(b) Ongoing suspension of the comprehensive requirements of this Act for terms beyond the initial 60 days must be formally renewed by the Department of Central Management Services and

(1) must be dependent upon the existence of an ongoing disaster declaration as defined in Section 4 of the Illinois Emergency Management Act, and

(2) a reality where compliance with all of the terms of this Act would be impracticable because critical commodities cannot be obtained in sufficient and reasonable available quantities and of satisfactory quality to meet the contracting State agency's requirements.

Section 99. Effective date. This Act takes effect upon becoming law.