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91_HB2873
LRB9106827WHdv
1 AN ACT concerning highway construction.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Illinois Highway Code is amended by
5 changing Section 4-103 as follows:
6 (605 ILCS 5/4-103) (from Ch. 121, par. 4-103)
7 Sec. 4-103. Any contract contracts that may be entered
8 into for the construction of highways:
9 (i) shall include a warranty by the successful
10 bidder or bidders that the highway shall not require
11 major repairs for a specified period of time, which shall
12 not be less than 25 years, and that the successful bidder
13 or bidders shall pay for any major repairs to the highway
14 that are required during the warranty period; and
15 (ii) shall be let after due public advertisement to
16 the lowest responsible bidder, or bidders offering, upon
17 terms and conditions to be fixed by the Department, the
18 best bid, taking into consideration both the amount of
19 the bid and the length of the warranty on the highway
20 offered by the bidder. and
21 The Department shall also require the successful bidder,
22 or bidders, to furnish good and sufficient bonds to ensure
23 insure proper and prompt completion of the work and
24 compliance with its warranty such work in accordance with the
25 provisions of the contract such contracts.
26 Partial payments may be made for the work as it
27 progresses provided that the Department retains an amount as
28 required by the Standard Specifications for Road and Bridge
29 construction.
30 At the request of the contractor and with the approval of
31 the Department the retainage of the contract may be deposited
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1 under a trust agreement with an Illinois financial
2 institution, whose deposits are insured by an agency or
3 instrumentality of the federal government, of the
4 contractor's choice and subject to the approval of the
5 Department.
6 The contractor shall receive any interest thereon.
7 Pursuant to application by the contractor, a trust
8 agreement by the financial institution and the Department
9 shall contain as a minimum, the following provisions:
10 a. The amount to be deposited subject to the trust;
11 b. The terms and conditions of payment in case of
12 default of the contractor;
13 c. The termination of the trust agreement upon
14 completion of the contract.
15 The contractor shall be responsible for obtaining the
16 written consent of the financial institution trustee, and any
17 costs or service fees shall be borne by the contractor.
18 The trust agreement may, at the discretion of the
19 Department and upon request of the contractor, become
20 operative at the time of the first partial payment in
21 accordance with existing statutes and Department procedures.
22 The provisions of this Section shall apply to all
23 contracts in effect on and after the effective date of this
24 amendatory Act of 1981.
25 This amendatory Act of the 91st General Assembly applies
26 to all contracts entered into on and after the effective date
27 of this amendatory Act of the 91st General Assembly.
28 (Source: P.A. 84-1263.)
29 Section 10. The Toll Highway Act is amended by changing
30 Section 16 as follows:
31 (605 ILCS 10/16) (from Ch. 121, par. 100-16)
32 Sec. 16. Except as otherwise provided in subsection (b),
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1 all contracts let for the construction of any work
2 authorized to be done under the provisions of the Act, where
3 the amount thereof is in excess of the sum of $10,000, shall
4 be let to the lowest responsible bidder, or bidders, on open,
5 competitive bidding after public advertisement made at least
6 15 days prior to the opening of bids, in a newspaper of
7 general circulation published in each of the seven largest
8 cities of the State, as determined by the last preceding
9 Federal census, in such manner and at such intervals, as may
10 be prescribed by the Authority except for contracts for the
11 completion of a terminated or defaulted contract. The
12 successful bidders for such work shall enter into contracts
13 furnished and prescribed by the Authority. Such contracts
14 shall contain a provision that such successful bidder shall
15 indemnify and save harmless the State of Illinois for any
16 accidental injuries or damages arising out of his negligence
17 in the performance of such contract, and shall, and in
18 addition, execute and give bonds, payable to the Authority,
19 with a corporate surety authorized to do business under the
20 laws of the State of Illinois, equal to at least 50% of the
21 contract price, one conditioned upon faithful performance of
22 the contract and the other for the payment of all labor
23 furnished and materials supplied in the prosecution of the
24 contracted work.
25 (b) Any contract entered into under this subsection (b)
26 shall comply with the requirements of subsection (a) that are
27 not inconsistent with this subsection (b).
28 Any contract entered into for the construction of
29 highways:
30 (i) shall include a warranty by the successful
31 bidder or bidders that the highway shall not require
32 major repairs for a specified period of time, which shall
33 not be less than 25 years, and that the successful bidder
34 or bidders shall pay for any major repairs to the highway
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1 that are required during the warranty period; and
2 (ii) shall be let after due public advertisement to
3 the responsible bidder or bidders offering, upon terms
4 and conditions to be fixed by the Authority, the best
5 bid, taking into consideration both the amount of the bid
6 and the length of the warranty on the highway offered by
7 the bidder.
8 The Authority shall require the successful bidder or
9 bidders to furnish, in addition to the bonds required under
10 subsection (a), good and sufficient bonds to ensure
11 compliance with its warranty in accordance with the
12 provisions of the contract.
13 This amendatory Act of the 91st General Assembly applies
14 to all contracts entered into on and after the effective date
15 of this amendatory Act of the 91st General Assembly.
16 (Source: P.A. 86-1164.)