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92_SB0032eng SB32 Engrossed LRB9201390TAtm 1 AN ACT concerning sanitary districts. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The North Shore Sanitary District Act is 5 amended by changing Section 11 as follows: 6 (70 ILCS 2305/11) (from Ch. 42, par. 287) 7 Sec. 11. Except as otherwise provided in this Section, 8 all contracts for purchases or sales by the municipality, the 9 expense of which will exceed the mandatory competitive bid 10 threshold,$10,000,shall be let to the lowest responsible 11 bidder therefor upon not less than 14 days' public notice of 12 the terms and conditions upon which the contract is to be 13 let, having been given by publication in a newspaper of 14 general circulation published in the district, and the board 15 may reject any and all bids and readvertise. In determining 16 the lowest responsible bidder, the board shall take into 17 consideration the qualities and serviceability of the 18 articles supplied, their conformity with specifications, 19 their suitability to the requirements of the district, the 20 availability of support services, the uniqueness of the 21 service, materials, equipment, or supplies as it applies to 22 network integrated computer systems, the compatibility of the 23 service, materials, equipment or supplies with existing 24 equipment, and the delivery terms. Contracts for services in 25 excess of the mandatory competitive bid threshold$10,00026 may, subject to the provisions of this Section, be let by 27 competitive bidding at the discretion of the district board 28 of trustees. All contracts for purchases or sales that will 29 not exceed the mandatory competitive bid thresholdof $10,00030or lessmay be made in the open market without publication in 31 a newspaper as above provided, but whenever practical shall SB32 Engrossed -2- LRB9201390TAtm 1 be based on at least 3 competitive bids. For purposes of 2 this Section, the "mandatory competitive bid threshold" is a 3 dollar amount equal to 0.1% of the total general fixed assets 4 of the district as reported in the most recent required audit 5 report. In no event, however, shall the mandatory competitive 6 bid threshold dollar amount be less than $10,000, nor more 7 than $40,000. 8 Cash, a cashier's check, a certified check, or a bid bond 9 with adequate surety approved by the board of trustees as a 10 deposit of good faith, in a reasonable amount, but not in 11 excess of 10% of the contract amount, may be required of each 12 bidder by the district on all bids involving amounts in 13 excess of the mandatory competitive bid threshold and, if so 14 required, the advertisement for bids shall so specify. 15 Contracts which by their nature are not adapted to award 16 by competitive bidding, including, without limitation, 17 contracts for the services of individuals, groups or firms 18 possessing a high degree of professional skill where the 19 ability or fitness of the individual or organization plays an 20 important part, contracts for financial management services 21 undertaken pursuant to "An Act relating to certain 22 investments of public funds by public agencies", approved 23 July 23, 1943, as now or hereafter amended, contracts for the 24 purchase or sale of utilities, contracts for materials 25 economically procurable only from a single source of supply, 26 contracts for the use, purchase, delivery, movement, or 27 installation of data processing equipment, software, or 28 services and telecommunications and interconnect equipment, 29 software, or services, contracts for duplicating machines and 30 supplies, contracts for goods or services procured from 31 another governmental agency, purchases of equipment 32 previously owned by an entity other than the district itself, 33 and leases of real property where the sanitary district is 34 the lessee shall not be subject to the competitive bidding SB32 Engrossed -3- LRB9201390TAtm 1 requirements of this Section. 2 In the case of an emergency affecting the public health 3 or safety so declared by the Board of Trustees of the 4 municipality at a meeting thereof duly convened, which 5 declaration shall require the affirmative vote of four of the 6 five Trustees elected, and shall set forth the nature of the 7 danger to the public health or safety, contracts totaling not 8 more than the emergency contract cap$75,000may be let to 9 the extent necessary to resolve such emergency without public 10 advertisement or competitive bidding. For purposes of this 11 Section, the "emergency contract cap" is a dollar amount 12 equal to 0.4% of the total general fixed assets of the 13 district as reported in the most recent required audit 14 report. In no event, however, shall the emergency contract 15 cap dollar amount be less than $40,000, nor more than 16 $100,000. The Resolution or Ordinance in which such 17 declaration is embodied shall fix the date upon which such 18 emergency shall terminate which date may be extended or 19 abridged by the Board of Trustees as in their judgment the 20 circumstances require. A full written account of any such 21 emergency, together with a requisition for the materials, 22 supplies, labor or equipment required therefor shall be 23 submitted immediately upon completion and shall be open to 24 public inspection for a period of at least one year 25 subsequent to the date of such emergency purchase. Within 30 26 days after the passage of the resolution or ordinance 27 declaring an emergency affecting the public health or safety, 28 the municipality shall submit to the Illinois Environmental 29 Protection Agency the full written account of any such 30 emergency along with a copy of the resolution or ordinance 31 declaring the emergency, in accordance with requirements as 32 may be provided by rule. 33 To address operating emergencies not affecting the public 34 health or safety, the Board of Trustees shall authorize, in SB32 Engrossed -4- LRB9201390TAtm 1 writing, officials or employees of the sanitary district to 2 purchase in the open market and without advertisement any 3 supplies, materials, equipment, or services for immediate 4 delivery to meet the bona fide operating emergency, without 5 filing a requisition or estimate therefor, in an amount not 6 in excess of $40,000; provided that the Board of Trustees 7 must be notified of the operating emergency. A full, written 8 account of each operating emergency and a requisition for the 9 materials, supplies, equipment, and services required to meet 10 the operating emergency must be immediately submitted by the 11 officials or employees authorized to make purchases to the 12 Board of Trustees. The account must be available for public 13 inspection for a period of at least one year after the date 14 of the operating emergency purchase. The exercise of 15 authority with respect to purchases for a bona fide operating 16 emergency is not dependent on a declaration of an operating 17 emergency by the Board of Trustees. 18 No Trustee shall be interested, directly or indirectly, 19 in any contract, work or business of the municipality, or in 20 the sale of any article, whenever the expense, price or 21 consideration of the contract work, business or sale is paid 22 either from the treasury or by any assessment levied by any 23 Statute or Ordinance. No Trustee shall be interested, 24 directly or indirectly, in the purchase of any property which 25 (1) belongs to the municipality, or (2) is sold for taxes or 26 assessments of the municipality, or (3) is sold by virtue of 27 legal process in the suit of the municipality. 28 A contract for any work or other public improvement, to 29 be paid for in whole or in part by special assessment or 30 special taxation,In all other respects such contractsshall 31 be entered into and the performance thereof controlled by the 32 provisions of Division 2 of Article 9 of the "Illinois 33 Municipal Code", approved May 29, 1961, as heretofore or 34 hereafter amended, as near as may be. However, contracts may SB32 Engrossed -5- LRB9201390TAtm 1 be let for making proper and suitable connections between the 2 mains and outlets of the respective sanitary sewers in the 3 district with any conduit, conduits, main pipe or pipes that 4 may be constructed by such sanitary district. 5 (Source: P.A. 91-921, eff. 1-1-01.) 6 Section 10. The Sanitary District Act of 1917 is amended 7 by changing Section 11 as follows: 8 (70 ILCS 2405/11) (from Ch. 42, par. 310) 9 Sec. 11. Except as otherwise hereinafter provided, all 10 contracts for purchases or sales by a sanitary district 11 organized under this Act, the expense of which will exceed 12 the mandatory competitive bid threshold,$10,000,shall be 13 let to the lowest responsible bidder therefor upon not less 14 than 14 days' public notice of the terms and conditions upon 15 which the contract is to be let, having been given by 16 publication in a newspaper of general circulation published 17 in the district, and the board may reject any and all bids, 18 and readvertise. In determining the lowest responsible 19 bidder, the board shall take into consideration the qualities 20 and serviceability of the articles supplied, their conformity 21 with specifications, their suitability to the requirements of 22 the district, the availability of support services, the 23 uniqueness of the service, materials, equipment, or supplies 24 as it applies to network integrated computer systems, the 25 compatibility of the service, materials, equipment or 26 supplies with existing equipment, and the delivery terms. 27 Contracts for services in excess of the mandatory competitive 28 bid threshold$10,000may, subject to the provisions of this 29 Section, be let by competitive bidding at the discretion of 30 the district board of trustees. 31 Cash, a cashier's check, a certified check, or a bid bond 32 with adequate surety approved by the board of trustees as a SB32 Engrossed -6- LRB9201390TAtm 1 deposit of good faith, in a reasonable amount, but not in 2 excess of 10% of the contract amount, may be required of each 3 bidder by the district on all bids involving amounts in 4 excess of the mandatory competitive bid threshold and, if so 5 required, the advertisement for bids shall so specify. 6 All contracts for purchases or sales that will not exceed 7 the mandatory competitive bid thresholdof $10,000 or less8 may be made in the open market without publication in a 9 newspaper as above provided, but whenever practical shall be 10 based on at least 3 competitive bids. For purposes of this 11 Section, the "mandatory competitive bid threshold" is a 12 dollar amount equal to 0.1% of the total general fixed assets 13 of the district as reported in the most recent required audit 14 report. In no event, however, shall the mandatory competitive 15 bid threshold dollar amount be less than $10,000, nor more 16 than $40,000. 17 Contracts which by their nature are not adapted to award 18 by competitive bidding, including, without limitation, 19 contracts for the services of individuals, groups or firms 20 possessing a high degree of professional skill where the 21 ability or fitness of the individual or organization plays an 22 important part, contracts for financial management services 23 undertaken pursuant to "An Act relating to certain 24 investments of public funds by public agencies", approved 25 July 23, 1943, as now or hereafter amended, contracts for the 26 purchase or sale of utilities, contracts for materials 27 economically procurable only from a single source of supply, 28 contracts for the use, purchase, delivery, movement, or 29 installation of data processing equipment, software, or 30 services and telecommunications and interconnect equipment, 31 software, or services, contracts for duplicating machines and 32 supplies, contracts for goods or services procured from 33 another governmental agency, purchases of equipment 34 previously owned by an entity other than the district itself, SB32 Engrossed -7- LRB9201390TAtm 1 and leases of real property where the sanitary district is 2 the lessee shall not be subject to the competitive bidding 3 requirements of this Section. 4 The competitive bidding requirements of this Section do 5 not apply to contracts for construction of a facility or 6 structure for the sanitary district when the facility or 7 structure will be designed, built, and tested before being 8 conveyed to the sanitary district. 9 The competitive bidding requirements of this Section do 10 not apply to contracts, including contracts for both 11 materials and services incidental thereto, for the repair or 12 replacement of a sanitary district's treatment plant, sewers, 13 equipment, or facilities damaged or destroyed as the result 14 of a sudden or unexpected occurrence, including, but not 15 limited to, a flood, fire, tornado, earthquake, storm, or 16 other natural or man-made disaster, if the board of trustees 17 determines in writing that the awarding of those contracts 18 without competitive bidding is reasonably necessary for the 19 sanitary district to maintain compliance with a permit issued 20 under the National Pollution Discharge Elimination System 21 (NPDES) or any successor system or with any outstanding order 22 relating to that compliance issued by the United States 23 Environmental Protection Agency, the Illinois Environmental 24 Protection Agency, or the Illinois Pollution Control Board. 25 The authority to issue contracts without competitive bidding 26 pursuant to this paragraph expires 6 months after the date of 27 the writing determining that the awarding of contracts 28 without competitive bidding is reasonably necessary. 29 Where the board of trustees declares, by a 2/3 vote of 30 all members of the board, that there exists an emergency 31 affecting the public health or safety, contracts totaling not 32 more than the emergency contract cap$40,000may be let to 33 the extent necessary to resolve such emergency without public 34 advertisement or competitive bidding. For purposes of this SB32 Engrossed -8- LRB9201390TAtm 1 Section, the "emergency contract cap" is a dollar amount 2 equal to 0.4% of the total general fixed assets of the 3 district as reported in the most recent required audit 4 report. In no event, however, shall the emergency contract 5 cap dollar amount be less than $40,000, nor more than 6 $100,000. The ordinance or resolution embodying the emergency 7 declaration shall contain the date upon which such emergency 8 will terminate. The board of trustees may extend the 9 termination date if in its judgment the circumstances so 10 require. A full written account of the emergency, together 11 with a requisition for the materials, supplies, labor or 12 equipment required therefor shall be submitted immediately 13 upon completion and shall be open to public inspection for a 14 period of at least one year subsequent to the date of such 15 emergency purchase. Within 30 days after the passage of the 16 resolution or ordinance declaring an emergency affecting the 17 public health or safety, the District shall submit to the 18 Illinois Environmental Protection Agency the full written 19 account of any such emergency along with a copy of the 20 resolution or ordinance declaring the emergency, in 21 accordance with requirements as may be provided by rule. 22 A contract for any work or other public improvement, to 23 be paid for in whole or in part by special assessment or 24 special taxation,In all other respects such contractshall 25 be entered into and the performance thereof controlled by 26 Division 2 of Article 9 of the "Illinois Municipal Code", 27 approved May 29, 1961, as heretofore and hereafter amended, 28 as near as may be. The contracts may be let for making proper 29 and suitable connections between the mains and outlets of the 30 respective sewers in the district with any conduit, conduits, 31 main pipe or pipes that may be constructed by such sanitary 32 district. 33 (Source: P.A. 88-542, eff. 5-27-94; 88-572, eff. 8-11-94; 34 89-235, eff. 8-4-95; 89-558, eff. 7-26-96.) SB32 Engrossed -9- LRB9201390TAtm 1 Section 15. The Sanitary District Act of 1936 is amended 2 by changing Section 14 as follows: 3 (70 ILCS 2805/14) (from Ch. 42, par. 425) 4 Sec. 14. Except as otherwise provided in this Section, 5 all contracts for purchases or sales by the sanitary 6 district, the expense of which will exceed the mandatory 7 competitive bid threshold,$10,000,shall be let to the 8 lowest responsible bidder therefor upon not less than 14 9 days' public notice of the terms and conditions upon which 10 the contract is to be let, having been given by publication 11 in a daily or weekly newspaper published in the district or, 12 if there is no newspaper published in the district, in a 13 newspaper published in the county and having general 14 circulation in the district, and the board may reject any and 15 all bids, and readvertise. Contracts for services in excess 16 of the mandatory competitive bid threshold$10,000may, 17 subject to the provisions of this Section, be let by 18 competitive bidding at the discretion of the district board 19 of trustees. All contracts for purchases or sales that will 20 not exceed the mandatory competitive bid thresholdof $10,00021or lessmay be made in the open market without publication in 22 a newspaper as above provided, but whenever practical shall 23 be based on at least 3 competitive bids. For purposes of 24 this Section, the "mandatory competitive bid threshold" is a 25 dollar amount equal to 0.1% of the total general fixed assets 26 of the district as reported in the most recent required audit 27 report. In no event, however, shall the mandatory competitive 28 bid threshold dollar amount be less than $10,000, nor more 29 than $40,000. 30 Cash, a cashier's check, a certified check, or a bid bond 31 with adequate surety approved by the board of trustees as a 32 deposit of good faith, in a reasonable amount, but not in 33 excess of 10% of the contract amount, may be required of each SB32 Engrossed -10- LRB9201390TAtm 1 bidder by the district on all bids involving amounts in 2 excess of the mandatory competitive bid threshold and, if so 3 required, the advertisement for bids shall so specify. 4 Contracts which by their nature are not adapted to award 5 by competitive bidding, including, without limitation, 6 contracts for the services of individuals, groups or firms 7 possessing a high degree of professional skill where the 8 ability or fitness of the individual or organization plays an 9 important part, contracts for financial management services 10 undertaken pursuant to the Public Funds Investment Act, 11 contracts for the purchase or sale of utilities, contracts 12 for materials economically procurable only from a single 13 source of supply and leases of real property where the 14 sanitary district is the lessee shall not be subject to the 15 competitive bidding requirements of this Section. 16 Where the board of trustees declares, by a 2/3 vote of 17 all members of the board, that there exists an emergency 18 affecting the public health or safety, contracts totaling not 19 more than the emergency contract cap$40,000may be let to 20 the extent necessary to resolve such emergency without public 21 advertisement or competitive bidding. For purposes of this 22 Section, the "emergency contract cap" is a dollar amount 23 equal to 0.4% of the total general fixed assets of the 24 district as reported in the most recent required audit 25 report. In no event, however, shall the emergency contract 26 cap dollar amount be less than $40,000, nor more than 27 $100,000. The ordinance or resolution embodying the emergency 28 declaration shall contain the date upon which such emergency 29 will terminate. The board of trustees may extend the 30 termination date if in its judgment the circumstances so 31 require. A full written account of the emergency, together 32 with a requisition for the materials, supplies, labor or 33 equipment required therefor shall be submitted immediately 34 upon completion and shall be open to public inspection for a SB32 Engrossed -11- LRB9201390TAtm 1 period of at least one year subsequent to the date of such 2 emergency purchase. Within 30 days after the passage of the 3 resolution or ordinance declaring an emergency affecting the 4 public health or safety, the District shall submit to the 5 Illinois Environmental Protection Agency the full written 6 account of any such emergency along with a copy of the 7 resolution or ordinance declaring the emergency, in 8 accordance with requirements as may be provided by rule. 9 (Source: P.A. 91-547, eff. 8-14-99.) 10 Section 20. The Metropolitan Water Reclamation District 11 Act is amended by changing Sections 11.3, 11.6, 11.7, 11.10, 12 and 11.13 as follows: 13 (70 ILCS 2605/11.3) (from Ch. 42, par. 331.3) 14 Sec. 11.3. Except as provided in Sections 11.4 and 11.5, 15 all purchase orders or contracts involving amounts in excess 16 of the mandatory competitive bid threshold$10,000and made 17 by or on behalf of the sanitary district for labor, services 18 or work, the purchase, lease or sale of personal property, 19 materials, equipment or supplies, or the granting of any 20 concession, shall be let by free and open competitive bidding 21 after advertisement, to the lowest responsible bidder or to 22 the highest responsible bidder, as the case may be, depending 23 upon whether the sanitary district is to expend or receive 24 money. 25 All such purchase orders or contracts which shall involve 26 amounts that will not exceed the mandatory competitive bid 27 thresholdof $10,000 or less, shall also be let in the manner 28 prescribed above whenever practicable, except that after 29 solicitation of bids, such purchase orders or contracts may 30 be let in the open market, in a manner calculated to insure 31 the best interests of the public. The provisions of this 32 section are subject to any contrary provisions contained in SB32 Engrossed -12- LRB9201390TAtm 1 "An Act concerning the use of Illinois mined coal in certain 2 plants and institutions", filed July 13, 1937, as heretofore 3 and hereafter amended. For purposes of this Section, the 4 "mandatory competitive bid threshold" is a dollar amount 5 equal to 0.1% of the total general fixed assets of the 6 district as reported in the most recent required audit 7 report. In no event, however, shall the mandatory 8 competitive bid threshold dollar amount be less than $10,000 9 or more than $40,000. 10 Notwithstanding the provisions of this Section, the 11 sanitary district is expressly authorized to establish such 12 procedures as it deems appropriate to comply with state or 13 federal regulations as to affirmative action and the 14 utilization of small and minority businesses in construction 15 and procurement contracts. 16 (Source: P.A. 83-835.) 17 (70 ILCS 2605/11.6) (from Ch. 42, par. 331.6) 18 Sec. 11.6. The head of each department shall notify the 19 purchasing agent of those officers and employees authorized 20 to sign requests for purchases. Requests for purchases shall 21 be void unless executed by an authorized officer or employee 22 and approved by the purchasing agent. Requests for purchases 23 may be executed, approved and signed manually or 24 electronically. 25 Officials and employees making requests for purchases 26 shall not split or otherwise partition for the purpose of 27 evading the competitive bidding requirements of this Act, any 28 undertaking involving amounts in excess of the mandatory 29 competitive bid threshold$10,000. 30 (Source: P.A. 87-1125.) 31 (70 ILCS 2605/11.7) (from Ch. 42, par. 331.7) 32 Sec. 11.7. All proposals to award purchase orders or SB32 Engrossed -13- LRB9201390TAtm 1 contracts involving amounts in excess of the mandatory 2 competitive bid threshold$10,000shall be published at least 3 12 calendar days in advance of the date announced for the 4 receiving of bids, in a secular English language newspaper of 5 general circulation in said sanitary district and shall be 6 posted simultaneously on readily accessible bulletin boards 7 in the principal office of the sanitary district. Nothing 8 contained in this section shall be construed to prohibit the 9 placing of additional advertisements in recognized trade 10 journals. Advertisements for bids shall describe the 11 character of the proposed contract or agreement in sufficient 12 detail either in the advertisement itself or by reference to 13 plans, specifications or other detail on file at the time of 14 publication of the first announcement, to enable the bidders 15 to know what their obligation will be. The advertisement 16 shall also state the date, time and place assigned for the 17 opening of bids. No bids shall be received at any time 18 subsequent to the time indicated in the announcement; 19 however, an extension of time may be granted for the opening 20 of such bids upon publication in the same newspaper of 21 general circulation in said sanitary district stating the 22 date to which bid opening has been extended. The time of the 23 extended bid opening shall not be less than 5 days after 24 publication, Sundays and legal holidays excluded. 25 Cash, cashier's check or a certified check payable to the 26 clerk and drawn upon a bank, as a deposit of good faith, in a 27 reasonable amount not in excess of 10% of the contract 28 amount, may be required of each bidder by the purchasing 29 agent on all bids involving amounts in excess of the 30 mandatory competitive bid threshold$10,000. If a deposit is 31 required, the advertisement for bids shall so specify. 32 Instead of a deposit, the purchasing agent may allow the use 33 of a bid bond if the bond is issued by a surety company that 34 is listed in the Federal Register and is authorized to do SB32 Engrossed -14- LRB9201390TAtm 1 business in the State of Illinois. 2 (Source: P.A. 89-89, eff. 6-30-95.) 3 (70 ILCS 2605/11.10) (from Ch. 42, par. 331.10) 4 Sec. 11.10. Every contract or purchase order involving 5 amounts in excess of the mandatory competitive bid threshold 6$10,000shall be signed by the president or other duly 7 authorized officer of the board of commissioners, by the 8 general superintendent, by the clerk and by the purchasing 9 agent. Each bid with the name of the bidder shall be entered 10 upon a record which shall be open to public inspection in the 11 office of the purchasing agent. After the award is made, the 12 bids shall be entered in the official records of the board of 13 commissioners. 14 All purchase orders or contracts involving amounts that 15 will not exceed the mandatory competitive bid thresholdof16$10,000 or lessshall be let by the purchasing agent. They 17 shall be signed by the purchasing agent and the clerk. All 18 records pertaining to such awards shall be open to public 19 inspection for a period of at least one year subsequent to 20 the date of the award. 21 An official copy of each awarded purchase order or 22 contract together with all necessary attachments thereto, 23 including assignments and written consent of the purchasing 24 agent shall be retained by the purchasing agent in an 25 appropriate file open to the public for such period of time 26 after termination of contract during which action against the 27 municipality might ensue under applicable laws of limitation. 28 Certified copies of all completed contracts and purchase 29 orders shall be filed with the clerk. After the appropriate 30 period, purchase orders, contracts and attachments in the 31 clerk's possession may be destroyed by direction of the 32 purchasing agent. 33 The provisions of this Act are not applicable to joint SB32 Engrossed -15- LRB9201390TAtm 1 purchases of personal property, supplies and services made by 2 governmental units in accordance with Sections 1 through 5 of 3 "An Act authorizing certain governmental units to purchase 4 personal property, supplies and services jointly," approved 5 August 15, 1961. 6 (Source: P.A. 83-835.) 7 (70 ILCS 2605/11.13) (from Ch. 42, par. 331.13) 8 Sec. 11.13. Bond, with sufficient sureties, in such 9 amount as shall be deemed adequate by the purchasing agent 10 not only to insure performance of the contract in the time 11 and manner specified in said contract but also to save, 12 indemnify and keep harmless the sanitary district against all 13 liabilities, judgments, costs and expenses which may in 14 anywise accrue against said sanitary district in consequence 15 of the granting of the contract or execution thereof shall be 16 required for all contracts relative to construction, 17 rehabilitation or repair of any of the works of the sanitary 18 district and may be required of each bidder upon all other 19 contracts in excess of the mandatory competitive bid 20 threshold$10,000when, in the opinion of the purchasing 21 agent, the public interest will be better served thereby. 22 In accordance with the provisions of "An Act in relation 23 to bonds of contractors entering into contracts for public 24 construction", approved June 20, 1931, as amended, all 25 contracts for construction work, to which the sanitary 26 district is a party, shall require that the contractor 27 furnish bond guaranteeing payment for materials and labor 28 utilized in the contract. 29 (Source: P.A. 83-835.)