Public Act 93-0600

SB1530 Enrolled                      LRB093 07752 JAM 07940 b

    AN ACT concerning State procurement.

    Be it enacted by the People of  the  State  of  Illinois,
represented in the General Assembly:

    Section  5.  The  Illinois Procurement Code is amended by
adding Section 50-10.5 and changing Section 50-60 as follows:

    (30 ILCS 500/50-10.5 new)
    Sec. 50-10.5.  Prohibited bidders and contractors.
    (a)  Unless otherwise provided, no business shall bid  or
enter into a contract with the State of Illinois or any State
agency  if the business or any officer, director, partner, or
other managerial agent of the business has been convicted  of
a felony under the Sarbanes-Oxley Act of 2002 or a Class 3 or
Class  2 felony under the Illinois Securities Law of 1953 for
a period of 5 years from the date of conviction.
    (b)  Every bid submitted to and contract executed by  the
State   shall  contain  a  certification  by  the  bidder  or
contractor that the  contractor  is  not  barred  from  being
awarded a contract under this Section and that the contractor
acknowledges  that the contracting State agency shall declare
the contract void if the certification completed pursuant  to
this subsection (b) is false.
    (c)  If   a   business  is  not  a  natural  person,  the
prohibition in subsection (a) applies only if:
         (1)  the business itself is convicted  of  a  felony
    referenced in subsection (a); or
         (2)  the business is ordered to pay punitive damages
    based  on  the conduct of any officer, director, partner,
    or other managerial agent who has  been  convicted  of  a
    felony referenced in subsection (a).
    (d)  A  natural  person  who  is  convicted  of  a felony
referenced in  subsection  (a)  remains  subject  to  Section
50-10.

    (30 ILCS 500/50-60)
    Sec. 50-60.  Voidable contracts.
    (a)  If  any  contract  is  entered  into  or purchase or
expenditure of funds is made in violation of this Code or any
other law, the contract may be declared  void  by  the  chief
procurement officer or may be ratified and affirmed, provided
the chief procurement officer determines that ratification is
in  the  best  interests  of  the  State.  If the contract is
ratified and affirmed, it shall be without prejudice  to  the
State's rights to any appropriate damages.
    (b)  If,  during  the term of a contract, the contracting
agency determines that the contractor is  delinquent  in  the
payment  of  debt as set forth in Section 50-11 of this Code,
the  State  agency  may  declare  the  contract  void  if  it
determines that voiding the contract is in the best interests
of the State.  The Debt Collection Board  shall  adopt  rules
for the implementation of this subsection (b).
    (c)  If,  during  the term of a contract, the contracting
agency determines that the  contractor  is  in  violation  of
Section  50-10.5  of  this Code, the contracting agency shall
declare the contract void.
(Source: P.A. 92-404, eff. 7-1-02.)