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Full Text of HB0960
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HB0960 - 104th General Assembly
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House Amendment 001
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House Amendment 001
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HB0960 Engrossed
LRB104 04862 SPS 14889 b
1
AN ACT concerning State government.
2
Be it enacted by the People of the State of Illinois,
3
represented in the General Assembly:
4
Section 5.
The Illinois Procurement Code is amended by
5
changing Section 20-10 as follows:
6
(30 ILCS 500/20-10)
7
(Text of Section from P.A. 96-159, 96-588, 97-96, 97-895,
8
98-1076, 99-906, 100-43, 101-31, 101-657, 102-29, 103-558, and
9
103-564)
10
Sec. 20-10.
Competitive sealed bidding; reverse auction.
11
(a) Conditions for use. All contracts shall be awarded by
12
competitive sealed bidding except as otherwise provided in
13
Section 20-5.
14
(b) Invitation for bids. An invitation for bids shall be
15
issued and shall include a purchase description and the
16
material contractual terms and conditions applicable to the
17
procurement.
18
(c) Public notice. Public notice of the invitation for
19
bids shall be published in the Illinois Procurement Bulletin
20
at least 14 calendar days before the date set in the invitation
21
for the opening of bids.
22
(d) Bid opening. Bids shall be opened publicly or through
23
an electronic procurement system in the presence of one or
HB0960 Engrossed
- 2 -
LRB104 04862 SPS 14889 b
1
more witnesses at the time and place designated in the
2
invitation for bids. The name of each bidder, including earned
3
and applied bid credit from the Illinois Works Jobs Program
4
Act, the amount of each bid, and other relevant information as
5
may be specified by rule shall be recorded. After the award of
6
the contract, the winning bid and the record of each
7
unsuccessful bid shall be open to public inspection.
8
(e) Bid acceptance and bid evaluation. Bids shall be
9
unconditionally accepted without alteration or correction,
10
except as authorized in this Code. Bids shall be evaluated
11
based on the requirements set forth in the invitation for
12
bids, which may include criteria to determine acceptability
13
such as inspection, testing, quality, workmanship, delivery,
14
and suitability for a particular purpose. Those criteria that
15
will affect the bid price and be considered in evaluation for
16
award, such as discounts, transportation costs, and total or
17
life cycle costs, shall be objectively measurable. The
18
invitation for bids shall set forth the evaluation criteria to
19
be used.
20
(f) Correction or withdrawal of bids. Correction or
21
withdrawal of inadvertently erroneous bids before or after
22
award, or cancellation of awards of contracts based on bid
23
mistakes, shall be permitted in accordance with rules. After
24
bid opening, no changes in bid prices or other provisions of
25
bids prejudicial to the interest of the State or fair
26
competition shall be permitted. All decisions to permit the
HB0960 Engrossed
- 3 -
LRB104 04862 SPS 14889 b
1
correction or withdrawal of bids based on bid mistakes shall
2
be supported by written determination made by a State
3
purchasing officer.
4
(g) Award. The contract shall be awarded with reasonable
5
promptness by written notice to the lowest responsible and
6
responsive bidder whose bid meets the requirements and
7
criteria set forth in the invitation for bids, except when a
8
State purchasing officer determines it is not in the best
9
interest of the State and by written explanation determines
10
another bidder shall receive the award. The explanation shall
11
appear in the appropriate volume of the Illinois Procurement
12
Bulletin. The written explanation must include:
13
(1) a description of the agency's needs;
14
(2) a determination that the anticipated cost will be
15
fair and reasonable;
16
(3) a listing of all responsible and responsive
17
bidders; and
18
(4) the name of the bidder selected, the total
19
contract price, and the reasons for selecting that bidder.
20
Each chief procurement officer may adopt guidelines to
21
implement the requirements of this subsection (g).
22
The written explanation shall be filed with the
23
Legislative Audit Commission,
and
the Commission on Equity and
24
Inclusion, and the Procurement Policy Board, and be made
25
available for inspection by the public, within 14 calendar
26
days after the agency's decision to award the contract.
HB0960 Engrossed
- 4 -
LRB104 04862 SPS 14889 b
1
(g-5) Failed bid notice. In addition to the requirements
2
of subsection (g), if a bidder has failed to be awarded a
3
contract after 4 consecutive bids to provide the same services
4
to the Department of Transportation, the Capital Development
5
Board, or the Illinois State Toll Highway Authority, the
6
applicable agency shall, in writing, detail why each of the 4
7
bids was not awarded to the bidder. The applicable agency
8
shall submit by certified copy to the bidder the reason or
9
reasons why each of the 4 bids was not awarded to the bidder.
10
The agency shall submit that certified copy to the bidder
11
within the same calendar quarter in which the fourth bid was
12
rejected. This subsection does not apply if information
13
pertaining to a failed bid was previously disclosed to a
14
bidder by electronic means. If any agency chooses to provide
15
information by electronic means, the agency shall have a
16
written policy outlining how the agency will reasonably ensure
17
the bidder receives the information. For the purposes of this
18
subsection, "electronic means" means an email communication
19
from the applicable agency to the bidder or a public posting on
20
the applicable agency's procurement bulletin.
21
(h) Multi-step sealed bidding. When it is considered
22
impracticable to initially prepare a purchase description to
23
support an award based on price, an invitation for bids may be
24
issued requesting the submission of unpriced offers to be
25
followed by an invitation for bids limited to those bidders
26
whose offers have been qualified under the criteria set forth
HB0960 Engrossed
- 5 -
LRB104 04862 SPS 14889 b
1
in the first solicitation.
2
(i) Alternative procedures. Notwithstanding any other
3
provision of this Act to the contrary, the Director of the
4
Illinois Power Agency may create alternative bidding
5
procedures to be used in procuring professional services under
6
Section 1-56, subsections (a) and (c) of Section 1-75 and
7
subsection (d) of Section 1-78 of the Illinois Power Agency
8
Act and Section 16-111.5(c) of the Public Utilities Act and to
9
procure renewable energy resources under Section 1-56 of the
10
Illinois Power Agency Act. These alternative procedures shall
11
be set forth together with the other criteria contained in the
12
invitation for bids, and shall appear in the appropriate
13
volume of the Illinois Procurement Bulletin.
14
(j) Reverse auction. Notwithstanding any other provision
15
of this Section and in accordance with rules adopted by the
16
chief procurement officer, that chief procurement officer may
17
procure supplies or services through a competitive electronic
18
auction bidding process after the chief procurement officer
19
determines that the use of such a process will be in the best
20
interest of the State. The chief procurement officer shall
21
publish that determination in his or her next volume of the
22
Illinois Procurement Bulletin.
23
An invitation for bids shall be issued and shall include
24
(i) a procurement description, (ii) all contractual terms,
25
whenever practical, and (iii) conditions applicable to the
26
procurement, including a notice that bids will be received in
HB0960 Engrossed
- 6 -
LRB104 04862 SPS 14889 b
1
an electronic auction manner.
2
Public notice of the invitation for bids shall be given in
3
the same manner as provided in subsection (c).
4
Bids shall be accepted electronically at the time and in
5
the manner designated in the invitation for bids. During the
6
auction, a bidder's price shall be disclosed to other bidders.
7
Bidders shall have the opportunity to reduce their bid prices
8
during the auction. At the conclusion of the auction, the
9
record of the bid prices received and the name of each bidder
10
shall be open to public inspection.
11
After the auction period has terminated, withdrawal of
12
bids shall be permitted as provided in subsection (f).
13
The contract shall be awarded within 60 calendar days
14
after the auction by written notice to the lowest responsible
15
bidder, or all bids shall be rejected except as otherwise
16
provided in this Code. Extensions of the date for the award may
17
be made by mutual written consent of the State purchasing
18
officer and the lowest responsible bidder.
19
This subsection does not apply to (i) procurements of
20
professional and artistic services, (ii) telecommunications
21
services, communication services, and information services,
22
and (iii) contracts for construction projects, including
23
design professional services.
24
(k) Catalog awards by market basket analysis. A contract
25
for catalog supplies may be awarded pursuant to this Section
26
using a market basket analysis to evaluate the lowest price a
HB0960 Engrossed
- 7 -
LRB104 04862 SPS 14889 b
1
vendor can offer for a representative sample of catalog
2
supplies. The award shall be made to the responsible and
3
responsive bidder with the lowest cost for the representative
4
sample, based on analysis of all available same items. The
5
prices bid for each line item shall be firm and specified in
6
the contract. Supplies offered by the bidder that are not
7
evaluated as part of the market basket constitute the balance
8
of the bidder's catalog. Line items shall be priced,
9
categorized into distinct groups, and have a fixed discount by
10
group. Only the catalog supplies offered in the bid may be
11
specified in the contract. A contract awarded under this
12
subsection shall include terms and conditions for (i) price
13
changes for evaluated line items, (ii) substitution of
14
evaluated line items, and (iii) the addition of catalog
15
supplies that were not evaluated nor offered at the time of
16
bid. The purchasing agency shall conduct semi-annual reviews
17
of usage, substitutions, and items added or removed from the
18
catalog.
19
As used in this subsection (k):
20
"Catalog supplies" means a defined list of items with
21
verifiable prices that are categorized into distinct groups of
22
like, similar, or the same supplies.
23
"Line item" means a separately identified supply with its
24
own description, unit of measure, quantity, and price.
25
"Market basket analysis" means an evaluation of the cost
26
of the representative sample of catalog supplies to determine
HB0960 Engrossed
- 8 -
LRB104 04862 SPS 14889 b
1
the lowest cost bidder.
2
"Representative sample" means the line items that make up
3
at least 75% of the supplies of the State's previous purchases
4
based on all available data.
5
(Source: P.A. 102-29, eff. 6-25-21; 103-558, eff. 1-1-24;
6
103-564, eff. 11-17-23.)
7
(Text of Section from P.A. 96-159, 96-795, 97-96, 97-895,
8
98-1076, 99-906, 100-43, 101-31, 101-657, 102-29, 103-558, and
9
103-564)
10
Sec. 20-10.
Competitive sealed bidding; reverse auction.
11
(a) Conditions for use. All contracts shall be awarded by
12
competitive sealed bidding except as otherwise provided in
13
Section 20-5.
14
(b) Invitation for bids. An invitation for bids shall be
15
issued and shall include a purchase description and the
16
material contractual terms and conditions applicable to the
17
procurement.
18
(c) Public notice. Public notice of the invitation for
19
bids shall be published in the Illinois Procurement Bulletin
20
at least 14 calendar days before the date set in the invitation
21
for the opening of bids.
22
(d) Bid opening. Bids shall be opened publicly or through
23
an electronic procurement system in the presence of one or
24
more witnesses at the time and place designated in the
25
invitation for bids. The name of each bidder, including earned
HB0960 Engrossed
- 9 -
LRB104 04862 SPS 14889 b
1
and applied bid credit from the Illinois Works Jobs Program
2
Act, the amount of each bid, and other relevant information as
3
may be specified by rule shall be recorded. After the award of
4
the contract, the winning bid and the record of each
5
unsuccessful bid shall be open to public inspection.
6
(e) Bid acceptance and bid evaluation. Bids shall be
7
unconditionally accepted without alteration or correction,
8
except as authorized in this Code. Bids shall be evaluated
9
based on the requirements set forth in the invitation for
10
bids, which may include criteria to determine acceptability
11
such as inspection, testing, quality, workmanship, delivery,
12
and suitability for a particular purpose. Those criteria that
13
will affect the bid price and be considered in evaluation for
14
award, such as discounts, transportation costs, and total or
15
life cycle costs, shall be objectively measurable. The
16
invitation for bids shall set forth the evaluation criteria to
17
be used.
18
(f) Correction or withdrawal of bids. Correction or
19
withdrawal of inadvertently erroneous bids before or after
20
award, or cancellation of awards of contracts based on bid
21
mistakes, shall be permitted in accordance with rules. After
22
bid opening, no changes in bid prices or other provisions of
23
bids prejudicial to the interest of the State or fair
24
competition shall be permitted. All decisions to permit the
25
correction or withdrawal of bids based on bid mistakes shall
26
be supported by written determination made by a State
HB0960 Engrossed
- 10 -
LRB104 04862 SPS 14889 b
1
purchasing officer.
2
(g) Award. The contract shall be awarded with reasonable
3
promptness by written notice to the lowest responsible and
4
responsive bidder whose bid meets the requirements and
5
criteria set forth in the invitation for bids, except when a
6
State purchasing officer determines it is not in the best
7
interest of the State and by written explanation determines
8
another bidder shall receive the award. The explanation shall
9
appear in the appropriate volume of the Illinois Procurement
10
Bulletin. The written explanation must include:
11
(1) a description of the agency's needs;
12
(2) a determination that the anticipated cost will be
13
fair and reasonable;
14
(3) a listing of all responsible and responsive
15
bidders; and
16
(4) the name of the bidder selected, the total
17
contract price, and the reasons for selecting that bidder.
18
Each chief procurement officer may adopt guidelines to
19
implement the requirements of this subsection (g).
20
The written explanation shall be filed with the
21
Legislative Audit Commission,
and
the Commission on Equity and
22
Inclusion, and the Procurement Policy Board, and be made
23
available for inspection by the public, within 14 days after
24
the agency's decision to award the contract.
25
(g-5) Failed bid notice. In addition to the requirements
26
of subsection (g), if a bidder has failed to be awarded a
HB0960 Engrossed
- 11 -
LRB104 04862 SPS 14889 b
1
contract after 4 consecutive bids to provide the same services
2
to the Department of Transportation, the Capital Development
3
Board, or the Illinois State Toll Highway Authority, the
4
applicable agency shall, in writing, detail why each of the 4
5
bids was not awarded to the bidder. The applicable agency
6
shall submit by certified copy to the bidder the reason or
7
reasons why each of the 4 bids was not awarded to the bidder.
8
The agency shall submit that certified copy to the bidder
9
within the same calendar quarter in which the fourth bid was
10
rejected. This subsection does not apply if information
11
pertaining to a failed bid was previously disclosed to a
12
bidder by electronic means. If any agency chooses to provide
13
information by electronic means, the agency shall have a
14
written policy outlining how the agency will reasonably ensure
15
the bidder receives the information. For the purposes of this
16
subsection, "electronic means" means an email communication
17
from the applicable agency to the bidder or a public posting on
18
the applicable agency's procurement bulletin.
19
(h) Multi-step sealed bidding. When it is considered
20
impracticable to initially prepare a purchase description to
21
support an award based on price, an invitation for bids may be
22
issued requesting the submission of unpriced offers to be
23
followed by an invitation for bids limited to those bidders
24
whose offers have been qualified under the criteria set forth
25
in the first solicitation.
26
(i) Alternative procedures. Notwithstanding any other
HB0960 Engrossed
- 12 -
LRB104 04862 SPS 14889 b
1
provision of this Act to the contrary, the Director of the
2
Illinois Power Agency may create alternative bidding
3
procedures to be used in procuring professional services under
4
subsections (a) and (c) of Section 1-75 and subsection (d) of
5
Section 1-78 of the Illinois Power Agency Act and Section
6
16-111.5(c) of the Public Utilities Act and to procure
7
renewable energy resources under Section 1-56 of the Illinois
8
Power Agency Act. These alternative procedures shall be set
9
forth together with the other criteria contained in the
10
invitation for bids, and shall appear in the appropriate
11
volume of the Illinois Procurement Bulletin.
12
(j) Reverse auction. Notwithstanding any other provision
13
of this Section and in accordance with rules adopted by the
14
chief procurement officer, that chief procurement officer may
15
procure supplies or services through a competitive electronic
16
auction bidding process after the chief procurement officer
17
determines that the use of such a process will be in the best
18
interest of the State. The chief procurement officer shall
19
publish that determination in his or her next volume of the
20
Illinois Procurement Bulletin.
21
An invitation for bids shall be issued and shall include
22
(i) a procurement description, (ii) all contractual terms,
23
whenever practical, and (iii) conditions applicable to the
24
procurement, including a notice that bids will be received in
25
an electronic auction manner.
26
Public notice of the invitation for bids shall be given in
HB0960 Engrossed
- 13 -
LRB104 04862 SPS 14889 b
1
the same manner as provided in subsection (c).
2
Bids shall be accepted electronically at the time and in
3
the manner designated in the invitation for bids. During the
4
auction, a bidder's price shall be disclosed to other bidders.
5
Bidders shall have the opportunity to reduce their bid prices
6
during the auction. At the conclusion of the auction, the
7
record of the bid prices received and the name of each bidder
8
shall be open to public inspection.
9
After the auction period has terminated, withdrawal of
10
bids shall be permitted as provided in subsection (f).
11
The contract shall be awarded within 60 calendar days
12
after the auction by written notice to the lowest responsible
13
bidder, or all bids shall be rejected except as otherwise
14
provided in this Code. Extensions of the date for the award may
15
be made by mutual written consent of the State purchasing
16
officer and the lowest responsible bidder.
17
This subsection does not apply to (i) procurements of
18
professional and artistic services, (ii) telecommunications
19
services, communication services, and information services,
20
and (iii) contracts for construction projects, including
21
design professional services.
22
(k) Catalog awards by market basket analysis. A contract
23
for catalog supplies may be awarded pursuant to this Section
24
using a market basket analysis to evaluate the lowest price a
25
vendor can offer for a representative sample of catalog
26
supplies. The award shall be made to the responsible and
HB0960 Engrossed
- 14 -
LRB104 04862 SPS 14889 b
1
responsive bidder with the lowest cost for the representative
2
sample, based on analysis of all available same items. The
3
prices bid for each line item shall be firm and specified in
4
the contract. Supplies offered by the bidder that are not
5
evaluated as part of the market basket constitute the balance
6
of the bidder's catalog. Line items shall be priced,
7
categorized into distinct groups, and have a fixed discount by
8
group. Only the catalog supplies offered in the bid may be
9
specified in the contract. A contract awarded under this
10
subsection shall include terms and conditions for (i) price
11
changes for evaluated line items, (ii) substitution of
12
evaluated line items, and (iii) the addition of catalog
13
supplies that were not evaluated nor offered at the time of
14
bid. The purchasing agency shall conduct semi-annual reviews
15
of usage, substitutions, and items added or removed from the
16
catalog.
17
As used in this subsection (k):
18
"Catalog supplies" means a defined list of items with
19
verifiable prices that are categorized into distinct groups of
20
like, similar, or the same supplies.
21
"Line item" means a separately identified supply with its
22
own description, unit of measure, quantity, and price.
23
"Market basket analysis" means an evaluation of the cost
24
of the representative sample of catalog supplies to determine
25
the lowest cost bidder.
26
"Representative sample" means the line items that make up
HB0960 Engrossed
- 15 -
LRB104 04862 SPS 14889 b
1
at least 75% of the supplies of the State's previous purchases
2
based on all available data.
3
(Source: P.A. 102-29, eff. 6-25-21; 103-558, eff. 1-1-24;
4
103-564, eff. 11-17-23
.)
5
Section 95.
No acceleration or delay.
Where this Act makes
6
changes in a statute that is represented in this Act by text
7
that is not yet or no longer in effect (for example, a Section
8
represented by multiple versions), the use of that text does
9
not accelerate or delay the taking effect of (i) the changes
10
made by this Act or (ii) provisions derived from any other
11
Public Act.
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