Sen. Michael E. Hastings
Filed: 5/8/2013
 
 


 




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1
AMENDMENT TO HOUSE BILL 2408 




2 AMENDMENT NO. ______. Amend House Bill 2408 by replacing 
3everything after the enacting clause with the following:


4 "Section 5. The State Finance Act is amended by changing 
5Section 6z-64 as follows:

6 (30 ILCS 105/6z-64)
7 Sec. 6z-64. The Workers' Compensation Revolving Fund.
8 (a) The Workers' Compensation Revolving Fund is created as 
9a revolving fund, not subject to fiscal year limitations, in 
10the State treasury. The following moneys shall be deposited 
11into the Fund:
12  (1) amounts authorized for transfer to the Fund from 
13 the General Revenue Fund and other State funds (except for 
14 funds classified by the Comptroller as federal trust funds 
15 or State trust funds) pursuant to State law or Executive 
16 Order;
 
 
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1  (2) federal funds received by the Department of Central 
2 Management Services (the "Department") as a result of 
3 expenditures from the Fund;
4  (3) interest earned on moneys in the Fund;
5  (4) receipts or inter-fund transfers resulting from 
6 billings issued to State agencies and universities for the 
7 cost of workers' compensation services that are not 
8 compensated through the specific fund transfers authorized 
9 by this Section, if any;
10  (5) amounts received from a State agency or university 
11 for workers' compensation payments for temporary total 
12 disability, as provided in Section 405-105 of the 
13 Department of Central Management Services Law of the Civil 
14 Administrative Code of Illinois; and
15  (6) amounts recovered through subrogation in workers' 
16 compensation and workers' occupational disease cases.
17 (b) Moneys in the Fund may be used by the Department for 
18reimbursement or payment for:
19  (1) providing workers' compensation services to State 
20 agencies and State universities; or
21  (2) providing for payment of administrative and other 
22 expenses (and, beginning January 1, 2013, fees and charges 
23 made pursuant to a contract with a private vendor) incurred 
24 in providing workers' compensation services. The 
25 Department, or any successor agency designated to enter 
26 into contracts with one or more private vendors for the 
 
 
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1 administration of the workers' compensation program for 
2 State employees pursuant to subsection 10b of Section 
3 405-105 of the Department of Central Management Services 
4 Law of the Civil Administrative Code of Illinois, is 
5 authorized to establish one or more special funds, as 
6 separate accounts provided by any bank or banks as defined 
7 by the Illinois Banking Act or any savings and loan 
8 association or associations as defined by the Illinois 
9 Savings and Loan Act of 1985, to be held by the Director 
10 outside of the State treasury, for the purpose of receiving 
11 the transfer of moneys from the Workers' Compensation 
12 Revolving Fund. The Department may promulgate rules 
13 further defining the methodology for the transfers. Any 
14 interest earned by moneys in the funds or accounts shall be 
15 deposited into the Workers' Compensation Revolving Fund. 
16 The transferred moneys, and interest accrued thereon, 
17 shall be used exclusively for transfers to contracted 
18 private vendors or their financial institutions for 
19 payments to workers' compensation claimants and providers 
20 for workers' compensation services, claims, and benefits 
21 pursuant to this Section and subsection 9 of Section 
22 405-105 of the Department of Central Management Services 
23 Law of the Civil Administrative Code of Illinois. The 
24 transferred moneys, and interest accrued thereon, shall 
25 not be used for any other purpose including, but not 
26 limited to, reimbursement or payment of administrative 
 
 
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1 fees due the contracted vendor pursuant to its contract or 
2 contracts with the Department. 
3 (c) State agencies may direct the Comptroller to process 
4inter-fund
transfers or make payment through the voucher and 
5warrant process to the Workers' Compensation Revolving Fund in 
6satisfaction of billings issued under subsection (a) of this 
7Section.
8 (d) Reconciliation. For the fiscal year beginning on July 
91, 2004 only, the Director of Central Management Services (the 
10"Director") shall order that each State agency's payments and 
11transfers made to the Fund be reconciled with actual Fund costs 
12for workers' compensation services provided by the Department 
13and attributable to the State agency and relevant fund on no 
14less than an annual basis. The Director may require reports 
15from State agencies as deemed necessary to perform this 
16reconciliation.
17 (d-5) Notwithstanding any other provision of State law to 
18the contrary, on or after July 1, 2005 and until June 30, 2006, 
19in addition to any other transfers that may be provided for by 
20law, at the direction of and upon notification of the Director 
21of Central Management Services, the State Comptroller shall 
22direct and the State Treasurer shall transfer amounts into the 
23Workers' Compensation Revolving Fund from the designated funds 
24not exceeding the following totals:
25 Mental Health Fund............................$17,694,000
26 Statistical Services Revolving Fund............$1,252,600
 
 
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1 Department of Corrections Reimbursement
2  and Education Fund.........................$1,198,600
3 Communications Revolving Fund....................$535,400
4 Child Support Administrative Fund................$441,900
5 Health Insurance Reserve Fund....................$238,900
6 Fire Prevention Fund.............................$234,100
7 Park and Conservation Fund.......................$142,000
8 Motor Fuel Tax Fund..............................$132,800
9 Illinois Workers' Compensation
10  Commission Operations Fund...................$123,900
11 State Boating Act Fund...........................$112,300
12 Public Utility Fund..............................$106,500
13 State Lottery Fund...............................$101,300
14 Traffic and Criminal Conviction
15  Surcharge Fund................................$88,500
16 State Surplus Property Revolving Fund.............$82,700
17 Natural Areas Acquisition Fund....................$65,600
18 Securities Audit and Enforcement Fund.............$65,200
19 Agricultural Premium Fund.........................$63,400
20 Capital Development Fund..........................$57,500
21 State Gaming Fund.................................$54,300
22 Underground Storage Tank Fund.....................$53,700
23 Illinois State Medical Disciplinary Fund..........$53,000
24 Personal Property Tax Replacement Fund............$53,000
25 General Professions Dedicated Fund...............$51,900

26 Total $23,003,100

 
 
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1 (d-10) Notwithstanding any other provision of State law to 
2the contrary and in addition to any other transfers that may be 
3provided for by law, on the first day of each calendar quarter 
4of the fiscal year beginning July 1, 2005, or as soon as may be 
5practical thereafter, the State Comptroller shall direct and 
6the State Treasurer shall transfer from each designated fund 
7into the Workers' Compensation Revolving Fund amounts equal to 
8one-fourth of each of the following totals:
9 General Revenue Fund......................... $34,000,000
10 Road Fund.................................... $25,987,000
11 Total  $59,987,000

12 (d-12) Notwithstanding any other provision of State law to 
13the contrary and in addition to any other transfers that may be 
14provided for by law, on the effective date of this amendatory 
15Act of the 94th General Assembly, or as soon as may be 
16practical thereafter, the State Comptroller shall direct and 
17the State Treasurer shall transfer from each designated fund 
18into the Workers' Compensation Revolving Fund the following 
19amounts:
20 General Revenue Fund..........................$10,000,000
21 Road Fund......................................$5,000,000
22 Total $15,000,000

23 (d-15) Notwithstanding any other provision of State law to 
24the contrary and in addition to any other transfers that may be 
25provided for by law, on July 1, 2006, or as soon as may be 
26practical thereafter, the State Comptroller shall direct and 
 
 
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1the State Treasurer shall transfer from each designated fund 
2into the Workers' Compensation Revolving Fund the following 
3amounts:
4 General Revenue Fund.........................$44,028,200

5 Road Fund....................................$28,084,000

6 Total $72,112,200

7 (d-20) Notwithstanding any other provision of State law to 
8the contrary, on or after July 1, 2006 and until June 30, 2007, 
9in addition to any other transfers that may be provided for by 
10law, at the direction of and upon notification of the Director 
11of Central Management Services, the State Comptroller shall 
12direct and the State Treasurer shall transfer amounts into the 
13Workers' Compensation Revolving Fund from the designated funds 
14not exceeding the following totals:
15 Mental Health Fund............................$19,121,800
16 Statistical Services Revolving Fund............$1,353,700
17 Department of Corrections Reimbursement
18  and Education Fund.........................$1,295,300
19 Communications Revolving Fund....................$578,600
20 Child Support Administrative Fund................$477,600
21 Health Insurance Reserve Fund....................$258,200
22 Fire Prevention Fund.............................$253,000
23 Park and Conservation Fund.......................$153,500
24 Motor Fuel Tax Fund..............................$143,500
25 Illinois Workers' Compensation
26  Commission Operations Fund...................$133,900
 
 
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1 State Boating Act Fund...........................$121,400
2 Public Utility Fund..............................$115,100
3 State Lottery Fund...............................$109,500
4 Traffic and Criminal Conviction Surcharge Fund....$95,700
5 State Surplus Property Revolving Fund.............$89,400
6 Natural Areas Acquisition Fund....................$70,800
7 Securities Audit and Enforcement Fund.............$70,400
8 Agricultural Premium Fund.........................$68,500
9 State Gaming Fund.................................$58,600
10 Underground Storage Tank Fund.....................$58,000
11 Illinois State Medical Disciplinary Fund..........$57,200
12 Personal Property Tax Replacement Fund............$57,200
13 General Professions Dedicated Fund...............$56,100

14 Total $24,797,000

15 (d-25) Notwithstanding any other provision of State law to 
16the contrary and in addition to any other transfers that may be 
17provided for by law, on July 1, 2009, or as soon as may be 
18practical thereafter, the State Comptroller shall direct and 
19the State Treasurer shall transfer from each designated fund 
20into the Workers' Compensation Revolving Fund the following 
21amounts: 
22 General Revenue Fund.........................$55,000,000 
23 Road Fund....................................$34,803,000 
24 Total $89,803,000 
25 (d-30) Notwithstanding any other provision of State law to 
26the contrary, on or after July 1, 2009 and until June 30, 2010, 
 
 
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1in addition to any other transfers that may be provided for by 
2law, at the direction of and upon notification of the Director 
3of Central Management Services, the State Comptroller shall 
4direct and the State Treasurer shall transfer amounts into the 
5Workers' Compensation Revolving Fund from the designated funds 
6not exceeding the following totals: 
7 Food and Drug Safety Fund.........................$13,900
8 Teacher Certificate Fee Revolving Fund.............$6,500
9 Transportation Regulatory Fund....................$14,500
10 Financial Institution Fund........................$25,200
11 General Professions Dedicated Fund................$25,300
12 Illinois Veterans' Rehabilitation Fund............$64,600
13 State Boating Act Fund...........................$177,100
14 State Parks Fund.................................$104,300
15 Lobbyist Registration Administration Fund.........$14,400
16 Agricultural Premium Fund.........................$79,100
17 Fire Prevention Fund.............................$360,200
18 Mental Health Fund.............................$9,725,200
19 Illinois State Pharmacy Disciplinary Fund..........$5,600
20 Public Utility Fund...............................$40,900
21 Radiation Protection Fund.........................$14,200
22 Firearm Owner's Notification Fund..................$1,300
23 Solid Waste Management Fund.......................$74,100
24 Illinois Gaming Law Enforcement Fund..............$17,800
25 Subtitle D Management Fund........................$14,100
26 Illinois State Medical Disciplinary Fund..........$26,500
 
 
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1 Facility Licensing Fund...........................$11,700
2 Plugging and Restoration Fund......................$9,100
3 Explosives Regulatory Fund.........................$2,300
4 Aggregate Operations Regulatory Fund...............$5,000
5 Coal Mining Regulatory Fund........................$1,900
6 Registered Certified Public Accountants'
7  Administration and Disciplinary Fund...........$1,500
8 Weights and Measures Fund.........................$56,100
9 Division of Corporations Registered
10  Limited Liability Partnership Fund.............$3,900
11 Illinois School Asbestos Abatement Fund...........$14,000
12 Secretary of State Special License Plate Fund.....$30,700
13 Capital Development Board Revolving Fund..........$27,000
14 DCFS Children's Services Fund.....................$69,300
15 Asbestos Abatement Fund...........................$17,200
16 Illinois Health Facilities Planning Fund..........$26,800
17 Emergency Public Health Fund.......................$5,600
18 Nursing Dedicated and Professional Fund...........$10,000
19 Optometric Licensing and Disciplinary
20  Board Fund.....................................$1,600
21 Underground Resources Conservation
22  Enforcement Fund..............................$11,500
23 Drunk and Drugged Driving Prevention Fund.........$18,200
24 Long Term Care Monitor/Receiver Fund..............$35,400
25 Community Water Supply Laboratory Fund.............$5,600
26 Securities Investors Education Fund................$2,000
 
 
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1 Used Tire Management Fund.........................$32,400
2 Natural Areas Acquisition Fund...................$101,200
3 Open Space Lands Acquisition
4  and
Development Fund..................$28,400
5 Working Capital Revolving Fund...................$489,100
6 State Garage Revolving Fund......................$791,900
7 Statistical Services Revolving Fund............$3,984,700
8 Communications Revolving Fund..................$1,432,800
9 Facilities Management Revolving Fund...........$1,911,600
10 Professional Services Fund.......................$483,600
11 Motor Vehicle Review Board Fund...................$15,000
12 Environmental Laboratory Certification Fund........$3,000
13 Public Health Laboratory Services
14  Revolving Fund.................................$2,500
15 Lead Poisoning Screening, Prevention,
16  and Abatement Fund............................$28,200
17 Securities Audit and Enforcement Fund............$258,400
18 Department of Business Services
19  Special Operations Fund......................$111,900
20 Feed Control Fund.................................$20,800
21 Tanning Facility Permit Fund.......................$5,400
22 Plumbing Licensure and Program Fund...............$24,400
23 Tax Compliance and Administration Fund............$27,200
24 Appraisal Administration Fund......................$2,400
25 Small Business Environmental Assistance Fund.......$2,200
26 Illinois State Fair Fund..........................$31,400
 
 
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1 Secretary of State Special Services Fund.........$317,600
2 Department of Corrections Reimbursement
3  and Education Fund...........................$324,500
4 Health Facility Plan Review Fund..................$31,200
5 Illinois Historic Sites Fund......................$11,500
6 Attorney General Court Ordered and Voluntary
7  Compliance Payment Projects Fund..............$18,500
8 Public Pension Regulation Fund.....................$5,600
9 Illinois Charity Bureau Fund......................$11,400
10 Renewable Energy Resources Trust Fund..............$6,700
11 Energy Efficiency Trust Fund.......................$3,600
12 Pesticide Control Fund............................$56,800
13 Attorney General Whistleblower Reward
14  and Protection Fund...........................$14,200
15 Partners for Conservation Fund....................$36,900
16 Capital Litigation Trust Fund........................$800
17 Motor Vehicle License Plate Fund..................$99,700
18 Horse Racing Fund.................................$18,900
19 Death Certificate Surcharge Fund..................$12,800
20 Auction Regulation Administration Fund...............$500
21 Motor Carrier Safety Inspection Fund..............$55,800
22 Assisted Living and Shared Housing
23  Regulatory Fund..................................$900
24 Illinois Thoroughbred Breeders Fund................$9,200
25 Illinois Clean Water Fund.........................$42,300
26 Secretary of State DUI Administration Fund........$16,100
 
 
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1 Child Support Administrative Fund..............$1,037,900
2 Secretary of State Police Services Fund............$1,200
3 Tourism Promotion Fund............................$34,400
4 IMSA Income Fund..................................$12,700
5 Presidential Library and Museum Operating Fund....$83,000
6 Dram Shop Fund....................................$44,500
7 Illinois State Dental Disciplinary Fund............$5,700
8 Cycle Rider Safety Training Fund...................$8,700
9 Traffic and Criminal Conviction Surcharge Fund...$106,100
10 Design Professionals Administration
11  and Investigation Fund.........................$4,500
12 State Police Services Fund.......................$276,100
13 Metabolic Screening and Treatment Fund............$90,800
14 Insurance Producer Administration Fund............$45,600
15 Coal Technology Development Assistance Fund.......$11,700
16 Hearing Instrument Dispenser Examining
17  and Disciplinary Fund..........................$1,900
18 Low-Level Radioactive Waste Facility
19  Development and Operation Fund.................$1,000
20 Environmental Protection Permit and
21  Inspection Fund...............................$66,900
22 Park and Conservation Fund.......................$199,300
23 Local Tourism Fund.................................$2,400
24 Illinois Capital Revolving Loan Fund..............$10,000
25 Large Business Attraction Fund.......................$100
26 Adeline Jay Geo-Karis Illinois Beach
 
 
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1  Marina Fund...................................$27,200
2 Public Infrastructure Construction
3  Loan Revolving Fund............................$1,700
4 Insurance Financial Regulation Fund...............$69,200
5 Total $24,197,800 
6 (d-35) Notwithstanding any other provision of State law to 
7the contrary and in addition to any other transfers that may be 
8provided for by law, on July 1, 2010, or as soon as may be 
9practical thereafter, the State Comptroller shall direct and 
10the State Treasurer shall transfer from each designated fund 
11into the Workers' Compensation Revolving Fund the following 
12amounts: 
13 General Revenue Fund.........................$55,000,000 
14 Road Fund....................................$50,955,300 
15 Total $105,955,300 
16 (d-40) Notwithstanding any other provision of State law to 
17the contrary, on or after July 1, 2010 and until June 30, 2011, 
18in addition to any other transfers that may be provided for by 
19law, at the direction of and upon notification of the Director 
20of Central Management Services, the State Comptroller shall 
21direct and the State Treasurer shall transfer amounts into the 
22Workers' Compensation Revolving Fund from the designated funds 
23not exceeding the following totals: 
24 Food and Drug Safety Fund.........................$8,700 
25 Financial Institution Fund.......................$44,500 
26 General Professions Dedicated Fund...............$51,400 
 
 
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1 Live and Learn Fund..............................$10,900 
2 Illinois Veterans' Rehabilitation Fund..........$106,000 
3 State Boating Act Fund..........................$288,200 
4 State Parks Fund................................$185,900 
5 Wildlife and Fish Fund........................$1,550,300 
6 Lobbyist Registration Administration Fund........$18,100 
7 Agricultural Premium Fund.......................$176,100 
8 Mental Health Fund..............................$291,900 
9 Firearm Owner's Notification Fund.................$2,300 
10 Illinois Gaming Law Enforcement Fund.............$11,300 
11 Illinois State Medical Disciplinary Fund.........$42,300 
12 Facility Licensing Fund..........................$14,200 
13 Plugging and Restoration Fund....................$15,600 
14 Explosives Regulatory Fund........................$4,800 
15 Aggregate Operations Regulatory Fund..............$6,000 
16 Coal Mining Regulatory Fund.......................$7,200 
17 Registered Certified Public Accountants' 
18  Administration and Disciplinary Fund..........$1,900 
19 Weights and Measures Fund.......................$105,200 
20 Division of Corporations Registered 
21  Limited Liability Partnership Fund............$5,300 
22 Illinois School Asbestos Abatement Fund..........$19,900 
23 Secretary of State Special License Plate Fund....$38,700 
24 DCFS Children's Services Fund...................$123,100 
25 Illinois Health Facilities Planning Fund.........$29,700 
26 Emergency Public Health Fund......................$6,800 
 
 
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1 Nursing Dedicated and Professional Fund..........$13,500 
2 Optometric Licensing and Disciplinary 
3  Board Fund....................................$1,800 
4 Underground Resources Conservation 
5  Enforcement Fund.............................$16,500 
6 Mandatory Arbitration Fund........................$5,400 
7 Drunk and Drugged Driving Prevention Fund........$26,400 
8 Long Term Care Monitor/Receiver Fund.............$43,800 
9 Securities Investors Education Fund..............$28,500 
10 Used Tire Management Fund.........................$6,300 
11 Natural Areas Acquisition Fund..................$185,000 
12 Open Space Lands Acquisition and 
13  Development Fund.............................$46,800 
14 Working Capital Revolving Fund..................$741,500 
15 State Garage Revolving Fund.....................$356,200 
16 Statistical Services Revolving Fund...........$1,775,900 
17 Communications Revolving Fund...................$630,600 
18 Facilities Management Revolving Fund............$870,800 
19 Professional Services Fund......................$275,500 
20 Motor Vehicle Review Board Fund..................$12,900 
21 Public Health Laboratory Services 
22  Revolving Fund................................$5,300 
23 Lead Poisoning Screening, Prevention, 
24  and Abatement Fund...........................$42,100 
25 Securities Audit and Enforcement Fund...........$162,700 
26 Department of Business Services 
 
 
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1  Special Operations Fund.....................$143,700 
2 Feed Control Fund................................$32,300 
3 Tanning Facility Permit Fund......................$3,900 
4 Plumbing Licensure and Program Fund..............$32,600 
5 Tax Compliance and Administration Fund...........$48,400 
6 Appraisal Administration Fund.....................$3,600 
7 Illinois State Fair Fund.........................$30,200 
8 Secretary of State Special Services Fund........$214,400 
9 Department of Corrections Reimbursement 
10  and Education Fund..........................$438,300 
11 Health Facility Plan Review Fund.................$29,900 
12 Public Pension Regulation Fund....................$9,900 
13 Pesticide Control Fund..........................$107,500 
14 Partners for Conservation Fund..................$189,300 
15 Motor Vehicle License Plate Fund................$143,800 
16 Horse Racing Fund................................$20,900 
17 Death Certificate Surcharge Fund.................$16,800 
18 Auction Regulation Administration Fund............$1,000 
19 Motor Carrier Safety Inspection Fund.............$56,800 
20 Assisted Living and Shared Housing 
21  Regulatory Fund...............................$2,200 
22 Illinois Thoroughbred Breeders Fund..............$18,100 
23 Secretary of State DUI Administration Fund.......$19,800 
24 Child Support Administrative Fund.............$1,809,500 
25 Secretary of State Police Services Fund...........$2,500 
26 Medical Special Purposes Trust Fund..............$20,400 
 
 
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1 Dram Shop Fund...................................$57,200 
2 Illinois State Dental Disciplinary Fund...........$9,500 
3 Cycle Rider Safety Training Fund.................$12,200 
4 Traffic and Criminal Conviction Surcharge Fund..$128,900 
5 Design Professionals Administration 
6  and Investigation Fund........................$7,300 
7 State Police Services Fund......................$335,700 
8 Metabolic Screening and Treatment Fund...........$81,600 
9 Insurance Producer Administration Fund...........$77,000 
10 Hearing Instrument Dispenser Examining 
11  and Disciplinary Fund.........................$1,900 
12 Park and Conservation Fund......................$361,500 
13 Adeline Jay Geo-Karis Illinois Beach 
14  Marina Fund..................................$42,800 
15 Insurance Financial Regulation Fund.............$108,000 
16 Total $13,033,200 
17 (d-45) Notwithstanding any other provision of State law to 
18the contrary and in addition to any other transfers that may be 
19provided for by law, on July 1, 2011, or as soon as may be 
20practical thereafter, the State Comptroller shall direct and 
21the State Treasurer shall transfer the sum of $45,000,000 from 
22the General Revenue Fund into the Workers' Compensation 
23Revolving Fund. 
24 (e) The term "workers' compensation services" means 
25services, claims expenses, and related administrative costs 
26incurred in performing the duties under
Sections 405-105 and 
 
 
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1405-411 of the Department of Central Management Services Law of 
2the Civil Administrative Code of Illinois.

3(Source: P.A. 96-45, eff. 7-15-09; 96-959, eff. 7-1-10; 97-641, 
4eff. 12-19-11; 97-895, eff. 8-3-12.)

5 Section 10. The Illinois Procurement Code is amended by 
6changing Section 45-57 as follows:

7 (30 ILCS 500/45-57)
8 Sec. 45-57. Veterans.
9 (a) Set-aside goal. It is the goal of the State to promote 
10and encourage the continued economic development of small 
11businesses owned and controlled by qualified veterans and that 
12qualified service-disabled veteran-owned small businesses 
13(referred to as SDVOSB) and veteran-owned small businesses 
14(referred to as VOSB) participate in the State's procurement 
15process as both prime contractors and subcontractors. Not less 
16than 3% of the total dollar amount of State contracts, as 
17defined by the Director of Central Management Services, shall 
18be established as a goal to be awarded to SDVOSB and VOSB. That

19portion of a contract under which the contractor subcontracts

20with a SDVOSB or VOSB may be counted toward the
goal of this 
21subsection. The Department of Central Management Services 
22shall adopt rules to implement compliance with this subsection 
23by all State agencies.
24 (b) Fiscal year reports. By each September 1, each chief 
 
 
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1procurement officer shall report to the Department of Central 
2Management Services on all of the following for the immediately 
3preceding fiscal year, and by each March 1 the Department of 
4Central Management Services shall compile and report that 
5information to the General Assembly:
6  (1) The total number of VOSB, and the number of SDVOSB, 
7 who submitted bids for contracts under this Code.
8  (2) The total number of VOSB, and the number of SDVOSB, 
9 who entered into contracts with the State under this Code 
10 and the total value of those contracts.
11 (c) Yearly review and recommendations. Each year, each 
12chief procurement officer shall review the progress of all 
13State agencies under its jurisdiction in meeting the goal 
14described in subsection (a), with input from statewide 
15veterans' service organizations and from the business 
16community, including businesses owned by qualified veterans, 
17and shall make recommendations to be included in the Department 
18of Central Management Services' report to the General Assembly 
19regarding continuation, increases, or decreases of the 
20percentage goal. The recommendations shall be based upon the 
21number of businesses that are owned by qualified veterans and 
22on the continued need to encourage and promote businesses owned 
23by qualified veterans.
24 (d) Governor's recommendations. To assist the State in 
25reaching the goal described in subsection (a), the Governor 
26shall recommend to the General Assembly changes in programs to 
 
 
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1assist businesses owned by qualified veterans.
2 (e) Definitions. As used in this Section:
3 "Armed forces of the United States" means the United States 
4Army, Navy, Air Force, Marine Corps, Coast Guard, or service in 
5active duty as defined under 38 U.S.C. Section 101. Service in 
6the Merchant Marine that constitutes active duty under Section 
7401 of federal Public Act 95-202 shall also be considered 
8service in the armed forces for purposes of this Section. 
9 "Certification" means a determination made by the Illinois 
10Department of Veterans' Affairs and the Department of Central 
11Management Services that a business entity is a qualified 
12service-disabled veteran-owned small business or a qualified 
13veteran-owned small business for whatever purpose. A SDVOSB or 
14VOSB owned and controlled by females, minorities, or persons 
15with disabilities, as those terms are defined in Section 2 of 
16the Business Enterprise for Minorities, Females, and Persons 
17with Disabilities Act, may also shall select and designate 
18whether that business is to be certified as a "female-owned 
19business", "minority-owned business", or "business owned by a 
20person with a disability", as defined in Section 2 of the 
21Business Enterprise for Minorities, Females, and Persons with 
22Disabilities Act, or as a qualified SDVOSB or qualified VOSB 
23under this Section. 
24 "Control" means the exclusive, ultimate, majority, or sole 
25control of the business, including but not limited to capital 
26investment and all other financial matters, property, 
 
 
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1acquisitions, contract negotiations, legal matters, 
2officer-director-employee selection and comprehensive hiring, 
3operation responsibilities, cost-control matters, income and 
4dividend matters, financial transactions, and rights of other 
5shareholders or joint partners. Control shall be real, 
6substantial, and continuing, not pro forma. Control shall 
7include the power to direct or cause the direction of the 
8management and policies of the business and to make the 
9day-to-day as well as major decisions in matters of policy, 
10management, and operations. Control shall be exemplified by 
11possessing the requisite knowledge and expertise to run the 
12particular business, and control shall not include simple 
13majority or absentee ownership.
14 "Qualified service-disabled veteran" means a
veteran who 
15has been found to have 10% or more service-connected disability 
16by the United States Department of Veterans Affairs or the 
17United States Department of Defense.
18 "Qualified service-disabled veteran-owned small business" 
19or "SDVOSB" means a small business (i) that is at least 51% 
20owned by one or more qualified service-disabled veterans living 
21in Illinois or, in the case of a corporation, at least 51% of 
22the stock of which is owned by one or more qualified 
23service-disabled veterans living in Illinois; (ii) that has its 
24home office in Illinois; and (iii) for which items (i) and (ii) 
25are factually verified annually by the Department of Central 
26Management Services.
 
 
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1 "Qualified veteran-owned small business" or "VOSB" means a 
2small business (i) that is at least 51% owned by one or more 
3qualified veterans living in Illinois or, in the case of a 
4corporation, at least 51% of the stock of which is owned by one 
5or more qualified veterans living in Illinois; (ii) that has 
6its home office in Illinois; and (iii) for which items (i) and 
7(ii) are factually verified annually by the Department of 
8Central Management Services. 
9 "Service-connected disability" means a disability incurred 
10in the line of duty in the active military, naval, or air 
11service as described in 38 U.S.C. 101(16).
12 "Small business" means a business that has annual gross 
13sales of less than $75,000,000 as evidenced by the federal 
14income tax return of the business. A firm with gross sales in 
15excess of this cap may apply to the Department of Central 
16Management Services for certification for a particular 
17contract if the firm can demonstrate that the contract would 
18have significant impact on SDVOSB or VOSB as suppliers or 
19subcontractors or in employment of veterans or 
20service-disabled veterans.
21 "State agency" has the same meaning as in Section 2 of the 
22Business Enterprise for Minorities, Females, and Persons with 
23Disabilities Act. 
24 "Time of hostilities with a foreign country" means any 
25period of time in the past, present, or future during which a 
26declaration of war by the United States Congress has been or is 
 
 
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1in effect or during which an emergency condition has been or is 
2in effect that is recognized by the issuance of a Presidential 
3proclamation or a Presidential executive order and in which the 
4armed forces expeditionary medal or other campaign service 
5medals are awarded according to Presidential executive order. 
6 "Veteran" means a person who (i) has been a member of the 
7armed forces of the United States or, while a citizen of the 
8United States, was a member of the armed forces of allies of 
9the United States in time of hostilities with a foreign country 
10and (ii) has served under one or more of the following 
11conditions: (a) the veteran served a total of at least 6 
12months; (b) the veteran served for the duration of hostilities 
13regardless of the length of the engagement; (c) the veteran was 
14discharged on the basis of hardship; or (d) the veteran was 
15released from active duty because of a service connected 
16disability and was discharged under honorable conditions.
17 (f) Certification program. The Illinois Department of 
18Veterans' Affairs and the Department of Central Management 
19Services shall work together to devise a certification 
20procedure to assure that businesses taking advantage of this 
21Section are legitimately classified as qualified 
22service-disabled veteran-owned small businesses or qualified 
23veteran-owned small businesses. 

24 (g) Penalties.
25  (1) Administrative penalties. The Department of 
26 Central Management Services shall suspend any person who 
 
 
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1 commits a violation of Section 17-10.3 or subsection (d) of 
2 Section 33E-6 of the Criminal Code of 1961 or the Criminal 
3 Code of 2012 relating to this Section from bidding on, or 
4 participating as a contractor, subcontractor, or supplier 
5 in, any State contract or project for a period of not less 
6 than 3 years, and, if the person is certified as a 
7 service-disabled veteran-owned small business or a 
8 veteran-owned small business, then the Department shall 
9 revoke the business's certification for a period of not 
10 less than 3 years. An additional or subsequent violation 
11 shall extend the periods of suspension and revocation for a 
12 period of not less than 5 years. The suspension and 
13 revocation shall apply to the principals of the business 
14 and any subsequent business formed or financed by, or 
15 affiliated with, those principals.
16  (2) Reports of violations. Each State agency shall 
17 report any alleged violation of Section 17-10.3 or 
18 subsection (d) of Section 33E-6 of the Criminal Code of 
19 1961 or the Criminal Code of 2012 relating to this Section 
20 to the Department of Central Management Services. The 
21 Department of Central Management Services shall 
22 subsequently report all such alleged violations to the 
23 Attorney General, who shall determine whether to bring a 
24 civil action against any person for the violation.
25  (3) List of suspended persons. The Department of 
26 Central Management Services shall monitor the status of all 
 
 
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1 reported violations of Section 17-10.3 or subsection (d) of 
2 Section 33E-6 of the Criminal Code of 1961 or the Criminal 
3 Code of 2012 relating to this Section and shall maintain 
4 and make available to all State agencies a central listing 
5 of all persons that committed violations resulting in 
6 suspension.
7  (4) Use of suspended persons. During the period of a 
8 person's suspension under paragraph (1) of this 
9 subsection, a State agency shall not enter into any 
10 contract with that person or with any contractor using the 
11 services of that person as a subcontractor.
12  (5) Duty to check list. Each State agency shall check 
13 the central listing provided by the Department of Central 
14 Management Services under paragraph (3) of this subsection 
15 to verify that a person being awarded a contract by that 
16 State agency, or to be used as a subcontractor or supplier 
17 on a contract being awarded by that State agency, is not 
18 under suspension pursuant to paragraph (1) of this 
19 subsection. 
20(Source: P.A. 96-96, eff. 1-1-10; 97-260, eff. 8-5-11; 97-1150, 
21eff. 1-25-13.)


22 Section 99. Effective date. This Act takes effect upon 
23becoming law.".