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Announcement – Thursday, January 8, 2015
New Business Enterprise Act Changes – Public Act 99-0462
New Business Enterprise Act Changes – Public Act 99-0462
On August 25, 2015, Governor Rauner signed into law (SB 1334) Public Act 99-0462, which amends the Business Enterprise for Minorities, Females and Persons with Disabilities Act (“BEP Act”), effective immediately. Public Act 99-0462 amends the BEP Act regarding the use of businesses owned by minorities, females and persons with disabilities for the procurement of goods and services by State agencies, universities, and community colleges. The new law will apply to solicitations posted after August 25, 2015.
The key provisions are as follows:
·
An aspirational goal for contracts for construction and architectural and engineering services (A/E), for not less than 20% of State contracts.
·
A cure period not to exceed 10 days for A/E’s and construction contractors whose bids or proposals are otherwise responsive, but fail to meet the minority business enterprise (“MBE”) and/or female business enterprise (“FBE”) goals.
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It shall also be the policy of the Capital Development Board (“CDB”) to apply the 10-day cure provision to goals established for CMS certified veteran owned businesses (“VBE”).
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The deficiency in the bid or proposal may only be addressed, within 10 days of bid/submittal due date by:
a.
contracting with additional MBE/FBE/VBE firms,
b.
granting of waiver through the CDB Good Faith Effort process.
The CDB will notify A/E’s and construction contractors whose bids or proposals are being evaluated for responsiveness and fail to meet minority, female and veteran business goals. Those firms contacted will be given the opportunity to cure the deficiency by contracting with additional certified minority, female and veteran owned businesses. A waiver may be granted if an A/E or construction contractor provides acceptable evidence to CDB that a good faith effort was made to find sufficient minority, female, or veteran owned business enterprises willing and able to perform the work.
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