2011 Legislative Report

CODES

At a Glance

v  SB 38, Plumbing-Rainwater Systems

v  HB 1612, Energy Efficient Building Inspector

v  FY11-Regional Superintendents Funding Elimination

Senate Bill 38 would establish a minimum code of standards for rainwater harvesting collection systems and rainwater harvesting distribution systems within the Illinois Plumbing License Law which would be adopted and published by the Illinois Department of Public Health by January 1, 2012.  It defines “rainwater harvesting collection system” and “rainwater harvesting distribution system” and would require the systems to be constructed in accordance with the Illinois Plumbing Code and used only for non-potable uses.  Senate Bill 38 passed the Senate and currently remains on First Reading in the House of Representatives.

House Bill 1612 amends the Energy Efficient Building Act by providing for an “Energy inspector” within the Capital Development Board.  This individual would be responsible for inspecting new residential and commercial construction and certifying that the construction meets the standards of the International Energy Conservation Code.   House Bill 1612 remains in the House of Representatives on First Reading.

During his 2011 Budget Address, Governor Quinn proposed removing state funding of Regional Offices of Education/Regional Superintendents and redirecting those funds back into the classroom.   Regional Offices of Education provide an essential service by visiting and inspecting each of the 4000 schools annually. They are responsible for all health and life safety, oversee and approve building permits, issue occupancy permits and have the power to condemn buildings if needed.  The General Assembly kept Regional Superintendent funding in the budget they passed in the spring but Governor Quinn vetoed that line item.  A solution is hoped for the Veto Session.

LICENSING

At a Glance

v  SB 1232, Interior Design Practice 

v  SB 1310, HB 1177 &  HB 1639, Interior Design Title Act-Sunset Extension

v  SB 1999, Swimming Facility Act 

Across the United States there has been great debate between Architects and Interior Designers regarding the right to practice for years.  Here in Illinois, we have been very fortunate that an agreement was reached ten years ago between Architects and Interior Designers which allowed for an extension of their current title act at the time.  With this agreement, the Interior Designers would be prohibited from introducing an upgrade to a practice act and in return Architects would not be allowed to try to repeal their title act.  This year marked the end of that agreement and Illinois saw a national campaign representing both sides.  There were several bills regarding Interior Design introduced this year including Senate Bill 1232.  This legislation would have allowed Interior Designers to move from a title act into a professional license with the capability to provided services pertaining to Health, Life and Safety.  Discussions were very difficult, but a new agreement was reached that would allow Interior Designers to move forward with the renewal of their current title act and prohibit them from introducing a professional licensing act for four years.  There were three bills that contained the Interior Design sunset language; SB 1310, HB 1177 and HB 1639.  Senate Bill 1310 was signed into law by Governor Quinn and became Public Act 97-0598.

Under a proposed amendment to Senate Bill 1999 the Illinois Department of Public Health, who now administers swimming pool regulation, would require Architects and Engineers to become Certified Swimming Facility Designers.  Certification of CSFDs would require 1) licensure as architect or engineer; 2) a training program and 3) passage of an examination developed by IDPH 4) Payment of an annual fee and 5) Continuing Education. This amendment also contains a plan resubmittal fee and provides enforcement and penalties for unspecified violations.  Single family residents and single units would be exempt.  Senate Bill 1999 remains in the Senate on Third Reading.   

LIVABLE COMMUNITIES

At a Glance

v  HB 3205 & HB 3414, Main Street Program

v  SB 1652, Renewable Energy Grid

v  SB 1657, Property Tax –Green Energy Special Service Area Bonds

The Illinois Main Street Program has been an important economic tool that has helped local officials, businesses and volunteers provide grassroots leadership, raise money and spearhead revitalization activities.  In fact, there are 51 designated Main Street Communities across the State which have all benefited from this program.    Introduced as House Bill 3205, the language was added by amendment to House Bill 3414.  This amended bill maintains the current program within the Department of Commerce and Economic Opportunity, establishes a framework for designating new Main Street Communities, and provides financial assistance for downtown and neighborhood commercial districts with revitalization initiatives.  House Bill 3414 was signed into law by Governor Quinn and became Public Act 97-0573

Senate Bill 1652 as according to proponents, removes barriers to help create a new, cleaner grid, develops additional markets for distributed renewable energy projects, and saves energy by cutting pollution with an efficiency program.  This legislation had a couple of environmental sweeteners put in before passing the House—net metering for large rooftop owners which could motivate solar and wind installations, a renewable energy portfolio standard set aside for small scale projects and an energy efficiency program for the Illinois Power Authority.  The General Assembly passed an override of the veto last week.

Senate Bill 1657 would allow the Illinois Finance Authority the power to purchase special service area bonds relating to public and private green special service area projects.  Those projects included any energy efficiency improvement, renewable energy improvement, or water use improvement.  This bill would allow counties and municipalities the power to establish, issue bonds and levy property taxes in connection with green special service areas.  Senate Bill 1657 remains on First Reading in the Senate.

PRACTICE MANAGEMENT

At a Glance

v  SB 132, Procurement- Competitive Sealed Bidding

v  HB 1698, Workers’ Compensation

Senate Bill 132 as proposed makes changes to the Illinois Procurement Code concerning Professional Engineering Services and how services shall be procured by competitive sealed bidding.  The area that we are most concerned with is the potential elimination of the Qualifications Based Selection process.  Currently, Senate Bill 132 remains on First Reading in the Senate.

To make Illinois a more attractive place for businesses, there were several comprehensive workers’ compensation bills introduced this session.  Through difficult negotiations, House Bill 1698 became the compromise legislation.  As amended, these changes will save companies more than $500 million and will reduce fees that businesses must pay to doctors by thirty percent.  House Bill 1698 requires that doctors must follow American Medical Association (AMA) guidelines for determining levels of disability and creates a list of criteria that the Workers’ Compensation Commission must consider when making final disability determinations.  This legislation also would increase the penalties for workers’ compensation fraud.  House Bill 1698 was signed into law as Public Act 97-0018

PROJECT DELIVERY

At a Glance

v  SB 1352, Single Prime Contracting

v  SB 1371, Procurement Policy Communication/QBS Process

v  HB 1504, Corrections, CDB & Energy Reductions

v  SB 2168 & HB 3582, Historic Rehab Tax Credit/River Edge Communities

v  SB 1801 & HB 1171, Historic Rehab Tax Credit

v  SB 1270, Design Professional Veterans Preference

v  SB 1312, Design-Build for Highway Construction

v  SB 1632, Local Government Energy Conservation

v  SB 0146, IDOT/Public Private Partnership

v  HR 120, University Energy Conservation

v  HB 2189, Capital Re-appropriations

v  Senate Procurement Committee

Since 2008, the Capital Development Board has utilized Single Prime Contracting which centralizes the project coordination responsibility after the design process to a single contractor, who would oversee the five subdivisions of the work to be performed.  Those subdivisions are plumbing; heating, piping, refrigeration, and automatic temperature control systems, including the testing and balancing of those systems; ventilating and distribution systems for conditioned air, including the testing and balancing of those systems; electric wiring; and general contract work.  It requires that successful bidders must be prequalified with CDB, the name of the subcontractor must be identified, if any, and the bid proposal costs for each of the 5 subdivisions of work set forth.  No identified subcontractor may be terminated without the written consent of the Capital Development Board.  Senate Bill 1352 extends Single Prime Contracting for an additional 2 years and increases the annual amount which the Capital Development Board may award in contracts to no more than $200,000,000.  Senate Bill 1352 was signed into law to become Public Act 97-0182.

Another bill which would make changes to the Illinois Procurement Code is Senate Bill 1371.  It provides that communications received by State employees regarding procurement matters that must be reported to the Procurement Policy Board do not include those related to the qualifications based selection process for architectural, engineering, and land surveying services and do not include those concerning procurement matters of $250,000 or less. Senate Bill 1371 remains in the Senate on First Reading.

House Bill 1504 provides that the Illinois Department of Corrections and the Capital Development Board would be able to enter into a contract with a qualified provider to reduce energy usage and carbon footprints of State correctional facilities. The best way to accomplish this is through targeted projects in the capital plan using design-bid-build, not energy performance contracting. Currently, House Bill 1504 remains on First Reading in the House of Representatives.

Both Senate Bill 2168 and House Bill 3582 would create a credit in an amount equal to 25% of qualified expenditures incurred by a qualified taxpayer during the taxable year in the restoration and preservation of a qualified historic structure located in a River Edge Redevelopment Zone pursuant to a qualified rehabilitation plan. This legislation defines “qualified taxpayer, “qualified historic structure”, and “qualified rehabilitation plan”. It also provides that the credit may be carried forward until the tenth taxable year after the qualified rehabilitation plan was placed in service.  Senate Bill 2168 and House Bill 3582 also amends the River Edge Redevelopment Zone Act by providing that the Department of Commerce and Economic Opportunity may certify one additional River Edge Redevelopment Zone in the City of Peoria until December 31, 2012, Senate Bill 2168 was sign into law as Public Act 97-0203, while House Bill 3582 remains on First Reading in the House of Representatives.

Two bills, Senate Bill 1801 and House Bill 1171, would create the Historic Rehabilitation Tax Credit Act which would be administered by the Department of Commerce and Economic Opportunity.  This legislation authorizes tax credits against Illinois income taxes and insurance company privilege taxes for 25% of the costs of rehabilitating eligible historic property. It would allow excess credits to be carried back and forward and credits to be transferred, sold, or assigned.   Both bills remain in their introduced Chamber on First Reading.

During the session, Senate Bill 1270 was amended to make it a goal of the State that service-disabled veteran-owned small businesses (SDVOSB) and veteran-owned small businesses (VOSB) participate in the State’s procurement process as prime contractors, subcontractors, and businesses contracted by the State to perform professional services in architecture or engineering.  As written, this legislation would have set aside 3% of the total dollar amount of State contracts as a goal to be awarded to SDVOSB and VOSB.  At this time, Senate Bill 1270 has been gutted of these changes.  Under its current form, the Illinois Department of Central Management Services will compile a report to the General Assembly which outlines both the number of SDVOSB and VOSB who submit bids and the total contracts entered into under the Illinois Procurement Code.

Senate Bill 1312 would allow the Department of Transportation to use the design-build delivery method for public projects.  This bill establishes the process for the Department to follow and provides procedures for the selection of the design-build entity.  We are concerned that this legislation was drafted by an out of state vendor who sells these services. A model law is on the books and is used by CDB and Public Building Commissions. IDOT should use the same process.  At this time, SB 1312 remains in the Senate on First Reading. 

Senate Bill 1632 as amended would allow public and nonpublic institutions of higher education to add automatic fire sprinkler systems to the list of approved energy conservation measures. The current list includes such projects as storm windows or doors; automated or computerized energy control systems; heating, ventilating, or air conditioning system modifications or replacements; lighting fixtures replacement or modification; and energy recovery systems.   Fire sprinkler systems have little to do with energy conservation and they should not be added through an energy performance contractor.  Senate Bill 1632 remains on First Reading in the Senate.

Senate Bill 146 would have allowed the Illinois Department of Transportation and the Illinois State Toll Highway to enter into Public-Private Partnership agreements with one or more private entities for the development, financing, and operation of transportation projects.  This legislation contains provisions regarding procurement, agreements, development, and operations standards for transportation projects, financial arrangements, acquisition of property, labor matters, law enforcement, property, powers, prohibitions, and other matters.  Senate Bill 146 remains on first reading in the Senate.

House Resolution 120 resolves that each public university in Illinois shall report to the General Assembly on its efforts with respect to the use of energy and water at its facilities and have a target goal of reducing its expense for power, gas, and water consumption by at least 15% within 2 years.  House Resolution 120 has been adopted.

In July, the Illinois Supreme Court upheld legislation allowing the $31 billion infrastructure plan passed by the General Assembly in 2009 to move forward.  The General Assembly did introduce HB 2189 which would have re-appropriated the funds for the program.  However with the Supreme Court ruling, this legislation is no longer needed.

An additional item which took place during the Session was the formation of the Senate Procurement Committee.  The Committee is charged with reviewing all aspects of the current procurement system.  Our Legislator of the Year, Senator Don Harmon was appointed its chair and asked for organizations to submit statements outlining items which were working well and those which need some improvement.  AIA Illinois submitted a letter which discussed some positive aspects of the current law and to highlight different areas of concern which need to be reviewed.  If you would like more information regarding the AIA Illinois letter please contact the AIA Illinois Staff.

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