(50 ILCS 105/3) (from Ch. 102, par. 3)
Sec. 3.
Prohibited interest in contracts.
(a) No person holding any office, either by election or
appointment under the laws or Constitution of this State, may be in any
manner financially interested directly
in
his own name or indirectly in
the name of any other person, association, trust, or corporation, in any
contract or the performance of any work in the making or letting of
which such officer may be called upon to act or vote. No such officer
may represent, either as agent or otherwise, any person, association,
trust, or corporation, with respect to any application or bid for any
contract or work in regard to which such officer may be called upon to
vote. Nor may any such officer take or receive, or offer to take or
receive, either directly or indirectly, any money or other thing of
value as a gift or bribe or means of influencing his vote or action in
his official character. Any contract made and procured in violation
hereof is void. This Section shall not apply to any person serving on an
advisory panel or commission or to any director serving on a hospital
district board as provided under subsection (a‑5) of Section 13 of the Hospital
District Law.
(b) However, any elected or appointed member of the governing body
may provide materials, merchandise, property, services, or labor, subject
to
the following provisions under either paragraph (1) or (2):
(1) If:
A. the contract is with a person, firm, partnership, |
|
association, corporation, or cooperative association in which such interested member of the governing body of the municipality has less than a 7 1/2% share in the ownership; and
|
|
B. such interested member publicly discloses the
|
|
nature and extent of his interest prior to or during deliberations concerning the proposed award of the contract; and
|
|
C. such interested member abstains from voting on
|
|
the award of the contract, though he shall be considered present for the purposes of establishing a quorum; and
|
|
D. such contract is approved by a majority vote of
|
|
those members presently holding office; and
|
|
E. the contract is awarded after sealed bids to the
|
|
lowest responsible bidder if the amount of the contract exceeds $1500, or awarded without bidding if the amount of the contract is less than $1500; and
|
|
F. the award of the contract would not cause the
|
|
aggregate amount of all such contracts so awarded to the same person, firm, association, partnership, corporation, or cooperative association in the same fiscal year to exceed $25,000.
|
|
(2) If:
A. the award of the contract is approved by a
|
|
majority vote of the governing body of the municipality provided that any such interested member shall abstain from voting; and
|
|
B. the amount of the contract does not exceed
|
|
C. the award of the contract would not cause the
|
|
aggregate amount of all such contracts so awarded to the same person, firm, association, partnership, corporation, or cooperative association in the same fiscal year to exceed $4,000; and
|
|
D. such interested member publicly discloses the
|
|
nature and extent of his interest prior to or during deliberations concerning the proposed award of the contract; and
|
|
E. such interested member abstains from voting on
|
|
the award of the contract, though he shall be considered present for the purposes of establishing a quorum.
|
|
(b‑5) In addition to the above exemptions, any elected or appointed
member
of the governing body may provide materials, merchandise, property, services,
or labor if:
A. the contract is with a person, firm, partnership,
|
|
association, corporation, or cooperative association in which the interested member of the governing body of the municipality, advisory panel, or commission has less than a 1% share in the ownership; and
|
|
B. the award of the contract is approved by a
|
|
majority vote of the governing body of the municipality provided that any such interested member shall abstain from voting; and
|
|
C. such interested member publicly discloses the
|
|
nature and extent of his interest before or during deliberations concerning the proposed award of the contract; and
|
|
D. such interested member abstains from voting on
|
|
the award of the contract, though he shall be considered present for the purposes of establishing a quorum.
|
|
(c) A contract for the procurement of public utility services by
a
public entity with a public utility company is not barred by this
Section by one or more members of the governing body of the public
entity being an officer or employee of the public utility company or
holding an ownership interest of no more than 7 1/2% in the public
utility company, or holding an ownership interest of any size if the public
entity is a municipality with a population of less than 7,500 and the public
utility's rates are approved by the Illinois Commerce Commission. An elected
or appointed member of the governing body of the public entity having such
an interest shall be deemed not to have a prohibited interest under this
Section.
(d) Notwithstanding any other provision of this Section or any
other
law to the contrary, until January 1, 1994, a member of
the city council of a municipality with a population under 20,000 may
purchase real estate from the municipality, at a price of not less than
100% of the value of the real estate as determined by a written MAI
certified appraisal or by a written certified appraisal of a State
certified or licensed real estate appraiser,
if the purchase is approved by a
unanimous vote of the city council members then holding office (except for
the member desiring to purchase the real estate, who shall not vote on the
question).
(e) For the purposes of this Section only, a municipal officer shall not
be deemed interested if the officer is an employee of a company or owns or
holds
an
interest of 1% or less in the municipal officer's individual name in a company,
or
both, that company is involved in the
transaction of business
with the municipality, and that company's stock is traded on a nationally
recognized securities market, provided the interested member: (i) publicly
discloses the fact that he or she is an employee or holds an interest of 1% or
less in a company before deliberation of the proposed award of the
contract; (ii) refrains from evaluating, recommending, approving, deliberating,
or otherwise participating in negotiation, approval, or both, of the contract,
work, or business; (iii) abstains from voting on the award of the contract
though he or she shall be considered present for purposes of establishing a
quorum; and (iv) the contract is approved by a majority vote of those members
currently holding office.
A municipal officer shall not be deemed interested if the officer owns or
holds an interest of 1% or less, not in the officer's individual name but
through a mutual fund, in a company, that company is involved in the
transaction
of business with the municipality, and that company's stock is traded on a
nationally recognized securities market.
(Source: P.A. 90‑197, eff. 1‑1‑98; 90‑364, eff, 1‑1‑98; 90‑655, eff.
7‑30‑98.)
|
(50 ILCS 105/3.1) (from Ch. 102, par. 3.1)
Sec. 3.1.
Before any contract relating to the ownership or use of real
property is entered into by and between the State or any local governmental
unit or any agency of either the
identity of every owner and beneficiary having any interest, real or
personal, in such property, and every member, shareholder, limited
partner,
or general partner entitled to receive
more than 7 1/2% of the total distributable income of any limited liability
company, corporation, or limited partnership having
any interest, real or personal, in such property must be disclosed. The
disclosure shall be in writing and shall
be subscribed by a member, owner, authorized trustee, corporate
official,
general partner,
or managing agent, or his or her authorized attorney, under oath.
However, if the interest, stock, or shares in a limited liability
company, corporation,
or general partnership is publicly traded and there is no readily known
individual having greater
than a 7 1/2% interest, then a statement to that
effect, subscribed to under oath by a member, officer of the
corporation,
general partner, or
managing agent, or his or her authorized attorney, shall fulfill the
disclosure statement
requirement of this
Section.
As a condition of
contracts entered
into on or after the effective date of this amendatory Act of 1995,
the beneficiaries of a lease shall furnish
the trustee of a trust subject to disclosure under this Section with a binding
non‑revocable letter of direction authorizing the trustee to provide the State
with an up‑to‑date disclosure whenever requested by the State. The letter of
direction shall be binding on beneficiaries' heirs, successors, and assigns
during the term of the contract.
This Section shall be liberally construed to accomplish the purpose of
requiring the identification of the actual parties benefiting from any
transaction with a governmental unit or agency involving the procurement of the
ownership or use of real property thereby.
For any entity that is wholly or partially owned by another entity, the
names of the owners of the wholly or partially owning entity shall be disclosed
under this Section, as well as the names of the owners of the wholly or
partially owned entity.
(Source: P.A. 91‑361, eff. 7‑29‑99.)
|