GOVERNOR PRITZKER SIGNS A LOCAL GOVERNMENT SUPPLIER DIVERSITY INITIATIVE INTO LAW: HB453

The next step in inclusion and diversity in local government procurement

In order to start local governments down the path of inclusive procurement, HB453 begins with data. Currently, a few local governments collect any data on whether their vendors and subcontractors are minority-owned, women-owned, veteran-owned or not. The lack of any data collection means we don’t know whether local governments are investing in diverse vendors but it also means the municipalities cannot begin to do the constitutionally-required disparity study to determine whether any goals (like the federal and state governments use in procurement) are justified. 

Previous General Assemblies have debated legislation that would mandate local governments to set up goals for diverse vendors which would trigger disparity studies first that are often expensive. 

This is a great start to establishing a successful diversity program. Understanding the level and the degree to which diverse businesses participate in contracts will set the framework to developing and ultimately launching a robust contracting process that is inclusive, equitable and diverse based on the availability of businesses,” said Jackie Gomez, Executive Director of HACIA. 

This year, the stakeholders have agreed to start with data collection, where local governments shall make a good faith effort to collect from their vendors (and they from their subcontractors) whether they are minority-, woman- and/or veteran-owned. The local government would then publish that data on their website with the amount of the contract and the relevant procurement code so residents and policymakers can see the percentage of spend in each procurement category. 

“Today we celebrate another milestone in our collective efforts to improve business opportunities for diverse vendors in Illinois as Governor Pritzker signs HB453 into law. I would like to commend and express our deep gratitude to Rep. Will Davis and Sen. Napoleon Harris, III for their leadership and steadfast support in advancing HB453. We look forward to a collaborative, meaningful and effective implementation of this important new law by every local government — school districts, park districts, counties, municipalities — that have a tax levy of over $5M across the state” said HACIA Board President, Ivan Solis. “At HACIA, our advocacy work continues as we chip away at barriers of entry and the old way of doing business and we invite other elected officials, units of government, non-profits and the private sector to fully embrace and support opening up new gateways for diverse-owned businesses to become key components in their supply chains.”

We are gratefully to the chief sponsors of this bill Rep. Will Davis and Sen. Napoleon Harris for championing this bill and to Gov. J.B. Pritzker for his support on this critical piece of legislation.  

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