Business entity is defined in 30 ILCS 500/50-37 as any entity doing business for
profit, whether organized as a corporation, partnership, sole proprietorship, limited
liability company or partnership, or otherwise.
“Affiliated person” means (i) any person with any ownership interest or distributive
share of the bidding or contracting business entity in excess of 7.5%, (ii) executive
employees of the bidding or contracting business entity, and (iii) the spouse of
any such persons. “Affiliated person” does not include a person prohibited by federal
law from making contributions or expenditures in connection with a federal, state,
or local election.
“Affiliated entity” means (i) any corporate parent and each operating subsidiary
of the bidding or contracting business entity, (ii) each operating subsidiary of
the corporate parent of the bidding or contracting business entity, (iii) any organization
recognized by the United States Internal Revenue Service as a tax-exempt organization
described in Section 501(c) of the Internal Revenue Code of 1986 (or any successor
provision of federal tax law) established by the bidding or contracting business
entity, any affiliated entity of that business entity, or any affiliated person
of that business entity, or (iv) any political committee for which the bidding or
contracting business entity, or any 501(c) organization described in item (iii)
related to that business entity, is the sponsoring entity. “Affiliated entity” does
not include an entity prohibited by federal law from making contributions or expenditures
in connection with a federal, state or local election.
“Executive employee” means (i) the President, Chairman, or Chief Executive Officer
of a business entity and any other individual that fulfills equivalent duties as
the President, Chairman of the Board, or Chief Executive Officer of a business entity;
and (ii) any employee of a business entity whose compensation is determined directly,
in whole or in part, by the award or payment of contracts by a State agency to the
entity employing the employee. A regular salary that is paid irrespective of the
award or payment of a contract with a State agency shall not constitute “compensation”
under item (ii) of this definition. “Executive employee” does not include any person
prohibited by federal law from making contributions or expenditures in connection
with a federal, state, or local election.
Pursuant to Public Act 95-971, effective January 1, 2009, any business entity meeting
the above definition, whose existing State contracts, or whose bids or proposals
on State contracts exceed $50,000, must electronically register with the State Board
of Elections. For questions regarding who is required to register and what is to
be reported on the Registration Form, please review Public Act 95-971, as amended
by Public Act 96-0848, 97-0411 and 97-0895, the Board rules and regulations, and
the Fact Sheet currently posted on the Illinois Procurement Bulletin at
http://purchase.state.il.us. For further guidance, please contact the legal
counsel for your business entity or refer to the Act and the Administrative Rules
found on this site, to assist you in making that determination.