Ill. Admin. Code tit. 44 § 4.5560

Current through Register Vol. 48, No. 45, November 8, 2024

Section 4.5560 - Suspension and Debarment

a) This Part applies to all debarments or suspensions of vendors from consideration for award of contracts under the Code. For purposes of this Part, all references to "vendors" includes subcontractors.

b) The CPO-HE may suspend a vendor from doing business with the university or with respect to specific types of supplies or services.

c) When the CPO-HE finds cause exists for suspension or debarment, a notice of suspension or debarment, including a copy of that determination, shall be sent to the suspended vendor. Notice shall be furnished in writing by personal service or by certified or registered mail, shall include the cause for the proposed suspension or debarment, and shall contain the legal authority and statement of the matters asserted or acts complained of upon which the allegations in the notice are based. Bids or proposals will not be solicited from the vendor and, if received, will not be considered during the period of suspension or debarment.

d) Acts or omissions that may be cause for suspension include, but are not limited to:

1) fraud, embezzlement, theft, collusion, conspiracy, anti-competitive activity or other misconduct and offenses prohibited by law, whether or not the misconduct or offense is in connection with a university contract or subcontract or any contract or subcontract requiring CPO-HE approval;

2) making a material false statement in an application for prequalification or in any forms or affidavits required as part of a prequalification or contracting process;

3) materially violating any rule or procurement procedure or making a material false statement in connection with any rules or procurement procedures of the CPO-HE;

4) making a material false statement, representation, claim or report respecting the character, quality or cost of any work performed or materials furnished in connection with a contract or subcontract;

5) doing business with a suspended contractor or subcontractor in connection with a contract or subcontract subject to the approval of the CPO-HE; or

6) being suspended or disbarred by another governmental entity.

e) Suspension may be imposed only for cause and in accordance with the procedures found in this Subpart.

1) The CPO-HE may suspend a vendor for a period of time commensurate with the seriousness of the offense, but for no more than 10 years.

2) The suspension will be effective seven calendar days after receipt of notice unless an objection is filed. If an objection is filed, suspension shall not become effective until the evaluation of the objection is completed.

3) The CPO-HE may immediately suspend a vendor or subcontractor prior to and during the pendency of a hearing under this Subpart if the CPO-HE finds that the facts and circumstances upon which the suspension cause is predicated are of such a nature as to require immediate action to safeguard the public interest in the solicitation, execution, administration or performance of contracts or subcontracts.

A) An interim suspension may be imposed pending the completion of an investigation of the causes for suspension.

B) Indictment upon charges evidencing a cause for suspension is a basis for an interim suspension. In cases involving interim suspension based upon indictment, the interim suspension may be imposed for a period of up to one year or until conclusion of the legal proceeding.

C) An interim suspension is effective immediately and will continue for a period established by the CPO-HE of up to 120 days unless terminated sooner by the CPO-HE. The CPO-HE may extend the duration of an interim suspension beyond 120 days to allow for completion of a hearing that was scheduled for commencement during the original 120-day interim suspension period.

f) The CPO-HE may debar a vendor. Debarment is the permanent suspension of a vendor from doing business with the State. A debarment may only take place in those instances involving bribery or attempted bribery of a State of Illinois officer or employee, or as otherwise allowed or required by law. Bids or proposals received from the debarred vendor or proposing the use of a debarred subcontractor will not be considered. The debarment will be effective seven calendar days after receipt of notice unless an objection is filed. If an objection is filed, debarment shall not become effective until the evaluation of the objection is completed.

g) The CPO-HE shall post the public record of suspensions and debarments on his or her webpage and on the Bulletin.

h) A vendor objecting to the suspension or debarment shall do so in writing, detailing why the action is not valid and providing any documents to support that position. The vendor may request a hearing. Any such hearing shall be conducted in accordance with Subpart U.

i) The CPO-HE shall maintain a master list of all suspensions and debarments. The master list shall retain information concerning suspensions and debarments as public records. The public information may be considered in determining responsibility.

j) A vendor or subcontractor may accept a status of nonparticipation or limited participation in university contracts or subcontracts pursuant to the terms of an administrative settlement.

k) In addition to all covered entities and affiliates, the suspension or disbarment also applies to any entity or affiliate that is formed or organized subsequent to the date a suspension or debarment action was entered. If the vendor or subcontractor named in the notice of suspension or debarment is a person, the suspension or debarment also applies to any other vendor or subcontractor:

1) in which the suspended or debarred person is an officer, director, manager or serves in any other substantial management or supervisory position, until the person is severed from that contractor or subcontractor; or

2) in which the suspended or debarred person has controlling legal or beneficial financial interest, until the suspended or debarred person's interests are divested.

l) Any suspended or debarred vendor or subcontractor, for the term of the suspension or debarment, is ineligible to participate as a vendor, subcontractor, material supplier or lessor of equipment on or in connection with contracts or subcontracts awarded or approved by a university.

Ill. Admin. Code tit. 44, § 4.5560

Added at 36 Ill. Reg. 10951, effective August 6, 2012

Amended at 40 Ill. Reg. 456, effective 1/15/2016

Amended at 43 Ill. Reg. 1781, effective 2/15/2019