How to sell to Illinois counties

Illinois has 102 counties. Section 5-1022 of the Counties Code sets the bidding rule for every county under 2,000,000 people, which is every county except Cook. It also covers elected officials in those counties who control their own office operations. Cook County follows its own ordinances. Other state laws add rules on prevailing wage, bonds, prompt payment and the hiring of architects and engineers.

At a glance

Who buys

Each county is governed by an elected county board, which awards contracts. See board of commissioners for the general idea. Many counties also have a purchasing director. Section 5-1022 also applies to elected county officials, such as the sheriff or clerk, who control their own office operations (55 ILCS 5/5-1022).

Goods and services

Purchases of services, materials, equipment or supplies over $30,000, other than professional services, must go to competitive bid (55 ILCS 5/5-1022). Exceptions:

• Emergencies, with county board authorization.
• Fast replacement of a disabled or damaged sheriff's patrol vehicle, with county board authorization.
• Contracts with the federal government, and used equipment or auction purchases where the board allows them by ordinance.
• Data processing and telecommunications equipment, software and services, when each order is $35,000 or less.

The statute sets no small-purchase or quote rule below $30,000, and no RFP procedure. Each county sets those in its own policy.

Construction and public works

Section 5-1022 covers services, materials, equipment and supplies. A separate county construction threshold and Highway Code rules for county road work were not confirmed. Check county policy and the solicitation.

Bonds. Public work costing over $50,000 requires a bond conditioned on completing the contract and paying for materials and labor, including subcontractors' work. The county sets the bond amount (30 ILCS 550/1). Counties may require bonds on smaller contracts. For contracts under $100,000 not paid with motor fuel tax, federal or state funds, a county may accept an irrevocable letter of credit instead (secondary: Saul Ewing summary of 30 ILCS 550/1).

Coming change: from June 1, 2027 until January 1, 2029, the threshold for local governments is over $150,000. From January 1, 2029 it is over $50,000 again (Public Act 104-0168).

Bid security. No statewide county rule was confirmed. Check the solicitation.

Notice and award

Bids are advertised in a newspaper published in the county or, if none, one of general circulation in the county. The section sets no number of insertions, no minimum days before opening and no website rule (55 ILCS 5/5-1022).

The contract goes to the lowest responsible bidder, judged on factors such as quality, conformity with specifications, suitability, support services, compatibility with existing equipment and delivery terms. The county may also consider whether a bidder takes part in a registered apprenticeship program. It may award to a private bidder even if a state-controlled enterprise bids lower (55 ILCS 5/5-1022).

Prevailing wage

The Prevailing Wage Act covers every county and all public works built or paid for in whole or part with public funds, with no minimum dollar amount (820 ILCS 130/2).

• The Illinois Department of Labor publishes rates for each county. The county puts them in the call for bids and the contract (820 ILCS 130/4).
• Contractors and subcontractors file certified payrolls by the 15th of each month for the prior month and keep records for 5 years (820 ILCS 130/5).

Getting paid

The Local Government Prompt Payment Act covers county bills:

• The county approves or disapproves a bill within 30 days after receiving it, or after receiving the goods or services if later. Testing can extend this to 60 days (50 ILCS 505/3).
• Approved bills are paid within 30 days of approval. Late payments earn interest of 1% per month (50 ILCS 505/4).
• On construction, the prime pays subcontractors within 15 days of receiving payment (secondary: Saul Ewing summary of 50 ILCS 505/9).

Retainage. Where the Bond Act requires a bond, retainage is capped at 10% until the job is 50% complete, then reduced to and held at no more than 5%, with the same limits for subcontractors, effective Jan. 1, 2024 (secondary: Saul Ewing summary of 30 ILCS 550/1). See retainage.

Cooperative purchasing and state contracts

Illinois has a Governmental Joint Purchasing Act (30 ILCS 525), but its terms for counties were not confirmed from official text. Ask the county whether it buys from state or cooperative contracts.

Preferences and required certifications

Counties may require bidders to certify they are not barred from contracting, and may void the contract if the certification is false. They may also require contractors and their affiliates to collect and remit Illinois Use Tax (55 ILCS 5/5-1022). Other preferences and certifications, such as in-state worker rules, steel rules, E-Verify or divestment forms, were not confirmed for counties. Check the solicitation.

Architects and engineers

The Local Government Professional Services Selection Act covers units of local government under 3,000,000 people, except home rule units (50 ILCS 510/3). Covered counties select architects, engineers and land surveyors on qualifications and may not request cost estimates in any form before choosing a firm to negotiate with (50 ILCS 510/5). A county may waive the process by resolution for emergencies or when fees are expected to be under $40,000, an amount adjusted each year for inflation (50 ILCS 510/8). The current adjusted amount was not confirmed.

Recent changes

• 2023-2025: Section 5-1022 amended by Public Acts 103-0286 (July 28, 2023), 103-0014 (Jan. 1, 2024), 103-0605 (July 1, 2024) and 103-0865 (Jan. 1, 2025).
• Jan. 1, 2024: Retainage capped at 10%, dropping to 5% at 50% completion, on bonded public work (secondary: Saul Ewing).
• June 1, 2027: Local bond threshold rises to over $150,000 until Jan. 1, 2029, then returns to over $50,000 (Public Act 104-0168).

Practical tips for Illinois

• Price prevailing wages into every public works bid, even small ones (820 ILCS 130/2).
• Send A/E qualifications, not fees, until the county picks your firm (50 ILCS 510/5).
• Track invoice dates. Approved bills unpaid after 30 days earn 1% a month (50 ILCS 505/4).
• Watch county board and committee agendas; many purchases are approved in committee first.
• Check Illinois counties for each county's bid platform, contacts and agendas.