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Record #: O2017-3858   
Type: Ordinance Status: Passed
Intro date: 5/24/2017 Current Controlling Legislative Body: Committee on Budget and Government Operations
Final action: 6/28/2017
Title: Amendment of Municipal Code Section 2-92-250 regarding retainage requirements covering contract performances
Sponsors: Emanuel, Rahm
Topic: MUNICIPAL CODE AMENDMENTS - Title 2 - City Government & Administration - Ch. 92 Dept. of Purchases, Contracts & Supplies
Attachments: 1. O2017-3858.pdf
OFFICE OF THE MAYOR
CITY OF CHICAGO
RAHM EMANUEL
MAYOR
May 24, 2017










TO THE HONORABLE, THE CITY COUNCIL OF THE CITY OF CHICAGO


Ladies and Gentlemen:

At the.request of the Chief Procurement Officer, I transmit herewith an ordinance amending Chapter 2-92 of the Municipal Code regarding contract retainage requirements.

Your favorable consideration of this ordinance will be appreciated.

Mayor


Very truly yours,
ORDINANCE


BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CHICAGO:
SECTION 1. Section 2-92-250 of the Municipal Code of Chicago is hereby amended by deleting the language struck through and by inserting the language underscored, as follows:
2-92-250 Retainage to cover contract performance.
Every contract Except as otherwise provided in subsection (B), a contract for the construction of any public improvement or other public work shaH may include terms providing for retainage^ in an amount determined by Such terms may be included in such contracts when the chief procurement officer determines that their inclusion is in the best interest of the City, to reasonably ensure the contractor's proper and complete performance of the work covered by the contract and the contractor's complete compliance with the terms and conditions of the contract.
However, terms Terms providing for retainage shall not be included, unless the chief procurement officer determines their inclusion is in the best interest of the City contract is funded by a source that requires retainage, when:

The contract is federally funded and is subject to regulation governing prompt payment to disadvantaged business enterprise participants in the contractr-ef;
Quantities and delivery are indefinite at the time of advertisement and the contract will be paid on a unit price basis, basis; or
The contract provides for participation goals, as authorized by law, for minority-owned business enterprises or women-owned business enterprises, as these terms are defined in 2-92-670.
BC. When term...

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