Chicago tightens procurement standards for contractors

0
317

Chicago Construction News staff writer

Chicago Mayor Brandon Johnson has signed an executive order establishing new ethical procurement standards for companies seeking to do business with the city, including contractors and subcontractors.

Executive Order 2026-06 directs the city’s chief procurement officer to establish rules that could prohibit individuals and businesses with certain public integrity violations within the previous five years from entering into city contracts or subcontracts.

“Chicagoans work hard for their tax dollars, and they deserve to know those dollars are being used responsibly,” Johnson said. “This executive order is about raising the standard for who we do business with, increasing transparency, and making sure our purchasing power reflects the values of the people we serve.”

The executive order took effect immediately upon signing and filing with the Chicago City Clerk.

Prospective contractors will be required to certify that they comply with the standards and agree to continue complying throughout the term of a city contract. Violations could result in termination, suspension or debarment.

The order also establishes new disclosure requirements.

Within 60 days, contractors and subcontractors will be required to disclose certain information, including whether they have received more than $500,000 through contracts with government entities or law enforcement agencies during the previous five years and whether they have faced certain civil or administrative proceedings alleging excessive force, unlawful detention, unconstitutional policing, discrimination or other violations of federal or state civil rights laws.

Entities with more than $100,000 in city contracts also will be required to disclose workplace anti-discrimination and worker protection violations, board composition and charitable giving.

The city will make the disclosures public within 30 days of receiving them.

The order also establishes workplace notification requirements. Companies entering into new, renewed or extended city contracts will be required to notify employees working at Chicago workplaces of their rights under applicable workplace anti-discrimination laws, the Chicago Human Rights Ordinance and other workplace protections.

The city will develop additional guidance informing workers of their rights under workplace protections and the Fourth Amendment in situations involving potential immigration enforcement.

The executive order also creates an Ethical Procurement Standards Task Force to help develop additional criteria for evaluating vendor and contractor conduct.

Johnson will appoint up to 12 members with expertise in ethics, procurement integrity and the impacts of corruption and militarization on Chicago communities and the economy.

The task force will hold public hearings within 60 days of the order taking effect. Within 120 days, it will propose additional standards, including potential legislation or rulemaking, stronger whistleblower protections, worker-rights guidance and procedures for reviewing vendor compliance.

Within 150 days, the chief procurement officer will update relevant procurement rules, regulations and guidance to reflect the requirements of the order.

Chicago is the first major municipality in the country to join Not With Our Money, a national civic accountability initiative focused on public procurement, purchasing and pension dollars.

LEAVE A REPLY

Please enter your comment!
Please enter your name here