# Illinois SB0074: GOVT CONTRACT RETAINAGE

Illinois SB0074, GOVT CONTRACT RETAINAGE, is a 104th General Assembly (2025–2026) Senate bill sponsored by Willie Preston (Democratic); status in committee, last action 2025-04-11 (Senate Committee Amendment No. 1 Rule 3-9(a) / Re-referred to Assignments) (as of 2026-11-01).

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- As of: 2026-11-01
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## Facts
- Bill: Illinois SB0074
- State: Illinois
- Session: 104th General Assembly (2025–2026)
- Title: GOVT CONTRACT RETAINAGE
- Status: in committee
- Chamber: Senate
- Introduced: 2025-01-13
- Last action: 2025-04-11, Senate Committee Amendment No. 1 Rule 3-9(a) / Re-referred to Assignments
- Sponsor: Willie Preston (Democratic)
- Cosponsors: 3
- Subjects: assignments, executive
- Touches household money: no
- Economic provisions PRIA read: 0

## Summary

Creates the State Agency Retainage Act. Provides that, if a State agency determines that satisfactory progress has not been achieved by a contractor or subcontractor during any period for which a payment is to be made, a percentage of the payment may be retained by the State agency. Prohibits the amount of retainage under the Act from exceeding 10% of the approved estimated amount under the terms of the contract until the contract is 50% completed. Prohibits retainage of more than 5% of the contract for the duration of the contract. Authorizes retainage to be adjusted as the contract approaches completion to recognize better than expected performance, the ability to rely on alternative safeguards, and other factors. Further provides that on completion of all contract requirements, amounts retained under the Act must be paid promptly. Defines the terms "retainage" and "State agency". Amends the State Prompt Payment Act. Specifies that the State Prompt Payment Act does not apply to retainage withheld under the State Agency Retainage Act.

## Bill overview

No economic impacts identified for this bill.

## Sponsors and cosponsors

- Sponsor: Willie Preston (Democratic), Senate
- Cosponsor: Dave Syverson (Republican), Senate
- Cosponsor: Laura M. Murphy (Democratic), Senate
- Cosponsor: Seth Lewis (Republican), Senate

## Actions (17)

- 2025-04-11: Senate Committee Amendment No. 1 Rule 3-9(a) / Re-referred to Assignments (Senate)
- 2025-04-11: Rule 3-9(a) / Re-referred to Assignments (Senate)
- 2025-04-09: Senate Committee Amendment No. 2 Referred to Assignments (Senate)
- 2025-04-09: Senate Committee Amendment No. 2 Filed with Secretary by Sen. Willie Preston (Senate)
- 2025-04-03: Senate Committee Amendment No. 1 To Procurement (Senate)
- 2025-04-01: Senate Committee Amendment No. 1 Assignments Refers to Executive (Senate)
- 2025-03-31: Senate Committee Amendment No. 1 Referred to Assignments (Senate)
- 2025-03-31: Senate Committee Amendment No. 1 Filed with Secretary by Sen. Willie Preston (Senate)
- 2025-03-21: Rule 2-10 Committee Deadline Established As April 11, 2025 (Senate)
- 2025-02-19: To Procurement (Senate)
- 2025-02-19: Added as Co-Sponsor Sen. Laura M. Murphy (Senate)
- 2025-02-19: Added as Chief Co-Sponsor Sen. Seth Lewis (Senate)
- 2025-02-13: Added as Co-Sponsor Sen. Dave Syverson (Senate)
- 2025-01-22: Assigned to Executive (Senate)
- 2025-01-13: Referred to Assignments (Senate)
- 2025-01-13: First Reading (Senate)
- 2025-01-13: Filed with Secretary by Sen. Willie Preston (Senate)

## Bill text

- Introduced: [PDF](https://www.ilga.gov/documents/legislation/104/SB/PDF/10400SB0074.pdf)
- Senate Amendment 1: [PDF](https://www.ilga.gov/documents/legislation/104/SB/PDF/10400SB0074sam001.pdf)
- Senate Amendment 2: [PDF](https://www.ilga.gov/documents/legislation/104/SB/PDF/10400SB0074sam002.pdf)

## Related bills

- HB5198: AFFORDABLE HOUSING-CILAS (passed house)
- SB1937: PENSION CODE-VARIOUS (passed senate)
- HB2563: CONDO-RESERVE STUDY (in committee)
- HB4701: LIMITATIONS FACILITY FEES ACT (in committee)
- SB3008: DHS-ABLE PROGRAM INFO MATERIAL (passed senate)
- SB3484: VEH CD-PLATES-REGISTRATION (signed)

## Sources
- [Introduced (PDF)](https://www.ilga.gov/documents/legislation/104/SB/PDF/10400SB0074.pdf)
- [Senate Amendment 1 (PDF)](https://www.ilga.gov/documents/legislation/104/SB/PDF/10400SB0074sam001.pdf)
- [Senate Amendment 2 (PDF)](https://www.ilga.gov/documents/legislation/104/SB/PDF/10400SB0074sam002.pdf)

## Related
- [HB5198: AFFORDABLE HOUSING-CILAS](https://policyrisk.com/state-bill/IL-HB5198-2025-2026)
- [SB1937: PENSION CODE-VARIOUS](https://policyrisk.com/state-bill/IL-SB1937-2025-2026)
- [HB2563: CONDO-RESERVE STUDY](https://policyrisk.com/state-bill/IL-HB2563-2025-2026)
- [HB4701: LIMITATIONS FACILITY FEES ACT](https://policyrisk.com/state-bill/IL-HB4701-2025-2026)
- [SB3008: DHS-ABLE PROGRAM INFO MATERIAL](https://policyrisk.com/state-bill/IL-SB3008-2025-2026)
- [SB3484: VEH CD-PLATES-REGISTRATION](https://policyrisk.com/state-bill/IL-SB3484-2025-2026)
- [Illinois bills](https://policyrisk.com/states/illinois/bills)
- [Illinois state hub](https://policyrisk.com/states/illinois)
- [All state legislation](https://policyrisk.com/state-bills)

Source: PRIA, https://policyrisk.com/state-bill/IL-SB0074-2025-2026 (as of 2026-11-01).