IL HB2482

Increases the threshold for requiring public construction bonds from $50,000 to $5,000,000 for public work contracts.

Authorizes state officials, boards, commissions, and political subdivisions to create self-insured risk pools to cover claims arising from contractor failures on public works contracts valued at $5,000,000 or less.

Defines "self-insured risk pool" as a legal entity that allows public entities to collectively purchase claims administration services and excess insurance coverage for construction contract claims.

Permits the Department of Transportation to implement a 5-year pilot program allowing contractors on low-risk contracts under $500,000 to provide bank letters of credit in lieu of surety bonds.

Allows political subdivisions using non-state funds to accept irrevocable bank letters of credit instead of bonds for contracts under $100,000.