SPRINGFIELD - Emphasizing the need to protect contractors in Illinois and reform Illinois’ retainage policies, State Senator Willie Preston championed a new law for contractors and subcontractors to receive the money they deserve.

“Hardworking individuals in Illinois should never have to question if they will get paid for their work,” said Preston (D-Chicago). “This law puts workers first and makes sure that contractors are receiving 100% pay for 100% work.”

Preston’s new law would permit state agencies to retain a percentage of payments due to a contractor or subcontractor only if they are not progressing on a project. Upon completion of the project, the agency must pay the contractor or subcontractor the money that was retained during the project.

“As a former contracting business owner, this fight is deeply personal to me and I want to tell you that if you are a small contractor, I will always stand up for you, fight for you, and advocate for you,” said Preston. “This law allows us to empower our minority small businesses and push for fairness for all contractors.”

House Bill 1224 was signed into law on Friday and goes into effect July 1, 2026.