State of Illinois
2011 and 2012


Introduced 2/16/2012, by Rep. Jehan A. Gordon


105 ILCS 5/5-22  from Ch. 122, par. 5-22
105 ILCS 5/5-24  from Ch. 122, par. 5-24

    Amends the Trustees of Schools Article of the School Code. In provisions allowing a school board to sell property to another school district in the manner provided in the Local Government Property Transfer Act, specifies that another school district includes a charter school. In provisions concerning a petition requesting the sale of school grounds and buildings to another school district, specifies that another school district includes a charter school, and makes conforming changes. Effective immediately.

LRB097 20398 NHT 66097 b






HB5659LRB097 20398 NHT 66097 b

1    AN ACT concerning education.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The School Code is amended by changing Sections
55-22 and 5-24 as follows:
6    (105 ILCS 5/5-22)  (from Ch. 122, par. 5-22)
7    Sec. 5-22. Sales of school sites, buildings or other real
8estate. When in the opinion of the school board, a school site,
9or portion thereof, building, or site with building thereon, or
10any other real estate of the district, has become unnecessary
11or unsuitable or inconvenient for a school, or unnecessary for
12the uses of the district, the school board, by a resolution
13adopted by at least two-thirds of the board members, may sell
14or direct that the property be sold in the manner provided in
15the Local Government Property Transfer Act, or in the manner
16herein provided. Unless legal title to the land is held by the
17school board, the school board shall forthwith notify the
18trustees of schools or other school officials having legal
19title to such land of the terms upon which they desire the
20property to be sold. If the property is to be sold to another
21unit of local government or school district, including a
22charter school, the school board, trustees of schools, or other
23school officials having legal title to the land shall proceed



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1in the manner provided in the Local Government Property
2Transfer Act. In all other cases, except if the property is to
3be sold to a tenant that has leased the property for 10 or more
4years and that tenant is a non-profit agency, the school board,
5trustees of schools, or other school officials having legal
6title to the land shall, within 60 days after adoption of the
7resolution (if the school board holds legal title to the land),
8or within 60 days after the trustees of school or other school
9officials having legal title receive the notice (if the school
10board does not hold legal title to the land), sell the property
11at public sale, by auction or sealed bids, after first giving
12notice of the time, place, and terms thereof by notice
13published once each week for 3 successive weeks prior to the
14date of the sale if sale is by auction, or prior to the final
15date of acceptance of bids if sale is by sealed bids, in a
16newspaper published in the district or, if no such newspaper is
17published in the district, then in a newspaper published in the
18county and having a general circulation in the district;
19however, if territory containing a school site, building, or
20site with building thereon, is detached from the school
21district of which it is a part after proceedings have been
22commenced under this Section for the sale of that school site,
23building, or site with building thereon, but before the sale is
24held, then the school board, trustees of schools, or other
25school officials having legal title shall not advertise or sell
26that school site, building, or site with building thereon,



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1pursuant to those proceedings. The notices may be in the
2following form:
4    Notice is hereby given that on (insert date), the (here
5insert title of the school board, trustees of school, or other
6school officials holding legal title) of (county) (Township No.
7...., Range No. .... P.M. ....) will sell at public sale (use
8applicable alternative) (at ......... (state location of sale
9which shall be within the district), at .... ..M.,) (by taking
10sealed bids which shall be accepted until .... ..M., on (insert
11date), at (here insert location where bids will be accepted
12which shall be within the district) which bids will be opened
13at .... ..M. on (insert date) at (here insert location where
14bids will be opened which shall be within the district)) the
15following described property: (here describe the property),
16which sale will be made on the following terms to-wit: (here
17insert terms of sale)
(Here insert title of school
officials holding legal title)

23    For purposes of determining "terms of sale" under this
24Section, the General Assembly declares by this clarifying and
25amendatory Act of 1983 that "terms of sale" are not limited to



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1sales for cash only but include contracts for deed, mortgages,
2and such other seller financed terms as may be specified by the
3school board.
4    If a school board specifies a reasonable minimum selling
5price and that price is not met or if no bids are received, the
6school board may adopt a resolution determining or directing
7that the services of a licensed real estate broker be engaged
8to sell the property for a commission not to exceed 7%,
9contingent on the sale of the property within 120 days. If
10legal title to the property is not held by the school board,
11the trustees of schools or other school officials having legal
12title shall, upon receipt of the resolution, engage the
13services of a licensed real estate broker as directed in the
14resolution. The board may accept a written offer equal to or
15greater than the established minimum selling price for the
16described property. The services of a licensed real estate
17broker may be utilized to seek a buyer. If the board lowers the
18minimum selling price on the described property, the public
19sale procedures set forth in this Section must be followed. The
20board may raise the minimum selling price without repeating the
21public sale procedures.
22    In the case of a sale of property to a tenant that has
23leased the property for 10 or more years and that is a
24non-profit agency, an appraisal is required prior to the sale.
25If the non-profit agency purchases the property for less than
26the appraised value and subsequently sells the property, the



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1agency may retain only a percentage of the profits that is
2proportional to the percentage of the appraisal, plus any
3improvements made by the agency while the agency was the owner,
4that the agency paid in the initial sale. The remaining portion
5of the profits made by the non-profit agency shall revert to
6the school district.
7    The deed of conveyance shall be executed by the president
8and clerk or secretary of the school board, trustees of
9schools, or other school officials having legal title to the
10land, and the proceeds paid to the school treasurer for the
11benefit of the district; provided, that the proceeds of any
12such sale on the island of Kaskaskia shall be paid to the State
13Treasurer for the use of the district and shall be disbursed by
14him in the same manner as income from the Kaskaskia Commons
15permanent school fund. The school board shall use the proceeds
16from the sale first to pay the principal and interest on any
17outstanding bonds on the property being sold, and after all
18such bonds have been retired, the remaining proceeds from the
19sale next shall be used by the school board to meet any urgent
20district needs as determined under Sections 2-3.12 and 17-2.11
21and then for any other authorized purpose and for deposit into
22any district fund. But whenever the school board of any school
23district determines that any schoolhouse site with or without a
24building thereon is of no further use to the district, and
25agrees with the school board of any other school district
26within the boundaries of which the site is situated, upon the



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1sale thereof to that district, and agrees upon the price to be
2paid therefor, and the site is selected by the purchasing
3district in the manner required by law, then after the payment
4of the compensation the school board, township trustees, or
5other school officials having legal title to the land of the
6schools shall, by proper instrument in writing, convey the
7legal title of the site to the school board of the purchasing
8district, or to the trustees of schools for the use of the
9purchasing district, in accordance with law. The provisions of
10this Section shall not apply to any sale made pursuant to
11Section 5-23 or Section 5-24 or Section 32-4.
12(Source: P.A. 91-357, eff. 7-29-99; 92-365, eff. 8-15-01.)
13    (105 ILCS 5/5-24)  (from Ch. 122, par. 5-24)
14    Sec. 5-24. Sale to another school district or municipality.
15Whenever a petition is presented to the school board of a
16school district requesting the sale of school grounds and
17buildings to another school district, including a charter
18school, or other municipality, which petition is signed by 10%
19of the voters of the district, the school board of the district
20shall adopt a resolution for the sale of such school grounds
21and buildings, and fix the price therefor, and shall thereupon
22order the secretary to certify to the proper election
23authorities the proposition for submission to the voters of the
24district in accordance with the general election law; and if a
25majority of the votes cast upon the proposition are in favor of



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1the sale, then the school board, trustees of schools of the
2township in which the school district is located, or other
3school officials having legal title shall convey by its
4president and clerk or secretary, upon receipt of the purchase
5price, the property so to be sold; and the purchase price
6thereof shall be placed with the proper treasurer for the
7benefit of the school district so selling the property. The
8proposition shall be substantially in the following form:
10    Shall School District Number
11...., of.... County, Illinois,           YES
12sell to School District
13Number...., (or other municipality
14or charter school)  -----------------------------------------
15of.... County, Illinois,
16the following described property
17(here describe the ground)                NO
18for the sum of.... Dollars?
20(Source: P.A. 88-155.)
21    Section 99. Effective date. This Act takes effect upon
22becoming law.