State of Illinois
91st General Assembly
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Public Act 91-0269

SB475 Enrolled                                 LRB9103479NTsb

    AN ACT to amend the School Code by changing Section 5-1.

    Be it enacted by the People of  the  State  of  Illinois,
represented in the General Assembly:

    Section  5.   The  School  Code  is  amended  by changing
Section 5-1 as follows:

    (105 ILCS 5/5-1) (from Ch. 122, par. 5-1)
    Sec. 5-1.  County school units.
    (a)  The territory  in  each  county,  exclusive  of  any
school  district  governed  by any special act which requires
the district to  appoint  its  own  school  treasurer,  shall
constitute  a county school unit. County school units of less
than 2,000,000 inhabitants shall be known as Class  I  county
school  units  and  the  office  of  township trustees, where
existing on July 1, 1962, in such units shall be abolished on
that date and all books and records of such  former  township
trustees  shall  be  forthwith  thereafter transferred to the
county board of  school  trustees.  County  school  units  of
2,000,000  or  more  inhabitants  shall  be known as Class II
county school units and shall retain the office  of  township
trustees unless otherwise provided in subsection (b) or (c).
    (b)  Notwithstanding  subsections (a) and (c), the school
board of any elementary school district having a  fall,  1989
aggregate  enrollment  of  at least 2,500 but less than 6,500
pupils and having boundaries that are  coterminous  with  the
boundaries of a high school district, and the school board of
any  high  school  district  having  a  fall,  1989 aggregate
enrollment of at least 2,500 but less than 6,500  pupils  and
having boundaries that are coterminous with the boundaries of
an elementary school district, may, whenever the territory of
such school district forms a part of a Class II county school
unit, by proper resolution withdraw such school district from
the  jurisdiction and authority of the trustees of schools of
the township in which such school  district  is  located  and
from the jurisdiction and authority of the township treasurer
in such Class II county school unit; provided that the school
board  of  any  such school district shall, upon the adoption
and passage of such resolution, thereupon  elect  or  appoint
its  own  school  treasurer as provided in Section 8-1.  Upon
the adoption and passage of such resolution and the  election
or  appointment  by  the  school  board  of  its  own  school
treasurer: (1) the trustees of schools in such township shall
no longer have or exercise any powers and duties with respect
to  the school district governed by such school board or with
respect to the school business, operations or assets of  such
school  district;  and  (2)  all  books  and  records  of the
township trustees relating to the school business and affairs
of such school district shall be transferred and delivered to
the school board of such school district.  Upon the effective
date of this amendatory Act of 1993, the legal title to,  and
all  right,  title and interest formerly held by the township
trustees in any school buildings and school  sites  used  and
occupied  by  the  school  board  of such school district for
school purposes, that legal title, right, title and  interest
thereafter  having  been  transferred  to  and  vested in the
regional board of school trustees under P.A. 87-473 until the
abolition of that regional board of school trustees  by  P.A.
87-969,  shall  be  deemed transferred by operation of law to
and shall vest in the school board of that school district.
    (c)  Notwithstanding the provisions  of  subsection  (a),
the  offices  of township treasurer and trustee of schools of
any township located in a Class II county school  unit  shall
be  abolished  as  provided  in this subsection if all of the
following conditions are met:
         (1)  During the same  30  day  period,  each  school
    board of each elementary and unit school district that is
    subject to the jurisdiction and authority of the township
    treasurer  and  trustees  of  schools  of the township in
    which those offices are  sought  to  be  abolished  gives
    written   notice   by   certified  mail,  return  receipt
    requested to  the  township  treasurer  and  trustees  of
    schools  of that township of the date of a meeting of the
    school board, to be held not more than 90 nor  less  than
    60 days after the date when the notice is given, at which
    meeting the school board is to consider and vote upon the
    question  of  whether  there  shall  be  submitted to the
    electors of the school district a proposition to  abolish
    the  offices of township treasurer and trustee of schools
    of that township.  None of the notices given  under  this
    paragraph  to  the  township  treasurer  and  trustees of
    schools of a township shall be deemed  sufficient  or  in
    compliance with the requirements of this paragraph unless
    all  of  those  notices  are given within the same 30 day
    period.
         (2)  Each school board of each elementary  and  unit
    school  district  that is subject to the jurisdiction and
    authority of  the  township  treasurer  and  trustees  of
    schools of the township in which those offices are sought
    to  be  abolished,  by the affirmative vote of at least 5
    members of the school board at a school board meeting  of
    which  notice  is  given  as required by paragraph (1) of
    this  subsection,  adopts  a  resolution  requiring   the
    secretary  of  the  school board to certify to the proper
    election authorities for submission to  the  electors  of
    the  school  district at the next nonpartisan election in
    accordance with the general election law a proposition to
    abolish the offices of township treasurer and trustee  of
    schools of that township. None of the resolutions adopted
    under  this  paragraph  by  any elementary or unit school
    districts  that  are  subject  to  the  jurisdiction  and
    authority of  the  township  treasurer  and  trustees  of
    schools of the township in which those offices are sought
    to  be  abolished  shall be deemed in compliance with the
    requirements of this paragraph or sufficient to authorize
    submission of the proposition to abolish those offices to
    a referendum of the electors in any such school  district
    unless  all of the school boards of all of the elementary
    and  unit  school  districts  that  are  subject  to  the
    jurisdiction and authority of the township treasurer  and
    trustees  of  schools  of  that  township  adopt  such  a
    resolution  in  accordance  with  the  provisions of this
    paragraph.
         (3)  The school boards of all of the elementary  and
    unit   school   districts   that   are   subject  to  the
    jurisdiction and authority of the township treasurer  and
    trustees  of  schools  of  the  township  in  which those
    offices are sought to be abolished submit  a  proposition
    to  abolish the offices of township treasurer and trustee
    of schools of that township  to  the  electors  of  their
    respective  school  districts  at  the  same  nonpartisan
    election in accordance with the general election law, the
    ballot  in  each such district to be in substantially the
    following form:
                       OFFICIAL BALLOT
              Shall the offices of township
              treasurer and                       YES
              trustee of                      ---------------
              schools of Township .....           NO
              Range ..... be abolished?
         (4)  At  the  nonpartisan  election  at  which   the
    proposition  to abolish the offices of township treasurer
    and trustee of schools of a township is submitted to  the
    electors of each elementary and unit school district that
    is  subject  to  the  jurisdiction  and  authority of the
    township  treasurer  and  trustee  of  schools  of   that
    township,  a  majority  of  the  electors  voting  on the
    proposition in  each  such  elementary  and  unit  school
    district  votes  in favor of the proposition as submitted
    to them.
    If in each elementary and unit school  district  that  is
subject  to  the  jurisdiction  and authority of the township
treasurer and trustees of schools of the  township  in  which
those  offices  are  sought to be abolished a majority of the
electors in each such  district  voting  at  the  nonpartisan
election  on  the  proposition  to  abolish  the  offices  of
township  treasurer  and  trustee of schools of that township
votes in favor of the proposition as submitted to  them,  the
proposition  shall  be  deemed  to have passed; but if in any
such elementary or unit school district  a  majority  of  the
electors voting on that proposition in that district fails to
vote  in  favor of the proposition as submitted to them, then
notwithstanding the vote of the electors in  any  other  such
elementary  or  unit  school district on that proposition the
proposition shall not be deemed to  have  passed  in  any  of
those elementary or unit school districts, and the offices of
township  treasurer and trustee of schools of the township in
which those offices were sought to be abolished shall not  be
abolished, unless in each of those elementary and unit school
districts remaining subject to the jurisdiction and authority
of  the  township  treasurer  and trustees of schools of that
township proceedings are again  initiated  to  abolish  those
offices  and all of the proceedings and conditions prescribed
in paragraphs (1) through (4) of this subsection are repeated
and  met  in  each  of  those  elementary  and  unit   school
districts.
    Notwithstanding  the foregoing provisions of this Section
or any other provision of the School  Code,  the  offices  of
township  treasurer and trustee of schools of a township that
has a population of less than 200,000  and  that  contains  a
unit  school  district  and  is  located in a Class II county
school unit shall also  be  abolished  as  provided  in  this
subsection  if  all of the conditions set forth in paragraphs
(1), (2), and (3) of this  subsection  are  met  and  if  the
following additional condition is met:
         The  electors in all of the school districts subject
    to  the  jurisdiction  and  authority  of  the   township
    treasurer  and  trustees  of  schools  of the township in
    which those offices are sought to be abolished shall vote
    at the nonpartisan election on the proposition to abolish
    the offices of township treasurer and trustee of  schools
    of  that  township.  If a majority of the electors in all
    of  the  school  districts   combined   voting   on   the
    proposition  vote  in  favor of the proposition, then the
    proposition shall be deemed to  have  passed;  but  if  a
    majority of the electors voting on the proposition in all
    of  the  school  district  fails  to vote in favor of the
    proposition as submitted to them,  then  the  proposition
    shall  not  be  deemed  to have passed and the offices of
    township treasurer and trustee of schools of the township
    in which those offices were sought to be abolished  shall
    not  be  abolished,  unless  and  until  the  proceedings
    detailed in paragraphs (1) through (3) of this subsection
    and the conditions set forth in this paragraph are met.
    If  the  proposition  to  abolish the offices of township
treasurer and trustee of schools of a township is  deemed  to
have  passed  at the nonpartisan election as provided in this
subsection,  those  offices  shall  be  deemed  abolished  by
operation of law effective on July 1  of  the  calendar  year
immediately   following  the  calendar  year  in  which  that
nonpartisan election is held. On July 1 of the calendar  year
in  which  the  offices  of township treasurer and trustee of
schools of a township are deemed abolished  by  operation  of
law,  the  school  board  of  each elementary and unit school
district and the school board of each  high  school  district
that  is  subject  to  the  jurisdiction and authority of the
township treasurer and trustees of schools of  that  township
at  the  time  those offices are abolished: (i) shall appoint
its own school treasurer as provided in Section 8-1; and (ii)
unless the term of  the  contract  of  a  township  treasurer
expires  on the date that the office of township treasurer is
abolished, shall pay to the  former  township  treasurer  its
proportionate  share of any aggregate compensation that, were
the office of township treasurer not abolished on July  1  of
that  calendar  year,  would  have been payable to the former
township treasurer after that date over the remainder of  the
term  of  the  contract of the former township treasurer that
began prior to but ends after that date. In addition, on July
1 of the calendar year  in  which  the  offices  of  township
treasurer  and  trustee  of  schools of a township are deemed
abolished as provided in this subsection, the school board of
each elementary school, high school and unit school  district
that  until  that  date  is  subject  to the jurisdiction and
authority of the township treasurer and trustees  of  schools
of  that township shall be deemed by operation of law to have
agreed and assumed to pay and, when determined, shall pay  to
the  Illinois Municipal Retirement Fund a proportionate share
of the unfunded liability existing in that Fund on July 1  of
that  calendar  year for all annuities or other benefits then
or thereafter to become payable from that Fund  with  respect
to  all  periods of service performed prior to that date as a
participating employee in that Fund by persons serving during
those periods of service as a trustee  of  schools,  township
treasurer  or  regular employee in the office of the township
treasurer of that township.  That unfunded liability shall be
actuarially determined  by  the  board  of  trustees  of  the
Illinois Municipal Retirement Fund, and the board of trustees
shall  thereupon  notify  each school board required to pay a
proportionate  share  of  that  unfunded  liability  of   the
aggregate amount of the unfunded liability so determined. The
amount  so  paid to the Illinois Municipal Retirement Fund by
each of those school  districts  shall  be  credited  to  the
account  of  the  township  in that Fund. For each elementary
school, high  school  and  unit  school  district  under  the
jurisdiction  and  authority  of  a  township  treasurer  and
trustees  of schools of a township in which those offices are
abolished  as  provided  in  this   subsection,   each   such
district's  proportionate share of the aggregate compensation
payable to the former township treasurer as provided in  this
paragraph and each such district's proportionate share of the
aggregate  amount  of  the  unfunded liability payable to the
Illinois  Municipal  Retirement  Fund  as  provided  in  this
paragraph shall be computed in accordance with the ratio that
the number of pupils in average daily attendance in each such
district as reported  in  schedules  prepared  under  Section
24-19  for  the  school year last ending prior to the date on
which the  offices  of  township  treasurer  and  trustee  of
schools of that township are abolished bears to the aggregate
number  of pupils in average daily attendance in all of those
districts as so reported for that school year.
    Upon abolition of the offices of township  treasurer  and
trustee  of  schools  of  a  township  as  provided  in  this
subsection: (i) the regional board of school trustees, in its
corporate capacity, shall be deemed the successor in interest
to  the  former  trustees  of  schools  of that township with
respect to the common  school  lands  and  township  loanable
funds  of  the  township;  (ii) all right, title and interest
existing or vested in the former trustees of schools of  that
township  in  the  common  school lands and township loanable
funds of the township, and all  records,  moneys,  securities
and  other  assets,  rights  of property and causes of action
pertaining to or constituting a part of those  common  school
lands or township loanable funds, shall be transferred to and
deemed  vested  by  operation of law in the regional board of
school trustees, which shall hold legal title to, manage  and
operate  all  common school lands and township loanable funds
of the  township,  receive  the  rents,  issues  and  profits
therefrom,  and  have  and  exercise with respect thereto the
same powers and duties as are provided by  this  Code  to  be
exercised  by  regional boards of school trustees when acting
as township land commissioners in counties  having  at  least
220,000  but  fewer  than  2,000,000  inhabitants;  (iii) the
regional board of school trustees shall select  to  serve  as
its  treasurer  with  respect  to the common school lands and
township loanable funds of the township a person from time to
time also serving as the appointed school  treasurer  of  any
school  district  that  was  subject  to the jurisdiction and
authority of the township treasurer and trustees  of  schools
of  that  township  at the time those offices were abolished,
and the person selected to also serve  as  treasurer  of  the
regional board of school trustees shall have his compensation
for  services in that capacity fixed by the regional board of
school trustees, to be paid from the township loanable funds,
and shall make to the regional board of school  trustees  the
reports  required  to  be made by treasurers of township land
commissioners,  give  bond  as  required  by  treasurers   of
township  land  commissioners,  and  perform  the  duties and
exercise  the  powers  of   treasurers   of   township   land
commissioners;  (iv)  the  regional  board of school trustees
shall designate  in  the  manner  provided  by  Section  8-7,
insofar  as  applicable,  a depositary for its treasurer, and
the proceeds of all rents, issues and profits from the common
school lands and township loanable  funds  of  that  township
shall  be  deposited  and  held in the account maintained for
those purposes with that depositary and shall be expended and
distributed therefrom as provided in Section 15-24 and  other
applicable provisions of this Code; and (v) whenever there is
vested  in  the trustees of schools of a township at the time
that office is abolished  under  this  subsection  the  legal
title  to  any  school  buildings  or  school  sites  used or
occupied for school purposes by any elementary  school,  high
school  or  unit  school district subject to the jurisdiction
and authority of those trustees of school at  the  time  that
office   is  abolished,  the  legal  title  to  those  school
buildings and school sites shall  be  deemed  transferred  by
operation  of law to and invested in the school board of that
school district, in its corporate capacity Section 7-28,  the
same   to  be  held,  sold,  exchanged  leased  or  otherwise
transferred in accordance with applicable provisions of  this
Code.
    Notwithstanding Section 2-3.25g of this Code, a waiver of
a   mandate   established  under  this  Section  may  not  be
requested.
(Source: P.A. 88-155; 89-560, eff. 7-26-96.)

    Section 99.  Effective date.  This Act takes effect  upon
becoming law.

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