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92nd General Assembly

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Public Act 92-0568

HB3776 Enrolled                                LRB9212196NTpk

    AN ACT concerning education.

    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
Sections 1D-1,  14-7.02,  14-7.02a,  14-13.01,  and  29-5  as
follows:

    (105 ILCS 5/1D-1)
    Sec. 1D-1.  Block grant funding.
    (a)  For   fiscal   year   1996   and  each  fiscal  year
thereafter, the State Board of Education  shall  award  to  a
school   district   having  a  population  exceeding  500,000
inhabitants  a  general  education   block   grant   and   an
educational  services  block grant, determined as provided in
this  Section,  in  lieu  of  distributing  to  the  district
separate  State  funding  for  the  programs   described   in
subsections  (b)  and  (c).   The provisions of this Section,
however, do not apply to any federal funds that the  district
is  entitled  to receive.  In accordance with Section 2-3.32,
all block grants are subject to an audit.   Therefore,  block
grant receipts and block grant expenditures shall be recorded
to the appropriate fund code for the designated block grant.
    (b)  The  general education block grant shall include the
following programs: REI Initiative, Summer Bridges, Preschool
At Risk, K-6 Comprehensive Arts, School Improvement  Support,
Urban   Education,   Scientific   Literacy,  Substance  Abuse
Prevention,  Second  Language  Planning,  Staff  Development,
Outcomes and Assessment, K-6  Reading  Improvement,  Truants'
Optional Education, Hispanic Programs, Agriculture Education,
Gifted  Education, Parental Education, Prevention Initiative,
Report  Cards,  and   Criminal   Background   Investigations.
Notwithstanding  any other provision of law, all amounts paid
under  the  general  education   block   grant   from   State
appropriations  to  a  school  district  in  a  city having a
population   exceeding   500,000   inhabitants    shall    be
appropriated  and  expended by the board of that district for
any of the programs included in the block grant or any of the
board's lawful purposes.
    (c)  The educational services block grant  shall  include
the  following  programs:  Bilingual,  Regular and Vocational
Transportation,  State  Lunch  and  Free  Breakfast  Program,
Special Education (Personnel, Extraordinary,  Transportation,
Orphanage,   Private  Tuition),  Summer  School,  Educational
Service   Centers,   and   Administrator's   Academy.    This
subsection  (c)  does  not  relieve  the  district   of   its
obligation  to  provide the services required under a program
that is included within the educational services block grant.
It is the intention of the General Assembly in  enacting  the
provisions  of this subsection (c) to relieve the district of
the  administrative  burdens  that  impede   efficiency   and
accompany   single-program  funding.   The  General  Assembly
encourages the board to pursue mandate  waivers  pursuant  to
Section 2-3.25g.
    (d)  For   fiscal   year   1996   and  each  fiscal  year
thereafter, the amount of the district's block  grants  shall
be  determined  as  follows: (i) with respect to each program
that is included within each block grant, the district  shall
receive an amount equal to the same percentage of the current
fiscal  year  appropriation  made  for  that  program  as the
percentage of the appropriation received by the district from
the 1995 fiscal year appropriation made for that program, and
(ii) the total amount that is  due  the  district  under  the
block  grant  shall  be the aggregate of the amounts that the
district is entitled to receive  for  the  fiscal  year  with
respect  to  each  program  that is included within the block
grant that the State  Board  of  Education  shall  award  the
district  under  this  Section  for that fiscal year.  In the
case of  the  Summer  Bridges  program,  the  amount  of  the
district's block grant shall be equal to 44% of the amount of
the current fiscal year appropriation made for that program.
    (e)  The district is not required to file any application
or  other claim in order to receive the block grants to which
it is entitled under  this  Section.    The  State  Board  of
Education  shall make payments to the district of amounts due
under the district's block grants on a schedule determined by
the State Board of Education.
    (f)  A school district  to  which  this  Section  applies
shall  report  to  the State Board of Education on its use of
the block grants in such form and detail as the  State  Board
of Education may specify.
    (g)  This  paragraph  provides for the treatment of block
grants under Article  1C  for  purposes  of  calculating  the
amount  of  block  grants  for a district under this Section.
Those block grants under Article 1C IC are, for this purpose,
treated as included in the amount of  appropriation  for  the
various  programs  set  forth  in  paragraph  (b) above.  The
appropriation in each current  fiscal  year  for  each  block
grant under Article 1C shall be treated for these purposes as
appropriations  for  the  individual program included in that
block grant.  The proportion of each block grant so allocated
to each such program included in it shall be  the  proportion
which   the   appropriation  for  that  program  was  of  all
appropriations for such purposes now in that block grant,  in
fiscal 1995.
    Payments  to  the school district under this Section with
respect  to  each  program  for  which  payments  to   school
districts generally, as of the date of this amendatory Act of
the 92nd General Assembly, are on a reimbursement basis shall
continue to be made to the district on a reimbursement basis,
pursuant  to  the  provisions  of  this  Code governing those
programs.
    (h)  Notwithstanding any  other  provision  of  law,  any
school  district  receiving  a block grant under this Section
may classify all or a portion of the funds that  it  receives
in  a  particular fiscal year from any block grant authorized
under this Code or from general State aid pursuant to Section
18-8.05 of this Code (other than supplemental  general  State
aid) as funds received in connection with any funding program
for  which  it is entitled to receive funds from the State in
that fiscal year (including, without limitation, any  funding
program  referred  to  in  subsection  (c)  of this Section),
regardless of the source  or  timing  of  the  receipt.   The
district  may  not  classify  more funds as funds received in
connection with the funding  program  than  the  district  is
entitled  to  receive  in  that fiscal year for that program.
Any classification by a district must be made by a resolution
of its board of education.  The resolution must identify  the
amount  of  any  block  grant  or  general  State  aid  to be
classified under this subsection (h)  and  must  specify  the
funding  program  to  which  the  funds  are to be treated as
received  in  connection  therewith.   This   resolution   is
controlling  as  to  the  classification  of funds referenced
therein.  A certified copy of the resolution must be sent  to
the  State  Superintendent of Education. The resolution shall
still take effect even though a copy of  the  resolution  has
not  been  sent to the State Superintendent of Education in a
timely manner.  No classification under this  subsection  (h)
by  a  district  shall  affect  the total amount or timing of
money the district is entitled to receive  under  this  Code.
No  classification  under  this  subsection (h) by a district
shall in any way relieve the  district  from  or  affect  any
requirements  that  otherwise would apply with respect to the
block grant  as  provided  in  this  Section,  including  any
accounting  of  funds  by  source,  reporting expenditures by
original  source  and  purpose,  reporting  requirements,  or
requirements of provision of services.
(Source: P.A. 90-566,  eff.  1-2-98;  90-653,  eff.  7-29-98;
91-711, eff. 7-1-00; revised 12-04-01.)

    (105 ILCS 5/14-7.02) (from Ch. 122, par. 14-7.02)
    Sec. 14-7.02.  Children attending private schools, public
out-of-state schools, public school residential facilities or
private  special  education facilities.  The General Assembly
recognizes  that  non-public  schools  or  special  education
facilities provide an important service  in  the  educational
system in Illinois.
    If because of his or her disability the special education
program  of a district is unable to meet the needs of a child
and  the  child  attends  a  non-public  school  or   special
education facility, a public out-of-state school or a special
education  facility owned and operated by a county government
unit that provides special educational services  required  by
the child and is in compliance with the appropriate rules and
regulations  of  the  State  Superintendent of Education, the
school district in which the child is a  resident  shall  pay
the  actual cost of tuition for special education and related
services provided during the regular school term  and  during
the  summer  school  term if the child's educational needs so
require,  excluding  room,  board  and  transportation  costs
charged the  child  by  that  non-public  school  or  special
education  facility,  public  out-of-state  school  or county
special education facility, or $4,500 per year, whichever  is
less,  and  shall  provide  him any necessary transportation.
"Nonpublic  special  education  facility"  shall  include   a
residential   facility,   within  or  without  the  State  of
Illinois,  which  provides  special  education  and   related
services  to meet the needs of the child by utilizing private
schools or public schools, whether located on the site or off
the site of the residential facility.
    The State Board of Education shall promulgate  rules  and
regulations  for  determining  when  placement  in  a private
special education facility is appropriate.   Such  rules  and
regulations  shall  take  into  account  the various types of
services needed by a  child  and  the  availability  of  such
services  to  the  particular  child in the public school. In
developing these rules and regulations  the  State  Board  of
Education   shall   consult  with  the  Advisory  Council  on
Education of  Children  with  Disabilities  and  hold  public
hearings  to  secure  recommendations  from  parents,  school
personnel, and others concerned about this matter.
    The  State Board of Education shall also promulgate rules
and regulations for transportation to and from a  residential
school.  Transportation  to  and  from  home to a residential
school more than once each school term shall  be  subject  to
prior approval by the State Superintendent in accordance with
the rules and regulations of the State Board.
    A  school  district  making  tuition payments pursuant to
this Section is eligible for reimbursement from the State for
the amount of such payments actually made in  excess  of  the
district per capita tuition charge for students not receiving
special  education  services.  Such  reimbursement  shall  be
approved   in  accordance  with  Section  14-12.01  and  each
district shall file its claims, computed in  accordance  with
rules  prescribed  by  the State Board of Education, on forms
prescribed by the State Superintendent  of  Education.   Data
used  as  a  basis  of  reimbursement claims shall be for the
preceding regular school term and summer school  term.   Each
school  district shall transmit its claims to the State Board
of Education on or before August  15.   The  State  Board  of
Education,  before approving any such claims, shall determine
their accuracy and whether they are based upon  services  and
facilities  provided  under approved programs.  Upon approval
the State Board shall cause vouchers to be  prepared  showing
the  amount due for payment of reimbursement claims to school
districts, for transmittal to the State  Comptroller  on  the
30th day of September, December, and March, respectively, and
the  final  voucher,  no  later  than  June  20. If the money
appropriated by the General Assembly for such purpose for any
year is insufficient, it shall be apportioned on the basis of
the claims approved.
    No child shall be placed in a special  education  program
pursuant  to  this  Section  if  the tuition cost for special
education and related services increases more than 10 percent
over the tuition cost for the previous school year or exceeds
$4,500 per year unless such costs have been approved  by  the
Illinois   Purchased   Care    Review  Board.   The  Illinois
Purchased Care Review Board shall consist  of  the  following
persons,  or  their designees:  the Directors of Children and
Family Services, Public Health, Public Aid, and the Bureau of
the Budget;  the  Secretary  of  Human  Services;  the  State
Superintendent  of  Education;  and such other persons as the
Governor may  designate.  The Review  Board  shall  establish
rules  and  regulations  for  its  determination of allowable
costs and payments made by local school districts for special
education,  room  and  board,  and  other  related   services
provided   by   non-public   schools   or  special  education
facilities and shall establish uniform standards and criteria
which it shall follow.
    The Review Board shall establish uniform definitions  and
criteria for accounting separately by special education, room
and  board and other related services costs.  The Board shall
also establish guidelines for the  coordination  of  services
and  financial  assistance  provided by all State agencies to
assure that no otherwise qualified disabled  child  receiving
services   under   Article   14   shall   be   excluded  from
participation in, be denied the benefits of or  be  subjected
to  discrimination  under any program or activity provided by
any State agency.
    The Review Board  shall  review  the  costs  for  special
education and related services provided by non-public schools
or   special   education  facilities  and  shall  approve  or
disapprove such facilities in accordance with the  rules  and
regulations  established  by  it  with  respect  to allowable
costs.
    The State Board of Education shall provide administrative
and staff support for the Review Board as  deemed  reasonable
by the State Superintendent of Education.  This support shall
not  include  travel  expenses  or other compensation for any
Review Board member other than the  State  Superintendent  of
Education.
    The  Review  Board  shall seek the advice of the Advisory
Council on Education of Children  with  Disabilities  on  the
rules  and  regulations  to  be promulgated by it relative to
providing special education services.
    If a child has been placed in  a  program  in  which  the
actual  per  pupil costs of tuition for special education and
related services based on program enrollment, excluding room,
board and transportation costs, exceed $4,500 and such  costs
have  been  approved  by the Review Board, the district shall
pay such total costs which exceed $4,500.  A district  making
such  tuition  payments  in excess of $4,500 pursuant to this
Section shall be responsible  for  an  amount  in  excess  of
$4,500  equal  to  the district per capita tuition charge and
shall be eligible for reimbursement from the  State  for  the
amount  of  such  payments  actually  made  in  excess of the
districts  per  capita  tuition  charge  for   students   not
receiving special education services.
    If  a  child  has  been  placed in an approved individual
program and the tuition costs including room and board  costs
have  been  approved  by the Review Board, then such room and
board costs shall be paid by  the  appropriate  State  agency
subject  to  the  provisions  of Section 14-8.01 of this Act.
Room and board costs not provided by  a  State  agency  other
than  the  State  Board of Education shall be provided by the
State Board of Education on a current basis.   In  no  event,
however,  shall  the  State's  liability for funding of these
tuition costs begin until  after  the  legal  obligations  of
third  party payors have been subtracted from such costs.  If
the money appropriated  by  the  General  Assembly  for  such
purpose for any year is insufficient, it shall be apportioned
on  the  basis  of  the claims approved.  Each district shall
submit  estimated  claims  to  the  State  Superintendent  of
Education.   Upon  approval  of  such   claims,   the   State
Superintendent   of   Education   shall   direct   the  State
Comptroller  to  make  payments  on  a  monthly  basis.   The
frequency  for  submitting estimated claims and the method of
determining  payment  shall  be  prescribed  in   rules   and
regulations  adopted  by the State Board of Education.   Such
current state reimbursement shall be  reduced  by  an  amount
equal  to the proceeds which the child or child's parents are
eligible to receive under any public or private insurance  or
assistance   program.   Nothing  in  this  Section  shall  be
construed as relieving an insurer or similar third party from
an otherwise valid  obligation  to  provide  or  to  pay  for
services provided to a disabled child.
    If  it otherwise qualifies, a school district is eligible
for the transportation reimbursement under  Section  14-13.01
and  for  the  reimbursement  of  tuition payments under this
Section whether the non-public school  or  special  education
facility,   public  out-of-state  school  or  county  special
education facility, attended by a child who resides  in  that
district and requires special educational services, is within
or  outside of the State of Illinois.  However, a district is
not eligible to claim transportation reimbursement under this
Section  unless  the  district   certifies   to   the   State
Superintendent  of  Education  that the district is unable to
provide special educational services required  by  the  child
for the current school year.
    Nothing in this Section authorizes the reimbursement of a
school  district  for  the amount paid for tuition of a child
attending a non-public school or special education  facility,
public   out-of-state  school  or  county  special  education
facility unless the school district certifies  to  the  State
Superintendent   of  Education  that  the  special  education
program of that district is unable to meet the needs of  that
child  because of his disability and the State Superintendent
of Education finds that the school district is in substantial
compliance with Section 14-4.01.
    Any educational or related services provided, pursuant to
this Section in a  non-public  school  or  special  education
facility  or  a special education facility owned and operated
by a county government unit shall be at no cost to the parent
or guardian of the child. However, current law and  practices
relative  to  contributions by parents or guardians for costs
other than educational or related services are  not  affected
by this amendatory Act of 1978.
    Reimbursement   for   children  attending  public  school
residential facilities shall be made in accordance  with  the
provisions of this Section.
    Notwithstanding  any  other  provision of law, any school
district receiving a payment  under  this  Section  or  under
Section 14-7.02a, 14-13.01, or 29-5 of this Code may classify
all  or  a  portion  of  the  funds  that  it  receives  in a
particular fiscal year or from general State aid pursuant  to
Section  18-8.05 of this Code as funds received in connection
with any funding program for which it is entitled to  receive
funds  from the State in that fiscal year (including, without
limitation, any funding program referenced in this  Section),
regardless  of  the  source  or  timing  of the receipt.  The
district may not classify more funds  as  funds  received  in
connection  with  the  funding  program  than the district is
entitled to receive in that fiscal  year  for  that  program.
Any classification by a district must be made by a resolution
of  its board of education.  The resolution must identify the
amount of any payments or general State aid to be  classified
under  this paragraph and must specify the funding program to
which the funds are to be treated as received  in  connection
therewith.    This   resolution  is  controlling  as  to  the
classification of funds referenced therein.  A certified copy
of the resolution must be sent to the State Superintendent of
Education. The resolution shall still take effect even though
a copy of the resolution has  not  been  sent  to  the  State
Superintendent   of   Education  in  a  timely  manner.    No
classification under  this  paragraph  by  a  district  shall
affect  the  total  amount or timing of money the district is
entitled to receive under this Code.  No classification under
this paragraph by a district shall in  any  way  relieve  the
district from or affect any requirements that otherwise would
apply  with  respect  to  that funding program, including any
accounting of funds  by  source,  reporting  expenditures  by
original  source  and  purpose,  reporting  requirements,  or
requirements of providing services.
(Source: P.A. 91-764, eff. 6-9-00.)

    (105 ILCS 5/14-7.02a) (from Ch. 122, par. 14-7.02a)
    Sec.  14-7.02a.  Children requiring extraordinary special
education  services  and  facilities.   A   school   district
providing   for   a  child  requiring  extraordinary  special
education services because of the nature of his disability is
eligible for reimbursement from the  State  if  the  cost  of
educating  that  child  is  computed, as set forth in Section
14-7.01, to be in  excess  of  one  and  one-half  times  the
district  per capita tuition charge for the prior year.  Such
costs  beyond  one  per  capita  tuition  charge   shall   be
reimbursed, up to a maximum of $2,000.
    A  child  is  deemed  to  require  extraordinary  special
education   services   and  facilities  under  the  following
conditions:
         1)  the school  district  has  determined  that  the
    child requires extraordinary special education facilities
    pursuant  to  the  multidisciplinary  case  study and the
    individualized education program;
         2)  the  school  district  maintains  adequate  cost
    accounting to document the per  capita  cost  of  special
    education; and
         3)  the  school  district submits approval and claim
    data annually for each eligible child.
    Extraordinary special education services  provided  on  a
one-half  day  basis  shall  only  be reimbursed at a rate of
one-half the amount otherwise provided herein.
    Notwithstanding any other provision of  law,  any  school
district  receiving  a  payment  under  this Section or under
Section 14-7.02, 14-13.01, or 29-5 of this Code may  classify
all  or  a  portion  of  the  funds  that  it  receives  in a
particular fiscal year or from general State aid pursuant  to
Section  18-8.05 of this Code as funds received in connection
with any funding program for which it is entitled to  receive
funds  from the State in that fiscal year (including, without
limitation, any funding program referenced in this  Section),
regardless  of  the  source  or  timing  of the receipt.  The
district may not classify more funds  as  funds  received  in
connection  with  the  funding  program  than the district is
entitled to receive in that fiscal  year  for  that  program.
Any classification by a district must be made by a resolution
of  its board of education.  The resolution must identify the
amount of any payments or general State aid to be  classified
under  this paragraph and must specify the funding program to
which the funds are to be treated as received  in  connection
therewith.    This   resolution  is  controlling  as  to  the
classification of funds referenced therein.  A certified copy
of the resolution must be sent to the State Superintendent of
Education. The resolution shall still take effect even though
a copy of the resolution has  not  been  sent  to  the  State
Superintendent   of   Education  in  a  timely  manner.    No
classification under  this  paragraph  by  a  district  shall
affect  the  total  amount or timing of money the district is
entitled to receive under this Code.  No classification under
this paragraph by a district shall in  any  way  relieve  the
district from or affect any requirements that otherwise would
apply  with  respect  to  that funding program, including any
accounting of funds  by  source,  reporting  expenditures  by
original  source  and  purpose,  reporting  requirements,  or
requirements of providing services.
(Source: P.A. 88-16.)

    (105 ILCS 5/14-13.01) (from Ch. 122, par. 14-13.01)
    Sec.  14-13.01.  Reimbursement payable by State; Amounts.
Reimbursement for furnishing special  educational  facilities
in  a  recognized  school  to the type of children defined in
Section 14-1.02 shall be paid  to  the  school  districts  in
accordance  with Section 14-12.01 for each school year ending
June 30 by the State Comptroller out  of  any  money  in  the
treasury  appropriated  for such purposes on the presentation
of vouchers by the State Board of Education.
    The reimbursement shall be limited to funds expended  for
construction  and maintenance of special education facilities
designed  and  utilized  to  house  instructional   programs,
diagnostic  services,  other  special  education services for
children with disabilities and reimbursement as  provided  in
Section  14-13.01.   There  shall  be  no  reimbursement  for
construction  and  maintenance of any administrative facility
separated from  special  education  facilities  designed  and
utilized to house instructional programs, diagnostic services
and  other  special  education  services  for  children  with
disabilities.
    (a)  For   children  who  have  not  been  identified  as
eligible for special education and for eligible children with
physical disabilities, including all eligible children  whose
placement  has  been  determined  under  Section  14-8.02  in
hospital or home instruction, 1/2 of the teacher's salary but
not more than $1,000 annually per child or $8,000 per teacher
for  the  1985-1986  school year and thereafter, whichever is
less.  Children to be included  in  any  reimbursement  under
this  paragraph  must regularly receive a minimum of one hour
of instruction each school day,  or  in  lieu  thereof  of  a
minimum  of  5  hours  of  instruction in each school week in
order to qualify for full reimbursement under  this  Section.
If  the  attending  physician  for such a child has certified
that the child should not receive  as  many  as  5  hours  of
instruction  in  a  school week, however, reimbursement under
this paragraph on account of that  child  shall  be  computed
proportionate to the actual hours of instruction per week for
that child divided by 5.
    (b)  For  children  described  in Section 14-1.02, 4/5 of
the cost of transportation for  each  such  child,  whom  the
State  Superintendent  of  Education  determined  in  advance
requires  special  transportation  service  in  order to take
advantage of special educational  facilities.  Transportation
costs  shall be determined in the same fashion as provided in
Section 29-5.  For purposes of this subsection (b), the dates
for processing claims specified in Section 29-5 shall apply.
    (c)  For  each  professional   worker   excluding   those
included  in  subparagraphs  (a),  (d),  (e), and (f) of this
Section, the annual sum of $8,000 for  the  1985-1986  school
year and thereafter.
    (d)  For  one full time qualified director of the special
education program of each school district which  maintains  a
fully approved program of special education the annual sum of
$8,000   for   the  1985-1986  school  year  and  thereafter.
Districts  participating  in  a   joint   agreement   special
education  program  shall  not  receive such reimbursement if
reimbursement is made for a director of the  joint  agreement
program.
    (e)  For  each  school psychologist as defined in Section
14-1.09 the annual sum of $8,000  for  the  1985-1986  school
year and thereafter.
    (f)  For  each  qualified  teacher  working  in  a  fully
approved  program  for children of preschool age who are deaf
or hard-of-hearing the annual sum of $8,000 for the 1985-1986
school year and thereafter.
    (g)  For readers, working with blind or partially  seeing
children  1/2 of their salary but not more than $400 annually
per child.  Readers may be employed to assist  such  children
and  shall  not  be  required  to  be  certified but prior to
employment shall meet standards set up by the State Board  of
Education.
    (h)  For necessary non-certified employees working in any
class or program for children defined in this Article, 1/2 of
the salary paid or $2,800 annually per employee, whichever is
less.
    The  State  Board  of  Education  shall set standards and
prescribe   rules   for   determining   the   allocation   of
reimbursement under this section on less  than  a  full  time
basis and for less than a school year.
    When any school district eligible for reimbursement under
this  Section  operates  a  school or program approved by the
State Superintendent of Education for a  number  of  days  in
excess  of  the adopted school calendar but not to exceed 235



school days, such reimbursement shall be increased  by  1/185
of the amount or rate paid hereunder for each day such school
is operated in excess of 185 days per calendar year.
    Notwithstanding  any  other  provision of law, any school
district receiving a payment  under  this  Section  or  under
Section  14-7.02, 14-7.02a, or 29-5 of this Code may classify
all or  a  portion  of  the  funds  that  it  receives  in  a
particular  fiscal year or from general State aid pursuant to
Section 18-8.05 of this Code as funds received in  connection
with  any funding program for which it is entitled to receive
funds from the State in that fiscal year (including,  without
limitation,  any funding program referenced in this Section),
regardless of the source  or  timing  of  the  receipt.   The
district  may  not  classify  more funds as funds received in
connection with the funding  program  than  the  district  is
entitled  to  receive  in  that fiscal year for that program.
Any classification by a district must be made by a resolution
of its board of education.  The resolution must identify  the
amount  of any payments or general State aid to be classified
under this paragraph and must specify the funding program  to
which  the  funds are to be treated as received in connection
therewith.   This  resolution  is  controlling  as   to   the
classification of funds referenced therein.  A certified copy
of the resolution must be sent to the State Superintendent of
Education. The resolution shall still take effect even though
a  copy  of  the  resolution  has  not been sent to the State
Superintendent  of  Education  in  a  timely  manner.      No
classification  under  this  paragraph  by  a  district shall
affect the total amount or timing of money  the  district  is
entitled to receive under this Code.  No classification under
this  paragraph  by  a  district shall in any way relieve the
district from or affect any requirements that otherwise would
apply with respect to that  funding  program,  including  any
accounting  of  funds  by  source,  reporting expenditures by
original  source  and  purpose,  reporting  requirements,  or
requirements of providing services.
(Source: P.A. 88-555,  eff.  7-27-94;  88-641,  eff.  9-9-94;
89-235, eff. 8-4-95; 89-397, eff. 8-20-95.)

    (105 ILCS 5/29-5) (from Ch. 122, par. 29-5)
    Sec.  29-5.   Reimbursement  by State for transportation.
Any  school  district,  maintaining  a  school,  transporting
resident  pupils  to  another  school  district's  vocational
program, offered through a joint agreement  approved  by  the
State  Board of Education, as provided in Section 10-22.22 or
transporting its resident pupils to a school which meets  the
standards  for  recognition as established by the State Board
of  Education  which  provides  transportation  meeting   the
standards  of  safety,  comfort,  convenience, efficiency and
operation prescribed by the  State  Board  of  Education  for
resident pupils in kindergarten or any of grades 1 through 12
who:  (a)  reside  at  least  1  1/2 miles as measured by the
customary route of travel, from the school attended;  or  (b)
reside  in  areas  where  conditions  are  such  that walking
constitutes  a  hazard  to  the  safety  of  the  child  when
determined under Section 29-3; and (c) are transported to the
school attended from pick-up points at the beginning  of  the
school  day  and back again at the close of the school day or
transported to and from  their  assigned  attendance  centers
during  the  school  day, shall be reimbursed by the State as
hereinafter provided in this Section.
    The State will pay  the  cost  of  transporting  eligible
pupils  less the assessed valuation in a dual school district
maintaining secondary  grades  9  to  12  inclusive  times  a
qualifying  rate  of  .05%;  in  elementary  school districts
maintaining grades K to 8 times a qualifying rate of .06%; in
unit districts maintaining grades K to 12 times a  qualifying
rate  of  .07%.  To  be  eligible to receive reimbursement in
excess of 4/5 of the cost to  transport  eligible  pupils,  a
school  district shall have a Transportation Fund tax rate of
at least .12%.  If a school district does  not  have  a  .12%
Transportation  Fund  tax  rate,  the  amount of its claim in
excess of 4/5 of the cost of  transporting  pupils  shall  be
reduced   by   the   sum   arrived   at  by  subtracting  the
Transportation Fund tax rate from .12% and  multiplying  that
amount  by  the  districts  equalized  or assessed valuation,
provided, that in no case  shall  said  reduction  result  in
reimbursement  of  less  than  4/5  of  the cost to transport
eligible pupils.
    The minimum amount to be received by a  district  is  $16
times the number of eligible pupils transported.
    Any such district transporting resident pupils during the
school  day  to  an  area vocational school or another school
district's vocational program more than 1 1/2 miles from  the
school  attended,  as  provided  in  Sections  10-22.20a  and
10-22.22,  shall  be  reimbursed  by the State for 4/5 of the
cost of transporting eligible pupils.
    School day means that period of time which the  pupil  is
required to be in attendance for instructional purposes.
    If  a  pupil  is at a location within the school district
other than his residence for child care purposes at the  time
for transportation to school, that location may be considered
for  purposes  of determining the 1 1/2 miles from the school
attended.
    Claims for reimbursement that include children who attend
any school other than a public school shall show  the  number
of such children transported.
    Claims  for reimbursement under this Section shall not be
paid for the transportation of pupils for whom transportation
costs are claimed for payment under other  Sections  of  this
Act.
    The  allowable  direct  cost  of  transporting pupils for
regular,   vocational,   and    special    education    pupil
transportation  shall  be  limited  to the sum of the cost of
physical examinations required for employment as a school bus
driver; the salaries of full or part-time drivers and  school
bus   maintenance   personnel;  employee  benefits  excluding
Illinois  municipal  retirement  payments,  social   security
payments,   unemployment   insurance  payments  and  workers'
compensation insurance premiums; expenditures to  independent
carriers  who  operate school buses; payments to other school
districts for  pupil  transportation  services;  pre-approved
contractual expenditures for computerized bus scheduling; the
cost  of  gasoline,  oil, tires, and other supplies necessary
for the operation of school buses;  the  cost  of  converting
buses'  gasoline engines to more fuel efficient engines or to
engines which use alternative energy  sources;  the  cost  of
travel  to  meetings  and workshops conducted by the regional
superintendent  or  the  State  Superintendent  of  Education
pursuant to the standards established  by  the  Secretary  of
State  under  Section  6-106  of the Illinois Vehicle Code to
improve the driving skills of school bus drivers; the cost of
maintenance of school buses  including  parts  and  materials
used;   expenditures  for  leasing  transportation  vehicles,
except interest and service charges; the  cost  of  insurance
and  licenses  for  transportation vehicles; expenditures for
the rental of transportation equipment; plus  a  depreciation
allowance  of  20%  for 5 years for school buses and vehicles
approved for transporting pupils to and  from  school  and  a
depreciation   allowance  of  10%  for  10  years  for  other
transportation equipment so used. In addition  to  the  above
allowable   costs  school  districts  shall  also  claim  all
transportation supervisory salary costs,  including  Illinois
municipal retirement payments, and all transportation related
building and building maintenance costs without limitation.
    Special  education  allowable  costs  shall  also include
expenditures for the salaries of attendants or aides for that
portion of the time  they  assist  special  education  pupils
while  in  transit  and  expenditures  for parents and public
carriers  for  transporting  special  education  pupils  when
pre-approved by the State Superintendent of Education.
    Indirect costs shall be  included  in  the  reimbursement
claim  for  districts  which own and operate their own school
buses.  Such  indirect  costs  shall  include  administrative
costs,  or any costs attributable to transporting pupils from
their attendance  centers  to  another  school  building  for
instructional  purposes.   No  school district which owns and
operates its own school buses  may  claim  reimbursement  for
indirect  costs which exceed 5% of the total allowable direct
costs for pupil transportation.
    The State Board  of  Education  shall  prescribe  uniform
regulations  for  determining  the  above standards and shall
prescribe  forms  of  cost  accounting   and   standards   of
determining  reasonable depreciation. Such depreciation shall
include the cost of equipping school buses  with  the  safety
features  required  by  law  or by the rules, regulations and
standards promulgated by the State Board  of  Education,  and
the   Department   of   Transportation  for  the  safety  and
construction of school buses provided, however, any equipment
cost reimbursed  by  the  Department  of  Transportation  for
equipping  school  buses  with such safety equipment shall be
deducted from  the  allowable  cost  in  the  computation  of
reimbursement  under  this  Section in the same percentage as
the cost of the equipment is depreciated.
    On or before July 10, annually, the board  clerk  or  the
secretary  of  the  district  shall  certify  to the regional
superintendent of schools upon forms prescribed by the  State
Superintendent   of   Education   the  district's  claim  for
reimbursement for the school  year  ended  on  June  30  next
preceding.   The  regional  superintendent  of  schools shall
check all transportation claims to ascertain compliance  with
the  prescribed standards and upon his approval shall certify
not later  than  July  25  to  the  State  Superintendent  of
Education  the  regional report of claims for reimbursements.
The State Superintendent of Education shall check and approve
the claims and prepare the vouchers showing the  amounts  due
for  district  reimbursement claims.  Beginning with the 1977
fiscal year, the  State  Superintendent  of  Education  shall
prepare  and transmit the first 3 vouchers to the Comptroller
on  the  30th  day   of  September,   December   and   March,
respectively, and the final voucher, no later than June 15.
    If    the    amount   appropriated   for   transportation
reimbursement is insufficient to fund total  claims  for  any
fiscal  year,  the State Board of Education shall reduce each
school district's  allowable  costs  and  flat  grant  amount
proportionately to make total adjusted claims equal the total
amount appropriated.
    For  purposes  of  calculating  claims  for reimbursement
under this Section for any  school  year  beginning  July  1,
1998,  or  thereafter, the equalized assessed valuation for a
school  district  used  to  compute  reimbursement  shall  be
computed in the same manner as it is computed under paragraph
(2) of subsection (G) of Section 18-8.05.
    All reimbursements  received  from  the  State  shall  be
deposited into the district's transportation fund or into the
fund from which the allowable expenditures were made.
    Notwithstanding  any  other  provision of law, any school
district receiving a payment  under  this  Section  or  under
Section  14-7.02,  14-7.02a,  or  14-13.01  of  this Code may
classify all or a portion of the funds that it receives in  a
particular  fiscal year or from general State aid pursuant to
Section 18-8.05 of this Code as funds received in  connection
with  any funding program for which it is entitled to receive
funds from the State in that fiscal year (including,  without
limitation,  any funding program referenced in this Section),
regardless of the source  or  timing  of  the  receipt.   The
district  may  not  classify  more funds as funds received in
connection with the funding  program  than  the  district  is
entitled  to  receive  in  that fiscal year for that program.
Any classification by a district must be made by a resolution
of its board of education.  The resolution must identify  the
amount  of any payments or general State aid to be classified
under this paragraph and must specify the funding program  to
which  the  funds are to be treated as received in connection
therewith.   This  resolution  is  controlling  as   to   the
classification of funds referenced therein.  A certified copy
of the resolution must be sent to the State Superintendent of
Education. The resolution shall still take effect even though
a  copy  of  the  resolution  has  not been sent to the State
Superintendent  of  Education  in  a  timely  manner.      No
classification  under  this  paragraph  by  a  district shall
affect the total amount or timing of money  the  district  is
entitled  to  receive  under  this  Code.   No classification
under this paragraph by a district shall in any  way  relieve
the  district  from or affect any requirements that otherwise
would apply with respect to that funding  program,  including
any  accounting of funds by source, reporting expenditures by
original  source  and  purpose,  reporting  requirements,  or
requirements of providing services.
    Any school district with a population of  not  more  than
500,000  must  deposit  all funds received under this Article
into the transportation fund and  use  those  funds  for  the
provision of transportation services.
(Source: P.A. 91-96, eff. 7-9-99.)

    Section  99.  Effective date.  This Act takes effect upon
becoming law.
    Passed in the General Assembly April 25, 2002.
    Approved June 26, 2002.
    Effective June 26, 2002.

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