HB0877 Engrossed

LRB095 07587 NHT 27737 b






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    AN ACT concerning education.

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

 
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    Section 5. The School Construction Law is amended  by 
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changing Section 5-35 as follows:
 



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    (105 ILCS 230/5-35)



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    Sec. 5-35. School construction project grant amounts; 
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permitted
use; prohibited use.

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    (a) The product of the district's grant index and the

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recognized project cost, as determined by the Capital 
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Development Board, for an
approved school construction project 
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shall equal the amount of the grant the
Capital Development 
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Board shall provide to the eligible district.  The grant
index 
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shall not be used in cases where the General Assembly and the 
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Governor
approve appropriations designated for specifically 
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identified school district
construction projects.

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    (b) In each fiscal year in which school construction 
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project grants are
awarded, 20% of the total amount awarded 
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statewide shall be awarded to a school
district with a 
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population exceeding 500,000, provided such district complies

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with the provisions of this Article.

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    In addition to the uses otherwise authorized by this Law, 
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any school
district with a population exceeding 500,000 is 
 


 






HB0877 Engrossed
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LRB095 07587 NHT 27737 b




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authorized to use any or all
of the school construction project 
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grants (i) to pay debt service, as defined
in the Local 
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Government Debt Reform Act, on bonds, as defined in the Local

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Government Debt Reform Act, issued to finance one or more 
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school construction
projects and (ii) to the extent that any 
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such bond is a lease or other
installment or financing contract 
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between the school district and a public
building commission 
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that has issued bonds to finance one or more qualifying
school 
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construction projects, to make lease payments under the lease.

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    (c) No portion of a school construction project grant 
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awarded by the
Capital Development Board shall be used by a 
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school district for any
on-going operational costs.

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    (d) A grant index must not be recalculated when a school 
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district has received its entitlement, but the State has failed 
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to appropriate sufficient funding under this Section.  This 
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subsection (d) applies to those entitlements obtained in fiscal 
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year 2002 or thereafter.

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(Source: P.A. 90-548, eff. 1-1-98; 91-38, eff. 6-15-99.)

 

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