101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB2553

 

Introduced , by Rep. Camille Y. Lilly

 

SYNOPSIS AS INTRODUCED:
 
New Act
105 ILCS 5/2-3.28  from Ch. 122, par. 2-3.28
105 ILCS 5/18-8.15
30 ILCS 805/8.43 new

    Creates the Education Prioritization Act. Beginning with fiscal year 2020, requires the General Assembly to appropriate for the evidence-based funding formula under the School Code an amount that is equal to or exceeds the sum of: (i) the total amount appropriated for the evidence-based funding formula during the fiscal year immediately preceding the fiscal year for which the appropriation is being made; and (ii) 51% of total new general funds available for spending from estimated growth in revenues and funds available because of budgeted program growth and decline in the fiscal year for which the appropriation is being made; but in no event shall the sum be less than a certain percentage required under the Act. Requires a continuing appropriation if the General Assembly fails to make sufficient appropriations to fund the evidence-based funding formula. Amends the School Code to make changes concerning a system for accounting for revenues and expenditures and evidence-based funding. Amends the State Mandates Act to require implementation without reimbursement. Effective immediately.


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FISCAL NOTE ACT MAY APPLY
STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT

 

 

A BILL FOR

 

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1    AN ACT concerning education.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 1. Short title. This Act may be cited as the
5Education Prioritization Act.
 
6    Section 5. Educational appropriations. Beginning with
7fiscal year 2020 and in each fiscal year thereafter, subject to
8the provisions of Section 10 of this Act, the General Assembly
9shall appropriate for the evidence-based funding formula set
10forth in Section 18-8.15 of the School Code an amount that is
11equal to or exceeds the sum of: (i) the total amount
12appropriated for the evidence-based funding formula set forth
13in Section 18-8.15 of the School Code during the fiscal year
14immediately preceding the fiscal year for which the
15appropriation is being made; and (ii) 51% of total new general
16funds available for spending from estimated growth in revenues
17and funds available because of budgeted program growth and
18decline in the fiscal year for which the appropriation is being
19made; but in no event shall the sum be less than the percentage
20required under Section 10 of this Act. The Commission on
21Government Forecasting and Accountability shall certify the
22amount of total new general funds available for spending.
 

 

 

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1    Section 10. State and federal funding. State funding for
2the evidence-based funding formula set forth in Section 18-8.15
3of the School Code shall be appropriated pursuant to Section 5
4of this Act so that the sum of State and federal spending
5represents no less than 51% of the total revenues available
6from local, State, and federal sources for elementary and
7secondary education programs for the current fiscal year, as
8estimated by the State Superintendent of Education.
 
9    Section 15. Continuing appropriation. If the General
10Assembly fails to make appropriations to the State Board of
11Education in fiscal year 2020 or in any fiscal year thereafter
12sufficient to fund the evidence-based funding formula set forth
13in Section 18-8.15 of the School Code, this Act shall
14constitute a continuing appropriation of all amounts necessary
15for that purpose.
 
16    Section 20. Governor's budget. Beginning with fiscal year
172021 and in each fiscal year thereafter, the Governor shall
18include in his or her annual budget an allocation for
19elementary and secondary education that conforms to the
20provisions of this Act.
 
21    Section 85. The School Code is amended by changing Sections
222-3.28 and 18-8.15 as follows:
 

 

 

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1    (105 ILCS 5/2-3.28)  (from Ch. 122, par. 2-3.28)
2    Sec. 2-3.28. Rules and regulations of budget and accounting
3systems. To prescribe rules and regulations defining what shall
4constitute a budget and accounting system required under this
5Act. The rules and regulations shall prescribe the minimum
6extent of verification, the type of audit, the extent of the
7audit report and shall require compliance with statutory
8requirements and standards and such requirements as the State
9Board of Education deems necessary for an adequate budget and
10accounting system. For the 2019-2020 school year and
11thereafter, the rules and regulations shall prescribe a system
12for accounting for revenues and expenditures at the individual
13school level that includes, without limitation, the following:
14        (1) accounting for expenditures for school
15    administration, regular instruction, special education
16    instruction, instructional programs for children of
17    limited English-speaking ability, instructional support
18    services, and pupil support services;
19        (2) salary expenditures reflecting actual staff
20    salaries at each school;
21        (3) accounting for operations, including
22    non-instructional pupil services, facilities, and business
23    services; and
24        (4) such other requirements as the State Board of
25    Education deems necessary to provide for a uniform and
26    transparent system of accounting at the school level.

 

 

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1(Source: P.A. 81-1508.)
 
2    (105 ILCS 5/18-8.15)
3    Sec. 18-8.15. Evidence-based funding for student success
4for the 2017-2018 and subsequent school years.
5    (a) General provisions.
6        (1) The purpose of this Section is to ensure that, by
7    June 30, 2027 and beyond, this State has a kindergarten
8    through grade 12 public education system with the capacity
9    to ensure the educational development of all persons to the
10    limits of their capacities in accordance with Section 1 of
11    Article X of the Constitution of the State of Illinois. To
12    accomplish that objective, this Section creates a method of
13    funding public education that is evidence-based; is
14    sufficient to ensure every student receives a meaningful
15    opportunity to learn irrespective of race, ethnicity,
16    sexual orientation, gender, or community-income level; and
17    is sustainable and predictable. When fully funded under
18    this Section, every school shall have the resources, based
19    on what the evidence indicates is needed, to:
20            (A) provide all students with a high quality
21        education that offers the academic, enrichment, social
22        and emotional support, technical, and career-focused
23        programs that will allow them to become competitive
24        workers, responsible parents, productive citizens of
25        this State, and active members of our national

 

 

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1        democracy;
2            (B) ensure all students receive the education they
3        need to graduate from high school with the skills
4        required to pursue post-secondary education and
5        training for a rewarding career;
6            (C) reduce, with a goal of eliminating, the
7        achievement gap between at-risk and non-at-risk
8        students by raising the performance of at-risk
9        students and not by reducing standards; and
10            (D) ensure this State satisfies its obligation to
11        assume the primary responsibility to fund public
12        education and simultaneously relieve the
13        disproportionate burden placed on local property taxes
14        to fund schools.
15        (2) The evidence-based funding formula under this
16    Section shall be applied to all Organizational Units in
17    this State. The evidence-based funding formula outlined in
18    this Act is based on the formula outlined in Senate Bill 1
19    of the 100th General Assembly, as passed by both
20    legislative chambers. As further defined and described in
21    this Section, there are 4 major components of the
22    evidence-based funding model:
23            (A) First, the model calculates a unique adequacy
24        target for each Organizational Unit in this State that
25        considers the costs to implement research-based
26        activities, the unit's student demographics, and

 

 

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1        regional wage difference.
2            (B) Second, the model calculates each
3        Organizational Unit's local capacity, or the amount
4        each Organizational Unit is assumed to contribute
5        towards its adequacy target from local resources.
6            (C) Third, the model calculates how much funding
7        the State currently contributes to the Organizational
8        Unit, and adds that to the unit's local capacity to
9        determine the unit's overall current adequacy of
10        funding.
11            (D) Finally, the model's distribution method
12        allocates new State funding to those Organizational
13        Units that are least well-funded, considering both
14        local capacity and State funding, in relation to their
15        adequacy target.
16        (3) An Organizational Unit receiving any funding under
17    this Section may apply those funds to any fund so received
18    for which that Organizational Unit is authorized to make
19    expenditures by law.
20        (4) As used in this Section, the following terms shall
21    have the meanings ascribed in this paragraph (4):
22        "Adequacy Target" is defined in paragraph (1) of
23    subsection (b) of this Section.
24        "Adjusted EAV" is defined in paragraph (4) of
25    subsection (d) of this Section.
26        "Adjusted Local Capacity Target" is defined in

 

 

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1    paragraph (3) of subsection (c) of this Section.
2        "Adjusted Operating Tax Rate" means a tax rate for all
3    Organizational Units, for which the State Superintendent
4    shall calculate and subtract for the Operating Tax Rate a
5    transportation rate based on total expenses for
6    transportation services under this Code, as reported on the
7    most recent Annual Financial Report in Pupil
8    Transportation Services, function 2550 in both the
9    Education and Transportation funds and functions 4110 and
10    4120 in the Transportation fund, less any corresponding
11    fiscal year State of Illinois scheduled payments excluding
12    net adjustments for prior years for regular, vocational, or
13    special education transportation reimbursement pursuant to
14    Section 29-5 or subsection (b) of Section 14-13.01 of this
15    Code divided by the Adjusted EAV. If an Organizational
16    Unit's corresponding fiscal year State of Illinois
17    scheduled payments excluding net adjustments for prior
18    years for regular, vocational, or special education
19    transportation reimbursement pursuant to Section 29-5 or
20    subsection (b) of Section 14-13.01 of this Code exceed the
21    total transportation expenses, as defined in this
22    paragraph, no transportation rate shall be subtracted from
23    the Operating Tax Rate.
24        "Allocation Rate" is defined in paragraph (3) of
25    subsection (g) of this Section.
26        "Alternative School" means a public school that is

 

 

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1    created and operated by a regional superintendent of
2    schools and approved by the State Board.
3        "Applicable Tax Rate" is defined in paragraph (1) of
4    subsection (d) of this Section.
5        "Assessment" means any of those benchmark, progress
6    monitoring, formative, diagnostic, and other assessments,
7    in addition to the State accountability assessment, that
8    assist teachers' needs in understanding the skills and
9    meeting the needs of the students they serve.
10        "Assistant principal" means a school administrator
11    duly endorsed to be employed as an assistant principal in
12    this State.
13        "At-risk student" means a student who is at risk of not
14    meeting the Illinois Learning Standards or not graduating
15    from elementary or high school and who demonstrates a need
16    for vocational support or social services beyond that
17    provided by the regular school program. All students
18    included in an Organizational Unit's Low-Income Count, as
19    well as all English learner and disabled students attending
20    the Organizational Unit, shall be considered at-risk
21    students under this Section.
22        "Average Student Enrollment" or "ASE" for fiscal year
23    2018 means, for an Organizational Unit, the greater of the
24    average number of students (grades K through 12) reported
25    to the State Board as enrolled in the Organizational Unit
26    on October 1 in the immediately preceding school year, plus

 

 

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1    the pre-kindergarten students who receive special
2    education services of 2 or more hours a day as reported to
3    the State Board on December 1 in the immediately preceding
4    school year, or the average number of students (grades K
5    through 12) reported to the State Board as enrolled in the
6    Organizational Unit on October 1, plus the
7    pre-kindergarten students who receive special education
8    services of 2 or more hours a day as reported to the State
9    Board on December 1, for each of the immediately preceding
10    3 school years. For fiscal year 2019 and each subsequent
11    fiscal year, "Average Student Enrollment" or "ASE" means,
12    for an Organizational Unit, the greater of the average
13    number of students (grades K through 12) reported to the
14    State Board as enrolled in the Organizational Unit on
15    October 1 and March 1 in the immediately preceding school
16    year, plus the pre-kindergarten students who receive
17    special education services as reported to the State Board
18    on October 1 and March 1 in the immediately preceding
19    school year, or the average number of students (grades K
20    through 12) reported to the State Board as enrolled in the
21    Organizational Unit on October 1 and March 1, plus the
22    pre-kindergarten students who receive special education
23    services as reported to the State Board on October 1 and
24    March 1, for each of the immediately preceding 3 school
25    years. For the purposes of this definition, "enrolled in
26    the Organizational Unit" means the number of students

 

 

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1    reported to the State Board who are enrolled in schools
2    within the Organizational Unit that the student attends or
3    would attend if not placed or transferred to another school
4    or program to receive needed services. For the purposes of
5    calculating "ASE", all students, grades K through 12,
6    excluding those attending kindergarten for a half day,
7    shall be counted as 1.0. All students attending
8    kindergarten for a half day shall be counted as 0.5, unless
9    in 2017 by June 15 or by March 1 in subsequent years, the
10    school district reports to the State Board of Education the
11    intent to implement full-day kindergarten district-wide
12    for all students, then all students attending kindergarten
13    shall be counted as 1.0. Special education
14    pre-kindergarten students shall be counted as 0.5 each. If
15    the State Board does not collect or has not collected both
16    an October 1 and March 1 enrollment count by grade or a
17    December 1 collection of special education
18    pre-kindergarten students as of the effective date of this
19    amendatory Act of the 100th General Assembly, it shall
20    establish such collection for all future years. For any
21    year where a count by grade level was collected only once,
22    that count shall be used as the single count available for
23    computing a 3-year average ASE. School districts shall
24    submit the data for the ASE calculation to the State Board
25    within 45 days of the dates required in this Section for
26    submission of enrollment data in order for it to be

 

 

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1    included in the ASE calculation. For fiscal year 2018 only,
2    the ASE calculation shall include only enrollment taken on
3    October 1.
4        "Base Funding Guarantee" is defined in paragraph (10)
5    of subsection (g) of this Section.
6        "Base Funding Minimum" is defined in subsection (e) of
7    this Section.
8        "Base Tax Year" means the property tax levy year used
9    to calculate the Budget Year allocation of primary State
10    aid.
11        "Base Tax Year's Extension" means the product of the
12    equalized assessed valuation utilized by the county clerk
13    in the Base Tax Year multiplied by the limiting rate as
14    calculated by the county clerk and defined in PTELL.
15        "Bilingual Education Allocation" means the amount of
16    an Organizational Unit's final Adequacy Target
17    attributable to bilingual education divided by the
18    Organizational Unit's final Adequacy Target, the product
19    of which shall be multiplied by the amount of new funding
20    received pursuant to this Section. An Organizational
21    Unit's final Adequacy Target attributable to bilingual
22    education shall include all additional investments in
23    English learner students' adequacy elements.
24        "Budget Year" means the school year for which primary
25    State aid is calculated and awarded under this Section.
26        "Central office" means individual administrators and

 

 

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1    support service personnel charged with managing the
2    instructional programs, business and operations, and
3    security of the Organizational Unit.
4        "Comparable Wage Index" or "CWI" means a regional cost
5    differentiation metric that measures systemic, regional
6    variations in the salaries of college graduates who are not
7    educators. The CWI utilized for this Section shall, for the
8    first 3 years of Evidence-Based Funding implementation, be
9    the CWI initially developed by the National Center for
10    Education Statistics, as most recently updated by Texas A &
11    M University. In the fourth and subsequent years of
12    Evidence-Based Funding implementation, the State
13    Superintendent shall re-determine the CWI using a similar
14    methodology to that identified in the Texas A & M
15    University study, with adjustments made no less frequently
16    than once every 5 years.
17        "Computer technology and equipment" means computers
18    servers, notebooks, network equipment, copiers, printers,
19    instructional software, security software, curriculum
20    management courseware, and other similar materials and
21    equipment.
22        "Computer technology and equipment investment
23    allocation" means the final Adequacy Target amount of an
24    Organizational Unit assigned to Tier 1 or Tier 2 in the
25    prior school year attributable to the additional $285.50
26    per student computer technology and equipment investment

 

 

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1    grant divided by the Organizational Unit's final Adequacy
2    Target, the result of which shall be multiplied by the
3    amount of new funding received pursuant to this Section. An
4    Organizational Unit assigned to a Tier 1 or Tier 2 final
5    Adequacy Target attributable to the received computer
6    technology and equipment investment grant shall include
7    all additional investments in computer technology and
8    equipment adequacy elements.
9        "Core subject" means mathematics; science; reading,
10    English, writing, and language arts; history and social
11    studies; world languages; and subjects taught as Advanced
12    Placement in high schools.
13        "Core teacher" means a regular classroom teacher in
14    elementary schools and teachers of a core subject in middle
15    and high schools.
16        "Core Intervention teacher (tutor)" means a licensed
17    teacher providing one-on-one or small group tutoring to
18    students struggling to meet proficiency in core subjects.
19        "CPPRT" means corporate personal property replacement
20    tax funds paid to an Organizational Unit during the
21    calendar year one year before the calendar year in which a
22    school year begins, pursuant to "An Act in relation to the
23    abolition of ad valorem personal property tax and the
24    replacement of revenues lost thereby, and amending and
25    repealing certain Acts and parts of Acts in connection
26    therewith", certified August 14, 1979, as amended (Public

 

 

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1    Act 81-1st S.S.-1).
2        "EAV" means equalized assessed valuation as defined in
3    paragraph (2) of subsection (d) of this Section and
4    calculated in accordance with paragraph (3) of subsection
5    (d) of this Section.
6        "ECI" means the Bureau of Labor Statistics' national
7    employment cost index for civilian workers in educational
8    services in elementary and secondary schools on a
9    cumulative basis for the 12-month calendar year preceding
10    the fiscal year of the Evidence-Based Funding calculation.
11        "EIS Data" means the employment information system
12    data maintained by the State Board on educators within
13    Organizational Units.
14        "Employee benefits" means health, dental, and vision
15    insurance offered to employees of an Organizational Unit,
16    the costs associated with statutorily required payment of
17    the normal cost of the Organizational Unit's teacher
18    pensions, Social Security employer contributions, and
19    Illinois Municipal Retirement Fund employer contributions.
20        "English learner" or "EL" means a child included in the
21    definition of "English learners" under Section 14C-2 of
22    this Code participating in a program of transitional
23    bilingual education or a transitional program of
24    instruction meeting the requirements and program
25    application procedures of Article 14C of this Code. For the
26    purposes of collecting the number of EL students enrolled,

 

 

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1    the same collection and calculation methodology as defined
2    above for "ASE" shall apply to English learners, with the
3    exception that EL student enrollment shall include
4    students in grades pre-kindergarten through 12.
5        "Essential Elements" means those elements, resources,
6    and educational programs that have been identified through
7    academic research as necessary to improve student success,
8    improve academic performance, close achievement gaps, and
9    provide for other per student costs related to the delivery
10    and leadership of the Organizational Unit, as well as the
11    maintenance and operations of the unit, and which are
12    specified in paragraph (2) of subsection (b) of this
13    Section.
14        "Evidence-Based Funding" means State funding provided
15    to an Organizational Unit pursuant to this Section.
16        "Extended day" means academic and enrichment programs
17    provided to students outside the regular school day before
18    and after school or during non-instructional times during
19    the school day.
20        "Extension Limitation Ratio" means a numerical ratio
21    in which the numerator is the Base Tax Year's Extension and
22    the denominator is the Preceding Tax Year's Extension.
23        "Final Percent of Adequacy" is defined in paragraph (4)
24    of subsection (f) of this Section.
25        "Final Resources" is defined in paragraph (3) of
26    subsection (f) of this Section.

 

 

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1        "Full-time equivalent" or "FTE" means the full-time
2    equivalency compensation for staffing the relevant
3    position at an Organizational Unit.
4        "Funding Gap" is defined in paragraph (1) of subsection
5    (g).
6        "Guidance counselor" means a licensed guidance
7    counselor who provides guidance and counseling support for
8    students within an Organizational Unit.
9        "Hybrid District" means a partial elementary unit
10    district created pursuant to Article 11E of this Code.
11        "Instructional assistant" means a core or special
12    education, non-licensed employee who assists a teacher in
13    the classroom and provides academic support to students.
14        "Instructional facilitator" means a qualified teacher
15    or licensed teacher leader who facilitates and coaches
16    continuous improvement in classroom instruction; provides
17    instructional support to teachers in the elements of
18    research-based instruction or demonstrates the alignment
19    of instruction with curriculum standards and assessment
20    tools; develops or coordinates instructional programs or
21    strategies; develops and implements training; chooses
22    standards-based instructional materials; provides teachers
23    with an understanding of current research; serves as a
24    mentor, site coach, curriculum specialist, or lead
25    teacher; or otherwise works with fellow teachers, in
26    collaboration, to use data to improve instructional

 

 

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1    practice or develop model lessons.
2        "Instructional materials" means relevant instructional
3    materials for student instruction, including, but not
4    limited to, textbooks, consumable workbooks, laboratory
5    equipment, library books, and other similar materials.
6        "Laboratory School" means a public school that is
7    created and operated by a public university and approved by
8    the State Board.
9        "Librarian" means a teacher with an endorsement as a
10    library information specialist or another individual whose
11    primary responsibility is overseeing library resources
12    within an Organizational Unit.
13        "Limiting rate for Hybrid Districts" means the
14    combined elementary school and high school limited rates.
15        "Local Capacity" is defined in paragraph (1) of
16    subsection (c) of this Section.
17        "Local Capacity Percentage" is defined in subparagraph
18    (A) of paragraph (2) of subsection (c) of this Section.
19        "Local Capacity Ratio" is defined in subparagraph (B)
20    of paragraph (2) of subsection (c) of this Section.
21        "Local Capacity Target" is defined in paragraph (2) of
22    subsection (c) of this Section.
23        "Low-Income Count" means, for an Organizational Unit
24    in a fiscal year, the higher of the average number of
25    students for the prior school year or the immediately
26    preceding 3 school years who, as of July 1 of the

 

 

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1    immediately preceding fiscal year (as determined by the
2    Department of Human Services), are eligible for at least
3    one of the following low income programs: Medicaid, the
4    Children's Health Insurance Program, TANF, or the
5    Supplemental Nutrition Assistance Program, excluding
6    pupils who are eligible for services provided by the
7    Department of Children and Family Services. Until such time
8    that grade level low-income populations become available,
9    grade level low-income populations shall be determined by
10    applying the low-income percentage to total student
11    enrollments by grade level. The low-income percentage is
12    determined by dividing the Low-Income Count by the Average
13    Student Enrollment.
14        "Maintenance and operations" means custodial services,
15    facility and ground maintenance, facility operations,
16    facility security, routine facility repairs, and other
17    similar services and functions.
18        "Minimum Funding Level" is defined in paragraph (9) of
19    subsection (g) of this Section.
20        "New Property Tax Relief Pool Funds" means, for any
21    given fiscal year, all State funds appropriated under
22    Section 2-3.170 of the School Code.
23        "New State Funds" means, for a given school year, all
24    State funds appropriated for Evidence-Based Funding in
25    excess of the amount needed to fund the Base Funding
26    Minimum for all Organizational Units in that school year.

 

 

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1        "Net State Contribution Target" means, for a given
2    school year, the amount of State funds that would be
3    necessary to fully meet the Adequacy Target of an
4    Operational Unit minus the Preliminary Resources available
5    to each unit.
6        "Nurse" means an individual licensed as a certified
7    school nurse, in accordance with the rules established for
8    nursing services by the State Board, who is an employee of
9    and is available to provide health care-related services
10    for students of an Organizational Unit.
11        "Operating Tax Rate" means the rate utilized in the
12    previous year to extend property taxes for all purposes,
13    except, Bond and Interest, Summer School, Rent, Capital
14    Improvement, and Vocational Education Building purposes.
15    For Hybrid Districts, the Operating Tax Rate shall be the
16    combined elementary and high school rates utilized in the
17    previous year to extend property taxes for all purposes,
18    except, Bond and Interest, Summer School, Rent, Capital
19    Improvement, and Vocational Education Building purposes.
20        "Organizational Unit" means a Laboratory School or any
21    public school district that is recognized as such by the
22    State Board and that contains elementary schools typically
23    serving kindergarten through 5th grades, middle schools
24    typically serving 6th through 8th grades, or high schools
25    typically serving 9th through 12th grades. The General
26    Assembly acknowledges that the actual grade levels served

 

 

HB2553- 20 -LRB101 09406 AXK 54504 b

1    by a particular Organizational Unit may vary slightly from
2    what is typical.
3        "Organizational Unit CWI" is determined by calculating
4    the CWI in the region and original county in which an
5    Organizational Unit's primary administrative office is
6    located as set forth in this paragraph, provided that if
7    the Organizational Unit CWI as calculated in accordance
8    with this paragraph is less than 0.9, the Organizational
9    Unit CWI shall be increased to 0.9. Each county's current
10    CWI value shall be adjusted based on the CWI value of that
11    county's neighboring Illinois counties, to create a
12    "weighted adjusted index value". This shall be calculated
13    by summing the CWI values of all of a county's adjacent
14    Illinois counties and dividing by the number of adjacent
15    Illinois counties, then taking the weighted value of the
16    original county's CWI value and the adjacent Illinois
17    county average. To calculate this weighted value, if the
18    number of adjacent Illinois counties is greater than 2, the
19    original county's CWI value will be weighted at 0.25 and
20    the adjacent Illinois county average will be weighted at
21    0.75. If the number of adjacent Illinois counties is 2, the
22    original county's CWI value will be weighted at 0.33 and
23    the adjacent Illinois county average will be weighted at
24    0.66. The greater of the county's current CWI value and its
25    weighted adjusted index value shall be used as the
26    Organizational Unit CWI.

 

 

HB2553- 21 -LRB101 09406 AXK 54504 b

1        "Preceding Tax Year" means the property tax levy year
2    immediately preceding the Base Tax Year.
3        "Preceding Tax Year's Extension" means the product of
4    the equalized assessed valuation utilized by the county
5    clerk in the Preceding Tax Year multiplied by the Operating
6    Tax Rate.
7        "Preliminary Percent of Adequacy" is defined in
8    paragraph (2) of subsection (f) of this Section.
9        "Preliminary Resources" is defined in paragraph (2) of
10    subsection (f) of this Section.
11        "Principal" means a school administrator duly endorsed
12    to be employed as a principal in this State.
13        "Professional development" means training programs for
14    licensed staff in schools, including, but not limited to,
15    programs that assist in implementing new curriculum
16    programs, provide data focused or academic assessment data
17    training to help staff identify a student's weaknesses and
18    strengths, target interventions, improve instruction,
19    encompass instructional strategies for English learner,
20    gifted, or at-risk students, address inclusivity, cultural
21    sensitivity, or implicit bias, or otherwise provide
22    professional support for licensed staff.
23        "Prototypical" means 450 special education
24    pre-kindergarten and kindergarten through grade 5 students
25    for an elementary school, 450 grade 6 through 8 students
26    for a middle school, and 600 grade 9 through 12 students

 

 

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1    for a high school.
2        "PTELL" means the Property Tax Extension Limitation
3    Law.
4        "PTELL EAV" is defined in paragraph (4) of subsection
5    (d) of this Section.
6        "Pupil support staff" means a nurse, psychologist,
7    social worker, family liaison personnel, or other staff
8    member who provides support to at-risk or struggling
9    students.
10        "Real Receipts" is defined in paragraph (1) of
11    subsection (d) of this Section.
12        "Regionalization Factor" means, for a particular
13    Organizational Unit, the figure derived by dividing the
14    Organizational Unit CWI by the Statewide Weighted CWI.
15        "School site staff" means the primary school secretary
16    and any additional clerical personnel assigned to a school.
17        "Special education" means special educational
18    facilities and services, as defined in Section 14-1.08 of
19    this Code.
20        "Special Education Allocation" means the amount of an
21    Organizational Unit's final Adequacy Target attributable
22    to special education divided by the Organizational Unit's
23    final Adequacy Target, the product of which shall be
24    multiplied by the amount of new funding received pursuant
25    to this Section. An Organizational Unit's final Adequacy
26    Target attributable to special education shall include all

 

 

HB2553- 23 -LRB101 09406 AXK 54504 b

1    special education investment adequacy elements.
2        "Specialist teacher" means a teacher who provides
3    instruction in subject areas not included in core subjects,
4    including, but not limited to, art, music, physical
5    education, health, driver education, career-technical
6    education, and such other subject areas as may be mandated
7    by State law or provided by an Organizational Unit.
8        "Specially Funded Unit" means an Alternative School,
9    safe school, Department of Juvenile Justice school,
10    special education cooperative or entity recognized by the
11    State Board as a special education cooperative,
12    State-approved charter school, or alternative learning
13    opportunities program that received direct funding from
14    the State Board during the 2016-2017 school year through
15    any of the funding sources included within the calculation
16    of the Base Funding Minimum or Glenwood Academy.
17        "Supplemental Grant Funding" means supplemental
18    general State aid funding received by an Organization Unit
19    during the 2016-2017 school year pursuant to subsection (H)
20    of Section 18-8.05 of this Code (now repealed).
21        "State Adequacy Level" is the sum of the Adequacy
22    Targets of all Organizational Units.
23        "State Board" means the State Board of Education.
24        "State Superintendent" means the State Superintendent
25    of Education.
26        "Statewide Weighted CWI" means a figure determined by

 

 

HB2553- 24 -LRB101 09406 AXK 54504 b

1    multiplying each Organizational Unit CWI times the ASE for
2    that Organizational Unit creating a weighted value,
3    summing all Organizational Unit's weighted values, and
4    dividing by the total ASE of all Organizational Units,
5    thereby creating an average weighted index.
6        "Student activities" means non-credit producing
7    after-school programs, including, but not limited to,
8    clubs, bands, sports, and other activities authorized by
9    the school board of the Organizational Unit.
10        "Substitute teacher" means an individual teacher or
11    teaching assistant who is employed by an Organizational
12    Unit and is temporarily serving the Organizational Unit on
13    a per diem or per period-assignment basis replacing another
14    staff member.
15        "Summer school" means academic and enrichment programs
16    provided to students during the summer months outside of
17    the regular school year.
18        "Supervisory aide" means a non-licensed staff member
19    who helps in supervising students of an Organizational
20    Unit, but does so outside of the classroom, in situations
21    such as, but not limited to, monitoring hallways and
22    playgrounds, supervising lunchrooms, or supervising
23    students when being transported in buses serving the
24    Organizational Unit.
25        "Target Ratio" is defined in paragraph (4) of
26    subsection (g).

 

 

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1        "Tier 1", "Tier 2", "Tier 3", and "Tier 4" are defined
2    in paragraph (3) of subsection (g).
3        "Tier 1 Aggregate Funding", "Tier 2 Aggregate
4    Funding", "Tier 3 Aggregate Funding", and "Tier 4 Aggregate
5    Funding" are defined in paragraph (1) of subsection (g).
6    (b) Adequacy Target calculation.
7        (1) Each Organizational Unit's Adequacy Target is the
8    sum of the Organizational Unit's cost of providing
9    Essential Elements, as calculated in accordance with this
10    subsection (b), with the salary amounts in the Essential
11    Elements multiplied by a Regionalization Factor calculated
12    pursuant to paragraph (3) of this subsection (b).
13        (2) The Essential Elements are attributable on a pro
14    rata basis related to defined subgroups of the ASE of each
15    Organizational Unit as specified in this paragraph (2),
16    with investments and FTE positions pro rata funded based on
17    ASE counts in excess or less than the thresholds set forth
18    in this paragraph (2). The method for calculating
19    attributable pro rata costs and the defined subgroups
20    thereto are as follows:
21            (A) Core class size investments. Each
22        Organizational Unit shall receive the funding required
23        to support that number of FTE core teacher positions as
24        is needed to keep the respective class sizes of the
25        Organizational Unit to the following maximum numbers:
26                (i) For grades kindergarten through 3, the

 

 

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1            Organizational Unit shall receive funding required
2            to support one FTE core teacher position for every
3            15 Low-Income Count students in those grades and
4            one FTE core teacher position for every 20
5            non-Low-Income Count students in those grades.
6                (ii) For grades 4 through 12, the
7            Organizational Unit shall receive funding required
8            to support one FTE core teacher position for every
9            20 Low-Income Count students in those grades and
10            one FTE core teacher position for every 25
11            non-Low-Income Count students in those grades.
12            The number of non-Low-Income Count students in a
13        grade shall be determined by subtracting the
14        Low-Income students in that grade from the ASE of the
15        Organizational Unit for that grade.
16            (B) Specialist teacher investments. Each
17        Organizational Unit shall receive the funding needed
18        to cover that number of FTE specialist teacher
19        positions that correspond to the following
20        percentages:
21                (i) if the Organizational Unit operates an
22            elementary or middle school, then 20.00% of the
23            number of the Organizational Unit's core teachers,
24            as determined under subparagraph (A) of this
25            paragraph (2); and
26                (ii) if such Organizational Unit operates a

 

 

HB2553- 27 -LRB101 09406 AXK 54504 b

1            high school, then 33.33% of the number of the
2            Organizational Unit's core teachers.
3            (C) Instructional facilitator investments. Each
4        Organizational Unit shall receive the funding needed
5        to cover one FTE instructional facilitator position
6        for every 200 combined ASE of pre-kindergarten
7        children with disabilities and all kindergarten
8        through grade 12 students of the Organizational Unit.
9            (D) Core intervention teacher (tutor) investments.
10        Each Organizational Unit shall receive the funding
11        needed to cover one FTE teacher position for each
12        prototypical elementary, middle, and high school.
13            (E) Substitute teacher investments. Each
14        Organizational Unit shall receive the funding needed
15        to cover substitute teacher costs that is equal to
16        5.70% of the minimum pupil attendance days required
17        under Section 10-19 of this Code for all full-time
18        equivalent core, specialist, and intervention
19        teachers, school nurses, special education teachers
20        and instructional assistants, instructional
21        facilitators, and summer school and extended-day
22        teacher positions, as determined under this paragraph
23        (2), at a salary rate of 33.33% of the average salary
24        for grade K through 12 teachers and 33.33% of the
25        average salary of each instructional assistant
26        position.

 

 

HB2553- 28 -LRB101 09406 AXK 54504 b

1            (F) Core guidance counselor investments. Each
2        Organizational Unit shall receive the funding needed
3        to cover one FTE guidance counselor for each 450
4        combined ASE of pre-kindergarten children with
5        disabilities and all kindergarten through grade 5
6        students, plus one FTE guidance counselor for each 250
7        grades 6 through 8 ASE middle school students, plus one
8        FTE guidance counselor for each 250 grades 9 through 12
9        ASE high school students.
10            (G) Nurse investments. Each Organizational Unit
11        shall receive the funding needed to cover one FTE nurse
12        for each 750 combined ASE of pre-kindergarten children
13        with disabilities and all kindergarten through grade
14        12 students across all grade levels it serves.
15            (H) Supervisory aide investments. Each
16        Organizational Unit shall receive the funding needed
17        to cover one FTE for each 225 combined ASE of
18        pre-kindergarten children with disabilities and all
19        kindergarten through grade 5 students, plus one FTE for
20        each 225 ASE middle school students, plus one FTE for
21        each 200 ASE high school students.
22            (I) Librarian investments. Each Organizational
23        Unit shall receive the funding needed to cover one FTE
24        librarian for each prototypical elementary school,
25        middle school, and high school and one FTE aide or
26        media technician for every 300 combined ASE of

 

 

HB2553- 29 -LRB101 09406 AXK 54504 b

1        pre-kindergarten children with disabilities and all
2        kindergarten through grade 12 students.
3            (J) Principal investments. Each Organizational
4        Unit shall receive the funding needed to cover one FTE
5        principal position for each prototypical elementary
6        school, plus one FTE principal position for each
7        prototypical middle school, plus one FTE principal
8        position for each prototypical high school.
9            (K) Assistant principal investments. Each
10        Organizational Unit shall receive the funding needed
11        to cover one FTE assistant principal position for each
12        prototypical elementary school, plus one FTE assistant
13        principal position for each prototypical middle
14        school, plus one FTE assistant principal position for
15        each prototypical high school.
16            (L) School site staff investments. Each
17        Organizational Unit shall receive the funding needed
18        for one FTE position for each 225 ASE of
19        pre-kindergarten children with disabilities and all
20        kindergarten through grade 5 students, plus one FTE
21        position for each 225 ASE middle school students, plus
22        one FTE position for each 200 ASE high school students.
23            (M) Gifted investments. Each Organizational Unit
24        shall receive $40 per kindergarten through grade 12
25        ASE.
26            (N) Professional development investments. Each

 

 

HB2553- 30 -LRB101 09406 AXK 54504 b

1        Organizational Unit shall receive $125 per student of
2        the combined ASE of pre-kindergarten children with
3        disabilities and all kindergarten through grade 12
4        students for trainers and other professional
5        development-related expenses for supplies and
6        materials.
7            (O) Instructional material investments. Each
8        Organizational Unit shall receive $190 per student of
9        the combined ASE of pre-kindergarten children with
10        disabilities and all kindergarten through grade 12
11        students to cover instructional material costs.
12            (P) Assessment investments. Each Organizational
13        Unit shall receive $25 per student of the combined ASE
14        of pre-kindergarten children with disabilities and all
15        kindergarten through grade 12 students student to
16        cover assessment costs.
17            (Q) Computer technology and equipment investments.
18        Each Organizational Unit shall receive $285.50 per
19        student of the combined ASE of pre-kindergarten
20        children with disabilities and all kindergarten
21        through grade 12 students to cover computer technology
22        and equipment costs. For the 2018-2019 school year and
23        subsequent school years, Organizational Units assigned
24        to Tier 1 and Tier 2 in the prior school year shall
25        receive an additional $285.50 per student of the
26        combined ASE of pre-kindergarten children with

 

 

HB2553- 31 -LRB101 09406 AXK 54504 b

1        disabilities and all kindergarten through grade 12
2        students to cover computer technology and equipment
3        costs in the Organization Unit's Adequacy Target. The
4        State Board may establish additional requirements for
5        Organizational Unit expenditures of funds received
6        pursuant to this subparagraph (Q), including a
7        requirement that funds received pursuant to this
8        subparagraph (Q) may be used only for serving the
9        technology needs of the district. It is the intent of
10        this amendatory Act of the 100th General Assembly that
11        all Tier 1 and Tier 2 districts receive the addition to
12        their Adequacy Target in the following year, subject to
13        compliance with the requirements of the State Board.
14            (R) Student activities investments. Each
15        Organizational Unit shall receive the following
16        funding amounts to cover student activities: $100 per
17        kindergarten through grade 5 ASE student in elementary
18        school, plus $200 per ASE student in middle school,
19        plus $675 per ASE student in high school.
20            (S) Maintenance and operations investments. Each
21        Organizational Unit shall receive $1,038 per student
22        of the combined ASE of pre-kindergarten children with
23        disabilities and all kindergarten through grade 12 for
24        day-to-day maintenance and operations expenditures,
25        including salary, supplies, and materials, as well as
26        purchased services, but excluding employee benefits.

 

 

HB2553- 32 -LRB101 09406 AXK 54504 b

1        The proportion of salary for the application of a
2        Regionalization Factor and the calculation of benefits
3        is equal to $352.92.
4            (T) Central office investments. Each
5        Organizational Unit shall receive $742 per student of
6        the combined ASE of pre-kindergarten children with
7        disabilities and all kindergarten through grade 12
8        students to cover central office operations, including
9        administrators and classified personnel charged with
10        managing the instructional programs, business and
11        operations of the school district, and security
12        personnel. The proportion of salary for the
13        application of a Regionalization Factor and the
14        calculation of benefits is equal to $368.48.
15            (U) Employee benefit investments. Each
16        Organizational Unit shall receive 30% of the total of
17        all salary-calculated elements of the Adequacy Target,
18        excluding substitute teachers and student activities
19        investments, to cover benefit costs. For central
20        office and maintenance and operations investments, the
21        benefit calculation shall be based upon the salary
22        proportion of each investment. If at any time the
23        responsibility for funding the employer normal cost of
24        teacher pensions is assigned to school districts, then
25        that amount certified by the Teachers' Retirement
26        System of the State of Illinois to be paid by the

 

 

HB2553- 33 -LRB101 09406 AXK 54504 b

1        Organizational Unit for the preceding school year
2        shall be added to the benefit investment. For any
3        fiscal year in which a school district organized under
4        Article 34 of this Code is responsible for paying the
5        employer normal cost of teacher pensions, then that
6        amount of its employer normal cost plus the amount for
7        retiree health insurance as certified by the Public
8        School Teachers' Pension and Retirement Fund of
9        Chicago to be paid by the school district for the
10        preceding school year that is statutorily required to
11        cover employer normal costs and the amount for retiree
12        health insurance shall be added to the 30% specified in
13        this subparagraph (U). The Teachers' Retirement System
14        of the State of Illinois and the Public School
15        Teachers' Pension and Retirement Fund of Chicago shall
16        submit such information as the State Superintendent
17        may require for the calculations set forth in this
18        subparagraph (U).
19            (V) Additional investments in low-income students.
20        In addition to and not in lieu of all other funding
21        under this paragraph (2), each Organizational Unit
22        shall receive funding based on the average teacher
23        salary for grades K through 12 to cover the costs of:
24                (i) one FTE intervention teacher (tutor)
25            position for every 125 Low-Income Count students;
26                (ii) one FTE pupil support staff position for

 

 

HB2553- 34 -LRB101 09406 AXK 54504 b

1            every 125 Low-Income Count students;
2                (iii) one FTE extended day teacher position
3            for every 120 Low-Income Count students; and
4                (iv) one FTE summer school teacher position
5            for every 120 Low-Income Count students.
6            (W) Additional investments in English learner
7        students. In addition to and not in lieu of all other
8        funding under this paragraph (2), each Organizational
9        Unit shall receive funding based on the average teacher
10        salary for grades K through 12 to cover the costs of:
11                (i) one FTE intervention teacher (tutor)
12            position for every 125 English learner students;
13                (ii) one FTE pupil support staff position for
14            every 125 English learner students;
15                (iii) one FTE extended day teacher position
16            for every 120 English learner students;
17                (iv) one FTE summer school teacher position
18            for every 120 English learner students; and
19                (v) one FTE core teacher position for every 100
20            English learner students.
21            (X) Special education investments. Each
22        Organizational Unit shall receive funding based on the
23        average teacher salary for grades K through 12 to cover
24        special education as follows:
25                (i) one FTE teacher position for every 141
26            combined ASE of pre-kindergarten children with

 

 

HB2553- 35 -LRB101 09406 AXK 54504 b

1            disabilities and all kindergarten through grade 12
2            students;
3                (ii) one FTE instructional assistant for every
4            141 combined ASE of pre-kindergarten children with
5            disabilities and all kindergarten through grade 12
6            students; and
7                (iii) one FTE psychologist position for every
8            1,000 combined ASE of pre-kindergarten children
9            with disabilities and all kindergarten through
10            grade 12 students.
11        (3) For calculating the salaries included within the
12    Essential Elements, the State Superintendent shall
13    annually calculate average salaries to the nearest dollar
14    using the employment information system data maintained by
15    the State Board, limited to public schools only and
16    excluding special education and vocational cooperatives,
17    schools operated by the Department of Juvenile Justice, and
18    charter schools, for the following positions:
19            (A) Teacher for grades K through 8.
20            (B) Teacher for grades 9 through 12.
21            (C) Teacher for grades K through 12.
22            (D) Guidance counselor for grades K through 8.
23            (E) Guidance counselor for grades 9 through 12.
24            (F) Guidance counselor for grades K through 12.
25            (G) Social worker.
26            (H) Psychologist.

 

 

HB2553- 36 -LRB101 09406 AXK 54504 b

1            (I) Librarian.
2            (J) Nurse.
3            (K) Principal.
4            (L) Assistant principal.
5        For the purposes of this paragraph (3), "teacher"
6    includes core teachers, specialist and elective teachers,
7    instructional facilitators, tutors, special education
8    teachers, pupil support staff teachers, English learner
9    teachers, extended-day teachers, and summer school
10    teachers. Where specific grade data is not required for the
11    Essential Elements, the average salary for corresponding
12    positions shall apply. For substitute teachers, the
13    average teacher salary for grades K through 12 shall apply.
14        For calculating the salaries included within the
15    Essential Elements for positions not included within EIS
16    Data, the following salaries shall be used in the first
17    year of implementation of Evidence-Based Funding:
18            (i) school site staff, $30,000; and
19            (ii) non-instructional assistant, instructional
20        assistant, library aide, library media tech, or
21        supervisory aide: $25,000.
22        In the second and subsequent years of implementation of
23    Evidence-Based Funding, the amounts in items (i) and (ii)
24    of this paragraph (3) shall annually increase by the ECI.
25        The salary amounts for the Essential Elements
26    determined pursuant to subparagraphs (A) through (L), (S)

 

 

HB2553- 37 -LRB101 09406 AXK 54504 b

1    and (T), and (V) through (X) of paragraph (2) of subsection
2    (b) of this Section shall be multiplied by a
3    Regionalization Factor.
4    (c) Local capacity calculation.
5        (1) Each Organizational Unit's Local Capacity
6    represents an amount of funding it is assumed to contribute
7    toward its Adequacy Target for purposes of the
8    Evidence-Based Funding formula calculation. "Local
9    Capacity" means either (i) the Organizational Unit's Local
10    Capacity Target as calculated in accordance with paragraph
11    (2) of this subsection (c) if its Real Receipts are equal
12    to or less than its Local Capacity Target or (ii) the
13    Organizational Unit's Adjusted Local Capacity, as
14    calculated in accordance with paragraph (3) of this
15    subsection (c) if Real Receipts are more than its Local
16    Capacity Target.
17        (2) "Local Capacity Target" means, for an
18    Organizational Unit, that dollar amount that is obtained by
19    multiplying its Adequacy Target by its Local Capacity
20    Ratio.
21            (A) An Organizational Unit's Local Capacity
22        Percentage is the conversion of the Organizational
23        Unit's Local Capacity Ratio, as such ratio is
24        determined in accordance with subparagraph (B) of this
25        paragraph (2), into a cumulative distribution
26        resulting in a percentile ranking to determine each

 

 

HB2553- 38 -LRB101 09406 AXK 54504 b

1        Organizational Unit's relative position to all other
2        Organizational Units in this State. The calculation of
3        Local Capacity Percentage is described in subparagraph
4        (C) of this paragraph (2).
5            (B) An Organizational Unit's Local Capacity Ratio
6        in a given year is the percentage obtained by dividing
7        its Adjusted EAV or PTELL EAV, whichever is less, by
8        its Adequacy Target, with the resulting ratio further
9        adjusted as follows:
10                (i) for Organizational Units serving grades
11            kindergarten through 12 and Hybrid Districts, no
12            further adjustments shall be made;
13                (ii) for Organizational Units serving grades
14            kindergarten through 8, the ratio shall be
15            multiplied by 9/13;
16                (iii) for Organizational Units serving grades
17            9 through 12, the Local Capacity Ratio shall be
18            multiplied by 4/13; and
19                (iv) for an Organizational Unit with a
20            different grade configuration than those specified
21            in items (i) through (iii) of this subparagraph
22            (B), the State Superintendent shall determine a
23            comparable adjustment based on the grades served.
24            (C) The Local Capacity Percentage is equal to the
25        percentile ranking of the district. Local Capacity
26        Percentage converts each Organizational Unit's Local

 

 

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1        Capacity Ratio to a cumulative distribution resulting
2        in a percentile ranking to determine each
3        Organizational Unit's relative position to all other
4        Organizational Units in this State. The Local Capacity
5        Percentage cumulative distribution resulting in a
6        percentile ranking for each Organizational Unit shall
7        be calculated using the standard normal distribution
8        of the score in relation to the weighted mean and
9        weighted standard deviation and Local Capacity Ratios
10        of all Organizational Units. If the value assigned to
11        any Organizational Unit is in excess of 90%, the value
12        shall be adjusted to 90%. For Laboratory Schools, the
13        Local Capacity Percentage shall be set at 10% in
14        recognition of the absence of EAV and resources from
15        the public university that are allocated to the
16        Laboratory School. The weighted mean for the Local
17        Capacity Percentage shall be determined by multiplying
18        each Organizational Unit's Local Capacity Ratio times
19        the ASE for the unit creating a weighted value, summing
20        the weighted values of all Organizational Units, and
21        dividing by the total ASE of all Organizational Units.
22        The weighted standard deviation shall be determined by
23        taking the square root of the weighted variance of all
24        Organizational Units' Local Capacity Ratio, where the
25        variance is calculated by squaring the difference
26        between each unit's Local Capacity Ratio and the

 

 

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1        weighted mean, then multiplying the variance for each
2        unit times the ASE for the unit to create a weighted
3        variance for each unit, then summing all units'
4        weighted variance and dividing by the total ASE of all
5        units.
6            (D) For any Organizational Unit, the
7        Organizational Unit's Adjusted Local Capacity Target
8        shall be reduced by either (i) the school board's
9        remaining contribution pursuant to paragraph (ii) of
10        subsection (b-4) of Section 16-158 of the Illinois
11        Pension Code in a given year, or (ii) the board of
12        education's remaining contribution pursuant to
13        paragraph (iv) of subsection (b) of Section 17-129 of
14        the Illinois Pension Code absent the employer normal
15        cost portion of the required contribution and amount
16        allowed pursuant to subdivision (3) of Section
17        17-142.1 of the Illinois Pension Code in a given year.
18        In the preceding sentence, item (i) shall be certified
19        to the State Board of Education by the Teachers'
20        Retirement System of the State of Illinois and item
21        (ii) shall be certified to the State Board of Education
22        by the Public School Teachers' Pension and Retirement
23        Fund of the City of Chicago.
24        (3) If an Organizational Unit's Real Receipts are more
25    than its Local Capacity Target, then its Local Capacity
26    shall equal an Adjusted Local Capacity Target as calculated

 

 

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1    in accordance with this paragraph (3). The Adjusted Local
2    Capacity Target is calculated as the sum of the
3    Organizational Unit's Local Capacity Target and its Real
4    Receipts Adjustment. The Real Receipts Adjustment equals
5    the Organizational Unit's Real Receipts less its Local
6    Capacity Target, with the resulting figure multiplied by
7    the Local Capacity Percentage.
8        As used in this paragraph (3), "Real Percent of
9    Adequacy" means the sum of an Organizational Unit's Real
10    Receipts, CPPRT, and Base Funding Minimum, with the
11    resulting figure divided by the Organizational Unit's
12    Adequacy Target.
13    (d) Calculation of Real Receipts, EAV, and Adjusted EAV for
14purposes of the Local Capacity calculation.
15        (1) An Organizational Unit's Real Receipts are the
16    product of its Applicable Tax Rate and its Adjusted EAV. An
17    Organizational Unit's Applicable Tax Rate is its Adjusted
18    Operating Tax Rate for property within the Organizational
19    Unit.
20        (2) The State Superintendent shall calculate the
21    Equalized Assessed Valuation, or EAV, of all taxable
22    property of each Organizational Unit as of September 30 of
23    the previous year in accordance with paragraph (3) of this
24    subsection (d). The State Superintendent shall then
25    determine the Adjusted EAV of each Organizational Unit in
26    accordance with paragraph (4) of this subsection (d), which

 

 

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1    Adjusted EAV figure shall be used for the purposes of
2    calculating Local Capacity.
3        (3) To calculate Real Receipts and EAV, the Department
4    of Revenue shall supply to the State Superintendent the
5    value as equalized or assessed by the Department of Revenue
6    of all taxable property of every Organizational Unit,
7    together with (i) the applicable tax rate used in extending
8    taxes for the funds of the Organizational Unit as of
9    September 30 of the previous year and (ii) the limiting
10    rate for all Organizational Units subject to property tax
11    extension limitations as imposed under PTELL.
12            (A) The Department of Revenue shall add to the
13        equalized assessed value of all taxable property of
14        each Organizational Unit situated entirely or
15        partially within a county that is or was subject to the
16        provisions of Section 15-176 or 15-177 of the Property
17        Tax Code (i) an amount equal to the total amount by
18        which the homestead exemption allowed under Section
19        15-176 or 15-177 of the Property Tax Code for real
20        property situated in that Organizational Unit exceeds
21        the total amount that would have been allowed in that
22        Organizational Unit if the maximum reduction under
23        Section 15-176 was (I) $4,500 in Cook County or $3,500
24        in all other counties in tax year 2003 or (II) $5,000
25        in all counties in tax year 2004 and thereafter and
26        (ii) an amount equal to the aggregate amount for the

 

 

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1        taxable year of all additional exemptions under
2        Section 15-175 of the Property Tax Code for owners with
3        a household income of $30,000 or less. The county clerk
4        of any county that is or was subject to the provisions
5        of Section 15-176 or 15-177 of the Property Tax Code
6        shall annually calculate and certify to the Department
7        of Revenue for each Organizational Unit all homestead
8        exemption amounts under Section 15-176 or 15-177 of the
9        Property Tax Code and all amounts of additional
10        exemptions under Section 15-175 of the Property Tax
11        Code for owners with a household income of $30,000 or
12        less. It is the intent of this subparagraph (A) that if
13        the general homestead exemption for a parcel of
14        property is determined under Section 15-176 or 15-177
15        of the Property Tax Code rather than Section 15-175,
16        then the calculation of EAV shall not be affected by
17        the difference, if any, between the amount of the
18        general homestead exemption allowed for that parcel of
19        property under Section 15-176 or 15-177 of the Property
20        Tax Code and the amount that would have been allowed
21        had the general homestead exemption for that parcel of
22        property been determined under Section 15-175 of the
23        Property Tax Code. It is further the intent of this
24        subparagraph (A) that if additional exemptions are
25        allowed under Section 15-175 of the Property Tax Code
26        for owners with a household income of less than

 

 

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1        $30,000, then the calculation of EAV shall not be
2        affected by the difference, if any, because of those
3        additional exemptions.
4            (B) With respect to any part of an Organizational
5        Unit within a redevelopment project area in respect to
6        which a municipality has adopted tax increment
7        allocation financing pursuant to the Tax Increment
8        Allocation Redevelopment Act, Division 74.4 of Article
9        11 of the Illinois Municipal Code, or the Industrial
10        Jobs Recovery Law, Division 74.6 of Article 11 of the
11        Illinois Municipal Code, no part of the current EAV of
12        real property located in any such project area which is
13        attributable to an increase above the total initial EAV
14        of such property shall be used as part of the EAV of
15        the Organizational Unit, until such time as all
16        redevelopment project costs have been paid, as
17        provided in Section 11-74.4-8 of the Tax Increment
18        Allocation Redevelopment Act or in Section 11-74.6-35
19        of the Industrial Jobs Recovery Law. For the purpose of
20        the EAV of the Organizational Unit, the total initial
21        EAV or the current EAV, whichever is lower, shall be
22        used until such time as all redevelopment project costs
23        have been paid.
24            (B-5) The real property equalized assessed
25        valuation for a school district shall be adjusted by
26        subtracting from the real property value, as equalized

 

 

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1        or assessed by the Department of Revenue, for the
2        district an amount computed by dividing the amount of
3        any abatement of taxes under Section 18-170 of the
4        Property Tax Code by 3.00% for a district maintaining
5        grades kindergarten through 12, by 2.30% for a district
6        maintaining grades kindergarten through 8, or by 1.05%
7        for a district maintaining grades 9 through 12 and
8        adjusted by an amount computed by dividing the amount
9        of any abatement of taxes under subsection (a) of
10        Section 18-165 of the Property Tax Code by the same
11        percentage rates for district type as specified in this
12        subparagraph (B-5).
13            (C) For Organizational Units that are Hybrid
14        Districts, the State Superintendent shall use the
15        lesser of the adjusted equalized assessed valuation
16        for property within the partial elementary unit
17        district for elementary purposes, as defined in
18        Article 11E of this Code, or the adjusted equalized
19        assessed valuation for property within the partial
20        elementary unit district for high school purposes, as
21        defined in Article 11E of this Code.
22        (4) An Organizational Unit's Adjusted EAV shall be the
23    average of its EAV over the immediately preceding 3 years
24    or its EAV in the immediately preceding year if the EAV in
25    the immediately preceding year has declined by 10% or more
26    compared to the 3-year average. In the event of

 

 

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1    Organizational Unit reorganization, consolidation, or
2    annexation, the Organizational Unit's Adjusted EAV for the
3    first 3 years after such change shall be as follows: the
4    most current EAV shall be used in the first year, the
5    average of a 2-year EAV or its EAV in the immediately
6    preceding year if the EAV declines by 10% or more compared
7    to the 2-year average for the second year, and a 3-year
8    average EAV or its EAV in the immediately preceding year if
9    the adjusted EAV declines by 10% or more compared to the
10    3-year average for the third year. For any school district
11    whose EAV in the immediately preceding year is used in
12    calculations, in the following year, the Adjusted EAV shall
13    be the average of its EAV over the immediately preceding 2
14    years or the immediately preceding year if that year
15    represents a decline of 10% or more compared to the 2-year
16    average.
17        "PTELL EAV" means a figure calculated by the State
18    Board for Organizational Units subject to PTELL as
19    described in this paragraph (4) for the purposes of
20    calculating an Organizational Unit's Local Capacity Ratio.
21    Except as otherwise provided in this paragraph (4), the
22    PTELL EAV of an Organizational Unit shall be equal to the
23    product of the equalized assessed valuation last used in
24    the calculation of general State aid under Section 18-8.05
25    of this Code (now repealed) or Evidence-Based Funding under
26    this Section and the Organizational Unit's Extension

 

 

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1    Limitation Ratio. If an Organizational Unit has approved or
2    does approve an increase in its limiting rate, pursuant to
3    Section 18-190 of the Property Tax Code, affecting the Base
4    Tax Year, the PTELL EAV shall be equal to the product of
5    the equalized assessed valuation last used in the
6    calculation of general State aid under Section 18-8.05 of
7    this Code (now repealed) or Evidence-Based Funding under
8    this Section multiplied by an amount equal to one plus the
9    percentage increase, if any, in the Consumer Price Index
10    for All Urban Consumers for all items published by the
11    United States Department of Labor for the 12-month calendar
12    year preceding the Base Tax Year, plus the equalized
13    assessed valuation of new property, annexed property, and
14    recovered tax increment value and minus the equalized
15    assessed valuation of disconnected property.
16        As used in this paragraph (4), "new property" and
17    "recovered tax increment value" shall have the meanings set
18    forth in the Property Tax Extension Limitation Law.
19    (e) Base Funding Minimum calculation.
20        (1) For the 2017-2018 school year, the Base Funding
21    Minimum of an Organizational Unit or a Specially Funded
22    Unit shall be the amount of State funds distributed to the
23    Organizational Unit or Specially Funded Unit during the
24    2016-2017 school year prior to any adjustments and
25    specified appropriation amounts described in this
26    paragraph (1) from the following Sections, as calculated by

 

 

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1    the State Superintendent: Section 18-8.05 of this Code (now
2    repealed); Section 5 of Article 224 of Public Act 99-524
3    (equity grants); Section 14-7.02b of this Code (funding for
4    children requiring special education services); Section
5    14-13.01 of this Code (special education facilities and
6    staffing), except for reimbursement of the cost of
7    transportation pursuant to Section 14-13.01; Section
8    14C-12 of this Code (English learners); and Section 18-4.3
9    of this Code (summer school), based on an appropriation
10    level of $13,121,600. For a school district organized under
11    Article 34 of this Code, the Base Funding Minimum also
12    includes (i) the funds allocated to the school district
13    pursuant to Section 1D-1 of this Code attributable to
14    funding programs authorized by the Sections of this Code
15    listed in the preceding sentence; and (ii) the difference
16    between (I) the funds allocated to the school district
17    pursuant to Section 1D-1 of this Code attributable to the
18    funding programs authorized by Section 14-7.02 (non-public
19    special education reimbursement), subsection (b) of
20    Section 14-13.01 (special education transportation),
21    Section 29-5 (transportation), Section 2-3.80
22    (agricultural education), Section 2-3.66 (truants'
23    alternative education), Section 2-3.62 (educational
24    service centers), and Section 14-7.03 (special education -
25    orphanage) of this Code and Section 15 of the Childhood
26    Hunger Relief Act (free breakfast program) and (II) the

 

 

HB2553- 49 -LRB101 09406 AXK 54504 b

1    school district's actual expenditures for its non-public
2    special education, special education transportation,
3    transportation programs, agricultural education, truants'
4    alternative education, services that would otherwise be
5    performed by a regional office of education, special
6    education orphanage expenditures, and free breakfast, as
7    most recently calculated and reported pursuant to
8    subsection (f) of Section 1D-1 of this Code. The Base
9    Funding Minimum for Glenwood Academy shall be $625,500.
10        (2) For the 2018-2019 and subsequent school years, the
11    Base Funding Minimum of Organizational Units and Specially
12    Funded Units shall be the sum of (i) the amount of
13    Evidence-Based Funding for the prior school year, (ii) the
14    Base Funding Minimum for the prior school year, and (iii)
15    any amount received by a school district pursuant to
16    Section 7 of Article 97 of Public Act 100-21.
17    (f) Percent of Adequacy and Final Resources calculation.
18        (1) The Evidence-Based Funding formula establishes a
19    Percent of Adequacy for each Organizational Unit in order
20    to place such units into tiers for the purposes of the
21    funding distribution system described in subsection (g) of
22    this Section. Initially, an Organizational Unit's
23    Preliminary Resources and Preliminary Percent of Adequacy
24    are calculated pursuant to paragraph (2) of this subsection
25    (f). Then, an Organizational Unit's Final Resources and
26    Final Percent of Adequacy are calculated to account for the

 

 

HB2553- 50 -LRB101 09406 AXK 54504 b

1    Organizational Unit's poverty concentration levels
2    pursuant to paragraphs (3) and (4) of this subsection (f).
3        (2) An Organizational Unit's Preliminary Resources are
4    equal to the sum of its Local Capacity Target, CPPRT, and
5    Base Funding Minimum. An Organizational Unit's Preliminary
6    Percent of Adequacy is the lesser of (i) its Preliminary
7    Resources divided by its Adequacy Target or (ii) 100%.
8        (3) Except for Specially Funded Units, an
9    Organizational Unit's Final Resources are equal the sum of
10    its Local Capacity, CPPRT, and Adjusted Base Funding
11    Minimum. The Base Funding Minimum of each Specially Funded
12    Unit shall serve as its Final Resources, except that the
13    Base Funding Minimum for State-approved charter schools
14    shall not include any portion of general State aid
15    allocated in the prior year based on the per capita tuition
16    charge times the charter school enrollment.
17        (4) An Organizational Unit's Final Percent of Adequacy
18    is its Final Resources divided by its Adequacy Target. An
19    Organizational Unit's Adjusted Base Funding Minimum is
20    equal to its Base Funding Minimum less its Supplemental
21    Grant Funding, with the resulting figure added to the
22    product of its Supplemental Grant Funding and Preliminary
23    Percent of Adequacy.
24    (g) Evidence-Based Funding formula distribution system.
25        (1) In each school year under the Evidence-Based
26    Funding formula, each Organizational Unit receives funding

 

 

HB2553- 51 -LRB101 09406 AXK 54504 b

1    equal to the sum of its Base Funding Minimum and the unit's
2    allocation of New State Funds determined pursuant to this
3    subsection (g). To allocate New State Funds, the
4    Evidence-Based Funding formula distribution system first
5    places all Organizational Units into one of 4 tiers in
6    accordance with paragraph (3) of this subsection (g), based
7    on the Organizational Unit's Final Percent of Adequacy. New
8    State Funds are allocated to each of the 4 tiers as
9    follows: Tier 1 Aggregate Funding equals 50% of all New
10    State Funds, Tier 2 Aggregate Funding equals 49% of all New
11    State Funds, Tier 3 Aggregate Funding equals 0.9% of all
12    New State Funds, and Tier 4 Aggregate Funding equals 0.1%
13    of all New State Funds. Each Organizational Unit within
14    Tier 1 or Tier 2 receives an allocation of New State Funds
15    equal to its tier Funding Gap, as defined in the following
16    sentence, multiplied by the tier's Allocation Rate
17    determined pursuant to paragraph (4) of this subsection
18    (g). For Tier 1, an Organizational Unit's Funding Gap
19    equals the tier's Target Ratio, as specified in paragraph
20    (5) of this subsection (g), multiplied by the
21    Organizational Unit's Adequacy Target, with the resulting
22    amount reduced by the Organizational Unit's Final
23    Resources. For Tier 2, an Organizational Unit's Funding Gap
24    equals the tier's Target Ratio, as described in paragraph
25    (5) of this subsection (g), multiplied by the
26    Organizational Unit's Adequacy Target, with the resulting

 

 

HB2553- 52 -LRB101 09406 AXK 54504 b

1    amount reduced by the Organizational Unit's Final
2    Resources and its Tier 1 funding allocation. To determine
3    the Organizational Unit's Funding Gap, the resulting
4    amount is then multiplied by a factor equal to one minus
5    the Organizational Unit's Local Capacity Target
6    percentage. Each Organizational Unit within Tier 3 or Tier
7    4 receives an allocation of New State Funds equal to the
8    product of its Adequacy Target and the tier's Allocation
9    Rate, as specified in paragraph (4) of this subsection (g).
10        (2) To ensure equitable distribution of dollars for all
11    Tier 2 Organizational Units, no Tier 2 Organizational Unit
12    shall receive fewer dollars per ASE than any Tier 3
13    Organizational Unit. Each Tier 2 and Tier 3 Organizational
14    Unit shall have its funding allocation divided by its ASE.
15    Any Tier 2 Organizational Unit with a funding allocation
16    per ASE below the greatest Tier 3 allocation per ASE shall
17    get a funding allocation equal to the greatest Tier 3
18    funding allocation per ASE multiplied by the
19    Organizational Unit's ASE. Each Tier 2 Organizational
20    Unit's Tier 2 funding allocation shall be multiplied by the
21    percentage calculated by dividing the original Tier 2
22    Aggregate Funding by the sum of all Tier 2 Organizational
23    Unit's Tier 2 funding allocation after adjusting
24    districts' funding below Tier 3 levels.
25        (3) Organizational Units are placed into one of 4 tiers
26    as follows:

 

 

HB2553- 53 -LRB101 09406 AXK 54504 b

1            (A) Tier 1 consists of all Organizational Units,
2        except for Specially Funded Units, with a Percent of
3        Adequacy less than the Tier 1 Target Ratio. The Tier 1
4        Target Ratio is the ratio level that allows for Tier 1
5        Aggregate Funding to be distributed, with the Tier 1
6        Allocation Rate determined pursuant to paragraph (4)
7        of this subsection (g).
8            (B) Tier 2 consists of all Tier 1 Units and all
9        other Organizational Units, except for Specially
10        Funded Units, with a Percent of Adequacy of less than
11        0.90.
12            (C) Tier 3 consists of all Organizational Units,
13        except for Specially Funded Units, with a Percent of
14        Adequacy of at least 0.90 and less than 1.0.
15            (D) Tier 4 consists of all Organizational Units
16        with a Percent of Adequacy of at least 1.0.
17        (4) The Allocation Rates for Tiers 1 through 4 is
18    determined as follows:
19            (A) The Tier 1 Allocation Rate is 30%.
20            (B) The Tier 2 Allocation Rate is the result of the
21        following equation: Tier 2 Aggregate Funding, divided
22        by the sum of the Funding Gaps for all Tier 2
23        Organizational Units, unless the result of such
24        equation is higher than 1.0. If the result of such
25        equation is higher than 1.0, then the Tier 2 Allocation
26        Rate is 1.0.

 

 

HB2553- 54 -LRB101 09406 AXK 54504 b

1            (C) The Tier 3 Allocation Rate is the result of the
2        following equation: Tier 3 Aggregate Funding, divided
3        by the sum of the Adequacy Targets of all Tier 3
4        Organizational Units.
5            (D) The Tier 4 Allocation Rate is the result of the
6        following equation: Tier 4 Aggregate Funding, divided
7        by the sum of the Adequacy Targets of all Tier 4
8        Organizational Units.
9        (5) A tier's Target Ratio is determined as follows:
10            (A) The Tier 1 Target Ratio is the ratio level that
11        allows for Tier 1 Aggregate Funding to be distributed
12        with the Tier 1 Allocation Rate.
13            (B) The Tier 2 Target Ratio is 0.90.
14            (C) The Tier 3 Target Ratio is 1.0.
15        (6) If, at any point, the Tier 1 Target Ratio is
16    greater than 90%, than all Tier 1 funding shall be
17    allocated to Tier 2 and no Tier 1 Organizational Unit's
18    funding may be identified.
19        (7) In the event that all Tier 2 Organizational Units
20    receive funding at the Tier 2 Target Ratio level, any
21    remaining New State Funds shall be allocated to Tier 3 and
22    Tier 4 Organizational Units.
23        (8) If any Specially Funded Units, excluding Glenwood
24    Academy, recognized by the State Board do not qualify for
25    direct funding following the implementation of this
26    amendatory Act of the 100th General Assembly from any of

 

 

HB2553- 55 -LRB101 09406 AXK 54504 b

1    the funding sources included within the definition of Base
2    Funding Minimum, the unqualified portion of the Base
3    Funding Minimum shall be transferred to one or more
4    appropriate Organizational Units as determined by the
5    State Superintendent based on the prior year ASE of the
6    Organizational Units.
7        (8.5) If a school district withdraws from a special
8    education cooperative, the portion of the Base Funding
9    Minimum that is attributable to the school district may be
10    redistributed to the school district upon withdrawal. The
11    school district and the cooperative must include the amount
12    of the Base Funding Minimum that is to be re-apportioned in
13    their withdrawal agreement and notify the State Board of
14    the change with a copy of the agreement upon withdrawal.
15        (9) The Minimum Funding Level is intended to establish
16    a target for State funding that will keep pace with
17    inflation and continue to advance equity through the
18    Evidence-Based Funding formula. The target for State
19    funding of New Property Tax Relief Pool Funds is
20    $50,000,000 for State fiscal year 2019 and subsequent State
21    fiscal years. The Minimum Funding Level is equal to
22    $350,000,000. In addition to any New State Funds, no more
23    than $50,000,000 New Property Tax Relief Pool Funds may be
24    counted towards the Minimum Funding Level. If the sum of
25    New State Funds and applicable New Property Tax Relief Pool
26    Funds are less than the Minimum Funding Level, than funding

 

 

HB2553- 56 -LRB101 09406 AXK 54504 b

1    for tiers shall be reduced in the following manner:
2            (A) First, Tier 4 funding shall be reduced by an
3        amount equal to the difference between the Minimum
4        Funding Level and New State Funds until such time as
5        Tier 4 funding is exhausted.
6            (B) Next, Tier 3 funding shall be reduced by an
7        amount equal to the difference between the Minimum
8        Funding Level and New State Funds and the reduction in
9        Tier 4 funding until such time as Tier 3 funding is
10        exhausted.
11            (C) Next, Tier 2 funding shall be reduced by an
12        amount equal to the difference between the Minimum
13        Funding level and new State Funds and the reduction
14        Tier 4 and Tier 3.
15            (D) Finally, Tier 1 funding shall be reduced by an
16        amount equal to the difference between the Minimum
17        Funding level and New State Funds and the reduction in
18        Tier 2, 3, and 4 funding. In addition, the Allocation
19        Rate for Tier 1 shall be reduced to a percentage equal
20        to the Tier 1 allocation rate set by paragraph (4) of
21        this subsection (g), multiplied by the result of New
22        State Funds divided by the Minimum Funding Level.
23        (9.5) For State fiscal year 2019 and subsequent State
24    fiscal years, if New State Funds exceed $300,000,000, then
25    any amount in excess of $300,000,000 shall be dedicated for
26    purposes of Section 2-3.170 of this Code up to a maximum of

 

 

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1    $50,000,000.
2        (10) In the event of a decrease in the amount of the
3    appropriation for this Section in any fiscal year after
4    implementation of this Section, the Organizational Units
5    receiving Tier 1 and Tier 2 funding, as determined under
6    paragraph (3) of this subsection (g), shall be held
7    harmless by establishing a Base Funding Guarantee equal to
8    the per pupil kindergarten through grade 12 funding
9    received in accordance with this Section in the prior
10    fiscal year. Reductions shall be made to the Base Funding
11    Minimum of Organizational Units in Tier 3 and Tier 4 on a
12    per pupil basis equivalent to the total number of the ASE
13    in Tier 3-funded and Tier 4-funded Organizational Units
14    divided by the total reduction in State funding. The Base
15    Funding Minimum as reduced shall continue to be applied to
16    Tier 3 and Tier 4 Organizational Units and adjusted by the
17    relative formula when increases in appropriations for this
18    Section resume. In no event may State funding reductions to
19    Organizational Units in Tier 3 or Tier 4 exceed an amount
20    that would be less than the Base Funding Minimum
21    established in the first year of implementation of this
22    Section. If additional reductions are required, all school
23    districts shall receive a reduction by a per pupil amount
24    equal to the aggregate additional appropriation reduction
25    divided by the total ASE of all Organizational Units.
26        (11) The State Superintendent shall make minor

 

 

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1    adjustments to the distribution formula set forth in this
2    subsection (g) to account for the rounding of percentages
3    to the nearest tenth of a percentage and dollar amounts to
4    the nearest whole dollar.
5    (h) State Superintendent administration of funding and
6district submission requirements.
7        (1) The State Superintendent shall, in accordance with
8    appropriations made by the General Assembly or the
9    Education Prioritization Act, meet the funding obligations
10    created under this Section.
11        (2) The State Superintendent shall calculate the
12    Adequacy Target for each Organizational Unit and Net State
13    Contribution Target for each Organizational Unit under
14    this Section. The State Superintendent shall also certify
15    the actual amounts of the New State Funds payable for each
16    eligible Organizational Unit based on the equitable
17    distribution calculation to the unit's treasurer, as soon
18    as possible after such amounts are calculated, including
19    any applicable adjusted charge-off increase. No
20    Evidence-Based Funding shall be distributed within an
21    Organizational Unit without the approval of the unit's
22    school board.
23        (3) Annually, the State Superintendent shall calculate
24    and report to each Organizational Unit the unit's aggregate
25    financial adequacy amount, which shall be the sum of the
26    Adequacy Target for each Organizational Unit. The State

 

 

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1    Superintendent shall calculate and report separately for
2    each Organizational Unit the unit's total State funds
3    allocated for its students with disabilities. The State
4    Superintendent shall calculate and report separately for
5    each Organizational Unit the amount of funding and
6    applicable FTE calculated for each Essential Element of the
7    unit's Adequacy Target.
8        (4) Annually, the State Superintendent shall calculate
9    and report to each Organizational Unit the amount the unit
10    must expend on special education and bilingual education
11    and computer technology and equipment for Organizational
12    Units assigned to Tier 1 or Tier 2 that received an
13    additional $285.50 per student computer technology and
14    equipment investment grant to their Adequacy Target
15    pursuant to the unit's Base Funding Minimum, Special
16    Education Allocation, Bilingual Education Allocation, and
17    computer technology and equipment investment allocation.
18        (5) Moneys distributed under this Section shall be
19    calculated on a school year basis, but paid on a fiscal
20    year basis, with payments beginning in August and extending
21    through June. Unless otherwise provided, the moneys
22    appropriated for each fiscal year shall be distributed in
23    22 equal payments at least 2 times monthly to each
24    Organizational Unit. The State Board shall publish a yearly
25    distribution schedule at its meeting in June. If moneys
26    appropriated for any fiscal year are distributed other than

 

 

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1    monthly, the distribution shall be on the same basis for
2    each Organizational Unit.
3        (6) Any school district that fails, for any given
4    school year, to maintain school as required by law or to
5    maintain a recognized school is not eligible to receive
6    Evidence-Based Funding. In case of non-recognition of one
7    or more attendance centers in a school district otherwise
8    operating recognized schools, the claim of the district
9    shall be reduced in the proportion that the enrollment in
10    the attendance center or centers bears to the enrollment of
11    the school district. "Recognized school" means any public
12    school that meets the standards for recognition by the
13    State Board. A school district or attendance center not
14    having recognition status at the end of a school term is
15    entitled to receive State aid payments due upon a legal
16    claim that was filed while it was recognized.
17        (7) School district claims filed under this Section are
18    subject to Sections 18-9 and 18-12 of this Code, except as
19    otherwise provided in this Section.
20        (8) Each fiscal year, the State Superintendent shall
21    calculate for each Organizational Unit an amount of its
22    Base Funding Minimum and Evidence-Based Funding that shall
23    be deemed attributable to the provision of special
24    educational facilities and services, as defined in Section
25    14-1.08 of this Code, in a manner that ensures compliance
26    with maintenance of State financial support requirements

 

 

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1    under the federal Individuals with Disabilities Education
2    Act. An Organizational Unit must use such funds only for
3    the provision of special educational facilities and
4    services, as defined in Section 14-1.08 of this Code, and
5    must comply with any expenditure verification procedures
6    adopted by the State Board.
7        (9) All Organizational Units in this State must submit
8    annual spending plans by the end of September of each year
9    to the State Board as part of the annual budget process,
10    which shall describe how each Organizational Unit will
11    utilize the Base Minimum Funding and Evidence-Based
12    funding it receives from this State under this Section with
13    specific identification of the intended utilization of
14    Low-Income, English learner, and special education
15    resources. Additionally, the annual spending plans of each
16    Organizational Unit shall describe how the Organizational
17    Unit expects to achieve student growth and how the
18    Organizational Unit will achieve State education goals, as
19    defined by the State Board. The State Superintendent may,
20    from time to time, identify additional requisites for
21    Organizational Units to satisfy when compiling the annual
22    spending plans required under this subsection (h). The
23    format and scope of annual spending plans shall be
24    developed by the State Superintendent in conjunction with
25    the Professional Review Panel. School districts that serve
26    students under Article 14C of this Code shall continue to

 

 

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1    submit information as required under Section 14C-12 of this
2    Code.
3        (10) No later than January 1, 2018, the State
4    Superintendent shall develop a 5-year strategic plan for
5    all Organizational Units to help in planning for adequacy
6    funding under this Section. The State Superintendent shall
7    submit the plan to the Governor and the General Assembly,
8    as provided in Section 3.1 of the General Assembly
9    Organization Act. The plan shall include recommendations
10    for:
11            (A) a framework for collaborative, professional,
12        innovative, and 21st century learning environments
13        using the Evidence-Based Funding model;
14            (B) ways to prepare and support this State's
15        educators for successful instructional careers;
16            (C) application and enhancement of the current
17        financial accountability measures, the approved State
18        plan to comply with the federal Every Student Succeeds
19        Act, and the Illinois Balanced Accountability Measures
20        in relation to student growth and elements of the
21        Evidence-Based Funding model; and
22            (D) implementation of an effective school adequacy
23        funding system based on projected and recommended
24        funding levels from the General Assembly.
25    (i) Professional Review Panel.
26        (1) A Professional Review Panel is created to study and

 

 

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1    review the implementation and effect of the Evidence-Based
2    Funding model under this Section and to recommend continual
3    recalibration and future study topics and modifications to
4    the Evidence-Based Funding model. The Panel shall elect a
5    chairperson and vice chairperson by a majority vote of the
6    Panel and shall advance recommendations based on a majority
7    vote of the Panel. A minority opinion may also accompany
8    any recommendation of the majority of the Panel. The Panel
9    shall be appointed by the State Superintendent, except as
10    otherwise provided in paragraph (2) of this subsection (i)
11    and include the following members:
12            (A) Two appointees that represent district
13        superintendents, recommended by a statewide
14        organization that represents district superintendents.
15            (B) Two appointees that represent school boards,
16        recommended by a statewide organization that
17        represents school boards.
18            (C) Two appointees from districts that represent
19        school business officials, recommended by a statewide
20        organization that represents school business
21        officials.
22            (D) Two appointees that represent school
23        principals, recommended by a statewide organization
24        that represents school principals.
25            (E) Two appointees that represent teachers,
26        recommended by a statewide organization that

 

 

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1        represents teachers.
2            (F) Two appointees that represent teachers,
3        recommended by another statewide organization that
4        represents teachers.
5            (G) Two appointees that represent regional
6        superintendents of schools, recommended by
7        organizations that represent regional superintendents.
8            (H) Two independent experts selected solely by the
9        State Superintendent.
10            (I) Two independent experts recommended by public
11        universities in this State.
12            (J) One member recommended by a statewide
13        organization that represents parents.
14            (K) Two representatives recommended by collective
15        impact organizations that represent major metropolitan
16        areas or geographic areas in Illinois.
17            (L) One member from a statewide organization
18        focused on research-based education policy to support
19        a school system that prepares all students for college,
20        a career, and democratic citizenship.
21            (M) One representative from a school district
22        organized under Article 34 of this Code.
23        The State Superintendent shall ensure that the
24    membership of the Panel includes representatives from
25    school districts and communities reflecting the
26    geographic, socio-economic, racial, and ethnic diversity

 

 

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1    of this State. The State Superintendent shall additionally
2    ensure that the membership of the Panel includes
3    representatives with expertise in bilingual education and
4    special education. Staff from the State Board shall staff
5    the Panel.
6        (2) In addition to those Panel members appointed by the
7    State Superintendent, 4 members of the General Assembly
8    shall be appointed as follows: one member of the House of
9    Representatives appointed by the Speaker of the House of
10    Representatives, one member of the Senate appointed by the
11    President of the Senate, one member of the House of
12    Representatives appointed by the Minority Leader of the
13    House of Representatives, and one member of the Senate
14    appointed by the Minority Leader of the Senate. There shall
15    be one additional member appointed by the Governor. All
16    members appointed by legislative leaders or the Governor
17    shall be non-voting, ex officio members.
18        (3) On an annual basis, the State Superintendent shall
19    recalibrate the following per pupil elements of the
20    Adequacy Target and applied to the formulas, based on the
21    Panel's study of average expenses as reported in the most
22    recent annual financial report:
23            (A) gifted under subparagraph (M) of paragraph (2)
24        of subsection (b) of this Section;
25            (B) instructional materials under subparagraph (O)
26        of paragraph (2) of subsection (b) of this Section;

 

 

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1            (C) assessment under subparagraph (P) of paragraph
2        (2) of subsection (b) of this Section;
3            (D) student activities under subparagraph (R) of
4        paragraph (2) of subsection (b) of this Section;
5            (E) maintenance and operations under subparagraph
6        (S) of paragraph (2) of subsection (b) of this Section;
7        and
8            (F) central office under subparagraph (T) of
9        paragraph (2) of subsection (b) of this Section.
10        (4) On a periodic basis, the Panel shall study all the
11    following elements and make recommendations to the State
12    Board, the General Assembly, and the Governor for
13    modification of this Section:
14            (A) The format and scope of annual spending plans
15        referenced in paragraph (9) of subsection (h) of this
16        Section.
17            (B) The Comparable Wage Index under this Section,
18        to be studied by the Panel and reestablished by the
19        State Superintendent every 5 years.
20            (C) Maintenance and operations. Within 5 years
21        after the implementation of this Section, the Panel
22        shall make recommendations for the further study of
23        maintenance and operations costs, including capital
24        maintenance costs, and recommend any additional
25        reporting data required from Organizational Units.
26            (D) "At-risk student" definition. Within 5 years

 

 

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1        after the implementation of this Section, the Panel
2        shall make recommendations for the further study and
3        determination of an "at-risk student" definition.
4        Within 5 years after the implementation of this
5        Section, the Panel shall evaluate and make
6        recommendations regarding adequate funding for poverty
7        concentration under the Evidence-Based Funding model.
8            (E) Benefits. Within 5 years after the
9        implementation of this Section, the Panel shall make
10        recommendations for further study of benefit costs.
11            (F) Technology. The per pupil target for
12        technology shall be reviewed every 3 years to determine
13        whether current allocations are sufficient to develop
14        21st century learning in all classrooms in this State
15        and supporting a one-to-one technological device
16        program in each school. Recommendations shall be made
17        no later than 3 years after the implementation of this
18        Section.
19            (G) Local Capacity Target. Within 3 years after the
20        implementation of this Section, the Panel shall make
21        recommendations for any additional data desired to
22        analyze possible modifications to the Local Capacity
23        Target, to be based on measures in addition to solely
24        EAV and to be completed within 5 years after
25        implementation of this Section.
26            (H) Funding for Alternative Schools, Laboratory

 

 

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1        Schools, safe schools, and alternative learning
2        opportunities programs. By the beginning of the
3        2021-2022 school year, the Panel shall study and make
4        recommendations regarding the funding levels for
5        Alternative Schools, Laboratory Schools, safe schools,
6        and alternative learning opportunities programs in
7        this State.
8            (I) Funding for college and career acceleration
9        strategies. By the beginning of the 2021-2022 school
10        year, the Panel shall study and make recommendations
11        regarding funding levels to support college and career
12        acceleration strategies in high school that have been
13        demonstrated to result in improved secondary and
14        postsecondary outcomes, including Advanced Placement,
15        dual-credit opportunities, and college and career
16        pathway systems.
17            (J) Special education investments. By the
18        beginning of the 2021-2022 school year, the Panel shall
19        study and make recommendations on whether and how to
20        account for disability types within the special
21        education funding category.
22            (K) Early childhood investments. In collaboration
23        with the Illinois Early Learning Council, the Panel
24        shall include an analysis of what level of Preschool
25        for All Children funding would be necessary to serve
26        all children ages 0 through 5 years in the

 

 

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1        highest-priority service tier, as specified in
2        paragraph (4.5) of subsection (a) of Section 2-3.71 of
3        this Code, and an analysis of the potential cost
4        savings that that level of Preschool for All Children
5        investment would have on the kindergarten through
6        grade 12 system.
7        (5) Within 5 years after the implementation of this
8    Section, the Panel shall complete an evaluative study of
9    the entire Evidence-Based Funding model, including an
10    assessment of whether or not the formula is achieving State
11    goals. The Panel shall report to the State Board, the
12    General Assembly, and the Governor on the findings of the
13    study.
14        (6) Within 3 years after the implementation of this
15    Section, the Panel shall evaluate and provide
16    recommendations to the Governor and the General Assembly on
17    the hold-harmless provisions of this Section found in the
18    Base Funding Minimum.
19    (j) References. Beginning July 1, 2017, references in other
20laws to general State aid funds or calculations under Section
2118-8.05 of this Code (now repealed) shall be deemed to be
22references to evidence-based model formula funds or
23calculations under this Section.
24(Source: P.A. 100-465, eff. 8-31-17; 100-578, eff. 1-31-18;
25100-582, eff. 3-23-18.)
 

 

 

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1    Section 90. The State Mandates Act is amended by adding
2Section 8.43 as follows:
 
3    (30 ILCS 805/8.43 new)
4    Sec. 8.43. Exempt mandate. Notwithstanding Sections 6 and 8
5of this Act, no reimbursement by the State is required for the
6implementation of any mandate created by this amendatory Act of
7the 101st General Assembly.
 
8    Section 99. Effective date. This Act takes effect upon
9becoming law.