Sen. Andy Manar

Filed: 5/5/2014

 

 


 

 


 
09800SB0016sam002LRB098 04277 NHT 59066 a

1
AMENDMENT TO SENATE BILL 16

2    AMENDMENT NO. ______. Amend Senate Bill 16 as follows:
 
3on page 1, line 1, after "education", by inserting ", which may
4be referred to as the School Funding Reform Act of 2014"; and
 
5on page 1, by replacing lines 4 through 15 with the following:
 
6    "Section 905. The Economic Development Area Tax Increment
7Allocation Act is amended by changing Section 7 as follows:
 
8    (20 ILCS 620/7)  (from Ch. 67 1/2, par. 1007)
9    Sec. 7. Creation of special tax allocation fund. If a
10municipality has adopted tax increment allocation financing
11for an economic development project area by ordinance, the
12county clerk has thereafter certified the "total initial
13equalized assessed value" of the taxable real property within
14such economic development project area in the manner provided

 

 

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1in Section 6 of this Act, and the Department has approved and
2certified the economic development project area, each year
3after the date of the certification by the county clerk of the
4"total initial equalized assessed value" until economic
5development project costs and all municipal obligations
6financing economic development project costs have been paid,
7the ad valorem taxes, if any, arising from the levies upon the
8taxable real property in the economic development project area
9by taxing districts and tax rates determined in the manner
10provided in subsection (b) of Section 6 of this Act shall be
11divided as follows:
12    (1) That portion of the taxes levied upon each taxable lot,
13block, tract or parcel of real property which is attributable
14to the lower of the current equalized assessed value or the
15initial equalized assessed value of each such taxable lot,
16block, tract, or parcel of real property existing at the time
17tax increment allocation financing was adopted, shall be
18allocated to and when collected shall be paid by the county
19collector to the respective affected taxing districts in the
20manner required by law in the absence of the adoption of tax
21increment allocation financing.
22    (2) That portion, if any, of those taxes which is
23attributable to the increase in the current equalized assessed
24valuation of each taxable lot, block, tract, or parcel of real
25property in the economic development project area, over and
26above the initial equalized assessed value of each property

 

 

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1existing at the time tax increment allocation financing was
2adopted, shall be allocated to and when collected shall be paid
3to the municipal treasurer, who shall deposit those taxes into
4a special fund called the special tax allocation fund of the
5municipality for the purpose of paying economic development
6project costs and obligations incurred in the payment thereof.
7    The municipality, by an ordinance adopting tax increment
8allocation financing, may pledge the funds in and to be
9deposited in the special tax allocation fund for the payment of
10obligations issued under this Act and for the payment of
11economic development project costs. No part of the current
12equalized assessed valuation of each property in the economic
13development project area attributable to any increase above the
14total initial equalized assessed value, of such properties
15shall be used in calculating the general State school aid
16formula, provided for in Section 18-8 of the School Code, or
17the primary State aid formula, provided for in Section 18-8.15
18of the School Code, until such time as all economic development
19projects costs have been paid as provided for in this Section.
20    When the economic development project costs, including
21without limitation all municipal obligations financing
22economic development project costs incurred under this Act,
23have been paid, all surplus funds then remaining in the special
24tax allocation fund shall be distributed by being paid by the
25municipal treasurer to the county collector, who shall
26immediately thereafter pay those funds to the taxing districts

 

 

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1having taxable property in the economic development project
2area in the same manner and proportion as the most recent
3distribution by the county collector to those taxing districts
4of real property taxes from real property in the economic
5development project area.
6    Upon the payment of all economic development project costs,
7retirement of obligations and the distribution of any excess
8monies pursuant to this Section the municipality shall adopt an
9ordinance dissolving the special tax allocation fund for the
10economic development project area, terminating the economic
11development project area, and terminating the use of tax
12increment allocation financing for the economic development
13project area. Thereafter the rates of the taxing districts
14shall be extended and taxes levied, collected and distributed
15in the manner applicable in the absence of the adoption of tax
16increment allocation financing.
17    Nothing in this Section shall be construed as relieving
18property in economic development project areas from being
19assessed as provided in the Property Tax Code, or as relieving
20owners of that property from paying a uniform rate of taxes, as
21required by Section 4 of Article IX of the Illinois
22Constitution.
23(Source: P.A. 98-463, eff. 8-16-13.)
 
24    Section 910. The State Finance Act is amended by changing
25Section 13.2 as follows:
 

 

 

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1    (30 ILCS 105/13.2)  (from Ch. 127, par. 149.2)
2    Sec. 13.2. Transfers among line item appropriations.
3    (a) Transfers among line item appropriations from the same
4treasury fund for the objects specified in this Section may be
5made in the manner provided in this Section when the balance
6remaining in one or more such line item appropriations is
7insufficient for the purpose for which the appropriation was
8made.
9    (a-1) No transfers may be made from one agency to another
10agency, nor may transfers be made from one institution of
11higher education to another institution of higher education
12except as provided by subsection (a-4).
13    (a-2) Except as otherwise provided in this Section,
14transfers may be made only among the objects of expenditure
15enumerated in this Section, except that no funds may be
16transferred from any appropriation for personal services, from
17any appropriation for State contributions to the State
18Employees' Retirement System, from any separate appropriation
19for employee retirement contributions paid by the employer, nor
20from any appropriation for State contribution for employee
21group insurance. During State fiscal year 2005, an agency may
22transfer amounts among its appropriations within the same
23treasury fund for personal services, employee retirement
24contributions paid by employer, and State Contributions to
25retirement systems; notwithstanding and in addition to the

 

 

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1transfers authorized in subsection (c) of this Section, the
2fiscal year 2005 transfers authorized in this sentence may be
3made in an amount not to exceed 2% of the aggregate amount
4appropriated to an agency within the same treasury fund. During
5State fiscal year 2007, the Departments of Children and Family
6Services, Corrections, Human Services, and Juvenile Justice
7may transfer amounts among their respective appropriations
8within the same treasury fund for personal services, employee
9retirement contributions paid by employer, and State
10contributions to retirement systems. During State fiscal year
112010, the Department of Transportation may transfer amounts
12among their respective appropriations within the same treasury
13fund for personal services, employee retirement contributions
14paid by employer, and State contributions to retirement
15systems. During State fiscal years 2010 and 2014 only, an
16agency may transfer amounts among its respective
17appropriations within the same treasury fund for personal
18services, employee retirement contributions paid by employer,
19and State contributions to retirement systems.
20Notwithstanding, and in addition to, the transfers authorized
21in subsection (c) of this Section, these transfers may be made
22in an amount not to exceed 2% of the aggregate amount
23appropriated to an agency within the same treasury fund.
24    (a-3) Further, if an agency receives a separate
25appropriation for employee retirement contributions paid by
26the employer, any transfer by that agency into an appropriation

 

 

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1for personal services must be accompanied by a corresponding
2transfer into the appropriation for employee retirement
3contributions paid by the employer, in an amount sufficient to
4meet the employer share of the employee contributions required
5to be remitted to the retirement system.
6    (a-4) Long-Term Care Rebalancing. The Governor may
7designate amounts set aside for institutional services
8appropriated from the General Revenue Fund or any other State
9fund that receives monies for long-term care services to be
10transferred to all State agencies responsible for the
11administration of community-based long-term care programs,
12including, but not limited to, community-based long-term care
13programs administered by the Department of Healthcare and
14Family Services, the Department of Human Services, and the
15Department on Aging, provided that the Director of Healthcare
16and Family Services first certifies that the amounts being
17transferred are necessary for the purpose of assisting persons
18in or at risk of being in institutional care to transition to
19community-based settings, including the financial data needed
20to prove the need for the transfer of funds. The total amounts
21transferred shall not exceed 4% in total of the amounts
22appropriated from the General Revenue Fund or any other State
23fund that receives monies for long-term care services for each
24fiscal year. A notice of the fund transfer must be made to the
25General Assembly and posted at a minimum on the Department of
26Healthcare and Family Services website, the Governor's Office

 

 

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1of Management and Budget website, and any other website the
2Governor sees fit. These postings shall serve as notice to the
3General Assembly of the amounts to be transferred. Notice shall
4be given at least 30 days prior to transfer.
5    (b) In addition to the general transfer authority provided
6under subsection (c), the following agencies have the specific
7transfer authority granted in this subsection:
8    The Department of Healthcare and Family Services is
9authorized to make transfers representing savings attributable
10to not increasing grants due to the births of additional
11children from line items for payments of cash grants to line
12items for payments for employment and social services for the
13purposes outlined in subsection (f) of Section 4-2 of the
14Illinois Public Aid Code.
15    The Department of Children and Family Services is
16authorized to make transfers not exceeding 2% of the aggregate
17amount appropriated to it within the same treasury fund for the
18following line items among these same line items: Foster Home
19and Specialized Foster Care and Prevention, Institutions and
20Group Homes and Prevention, and Purchase of Adoption and
21Guardianship Services.
22    The Department on Aging is authorized to make transfers not
23exceeding 2% of the aggregate amount appropriated to it within
24the same treasury fund for the following Community Care Program
25line items among these same line items: purchase of services
26covered by the Community Care Program and Comprehensive Case

 

 

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1Coordination.
2    The State Treasurer is authorized to make transfers among
3line item appropriations from the Capital Litigation Trust
4Fund, with respect to costs incurred in fiscal years 2002 and
52003 only, when the balance remaining in one or more such line
6item appropriations is insufficient for the purpose for which
7the appropriation was made, provided that no such transfer may
8be made unless the amount transferred is no longer required for
9the purpose for which that appropriation was made.
10    The State Board of Education is authorized to make
11transfers from line item appropriations within the same
12treasury fund for General State Aid, and General State Aid -
13Hold Harmless, Primary State Aid, and Hold Harmless State
14Funding, provided that no such transfer may be made unless the
15amount transferred is no longer required for the purpose for
16which that appropriation was made, to the line item
17appropriation for Transitional Assistance when the balance
18remaining in such line item appropriation is insufficient for
19the purpose for which the appropriation was made.
20    The State Board of Education is authorized to make
21transfers between the following line item appropriations
22within the same treasury fund: Disabled Student
23Services/Materials (Section 14-13.01 of the School Code),
24Disabled Student Transportation Reimbursement (Section
2514-13.01 of the School Code), Disabled Student Tuition -
26Private Tuition (Section 14-7.02 of the School Code),

 

 

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1Extraordinary Special Education (Section 14-7.02b of the
2School Code), Reimbursement for Free Lunch/Breakfast Program,
3Summer School Payments (Section 18-4.3 of the School Code), and
4Transportation - Regular/Vocational Reimbursement (Section
529-5 of the School Code). Such transfers shall be made only
6when the balance remaining in one or more such line item
7appropriations is insufficient for the purpose for which the
8appropriation was made and provided that no such transfer may
9be made unless the amount transferred is no longer required for
10the purpose for which that appropriation was made.
11    The Department of Healthcare and Family Services is
12authorized to make transfers not exceeding 4% of the aggregate
13amount appropriated to it, within the same treasury fund, among
14the various line items appropriated for Medical Assistance.
15    (c) The sum of such transfers for an agency in a fiscal
16year shall not exceed 2% of the aggregate amount appropriated
17to it within the same treasury fund for the following objects:
18Personal Services; Extra Help; Student and Inmate
19Compensation; State Contributions to Retirement Systems; State
20Contributions to Social Security; State Contribution for
21Employee Group Insurance; Contractual Services; Travel;
22Commodities; Printing; Equipment; Electronic Data Processing;
23Operation of Automotive Equipment; Telecommunications
24Services; Travel and Allowance for Committed, Paroled and
25Discharged Prisoners; Library Books; Federal Matching Grants
26for Student Loans; Refunds; Workers' Compensation,

 

 

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1Occupational Disease, and Tort Claims; and, in appropriations
2to institutions of higher education, Awards and Grants.
3Notwithstanding the above, any amounts appropriated for
4payment of workers' compensation claims to an agency to which
5the authority to evaluate, administer and pay such claims has
6been delegated by the Department of Central Management Services
7may be transferred to any other expenditure object where such
8amounts exceed the amount necessary for the payment of such
9claims.
10    (c-1) Special provisions for State fiscal year 2003.
11Notwithstanding any other provision of this Section to the
12contrary, for State fiscal year 2003 only, transfers among line
13item appropriations to an agency from the same treasury fund
14may be made provided that the sum of such transfers for an
15agency in State fiscal year 2003 shall not exceed 3% of the
16aggregate amount appropriated to that State agency for State
17fiscal year 2003 for the following objects: personal services,
18except that no transfer may be approved which reduces the
19aggregate appropriations for personal services within an
20agency; extra help; student and inmate compensation; State
21contributions to retirement systems; State contributions to
22social security; State contributions for employee group
23insurance; contractual services; travel; commodities;
24printing; equipment; electronic data processing; operation of
25automotive equipment; telecommunications services; travel and
26allowance for committed, paroled, and discharged prisoners;

 

 

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1library books; federal matching grants for student loans;
2refunds; workers' compensation, occupational disease, and tort
3claims; and, in appropriations to institutions of higher
4education, awards and grants.
5    (c-2) Special provisions for State fiscal year 2005.
6Notwithstanding subsections (a), (a-2), and (c), for State
7fiscal year 2005 only, transfers may be made among any line
8item appropriations from the same or any other treasury fund
9for any objects or purposes, without limitation, when the
10balance remaining in one or more such line item appropriations
11is insufficient for the purpose for which the appropriation was
12made, provided that the sum of those transfers by a State
13agency shall not exceed 4% of the aggregate amount appropriated
14to that State agency for fiscal year 2005.
15    (d) Transfers among appropriations made to agencies of the
16Legislative and Judicial departments and to the
17constitutionally elected officers in the Executive branch
18require the approval of the officer authorized in Section 10 of
19this Act to approve and certify vouchers. Transfers among
20appropriations made to the University of Illinois, Southern
21Illinois University, Chicago State University, Eastern
22Illinois University, Governors State University, Illinois
23State University, Northeastern Illinois University, Northern
24Illinois University, Western Illinois University, the Illinois
25Mathematics and Science Academy and the Board of Higher
26Education require the approval of the Board of Higher Education

 

 

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1and the Governor. Transfers among appropriations to all other
2agencies require the approval of the Governor.
3    The officer responsible for approval shall certify that the
4transfer is necessary to carry out the programs and purposes
5for which the appropriations were made by the General Assembly
6and shall transmit to the State Comptroller a certified copy of
7the approval which shall set forth the specific amounts
8transferred so that the Comptroller may change his records
9accordingly. The Comptroller shall furnish the Governor with
10information copies of all transfers approved for agencies of
11the Legislative and Judicial departments and transfers
12approved by the constitutionally elected officials of the
13Executive branch other than the Governor, showing the amounts
14transferred and indicating the dates such changes were entered
15on the Comptroller's records.
16    (e) The State Board of Education, in consultation with the
17State Comptroller, may transfer line item appropriations for
18General State Aid or Primary State Aid between the Common
19School Fund and the Education Assistance Fund. With the advice
20and consent of the Governor's Office of Management and Budget,
21the State Board of Education, in consultation with the State
22Comptroller, may transfer line item appropriations between the
23General Revenue Fund and the Education Assistance Fund for the
24following programs:
25        (1) Disabled Student Personnel Reimbursement (Section
26    14-13.01 of the School Code);

 

 

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1        (2) Disabled Student Transportation Reimbursement
2    (subsection (b) of Section 14-13.01 of the School Code);
3        (3) Disabled Student Tuition - Private Tuition
4    (Section 14-7.02 of the School Code);
5        (4) Extraordinary Special Education (Section 14-7.02b
6    of the School Code);
7        (5) Reimbursement for Free Lunch/Breakfast Programs;
8        (6) Summer School Payments (Section 18-4.3 of the
9    School Code);
10        (7) Transportation - Regular/Vocational Reimbursement
11    (Section 29-5 of the School Code);
12        (8) Regular Education Reimbursement (Section 18-3 of
13    the School Code); and
14        (9) Special Education Reimbursement (Section 14-7.03
15    of the School Code).
16(Source: P.A. 97-689, eff. 7-1-12; 98-24, eff. 6-19-13.)
 
17    Section 915. The Property Tax Code is amended by changing
18Sections 18-200 and 18-249 as follows:
 
19    (35 ILCS 200/18-200)
20    Sec. 18-200. School Code. A school district's State aid
21shall not be reduced under the computation under subsections
225(a) through 5(h) of Part A of Section 18-8 of the School Code
23or under subsection (e) of Section 18-8.15 of the School Code
24due to the operating tax rate falling from above the minimum

 

 

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1requirement of that Section of the School Code to below the
2minimum requirement of that Section of the School Code due to
3the operation of this Law.
4(Source: P.A. 87-17; 88-455.)
 
5    (35 ILCS 200/18-249)
6    Sec. 18-249. Miscellaneous provisions.
7    (a) Certification of new property. For the 1994 levy year,
8the chief county assessment officer shall certify to the county
9clerk, after all changes by the board of review or board of
10appeals, as the case may be, the assessed value of new property
11by taxing district for the 1994 levy year under rules
12promulgated by the Department.
13    (b) School Code. A school district's State aid shall not be
14reduced under the computation under subsections 5(a) through
155(h) of Part A of Section 18-8 of the School Code or under
16subsection (e) of Section 18-8.15 of the School Code due to the
17operating tax rate falling from above the minimum requirement
18of that Section of the School Code to below the minimum
19requirement of that Section of the School Code due to the
20operation of this Law.
21    (c) Rules. The Department shall make and promulgate
22reasonable rules relating to the administration of the purposes
23and provisions of Sections 18-246 through 18-249 as may be
24necessary or appropriate.
25(Source: P.A. 89-1, eff. 2-12-95.)
 

 

 

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1    Section 920. The Innovation Development and Economy Act is
2amended by changing Section 33 as follows:
 
3    (50 ILCS 470/33)
4    Sec. 33. STAR Bonds School Improvement and Operations Trust
5Fund.
6    (a) The STAR Bonds School Improvement and Operations Trust
7Fund is created as a trust fund in the State treasury. Deposits
8into the Trust Fund shall be made as provided under this
9Section. Moneys in the Trust Fund shall be used by the
10Department of Revenue only for the purpose of making payments
11to school districts in educational service regions that include
12or are adjacent to the STAR bond district. Moneys in the Trust
13Fund are not subject to appropriation and shall be used solely
14as provided in this Section. All deposits into the Trust Fund
15shall be held in the Trust Fund by the State Treasurer as ex
16officio custodian separate and apart from all public moneys or
17funds of this State and shall be administered by the Department
18exclusively for the purposes set forth in this Section. All
19moneys in the Trust Fund shall be invested and reinvested by
20the State Treasurer. All interest accruing from these
21investments shall be deposited in the Trust Fund.
22    (b) Upon approval of a STAR bond district, the political
23subdivision shall immediately transmit to the county clerk of
24the county in which the district is located a certified copy of

 

 

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1the ordinance creating the district, a legal description of the
2district, a map of the district, identification of the year
3that the county clerk shall use for determining the total
4initial equalized assessed value of the district consistent
5with subsection (c), and a list of the parcel or tax
6identification number of each parcel of property included in
7the district.
8    (c) Upon approval of a STAR bond district, the county clerk
9immediately thereafter shall determine (i) the most recently
10ascertained equalized assessed value of each lot, block, tract,
11or parcel of real property within the STAR bond district, from
12which shall be deducted the homestead exemptions under Article
1315 of the Property Tax Code, which value shall be the initial
14equalized assessed value of each such piece of property, and
15(ii) the total equalized assessed value of all taxable real
16property within the district by adding together the most
17recently ascertained equalized assessed value of each taxable
18lot, block, tract, or parcel of real property within the
19district, from which shall be deducted the homestead exemptions
20under Article 15 of the Property Tax Code, and shall certify
21that amount as the total initial equalized assessed value of
22the taxable real property within the STAR bond district.
23    (d) In reference to any STAR bond district created within
24any political subdivision, and in respect to which the county
25clerk has certified the total initial equalized assessed value
26of the property in the area, the political subdivision may

 

 

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1thereafter request the clerk in writing to adjust the initial
2equalized value of all taxable real property within the STAR
3bond district by deducting therefrom the exemptions under
4Article 15 of the Property Tax Code applicable to each lot,
5block, tract, or parcel of real property within the STAR bond
6district. The county clerk shall immediately, after the written
7request to adjust the total initial equalized value is
8received, determine the total homestead exemptions in the STAR
9bond district as provided under Article 15 of the Property Tax
10Code by adding together the homestead exemptions provided by
11said Article on each lot, block, tract, or parcel of real
12property within the STAR bond district and then shall deduct
13the total of said exemptions from the total initial equalized
14assessed value. The county clerk shall then promptly certify
15that amount as the total initial equalized assessed value as
16adjusted of the taxable real property within the STAR bond
17district.
18    (e) The county clerk or other person authorized by law
19shall compute the tax rates for each taxing district with all
20or a portion of its equalized assessed value located in the
21STAR bond district. The rate per cent of tax determined shall
22be extended to the current equalized assessed value of all
23property in the district in the same manner as the rate per
24cent of tax is extended to all other taxable property in the
25taxing district.
26    (f) Beginning with the assessment year in which the first

 

 

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1destination user in the first STAR bond project in a STAR bond
2district makes its first retail sales and for each assessment
3year thereafter until final maturity of the last STAR bonds
4issued in the district, the county clerk or other person
5authorized by law shall determine the increase in equalized
6assessed value of all real property within the STAR bond
7district by subtracting the initial equalized assessed value of
8all property in the district certified under subsection (c)
9from the current equalized assessed value of all property in
10the district. Each year, the property taxes arising from the
11increase in equalized assessed value in the STAR bond district
12shall be determined for each taxing district and shall be
13certified to the county collector.
14    (g) Beginning with the year in which taxes are collected
15based on the assessment year in which the first destination
16user in the first STAR bond project in a STAR bond district
17makes its first retail sales and for each year thereafter until
18final maturity of the last STAR bonds issued in the district,
19the county collector shall, within 30 days after receipt of
20property taxes, transmit to the Department to be deposited into
21the STAR Bonds School Improvement and Operations Trust Fund 15%
22of property taxes attributable to the increase in equalized
23assessed value within the STAR bond district from each taxing
24district as certified in subsection (f).
25    (h) The Department shall pay to the regional superintendent
26of schools whose educational service region includes Franklin

 

 

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1and Williamson Counties, for each year for which money is
2remitted to the Department and paid into the STAR Bonds School
3Improvement and Operations Trust Fund, the money in the Fund as
4provided in this Section. The amount paid to each school
5district shall be allocated proportionately, based on each
6qualifying school district's fall enrollment for the
7then-current school year, such that the school district with
8the largest fall enrollment receives the largest proportionate
9share of money paid out of the Fund or by any other method or
10formula that the regional superintendent of schools deems fit,
11equitable, and in the public interest. The regional
12superintendent may allocate moneys to school districts that are
13outside of his or her educational service region or to other
14regional superintendents.
15    The Department shall determine the distributions under
16this Section using its best judgment and information. The
17Department shall be held harmless for the distributions made
18under this Section and all distributions shall be final.
19    (i) In any year that an assessment appeal is filed, the
20extension of taxes on any assessment so appealed shall not be
21delayed. In the case of an assessment that is altered, any
22taxes extended upon the unauthorized assessment or part thereof
23shall be abated, or, if already paid, shall be refunded with
24interest as provided in Section 23-20 of the Property Tax Code.
25In the case of an assessment appeal, the county collector shall
26notify the Department that an assessment appeal has been filed

 

 

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1and the amount of the tax that would have been deposited in the
2STAR Bonds School Improvement and Operations Trust Fund. The
3county collector shall hold that amount in a separate fund
4until the appeal process is final. After the appeal process is
5finalized, the county collector shall transmit to the
6Department the amount of tax that remains, if any, after all
7required refunds are made. The Department shall pay any amount
8deposited into the Trust Fund under this Section in the same
9proportion as determined for payments for that taxable year
10under subsection (h).
11    (j) In any year that ad valorem taxes are allocated to the
12STAR Bonds School Improvement and Operations Trust Fund, that
13allocation shall not reduce or otherwise impact the school aid
14provided to any school district under the general State school
15aid formula provided for in Section 18-8.05 of the School Code
16or the primary State aid formula provided for in Section
1718-8.15 of the School Code.
18(Source: P.A. 96-939, eff. 6-24-10.)
 
19    Section 925. The County Economic Development Project Area
20Property Tax Allocation Act is amended by changing Section 7 as
21follows:
 
22    (55 ILCS 85/7)  (from Ch. 34, par. 7007)
23    Sec. 7. Creation of special tax allocation fund. If a
24county has adopted property tax allocation financing by

 

 

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1ordinance for an economic development project area, the
2Department has approved and certified the economic development
3project area, and the county clerk has thereafter certified the
4"total initial equalized value" of the taxable real property
5within such economic development project area in the manner
6provided in subsection (b) of Section 6 of this Act, each year
7after the date of the certification by the county clerk of the
8"initial equalized assessed value" until economic development
9project costs and all county obligations financing economic
10development project costs have been paid, the ad valorem taxes,
11if any, arising from the levies upon the taxable real property
12in the economic development project area by taxing districts
13and tax rates determined in the manner provided in subsection
14(b) of Section 6 of this Act shall be divided as follows:
15        (1) That portion of the taxes levied upon each taxable
16    lot, block, tract or parcel of real property which is
17    attributable to the lower of the current equalized assessed
18    value or the initial equalized assessed value of each such
19    taxable lot, block, tract, or parcel of real property
20    existing at the time property tax allocation financing was
21    adopted shall be allocated and when collected shall be paid
22    by the county collector to the respective affected taxing
23    districts in the manner required by the law in the absence
24    of the adoption of property tax allocation financing.
25        (2) That portion, if any, of those taxes which is
26    attributable to the increase in the current equalized

 

 

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1    assessed valuation of each taxable lot, block, tract, or
2    parcel of real property in the economic development project
3    are, over and above the initial equalized assessed value of
4    each property existing at the time property tax allocation
5    financing was adopted shall be allocated to and when
6    collected shall be paid to the county treasurer, who shall
7    deposit those taxes into a special fund called the special
8    tax allocation fund of the county for the purpose of paying
9    economic development project costs and obligations
10    incurred in the payment thereof.
11    The county, by an ordinance adopting property tax
12allocation financing, may pledge the funds in and to be
13deposited in the special tax allocation fund for the payment of
14obligations issued under this Act and for the payment of
15economic development project costs. No part of the current
16equalized assessed valuation of each property in the economic
17development project area attributable to any increase above the
18total initial equalized assessed value of such properties shall
19be used in calculating the general State school aid formula,
20provided for in Section 18-8 of the School Code, or the primary
21State aid formula, provided for in Section 18-8.15 of the
22School Code, until such time as all economic development
23projects costs have been paid as provided for in this Section.
24    Whenever a county issues bonds for the purpose of financing
25economic development project costs, the county may provide by
26ordinance for the appointment of a trustee, which may be any

 

 

09800SB0016sam002- 24 -LRB098 04277 NHT 59066 a

1trust company within the State, and for the establishment of
2the funds or accounts to be maintained by such trustee as the
3county shall deem necessary to provide for the security and
4payment of the bonds. If the county provides for the
5appointment of a trustee, the trustee shall be considered the
6assignee of any payments assigned by the county pursuant to the
7ordinance and this Section. Any amounts paid to the trustee as
8assignee shall be deposited in the funds or accounts
9established pursuant to the trust agreement, and shall be held
10by the trustee in trust for the benefit of the holders of the
11bonds, and the holders shall have a lien on and a security
12interest in those bonds or accounts so long as the bonds remain
13outstanding and unpaid. Upon retirement of the bonds, the
14trustee shall pay over any excess amounts held to the county
15for deposit in the special tax allocation fund.
16    When the economic development project costs, including
17without limitation all county obligations financing economic
18development project costs incurred under this Act, have been
19paid, all surplus funds then remaining in the special tax
20allocation funds shall be distributed by being paid by the
21county treasurer to the county collector, who shall immediately
22thereafter pay those funds to the taxing districts having
23taxable property in the economic development project area in
24the same manner and proportion as the most recent distribution
25by the county collector to those taxing districts of real
26property taxes from real property in the economic development

 

 

09800SB0016sam002- 25 -LRB098 04277 NHT 59066 a

1project area.
2    Upon the payment of all economic development project costs,
3retirement of obligations and the distribution of any excess
4monies pursuant to this Section and not later than 23 years
5from the date of adoption of the ordinance adopting property
6tax allocation financing, the county shall adopt an ordinance
7dissolving the special tax allocation fund for the economic
8development project area and terminating the designation of the
9economic development project area as an economic development
10project area. Thereafter the rates of the taxing districts
11shall be extended and taxes levied, collected and distributed
12in the manner applicable in the absence of the adoption of
13property tax allocation financing.
14    Nothing in this Section shall be construed as relieving
15property in economic development project areas from being
16assessed as provided in the Property Tax Code or as relieving
17owners of that property from paying a uniform rate of taxes, as
18required by Section 4 of Article IX of the Illinois
19Constitution of 1970.
20(Source: P.A. 98-463, eff. 8-16-13.)
 
21    Section 930. The County Economic Development Project Area
22Tax Increment Allocation Act of 1991 is amended by changing
23Section 50 as follows:
 
24    (55 ILCS 90/50)  (from Ch. 34, par. 8050)

 

 

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1    Sec. 50. Special tax allocation fund.
2    (a) If a county clerk has certified the "total initial
3equalized assessed value" of the taxable real property within
4an economic development project area in the manner provided in
5Section 45, each year after the date of the certification by
6the county clerk of the "total initial equalized assessed
7value", until economic development project costs and all county
8obligations financing economic development project costs have
9been paid, the ad valorem taxes, if any, arising from the
10levies upon the taxable real property in the economic
11development project area by taxing districts and tax rates
12determined in the manner provided in subsection (b) of Section
1345 shall be divided as follows:
14        (1) That portion of the taxes levied upon each taxable
15    lot, block, tract, or parcel of real property that is
16    attributable to the lower of the current equalized assessed
17    value or the initial equalized assessed value of each
18    taxable lot, block, tract, or parcel of real property
19    existing at the time tax increment financing was adopted
20    shall be allocated to (and when collected shall be paid by
21    the county collector to) the respective affected taxing
22    districts in the manner required by law in the absence of
23    the adoption of tax increment allocation financing.
24        (2) That portion, if any, of the taxes that is
25    attributable to the increase in the current equalized
26    assessed valuation of each taxable lot, block, tract, or

 

 

09800SB0016sam002- 27 -LRB098 04277 NHT 59066 a

1    parcel of real property in the economic development project
2    area, over and above the initial equalized assessed value
3    of each property existing at the time tax increment
4    financing was adopted, shall be allocated to (and when
5    collected shall be paid to) the county treasurer, who shall
6    deposit the taxes into a special fund (called the special
7    tax allocation fund of the county) for the purpose of
8    paying economic development project costs and obligations
9    incurred in the payment of those costs.
10    (b) The county, by an ordinance adopting tax increment
11allocation financing, may pledge the monies in and to be
12deposited into the special tax allocation fund for the payment
13of obligations issued under this Act and for the payment of
14economic development project costs. No part of the current
15equalized assessed valuation of each property in the economic
16development project area attributable to any increase above the
17total initial equalized assessed value of those properties
18shall be used in calculating the general State school aid
19formula under Section 18-8 of the School Code or the primary
20State aid formula under Section 18-8.15 of the School Code
21until all economic development projects costs have been paid as
22provided for in this Section.
23    (c) When the economic development projects costs,
24including without limitation all county obligations financing
25economic development project costs incurred under this Act,
26have been paid, all surplus monies then remaining in the

 

 

09800SB0016sam002- 28 -LRB098 04277 NHT 59066 a

1special tax allocation fund shall be distributed by being paid
2by the county treasurer to the county collector, who shall
3immediately pay the monies to the taxing districts having
4taxable property in the economic development project area in
5the same manner and proportion as the most recent distribution
6by the county collector to those taxing districts of real
7property taxes from real property in the economic development
8project area.
9    (d) Upon the payment of all economic development project
10costs, retirement of obligations, and distribution of any
11excess monies under this Section, the county shall adopt an
12ordinance dissolving the special tax allocation fund for the
13economic development project area and terminating the
14designation of the economic development project area as an
15economic development project area. Thereafter, the rates of the
16taxing districts shall be extended and taxes shall be levied,
17collected, and distributed in the manner applicable in the
18absence of the adoption of tax increment allocation financing.
19    (e) Nothing in this Section shall be construed as relieving
20property in the economic development project areas from being
21assessed as provided in the Property Tax Code or as relieving
22owners of that property from paying a uniform rate of taxes as
23required by Section 4 of Article IX of the Illinois
24Constitution.
25(Source: P.A. 98-463, eff. 8-16-13.)
 

 

 

09800SB0016sam002- 29 -LRB098 04277 NHT 59066 a

1    Section 935. The Illinois Municipal Code is amended by
2changing Sections 11-74.4-3, 11-74.4-8, and 11-74.6-35 as
3follows:
 
4    (65 ILCS 5/11-74.4-3)  (from Ch. 24, par. 11-74.4-3)
5    Sec. 11-74.4-3. Definitions. The following terms, wherever
6used or referred to in this Division 74.4 shall have the
7following respective meanings, unless in any case a different
8meaning clearly appears from the context.
9    (a) For any redevelopment project area that has been
10designated pursuant to this Section by an ordinance adopted
11prior to November 1, 1999 (the effective date of Public Act
1291-478), "blighted area" shall have the meaning set forth in
13this Section prior to that date.
14    On and after November 1, 1999, "blighted area" means any
15improved or vacant area within the boundaries of a
16redevelopment project area located within the territorial
17limits of the municipality where:
18        (1) If improved, industrial, commercial, and
19    residential buildings or improvements are detrimental to
20    the public safety, health, or welfare because of a
21    combination of 5 or more of the following factors, each of
22    which is (i) present, with that presence documented, to a
23    meaningful extent so that a municipality may reasonably
24    find that the factor is clearly present within the intent
25    of the Act and (ii) reasonably distributed throughout the

 

 

09800SB0016sam002- 30 -LRB098 04277 NHT 59066 a

1    improved part of the redevelopment project area:
2            (A) Dilapidation. An advanced state of disrepair
3        or neglect of necessary repairs to the primary
4        structural components of buildings or improvements in
5        such a combination that a documented building
6        condition analysis determines that major repair is
7        required or the defects are so serious and so extensive
8        that the buildings must be removed.
9            (B) Obsolescence. The condition or process of
10        falling into disuse. Structures have become ill-suited
11        for the original use.
12            (C) Deterioration. With respect to buildings,
13        defects including, but not limited to, major defects in
14        the secondary building components such as doors,
15        windows, porches, gutters and downspouts, and fascia.
16        With respect to surface improvements, that the
17        condition of roadways, alleys, curbs, gutters,
18        sidewalks, off-street parking, and surface storage
19        areas evidence deterioration, including, but not
20        limited to, surface cracking, crumbling, potholes,
21        depressions, loose paving material, and weeds
22        protruding through paved surfaces.
23            (D) Presence of structures below minimum code
24        standards. All structures that do not meet the
25        standards of zoning, subdivision, building, fire, and
26        other governmental codes applicable to property, but

 

 

09800SB0016sam002- 31 -LRB098 04277 NHT 59066 a

1        not including housing and property maintenance codes.
2            (E) Illegal use of individual structures. The use
3        of structures in violation of applicable federal,
4        State, or local laws, exclusive of those applicable to
5        the presence of structures below minimum code
6        standards.
7            (F) Excessive vacancies. The presence of buildings
8        that are unoccupied or under-utilized and that
9        represent an adverse influence on the area because of
10        the frequency, extent, or duration of the vacancies.
11            (G) Lack of ventilation, light, or sanitary
12        facilities. The absence of adequate ventilation for
13        light or air circulation in spaces or rooms without
14        windows, or that require the removal of dust, odor,
15        gas, smoke, or other noxious airborne materials.
16        Inadequate natural light and ventilation means the
17        absence of skylights or windows for interior spaces or
18        rooms and improper window sizes and amounts by room
19        area to window area ratios. Inadequate sanitary
20        facilities refers to the absence or inadequacy of
21        garbage storage and enclosure, bathroom facilities,
22        hot water and kitchens, and structural inadequacies
23        preventing ingress and egress to and from all rooms and
24        units within a building.
25            (H) Inadequate utilities. Underground and overhead
26        utilities such as storm sewers and storm drainage,

 

 

09800SB0016sam002- 32 -LRB098 04277 NHT 59066 a

1        sanitary sewers, water lines, and gas, telephone, and
2        electrical services that are shown to be inadequate.
3        Inadequate utilities are those that are: (i) of
4        insufficient capacity to serve the uses in the
5        redevelopment project area, (ii) deteriorated,
6        antiquated, obsolete, or in disrepair, or (iii)
7        lacking within the redevelopment project area.
8            (I) Excessive land coverage and overcrowding of
9        structures and community facilities. The
10        over-intensive use of property and the crowding of
11        buildings and accessory facilities onto a site.
12        Examples of problem conditions warranting the
13        designation of an area as one exhibiting excessive land
14        coverage are: (i) the presence of buildings either
15        improperly situated on parcels or located on parcels of
16        inadequate size and shape in relation to present-day
17        standards of development for health and safety and (ii)
18        the presence of multiple buildings on a single parcel.
19        For there to be a finding of excessive land coverage,
20        these parcels must exhibit one or more of the following
21        conditions: insufficient provision for light and air
22        within or around buildings, increased threat of spread
23        of fire due to the close proximity of buildings, lack
24        of adequate or proper access to a public right-of-way,
25        lack of reasonably required off-street parking, or
26        inadequate provision for loading and service.

 

 

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1            (J) Deleterious land use or layout. The existence
2        of incompatible land-use relationships, buildings
3        occupied by inappropriate mixed-uses, or uses
4        considered to be noxious, offensive, or unsuitable for
5        the surrounding area.
6            (K) Environmental clean-up. The proposed
7        redevelopment project area has incurred Illinois
8        Environmental Protection Agency or United States
9        Environmental Protection Agency remediation costs for,
10        or a study conducted by an independent consultant
11        recognized as having expertise in environmental
12        remediation has determined a need for, the clean-up of
13        hazardous waste, hazardous substances, or underground
14        storage tanks required by State or federal law,
15        provided that the remediation costs constitute a
16        material impediment to the development or
17        redevelopment of the redevelopment project area.
18            (L) Lack of community planning. The proposed
19        redevelopment project area was developed prior to or
20        without the benefit or guidance of a community plan.
21        This means that the development occurred prior to the
22        adoption by the municipality of a comprehensive or
23        other community plan or that the plan was not followed
24        at the time of the area's development. This factor must
25        be documented by evidence of adverse or incompatible
26        land-use relationships, inadequate street layout,

 

 

09800SB0016sam002- 34 -LRB098 04277 NHT 59066 a

1        improper subdivision, parcels of inadequate shape and
2        size to meet contemporary development standards, or
3        other evidence demonstrating an absence of effective
4        community planning.
5            (M) The total equalized assessed value of the
6        proposed redevelopment project area has declined for 3
7        of the last 5 calendar years prior to the year in which
8        the redevelopment project area is designated or is
9        increasing at an annual rate that is less than the
10        balance of the municipality for 3 of the last 5
11        calendar years for which information is available or is
12        increasing at an annual rate that is less than the
13        Consumer Price Index for All Urban Consumers published
14        by the United States Department of Labor or successor
15        agency for 3 of the last 5 calendar years prior to the
16        year in which the redevelopment project area is
17        designated.
18        (2) If vacant, the sound growth of the redevelopment
19    project area is impaired by a combination of 2 or more of
20    the following factors, each of which is (i) present, with
21    that presence documented, to a meaningful extent so that a
22    municipality may reasonably find that the factor is clearly
23    present within the intent of the Act and (ii) reasonably
24    distributed throughout the vacant part of the
25    redevelopment project area to which it pertains:
26            (A) Obsolete platting of vacant land that results

 

 

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1        in parcels of limited or narrow size or configurations
2        of parcels of irregular size or shape that would be
3        difficult to develop on a planned basis and in a manner
4        compatible with contemporary standards and
5        requirements, or platting that failed to create
6        rights-of-ways for streets or alleys or that created
7        inadequate right-of-way widths for streets, alleys, or
8        other public rights-of-way or that omitted easements
9        for public utilities.
10            (B) Diversity of ownership of parcels of vacant
11        land sufficient in number to retard or impede the
12        ability to assemble the land for development.
13            (C) Tax and special assessment delinquencies exist
14        or the property has been the subject of tax sales under
15        the Property Tax Code within the last 5 years.
16            (D) Deterioration of structures or site
17        improvements in neighboring areas adjacent to the
18        vacant land.
19            (E) The area has incurred Illinois Environmental
20        Protection Agency or United States Environmental
21        Protection Agency remediation costs for, or a study
22        conducted by an independent consultant recognized as
23        having expertise in environmental remediation has
24        determined a need for, the clean-up of hazardous waste,
25        hazardous substances, or underground storage tanks
26        required by State or federal law, provided that the

 

 

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1        remediation costs constitute a material impediment to
2        the development or redevelopment of the redevelopment
3        project area.
4            (F) The total equalized assessed value of the
5        proposed redevelopment project area has declined for 3
6        of the last 5 calendar years prior to the year in which
7        the redevelopment project area is designated or is
8        increasing at an annual rate that is less than the
9        balance of the municipality for 3 of the last 5
10        calendar years for which information is available or is
11        increasing at an annual rate that is less than the
12        Consumer Price Index for All Urban Consumers published
13        by the United States Department of Labor or successor
14        agency for 3 of the last 5 calendar years prior to the
15        year in which the redevelopment project area is
16        designated.
17        (3) If vacant, the sound growth of the redevelopment
18    project area is impaired by one of the following factors
19    that (i) is present, with that presence documented, to a
20    meaningful extent so that a municipality may reasonably
21    find that the factor is clearly present within the intent
22    of the Act and (ii) is reasonably distributed throughout
23    the vacant part of the redevelopment project area to which
24    it pertains:
25            (A) The area consists of one or more unused
26        quarries, mines, or strip mine ponds.

 

 

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1            (B) The area consists of unused rail yards, rail
2        tracks, or railroad rights-of-way.
3            (C) The area, prior to its designation, is subject
4        to (i) chronic flooding that adversely impacts on real
5        property in the area as certified by a registered
6        professional engineer or appropriate regulatory agency
7        or (ii) surface water that discharges from all or a
8        part of the area and contributes to flooding within the
9        same watershed, but only if the redevelopment project
10        provides for facilities or improvements to contribute
11        to the alleviation of all or part of the flooding.
12            (D) The area consists of an unused or illegal
13        disposal site containing earth, stone, building
14        debris, or similar materials that were removed from
15        construction, demolition, excavation, or dredge sites.
16            (E) Prior to November 1, 1999, the area is not less
17        than 50 nor more than 100 acres and 75% of which is
18        vacant (notwithstanding that the area has been used for
19        commercial agricultural purposes within 5 years prior
20        to the designation of the redevelopment project area),
21        and the area meets at least one of the factors itemized
22        in paragraph (1) of this subsection, the area has been
23        designated as a town or village center by ordinance or
24        comprehensive plan adopted prior to January 1, 1982,
25        and the area has not been developed for that designated
26        purpose.

 

 

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1            (F) The area qualified as a blighted improved area
2        immediately prior to becoming vacant, unless there has
3        been substantial private investment in the immediately
4        surrounding area.
5    (b) For any redevelopment project area that has been
6designated pursuant to this Section by an ordinance adopted
7prior to November 1, 1999 (the effective date of Public Act
891-478), "conservation area" shall have the meaning set forth
9in this Section prior to that date.
10    On and after November 1, 1999, "conservation area" means
11any improved area within the boundaries of a redevelopment
12project area located within the territorial limits of the
13municipality in which 50% or more of the structures in the area
14have an age of 35 years or more. Such an area is not yet a
15blighted area but because of a combination of 3 or more of the
16following factors is detrimental to the public safety, health,
17morals or welfare and such an area may become a blighted area:
18        (1) Dilapidation. An advanced state of disrepair or
19    neglect of necessary repairs to the primary structural
20    components of buildings or improvements in such a
21    combination that a documented building condition analysis
22    determines that major repair is required or the defects are
23    so serious and so extensive that the buildings must be
24    removed.
25        (2) Obsolescence. The condition or process of falling
26    into disuse. Structures have become ill-suited for the

 

 

09800SB0016sam002- 39 -LRB098 04277 NHT 59066 a

1    original use.
2        (3) Deterioration. With respect to buildings, defects
3    including, but not limited to, major defects in the
4    secondary building components such as doors, windows,
5    porches, gutters and downspouts, and fascia. With respect
6    to surface improvements, that the condition of roadways,
7    alleys, curbs, gutters, sidewalks, off-street parking, and
8    surface storage areas evidence deterioration, including,
9    but not limited to, surface cracking, crumbling, potholes,
10    depressions, loose paving material, and weeds protruding
11    through paved surfaces.
12        (4) Presence of structures below minimum code
13    standards. All structures that do not meet the standards of
14    zoning, subdivision, building, fire, and other
15    governmental codes applicable to property, but not
16    including housing and property maintenance codes.
17        (5) Illegal use of individual structures. The use of
18    structures in violation of applicable federal, State, or
19    local laws, exclusive of those applicable to the presence
20    of structures below minimum code standards.
21        (6) Excessive vacancies. The presence of buildings
22    that are unoccupied or under-utilized and that represent an
23    adverse influence on the area because of the frequency,
24    extent, or duration of the vacancies.
25        (7) Lack of ventilation, light, or sanitary
26    facilities. The absence of adequate ventilation for light

 

 

09800SB0016sam002- 40 -LRB098 04277 NHT 59066 a

1    or air circulation in spaces or rooms without windows, or
2    that require the removal of dust, odor, gas, smoke, or
3    other noxious airborne materials. Inadequate natural light
4    and ventilation means the absence or inadequacy of
5    skylights or windows for interior spaces or rooms and
6    improper window sizes and amounts by room area to window
7    area ratios. Inadequate sanitary facilities refers to the
8    absence or inadequacy of garbage storage and enclosure,
9    bathroom facilities, hot water and kitchens, and
10    structural inadequacies preventing ingress and egress to
11    and from all rooms and units within a building.
12        (8) Inadequate utilities. Underground and overhead
13    utilities such as storm sewers and storm drainage, sanitary
14    sewers, water lines, and gas, telephone, and electrical
15    services that are shown to be inadequate. Inadequate
16    utilities are those that are: (i) of insufficient capacity
17    to serve the uses in the redevelopment project area, (ii)
18    deteriorated, antiquated, obsolete, or in disrepair, or
19    (iii) lacking within the redevelopment project area.
20        (9) Excessive land coverage and overcrowding of
21    structures and community facilities. The over-intensive
22    use of property and the crowding of buildings and accessory
23    facilities onto a site. Examples of problem conditions
24    warranting the designation of an area as one exhibiting
25    excessive land coverage are: the presence of buildings
26    either improperly situated on parcels or located on parcels

 

 

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1    of inadequate size and shape in relation to present-day
2    standards of development for health and safety and the
3    presence of multiple buildings on a single parcel. For
4    there to be a finding of excessive land coverage, these
5    parcels must exhibit one or more of the following
6    conditions: insufficient provision for light and air
7    within or around buildings, increased threat of spread of
8    fire due to the close proximity of buildings, lack of
9    adequate or proper access to a public right-of-way, lack of
10    reasonably required off-street parking, or inadequate
11    provision for loading and service.
12        (10) Deleterious land use or layout. The existence of
13    incompatible land-use relationships, buildings occupied by
14    inappropriate mixed-uses, or uses considered to be
15    noxious, offensive, or unsuitable for the surrounding
16    area.
17        (11) Lack of community planning. The proposed
18    redevelopment project area was developed prior to or
19    without the benefit or guidance of a community plan. This
20    means that the development occurred prior to the adoption
21    by the municipality of a comprehensive or other community
22    plan or that the plan was not followed at the time of the
23    area's development. This factor must be documented by
24    evidence of adverse or incompatible land-use
25    relationships, inadequate street layout, improper
26    subdivision, parcels of inadequate shape and size to meet

 

 

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1    contemporary development standards, or other evidence
2    demonstrating an absence of effective community planning.
3        (12) The area has incurred Illinois Environmental
4    Protection Agency or United States Environmental
5    Protection Agency remediation costs for, or a study
6    conducted by an independent consultant recognized as
7    having expertise in environmental remediation has
8    determined a need for, the clean-up of hazardous waste,
9    hazardous substances, or underground storage tanks
10    required by State or federal law, provided that the
11    remediation costs constitute a material impediment to the
12    development or redevelopment of the redevelopment project
13    area.
14        (13) The total equalized assessed value of the proposed
15    redevelopment project area has declined for 3 of the last 5
16    calendar years for which information is available or is
17    increasing at an annual rate that is less than the balance
18    of the municipality for 3 of the last 5 calendar years for
19    which information is available or is increasing at an
20    annual rate that is less than the Consumer Price Index for
21    All Urban Consumers published by the United States
22    Department of Labor or successor agency for 3 of the last 5
23    calendar years for which information is available.
24    (c) "Industrial park" means an area in a blighted or
25conservation area suitable for use by any manufacturing,
26industrial, research or transportation enterprise, of

 

 

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1facilities to include but not be limited to factories, mills,
2processing plants, assembly plants, packing plants,
3fabricating plants, industrial distribution centers,
4warehouses, repair overhaul or service facilities, freight
5terminals, research facilities, test facilities or railroad
6facilities.
7    (d) "Industrial park conservation area" means an area
8within the boundaries of a redevelopment project area located
9within the territorial limits of a municipality that is a labor
10surplus municipality or within 1 1/2 miles of the territorial
11limits of a municipality that is a labor surplus municipality
12if the area is annexed to the municipality; which area is zoned
13as industrial no later than at the time the municipality by
14ordinance designates the redevelopment project area, and which
15area includes both vacant land suitable for use as an
16industrial park and a blighted area or conservation area
17contiguous to such vacant land.
18    (e) "Labor surplus municipality" means a municipality in
19which, at any time during the 6 months before the municipality
20by ordinance designates an industrial park conservation area,
21the unemployment rate was over 6% and was also 100% or more of
22the national average unemployment rate for that same time as
23published in the United States Department of Labor Bureau of
24Labor Statistics publication entitled "The Employment
25Situation" or its successor publication. For the purpose of
26this subsection, if unemployment rate statistics for the

 

 

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1municipality are not available, the unemployment rate in the
2municipality shall be deemed to be the same as the unemployment
3rate in the principal county in which the municipality is
4located.
5    (f) "Municipality" shall mean a city, village,
6incorporated town, or a township that is located in the
7unincorporated portion of a county with 3 million or more
8inhabitants, if the county adopted an ordinance that approved
9the township's redevelopment plan.
10    (g) "Initial Sales Tax Amounts" means the amount of taxes
11paid under the Retailers' Occupation Tax Act, Use Tax Act,
12Service Use Tax Act, the Service Occupation Tax Act, the
13Municipal Retailers' Occupation Tax Act, and the Municipal
14Service Occupation Tax Act by retailers and servicemen on
15transactions at places located in a State Sales Tax Boundary
16during the calendar year 1985.
17    (g-1) "Revised Initial Sales Tax Amounts" means the amount
18of taxes paid under the Retailers' Occupation Tax Act, Use Tax
19Act, Service Use Tax Act, the Service Occupation Tax Act, the
20Municipal Retailers' Occupation Tax Act, and the Municipal
21Service Occupation Tax Act by retailers and servicemen on
22transactions at places located within the State Sales Tax
23Boundary revised pursuant to Section 11-74.4-8a(9) of this Act.
24    (h) "Municipal Sales Tax Increment" means an amount equal
25to the increase in the aggregate amount of taxes paid to a
26municipality from the Local Government Tax Fund arising from

 

 

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1sales by retailers and servicemen within the redevelopment
2project area or State Sales Tax Boundary, as the case may be,
3for as long as the redevelopment project area or State Sales
4Tax Boundary, as the case may be, exist over and above the
5aggregate amount of taxes as certified by the Illinois
6Department of Revenue and paid under the Municipal Retailers'
7Occupation Tax Act and the Municipal Service Occupation Tax Act
8by retailers and servicemen, on transactions at places of
9business located in the redevelopment project area or State
10Sales Tax Boundary, as the case may be, during the base year
11which shall be the calendar year immediately prior to the year
12in which the municipality adopted tax increment allocation
13financing. For purposes of computing the aggregate amount of
14such taxes for base years occurring prior to 1985, the
15Department of Revenue shall determine the Initial Sales Tax
16Amounts for such taxes and deduct therefrom an amount equal to
174% of the aggregate amount of taxes per year for each year the
18base year is prior to 1985, but not to exceed a total deduction
19of 12%. The amount so determined shall be known as the
20"Adjusted Initial Sales Tax Amounts". For purposes of
21determining the Municipal Sales Tax Increment, the Department
22of Revenue shall for each period subtract from the amount paid
23to the municipality from the Local Government Tax Fund arising
24from sales by retailers and servicemen on transactions located
25in the redevelopment project area or the State Sales Tax
26Boundary, as the case may be, the certified Initial Sales Tax

 

 

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1Amounts, the Adjusted Initial Sales Tax Amounts or the Revised
2Initial Sales Tax Amounts for the Municipal Retailers'
3Occupation Tax Act and the Municipal Service Occupation Tax
4Act. For the State Fiscal Year 1989, this calculation shall be
5made by utilizing the calendar year 1987 to determine the tax
6amounts received. For the State Fiscal Year 1990, this
7calculation shall be made by utilizing the period from January
81, 1988, until September 30, 1988, to determine the tax amounts
9received from retailers and servicemen pursuant to the
10Municipal Retailers' Occupation Tax and the Municipal Service
11Occupation Tax Act, which shall have deducted therefrom
12nine-twelfths of the certified Initial Sales Tax Amounts, the
13Adjusted Initial Sales Tax Amounts or the Revised Initial Sales
14Tax Amounts as appropriate. For the State Fiscal Year 1991,
15this calculation shall be made by utilizing the period from
16October 1, 1988, to June 30, 1989, to determine the tax amounts
17received from retailers and servicemen pursuant to the
18Municipal Retailers' Occupation Tax and the Municipal Service
19Occupation Tax Act which shall have deducted therefrom
20nine-twelfths of the certified Initial Sales Tax Amounts,
21Adjusted Initial Sales Tax Amounts or the Revised Initial Sales
22Tax Amounts as appropriate. For every State Fiscal Year
23thereafter, the applicable period shall be the 12 months
24beginning July 1 and ending June 30 to determine the tax
25amounts received which shall have deducted therefrom the
26certified Initial Sales Tax Amounts, the Adjusted Initial Sales

 

 

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1Tax Amounts or the Revised Initial Sales Tax Amounts, as the
2case may be.
3    (i) "Net State Sales Tax Increment" means the sum of the
4following: (a) 80% of the first $100,000 of State Sales Tax
5Increment annually generated within a State Sales Tax Boundary;
6(b) 60% of the amount in excess of $100,000 but not exceeding
7$500,000 of State Sales Tax Increment annually generated within
8a State Sales Tax Boundary; and (c) 40% of all amounts in
9excess of $500,000 of State Sales Tax Increment annually
10generated within a State Sales Tax Boundary. If, however, a
11municipality established a tax increment financing district in
12a county with a population in excess of 3,000,000 before
13January 1, 1986, and the municipality entered into a contract
14or issued bonds after January 1, 1986, but before December 31,
151986, to finance redevelopment project costs within a State
16Sales Tax Boundary, then the Net State Sales Tax Increment
17means, for the fiscal years beginning July 1, 1990, and July 1,
181991, 100% of the State Sales Tax Increment annually generated
19within a State Sales Tax Boundary; and notwithstanding any
20other provision of this Act, for those fiscal years the
21Department of Revenue shall distribute to those municipalities
22100% of their Net State Sales Tax Increment before any
23distribution to any other municipality and regardless of
24whether or not those other municipalities will receive 100% of
25their Net State Sales Tax Increment. For Fiscal Year 1999, and
26every year thereafter until the year 2007, for any municipality

 

 

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1that has not entered into a contract or has not issued bonds
2prior to June 1, 1988 to finance redevelopment project costs
3within a State Sales Tax Boundary, the Net State Sales Tax
4Increment shall be calculated as follows: By multiplying the
5Net State Sales Tax Increment by 90% in the State Fiscal Year
61999; 80% in the State Fiscal Year 2000; 70% in the State
7Fiscal Year 2001; 60% in the State Fiscal Year 2002; 50% in the
8State Fiscal Year 2003; 40% in the State Fiscal Year 2004; 30%
9in the State Fiscal Year 2005; 20% in the State Fiscal Year
102006; and 10% in the State Fiscal Year 2007. No payment shall
11be made for State Fiscal Year 2008 and thereafter.
12    Municipalities that issued bonds in connection with a
13redevelopment project in a redevelopment project area within
14the State Sales Tax Boundary prior to July 29, 1991, or that
15entered into contracts in connection with a redevelopment
16project in a redevelopment project area before June 1, 1988,
17shall continue to receive their proportional share of the
18Illinois Tax Increment Fund distribution until the date on
19which the redevelopment project is completed or terminated. If,
20however, a municipality that issued bonds in connection with a
21redevelopment project in a redevelopment project area within
22the State Sales Tax Boundary prior to July 29, 1991 retires the
23bonds prior to June 30, 2007 or a municipality that entered
24into contracts in connection with a redevelopment project in a
25redevelopment project area before June 1, 1988 completes the
26contracts prior to June 30, 2007, then so long as the

 

 

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1redevelopment project is not completed or is not terminated,
2the Net State Sales Tax Increment shall be calculated,
3beginning on the date on which the bonds are retired or the
4contracts are completed, as follows: By multiplying the Net
5State Sales Tax Increment by 60% in the State Fiscal Year 2002;
650% in the State Fiscal Year 2003; 40% in the State Fiscal Year
72004; 30% in the State Fiscal Year 2005; 20% in the State
8Fiscal Year 2006; and 10% in the State Fiscal Year 2007. No
9payment shall be made for State Fiscal Year 2008 and
10thereafter. Refunding of any bonds issued prior to July 29,
111991, shall not alter the Net State Sales Tax Increment.
12    (j) "State Utility Tax Increment Amount" means an amount
13equal to the aggregate increase in State electric and gas tax
14charges imposed on owners and tenants, other than residential
15customers, of properties located within the redevelopment
16project area under Section 9-222 of the Public Utilities Act,
17over and above the aggregate of such charges as certified by
18the Department of Revenue and paid by owners and tenants, other
19than residential customers, of properties within the
20redevelopment project area during the base year, which shall be
21the calendar year immediately prior to the year of the adoption
22of the ordinance authorizing tax increment allocation
23financing.
24    (k) "Net State Utility Tax Increment" means the sum of the
25following: (a) 80% of the first $100,000 of State Utility Tax
26Increment annually generated by a redevelopment project area;

 

 

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1(b) 60% of the amount in excess of $100,000 but not exceeding
2$500,000 of the State Utility Tax Increment annually generated
3by a redevelopment project area; and (c) 40% of all amounts in
4excess of $500,000 of State Utility Tax Increment annually
5generated by a redevelopment project area. For the State Fiscal
6Year 1999, and every year thereafter until the year 2007, for
7any municipality that has not entered into a contract or has
8not issued bonds prior to June 1, 1988 to finance redevelopment
9project costs within a redevelopment project area, the Net
10State Utility Tax Increment shall be calculated as follows: By
11multiplying the Net State Utility Tax Increment by 90% in the
12State Fiscal Year 1999; 80% in the State Fiscal Year 2000; 70%
13in the State Fiscal Year 2001; 60% in the State Fiscal Year
142002; 50% in the State Fiscal Year 2003; 40% in the State
15Fiscal Year 2004; 30% in the State Fiscal Year 2005; 20% in the
16State Fiscal Year 2006; and 10% in the State Fiscal Year 2007.
17No payment shall be made for the State Fiscal Year 2008 and
18thereafter.
19    Municipalities that issue bonds in connection with the
20redevelopment project during the period from June 1, 1988 until
213 years after the effective date of this Amendatory Act of 1988
22shall receive the Net State Utility Tax Increment, subject to
23appropriation, for 15 State Fiscal Years after the issuance of
24such bonds. For the 16th through the 20th State Fiscal Years
25after issuance of the bonds, the Net State Utility Tax
26Increment shall be calculated as follows: By multiplying the

 

 

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1Net State Utility Tax Increment by 90% in year 16; 80% in year
217; 70% in year 18; 60% in year 19; and 50% in year 20.
3Refunding of any bonds issued prior to June 1, 1988, shall not
4alter the revised Net State Utility Tax Increment payments set
5forth above.
6    (l) "Obligations" mean bonds, loans, debentures, notes,
7special certificates or other evidence of indebtedness issued
8by the municipality to carry out a redevelopment project or to
9refund outstanding obligations.
10    (m) "Payment in lieu of taxes" means those estimated tax
11revenues from real property in a redevelopment project area
12derived from real property that has been acquired by a
13municipality which according to the redevelopment project or
14plan is to be used for a private use which taxing districts
15would have received had a municipality not acquired the real
16property and adopted tax increment allocation financing and
17which would result from levies made after the time of the
18adoption of tax increment allocation financing to the time the
19current equalized value of real property in the redevelopment
20project area exceeds the total initial equalized value of real
21property in said area.
22    (n) "Redevelopment plan" means the comprehensive program
23of the municipality for development or redevelopment intended
24by the payment of redevelopment project costs to reduce or
25eliminate those conditions the existence of which qualified the
26redevelopment project area as a "blighted area" or

 

 

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1"conservation area" or combination thereof or "industrial park
2conservation area," and thereby to enhance the tax bases of the
3taxing districts which extend into the redevelopment project
4area. On and after November 1, 1999 (the effective date of
5Public Act 91-478), no redevelopment plan may be approved or
6amended that includes the development of vacant land (i) with a
7golf course and related clubhouse and other facilities or (ii)
8designated by federal, State, county, or municipal government
9as public land for outdoor recreational activities or for
10nature preserves and used for that purpose within 5 years prior
11to the adoption of the redevelopment plan. For the purpose of
12this subsection, "recreational activities" is limited to mean
13camping and hunting. Each redevelopment plan shall set forth in
14writing the program to be undertaken to accomplish the
15objectives and shall include but not be limited to:
16        (A) an itemized list of estimated redevelopment
17    project costs;
18        (B) evidence indicating that the redevelopment project
19    area on the whole has not been subject to growth and
20    development through investment by private enterprise;
21        (C) an assessment of any financial impact of the
22    redevelopment project area on or any increased demand for
23    services from any taxing district affected by the plan and
24    any program to address such financial impact or increased
25    demand;
26        (D) the sources of funds to pay costs;

 

 

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1        (E) the nature and term of the obligations to be
2    issued;
3        (F) the most recent equalized assessed valuation of the
4    redevelopment project area;
5        (G) an estimate as to the equalized assessed valuation
6    after redevelopment and the general land uses to apply in
7    the redevelopment project area;
8        (H) a commitment to fair employment practices and an
9    affirmative action plan;
10        (I) if it concerns an industrial park conservation
11    area, the plan shall also include a general description of
12    any proposed developer, user and tenant of any property, a
13    description of the type, structure and general character of
14    the facilities to be developed, a description of the type,
15    class and number of new employees to be employed in the
16    operation of the facilities to be developed; and
17        (J) if property is to be annexed to the municipality,
18    the plan shall include the terms of the annexation
19    agreement.
20    The provisions of items (B) and (C) of this subsection (n)
21shall not apply to a municipality that before March 14, 1994
22(the effective date of Public Act 88-537) had fixed, either by
23its corporate authorities or by a commission designated under
24subsection (k) of Section 11-74.4-4, a time and place for a
25public hearing as required by subsection (a) of Section
2611-74.4-5. No redevelopment plan shall be adopted unless a

 

 

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1municipality complies with all of the following requirements:
2        (1) The municipality finds that the redevelopment
3    project area on the whole has not been subject to growth
4    and development through investment by private enterprise
5    and would not reasonably be anticipated to be developed
6    without the adoption of the redevelopment plan.
7        (2) The municipality finds that the redevelopment plan
8    and project conform to the comprehensive plan for the
9    development of the municipality as a whole, or, for
10    municipalities with a population of 100,000 or more,
11    regardless of when the redevelopment plan and project was
12    adopted, the redevelopment plan and project either: (i)
13    conforms to the strategic economic development or
14    redevelopment plan issued by the designated planning
15    authority of the municipality, or (ii) includes land uses
16    that have been approved by the planning commission of the
17    municipality.
18        (3) The redevelopment plan establishes the estimated
19    dates of completion of the redevelopment project and
20    retirement of obligations issued to finance redevelopment
21    project costs. Those dates may not be later than the dates
22    set forth under Section 11-74.4-3.5.
23        A municipality may by municipal ordinance amend an
24    existing redevelopment plan to conform to this paragraph
25    (3) as amended by Public Act 91-478, which municipal
26    ordinance may be adopted without further hearing or notice

 

 

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1    and without complying with the procedures provided in this
2    Act pertaining to an amendment to or the initial approval
3    of a redevelopment plan and project and designation of a
4    redevelopment project area.
5        (3.5) The municipality finds, in the case of an
6    industrial park conservation area, also that the
7    municipality is a labor surplus municipality and that the
8    implementation of the redevelopment plan will reduce
9    unemployment, create new jobs and by the provision of new
10    facilities enhance the tax base of the taxing districts
11    that extend into the redevelopment project area.
12        (4) If any incremental revenues are being utilized
13    under Section 8(a)(1) or 8(a)(2) of this Act in
14    redevelopment project areas approved by ordinance after
15    January 1, 1986, the municipality finds: (a) that the
16    redevelopment project area would not reasonably be
17    developed without the use of such incremental revenues, and
18    (b) that such incremental revenues will be exclusively
19    utilized for the development of the redevelopment project
20    area.
21        (5) If the redevelopment plan will not result in
22    displacement of residents from 10 or more inhabited
23    residential units, and the municipality certifies in the
24    plan that such displacement will not result from the plan,
25    a housing impact study need not be performed. If, however,
26    the redevelopment plan would result in the displacement of

 

 

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1    residents from 10 or more inhabited residential units, or
2    if the redevelopment project area contains 75 or more
3    inhabited residential units and no certification is made,
4    then the municipality shall prepare, as part of the
5    separate feasibility report required by subsection (a) of
6    Section 11-74.4-5, a housing impact study.
7        Part I of the housing impact study shall include (i)
8    data as to whether the residential units are single family
9    or multi-family units, (ii) the number and type of rooms
10    within the units, if that information is available, (iii)
11    whether the units are inhabited or uninhabited, as
12    determined not less than 45 days before the date that the
13    ordinance or resolution required by subsection (a) of
14    Section 11-74.4-5 is passed, and (iv) data as to the racial
15    and ethnic composition of the residents in the inhabited
16    residential units. The data requirement as to the racial
17    and ethnic composition of the residents in the inhabited
18    residential units shall be deemed to be fully satisfied by
19    data from the most recent federal census.
20        Part II of the housing impact study shall identify the
21    inhabited residential units in the proposed redevelopment
22    project area that are to be or may be removed. If inhabited
23    residential units are to be removed, then the housing
24    impact study shall identify (i) the number and location of
25    those units that will or may be removed, (ii) the
26    municipality's plans for relocation assistance for those

 

 

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1    residents in the proposed redevelopment project area whose
2    residences are to be removed, (iii) the availability of
3    replacement housing for those residents whose residences
4    are to be removed, and shall identify the type, location,
5    and cost of the housing, and (iv) the type and extent of
6    relocation assistance to be provided.
7        (6) On and after November 1, 1999, the housing impact
8    study required by paragraph (5) shall be incorporated in
9    the redevelopment plan for the redevelopment project area.
10        (7) On and after November 1, 1999, no redevelopment
11    plan shall be adopted, nor an existing plan amended, nor
12    shall residential housing that is occupied by households of
13    low-income and very low-income persons in currently
14    existing redevelopment project areas be removed after
15    November 1, 1999 unless the redevelopment plan provides,
16    with respect to inhabited housing units that are to be
17    removed for households of low-income and very low-income
18    persons, affordable housing and relocation assistance not
19    less than that which would be provided under the federal
20    Uniform Relocation Assistance and Real Property
21    Acquisition Policies Act of 1970 and the regulations under
22    that Act, including the eligibility criteria. Affordable
23    housing may be either existing or newly constructed
24    housing. For purposes of this paragraph (7), "low-income
25    households", "very low-income households", and "affordable
26    housing" have the meanings set forth in the Illinois

 

 

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1    Affordable Housing Act. The municipality shall make a good
2    faith effort to ensure that this affordable housing is
3    located in or near the redevelopment project area within
4    the municipality.
5        (8) On and after November 1, 1999, if, after the
6    adoption of the redevelopment plan for the redevelopment
7    project area, any municipality desires to amend its
8    redevelopment plan to remove more inhabited residential
9    units than specified in its original redevelopment plan,
10    that change shall be made in accordance with the procedures
11    in subsection (c) of Section 11-74.4-5.
12        (9) For redevelopment project areas designated prior
13    to November 1, 1999, the redevelopment plan may be amended
14    without further joint review board meeting or hearing,
15    provided that the municipality shall give notice of any
16    such changes by mail to each affected taxing district and
17    registrant on the interested party registry, to authorize
18    the municipality to expend tax increment revenues for
19    redevelopment project costs defined by paragraphs (5) and
20    (7.5), subparagraphs (E) and (F) of paragraph (11), and
21    paragraph (11.5) of subsection (q) of Section 11-74.4-3, so
22    long as the changes do not increase the total estimated
23    redevelopment project costs set out in the redevelopment
24    plan by more than 5% after adjustment for inflation from
25    the date the plan was adopted.
26    (o) "Redevelopment project" means any public and private

 

 

09800SB0016sam002- 59 -LRB098 04277 NHT 59066 a

1development project in furtherance of the objectives of a
2redevelopment plan. On and after November 1, 1999 (the
3effective date of Public Act 91-478), no redevelopment plan may
4be approved or amended that includes the development of vacant
5land (i) with a golf course and related clubhouse and other
6facilities or (ii) designated by federal, State, county, or
7municipal government as public land for outdoor recreational
8activities or for nature preserves and used for that purpose
9within 5 years prior to the adoption of the redevelopment plan.
10For the purpose of this subsection, "recreational activities"
11is limited to mean camping and hunting.
12    (p) "Redevelopment project area" means an area designated
13by the municipality, which is not less in the aggregate than 1
141/2 acres and in respect to which the municipality has made a
15finding that there exist conditions which cause the area to be
16classified as an industrial park conservation area or a
17blighted area or a conservation area, or a combination of both
18blighted areas and conservation areas.
19    (p-1) Notwithstanding any provision of this Act to the
20contrary, on and after August 25, 2009 (the effective date of
21Public Act 96-680), a redevelopment project area may include
22areas within a one-half mile radius of an existing or proposed
23Regional Transportation Authority Suburban Transit Access
24Route (STAR Line) station without a finding that the area is
25classified as an industrial park conservation area, a blighted
26area, a conservation area, or a combination thereof, but only

 

 

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1if the municipality receives unanimous consent from the joint
2review board created to review the proposed redevelopment
3project area.
4    (q) "Redevelopment project costs", except for
5redevelopment project areas created pursuant to subsection
6(p-1), means and includes the sum total of all reasonable or
7necessary costs incurred or estimated to be incurred, and any
8such costs incidental to a redevelopment plan and a
9redevelopment project. Such costs include, without limitation,
10the following:
11        (1) Costs of studies, surveys, development of plans,
12    and specifications, implementation and administration of
13    the redevelopment plan including but not limited to staff
14    and professional service costs for architectural,
15    engineering, legal, financial, planning or other services,
16    provided however that no charges for professional services
17    may be based on a percentage of the tax increment
18    collected; except that on and after November 1, 1999 (the
19    effective date of Public Act 91-478), no contracts for
20    professional services, excluding architectural and
21    engineering services, may be entered into if the terms of
22    the contract extend beyond a period of 3 years. In
23    addition, "redevelopment project costs" shall not include
24    lobbying expenses. After consultation with the
25    municipality, each tax increment consultant or advisor to a
26    municipality that plans to designate or has designated a

 

 

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1    redevelopment project area shall inform the municipality
2    in writing of any contracts that the consultant or advisor
3    has entered into with entities or individuals that have
4    received, or are receiving, payments financed by tax
5    increment revenues produced by the redevelopment project
6    area with respect to which the consultant or advisor has
7    performed, or will be performing, service for the
8    municipality. This requirement shall be satisfied by the
9    consultant or advisor before the commencement of services
10    for the municipality and thereafter whenever any other
11    contracts with those individuals or entities are executed
12    by the consultant or advisor;
13        (1.5) After July 1, 1999, annual administrative costs
14    shall not include general overhead or administrative costs
15    of the municipality that would still have been incurred by
16    the municipality if the municipality had not designated a
17    redevelopment project area or approved a redevelopment
18    plan;
19        (1.6) The cost of marketing sites within the
20    redevelopment project area to prospective businesses,
21    developers, and investors;
22        (2) Property assembly costs, including but not limited
23    to acquisition of land and other property, real or
24    personal, or rights or interests therein, demolition of
25    buildings, site preparation, site improvements that serve
26    as an engineered barrier addressing ground level or below

 

 

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1    ground environmental contamination, including, but not
2    limited to parking lots and other concrete or asphalt
3    barriers, and the clearing and grading of land;
4        (3) Costs of rehabilitation, reconstruction or repair
5    or remodeling of existing public or private buildings,
6    fixtures, and leasehold improvements; and the cost of
7    replacing an existing public building if pursuant to the
8    implementation of a redevelopment project the existing
9    public building is to be demolished to use the site for
10    private investment or devoted to a different use requiring
11    private investment; including any direct or indirect costs
12    relating to Green Globes or LEED certified construction
13    elements or construction elements with an equivalent
14    certification;
15        (4) Costs of the construction of public works or
16    improvements, including any direct or indirect costs
17    relating to Green Globes or LEED certified construction
18    elements or construction elements with an equivalent
19    certification, except that on and after November 1, 1999,
20    redevelopment project costs shall not include the cost of
21    constructing a new municipal public building principally
22    used to provide offices, storage space, or conference
23    facilities or vehicle storage, maintenance, or repair for
24    administrative, public safety, or public works personnel
25    and that is not intended to replace an existing public
26    building as provided under paragraph (3) of subsection (q)

 

 

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1    of Section 11-74.4-3 unless either (i) the construction of
2    the new municipal building implements a redevelopment
3    project that was included in a redevelopment plan that was
4    adopted by the municipality prior to November 1, 1999 or
5    (ii) the municipality makes a reasonable determination in
6    the redevelopment plan, supported by information that
7    provides the basis for that determination, that the new
8    municipal building is required to meet an increase in the
9    need for public safety purposes anticipated to result from
10    the implementation of the redevelopment plan;
11        (5) Costs of job training and retraining projects,
12    including the cost of "welfare to work" programs
13    implemented by businesses located within the redevelopment
14    project area;
15        (6) Financing costs, including but not limited to all
16    necessary and incidental expenses related to the issuance
17    of obligations and which may include payment of interest on
18    any obligations issued hereunder including interest
19    accruing during the estimated period of construction of any
20    redevelopment project for which such obligations are
21    issued and for not exceeding 36 months thereafter and
22    including reasonable reserves related thereto;
23        (7) To the extent the municipality by written agreement
24    accepts and approves the same, all or a portion of a taxing
25    district's capital costs resulting from the redevelopment
26    project necessarily incurred or to be incurred within a

 

 

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1    taxing district in furtherance of the objectives of the
2    redevelopment plan and project.
3        (7.5) For redevelopment project areas designated (or
4    redevelopment project areas amended to add or increase the
5    number of tax-increment-financing assisted housing units)
6    on or after November 1, 1999, an elementary, secondary, or
7    unit school district's increased costs attributable to
8    assisted housing units located within the redevelopment
9    project area for which the developer or redeveloper
10    receives financial assistance through an agreement with
11    the municipality or because the municipality incurs the
12    cost of necessary infrastructure improvements within the
13    boundaries of the assisted housing sites necessary for the
14    completion of that housing as authorized by this Act, and
15    which costs shall be paid by the municipality from the
16    Special Tax Allocation Fund when the tax increment revenue
17    is received as a result of the assisted housing units and
18    shall be calculated annually as follows:
19            (A) for foundation districts, excluding any school
20        district in a municipality with a population in excess
21        of 1,000,000, by multiplying the district's increase
22        in attendance resulting from the net increase in new
23        students enrolled in that school district who reside in
24        housing units within the redevelopment project area
25        that have received financial assistance through an
26        agreement with the municipality or because the

 

 

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1        municipality incurs the cost of necessary
2        infrastructure improvements within the boundaries of
3        the housing sites necessary for the completion of that
4        housing as authorized by this Act since the designation
5        of the redevelopment project area by the most recently
6        available per capita tuition cost as defined in Section
7        10-20.12a of the School Code less any increase in
8        general State aid as defined in Section 18-8.05 of the
9        School Code or primary State aid as defined in Section
10        18-8.15 of the School Code attributable to these added
11        new students subject to the following annual
12        limitations:
13                (i) for unit school districts with a district
14            average 1995-96 Per Capita Tuition Charge of less
15            than $5,900, no more than 25% of the total amount
16            of property tax increment revenue produced by
17            those housing units that have received tax
18            increment finance assistance under this Act;
19                (ii) for elementary school districts with a
20            district average 1995-96 Per Capita Tuition Charge
21            of less than $5,900, no more than 17% of the total
22            amount of property tax increment revenue produced
23            by those housing units that have received tax
24            increment finance assistance under this Act; and
25                (iii) for secondary school districts with a
26            district average 1995-96 Per Capita Tuition Charge

 

 

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1            of less than $5,900, no more than 8% of the total
2            amount of property tax increment revenue produced
3            by those housing units that have received tax
4            increment finance assistance under this Act.
5            (B) For alternate method districts, flat grant
6        districts, and foundation districts with a district
7        average 1995-96 Per Capita Tuition Charge equal to or
8        more than $5,900, excluding any school district with a
9        population in excess of 1,000,000, by multiplying the
10        district's increase in attendance resulting from the
11        net increase in new students enrolled in that school
12        district who reside in housing units within the
13        redevelopment project area that have received
14        financial assistance through an agreement with the
15        municipality or because the municipality incurs the
16        cost of necessary infrastructure improvements within
17        the boundaries of the housing sites necessary for the
18        completion of that housing as authorized by this Act
19        since the designation of the redevelopment project
20        area by the most recently available per capita tuition
21        cost as defined in Section 10-20.12a of the School Code
22        less any increase in general state aid as defined in
23        Section 18-8.05 of the School Code or primary State aid
24        as defined in Section 18-8.15 of the School Code
25        attributable to these added new students subject to the
26        following annual limitations:

 

 

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1                (i) for unit school districts, no more than 40%
2            of the total amount of property tax increment
3            revenue produced by those housing units that have
4            received tax increment finance assistance under
5            this Act;
6                (ii) for elementary school districts, no more
7            than 27% of the total amount of property tax
8            increment revenue produced by those housing units
9            that have received tax increment finance
10            assistance under this Act; and
11                (iii) for secondary school districts, no more
12            than 13% of the total amount of property tax
13            increment revenue produced by those housing units
14            that have received tax increment finance
15            assistance under this Act.
16            (C) For any school district in a municipality with
17        a population in excess of 1,000,000, the following
18        restrictions shall apply to the reimbursement of
19        increased costs under this paragraph (7.5):
20                (i) no increased costs shall be reimbursed
21            unless the school district certifies that each of
22            the schools affected by the assisted housing
23            project is at or over its student capacity;
24                (ii) the amount reimbursable shall be reduced
25            by the value of any land donated to the school
26            district by the municipality or developer, and by

 

 

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1            the value of any physical improvements made to the
2            schools by the municipality or developer; and
3                (iii) the amount reimbursed may not affect
4            amounts otherwise obligated by the terms of any
5            bonds, notes, or other funding instruments, or the
6            terms of any redevelopment agreement.
7        Any school district seeking payment under this
8        paragraph (7.5) shall, after July 1 and before
9        September 30 of each year, provide the municipality
10        with reasonable evidence to support its claim for
11        reimbursement before the municipality shall be
12        required to approve or make the payment to the school
13        district. If the school district fails to provide the
14        information during this period in any year, it shall
15        forfeit any claim to reimbursement for that year.
16        School districts may adopt a resolution waiving the
17        right to all or a portion of the reimbursement
18        otherwise required by this paragraph (7.5). By
19        acceptance of this reimbursement the school district
20        waives the right to directly or indirectly set aside,
21        modify, or contest in any manner the establishment of
22        the redevelopment project area or projects;
23        (7.7) For redevelopment project areas designated (or
24    redevelopment project areas amended to add or increase the
25    number of tax-increment-financing assisted housing units)
26    on or after January 1, 2005 (the effective date of Public

 

 

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1    Act 93-961), a public library district's increased costs
2    attributable to assisted housing units located within the
3    redevelopment project area for which the developer or
4    redeveloper receives financial assistance through an
5    agreement with the municipality or because the
6    municipality incurs the cost of necessary infrastructure
7    improvements within the boundaries of the assisted housing
8    sites necessary for the completion of that housing as
9    authorized by this Act shall be paid to the library
10    district by the municipality from the Special Tax
11    Allocation Fund when the tax increment revenue is received
12    as a result of the assisted housing units. This paragraph
13    (7.7) applies only if (i) the library district is located
14    in a county that is subject to the Property Tax Extension
15    Limitation Law or (ii) the library district is not located
16    in a county that is subject to the Property Tax Extension
17    Limitation Law but the district is prohibited by any other
18    law from increasing its tax levy rate without a prior voter
19    referendum.
20        The amount paid to a library district under this
21    paragraph (7.7) shall be calculated by multiplying (i) the
22    net increase in the number of persons eligible to obtain a
23    library card in that district who reside in housing units
24    within the redevelopment project area that have received
25    financial assistance through an agreement with the
26    municipality or because the municipality incurs the cost of

 

 

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1    necessary infrastructure improvements within the
2    boundaries of the housing sites necessary for the
3    completion of that housing as authorized by this Act since
4    the designation of the redevelopment project area by (ii)
5    the per-patron cost of providing library services so long
6    as it does not exceed $120. The per-patron cost shall be
7    the Total Operating Expenditures Per Capita for the library
8    in the previous fiscal year. The municipality may deduct
9    from the amount that it must pay to a library district
10    under this paragraph any amount that it has voluntarily
11    paid to the library district from the tax increment
12    revenue. The amount paid to a library district under this
13    paragraph (7.7) shall be no more than 2% of the amount
14    produced by the assisted housing units and deposited into
15    the Special Tax Allocation Fund.
16        A library district is not eligible for any payment
17    under this paragraph (7.7) unless the library district has
18    experienced an increase in the number of patrons from the
19    municipality that created the tax-increment-financing
20    district since the designation of the redevelopment
21    project area.
22        Any library district seeking payment under this
23    paragraph (7.7) shall, after July 1 and before September 30
24    of each year, provide the municipality with convincing
25    evidence to support its claim for reimbursement before the
26    municipality shall be required to approve or make the

 

 

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1    payment to the library district. If the library district
2    fails to provide the information during this period in any
3    year, it shall forfeit any claim to reimbursement for that
4    year. Library districts may adopt a resolution waiving the
5    right to all or a portion of the reimbursement otherwise
6    required by this paragraph (7.7). By acceptance of such
7    reimbursement, the library district shall forfeit any
8    right to directly or indirectly set aside, modify, or
9    contest in any manner whatsoever the establishment of the
10    redevelopment project area or projects;
11        (8) Relocation costs to the extent that a municipality
12    determines that relocation costs shall be paid or is
13    required to make payment of relocation costs by federal or
14    State law or in order to satisfy subparagraph (7) of
15    subsection (n);
16        (9) Payment in lieu of taxes;
17        (10) Costs of job training, retraining, advanced
18    vocational education or career education, including but
19    not limited to courses in occupational, semi-technical or
20    technical fields leading directly to employment, incurred
21    by one or more taxing districts, provided that such costs
22    (i) are related to the establishment and maintenance of
23    additional job training, advanced vocational education or
24    career education programs for persons employed or to be
25    employed by employers located in a redevelopment project
26    area; and (ii) when incurred by a taxing district or taxing

 

 

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1    districts other than the municipality, are set forth in a
2    written agreement by or among the municipality and the
3    taxing district or taxing districts, which agreement
4    describes the program to be undertaken, including but not
5    limited to the number of employees to be trained, a
6    description of the training and services to be provided,
7    the number and type of positions available or to be
8    available, itemized costs of the program and sources of
9    funds to pay for the same, and the term of the agreement.
10    Such costs include, specifically, the payment by community
11    college districts of costs pursuant to Sections 3-37, 3-38,
12    3-40 and 3-40.1 of the Public Community College Act and by
13    school districts of costs pursuant to Sections 10-22.20a
14    and 10-23.3a of The School Code;
15        (11) Interest cost incurred by a redeveloper related to
16    the construction, renovation or rehabilitation of a
17    redevelopment project provided that:
18            (A) such costs are to be paid directly from the
19        special tax allocation fund established pursuant to
20        this Act;
21            (B) such payments in any one year may not exceed
22        30% of the annual interest costs incurred by the
23        redeveloper with regard to the redevelopment project
24        during that year;
25            (C) if there are not sufficient funds available in
26        the special tax allocation fund to make the payment

 

 

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1        pursuant to this paragraph (11) then the amounts so due
2        shall accrue and be payable when sufficient funds are
3        available in the special tax allocation fund;
4            (D) the total of such interest payments paid
5        pursuant to this Act may not exceed 30% of the total
6        (i) cost paid or incurred by the redeveloper for the
7        redevelopment project plus (ii) redevelopment project
8        costs excluding any property assembly costs and any
9        relocation costs incurred by a municipality pursuant
10        to this Act; and
11            (E) the cost limits set forth in subparagraphs (B)
12        and (D) of paragraph (11) shall be modified for the
13        financing of rehabilitated or new housing units for
14        low-income households and very low-income households,
15        as defined in Section 3 of the Illinois Affordable
16        Housing Act. The percentage of 75% shall be substituted
17        for 30% in subparagraphs (B) and (D) of paragraph (11).
18            (F) Instead of the eligible costs provided by
19        subparagraphs (B) and (D) of paragraph (11), as
20        modified by this subparagraph, and notwithstanding any
21        other provisions of this Act to the contrary, the
22        municipality may pay from tax increment revenues up to
23        50% of the cost of construction of new housing units to
24        be occupied by low-income households and very
25        low-income households as defined in Section 3 of the
26        Illinois Affordable Housing Act. The cost of

 

 

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1        construction of those units may be derived from the
2        proceeds of bonds issued by the municipality under this
3        Act or other constitutional or statutory authority or
4        from other sources of municipal revenue that may be
5        reimbursed from tax increment revenues or the proceeds
6        of bonds issued to finance the construction of that
7        housing.
8            The eligible costs provided under this
9        subparagraph (F) of paragraph (11) shall be an eligible
10        cost for the construction, renovation, and
11        rehabilitation of all low and very low-income housing
12        units, as defined in Section 3 of the Illinois
13        Affordable Housing Act, within the redevelopment
14        project area. If the low and very low-income units are
15        part of a residential redevelopment project that
16        includes units not affordable to low and very
17        low-income households, only the low and very
18        low-income units shall be eligible for benefits under
19        subparagraph (F) of paragraph (11). The standards for
20        maintaining the occupancy by low-income households and
21        very low-income households, as defined in Section 3 of
22        the Illinois Affordable Housing Act, of those units
23        constructed with eligible costs made available under
24        the provisions of this subparagraph (F) of paragraph
25        (11) shall be established by guidelines adopted by the
26        municipality. The responsibility for annually

 

 

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1        documenting the initial occupancy of the units by
2        low-income households and very low-income households,
3        as defined in Section 3 of the Illinois Affordable
4        Housing Act, shall be that of the then current owner of
5        the property. For ownership units, the guidelines will
6        provide, at a minimum, for a reasonable recapture of
7        funds, or other appropriate methods designed to
8        preserve the original affordability of the ownership
9        units. For rental units, the guidelines will provide,
10        at a minimum, for the affordability of rent to low and
11        very low-income households. As units become available,
12        they shall be rented to income-eligible tenants. The
13        municipality may modify these guidelines from time to
14        time; the guidelines, however, shall be in effect for
15        as long as tax increment revenue is being used to pay
16        for costs associated with the units or for the
17        retirement of bonds issued to finance the units or for
18        the life of the redevelopment project area, whichever
19        is later.
20        (11.5) If the redevelopment project area is located
21    within a municipality with a population of more than
22    100,000, the cost of day care services for children of
23    employees from low-income families working for businesses
24    located within the redevelopment project area and all or a
25    portion of the cost of operation of day care centers
26    established by redevelopment project area businesses to

 

 

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1    serve employees from low-income families working in
2    businesses located in the redevelopment project area. For
3    the purposes of this paragraph, "low-income families"
4    means families whose annual income does not exceed 80% of
5    the municipal, county, or regional median income, adjusted
6    for family size, as the annual income and municipal,
7    county, or regional median income are determined from time
8    to time by the United States Department of Housing and
9    Urban Development.
10        (12) Unless explicitly stated herein the cost of
11    construction of new privately-owned buildings shall not be
12    an eligible redevelopment project cost.
13        (13) After November 1, 1999 (the effective date of
14    Public Act 91-478), none of the redevelopment project costs
15    enumerated in this subsection shall be eligible
16    redevelopment project costs if those costs would provide
17    direct financial support to a retail entity initiating
18    operations in the redevelopment project area while
19    terminating operations at another Illinois location within
20    10 miles of the redevelopment project area but outside the
21    boundaries of the redevelopment project area municipality.
22    For purposes of this paragraph, termination means a closing
23    of a retail operation that is directly related to the
24    opening of the same operation or like retail entity owned
25    or operated by more than 50% of the original ownership in a
26    redevelopment project area, but it does not mean closing an

 

 

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1    operation for reasons beyond the control of the retail
2    entity, as documented by the retail entity, subject to a
3    reasonable finding by the municipality that the current
4    location contained inadequate space, had become
5    economically obsolete, or was no longer a viable location
6    for the retailer or serviceman.
7        (14) No cost shall be a redevelopment project cost in a
8    redevelopment project area if used to demolish, remove, or
9    substantially modify a historic resource, after August 26,
10    2008 (the effective date of Public Act 95-934), unless no
11    prudent and feasible alternative exists. "Historic
12    resource" for the purpose of this item (14) means (i) a
13    place or structure that is included or eligible for
14    inclusion on the National Register of Historic Places or
15    (ii) a contributing structure in a district on the National
16    Register of Historic Places. This item (14) does not apply
17    to a place or structure for which demolition, removal, or
18    modification is subject to review by the preservation
19    agency of a Certified Local Government designated as such
20    by the National Park Service of the United States
21    Department of the Interior.
22    If a special service area has been established pursuant to
23the Special Service Area Tax Act or Special Service Area Tax
24Law, then any tax increment revenues derived from the tax
25imposed pursuant to the Special Service Area Tax Act or Special
26Service Area Tax Law may be used within the redevelopment

 

 

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1project area for the purposes permitted by that Act or Law as
2well as the purposes permitted by this Act.
3    (q-1) For redevelopment project areas created pursuant to
4subsection (p-1), redevelopment project costs are limited to
5those costs in paragraph (q) that are related to the existing
6or proposed Regional Transportation Authority Suburban Transit
7Access Route (STAR Line) station.
8    (r) "State Sales Tax Boundary" means the redevelopment
9project area or the amended redevelopment project area
10boundaries which are determined pursuant to subsection (9) of
11Section 11-74.4-8a of this Act. The Department of Revenue shall
12certify pursuant to subsection (9) of Section 11-74.4-8a the
13appropriate boundaries eligible for the determination of State
14Sales Tax Increment.
15    (s) "State Sales Tax Increment" means an amount equal to
16the increase in the aggregate amount of taxes paid by retailers
17and servicemen, other than retailers and servicemen subject to
18the Public Utilities Act, on transactions at places of business
19located within a State Sales Tax Boundary pursuant to the
20Retailers' Occupation Tax Act, the Use Tax Act, the Service Use
21Tax Act, and the Service Occupation Tax Act, except such
22portion of such increase that is paid into the State and Local
23Sales Tax Reform Fund, the Local Government Distributive Fund,
24the Local Government Tax Fund and the County and Mass Transit
25District Fund, for as long as State participation exists, over
26and above the Initial Sales Tax Amounts, Adjusted Initial Sales

 

 

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1Tax Amounts or the Revised Initial Sales Tax Amounts for such
2taxes as certified by the Department of Revenue and paid under
3those Acts by retailers and servicemen on transactions at
4places of business located within the State Sales Tax Boundary
5during the base year which shall be the calendar year
6immediately prior to the year in which the municipality adopted
7tax increment allocation financing, less 3.0% of such amounts
8generated under the Retailers' Occupation Tax Act, Use Tax Act
9and Service Use Tax Act and the Service Occupation Tax Act,
10which sum shall be appropriated to the Department of Revenue to
11cover its costs of administering and enforcing this Section.
12For purposes of computing the aggregate amount of such taxes
13for base years occurring prior to 1985, the Department of
14Revenue shall compute the Initial Sales Tax Amount for such
15taxes and deduct therefrom an amount equal to 4% of the
16aggregate amount of taxes per year for each year the base year
17is prior to 1985, but not to exceed a total deduction of 12%.
18The amount so determined shall be known as the "Adjusted
19Initial Sales Tax Amount". For purposes of determining the
20State Sales Tax Increment the Department of Revenue shall for
21each period subtract from the tax amounts received from
22retailers and servicemen on transactions located in the State
23Sales Tax Boundary, the certified Initial Sales Tax Amounts,
24Adjusted Initial Sales Tax Amounts or Revised Initial Sales Tax
25Amounts for the Retailers' Occupation Tax Act, the Use Tax Act,
26the Service Use Tax Act and the Service Occupation Tax Act. For

 

 

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1the State Fiscal Year 1989 this calculation shall be made by
2utilizing the calendar year 1987 to determine the tax amounts
3received. For the State Fiscal Year 1990, this calculation
4shall be made by utilizing the period from January 1, 1988,
5until September 30, 1988, to determine the tax amounts received
6from retailers and servicemen, which shall have deducted
7therefrom nine-twelfths of the certified Initial Sales Tax
8Amounts, Adjusted Initial Sales Tax Amounts or the Revised
9Initial Sales Tax Amounts as appropriate. For the State Fiscal
10Year 1991, this calculation shall be made by utilizing the
11period from October 1, 1988, until June 30, 1989, to determine
12the tax amounts received from retailers and servicemen, which
13shall have deducted therefrom nine-twelfths of the certified
14Initial State Sales Tax Amounts, Adjusted Initial Sales Tax
15Amounts or the Revised Initial Sales Tax Amounts as
16appropriate. For every State Fiscal Year thereafter, the
17applicable period shall be the 12 months beginning July 1 and
18ending on June 30, to determine the tax amounts received which
19shall have deducted therefrom the certified Initial Sales Tax
20Amounts, Adjusted Initial Sales Tax Amounts or the Revised
21Initial Sales Tax Amounts. Municipalities intending to receive
22a distribution of State Sales Tax Increment must report a list
23of retailers to the Department of Revenue by October 31, 1988
24and by July 31, of each year thereafter.
25    (t) "Taxing districts" means counties, townships, cities
26and incorporated towns and villages, school, road, park,

 

 

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1sanitary, mosquito abatement, forest preserve, public health,
2fire protection, river conservancy, tuberculosis sanitarium
3and any other municipal corporations or districts with the
4power to levy taxes.
5    (u) "Taxing districts' capital costs" means those costs of
6taxing districts for capital improvements that are found by the
7municipal corporate authorities to be necessary and directly
8result from the redevelopment project.
9    (v) As used in subsection (a) of Section 11-74.4-3 of this
10Act, "vacant land" means any parcel or combination of parcels
11of real property without industrial, commercial, and
12residential buildings which has not been used for commercial
13agricultural purposes within 5 years prior to the designation
14of the redevelopment project area, unless the parcel is
15included in an industrial park conservation area or the parcel
16has been subdivided; provided that if the parcel was part of a
17larger tract that has been divided into 3 or more smaller
18tracts that were accepted for recording during the period from
191950 to 1990, then the parcel shall be deemed to have been
20subdivided, and all proceedings and actions of the municipality
21taken in that connection with respect to any previously
22approved or designated redevelopment project area or amended
23redevelopment project area are hereby validated and hereby
24declared to be legally sufficient for all purposes of this Act.
25For purposes of this Section and only for land subject to the
26subdivision requirements of the Plat Act, land is subdivided

 

 

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1when the original plat of the proposed Redevelopment Project
2Area or relevant portion thereof has been properly certified,
3acknowledged, approved, and recorded or filed in accordance
4with the Plat Act and a preliminary plat, if any, for any
5subsequent phases of the proposed Redevelopment Project Area or
6relevant portion thereof has been properly approved and filed
7in accordance with the applicable ordinance of the
8municipality.
9    (w) "Annual Total Increment" means the sum of each
10municipality's annual Net Sales Tax Increment and each
11municipality's annual Net Utility Tax Increment. The ratio of
12the Annual Total Increment of each municipality to the Annual
13Total Increment for all municipalities, as most recently
14calculated by the Department, shall determine the proportional
15shares of the Illinois Tax Increment Fund to be distributed to
16each municipality.
17    (x) "LEED certified" means any certification level of
18construction elements by a qualified Leadership in Energy and
19Environmental Design Accredited Professional as determined by
20the U.S. Green Building Council.
21    (y) "Green Globes certified" means any certification level
22of construction elements by a qualified Green Globes
23Professional as determined by the Green Building Initiative.
24(Source: P.A. 96-328, eff. 8-11-09; 96-630, eff. 1-1-10;
2596-680, eff. 8-25-09; 96-1000, eff. 7-2-10; 97-101, eff.
261-1-12.)
 

 

 

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1    (65 ILCS 5/11-74.4-8)   (from Ch. 24, par. 11-74.4-8)
2    Sec. 11-74.4-8. Tax increment allocation financing. A
3municipality may not adopt tax increment financing in a
4redevelopment project area after the effective date of this
5amendatory Act of 1997 that will encompass an area that is
6currently included in an enterprise zone created under the
7Illinois Enterprise Zone Act unless that municipality,
8pursuant to Section 5.4 of the Illinois Enterprise Zone Act,
9amends the enterprise zone designating ordinance to limit the
10eligibility for tax abatements as provided in Section 5.4.1 of
11the Illinois Enterprise Zone Act. A municipality, at the time a
12redevelopment project area is designated, may adopt tax
13increment allocation financing by passing an ordinance
14providing that the ad valorem taxes, if any, arising from the
15levies upon taxable real property in such redevelopment project
16area by taxing districts and tax rates determined in the manner
17provided in paragraph (c) of Section 11-74.4-9 each year after
18the effective date of the ordinance until redevelopment project
19costs and all municipal obligations financing redevelopment
20project costs incurred under this Division have been paid shall
21be divided as follows:
22    (a) That portion of taxes levied upon each taxable lot,
23block, tract or parcel of real property which is attributable
24to the lower of the current equalized assessed value or the
25initial equalized assessed value of each such taxable lot,

 

 

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1block, tract or parcel of real property in the redevelopment
2project area shall be allocated to and when collected shall be
3paid by the county collector to the respective affected taxing
4districts in the manner required by law in the absence of the
5adoption of tax increment allocation financing.
6    (b) Except from a tax levied by a township to retire bonds
7issued to satisfy court-ordered damages, that portion, if any,
8of such taxes which is attributable to the increase in the
9current equalized assessed valuation of each taxable lot,
10block, tract or parcel of real property in the redevelopment
11project area over and above the initial equalized assessed
12value of each property in the project area shall be allocated
13to and when collected shall be paid to the municipal treasurer
14who shall deposit said taxes into a special fund called the
15special tax allocation fund of the municipality for the purpose
16of paying redevelopment project costs and obligations incurred
17in the payment thereof. In any county with a population of
183,000,000 or more that has adopted a procedure for collecting
19taxes that provides for one or more of the installments of the
20taxes to be billed and collected on an estimated basis, the
21municipal treasurer shall be paid for deposit in the special
22tax allocation fund of the municipality, from the taxes
23collected from estimated bills issued for property in the
24redevelopment project area, the difference between the amount
25actually collected from each taxable lot, block, tract, or
26parcel of real property within the redevelopment project area

 

 

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1and an amount determined by multiplying the rate at which taxes
2were last extended against the taxable lot, block, track, or
3parcel of real property in the manner provided in subsection
4(c) of Section 11-74.4-9 by the initial equalized assessed
5value of the property divided by the number of installments in
6which real estate taxes are billed and collected within the
7county; provided that the payments on or before December 31,
81999 to a municipal treasurer shall be made only if each of the
9following conditions are met:
10        (1) The total equalized assessed value of the
11    redevelopment project area as last determined was not less
12    than 175% of the total initial equalized assessed value.
13        (2) Not more than 50% of the total equalized assessed
14    value of the redevelopment project area as last determined
15    is attributable to a piece of property assigned a single
16    real estate index number.
17        (3) The municipal clerk has certified to the county
18    clerk that the municipality has issued its obligations to
19    which there has been pledged the incremental property taxes
20    of the redevelopment project area or taxes levied and
21    collected on any or all property in the municipality or the
22    full faith and credit of the municipality to pay or secure
23    payment for all or a portion of the redevelopment project
24    costs. The certification shall be filed annually no later
25    than September 1 for the estimated taxes to be distributed
26    in the following year; however, for the year 1992 the

 

 

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1    certification shall be made at any time on or before March
2    31, 1992.
3        (4) The municipality has not requested that the total
4    initial equalized assessed value of real property be
5    adjusted as provided in subsection (b) of Section
6    11-74.4-9.
7    The conditions of paragraphs (1) through (4) do not apply
8after December 31, 1999 to payments to a municipal treasurer
9made by a county with 3,000,000 or more inhabitants that has
10adopted an estimated billing procedure for collecting taxes. If
11a county that has adopted the estimated billing procedure makes
12an erroneous overpayment of tax revenue to the municipal
13treasurer, then the county may seek a refund of that
14overpayment. The county shall send the municipal treasurer a
15notice of liability for the overpayment on or before the
16mailing date of the next real estate tax bill within the
17county. The refund shall be limited to the amount of the
18overpayment.
19    It is the intent of this Division that after the effective
20date of this amendatory Act of 1988 a municipality's own ad
21valorem tax arising from levies on taxable real property be
22included in the determination of incremental revenue in the
23manner provided in paragraph (c) of Section 11-74.4-9. If the
24municipality does not extend such a tax, it shall annually
25deposit in the municipality's Special Tax Increment Fund an
26amount equal to 10% of the total contributions to the fund from

 

 

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1all other taxing districts in that year. The annual 10% deposit
2required by this paragraph shall be limited to the actual
3amount of municipally produced incremental tax revenues
4available to the municipality from taxpayers located in the
5redevelopment project area in that year if: (a) the plan for
6the area restricts the use of the property primarily to
7industrial purposes, (b) the municipality establishing the
8redevelopment project area is a home-rule community with a 1990
9population of between 25,000 and 50,000, (c) the municipality
10is wholly located within a county with a 1990 population of
11over 750,000 and (d) the redevelopment project area was
12established by the municipality prior to June 1, 1990. This
13payment shall be in lieu of a contribution of ad valorem taxes
14on real property. If no such payment is made, any redevelopment
15project area of the municipality shall be dissolved.
16    If a municipality has adopted tax increment allocation
17financing by ordinance and the County Clerk thereafter
18certifies the "total initial equalized assessed value as
19adjusted" of the taxable real property within such
20redevelopment project area in the manner provided in paragraph
21(b) of Section 11-74.4-9, each year after the date of the
22certification of the total initial equalized assessed value as
23adjusted until redevelopment project costs and all municipal
24obligations financing redevelopment project costs have been
25paid the ad valorem taxes, if any, arising from the levies upon
26the taxable real property in such redevelopment project area by

 

 

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1taxing districts and tax rates determined in the manner
2provided in paragraph (c) of Section 11-74.4-9 shall be divided
3as follows:
4        (1) That portion of the taxes levied upon each taxable
5    lot, block, tract or parcel of real property which is
6    attributable to the lower of the current equalized assessed
7    value or "current equalized assessed value as adjusted" or
8    the initial equalized assessed value of each such taxable
9    lot, block, tract, or parcel of real property existing at
10    the time tax increment financing was adopted, minus the
11    total current homestead exemptions under Article 15 of the
12    Property Tax Code in the redevelopment project area shall
13    be allocated to and when collected shall be paid by the
14    county collector to the respective affected taxing
15    districts in the manner required by law in the absence of
16    the adoption of tax increment allocation financing.
17        (2) That portion, if any, of such taxes which is
18    attributable to the increase in the current equalized
19    assessed valuation of each taxable lot, block, tract, or
20    parcel of real property in the redevelopment project area,
21    over and above the initial equalized assessed value of each
22    property existing at the time tax increment financing was
23    adopted, minus the total current homestead exemptions
24    pertaining to each piece of property provided by Article 15
25    of the Property Tax Code in the redevelopment project area,
26    shall be allocated to and when collected shall be paid to

 

 

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1    the municipal Treasurer, who shall deposit said taxes into
2    a special fund called the special tax allocation fund of
3    the municipality for the purpose of paying redevelopment
4    project costs and obligations incurred in the payment
5    thereof.
6    The municipality may pledge in the ordinance the funds in
7and to be deposited in the special tax allocation fund for the
8payment of such costs and obligations. No part of the current
9equalized assessed valuation of each property in the
10redevelopment project area attributable to any increase above
11the total initial equalized assessed value, or the total
12initial equalized assessed value as adjusted, of such
13properties shall be used in calculating the general State
14school aid formula, provided for in Section 18-8 of the School
15Code, or the primary State aid formula, provided for in Section
1618-8.15 of the School Code, until such time as all
17redevelopment project costs have been paid as provided for in
18this Section.
19    Whenever a municipality issues bonds for the purpose of
20financing redevelopment project costs, such municipality may
21provide by ordinance for the appointment of a trustee, which
22may be any trust company within the State, and for the
23establishment of such funds or accounts to be maintained by
24such trustee as the municipality shall deem necessary to
25provide for the security and payment of the bonds. If such
26municipality provides for the appointment of a trustee, such

 

 

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1trustee shall be considered the assignee of any payments
2assigned by the municipality pursuant to such ordinance and
3this Section. Any amounts paid to such trustee as assignee
4shall be deposited in the funds or accounts established
5pursuant to such trust agreement, and shall be held by such
6trustee in trust for the benefit of the holders of the bonds,
7and such holders shall have a lien on and a security interest
8in such funds or accounts so long as the bonds remain
9outstanding and unpaid. Upon retirement of the bonds, the
10trustee shall pay over any excess amounts held to the
11municipality for deposit in the special tax allocation fund.
12    When such redevelopment projects costs, including without
13limitation all municipal obligations financing redevelopment
14project costs incurred under this Division, have been paid, all
15surplus funds then remaining in the special tax allocation fund
16shall be distributed by being paid by the municipal treasurer
17to the Department of Revenue, the municipality and the county
18collector; first to the Department of Revenue and the
19municipality in direct proportion to the tax incremental
20revenue received from the State and the municipality, but not
21to exceed the total incremental revenue received from the State
22or the municipality less any annual surplus distribution of
23incremental revenue previously made; with any remaining funds
24to be paid to the County Collector who shall immediately
25thereafter pay said funds to the taxing districts in the
26redevelopment project area in the same manner and proportion as

 

 

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1the most recent distribution by the county collector to the
2affected districts of real property taxes from real property in
3the redevelopment project area.
4    Upon the payment of all redevelopment project costs, the
5retirement of obligations, the distribution of any excess
6monies pursuant to this Section, and final closing of the books
7and records of the redevelopment project area, the municipality
8shall adopt an ordinance dissolving the special tax allocation
9fund for the redevelopment project area and terminating the
10designation of the redevelopment project area as a
11redevelopment project area. Title to real or personal property
12and public improvements acquired by or for the municipality as
13a result of the redevelopment project and plan shall vest in
14the municipality when acquired and shall continue to be held by
15the municipality after the redevelopment project area has been
16terminated. Municipalities shall notify affected taxing
17districts prior to November 1 if the redevelopment project area
18is to be terminated by December 31 of that same year. If a
19municipality extends estimated dates of completion of a
20redevelopment project and retirement of obligations to finance
21a redevelopment project, as allowed by this amendatory Act of
221993, that extension shall not extend the property tax
23increment allocation financing authorized by this Section.
24Thereafter the rates of the taxing districts shall be extended
25and taxes levied, collected and distributed in the manner
26applicable in the absence of the adoption of tax increment

 

 

09800SB0016sam002- 92 -LRB098 04277 NHT 59066 a

1allocation financing.
2    Nothing in this Section shall be construed as relieving
3property in such redevelopment project areas from being
4assessed as provided in the Property Tax Code or as relieving
5owners of such property from paying a uniform rate of taxes, as
6required by Section 4 of Article IX of the Illinois
7Constitution.
8(Source: P.A. 98-463, eff. 8-16-13.)
 
9    (65 ILCS 5/11-74.6-35)
10    Sec. 11-74.6-35. Ordinance for tax increment allocation
11financing.
12    (a) A municipality, at the time a redevelopment project
13area is designated, may adopt tax increment allocation
14financing by passing an ordinance providing that the ad valorem
15taxes, if any, arising from the levies upon taxable real
16property within the redevelopment project area by taxing
17districts and tax rates determined in the manner provided in
18subsection (b) of Section 11-74.6-40 each year after the
19effective date of the ordinance until redevelopment project
20costs and all municipal obligations financing redevelopment
21project costs incurred under this Act have been paid shall be
22divided as follows:
23        (1) That portion of the taxes levied upon each taxable
24    lot, block, tract or parcel of real property that is
25    attributable to the lower of the current equalized assessed

 

 

09800SB0016sam002- 93 -LRB098 04277 NHT 59066 a

1    value or the initial equalized assessed value or the
2    updated initial equalized assessed value of each taxable
3    lot, block, tract or parcel of real property in the
4    redevelopment project area shall be allocated to and when
5    collected shall be paid by the county collector to the
6    respective affected taxing districts in the manner
7    required by law without regard to the adoption of tax
8    increment allocation financing.
9        (2) That portion, if any, of those taxes that is
10    attributable to the increase in the current equalized
11    assessed value of each taxable lot, block, tract or parcel
12    of real property in the redevelopment project area, over
13    and above the initial equalized assessed value or the
14    updated initial equalized assessed value of each property
15    in the project area, shall be allocated to and when
16    collected shall be paid by the county collector to the
17    municipal treasurer who shall deposit that portion of those
18    taxes into a special fund called the special tax allocation
19    fund of the municipality for the purpose of paying
20    redevelopment project costs and obligations incurred in
21    the payment of those costs and obligations. In any county
22    with a population of 3,000,000 or more that has adopted a
23    procedure for collecting taxes that provides for one or
24    more of the installments of the taxes to be billed and
25    collected on an estimated basis, the municipal treasurer
26    shall be paid for deposit in the special tax allocation

 

 

09800SB0016sam002- 94 -LRB098 04277 NHT 59066 a

1    fund of the municipality, from the taxes collected from
2    estimated bills issued for property in the redevelopment
3    project area, the difference between the amount actually
4    collected from each taxable lot, block, tract, or parcel of
5    real property within the redevelopment project area and an
6    amount determined by multiplying the rate at which taxes
7    were last extended against the taxable lot, block, track,
8    or parcel of real property in the manner provided in
9    subsection (b) of Section 11-74.6-40 by the initial
10    equalized assessed value or the updated initial equalized
11    assessed value of the property divided by the number of
12    installments in which real estate taxes are billed and
13    collected within the county, provided that the payments on
14    or before December 31, 1999 to a municipal treasurer shall
15    be made only if each of the following conditions are met:
16            (A) The total equalized assessed value of the
17        redevelopment project area as last determined was not
18        less than 175% of the total initial equalized assessed
19        value.
20            (B) Not more than 50% of the total equalized
21        assessed value of the redevelopment project area as
22        last determined is attributable to a piece of property
23        assigned a single real estate index number.
24            (C) The municipal clerk has certified to the county
25        clerk that the municipality has issued its obligations
26        to which there has been pledged the incremental

 

 

09800SB0016sam002- 95 -LRB098 04277 NHT 59066 a

1        property taxes of the redevelopment project area or
2        taxes levied and collected on any or all property in
3        the municipality or the full faith and credit of the
4        municipality to pay or secure payment for all or a
5        portion of the redevelopment project costs. The
6        certification shall be filed annually no later than
7        September 1 for the estimated taxes to be distributed
8        in the following year.
9    The conditions of paragraphs (A) through (C) do not apply
10after December 31, 1999 to payments to a municipal treasurer
11made by a county with 3,000,000 or more inhabitants that has
12adopted an estimated billing procedure for collecting taxes. If
13a county that has adopted the estimated billing procedure makes
14an erroneous overpayment of tax revenue to the municipal
15treasurer, then the county may seek a refund of that
16overpayment. The county shall send the municipal treasurer a
17notice of liability for the overpayment on or before the
18mailing date of the next real estate tax bill within the
19county. The refund shall be limited to the amount of the
20overpayment.
21    (b) It is the intent of this Act that a municipality's own
22ad valorem tax arising from levies on taxable real property be
23included in the determination of incremental revenue in the
24manner provided in paragraph (b) of Section 11-74.6-40.
25    (c) If a municipality has adopted tax increment allocation
26financing for a redevelopment project area by ordinance and the

 

 

09800SB0016sam002- 96 -LRB098 04277 NHT 59066 a

1county clerk thereafter certifies the total initial equalized
2assessed value or the total updated initial equalized assessed
3value of the taxable real property within such redevelopment
4project area in the manner provided in paragraph (a) or (b) of
5Section 11-74.6-40, each year after the date of the
6certification of the total initial equalized assessed value or
7the total updated initial equalized assessed value until
8redevelopment project costs and all municipal obligations
9financing redevelopment project costs have been paid, the ad
10valorem taxes, if any, arising from the levies upon the taxable
11real property in the redevelopment project area by taxing
12districts and tax rates determined in the manner provided in
13paragraph (b) of Section 11-74.6-40 shall be divided as
14follows:
15        (1) That portion of the taxes levied upon each taxable
16    lot, block, tract or parcel of real property that is
17    attributable to the lower of the current equalized assessed
18    value or the initial equalized assessed value, or the
19    updated initial equalized assessed value of each parcel if
20    the updated initial equalized assessed value of that parcel
21    has been certified in accordance with Section 11-74.6-40,
22    whichever has been most recently certified, of each taxable
23    lot, block, tract, or parcel of real property existing at
24    the time tax increment allocation financing was adopted in
25    the redevelopment project area, shall be allocated to and
26    when collected shall be paid by the county collector to the

 

 

09800SB0016sam002- 97 -LRB098 04277 NHT 59066 a

1    respective affected taxing districts in the manner
2    required by law without regard to the adoption of tax
3    increment allocation financing.
4        (2) That portion, if any, of those taxes that is
5    attributable to the increase in the current equalized
6    assessed value of each taxable lot, block, tract, or parcel
7    of real property in the redevelopment project area, over
8    and above the initial equalized assessed value of each
9    property existing at the time tax increment allocation
10    financing was adopted in the redevelopment project area, or
11    the updated initial equalized assessed value of each parcel
12    if the updated initial equalized assessed value of that
13    parcel has been certified in accordance with Section
14    11-74.6-40, shall be allocated to and when collected shall
15    be paid to the municipal treasurer, who shall deposit those
16    taxes into a special fund called the special tax allocation
17    fund of the municipality for the purpose of paying
18    redevelopment project costs and obligations incurred in
19    the payment thereof.
20    (d) The municipality may pledge in the ordinance the funds
21in and to be deposited in the special tax allocation fund for
22the payment of redevelopment project costs and obligations. No
23part of the current equalized assessed value of each property
24in the redevelopment project area attributable to any increase
25above the total initial equalized assessed value or the total
26initial updated equalized assessed value of the property, shall

 

 

09800SB0016sam002- 98 -LRB098 04277 NHT 59066 a

1be used in calculating the general General State aid formula
2School Aid Formula, provided for in Section 18-8 of the School
3Code, or the primary State aid formula, provided for in Section
418-8.15 of the School Code, until all redevelopment project
5costs have been paid as provided for in this Section.
6    Whenever a municipality issues bonds for the purpose of
7financing redevelopment project costs, that municipality may
8provide by ordinance for the appointment of a trustee, which
9may be any trust company within the State, and for the
10establishment of any funds or accounts to be maintained by that
11trustee, as the municipality deems necessary to provide for the
12security and payment of the bonds. If the municipality provides
13for the appointment of a trustee, the trustee shall be
14considered the assignee of any payments assigned by the
15municipality under that ordinance and this Section. Any amounts
16paid to the trustee as assignee shall be deposited into the
17funds or accounts established under the trust agreement, and
18shall be held by the trustee in trust for the benefit of the
19holders of the bonds. The holders of those bonds shall have a
20lien on and a security interest in those funds or accounts
21while the bonds remain outstanding and unpaid. Upon retirement
22of the bonds, the trustee shall pay over any excess amounts
23held to the municipality for deposit in the special tax
24allocation fund.
25    When the redevelopment projects costs, including without
26limitation all municipal obligations financing redevelopment

 

 

09800SB0016sam002- 99 -LRB098 04277 NHT 59066 a

1project costs incurred under this Law, have been paid, all
2surplus funds then remaining in the special tax allocation fund
3shall be distributed by being paid by the municipal treasurer
4to the municipality and the county collector; first to the
5municipality in direct proportion to the tax incremental
6revenue received from the municipality, but not to exceed the
7total incremental revenue received from the municipality,
8minus any annual surplus distribution of incremental revenue
9previously made. Any remaining funds shall be paid to the
10county collector who shall immediately distribute that payment
11to the taxing districts in the redevelopment project area in
12the same manner and proportion as the most recent distribution
13by the county collector to the affected districts of real
14property taxes from real property situated in the redevelopment
15project area.
16    Upon the payment of all redevelopment project costs,
17retirement of obligations and the distribution of any excess
18moneys under this Section, the municipality shall adopt an
19ordinance dissolving the special tax allocation fund for the
20redevelopment project area and terminating the designation of
21the redevelopment project area as a redevelopment project area.
22Thereafter the tax levies of taxing districts shall be
23extended, collected and distributed in the same manner
24applicable before the adoption of tax increment allocation
25financing. Municipality shall notify affected taxing districts
26prior to November if the redevelopment project area is to be

 

 

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1terminated by December 31 of that same year.
2    Nothing in this Section shall be construed as relieving
3property in a redevelopment project area from being assessed as
4provided in the Property Tax Code or as relieving owners of
5that property from paying a uniform rate of taxes, as required
6by Section 4 of Article IX of the Illinois Constitution.
7(Source: P.A. 91-474, eff. 11-1-99.)
 
8    Section 940. The Economic Development Project Area Tax
9Increment Allocation Act of 1995 is amended by changing Section
1050 as follows:
 
11    (65 ILCS 110/50)
12    Sec. 50. Special tax allocation fund.
13    (a) If a county clerk has certified the "total initial
14equalized assessed value" of the taxable real property within
15an economic development project area in the manner provided in
16Section 45, each year after the date of the certification by
17the county clerk of the "total initial equalized assessed
18value", until economic development project costs and all
19municipal obligations financing economic development project
20costs have been paid, the ad valorem taxes, if any, arising
21from the levies upon the taxable real property in the economic
22development project area by taxing districts and tax rates
23determined in the manner provided in subsection (b) of Section
2445 shall be divided as follows:

 

 

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1        (1) That portion of the taxes levied upon each taxable
2    lot, block, tract, or parcel of real property that is
3    attributable to the lower of the current equalized assessed
4    value or the initial equalized assessed value of each
5    taxable lot, block, tract, or parcel of real property
6    existing at the time tax increment financing was adopted
7    shall be allocated to (and when collected shall be paid by
8    the county collector to) the respective affected taxing
9    districts in the manner required by law in the absence of
10    the adoption of tax increment allocation financing.
11        (2) That portion, if any, of the taxes that is
12    attributable to the increase in the current equalized
13    assessed valuation of each taxable lot, block, tract, or
14    parcel of real property in the economic development project
15    area, over and above the initial equalized assessed value
16    of each property existing at the time tax increment
17    financing was adopted, shall be allocated to (and when
18    collected shall be paid to) the municipal treasurer, who
19    shall deposit the taxes into a special fund (called the
20    special tax allocation fund of the municipality) for the
21    purpose of paying economic development project costs and
22    obligations incurred in the payment of those costs.
23    (b) The municipality, by an ordinance adopting tax
24increment allocation financing, may pledge the monies in and to
25be deposited into the special tax allocation fund for the
26payment of obligations issued under this Act and for the

 

 

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1payment of economic development project costs. No part of the
2current equalized assessed valuation of each property in the
3economic development project area attributable to any increase
4above the total initial equalized assessed value of those
5properties shall be used in calculating the general State
6school aid formula under Section 18-8 of the School Code or the
7primary State aid formula under Section 18-8.15 of the School
8Code, until all economic development projects costs have been
9paid as provided for in this Section.
10    (c) When the economic development projects costs,
11including without limitation all municipal obligations
12financing economic development project costs incurred under
13this Act, have been paid, all surplus monies then remaining in
14the special tax allocation fund shall be distributed by being
15paid by the municipal treasurer to the county collector, who
16shall immediately pay the monies to the taxing districts having
17taxable property in the economic development project area in
18the same manner and proportion as the most recent distribution
19by the county collector to those taxing districts of real
20property taxes from real property in the economic development
21project area.
22    (d) Upon the payment of all economic development project
23costs, retirement of obligations, and distribution of any
24excess monies under this Section and not later than 23 years
25from the date of the adoption of the ordinance establishing the
26economic development project area, the municipality shall

 

 

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1adopt an ordinance dissolving the special tax allocation fund
2for the economic development project area and terminating the
3designation of the economic development project area as an
4economic development project area. Thereafter, the rates of the
5taxing districts shall be extended and taxes shall be levied,
6collected, and distributed in the manner applicable in the
7absence of the adoption of tax increment allocation financing.
8    (e) Nothing in this Section shall be construed as relieving
9property in the economic development project areas from being
10assessed as provided in the Property Tax Code or as relieving
11owners or lessees of that property from paying a uniform rate
12of taxes as required by Section 4 of Article IX of the Illinois
13Constitution.
14(Source: P.A. 98-463, eff. 8-16-13.)
 
15    Section 945. The School Code is amended by changing
16Sections 1A-8, 1B-5, 1B-6, 1B-7, 1B-8, 1C-1, 1C-2, 1D-1, 1E-20,
171F-20, 1F-62, 1H-20, 1H-70, 2-3.28, 2-3.33, 2-3.51.5, 2-3.66,
182-3.66b, 2-3.84, 2-3.109a, 3-14.21, 7-14A, 10-19, 10-22.5a,
1910-22.20, 10-29, 11E-135, 13A-8, 13B-20.20, 13B-45, 13B-50,
2013B-50.10, 13B-50.15, 14-7.02, 14-7.02b, 14-7.03, 14-13.01,
2114C-12, 17-1, 17-1.2, 17-1.5, 17-2.11, 17-2A, 18-4.3, 18-8.05,
2218-8.10, 18-9, 18-12, 26-16, 27-8.1, 27A-9, 27A-11, 29-5,
2334-2.3, 34-8.4, 34-18, 34-18.30, and 34-43.1 and by adding
24Sections 14-7.02c and 18-8.15 as follows:
 

 

 

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1    (105 ILCS 5/1A-8)  (from Ch. 122, par. 1A-8)
2    Sec. 1A-8. Powers of the Board in Assisting Districts
3Deemed in Financial Difficulties. To promote the financial
4integrity of school districts, the State Board of Education
5shall be provided the necessary powers to promote sound
6financial management and continue operation of the public
7schools.
8    (a) The State Superintendent of Education may require a
9school district, including any district subject to Article 34A
10of this Code, to share financial information relevant to a
11proper investigation of the district's financial condition and
12the delivery of appropriate State financial, technical, and
13consulting services to the district if the district (i) has
14been designated, through the State Board of Education's School
15District Financial Profile System, as on financial warning or
16financial watch status, (ii) has failed to file an annual
17financial report, annual budget, deficit reduction plan, or
18other financial information as required by law, (iii) has been
19identified, through the district's annual audit or other
20financial and management information, as in serious financial
21difficulty in the current or next school year, or (iv) is
22determined to be likely to fail to fully meet any regularly
23scheduled, payroll-period obligations when due or any debt
24service payments when due or both. In addition to financial,
25technical, and consulting services provided by the State Board
26of Education, at the request of a school district, the State

 

 

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1Superintendent may provide for an independent financial
2consultant to assist the district review its financial
3condition and options.
4    (b) The State Board of Education, after proper
5investigation of a district's financial condition, may certify
6that a district, including any district subject to Article 34A,
7is in financial difficulty when any of the following conditions
8occur:
9        (1) The district has issued school or teacher orders
10    for wages as permitted in Sections 8-16, 32-7.2 and 34-76
11    of this Code.
12        (2) The district has issued tax anticipation warrants
13    or tax anticipation notes in anticipation of a second
14    year's taxes when warrants or notes in anticipation of
15    current year taxes are still outstanding, as authorized by
16    Sections 17-16, 34-23, 34-59 and 34-63 of this Code, or has
17    issued short-term debt against 2 future revenue sources,
18    such as, but not limited to, tax anticipation warrants and
19    general State aid or primary State aid Aid certificates or
20    tax anticipation warrants and revenue anticipation notes.
21        (3) The district has for 2 consecutive years shown an
22    excess of expenditures and other financing uses over
23    revenues and other financing sources and beginning fund
24    balances on its annual financial report for the aggregate
25    totals of the Educational, Operations and Maintenance,
26    Transportation, and Working Cash Funds.

 

 

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1        (4) The district refuses to provide financial
2    information or cooperate with the State Superintendent in
3    an investigation of the district's financial condition.
4        (5) The district is likely to fail to fully meet any
5    regularly scheduled, payroll-period obligations when due
6    or any debt service payments when due or both.
7    No school district shall be certified by the State Board of
8Education to be in financial difficulty solely by reason of any
9of the above circumstances arising as a result of (i) the
10failure of the county to make any distribution of property tax
11money due the district at the time such distribution is due or
12(ii) the failure of this State to make timely payments of
13general State aid, primary State aid, or any of the mandated
14categoricals; or if the district clearly demonstrates to the
15satisfaction of the State Board of Education at the time of its
16determination that such condition no longer exists. If the
17State Board of Education certifies that a district in a city
18with 500,000 inhabitants or more is in financial difficulty,
19the State Board shall so notify the Governor and the Mayor of
20the city in which the district is located. The State Board of
21Education may require school districts certified in financial
22difficulty, except those districts subject to Article 34A, to
23develop, adopt and submit a financial plan within 45 days after
24certification of financial difficulty. The financial plan
25shall be developed according to guidelines presented to the
26district by the State Board of Education within 14 days of

 

 

09800SB0016sam002- 107 -LRB098 04277 NHT 59066 a

1certification. Such guidelines shall address the specific
2nature of each district's financial difficulties. Any proposed
3budget of the district shall be consistent with the financial
4plan submitted to and approved by the State Board of Education.
5    A district certified to be in financial difficulty, other
6than a district subject to Article 34A, shall report to the
7State Board of Education at such times and in such manner as
8the State Board may direct, concerning the district's
9compliance with each financial plan. The State Board may review
10the district's operations, obtain budgetary data and financial
11statements, require the district to produce reports, and have
12access to any other information in the possession of the
13district that it deems relevant. The State Board may issue
14recommendations or directives within its powers to the district
15to assist in compliance with the financial plan. The district
16shall produce such budgetary data, financial statements,
17reports and other information and comply with such directives.
18If the State Board of Education determines that a district has
19failed to comply with its financial plan, the State Board of
20Education may rescind approval of the plan and appoint a
21Financial Oversight Panel for the district as provided in
22Section 1B-4. This action shall be taken only after the
23district has been given notice and an opportunity to appear
24before the State Board of Education to discuss its failure to
25comply with its financial plan.
26    No bonds, notes, teachers orders, tax anticipation

 

 

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1warrants or other evidences of indebtedness shall be issued or
2sold by a school district or be legally binding upon or
3enforceable against a local board of education of a district
4certified to be in financial difficulty unless and until the
5financial plan required under this Section has been approved by
6the State Board of Education.
7    Any financial profile compiled and distributed by the State
8Board of Education in Fiscal Year 2009 or any fiscal year
9thereafter shall incorporate such adjustments as may be needed
10in the profile scores to reflect the financial effects of the
11inability or refusal of the State of Illinois to make timely
12disbursements of any general State aid, primary State aid, or
13mandated categorical aid payments due school districts or to
14fully reimburse school districts for mandated categorical
15programs pursuant to reimbursement formulas provided in this
16School Code.
17(Source: P.A. 96-668, eff. 8-25-09; 96-1423, eff. 8-3-10;
1897-429, eff. 8-16-11.)
 
19    (105 ILCS 5/1B-5)  (from Ch. 122, par. 1B-5)
20    Sec. 1B-5. When a petition for emergency financial
21assistance for a school district is allowed by the State Board
22under Section 1B-4, the State Superintendent shall within 10
23days thereafter appoint 3 members to serve at the State
24Superintendent's pleasure on a Financial Oversight Panel for
25the district. The State Superintendent shall designate one of

 

 

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1the members of the Panel to serve as its Chairman. In the event
2of vacancy or resignation the State Superintendent shall
3appoint a successor within 10 days of receiving notice thereof.
4    Members of the Panel shall be selected primarily on the
5basis of their experience and education in financial
6management, with consideration given to persons knowledgeable
7in education finance. A member of the Panel may not be a board
8member or employee of the district for which the Panel is
9constituted, nor may a member have a direct financial interest
10in that district.
11    Panel members shall serve without compensation, but may be
12reimbursed for travel and other necessary expenses incurred in
13the performance of their official duties by the State Board.
14The amount reimbursed Panel members for their expenses shall be
15charged to the school district as part of any emergency
16financial assistance and incorporated as a part of the terms
17and conditions for repayment of such assistance or shall be
18deducted from the district's general State aid or primary State
19aid as provided in Section 1B-8.
20    The first meeting of the Panel shall be held at the call of
21the Chairman. The Panel may elect such other officers as it
22deems appropriate. The Panel shall prescribe the times and
23places for its meetings and the manner in which regular and
24special meetings may be called, and shall comply with the Open
25Meetings Act.
26    Two members of the Panel shall constitute a quorum, and the

 

 

09800SB0016sam002- 110 -LRB098 04277 NHT 59066 a

1affirmative vote of 2 members shall be necessary for any
2decision or action to be taken by the Panel.
3    The Panel and the State Superintendent shall cooperate with
4each other in the exercise of their respective powers. The
5Panel shall report not later than September 1 annually to the
6State Board and the State Superintendent with respect to its
7activities and the condition of the school district for the
8previous fiscal year.
9    Any Financial Oversight Panel established under this
10Article shall remain in existence for not less than 3 years nor
11more than 10 years from the date the State Board grants the
12petition under Section 1B-4. If after 3 years the school
13district has repaid all of its obligations resulting from
14emergency State financial assistance provided under this
15Article and has improved its financial situation, the board of
16education may, not more frequently than once in any 12 month
17period, petition the State Board to dissolve the Financial
18Oversight Panel, terminate the oversight responsibility, and
19remove the district's certification under Section 1A-8 as a
20district in financial difficulty. In acting on such a petition
21the State Board shall give additional weight to the
22recommendations of the State Superintendent and the Financial
23Oversight Panel.
24(Source: P.A. 88-618, eff. 9-9-94.)
 
25    (105 ILCS 5/1B-6)  (from Ch. 122, par. 1B-6)

 

 

09800SB0016sam002- 111 -LRB098 04277 NHT 59066 a

1    Sec. 1B-6. General powers. The purpose of the Financial
2Oversight Panel shall be to exercise financial control over the
3board of education, and, when approved by the State Board and
4the State Superintendent of Education, to furnish financial
5assistance so that the board can provide public education
6within the board's jurisdiction while permitting the board to
7meet its obligations to its creditors and the holders of its
8notes and bonds. Except as expressly limited by this Article,
9the Panel shall have all powers necessary to meet its
10responsibilities and to carry out its purposes and the purposes
11of this Article, including, but not limited to, the following
12powers:
13    (a) to sue and be sued;
14    (b) to provide for its organization and internal
15management;
16    (c) to appoint a Financial Administrator to serve as the
17chief executive officer of the Panel. The Financial
18Administrator may be an individual, partnership, corporation,
19including an accounting firm, or other entity determined by the
20Panel to be qualified to serve; and to appoint other officers,
21agents, and employees of the Panel, define their duties and
22qualifications and fix their compensation and employee
23benefits;
24    (d) to approve the local board of education appointments to
25the positions of treasurer in a Class I county school unit and
26in each school district which forms a part of a Class II county

 

 

09800SB0016sam002- 112 -LRB098 04277 NHT 59066 a

1school unit but which no longer is subject to the jurisdiction
2and authority of a township treasurer or trustees of schools of
3a township because the district has withdrawn from the
4jurisdiction and authority of the township treasurer and the
5trustees of schools of the township or because those offices
6have been abolished as provided in subsection (b) or (c) of
7Section 5-1, and chief school business official, if such
8official is not the superintendent of the district. Either the
9board or the Panel may remove such treasurer or chief school
10business official;
11    (e) to approve any and all bonds, notes, teachers orders,
12tax anticipation warrants, and other evidences of indebtedness
13prior to issuance or sale by the school district; and
14notwithstanding any other provision of The School Code, as now
15or hereafter amended, no bonds, notes, teachers orders, tax
16anticipation warrants or other evidences of indebtedness shall
17be issued or sold by the school district or be legally binding
18upon or enforceable against the local board of education unless
19and until the approval of the Panel has been received;
20    (f) to approve all property tax levies of the school
21district and require adjustments thereto as the Panel deems
22necessary or advisable;
23    (g) to require and approve a school district financial
24plan;
25    (h) to approve and require revisions of the school district
26budget;

 

 

09800SB0016sam002- 113 -LRB098 04277 NHT 59066 a

1    (i) to approve all contracts and other obligations as the
2Panel deems necessary and appropriate;
3    (j) to authorize emergency State financial assistance,
4including requirements regarding the terms and conditions of
5repayment of such assistance, and to require the board of
6education to levy a separate local property tax, subject to the
7limitations of Section 1B-8, sufficient to repay such
8assistance consistent with the terms and conditions of
9repayment and the district's approved financial plan and
10budget;
11    (k) to request the regional superintendent to make
12appointments to fill all vacancies on the local school board as
13provided in Section 10-10;
14    (l) to recommend dissolution or reorganization of the
15school district to the General Assembly if in the Panel's
16judgment the circumstances so require;
17    (m) to direct a phased reduction in the oversight
18responsibilities of the Financial Administrator and of the
19Panel as the circumstances permit;
20    (n) to determine the amount of emergency State financial
21assistance to be made available to the school district, and to
22establish an operating budget for the Panel to be supported by
23funds available from such assistance, with the assistance and
24the budget required to be approved by the State Superintendent;
25    (o) to procure insurance against any loss in such amounts
26and from such insurers as it deems necessary;

 

 

09800SB0016sam002- 114 -LRB098 04277 NHT 59066 a

1    (p) to engage the services of consultants for rendering
2professional and technical assistance and advice on matters
3within the Panel's power;
4    (q) to contract for and to accept any gifts, grants or
5loans of funds or property or financial or other aid in any
6form from the federal government, State government, unit of
7local government, school district or any agency or
8instrumentality thereof, or from any other private or public
9source, and to comply with the terms and conditions thereof;
10    (r) to pay the expenses of its operations based on the
11Panel's budget as approved by the State Superintendent from
12emergency financial assistance funds available to the district
13or from deductions from the district's general State aid or
14primary State aid;
15    (s) to do any and all things necessary or convenient to
16carry out its purposes and exercise the powers given to the
17Panel by this Article; and
18    (t) to recommend the creation of a school finance authority
19pursuant to Article 1F of this Code.
20(Source: P.A. 91-357, eff. 7-29-99; 92-855, eff. 12-6-02.)
 
21    (105 ILCS 5/1B-7)  (from Ch. 122, par. 1B-7)
22    Sec. 1B-7. Financial Administrator; Powers and Duties. The
23Financial Administrator appointed by the Financial Oversight
24Panel shall serve as the Panel's chief executive officer. The
25Financial Administrator shall exercise the powers and duties

 

 

09800SB0016sam002- 115 -LRB098 04277 NHT 59066 a

1required by the Panel, including but not limited to the
2following:
3    (a) to provide guidance and recommendations to the local
4board and officials of the school district in developing the
5district's financial plan and budget prior to board action;
6    (b) to direct the local board to reorganize its financial
7accounts, budgetary systems, and internal accounting and
8financial controls, in whatever manner the Panel deems
9appropriate to achieve greater financial responsibility and to
10reduce financial inefficiency, and to provide technical
11assistance to aid the district in accomplishing the
12reorganization;
13    (c) to make recommendations to the Financial Oversight
14Panel concerning the school district's financial plan and
15budget, and all other matters within the scope of the Panel's
16authority;
17    (d) to prepare and recommend to the Panel a proposal for
18emergency State financial assistance for the district,
19including recommended terms and conditions of repayment, and an
20operations budget for the Panel to be funded from the emergency
21assistance or from deductions from the district's general State
22aid or primary State aid;
23    (e) to require the local board to prepare and submit
24preliminary staffing and budgetary analyses annually prior to
25February 1 in such manner and form as the Financial
26Administrator shall prescribe; and

 

 

09800SB0016sam002- 116 -LRB098 04277 NHT 59066 a

1    (f) subject to the direction of the Panel, to do all other
2things necessary or convenient to carry out its purposes and
3exercise the powers given to the Panel under this Article.
4(Source: P.A. 88-618, eff. 9-9-94.)
 
5    (105 ILCS 5/1B-8)  (from Ch. 122, par. 1B-8)
6    Sec. 1B-8. There is created in the State Treasury a special
7fund to be known as the School District Emergency Financial
8Assistance Fund (the "Fund"). The School District Emergency
9Financial Assistance Fund shall consist of appropriations,
10loan repayments, grants from the federal government, and
11donations from any public or private source. Moneys in the Fund
12may be appropriated only to the Illinois Finance Authority and
13the State Board for those purposes authorized under this
14Article and Articles 1F and 1H of this Code. The appropriation
15may be allocated and expended by the State Board for
16contractual services to provide technical assistance or
17consultation to school districts to assess their financial
18condition and to Financial Oversight Panels that petition for
19emergency financial assistance grants. The Illinois Finance
20Authority may provide loans to school districts which are the
21subject of an approved petition for emergency financial
22assistance under Section 1B-4, 1F-62, or 1H-65 of this Code.
23Neither the State Board of Education nor the Illinois Finance
24Authority may collect any fees for providing these services.
25    From the amount allocated to each such school district

 

 

09800SB0016sam002- 117 -LRB098 04277 NHT 59066 a

1under this Article the State Board shall identify a sum
2sufficient to cover all approved costs of the Financial
3Oversight Panel established for the respective school
4district. If the State Board and State Superintendent of
5Education have not approved emergency financial assistance in
6conjunction with the appointment of a Financial Oversight
7Panel, the Panel's approved costs shall be paid from deductions
8from the district's general State aid or primary State aid.
9    The Financial Oversight Panel may prepare and file with the
10State Superintendent a proposal for emergency financial
11assistance for the school district and for its operations
12budget. No expenditures from the Fund shall be authorized by
13the State Superintendent until he or she has approved the
14request of the Panel, either as submitted or in such lesser
15amount determined by the State Superintendent.
16    The maximum amount of an emergency financial assistance
17loan which may be allocated to any school district under this
18Article, including moneys necessary for the operations of the
19Panel, shall not exceed $4,000 times the number of pupils
20enrolled in the school district during the school year ending
21June 30 prior to the date of approval by the State Board of the
22petition for emergency financial assistance, as certified to
23the local board and the Panel by the State Superintendent. An
24emergency financial assistance grant shall not exceed $1,000
25times the number of such pupils. A district may receive both a
26loan and a grant.

 

 

09800SB0016sam002- 118 -LRB098 04277 NHT 59066 a

1    The payment of an emergency State financial assistance
2grant or loan shall be subject to appropriation by the General
3Assembly. Payment of the emergency State financial assistance
4loan is subject to the applicable provisions of the Illinois
5Finance Authority Act. Emergency State financial assistance
6allocated and paid to a school district under this Article may
7be applied to any fund or funds from which the local board of
8education of that district is authorized to make expenditures
9by law.
10    Any emergency financial assistance grant proposed by the
11Financial Oversight Panel and approved by the State
12Superintendent may be paid in its entirety during the initial
13year of the Panel's existence or spread in equal or declining
14amounts over a period of years not to exceed the period of the
15Panel's existence. An emergency financial assistance loan
16proposed by the Financial Oversight Panel and approved by the
17Illinois Finance Authority may be paid in its entirety during
18the initial year of the Panel's existence or spread in equal or
19declining amounts over a period of years not to exceed the
20period of the Panel's existence. All loans made by the Illinois
21Finance Authority for a school district shall be required to be
22repaid, with simple interest over the term of the loan at a
23rate equal to 50% of the one-year Constant Maturity Treasury
24(CMT) yield as last published by the Board of Governors of the
25Federal Reserve System before the date on which the district's
26loan is approved by the Illinois Finance Authority, not later

 

 

09800SB0016sam002- 119 -LRB098 04277 NHT 59066 a

1than the date the Financial Oversight Panel ceases to exist.
2The Panel shall establish and the Illinois Finance Authority
3shall approve the terms and conditions, including the schedule,
4of repayments. The schedule shall provide for repayments
5commencing July 1 of each year or upon each fiscal year's
6receipt of moneys from a tax levy for emergency financial
7assistance. Repayment shall be incorporated into the annual
8budget of the school district and may be made from any fund or
9funds of the district in which there are moneys available. An
10emergency financial assistance loan to the Panel or district
11shall not be considered part of the calculation of a district's
12debt for purposes of the limitation specified in Section 19-1
13of this Code. Default on repayment is subject to the Illinois
14Grant Funds Recovery Act. When moneys are repaid as provided
15herein they shall not be made available to the local board for
16further use as emergency financial assistance under this
17Article at any time thereafter. All repayments required to be
18made by a school district shall be received by the State Board
19and deposited in the School District Emergency Financial
20Assistance Fund.
21    In establishing the terms and conditions for the repayment
22obligation of the school district the Panel shall annually
23determine whether a separate local property tax levy is
24required. The board of any school district with a tax rate for
25educational purposes for the prior year of less than 120% of
26the maximum rate for educational purposes authorized by Section

 

 

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117-2 shall provide for a separate tax levy for emergency
2financial assistance repayment purposes. Such tax levy shall
3not be subject to referendum approval. The amount of the levy
4shall be equal to the amount necessary to meet the annual
5repayment obligations of the district as established by the
6Panel, or 20% of the amount levied for educational purposes for
7the prior year, whichever is less. However, no district shall
8be required to levy the tax if the district's operating tax
9rate as determined under Section 18-8, or 18-8.05, or 18-8.15
10exceeds 200% of the district's tax rate for educational
11purposes for the prior year.
12(Source: P.A. 97-429, eff. 8-16-11.)
 
13    (105 ILCS 5/1C-1)
14    Sec. 1C-1. Purpose. The purpose of this Article is to
15permit greater flexibility and efficiency in the distribution
16and use of certain State funds available to local education
17agencies for the improvement of the quality of educational
18services pursuant to locally established priorities.
19    Through fiscal year 2014, this This Article does not apply
20to school districts having a population in excess of 500,000
21inhabitants.
22(Source: P.A. 88-555, eff. 7-27-94; 89-15, eff. 5-30-95;
2389-397, eff. 8-20-95; 89-626, eff. 8-9-96.)
 
24    (105 ILCS 5/1C-2)

 

 

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1    Sec. 1C-2. Block grants.
2    (a) For fiscal year 1999, and each fiscal year thereafter,
3the State Board of Education shall award to school districts
4block grants as described in subsection (c). The State Board of
5Education may adopt rules and regulations necessary to
6implement this Section. In accordance with Section 2-3.32, all
7state block grants are subject to an audit. Therefore, block
8grant receipts and block grant expenditures shall be recorded
9to the appropriate fund code.
10    (b) (Blank).
11    (c) An Early Childhood Education Block Grant shall be
12created by combining the following programs: Preschool
13Education, Parental Training and Prevention Initiative. These
14funds shall be distributed to school districts and other
15entities on a competitive basis, except that the State Board of
16Education shall award to a school district having a population
17exceeding 500,000 inhabitants 37% of the funds in each fiscal
18year. Not less than 11% of this grant shall be used to fund
19programs for children ages 0-3, which percentage shall increase
20to at least 20% by Fiscal Year 2015. However, if, in a given
21fiscal year, the amount appropriated for the Early Childhood
22Education Block Grant is insufficient to increase the
23percentage of the grant to fund programs for children ages 0-3
24without reducing the amount of the grant for existing providers
25of preschool education programs, then the percentage of the
26grant to fund programs for children ages 0-3 may be held steady

 

 

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1instead of increased.
2(Source: P.A. 95-793, eff. 1-1-09; 96-423, eff. 8-13-09.)
 
3    (105 ILCS 5/1D-1)
4    Sec. 1D-1. Block grant funding.
5    (a) For fiscal year 1996 through fiscal year 2014 and each
6fiscal year thereafter, the State Board of Education shall
7award to a school district having a population exceeding
8500,000 inhabitants a general education block grant and an
9educational services block grant, determined as provided in
10this Section, in lieu of distributing to the district separate
11State funding for the programs described in subsections (b) and
12(c). The provisions of this Section, however, do not apply to
13any federal funds that the district is entitled to receive. In
14accordance with Section 2-3.32, all block grants are subject to
15an audit. Therefore, block grant receipts and block grant
16expenditures shall be recorded to the appropriate fund code for
17the designated block grant.
18    (b) The general education block grant shall include the
19following programs: REI Initiative, Summer Bridges, Preschool
20At Risk, K-6 Comprehensive Arts, School Improvement Support,
21Urban Education, Scientific Literacy, Substance Abuse
22Prevention, Second Language Planning, Staff Development,
23Outcomes and Assessment, K-6 Reading Improvement, 7-12
24Continued Reading Improvement, Truants' Optional Education,
25Hispanic Programs, Agriculture Education, Parental Education,

 

 

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1Prevention Initiative, Report Cards, and Criminal Background
2Investigations. Notwithstanding any other provision of law,
3all amounts paid under the general education block grant from
4State appropriations to a school district in a city having a
5population exceeding 500,000 inhabitants shall be appropriated
6and expended by the board of that district for any of the
7programs included in the block grant or any of the board's
8lawful purposes.
9    (c) The educational services block grant shall include the
10following programs: Regular and Vocational Transportation,
11State Lunch and Free Breakfast Program, Special Education
12(Personnel, Transportation, Orphanage, Private Tuition),
13funding for children requiring special education services,
14Summer School, Educational Service Centers, and
15Administrator's Academy. This subsection (c) does not relieve
16the district of its obligation to provide the services required
17under a program that is included within the educational
18services block grant. It is the intention of the General
19Assembly in enacting the provisions of this subsection (c) to
20relieve the district of the administrative burdens that impede
21efficiency and accompany single-program funding. The General
22Assembly encourages the board to pursue mandate waivers
23pursuant to Section 2-3.25g.
24    The funding program included in the educational services
25block grant for funding for children requiring special
26education services in each fiscal year shall be treated in that

 

 

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1fiscal year as a payment to the school district in respect of
2services provided or costs incurred in the prior fiscal year,
3calculated in each case as provided in this Section. Nothing in
4this Section shall change the nature of payments for any
5program that, apart from this Section, would be or, prior to
6adoption or amendment of this Section, was on the basis of a
7payment in a fiscal year in respect of services provided or
8costs incurred in the prior fiscal year, calculated in each
9case as provided in this Section.
10    (d) For fiscal year 1996 through fiscal year 2014 and each
11fiscal year thereafter, the amount of the district's block
12grants shall be determined as follows: (i) with respect to each
13program that is included within each block grant, the district
14shall receive an amount equal to the same percentage of the
15current fiscal year appropriation made for that program as the
16percentage of the appropriation received by the district from
17the 1995 fiscal year appropriation made for that program, and
18(ii) the total amount that is due the district under the block
19grant shall be the aggregate of the amounts that the district
20is entitled to receive for the fiscal year with respect to each
21program that is included within the block grant that the State
22Board of Education shall award the district under this Section
23for that fiscal year. In the case of the Summer Bridges
24program, the amount of the district's block grant shall be
25equal to 44% of the amount of the current fiscal year
26appropriation made for that program.

 

 

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1    (e) The district is not required to file any application or
2other claim in order to receive the block grants to which it is
3entitled under this Section. The State Board of Education shall
4make payments to the district of amounts due under the
5district's block grants on a schedule determined by the State
6Board of Education.
7    (f) A school district to which this Section applies shall
8report to the State Board of Education on its use of the block
9grants in such form and detail as the State Board of Education
10may specify. In addition, the report must include the following
11description for the district, which must also be reported to
12the General Assembly: block grant allocation and expenditures
13by program; population and service levels by program; and
14administrative expenditures by program. The State Board of
15Education shall ensure that the reporting requirements for the
16district are the same as for all other school districts in this
17State.
18    (g) Through fiscal year 2014, this This paragraph provides
19for the treatment of block grants under Article 1C for purposes
20of calculating the amount of block grants for a district under
21this Section. Those block grants under Article 1C are, for this
22purpose, treated as included in the amount of appropriation for
23the various programs set forth in paragraph (b) above. The
24appropriation in each current fiscal year for each block grant
25under Article 1C shall be treated for these purposes as
26appropriations for the individual program included in that

 

 

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1block grant. The proportion of each block grant so allocated to
2each such program included in it shall be the proportion which
3the appropriation for that program was of all appropriations
4for such purposes now in that block grant, in fiscal 1995.
5    Payments to the school district under this Section with
6respect to each program for which payments to school districts
7generally, as of the date of this amendatory Act of the 92nd
8General Assembly, are on a reimbursement basis shall continue
9to be made to the district on a reimbursement basis, pursuant
10to the provisions of this Code governing those programs.
11    (h) Notwithstanding any other provision of law, any school
12district receiving a block grant under this Section may
13classify all or a portion of the funds that it receives in a
14particular fiscal year from any block grant authorized under
15this Code or from general State aid pursuant to Section 18-8.05
16of this Code (other than supplemental general State aid) as
17funds received in connection with any funding program for which
18it is entitled to receive funds from the State in that fiscal
19year (including, without limitation, any funding program
20referred to in subsection (c) of this Section), regardless of
21the source or timing of the receipt. The district may not
22classify more funds as funds received in connection with the
23funding program than the district is entitled to receive in
24that fiscal year for that program. Any classification by a
25district must be made by a resolution of its board of
26education. The resolution must identify the amount of any block

 

 

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1grant or general State aid to be classified under this
2subsection (h) and must specify the funding program to which
3the funds are to be treated as received in connection
4therewith. This resolution is controlling as to the
5classification of funds referenced therein. A certified copy of
6the resolution must be sent to the State Superintendent of
7Education. The resolution shall still take effect even though a
8copy of the resolution has not been sent to the State
9Superintendent of Education in a timely manner. No
10classification under this subsection (h) by a district shall
11affect the total amount or timing of money the district is
12entitled to receive under this Code. No classification under
13this subsection (h) by a district shall in any way relieve the
14district from or affect any requirements that otherwise would
15apply with respect to the block grant as provided in this
16Section, including any accounting of funds by source, reporting
17expenditures by original source and purpose, reporting
18requirements, or requirements of provision of services.
19(Source: P.A. 97-238, eff. 8-2-11; 97-324, eff. 8-12-11;
2097-813, eff. 7-13-12.)
 
21    (105 ILCS 5/1E-20)
22    (This Section scheduled to be repealed in accordance with
23105 ILCS 5/1E-165)
24    Sec. 1E-20. Members of Authority; meetings.
25    (a) When a petition for a School Finance Authority is

 

 

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1allowed by the State Board under Section 1E-15 of this Code,
2the State Superintendent shall within 10 days thereafter
3appoint 5 members to serve on a School Finance Authority for
4the district. Of the initial members, 2 shall be appointed to
5serve a term of 2 years and 3 shall be appointed to serve a term
6of 3 years. Thereafter, each member shall serve for a term of 3
7years and until his or her successor has been appointed. The
8State Superintendent shall designate one of the members of the
9Authority to serve as its Chairperson. In the event of vacancy
10or resignation, the State Superintendent shall, within 10 days
11after receiving notice, appoint a successor to serve out that
12member's term. The State Superintendent may remove a member for
13incompetence, malfeasance, neglect of duty, or other just
14cause.
15    Members of the Authority shall be selected primarily on the
16basis of their experience and education in financial
17management, with consideration given to persons knowledgeable
18in education finance. Two members of the Authority shall be
19residents of the school district that the Authority serves. A
20member of the Authority may not be a member of the district's
21school board or an employee of the district nor may a member
22have a direct financial interest in the district.
23    Authority members shall serve without compensation, but
24may be reimbursed by the State Board for travel and other
25necessary expenses incurred in the performance of their
26official duties. Unless paid from bonds issued under Section

 

 

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11E-65 of this Code, the amount reimbursed members for their
2expenses shall be charged to the school district as part of any
3emergency financial assistance and incorporated as a part of
4the terms and conditions for repayment of the assistance or
5shall be deducted from the district's general State aid or
6primary State aid as provided in Section 1B-8 of this Code.
7    The Authority may elect such officers as it deems
8appropriate.
9    (b) The first meeting of the Authority shall be held at the
10call of the Chairperson. The Authority shall prescribe the
11times and places for its meetings and the manner in which
12regular and special meetings may be called and shall comply
13with the Open Meetings Act.
14    Three members of the Authority shall constitute a quorum.
15When a vote is taken upon any measure before the Authority, a
16quorum being present, a majority of the votes of the members
17voting on the measure shall determine the outcome.
18(Source: P.A. 92-547, eff. 6-13-02.)
 
19    (105 ILCS 5/1F-20)
20(This Section scheduled to be repealed in accordance with 105
21ILCS 5/1F-165)
22    Sec. 1F-20. Members of Authority; meetings.
23    (a) Upon establishment of a School Finance Authority under
24Section 1F-15 of this Code, the State Superintendent shall
25within 15 days thereafter appoint 5 members to serve on a

 

 

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1School Finance Authority for the district. Of the initial
2members, 2 shall be appointed to serve a term of 2 years and 3
3shall be appointed to serve a term of 3 years. Thereafter, each
4member shall serve for a term of 3 years and until his or her
5successor has been appointed. The State Superintendent shall
6designate one of the members of the Authority to serve as its
7Chairperson. In the event of vacancy or resignation, the State
8Superintendent shall, within 10 days after receiving notice,
9appoint a successor to serve out that member's term. The State
10Superintendent may remove a member for incompetence,
11malfeasance, neglect of duty, or other just cause.
12    Members of the Authority shall be selected primarily on the
13basis of their experience and education in financial
14management, with consideration given to persons knowledgeable
15in education finance. Two members of the Authority shall be
16residents of the school district that the Authority serves. A
17member of the Authority may not be a member of the district's
18school board or an employee of the district nor may a member
19have a direct financial interest in the district.
20    Authority members shall be paid a stipend approved by the
21State Superintendent of not more than $100 per meeting and may
22be reimbursed by the State Board for travel and other necessary
23expenses incurred in the performance of their official duties.
24Unless paid from bonds issued under Section 1F-65 of this Code,
25the amount reimbursed members for their expenses shall be
26charged to the school district as part of any emergency

 

 

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1financial assistance and incorporated as a part of the terms
2and conditions for repayment of the assistance or shall be
3deducted from the district's general State aid or primary State
4aid as provided in Section 1B-8 of this Code.
5    The Authority may elect such officers as it deems
6appropriate.
7    (b) The first meeting of the Authority shall be held at the
8call of the Chairperson. The Authority shall prescribe the
9times and places for its meetings and the manner in which
10regular and special meetings may be called and shall comply
11with the Open Meetings Act.
12    Three members of the Authority shall constitute a quorum.
13When a vote is taken upon any measure before the Authority, a
14quorum being present, a majority of the votes of the members
15voting on the measure shall determine the outcome.
16(Source: P.A. 94-234, eff. 7-1-06.)
 
17    (105 ILCS 5/1F-62)
18(This Section scheduled to be repealed in accordance with 105
19ILCS 5/1F-165)
20    Sec. 1F-62. School District Emergency Financial Assistance
21Fund; grants and loans.
22    (a) Moneys in the School District Emergency Financial
23Assistance Fund established under Section 1B-8 of this Code may
24be allocated and expended by the State Board as grants to
25provide technical and consulting services to school districts

 

 

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1to assess their financial condition and by the Illinois Finance
2Authority for emergency financial assistance loans to a School
3Finance Authority that petitions for emergency financial
4assistance. An emergency financial assistance loan to a School
5Finance Authority or borrowing from sources other than the
6State shall not be considered as part of the calculation of a
7district's debt for purposes of the limitation specified in
8Section 19-1 of this Code. From the amount allocated to each
9School Finance Authority, the State Board shall identify a sum
10sufficient to cover all approved costs of the School Finance
11Authority. If the State Board and State Superintendent have not
12approved emergency financial assistance in conjunction with
13the appointment of a School Finance Authority, the Authority's
14approved costs shall be paid from deductions from the
15district's general State aid or primary State aid.
16    The School Finance Authority may prepare and file with the
17State Superintendent a proposal for emergency financial
18assistance for the school district and for its operations
19budget. No expenditures shall be authorized by the State
20Superintendent until he or she has approved the proposal of the
21School Finance Authority, either as submitted or in such lesser
22amount determined by the State Superintendent.
23    (b) The amount of an emergency financial assistance loan
24that may be allocated to a School Finance Authority under this
25Article, including moneys necessary for the operations of the
26School Finance Authority, and borrowing from sources other than

 

 

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1the State shall not exceed, in the aggregate, $4,000 times the
2number of pupils enrolled in the district during the school
3year ending June 30 prior to the date of approval by the State
4Board of the petition for emergency financial assistance, as
5certified to the school board and the School Finance Authority
6by the State Superintendent. However, this limitation does not
7apply to borrowing by the district secured by amounts levied by
8the district prior to establishment of the School Finance
9Authority. An emergency financial assistance grant shall not
10exceed $1,000 times the number of such pupils. A district may
11receive both a loan and a grant.
12    (c) The payment of a State emergency financial assistance
13grant or loan shall be subject to appropriation by the General
14Assembly. State emergency financial assistance allocated and
15paid to a School Finance Authority under this Article may be
16applied to any fund or funds from which the School Finance
17Authority is authorized to make expenditures by law.
18    (d) Any State emergency financial assistance proposed by
19the School Finance Authority and approved by the State
20Superintendent may be paid in its entirety during the initial
21year of the School Finance Authority's existence or spread in
22equal or declining amounts over a period of years not to exceed
23the period of the School Finance Authority's existence. The
24State Superintendent shall not approve any loan to the School
25Finance Authority unless the School Finance Authority has been
26unable to borrow sufficient funds to operate the district.

 

 

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1    All loan payments made from the School District Emergency
2Financial Assistance Fund to a School Finance Authority shall
3be required to be repaid not later than the date the School
4Finance Authority ceases to exist, with simple interest over
5the term of the loan at a rate equal to 50% of the one-year
6Constant Maturity Treasury (CMT) yield as last published by the
7Board of Governors of the Federal Reserve System before the
8date on which the School Finance Authority's loan is approved
9by the State Board.
10    The School Finance Authority shall establish and the
11Illinois Finance Authority shall approve the terms and
12conditions of the loan, including the schedule of repayments.
13The schedule shall provide for repayments commencing July 1 of
14each year or upon each fiscal year's receipt of moneys from a
15tax levy for emergency financial assistance. Repayment shall be
16incorporated into the annual budget of the district and may be
17made from any fund or funds of the district in which there are
18moneys available. Default on repayment is subject to the
19Illinois Grant Funds Recovery Act. When moneys are repaid as
20provided in this Section, they shall not be made available to
21the School Finance Authority for further use as emergency
22financial assistance under this Article at any time thereafter.
23All repayments required to be made by a School Finance
24Authority shall be received by the State Board and deposited in
25the School District Emergency Financial Assistance Fund.
26    In establishing the terms and conditions for the repayment

 

 

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1obligation of the School Finance Authority, the School Finance
2Authority shall annually determine whether a separate local
3property tax levy is required to meet that obligation. The
4School Finance Authority shall provide for a separate tax levy
5for emergency financial assistance repayment purposes. This
6tax levy shall not be subject to referendum approval. The
7amount of the levy shall not exceed the amount necessary to
8meet the annual emergency financial repayment obligations of
9the district, including principal and interest, as established
10by the School Finance Authority.
11(Source: P.A. 94-234, eff. 7-1-06.)
 
12    (105 ILCS 5/1H-20)
13    Sec. 1H-20. Members of Panel; meetings.
14    (a) Upon establishment of a Financial Oversight Panel under
15Section 1H-15 of this Code, the State Superintendent shall
16within 15 working days thereafter appoint 5 members to serve on
17a Financial Oversight Panel for the district. Members appointed
18to the Panel shall serve at the pleasure of the State
19Superintendent. The State Superintendent shall designate one
20of the members of the Panel to serve as its Chairperson. In the
21event of vacancy or resignation, the State Superintendent
22shall, within 10 days after receiving notice, appoint a
23successor to serve out that member's term.
24    (b) Members of the Panel shall be selected primarily on the
25basis of their experience and education in financial

 

 

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1management, with consideration given to persons knowledgeable
2in education finance. Two members of the Panel shall be
3residents of the school district that the Panel serves. A
4member of the Panel may not be a member of the district's
5school board or an employee of the district nor may a member
6have a direct financial interest in the district.
7    (c) Panel members may be reimbursed by the State Board for
8travel and other necessary expenses incurred in the performance
9of their official duties. The amount reimbursed members for
10their expenses shall be charged to the school district as part
11of any emergency financial assistance and incorporated as a
12part of the terms and conditions for repayment of the
13assistance or shall be deducted from the district's general
14State aid or primary State aid as provided in Section 1H-65 of
15this Code.
16    (d) With the exception of the chairperson, who shall be
17designated as provided in subsection (a) of this Section, the
18Panel may elect such officers as it deems appropriate.
19    (e) The first meeting of the Panel shall be held at the
20call of the Chairperson. The Panel shall prescribe the times
21and places for its meetings and the manner in which regular and
22special meetings may be called and shall comply with the Open
23Meetings Act. The Panel shall also comply with the Freedom of
24Information Act.
25    (f) Three members of the Panel shall constitute a quorum. A
26majority of members present is required to pass a measure.

 

 

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1(Source: P.A. 97-429, eff. 8-16-11.)
 
2    (105 ILCS 5/1H-70)
3    Sec. 1H-70. Tax anticipation warrants, tax anticipation
4notes, revenue anticipation certificates or notes, general
5State aid or primary State aid anticipation certificates, and
6lines of credit. With the approval of the State Superintendent
7and provided that the district is unable to secure short-term
8financing after 3 attempts, a Panel shall have the same power
9as a district to do the following:
10        (1) issue tax anticipation warrants under the
11    provisions of Section 17-16 of this Code against taxes
12    levied by either the school board or the Panel pursuant to
13    Section 1H-25 of this Code;
14        (2) issue tax anticipation notes under the provisions
15    of the Tax Anticipation Note Act against taxes levied by
16    either the school board or the Panel pursuant to Section
17    1H-25 of this Code;
18        (3) issue revenue anticipation certificates or notes
19    under the provisions of the Revenue Anticipation Act;
20        (4) issue general State aid or primary State aid
21    anticipation certificates under the provisions of Section
22    18-18 of this Code; and
23        (5) establish and utilize lines of credit under the
24    provisions of Section 17-17 of this Code.
25    Tax anticipation warrants, tax anticipation notes, revenue

 

 

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1anticipation certificates or notes, general State aid or
2primary State aid anticipation certificates, and lines of
3credit are considered borrowing from sources other than the
4State and are subject to Section 1H-65 of this Code.
5(Source: P.A. 97-429, eff. 8-16-11.)
 
6    (105 ILCS 5/2-3.28)  (from Ch. 122, par. 2-3.28)
7    Sec. 2-3.28. Rules and regulations of budget and accounting
8systems. To prescribe rules and regulations defining what shall
9constitute a budget and accounting system required under this
10Act. The rules and regulations shall prescribe the minimum
11extent of verification, the type of audit, the extent of the
12audit report and shall require compliance with statutory
13requirements and standards and such requirements as the State
14Board of Education deems necessary for an adequate budget and
15accounting system. For the 2015-2016 school year and
16thereafter, the rules and regulations shall prescribe a system
17for accounting for revenues and expenditures at the individual
18school level that includes without limitation the following:
19        (1) accounting for expenditures for school
20    administration, regular instruction, special education
21    instruction, instructional support services, and pupil
22    support services;
23        (2) salary expenditures reflecting actual staff
24    salaries at each school;
25        (3) accounting for operations, including

 

 

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1    non-instructional pupil services, facilities, and business
2    services; and
3        (4) such other requirements as the State Board of
4    Education deems necessary to provide for a uniform and
5    transparent system of accounting at the school level.
6(Source: P.A. 81-1508.)
 
7    (105 ILCS 5/2-3.33)  (from Ch. 122, par. 2-3.33)
8    Sec. 2-3.33. Recomputation of claims. To recompute within
93 years from the final date for filing of a claim any claim for
10reimbursement to any school district if the claim has been
11found to be incorrect and to adjust subsequent claims
12accordingly, and to recompute and adjust any such claims within
136 years from the final date for filing when there has been an
14adverse court or administrative agency decision on the merits
15affecting the tax revenues of the school district. However, no
16such adjustment shall be made regarding equalized assessed
17valuation unless the district's equalized assessed valuation
18is changed by greater than $250,000 or 2%. Any adjustments for
19claims recomputed for the 2013-2014 school year and prior
20school years shall be applied to the apportionment of primary
21State financial aid in Section 18-8.15 of this Code beginning
22in the 2014-2015 school year and thereafter.
23    Except in the case of an adverse court or administrative
24agency decision, no recomputation of a State aid claim shall be
25made pursuant to this Section as a result of a reduction in the

 

 

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1assessed valuation of a school district from the assessed
2valuation of the district reported to the State Board of
3Education by the Department of Revenue under Section 18-8.05 or
418-8.15 of this Code unless the requirements of Section 16-15
5of the Property Tax Code and Section 2-3.84 of this Code are
6complied with in all respects.
7    This paragraph applies to all requests for recomputation of
8a general State aid or primary State aid claim received after
9June 30, 2003. In recomputing a general State aid or primary
10State aid claim that was originally calculated using an
11extension limitation equalized assessed valuation under
12paragraph (3) of subsection (G) of Section 18-8.05 of this Code
13or paragraph (3) of subsection (h) of Section 18-8.15 of this
14Code, a qualifying reduction in equalized assessed valuation
15shall be deducted from the extension limitation equalized
16assessed valuation that was used in calculating the original
17claim.
18    From the total amount of general State aid or primary State
19aid to be provided to districts, adjustments as a result of
20recomputation under this Section together with adjustments
21under Section 2-3.84 must not exceed $25 million, in the
22aggregate for all districts under both Sections combined, of
23the general State aid or primary State aid appropriation in any
24fiscal year; if necessary, amounts shall be prorated among
25districts. If it is necessary to prorate claims under this
26paragraph, then that portion of each prorated claim that is

 

 

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1approved but not paid in the current fiscal year may be
2resubmitted as a valid claim in the following fiscal year.
3(Source: P.A. 93-845, eff. 7-30-04.)
 
4    (105 ILCS 5/2-3.51.5)
5    Sec. 2-3.51.5. School Safety and Educational Improvement
6Block Grant Program. To improve the level of education and
7safety of students from kindergarten through grade 12 in school
8districts and State-recognized, non-public schools. The State
9Board of Education is authorized to fund a School Safety and
10Educational Improvement Block Grant Program.
11    (1) For school districts, the program shall provide funding
12for school safety, textbooks and software, electronic
13textbooks and the technological equipment necessary to gain
14access to and use electronic textbooks, teacher training and
15curriculum development, school improvements, remediation
16programs under subsection (a) of Section 2-3.64, school report
17cards under Section 10-17a, and criminal history records checks
18under Sections 10-21.9 and 34-18.5. For State-recognized,
19non-public schools, the program shall provide funding for
20secular textbooks and software, criminal history records
21checks, and health and safety mandates to the extent that the
22funds are expended for purely secular purposes. A school
23district or laboratory school as defined in Section 18-8, or
2418-8.05, or 18-8.15 is not required to file an application in
25order to receive the categorical funding to which it is

 

 

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1entitled under this Section. Funds for the School Safety and
2Educational Improvement Block Grant Program shall be
3distributed to school districts and laboratory schools based on
4the prior year's best 3 months average daily attendance. Funds
5for the School Safety and Educational Improvement Block Grant
6Program shall be distributed to State-recognized, non-public
7schools based on the average daily attendance figure for the
8previous school year provided to the State Board of Education.
9The State Board of Education shall develop an application that
10requires State-recognized, non-public schools to submit
11average daily attendance figures. A State-recognized,
12non-public school must submit the application and average daily
13attendance figure prior to receiving funds under this Section.
14The State Board of Education shall promulgate rules and
15regulations necessary for the implementation of this program.
16    (2) Distribution of moneys to school districts and
17State-recognized, non-public schools shall be made in 2
18semi-annual installments, one payment on or before October 30,
19and one payment prior to April 30, of each fiscal year.
20    (3) Grants under the School Safety and Educational
21Improvement Block Grant Program shall be awarded provided there
22is an appropriation for the program, and funding levels for
23each district shall be prorated according to the amount of the
24appropriation.
25    (4) The provisions of this Section are in the public
26interest, are for the public benefit, and serve secular public

 

 

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1purposes.
2(Source: P.A. 95-707, eff. 1-11-08; 96-1403, eff. 7-29-10.)
 
3    (105 ILCS 5/2-3.66)  (from Ch. 122, par. 2-3.66)
4    Sec. 2-3.66. Truants' alternative and optional education
5programs. To establish projects to offer modified
6instructional programs or other services designed to prevent
7students from dropping out of school, including programs
8pursuant to Section 2-3.41, and to serve as a part time or full
9time option in lieu of regular school attendance and to award
10grants to local school districts, educational service regions
11or community college districts from appropriated funds to
12assist districts in establishing such projects. The education
13agency may operate its own program or enter into a contract
14with another not-for-profit entity to implement the program.
15The projects shall allow dropouts, up to and including age 21,
16potential dropouts, including truants, uninvolved, unmotivated
17and disaffected students, as defined by State Board of
18Education rules and regulations, to enroll, as an alternative
19to regular school attendance, in an optional education program
20which may be established by school board policy and is in
21conformance with rules adopted by the State Board of Education.
22Truants' Alternative and Optional Education programs funded
23pursuant to this Section shall be planned by a student, the
24student's parents or legal guardians, unless the student is 18
25years or older, and school officials and shall culminate in an

 

 

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1individualized optional education plan. Such plan shall focus
2on academic or vocational skills, or both, and may include, but
3not be limited to, evening school, summer school, community
4college courses, adult education, preparation courses for the
5high school level test of General Educational Development,
6vocational training, work experience, programs to enhance self
7concept and parenting courses. School districts which are
8awarded grants pursuant to this Section shall be authorized to
9provide day care services to children of students who are
10eligible and desire to enroll in programs established and
11funded under this Section, but only if and to the extent that
12such day care is necessary to enable those eligible students to
13attend and participate in the programs and courses which are
14conducted pursuant to this Section. School districts and
15regional offices of education may claim general State aid under
16Section 18-8.05 or primary State aid under Section 18-8.15 for
17students enrolled in truants' alternative and optional
18education programs, provided that such students are receiving
19services that are supplemental to a program leading to a high
20school diploma and are otherwise eligible to be claimed for
21general State aid under Section 18-8.05 or primary State aid
22under Section 18-8.15, as applicable.
23(Source: P.A. 96-734, eff. 8-25-09.)
 
24    (105 ILCS 5/2-3.66b)
25    Sec. 2-3.66b. IHOPE Program.

 

 

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1    (a) There is established the Illinois Hope and Opportunity
2Pathways through Education (IHOPE) Program. The State Board of
3Education shall implement and administer the IHOPE Program. The
4goal of the IHOPE Program is to develop a comprehensive system
5in this State to re-enroll significant numbers of high school
6dropouts in programs that will enable them to earn their high
7school diploma.
8    (b) The IHOPE Program shall award grants, subject to
9appropriation for this purpose, to educational service regions
10and a school district organized under Article 34 of this Code
11from appropriated funds to assist in establishing
12instructional programs and other services designed to
13re-enroll high school dropouts. From any funds appropriated for
14the IHOPE Program, the State Board of Education may use up to
155% for administrative costs, including the performance of a
16program evaluation and the hiring of staff to implement and
17administer the program.
18    The IHOPE Program shall provide incentive grant funds for
19regional offices of education and a school district organized
20under Article 34 of this Code to develop partnerships with
21school districts, public community colleges, and community
22groups to build comprehensive plans to re-enroll high school
23dropouts in their regions or districts.
24    Programs funded through the IHOPE Program shall allow high
25school dropouts, up to and including age 21 notwithstanding
26Section 26-2 of this Code, to re-enroll in an educational

 

 

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1program in conformance with rules adopted by the State Board of
2Education. Programs may include without limitation
3comprehensive year-round programming, evening school, summer
4school, community college courses, adult education, vocational
5training, work experience, programs to enhance self-concept,
6and parenting courses. Any student in the IHOPE Program who
7wishes to earn a high school diploma must meet the
8prerequisites to receiving a high school diploma specified in
9Section 27-22 of this Code and any other graduation
10requirements of the student's district of residence. Any
11student who successfully completes the requirements for his or
12her graduation shall receive a diploma identifying the student
13as graduating from his or her district of residence.
14    (c) In order to be eligible for funding under the IHOPE
15Program, an interested regional office of education or a school
16district organized under Article 34 of this Code shall develop
17an IHOPE Plan to be approved by the State Board of Education.
18The State Board of Education shall develop rules for the IHOPE
19Program that shall set forth the requirements for the
20development of the IHOPE Plan. Each Plan shall involve school
21districts, public community colleges, and key community
22programs that work with high school dropouts located in an
23educational service region or the City of Chicago before the
24Plan is sent to the State Board for approval. No funds may be
25distributed to a regional office of education or a school
26district organized under Article 34 of this Code until the

 

 

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1State Board has approved the Plan.
2    (d) A regional office of education or a school district
3organized under Article 34 of this Code may operate its own
4program funded by the IHOPE Program or enter into a contract
5with other not-for-profit entities, including school
6districts, public community colleges, and not-for-profit
7community-based organizations, to operate a program.
8    A regional office of education or a school district
9organized under Article 34 of this Code that receives an IHOPE
10grant from the State Board of Education may provide funds under
11a sub-grant, as specified in the IHOPE Plan, to other
12not-for-profit entities to provide services according to the
13IHOPE Plan that was developed. These other entities may include
14school districts, public community colleges, or not-for-profit
15community-based organizations or a cooperative partnership
16among these entities.
17    (e) In order to distribute funding based upon the need to
18ensure delivery of programs that will have the greatest impact,
19IHOPE Program funding must be distributed based upon the
20proportion of dropouts in the educational service region or
21school district, in the case of a school district organized
22under Article 34 of this Code, to the total number of dropouts
23in this State. This formula shall employ the dropout data
24provided by school districts to the State Board of Education.
25    A regional office of education or a school district
26organized under Article 34 of this Code may claim State aid

 

 

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1under Section 18-8.05 or 18-8.15 of this Code for students
2enrolled in a program funded by the IHOPE Program, provided
3that the State Board of Education has approved the IHOPE Plan
4and that these students are receiving services that are meeting
5the requirements of Section 27-22 of this Code for receipt of a
6high school diploma and are otherwise eligible to be claimed
7for general State aid under Section 18-8.05 of this Code or
8primary State aid under Section 18-8.15 of this Code, including
9provisions related to the minimum number of days of pupil
10attendance pursuant to Section 10-19 of this Code and the
11minimum number of daily hours of school work and any exceptions
12thereto as defined by the State Board of Education in rules.
13    (f) IHOPE categories of programming may include the
14following:
15        (1) Full-time programs that are comprehensive,
16    year-round programs.
17        (2) Part-time programs combining work and study
18    scheduled at various times that are flexible to the needs
19    of students.
20        (3) Online programs and courses in which students take
21    courses and complete on-site, supervised tests that
22    measure the student's mastery of a specific course needed
23    for graduation. Students may take courses online and earn
24    credit or students may prepare to take supervised tests for
25    specific courses for credit leading to receipt of a high
26    school diploma.

 

 

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1        (4) Dual enrollment in which students attend high
2    school classes in combination with community college
3    classes or students attend community college classes while
4    simultaneously earning high school credit and eventually a
5    high school diploma.
6    (g) In order to have successful comprehensive programs
7re-enrolling and graduating low-skilled high school dropouts,
8programs funded through the IHOPE Program shall include all of
9the following components:
10        (1) Small programs (70 to 100 students) at a separate
11    school site with a distinct identity. Programs may be
12    larger with specific need and justification, keeping in
13    mind that it is crucial to keep programs small to be
14    effective.
15        (2) Specific performance-based goals and outcomes and
16    measures of enrollment, attendance, skills, credits,
17    graduation, and the transition to college, training, and
18    employment.
19        (3) Strong, experienced leadership and teaching staff
20    who are provided with ongoing professional development.
21        (4) Voluntary enrollment.
22        (5) High standards for student learning, integrating
23    work experience, and education, including during the
24    school year and after school, and summer school programs
25    that link internships, work, and learning.
26        (6) Comprehensive programs providing extensive support

 

 

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1    services.
2        (7) Small teams of students supported by full-time paid
3    mentors who work to retain and help those students
4    graduate.
5        (8) A comprehensive technology learning center with
6    Internet access and broad-based curriculum focusing on
7    academic and career subject areas.
8        (9) Learning opportunities that incorporate action
9    into study.
10    (h) Programs funded through the IHOPE Program must report
11data to the State Board of Education as requested. This
12information shall include, but is not limited to, student
13enrollment figures, attendance information, course completion
14data, graduation information, and post-graduation information,
15as available.
16    (i) Rules must be developed by the State Board of Education
17to set forth the fund distribution process to regional offices
18of education and a school district organized under Article 34
19of this Code, the planning and the conditions upon which an
20IHOPE Plan would be approved by State Board, and other rules to
21develop the IHOPE Program.
22(Source: P.A. 96-106, eff. 7-30-09.)
 
23    (105 ILCS 5/2-3.84)  (from Ch. 122, par. 2-3.84)
24    Sec. 2-3.84. In calculating the amount of State aid to be
25apportioned to the various school districts in this State, the

 

 

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1State Board of Education shall incorporate and deduct the total
2aggregate adjustments to assessments made by the State Property
3Tax Appeal Board or Cook County Board of Appeals, as reported
4pursuant to Section 16-15 of the Property Tax Code or Section
5129.1 of the Revenue Act of 1939 by the Department of Revenue,
6from the equalized assessed valuation that is otherwise to be
7utilized in the initial calculation.
8    From the total amount of general State aid or primary State
9aid to be provided to districts, adjustments under this Section
10together with adjustments as a result of recomputation under
11Section 2-3.33 must not exceed $25 million, in the aggregate
12for all districts under both Sections combined, of the general
13State aid or primary State aid appropriation in any fiscal
14year; if necessary, amounts shall be prorated among districts.
15If it is necessary to prorate claims under this paragraph, then
16that portion of each prorated claim that is approved but not
17paid in the current fiscal year may be resubmitted as a valid
18claim in the following fiscal year.
19(Source: P.A. 93-845, eff. 7-30-04.)
 
20    (105 ILCS 5/2-3.109a)
21    Sec. 2-3.109a. Laboratory schools grant eligibility. A
22laboratory school as defined in Section 18-8 or 18-8.15 may
23apply for and be eligible to receive, subject to the same
24restrictions applicable to school districts, any grant
25administered by the State Board of Education that is available

 

 

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1for school districts.
2(Source: P.A. 90-566, eff. 1-2-98.)
 
3    (105 ILCS 5/3-14.21)  (from Ch. 122, par. 3-14.21)
4    Sec. 3-14.21. Inspection of schools.
5    (a) The regional superintendent shall inspect and survey
6all public schools under his or her supervision and notify the
7board of education, or the trustees of schools in a district
8with trustees, in writing before July 30, whether or not the
9several schools in their district have been kept as required by
10law, using forms provided by the State Board of Education which
11are based on the Health/Life Safety Code for Public Schools
12adopted under Section 2-3.12. The regional superintendent
13shall report his or her findings to the State Board of
14Education on forms provided by the State Board of Education.
15    (b) If the regional superintendent determines that a school
16board has failed in a timely manner to correct urgent items
17identified in a previous life-safety report completed under
18Section 2-3.12 or as otherwise previously ordered by the
19regional superintendent, the regional superintendent shall
20order the school board to adopt and submit to the regional
21superintendent a plan for the immediate correction of the
22building violations. This plan shall be adopted following a
23public hearing that is conducted by the school board on the
24violations and the plan and that is preceded by at least 7
25days' prior notice of the hearing published in a newspaper of

 

 

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1general circulation within the school district. If the regional
2superintendent determines in the next annual inspection that
3the plan has not been completed and that the violations have
4not been corrected, the regional superintendent shall submit a
5report to the State Board of Education with a recommendation
6that the State Board withhold from payments of general State
7aid or primary State aid due to the district an amount
8necessary to correct the outstanding violations. The State
9Board, upon notice to the school board and to the regional
10superintendent, shall consider the report at a meeting of the
11State Board, and may order that a sufficient amount of general
12State aid or primary State aid be withheld from payments due to
13the district to correct the violations. This amount shall be
14paid to the regional superintendent who shall contract on
15behalf of the school board for the correction of the
16outstanding violations.
17    (c) The Office of the State Fire Marshal or a qualified
18fire official, as defined in Section 2-3.12 of this Code, to
19whom the State Fire Marshal has delegated his or her authority
20shall conduct an annual fire safety inspection of each school
21building in this State. The State Fire Marshal or the fire
22official shall coordinate its inspections with the regional
23superintendent. The inspection shall be based on the fire
24safety code authorized in Section 2-3.12 of this Code. Any
25violations shall be reported in writing to the regional
26superintendent and shall reference the specific code sections

 

 

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1where a discrepancy has been identified within 15 days after
2the inspection has been conducted. The regional superintendent
3shall address those violations that are not corrected in a
4timely manner pursuant to subsection (b) of this Section. The
5inspection must be at no cost to the school district.
6    (d) If a municipality or, in the case of an unincorporated
7area, a county or, if applicable, a fire protection district
8wishes to perform new construction inspections under the
9jurisdiction of a regional superintendent, then the entity must
10register this wish with the regional superintendent. These
11inspections must be based on the building code authorized in
12Section 2-3.12 of this Code. The inspections must be at no cost
13to the school district.
14(Source: P.A. 96-734, eff. 8-25-09.)
 
15    (105 ILCS 5/7-14A)  (from Ch. 122, par. 7-14A)
16    Sec. 7-14A. Annexation Compensation. There shall be no
17accounting made after a mere change in boundaries when no new
18district is created, except that those districts whose
19enrollment increases by 90% or more as a result of annexing
20territory detached from another district pursuant to this
21Article are eligible for supplementary State aid payments in
22accordance with Section 11E-135 of this Code. Eligible annexing
23districts shall apply to the State Board of Education for
24supplementary State aid payments by submitting enrollment
25figures for the year immediately preceding and the year

 

 

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1immediately following the effective date of the boundary change
2for both the district gaining territory and the district losing
3territory. Copies of any intergovernmental agreements between
4the district gaining territory and the district losing
5territory detailing any transfer of fund balances and staff
6must also be submitted. In all instances of changes in
7boundaries, the district losing territory shall not count the
8average daily attendance of pupils living in the territory
9during the year preceding the effective date of the boundary
10change in its claim for reimbursement under Section 18-8 or
1118-8.15 for the school year following the effective date of the
12change in boundaries and the district receiving the territory
13shall count the average daily attendance of pupils living in
14the territory during the year preceding the effective date of
15the boundary change in its claim for reimbursement under
16Section 18-8 or 18-8.15 for the school year following the
17effective date of the change in boundaries. The changes to this
18Section made by this amendatory Act of the 95th General
19Assembly are intended to be retroactive and applicable to any
20annexation taking effect on or after July 1, 2004.
21(Source: P.A. 95-707, eff. 1-11-08.)
 
22    (105 ILCS 5/10-19)  (from Ch. 122, par. 10-19)
23    Sec. 10-19. Length of school term - experimental programs.
24Each school board shall annually prepare a calendar for the
25school term, specifying the opening and closing dates and

 

 

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1providing a minimum term of at least 185 days to insure 176
2days of actual pupil attendance, computable under Section
318-8.05 or 18-8.15, except that for the 1980-1981 school year
4only 175 days of actual pupil attendance shall be required
5because of the closing of schools pursuant to Section 24-2 on
6January 29, 1981 upon the appointment by the President of that
7day as a day of thanksgiving for the freedom of the Americans
8who had been held hostage in Iran. Any days allowed by law for
9teachers' institutes institute but not used as such or used as
10parental institutes as provided in Section 10-22.18d shall
11increase the minimum term by the school days not so used.
12Except as provided in Section 10-19.1, the board may not extend
13the school term beyond such closing date unless that extension
14of term is necessary to provide the minimum number of
15computable days. In case of such necessary extension school
16employees shall be paid for such additional time on the basis
17of their regular contracts. A school board may specify a
18closing date earlier than that set on the annual calendar when
19the schools of the district have provided the minimum number of
20computable days under this Section. Nothing in this Section
21prevents the board from employing superintendents of schools,
22principals and other nonteaching personnel for a period of 12
23months, or in the case of superintendents for a period in
24accordance with Section 10-23.8, or prevents the board from
25employing other personnel before or after the regular school
26term with payment of salary proportionate to that received for

 

 

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1comparable work during the school term.
2    A school board may make such changes in its calendar for
3the school term as may be required by any changes in the legal
4school holidays prescribed in Section 24-2. A school board may
5make changes in its calendar for the school term as may be
6necessary to reflect the utilization of teachers' institute
7days as parental institute days as provided in Section
810-22.18d.
9    The calendar for the school term and any changes must be
10submitted to and approved by the regional superintendent of
11schools before the calendar or changes may take effect.
12    With the prior approval of the State Board of Education and
13subject to review by the State Board of Education every 3
14years, any school board may, by resolution of its board and in
15agreement with affected exclusive collective bargaining
16agents, establish experimental educational programs, including
17but not limited to programs for self-directed learning or
18outside of formal class periods, which programs when so
19approved shall be considered to comply with the requirements of
20this Section as respects numbers of days of actual pupil
21attendance and with the other requirements of this Act as
22respects courses of instruction.
23(Source: P.A. 93-1036, eff. 9-14-04; revised 11-12-13.)
 
24    (105 ILCS 5/10-22.5a)  (from Ch. 122, par. 10-22.5a)
25    Sec. 10-22.5a. Attendance by dependents of United States

 

 

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1military personnel, foreign exchange students, and certain
2nonresident pupils.
3    (a) To enter into written agreements with cultural exchange
4organizations, or with nationally recognized eleemosynary
5institutions that promote excellence in the arts, mathematics,
6or science. The written agreements may provide for tuition free
7attendance at the local district school by foreign exchange
8students, or by nonresident pupils of eleemosynary
9institutions. The local board of education, as part of the
10agreement, may require that the cultural exchange program or
11the eleemosynary institutions provide services to the district
12in exchange for the waiver of nonresident tuition.
13    To enter into written agreements with adjacent school
14districts to provide for tuition free attendance by a student
15of the adjacent district when requested for the student's
16health and safety by the student or parent and both districts
17determine that the student's health or safety will be served by
18such attendance. Districts shall not be required to enter into
19such agreements nor be required to alter existing
20transportation services due to the attendance of such
21non-resident pupils.
22    (a-5) If, at the time of enrollment, a dependent of United
23States military personnel is housed in temporary housing
24located outside of a school district, but will be living within
25the district within 60 days after the time of initial
26enrollment, the dependent must be allowed to enroll, subject to

 

 

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1the requirements of this subsection (a-5), and must not be
2charged tuition. Any United States military personnel
3attempting to enroll a dependent under this subsection (a-5)
4shall provide proof that the dependent will be living within
5the district within 60 days after the time of initial
6enrollment. Proof of residency may include, but is not limited
7to, postmarked mail addressed to the military personnel and
8sent to an address located within the district, a lease
9agreement for occupancy of a residence located within the
10district, or proof of ownership of a residence located within
11the district.
12    (b) Nonresident pupils and foreign exchange students
13attending school on a tuition free basis under such agreements
14and nonresident dependents of United States military personnel
15attending school on a tuition free basis may be counted for the
16purposes of determining the apportionment of State aid provided
17under Section 18-8.05 or 18-8.15 of this Code, provided that
18any cultural exchange organization or eleemosynary
19institutions wishing to participate in an agreement authorized
20under this Section must be approved in writing by the State
21Board of Education. The State Board of Education may establish
22reasonable rules to determine the eligibility of cultural
23exchange organizations or eleemosynary institutions wishing to
24participate in agreements authorized under this Section. No
25organization or institution participating in agreements
26authorized under this Section may exclude any individual for

 

 

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1participation in its program on account of the person's race,
2color, sex, religion or nationality.
3(Source: P.A. 93-740, eff. 7-15-04.)
 
4    (105 ILCS 5/10-22.20)  (from Ch. 122, par. 10-22.20)
5    Sec. 10-22.20. Classes for adults and youths whose
6schooling has been interrupted; conditions for State
7reimbursement; use of child care facilities.
8    (a) To establish special classes for the instruction (1) of
9persons of age 21 years or over, and (2) of persons less than
10age 21 and not otherwise in attendance in public school, for
11the purpose of providing adults in the community, and youths
12whose schooling has been interrupted, with such additional
13basic education, vocational skill training, and other
14instruction as may be necessary to increase their
15qualifications for employment or other means of self-support
16and their ability to meet their responsibilities as citizens
17including courses of instruction regularly accepted for
18graduation from elementary or high schools and for
19Americanization and General Educational Development Review
20classes.
21    The board shall pay the necessary expenses of such classes
22out of school funds of the district, including costs of student
23transportation and such facilities or provision for child-care
24as may be necessary in the judgment of the board to permit
25maximum utilization of the courses by students with children,

 

 

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1and other special needs of the students directly related to
2such instruction. The expenses thus incurred shall be subject
3to State reimbursement, as provided in this Section. The board
4may make a tuition charge for persons taking instruction who
5are not subject to State reimbursement, such tuition charge not
6to exceed the per capita cost of such classes.
7    The cost of such instruction, including the additional
8expenses herein authorized, incurred for recipients of
9financial aid under the Illinois Public Aid Code, or for
10persons for whom education and training aid has been authorized
11under Section 9-8 of that Code, shall be assumed in its
12entirety from funds appropriated by the State to the Illinois
13Community College Board.
14    (b) The Illinois Community College Board shall establish
15the standards for the courses of instruction reimbursed under
16this Section. The Illinois Community College Board shall
17supervise the administration of the programs. The Illinois
18Community College Board shall determine the cost of instruction
19in accordance with standards established by the Illinois
20Community College Board, including therein other incidental
21costs as herein authorized, which shall serve as the basis of
22State reimbursement in accordance with the provisions of this
23Section. In the approval of programs and the determination of
24the cost of instruction, the Illinois Community College Board
25shall provide for the maximum utilization of federal funds for
26such programs. The Illinois Community College Board shall also

 

 

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1provide for:
2        (1) the development of an index of need for program
3    planning and for area funding allocations, as defined by
4    the Illinois Community College Board;
5        (2) the method for calculating hours of instruction, as
6    defined by the Illinois Community College Board, claimable
7    for reimbursement and a method to phase in the calculation
8    and for adjusting the calculations in cases where the
9    services of a program are interrupted due to circumstances
10    beyond the control of the program provider;
11        (3) a plan for the reallocation of funds to increase
12    the amount allocated for grants based upon program
13    performance as set forth in subsection (d) below; and
14        (4) the development of standards for determining
15    grants based upon performance as set forth in subsection
16    (d) below and a plan for the phased-in implementation of
17    those standards.
18    For instruction provided by school districts and community
19college districts beginning July 1, 1996 and thereafter,
20reimbursement provided by the Illinois Community College Board
21for classes authorized by this Section shall be provided from
22funds appropriated for the reimbursement criteria set forth in
23subsection (c) below.
24    (c) Upon the annual approval of the Illinois Community
25College Board, reimbursement shall be first provided for
26transportation, child care services, and other special needs of

 

 

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1the students directly related to instruction and then from the
2funds remaining an amount equal to the product of the total
3credit hours or units of instruction approved by the Illinois
4Community College Board, multiplied by the following:
5        (1) For adult basic education, the maximum
6    reimbursement per credit hour or per unit of instruction
7    shall be equal to (i) through fiscal year 2014, the general
8    state aid per pupil foundation level established in
9    subsection (B) of Section 18-8.05, divided by 60, or (ii)
10    in fiscal year 2015 and thereafter, the foundation level
11    established pursuant to subsection (b) of Section 18-8.15
12    of this Code, divided by 60;
13        (2) The maximum reimbursement per credit hour or per
14    unit of instruction in subparagraph (1) above shall be
15    weighted for students enrolled in classes defined as
16    vocational skills and approved by the Illinois Community
17    College Board by 1.25;
18        (3) The maximum reimbursement per credit hour or per
19    unit of instruction in subparagraph (1) above shall be
20    multiplied by .90 for students enrolled in classes defined
21    as adult secondary education programs and approved by the
22    Illinois Community College Board;
23        (4) (Blank); and
24        (5) Funding for program years after 1999-2000 shall be
25    determined by the Illinois Community College Board.
26    (d) Upon its annual approval, the Illinois Community

 

 

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1College Board shall provide grants to eligible programs for
2supplemental activities to improve or expand services under the
3Adult Education Act. Eligible programs shall be determined
4based upon performance outcomes of students in the programs as
5set by the Illinois Community College Board.
6    (e) Reimbursement under this Section shall not exceed the
7actual costs of the approved program.
8    If the amount appropriated to the Illinois Community
9College Board for reimbursement under this Section is less than
10the amount required under this Act, the apportionment shall be
11proportionately reduced.
12    School districts and community college districts may
13assess students up to $3.00 per credit hour, for classes other
14than Adult Basic Education level programs, if needed to meet
15program costs.
16    (f) An education plan shall be established for each adult
17or youth whose schooling has been interrupted and who is
18participating in the instructional programs provided under
19this Section.
20    Each school board and community college shall keep an
21accurate and detailed account of the students assigned to and
22receiving instruction under this Section who are subject to
23State reimbursement and shall submit reports of services
24provided commencing with fiscal year 1997 as required by the
25Illinois Community College Board.
26    For classes authorized under this Section, a credit hour or

 

 

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1unit of instruction is equal to 15 hours of direct instruction
2for students enrolled in approved adult education programs at
3midterm and making satisfactory progress, in accordance with
4standards established by the Illinois Community College Board.
5    (g) Upon proof submitted to the Illinois Department of
6Human Services of the payment of all claims submitted under
7this Section, that Department shall apply for federal funds
8made available therefor and any federal funds so received shall
9be paid into the General Revenue Fund in the State Treasury.
10    School districts or community colleges providing classes
11under this Section shall submit applications to the Illinois
12Community College Board for preapproval in accordance with the
13standards established by the Illinois Community College Board.
14Payments shall be made by the Illinois Community College Board
15based upon approved programs. Interim expenditure reports may
16be required by the Illinois Community College Board. Final
17claims for the school year shall be submitted to the regional
18superintendents for transmittal to the Illinois Community
19College Board. Final adjusted payments shall be made by
20September 30.
21    If a school district or community college district fails to
22provide, or is providing unsatisfactory or insufficient
23classes under this Section, the Illinois Community College
24Board may enter into agreements with public or private
25educational or other agencies other than the public schools for
26the establishment of such classes.

 

 

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1    (h) If a school district or community college district
2establishes child-care facilities for the children of
3participants in classes established under this Section, it may
4extend the use of these facilities to students who have
5obtained employment and to other persons in the community whose
6children require care and supervision while the parent or other
7person in charge of the children is employed or otherwise
8absent from the home during all or part of the day. It may make
9the facilities available before and after as well as during
10regular school hours to school age and preschool age children
11who may benefit thereby, including children who require care
12and supervision pending the return of their parent or other
13person in charge of their care from employment or other
14activity requiring absence from the home.
15    The Illinois Community College Board shall pay to the board
16the cost of care in the facilities for any child who is a
17recipient of financial aid under the Illinois Public Aid Code.
18    The board may charge for care of children for whom it
19cannot make claim under the provisions of this Section. The
20charge shall not exceed per capita cost, and to the extent
21feasible, shall be fixed at a level which will permit
22utilization by employed parents of low or moderate income. It
23may also permit any other State or local governmental agency or
24private agency providing care for children to purchase care.
25    After July 1, 1970 when the provisions of Section 10-20.20
26become operative in the district, children in a child-care

 

 

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1facility shall be transferred to the kindergarten established
2under that Section for such portion of the day as may be
3required for the kindergarten program, and only the prorated
4costs of care and training provided in the Center for the
5remaining period shall be charged to the Illinois Department of
6Human Services or other persons or agencies paying for such
7care.
8    (i) The provisions of this Section shall also apply to
9school districts having a population exceeding 500,000.
10    (j) In addition to claiming reimbursement under this
11Section, a school district may claim general State aid under
12Section 18-8.05 or primary State aid under Section 18-8.15 for
13any student under age 21 who is enrolled in courses accepted
14for graduation from elementary or high school and who otherwise
15meets the requirements of Section 18-8.05 or 18-8.15, as
16applicable.
17(Source: P.A. 95-331, eff. 8-21-07.)
 
18    (105 ILCS 5/10-29)
19    Sec. 10-29. Remote educational programs.
20    (a) For purposes of this Section, "remote educational
21program" means an educational program delivered to students in
22the home or other location outside of a school building that
23meets all of the following criteria:
24        (1) A student may participate in the program only after
25    the school district, pursuant to adopted school board

 

 

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1    policy, and a person authorized to enroll the student under
2    Section 10-20.12b of this Code determine that a remote
3    educational program will best serve the student's
4    individual learning needs. The adopted school board policy
5    shall include, but not be limited to, all of the following:
6            (A) Criteria for determining that a remote
7        educational program will best serve a student's
8        individual learning needs. The criteria must include
9        consideration of, at a minimum, a student's prior
10        attendance, disciplinary record, and academic history.
11            (B) Any limitations on the number of students or
12        grade levels that may participate in a remote
13        educational program.
14            (C) A description of the process that the school
15        district will use to approve participation in the
16        remote educational program. The process must include
17        without limitation a requirement that, for any student
18        who qualifies to receive services pursuant to the
19        federal Individuals with Disabilities Education
20        Improvement Act of 2004, the student's participation
21        in a remote educational program receive prior approval
22        from the student's individualized education program
23        team.
24            (D) A description of the process the school
25        district will use to develop and approve a written
26        remote educational plan that meets the requirements of

 

 

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1        subdivision (5) of this subsection (a).
2            (E) A description of the system the school district
3        will establish to calculate the number of clock hours a
4        student is participating in instruction in accordance
5        with the remote educational program.
6            (F) A description of the process for renewing a
7        remote educational program at the expiration of its
8        term.
9            (G) Such other terms and provisions as the school
10        district deems necessary to provide for the
11        establishment and delivery of a remote educational
12        program.
13        (2) The school district has determined that the remote
14    educational program's curriculum is aligned to State
15    learning standards and that the program offers instruction
16    and educational experiences consistent with those given to
17    students at the same grade level in the district.
18        (3) The remote educational program is delivered by
19    instructors that meet the following qualifications:
20            (A) they are certificated under Article 21 of this
21        Code;
22            (B) they meet applicable highly qualified criteria
23        under the federal No Child Left Behind Act of 2001; and
24            (C) they have responsibility for all of the
25        following elements of the program: planning
26        instruction, diagnosing learning needs, prescribing

 

 

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1        content delivery through class activities, assessing
2        learning, reporting outcomes to administrators and
3        parents and guardians, and evaluating the effects of
4        instruction.
5        (4) During the period of time from and including the
6    opening date to the closing date of the regular school term
7    of the school district established pursuant to Section
8    10-19 of this Code, participation in a remote educational
9    program may be claimed for general State aid purposes under
10    Section 18-8.05 of this Code or primary State aid purposes
11    under Section 18-8.15 of this Code on any calendar day,
12    notwithstanding whether the day is a day of pupil
13    attendance or institute day on the school district's
14    calendar or any other provision of law restricting
15    instruction on that day. If the district holds year-round
16    classes in some buildings, the district shall classify each
17    student's participation in a remote educational program as
18    either on a year-round or a non-year-round schedule for
19    purposes of claiming general State aid or primary State
20    aid. Outside of the regular school term of the district,
21    the remote educational program may be offered as part of
22    any summer school program authorized by this Code.
23        (5) Each student participating in a remote educational
24    program must have a written remote educational plan that
25    has been approved by the school district and a person
26    authorized to enroll the student under Section 10-20.12b of

 

 

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1    this Code. The school district and a person authorized to
2    enroll the student under Section 10-20.12b of this Code
3    must approve any amendment to a remote educational plan.
4    The remote educational plan must include, but is not
5    limited to, all of the following:
6            (A) Specific achievement goals for the student
7        aligned to State learning standards.
8            (B) A description of all assessments that will be
9        used to measure student progress, which description
10        shall indicate the assessments that will be
11        administered at an attendance center within the school
12        district.
13            (C) A description of the progress reports that will
14        be provided to the school district and the person or
15        persons authorized to enroll the student under Section
16        10-20.12b of this Code.
17            (D) Expectations, processes, and schedules for
18        interaction between a teacher and student.
19            (E) A description of the specific responsibilities
20        of the student's family and the school district with
21        respect to equipment, materials, phone and Internet
22        service, and any other requirements applicable to the
23        home or other location outside of a school building
24        necessary for the delivery of the remote educational
25        program.
26            (F) If applicable, a description of how the remote

 

 

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1        educational program will be delivered in a manner
2        consistent with the student's individualized education
3        program required by Section 614(d) of the federal
4        Individuals with Disabilities Education Improvement
5        Act of 2004 or plan to ensure compliance with Section
6        504 of the federal Rehabilitation Act of 1973.
7            (G) A description of the procedures and
8        opportunities for participation in academic and
9        extra-curricular activities and programs within the
10        school district.
11            (H) The identification of a parent, guardian, or
12        other responsible adult who will provide direct
13        supervision of the program. The plan must include an
14        acknowledgment by the parent, guardian, or other
15        responsible adult that he or she may engage only in
16        non-teaching duties not requiring instructional
17        judgment or the evaluation of a student. The plan shall
18        designate the parent, guardian, or other responsible
19        adult as non-teaching personnel or volunteer personnel
20        under subsection (a) of Section 10-22.34 of this Code.
21            (I) The identification of a school district
22        administrator who will oversee the remote educational
23        program on behalf of the school district and who may be
24        contacted by the student's parents with respect to any
25        issues or concerns with the program.
26            (J) The term of the student's participation in the

 

 

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1        remote educational program, which may not extend for
2        longer than 12 months, unless the term is renewed by
3        the district in accordance with subdivision (7) of this
4        subsection (a).
5            (K) A description of the specific location or
6        locations in which the program will be delivered. If
7        the remote educational program is to be delivered to a
8        student in any location other than the student's home,
9        the plan must include a written determination by the
10        school district that the location will provide a
11        learning environment appropriate for the delivery of
12        the program. The location or locations in which the
13        program will be delivered shall be deemed a long
14        distance teaching reception area under subsection (a)
15        of Section 10-22.34 of this Code.
16            (L) Certification by the school district that the
17        plan meets all other requirements of this Section.
18        (6) Students participating in a remote educational
19    program must be enrolled in a school district attendance
20    center pursuant to the school district's enrollment policy
21    or policies. A student participating in a remote
22    educational program must be tested as part of all
23    assessments administered by the school district pursuant
24    to Section 2-3.64 of this Code at the attendance center in
25    which the student is enrolled and in accordance with the
26    attendance center's assessment policies and schedule. The

 

 

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1    student must be included within all adequate yearly
2    progress and other accountability determinations for the
3    school district and attendance center under State and
4    federal law.
5        (7) The term of a student's participation in a remote
6    educational program may not extend for longer than 12
7    months, unless the term is renewed by the school district.
8    The district may only renew a student's participation in a
9    remote educational program following an evaluation of the
10    student's progress in the program, a determination that the
11    student's continuation in the program will best serve the
12    student's individual learning needs, and an amendment to
13    the student's written remote educational plan addressing
14    any changes for the upcoming term of the program.
15    (b) A school district may, by resolution of its school
16board, establish a remote educational program.
17    (c) Clock hours of instruction by students in a remote
18educational program meeting the requirements of this Section
19may be claimed by the school district and shall be counted as
20school work for general State aid purposes in accordance with
21and subject to the limitations of Section 18-8.05 of this Code
22or primary State aid purposes in accordance with and subject to
23the limitations of Section 18-8.15 of this Code.
24    (d) The impact of remote educational programs on wages,
25hours, and terms and conditions of employment of educational
26employees within the school district shall be subject to local

 

 

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1collective bargaining agreements.
2    (e) The use of a home or other location outside of a school
3building for a remote educational program shall not cause the
4home or other location to be deemed a public school facility.
5    (f) A remote educational program may be used, but is not
6required, for instruction delivered to a student in the home or
7other location outside of a school building that is not claimed
8for general State aid purposes under Section 18-8.05 of this
9Code or primary State aid purposes under Section 18-8.15 of
10this Code.
11    (g) School districts that, pursuant to this Section, adopt
12a policy for a remote educational program must submit to the
13State Board of Education a copy of the policy and any
14amendments thereto, as well as data on student participation in
15a format specified by the State Board of Education. The State
16Board of Education may perform or contract with an outside
17entity to perform an evaluation of remote educational programs
18in this State.
19    (h) The State Board of Education may adopt any rules
20necessary to ensure compliance by remote educational programs
21with the requirements of this Section and other applicable
22legal requirements.
23(Source: P.A. 96-684, eff. 8-25-09; 97-339, eff. 8-12-11.)
 
24    (105 ILCS 5/11E-135)
25    Sec. 11E-135. Incentives. For districts reorganizing under

 

 

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1this Article and for a district or districts that annex all of
2the territory of one or more entire other school districts in
3accordance with Article 7 of this Code, the following payments
4shall be made from appropriations made for these purposes:
5    (a)(1) For a combined school district, as defined in
6Section 11E-20 of this Code, or for a unit district, as defined
7in Section 11E-25 of this Code, for its first year of
8existence, the general State aid and supplemental general State
9aid calculated under Section 18-8.05 of this Code or the
10primary State aid and supplemental grants calculated under
11Section 18-8.15 of this Code, as applicable, shall be computed
12for the new district and for the previously existing districts
13for which property is totally included within the new district.
14If the computation on the basis of the previously existing
15districts is greater, a supplementary payment equal to the
16difference shall be made for the first 4 years of existence of
17the new district.
18    (2) For a school district that annexes all of the territory
19of one or more entire other school districts as defined in
20Article 7 of this Code, for the first year during which the
21change of boundaries attributable to the annexation becomes
22effective for all purposes, as determined under Section 7-9 of
23this Code, the general State aid and supplemental general State
24aid calculated under Section 18-8.05 of this Code or the
25primary State aid and supplemental grants calculated under
26Section 18-8.15 of this Code, as applicable, shall be computed

 

 

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1for the annexing district as constituted after the annexation
2and for the annexing and each annexed district as constituted
3prior to the annexation; and if the computation on the basis of
4the annexing and annexed districts as constituted prior to the
5annexation is greater, then a supplementary payment equal to
6the difference shall be made for the first 4 years of existence
7of the annexing school district as constituted upon the
8annexation.
9    (3) For 2 or more school districts that annex all of the
10territory of one or more entire other school districts, as
11defined in Article 7 of this Code, for the first year during
12which the change of boundaries attributable to the annexation
13becomes effective for all purposes, as determined under Section
147-9 of this Code, the general State aid and supplemental
15general State aid calculated under Section 18-8.05 of this Code
16or the primary State aid and supplemental grants calculated
17under Section 18-8.15 of this Code, as applicable, shall be
18computed for each annexing district as constituted after the
19annexation and for each annexing and annexed district as
20constituted prior to the annexation; and if the aggregate of
21the general State aid and supplemental general State aid or
22primary State aid and supplemental grants, as applicable, as so
23computed for the annexing districts as constituted after the
24annexation is less than the aggregate of the general State aid
25and supplemental general State aid or primary State aid and
26supplemental grants, as applicable, as so computed for the

 

 

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1annexing and annexed districts, as constituted prior to the
2annexation, then a supplementary payment equal to the
3difference shall be made and allocated between or among the
4annexing districts, as constituted upon the annexation, for the
5first 4 years of their existence. The total difference payment
6shall be allocated between or among the annexing districts in
7the same ratio as the pupil enrollment from that portion of the
8annexed district or districts that is annexed to each annexing
9district bears to the total pupil enrollment from the entire
10annexed district or districts, as such pupil enrollment is
11determined for the school year last ending prior to the date
12when the change of boundaries attributable to the annexation
13becomes effective for all purposes. The amount of the total
14difference payment and the amount thereof to be allocated to
15the annexing districts shall be computed by the State Board of
16Education on the basis of pupil enrollment and other data that
17shall be certified to the State Board of Education, on forms
18that it shall provide for that purpose, by the regional
19superintendent of schools for each educational service region
20in which the annexing and annexed districts are located.
21    (4) For a school district conversion, as defined in Section
2211E-15 of this Code, or a multi-unit conversion, as defined in
23subsection (b) of Section 11E-30 of this Code, if in their
24first year of existence the newly created elementary districts
25and the newly created high school district, from a school
26district conversion, or the newly created elementary district

 

 

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1or districts and newly created combined high school - unit
2district, from a multi-unit conversion, qualify for less
3general State aid under Section 18-8.05 of this Code or primary
4State aid under Section 18-8.15 of this Code than would have
5been payable under Section 18-8.05 or 18-8.15, as applicable,
6for that same year to the previously existing districts, then a
7supplementary payment equal to that difference shall be made
8for the first 4 years of existence of the newly created
9districts. The aggregate amount of each supplementary payment
10shall be allocated among the newly created districts in the
11proportion that the deemed pupil enrollment in each district
12during its first year of existence bears to the actual
13aggregate pupil enrollment in all of the districts during their
14first year of existence. For purposes of each allocation:
15        (A) the deemed pupil enrollment of the newly created
16    high school district from a school district conversion
17    shall be an amount equal to its actual pupil enrollment for
18    its first year of existence multiplied by 1.25;
19        (B) the deemed pupil enrollment of each newly created
20    elementary district from a school district conversion
21    shall be an amount equal to its actual pupil enrollment for
22    its first year of existence reduced by an amount equal to
23    the product obtained when the amount by which the newly
24    created high school district's deemed pupil enrollment
25    exceeds its actual pupil enrollment for its first year of
26    existence is multiplied by a fraction, the numerator of

 

 

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1    which is the actual pupil enrollment of the newly created
2    elementary district for its first year of existence and the
3    denominator of which is the actual aggregate pupil
4    enrollment of all of the newly created elementary districts
5    for their first year of existence;
6        (C) the deemed high school pupil enrollment of the
7    newly created combined high school - unit district from a
8    multi-unit conversion shall be an amount equal to its
9    actual grades 9 through 12 pupil enrollment for its first
10    year of existence multiplied by 1.25; and
11        (D) the deemed elementary pupil enrollment of each
12    newly created district from a multi-unit conversion shall
13    be an amount equal to each district's actual grade K
14    through 8 pupil enrollment for its first year of existence,
15    reduced by an amount equal to the product obtained when the
16    amount by which the newly created combined high school -
17    unit district's deemed high school pupil enrollment
18    exceeds its actual grade 9 through 12 pupil enrollment for
19    its first year of existence is multiplied by a fraction,
20    the numerator of which is the actual grade K through 8
21    pupil enrollment of each newly created district for its
22    first year of existence and the denominator of which is the
23    actual aggregate grade K through 8 pupil enrollment of all
24    such newly created districts for their first year of
25    existence.
26     The aggregate amount of each supplementary payment under

 

 

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1this subdivision (4) and the amount thereof to be allocated to
2the newly created districts shall be computed by the State
3Board of Education on the basis of pupil enrollment and other
4data, which shall be certified to the State Board of Education,
5on forms that it shall provide for that purpose, by the
6regional superintendent of schools for each educational
7service region in which the newly created districts are
8located.
9    (5) For a partial elementary unit district, as defined in
10subsection (a) or (c) of Section 11E-30 of this Code, if, in
11the first year of existence, the newly created partial
12elementary unit district qualifies for less general State aid
13and supplemental general State aid under Section 18-8.05 of
14this Code or less primary State aid and supplemental grants
15under Section 18-8.15 of this Code, as applicable, than would
16have been payable under those Sections that Section for that
17same year to the previously existing districts that formed the
18partial elementary unit district, then a supplementary payment
19equal to that difference shall be made to the partial
20elementary unit district for the first 4 years of existence of
21that newly created district.
22    (6) For an elementary opt-in, as described in subsection
23(d) of Section 11E-30 of this Code, the general State aid or
24primary State aid difference shall be computed in accordance
25with paragraph (5) of this subsection (a) as if the elementary
26opt-in was included in an optional elementary unit district at

 

 

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1the optional elementary unit district's original effective
2date. If the calculation in this paragraph (6) is less than
3that calculated in paragraph (5) of this subsection (a) at the
4optional elementary unit district's original effective date,
5then no adjustments may be made. If the calculation in this
6paragraph (6) is more than that calculated in paragraph (5) of
7this subsection (a) at the optional elementary unit district's
8original effective date, then the excess must be paid as
9follows:
10        (A) If the effective date for the elementary opt-in is
11    one year after the effective date for the optional
12    elementary unit district, 100% of the calculated excess
13    shall be paid to the optional elementary unit district in
14    each of the first 4 years after the effective date of the
15    elementary opt-in.
16        (B) If the effective date for the elementary opt-in is
17    2 years after the effective date for the optional
18    elementary unit district, 75% of the calculated excess
19    shall be paid to the optional elementary unit district in
20    each of the first 4 years after the effective date of the
21    elementary opt-in.
22        (C) If the effective date for the elementary opt-in is
23    3 years after the effective date for the optional
24    elementary unit district, 50% of the calculated excess
25    shall be paid to the optional elementary unit district in
26    each of the first 4 years after the effective date of the

 

 

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1    elementary opt-in.
2        (D) If the effective date for the elementary opt-in is
3    4 years after the effective date for the optional
4    elementary unit district, 25% of the calculated excess
5    shall be paid to the optional elementary unit district in
6    each of the first 4 years after the effective date of the
7    elementary opt-in.
8        (E) If the effective date for the elementary opt-in is
9    5 years after the effective date for the optional
10    elementary unit district, the optional elementary unit
11    district is not eligible for any additional incentives due
12    to the elementary opt-in.
13    (6.5) For a school district that annexes territory detached
14from another school district whereby the enrollment of the
15annexing district increases by 90% or more as a result of the
16annexation, for the first year during which the change of
17boundaries attributable to the annexation becomes effective
18for all purposes as determined under Section 7-9 of this Code,
19the general State aid and supplemental general State aid or
20primary State aid and supplemental grants, as applicable,
21calculated under this Section shall be computed for the
22district gaining territory and the district losing territory as
23constituted after the annexation and for the same districts as
24constituted prior to the annexation; and if the aggregate of
25the general State aid and supplemental general State aid or
26primary State aid and supplemental grants, as applicable, as so

 

 

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1computed for the district gaining territory and the district
2losing territory as constituted after the annexation is less
3than the aggregate of the general State aid and supplemental
4general State aid or primary State aid and supplemental grants,
5as applicable, as so computed for the district gaining
6territory and the district losing territory as constituted
7prior to the annexation, then a supplementary payment shall be
8made to the annexing district for the first 4 years of
9existence after the annexation, equal to the difference
10multiplied by the ratio of student enrollment in the territory
11detached to the total student enrollment in the district losing
12territory for the year prior to the effective date of the
13annexation. The amount of the total difference and the
14proportion paid to the annexing district shall be computed by
15the State Board of Education on the basis of pupil enrollment
16and other data that must be submitted to the State Board of
17Education in accordance with Section 7-14A of this Code. The
18changes to this Section made by Public Act 95-707 are intended
19to be retroactive and applicable to any annexation taking
20effect on or after July 1, 2004. For annexations that are
21eligible for payments under this paragraph (6.5) and that are
22effective on or after July 1, 2004, but before January 11, 2008
23(the effective date of Public Act 95-707), the first required
24yearly payment under this paragraph (6.5) shall be paid in the
25fiscal year of January 11, 2008 (the effective date of Public
26Act 95-707). Subsequent required yearly payments shall be paid

 

 

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1in subsequent fiscal years until the payment obligation under
2this paragraph (6.5) is complete.
3    (7) Claims for financial assistance under this subsection
4(a) may not be recomputed except as expressly provided under
5Section 18-8.05 or 18-8.15 of this Code.
6    (8) Any supplementary payment made under this subsection
7(a) must be treated as separate from all other payments made
8pursuant to Section 18-8.05 or 18-8.15 of this Code.
9    (b)(1) After the formation of a combined school district,
10as defined in Section 11E-20 of this Code, or a unit district,
11as defined in Section 11E-25 of this Code, a computation shall
12be made to determine the difference between the salaries
13effective in each of the previously existing districts on June
1430, prior to the creation of the new district. For the first 4
15years after the formation of the new district, a supplementary
16State aid reimbursement shall be paid to the new district equal
17to the difference between the sum of the salaries earned by
18each of the certificated members of the new district, while
19employed in one of the previously existing districts during the
20year immediately preceding the formation of the new district,
21and the sum of the salaries those certificated members would
22have been paid during the year immediately prior to the
23formation of the new district if placed on the salary schedule
24of the previously existing district with the highest salary
25schedule.
26    (2) After the territory of one or more school districts is

 

 

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1annexed by one or more other school districts as defined in
2Article 7 of this Code, a computation shall be made to
3determine the difference between the salaries effective in each
4annexed district and in the annexing district or districts as
5they were each constituted on June 30 preceding the date when
6the change of boundaries attributable to the annexation became
7effective for all purposes, as determined under Section 7-9 of
8this Code. For the first 4 years after the annexation, a
9supplementary State aid reimbursement shall be paid to each
10annexing district as constituted after the annexation equal to
11the difference between the sum of the salaries earned by each
12of the certificated members of the annexing district as
13constituted after the annexation, while employed in an annexed
14or annexing district during the year immediately preceding the
15annexation, and the sum of the salaries those certificated
16members would have been paid during the immediately preceding
17year if placed on the salary schedule of whichever of the
18annexing or annexed districts had the highest salary schedule
19during the immediately preceding year.
20    (3) For each new high school district formed under a school
21district conversion, as defined in Section 11E-15 of this Code,
22the State shall make a supplementary payment for 4 years equal
23to the difference between the sum of the salaries earned by
24each certified member of the new high school district, while
25employed in one of the previously existing districts, and the
26sum of the salaries those certified members would have been

 

 

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1paid if placed on the salary schedule of the previously
2existing district with the highest salary schedule.
3    (4) For each newly created partial elementary unit
4district, the State shall make a supplementary payment for 4
5years equal to the difference between the sum of the salaries
6earned by each certified member of the newly created partial
7elementary unit district, while employed in one of the
8previously existing districts that formed the partial
9elementary unit district, and the sum of the salaries those
10certified members would have been paid if placed on the salary
11schedule of the previously existing district with the highest
12salary schedule. The salary schedules used in the calculation
13shall be those in effect in the previously existing districts
14for the school year prior to the creation of the new partial
15elementary unit district.
16    (5) For an elementary district opt-in, as described in
17subsection (d) of Section 11E-30 of this Code, the salary
18difference incentive shall be computed in accordance with
19paragraph (4) of this subsection (b) as if the opted-in
20elementary district was included in the optional elementary
21unit district at the optional elementary unit district's
22original effective date. If the calculation in this paragraph
23(5) is less than that calculated in paragraph (4) of this
24subsection (b) at the optional elementary unit district's
25original effective date, then no adjustments may be made. If
26the calculation in this paragraph (5) is more than that

 

 

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1calculated in paragraph (4) of this subsection (b) at the
2optional elementary unit district's original effective date,
3then the excess must be paid as follows:
4        (A) If the effective date for the elementary opt-in is
5    one year after the effective date for the optional
6    elementary unit district, 100% of the calculated excess
7    shall be paid to the optional elementary unit district in
8    each of the first 4 years after the effective date of the
9    elementary opt-in.
10        (B) If the effective date for the elementary opt-in is
11    2 years after the effective date for the optional
12    elementary unit district, 75% of the calculated excess
13    shall be paid to the optional elementary unit district in
14    each of the first 4 years after the effective date of the
15    elementary opt-in.
16        (C) If the effective date for the elementary opt-in is
17    3 years after the effective date for the optional
18    elementary unit district, 50% of the calculated excess
19    shall be paid to the optional elementary unit district in
20    each of the first 4 years after the effective date of the
21    elementary opt-in.
22        (D) If the effective date for the elementary opt-in is
23    4 years after the effective date for the partial elementary
24    unit district, 25% of the calculated excess shall be paid
25    to the optional elementary unit district in each of the
26    first 4 years after the effective date of the elementary

 

 

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1    opt-in.
2        (E) If the effective date for the elementary opt-in is
3    5 years after the effective date for the optional
4    elementary unit district, the optional elementary unit
5    district is not eligible for any additional incentives due
6    to the elementary opt-in.
7    (5.5) After the formation of a cooperative high school by 2
8or more school districts under Section 10-22.22c of this Code,
9a computation shall be made to determine the difference between
10the salaries effective in each of the previously existing high
11schools on June 30 prior to the formation of the cooperative
12high school. For the first 4 years after the formation of the
13cooperative high school, a supplementary State aid
14reimbursement shall be paid to the cooperative high school
15equal to the difference between the sum of the salaries earned
16by each of the certificated members of the cooperative high
17school while employed in one of the previously existing high
18schools during the year immediately preceding the formation of
19the cooperative high school and the sum of the salaries those
20certificated members would have been paid during the year
21immediately prior to the formation of the cooperative high
22school if placed on the salary schedule of the previously
23existing high school with the highest salary schedule.
24    (5.10) After the annexation of territory detached from
25another school district whereby the enrollment of the annexing
26district increases by 90% or more as a result of the

 

 

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1annexation, a computation shall be made to determine the
2difference between the salaries effective in the district
3gaining territory and the district losing territory as they
4each were constituted on June 30 preceding the date when the
5change of boundaries attributable to the annexation became
6effective for all purposes as determined under Section 7-9 of
7this Code. For the first 4 years after the annexation, a
8supplementary State aid reimbursement shall be paid to the
9annexing district equal to the difference between the sum of
10the salaries earned by each of the certificated members of the
11annexing district as constituted after the annexation while
12employed in the district gaining territory or the district
13losing territory during the year immediately preceding the
14annexation and the sum of the salaries those certificated
15members would have been paid during such immediately preceding
16year if placed on the salary schedule of whichever of the
17district gaining territory or district losing territory had the
18highest salary schedule during the immediately preceding year.
19To be eligible for supplementary State aid reimbursement under
20this Section, the intergovernmental agreement to be submitted
21pursuant to Section 7-14A of this Code must show that staff
22members were transferred from the control of the district
23losing territory to the control of the district gaining
24territory in the annexation. The changes to this Section made
25by Public Act 95-707 are intended to be retroactive and
26applicable to any annexation taking effect on or after July 1,

 

 

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12004. For annexations that are eligible for payments under this
2paragraph (5.10) and that are effective on or after July 1,
32004, but before January 11, 2008 (the effective date of Public
4Act 95-707), the first required yearly payment under this
5paragraph (5.10) shall be paid in the fiscal year of January
611, 2008 (the effective date of Public Act 95-707). Subsequent
7required yearly payments shall be paid in subsequent fiscal
8years until the payment obligation under this paragraph (5.10)
9is complete.
10    (5.15) After the deactivation of a school facility in
11accordance with Section 10-22.22b of this Code, a computation
12shall be made to determine the difference between the salaries
13effective in the sending school district and each receiving
14school district on June 30 prior to the deactivation of the
15school facility. For the lesser of the first 4 years after the
16deactivation of the school facility or the length of the
17deactivation agreement, including any renewals of the original
18deactivation agreement, a supplementary State aid
19reimbursement shall be paid to each receiving district equal to
20the difference between the sum of the salaries earned by each
21of the certificated members transferred to that receiving
22district as a result of the deactivation while employed in the
23sending district during the year immediately preceding the
24deactivation and the sum of the salaries those certificated
25members would have been paid during the year immediately
26preceding the deactivation if placed on the salary schedule of

 

 

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1the sending or receiving district with the highest salary
2schedule.
3    (6) The supplementary State aid reimbursement under this
4subsection (b) shall be treated as separate from all other
5payments made pursuant to Section 18-8.05 of this Code. In the
6case of the formation of a new district or cooperative high
7school or a deactivation, reimbursement shall begin during the
8first year of operation of the new district or cooperative high
9school or the first year of the deactivation, and in the case
10of an annexation of the territory of one or more school
11districts by one or more other school districts or the
12annexation of territory detached from a school district whereby
13the enrollment of the annexing district increases by 90% or
14more as a result of the annexation, reimbursement shall begin
15during the first year when the change in boundaries
16attributable to the annexation becomes effective for all
17purposes as determined pursuant to Section 7-9 of this Code,
18except that for an annexation of territory detached from a
19school district that is effective on or after July 1, 2004, but
20before January 11, 2008 (the effective date of Public Act
2195-707), whereby the enrollment of the annexing district
22increases by 90% or more as a result of the annexation,
23reimbursement shall begin during the fiscal year of January 11,
242008 (the effective date of Public Act 95-707). Each year that
25the new, annexing, or receiving district or cooperative high
26school, as the case may be, is entitled to receive

 

 

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1reimbursement, the number of eligible certified members who are
2employed on October 1 in the district or cooperative high
3school shall be certified to the State Board of Education on
4prescribed forms by October 15 and payment shall be made on or
5before November 15 of that year.
6    (c)(1) For the first year after the formation of a combined
7school district, as defined in Section 11E-20 of this Code or a
8unit district, as defined in Section 11E-25 of this Code, a
9computation shall be made totaling each previously existing
10district's audited fund balances in the educational fund,
11working cash fund, operations and maintenance fund, and
12transportation fund for the year ending June 30 prior to the
13referendum for the creation of the new district. The new
14district shall be paid supplementary State aid equal to the sum
15of the differences between the deficit of the previously
16existing district with the smallest deficit and the deficits of
17each of the other previously existing districts.
18    (2) For the first year after the annexation of all of the
19territory of one or more entire school districts by another
20school district, as defined in Article 7 of this Code,
21computations shall be made, for the year ending June 30 prior
22to the date that the change of boundaries attributable to the
23annexation is allowed by the affirmative decision issued by the
24regional board of school trustees under Section 7-6 of this
25Code, notwithstanding any effort to seek administrative review
26of the decision, totaling the annexing district's and totaling

 

 

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1each annexed district's audited fund balances in their
2respective educational, working cash, operations and
3maintenance, and transportation funds. The annexing district
4as constituted after the annexation shall be paid supplementary
5State aid equal to the sum of the differences between the
6deficit of whichever of the annexing or annexed districts as
7constituted prior to the annexation had the smallest deficit
8and the deficits of each of the other districts as constituted
9prior to the annexation.
10    (3) For the first year after the annexation of all of the
11territory of one or more entire school districts by 2 or more
12other school districts, as defined by Article 7 of this Code,
13computations shall be made, for the year ending June 30 prior
14to the date that the change of boundaries attributable to the
15annexation is allowed by the affirmative decision of the
16regional board of school trustees under Section 7-6 of this
17Code, notwithstanding any action for administrative review of
18the decision, totaling each annexing and annexed district's
19audited fund balances in their respective educational, working
20cash, operations and maintenance, and transportation funds.
21The annexing districts as constituted after the annexation
22shall be paid supplementary State aid, allocated as provided in
23this paragraph (3), in an aggregate amount equal to the sum of
24the differences between the deficit of whichever of the
25annexing or annexed districts as constituted prior to the
26annexation had the smallest deficit and the deficits of each of

 

 

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1the other districts as constituted prior to the annexation. The
2aggregate amount of the supplementary State aid payable under
3this paragraph (3) shall be allocated between or among the
4annexing districts as follows:
5        (A) the regional superintendent of schools for each
6    educational service region in which an annexed district is
7    located prior to the annexation shall certify to the State
8    Board of Education, on forms that it shall provide for that
9    purpose, the value of all taxable property in each annexed
10    district, as last equalized or assessed by the Department
11    of Revenue prior to the annexation, and the equalized
12    assessed value of each part of the annexed district that
13    was annexed to or included as a part of an annexing
14    district;
15        (B) using equalized assessed values as certified by the
16    regional superintendent of schools under clause (A) of this
17    paragraph (3), the combined audited fund balance deficit of
18    each annexed district as determined under this Section
19    shall be apportioned between or among the annexing
20    districts in the same ratio as the equalized assessed value
21    of that part of the annexed district that was annexed to or
22    included as a part of an annexing district bears to the
23    total equalized assessed value of the annexed district; and
24        (C) the aggregate supplementary State aid payment
25    under this paragraph (3) shall be allocated between or
26    among, and shall be paid to, the annexing districts in the

 

 

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1    same ratio as the sum of the combined audited fund balance
2    deficit of each annexing district as constituted prior to
3    the annexation, plus all combined audited fund balance
4    deficit amounts apportioned to that annexing district
5    under clause (B) of this subsection, bears to the aggregate
6    of the combined audited fund balance deficits of all of the
7    annexing and annexed districts as constituted prior to the
8    annexation.
9    (4) For the new elementary districts and new high school
10district formed through a school district conversion, as
11defined in Section 11E-15 of this Code or the new elementary
12district or districts and new combined high school - unit
13district formed through a multi-unit conversion, as defined in
14subsection (b) of Section 11E-30 of this Code, a computation
15shall be made totaling each previously existing district's
16audited fund balances in the educational fund, working cash
17fund, operations and maintenance fund, and transportation fund
18for the year ending June 30 prior to the referendum
19establishing the new districts. In the first year of the new
20districts, the State shall make a one-time supplementary
21payment equal to the sum of the differences between the deficit
22of the previously existing district with the smallest deficit
23and the deficits of each of the other previously existing
24districts. A district with a combined balance among the 4 funds
25that is positive shall be considered to have a deficit of zero.
26The supplementary payment shall be allocated among the newly

 

 

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1formed high school and elementary districts in the manner
2provided by the petition for the formation of the districts, in
3the form in which the petition is approved by the regional
4superintendent of schools or State Superintendent of Education
5under Section 11E-50 of this Code.
6    (5) For each newly created partial elementary unit
7district, as defined in subsection (a) or (c) of Section 11E-30
8of this Code, a computation shall be made totaling the audited
9fund balances of each previously existing district that formed
10the new partial elementary unit district in the educational
11fund, working cash fund, operations and maintenance fund, and
12transportation fund for the year ending June 30 prior to the
13referendum for the formation of the partial elementary unit
14district. In the first year of the new partial elementary unit
15district, the State shall make a one-time supplementary payment
16to the new district equal to the sum of the differences between
17the deficit of the previously existing district with the
18smallest deficit and the deficits of each of the other
19previously existing districts. A district with a combined
20balance among the 4 funds that is positive shall be considered
21to have a deficit of zero.
22    (6) For an elementary opt-in as defined in subsection (d)
23of Section 11E-30 of this Code, the deficit fund balance
24incentive shall be computed in accordance with paragraph (5) of
25this subsection (c) as if the opted-in elementary was included
26in the optional elementary unit district at the optional

 

 

09800SB0016sam002- 198 -LRB098 04277 NHT 59066 a

1elementary unit district's original effective date. If the
2calculation in this paragraph (6) is less than that calculated
3in paragraph (5) of this subsection (c) at the optional
4elementary unit district's original effective date, then no
5adjustments may be made. If the calculation in this paragraph
6(6) is more than that calculated in paragraph (5) of this
7subsection (c) at the optional elementary unit district's
8original effective date, then the excess must be paid as
9follows:
10        (A) If the effective date for the elementary opt-in is
11    one year after the effective date for the optional
12    elementary unit district, 100% of the calculated excess
13    shall be paid to the optional elementary unit district in
14    the first year after the effective date of the elementary
15    opt-in.
16        (B) If the effective date for the elementary opt-in is
17    2 years after the effective date for the optional
18    elementary unit district, 75% of the calculated excess
19    shall be paid to the optional elementary unit district in
20    the first year after the effective date of the elementary
21    opt-in.
22        (C) If the effective date for the elementary opt-in is
23    3 years after the effective date for the optional
24    elementary unit district, 50% of the calculated excess
25    shall be paid to the optional elementary unit district in
26    the first year after the effective date of the elementary

 

 

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1    opt-in.
2        (D) If the effective date for the elementary opt-in is
3    4 years after the effective date for the optional
4    elementary unit district, 25% of the calculated excess
5    shall be paid to the optional elementary unit district in
6    the first year after the effective date of the elementary
7    opt-in.
8        (E) If the effective date for the elementary opt-in is
9    5 years after the effective date for the optional
10    elementary unit district, the optional elementary unit
11    district is not eligible for any additional incentives due
12    to the elementary opt-in.
13    (6.5) For the first year after the annexation of territory
14detached from another school district whereby the enrollment of
15the annexing district increases by 90% or more as a result of
16the annexation, a computation shall be made totaling the
17audited fund balances of the district gaining territory and the
18audited fund balances of the district losing territory in the
19educational fund, working cash fund, operations and
20maintenance fund, and transportation fund for the year ending
21June 30 prior to the date that the change of boundaries
22attributable to the annexation is allowed by the affirmative
23decision of the regional board of school trustees under Section
247-6 of this Code, notwithstanding any action for administrative
25review of the decision. The annexing district as constituted
26after the annexation shall be paid supplementary State aid

 

 

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1equal to the difference between the deficit of whichever
2district included in this calculation as constituted prior to
3the annexation had the smallest deficit and the deficit of each
4other district included in this calculation as constituted
5prior to the annexation, multiplied by the ratio of equalized
6assessed value of the territory detached to the total equalized
7assessed value of the district losing territory. The regional
8superintendent of schools for the educational service region in
9which a district losing territory is located prior to the
10annexation shall certify to the State Board of Education the
11value of all taxable property in the district losing territory
12and the value of all taxable property in the territory being
13detached, as last equalized or assessed by the Department of
14Revenue prior to the annexation. To be eligible for
15supplementary State aid reimbursement under this Section, the
16intergovernmental agreement to be submitted pursuant to
17Section 7-14A of this Code must show that fund balances were
18transferred from the district losing territory to the district
19gaining territory in the annexation. The changes to this
20Section made by Public Act 95-707 are intended to be
21retroactive and applicable to any annexation taking effect on
22or after July 1, 2004. For annexations that are eligible for
23payments under this paragraph (6.5) and that are effective on
24or after July 1, 2004, but before January 11, 2008 (the
25effective date of Public Act 95-707), the required payment
26under this paragraph (6.5) shall be paid in the fiscal year of

 

 

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1January 11, 2008 (the effective date of Public Act 95-707).
2    (7) For purposes of any calculation required under
3paragraph (1), (2), (3), (4), (5), (6), or (6.5) of this
4subsection (c), a district with a combined fund balance that is
5positive shall be considered to have a deficit of zero. For
6purposes of determining each district's audited fund balances
7in its educational fund, working cash fund, operations and
8maintenance fund, and transportation fund for the specified
9year ending June 30, as provided in paragraphs (1), (2), (3),
10(4), (5), (6), and (6.5) of this subsection (c), the balance of
11each fund shall be deemed decreased by an amount equal to the
12amount of the annual property tax theretofore levied in the
13fund by the district for collection and payment to the district
14during the calendar year in which the June 30 fell, but only to
15the extent that the tax so levied in the fund actually was
16received by the district on or before or comprised a part of
17the fund on such June 30. For purposes of determining each
18district's audited fund balances, a calculation shall be made
19for each fund to determine the average for the 3 years prior to
20the specified year ending June 30, as provided in paragraphs
21(1), (2), (3), (4), (5), (6), and (6.5) of this subsection (c),
22of the district's expenditures in the categories "purchased
23services", "supplies and materials", and "capital outlay", as
24those categories are defined in rules of the State Board of
25Education. If this 3-year average is less than the district's
26expenditures in these categories for the specified year ending

 

 

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1June 30, as provided in paragraphs (1), (2), (3), (4), (5),
2(6), and (6.5) of this subsection (c), then the 3-year average
3shall be used in calculating the amounts payable under this
4Section in place of the amounts shown in these categories for
5the specified year ending June 30, as provided in paragraphs
6(1), (2), (3), (4), (5), (6), and (6.5) of this subsection (c).
7Any deficit because of State aid not yet received may not be
8considered in determining the June 30 deficits. The same basis
9of accounting shall be used by all previously existing
10districts and by all annexing or annexed districts, as
11constituted prior to the annexation, in making any computation
12required under paragraphs (1), (2), (3), (4), (5), (6), and
13(6.5) of this subsection (c).
14    (8) The supplementary State aid payments under this
15subsection (c) shall be treated as separate from all other
16payments made pursuant to Section 18-8.05 of this Code.
17    (d)(1) Following the formation of a combined school
18district, as defined in Section 11E-20 of this Code, a new unit
19district, as defined in Section 11E-25 of this Code, a new
20elementary district or districts and a new high school district
21formed through a school district conversion, as defined in
22Section 11E-15 of this Code, a new partial elementary unit
23district, as defined in Section 11E-30 of this Code, or a new
24elementary district or districts formed through a multi-unit
25conversion, as defined in subsection (b) of Section 11E-30 of
26this Code, or the annexation of all of the territory of one or

 

 

 

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1more entire school districts by one or more other school
2districts, as defined in Article 7 of this Code, a
3supplementary State aid reimbursement shall be paid for the
4number of school years determined under the following table to
5each new or annexing district equal to the sum of $4,000 for
6each certified employee who is employed by the district on a
7full-time basis for the regular term of the school year:
 
8Reorganized District's RankReorganized District's Rank
9by type of district (unit,in Average Daily Attendance
10high school, elementary)By Quintile
11in Equalized Assessed Value
12Per Pupil by Quintile
133rd, 4th,
141st2ndor 5th
15QuintileQuintileQuintile
16    1st Quintile1 year1 year1 year
17    2nd Quintile1 year2 years2 years
18    3rd Quintile2 years3 years3 years
19    4th Quintile2 years3 years3 years
20    5th Quintile2 years3 years3 years
21The State Board of Education shall make a one-time calculation
22of a reorganized district's quintile ranks. The average daily
23attendance used in this calculation shall be the best 3 months'
24average daily attendance for the district's first year. The

 

 

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1equalized assessed value per pupil shall be the district's real
2property equalized assessed value used in calculating the
3district's first-year general State aid claim, under Section
418-8.05 of this Code, or first-year primary State aid claim,
5under Section 18-8.15 of this Code, as applicable, divided by
6the best 3 months' average daily attendance.
7    No annexing or resulting school district shall be entitled
8to supplementary State aid under this subsection (d) unless the
9district acquires at least 30% of the average daily attendance
10of the district from which the territory is being detached or
11divided.
12    If a district results from multiple reorganizations that
13would otherwise qualify the district for multiple payments
14under this subsection (d) in any year, then the district shall
15receive a single payment only for that year based solely on the
16most recent reorganization.
17    (2) For an elementary opt-in, as defined in subsection (d)
18of Section 11E-30 of this Code, the full-time certified staff
19incentive shall be computed in accordance with paragraph (1) of
20this subsection (d), equal to the sum of $4,000 for each
21certified employee of the elementary district that opts-in who
22is employed by the optional elementary unit district on a
23full-time basis for the regular term of the school year. The
24calculation from this paragraph (2) must be paid as follows:
25        (A) If the effective date for the elementary opt-in is
26    one year after the effective date for the optional

 

 

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1    elementary unit district, 100% of the amount calculated in
2    this paragraph (2) shall be paid to the optional elementary
3    unit district for the number of years calculated in
4    paragraph (1) of this subsection (d) at the optional
5    elementary unit district's original effective date,
6    starting in the second year after the effective date of the
7    elementary opt-in.
8        (B) If the effective date for the elementary opt-in is
9    2 years after the effective date for the optional
10    elementary unit district, 75% of the amount calculated in
11    this paragraph (2) shall be paid to the optional elementary
12    unit district for the number of years calculated in
13    paragraph (1) of this subsection (d) at the optional
14    elementary unit district's original effective date,
15    starting in the second year after the effective date of the
16    elementary opt-in.
17        (C) If the effective date for the elementary opt-in is
18    3 years after the effective date for the optional
19    elementary unit district, 50% of the amount calculated in
20    this paragraph (2) shall be paid to the optional elementary
21    unit district for the number of years calculated in
22    paragraph (1) of this subsection (d) at the optional
23    elementary unit district's original effective date,
24    starting in the second year after the effective date of the
25    elementary opt-in.
26        (D) If the effective date for the elementary opt-in is

 

 

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1    4 years after the effective date for the optional
2    elementary unit district, 25% of the amount calculated in
3    this paragraph (2) shall be paid to the optional elementary
4    unit district for the number of years calculated in
5    paragraph (1) of this subsection (d) at the optional
6    elementary unit district's original effective date,
7    starting in the second year after the effective date of the
8    elementary opt-in.
9        (E) If the effective date for the elementary opt-in is
10    5 years after the effective date for the optional
11    elementary unit district, the optional elementary unit
12    district is not eligible for any additional incentives due
13    to the elementary opt-in.
14    (2.5) Following the formation of a cooperative high school
15by 2 or more school districts under Section 10-22.22c of this
16Code, a supplementary State aid reimbursement shall be paid for
173 school years to the cooperative high school equal to the sum
18of $4,000 for each certified employee who is employed by the
19cooperative high school on a full-time basis for the regular
20term of any such school year. If a cooperative high school
21results from multiple agreements that would otherwise qualify
22the cooperative high school for multiple payments under this
23Section in any year, the cooperative high school shall receive
24a single payment for that year based solely on the most recent
25agreement.
26    (2.10) Following the annexation of territory detached from

 

 

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1another school district whereby the enrollment of the annexing
2district increases 90% or more as a result of the annexation, a
3supplementary State aid reimbursement shall be paid to the
4annexing district equal to the sum of $4,000 for each certified
5employee who is employed by the annexing district on a
6full-time basis and shall be calculated in accordance with
7subsection (a) of this Section. To be eligible for
8supplementary State aid reimbursement under this Section, the
9intergovernmental agreement to be submitted pursuant to
10Section 7-14A of this Code must show that certified staff
11members were transferred from the control of the district
12losing territory to the control of the district gaining
13territory in the annexation. The changes to this Section made
14by Public Act 95-707 are intended to be retroactive and
15applicable to any annexation taking effect on or after July 1,
162004. For annexations that are eligible for payments under this
17paragraph (2.10) and that are effective on or after July 1,
182004, but before January 11, 2008 (the effective date of Public
19Act 95-707), the first required yearly payment under this
20paragraph (2.10) shall be paid in the second fiscal year after
21January 11, 2008 (the effective date of Public Act 95-707). Any
22subsequent required yearly payments shall be paid in subsequent
23fiscal years until the payment obligation under this paragraph
24(2.10) is complete.
25    (2.15) Following the deactivation of a school facility in
26accordance with Section 10-22.22b of this Code, a supplementary

 

 

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1State aid reimbursement shall be paid for the lesser of 3
2school years or the length of the deactivation agreement,
3including any renewals of the original deactivation agreement,
4to each receiving school district equal to the sum of $4,000
5for each certified employee who is employed by that receiving
6district on a full-time basis for the regular term of any such
7school year who was originally transferred to the control of
8that receiving district as a result of the deactivation.
9Receiving districts are eligible for payments under this
10paragraph (2.15) based on the certified employees transferred
11to that receiving district as a result of the deactivation and
12are not required to receive at least 30% of the deactivating
13district's average daily attendance as required under
14paragraph (1) of this subsection (d) to be eligible for
15payments.
16    (3) The supplementary State aid reimbursement payable
17under this subsection (d) shall be separate from and in
18addition to all other payments made to the district pursuant to
19any other Section of this Article.
20    (4) During May of each school year for which a
21supplementary State aid reimbursement is to be paid to a new,
22annexing, or receiving school district or cooperative high
23school pursuant to this subsection (d), the school board or
24governing board shall certify to the State Board of Education,
25on forms furnished to the school board or governing board by
26the State Board of Education for purposes of this subsection

 

 

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1(d), the number of certified employees for which the district
2or cooperative high school is entitled to reimbursement under
3this Section, together with the names, certificate numbers, and
4positions held by the certified employees.
5    (5) Upon certification by the State Board of Education to
6the State Comptroller of the amount of the supplementary State
7aid reimbursement to which a school district or cooperative
8high school is entitled under this subsection (d), the State
9Comptroller shall draw his or her warrant upon the State
10Treasurer for the payment thereof to the school district or
11cooperative high school and shall promptly transmit the payment
12to the school district or cooperative high school through the
13appropriate school treasurer.
14(Source: P.A. 95-331, eff. 8-21-07; 95-707, eff. 1-11-08;
1595-903, eff. 8-25-08; 96-328, eff. 8-11-09.)
 
16    (105 ILCS 5/13A-8)
17    Sec. 13A-8. Funding.
18    (a) The State of Illinois shall provide funding for the
19alternative school programs within each educational service
20region and within the Chicago public school system by line item
21appropriation made to the State Board of Education for that
22purpose. This money, when appropriated, shall be provided to
23the regional superintendent and to the Chicago Board of
24Education, who shall establish a budget, including salaries,
25for their alternative school programs. Each program shall

 

 

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1receive funding in the amount of $30,000 plus an amount based
2on the ratio of the region's or Chicago's best 3 months'
3average daily attendance in grades pre-kindergarten through 12
4to the statewide totals of these amounts. For purposes of this
5calculation, the best 3 months' average daily attendance for
6each region or Chicago shall be calculated by adding to the
7best 3 months' average daily attendance the number of
8low-income students identified in the most recently available
9federal census multiplied by one-half times the percentage of
10the region's or Chicago's low-income students to the State's
11total low-income students. The State Board of Education shall
12retain up to 1.1% of the appropriation to be used to provide
13technical assistance, professional development, and
14evaluations for the programs.
15    (a-5) Notwithstanding any other provisions of this
16Section, for the 1998-1999 fiscal year, the total amount
17distributed under subsection (a) for an alternative school
18program shall be not less than the total amount that was
19distributed under that subsection for that alternative school
20program for the 1997-1998 fiscal year. If an alternative school
21program is to receive a total distribution under subsection (a)
22for the 1998-1999 fiscal year that is less than the total
23distribution that the program received under that subsection
24for the 1997-1998 fiscal year, that alternative school program
25shall also receive, from a separate appropriation made for
26purposes of this subsection (a-5), a supplementary payment

 

 

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1equal to the amount by which its total distribution under
2subsection (a) for the 1997-1998 fiscal year exceeds the amount
3of the total distribution that the alternative school program
4receives under that subsection for the 1998-1999 fiscal year.
5If the amount appropriated for supplementary payments to
6alternative school programs under this subsection (a-5) is
7insufficient for that purpose, those supplementary payments
8shall be prorated among the alternative school programs
9entitled to receive those supplementary payments according to
10the aggregate amount of the appropriation made for purposes of
11this subsection (a-5).
12    (b) An alternative school program shall be entitled to
13receive general State aid as calculated in subsection (K) of
14Section 18-8.05 or primary State aid as calculated in
15subsection (i) of Section 18-8.15 upon filing a claim as
16provided therein. Any time that a student who is enrolled in an
17alternative school program spends in work-based learning,
18community service, or a similar alternative educational
19setting shall be included in determining the student's minimum
20number of clock hours of daily school work that constitute a
21day of attendance for purposes of calculating general State aid
22or primary State aid.
23    (c) An alternative school program may receive additional
24funding from its school districts in such amount as may be
25agreed upon by the parties and necessary to support the
26program. In addition, an alternative school program is

 

 

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1authorized to accept and expend gifts, legacies, and grants,
2including but not limited to federal grants, from any source
3for purposes directly related to the conduct and operation of
4the program.
5(Source: P.A. 89-383, eff. 8-18-95; 89-629, eff. 8-9-96;
689-636, eff. 8-9-96; 90-14, eff. 7-1-97; 90-283, eff. 7-31-97;
790-802, eff. 12-15-98.)
 
8    (105 ILCS 5/13B-20.20)
9    Sec. 13B-20.20. Enrollment in other programs. General
10Educational Development preparation programs are not eligible
11for funding under this Article. A student may enroll in a
12program approved under Section 18-8.05 or 18-8.15 of this Code,
13as appropriate, or attend both the alternative learning
14opportunities program and the regular school program to enhance
15student performance and facilitate on-time graduation.
16(Source: P.A. 92-42, eff. 1-1-02.)
 
17    (105 ILCS 5/13B-45)
18    Sec. 13B-45. Days and hours of attendance. An alternative
19learning opportunities program shall provide students with at
20least the minimum number of days of pupil attendance required
21under Section 10-19 of this Code and the minimum number of
22daily hours of school work required under Section 18-8.05 or
2318-8.15 of this Code, provided that the State Board may approve
24exceptions to these requirements if the program meets all of

 

 

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1the following conditions:
2        (1) The district plan submitted under Section
3    13B-25.15 of this Code establishes that a program providing
4    the required minimum number of days of attendance or daily
5    hours of school work would not serve the needs of the
6    program's students.
7        (2) Each day of attendance shall provide no fewer than
8    3 clock hours of school work, as defined under paragraph
9    (1) of subsection (F) of Section 18-8.05 or subsection (f)
10    of Section 18-8.15 of this Code.
11        (3) Each day of attendance that provides fewer than 5
12    clock hours of school work shall also provide supplementary
13    services, including without limitation work-based
14    learning, student assistance programs, counseling, case
15    management, health and fitness programs, or life-skills or
16    conflict resolution training, in order to provide a total
17    daily program to the student of 5 clock hours. A program
18    may claim general State aid or primary State aid for up to
19    2 hours of the time each day that a student is receiving
20    supplementary services.
21        (4) Each program shall provide no fewer than 174 days
22    of actual pupil attendance during the school term; however,
23    approved evening programs that meet the requirements of
24    Section 13B-45 of this Code may offer less than 174 days of
25    actual pupil attendance during the school term.
26(Source: P.A. 92-42, eff. 1-1-02.)
 

 

 

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1    (105 ILCS 5/13B-50)
2    Sec. 13B-50. Eligibility to receive general State aid or
3primary State aid. In order to receive general State aid or
4primary State aid, alternative learning opportunities programs
5must meet the requirements for claiming general State aid as
6specified in Section 18-8.05 of this Code or primary State aid
7as specified in Section 18-8.15 of this Code, as applicable,
8with the exception of the length of the instructional day,
9which may be less than 5 hours of school work if the program
10meets the criteria set forth under Sections 13B-50.5 and
1113B-50.10 of this Code and if the program is approved by the
12State Board.
13(Source: P.A. 92-42, eff. 1-1-02.)
 
14    (105 ILCS 5/13B-50.10)
15    Sec. 13B-50.10. Additional criteria for general State aid
16or primary State aid. In order to claim general State aid or
17primary State aid, an alternative learning opportunities
18program must meet the following criteria:
19    (1) Teacher professional development plans should include
20education in the instruction of at-risk students.
21    (2) Facilities must meet the health, life, and safety
22requirements in this Code.
23    (3) The program must comply with all other State and
24federal laws applicable to education providers.

 

 

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1(Source: P.A. 92-42, eff. 1-1-02.)
 
2    (105 ILCS 5/13B-50.15)
3    Sec. 13B-50.15. Level of funding. Approved alternative
4learning opportunities programs are entitled to claim general
5State aid or primary State aid, subject to Sections 13B-50,
613B-50.5, and 13B-50.10 of this Code. Approved programs
7operated by regional offices of education are entitled to
8receive general State aid or primary State aid at the
9foundation level of support. A school district or consortium
10must ensure that an approved program receives supplemental
11general State aid, transportation reimbursements, and special
12education resources, if appropriate, for students enrolled in
13the program.
14(Source: P.A. 92-42, eff. 1-1-02.)
 
15    (105 ILCS 5/14-7.02)  (from Ch. 122, par. 14-7.02)
16    Sec. 14-7.02. Children attending private schools, public
17out-of-state schools, public school residential facilities or
18nonpublic private special education facilities. The General
19Assembly recognizes that nonpublic non-public schools or
20special education facilities provide an important service in
21the educational system in Illinois.
22    If because of his or her disability the special education
23program of a district is unable to meet the needs of a child
24and the child attends a nonpublic non-public school or special

 

 

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1education facility, a public out-of-state school, or a special
2education facility owned and operated by a county government
3unit that provides special educational services required by the
4child and is in compliance with the appropriate rules and
5regulations of the State Superintendent of Education, the
6school district in which the child is a resident shall pay the
7actual cost of tuition for special education and related
8services provided during the regular school term and during the
9summer school term if the child's educational needs so require,
10excluding room and board charged by the nonpublic , board and
11transportation costs charged the child by that non-public
12school or special education facility, public out-of-state
13school, or county special education facility, or $4,500 per
14year, whichever is less, and shall provide him or her any
15necessary transportation. "Nonpublic special education
16facility" shall include a residential facility, within or
17outside without the State of Illinois, which provides special
18education and related services to meet the needs of the child
19by utilizing private schools or public schools, whether located
20on the site or off the site of the residential facility.
21    The State Board of Education shall promulgate rules and
22regulations for determining when placement in a private special
23education facility is appropriate. Such rules and regulations
24shall take into account the various types of services needed by
25a child and the availability of such services to the particular
26child in the public school. In developing these rules and

 

 

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1regulations the State Board of Education shall consult with the
2Advisory Council on Education of Children with Disabilities and
3hold public hearings to secure recommendations from parents,
4school personnel, and others concerned about this matter.
5    The State Board of Education shall also promulgate rules
6and regulations for transportation to and from a residential
7school. Transportation to and from home to a residential school
8more than once each school term shall be subject to prior
9approval by the State Superintendent in accordance with the
10rules and regulations of the State Board.
11    A school district making tuition payments pursuant to this
12Section is eligible for reimbursement from the State in
13accordance with Section 14-7.02c of this Code. for the amount
14of such payments actually made in excess of the district per
15capita tuition charge for students not receiving special
16education services. Such reimbursement shall be approved in
17accordance with Section 14-12.01 and each district shall file
18its claims, computed in accordance with rules prescribed by the
19State Board of Education, on forms prescribed by the State
20Superintendent of Education. Data used as a basis of
21reimbursement claims shall be for the preceding regular school
22term and summer school term. Each school district shall
23transmit its claims to the State Board of Education on or
24before August 15. The State Board of Education, before
25approving any such claims, shall determine their accuracy and
26whether they are based upon services and facilities provided

 

 

09800SB0016sam002- 218 -LRB098 04277 NHT 59066 a

1under approved programs. Upon approval the State Board shall
2cause vouchers to be prepared showing the amount due for
3payment of reimbursement claims to school districts, for
4transmittal to the State Comptroller on the 30th day of
5September, December, and March, respectively, and the final
6voucher, no later than June 20. If the money appropriated by
7the General Assembly for such purpose for any year is
8insufficient, it shall be apportioned on the basis of the
9claims approved.
10    No child shall be placed in a special education program
11pursuant to this Section unless if the tuition cost for special
12education and related services has increases more than 10
13percent over the tuition cost for the previous school year or
14exceeds $4,500 per year unless such costs have been approved by
15the Illinois Purchased Care Review Board. The Illinois
16Purchased Care Review Board shall consist of the following
17persons, or their designees: the Directors of Children and
18Family Services, Public Health, Healthcare and Family Services
19Public Aid, and the Governor's Office of Management and Budget;
20the Secretary of Human Services; the State Superintendent of
21Education; and such other persons as the Governor may
22designate. The Review Board shall establish rules and
23regulations for its determination of allowable costs and
24payments made by local school districts for special education,
25room and board, and other related services provided by
26nonpublic non-public schools or special education facilities

 

 

09800SB0016sam002- 219 -LRB098 04277 NHT 59066 a

1and shall establish uniform standards and criteria which it
2shall follow.
3    The Review Board shall establish uniform definitions and
4criteria for accounting separately by special education, room
5and board and other related services costs. The Board shall
6also establish guidelines for the coordination of services and
7financial assistance provided by all State agencies to assure
8that no otherwise qualified disabled child receiving services
9under Article 14 shall be excluded from participation in, be
10denied the benefits of or be subjected to discrimination under
11any program or activity provided by any State agency.
12    The Review Board shall review the costs for special
13education and related services provided by nonpublic
14non-public schools or special education facilities and shall
15approve or disapprove such facilities in accordance with the
16rules and regulations established by it with respect to
17allowable costs.
18    The State Board of Education shall provide administrative
19and staff support for the Review Board as deemed reasonable by
20the State Superintendent of Education. This support shall not
21include travel expenses or other compensation for any Review
22Board member other than the State Superintendent of Education.
23    The Review Board shall seek the advice of the Advisory
24Council on Education of Children with Disabilities on the rules
25and regulations to be promulgated by it relative to providing
26special education services.

 

 

09800SB0016sam002- 220 -LRB098 04277 NHT 59066 a

1    If a child has been placed in a program in which the actual
2per pupil costs of tuition for special education and related
3services based on program enrollment, excluding room, board and
4transportation costs, exceed $4,500 and such costs have been
5approved by the Review Board, the district shall pay such total
6costs which exceed $4,500. A district making such tuition
7payments in excess of $4,500 pursuant to this Section shall be
8responsible for an amount in excess of $4,500 equal to the
9district per capita tuition charge and shall be eligible for
10reimbursement from the State for the amount of such payments
11actually made in excess of the districts per capita tuition
12charge for students not receiving special education services.
13    If a child has been placed in an approved individual
14program and the tuition costs including room and board costs
15have been approved by the Review Board, then such room and
16board costs shall be paid by the appropriate State agency
17subject to the provisions of Section 14-8.01 of this Act. Room
18and board costs not provided by a State agency other than the
19State Board of Education shall be provided by the State Board
20of Education on a current basis. In no event, however, shall
21the State's liability for funding of the these tuition costs,
22including room and board costs, begin until after the legal
23obligations of third party payees payors have been subtracted
24from such costs. If the money appropriated by the General
25Assembly for such purpose for any year is insufficient, it
26shall be apportioned on the basis of the claims approved. Each

 

 

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1district shall submit room and board estimated claims to the
2State Superintendent of Education. Upon approval of such
3claims, the State Superintendent of Education shall direct the
4State Comptroller to make payments on submitted claims a
5monthly basis. The frequency for submitting estimated claims
6and the method of determining payment shall be prescribed in
7rules and regulations adopted by the State Board of Education.
8Such current state reimbursement shall be reduced by an amount
9equal to the proceeds which the child or child's parents or
10legal guardian are eligible to receive under any public or
11private insurance or assistance program. Nothing in this
12Section shall be construed as relieving an insurer or similar
13third party from an otherwise valid obligation to provide or to
14pay for services provided to a disabled child.
15    If it otherwise qualifies, a school district is eligible
16for the transportation reimbursement under Section 14-13.01
17and for the reimbursement of tuition payments under this
18Section whether the nonpublic non-public school or special
19education facility, public out-of-state school, or county
20special education facility, attended by a child who resides in
21that district and requires special educational services, is
22within or outside of the State of Illinois. However, a district
23is not eligible to claim transportation reimbursement under
24this Section unless the district certifies to the State
25Superintendent of Education that the district is unable to
26provide special educational services required by the child for

 

 

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1the current school year.
2    Nothing in this Section authorizes the reimbursement of a
3school district for the amount paid for tuition of a child
4attending a nonpublic non-public school or special education
5facility, public out-of-state school, or county special
6education facility unless the school district certifies to the
7State Superintendent of Education that the special education
8program of that district is unable to meet the needs of that
9child because of his disability and the State Superintendent of
10Education finds that the school district is in substantial
11compliance with Section 14-4.01. However, if a child is
12unilaterally placed by a State agency or any court in a
13nonpublic non-public school or special education facility,
14public out-of-state school, or county special education
15facility, a school district shall not be required to certify to
16the State Superintendent of Education, for the purpose of
17tuition reimbursement, that the special education program of
18that district is unable to meet the needs of a child because of
19his or her disability.
20    Any educational or related services provided, pursuant to
21this Section in a nonpublic non-public school or special
22education facility or a special education facility owned and
23operated by a county government unit shall be at no cost to the
24parent or guardian of the child. However, current law and
25practices relative to contributions by parents or guardians for
26costs other than educational or related services are not

 

 

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1affected by this amendatory Act of 1978.
2    Reimbursement for children attending public school
3residential facilities shall be made in accordance with the
4provisions of this Section.
5    Notwithstanding any other provision of law, any school
6district receiving a payment under this Section or under
7Section 14-7.02b, 14-13.01, or 29-5 of this Code may classify
8all or a portion of the funds that it receives in a particular
9fiscal year or from general State aid pursuant to Section
1018-8.05 of this Code as funds received in connection with any
11funding program for which it is entitled to receive funds from
12the State in that fiscal year (including, without limitation,
13any funding program referenced in this Section), regardless of
14the source or timing of the receipt. The district may not
15classify more funds as funds received in connection with the
16funding program than the district is entitled to receive in
17that fiscal year for that program. Any classification by a
18district must be made by a resolution of its board of
19education. The resolution must identify the amount of any
20payments or general State aid to be classified under this
21paragraph and must specify the funding program to which the
22funds are to be treated as received in connection therewith.
23This resolution is controlling as to the classification of
24funds referenced therein. A certified copy of the resolution
25must be sent to the State Superintendent of Education. The
26resolution shall still take effect even though a copy of the

 

 

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1resolution has not been sent to the State Superintendent of
2Education in a timely manner. No classification under this
3paragraph by a district shall affect the total amount or timing
4of money the district is entitled to receive under this Code.
5No classification under this paragraph by a district shall in
6any way relieve the district from or affect any requirements
7that otherwise would apply with respect to that funding
8program, including any accounting of funds by source, reporting
9expenditures by original source and purpose, reporting
10requirements, or requirements of providing services.
11(Source: P.A. 93-1022, eff. 8-24-04; 94-177, eff. 7-12-05.)
 
12    (105 ILCS 5/14-7.02b)
13    Sec. 14-7.02b. Funding for children requiring special
14education services. Payments to school districts for children
15requiring special education services documented in their
16individualized education program regardless of the program
17from which these services are received, excluding children
18claimed under Sections 14-7.02 and 14-7.03 of this Code, shall
19be made in accordance with this Section. Funds received under
20this Section may be used only for the provision of special
21educational facilities and services as defined in Section
2214-1.08 of this Code.
23    The appropriation for fiscal year 2005 through fiscal year
242014 and thereafter shall be based upon the IDEA child count of
25all students in the State, excluding students claimed under

 

 

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1Sections 14-7.02 and 14-7.03 of this Code, on December 1 of the
2fiscal year 2 years preceding, multiplied by 17.5% of the
3general State aid foundation level of support established for
4that fiscal year under Section 18-8.05 of this Code.
5    Beginning with fiscal year 2005 and through fiscal year
62007, individual school districts shall not receive payments
7under this Section totaling less than they received under the
8funding authorized under Section 14-7.02a of this Code during
9fiscal year 2004, pursuant to the provisions of Section
1014-7.02a as they were in effect before the effective date of
11this amendatory Act of the 93rd General Assembly. This base
12level funding shall be computed first.
13    Beginning with fiscal year 2008 through fiscal year 2014
14and each fiscal year thereafter, individual school districts
15must not receive payments under this Section totaling less than
16they received in fiscal year 2007. This funding shall be
17computed last and shall be a separate calculation from any
18other calculation set forth in this Section. This amount is
19exempt from the requirements of Section 1D-1 of this Code.
20    Through fiscal year 2014, an An amount equal to 85% of the
21funds remaining in the appropriation shall be allocated to
22school districts based upon the district's average daily
23attendance reported for purposes of Section 18-8.05 of this
24Code for the preceding school year. Fifteen percent of the
25funds remaining in the appropriation shall be allocated to
26school districts based upon the district's low income eligible

 

 

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1pupil count used in the calculation of general State aid under
2Section 18-8.05 of this Code for the same fiscal year. One
3hundred percent of the funds computed and allocated to
4districts under this Section shall be distributed and paid to
5school districts.
6    Through fiscal year 2014, for For individual students with
7disabilities whose program costs exceed 4 times the district's
8per capita tuition rate as calculated under Section 10-20.12a
9of this Code, the costs in excess of 4 times the district's per
10capita tuition rate shall be paid by the State Board of
11Education from unexpended IDEA discretionary funds originally
12designated for room and board reimbursement pursuant to Section
1314-8.01 of this Code. The amount of tuition for these children
14shall be determined by the actual cost of maintaining classes
15for these children, using the per capita cost formula set forth
16in Section 14-7.01 of this Code, with the program and cost
17being pre-approved by the State Superintendent of Education.
18Reimbursement for individual students with disabilities whose
19program costs exceed 4 times the district's per capita tuition
20rate shall be claimed beginning with costs encumbered for the
212004-2005 school year through the 2013-2014 school year and
22thereafter.
23    Through fiscal year 2014, the The State Board of Education
24shall prepare vouchers equal to one-fourth the amount allocated
25to districts, for transmittal to the State Comptroller on the
2630th day of September, December, and March, respectively, and

 

 

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1the final voucher, no later than June 20. Through fiscal year
22014, the The Comptroller shall make payments pursuant to this
3Section to school districts as soon as possible after receipt
4of vouchers. If the money appropriated from the General
5Assembly for such purposes for any year is insufficient, it
6shall be apportioned on the basis of the payments due to school
7districts.
8    Nothing in this Section shall be construed to decrease or
9increase the percentage of all special education funds that are
10allocated annually under Article 1D of this Code or to alter
11the requirement that a school district provide special
12education services.
13    Nothing in this amendatory Act of the 93rd General Assembly
14shall eliminate any reimbursement obligation owed as of the
15effective date of this amendatory Act of the 93rd General
16Assembly to a school district with in excess of 500,000
17inhabitants.
18    No funding shall be provided to school districts under this
19Section after fiscal year 2014.
20(Source: P.A. 93-1022, eff. 8-24-08. 95-705, eff. 1-8-08.)
 
21    (105 ILCS 5/14-7.02c new)
22    Sec. 14-7.02c. Funding for children with excess cost.
23    (a) Payments to school districts and State-authorized
24charter schools for children requiring special education
25services as documented in their individualized educational

 

 

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1programs, regardless of the program from which these services
2are received, excluding children claimed under Section 14-7.03
3of this Code, shall be made in accordance with this Section.
4Funds received under this Section may be used only for the
5provision of special educational facilities and services, as
6defined in Section 14-1.08 of this Code, and tuition payments
7to nonpublic special education facilities, as defined in
8Section 14-7.02 of this Code.
9    (b) Each school district and State-authorized charter
10school shall keep an accurate, detailed, and separate account
11of all expenditures for the maintenance of each of the types of
12facilities, classes, and schools authorized by this Article for
13the instruction and care of pupils attending them and for the
14cost of their transportation. Such account of expenditures
15shall conform to any administrative rules adopted by the State
16Board of Education.
17    (c) The amount of tuition for children, excluding children
18designated under Section 14-7.02 of this Code, shall be
19determined using the per capita cost formula set forth in
20Section 14-7.01 of this Code and rules adopted by the State
21Board of Education.
22    (d) The amount of tuition for children attending public
23out-of-state schools or nonpublic special education facilities
24designated under Section 14-7.02 of this Code shall be
25determined in accordance with the costs approved by the
26Illinois Purchased Care Review Board in Section 14-7.02 of this

 

 

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1Code, with the program being pre-approved by the State
2Superintendent of Education.
3    (e) Each school district or State-authorized charter
4school shall transmit its claims in a manner prescribed by the
5State Superintendent of Education on or before August 15 of
6each year. Tuition payments shall be claimed for the preceding
7regular school term and summer term following. The State Board
8of Education shall determine the accuracy of the claims and
9whether they are based upon services and facilities provided
10under approved programs as defined in this Code.
11    (f) For children identified under Section 14-7.02 of this
12Code, the State Board of Education shall reimburse each school
13district the tuition amount approved by the Illinois Purchased
14Care Review Board and paid for the regular and following summer
15term, less (i) the amount of primary State aid paid to the
16school district attributable to the additional weight for
17children with disabilities for the period claimed and (ii) 2.33
18times the per capita tuition charge of the resident district
19for claims transmitted for the 2014-2015 school year, 2.66
20times the per capita tuition charge for claims transmitted for
21the 2015-2016 school year, and 3 times the per capita tuition
22charge for claims transmitted in the 2016-2017 school year and
23every school year thereafter.
24    (g) For children, excluding those children identified
25under Sections 14-7.02 and 14-7.03 of this Code, the State
26Board of Education shall reimburse each school district the

 

 

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1education costs for each child, plus a maximum of 20% of
2transportation costs if approved as a related service in the
3individualized educational program, for the regular and
4following summer term, less (i) the amount of primary State aid
5paid to the school district attributable to the additional
6weight for children with disabilities for the period claimed
7and (ii) 3.66 times the per capita tuition charge of the
8resident district for claims transmitted in the 2014-2015
9school year, 3.33 times the per capita tuition charge for
10claims transmitted in the 2015-2016 school year, and 3 times
11the per capita tuition charge for claims transmitted in the
122016-2017 school year and every school year thereafter.
13    (h) The per capita tuition charge under this Section shall
14be set in accordance with the calculation set forth in Section
1518-3 of this Code. The maximum State reimbursement for children
16claimed under this Section is $100,000.
17    (i) The State Board of Education shall prepare vouchers for
18the amount due to each school district and transmit them to the
19Office of the Comptroller on or before September 30, December
2031, and March 31, respectively, and the final voucher no later
21than June 20. If, after preparation and transmission of the
22September 30 vouchers, any claim has been adjusted by the State
23Superintendent of Education, then subsequent vouchers shall be
24recomputed to compensate for any overpayment or underpayment
25previously made. If the money appropriated by the General
26Assembly for such purpose for any year is insufficient, it

 

 

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1shall be apportioned on the basis of the claims approved.
2    (j) Notwithstanding any other provision of law, any school
3district receiving a payment under this Section may classify
4all or a portion of the funds that it receives in a particular
5fiscal year or from primary State aid under Section 18-8.15 of
6this Code as funds received in connection with any funding
7program for which it is entitled to receive funds from this
8State in that fiscal year (including without limitation any
9funding program referenced in this Section), regardless of the
10source or timing of the receipt. The school district may not
11classify more funds as funds received in connection with the
12funding program than the school district is entitled to receive
13in that fiscal year for that program. Any classification by a
14school district shall be made by resolution of its school
15board. The resolution shall identify the amount of any payments
16or primary State aid to be classified under this Section and
17shall specify the funding program to which the funds are to be
18treated as received. The resolution shall control the
19classification of referenced funds. A certified copy of the
20resolution shall be sent to the State Superintendent of
21Education. The resolution shall take effect without regard to
22whether a copy of the resolution has been sent to the State
23Superintendent of Education in a timely manner. No
24classification under this Section by a school district shall
25affect the total amount or timing of money the school district
26is entitled to receive under this Code. No classification under

 

 

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1this Section by a school district shall in any way relieve the
2school district from or affect any requirements that otherwise
3would apply with respect to that funding program, including any
4accounting of funds by source, reporting expenditures by
5original source and purpose, reporting requirements, or
6requirements of providing services.
 
7    (105 ILCS 5/14-7.03)  (from Ch. 122, par. 14-7.03)
8    Sec. 14-7.03. Special Education Classes for Children from
9Orphanages, Foster Family Homes, Children's Homes, or in State
10Housing Units. If a school district maintains special education
11classes on the site of orphanages and children's homes, or if
12children from the orphanages, children's homes, foster family
13homes, other State agencies, or State residential units for
14children attend classes for children with disabilities in which
15the school district is a participating member of a joint
16agreement, or if the children from the orphanages, children's
17homes, foster family homes, other State agencies, or State
18residential units attend classes for the children with
19disabilities maintained by the school district, then
20reimbursement shall be paid to eligible districts in accordance
21with the provisions of this Section by the Comptroller as
22directed by the State Superintendent of Education.
23    The amount of tuition for such children shall be determined
24by the actual cost of maintaining such classes, using the per
25capita cost formula set forth in Section 14-7.01, such program

 

 

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1and cost to be pre-approved by the State Superintendent of
2Education.
3    On forms prepared by the State Superintendent of Education,
4the district shall certify to the regional superintendent the
5following:
6        (1) The name of the home or State residential unit with
7    the name of the owner or proprietor and address of those
8    maintaining it;
9        (2) That no service charges or other payments
10    authorized by law were collected in lieu of taxes therefrom
11    or on account thereof during either of the calendar years
12    included in the school year for which claim is being made;
13        (3) The number of children qualifying under this Act in
14    special education classes for instruction on the site of
15    the orphanages and children's homes;
16        (4) The number of children attending special education
17    classes for children with disabilities in which the
18    district is a participating member of a special education
19    joint agreement;
20        (5) The number of children attending special education
21    classes for children with disabilities maintained by the
22    district;
23        (6) The computed amount of tuition payment claimed as
24    due, as approved by the State Superintendent of Education,
25    for maintaining these classes.
26    If a school district makes a claim for reimbursement under

 

 

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1Section 18-3 or 18-4 of this Code, Act it shall not include in
2any claim filed under this Section a claim for such children.
3Payments authorized by law, including State or federal grants
4for education of children included in this Section, shall be
5deducted in determining the tuition amount.
6    Nothing in this Act shall be construed so as to prohibit
7reimbursement for the tuition of children placed in for profit
8facilities. Private facilities shall provide adequate space at
9the facility for special education classes provided by a school
10district or joint agreement for children with disabilities who
11are residents of the facility at no cost to the school district
12or joint agreement upon request of the school district or joint
13agreement. If such a private facility provides space at no cost
14to the district or joint agreement for special education
15classes provided to children with disabilities who are
16residents of the facility, the district or joint agreement
17shall not include any costs for the use of those facilities in
18its claim for reimbursement.
19    Reimbursement for tuition may include the cost of providing
20summer school programs for children with severe and profound
21disabilities served under this Section. Claims for that
22reimbursement shall be filed by November 1 and shall be paid on
23or before December 15 from appropriations made for the purposes
24of this Section.
25    The State Board of Education shall establish such rules and
26regulations as may be necessary to implement the provisions of

 

 

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1this Section.
2    Claims filed on behalf of programs operated under this
3Section housed in a jail, detention center, or county-owned
4shelter care facility shall be on an individual student basis
5only for eligible students with disabilities. These claims
6shall be in accordance with applicable rules.
7    Each district claiming reimbursement for a program
8operated as a group program shall have an approved budget on
9file with the State Board of Education prior to the initiation
10of the program's operation. On September 30, December 31, and
11March 31, the State Board of Education shall voucher payments
12to group programs based upon the approved budget during the
13year of operation. Final claims for group payments shall be
14filed on or before July 15. Final claims for group programs
15received at the State Board of Education on or before June 15
16shall be vouchered by June 30. Final claims received at the
17State Board of Education between June 16 and July 15 shall be
18vouchered by August 30. Claims for group programs received
19after July 15 shall not be honored.
20    Each district claiming reimbursement for individual
21students shall have the eligibility of those students verified
22by the State Board of Education. On September 30, December 31,
23and March 31, the State Board of Education shall voucher
24payments for individual students based upon an estimated cost
25calculated from the prior year's claim. Final claims for
26individual students for the regular school term must be

 

 

09800SB0016sam002- 236 -LRB098 04277 NHT 59066 a

1received at the State Board of Education by July 15. Claims for
2individual students received after July 15 shall not be
3honored. Final claims for individual students shall be
4vouchered by August 30.
5    Reimbursement shall be made based upon approved group
6programs or individual students. The State Superintendent of
7Education shall direct the Comptroller to pay a specified
8amount to the district by the 30th day of September, December,
9March, June, or August, respectively. However, notwithstanding
10any other provisions of this Section or the School Code,
11beginning with fiscal year 1994 and each fiscal year
12thereafter, if the amount appropriated for any fiscal year is
13less than the amount required for purposes of this Section, the
14amount required to eliminate any insufficient reimbursement
15for each district claim under this Section shall be reimbursed
16on August 30 of the next fiscal year. Payments required to
17eliminate any insufficiency for prior fiscal year claims shall
18be made before any claims are paid for the current fiscal year.
19    The claim of a school district otherwise eligible to be
20reimbursed in accordance with Section 14-12.01 for the 1976-77
21school year but for this amendatory Act of 1977 shall not be
22paid unless the district ceases to maintain such classes for
23one entire school year.
24    If a school district's current reimbursement payment for
25the 1977-78 school year only is less than the prior year's
26reimbursement payment owed, the district shall be paid the

 

 

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1amount of the difference between the payments in addition to
2the current reimbursement payment, and the amount so paid shall
3be subtracted from the amount of prior year's reimbursement
4payment owed to the district.
5    Regional superintendents may operate special education
6classes for children from orphanages, foster family homes,
7children's homes, or State housing units located within the
8educational services region upon consent of the school board
9otherwise so obligated. In electing to assume the powers and
10duties of a school district in providing and maintaining such a
11special education program, the regional superintendent may
12enter into joint agreements with other districts and may
13contract with public or private schools or the orphanage,
14foster family home, children's home, or State housing unit for
15provision of the special education program. The regional
16superintendent exercising the powers granted under this
17Section shall claim the reimbursement authorized by this
18Section directly from the State Board of Education.
19    Any child who is not a resident of Illinois who is placed
20in a child welfare institution, private facility, foster family
21home, State operated program, orphanage, or children's home
22shall have the payment for his educational tuition and any
23related services assured by the placing agent.
24    For each disabled student who is placed in a residential
25facility by an Illinois public agency or by any court in this
26State, the costs for educating the student are eligible for

 

 

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1reimbursement under this Section.
2    The district of residence of the disabled student as
3defined in Section 14-1.11a is responsible for the actual costs
4of the student's special education program and is eligible for
5reimbursement under this Section when placement is made by a
6State agency or the courts.
7    When a dispute arises over the determination of the
8district of residence under this Section, the district or
9districts may appeal the decision in writing to the State
10Superintendent of Education, who, upon review of materials
11submitted and any other items or information he or she may
12request for submission, shall issue a written decision on the
13matter. The decision of the State Superintendent of Education
14shall be final.
15    In the event a district does not make a tuition payment to
16another district that is providing the special education
17program and services, the State Board of Education shall
18immediately withhold 125% of the then remaining annual tuition
19cost from the State aid or categorical aid payment due to the
20school district that is determined to be the resident school
21district. All funds withheld by the State Board of Education
22shall immediately be forwarded to the school district where the
23student is being served.
24    When a child eligible for services under this Section
2514-7.03 must be placed in a nonpublic facility, that facility
26shall meet the programmatic requirements of Section 14-7.02 and

 

 

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1its regulations, and the educational services shall be funded
2only in accordance with this Section 14-7.03.
3(Source: P.A. 95-313, eff. 8-20-07; 95-844, eff. 8-15-08.)
 
4    (105 ILCS 5/14-13.01)  (from Ch. 122, par. 14-13.01)
5    Sec. 14-13.01. Reimbursement payable by State; amounts for
6personnel and transportation.
7    (a) Through fiscal year 2014, for For staff working on
8behalf of children who have not been identified as eligible for
9special education and for eligible children with physical
10disabilities, including all eligible children whose placement
11has been determined under Section 14-8.02 in hospital or home
12instruction, 1/2 of the teacher's salary but not more than
13$1,000 annually per child or $9,000 per teacher, whichever is
14less.
15    (a-5) A child qualifies for home or hospital instruction if
16it is anticipated that, due to a medical condition, the child
17will be unable to attend school, and instead must be instructed
18at home or in the hospital, for a period of 2 or more
19consecutive weeks or on an ongoing intermittent basis. For
20purposes of this Section, "ongoing intermittent basis" means
21that the child's medical condition is of such a nature or
22severity that it is anticipated that the child will be absent
23from school due to the medical condition for periods of at
24least 2 days at a time multiple times during the school year
25totaling at least 10 days or more of absences. There shall be

 

 

09800SB0016sam002- 240 -LRB098 04277 NHT 59066 a

1no requirement that a child be absent from school a minimum
2number of days before the child qualifies for home or hospital
3instruction. In order to establish eligibility for home or
4hospital services, a student's parent or guardian must submit
5to the child's school district of residence a written statement
6from a physician licensed to practice medicine in all of its
7branches stating the existence of such medical condition, the
8impact on the child's ability to participate in education, and
9the anticipated duration or nature of the child's absence from
10school. Home or hospital instruction may commence upon receipt
11of a written physician's statement in accordance with this
12Section, but instruction shall commence not later than 5 school
13days after the school district receives the physician's
14statement. Special education and related services required by
15the child's IEP or services and accommodations required by the
16child's federal Section 504 plan must be implemented as part of
17the child's home or hospital instruction, unless the IEP team
18or federal Section 504 plan team determines that modifications
19are necessary during the home or hospital instruction due to
20the child's condition.
21    (a-10) Through fiscal year 2014, eligible Eligible
22children to be included in any reimbursement under this
23paragraph must regularly receive a minimum of one hour of
24instruction each school day, or in lieu thereof of a minimum of
255 hours of instruction in each school week in order to qualify
26for full reimbursement under this Section. If the attending

 

 

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1physician for such a child has certified that the child should
2not receive as many as 5 hours of instruction in a school week,
3however, reimbursement under this paragraph on account of that
4child shall be computed proportionate to the actual hours of
5instruction per week for that child divided by 5.
6    (a-15) The State Board of Education shall establish rules
7governing the required qualifications of staff providing home
8or hospital instruction.
9    (b) For children described in Section 14-1.02, 80% of the
10cost of transportation approved as a related service in the
11Individualized Education Program for each student in order to
12take advantage of special educational facilities.
13Transportation costs shall be determined in the same fashion as
14provided in Section 29-5 of this Code, notwithstanding any
15limitation in Section 29-5 of this Code on the fiscal years for
16which reimbursement may be claimed. For purposes of this
17subsection (b), the dates for processing claims specified in
18Section 29-5 shall apply.
19    (c) Through fiscal year 2014, for For each qualified
20worker, the annual sum of $9,000.
21    (d) Through fiscal year 2014, for For one full time
22qualified director of the special education program of each
23school district which maintains a fully approved program of
24special education the annual sum of $9,000. Districts
25participating in a joint agreement special education program
26shall not receive such reimbursement if reimbursement is made

 

 

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1for a director of the joint agreement program.
2    (e) (Blank).
3    (f) (Blank).
4    (g) Through fiscal year 2014, for For readers, working with
5blind or partially seeing children 1/2 of their salary but not
6more than $400 annually per child. Readers may be employed to
7assist such children and shall not be required to be certified
8but prior to employment shall meet standards set up by the
9State Board of Education.
10    (h) Through fiscal year 2014, for For non-certified
11employees, as defined by rules promulgated by the State Board
12of Education, who deliver services to students with IEPs, 1/2
13of the salary paid or $3,500 per employee, whichever is less.
14    (i) The State Board of Education shall set standards and
15prescribe rules for determining the allocation of
16reimbursement under this section on less than a full time basis
17and for less than a school year.
18    When any school district eligible for reimbursement under
19this Section operates a school or program approved by the State
20Superintendent of Education for a number of days in excess of
21the adopted school calendar but not to exceed 235 school days,
22such reimbursement shall be increased by 1/180 of the amount or
23rate paid hereunder for each day such school is operated in
24excess of 180 days per calendar year.
25    Notwithstanding any other provision of law, any school
26district receiving a payment under this Section or under

 

 

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1Section 14-7.02c 14-7.02, 14-7.02b, or 29-5 of this Code may
2classify all or a portion of the funds that it receives in a
3particular fiscal year or from primary general State aid
4pursuant to Section 18-8.15 18-8.05 of this Code as funds
5received in connection with any funding program for which it is
6entitled to receive funds from the State in that fiscal year
7(including, without limitation, any funding program referenced
8in this Section), regardless of the source or timing of the
9receipt. The district may not classify more funds as funds
10received in connection with the funding program than the
11district is entitled to receive in that fiscal year for that
12program. Any classification by a district must be made by a
13resolution of its board of education. The resolution must
14identify the amount of any payments or primary general State
15aid to be classified under this paragraph and must specify the
16funding program to which the funds are to be treated as
17received in connection therewith. This resolution is
18controlling as to the classification of funds referenced
19therein. A certified copy of the resolution must be sent to the
20State Superintendent of Education. The resolution shall still
21take effect even though a copy of the resolution has not been
22sent to the State Superintendent of Education in a timely
23manner. No classification under this paragraph by a district
24shall affect the total amount or timing of money the district
25is entitled to receive under this Code. No classification under
26this paragraph by a district shall in any way relieve the

 

 

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1district from or affect any requirements that otherwise would
2apply with respect to that funding program, including any
3accounting of funds by source, reporting expenditures by
4original source and purpose, reporting requirements, or
5requirements of providing services.
6(Source: P.A. 96-257, eff. 8-11-09; 97-123, eff. 7-14-11.)
 
7    (105 ILCS 5/14C-12)  (from Ch. 122, par. 14C-12)
8    Sec. 14C-12. Account of expenditures; Cost report;
9Reimbursement. Each school district shall keep an accurate,
10detailed and separate account of all monies paid out by it for
11the programs in transitional bilingual education required or
12permitted by this Article, including transportation costs, and
13shall annually report thereon for the school year ending June
1430 indicating the average per pupil expenditure. Through fiscal
15year 2014, each Each school district shall be reimbursed for
16the amount by which such costs exceed the average per pupil
17expenditure by such school district for the education of
18children of comparable age who are not in any special education
19program. Through fiscal year 2014, at At least 60% of
20transitional bilingual education funding received from the
21State must be used for the instructional costs of transitional
22bilingual education.
23    Through fiscal year 2014, applications Applications for
24preapproval for reimbursement for costs of transitional
25bilingual education programs must be submitted to the State

 

 

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1Superintendent of Education at least 60 days before a
2transitional bilingual education program is started, unless a
3justifiable exception is granted by the State Superintendent of
4Education. Applications shall set forth a plan for transitional
5bilingual education established and maintained in accordance
6with this Article.
7    Through fiscal year 2014, reimbursement Reimbursement
8claims for transitional bilingual education programs shall be
9made as follows:
10    Each school district shall claim reimbursement on a current
11basis for the first 3 quarters of the fiscal year and file a
12final adjusted claim for the school year ended June 30
13preceding computed in accordance with rules prescribed by the
14State Superintendent's Office. The State Superintendent of
15Education before approving any such claims shall determine
16their accuracy and whether they are based upon services and
17facilities provided under approved programs. Upon approval he
18shall transmit to the Comptroller the vouchers showing the
19amounts due for school district reimbursement claims. Upon
20receipt of the final adjusted claims the State Superintendent
21of Education shall make a final determination of the accuracy
22of such claims. If the money appropriated by the General
23Assembly for such purpose for any year is insufficient, it
24shall be apportioned on the basis of the claims approved.
25    Failure on the part of the school district to prepare and
26certify the final adjusted claims due under this Section may

 

 

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1constitute a forfeiture by the school district of its right to
2be reimbursed by the State under this Section.
3(Source: P.A. 96-1170, eff. 1-1-11.)
 
4    (105 ILCS 5/17-1)  (from Ch. 122, par. 17-1)
5    Sec. 17-1. Annual Budget. The board of education of each
6school district under 500,000 inhabitants shall, within or
7before the first quarter of each fiscal year, adopt and file
8with the State Board of Education an annual balanced budget
9which it deems necessary to defray all necessary expenses and
10liabilities of the district, and in such annual budget shall
11specify the objects and purposes of each item and amount needed
12for each object or purpose.
13    The budget shall be entered upon a School District Budget
14form prepared and provided by the State Board of Education and
15therein shall contain a statement of the cash on hand at the
16beginning of the fiscal year, an estimate of the cash expected
17to be received during such fiscal year from all sources, an
18estimate of the expenditures contemplated for such fiscal year,
19and a statement of the estimated cash expected to be on hand at
20the end of such year. The estimate of taxes to be received may
21be based upon the amount of actual cash receipts that may
22reasonably be expected by the district during such fiscal year,
23estimated from the experience of the district in prior years
24and with due regard for other circumstances that may
25substantially affect such receipts. Nothing in this Section

 

 

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1shall be construed as requiring any district to change or
2preventing any district from changing from a cash basis of
3financing to a surplus or deficit basis of financing; or as
4requiring any district to change or preventing any district
5from changing its system of accounting. For the 2015-2016
6school year and thereafter, the budget shall conform to the
7school level accounting requirements adopted by the State Board
8of Education pursuant to Section 2-3.28 of this Code.
9    To the extent that a school district's budget is not
10balanced, the district shall also adopt and file with the State
11Board of Education a deficit reduction plan to balance the
12district's budget within 3 years. The deficit reduction plan
13must be filed at the same time as the budget, but the State
14Superintendent of Education may extend this deadline if the
15situation warrants.
16    If, as the result of an audit performed in compliance with
17Section 3-7 of this Code, the resulting Annual Financial Report
18required to be submitted pursuant to Section 3-15.1 of this
19Code reflects a deficit as defined for purposes of the
20preceding paragraph, then the district shall, within 30 days
21after acceptance of such audit report, submit a deficit
22reduction plan.
23    The board of education of each district shall fix a fiscal
24year therefor. If the beginning of the fiscal year of a
25district is subsequent to the time that the tax levy due to be
26made in such fiscal year shall be made, then such annual budget

 

 

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1shall be adopted prior to the time such tax levy shall be made.
2The failure by a board of education of any district to adopt an
3annual budget, or to comply in any respect with the provisions
4of this Section, shall not affect the validity of any tax levy
5of the district otherwise in conformity with the law. With
6respect to taxes levied either before, on, or after the
7effective date of this amendatory Act of the 91st General
8Assembly, (i) a tax levy is made for the fiscal year in which
9the levy is due to be made regardless of which fiscal year the
10proceeds of the levy are expended or are intended to be
11expended, and (ii) except as otherwise provided by law, a board
12of education's adoption of an annual budget in conformity with
13this Section is not a prerequisite to the adoption of a valid
14tax levy and is not a limit on the amount of the levy.
15    Such budget shall be prepared in tentative form by some
16person or persons designated by the board, and in such
17tentative form shall be made conveniently available to public
18inspection for at least 30 days prior to final action thereon.
19At least 1 public hearing shall be held as to such budget prior
20to final action thereon. Notice of availability for public
21inspection and of such public hearing shall be given by
22publication in a newspaper published in such district, at least
2330 days prior to the time of such hearing. If there is no
24newspaper published in such district, notice of such public
25hearing shall be given by posting notices thereof in 5 of the
26most public places in such district. It shall be the duty of

 

 

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1the secretary of such board to make such tentative budget
2available to public inspection, and to arrange for such public
3hearing. The board may from time to time make transfers between
4the various items in any fund not exceeding in the aggregate
510% of the total of such fund as set forth in the budget. The
6board may from time to time amend such budget by the same
7procedure as is herein provided for its original adoption.
8    Beginning July 1, 1976, the board of education, or regional
9superintendent, or governing board responsible for the
10administration of a joint agreement shall, by September 1 of
11each fiscal year thereafter, adopt an annual budget for the
12joint agreement in the same manner and subject to the same
13requirements as are provided in this Section.
14    The State Board of Education shall exercise powers and
15duties relating to budgets as provided in Section 2-3.27 of
16this Code and shall require school districts to submit their
17annual budgets, deficit reduction plans, and other financial
18information, including revenue and expenditure reports and
19borrowing and interfund transfer plans, in such form and within
20the timelines designated by the State Board of Education.
21    By fiscal year 1982 all school districts shall use the
22Program Budget Accounting System.
23    In the case of a school district receiving emergency State
24financial assistance under Article 1B, the school board shall
25also be subject to the requirements established under Article
261B with respect to the annual budget.

 

 

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1(Source: P.A. 97-429, eff. 8-16-11.)
 
2    (105 ILCS 5/17-1.2)
3    Sec. 17-1.2. Post annual budget on web site. If a school
4district has an Internet web site, the school district shall
5post its current annual budget, itemized by receipts and
6expenditures, on the district's Internet web site. For the
72015-2016 school year and thereafter, the budget shall include
8school level information conforming to the rules adopted by the
9State Board of Education pursuant to Section 2-3.28 of this
10Code. The school district shall notify the parents or guardians
11of its students that the budget has been posted on the
12district's web site and what the web site's address is.
13(Source: P.A. 92-438, eff. 1-1-02.)
 
14    (105 ILCS 5/17-1.5)
15    Sec. 17-1.5. Limitation of administrative costs.
16    (a) It is the purpose of this Section to establish
17limitations on the growth of administrative expenditures in
18order to maximize the proportion of school district resources
19available for the instructional program, building maintenance,
20and safety services for the students of each district.
21    (b) Definitions. For the purposes of this Section:
22    "Administrative expenditures" mean the annual expenditures
23of school districts properly attributable to expenditure
24functions defined by the rules of the State Board of Education

 

 

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1as: 2320 (Executive Administration Services); 2330 (Special
2Area Administration Services); 2490 (Other Support Services -
3School Administration); 2510 (Direction of Business Support
4Services); 2570 (Internal Services); and 2610 (Direction of
5Central Support Services); provided, however, that
6"administrative expenditures" shall not include early
7retirement or other pension system obligations required by
8State law.
9    "School district" means all school districts having a
10population of less than 500,000.
11    (c) For the 1998-99 school year and each school year
12thereafter, each school district shall undertake budgetary and
13expenditure control actions so that the increase in
14administrative expenditures for that school year over the prior
15school year does not exceed 5%. School districts with
16administrative expenditures per pupil in the 25th percentile
17and below for all districts of the same type, as defined by the
18State Board of Education, may waive the limitation imposed
19under this Section for any year following a public hearing and
20with the affirmative vote of at least two-thirds of the members
21of the school board of the district. Any district waiving the
22limitation shall notify the State Board within 45 days of such
23action.
24    (d) School districts shall file with the State Board of
25Education by November 15, 1998 and by each November 15th
26thereafter a one-page report that lists (i) the actual

 

 

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1administrative expenditures for the prior year from the
2district's audited Annual Financial Report, and (ii) the
3projected administrative expenditures for the current year
4from the budget adopted by the school board pursuant to Section
517-1 of this Code.
6    If a school district that is ineligible to waive the
7limitation imposed by subsection (c) of this Section by board
8action exceeds the limitation solely because of circumstances
9beyond the control of the district and the district has
10exhausted all available and reasonable remedies to comply with
11the limitation, the district may request a waiver pursuant to
12Section 2-3.25g. The waiver application shall specify the
13amount, nature, and reason for the relief requested, as well as
14all remedies the district has exhausted to comply with the
15limitation. Any emergency relief so requested shall apply only
16to the specific school year for which the request is made. The
17State Board of Education shall analyze all such waivers
18submitted and shall recommend that the General Assembly
19disapprove any such waiver requested that is not due solely to
20circumstances beyond the control of the district and for which
21the district has not exhausted all available and reasonable
22remedies to comply with the limitation. The State
23Superintendent shall have no authority to impose any sanctions
24pursuant to this Section for any expenditures for which a
25waiver has been requested until such waiver has been reviewed
26by the General Assembly.

 

 

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1    If the report and information required under this
2subsection (d) are not provided by the school district in a
3timely manner, or are subsequently determined by the State
4Superintendent of Education to be incomplete or inaccurate, the
5State Superintendent shall notify the district in writing of
6reporting deficiencies. The school district shall, within 60
7days of the notice, address the reporting deficiencies
8identified.
9    (e) If the State Superintendent determines that a school
10district has failed to comply with the administrative
11expenditure limitation imposed in subsection (c) of this
12Section, the State Superintendent shall notify the district of
13the violation and direct the district to undertake corrective
14action to bring the district's budget into compliance with the
15administrative expenditure limitation. The district shall,
16within 60 days of the notice, provide adequate assurance to the
17State Superintendent that appropriate corrective actions have
18been or will be taken. If the district fails to provide
19adequate assurance or fails to undertake the necessary
20corrective actions, the State Superintendent may impose
21progressive sanctions against the district that may culminate
22in withholding all subsequent payments of general State aid due
23the district under Section 18-8.05 of this Code or primary
24State aid due the district under Section 18-8.15 of this Code
25until the assurance is provided or the corrective actions
26taken.

 

 

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1    (f) The State Superintendent shall publish a list each year
2of the school districts that violate the limitation imposed by
3subsection (c) of this Section and a list of the districts that
4waive the limitation by board action as provided in subsection
5(c) of this Section.
6(Source: P.A. 90-548, eff. 1-1-98; 90-653, eff. 7-29-98.)
 
7    (105 ILCS 5/17-2.11)  (from Ch. 122, par. 17-2.11)
8    Sec. 17-2.11. School board power to levy a tax or to borrow
9money and issue bonds for fire prevention, safety, energy
10conservation, disabled accessibility, school security, and
11specified repair purposes.
12    (a) Whenever, as a result of any lawful order of any
13agency, other than a school board, having authority to enforce
14any school building code applicable to any facility that houses
15students, or any law or regulation for the protection and
16safety of the environment, pursuant to the Environmental
17Protection Act, any school district having a population of less
18than 500,000 inhabitants is required to alter or reconstruct
19any school building or permanent, fixed equipment; the district
20may, by proper resolution, levy a tax for the purpose of making
21such alteration or reconstruction, based on a survey report by
22an architect or engineer licensed in this State, upon all of
23the taxable property of the district at the value as assessed
24by the Department of Revenue and at a rate not to exceed 0.05%
25per year for a period sufficient to finance such alteration or

 

 

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1reconstruction, upon the following conditions:
2        (1) When there are not sufficient funds available in
3    the operations and maintenance fund of the school district,
4    the school facility occupation tax fund of the district, or
5    the fire prevention and safety fund of the district, as
6    determined by the district on the basis of rules adopted by
7    the State Board of Education, to make such alteration or
8    reconstruction or to purchase and install such permanent,
9    fixed equipment so ordered or determined as necessary.
10    Appropriate school district records must be made available
11    to the State Superintendent of Education, upon request, to
12    confirm this insufficiency.
13        (2) When a certified estimate of an architect or
14    engineer licensed in this State stating the estimated
15    amount necessary to make the alteration or reconstruction
16    or to purchase and install the equipment so ordered has
17    been secured by the school district, and the estimate has
18    been approved by the regional superintendent of schools
19    having jurisdiction over the district and the State
20    Superintendent of Education. Approval must not be granted
21    for any work that has already started without the prior
22    express authorization of the State Superintendent of
23    Education. If the estimate is not approved or is denied
24    approval by the regional superintendent of schools within 3
25    months after the date on which it is submitted to him or
26    her, the school board of the district may submit the

 

 

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1    estimate directly to the State Superintendent of Education
2    for approval or denial.
3    In the case of an emergency situation, where the estimated
4cost to effectuate emergency repairs is less than the amount
5specified in Section 10-20.21 of this Code, the school district
6may proceed with such repairs prior to approval by the State
7Superintendent of Education, but shall comply with the
8provisions of subdivision (2) of this subsection (a) as soon
9thereafter as may be as well as Section 10-20.21 of this Code.
10If the estimated cost to effectuate emergency repairs is
11greater than the amount specified in Section 10-20.21 of this
12Code, then the school district shall proceed in conformity with
13Section 10-20.21 of this Code and with rules established by the
14State Board of Education to address such situations. The rules
15adopted by the State Board of Education to deal with these
16situations shall stipulate that emergency situations must be
17expedited and given priority consideration. For purposes of
18this paragraph, an emergency is a situation that presents an
19imminent and continuing threat to the health and safety of
20students or other occupants of a facility, requires complete or
21partial evacuation of a building or part of a building, or
22consumes one or more of the 5 emergency days built into the
23adopted calendar of the school or schools or would otherwise be
24expected to cause such school or schools to fall short of the
25minimum school calendar requirements.
26    (b) Whenever any such district determines that it is

 

 

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1necessary for energy conservation purposes that any school
2building or permanent, fixed equipment should be altered or
3reconstructed and that such alterations or reconstruction will
4be made with funds not necessary for the completion of approved
5and recommended projects contained in any safety survey report
6or amendments thereto authorized by Section 2-3.12 of this Act;
7the district may levy a tax or issue bonds as provided in
8subsection (a) of this Section.
9    (c) Whenever any such district determines that it is
10necessary for disabled accessibility purposes and to comply
11with the school building code that any school building or
12equipment should be altered or reconstructed and that such
13alterations or reconstruction will be made with funds not
14necessary for the completion of approved and recommended
15projects contained in any safety survey report or amendments
16thereto authorized under Section 2-3.12 of this Act, the
17district may levy a tax or issue bonds as provided in
18subsection (a) of this Section.
19    (d) Whenever any such district determines that it is
20necessary for school security purposes and the related
21protection and safety of pupils and school personnel that any
22school building or property should be altered or reconstructed
23or that security systems and equipment (including but not
24limited to intercom, early detection and warning, access
25control and television monitoring systems) should be purchased
26and installed, and that such alterations, reconstruction or

 

 

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1purchase and installation of equipment will be made with funds
2not necessary for the completion of approved and recommended
3projects contained in any safety survey report or amendment
4thereto authorized by Section 2-3.12 of this Act and will deter
5and prevent unauthorized entry or activities upon school
6property by unknown or dangerous persons, assure early
7detection and advance warning of any such actual or attempted
8unauthorized entry or activities and help assure the continued
9safety of pupils and school staff if any such unauthorized
10entry or activity is attempted or occurs; the district may levy
11a tax or issue bonds as provided in subsection (a) of this
12Section.
13    (e) If a school district does not need funds for other fire
14prevention and safety projects, including the completion of
15approved and recommended projects contained in any safety
16survey report or amendments thereto authorized by Section
172-3.12 of this Act, and it is determined after a public hearing
18(which is preceded by at least one published notice (i)
19occurring at least 7 days prior to the hearing in a newspaper
20of general circulation within the school district and (ii)
21setting forth the time, date, place, and general subject matter
22of the hearing) that there is a substantial, immediate, and
23otherwise unavoidable threat to the health, safety, or welfare
24of pupils due to disrepair of school sidewalks, playgrounds,
25parking lots, or school bus turnarounds and repairs must be
26made; then the district may levy a tax or issue bonds as

 

 

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1provided in subsection (a) of this Section.
2    (f) For purposes of this Section a school district may
3replace a school building or build additions to replace
4portions of a building when it is determined that the
5effectuation of the recommendations for the existing building
6will cost more than the replacement costs. Such determination
7shall be based on a comparison of estimated costs made by an
8architect or engineer licensed in the State of Illinois. The
9new building or addition shall be equivalent in area (square
10feet) and comparable in purpose and grades served and may be on
11the same site or another site. Such replacement may only be
12done upon order of the regional superintendent of schools and
13the approval of the State Superintendent of Education.
14    (g) The filing of a certified copy of the resolution
15levying the tax when accompanied by the certificates of the
16regional superintendent of schools and State Superintendent of
17Education shall be the authority of the county clerk to extend
18such tax.
19    (h) The county clerk of the county in which any school
20district levying a tax under the authority of this Section is
21located, in reducing raised levies, shall not consider any such
22tax as a part of the general levy for school purposes and shall
23not include the same in the limitation of any other tax rate
24which may be extended.
25    Such tax shall be levied and collected in like manner as
26all other taxes of school districts, subject to the provisions

 

 

09800SB0016sam002- 260 -LRB098 04277 NHT 59066 a

1contained in this Section.
2    (i) The tax rate limit specified in this Section may be
3increased to .10% upon the approval of a proposition to effect
4such increase by a majority of the electors voting on that
5proposition at a regular scheduled election. Such proposition
6may be initiated by resolution of the school board and shall be
7certified by the secretary to the proper election authorities
8for submission in accordance with the general election law.
9    (j) When taxes are levied by any school district for fire
10prevention, safety, energy conservation, and school security
11purposes as specified in this Section, and the purposes for
12which the taxes have been levied are accomplished and paid in
13full, and there remain funds on hand in the Fire Prevention and
14Safety Fund from the proceeds of the taxes levied, including
15interest earnings thereon, the school board by resolution shall
16use such excess and other board restricted funds, excluding
17bond proceeds and earnings from such proceeds, as follows:
18        (1) for other authorized fire prevention, safety,
19    energy conservation, and school security purposes; or
20        (2) for transfer to the Operations and Maintenance Fund
21    for the purpose of abating an equal amount of operations
22    and maintenance purposes taxes.
23Notwithstanding subdivision (2) of this subsection (j) and
24subsection (k) of this Section, through June 30, 2017 2016, the
25school board may, by proper resolution following a public
26hearing set by the school board or the president of the school

 

 

09800SB0016sam002- 261 -LRB098 04277 NHT 59066 a

1board (that is preceded (i) by at least one published notice
2over the name of the clerk or secretary of the board, occurring
3at least 7 days and not more than 30 days prior to the hearing,
4in a newspaper of general circulation within the school
5district and (ii) by posted notice over the name of the clerk
6or secretary of the board, at least 48 hours before the
7hearing, at the principal office of the school board or at the
8building where the hearing is to be held if a principal office
9does not exist, with both notices setting forth the time, date,
10place, and subject matter of the hearing), transfer surplus
11life safety taxes and interest earnings thereon to the
12Operations and Maintenance Fund for building repair work.
13    (k) If any transfer is made to the Operation and
14Maintenance Fund, the secretary of the school board shall
15within 30 days notify the county clerk of the amount of that
16transfer and direct the clerk to abate the taxes to be extended
17for the purposes of operations and maintenance authorized under
18Section 17-2 of this Act by an amount equal to such transfer.
19    (l) If the proceeds from the tax levy authorized by this
20Section are insufficient to complete the work approved under
21this Section, the school board is authorized to sell bonds
22without referendum under the provisions of this Section in an
23amount that, when added to the proceeds of the tax levy
24authorized by this Section, will allow completion of the
25approved work.
26    (m) Any bonds issued pursuant to this Section shall bear

 

 

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1interest at a rate not to exceed the maximum rate authorized by
2law at the time of the making of the contract, shall mature
3within 20 years from date, and shall be signed by the president
4of the school board and the treasurer of the school district.
5    (n) In order to authorize and issue such bonds, the school
6board shall adopt a resolution fixing the amount of bonds, the
7date thereof, the maturities thereof, rates of interest
8thereof, place of payment and denomination, which shall be in
9denominations of not less than $100 and not more than $5,000,
10and provide for the levy and collection of a direct annual tax
11upon all the taxable property in the school district sufficient
12to pay the principal and interest on such bonds to maturity.
13Upon the filing in the office of the county clerk of the county
14in which the school district is located of a certified copy of
15the resolution, it is the duty of the county clerk to extend
16the tax therefor in addition to and in excess of all other
17taxes heretofore or hereafter authorized to be levied by such
18school district.
19    (o) After the time such bonds are issued as provided for by
20this Section, if additional alterations or reconstructions are
21required to be made because of surveys conducted by an
22architect or engineer licensed in the State of Illinois, the
23district may levy a tax at a rate not to exceed .05% per year
24upon all the taxable property of the district or issue
25additional bonds, whichever action shall be the most feasible.
26    (p) This Section is cumulative and constitutes complete

 

 

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1authority for the issuance of bonds as provided in this Section
2notwithstanding any other statute or law to the contrary.
3    (q) With respect to instruments for the payment of money
4issued under this Section either before, on, or after the
5effective date of Public Act 86-004 (June 6, 1989), it is, and
6always has been, the intention of the General Assembly (i) that
7the Omnibus Bond Acts are, and always have been, supplementary
8grants of power to issue instruments in accordance with the
9Omnibus Bond Acts, regardless of any provision of this Act that
10may appear to be or to have been more restrictive than those
11Acts, (ii) that the provisions of this Section are not a
12limitation on the supplementary authority granted by the
13Omnibus Bond Acts, and (iii) that instruments issued under this
14Section within the supplementary authority granted by the
15Omnibus Bond Acts are not invalid because of any provision of
16this Act that may appear to be or to have been more restrictive
17than those Acts.
18    (r) When the purposes for which the bonds are issued have
19been accomplished and paid for in full and there remain funds
20on hand from the proceeds of the bond sale and interest
21earnings therefrom, the board shall, by resolution, use such
22excess funds in accordance with the provisions of Section
2310-22.14 of this Act.
24    (s) Whenever any tax is levied or bonds issued for fire
25prevention, safety, energy conservation, and school security
26purposes, such proceeds shall be deposited and accounted for

 

 

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1separately within the Fire Prevention and Safety Fund.
2(Source: P.A. 98-26, eff. 6-21-13.)
 
3    (105 ILCS 5/17-2A)  (from Ch. 122, par. 17-2A)
4    Sec. 17-2A. Interfund Transfers.
5    (a) The school board of any district having a population of
6less than 500,000 inhabitants may, by proper resolution
7following a public hearing set by the school board or the
8president of the school board (that is preceded (i) by at least
9one published notice over the name of the clerk or secretary of
10the board, occurring at least 7 days and not more than 30 days
11prior to the hearing, in a newspaper of general circulation
12within the school district and (ii) by posted notice over the
13name of the clerk or secretary of the board, at least 48 hours
14before the hearing, at the principal office of the school board
15or at the building where the hearing is to be held if a
16principal office does not exist, with both notices setting
17forth the time, date, place, and subject matter of the
18hearing), transfer money from (1) the Educational Fund to the
19Operations and Maintenance Fund or the Transportation Fund, (2)
20the Operations and Maintenance Fund to the Educational Fund or
21the Transportation Fund, or (3) the Transportation Fund to the
22Educational Fund or the Operations and Maintenance Fund of said
23district, provided that, except during the period from July 1,
242003 through June 30, 2017 2016, such transfer is made solely
25for the purpose of meeting one-time, non-recurring expenses.

 

 

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1Except during the period from July 1, 2003 through June 30,
22017 2016 and except as otherwise provided in subsection (b) of
3this Section, any other permanent interfund transfers
4authorized by any provision or judicial interpretation of this
5Code for which the transferee fund is not precisely and
6specifically set forth in the provision of this Code
7authorizing such transfer shall be made to the fund of the
8school district most in need of the funds being transferred, as
9determined by resolution of the school board.
10     (b) Notwithstanding subsection (a) of this Section or any
11other provision of this Code to the contrary, the school board
12of any school district (i) that is subject to the Property Tax
13Extension Limitation Law, (ii) that has a population of less
14than 500,000 inhabitants, (iii) that is levying at its maximum
15tax rate, (iv) whose total equalized assessed valuation has
16declined 20% in the prior 2 years, (v) in which 80% or more of
17its students receive free or reduced-price lunch, and (vi) that
18had an equalized assessed valuation of less than $207 million
19but more than $203 million in the 2011 levy year may annually,
20until July 1, 2016, transfer money from any fund of the
21district, other than the Illinois Municipal Retirement Fund and
22the Bonds and Interest Fund, to the educational fund, the
23operations and maintenance fund, or the transportation fund of
24the district by proper resolution following a public hearing
25set by the school board or the president of the school board,
26with notice as provided in subsection (a) of this Section, so

 

 

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1long as the district meets the qualifications set forth in this
2subsection (b) on the effective date of this amendatory Act of
3the 98th General Assembly even if the district does not meet
4those qualifications at the time a given transfer is made.
5(Source: P.A. 98-26, eff. 6-21-13; 98-131, eff. 1-1-14.)
 
6    (105 ILCS 5/18-4.3)  (from Ch. 122, par. 18-4.3)
7    Sec. 18-4.3. Summer school grants. Through fiscal year
82014, grants Grants shall be determined for pupil attendance in
9summer schools conducted under Sections 10-22.33A and 34-18 and
10approved under Section 2-3.25 in the following manner.
11    The amount of grant for each accredited summer school
12attendance pupil shall be obtained by dividing the total amount
13of apportionments determined under Section 18-8.05 by the
14actual number of pupils in average daily attendance used for
15such apportionments. The number of credited summer school
16attendance pupils shall be determined (a) by counting clock
17hours of class instruction by pupils enrolled in grades 1
18through 12 in approved courses conducted at least 60 clock
19hours in summer sessions; (b) by dividing such total of clock
20hours of class instruction by 4 to produce days of credited
21pupil attendance; (c) by dividing such days of credited pupil
22attendance by the actual number of days in the regular term as
23used in computation in the general apportionment in Section
2418-8.05; and (d) by multiplying by 1.25.
25    The amount of the grant for a summer school program

 

 

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1approved by the State Superintendent of Education for children
2with disabilities, as defined in Sections 14-1.02 through
314-1.07, shall be determined in the manner contained above
4except that average daily membership shall be utilized in lieu
5of average daily attendance.
6    In the case of an apportionment based on summer school
7attendance or membership pupils, the claim therefor shall be
8presented as a separate claim for the particular school year in
9which such summer school session ends. On or before November 1
10of each year the superintendent of each eligible school
11district shall certify to the State Superintendent of Education
12the claim of the district for the summer session just ended.
13Failure on the part of the school board to so certify shall
14constitute a forfeiture of its right to such payment. The State
15Superintendent of Education shall transmit to the Comptroller
16no later than December 15th of each year vouchers for payment
17of amounts due school districts for summer school. The State
18Superintendent of Education shall direct the Comptroller to
19draw his warrants for payments thereof by the 30th day of
20December. If the money appropriated by the General Assembly for
21such purpose for any year is insufficient, it shall be
22apportioned on the basis of claims approved.
23    However, notwithstanding the foregoing provisions, for
24each fiscal year the money appropriated by the General Assembly
25for the purposes of this Section shall only be used for grants
26for approved summer school programs for those children with

 

 

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1disabilities served pursuant to Section 14-7.02 or 14-7.02b of
2this Code.
3    No funding shall be provided to school districts under this
4Section after fiscal year 2014.
5(Source: P.A. 93-1022, eff. 8-24-04.)
 
6    (105 ILCS 5/18-8.05)
7    Sec. 18-8.05. Basis for apportionment of general State
8financial aid and supplemental general State aid to the common
9schools for the 1998-1999 through the 2013-2014 and subsequent
10school years.
 
11(A) General Provisions.
12    (1) The provisions of this Section relating to the
13calculation and apportionment of general State financial aid
14and supplemental general State aid apply to the 1998-1999
15through the 2013-2014 and subsequent school years. The system
16of general State financial aid provided for in this Section is
17designed to assure that, through a combination of State
18financial aid and required local resources, the financial
19support provided each pupil in Average Daily Attendance equals
20or exceeds a prescribed per pupil Foundation Level. This
21formula approach imputes a level of per pupil Available Local
22Resources and provides for the basis to calculate a per pupil
23level of general State financial aid that, when added to
24Available Local Resources, equals or exceeds the Foundation

 

 

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1Level. The amount of per pupil general State financial aid for
2school districts, in general, varies in inverse relation to
3Available Local Resources. Per pupil amounts are based upon
4each school district's Average Daily Attendance as that term is
5defined in this Section.
6    (2) In addition to general State financial aid, school
7districts with specified levels or concentrations of pupils
8from low income households are eligible to receive supplemental
9general State financial aid grants as provided pursuant to
10subsection (H). The supplemental State aid grants provided for
11school districts under subsection (H) shall be appropriated for
12distribution to school districts as part of the same line item
13in which the general State financial aid of school districts is
14appropriated under this Section.
15    (3) To receive financial assistance under this Section,
16school districts are required to file claims with the State
17Board of Education, subject to the following requirements:
18        (a) Any school district which fails for any given
19    school year to maintain school as required by law, or to
20    maintain a recognized school is not eligible to file for
21    such school year any claim upon the Common School Fund. In
22    case of nonrecognition of one or more attendance centers in
23    a school district otherwise operating recognized schools,
24    the claim of the district shall be reduced in the
25    proportion which the Average Daily Attendance in the
26    attendance center or centers bear to the Average Daily

 

 

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1    Attendance in the school district. A "recognized school"
2    means any public school which meets the standards as
3    established for recognition by the State Board of
4    Education. A school district or attendance center not
5    having recognition status at the end of a school term is
6    entitled to receive State aid payments due upon a legal
7    claim which was filed while it was recognized.
8        (b) School district claims filed under this Section are
9    subject to Sections 18-9 and 18-12, except as otherwise
10    provided in this Section.
11        (c) If a school district operates a full year school
12    under Section 10-19.1, the general State aid to the school
13    district shall be determined by the State Board of
14    Education in accordance with this Section as near as may be
15    applicable.
16        (d) (Blank).
17    (4) Except as provided in subsections (H) and (L), the
18board of any district receiving any of the grants provided for
19in this Section may apply those funds to any fund so received
20for which that board is authorized to make expenditures by law.
21    School districts are not required to exert a minimum
22Operating Tax Rate in order to qualify for assistance under
23this Section.
24    (5) As used in this Section the following terms, when
25capitalized, shall have the meaning ascribed herein:
26        (a) "Average Daily Attendance": A count of pupil

 

 

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1    attendance in school, averaged as provided for in
2    subsection (C) and utilized in deriving per pupil financial
3    support levels.
4        (b) "Available Local Resources": A computation of
5    local financial support, calculated on the basis of Average
6    Daily Attendance and derived as provided pursuant to
7    subsection (D).
8        (c) "Corporate Personal Property Replacement Taxes":
9    Funds paid to local school districts pursuant to "An Act in
10    relation to the abolition of ad valorem personal property
11    tax and the replacement of revenues lost thereby, and
12    amending and repealing certain Acts and parts of Acts in
13    connection therewith", certified August 14, 1979, as
14    amended (Public Act 81-1st S.S.-1).
15        (d) "Foundation Level": A prescribed level of per pupil
16    financial support as provided for in subsection (B).
17        (e) "Operating Tax Rate": All school district property
18    taxes extended for all purposes, except Bond and Interest,
19    Summer School, Rent, Capital Improvement, and Vocational
20    Education Building purposes.
 
21(B) Foundation Level.
22    (1) The Foundation Level is a figure established by the
23State representing the minimum level of per pupil financial
24support that should be available to provide for the basic
25education of each pupil in Average Daily Attendance. As set

 

 

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1forth in this Section, each school district is assumed to exert
2a sufficient local taxing effort such that, in combination with
3the aggregate of general State financial aid provided the
4district, an aggregate of State and local resources are
5available to meet the basic education needs of pupils in the
6district.
7    (2) For the 1998-1999 school year, the Foundation Level of
8support is $4,225. For the 1999-2000 school year, the
9Foundation Level of support is $4,325. For the 2000-2001 school
10year, the Foundation Level of support is $4,425. For the
112001-2002 school year and 2002-2003 school year, the Foundation
12Level of support is $4,560. For the 2003-2004 school year, the
13Foundation Level of support is $4,810. For the 2004-2005 school
14year, the Foundation Level of support is $4,964. For the
152005-2006 school year, the Foundation Level of support is
16$5,164. For the 2006-2007 school year, the Foundation Level of
17support is $5,334. For the 2007-2008 school year, the
18Foundation Level of support is $5,734. For the 2008-2009 school
19year, the Foundation Level of support is $5,959.
20    (3) For the 2009-2010 school year and each school year
21thereafter, the Foundation Level of support is $6,119 or such
22greater amount as may be established by law by the General
23Assembly.
 
24(C) Average Daily Attendance.
25    (1) For purposes of calculating general State aid pursuant

 

 

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1to subsection (E), an Average Daily Attendance figure shall be
2utilized. The Average Daily Attendance figure for formula
3calculation purposes shall be the monthly average of the actual
4number of pupils in attendance of each school district, as
5further averaged for the best 3 months of pupil attendance for
6each school district. In compiling the figures for the number
7of pupils in attendance, school districts and the State Board
8of Education shall, for purposes of general State aid funding,
9conform attendance figures to the requirements of subsection
10(F).
11    (2) The Average Daily Attendance figures utilized in
12subsection (E) shall be the requisite attendance data for the
13school year immediately preceding the school year for which
14general State aid is being calculated or the average of the
15attendance data for the 3 preceding school years, whichever is
16greater. The Average Daily Attendance figures utilized in
17subsection (H) shall be the requisite attendance data for the
18school year immediately preceding the school year for which
19general State aid is being calculated.
 
20(D) Available Local Resources.
21    (1) For purposes of calculating general State aid pursuant
22to subsection (E), a representation of Available Local
23Resources per pupil, as that term is defined and determined in
24this subsection, shall be utilized. Available Local Resources
25per pupil shall include a calculated dollar amount representing

 

 

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1local school district revenues from local property taxes and
2from Corporate Personal Property Replacement Taxes, expressed
3on the basis of pupils in Average Daily Attendance. Calculation
4of Available Local Resources shall exclude any tax amnesty
5funds received as a result of Public Act 93-26.
6    (2) In determining a school district's revenue from local
7property taxes, the State Board of Education shall utilize the
8equalized assessed valuation of all taxable property of each
9school district as of September 30 of the previous year. The
10equalized assessed valuation utilized shall be obtained and
11determined as provided in subsection (G).
12    (3) For school districts maintaining grades kindergarten
13through 12, local property tax revenues per pupil shall be
14calculated as the product of the applicable equalized assessed
15valuation for the district multiplied by 3.00%, and divided by
16the district's Average Daily Attendance figure. For school
17districts maintaining grades kindergarten through 8, local
18property tax revenues per pupil shall be calculated as the
19product of the applicable equalized assessed valuation for the
20district multiplied by 2.30%, and divided by the district's
21Average Daily Attendance figure. For school districts
22maintaining grades 9 through 12, local property tax revenues
23per pupil shall be the applicable equalized assessed valuation
24of the district multiplied by 1.05%, and divided by the
25district's Average Daily Attendance figure.
26    For partial elementary unit districts created pursuant to

 

 

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1Article 11E of this Code, local property tax revenues per pupil
2shall be calculated as the product of the equalized assessed
3valuation for property within the partial elementary unit
4district for elementary purposes, as defined in Article 11E of
5this Code, multiplied by 2.06% and divided by the district's
6Average Daily Attendance figure, plus the product of the
7equalized assessed valuation for property within the partial
8elementary unit district for high school purposes, as defined
9in Article 11E of this Code, multiplied by 0.94% and divided by
10the district's Average Daily Attendance figure.
11    (4) The Corporate Personal Property Replacement Taxes paid
12to each school district during the calendar year one year
13before the calendar year in which a school year begins, divided
14by the Average Daily Attendance figure for that district, shall
15be added to the local property tax revenues per pupil as
16derived by the application of the immediately preceding
17paragraph (3). The sum of these per pupil figures for each
18school district shall constitute Available Local Resources as
19that term is utilized in subsection (E) in the calculation of
20general State aid.
 
21(E) Computation of General State Aid.
22    (1) For each school year, the amount of general State aid
23allotted to a school district shall be computed by the State
24Board of Education as provided in this subsection.
25    (2) For any school district for which Available Local

 

 

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1Resources per pupil is less than the product of 0.93 times the
2Foundation Level, general State aid for that district shall be
3calculated as an amount equal to the Foundation Level minus
4Available Local Resources, multiplied by the Average Daily
5Attendance of the school district.
6    (3) For any school district for which Available Local
7Resources per pupil is equal to or greater than the product of
80.93 times the Foundation Level and less than the product of
91.75 times the Foundation Level, the general State aid per
10pupil shall be a decimal proportion of the Foundation Level
11derived using a linear algorithm. Under this linear algorithm,
12the calculated general State aid per pupil shall decline in
13direct linear fashion from 0.07 times the Foundation Level for
14a school district with Available Local Resources equal to the
15product of 0.93 times the Foundation Level, to 0.05 times the
16Foundation Level for a school district with Available Local
17Resources equal to the product of 1.75 times the Foundation
18Level. The allocation of general State aid for school districts
19subject to this paragraph 3 shall be the calculated general
20State aid per pupil figure multiplied by the Average Daily
21Attendance of the school district.
22    (4) For any school district for which Available Local
23Resources per pupil equals or exceeds the product of 1.75 times
24the Foundation Level, the general State aid for the school
25district shall be calculated as the product of $218 multiplied
26by the Average Daily Attendance of the school district.

 

 

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1    (5) The amount of general State aid allocated to a school
2district for the 1999-2000 school year meeting the requirements
3set forth in paragraph (4) of subsection (G) shall be increased
4by an amount equal to the general State aid that would have
5been received by the district for the 1998-1999 school year by
6utilizing the Extension Limitation Equalized Assessed
7Valuation as calculated in paragraph (4) of subsection (G) less
8the general State aid allotted for the 1998-1999 school year.
9This amount shall be deemed a one time increase, and shall not
10affect any future general State aid allocations.
 
11(F) Compilation of Average Daily Attendance.
12    (1) Each school district shall, by July 1 of each year,
13submit to the State Board of Education, on forms prescribed by
14the State Board of Education, attendance figures for the school
15year that began in the preceding calendar year. The attendance
16information so transmitted shall identify the average daily
17attendance figures for each month of the school year. Beginning
18with the general State aid claim form for the 2002-2003 school
19year, districts shall calculate Average Daily Attendance as
20provided in subdivisions (a), (b), and (c) of this paragraph
21(1).
22        (a) In districts that do not hold year-round classes,
23    days of attendance in August shall be added to the month of
24    September and any days of attendance in June shall be added
25    to the month of May.

 

 

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1        (b) In districts in which all buildings hold year-round
2    classes, days of attendance in July and August shall be
3    added to the month of September and any days of attendance
4    in June shall be added to the month of May.
5        (c) In districts in which some buildings, but not all,
6    hold year-round classes, for the non-year-round buildings,
7    days of attendance in August shall be added to the month of
8    September and any days of attendance in June shall be added
9    to the month of May. The average daily attendance for the
10    year-round buildings shall be computed as provided in
11    subdivision (b) of this paragraph (1). To calculate the
12    Average Daily Attendance for the district, the average
13    daily attendance for the year-round buildings shall be
14    multiplied by the days in session for the non-year-round
15    buildings for each month and added to the monthly
16    attendance of the non-year-round buildings.
17    Except as otherwise provided in this Section, days of
18attendance by pupils shall be counted only for sessions of not
19less than 5 clock hours of school work per day under direct
20supervision of: (i) teachers, or (ii) non-teaching personnel or
21volunteer personnel when engaging in non-teaching duties and
22supervising in those instances specified in subsection (a) of
23Section 10-22.34 and paragraph 10 of Section 34-18, with pupils
24of legal school age and in kindergarten and grades 1 through
2512.
26    Days of attendance by tuition pupils shall be accredited

 

 

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1only to the districts that pay the tuition to a recognized
2school.
3    (2) Days of attendance by pupils of less than 5 clock hours
4of school shall be subject to the following provisions in the
5compilation of Average Daily Attendance.
6        (a) Pupils regularly enrolled in a public school for
7    only a part of the school day may be counted on the basis
8    of 1/6 day for every class hour of instruction of 40
9    minutes or more attended pursuant to such enrollment,
10    unless a pupil is enrolled in a block-schedule format of 80
11    minutes or more of instruction, in which case the pupil may
12    be counted on the basis of the proportion of minutes of
13    school work completed each day to the minimum number of
14    minutes that school work is required to be held that day.
15        (b) (Blank).
16        (c) A session of 4 or more clock hours may be counted
17    as a day of attendance upon certification by the regional
18    superintendent, and approved by the State Superintendent
19    of Education to the extent that the district has been
20    forced to use daily multiple sessions.
21        (d) A session of 3 or more clock hours may be counted
22    as a day of attendance (1) when the remainder of the school
23    day or at least 2 hours in the evening of that day is
24    utilized for an in-service training program for teachers,
25    up to a maximum of 5 days per school year, provided a
26    district conducts an in-service training program for

 

 

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1    teachers in accordance with Section 10-22.39 of this Code;
2    or, in lieu of 4 such days, 2 full days may be used, in
3    which event each such day may be counted as a day required
4    for a legal school calendar pursuant to Section 10-19 of
5    this Code; (1.5) when, of the 5 days allowed under item
6    (1), a maximum of 4 days are used for parent-teacher
7    conferences, or, in lieu of 4 such days, 2 full days are
8    used, in which case each such day may be counted as a
9    calendar day required under Section 10-19 of this Code,
10    provided that the full-day, parent-teacher conference
11    consists of (i) a minimum of 5 clock hours of
12    parent-teacher conferences, (ii) both a minimum of 2 clock
13    hours of parent-teacher conferences held in the evening
14    following a full day of student attendance, as specified in
15    subsection (F)(1)(c), and a minimum of 3 clock hours of
16    parent-teacher conferences held on the day immediately
17    following evening parent-teacher conferences, or (iii)
18    multiple parent-teacher conferences held in the evenings
19    following full days of student attendance, as specified in
20    subsection (F)(1)(c), in which the time used for the
21    parent-teacher conferences is equivalent to a minimum of 5
22    clock hours; and (2) when days in addition to those
23    provided in items (1) and (1.5) are scheduled by a school
24    pursuant to its school improvement plan adopted under
25    Article 34 or its revised or amended school improvement
26    plan adopted under Article 2, provided that (i) such

 

 

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1    sessions of 3 or more clock hours are scheduled to occur at
2    regular intervals, (ii) the remainder of the school days in
3    which such sessions occur are utilized for in-service
4    training programs or other staff development activities
5    for teachers, and (iii) a sufficient number of minutes of
6    school work under the direct supervision of teachers are
7    added to the school days between such regularly scheduled
8    sessions to accumulate not less than the number of minutes
9    by which such sessions of 3 or more clock hours fall short
10    of 5 clock hours. Any full days used for the purposes of
11    this paragraph shall not be considered for computing
12    average daily attendance. Days scheduled for in-service
13    training programs, staff development activities, or
14    parent-teacher conferences may be scheduled separately for
15    different grade levels and different attendance centers of
16    the district.
17        (e) A session of not less than one clock hour of
18    teaching hospitalized or homebound pupils on-site or by
19    telephone to the classroom may be counted as 1/2 day of
20    attendance, however these pupils must receive 4 or more
21    clock hours of instruction to be counted for a full day of
22    attendance.
23        (f) A session of at least 4 clock hours may be counted
24    as a day of attendance for first grade pupils, and pupils
25    in full day kindergartens, and a session of 2 or more hours
26    may be counted as 1/2 day of attendance by pupils in

 

 

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1    kindergartens which provide only 1/2 day of attendance.
2        (g) For children with disabilities who are below the
3    age of 6 years and who cannot attend 2 or more clock hours
4    because of their disability or immaturity, a session of not
5    less than one clock hour may be counted as 1/2 day of
6    attendance; however for such children whose educational
7    needs so require a session of 4 or more clock hours may be
8    counted as a full day of attendance.
9        (h) A recognized kindergarten which provides for only
10    1/2 day of attendance by each pupil shall not have more
11    than 1/2 day of attendance counted in any one day. However,
12    kindergartens may count 2 1/2 days of attendance in any 5
13    consecutive school days. When a pupil attends such a
14    kindergarten for 2 half days on any one school day, the
15    pupil shall have the following day as a day absent from
16    school, unless the school district obtains permission in
17    writing from the State Superintendent of Education.
18    Attendance at kindergartens which provide for a full day of
19    attendance by each pupil shall be counted the same as
20    attendance by first grade pupils. Only the first year of
21    attendance in one kindergarten shall be counted, except in
22    case of children who entered the kindergarten in their
23    fifth year whose educational development requires a second
24    year of kindergarten as determined under the rules and
25    regulations of the State Board of Education.
26        (i) On the days when the Prairie State Achievement

 

 

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1    Examination is administered under subsection (c) of
2    Section 2-3.64 of this Code, the day of attendance for a
3    pupil whose school day must be shortened to accommodate
4    required testing procedures may be less than 5 clock hours
5    and shall be counted towards the 176 days of actual pupil
6    attendance required under Section 10-19 of this Code,
7    provided that a sufficient number of minutes of school work
8    in excess of 5 clock hours are first completed on other
9    school days to compensate for the loss of school work on
10    the examination days.
11        (j) Pupils enrolled in a remote educational program
12    established under Section 10-29 of this Code may be counted
13    on the basis of one-fifth day of attendance for every clock
14    hour of instruction attended in the remote educational
15    program, provided that, in any month, the school district
16    may not claim for a student enrolled in a remote
17    educational program more days of attendance than the
18    maximum number of days of attendance the district can claim
19    (i) for students enrolled in a building holding year-round
20    classes if the student is classified as participating in
21    the remote educational program on a year-round schedule or
22    (ii) for students enrolled in a building not holding
23    year-round classes if the student is not classified as
24    participating in the remote educational program on a
25    year-round schedule.
 

 

 

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1(G) Equalized Assessed Valuation Data.
2    (1) For purposes of the calculation of Available Local
3Resources required pursuant to subsection (D), the State Board
4of Education shall secure from the Department of Revenue the
5value as equalized or assessed by the Department of Revenue of
6all taxable property of every school district, together with
7(i) the applicable tax rate used in extending taxes for the
8funds of the district as of September 30 of the previous year
9and (ii) the limiting rate for all school districts subject to
10property tax extension limitations as imposed under the
11Property Tax Extension Limitation Law.
12    The Department of Revenue shall add to the equalized
13assessed value of all taxable property of each school district
14situated entirely or partially within a county that is or was
15subject to the provisions of Section 15-176 or 15-177 of the
16Property Tax Code (a) an amount equal to the total amount by
17which the homestead exemption allowed under Section 15-176 or
1815-177 of the Property Tax Code for real property situated in
19that school district exceeds the total amount that would have
20been allowed in that school district if the maximum reduction
21under Section 15-176 was (i) $4,500 in Cook County or $3,500 in
22all other counties in tax year 2003 or (ii) $5,000 in all
23counties in tax year 2004 and thereafter and (b) an amount
24equal to the aggregate amount for the taxable year of all
25additional exemptions under Section 15-175 of the Property Tax
26Code for owners with a household income of $30,000 or less. The

 

 

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1county clerk of any county that is or was subject to the
2provisions of Section 15-176 or 15-177 of the Property Tax Code
3shall annually calculate and certify to the Department of
4Revenue for each school district all homestead exemption
5amounts under Section 15-176 or 15-177 of the Property Tax Code
6and all amounts of additional exemptions under Section 15-175
7of the Property Tax Code for owners with a household income of
8$30,000 or less. It is the intent of this paragraph that if the
9general homestead exemption for a parcel of property is
10determined under Section 15-176 or 15-177 of the Property Tax
11Code rather than Section 15-175, then the calculation of
12Available Local Resources shall not be affected by the
13difference, if any, between the amount of the general homestead
14exemption allowed for that parcel of property under Section
1515-176 or 15-177 of the Property Tax Code and the amount that
16would have been allowed had the general homestead exemption for
17that parcel of property been determined under Section 15-175 of
18the Property Tax Code. It is further the intent of this
19paragraph that if additional exemptions are allowed under
20Section 15-175 of the Property Tax Code for owners with a
21household income of less than $30,000, then the calculation of
22Available Local Resources shall not be affected by the
23difference, if any, because of those additional exemptions.
24    This equalized assessed valuation, as adjusted further by
25the requirements of this subsection, shall be utilized in the
26calculation of Available Local Resources.

 

 

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1    (2) The equalized assessed valuation in paragraph (1) shall
2be adjusted, as applicable, in the following manner:
3        (a) For the purposes of calculating State aid under
4    this Section, with respect to any part of a school district
5    within a redevelopment project area in respect to which a
6    municipality has adopted tax increment allocation
7    financing pursuant to the Tax Increment Allocation
8    Redevelopment Act, Sections 11-74.4-1 through 11-74.4-11
9    of the Illinois Municipal Code or the Industrial Jobs
10    Recovery Law, Sections 11-74.6-1 through 11-74.6-50 of the
11    Illinois Municipal Code, no part of the current equalized
12    assessed valuation of real property located in any such
13    project area which is attributable to an increase above the
14    total initial equalized assessed valuation of such
15    property shall be used as part of the equalized assessed
16    valuation of the district, until such time as all
17    redevelopment project costs have been paid, as provided in
18    Section 11-74.4-8 of the Tax Increment Allocation
19    Redevelopment Act or in Section 11-74.6-35 of the
20    Industrial Jobs Recovery Law. For the purpose of the
21    equalized assessed valuation of the district, the total
22    initial equalized assessed valuation or the current
23    equalized assessed valuation, whichever is lower, shall be
24    used until such time as all redevelopment project costs
25    have been paid.
26        (b) The real property equalized assessed valuation for

 

 

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1    a school district shall be adjusted by subtracting from the
2    real property value as equalized or assessed by the
3    Department of Revenue for the district an amount computed
4    by dividing the amount of any abatement of taxes under
5    Section 18-170 of the Property Tax Code by 3.00% for a
6    district maintaining grades kindergarten through 12, by
7    2.30% for a district maintaining grades kindergarten
8    through 8, or by 1.05% for a district maintaining grades 9
9    through 12 and adjusted by an amount computed by dividing
10    the amount of any abatement of taxes under subsection (a)
11    of Section 18-165 of the Property Tax Code by the same
12    percentage rates for district type as specified in this
13    subparagraph (b).
14    (3) For the 1999-2000 school year and each school year
15thereafter, if a school district meets all of the criteria of
16this subsection (G)(3), the school district's Available Local
17Resources shall be calculated under subsection (D) using the
18district's Extension Limitation Equalized Assessed Valuation
19as calculated under this subsection (G)(3).
20    For purposes of this subsection (G)(3) the following terms
21shall have the following meanings:
22        "Budget Year": The school year for which general State
23    aid is calculated and awarded under subsection (E).
24        "Base Tax Year": The property tax levy year used to
25    calculate the Budget Year allocation of general State aid.
26        "Preceding Tax Year": The property tax levy year

 

 

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1    immediately preceding the Base Tax Year.
2        "Base Tax Year's Tax Extension": The product of the
3    equalized assessed valuation utilized by the County Clerk
4    in the Base Tax Year multiplied by the limiting rate as
5    calculated by the County Clerk and defined in the Property
6    Tax Extension Limitation Law.
7        "Preceding Tax Year's Tax Extension": The product of
8    the equalized assessed valuation utilized by the County
9    Clerk in the Preceding Tax Year multiplied by the Operating
10    Tax Rate as defined in subsection (A).
11        "Extension Limitation Ratio": A numerical ratio,
12    certified by the County Clerk, in which the numerator is
13    the Base Tax Year's Tax Extension and the denominator is
14    the Preceding Tax Year's Tax Extension.
15        "Operating Tax Rate": The operating tax rate as defined
16    in subsection (A).
17    If a school district is subject to property tax extension
18limitations as imposed under the Property Tax Extension
19Limitation Law, the State Board of Education shall calculate
20the Extension Limitation Equalized Assessed Valuation of that
21district. For the 1999-2000 school year, the Extension
22Limitation Equalized Assessed Valuation of a school district as
23calculated by the State Board of Education shall be equal to
24the product of the district's 1996 Equalized Assessed Valuation
25and the district's Extension Limitation Ratio. Except as
26otherwise provided in this paragraph for a school district that

 

 

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1has approved or does approve an increase in its limiting rate,
2for the 2000-2001 school year and each school year thereafter,
3the Extension Limitation Equalized Assessed Valuation of a
4school district as calculated by the State Board of Education
5shall be equal to the product of the Equalized Assessed
6Valuation last used in the calculation of general State aid and
7the district's Extension Limitation Ratio. If the Extension
8Limitation Equalized Assessed Valuation of a school district as
9calculated under this subsection (G)(3) is less than the
10district's equalized assessed valuation as calculated pursuant
11to subsections (G)(1) and (G)(2), then for purposes of
12calculating the district's general State aid for the Budget
13Year pursuant to subsection (E), that Extension Limitation
14Equalized Assessed Valuation shall be utilized to calculate the
15district's Available Local Resources under subsection (D). For
16the 2009-2010 school year and each school year thereafter, if a
17school district has approved or does approve an increase in its
18limiting rate, pursuant to Section 18-190 of the Property Tax
19Code, affecting the Base Tax Year, the Extension Limitation
20Equalized Assessed Valuation of the school district, as
21calculated by the State Board of Education, shall be equal to
22the product of the Equalized Assessed Valuation last used in
23the calculation of general State aid times an amount equal to
24one plus the percentage increase, if any, in the Consumer Price
25Index for all Urban Consumers for all items published by the
26United States Department of Labor for the 12-month calendar

 

 

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1year preceding the Base Tax Year, plus the Equalized Assessed
2Valuation of new property, annexed property, and recovered tax
3increment value and minus the Equalized Assessed Valuation of
4disconnected property. New property and recovered tax
5increment value shall have the meanings set forth in the
6Property Tax Extension Limitation Law.
7    Partial elementary unit districts created in accordance
8with Article 11E of this Code shall not be eligible for the
9adjustment in this subsection (G)(3) until the fifth year
10following the effective date of the reorganization.
11    (3.5) For the 2010-2011 school year and each school year
12thereafter, if a school district's boundaries span multiple
13counties, then the Department of Revenue shall send to the
14State Board of Education, for the purpose of calculating
15general State aid, the limiting rate and individual rates by
16purpose for the county that contains the majority of the school
17district's Equalized Assessed Valuation.
18    (4) For the purposes of calculating general State aid for
19the 1999-2000 school year only, if a school district
20experienced a triennial reassessment on the equalized assessed
21valuation used in calculating its general State financial aid
22apportionment for the 1998-1999 school year, the State Board of
23Education shall calculate the Extension Limitation Equalized
24Assessed Valuation that would have been used to calculate the
25district's 1998-1999 general State aid. This amount shall equal
26the product of the equalized assessed valuation used to

 

 

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1calculate general State aid for the 1997-1998 school year and
2the district's Extension Limitation Ratio. If the Extension
3Limitation Equalized Assessed Valuation of the school district
4as calculated under this paragraph (4) is less than the
5district's equalized assessed valuation utilized in
6calculating the district's 1998-1999 general State aid
7allocation, then for purposes of calculating the district's
8general State aid pursuant to paragraph (5) of subsection (E),
9that Extension Limitation Equalized Assessed Valuation shall
10be utilized to calculate the district's Available Local
11Resources.
12    (5) For school districts having a majority of their
13equalized assessed valuation in any county except Cook, DuPage,
14Kane, Lake, McHenry, or Will, if the amount of general State
15aid allocated to the school district for the 1999-2000 school
16year under the provisions of subsection (E), (H), and (J) of
17this Section is less than the amount of general State aid
18allocated to the district for the 1998-1999 school year under
19these subsections, then the general State aid of the district
20for the 1999-2000 school year only shall be increased by the
21difference between these amounts. The total payments made under
22this paragraph (5) shall not exceed $14,000,000. Claims shall
23be prorated if they exceed $14,000,000.
 
24(H) Supplemental General State Aid.
25    (1) In addition to the general State aid a school district

 

 

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1is allotted pursuant to subsection (E), qualifying school
2districts shall receive a grant, paid in conjunction with a
3district's payments of general State aid, for supplemental
4general State aid based upon the concentration level of
5children from low-income households within the school
6district. Supplemental State aid grants provided for school
7districts under this subsection shall be appropriated for
8distribution to school districts as part of the same line item
9in which the general State financial aid of school districts is
10appropriated under this Section.
11    (1.5) This paragraph (1.5) applies only to those school
12years preceding the 2003-2004 school year. For purposes of this
13subsection (H), the term "Low-Income Concentration Level"
14shall be the low-income eligible pupil count from the most
15recently available federal census divided by the Average Daily
16Attendance of the school district. If, however, (i) the
17percentage decrease from the 2 most recent federal censuses in
18the low-income eligible pupil count of a high school district
19with fewer than 400 students exceeds by 75% or more the
20percentage change in the total low-income eligible pupil count
21of contiguous elementary school districts, whose boundaries
22are coterminous with the high school district, or (ii) a high
23school district within 2 counties and serving 5 elementary
24school districts, whose boundaries are coterminous with the
25high school district, has a percentage decrease from the 2 most
26recent federal censuses in the low-income eligible pupil count

 

 

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1and there is a percentage increase in the total low-income
2eligible pupil count of a majority of the elementary school
3districts in excess of 50% from the 2 most recent federal
4censuses, then the high school district's low-income eligible
5pupil count from the earlier federal census shall be the number
6used as the low-income eligible pupil count for the high school
7district, for purposes of this subsection (H). The changes made
8to this paragraph (1) by Public Act 92-28 shall apply to
9supplemental general State aid grants for school years
10preceding the 2003-2004 school year that are paid in fiscal
11year 1999 or thereafter and to any State aid payments made in
12fiscal year 1994 through fiscal year 1998 pursuant to
13subsection 1(n) of Section 18-8 of this Code (which was
14repealed on July 1, 1998), and any high school district that is
15affected by Public Act 92-28 is entitled to a recomputation of
16its supplemental general State aid grant or State aid paid in
17any of those fiscal years. This recomputation shall not be
18affected by any other funding.
19    (1.10) This paragraph (1.10) applies to the 2003-2004
20school year and each school year thereafter through the
212013-2014 school year. For purposes of this subsection (H), the
22term "Low-Income Concentration Level" shall, for each fiscal
23year, be the low-income eligible pupil count as of July 1 of
24the immediately preceding fiscal year (as determined by the
25Department of Human Services based on the number of pupils who
26are eligible for at least one of the following low income

 

 

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1programs: Medicaid, the Children's Health Insurance Program,
2TANF, or Food Stamps, excluding pupils who are eligible for
3services provided by the Department of Children and Family
4Services, averaged over the 2 immediately preceding fiscal
5years for fiscal year 2004 and over the 3 immediately preceding
6fiscal years for each fiscal year thereafter) divided by the
7Average Daily Attendance of the school district.
8    (2) Supplemental general State aid pursuant to this
9subsection (H) shall be provided as follows for the 1998-1999,
101999-2000, and 2000-2001 school years only:
11        (a) For any school district with a Low Income
12    Concentration Level of at least 20% and less than 35%, the
13    grant for any school year shall be $800 multiplied by the
14    low income eligible pupil count.
15        (b) For any school district with a Low Income
16    Concentration Level of at least 35% and less than 50%, the
17    grant for the 1998-1999 school year shall be $1,100
18    multiplied by the low income eligible pupil count.
19        (c) For any school district with a Low Income
20    Concentration Level of at least 50% and less than 60%, the
21    grant for the 1998-99 school year shall be $1,500
22    multiplied by the low income eligible pupil count.
23        (d) For any school district with a Low Income
24    Concentration Level of 60% or more, the grant for the
25    1998-99 school year shall be $1,900 multiplied by the low
26    income eligible pupil count.

 

 

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1        (e) For the 1999-2000 school year, the per pupil amount
2    specified in subparagraphs (b), (c), and (d) immediately
3    above shall be increased to $1,243, $1,600, and $2,000,
4    respectively.
5        (f) For the 2000-2001 school year, the per pupil
6    amounts specified in subparagraphs (b), (c), and (d)
7    immediately above shall be $1,273, $1,640, and $2,050,
8    respectively.
9    (2.5) Supplemental general State aid pursuant to this
10subsection (H) shall be provided as follows for the 2002-2003
11school year:
12        (a) For any school district with a Low Income
13    Concentration Level of less than 10%, the grant for each
14    school year shall be $355 multiplied by the low income
15    eligible pupil count.
16        (b) For any school district with a Low Income
17    Concentration Level of at least 10% and less than 20%, the
18    grant for each school year shall be $675 multiplied by the
19    low income eligible pupil count.
20        (c) For any school district with a Low Income
21    Concentration Level of at least 20% and less than 35%, the
22    grant for each school year shall be $1,330 multiplied by
23    the low income eligible pupil count.
24        (d) For any school district with a Low Income
25    Concentration Level of at least 35% and less than 50%, the
26    grant for each school year shall be $1,362 multiplied by

 

 

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1    the low income eligible pupil count.
2        (e) For any school district with a Low Income
3    Concentration Level of at least 50% and less than 60%, the
4    grant for each school year shall be $1,680 multiplied by
5    the low income eligible pupil count.
6        (f) For any school district with a Low Income
7    Concentration Level of 60% or more, the grant for each
8    school year shall be $2,080 multiplied by the low income
9    eligible pupil count.
10    (2.10) Except as otherwise provided, supplemental general
11State aid pursuant to this subsection (H) shall be provided as
12follows for the 2003-2004 school year and each school year
13thereafter:
14        (a) For any school district with a Low Income
15    Concentration Level of 15% or less, the grant for each
16    school year shall be $355 multiplied by the low income
17    eligible pupil count.
18        (b) For any school district with a Low Income
19    Concentration Level greater than 15%, the grant for each
20    school year shall be $294.25 added to the product of $2,700
21    and the square of the Low Income Concentration Level, all
22    multiplied by the low income eligible pupil count.
23    For the 2003-2004 school year and each school year
24thereafter through the 2008-2009 school year only, the grant
25shall be no less than the grant for the 2002-2003 school year.
26For the 2009-2010 school year only, the grant shall be no less

 

 

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1than the grant for the 2002-2003 school year multiplied by
20.66. For the 2010-2011 school year only, the grant shall be no
3less than the grant for the 2002-2003 school year multiplied by
40.33. Notwithstanding the provisions of this paragraph to the
5contrary, if for any school year supplemental general State aid
6grants are prorated as provided in paragraph (1) of this
7subsection (H), then the grants under this paragraph shall be
8prorated.
9    For the 2003-2004 school year only, the grant shall be no
10greater than the grant received during the 2002-2003 school
11year added to the product of 0.25 multiplied by the difference
12between the grant amount calculated under subsection (a) or (b)
13of this paragraph (2.10), whichever is applicable, and the
14grant received during the 2002-2003 school year. For the
152004-2005 school year only, the grant shall be no greater than
16the grant received during the 2002-2003 school year added to
17the product of 0.50 multiplied by the difference between the
18grant amount calculated under subsection (a) or (b) of this
19paragraph (2.10), whichever is applicable, and the grant
20received during the 2002-2003 school year. For the 2005-2006
21school year only, the grant shall be no greater than the grant
22received during the 2002-2003 school year added to the product
23of 0.75 multiplied by the difference between the grant amount
24calculated under subsection (a) or (b) of this paragraph
25(2.10), whichever is applicable, and the grant received during
26the 2002-2003 school year.

 

 

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1    (3) School districts with an Average Daily Attendance of
2more than 1,000 and less than 50,000 that qualify for
3supplemental general State aid pursuant to this subsection
4shall submit a plan to the State Board of Education prior to
5October 30 of each year for the use of the funds resulting from
6this grant of supplemental general State aid for the
7improvement of instruction in which priority is given to
8meeting the education needs of disadvantaged children. Such
9plan shall be submitted in accordance with rules and
10regulations promulgated by the State Board of Education.
11    (4) School districts with an Average Daily Attendance of
1250,000 or more that qualify for supplemental general State aid
13pursuant to this subsection shall be required to distribute
14from funds available pursuant to this Section, no less than
15$261,000,000 in accordance with the following requirements:
16        (a) The required amounts shall be distributed to the
17    attendance centers within the district in proportion to the
18    number of pupils enrolled at each attendance center who are
19    eligible to receive free or reduced-price lunches or
20    breakfasts under the federal Child Nutrition Act of 1966
21    and under the National School Lunch Act during the
22    immediately preceding school year.
23        (b) The distribution of these portions of supplemental
24    and general State aid among attendance centers according to
25    these requirements shall not be compensated for or
26    contravened by adjustments of the total of other funds

 

 

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1    appropriated to any attendance centers, and the Board of
2    Education shall utilize funding from one or several sources
3    in order to fully implement this provision annually prior
4    to the opening of school.
5        (c) Each attendance center shall be provided by the
6    school district a distribution of noncategorical funds and
7    other categorical funds to which an attendance center is
8    entitled under law in order that the general State aid and
9    supplemental general State aid provided by application of
10    this subsection supplements rather than supplants the
11    noncategorical funds and other categorical funds provided
12    by the school district to the attendance centers.
13        (d) Any funds made available under this subsection that
14    by reason of the provisions of this subsection are not
15    required to be allocated and provided to attendance centers
16    may be used and appropriated by the board of the district
17    for any lawful school purpose.
18        (e) Funds received by an attendance center pursuant to
19    this subsection shall be used by the attendance center at
20    the discretion of the principal and local school council
21    for programs to improve educational opportunities at
22    qualifying schools through the following programs and
23    services: early childhood education, reduced class size or
24    improved adult to student classroom ratio, enrichment
25    programs, remedial assistance, attendance improvement, and
26    other educationally beneficial expenditures which

 

 

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1    supplement the regular and basic programs as determined by
2    the State Board of Education. Funds provided shall not be
3    expended for any political or lobbying purposes as defined
4    by board rule.
5        (f) Each district subject to the provisions of this
6    subdivision (H)(4) shall submit an acceptable plan to meet
7    the educational needs of disadvantaged children, in
8    compliance with the requirements of this paragraph, to the
9    State Board of Education prior to July 15 of each year.
10    This plan shall be consistent with the decisions of local
11    school councils concerning the school expenditure plans
12    developed in accordance with part 4 of Section 34-2.3. The
13    State Board shall approve or reject the plan within 60 days
14    after its submission. If the plan is rejected, the district
15    shall give written notice of intent to modify the plan
16    within 15 days of the notification of rejection and then
17    submit a modified plan within 30 days after the date of the
18    written notice of intent to modify. Districts may amend
19    approved plans pursuant to rules promulgated by the State
20    Board of Education.
21        Upon notification by the State Board of Education that
22    the district has not submitted a plan prior to July 15 or a
23    modified plan within the time period specified herein, the
24    State aid funds affected by that plan or modified plan
25    shall be withheld by the State Board of Education until a
26    plan or modified plan is submitted.

 

 

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1        If the district fails to distribute State aid to
2    attendance centers in accordance with an approved plan, the
3    plan for the following year shall allocate funds, in
4    addition to the funds otherwise required by this
5    subsection, to those attendance centers which were
6    underfunded during the previous year in amounts equal to
7    such underfunding.
8        For purposes of determining compliance with this
9    subsection in relation to the requirements of attendance
10    center funding, each district subject to the provisions of
11    this subsection shall submit as a separate document by
12    December 1 of each year a report of expenditure data for
13    the prior year in addition to any modification of its
14    current plan. If it is determined that there has been a
15    failure to comply with the expenditure provisions of this
16    subsection regarding contravention or supplanting, the
17    State Superintendent of Education shall, within 60 days of
18    receipt of the report, notify the district and any affected
19    local school council. The district shall within 45 days of
20    receipt of that notification inform the State
21    Superintendent of Education of the remedial or corrective
22    action to be taken, whether by amendment of the current
23    plan, if feasible, or by adjustment in the plan for the
24    following year. Failure to provide the expenditure report
25    or the notification of remedial or corrective action in a
26    timely manner shall result in a withholding of the affected

 

 

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1    funds.
2        The State Board of Education shall promulgate rules and
3    regulations to implement the provisions of this
4    subsection. No funds shall be released under this
5    subdivision (H)(4) to any district that has not submitted a
6    plan that has been approved by the State Board of
7    Education.
 
8(I) (Blank).
 
9(J) (Blank).
 
10(K) Grants to Laboratory and Alternative Schools.
11    In calculating the amount to be paid to the governing board
12of a public university that operates a laboratory school under
13this Section or to any alternative school that is operated by a
14regional superintendent of schools, the State Board of
15Education shall require by rule such reporting requirements as
16it deems necessary.
17    As used in this Section, "laboratory school" means a public
18school which is created and operated by a public university and
19approved by the State Board of Education. The governing board
20of a public university which receives funds from the State
21Board under this subsection (K) or subsection (i) of Section
2218-8.15 of this Code may not increase the number of students
23enrolled in its laboratory school from a single district, if

 

 

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1that district is already sending 50 or more students, except
2under a mutual agreement between the school board of a
3student's district of residence and the university which
4operates the laboratory school. A laboratory school may not
5have more than 1,000 students, excluding students with
6disabilities in a special education program.
7    As used in this Section, "alternative school" means a
8public school which is created and operated by a Regional
9Superintendent of Schools and approved by the State Board of
10Education. Such alternative schools may offer courses of
11instruction for which credit is given in regular school
12programs, courses to prepare students for the high school
13equivalency testing program or vocational and occupational
14training. A regional superintendent of schools may contract
15with a school district or a public community college district
16to operate an alternative school. An alternative school serving
17more than one educational service region may be established by
18the regional superintendents of schools of the affected
19educational service regions. An alternative school serving
20more than one educational service region may be operated under
21such terms as the regional superintendents of schools of those
22educational service regions may agree.
23    Each laboratory and alternative school shall file, on forms
24provided by the State Superintendent of Education, an annual
25State aid claim which states the Average Daily Attendance of
26the school's students by month. The best 3 months' Average

 

 

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1Daily Attendance shall be computed for each school. The general
2State aid entitlement shall be computed by multiplying the
3applicable Average Daily Attendance by the Foundation Level as
4determined under this Section.
 
5(L) Payments, Additional Grants in Aid and Other Requirements.
6    (1) For a school district operating under the financial
7supervision of an Authority created under Article 34A, the
8general State aid otherwise payable to that district under this
9Section, but not the supplemental general State aid, shall be
10reduced by an amount equal to the budget for the operations of
11the Authority as certified by the Authority to the State Board
12of Education, and an amount equal to such reduction shall be
13paid to the Authority created for such district for its
14operating expenses in the manner provided in Section 18-11. The
15remainder of general State school aid for any such district
16shall be paid in accordance with Article 34A when that Article
17provides for a disposition other than that provided by this
18Article.
19    (2) (Blank).
20    (3) Summer school. Summer school payments shall be made as
21provided in Section 18-4.3.
 
22(M) Education Funding Advisory Board.
23    The Education Funding Advisory Board, hereinafter in this
24subsection (M) referred to as the "Board", is hereby created.

 

 

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1The Board shall consist of 5 members who are appointed by the
2Governor, by and with the advice and consent of the Senate. The
3members appointed shall include representatives of education,
4business, and the general public. One of the members so
5appointed shall be designated by the Governor at the time the
6appointment is made as the chairperson of the Board. The
7initial members of the Board may be appointed any time after
8the effective date of this amendatory Act of 1997. The regular
9term of each member of the Board shall be for 4 years from the
10third Monday of January of the year in which the term of the
11member's appointment is to commence, except that of the 5
12initial members appointed to serve on the Board, the member who
13is appointed as the chairperson shall serve for a term that
14commences on the date of his or her appointment and expires on
15the third Monday of January, 2002, and the remaining 4 members,
16by lots drawn at the first meeting of the Board that is held
17after all 5 members are appointed, shall determine 2 of their
18number to serve for terms that commence on the date of their
19respective appointments and expire on the third Monday of
20January, 2001, and 2 of their number to serve for terms that
21commence on the date of their respective appointments and
22expire on the third Monday of January, 2000. All members
23appointed to serve on the Board shall serve until their
24respective successors are appointed and confirmed. Vacancies
25shall be filled in the same manner as original appointments. If
26a vacancy in membership occurs at a time when the Senate is not

 

 

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1in session, the Governor shall make a temporary appointment
2until the next meeting of the Senate, when he or she shall
3appoint, by and with the advice and consent of the Senate, a
4person to fill that membership for the unexpired term. If the
5Senate is not in session when the initial appointments are
6made, those appointments shall be made as in the case of
7vacancies.
8    The Education Funding Advisory Board shall be deemed
9established, and the initial members appointed by the Governor
10to serve as members of the Board shall take office, on the date
11that the Governor makes his or her appointment of the fifth
12initial member of the Board, whether those initial members are
13then serving pursuant to appointment and confirmation or
14pursuant to temporary appointments that are made by the
15Governor as in the case of vacancies.
16    The State Board of Education shall provide such staff
17assistance to the Education Funding Advisory Board as is
18reasonably required for the proper performance by the Board of
19its responsibilities.
20    For school years after the 2000-2001 school year through
21the 2013-2014 school year, the Education Funding Advisory
22Board, in consultation with the State Board of Education, shall
23make recommendations as provided in this subsection (M) to the
24General Assembly for the foundation level under subdivision
25(B)(3) of this Section and for the supplemental general State
26aid grant level under subsection (H) of this Section for

 

 

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1districts with high concentrations of children from poverty.
2The recommended foundation level shall be determined based on a
3methodology which incorporates the basic education
4expenditures of low-spending schools exhibiting high academic
5performance. The Education Funding Advisory Board shall make
6such recommendations to the General Assembly on January 1 of
7odd numbered years, beginning January 1, 2001. After the
82013-2014 school year, the Education Funding Advisory Board
9shall make recommendations pursuant to subsection (k) of
10Section 18-8.15 of this Code.
 
11(N) (Blank).
 
12(O) References.
13    (1) References in other laws to the various subdivisions of
14Section 18-8 as that Section existed before its repeal and
15replacement by this Section 18-8.05 shall be deemed to refer to
16the corresponding provisions of this Section 18-8.05, to the
17extent that those references remain applicable.
18    (2) References in other laws to State Chapter 1 funds shall
19be deemed to refer to the supplemental general State aid
20provided under subsection (H) of this Section.
 
21(P) Public Act 93-838 and Public Act 93-808 make inconsistent
22changes to this Section. Under Section 6 of the Statute on
23Statutes there is an irreconcilable conflict between Public Act

 

 

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193-808 and Public Act 93-838. Public Act 93-838, being the last
2acted upon, is controlling. The text of Public Act 93-838 is
3the law regardless of the text of Public Act 93-808.
4(Source: P.A. 96-45, eff. 7-15-09; 96-152, eff. 8-7-09; 96-300,
5eff. 8-11-09; 96-328, eff. 8-11-09; 96-640, eff. 8-24-09;
696-959, eff. 7-1-10; 96-1000, eff. 7-2-10; 96-1480, eff.
711-18-10; 97-339, eff. 8-12-11; 97-351, eff. 8-12-11; 97-742,
8eff. 6-30-13; 97-813, eff. 7-13-12.)
 
9    (105 ILCS 5/18-8.10)
10    Sec. 18-8.10. Fast growth grants.
11    (a) If there has been an increase in a school district's
12student population over the most recent 2 school years of (i)
13over 1.5% in a district with over 10,000 pupils in average
14daily attendance (as defined in Section 18-8.05 or 18-8.15 of
15this Code) or (ii) over 7.5% in any other district, then the
16district is eligible for a grant under this Section, subject to
17appropriation.
18    (b) The State Board of Education shall determine a per
19pupil grant amount for each school district. The total grant
20amount for a district for any given school year shall equal the
21per pupil grant amount multiplied by the difference between the
22number of pupils in average daily attendance for the 2 most
23recent school years.
24    (c) Funds for grants under this Section must be
25appropriated to the State Board of Education in a separate line

 

 

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1item for this purpose. If the amount appropriated in any fiscal
2year is insufficient to pay all grants for a school year, then
3the amount appropriated shall be prorated among eligible
4districts. As soon as possible after funds have been
5appropriated to the State Board of Education, the State Board
6of Education shall distribute the grants to eligible districts.
7    (d) If a school district intentionally reports incorrect
8average daily attendance numbers to receive a grant under this
9Section, then the district shall be denied State aid in the
10same manner as State aid is denied for intentional incorrect
11reporting of average daily attendance numbers under Section
1218-8.05 or 18-8.15 of this Code.
13(Source: P.A. 93-1042, eff. 10-8-04.)
 
14    (105 ILCS 5/18-8.15 new)
15    Sec. 18-8.15. Basis for apportionment of primary State
16financial aid to the common schools for the 2014-2015 and
17subsequent school years.
18    (a) General provisions.
19    (1) The provisions of this Section apply to the 2014-2015
20and subsequent school years. The system of primary State
21financial aid provided for in this Section is designed to
22ensure that, through a combination of State financial aid and
23required local resources, the financial support provided each
24pupil in attendance equals or exceeds a prescribed per pupil
25Foundation Level, with adjustments to the Foundation Level

 

 

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1based on each school district's pupil characteristics. This
2formula approach imputes a level of per pupil Available Local
3Resources and provides for the basis to calculate a per pupil
4level of primary State financial aid that, when added to
5Available Local Resources, equals or exceeds the Foundation
6Level. The amount of per pupil primary State financial aid for
7school districts, in general, varies in inverse relation to
8Available Local Resources.
9    (2) To address increases and decreases in State funding
10resulting from this amendatory Act of the 98th General
11Assembly, the amount of primary State aid provided to a school
12district shall be subject to adjustment as provided in
13subsection (h) of this Section. Any supplemental grants
14provided for school districts under subsection (h) of this
15Section shall be appropriated for distribution to school
16districts as part of the same line item in which the primary
17State financial aid of school districts is appropriated under
18this Section.
19    (3) To receive financial assistance under this Section,
20school districts are required to file claims with the State
21Board of Education, subject to the following requirements:
22        (A) Any school district that fails, for any given
23    school year, to maintain school as required by law or to
24    maintain a recognized school is not eligible to receive
25    financial assistance under this Section. In case of
26    non-recognition of one or more attendance centers in a

 

 

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1    school district otherwise operating recognized schools,
2    the claim of the district shall be reduced in the
3    proportion that the enrollment in the attendance center or
4    centers bears to the enrollment in the school district. A
5    "recognized school" means any public school that meets the
6    standards established for recognition by the State Board of
7    Education. A school district or attendance center not
8    having recognition status at the end of a school term is
9    entitled to receive State aid payments due upon a legal
10    claim that was filed while it was recognized.
11        (B) School district claims filed under this Section are
12    subject to Sections 18-9 and 18-12 of this Code, except as
13    otherwise provided in this Section.
14        (C) If a school district operates a full-year school
15    under Section 10-19.1 of this Code, the primary State aid
16    to the school district shall be determined by the State
17    Board of Education in accordance with this Section as near
18    as may be applicable.
19    (4) Subject to the requirements of subsection (j) of this
20Section, the school board of any district receiving any of the
21grants provided for in this Section may apply those funds to
22any fund so received for which that school board is authorized
23to make expenditures by law.
24    (5) As used in this Section, the following terms, when
25capitalized, shall have the meanings ascribed in this paragraph
26(5):

 

 

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1    "Additional Weight" means a number added to 1.0 to
2calculate the District Weighted Average in accordance with
3subsection (b) of this Section. Each Additional Weight is
4calculated using the Weighting Factors and Weighting
5Percentages in paragraph (5) of subsection (b) of this Section.
6    "Adjusted Flat Grant Level" means, for each school district
7not subject to property tax extension limitations as imposed
8under the Property Tax Extension Limitation Law, the Flat Grant
9Level multiplied by the percentage, if any, of which the school
10district's combined tax rate for educational and operations and
11maintenance purposes is of the maximum combined tax rates for
12educational and operations and maintenance purposes specified
13for that type of school district under Section 17-2 of this
14Code. For a school district subject to property tax extension
15limitations as imposed under the Property Tax Extension
16Limitation Law or a school district whose combined tax rate for
17educational and operations and maintenance purposes is at least
18the maximum combined tax rates for educational and operations
19and maintenance purposes specified for that type of school
20district under Section 17-2 of this Code, the Adjusted Flat
21Grant Level is equal to the Flat Grant Level.
22    "Advanced Standing Pupil" means a pupil in grades 9 through
2312, other than a pupil counted as a Career Pathway Completer,
24that has completed (i) one or more Advanced Placement courses
25and received a score of 3 or higher on an Advanced Placement
26examination or (ii) a course providing dual credit through an

 

 

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1Illinois public community college or university in which the
2student was awarded at least 3 credit hours of postsecondary
3education credit.
4    "Alternative School" means a public school that is created
5and operated by a regional superintendent of schools and
6approved by the State Board of Education.
7    "Available Local Resources Per Pupil" means a computation
8of local financial support, calculated on the basis of Average
9Daily Attendance and derived as provided pursuant to subsection
10(d) of this Section.
11    "Average Daily Attendance" or "ADA" means the count of
12pupils in attendance derived as provided pursuant to subsection
13(c) of this Section.
14    "Base Tax Year" means the property tax levy year used to
15calculate the Budget Year allocation of primary State aid.
16    "Base Tax Year's Extension" means the product of the
17equalized assessed valuation utilized by the county clerk in
18the Base Tax Year multiplied by the limiting rate as calculated
19by the county clerk and defined in the Property Tax Extension
20Limitation Law.
21    "Budget Year" means the school year for which primary State
22aid is calculated and awarded under subsection (e) of this
23Section.
24    "Career Pathway Completer" means a pupil that has graduated
25from high school and completed a series of connected education
26and training strategies and support services meeting the

 

 

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1requirements of this definition and other requirements
2established by the State Board of Education that enable
3individuals to secure industry-relevant credentials and
4degrees and obtain employment within an occupational area and
5to advance to higher levels of future education and employment
6in that area. Career pathway programs must incorporate (i)
7rigorous academics that prepare students for success in
8community colleges and universities, as well as in
9apprenticeship and other postsecondary programs; (ii)
10career-based learning through a cluster of 3 or more courses
11emphasizing the practical application of academic learning and
12preparing students for employment in high skill occupational
13areas; (iii) professional learning, via job shadowing,
14apprenticeships, internships, or other professional
15skill-building opportunities; (iv) support services that
16include academic and career counseling; and (v) opportunities
17for attainment of stackable, industry-relevant credentials and
18degrees.
19    "Corporate Personal Property Replacement Taxes" means
20funds paid to school districts pursuant to "An Act in relation
21to the abolition of ad valorem personal property tax and the
22replacement of revenues lost thereby, and amending and
23repealing certain Acts and parts of Acts in connection
24therewith", certified August 14, 1979, as amended (Public Act
2581-1st S.S.-1).
26    "District Weighted Average" means a figure used to derive a

 

 

09800SB0016sam002- 315 -LRB098 04277 NHT 59066 a

1school district's Per-pupil Aid level, calculated pursuant to
2subsection (b) of this Section.
3    "Extension Limitation Equalized Assessed Valuation" means
4a figure calculated by the State Board of Education pursuant to
5paragraph (3) of subsection (h) of this Section for school
6districts subject to property tax extension limitations as
7imposed under the Property Tax Extension Limitation Law.
8    "Extension Limitation Ratio" means a numerical ratio in
9which the numerator is the Base Tax Year's Extension and the
10denominator is the Preceding Tax Year's Tax Extension.
11    "Flat Grant Level" means a dollar amount equal to 3.5% of
12the Foundation Level.
13    "Foundation Level" means a prescribed level of per pupil
14financial support, as provided for in subsection (b) of this
15Section.
16    "Gifted Pupil" means a pupil in kindergarten through grade
178 receiving services through a program for gifted and talented
18children that has been approved by a school board and that is
19described on a school district's Internet website.
20    "Hold Harmless State Funding" means the amount of State
21funds allotted to a school district during the 2013-2014 school
22year pursuant to the following Sections of this Code, as
23calculated by the State Board of Education: Sections 18-8.05;
2414-7.02b; 14-7.03, but only with respect to reimbursement for
25children from foster family homes; 14-13.01, except for
26reimbursement of the cost of transportation pursuant to that

 

 

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1Section; 14C-12; 18-4.3; and 29-5. For a school district
2organized under Article 34 of this Code, "Hold Harmless State
3Funding" also includes the funds allotted to the school
4district pursuant to Section 1D-1 of this Code attributable to
5funding programs authorized by the Sections of this Code listed
6in this definition.
7    "Laboratory School" means a public school that is created
8and operated by a public university and approved by the State
9Board of Education.
10    "Low-income Pupil" means a pupil from a household with a
11household income level at or below 185% of the poverty
12guidelines updated periodically in the Federal Register by the
13U.S. Department of Health and Human Services under the
14authority of 42 U.S.C. 9902(2).
15    "Normal Pension Costs" means the present value of pension
16plan benefits and expenses allocated to a valuation year by an
17actuarial cost method for the Public School Teachers' Pension
18and Retirement Fund of Chicago.
19    "Operating Tax Rate" means all school district property
20taxes extended for all purposes, except bond and interest,
21summer school, rent, capital improvement, and vocational
22education building purposes.
23    "Per-pupil Aid" means a school district's Weighted
24Foundation Level less its Available Local Resources Per Pupil.
25    "Preceding Tax Year" means the property tax levy year
26immediately preceding the Base Tax Year.

 

 

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1    "Preceding Tax Year's Tax Extension" means the product of
2the equalized assessed valuation utilized by the county clerk
3in the Preceding Tax Year multiplied by the Operating Tax Rate.
4    "Prior Year ADA" means the number of pupils within the
5count of pupils in attendance used for Average Daily Attendance
6calculations for the school year immediately preceding the
7school year for which primary State aid is calculated and
8awarded under subsection (e) of this Section.
9    "PTELL PSA Adjustment" means the amount of primary State
10aid a school district would receive under subsection (e) of
11this Section if the Extension Limitation Equalized Assessed
12Valuation was used for calculating the school district's
13primary State aid for the Budget Year instead of the district's
14equalized assessed valuation as calculated pursuant to
15paragraphs (1) and (2) of subsection (g) of this Section.
16    "Pupil of Limited English-speaking Ability" means a child
17of limited English-speaking ability, as defined in Section
1814C-2 of this Code, participating in a program of transitional
19bilingual education or a transitional program of instruction
20meeting the requirements of Article 14C of this Code.
21    "Regular Transportation Eligible Pupil" means a pupil,
22other than a Vocational Transportation Pupil, meeting the
23fiscal year 2014 eligibility requirements for reimbursement of
24transportation costs under Section 29-5 of this Code.
25    "Special Education Summer School Pupil" means a child with
26disabilities participating in a summer school program meeting

 

 

09800SB0016sam002- 318 -LRB098 04277 NHT 59066 a

1the fiscal year 2014 eligibility requirements for a summer
2school grant under Section 18-4.3 of this Code.
3    "Total Primary State Aid" means the amount of primary State
4aid allotted to a school district pursuant to subsection (e) of
5this Section and any supplemental grant allotted pursuant to
6paragraph (3) of subsection (h) of this Section.
7    "Vocational Transportation Pupil" means a pupil
8transported to an area vocational school or another school
9district's vocational program meeting the fiscal year 2014
10eligibility requirements for reimbursement of transportation
11costs under Section 29-5 of this Code.
12    "Weighted Foundation Level" means the Foundation Level
13multiplied by the District Weighted Average.
14    "Weighted Foundation Level Budget" means, for a particular
15school district, the Weighted Foundation Level multiplied by
16the ADA.
17    "Weighting Factor" means, for each Additional Weight
18classification in paragraph (5) of subsection (b) of this
19Section, the amount multiplied by the Weighting Percentage to
20calculate the Additional Weight figure.
21    "Weighting Percentage" means, for each Additional Weight
22classification in paragraph (5) of subsection (b) of this
23Section, the amount multiplied by the Weighting Factor to
24calculate the Additional Weight figure.
25    (b) Foundation Level; weighting for district pupil
26characteristics.

 

 

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1    (1) The Foundation Level is a figure established by this
2State representing the minimum level of per pupil financial
3support that should be available to provide for the basic
4education of each pupil in Average Daily Attendance in a public
5school in this State. Then, for each school district, the
6Foundation Level is weighted in accordance with the Additional
7Weights set forth in paragraph (5) of this subsection (b) to
8account for the pupil characteristics within that school
9district. As set forth in this Section, each school district is
10assumed to exert a sufficient local taxing effort such that, in
11combination with the aggregate of primary State financial aid
12provided the district, an aggregate of State and local
13resources are available to meet the basic education needs of
14pupils in the district.
15    (2) Subject to paragraph (3) of this subsection (b), for
16the 2014-2015 school year and each school year thereafter, the
17Foundation Level of support is $6,119 or such greater amount as
18may be established by law by the General Assembly.
19    (3) If the appropriation in any fiscal year for primary
20State aid, including supplemental grants pursuant to
21subsection (h) of this Section, is insufficient to pay the
22amounts required under the calculations set forth in this
23Section, then the State Board of Education shall adjust the
24Foundation Level to an amount so that the appropriation is
25sufficient to pay all primary State aid and supplemental grants
26required by this Section.

 

 

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1    (4) For each school district, the Foundation Level shall be
2adjusted by multiplying the Foundation Level by a District
3Weighted Average figure, resulting in the school district's
4Weighted Foundation Level. The District Weighted Average
5figure for a particular school district shall be a number equal
6to 1.0 plus each of the Additional Weights described in
7paragraph (5) of this subsection (b) applicable to that
8district. For each Additional Weight, the figure included in
9the District Weighted Average is the product of the Weighting
10Factor multiplied by the Weighting Percentage, as both are
11specified in paragraph (5) of this subsection (b). For each
12school district, the State Board of Education shall publicly
13report the district's District Weighted Average, Weighted
14Foundation Level, Additional Weights, amount of the Weighted
15Foundation Level Budget attributable to each Additional
16Weight, and amount of primary State aid received attributable
17to each Additional Weight.
18    (5) Additional Weights:
19        (A) Pupils of Limited English-speaking Ability:
20            (i) Weighting Factor of 0.20; and
21            (ii) Weighting Percentage equal to the Prior Year
22        ADA of Pupils of Limited English-speaking Ability,
23        divided by the Prior Year ADA for all pupils.
24        (B) Low-Income Pupils: The higher of the weights
25    determined through the following 2 methods:
26            (i) Regular low-income method:

 

 

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1                (I) Weighting Factor of 0.25; and
2                (II) Weighting Percentage equal to the Prior
3            Year ADA of Low-income Pupils, divided by the Prior
4            Year ADA for all pupils.
5            (ii) Low-income concentration method:
6                (I) Weighting Factor of 0.90 multiplied by the
7            Weighting Percentage for Low-income Pupils as
8            calculated in accordance with the regular
9            low-income method, provided that the Weighting
10            Factor pursuant to this method shall not exceed
11            0.75; and
12                (II) Weighting Percentage equal to the
13            Weighting Percentage for Low-income Pupils as
14            calculated in accordance with the regular
15            low-income method.
16        (C) Children with disabilities:
17            (i) Weighting Factor of 1.0; and
18            (ii) Weighting Percentage of 13.8% in the
19        2014-2015 and 2015-2016 school years and, in
20        subsequent school years, a Weighting Percentage
21        periodically established by the State Board of
22        Education, but not less frequently than once every 5
23        years, representative of the statewide average
24        population of students with disabilities in public
25        education.
26        (D) Special Education Summer School Pupils:

 

 

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1            (i) Weighting Factor of 0.03; and
2            (ii) Weighting Percentage equal to the Prior Year
3        ADA of Special Education Summer School Pupils, divided
4        by the Prior Year ADA for all pupils.
5        (E) Gifted Pupils:
6            (i) Weighting Factor of 0.01; and
7            (ii) Weighting Percentage equal to the Prior Year
8        ADA of Gifted Pupils, divided by the Prior Year ADA for
9        all pupils, provided that the Prior Year ADA of Gifted
10        Pupils used for such calculation shall not exceed 5% of
11        the Prior Year ADA for pupils in kindergarten through
12        grade 8.
13        (F) Regular Transportation Eligible Pupils:
14            (i) Weighting Factor of 0.06 for school districts
15        in the most dense quintile of school districts in this
16        State; for purposes of this subdivision (F), density
17        shall be calculated by the State Board of Education
18        based on the Prior Year ADA for all pupils in the
19        school district per square mile, with separate
20        quintile calculations for different school district
21        organizational types;
22            (ii) Weighting Factor 0.07 for school districts in
23        the next to most dense quintile of school districts in
24        this State;
25            (iii) Weighting Factor of 0.08 for school
26        districts in the median density quintile of school

 

 

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1        districts in this State;
2            (iv) Weighting Factor of 0.09 for school districts
3        in the next to least dense quintile of school districts
4        in this State;
5            (v) Weighting Factor of 0.10 for school districts
6        in the least dense quintile of school districts in this
7        State; and
8            (vi) Weighting Percentage equal to the Prior Year
9        ADA of Regular Transportation Eligible Pupils, divided
10        by the Prior Year ADA for all pupils.
11        (G) Extraordinary Transportation Eligible Pupils.
12    Notwithstanding the Weighting Factors in subdivision (F)
13    of this paragraph (5), the State Board of Education shall
14    establish by administrative rule, for the 2015-2016 school
15    year and subsequent school years, a Weighting Factor or
16    Factors, not to exceed 0.12, for school districts with high
17    transportation costs resulting from school district
18    reorganizations or consolidations or students who live a
19    significant distance from their assigned attendance
20    center. The State Board of Education shall also establish
21    the Weighting Percentage by administrative rule to account
22    for the percentage of students receiving such
23    transportation services.
24        (H) Vocational Transportation Pupils:
25            (i) Weighting Factor of 0.12; and
26            (ii) Weighting Percentage equal to the Prior Year

 

 

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1        ADA of Vocational Transportation Pupils, divided by
2        the Prior Year ADA for all pupils.
3        (I) In the 2016-2017 school year and subsequent school
4    years, Advanced Standing Pupils and Career Pathway
5    Completers:
6            (i) For Advanced Standing Pupils:
7                (I) Weighting Factor of 0.02; and
8                (II) Weighting Percentage equal to the Prior
9            Year ADA of Advanced Standing Pupils, divided by
10            the Prior Year ADA for all pupils.
11            (ii) For Career Pathway Completers:
12                (I) Weighting Factor of 0.03; and
13                (II) Weighting Percentage equal to the Prior
14            Year ADA of Career Pathway Completers, divided by
15            the Prior Year ADA for all pupils.
16    (c) Average Daily Attendance.
17    (1) For purposes of calculating primary State aid pursuant
18to subsection (e) of this Section, an Average Daily Attendance
19figure shall be utilized. The Average Daily Attendance figure
20for formula calculation purposes shall be the monthly average
21of the total number of pupils in attendance for each school
22district, as further averaged for the best 3 months of pupil
23attendance for each school district. In compiling the figures
24for the number of pupils in attendance, school districts and
25the State Board of Education shall, for purposes of primary
26State aid funding, conform attendance figures to the

 

 

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1requirements of subsection (f) of this Section.
2    (2) The Average Daily Attendance figures utilized in
3subsection (e) of this Section shall be the requisite
4attendance data for the school year immediately preceding the
5school year for which primary State aid is being calculated or
6the average of the attendance data for the 3 preceding school
7years, whichever is greater. The Average Daily Attendance
8figures utilized for subsection (b) of this Section shall be
9the requisite attendance data for the school year immediately
10preceding the school year for which primary State aid is being
11calculated.
12    (d) Available Local Resources Per Pupil.
13    (1) For purposes of calculating primary State aid pursuant
14to subsection (e) of this Section, a representation of
15Available Local Resources Per Pupil, as that term is defined
16and determined in this subsection (d), shall be utilized.
17Available Local Resources Per Pupil shall include a calculated
18dollar amount representing school district revenues from local
19property taxes and from Corporate Personal Property
20Replacement Taxes, expressed on the basis of pupils in Average
21Daily Attendance. For a school district organized under Article
2234 of this Code, calculation of Available Local Resources shall
23exclude any amounts actually paid by the board of education
24into a Public School Teachers' Pension and Retirement Fund
25created pursuant to Article 17 of the Illinois Pension Code for
26Normal Pension Costs during the fiscal year immediately

 

 

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1preceding the fiscal year for which primary State aid is being
2calculated.
3    (2) In determining a school district's revenue from local
4property taxes, the State Board of Education shall utilize the
5equalized assessed valuation of all taxable property of each
6school district as of September 30 of the previous year. The
7equalized assessed valuation utilized shall be obtained and
8determined as provided in subsection (g) of this Section.
9    (3) For school districts maintaining grades kindergarten
10through 12, local property tax revenues per pupil shall be
11calculated as the product of the applicable equalized assessed
12valuation for the district multiplied by 3.07%, and divided by
13the district's Average Daily Attendance figure. For school
14districts maintaining grades kindergarten through 8, local
15property tax revenues per pupil shall be calculated as the
16product of the applicable equalized assessed valuation for the
17district multiplied by 2.36%, and divided by the district's
18Average Daily Attendance figure. For school districts
19maintaining grades 9 through 12, local property tax revenues
20per pupil shall be the applicable equalized assessed valuation
21of the district multiplied by 1.10%, and divided by the
22district's Average Daily Attendance figure.
23    For partial elementary unit districts created pursuant to
24Article 11E of this Code, local property tax revenues per pupil
25shall be calculated as the product of the equalized assessed
26valuation for property within the partial elementary unit

 

 

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1district for elementary purposes, as defined in Article 11E of
2this Code, multiplied by 2.10% and divided by the district's
3Average Daily Attendance figure, plus the product of the
4equalized assessed valuation for property within the partial
5elementary unit district for high school purposes, as defined
6in Article 11E of this Code, multiplied by 0.97% and divided by
7the district's Average Daily Attendance figure.
8    (4) The Corporate Personal Property Replacement Taxes paid
9to each school district during the calendar year one year
10before the calendar year in which a school year begins, divided
11by the Average Daily Attendance figure for that district, shall
12be added to the local property tax revenues per pupil as
13derived by the application of paragraph (3) of this subsection
14(d). The sum of these per pupil figures for each school
15district shall constitute Available Local Resources Per Pupil
16as that term is utilized in subsection (e) of this Section in
17the calculation of primary State aid.
18    (e) Computation of Primary State Aid.
19    (1) For each school year, the amount of primary State aid
20allotted to a school district shall be computed by the State
21Board of Education as provided in this subsection (e).
22    (2) Subject to paragraph (4) of this subsection (e), for
23any school district for which the Per-pupil Aid is more than
24the Flat Grant Level, primary State aid for that district shall
25be in an amount equal to its Per-pupil Aid multiplied by its
26Average Daily Attendance figure.

 

 

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1    (3) Subject to paragraph (4) of this subsection (e), for
2any school district for which the Per-pupil Aid is equal to or
3less than the Flat Grant Level, primary State aid for that
4district shall be in an amount equal to the Adjusted Flat Grant
5Level multiplied by the district's Average Daily Attendance
6figure.
7    (4) From financial assistance provided to school districts
8under this Section, the State Board of Education shall withhold
9the following amounts for the following purposes:
10        (A) For each school district with an Additional Weight
11    for Pupils of Limited English-speaking Ability, the State
12    Board of Education shall withhold an amount not exceeding
13    one and one-half percent of the district's Weighted
14    Foundation Level Budget attributable to Pupils of Limited
15    English-speaking Ability for (i) State Board of Education
16    staff for administration and (ii) contractual services by a
17    not-for-profit entity for technical assistance,
18    professional development, and other support to school
19    districts and educators for services for these pupils. To
20    be eligible to receive the contract under clause (ii) of
21    this subdivision (A), the not-for-profit entity must have
22    experience providing such services in a school district
23    having a population exceeding 500,000; one or more school
24    districts in any of the counties of Lake, McHenry, DuPage,
25    Kane, and Will; and one or more school districts elsewhere
26    in this State.

 

 

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1        (B) The State Board of Education shall withhold an
2    amount not exceeding one-half percent of each school
3    district's Weighted Foundation Level Budget attributable
4    to children with disabilities and Special Education Summer
5    School Pupils for State Board of Education staff and
6    contractual services for administration, professional
7    development, and support to school districts for services
8    for children with disabilities. The State Board of
9    Education shall use a portion of the withheld amounts for
10    developing or supporting electronic individualized
11    educational programs.
12    (f) Compilation of Average Daily Attendance.
13    (1) Each school district shall, on or before July 1 of each
14year, submit to the State Board of Education, in a manner
15prescribed by the State Board of Education, attendance figures
16for the school year that began in the preceding calendar year.
17The attendance information so transmitted shall identify the
18Average Daily Attendance figures for each month of the school
19year. School districts shall calculate Average Daily
20Attendance as provided in subdivisions (A), (B), and (C) of
21this paragraph (1).
22        (A) In districts that do not hold year-round classes,
23    days of attendance in August shall be added to the month of
24    September and any days of attendance in June shall be added
25    to the month of May.
26        (B) In districts in which all buildings hold year-round

 

 

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1    classes, days of attendance in July and August shall be
2    added to the month of September and any days of attendance
3    in June shall be added to the month of May.
4        (C) In districts in which some buildings, but not all,
5    hold year-round classes, for the non-year-round buildings,
6    days of attendance in August shall be added to the month of
7    September and any days of attendance in June shall be added
8    to the month of May. The Average Daily Attendance for the
9    year-round buildings shall be computed as provided in
10    subdivision (B) of this paragraph (1). To calculate the
11    Average Daily Attendance for the district, the Average
12    Daily Attendance for the year-round buildings shall be
13    multiplied by the days in session for the non-year-round
14    buildings for each month and added to the monthly
15    attendance of the non-year-round buildings.
16    (2) For the 2014-2015 school year, days of attendance by
17pupils shall be counted in accordance with paragraphs (1) and
18(2) of subsection (F) of Section 18-8.05 of this Code. For the
192015-2016 and subsequent school years, days of attendance by
20pupils shall be counted in accordance with administrative rules
21adopted by the State Board of Education that address, without
22limitation, days of partial attendance, days utilized for
23in-service training and parent-teacher conferences,
24partial-day kindergarten, hospitalized or homebound students,
25days when assessments are administered, remote educational
26programs, virtual learning, work-based learning, dual credit

 

 

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1programs, and competency-based education. Such rules shall be
2adopted by the State Board of Education by no later than April
31, 2015.
4    (g) Equalized assessed valuation data.
5    (1) For purposes of the calculation of Available Local
6Resources Per Pupil required pursuant to subsection (d) of this
7Section, the State Board of Education shall secure from the
8Department of Revenue the value as equalized or assessed by the
9Department of Revenue of all taxable property of every school
10district, together with (i) the applicable tax rate used in
11extending taxes for the funds of the district as of September
1230 of the previous year and (ii) the limiting rate for all
13school districts subject to property tax extension limitations
14as imposed under the Property Tax Extension Limitation Law.
15    The Department of Revenue shall add to the equalized
16assessed value of all taxable property of each school district
17situated entirely or partially within a county that is or was
18subject to the provisions of Section 15-176 or 15-177 of the
19Property Tax Code (A) an amount equal to the total amount by
20which the homestead exemption allowed under Section 15-176 or
2115-177 of the Property Tax Code for real property situated in
22that school district exceeds the total amount that would have
23been allowed in that school district if the maximum reduction
24under Section 15-176 was $5,000 and (B) an amount equal to the
25aggregate amount for the taxable year of all additional
26exemptions under Section 15-175 of the Property Tax Code for

 

 

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1owners with a household income of $30,000 or less. The county
2clerk of any county that is or was subject to the provisions of
3Section 15-176 or 15-177 of the Property Tax Code shall
4annually calculate and certify to the Department of Revenue for
5each school district all homestead exemption amounts under
6Section 15-176 or 15-177 of the Property Tax Code and all
7amounts of additional exemptions under Section 15-175 of the
8Property Tax Code for owners with a household income of $30,000
9or less. It is the intent of this paragraph that if the general
10homestead exemption for a parcel of property is determined
11under Section 15-176 or 15-177 of the Property Tax Code rather
12than Section 15-175, then the calculation of Available Local
13Resources Per Pupil shall not be affected by the difference, if
14any, between the amount of the general homestead exemption
15allowed for that parcel of property under Section 15-176 or
1615-177 of the Property Tax Code and the amount that would have
17been allowed had the general homestead exemption for that
18parcel of property been determined under Section 15-175 of the
19Property Tax Code. It is further the intent of this paragraph
20that if additional exemptions are allowed under Section 15-175
21of the Property Tax Code for owners with a household income of
22less than $30,000, then the calculation of Available Local
23Resources Per Pupil shall not be affected by the difference, if
24any, because of those additional exemptions.
25    This equalized assessed valuation, as adjusted further by
26the requirements of this subsection (g), shall be utilized in

 

 

09800SB0016sam002- 333 -LRB098 04277 NHT 59066 a

1the calculation of Available Local Resources Per Pupil.
2    (2) The equalized assessed valuation in paragraph (1) of
3this subsection (g) shall be adjusted, as applicable, in the
4following manner:
5        (A) For the purposes of calculating primary State aid
6    under this Section, with respect to any part of a school
7    district within a redevelopment project area in respect to
8    which a municipality has adopted tax increment allocation
9    financing pursuant to the Tax Increment Allocation
10    Redevelopment Act, Sections 11-74.4-1 through 11-74.4-11
11    of the Illinois Municipal Code, or the Industrial Jobs
12    Recovery Law, Sections 11-74.6-1 through 11-74.6-50 of the
13    Illinois Municipal Code, no part of the current equalized
14    assessed valuation of real property located in any such
15    project area that is attributable to an increase above the
16    total initial equalized assessed valuation of such
17    property shall be used as part of the equalized assessed
18    valuation of the district, until such time as all
19    redevelopment project costs have been paid, as provided in
20    Section 11-74.4-8 of the Tax Increment Allocation
21    Redevelopment Act or in Section 11-74.6-35 of the
22    Industrial Jobs Recovery Law. For the purpose of the
23    equalized assessed valuation of the district, the total
24    initial equalized assessed valuation or the current
25    equalized assessed valuation, whichever is lower, shall be
26    used until such time as all redevelopment project costs

 

 

09800SB0016sam002- 334 -LRB098 04277 NHT 59066 a

1    have been paid.
2        (B) The real property equalized assessed valuation for
3    a school district shall be adjusted by subtracting from the
4    real property value as equalized or assessed by the
5    Department of Revenue for the district an amount computed
6    by dividing the amount of any abatement of taxes under
7    Section 18-170 of the Property Tax Code by 3.07% for a
8    district maintaining grades kindergarten through 12, by
9    2.36% for a district maintaining grades kindergarten
10    through 8, or by 1.10% for a district maintaining grades 9
11    through 12 and adjusted by an amount computed by dividing
12    the amount of any abatement of taxes under subsection (a)
13    of Section 18-165 of the Property Tax Code by the same
14    percentage rates for district type as specified in this
15    subdivision (B).
16    (3) If a school district's boundaries span multiple
17counties, then the Department of Revenue shall send to the
18State Board of Education, for the purpose of calculating
19primary State aid, the limiting rate and individual rates by
20purpose for the county that contains the majority of the school
21district's Equalized Assessed Valuation.
22    (h) Hold harmless and PTELL adjustments.
23    (1) The Total Primary State Aid a school district is
24allotted pursuant to this Section shall be subject to
25adjustment as provided in this subsection (h). A supplemental
26grant allotted to a school district pursuant to this subsection

 

 

09800SB0016sam002- 335 -LRB098 04277 NHT 59066 a

1(h) shall be paid in conjunction with the school district's
2payments of primary State aid.
3    (2) Notwithstanding anything to the contrary contained in
4this Section, the Total Primary State Aid allotted to a school
5district for the 2014-2015 through the 2016-2017 school years
6shall be adjusted as follows:
7        (A) If, for the 2014-2015 school year, the Total
8    Primary State Aid is less than Hold Harmless State Funding,
9    then the amount of primary State aid allotted to the school
10    district shall be increased by a supplemental grant in the
11    amount of 85% of the difference between Hold Harmless State
12    Funding and Total Primary State Aid. If, for the 2015-2016
13    school year, the Total Primary State Aid remains less than
14    Hold Harmless State Funding, then the amount of primary
15    State aid allotted to the school district shall be
16    increased by a supplemental grant in the amount of 60% of
17    the difference between Hold Harmless State Funding and
18    Total Primary State Aid. If, for the 2016-2017 school year,
19    the Total Primary State Aid remains less than Hold Harmless
20    State Funding, then the amount of primary State aid
21    allotted to the school district shall be increased by a
22    supplemental grant in the amount of 30% of the difference
23    between Hold Harmless State Funding and Total Primary State
24    Aid.
25        (B) If, for the 2014-2015 school year, the Total
26    Primary State Aid is more than Hold Harmless State Funding,

 

 

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1    then the amount of primary State aid allotted to the school
2    district shall be decreased by 85% of the difference
3    between Hold Harmless State Funding and Total Primary State
4    Aid. If, for the 2015-2016 school year, the Total Primary
5    State Aid is more than Hold Harmless State Funding, then
6    the amount of primary State aid allotted to the school
7    district shall be decreased by 60% of the difference
8    between Hold Harmless State Funding and Total Primary State
9    Aid. If, for the 2016-2017 school year, the Total Primary
10    State Aid is more than Hold Harmless State Funding, then
11    the amount of primary State aid allotted to the school
12    district shall be decreased by 30% of the difference
13    between Hold Harmless State Funding and Total Primary State
14    Aid.
15    (3) If a school district is subject to property tax
16extension limitations as imposed under the Property Tax
17Extension Limitation Law, a school district shall receive a
18supplemental grant pursuant to this paragraph (3) to account
19for the difference between its Extension Limitation Equalized
20Assessed Valuation and the school district's equalized
21assessed valuation as calculated under paragraphs (1) and (2)
22of subsection (g) of this Section. The State Board of Education
23shall calculate the Extension Limitation Equalized Assessed
24Valuation of each district subject to property tax extension
25limitations as imposed under the Property Tax Extension
26Limitation Law. Except as otherwise provided in this paragraph

 

 

09800SB0016sam002- 337 -LRB098 04277 NHT 59066 a

1(3) for a school district that has approved or does approve an
2increase in its limiting rate, the "Extension Limitation
3Equalized Assessed Valuation" of a school district as
4calculated by the State Board of Education shall be equal to
5the product of the equalized assessed valuation last used in
6the calculation of general State aid under Section 18-8.05 of
7this Code or primary State aid under this Section and the
8district's Extension Limitation Ratio. If a school district has
9approved or does approve an increase in its limiting rate,
10pursuant to Section 18-190 of the Property Tax Code, affecting
11the Base Tax Year, the Extension Limitation Equalized Assessed
12Valuation of the school district, as calculated by the State
13Board of Education, shall be equal to the product of the
14equalized assessed valuation last used in the calculation of
15general State aid pursuant to Section 18-8.05 of this Code or
16primary State aid pursuant to this Section times an amount
17equal to one plus the percentage increase, if any, in the
18Consumer Price Index for all Urban Consumers for all items
19published by the United States Department of Labor for the
2012-month calendar year preceding the Base Tax Year, plus the
21equalized assessed valuation of new property, annexed
22property, and recovered tax increment value and minus the
23equalized assessed valuation of disconnected property. New
24property and recovered tax increment value shall have the
25meanings set forth in the Property Tax Extension Limitation
26Law. Notwithstanding anything to the contrary contained in this

 

 

09800SB0016sam002- 338 -LRB098 04277 NHT 59066 a

1paragraph (3), a school district's Extension Limitation
2Equalized Assessed Valuation shall not be less than 80% of the
3district's equalized assessed valuation as calculated pursuant
4to paragraphs (1) and (2) of subsection (g) of this Section.
5    If the Extension Limitation Equalized Assessed Valuation
6of a school district as calculated under this paragraph (3) is
7less than the district's equalized assessed valuation as
8calculated pursuant to paragraphs (1) and (2) of subsection (g)
9of this Section, then the school district shall receive a
10supplemental grant equal to its PTELL PSA Adjustment as
11calculated by the State Board of Education.
12    (i) Grants to Laboratory and Alternative Schools. In
13calculating the amount to be paid to the governing board of a
14public university that operates a Laboratory School or to any
15Alternative School that is operated by a regional
16superintendent of schools, the State Board of Education shall
17require, by rule, such reporting requirements as it deems
18necessary. Each Laboratory and Alternative School shall file,
19on forms provided by the State Superintendent of Education, an
20annual State aid claim that states the Average Daily Attendance
21of the school's students by month. The best 3 months' Average
22Daily Attendance shall be computed for each school. The primary
23State aid entitlement shall be computed by multiplying the
24applicable Average Daily Attendance by the Foundation Level.
25    (j) District improvement plans and attendance center
26distributions.

 

 

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1    (1) Each school district required to submit a district
2improvement plan under Section 2-3.25d of this Code shall
3demonstrate, in accordance with requirements adopted by the
4State Board of Education, how local and State funds will be
5used for strategies that give priority to meeting the
6educational needs of Low-income Pupils, Pupils of Limited
7English-speaking Ability, and children with disabilities. For
8each such category of pupils, budget information submitted with
9the plan must demonstrate that the combined amount of local
10funds and primary State aid funds budgeted for strategies that
11give priority to that category of pupils is proportionate or
12higher, on either an aggregate or per-pupil basis, to the
13proportion of the Weighted Foundation Level Budget
14attributable to that category of pupils. The State Board of
15Education may adopt exceptions to the requirement for
16proportionate or higher budgeting to address small pupil
17subgroup populations, changes in pupil enrollment, or
18extraordinary expenditures required for any school year. The
19State Board of Education may also adopt exceptions to the
20requirement for proportionate or higher budgeting for any
21school district to implement district-wide or school-wide
22strategies if the school district or school has a high
23percentage of pupils in any particular category relative to
24statewide averages and the district can demonstrate in its plan
25that a district-wide or school-wide strategy is more likely to
26achieve the district's educational objectives for a category of

 

 

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1pupils than a targeted strategy. If a school district fails to
2adhere to proportionate or higher budgeting in accordance with
3this paragraph (1), the school district must take corrective
4action in accordance with requirements adopted by the State
5Board of Education. If corrective action is not taken, the
6State Board of Education shall deduct, from primary State aid
7payments otherwise due the district, an amount equal to the
8amount by which the district failed to adhere to the
9proportionate or higher requirement.
10    (2) School districts with an Average Daily Attendance of
1150,000 or more shall be required to distribute, from funds
12available pursuant to this Section, no less than $261,000,000
13in accordance with the following requirements:
14        (A) The required amounts shall be distributed to the
15    attendance centers within the district in proportion to the
16    number of Low-income Pupils enrolled at each attendance
17    center during the current school year.
18        (B) The distribution of these portions of primary State
19    aid among attendance centers according to these
20    requirements shall not be compensated for or contravened by
21    adjustments of the total of other funds appropriated to any
22    attendance centers, and the board of education shall
23    utilize funding from one or several sources in order to
24    fully implement this paragraph (2) annually prior to the
25    opening of school.
26        (C) Each attendance center shall be provided, by the

 

 

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1    school district, with a distribution of other funds to
2    which the attendance center is entitled under law in order
3    that the primary State aid provided by application of this
4    paragraph (2) supplements rather than supplants the other
5    funds provided by the school district to the attendance
6    centers.
7        (D) Funds received by an attendance center pursuant to
8    this paragraph (2) shall be used by the attendance center
9    at the discretion of the principal and local school council
10    for programs to improve educational opportunities at
11    qualifying schools through the following programs and
12    services: early childhood education, reduced class size or
13    improved adult to student classroom ratios, enrichment
14    programs, remedial assistance, attendance improvement, and
15    other educationally beneficial expenditures that
16    supplement the regular and basic programs as determined by
17    the State Board of Education. Funds provided shall not be
18    expended for any political or lobbying purposes as defined
19    by rule of the State Board.
20        (E) Each district subject to the provisions of this
21    paragraph (2) shall submit an acceptable plan to meet the
22    educational needs of disadvantaged children, in compliance
23    with the requirements of this subdivision (E), to the State
24    Board of Education prior to July 15 of each year. This plan
25    shall be consistent with the decisions of local school
26    councils concerning the school expenditure plans developed

 

 

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1    in accordance with subdivision 4 of Section 34-2.3 of this
2    Code. The State Board shall approve or reject the plan
3    within 60 days after its submission. If the plan is
4    rejected, the district shall give written notice of an
5    intent to modify the plan within 15 days after the
6    notification of rejection and then submit a modified plan
7    within 30 days after the date of the written notice of an
8    intent to modify. Districts may amend approved plans
9    pursuant to rules adopted by the State Board of Education.
10        Upon notification by the State Board of Education that
11    the district has not submitted a plan prior to July 15 or a
12    modified plan within the time period specified in this
13    subdivision (E), the State aid funds affected by that plan
14    or modified plan shall be withheld by the State Board of
15    Education until a plan or modified plan is submitted.
16        If the district fails to distribute State aid to
17    attendance centers in accordance with an approved plan, the
18    plan for the following year shall allocate funds, in
19    addition to the funds otherwise required by this paragraph
20    (2), to those attendance centers that were underfunded
21    during the previous year in amounts equal to such
22    underfunding.
23    For purposes of determining compliance with this paragraph
24(2) in relation to the requirements of attendance center
25funding, each district subject to the provisions of this
26paragraph (2) shall submit as a separate document, on or before

 

 

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1December 1 of each year, a report of expenditure data for the
2prior year in addition to any modification of its current plan.
3If it is determined that there has been a failure to comply
4with the expenditure provisions of this paragraph (2) regarding
5contravention or supplanting, the State Superintendent of
6Education shall, within 60 days after receipt of the report,
7notify the district and any affected local school council. The
8district shall, within 45 days after receipt of that
9notification, inform the State Superintendent of Education of
10the remedial or corrective action to be taken, whether by
11amendment of the current plan, if feasible, or by adjustment in
12the plan for the following year. Failure to provide the
13expenditure report or the notification of remedial or
14corrective action in a timely manner shall result in a
15withholding of the affected funds.
16    The State Board of Education shall adopt rules to implement
17the provisions of this paragraph (2). No funds shall be
18released under this paragraph (2) to any district that has not
19submitted a plan that has been approved by the State Board of
20Education.
21    (k) Education Funding Advisory Board. For the 2017-2018 and
22subsequent school years, the Education Funding Advisory Board
23established pursuant to subsection (M) of Section 18-8.05 of
24this Code, in consultation with the State Board of Education,
25shall make recommendations as provided in this subsection (k)
26to the General Assembly for the Foundation Level under

 

 

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1paragraph (2) of subsection (b) of this Section. The
2recommended foundation level shall be determined based on
3consideration of 2 separate methodologies:
4        (1) a methodology that incorporates the basic
5    education expenditures of low-spending schools exhibiting
6    high academic performance; and
7        (2) an evidence-based methodology that identifies an
8    educational program that includes research-based
9    educational strategies and uses the cost of that program to
10    determine the cost of education.
11    The Education Funding Advisory Board shall make its
12recommendations to the General Assembly on or before January 31
13of odd-numbered years, beginning on or before January 31, 2017.
14    (l) Primary State Aid Review Committee. The State
15Superintendent of Education shall appoint a committee of no
16more than 20 members, consisting of school administrators,
17school business officials, school financing experts, parents,
18teachers, and concerned citizens to review the administration
19of primary State aid in this State and the impact on school
20district finances of this amendatory Act of the 98th General
21Assembly. The Committee shall make periodic recommendations to
22the State Superintendent of Education and the General Assembly
23concerning the administration of primary State aid, any
24administrative rules needed for the implementation of this
25Section, and suggestions for amending this Section or other
26Sections of this Code to achieve a school funding system that

 

 

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1provides adequate, equitable, transparent, and accountable
2distribution of funds to school districts that will prepare
3students for success after high school. By no later than
4January 31, 2017 and January 31 of each odd-numbered year
5thereafter, the Committee shall submit a report with
6recommendations to the State Superintendent and General
7Assembly. The report submitted by no later than January 31,
82017 must address the following:
9        (1) whether to relate funding through the primary State
10    aid formula to district accountability or accreditation
11    status;
12        (2) whether to include State career and technical
13    education funding within the primary State aid formula;
14        (3) whether to account for municipal impact fees,
15    distributions from a special tax allocation fund
16    established in relation to tax increment allocation
17    financing, and other similar funds received by school
18    districts in the calculation of Available Local Resources
19    Per Pupil;
20        (4) whether regionalization factors should be
21    incorporated into the primary State aid formula; and
22        (5) methods for reducing State liability for PTELL PSA
23    Adjustments.
24    (m) Adequacy study. Subject to the availability of funding
25through appropriations made specifically for this purpose, by
26no later than January 31, 2019, the State Board of Education

 

 

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1shall contract with a public or private entity to conduct a
2study of the adequacy of education funding in this State. At a
3minimum, the adequacy study shall:
4        (1) identify a base funding level for students without
5    special needs necessary to meet adequate growth;
6        (2) include per pupil weights for students with special
7    needs to be applied to the base funding level;
8        (3) include an analysis of the effect of concentrations
9    of poverty on adequacy targets;
10        (4) include an analysis of the assumed school district
11    tax rates that should be included within the funding
12    formula; and
13        (5) in collaboration with the Illinois Early Learning
14    Council, include an analysis of what level of Preschool for
15    All Children funding would be necessary to serve all
16    children ages 0-5 years in the highest-priority service
17    tier (as specified in paragraph (4.5) of subsection (a) of
18    Section 2-3.71 of this Code) and an analysis of the
19    potential cost savings that that level of Preschool for All
20    Children investment would have on the kindergarten through
21    grade 12 system.
22    (n) References. On and after July 1, 2014, references in
23other laws to general State aid funds or calculations under
24Section 18-8.05 of this Code shall be deemed to be references
25to primary State aid funds or calculations under this Section.
 

 

 

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1    (105 ILCS 5/18-9)  (from Ch. 122, par. 18-9)
2    Sec. 18-9. Requirement for special equalization and
3supplementary State aid. If property comprising an aggregate
4assessed valuation equal to 6% or more of the total assessed
5valuation of all taxable property in a school district is owned
6by a person or corporation that is the subject of bankruptcy
7proceedings or that has been adjudged bankrupt and, as a result
8thereof, has not paid taxes on the property, then the district
9may amend its general State aid or primary State aid claim (i)
10back to the inception of the bankruptcy, not to exceed 6 years,
11in which time those taxes were not paid and (ii) for each
12succeeding year that those taxes remain unpaid, by adding to
13the claim an amount determined by multiplying the assessed
14valuation of the property on which taxes have not been paid due
15to the bankruptcy by the lesser of the total tax rate for the
16district for the tax year for which the taxes are unpaid or the
17applicable rate used in calculating the district's general
18State aid under paragraph (3) of subsection (D) of Section
1918-8.05 of this Code or primary State aid under paragraph (3)
20of subsection (d) of Section 18-8.15 of this Code, as
21applicable. If at any time a district that receives additional
22State aid under this Section receives tax revenue from the
23property for the years that taxes were not paid, the district's
24next claim for State aid shall be reduced in an amount equal to
25the taxes paid on the property, not to exceed the additional
26State aid received under this Section. Claims under this

 

 

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1Section shall be filed on forms prescribed by the State
2Superintendent of Education, and the State Superintendent of
3Education, upon receipt of a claim, shall adjust the claim in
4accordance with the provisions of this Section. Supplementary
5State aid for each succeeding year under this Section shall be
6paid beginning with the first general State aid or primary
7State aid claim paid after the district has filed a completed
8claim in accordance with this Section.
9(Source: P.A. 95-496, eff. 8-28-07.)
 
10    (105 ILCS 5/18-12)  (from Ch. 122, par. 18-12)
11    Sec. 18-12. Dates for filing State aid claims. The school
12board of each school district shall require teachers,
13principals, or superintendents to furnish from records kept by
14them such data as it needs in preparing and certifying to the
15regional superintendent its school district report of claims
16provided in Sections 18-8.05 through 18-9 as required by the
17State Superintendent of Education. The district claim shall be
18based on the latest available equalized assessed valuation and
19tax rates, as provided in Section 18-8.05 or 18-8.15 and shall
20use the average daily attendance as determined by the method
21outlined in Section 18-8.05 or 18-8.15 and shall be certified
22and filed with the regional superintendent by June 21 for
23districts with an official school calendar end date before June
2415 or within 2 weeks following the official school calendar end
25date for districts with a school year end date of June 15 or

 

 

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1later. The regional superintendent shall certify and file with
2the State Superintendent of Education district State aid claims
3by July 1 for districts with an official school calendar end
4date before June 15 or no later than July 15 for districts with
5an official school calendar end date of June 15 or later.
6Failure to so file by these deadlines constitutes a forfeiture
7of the right to receive payment by the State until such claim
8is filed and vouchered for payment. The regional superintendent
9of schools shall certify the county report of claims by July
1015; and the State Superintendent of Education shall voucher for
11payment those claims to the State Comptroller as provided in
12Section 18-11.
13    Except as otherwise provided in this Section, if any school
14district fails to provide the minimum school term specified in
15Section 10-19, the State aid claim for that year shall be
16reduced by the State Superintendent of Education in an amount
17equivalent to 1/176 or .56818% for each day less than the
18number of days required by this Code.
19    If the State Superintendent of Education determines that
20the failure to provide the minimum school term was occasioned
21by an act or acts of God, or was occasioned by conditions
22beyond the control of the school district which posed a
23hazardous threat to the health and safety of pupils, the State
24aid claim need not be reduced.
25    If a school district is precluded from providing the
26minimum hours of instruction required for a full day of

 

 

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1attendance due to an adverse weather condition or a condition
2beyond the control of the school district that poses a
3hazardous threat to the health and safety of students, then the
4partial day of attendance may be counted if (i) the school
5district has provided at least one hour of instruction prior to
6the closure of the school district, (ii) a school building has
7provided at least one hour of instruction prior to the closure
8of the school building, or (iii) the normal start time of the
9school district is delayed.
10    If, prior to providing any instruction, a school district
11must close one or more but not all school buildings after
12consultation with a local emergency response agency or due to a
13condition beyond the control of the school district, then the
14school district may claim attendance for up to 2 school days
15based on the average attendance of the 3 school days
16immediately preceding the closure of the affected school
17building. The partial or no day of attendance described in this
18Section and the reasons therefore shall be certified within a
19month of the closing or delayed start by the school district
20superintendent to the regional superintendent of schools for
21forwarding to the State Superintendent of Education for
22approval.
23    No exception to the requirement of providing a minimum
24school term may be approved by the State Superintendent of
25Education pursuant to this Section unless a school district has
26first used all emergency days provided for in its regular

 

 

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1calendar.
2    If the State Superintendent of Education declares that an
3energy shortage exists during any part of the school year for
4the State or a designated portion of the State, a district may
5operate the school attendance centers within the district 4
6days of the week during the time of the shortage by extending
7each existing school day by one clock hour of school work, and
8the State aid claim shall not be reduced, nor shall the
9employees of that district suffer any reduction in salary or
10benefits as a result thereof. A district may operate all
11attendance centers on this revised schedule, or may apply the
12schedule to selected attendance centers, taking into
13consideration such factors as pupil transportation schedules
14and patterns and sources of energy for individual attendance
15centers.
16    Electronically submitted State aid claims shall be
17submitted by duly authorized district or regional individuals
18over a secure network that is password protected. The
19electronic submission of a State aid claim must be accompanied
20with an affirmation that all of the provisions of Sections
2118-8.05 through 18-9, 10-22.5, and 24-4 of this Code are met in
22all respects.
23(Source: P.A. 95-152, eff. 8-14-07; 95-811, eff. 8-13-08;
2495-876, eff. 8-21-08; 96-734, eff. 8-25-09.)
 
25    (105 ILCS 5/26-16)

 

 

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1    Sec. 26-16. Graduation incentives program.
2    (a) The General Assembly finds that it is critical to
3provide options for children to succeed in school. The purpose
4of this Section is to provide incentives for and encourage all
5Illinois students who have experienced or are experiencing
6difficulty in the traditional education system to enroll in
7alternative programs.
8    (b) Any student who is below the age of 20 years is
9eligible to enroll in a graduation incentives program if he or
10she:
11        (1) is considered a dropout pursuant to Section 26-2a
12    of this Code;
13        (2) has been suspended or expelled pursuant to Section
14    10-22.6 or 34-19 of this Code;
15        (3) is pregnant or is a parent;
16        (4) has been assessed as chemically dependent; or
17        (5) is enrolled in a bilingual education or LEP
18    program.
19    (c) The following programs qualify as graduation
20incentives programs for students meeting the criteria
21established in this Section:
22        (1) Any public elementary or secondary education
23    graduation incentives program established by a school
24    district or by a regional office of education.
25        (2) Any alternative learning opportunities program
26    established pursuant to Article 13B of this Code.

 

 

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1        (3) Vocational or job training courses approved by the
2    State Superintendent of Education that are available
3    through the Illinois public community college system.
4    Students may apply for reimbursement of 50% of tuition
5    costs for one course per semester or a maximum of 3 courses
6    per school year. Subject to available funds, students may
7    apply for reimbursement of up to 100% of tuition costs upon
8    a showing of employment within 6 months after completion of
9    a vocational or job training program. The qualifications
10    for reimbursement shall be established by the State
11    Superintendent of Education by rule.
12        (4) Job and career programs approved by the State
13    Superintendent of Education that are available through
14    Illinois-accredited private business and vocational
15    schools. Subject to available funds, pupils may apply for
16    reimbursement of up to 100% of tuition costs upon a showing
17    of employment within 6 months after completion of a job or
18    career program. The State Superintendent of Education
19    shall establish, by rule, the qualifications for
20    reimbursement, criteria for determining reimbursement
21    amounts, and limits on reimbursement.
22        (5) Adult education courses that offer preparation for
23    the General Educational Development Test.
24    (d) Graduation incentives programs established by school
25districts are entitled to claim general State aid and primary
26State aid, subject to Sections 13B-50, 13B-50.5, and 13B-50.10

 

 

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1of this Code. Graduation incentives programs operated by
2regional offices of education are entitled to receive general
3State aid and primary State aid at the foundation level of
4support per pupil enrolled. A school district must ensure that
5its graduation incentives program receives supplemental
6general State aid, transportation reimbursements, and special
7education resources, if appropriate, for students enrolled in
8the program.
9(Source: P.A. 93-858, eff. 1-1-05; 93-1079, eff. 1-21-05.)
 
10    (105 ILCS 5/27-8.1)  (from Ch. 122, par. 27-8.1)
11    Sec. 27-8.1. Health examinations and immunizations.
12    (1) In compliance with rules and regulations which the
13Department of Public Health shall promulgate, and except as
14hereinafter provided, all children in Illinois shall have a
15health examination as follows: within one year prior to
16entering kindergarten or the first grade of any public,
17private, or parochial elementary school; upon entering the
18sixth and ninth grades of any public, private, or parochial
19school; prior to entrance into any public, private, or
20parochial nursery school; and, irrespective of grade,
21immediately prior to or upon entrance into any public, private,
22or parochial school or nursery school, each child shall present
23proof of having been examined in accordance with this Section
24and the rules and regulations promulgated hereunder. Any child
25who received a health examination within one year prior to

 

 

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1entering the fifth grade for the 2007-2008 school year is not
2required to receive an additional health examination in order
3to comply with the provisions of Public Act 95-422 when he or
4she attends school for the 2008-2009 school year, unless the
5child is attending school for the first time as provided in
6this paragraph.
7    A tuberculosis skin test screening shall be included as a
8required part of each health examination included under this
9Section if the child resides in an area designated by the
10Department of Public Health as having a high incidence of
11tuberculosis. Additional health examinations of pupils,
12including eye examinations, may be required when deemed
13necessary by school authorities. Parents are encouraged to have
14their children undergo eye examinations at the same points in
15time required for health examinations.
16    (1.5) In compliance with rules adopted by the Department of
17Public Health and except as otherwise provided in this Section,
18all children in kindergarten and the second and sixth grades of
19any public, private, or parochial school shall have a dental
20examination. Each of these children shall present proof of
21having been examined by a dentist in accordance with this
22Section and rules adopted under this Section before May 15th of
23the school year. If a child in the second or sixth grade fails
24to present proof by May 15th, the school may hold the child's
25report card until one of the following occurs: (i) the child
26presents proof of a completed dental examination or (ii) the

 

 

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1child presents proof that a dental examination will take place
2within 60 days after May 15th. The Department of Public Health
3shall establish, by rule, a waiver for children who show an
4undue burden or a lack of access to a dentist. Each public,
5private, and parochial school must give notice of this dental
6examination requirement to the parents and guardians of
7students at least 60 days before May 15th of each school year.
8    (1.10) Except as otherwise provided in this Section, all
9children enrolling in kindergarten in a public, private, or
10parochial school on or after the effective date of this
11amendatory Act of the 95th General Assembly and any student
12enrolling for the first time in a public, private, or parochial
13school on or after the effective date of this amendatory Act of
14the 95th General Assembly shall have an eye examination. Each
15of these children shall present proof of having been examined
16by a physician licensed to practice medicine in all of its
17branches or a licensed optometrist within the previous year, in
18accordance with this Section and rules adopted under this
19Section, before October 15th of the school year. If the child
20fails to present proof by October 15th, the school may hold the
21child's report card until one of the following occurs: (i) the
22child presents proof of a completed eye examination or (ii) the
23child presents proof that an eye examination will take place
24within 60 days after October 15th. The Department of Public
25Health shall establish, by rule, a waiver for children who show
26an undue burden or a lack of access to a physician licensed to

 

 

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1practice medicine in all of its branches who provides eye
2examinations or to a licensed optometrist. Each public,
3private, and parochial school must give notice of this eye
4examination requirement to the parents and guardians of
5students in compliance with rules of the Department of Public
6Health. Nothing in this Section shall be construed to allow a
7school to exclude a child from attending because of a parent's
8or guardian's failure to obtain an eye examination for the
9child.
10    (2) The Department of Public Health shall promulgate rules
11and regulations specifying the examinations and procedures
12that constitute a health examination, which shall include the
13collection of data relating to obesity (including at a minimum,
14date of birth, gender, height, weight, blood pressure, and date
15of exam), and a dental examination and may recommend by rule
16that certain additional examinations be performed. The rules
17and regulations of the Department of Public Health shall
18specify that a tuberculosis skin test screening shall be
19included as a required part of each health examination included
20under this Section if the child resides in an area designated
21by the Department of Public Health as having a high incidence
22of tuberculosis. The Department of Public Health shall specify
23that a diabetes screening as defined by rule shall be included
24as a required part of each health examination. Diabetes testing
25is not required.
26    Physicians licensed to practice medicine in all of its

 

 

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1branches, advanced practice nurses who have a written
2collaborative agreement with a collaborating physician which
3authorizes them to perform health examinations, or physician
4assistants who have been delegated the performance of health
5examinations by their supervising physician shall be
6responsible for the performance of the health examinations,
7other than dental examinations, eye examinations, and vision
8and hearing screening, and shall sign all report forms required
9by subsection (4) of this Section that pertain to those
10portions of the health examination for which the physician,
11advanced practice nurse, or physician assistant is
12responsible. If a registered nurse performs any part of a
13health examination, then a physician licensed to practice
14medicine in all of its branches must review and sign all
15required report forms. Licensed dentists shall perform all
16dental examinations and shall sign all report forms required by
17subsection (4) of this Section that pertain to the dental
18examinations. Physicians licensed to practice medicine in all
19its branches or licensed optometrists shall perform all eye
20examinations required by this Section and shall sign all report
21forms required by subsection (4) of this Section that pertain
22to the eye examination. For purposes of this Section, an eye
23examination shall at a minimum include history, visual acuity,
24subjective refraction to best visual acuity near and far,
25internal and external examination, and a glaucoma evaluation,
26as well as any other tests or observations that in the

 

 

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1professional judgment of the doctor are necessary. Vision and
2hearing screening tests, which shall not be considered
3examinations as that term is used in this Section, shall be
4conducted in accordance with rules and regulations of the
5Department of Public Health, and by individuals whom the
6Department of Public Health has certified. In these rules and
7regulations, the Department of Public Health shall require that
8individuals conducting vision screening tests give a child's
9parent or guardian written notification, before the vision
10screening is conducted, that states, "Vision screening is not a
11substitute for a complete eye and vision evaluation by an eye
12doctor. Your child is not required to undergo this vision
13screening if an optometrist or ophthalmologist has completed
14and signed a report form indicating that an examination has
15been administered within the previous 12 months."
16    (3) Every child shall, at or about the same time as he or
17she receives a health examination required by subsection (1) of
18this Section, present to the local school proof of having
19received such immunizations against preventable communicable
20diseases as the Department of Public Health shall require by
21rules and regulations promulgated pursuant to this Section and
22the Communicable Disease Prevention Act.
23    (4) The individuals conducting the health examination,
24dental examination, or eye examination shall record the fact of
25having conducted the examination, and such additional
26information as required, including for a health examination

 

 

09800SB0016sam002- 360 -LRB098 04277 NHT 59066 a

1data relating to obesity (including at a minimum, date of
2birth, gender, height, weight, blood pressure, and date of
3exam), on uniform forms which the Department of Public Health
4and the State Board of Education shall prescribe for statewide
5use. The examiner shall summarize on the report form any
6condition that he or she suspects indicates a need for special
7services, including for a health examination factors relating
8to obesity. The individuals confirming the administration of
9required immunizations shall record as indicated on the form
10that the immunizations were administered.
11    (5) If a child does not submit proof of having had either
12the health examination or the immunization as required, then
13the child shall be examined or receive the immunization, as the
14case may be, and present proof by October 15 of the current
15school year, or by an earlier date of the current school year
16established by a school district. To establish a date before
17October 15 of the current school year for the health
18examination or immunization as required, a school district must
19give notice of the requirements of this Section 60 days prior
20to the earlier established date. If for medical reasons one or
21more of the required immunizations must be given after October
2215 of the current school year, or after an earlier established
23date of the current school year, then the child shall present,
24by October 15, or by the earlier established date, a schedule
25for the administration of the immunizations and a statement of
26the medical reasons causing the delay, both the schedule and

 

 

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1the statement being issued by the physician, advanced practice
2nurse, physician assistant, registered nurse, or local health
3department that will be responsible for administration of the
4remaining required immunizations. If a child does not comply by
5October 15, or by the earlier established date of the current
6school year, with the requirements of this subsection, then the
7local school authority shall exclude that child from school
8until such time as the child presents proof of having had the
9health examination as required and presents proof of having
10received those required immunizations which are medically
11possible to receive immediately. During a child's exclusion
12from school for noncompliance with this subsection, the child's
13parents or legal guardian shall be considered in violation of
14Section 26-1 and subject to any penalty imposed by Section
1526-10. This subsection (5) does not apply to dental
16examinations and eye examinations. Until June 30, 2015, if the
17student is an out-of-state transfer student and does not have
18the proof required under this subsection (5) before October 15
19of the current year or whatever date is set by the school
20district, then he or she may only attend classes (i) if he or
21she has proof that an appointment for the required vaccinations
22has been scheduled with a party authorized to submit proof of
23the required vaccinations. If the proof of vaccination required
24under this subsection (5) is not submitted within 30 days after
25the student is permitted to attend classes, then the student is
26not to be permitted to attend classes until proof of the

 

 

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1vaccinations has been properly submitted. No school district or
2employee of a school district shall be held liable for any
3injury or illness to another person that results from admitting
4an out-of-state transfer student to class that has an
5appointment scheduled pursuant to this subsection (5).
6    (6) Every school shall report to the State Board of
7Education by November 15, in the manner which that agency shall
8require, the number of children who have received the necessary
9immunizations and the health examination (other than a dental
10examination or eye examination) as required, indicating, of
11those who have not received the immunizations and examination
12as required, the number of children who are exempt from health
13examination and immunization requirements on religious or
14medical grounds as provided in subsection (8). On or before
15December 1 of each year, every public school district and
16registered nonpublic school shall make publicly available the
17immunization data they are required to submit to the State
18Board of Education by November 15. The immunization data made
19publicly available must be identical to the data the school
20district or school has reported to the State Board of
21Education.
22    Every school shall report to the State Board of Education
23by June 30, in the manner that the State Board requires, the
24number of children who have received the required dental
25examination, indicating, of those who have not received the
26required dental examination, the number of children who are

 

 

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1exempt from the dental examination on religious grounds as
2provided in subsection (8) of this Section and the number of
3children who have received a waiver under subsection (1.5) of
4this Section.
5    Every school shall report to the State Board of Education
6by June 30, in the manner that the State Board requires, the
7number of children who have received the required eye
8examination, indicating, of those who have not received the
9required eye examination, the number of children who are exempt
10from the eye examination as provided in subsection (8) of this
11Section, the number of children who have received a waiver
12under subsection (1.10) of this Section, and the total number
13of children in noncompliance with the eye examination
14requirement.
15    The reported information under this subsection (6) shall be
16provided to the Department of Public Health by the State Board
17of Education.
18    (7) Upon determining that the number of pupils who are
19required to be in compliance with subsection (5) of this
20Section is below 90% of the number of pupils enrolled in the
21school district, 10% of each State aid payment made pursuant to
22Section 18-8.05 or 18-8.15 to the school district for such year
23may be withheld by the State Board of Education until the
24number of students in compliance with subsection (5) is the
25applicable specified percentage or higher.
26    (8) Parents or legal guardians who object to health,

 

 

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1dental, or eye examinations or any part thereof, or to
2immunizations, on religious grounds shall not be required to
3submit their children or wards to the examinations or
4immunizations to which they so object if such parents or legal
5guardians present to the appropriate local school authority a
6signed statement of objection, detailing the grounds for the
7objection. If the physical condition of the child is such that
8any one or more of the immunizing agents should not be
9administered, the examining physician, advanced practice
10nurse, or physician assistant responsible for the performance
11of the health examination shall endorse that fact upon the
12health examination form. Exempting a child from the health,
13dental, or eye examination does not exempt the child from
14participation in the program of physical education training
15provided in Sections 27-5 through 27-7 of this Code.
16    (9) For the purposes of this Section, "nursery schools"
17means those nursery schools operated by elementary school
18systems or secondary level school units or institutions of
19higher learning.
20(Source: P.A. 96-953, eff. 6-28-10; 97-216, eff. 1-1-12;
2197-910, eff. 1-1-13.)
 
22    (105 ILCS 5/27A-9)
23    Sec. 27A-9. Term of charter; renewal.
24    (a) A charter may be granted for a period not less than 5
25and not more than 10 school years. A charter may be renewed in

 

 

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1incremental periods not to exceed 5 school years.
2    (b) A charter school renewal proposal submitted to the
3local school board or the Commission, as the chartering entity,
4shall contain:
5        (1) A report on the progress of the charter school in
6    achieving the goals, objectives, pupil performance
7    standards, content standards, and other terms of the
8    initial approved charter proposal; and
9        (2) A financial statement that discloses the costs of
10    administration, instruction, and other spending categories
11    for the charter school that is understandable to the
12    general public and that will allow comparison of those
13    costs to other schools or other comparable organizations,
14    in a format required by the State Board.
15    (c) A charter may be revoked or not renewed if the local
16school board or the Commission, as the chartering entity,
17clearly demonstrates that the charter school did any of the
18following, or otherwise failed to comply with the requirements
19of this law:
20        (1) Committed a material violation of any of the
21    conditions, standards, or procedures set forth in the
22    charter.
23        (2) Failed to meet or make reasonable progress toward
24    achievement of the content standards or pupil performance
25    standards identified in the charter.
26        (3) Failed to meet generally accepted standards of

 

 

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1    fiscal management.
2        (4) Violated any provision of law from which the
3    charter school was not exempted.
4    In the case of revocation, the local school board or the
5Commission, as the chartering entity, shall notify the charter
6school in writing of the reason why the charter is subject to
7revocation. The charter school shall submit a written plan to
8the local school board or the Commission, whichever is
9applicable, to rectify the problem. The plan shall include a
10timeline for implementation, which shall not exceed 2 years or
11the date of the charter's expiration, whichever is earlier. If
12the local school board or the Commission, as the chartering
13entity, finds that the charter school has failed to implement
14the plan of remediation and adhere to the timeline, then the
15chartering entity shall revoke the charter. Except in
16situations of an emergency where the health, safety, or
17education of the charter school's students is at risk, the
18revocation shall take place at the end of a school year.
19Nothing in this amendatory Act of the 96th General Assembly
20shall be construed to prohibit an implementation timetable that
21is less than 2 years in duration.
22    (d) (Blank).
23    (e) Notice of a local school board's decision to deny,
24revoke or not to renew a charter shall be provided to the
25Commission and the State Board. The Commission may reverse a
26local board's decision if the Commission finds that the charter

 

 

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1school or charter school proposal (i) is in compliance with
2this Article, and (ii) is in the best interests of the students
3it is designed to serve. The State Board may condition the
4granting of an appeal on the acceptance by the charter school
5of funding in an amount less than that requested in the
6proposal submitted to the local school board. Final decisions
7of the Commission shall be subject to judicial review under the
8Administrative Review Law.
9    (f) Notwithstanding other provisions of this Article, if
10the Commission on appeal reverses a local board's decision or
11if a charter school is approved by referendum, the Commission
12shall act as the authorized chartering entity for the charter
13school. The Commission shall approve the charter and shall
14perform all functions under this Article otherwise performed by
15the local school board. The State Board shall determine whether
16the charter proposal approved by the Commission is consistent
17with the provisions of this Article and, if the approved
18proposal complies, certify the proposal pursuant to this
19Article. The State Board shall report the aggregate number of
20charter school pupils resident in a school district to that
21district and shall notify the district of the amount of funding
22to be paid by the Commission to the charter school enrolling
23such students. The Commission shall require the charter school
24to maintain accurate records of daily attendance that shall be
25deemed sufficient to file claims under Section 18-8.05 or
2618-8.15 notwithstanding any other requirements of that Section

 

 

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1regarding hours of instruction and teacher certification. The
2State Board shall withhold from funds otherwise due the
3district the funds authorized by this Article to be paid to the
4charter school and shall pay such amounts to the charter
5school.
6    (g) For charter schools authorized by the Commission, the
7Commission shall quarterly certify to the State Board the
8student enrollment for each of its charter schools.
9    (h) For charter schools authorized by the Commission, the
10State Board shall pay directly to a charter school any federal
11or State aid attributable to a student with a disability
12attending the school.
13(Source: P.A. 96-105, eff. 7-30-09; 97-152, eff. 7-20-11.)
 
14    (105 ILCS 5/27A-11)
15    Sec. 27A-11. Local financing.
16    (a) For purposes of the School Code, pupils enrolled in a
17charter school shall be included in the pupil enrollment of the
18school district within which the pupil resides. Each charter
19school (i) shall determine the school district in which each
20pupil who is enrolled in the charter school resides, (ii) shall
21report the aggregate number of pupils resident of a school
22district who are enrolled in the charter school to the school
23district in which those pupils reside, and (iii) shall maintain
24accurate records of daily attendance that shall be deemed
25sufficient to file claims under Section 18-8 or 18-8.15

 

 

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1notwithstanding any other requirements of that Section
2regarding hours of instruction and teacher certification.
3    (b) Except for a charter school established by referendum
4under Section 27A-6.5, as part of a charter school contract,
5the charter school and the local school board shall agree on
6funding and any services to be provided by the school district
7to the charter school. Agreed funding that a charter school is
8to receive from the local school board for a school year shall
9be paid in equal quarterly installments with the payment of the
10installment for the first quarter being made not later than
11July 1, unless the charter establishes a different payment
12schedule.
13    All services centrally or otherwise provided by the school
14district including, but not limited to, rent, food services,
15custodial services, maintenance, curriculum, media services,
16libraries, transportation, and warehousing shall be subject to
17negotiation between a charter school and the local school board
18and paid for out of the revenues negotiated pursuant to this
19subsection (b); provided that the local school board shall not
20attempt, by negotiation or otherwise, to obligate a charter
21school to provide pupil transportation for pupils for whom a
22district is not required to provide transportation under the
23criteria set forth in subsection (a)(13) of Section 27A-7.
24    In no event shall the funding be less than 75% or more than
25125% of the school district's per capita student tuition
26multiplied by the number of students residing in the district

 

 

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1who are enrolled in the charter school.
2    It is the intent of the General Assembly that funding and
3service agreements under this subsection (b) shall be neither a
4financial incentive nor a financial disincentive to the
5establishment of a charter school.
6    The charter school may set and collect reasonable fees.
7Fees collected from students enrolled at a charter school shall
8be retained by the charter school.
9    (c) Notwithstanding subsection (b) of this Section, the
10proportionate share of State and federal resources generated by
11students with disabilities or staff serving them shall be
12directed to charter schools enrolling those students by their
13school districts or administrative units. The proportionate
14share of moneys generated under other federal or State
15categorical aid programs shall be directed to charter schools
16serving students eligible for that aid.
17    (d) The governing body of a charter school is authorized to
18accept gifts, donations, or grants of any kind made to the
19charter school and to expend or use gifts, donations, or grants
20in accordance with the conditions prescribed by the donor;
21however, a gift, donation, or grant may not be accepted by the
22governing body if it is subject to any condition contrary to
23applicable law or contrary to the terms of the contract between
24the charter school and the local school board. Charter schools
25shall be encouraged to solicit and utilize community volunteer
26speakers and other instructional resources when providing

 

 

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1instruction on the Holocaust and other historical events.
2    (e) (Blank).
3    (f) The State Board shall provide technical assistance to
4persons and groups preparing or revising charter applications.
5    (g) At the non-renewal or revocation of its charter, each
6charter school shall refund to the local board of education all
7unspent funds.
8    (h) A charter school is authorized to incur temporary,
9short term debt to pay operating expenses in anticipation of
10receipt of funds from the local school board.
11(Source: P.A. 90-548, eff. 1-1-98; 90-757, eff. 8-14-98;
1291-407, eff. 8-3-99.)
 
13    (105 ILCS 5/29-5)  (from Ch. 122, par. 29-5)
14    Sec. 29-5. Reimbursement by State for transportation. Any
15school district, maintaining a school, transporting resident
16pupils to another school district's vocational program,
17offered through a joint agreement approved by the State Board
18of Education, as provided in Section 10-22.22 or transporting
19its resident pupils to a school which meets the standards for
20recognition as established by the State Board of Education
21which provides transportation meeting the standards of safety,
22comfort, convenience, efficiency and operation prescribed by
23the State Board of Education for resident pupils in
24kindergarten or any of grades 1 through 12 who: (a) reside at
25least 1 1/2 miles as measured by the customary route of travel,

 

 

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1from the school attended; or (b) reside in areas where
2conditions are such that walking constitutes a hazard to the
3safety of the child when determined under Section 29-3; and (c)
4are transported to the school attended from pick-up points at
5the beginning of the school day and back again at the close of
6the school day or transported to and from their assigned
7attendance centers during the school day, shall be reimbursed
8by the State as hereinafter provided in this Section through
9fiscal year 2014.
10    Through fiscal year 2014, the The State will pay the cost
11of transporting eligible pupils less the assessed valuation in
12a dual school district maintaining secondary grades 9 to 12
13inclusive times a qualifying rate of .05%; in elementary school
14districts maintaining grades K to 8 times a qualifying rate of
15.06%; and in unit districts maintaining grades K to 12,
16including optional elementary unit districts and combined high
17school - unit districts, times a qualifying rate of .07%;
18provided that for optional elementary unit districts and
19combined high school - unit districts, assessed valuation for
20high school purposes, as defined in Article 11E of this Code,
21must be used. To be eligible to receive reimbursement in excess
22of 4/5 of the cost to transport eligible pupils, a school
23district shall have a Transportation Fund tax rate of at least
24.12%. If a school district does not have a .12% Transportation
25Fund tax rate, the amount of its claim in excess of 4/5 of the
26cost of transporting pupils shall be reduced by the sum arrived

 

 

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1at by subtracting the Transportation Fund tax rate from .12%
2and multiplying that amount by the districts equalized or
3assessed valuation, provided, that in no case shall said
4reduction result in reimbursement of less than 4/5 of the cost
5to transport eligible pupils.
6    Through fiscal year 2014, the The minimum amount to be
7received by a district is $16 times the number of eligible
8pupils transported.
9    When calculating the reimbursement for transportation
10costs, the State Board of Education may not deduct the number
11of pupils enrolled in early education programs from the number
12of pupils eligible for reimbursement if the pupils enrolled in
13the early education programs are transported at the same time
14as other eligible pupils.
15    Through fiscal year 2014, any Any such district
16transporting resident pupils during the school day to an area
17vocational school or another school district's vocational
18program more than 1 1/2 miles from the school attended, as
19provided in Sections 10-22.20a and 10-22.22, shall be
20reimbursed by the State for 4/5 of the cost of transporting
21eligible pupils.
22    School day means that period of time which the pupil is
23required to be in attendance for instructional purposes.
24    If a pupil is at a location within the school district
25other than his residence for child care purposes at the time
26for transportation to school, that location may be considered

 

 

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1for purposes of determining the 1 1/2 miles from the school
2attended.
3    Claims for reimbursement that include children who attend
4any school other than a public school shall show the number of
5such children transported.
6    Claims for reimbursement under this Section shall not be
7paid for the transportation of pupils for whom transportation
8costs are claimed for payment under other Sections of this Act.
9    The allowable direct cost of transporting pupils for
10regular, vocational, and special education pupil
11transportation shall be limited to the sum of the cost of
12physical examinations required for employment as a school bus
13driver; the salaries of full or part-time drivers and school
14bus maintenance personnel; employee benefits excluding
15Illinois municipal retirement payments, social security
16payments, unemployment insurance payments and workers'
17compensation insurance premiums; expenditures to independent
18carriers who operate school buses; payments to other school
19districts for pupil transportation services; pre-approved
20contractual expenditures for computerized bus scheduling; the
21cost of gasoline, oil, tires, and other supplies necessary for
22the operation of school buses; the cost of converting buses'
23gasoline engines to more fuel efficient engines or to engines
24which use alternative energy sources; the cost of travel to
25meetings and workshops conducted by the regional
26superintendent or the State Superintendent of Education

 

 

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1pursuant to the standards established by the Secretary of State
2under Section 6-106 of the Illinois Vehicle Code to improve the
3driving skills of school bus drivers; the cost of maintenance
4of school buses including parts and materials used;
5expenditures for leasing transportation vehicles, except
6interest and service charges; the cost of insurance and
7licenses for transportation vehicles; expenditures for the
8rental of transportation equipment; plus a depreciation
9allowance of 20% for 5 years for school buses and vehicles
10approved for transporting pupils to and from school and a
11depreciation allowance of 10% for 10 years for other
12transportation equipment so used. Each school year, if a school
13district has made expenditures to the Regional Transportation
14Authority or any of its service boards, a mass transit
15district, or an urban transportation district under an
16intergovernmental agreement with the district to provide for
17the transportation of pupils and if the public transit carrier
18received direct payment for services or passes from a school
19district within its service area during the 2000-2001 school
20year, then the allowable direct cost of transporting pupils for
21regular, vocational, and special education pupil
22transportation shall also include the expenditures that the
23district has made to the public transit carrier. In addition to
24the above allowable costs school districts shall also claim all
25transportation supervisory salary costs, including Illinois
26municipal retirement payments, and all transportation related

 

 

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1building and building maintenance costs without limitation.
2    Special education allowable costs shall also include
3expenditures for the salaries of attendants or aides for that
4portion of the time they assist special education pupils while
5in transit and expenditures for parents and public carriers for
6transporting special education pupils when pre-approved by the
7State Superintendent of Education.
8    Indirect costs shall be included in the reimbursement claim
9for districts which own and operate their own school buses.
10Such indirect costs shall include administrative costs, or any
11costs attributable to transporting pupils from their
12attendance centers to another school building for
13instructional purposes. No school district which owns and
14operates its own school buses may claim reimbursement for
15indirect costs which exceed 5% of the total allowable direct
16costs for pupil transportation.
17    The State Board of Education shall prescribe uniform
18regulations for determining the above standards and shall
19prescribe forms of cost accounting and standards of determining
20reasonable depreciation. Such depreciation shall include the
21cost of equipping school buses with the safety features
22required by law or by the rules, regulations and standards
23promulgated by the State Board of Education, and the Department
24of Transportation for the safety and construction of school
25buses provided, however, any equipment cost reimbursed by the
26Department of Transportation for equipping school buses with

 

 

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1such safety equipment shall be deducted from the allowable cost
2in the computation of reimbursement under this Section in the
3same percentage as the cost of the equipment is depreciated.
4    On or before August 15, annually, through August 15, 2013,
5the chief school administrator for the district shall certify
6to the State Superintendent of Education the district's claim
7for reimbursement for the school year ending on June 30 next
8preceding. The State Superintendent of Education shall check
9and approve the claims and prepare the vouchers showing the
10amounts due for district reimbursement claims. Each fiscal year
11through fiscal year 2014, the State Superintendent of Education
12shall prepare and transmit the first 3 vouchers to the
13Comptroller on the 30th day of September, December and March,
14respectively, and the final voucher, no later than June 20.
15    If the amount appropriated for transportation
16reimbursement is insufficient to fund total claims for any
17fiscal year, the State Board of Education shall reduce each
18school district's allowable costs and flat grant amount
19proportionately to make total adjusted claims equal the total
20amount appropriated.
21    For purposes of calculating claims for reimbursement under
22this Section for any school year beginning July 1, 1998, or
23thereafter, the equalized assessed valuation for a school
24district used to compute reimbursement shall be computed in the
25same manner as it is computed under paragraph (2) of subsection
26(G) of Section 18-8.05.

 

 

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1    All reimbursements received from the State shall be
2deposited into the district's transportation fund or into the
3fund from which the allowable expenditures were made.
4    Notwithstanding any other provision of law, any school
5district receiving a payment under this Section or under
6Section 14-7.02, 14-7.02b, or 14-13.01 of this Code may
7classify all or a portion of the funds that it receives in a
8particular fiscal year or from general State aid pursuant to
9Section 18-8.05 of this Code as funds received in connection
10with any funding program for which it is entitled to receive
11funds from the State in that fiscal year (including, without
12limitation, any funding program referenced in this Section),
13regardless of the source or timing of the receipt. The district
14may not classify more funds as funds received in connection
15with the funding program than the district is entitled to
16receive in that fiscal year for that program. Any
17classification by a district must be made by a resolution of
18its board of education. The resolution must identify the amount
19of any payments or general State aid to be classified under
20this paragraph and must specify the funding program to which
21the funds are to be treated as received in connection
22therewith. This resolution is controlling as to the
23classification of funds referenced therein. A certified copy of
24the resolution must be sent to the State Superintendent of
25Education. The resolution shall still take effect even though a
26copy of the resolution has not been sent to the State

 

 

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1Superintendent of Education in a timely manner. No
2classification under this paragraph by a district shall affect
3the total amount or timing of money the district is entitled to
4receive under this Code. No classification under this paragraph
5by a district shall in any way relieve the district from or
6affect any requirements that otherwise would apply with respect
7to that funding program, including any accounting of funds by
8source, reporting expenditures by original source and purpose,
9reporting requirements, or requirements of providing services.
10    Any school district with a population of not more than
11500,000 must deposit all funds received under this Article into
12the transportation fund and use those funds for the provision
13of transportation services.
14(Source: P.A. 95-903, eff. 8-25-08; 96-1264, eff. 1-1-11.)
 
15    (105 ILCS 5/34-2.3)  (from Ch. 122, par. 34-2.3)
16    Sec. 34-2.3. Local school councils - Powers and duties.
17Each local school council shall have and exercise, consistent
18with the provisions of this Article and the powers and duties
19of the board of education, the following powers and duties:
20    1. (A) To annually evaluate the performance of the
21principal of the attendance center using a Board approved
22principal evaluation form, which shall include the evaluation
23of (i) student academic improvement, as defined by the school
24improvement plan, (ii) student absenteeism rates at the school,
25(iii) instructional leadership, (iv) the effective

 

 

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1implementation of programs, policies, or strategies to improve
2student academic achievement, (v) school management, and (vi)
3any other factors deemed relevant by the local school council,
4including, without limitation, the principal's communication
5skills and ability to create and maintain a student-centered
6learning environment, to develop opportunities for
7professional development, and to encourage parental
8involvement and community partnerships to achieve school
9improvement;
10    (B) to determine in the manner provided by subsection (c)
11of Section 34-2.2 and subdivision 1.5 of this Section whether
12the performance contract of the principal shall be renewed; and
13    (C) to directly select, in the manner provided by
14subsection (c) of Section 34-2.2, a new principal (including a
15new principal to fill a vacancy) -- without submitting any list
16of candidates for that position to the general superintendent
17as provided in paragraph 2 of this Section -- to serve under a
184 year performance contract; provided that (i) the
19determination of whether the principal's performance contract
20is to be renewed, based upon the evaluation required by
21subdivision 1.5 of this Section, shall be made no later than
22150 days prior to the expiration of the current
23performance-based contract of the principal, (ii) in cases
24where such performance contract is not renewed -- a direct
25selection of a new principal -- to serve under a 4 year
26performance contract shall be made by the local school council

 

 

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1no later than 45 days prior to the expiration of the current
2performance contract of the principal, and (iii) a selection by
3the local school council of a new principal to fill a vacancy
4under a 4 year performance contract shall be made within 90
5days after the date such vacancy occurs. A Council shall be
6required, if requested by the principal, to provide in writing
7the reasons for the council's not renewing the principal's
8contract.
9    1.5. The local school council's determination of whether to
10renew the principal's contract shall be based on an evaluation
11to assess the educational and administrative progress made at
12the school during the principal's current performance-based
13contract. The local school council shall base its evaluation on
14(i) student academic improvement, as defined by the school
15improvement plan, (ii) student absenteeism rates at the school,
16(iii) instructional leadership, (iv) the effective
17implementation of programs, policies, or strategies to improve
18student academic achievement, (v) school management, and (vi)
19any other factors deemed relevant by the local school council,
20including, without limitation, the principal's communication
21skills and ability to create and maintain a student-centered
22learning environment, to develop opportunities for
23professional development, and to encourage parental
24involvement and community partnerships to achieve school
25improvement. If a local school council fails to renew the
26performance contract of a principal rated by the general

 

 

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1superintendent, or his or her designee, in the previous years'
2evaluations as meeting or exceeding expectations, the
3principal, within 15 days after the local school council's
4decision not to renew the contract, may request a review of the
5local school council's principal non-retention decision by a
6hearing officer appointed by the American Arbitration
7Association. A local school council member or members or the
8general superintendent may support the principal's request for
9review. During the period of the hearing officer's review of
10the local school council's decision on whether or not to retain
11the principal, the local school council shall maintain all
12authority to search for and contract with a person to serve as
13interim or acting principal, or as the principal of the
14attendance center under a 4-year performance contract,
15provided that any performance contract entered into by the
16local school council shall be voidable or modified in
17accordance with the decision of the hearing officer. The
18principal may request review only once while at that attendance
19center. If a local school council renews the contract of a
20principal who failed to obtain a rating of "meets" or "exceeds
21expectations" in the general superintendent's evaluation for
22the previous year, the general superintendent, within 15 days
23after the local school council's decision to renew the
24contract, may request a review of the local school council's
25principal retention decision by a hearing officer appointed by
26the American Arbitration Association. The general

 

 

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1superintendent may request a review only once for that
2principal at that attendance center. All requests to review the
3retention or non-retention of a principal shall be submitted to
4the general superintendent, who shall, in turn, forward such
5requests, within 14 days of receipt, to the American
6Arbitration Association. The general superintendent shall send
7a contemporaneous copy of the request that was forwarded to the
8American Arbitration Association to the principal and to each
9local school council member and shall inform the local school
10council of its rights and responsibilities under the
11arbitration process, including the local school council's
12right to representation and the manner and process by which the
13Board shall pay the costs of the council's representation. If
14the local school council retains the principal and the general
15superintendent requests a review of the retention decision, the
16local school council and the general superintendent shall be
17considered parties to the arbitration, a hearing officer shall
18be chosen between those 2 parties pursuant to procedures
19promulgated by the State Board of Education, and the principal
20may retain counsel and participate in the arbitration. If the
21local school council does not retain the principal and the
22principal requests a review of the retention decision, the
23local school council and the principal shall be considered
24parties to the arbitration and a hearing officer shall be
25chosen between those 2 parties pursuant to procedures
26promulgated by the State Board of Education. The hearing shall

 

 

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1begin (i) within 45 days after the initial request for review
2is submitted by the principal to the general superintendent or
3(ii) if the initial request for review is made by the general
4superintendent, within 45 days after that request is mailed to
5the American Arbitration Association. The hearing officer
6shall render a decision within 45 days after the hearing begins
7and within 90 days after the initial request for review. The
8Board shall contract with the American Arbitration Association
9for all of the hearing officer's reasonable and necessary
10costs. In addition, the Board shall pay any reasonable costs
11incurred by a local school council for representation before a
12hearing officer.
13    1.10. The hearing officer shall conduct a hearing, which
14shall include (i) a review of the principal's performance,
15evaluations, and other evidence of the principal's service at
16the school, (ii) reasons provided by the local school council
17for its decision, and (iii) documentation evidencing views of
18interested persons, including, without limitation, students,
19parents, local school council members, school faculty and
20staff, the principal, the general superintendent or his or her
21designee, and members of the community. The burden of proof in
22establishing that the local school council's decision was
23arbitrary and capricious shall be on the party requesting the
24arbitration, and this party shall sustain the burden by a
25preponderance of the evidence. The hearing officer shall set
26the local school council decision aside if that decision, in

 

 

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1light of the record developed at the hearing, is arbitrary and
2capricious. The decision of the hearing officer may not be
3appealed to the Board or the State Board of Education. If the
4hearing officer decides that the principal shall be retained,
5the retention period shall not exceed 2 years.
6    2. In the event (i) the local school council does not renew
7the performance contract of the principal, or the principal
8fails to receive a satisfactory rating as provided in
9subsection (h) of Section 34-8.3, or the principal is removed
10for cause during the term of his or her performance contract in
11the manner provided by Section 34-85, or a vacancy in the
12position of principal otherwise occurs prior to the expiration
13of the term of a principal's performance contract, and (ii) the
14local school council fails to directly select a new principal
15to serve under a 4 year performance contract, the local school
16council in such event shall submit to the general
17superintendent a list of 3 candidates -- listed in the local
18school council's order of preference -- for the position of
19principal, one of which shall be selected by the general
20superintendent to serve as principal of the attendance center.
21If the general superintendent fails or refuses to select one of
22the candidates on the list to serve as principal within 30 days
23after being furnished with the candidate list, the general
24superintendent shall select and place a principal on an interim
25basis (i) for a period not to exceed one year or (ii) until the
26local school council selects a new principal with 7 affirmative

 

 

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1votes as provided in subsection (c) of Section 34-2.2,
2whichever occurs first. If the local school council fails or
3refuses to select and appoint a new principal, as specified by
4subsection (c) of Section 34-2.2, the general superintendent
5may select and appoint a new principal on an interim basis for
6an additional year or until a new contract principal is
7selected by the local school council. There shall be no
8discrimination on the basis of race, sex, creed, color or
9disability unrelated to ability to perform in connection with
10the submission of candidates for, and the selection of a
11candidate to serve as principal of an attendance center. No
12person shall be directly selected, listed as a candidate for,
13or selected to serve as principal of an attendance center (i)
14if such person has been removed for cause from employment by
15the Board or (ii) if such person does not hold a valid
16administrative certificate issued or exchanged under Article
1721 and endorsed as required by that Article for the position of
18principal. A principal whose performance contract is not
19renewed as provided under subsection (c) of Section 34-2.2 may
20nevertheless, if otherwise qualified and certified as herein
21provided and if he or she has received a satisfactory rating as
22provided in subsection (h) of Section 34-8.3, be included by a
23local school council as one of the 3 candidates listed in order
24of preference on any candidate list from which one person is to
25be selected to serve as principal of the attendance center
26under a new performance contract. The initial candidate list

 

 

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1required to be submitted by a local school council to the
2general superintendent in cases where the local school council
3does not renew the performance contract of its principal and
4does not directly select a new principal to serve under a 4
5year performance contract shall be submitted not later than 30
6days prior to the expiration of the current performance
7contract. In cases where the local school council fails or
8refuses to submit the candidate list to the general
9superintendent no later than 30 days prior to the expiration of
10the incumbent principal's contract, the general superintendent
11may appoint a principal on an interim basis for a period not to
12exceed one year, during which time the local school council
13shall be able to select a new principal with 7 affirmative
14votes as provided in subsection (c) of Section 34-2.2. In cases
15where a principal is removed for cause or a vacancy otherwise
16occurs in the position of principal and the vacancy is not
17filled by direct selection by the local school council, the
18candidate list shall be submitted by the local school council
19to the general superintendent within 90 days after the date
20such removal or vacancy occurs. In cases where the local school
21council fails or refuses to submit the candidate list to the
22general superintendent within 90 days after the date of the
23vacancy, the general superintendent may appoint a principal on
24an interim basis for a period of one year, during which time
25the local school council shall be able to select a new
26principal with 7 affirmative votes as provided in subsection

 

 

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1(c) of Section 34-2.2.
2    2.5. Whenever a vacancy in the office of a principal occurs
3for any reason, the vacancy shall be filled in the manner
4provided by this Section by the selection of a new principal to
5serve under a 4 year performance contract.
6    3. To establish additional criteria to be included as part
7of the performance contract of its principal, provided that
8such additional criteria shall not discriminate on the basis of
9race, sex, creed, color or disability unrelated to ability to
10perform, and shall not be inconsistent with the uniform 4 year
11performance contract for principals developed by the board as
12provided in Section 34-8.1 of the School Code or with other
13provisions of this Article governing the authority and
14responsibility of principals.
15    4. To approve the expenditure plan prepared by the
16principal with respect to all funds allocated and distributed
17to the attendance center by the Board. The expenditure plan
18shall be administered by the principal. Notwithstanding any
19other provision of this Act or any other law, any expenditure
20plan approved and administered under this Section 34-2.3 shall
21be consistent with and subject to the terms of any contract for
22services with a third party entered into by the Chicago School
23Reform Board of Trustees or the board under this Act.
24    Via a supermajority vote of 7 members of the local school
25council or 8 members of a high school local school council, the
26Council may transfer allocations pursuant to Section 34-2.3

 

 

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1within funds; provided that such a transfer is consistent with
2applicable law and collective bargaining agreements.
3    Beginning in fiscal year 1991 and in each fiscal year
4thereafter, the Board may reserve up to 1% of its total fiscal
5year budget for distribution on a prioritized basis to schools
6throughout the school system in order to assure adequate
7programs to meet the needs of special student populations as
8determined by the Board. This distribution shall take into
9account the needs catalogued in the Systemwide Plan and the
10various local school improvement plans of the local school
11councils. Information about these centrally funded programs
12shall be distributed to the local school councils so that their
13subsequent planning and programming will account for these
14provisions.
15    Beginning in fiscal year 1991 and in each fiscal year
16thereafter, from other amounts available in the applicable
17fiscal year budget, the board shall allocate a lump sum amount
18to each local school based upon such formula as the board shall
19determine taking into account the special needs of the student
20body. The local school principal shall develop an expenditure
21plan in consultation with the local school council, the
22professional personnel leadership committee and with all other
23school personnel, which reflects the priorities and activities
24as described in the school's local school improvement plan and
25is consistent with applicable law and collective bargaining
26agreements and with board policies and standards; however, the

 

 

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1local school council shall have the right to request waivers of
2board policy from the board of education and waivers of
3employee collective bargaining agreements pursuant to Section
434-8.1a.
5    The expenditure plan developed by the principal with
6respect to amounts available from the fund for prioritized
7special needs programs and the allocated lump sum amount must
8be approved by the local school council.
9    The lump sum allocation shall take into account the
10following principles:
11        a. Teachers: Each school shall be allocated funds equal
12    to the amount appropriated in the previous school year for
13    compensation for teachers (regular grades kindergarten
14    through 12th grade) plus whatever increases in
15    compensation have been negotiated contractually or through
16    longevity as provided in the negotiated agreement.
17    Adjustments shall be made due to layoff or reduction in
18    force, lack of funds or work, change in subject
19    requirements, enrollment changes, or contracts with third
20    parties for the performance of services or to rectify any
21    inconsistencies with system-wide allocation formulas or
22    for other legitimate reasons.
23        b. Other personnel: Funds for other teacher
24    certificated and uncertificated personnel paid through
25    non-categorical funds shall be provided according to
26    system-wide formulas based on student enrollment and the

 

 

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1    special needs of the school as determined by the Board.
2        c. Non-compensation items: Appropriations for all
3    non-compensation items shall be based on system-wide
4    formulas based on student enrollment and on the special
5    needs of the school or factors related to the physical
6    plant, including but not limited to textbooks, electronic
7    textbooks and the technological equipment necessary to
8    gain access to and use electronic textbooks, supplies,
9    electricity, equipment, and routine maintenance.
10        d. Funds for categorical programs: Schools shall
11    receive personnel and funds based on, and shall use such
12    personnel and funds in accordance with State and Federal
13    requirements applicable to each categorical program
14    provided to meet the special needs of the student body
15    (including but not limited to, Federal Chapter I,
16    Bilingual, and Special Education).
17        d.1. Funds for State Title I: Each school shall receive
18    funds based on State and Board requirements applicable to
19    each State Title I pupil provided to meet the special needs
20    of the student body. Each school shall receive the
21    proportion of funds as provided in Section 18-8 or 18-8.15
22    to which they are entitled. These funds shall be spent only
23    with the budgetary approval of the Local School Council as
24    provided in Section 34-2.3.
25        e. The Local School Council shall have the right to
26    request the principal to close positions and open new ones

 

 

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1    consistent with the provisions of the local school
2    improvement plan provided that these decisions are
3    consistent with applicable law and collective bargaining
4    agreements. If a position is closed, pursuant to this
5    paragraph, the local school shall have for its use the
6    system-wide average compensation for the closed position.
7        f. Operating within existing laws and collective
8    bargaining agreements, the local school council shall have
9    the right to direct the principal to shift expenditures
10    within funds.
11        g. (Blank).
12    Any funds unexpended at the end of the fiscal year shall be
13available to the board of education for use as part of its
14budget for the following fiscal year.
15    5. To make recommendations to the principal concerning
16textbook selection and concerning curriculum developed
17pursuant to the school improvement plan which is consistent
18with systemwide curriculum objectives in accordance with
19Sections 34-8 and 34-18 of the School Code and in conformity
20with the collective bargaining agreement.
21    6. To advise the principal concerning the attendance and
22disciplinary policies for the attendance center, subject to the
23provisions of this Article and Article 26, and consistent with
24the uniform system of discipline established by the board
25pursuant to Section 34-19.
26    7. To approve a school improvement plan developed as

 

 

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1provided in Section 34-2.4. The process and schedule for plan
2development shall be publicized to the entire school community,
3and the community shall be afforded the opportunity to make
4recommendations concerning the plan. At least twice a year the
5principal and local school council shall report publicly on
6progress and problems with respect to plan implementation.
7    8. To evaluate the allocation of teaching resources and
8other certificated and uncertificated staff to the attendance
9center to determine whether such allocation is consistent with
10and in furtherance of instructional objectives and school
11programs reflective of the school improvement plan adopted for
12the attendance center; and to make recommendations to the
13board, the general superintendent and the principal concerning
14any reallocation of teaching resources or other staff whenever
15the council determines that any such reallocation is
16appropriate because the qualifications of any existing staff at
17the attendance center do not adequately match or support
18instructional objectives or school programs which reflect the
19school improvement plan.
20    9. To make recommendations to the principal and the general
21superintendent concerning their respective appointments, after
22August 31, 1989, and in the manner provided by Section 34-8 and
23Section 34-8.1, of persons to fill any vacant, additional or
24newly created positions for teachers at the attendance center
25or at attendance centers which include the attendance center
26served by the local school council.

 

 

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1    10. To request of the Board the manner in which training
2and assistance shall be provided to the local school council.
3Pursuant to Board guidelines a local school council is
4authorized to direct the Board of Education to contract with
5personnel or not-for-profit organizations not associated with
6the school district to train or assist council members. If
7training or assistance is provided by contract with personnel
8or organizations not associated with the school district, the
9period of training or assistance shall not exceed 30 hours
10during a given school year; person shall not be employed on a
11continuous basis longer than said period and shall not have
12been employed by the Chicago Board of Education within the
13preceding six months. Council members shall receive training in
14at least the following areas:
15        1. school budgets;
16        2. educational theory pertinent to the attendance
17    center's particular needs, including the development of
18    the school improvement plan and the principal's
19    performance contract; and
20        3. personnel selection.
21Council members shall, to the greatest extent possible,
22complete such training within 90 days of election.
23    11. In accordance with systemwide guidelines contained in
24the System-Wide Educational Reform Goals and Objectives Plan,
25criteria for evaluation of performance shall be established for
26local school councils and local school council members. If a

 

 

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1local school council persists in noncompliance with systemwide
2requirements, the Board may impose sanctions and take necessary
3corrective action, consistent with Section 34-8.3.
4    12. Each local school council shall comply with the Open
5Meetings Act and the Freedom of Information Act. Each local
6school council shall issue and transmit to its school community
7a detailed annual report accounting for its activities
8programmatically and financially. Each local school council
9shall convene at least 2 well-publicized meetings annually with
10its entire school community. These meetings shall include
11presentation of the proposed local school improvement plan, of
12the proposed school expenditure plan, and the annual report,
13and shall provide an opportunity for public comment.
14    13. Each local school council is encouraged to involve
15additional non-voting members of the school community in
16facilitating the council's exercise of its responsibilities.
17    14. The local school council may adopt a school uniform or
18dress code policy that governs the attendance center and that
19is necessary to maintain the orderly process of a school
20function or prevent endangerment of student health or safety,
21consistent with the policies and rules of the Board of
22Education. A school uniform or dress code policy adopted by a
23local school council: (i) shall not be applied in such manner
24as to discipline or deny attendance to a transfer student or
25any other student for noncompliance with that policy during
26such period of time as is reasonably necessary to enable the

 

 

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1student to acquire a school uniform or otherwise comply with
2the dress code policy that is in effect at the attendance
3center into which the student's enrollment is transferred; and
4(ii) shall include criteria and procedures under which the
5local school council will accommodate the needs of or otherwise
6provide appropriate resources to assist a student from an
7indigent family in complying with an applicable school uniform
8or dress code policy. A student whose parents or legal
9guardians object on religious grounds to the student's
10compliance with an applicable school uniform or dress code
11policy shall not be required to comply with that policy if the
12student's parents or legal guardians present to the local
13school council a signed statement of objection detailing the
14grounds for the objection.
15    15. All decisions made and actions taken by the local
16school council in the exercise of its powers and duties shall
17comply with State and federal laws, all applicable collective
18bargaining agreements, court orders and rules properly
19promulgated by the Board.
20    15a. To grant, in accordance with board rules and policies,
21the use of assembly halls and classrooms when not otherwise
22needed, including lighting, heat, and attendants, for public
23lectures, concerts, and other educational and social
24activities.
25    15b. To approve, in accordance with board rules and
26policies, receipts and expenditures for all internal accounts

 

 

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1of the attendance center, and to approve all fund-raising
2activities by nonschool organizations that use the school
3building.
4    16. (Blank).
5    17. Names and addresses of local school council members
6shall be a matter of public record.
7(Source: P.A. 96-1403, eff. 7-29-10.)
 
8    (105 ILCS 5/34-8.4)
9    Sec. 34-8.4. Intervention. The Chicago Schools Academic
10Accountability Council may recommend to the Chicago School
11Reform Board of Trustees that any school placed on remediation
12or probation under Section 34-8.3 or schools that for the 3
13consecutive school years of 1992-1993, 1993-1994, and
141994-1995 have met the State Board of Education's category of
15"does not meet expectations" be made subject to intervention
16under this Section 34-8.4. In addition to any powers created
17under this Section, the Trustees shall have all powers created
18under Section 34-8.3 with respect to schools subjected to
19intervention.
20    Prior to subjecting a school to intervention, the Trustees
21shall conduct a public hearing and make findings of facts
22concerning the recommendation of the Chicago Schools Academic
23Accountability Council and the factors causing the failure of
24the school to adequately perform. The Trustees shall afford an
25opportunity at the hearing for interested persons to comment

 

 

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1about the intervention recommendation. After the hearing has
2been held and completion of findings of fact, the Trustees
3shall make a determination whether to subject the school to
4intervention.
5    If the Trustees determine that a school shall be subject to
6intervention under this Section, the Trustees shall develop an
7intervention implementation plan and shall cause a performance
8evaluation to be made of each employee at the school. Upon
9consideration of such evaluations, and consistent with the
10intervention implementation plan, the Trustees may reassign,
11layoff, or dismiss any employees at the attendance center,
12notwithstanding the provisions of Sections 24A-5 and 34-85.
13    The chief educational officer shall appoint a principal for
14the school and shall set the terms and conditions of the
15principal's contract, which in no case may be longer than 2
16years. The principal shall select all teachers and
17non-certified personnel for the school as may be necessary. Any
18provision of Section 34-8.1 that conflicts with this Section
19shall not apply to a school subjected to intervention under
20this Section.
21    If pursuant to this Section, the general superintendent,
22with the approval of the board, orders new local school council
23elections, the general superintendent shall carry out the
24responsibilities of the local school council for a school
25subject to intervention until the new local school council
26members are elected and trained.

 

 

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1    Each school year, 5% of the supplemental general State aid
2or supplemental grant funds distributed to a school subject to
3intervention during that school year under subsection
45(i)(1)(a) of part A of Section 18-8, or subsection (H) of
5Section 18-8.05, or subsection (h) of Section 18-8.15 shall be
6used for employee performance incentives. The Trustees shall
7prepare a report evaluating the results of any interventions
8undertaken pursuant to this Section and shall make
9recommendations concerning implementation of special programs
10for dealing with underperforming schools on an ongoing basis.
11This report shall be submitted to the State Superintendent of
12Education and Mayor of the City of Chicago by January 1, 1999.
13(Source: P.A. 89-15, eff. 5-30-95; 89-698, eff. 1-14-97;
1490-548, eff. 1-1-98.)
 
15    (105 ILCS 5/34-18)  (from Ch. 122, par. 34-18)
16    Sec. 34-18. Powers of the board. The board shall exercise
17general supervision and jurisdiction over the public education
18and the public school system of the city, and, except as
19otherwise provided by this Article, shall have power:
20        1. To make suitable provision for the establishment and
21    maintenance throughout the year or for such portion thereof
22    as it may direct, not less than 9 months, of schools of all
23    grades and kinds, including normal schools, high schools,
24    night schools, schools for defectives and delinquents,
25    parental and truant schools, schools for the blind, the

 

 

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1    deaf and the physically disabled, schools or classes in
2    manual training, constructural and vocational teaching,
3    domestic arts and physical culture, vocation and extension
4    schools and lecture courses, and all other educational
5    courses and facilities, including establishing, equipping,
6    maintaining and operating playgrounds and recreational
7    programs, when such programs are conducted in, adjacent to,
8    or connected with any public school under the general
9    supervision and jurisdiction of the board; provided that
10    the calendar for the school term and any changes must be
11    submitted to and approved by the State Board of Education
12    before the calendar or changes may take effect, and
13    provided that in allocating funds from year to year for the
14    operation of all attendance centers within the district,
15    the board shall ensure that supplemental general State aid
16    or supplemental grant funds are allocated and applied in
17    accordance with Section 18-8, or 18-8.05, or 18-8.15. To
18    admit to such schools without charge foreign exchange
19    students who are participants in an organized exchange
20    student program which is authorized by the board. The board
21    shall permit all students to enroll in apprenticeship
22    programs in trade schools operated by the board, whether
23    those programs are union-sponsored or not. No student shall
24    be refused admission into or be excluded from any course of
25    instruction offered in the common schools by reason of that
26    student's sex. No student shall be denied equal access to

 

 

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1    physical education and interscholastic athletic programs
2    supported from school district funds or denied
3    participation in comparable physical education and
4    athletic programs solely by reason of the student's sex.
5    Equal access to programs supported from school district
6    funds and comparable programs will be defined in rules
7    promulgated by the State Board of Education in consultation
8    with the Illinois High School Association. Notwithstanding
9    any other provision of this Article, neither the board of
10    education nor any local school council or other school
11    official shall recommend that children with disabilities
12    be placed into regular education classrooms unless those
13    children with disabilities are provided with supplementary
14    services to assist them so that they benefit from the
15    regular classroom instruction and are included on the
16    teacher's regular education class register;
17        2. To furnish lunches to pupils, to make a reasonable
18    charge therefor, and to use school funds for the payment of
19    such expenses as the board may determine are necessary in
20    conducting the school lunch program;
21        3. To co-operate with the circuit court;
22        4. To make arrangements with the public or quasi-public
23    libraries and museums for the use of their facilities by
24    teachers and pupils of the public schools;
25        5. To employ dentists and prescribe their duties for
26    the purpose of treating the pupils in the schools, but

 

 

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1    accepting such treatment shall be optional with parents or
2    guardians;
3        6. To grant the use of assembly halls and classrooms
4    when not otherwise needed, including light, heat, and
5    attendants, for free public lectures, concerts, and other
6    educational and social interests, free of charge, under
7    such provisions and control as the principal of the
8    affected attendance center may prescribe;
9        7. To apportion the pupils to the several schools;
10    provided that no pupil shall be excluded from or segregated
11    in any such school on account of his color, race, sex, or
12    nationality. The board shall take into consideration the
13    prevention of segregation and the elimination of
14    separation of children in public schools because of color,
15    race, sex, or nationality. Except that children may be
16    committed to or attend parental and social adjustment
17    schools established and maintained either for boys or girls
18    only. All records pertaining to the creation, alteration or
19    revision of attendance areas shall be open to the public.
20    Nothing herein shall limit the board's authority to
21    establish multi-area attendance centers or other student
22    assignment systems for desegregation purposes or
23    otherwise, and to apportion the pupils to the several
24    schools. Furthermore, beginning in school year 1994-95,
25    pursuant to a board plan adopted by October 1, 1993, the
26    board shall offer, commencing on a phased-in basis, the

 

 

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1    opportunity for families within the school district to
2    apply for enrollment of their children in any attendance
3    center within the school district which does not have
4    selective admission requirements approved by the board.
5    The appropriate geographical area in which such open
6    enrollment may be exercised shall be determined by the
7    board of education. Such children may be admitted to any
8    such attendance center on a space available basis after all
9    children residing within such attendance center's area
10    have been accommodated. If the number of applicants from
11    outside the attendance area exceed the space available,
12    then successful applicants shall be selected by lottery.
13    The board of education's open enrollment plan must include
14    provisions that allow low income students to have access to
15    transportation needed to exercise school choice. Open
16    enrollment shall be in compliance with the provisions of
17    the Consent Decree and Desegregation Plan cited in Section
18    34-1.01;
19        8. To approve programs and policies for providing
20    transportation services to students. Nothing herein shall
21    be construed to permit or empower the State Board of
22    Education to order, mandate, or require busing or other
23    transportation of pupils for the purpose of achieving
24    racial balance in any school;
25        9. Subject to the limitations in this Article, to
26    establish and approve system-wide curriculum objectives

 

 

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1    and standards, including graduation standards, which
2    reflect the multi-cultural diversity in the city and are
3    consistent with State law, provided that for all purposes
4    of this Article courses or proficiency in American Sign
5    Language shall be deemed to constitute courses or
6    proficiency in a foreign language; and to employ principals
7    and teachers, appointed as provided in this Article, and
8    fix their compensation. The board shall prepare such
9    reports related to minimal competency testing as may be
10    requested by the State Board of Education, and in addition
11    shall monitor and approve special education and bilingual
12    education programs and policies within the district to
13    assure that appropriate services are provided in
14    accordance with applicable State and federal laws to
15    children requiring services and education in those areas;
16        10. To employ non-teaching personnel or utilize
17    volunteer personnel for: (i) non-teaching duties not
18    requiring instructional judgment or evaluation of pupils,
19    including library duties; and (ii) supervising study
20    halls, long distance teaching reception areas used
21    incident to instructional programs transmitted by
22    electronic media such as computers, video, and audio,
23    detention and discipline areas, and school-sponsored
24    extracurricular activities. The board may further utilize
25    volunteer non-certificated personnel or employ
26    non-certificated personnel to assist in the instruction of

 

 

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1    pupils under the immediate supervision of a teacher holding
2    a valid certificate, directly engaged in teaching subject
3    matter or conducting activities; provided that the teacher
4    shall be continuously aware of the non-certificated
5    persons' activities and shall be able to control or modify
6    them. The general superintendent shall determine
7    qualifications of such personnel and shall prescribe rules
8    for determining the duties and activities to be assigned to
9    such personnel;
10        10.5. To utilize volunteer personnel from a regional
11    School Crisis Assistance Team (S.C.A.T.), created as part
12    of the Safe to Learn Program established pursuant to
13    Section 25 of the Illinois Violence Prevention Act of 1995,
14    to provide assistance to schools in times of violence or
15    other traumatic incidents within a school community by
16    providing crisis intervention services to lessen the
17    effects of emotional trauma on individuals and the
18    community; the School Crisis Assistance Team Steering
19    Committee shall determine the qualifications for
20    volunteers;
21        11. To provide television studio facilities in not to
22    exceed one school building and to provide programs for
23    educational purposes, provided, however, that the board
24    shall not construct, acquire, operate, or maintain a
25    television transmitter; to grant the use of its studio
26    facilities to a licensed television station located in the

 

 

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1    school district; and to maintain and operate not to exceed
2    one school radio transmitting station and provide programs
3    for educational purposes;
4        12. To offer, if deemed appropriate, outdoor education
5    courses, including field trips within the State of
6    Illinois, or adjacent states, and to use school educational
7    funds for the expense of the said outdoor educational
8    programs, whether within the school district or not;
9        13. During that period of the calendar year not
10    embraced within the regular school term, to provide and
11    conduct courses in subject matters normally embraced in the
12    program of the schools during the regular school term and
13    to give regular school credit for satisfactory completion
14    by the student of such courses as may be approved for
15    credit by the State Board of Education;
16        14. To insure against any loss or liability of the
17    board, the former School Board Nominating Commission,
18    Local School Councils, the Chicago Schools Academic
19    Accountability Council, or the former Subdistrict Councils
20    or of any member, officer, agent or employee thereof,
21    resulting from alleged violations of civil rights arising
22    from incidents occurring on or after September 5, 1967 or
23    from the wrongful or negligent act or omission of any such
24    person whether occurring within or without the school
25    premises, provided the officer, agent or employee was, at
26    the time of the alleged violation of civil rights or

 

 

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1    wrongful act or omission, acting within the scope of his
2    employment or under direction of the board, the former
3    School Board Nominating Commission, the Chicago Schools
4    Academic Accountability Council, Local School Councils, or
5    the former Subdistrict Councils; and to provide for or
6    participate in insurance plans for its officers and
7    employees, including but not limited to retirement
8    annuities, medical, surgical and hospitalization benefits
9    in such types and amounts as may be determined by the
10    board; provided, however, that the board shall contract for
11    such insurance only with an insurance company authorized to
12    do business in this State. Such insurance may include
13    provision for employees who rely on treatment by prayer or
14    spiritual means alone for healing, in accordance with the
15    tenets and practice of a recognized religious
16    denomination;
17        15. To contract with the corporate authorities of any
18    municipality or the county board of any county, as the case
19    may be, to provide for the regulation of traffic in parking
20    areas of property used for school purposes, in such manner
21    as is provided by Section 11-209 of The Illinois Vehicle
22    Code, approved September 29, 1969, as amended;
23        16. (a) To provide, on an equal basis, access to a high
24    school campus and student directory information to the
25    official recruiting representatives of the armed forces of
26    Illinois and the United States for the purposes of

 

 

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1    informing students of the educational and career
2    opportunities available in the military if the board has
3    provided such access to persons or groups whose purpose is
4    to acquaint students with educational or occupational
5    opportunities available to them. The board is not required
6    to give greater notice regarding the right of access to
7    recruiting representatives than is given to other persons
8    and groups. In this paragraph 16, "directory information"
9    means a high school student's name, address, and telephone
10    number.
11        (b) If a student or his or her parent or guardian
12    submits a signed, written request to the high school before
13    the end of the student's sophomore year (or if the student
14    is a transfer student, by another time set by the high
15    school) that indicates that the student or his or her
16    parent or guardian does not want the student's directory
17    information to be provided to official recruiting
18    representatives under subsection (a) of this Section, the
19    high school may not provide access to the student's
20    directory information to these recruiting representatives.
21    The high school shall notify its students and their parents
22    or guardians of the provisions of this subsection (b).
23        (c) A high school may require official recruiting
24    representatives of the armed forces of Illinois and the
25    United States to pay a fee for copying and mailing a
26    student's directory information in an amount that is not

 

 

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1    more than the actual costs incurred by the high school.
2        (d) Information received by an official recruiting
3    representative under this Section may be used only to
4    provide information to students concerning educational and
5    career opportunities available in the military and may not
6    be released to a person who is not involved in recruiting
7    students for the armed forces of Illinois or the United
8    States;
9        17. (a) To sell or market any computer program
10    developed by an employee of the school district, provided
11    that such employee developed the computer program as a
12    direct result of his or her duties with the school district
13    or through the utilization of the school district resources
14    or facilities. The employee who developed the computer
15    program shall be entitled to share in the proceeds of such
16    sale or marketing of the computer program. The distribution
17    of such proceeds between the employee and the school
18    district shall be as agreed upon by the employee and the
19    school district, except that neither the employee nor the
20    school district may receive more than 90% of such proceeds.
21    The negotiation for an employee who is represented by an
22    exclusive bargaining representative may be conducted by
23    such bargaining representative at the employee's request.
24        (b) For the purpose of this paragraph 17:
25            (1) "Computer" means an internally programmed,
26        general purpose digital device capable of

 

 

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1        automatically accepting data, processing data and
2        supplying the results of the operation.
3            (2) "Computer program" means a series of coded
4        instructions or statements in a form acceptable to a
5        computer, which causes the computer to process data in
6        order to achieve a certain result.
7            (3) "Proceeds" means profits derived from
8        marketing or sale of a product after deducting the
9        expenses of developing and marketing such product;
10        18. To delegate to the general superintendent of
11    schools, by resolution, the authority to approve contracts
12    and expenditures in amounts of $10,000 or less;
13        19. Upon the written request of an employee, to
14    withhold from the compensation of that employee any dues,
15    payments or contributions payable by such employee to any
16    labor organization as defined in the Illinois Educational
17    Labor Relations Act. Under such arrangement, an amount
18    shall be withheld from each regular payroll period which is
19    equal to the pro rata share of the annual dues plus any
20    payments or contributions, and the board shall transmit
21    such withholdings to the specified labor organization
22    within 10 working days from the time of the withholding;
23        19a. Upon receipt of notice from the comptroller of a
24    municipality with a population of 500,000 or more, a county
25    with a population of 3,000,000 or more, the Cook County
26    Forest Preserve District, the Chicago Park District, the

 

 

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1    Metropolitan Water Reclamation District, the Chicago
2    Transit Authority, or a housing authority of a municipality
3    with a population of 500,000 or more that a debt is due and
4    owing the municipality, the county, the Cook County Forest
5    Preserve District, the Chicago Park District, the
6    Metropolitan Water Reclamation District, the Chicago
7    Transit Authority, or the housing authority by an employee
8    of the Chicago Board of Education, to withhold, from the
9    compensation of that employee, the amount of the debt that
10    is due and owing and pay the amount withheld to the
11    municipality, the county, the Cook County Forest Preserve
12    District, the Chicago Park District, the Metropolitan
13    Water Reclamation District, the Chicago Transit Authority,
14    or the housing authority; provided, however, that the
15    amount deducted from any one salary or wage payment shall
16    not exceed 25% of the net amount of the payment. Before the
17    Board deducts any amount from any salary or wage of an
18    employee under this paragraph, the municipality, the
19    county, the Cook County Forest Preserve District, the
20    Chicago Park District, the Metropolitan Water Reclamation
21    District, the Chicago Transit Authority, or the housing
22    authority shall certify that (i) the employee has been
23    afforded an opportunity for a hearing to dispute the debt
24    that is due and owing the municipality, the county, the
25    Cook County Forest Preserve District, the Chicago Park
26    District, the Metropolitan Water Reclamation District, the

 

 

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1    Chicago Transit Authority, or the housing authority and
2    (ii) the employee has received notice of a wage deduction
3    order and has been afforded an opportunity for a hearing to
4    object to the order. For purposes of this paragraph, "net
5    amount" means that part of the salary or wage payment
6    remaining after the deduction of any amounts required by
7    law to be deducted and "debt due and owing" means (i) a
8    specified sum of money owed to the municipality, the
9    county, the Cook County Forest Preserve District, the
10    Chicago Park District, the Metropolitan Water Reclamation
11    District, the Chicago Transit Authority, or the housing
12    authority for services, work, or goods, after the period
13    granted for payment has expired, or (ii) a specified sum of
14    money owed to the municipality, the county, the Cook County
15    Forest Preserve District, the Chicago Park District, the
16    Metropolitan Water Reclamation District, the Chicago
17    Transit Authority, or the housing authority pursuant to a
18    court order or order of an administrative hearing officer
19    after the exhaustion of, or the failure to exhaust,
20    judicial review;
21        20. The board is encouraged to employ a sufficient
22    number of certified school counselors to maintain a
23    student/counselor ratio of 250 to 1 by July 1, 1990. Each
24    counselor shall spend at least 75% of his work time in
25    direct contact with students and shall maintain a record of
26    such time;

 

 

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1        21. To make available to students vocational and career
2    counseling and to establish 5 special career counseling
3    days for students and parents. On these days
4    representatives of local businesses and industries shall
5    be invited to the school campus and shall inform students
6    of career opportunities available to them in the various
7    businesses and industries. Special consideration shall be
8    given to counseling minority students as to career
9    opportunities available to them in various fields. For the
10    purposes of this paragraph, minority student means a person
11    who is any of the following:
12        (a) American Indian or Alaska Native (a person having
13    origins in any of the original peoples of North and South
14    America, including Central America, and who maintains
15    tribal affiliation or community attachment).
16        (b) Asian (a person having origins in any of the
17    original peoples of the Far East, Southeast Asia, or the
18    Indian subcontinent, including, but not limited to,
19    Cambodia, China, India, Japan, Korea, Malaysia, Pakistan,
20    the Philippine Islands, Thailand, and Vietnam).
21        (c) Black or African American (a person having origins
22    in any of the black racial groups of Africa). Terms such as
23    "Haitian" or "Negro" can be used in addition to "Black or
24    African American".
25        (d) Hispanic or Latino (a person of Cuban, Mexican,
26    Puerto Rican, South or Central American, or other Spanish

 

 

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1    culture or origin, regardless of race).
2        (e) Native Hawaiian or Other Pacific Islander (a person
3    having origins in any of the original peoples of Hawaii,
4    Guam, Samoa, or other Pacific Islands).
5        Counseling days shall not be in lieu of regular school
6    days;
7        22. To report to the State Board of Education the
8    annual student dropout rate and number of students who
9    graduate from, transfer from or otherwise leave bilingual
10    programs;
11        23. Except as otherwise provided in the Abused and
12    Neglected Child Reporting Act or other applicable State or
13    federal law, to permit school officials to withhold, from
14    any person, information on the whereabouts of any child
15    removed from school premises when the child has been taken
16    into protective custody as a victim of suspected child
17    abuse. School officials shall direct such person to the
18    Department of Children and Family Services, or to the local
19    law enforcement agency if appropriate;
20        24. To develop a policy, based on the current state of
21    existing school facilities, projected enrollment and
22    efficient utilization of available resources, for capital
23    improvement of schools and school buildings within the
24    district, addressing in that policy both the relative
25    priority for major repairs, renovations and additions to
26    school facilities, and the advisability or necessity of

 

 

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1    building new school facilities or closing existing schools
2    to meet current or projected demographic patterns within
3    the district;
4        25. To make available to the students in every high
5    school attendance center the ability to take all courses
6    necessary to comply with the Board of Higher Education's
7    college entrance criteria effective in 1993;
8        26. To encourage mid-career changes into the teaching
9    profession, whereby qualified professionals become
10    certified teachers, by allowing credit for professional
11    employment in related fields when determining point of
12    entry on teacher pay scale;
13        27. To provide or contract out training programs for
14    administrative personnel and principals with revised or
15    expanded duties pursuant to this Act in order to assure
16    they have the knowledge and skills to perform their duties;
17        28. To establish a fund for the prioritized special
18    needs programs, and to allocate such funds and other lump
19    sum amounts to each attendance center in a manner
20    consistent with the provisions of part 4 of Section 34-2.3.
21    Nothing in this paragraph shall be construed to require any
22    additional appropriations of State funds for this purpose;
23        29. (Blank);
24        30. Notwithstanding any other provision of this Act or
25    any other law to the contrary, to contract with third
26    parties for services otherwise performed by employees,

 

 

09800SB0016sam002- 416 -LRB098 04277 NHT 59066 a

1    including those in a bargaining unit, and to layoff those
2    employees upon 14 days written notice to the affected
3    employees. Those contracts may be for a period not to
4    exceed 5 years and may be awarded on a system-wide basis.
5    The board may not operate more than 30 contract schools,
6    provided that the board may operate an additional 5
7    contract turnaround schools pursuant to item (5.5) of
8    subsection (d) of Section 34-8.3 of this Code;
9        31. To promulgate rules establishing procedures
10    governing the layoff or reduction in force of employees and
11    the recall of such employees, including, but not limited
12    to, criteria for such layoffs, reductions in force or
13    recall rights of such employees and the weight to be given
14    to any particular criterion. Such criteria shall take into
15    account factors including, but not be limited to,
16    qualifications, certifications, experience, performance
17    ratings or evaluations, and any other factors relating to
18    an employee's job performance;
19        32. To develop a policy to prevent nepotism in the
20    hiring of personnel or the selection of contractors;
21        33. To enter into a partnership agreement, as required
22    by Section 34-3.5 of this Code, and, notwithstanding any
23    other provision of law to the contrary, to promulgate
24    policies, enter into contracts, and take any other action
25    necessary to accomplish the objectives and implement the
26    requirements of that agreement; and

 

 

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1        34. To establish a Labor Management Council to the
2    board comprised of representatives of the board, the chief
3    executive officer, and those labor organizations that are
4    the exclusive representatives of employees of the board and
5    to promulgate policies and procedures for the operation of
6    the Council.
7    The specifications of the powers herein granted are not to
8be construed as exclusive but the board shall also exercise all
9other powers that they may be requisite or proper for the
10maintenance and the development of a public school system, not
11inconsistent with the other provisions of this Article or
12provisions of this Code which apply to all school districts.
13    In addition to the powers herein granted and authorized to
14be exercised by the board, it shall be the duty of the board to
15review or to direct independent reviews of special education
16expenditures and services. The board shall file a report of
17such review with the General Assembly on or before May 1, 1990.
18(Source: P.A. 96-105, eff. 7-30-09; 97-227, eff. 1-1-12;
1997-396, eff. 1-1-12; 97-813, eff. 7-13-12.)
 
20    (105 ILCS 5/34-18.30)
21    Sec. 34-18.30. Dependents of military personnel; no
22tuition charge. If, at the time of enrollment, a dependent of
23United States military personnel is housed in temporary housing
24located outside of the school district, but will be living
25within the district within 60 days after the time of initial

 

 

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1enrollment, the dependent must be allowed to enroll, subject to
2the requirements of this Section, and must not be charged
3tuition. Any United States military personnel attempting to
4enroll a dependent under this Section shall provide proof that
5the dependent will be living within the district within 60 days
6after the time of initial enrollment. Proof of residency may
7include, but is not limited to, postmarked mail addressed to
8the military personnel and sent to an address located within
9the district, a lease agreement for occupancy of a residence
10located within the district, or proof of ownership of a
11residence located within the district. Non-resident dependents
12of United States military personnel attending school on a
13tuition-free basis may be counted for the purposes of
14determining the apportionment of State aid provided under
15Section 18-8.05 or 18-8.15 of this Code.
16(Source: P.A. 95-331, eff. 8-21-07.)
 
17    (105 ILCS 5/34-43.1)  (from Ch. 122, par. 34-43.1)
18    Sec. 34-43.1. (A) Limitation of noninstructional costs. It
19is the purpose of this Section to establish for the Board of
20Education and the general superintendent of schools
21requirements and standards which maximize the proportion of
22school district resources in direct support of educational,
23program, and building maintenance and safety services for the
24pupils of the district, and which correspondingly minimize the
25amount and proportion of such resources associated with

 

 

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1centralized administration, administrative support services,
2and other noninstructional services.
3    For the 1989-90 school year and for all subsequent school
4years, the Board of Education shall undertake budgetary and
5expenditure control actions which limit the administrative
6expenditures of the Board of Education to levels, as provided
7for in this Section, which represent an average of the
8administrative expenses of all school districts in this State
9not subject to Article 34.
10    (B) Certification of expenses by the State Superintendent
11of Education. The State Superintendent of Education shall
12annually certify, on or before May 1, to the Board of Education
13and the School Finance Authority, for the applicable school
14year, the following information:
15        (1) the annual expenditures of all school districts of
16    the State not subject to Article 34 properly attributable
17    to expenditure functions defined by the rules and
18    regulations of the State Board of Education as: 2210
19    (Improvement of Instructional Services); 2300 (Support
20    Services - General Administration) excluding, however,
21    2320 (Executive Administrative Services); 2490 (Other
22    Support Services - School Administration); 2500 (Support
23    Services - Business); 2600 (Support Services - Central);
24        (2) the total annual expenditures of all school
25    districts not subject to Article 34 attributable to the
26    Education Fund, the Operations, Building and Maintenance

 

 

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1    Fund, the Transportation Fund and the Illinois Municipal
2    Retirement Fund of the several districts, as defined by the
3    rules and regulations of the State Board of Education; and
4        (3) a ratio, to be called the statewide average of
5    administrative expenditures, derived by dividing the
6    expenditures certified pursuant to paragraph (B)(1) by the
7    expenditures certified pursuant to paragraph (B)(2).
8    For purposes of the annual certification of expenditures
9and ratios required by this Section, the "applicable year" of
10certification shall initially be the 1986-87 school year and,
11in sequent years, each succeeding school year.
12    The State Superintendent of Education shall consult with
13the Board of Education to ascertain whether particular
14expenditure items allocable to the administrative functions
15enumerated in paragraph (B)(1) are appropriately or
16necessarily higher in the applicable school district than in
17the rest of the State due to noncomparable factors. The State
18Superintendent shall also review the relevant cost proportions
19in other large urban school districts. The State Superintendent
20shall also review the expenditure categories in paragraph
21(B)(1) to ascertain whether they contain school-level
22expenses. If he or she finds that adjustments to the formula
23are appropriate or necessary to establish a more fair and
24comparable standard for administrative cost for the Board of
25Education or to exclude school-level expenses, the State
26Superintendent shall recommend to the School Finance Authority

 

 

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1rules and regulations adjusting particular subcategories in
2this subsection (B) or adjusting certain costs in determining
3the budget and expenditure items properly attributable to the
4functions or otherwise adjust the formula.
5    (C) Administrative expenditure limitations. The annual
6budget of the Board of Education, as adopted and implemented,
7and the related annual expenditures for the school year, shall
8reflect a limitation on administrative outlays as required by
9the following provisions, taking into account any adjustments
10established by the State Superintendent of Education: (1) the
11budget and expenditures of the Board of Education for the
121989-90 school year shall reflect a ratio of administrative
13expenditures to total expenditures equal to or less than the
14statewide average of administrative expenditures for the
151986-87 school year as certified by the State Superintendent of
16Education pursuant to paragraph (B)(3); (2) for the 1990-91
17school year and for all subsequent school years, the budget and
18expenditures of the Board of Education shall reflect a ratio of
19administrative expenditures to total expenditures equal to or
20less than the statewide average of administrative expenditures
21certified by the State Superintendent of Education for the
22applicable year pursuant to paragraph (B)(3); (3) if for any
23school year the budget of the Board of Education reflects a
24ratio of administrative expenditures to total expenditures
25which exceeds the applicable statewide average, the Board of
26Education shall reduce expenditure items allocable to the

 

 

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1administrative functions enumerated in paragraph (B)(1) such
2that the Board of Education's ratio of administrative
3expenditures to total expenditures is equal to or less than the
4applicable statewide average ratio.
5    For purposes of this Section, the ratio of administrative
6expenditures to the total expenditures of the Board of
7Education, as applied to the budget of the Board of Education,
8shall mean: the budgeted expenditure items of the Board of
9Education properly attributable to the expenditure functions
10identified in paragraph (B)(1) divided by the total budgeted
11expenditures of the Board of Education properly attributable to
12the Board of Education funds corresponding to those funds
13identified in paragraph (B)(2), exclusive of any monies
14budgeted for payment to the Public School Teachers' Pension and
15Retirement System, attributable to payments due from the
16General Funds of the State of Illinois.
17     The annual expenditure of the Board of Education for 2320
18(Executive Administrative Services) for the 1989-90 school
19year shall be no greater than the 2320 expenditure for the
201988-89 school year. The annual expenditure of the Board of
21Education for 2320 for the 1990-91 school year and each
22subsequent school year shall be no greater than the 2320
23expenditure for the immediately preceding school year or the
241988-89 school year, whichever is less. This annual expenditure
25limitation may be adjusted in each year in an amount not to
26exceed any change effective during the applicable school year

 

 

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1in salary to be paid under the collective bargaining agreement
2with instructional personnel to which the Board is a party and
3in benefit costs either required by law or such collective
4bargaining agreement.
5    (D) Cost control measures. In undertaking actions to
6control or reduce expenditure items necessitated by the
7administrative expenditure limitations of this Section, the
8Board of Education shall give priority consideration to
9reductions or cost controls with the least effect upon direct
10services to students or instructional services for pupils, and
11upon the safety and well-being of pupils, and, as applicable,
12with the particular costs or functions to which the Board of
13Education is higher than the statewide average.
14    For purposes of assuring that the cost control priorities
15of this subsection (D) are met, the State Superintendent of
16Education shall, with the assistance of the Board of Education,
17review the cost allocation practices of the Board of Education,
18and the State Superintendent of Education shall thereafter
19recommend to the School Finance Authority rules and regulations
20which define administrative areas which most impact upon the
21direct and instructional needs of students and upon the safety
22and well-being of the pupils of the district. No position
23closed shall be reopened using State or federal categorical
24funds.
25    (E) Report of Audited Information. For the 1988-89 school
26year and for all subsequent school years, the Board of

 

 

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1Education shall file with the State Board of Education the
2Annual Financial Report and its audit, as required by the rules
3of the State Board of Education. Such reports shall be filed no
4later than February 15 following the end of the school year of
5the Board of Education, beginning with the report to be filed
6no later than February 15, 1990 for the 1988-89 school year.
7    As part of the required Annual Financial Report, the Board
8of Education shall provide a detailed accounting of the central
9level, district, bureau and department costs and personnel
10included within expenditure functions included in paragraph
11(B)(1). The nature and detail of the reporting required for
12these functions shall be prescribed by the State Board of
13Education in rules and regulations. A copy of this detailed
14accounting shall also be provided annually to the School
15Finance Authority and the public. This report shall contain a
16reconciliation to the board of education's adopted budget for
17that fiscal year, specifically delineating administrative
18functions.
19    If the information required under this Section is not
20provided by the Board of Education in a timely manner, or is
21initially or subsequently determined by the State
22Superintendent of Education to be incomplete or inaccurate, the
23State Superintendent shall, in writing, notify the Board of
24Education of reporting deficiencies. The Board of Education
25shall, within 60 days of such notice, address the reporting
26deficiencies identified. If the State Superintendent of

 

 

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1Education does not receive satisfactory response to these
2reporting deficiencies within 60 days, the next payment of
3general State aid or primary State aid due the Board of
4Education under Section 18-8, and all subsequent payments,
5shall be withheld by the State Superintendent of Education
6until the enumerated deficiencies have been addressed.
7    Utilizing the Annual Financial Report, the State
8Superintendent of Education shall certify on or before May 1 to
9the School Finance Authority the Board of Education's ratio of
10administrative expenditures to total expenditures for the
111988-89 school year and for each succeeding school year. Such
12certification shall indicate the extent to which the
13administrative expenditure ratio of the Board of Education
14conformed to the limitations required in subsection (C) of this
15Section, taking into account any adjustments of the limitations
16which may have been recommended by the State Superintendent of
17Education to the School Finance Authority. In deriving the
18administrative expenditure ratio of the Chicago Board of
19Education, the State Superintendent of Education shall utilize
20the definition of this ratio prescribed in subsection (C) of
21this Section, except that the actual expenditures of the Board
22of Education shall be substituted for budgeted expenditure
23items.
24    (F) Approval and adjustments to administrative expenditure
25limitations. The School Finance Authority organized under
26Article 34A shall monitor the Board of Education's adherence to

 

 

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1the requirements of this Section. As part of its responsibility
2the School Finance Authority shall determine whether the Board
3of Education's budget for the next school year, and the
4expenditures for a prior school year, comply with the
5limitation of administrative expenditures required by this
6Section. The Board of Education and the State Board of
7Education shall provide such information as is required by the
8School Finance Authority in order for the Authority to
9determine compliance with the provisions of this Section. If
10the Authority determines that the budget proposed by the Board
11of Education does not meet the cost control requirements of
12this Section, the Board of Education shall undertake budgetary
13reductions, consistent with the requirements of this Section,
14to bring the proposed budget into compliance with such cost
15control limitations.
16    If, in formulating cost control and cost reduction
17alternatives, the Board of Education believes that meeting the
18cost control requirements of this Section related to the budget
19for the ensuing year would impair the education, safety, or
20well-being of the pupils of the school district, the Board of
21Education may request that the School Finance Authority make
22adjustments to the limitations required by this Section. The
23Board of Education shall specify the amount, nature, and
24reasons for the relief required and shall also identify cost
25reductions which can be made in expenditure functions not
26enumerated in paragraph (B)(1), which would serve the purposes

 

 

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1of this Section.
2    The School Finance Authority shall consult with the State
3Superintendent of Education concerning the reasonableness from
4an educational administration perspective of the adjustments
5sought by the Board of Education. The School Finance Authority
6shall provide an opportunity for the public to comment upon the
7reasonableness of the Board's request. If, after such
8consultation, the School Finance Authority determines that all
9or a portion of the adjustments sought by the Board of
10Education are reasonably appropriate or necessary, the
11Authority may grant such relief from the provisions of this
12Section which the Authority deems appropriate. Adjustments so
13granted apply only to the specific school year for which the
14request was made.
15    In the event that the School Finance Authority determines
16that the Board of Education has failed to achieve the required
17administrative expenditure limitations for a prior school
18year, or if the Authority determines that the Board of
19Education has not met the requirements of subsection (F), the
20Authority shall make recommendations to the Board of Education
21concerning appropriate corrective actions. If the Board of
22Education fails to provide adequate assurance to the Authority
23that appropriate corrective actions have been or will be taken,
24the Authority may, within 60 days thereafter, require the board
25to adjust its current budget to correct for the prior year's
26shortage or may recommend to the members of the General

 

 

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1Assembly and the Governor such sanctions or remedial actions as
2will serve to deter any further such failures on the part of
3the Board of Education.
4    To assist the Authority in its monitoring
5responsibilities, the Board of Education shall provide such
6reports and information as are from time to time required by
7the Authority.
8    (G) Independent reviews of administrative expenditures.
9The School Finance Authority may direct independent reviews of
10the administrative and administrative support expenditures and
11services and other non-instructional expenditure functions of
12the Board of Education. The Board of Education shall afford
13full cooperation to the School Finance Authority in such review
14activity. The purpose of such reviews shall be to verify
15specific targets for improved operating efficiencies of the
16Board of Education, to identify other areas of potential
17efficiencies, and to assure full and proper compliance by the
18Board of Education with all requirements of this Section.
19    In the conduct of reviews under this subsection, the
20Authority may request the assistance and consultation of the
21State Superintendent of Education with regard to questions of
22efficiency and effectiveness in educational administration.
23    (H) Reports to Governor and General Assembly. On or before
24May 1, 1991 and no less frequently than yearly thereafter, the
25School Finance Authority shall provide to the Governor, the
26State Board of Education, and the members of the General

 

 

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1Assembly an annual report, as outlined in Section 34A-606,
2which includes the following information: (1) documenting the
3compliance or non-compliance of the Board of Education with the
4requirements of this Section; (2) summarizing the costs,
5findings, and recommendations of any reviews directed by the
6School Finance Authority, and the response to such
7recommendations made by the Board of Education; and (3)
8recommending sanctions or legislation necessary to fulfill the
9intent of this Section.
10(Source: P.A. 86-124; 86-1477.)
 
11    Section 950. The Educational Opportunity for Military
12Children Act is amended by changing Section 25 as follows:
 
13    (105 ILCS 70/25)
14    (Section scheduled to be repealed on June 30, 2015)
15    Sec. 25. Tuition for transfer students.
16    (a) For purposes of this Section, "non-custodial parent"
17means a person who has temporary custody of the child of active
18duty military personnel and who is responsible for making
19decisions for that child.
20    (b) If a student who is a child of active duty military
21personnel is (i) placed with a non-custodial parent and (ii) as
22a result of placement, must attend a non-resident school
23district, then the student must not be charged the tuition of
24the school that the student attends as a result of placement

 

 

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1with the non-custodial parent and the student must be counted
2in the calculation of average daily attendance under Section
318-8.05 or 18-8.15 of the School Code.
4(Source: P.A. 96-953, eff. 6-28-10.)
 
5    Section 955. The Illinois Public Aid Code is amended by
6changing Section 5-16.4 as follows:
 
7    (305 ILCS 5/5-16.4)
8    Sec. 5-16.4. Medical Assistance Provider Payment Fund.
9    (a) There is created in the State treasury the Medical
10Assistance Provider Payment Fund. Interest earned by the Fund
11shall be credited to the Fund.
12    (b) The Fund is created for the purpose of disbursing
13moneys as follows:
14        (1) For medical services provided to recipients of aid
15    under Articles V, VI, and XII.
16        (2) For payment of administrative expenses incurred by
17    the Illinois Department or its agent in performing the
18    activities authorized by this Section.
19        (3) For making transfers to the General Obligation Bond
20    Retirement and Interest Fund, as those transfers are
21    authorized in the proceedings authorizing debt under the
22    Medicaid Liability Liquidity Borrowing Act, but transfers
23    made under this paragraph (3) may not exceed the principal
24    amount of debt issued under that Act.

 

 

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1    Disbursements from the Fund, other than transfers to the
2General Obligation Bond Retirement and Interest Fund (which
3shall be made in accordance with the provisions of the Medicaid
4Liability Liquidity Borrowing Act), shall be by warrants drawn
5by the State Comptroller upon receipt of vouchers duly executed
6and certified by the Illinois Department.
7    (c) The Fund shall consist of the following:
8        (1) All federal matching funds received by the Illinois
9    Department as a result of expenditures made by the Illinois
10    Department that are attributable to moneys deposited into
11    the Fund.
12        (2) Proceeds from any short-term borrowing directed to
13    the Fund by the Governor pursuant to the Medicaid Liability
14    Liquidity Borrowing Act.
15        (3) Amounts transferred into the Fund under subsection
16    (d) of this Section.
17        (4) All other moneys received for the Fund from any
18    other source, including interest earned on those moneys.
19    (d) Beginning July 1, 1995, on the 13th and 26th days of
20each month the State Comptroller and Treasurer shall transfer
21from the General Revenue Fund to the Medical Assistance
22Provider Payment Fund an amount equal to 1/48th of the annual
23Medical Assistance appropriation to the Department of
24Healthcare and Family Services (formerly Illinois Department
25of Public Aid) from the Medical Assistance Provider Payment
26Fund, plus cumulative deficiencies from those prior transfers.

 

 

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1In addition to those transfers, the State Comptroller and
2Treasurer may transfer from the General Revenue Fund to the
3Medical Assistance Provider Payment Fund as much as is
4necessary to pay claims pursuant to the new twice-monthly
5payment schedule established in Section 5-16.5 and to avoid
6interest liabilities under the State Prompt Payment Act. No
7transfers made pursuant to this subsection shall interfere with
8the timely payment of the general State aid or primary State
9aid payment made pursuant to Section 18-11 of the School Code.
10(Source: P.A. 95-331, eff. 8-21-07.)
 
11    Section 995. Savings clause. Any repeal or amendment made
12by this Act shall not affect or impair any of the following:
13suits pending or rights existing at the time this Act takes
14effect; any grant or conveyance made or right acquired or cause
15of action now existing under any Section, Article, or Act
16repealed or amended by this Act; the validity of any bonds or
17other obligations issued or sold and constituting valid
18obligations of the issuing authority at the time this Act takes
19effect; the validity of any contract; the validity of any tax
20levied under any law in effect prior to the effective date of
21this Act; or any offense committed, act done, penalty,
22punishment, or forfeiture incurred or any claim, right, power,
23or remedy accrued under any law in effect prior to the
24effective date of this Act.
 

 

 

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1    Section 999. Effective date. This Act takes effect upon
2becoming law.".