Illinois General Assembly - Full Text of HB0041
Illinois General Assembly

Previous General Assemblies

Full Text of HB0041  102nd General Assembly




HB0041 EnrolledLRB102 03862 CMG 13876 b

1    AN ACT concerning education.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The School Code is amended by changing Sections
514-7.02 and 14-7.05 as follows:
6    (105 ILCS 5/14-7.02)  (from Ch. 122, par. 14-7.02)
7    Sec. 14-7.02. Children attending private schools, public
8out-of-state schools, public school residential facilities or
9private special education facilities. The General Assembly
10recognizes that non-public schools or special education
11facilities provide an important service in the educational
12system in Illinois.
13    If because of his or her disability the special education
14program of a district is unable to meet the needs of a child
15and the child attends a non-public school or special education
16facility, a public out-of-state school or a special education
17facility owned and operated by a county government unit that
18provides special educational services required by the child
19and is in compliance with the appropriate rules and
20regulations of the State Superintendent of Education, the
21school district in which the child is a resident shall pay the
22actual cost of tuition for special education and related
23services provided during the regular school term and during



HB0041 Enrolled- 2 -LRB102 03862 CMG 13876 b

1the summer school term if the child's educational needs so
2require, excluding room, board and transportation costs
3charged the child by that non-public school or special
4education facility, public out-of-state school or county
5special education facility, or $4,500 per year, whichever is
6less, and shall provide him any necessary transportation.
7"Nonpublic special education facility" shall include a
8residential facility, within or without the State of Illinois,
9which provides special education and related services to meet
10the needs of the child by utilizing private schools or public
11schools, whether located on the site or off the site of the
12residential facility.
13    Prior to the placement of a child in an out-of-state
14special education residential facility, the school district
15must refer to the child or the child's parent or guardian the
16option to place the child in a special education residential
17facility located within this State, if any, that provides
18treatment and services comparable to those provided by the
19out-of-state special education residential facility. The
20school district must review annually the placement of a child
21in an out-of-state special education residential facility. As
22a part of the review, the school district must refer to the
23child or the child's parent or guardian the option to place the
24child in a comparable special education residential facility
25located within this State, if any.
26    The State Board of Education shall promulgate rules and



HB0041 Enrolled- 3 -LRB102 03862 CMG 13876 b

1regulations for determining when placement in a private
2special education facility is appropriate. Such rules and
3regulations shall take into account the various types of
4services needed by a child and the availability of such
5services to the particular child in the public school. In
6developing these rules and regulations the State Board of
7Education shall consult with the Advisory Council on Education
8of Children with Disabilities and hold public hearings to
9secure recommendations from parents, school personnel, and
10others concerned about this matter.
11    The State Board of Education shall also promulgate rules
12and regulations for transportation to and from a residential
13school. Transportation to and from home to a residential
14school more than once each school term shall be subject to
15prior approval by the State Superintendent in accordance with
16the rules and regulations of the State Board.
17    A school district making tuition payments pursuant to this
18Section is eligible for reimbursement from the State for the
19amount of such payments actually made in excess of the
20district per capita tuition charge for students not receiving
21special education services. Such reimbursement shall be
22approved in accordance with Section 14-12.01 and each district
23shall file its claims, computed in accordance with rules
24prescribed by the State Board of Education, on forms
25prescribed by the State Superintendent of Education. Data used
26as a basis of reimbursement claims shall be for the preceding



HB0041 Enrolled- 4 -LRB102 03862 CMG 13876 b

1regular school term and summer school term. Each school
2district shall transmit its claims to the State Board of
3Education on or before August 15. The State Board of
4Education, before approving any such claims, shall determine
5their accuracy and whether they are based upon services and
6facilities provided under approved programs. Upon approval the
7State Board shall cause vouchers to be prepared showing the
8amount due for payment of reimbursement claims to school
9districts, for transmittal to the State Comptroller on the
1030th day of September, December, and March, respectively, and
11the final voucher, no later than June 20. If the money
12appropriated by the General Assembly for such purpose for any
13year is insufficient, it shall be apportioned on the basis of
14the claims approved.
15    No child shall be placed in a special education program
16pursuant to this Section if the tuition cost for special
17education and related services increases more than 10 percent
18over the tuition cost for the previous school year or exceeds
19$4,500 per year unless such costs have been approved by the
20Illinois Purchased Care Review Board. The Illinois Purchased
21Care Review Board shall consist of the following persons, or
22their designees: the Directors of Children and Family
23Services, Public Health, Public Aid, and the Governor's Office
24of Management and Budget; the Secretary of Human Services; the
25State Superintendent of Education; and such other persons as
26the Governor may designate. The Review Board shall also



HB0041 Enrolled- 5 -LRB102 03862 CMG 13876 b

1consist of one non-voting member who is an administrator of a
2private, nonpublic, special education school. The Review Board
3shall establish rules and regulations for its determination of
4allowable costs and payments made by local school districts
5for special education, room and board, and other related
6services provided by non-public schools or special education
7facilities and shall establish uniform standards and criteria
8which it shall follow. The Review Board shall approve the
9usual and customary rate or rates of a special education
10program that (i) is offered by an out-of-state, non-public
11provider of integrated autism specific educational and autism
12specific residential services, (ii) offers 2 or more levels of
13residential care, including at least one locked facility, and
14(iii) serves 12 or fewer Illinois students.
15    In determining rates based on allowable costs, the Review
16Board shall consider any wage increases awarded by the General
17Assembly to front line personnel defined as direct support
18persons, aides, front-line supervisors, qualified intellectual
19disabilities professionals, nurses, and non-administrative
20support staff working in service settings in community-based
21settings within the State and adjust customary rates or rates
22of a special education program to be equitable to the wage
23increase awarded to similar staff positions in a community
24residential setting. Any wage increase awarded by the General
25Assembly to front line personnel defined as direct support
26persons, aides, front-line supervisors, qualified intellectual



HB0041 Enrolled- 6 -LRB102 03862 CMG 13876 b

1disabilities professionals, nurses, and non-administrative
2support staff working in community-based settings within the
3State, including the $0.75 per hour increase contained in
4Public Act 100-23 and the $0.50 per hour increase included in
5Public Act 100-23, shall also be a basis for any facility
6covered by this Section to appeal its rate before the Review
7Board under the process defined in Title 89, Part 900, Section
8340 of the Illinois Administrative Code. Illinois
9Administrative Code Title 89, Part 900, Section 342 shall be
10updated to recognize wage increases awarded to community-based
11settings to be a basis for appeal. However, any wage increase
12that is captured upon appeal from a previous year shall not be
13counted by the Review Board as revenue for the purpose of
14calculating a facility's future rate.
15    Any definition used by the Review Board in administrative
16rule or policy to define "related organizations" shall include
17any and all exceptions contained in federal law or regulation
18as it pertains to the federal definition of "related
20    The Review Board shall establish uniform definitions and
21criteria for accounting separately by special education, room
22and board and other related services costs. The Board shall
23also establish guidelines for the coordination of services and
24financial assistance provided by all State agencies to assure
25that no otherwise qualified child with a disability receiving
26services under Article 14 shall be excluded from participation



HB0041 Enrolled- 7 -LRB102 03862 CMG 13876 b

1in, be denied the benefits of or be subjected to
2discrimination under any program or activity provided by any
3State agency.
4    The Review Board shall review the costs for special
5education and related services provided by non-public schools
6or special education facilities and shall approve or
7disapprove such facilities in accordance with the rules and
8regulations established by it with respect to allowable costs.
9    The State Board of Education shall provide administrative
10and staff support for the Review Board as deemed reasonable by
11the State Superintendent of Education. This support shall not
12include travel expenses or other compensation for any Review
13Board member other than the State Superintendent of Education.
14    The Review Board shall seek the advice of the Advisory
15Council on Education of Children with Disabilities on the
16rules and regulations to be promulgated by it relative to
17providing special education services.
18    If a child has been placed in a program in which the actual
19per pupil costs of tuition for special education and related
20services based on program enrollment, excluding room, board
21and transportation costs, exceed $4,500 and such costs have
22been approved by the Review Board, the district shall pay such
23total costs which exceed $4,500. A district making such
24tuition payments in excess of $4,500 pursuant to this Section
25shall be responsible for an amount in excess of $4,500 equal to
26the district per capita tuition charge and shall be eligible



HB0041 Enrolled- 8 -LRB102 03862 CMG 13876 b

1for reimbursement from the State for the amount of such
2payments actually made in excess of the districts per capita
3tuition charge for students not receiving special education
5    If a child has been placed in an approved individual
6program and the tuition costs including room and board costs
7have been approved by the Review Board, then such room and
8board costs shall be paid by the appropriate State agency
9subject to the provisions of Section 14-8.01 of this Act. Room
10and board costs not provided by a State agency other than the
11State Board of Education shall be provided by the State Board
12of Education on a current basis. In no event, however, shall
13the State's liability for funding of these tuition costs begin
14until after the legal obligations of third party payors have
15been subtracted from such costs. If the money appropriated by
16the General Assembly for such purpose for any year is
17insufficient, it shall be apportioned on the basis of the
18claims approved. Each district shall submit estimated claims
19to the State Superintendent of Education. Upon approval of
20such claims, the State Superintendent of Education shall
21direct the State Comptroller to make payments on a monthly
22basis. The frequency for submitting estimated claims and the
23method of determining payment shall be prescribed in rules and
24regulations adopted by the State Board of Education. Such
25current state reimbursement shall be reduced by an amount
26equal to the proceeds which the child or child's parents are



HB0041 Enrolled- 9 -LRB102 03862 CMG 13876 b

1eligible to receive under any public or private insurance or
2assistance program. Nothing in this Section shall be construed
3as relieving an insurer or similar third party from an
4otherwise valid obligation to provide or to pay for services
5provided to a child with a disability.
6    If it otherwise qualifies, a school district is eligible
7for the transportation reimbursement under Section 14-13.01
8and for the reimbursement of tuition payments under this
9Section whether the non-public school or special education
10facility, public out-of-state school or county special
11education facility, attended by a child who resides in that
12district and requires special educational services, is within
13or outside of the State of Illinois. However, a district is not
14eligible to claim transportation reimbursement under this
15Section unless the district certifies to the State
16Superintendent of Education that the district is unable to
17provide special educational services required by the child for
18the current school year.
19    Nothing in this Section authorizes the reimbursement of a
20school district for the amount paid for tuition of a child
21attending a non-public school or special education facility,
22public out-of-state school or county special education
23facility unless the school district certifies to the State
24Superintendent of Education that the special education program
25of that district is unable to meet the needs of that child
26because of his disability and the State Superintendent of



HB0041 Enrolled- 10 -LRB102 03862 CMG 13876 b

1Education finds that the school district is in substantial
2compliance with Section 14-4.01. However, if a child is
3unilaterally placed by a State agency or any court in a
4non-public school or special education facility, public
5out-of-state school, or county special education facility, a
6school district shall not be required to certify to the State
7Superintendent of Education, for the purpose of tuition
8reimbursement, that the special education program of that
9district is unable to meet the needs of a child because of his
10or her disability.
11    Any educational or related services provided, pursuant to
12this Section in a non-public school or special education
13facility or a special education facility owned and operated by
14a county government unit shall be at no cost to the parent or
15guardian of the child. However, current law and practices
16relative to contributions by parents or guardians for costs
17other than educational or related services are not affected by
18this amendatory Act of 1978.
19    Reimbursement for children attending public school
20residential facilities shall be made in accordance with the
21provisions of this Section.
22    Notwithstanding any other provision of law, any school
23district receiving a payment under this Section or under
24Section 14-7.02b, 14-13.01, or 29-5 of this Code may classify
25all or a portion of the funds that it receives in a particular
26fiscal year or from general State aid pursuant to Section



HB0041 Enrolled- 11 -LRB102 03862 CMG 13876 b

118-8.05 of this Code as funds received in connection with any
2funding program for which it is entitled to receive funds from
3the State in that fiscal year (including, without limitation,
4any funding program referenced in this Section), regardless of
5the source or timing of the receipt. The district may not
6classify more funds as funds received in connection with the
7funding program than the district is entitled to receive in
8that fiscal year for that program. Any classification by a
9district must be made by a resolution of its board of
10education. The resolution must identify the amount of any
11payments or general State aid to be classified under this
12paragraph and must specify the funding program to which the
13funds are to be treated as received in connection therewith.
14This resolution is controlling as to the classification of
15funds referenced therein. A certified copy of the resolution
16must be sent to the State Superintendent of Education. The
17resolution shall still take effect even though a copy of the
18resolution has not been sent to the State Superintendent of
19Education in a timely manner. No classification under this
20paragraph by a district shall affect the total amount or
21timing of money the district is entitled to receive under this
22Code. No classification under this paragraph by a district
23shall in any way relieve the district from or affect any
24requirements that otherwise would apply with respect to that
25funding program, including any accounting of funds by source,
26reporting expenditures by original source and purpose,



HB0041 Enrolled- 12 -LRB102 03862 CMG 13876 b

1reporting requirements, or requirements of providing services.
2(Source: P.A. 100-587, eff. 6-4-18; 101-10, eff. 6-5-19.)
3    (105 ILCS 5/14-7.05)
4    Sec. 14-7.05. Placement in residential facility; payment
5of educational costs. For any student with a disability in a
6residential facility placement made or paid for by an Illinois
7public State agency or made by any court in this State, the
8school district of residence as determined pursuant to this
9Article is responsible for the costs of educating the child
10and shall be reimbursed for those costs in accordance with
11this Code. Subject to this Section and relevant State
12appropriation, the resident district's financial
13responsibility and reimbursement must be calculated in
14accordance with the provisions of Section 14-7.02 of this
15Code. In those instances in which a district receives a block
16grant pursuant to Article 1D of this Code, the district's
17financial responsibility is limited to the actual educational
18costs of the placement, which must be paid by the district from
19its block grant appropriation. Resident district financial
20responsibility and reimbursement applies for both residential
21facilities that are approved by the State Board of Education
22and non-approved facilities, subject to the requirements of
23this Section. The Illinois placing agency or court remains
24responsible for funding the residential portion of the
25placement and for notifying the resident district prior to the



HB0041 Enrolled- 13 -LRB102 03862 CMG 13876 b

1placement, except in emergency situations. The residential
2facility in which the student is placed shall notify the
3resident district of the student's enrollment as soon as
4practicable after the placement. Failure of the placing agency
5or court to notify the resident district prior to the
6placement does not absolve the resident district of financial
7responsibility for the educational costs of the placement;
8however, the resident district shall not become financially
9responsible unless and until it receives written notice of the
10placement by either the placing agency, court, or residential
11facility. The placing agency or parent shall request an
12individualized education program (IEP) meeting from the
13resident district if the placement would entail additional
14educational services beyond the student's current IEP. The
15district of residence shall retain control of the IEP process,
16and any changes to the IEP must be done in compliance with the
17federal Individuals with Disabilities Education Act.
18    Prior to the placement of a child in an out-of-state
19special education residential facility, the placing agency or
20court must refer to the child or the child's parent or guardian
21the option to place the child in a special education
22residential facility located within this State, if any, that
23provides treatment and services comparable to those provided
24by the out-of-state special education residential facility.
25The placing agency or court must review annually the placement
26of a child in an out-of-state special education residential



HB0041 Enrolled- 14 -LRB102 03862 CMG 13876 b

1facility. As a part of the review, the placing agency or court
2must refer to the child or the child's parent or guardian the
3option to place the child in a comparable special education
4residential facility located within this State, if any.
5    Payments shall be made by the resident district to the
6entity providing the educational services, whether the entity
7is the residential facility or the school district wherein the
8facility is located, no less than once per quarter unless
9otherwise agreed to in writing by the parties.
10    A residential facility providing educational services
11within the facility, but not approved by the State Board of
12Education, is required to demonstrate proof to the State Board
13of (i) appropriate certification of teachers for the student
14population, (ii) age-appropriate curriculum, (iii) enrollment
15and attendance data, and (iv) the ability to implement the
16child's IEP. A school district is under no obligation to pay
17such a residential facility unless and until such proof is
18provided to the State Board's satisfaction.
19    When a dispute arises over the determination of the
20district of residence under this Section, any person or
21entity, including without limitation a school district or
22residential facility, may make a written request for a
23residency decision to the State Superintendent of Education,
24who, upon review of materials submitted and any other items of
25information he or she may request for submission, shall issue
26his or her decision in writing. The decision of the State



HB0041 Enrolled- 15 -LRB102 03862 CMG 13876 b

1Superintendent of Education is final.
2(Source: P.A. 95-844, eff. 8-15-08; 95-938, eff. 8-29-08.)
3    Section 99. Effective date. This Act takes effect upon
4becoming law.