Illinois General Assembly - Full Text of HB6005
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Full Text of HB6005  98th General Assembly




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1    AN ACT concerning education.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The School Code is amended by changing Sections
527A-4, 27A-11, and 27A-12 and by adding Sections 27A-10.5 and
627A-11.10 as follows:
7    (105 ILCS 5/27A-4)
8    Sec. 27A-4. General Provisions.
9    (a) The General Assembly does not intend to alter or amend
10the provisions of any court-ordered desegregation plan in
11effect for any school district. A charter school shall be
12subject to all federal and State laws and constitutional
13provisions prohibiting discrimination on the basis of
14disability, race, creed, color, gender, national origin,
15religion, ancestry, marital status, or need for special
16education services.
17    (b) The total number of charter schools operating under
18this Article at any one time shall not exceed 120. Not more
19than 70 charter schools shall operate at any one time in any
20city having a population exceeding 500,000, with at least 5
21charter schools devoted exclusively to students from
22low-performing or overcrowded schools operating at any one time
23in that city; and not more than 45 charter schools shall



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1operate at any one time in the remainder of the State, with not
2more than one charter school that has been initiated by a board
3of education, or by an intergovernmental agreement between or
4among boards of education, operating at any one time in the
5school district where the charter school is located. In
6addition to these charter schools, up to but no more than 5
7charter schools devoted exclusively to re-enrolled high school
8dropouts and/or students 16 or 15 years old at risk of dropping
9out may operate at any one time in any city having a population
10exceeding 500,000. Notwithstanding any provision to the
11contrary in subsection (b) of Section 27A-5 of this Code, each
12such dropout charter may operate up to 15 campuses within the
13city. Any of these dropout charters may have a maximum of 1,875
14enrollment seats, any one of the campuses of the dropout
15charter may have a maximum of 165 enrollment seats, and each
16campus of the dropout charter must be operated, through a
17contract or payroll, by the same legal entity as that for which
18the charter is approved and certified.
19    For purposes of implementing this Section, the State Board
20shall assign a number to each charter submission it receives
21under Section 27A-6 for its review and certification, based on
22the chronological order in which the submission is received by
23it. The State Board shall promptly notify local school boards
24when the maximum numbers of certified charter schools
25authorized to operate have been reached.
26    (c) No charter shall be granted under this Article that



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1would convert any existing private, parochial, or non-public
2school to a charter school.
3    (d) Enrollment in a charter school shall be open to any
4pupil who resides within the geographic boundaries of the area
5served by the local school board, provided that the board of
6education in a city having a population exceeding 500,000 may
7designate attendance boundaries for no more than one-third of
8the charter schools permitted in the city if the board of
9education determines that attendance boundaries are needed to
10relieve overcrowding or to better serve low-income and at-risk
11students. Students residing within an attendance boundary may
12be given priority for enrollment, but must not be required to
13attend the charter school.
14    (e) Nothing in this Article shall prevent 2 or more local
15school boards from jointly issuing a charter to a single shared
16charter school, provided that all of the provisions of this
17Article are met as to those local school boards.
18    (f) No local school board shall require any employee of the
19school district to be employed in a charter school.
20    (g) No local school board shall require any pupil residing
21within the geographic boundary of its district to enroll in a
22charter school.
23    (h) If there are more eligible applicants for enrollment in
24a charter school than there are spaces available, successful
25applicants shall be selected by lottery, which lottery must be
26administered by the authorizer. However, priority shall be



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1given to siblings of pupils enrolled in the charter school and
2to pupils who were enrolled in the charter school the previous
3school year, unless expelled for cause, and priority may be
4given to pupils residing within the charter school's attendance
5boundary, if a boundary has been designated by the board of
6education in a city having a population exceeding 500,000. A
7charter school waiting list must be centrally administered by
8the authorizer. A charter school may not create any admissions
9process subsequent to a lottery. In the event that a student
10transfers from a charter school, the authorizer shall inform
11the next parent or guardian on the waiting list. Dual
12enrollment at both a charter school and a public school or
13non-public school shall not be allowed. A pupil who is
14suspended or expelled from a charter school shall be deemed to
15be suspended or expelled from the public schools of the school
16district in which the pupil resides. Notwithstanding anything
17to the contrary in this subsection (h):
18        (1) any charter school with a mission exclusive to
19    educating high school dropouts may grant priority
20    admission to students who are high school dropouts and/or
21    students 16 or 15 years old at risk of dropping out and any
22    charter school with a mission exclusive to educating
23    students from low-performing or overcrowded schools may
24    restrict admission to students who are from low-performing
25    or overcrowded schools; "priority admission" for charter
26    schools exclusively devoted to re-enrolled dropouts or



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1    students at risk of dropping out means a minimum of 90% of
2    students enrolled shall be high school dropouts; and
3        (2) any charter school located in a school district
4    that contains all or part of a federal military base may
5    set aside up to 33% of its current charter enrollment to
6    students with parents assigned to the federal military
7    base, with the remaining 67% subject to the general
8    enrollment and lottery requirements of subsection (d) of
9    this Section and this subsection (h); if a student with a
10    parent assigned to the federal military base withdraws from
11    the charter school during the course of a school year for
12    reasons other than grade promotion, those students with
13    parents assigned to the federal military base shall have
14    preference in filling the vacancy.
15    (i) (Blank).
16    (j) Notwithstanding any other provision of law to the
17contrary, a school district in a city having a population
18exceeding 500,000 shall not have a duty to collectively bargain
19with an exclusive representative of its employees over
20decisions to grant or deny a charter school proposal under
21Section 27A-8 of this Code, decisions to renew or revoke a
22charter under Section 27A-9 of this Code, and the impact of
23these decisions, provided that nothing in this Section shall
24have the effect of negating, abrogating, replacing, reducing,
25diminishing, or limiting in any way employee rights,
26guarantees, or privileges granted in Sections 2, 3, 7, 8, 10,



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114, and 15 of the Illinois Educational Labor Relations Act.
2    (k) In this Section:
3    "Low-performing school" means a public school in a school
4district organized under Article 34 of this Code that enrolls
5students in any of grades kindergarten through 8 and that is
6ranked within the lowest 10% of schools in that district in
7terms of the percentage of students meeting or exceeding
8standards on the Illinois Standards Achievement Test.
9    "Overcrowded school" means a public school in a school
10district organized under Article 34 of this Code that (i)
11enrolls students in any of grades kindergarten through 8, (ii)
12has a percentage of low-income students of 70% or more, as
13identified in the most recently available School Report Card
14published by the State Board of Education, and (iii) is
15determined by the Chicago Board of Education to be in the most
16severely overcrowded 5% of schools in the district. On or
17before November 1 of each year, the Chicago Board of Education
18shall file a report with the State Board of Education on which
19schools in the district meet the definition of "overcrowded
20school". "Students at risk of dropping out" means students 16
21or 15 years old in a public school in a district organized
22under Article 34 of this Code that enrolls students in any
23grades 9-12 who have been absent at least 90 school attendance
24days of the previous 180 school attendance days.
25(Source: P.A. 97-151, eff. 1-1-12; 97-624, eff. 11-28-11;
2697-813, eff. 7-13-12; 98-474, eff. 8-16-13.)



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1    (105 ILCS 5/27A-10.5 new)
2    Sec. 27A-10.5. Educational or charter management
4    (a) In this Section:
5    "CMO" means a charter management organization.
6    "EMO" means an educational management organization.
7    (b) A charter school established on or after the effective
8date of this amendatory Act of the 98th General Assembly may
9not enter into a contract with a for-profit EMO or CMO.
10    (c) All equipment, furnishings, and physical plants that
11are purchased with public funds are the property of the charter
12school, not the EMO or CMO. In the event a charter school is
13dissolved, such property must be transferred to the authorizer.
14    (d) No charter school may employ a staff person who is
15simultaneously employed by an EMO or CMO.
16    (105 ILCS 5/27A-11)
17    Sec. 27A-11. Local financing.
18    (a) For purposes of the School Code, pupils enrolled in a
19charter school shall be included in the pupil enrollment of the
20school district within which the pupil resides. Each charter
21school (i) shall determine the school district in which each
22pupil who is enrolled in the charter school resides, (ii) shall
23report the aggregate number of pupils resident of a school
24district who are enrolled in the charter school to the school



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1district in which those pupils reside, and (iii) shall maintain
2accurate records of daily attendance that shall be deemed
3sufficient to file claims under Section 18-8 notwithstanding
4any other requirements of that Section regarding hours of
5instruction and teacher certification.
6    (b) Except for a charter school established by referendum
7under Section 27A-6.5, as part of a charter school contract,
8the charter school and the local school board shall agree on
9funding and any services to be provided by the school district
10to the charter school. Agreed funding that a charter school is
11to receive from the local school board for a school year shall
12be paid in equal quarterly installments with the payment of the
13installment for the first quarter being made not later than
14July 1, unless the charter establishes a different payment
16    All services centrally or otherwise provided by the school
17district including, but not limited to, rent, food services,
18custodial services, maintenance, curriculum, media services,
19libraries, transportation, and warehousing shall be subject to
20negotiation between a charter school and the local school board
21and paid for out of the revenues negotiated pursuant to this
22subsection (b); provided that the local school board shall not
23attempt, by negotiation or otherwise, to obligate a charter
24school to provide pupil transportation for pupils for whom a
25district is not required to provide transportation under the
26criteria set forth in subsection (a)(13) of Section 27A-7.



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1    In no event shall the funding be less than 75% or more than
2125% of the school district's per capita student tuition
3multiplied by the number of students residing in the district
4who are enrolled in the charter school.
5    It is the intent of the General Assembly that funding and
6service agreements under this subsection (b) shall be neither a
7financial incentive nor a financial disincentive to the
8establishment of a charter school.
9    The charter school may set and collect reasonable fees.
10Fees collected from students enrolled at a charter school shall
11be retained by the charter school.
12    (c) Notwithstanding subsection (b) of this Section, the
13proportionate share of State and federal resources generated by
14students with disabilities or staff serving them shall be
15directed to charter schools enrolling those students by their
16school districts or administrative units. The proportionate
17share of moneys generated under other federal or State
18categorical aid programs shall be directed to charter schools
19serving students eligible for that aid.
20    (d) The governing body of a charter school is authorized to
21accept gifts, donations, or grants of any kind made to the
22charter school and to expend or use gifts, donations, or grants
23in accordance with the conditions prescribed by the donor;
24however, a gift, donation, or grant may not be accepted by the
25governing body if it is subject to any condition contrary to
26applicable law or contrary to the terms of the contract between



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1the charter school and the local school board. Charter schools
2shall be encouraged to solicit and utilize community volunteer
3speakers and other instructional resources when providing
4instruction on the Holocaust and other historical events.
5    (e) (Blank).
6    (f) The State Board shall provide technical assistance to
7persons and groups preparing or revising charter applications.
8    (g) At the non-renewal or revocation of its charter, each
9charter school shall refund to the local board of education all
10unspent funds.
11    If a charter school student transfers from the charter
12school to another school in the same school district or to a
13school in a different school district, the charter school shall
14pay to the school district where the charter school is located
15the prorated portion of public funding provided for the
16education of that student. The charter school shall make this
17payment on or before June 30.
18    (h) A charter school is authorized to incur temporary,
19short term debt to pay operating expenses in anticipation of
20receipt of funds from the local school board.
21(Source: P.A. 90-548, eff. 1-1-98; 90-757, eff. 8-14-98;
2291-407, eff. 8-3-99.)
23    (105 ILCS 5/27A-11.10 new)
24    Sec. 27A-11.10. Proper use of funds.
25    (a) Any and all marketing and advertising to the public for



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1charter school enrollment and recruitment made by a charter
2school or school district is prohibited. Any third party
3conducting such advertising may not use funds from any public
4entity of this State, including a charter school, to do so.
5    (b) No school district may promote one set of schools over
6other sets of schools, and information about public school
7choice options provided by the school district shall include
8information on all public schools.
9    (c) No chief executive officer of a charter school shall
10receive compensation greater than 80% of the compensation of
11the superintendent of schools of the school district where the
12charter school is located. No charter school principal may
13receive compensation greater than 10% more than the average
14compensation for principals in the school district where the
15charter school is located. A charter school shall include these
16prohibitions in any contract with an educational or charter
17management organization.
18    (d) Charters schools that have a one-fifth greater share of
19their spending on administration than the share that the school
20district where the charter school is located devotes to central
21and school administration are subject to audit by the Auditor
22General. Such an audit shall examine without limitation
23contracts with educational or charter management
24organizations, vendor contracts, and the use of shared
25administration with school districts. The audit report shall
26make recommendations lowering the share of spending going



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1toward administration.
2    (105 ILCS 5/27A-12)
3    Sec. 27A-12. Evaluation and assessment; reporting report.
4    (a) On or before September 30 of every odd-numbered year,
5all local school boards with at least one charter school, as
6well as the Commission, shall submit to the State Board any
7information required by the State Board pursuant to applicable
8rule. On or before the second Wednesday in January of every
9even-numbered year, the State Board shall issue a report to the
10General Assembly and the Governor on its findings for the
11previous 2 school years. The State Board's report shall
12summarize all of the following:
13        (1) The authorizer's strategic vision for chartering
14    and progress toward achieving that vision.
15        (2) The academic and financial performance of all
16    operating charter schools overseen by the authorizer,
17    according to the performance expectations for charter
18    schools set forth in this Article.
19        (3) The status of the authorizer's charter school
20    portfolio, identifying all charter schools in each of the
21    following categories: approved (but not yet open),
22    operating, renewed, transferred, revoked, not renewed,
23    voluntarily closed, or never opened.
24        (4) The authorizing functions provided by the
25    authorizer to the charter schools under its purview,



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1    including the authorizer's operating costs and expenses
2    detailed in annual audited financial statements, which
3    must conform with generally accepted accounting
4    principles.
5    Further, in the report required by this Section, the State
6Board (i) shall compare the performance of charter school
7pupils with the performance of ethnically and economically
8comparable groups of pupils in other public schools who are
9enrolled in academically comparable courses, (ii) shall review
10information regarding the regulations and policies from which
11charter schools were released to determine if the exemptions
12assisted or impeded the charter schools in meeting their stated
13goals and objectives, and (iii) shall include suggested changes
14in State law necessary to strengthen charter schools.
15    (b) In addition, the State Board shall undertake and report
16on periodic evaluations of charter schools that include
17evaluations of student academic achievement, the extent to
18which charter schools are accomplishing their missions and
19goals, the sufficiency of funding for charter schools, and the
20need for changes in the approval process for charter schools.
21    The State Board, at 5-year intervals, shall complete an
22assessment of the impact of charter schools on the school
23system, including the flow of funding between sectors, student
24enrollment impacts, charter graduation rates, and student
25attrition rates, and an assessment of whether different
26categories of students are being equitably and fully served.



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1    (c) Based on the information that the State Board receives
2from authorizers and the State Board's ongoing monitoring of
3both charter schools and authorizers, the State Board has the
4power to remove the power to authorize from any authorizer in
5this State if the authorizer does not demonstrate a commitment
6to high-quality authorization practices and, if necessary,
7revoke the chronically low-performing charters authorized by
8the authorizer at the time of the removal. The State Board
9shall adopt rules as needed to carry out this power, including
10provisions to determine the status of schools authorized by an
11authorizer whose authorizing power is revoked.
12    (d) Charter schools found out of compliance with any
13reporting required under this Article shall have their share of
14general State aid under Section 18-8.05 of this Code withheld
15and prorated until the reporting is completed.
16(Source: P.A. 96-105, eff. 7-30-09; 97-152, eff. 7-20-11.)