Illinois General Assembly - Full Text of HB3171
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Full Text of HB3171  100th General Assembly




State of Illinois
2017 and 2018


Introduced , by Rep. Nick Sauer


105 ILCS 5/1D-1
105 ILCS 5/14-7.02b
105 ILCS 5/14-7.05

    Amends the Block Grants for Chicago Article of the School Code. Removes provisions that require the educational services block grant to include Special Education and funding for children requiring special education services. Makes related changes. Effective immediately.

LRB100 06881 NHT 16931 b






HB3171LRB100 06881 NHT 16931 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
51D-1, 14-7.02b, and 14-7.05 as follows:
6    (105 ILCS 5/1D-1)
7    Sec. 1D-1. Block grant funding.
8    (a) For fiscal year 1996 and each fiscal year thereafter,
9the State Board of Education shall award to a school district
10having a population exceeding 500,000 inhabitants a general
11education block grant and an educational services block grant,
12determined as provided in this Section, in lieu of distributing
13to the district separate State funding for the programs
14described in subsections (b) and (c). The provisions of this
15Section, however, do not apply to any federal funds that the
16district is entitled to receive. In accordance with Section
172-3.32, all block grants are subject to an audit. Therefore,
18block grant receipts and block grant expenditures shall be
19recorded to the appropriate fund code for the designated block
21    (b) The general education block grant shall include the
22following programs: REI Initiative, Summer Bridges, Preschool
23At Risk, K-6 Comprehensive Arts, School Improvement Support,



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



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1Assembly encourages the board to pursue mandate waivers
2pursuant to Section 2-3.25g.
3    The funding program included in the educational services
4block grant for funding for children requiring special
5education services in each fiscal year shall be treated in that
6fiscal year as a payment to the school district in respect of
7services provided or costs incurred in the prior fiscal year,
8calculated in each case as provided in this Section. Nothing in
9this Section shall change the nature of payments for any
10program that, apart from this Section, would be or, prior to
11adoption or amendment of this Section, was on the basis of a
12payment in a fiscal year in respect of services provided or
13costs incurred in the prior fiscal year, calculated in each
14case as provided in this Section.
15    (d) For fiscal year 1996 and each fiscal year thereafter,
16the amount of the district's block grants shall be determined
17as follows: (i) with respect to each program that is included
18within each block grant, the district shall receive an amount
19equal to the same percentage of the current fiscal year
20appropriation made for that program as the percentage of the
21appropriation received by the district from the 1995 fiscal
22year appropriation made for that program, and (ii) the total
23amount that is due the district under the block grant shall be
24the aggregate of the amounts that the district is entitled to
25receive for the fiscal year with respect to each program that
26is included within the block grant that the State Board of



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1Education shall award the district under this Section for that
2fiscal year. In the case of the Summer Bridges program, the
3amount of the district's block grant shall be equal to 44% of
4the amount of the current fiscal year appropriation made for
5that program.
6    (e) The district is not required to file any application or
7other claim in order to receive the block grants to which it is
8entitled under this Section. The State Board of Education shall
9make payments to the district of amounts due under the
10district's block grants on a schedule determined by the State
11Board of Education.
12    (f) A school district to which this Section applies shall
13report to the State Board of Education on its use of the block
14grants in such form and detail as the State Board of Education
15may specify. In addition, the report must include the following
16description for the district, which must also be reported to
17the General Assembly: block grant allocation and expenditures
18by program; population and service levels by program; and
19administrative expenditures by program. The State Board of
20Education shall ensure that the reporting requirements for the
21district are the same as for all other school districts in this
23    (g) This paragraph provides for the treatment of block
24grants under Article 1C for purposes of calculating the amount
25of block grants for a district under this Section. Those block
26grants under Article 1C are, for this purpose, treated as



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



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1classify more funds as funds received in connection with the
2funding program than the district is entitled to receive in
3that fiscal year for that program. Any classification by a
4district must be made by a resolution of its board of
5education. The resolution must identify the amount of any block
6grant or general State aid to be classified under this
7subsection (h) and must specify the funding program to which
8the funds are to be treated as received in connection
9therewith. This resolution is controlling as to the
10classification of funds referenced therein. A certified copy of
11the resolution must be sent to the State Superintendent of
12Education. The resolution shall still take effect even though a
13copy of the resolution has not been sent to the State
14Superintendent of Education in a timely manner. No
15classification under this subsection (h) by a district shall
16affect the total amount or timing of money the district is
17entitled to receive under this Code. No classification under
18this subsection (h) by a district shall in any way relieve the
19district from or affect any requirements that otherwise would
20apply with respect to the block grant as provided in this
21Section, including any accounting of funds by source, reporting
22expenditures by original source and purpose, reporting
23requirements, or requirements of provision of services.
24(Source: P.A. 97-238, eff. 8-2-11; 97-324, eff. 8-12-11;
2597-813, eff. 7-13-12.)



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1    (105 ILCS 5/14-7.02b)
2    Sec. 14-7.02b. Funding for children requiring special
3education services. Payments to school districts for children
4requiring special education services documented in their
5individualized education program regardless of the program
6from which these services are received, excluding children
7claimed under Sections 14-7.02 and 14-7.03 of this Code, shall
8be made in accordance with this Section. Funds received under
9this Section may be used only for the provision of special
10educational facilities and services as defined in Section
1114-1.08 of this Code.
12    The appropriation for fiscal year 2005 and thereafter shall
13be based upon the IDEA child count of all students in the
14State, excluding students claimed under Sections 14-7.02 and
1514-7.03 of this Code, on December 1 of the fiscal year 2 years
16preceding, multiplied by 17.5% of the general State aid
17foundation level of support established for that fiscal year
18under Section 18-8.05 of this Code.
19    Beginning with fiscal year 2005 and through fiscal year
202007, individual school districts shall not receive payments
21under this Section totaling less than they received under the
22funding authorized under Section 14-7.02a of this Code during
23fiscal year 2004, pursuant to the provisions of Section
2414-7.02a as they were in effect before the effective date of
25this amendatory Act of the 93rd General Assembly. This base
26level funding shall be computed first.



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1    Beginning with fiscal year 2008 and each fiscal year
2thereafter, individual school districts must not receive
3payments under this Section totaling less than they received in
4fiscal year 2007. This funding shall be computed last and shall
5be a separate calculation from any other calculation set forth
6in this Section. This amount is exempt from the requirements of
7Section 1D-1 of this Code.
8    An amount equal to 85% of the funds remaining in the
9appropriation shall be allocated to school districts based upon
10the district's average daily attendance reported for purposes
11of Section 18-8.05 of this Code for the preceding school year.
12Fifteen percent of the funds remaining in the appropriation
13shall be allocated to school districts based upon the
14district's low income eligible pupil count used in the
15calculation of general State aid under Section 18-8.05 of this
16Code for the same fiscal year. One hundred percent of the funds
17computed and allocated to districts under this Section shall be
18distributed and paid to school districts.
19    For individual students with disabilities whose program
20costs exceed 4 times the district's per capita tuition rate as
21calculated under Section 10-20.12a of this Code, the costs in
22excess of 4 times the district's per capita tuition rate shall
23be paid by the State Board of Education from unexpended IDEA
24discretionary funds originally designated for room and board
25reimbursement pursuant to Section 14-8.01 of this Code. The
26amount of tuition for these children shall be determined by the



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1actual cost of maintaining classes for these children, using
2the per capita cost formula set forth in Section 14-7.01 of
3this Code, with the program and cost being pre-approved by the
4State Superintendent of Education. Reimbursement for
5individual students with disabilities whose program costs
6exceed 4 times the district's per capita tuition rate shall be
7claimed beginning with costs encumbered for the 2004-2005
8school year and thereafter.
9    The State Board of Education shall prepare vouchers equal
10to one-fourth the amount allocated to districts, for
11transmittal to the State Comptroller on the 30th day of
12September, December, and March, respectively, and the final
13voucher, no later than June 20. The Comptroller shall make
14payments pursuant to this Section to school districts as soon
15as possible after receipt of vouchers. If the money
16appropriated from the General Assembly for such purposes for
17any year is insufficient, it shall be apportioned on the basis
18of the payments due to school districts.
19    Nothing in this Section shall be construed to decrease or
20increase the percentage of all special education funds that are
21allocated annually under Article 1D of this Code or to alter
22the requirement that a school district provide special
23education services.
24    Nothing in this amendatory Act of the 93rd General Assembly
25shall eliminate any reimbursement obligation owed as of the
26effective date of this amendatory Act of the 93rd General



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1Assembly to a school district with in excess of 500,000
3(Source: P.A. 93-1022, eff. 8-24-08; 95-705, eff. 1-8-08.)
4    (105 ILCS 5/14-7.05)
5    Sec. 14-7.05. Placement in residential facility; payment
6of educational costs. For any student with a disability in a
7residential facility placement made or paid for by an Illinois
8public State agency or made by any court in this State, the
9school district of residence as determined pursuant to this
10Article is responsible for the costs of educating the child and
11shall be reimbursed for those costs in accordance with this
12Code. Subject to this Section and relevant State appropriation,
13the resident district's financial responsibility and
14reimbursement must be calculated in accordance with the
15provisions of Section 14-7.02 of this Code. In those instances
16in which a district receives a block grant pursuant to Article
171D of this Code, the district's financial responsibility is
18limited to the actual educational costs of the placement, which
19must be paid by the district from its block grant
20appropriation. Resident district financial responsibility and
21reimbursement applies for both residential facilities that are
22approved by the State Board of Education and non-approved
23facilities, subject to the requirements of this Section. The
24Illinois placing agency or court remains responsible for
25funding the residential portion of the placement and for



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1notifying the resident district prior to the placement, except
2in emergency situations. The residential facility in which the
3student is placed shall notify the resident district of the
4student's enrollment as soon as practicable after the
5placement. Failure of the placing agency or court to notify the
6resident district prior to the placement does not absolve the
7resident district of financial responsibility for the
8educational costs of the placement; however, the resident
9district shall not become financially responsible unless and
10until it receives written notice of the placement by either the
11placing agency, court, or residential facility. The placing
12agency or parent shall request an individualized education
13program (IEP) meeting from the resident district if the
14placement would entail additional educational services beyond
15the student's current IEP. The district of residence shall
16retain control of the IEP process, and any changes to the IEP
17must be done in compliance with the federal Individuals with
18Disabilities Education Act.
19    Payments shall be made by the resident district to the
20entity providing the educational services, whether the entity
21is the residential facility or the school district wherein the
22facility is located, no less than once per quarter unless
23otherwise agreed to in writing by the parties.
24    A residential facility providing educational services
25within the facility, but not approved by the State Board of
26Education, is required to demonstrate proof to the State Board



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1of (i) appropriate certification of teachers for the student
2population, (ii) age-appropriate curriculum, (iii) enrollment
3and attendance data, and (iv) the ability to implement the
4child's IEP. A school district is under no obligation to pay
5such a residential facility unless and until such proof is
6provided to the State Board's satisfaction.
7    When a dispute arises over the determination of the
8district of residence under this Section, any person or entity,
9including without limitation a school district or residential
10facility, may make a written request for a residency decision
11to the State Superintendent of Education, who, upon review of
12materials submitted and any other items of information he or
13she may request for submission, shall issue his or her decision
14in writing. The decision of the State Superintendent of
15Education is final.
16(Source: P.A. 95-844, eff. 8-15-08; 95-938, eff. 8-29-08.)
17    Section 99. Effective date. This Act takes effect upon
18becoming law.