State of Illinois
90th General Assembly
Legislation

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90_HB2741

      105 ILCS 5/14-7.02        from Ch. 122, par. 14-7.02
      105 ILCS 5/14-12.01       from Ch. 122, par. 14-12.01
      105 ILCS 5/18-4.3         from Ch. 122, par. 18-4.3
          Amends the School Code. Eliminates provisions authorizing
      proportionate  payment  of   school   district   claims   for
      reimbursement   for  providing  special  education  services,
      requires the General Assembly to appropriate  adequate  funds
      to  reimburse  school  districts  for  100%  of  the costs of
      providing  special  education  services,  and  provides   for
      payment  of a prior fiscal year's reimbursement claims in the
      next succeeding fiscal year (and before  payment  of  current
      claims  for  that  succeeding  fiscal  year)  if  the  amount
      appropriated  in  the  prior  fiscal  year is insufficient to
      provide for full reimbursement of the claims filed  for  that
      year.  Effective July 1, 1998.
                                                     LRB9007963THpk
                                               LRB9007963THpk
 1        AN  ACT  to  amend  the  School Code by changing Sections
 2    14-7.02, 14-12.01, and 18-4.3.
 3        Be it enacted by the People of  the  State  of  Illinois,
 4    represented in the General Assembly:
 5        Section  5.  The  School  Code  is  amended  by  changing
 6    Sections 14-7.02, 14-12.01, and 18-4.3 as follows:
 7        (105 ILCS 5/14-7.02) (from Ch. 122, par. 14-7.02)
 8        Sec. 14-7.02.  Children attending private schools, public
 9    out-of-state schools, public school residential facilities or
10    private  special  education facilities.  The General Assembly
11    recognizes  that  non-public  schools  or  special  education
12    facilities provide an important service  in  the  educational
13    system in Illinois.
14        If because of his or her disability the special education
15    program  of a district is unable to meet the needs of a child
16    and  the  child  attends  a  non-public  school  or   special
17    education facility, a public out-of-state school or a special
18    education  facility owned and operated by a county government
19    unit that provides special educational services  required  by
20    the child and is in compliance with the appropriate rules and
21    regulations  of  the  State  Superintendent of Education, the
22    school district in which the child is a  resident  shall  pay
23    the  actual cost of tuition for special education and related
24    services provided during the regular school term  and  during
25    the  summer  school  term if the child's educational needs so
26    require,  excluding  room,  board  and  transportation  costs
27    charged the  child  by  that  non-public  school  or  special
28    education  facility,  public  out-of-state  school  or county
29    special education facility, or $4,500 per year, whichever  is
30    less,  and  shall  provide  him any necessary transportation.
31    "Nonpublic  special  education  facility"  shall  include   a
                            -2-                LRB9007963THpk
 1    residential   facility,   within  or  without  the  State  of
 2    Illinois,  which  provides  special  education  and   related
 3    services  to meet the needs of the child by utilizing private
 4    schools or public schools, whether located on the site or off
 5    the site of the residential facility.
 6        The State Board of Education shall promulgate  rules  and
 7    regulations  for  determining  when  placement  in  a private
 8    special education facility is appropriate.   Such  rules  and
 9    regulations  shall  take  into  account  the various types of
10    services needed by a  child  and  the  availability  of  such
11    services  to  the  particular  child in the public school. In
12    developing these rules and regulations  the  State  Board  of
13    Education   shall   consult  with  the  Advisory  Council  on
14    Education of  Children  with  Disabilities  and  hold  public
15    hearings  to  secure  recommendations  from  parents,  school
16    personnel, and others concerned about this matter.
17        The  State Board of Education shall also promulgate rules
18    and regulations for transportation to and from a  residential
19    school.  Transportation  to  and  from  home to a residential
20    school more than once each school term shall  be  subject  to
21    prior approval by the State Superintendent in accordance with
22    the rules and regulations of the State Board.
23        A  school  district  making  tuition payments pursuant to
24    this Section is eligible for reimbursement from the State for
25    the amount of such payments actually made in  excess  of  the
26    district per capita tuition charge for students not receiving
27    special  education  services.  Such  reimbursement  shall  be
28    approved   in  accordance  with  Section  14-12.01  and  each
29    district shall file its claims, computed in  accordance  with
30    rules  prescribed  by  the State Board of Education, with the
31    regional superintendent of schools on or before August 1, for
32    approval on forms prescribed by the State  Superintendent  of
33    Education.   Data  used  as  a  basis of reimbursement claims
34    shall be for the preceding regular  school  term  and  summer
                            -3-                LRB9007963THpk
 1    school  term.   The  regional superintendent of schools shall
 2    approve the claims as to form and transmit the claims to  the
 3    State  Board  of Education on or before August 15.  The State
 4    Board of Education, before approving any such  claims,  shall
 5    determine  their  accuracy  and  whether  they are based upon
 6    services and facilities  provided  under  approved  programs.
 7    Upon  approval  the  State  Board  shall cause vouchers to be
 8    prepared showing the amount due for payment of  reimbursement
 9    claims  to  school  districts,  for  transmittal to the State
10    Comptroller on the  30th  day  of  September,  December,  and
11    March,  respectively,  and  the  final voucher, no later than
12    June 20. If the money appropriated by  the  General  Assembly
13    for  such  purpose  for any year is insufficient, it shall be
14    apportioned on the basis of the claims approved.
15        No child shall be placed in a special  education  program
16    pursuant  to  this  Section  if  the tuition cost for special
17    education and related services increases more than 10 percent
18    over the tuition cost for the previous school year or exceeds
19    $4,500 per year unless such costs have been approved  by  the
20    Illinois   Purchased   Care    Review  Board.   The  Illinois
21    Purchased Care Review Board shall consist  of  the  following
22    persons,  or  their designees:  the Directors of Children and
23    Family Services, Public Health, Public Aid, and the Bureau of
24    the Budget;  the  Secretary  of  Human  Services;  the  State
25    Superintendent  of  Education;  and such other persons as the
26    Governor may  designate.  The Review  Board  shall  establish
27    rules  and  regulations  for  its  determination of allowable
28    costs and payments made by local school districts for special
29    education,  room  and  board,  and  other  related   services
30    provided   by   non-public   schools   or  special  education
31    facilities and shall establish uniform standards and criteria
32    which it shall follow.
33        The Review Board shall establish uniform definitions  and
34    criteria for accounting separately by special education, room
                            -4-                LRB9007963THpk
 1    and  board and other related services costs.  The Board shall
 2    also establish guidelines for the  coordination  of  services
 3    and  financial  assistance  provided by all State agencies to
 4    assure that no otherwise qualified disabled  child  receiving
 5    services   under   Article   14   shall   be   excluded  from
 6    participation in, be denied the benefits of or  be  subjected
 7    to  discrimination  under any program or activity provided by
 8    any State agency.
 9        The Review Board  shall  review  the  costs  for  special
10    education and related services provided by non-public schools
11    or   special   education  facilities  and  shall  approve  or
12    disapprove such facilities in accordance with the  rules  and
13    regulations  established  by  it  with  respect  to allowable
14    costs.
15        The State Board of Education shall provide administrative
16    and staff support for the Review Board as  deemed  reasonable
17    by the State Superintendent of Education.  This support shall
18    not  include  travel  expenses  or other compensation for any
19    Review Board member other than the  State  Superintendent  of
20    Education.
21        The  Review  Board  shall seek the advice of the Advisory
22    Council on Education of Children  with  Disabilities  on  the
23    rules  and  regulations  to  be promulgated by it relative to
24    providing special education services.
25        If a child has been placed in  a  program  in  which  the
26    actual  per  pupil costs of tuition for special education and
27    related services based on program enrollment, excluding room,
28    board and transportation costs, exceed $4,500 and such  costs
29    have  been  approved  by the Review Board, the district shall
30    pay such total costs which exceed $4,500.  A district  making
31    such  tuition  payments  in excess of $4,500 pursuant to this
32    Section shall be responsible  for  an  amount  in  excess  of
33    $4,500  equal  to  the district per capita tuition charge and
34    shall be eligible for reimbursement from the  State  for  the
                            -5-                LRB9007963THpk
 1    amount  of  such  payments  actually  made  in  excess of the
 2    districts  per  capita  tuition  charge  for   students   not
 3    receiving special education services.
 4        If  a  child  has  been  placed in an approved individual
 5    program and the tuition costs including room and board  costs
 6    have  been  approved  by the Review Board, then such room and
 7    board costs shall be paid by  the  appropriate  State  agency
 8    subject  to  the  provisions  of Section 14-8.01 of this Act.
 9    Room and board costs not provided by  a  State  agency  other
10    than  the  State  Board of Education shall be provided by the
11    State Board of Education on a current basis.   In  no  event,
12    however,  shall  the  State's  liability for funding of these
13    tuition costs begin until  after  the  legal  obligations  of
14    third  party payors have been subtracted from such costs.  If
15    the money appropriated  by  the  General  Assembly  for  such
16    purpose for any year is insufficient, it shall be apportioned
17    on  the  basis  of  the claims approved.  Each district shall
18    submit estimated claims to  the  regional  superintendent  of
19    schools  for  transmittal  to  the  State  Superintendent  of
20    Education.    Upon   approval   of  such  claims,  the  State
21    Superintendent  of   Education   shall   direct   the   State
22    Comptroller   to  make  payments  on  a  monthly  basis.  The
23    frequency for submitting estimated claims and the  method  of
24    determining   payment   shall  be  prescribed  in  rules  and
25    regulations adopted by the State Board of  Education.    Such
26    current  state  reimbursement  shall  be reduced by an amount
27    equal to the proceeds which the child or child's parents  are
28    eligible  to receive under any public or private insurance or
29    assistance  program.   Nothing  in  this  Section  shall   be
30    construed as relieving an insurer or similar third party from
31    an  otherwise  valid  obligation  to  provide  or  to pay for
32    services provided to a disabled child.
33        If it otherwise qualifies, a school district is  eligible
34    for  the  transportation reimbursement under Section 14-13.01
                            -6-                LRB9007963THpk
 1    and for the reimbursement  of  tuition  payments  under  this
 2    Section  whether  the  non-public school or special education
 3    facility,  public  out-of-state  school  or  county   special
 4    education  facility,  attended by a child who resides in that
 5    district and requires special educational services, is within
 6    or outside of the State of Illinois.  However, a district  is
 7    not eligible to claim transportation reimbursement under this
 8    Section   unless   the   district   certifies  to  the  State
 9    Superintendent of Education that the district  is  unable  to
10    provide  special  educational  services required by the child
11    for the current school year.
12        Nothing in this Section authorizes the reimbursement of a
13    school district for the amount paid for tuition  of  a  child
14    attending  a non-public school or special education facility,
15    public  out-of-state  school  or  county  special   education
16    facility  unless  the  school district certifies to the State
17    Superintendent  of  Education  that  the  special   education
18    program  of that district is unable to meet the needs of that
19    child because of his disability and the State  Superintendent
20    of Education finds that the school district is in substantial
21    compliance with Section 14-4.01.
22        Any educational or related services provided, pursuant to
23    this  Section  in  a  non-public  school or special education
24    facility or a special education facility owned  and  operated
25    by a county government unit shall be at no cost to the parent
26    or  guardian of the child. However, current law and practices
27    relative to contributions by parents or guardians  for  costs
28    other  than  educational or related services are not affected
29    by this amendatory Act of 1978.
30        Reimbursement  for  children  attending   public   school
31    residential  facilities  shall be made in accordance with the
32    provisions of this Section.
33    (Source: P.A. 88-555,  eff.  7-27-94;  88-641,  eff.  9-9-94;
34    89-21,   eff.  7-1-95;  89-235,  eff.  8-4-95;  89-397,  eff.
                            -7-                LRB9007963THpk
 1    8-20-95; 89-507, eff. 7-1-97; 89-626, eff. 8-9-96.)
 2        (105 ILCS 5/14-12.01) (from Ch. 122, par. 14-12.01)
 3        Sec. 14-12.01. Account of expenditures -  Cost  report  -
 4    Reimbursement.  Each  school  board  shall  keep an accurate,
 5    detailed and separate account of all monies paid  out  by  it
 6    for  the  maintenance  of  each  of  the types of facilities,
 7    classes and  schools  authorized  by  this  Article  for  the
 8    instruction  and  care  of  pupils attending them and for the
 9    cost of  their  transportation,  and  shall  annually  report
10    thereon  indicating  the cost of each such elementary or high
11    school pupil for the school year ending June 30.
12        Applications for preapproval for reimbursement for  costs
13    of  special  education  must  be  first submitted through the
14    office of the regional superintendent of schools to the State
15    Superintendent of Education on or  before  30  days  after  a
16    special  class  or service is started. Applications shall set
17    forth a plan for special education established and maintained
18    in accordance with this Article.  Such applications shall  be
19    limited  to  the  cost  of  construction  and  maintenance of
20    special education facilities designed and utilized  to  house
21    instructional  programs,  diagnostic  services, other special
22    education  services  for  children  with   disabilities   and
23    reimbursement   as   provided   in   Section  14-13.01.  Such
24    application shall not include the  cost  of  construction  or
25    maintenance  of  any  administrative  facility separated from
26    special education facilities designed and utilized  to  house
27    instructional   programs,   diagnostic  services,  and  other
28    special education services for  children  with  disabilities.
29    Reimbursement  claims  for special education shall be made as
30    follows:
31        Each district shall file its claim computed in accordance
32    with rules prescribed by the State Board  of  Education  with
33    the  regional superintendent of schools, in triplicate, on or
                            -8-                LRB9007963THpk
 1    before August 1, for approval  on  forms  prescribed  by  the
 2    State  Superintendent  of  Education. Data used as a basis of
 3    reimbursement claims shall be for the school  year  ended  on
 4    June  30  preceding.   The regional superintendent of schools
 5    shall   check   and   upon   approval   provide   the   State
 6    Superintendent of Education with the original and one copy of
 7    the claims on or before August 15.  The State  Superintendent
 8    of Education before approving any such claims shall determine
 9    their  accuracy  and whether they are based upon services and
10    facilities provided under approved programs.  Upon  approval,
11    vouchers  for  the amounts due the respective districts shall
12    be prepared and submitted during each fiscal year as follows:
13    the  first  3  vouchers  shall  be  prepared  by  the   State
14    Superintendent   of   Education   and   transmitted   to  the
15    Comptroller on the 30th day of September, December and March,
16    respectively, and the final voucher, no later than  June  20.
17    If,  after  preparation  and  transmittal of the September 30
18    vouchers, any  claim  has  been  redetermined  by  the  State
19    Superintendent  of  Education,  subsequent  vouchers shall be
20    adjusted in amount  to  compensate  for  any  overpayment  or
21    underpayment  previously made.   If the money appropriated by
22    the General  Assembly  for  such  purpose  for  any  year  is
23    insufficient,  it  shall  be  apportioned on the basis of the
24    claims approved.
25        Claims received at the State  Board  of  Education  after
26    August 15 shall not be honored.  Claims received by August 15
27    may be amended until November 30.
28        All reimbursement shall be paid at 100%.  Recognizing the
29    needs  of students with disabilities and the financial burden
30    upon the school districts in educating  those  students,  the
31    General  Assembly shall annually appropriate adequate funding
32    to reimburse  at  100%  of  the  cost  of  providing  special
33    education.   If there are any excess funds remaining from the
34    appropriation  reimbursing  all  filed  claims,  the  General
                            -9-                LRB9007963THpk
 1    Assembly shall reappropriate those  excess  funds  for  other
 2    educational  purposes  in  that  same fiscal year.  Beginning
 3    with the fiscal year 1999, if the amount appropriated for any
 4    year is less than the amount required for  purposes  of  this
 5    Section  and Sections 14-7.02 and 18-4.3, the amount required
 6    to eliminate any insufficient reimbursement for each district
 7    claim under those Sections shall be reimbursed  on  September
 8    30  of  the next fiscal year.  Payments required to eliminate
 9    any insufficiency for prior fiscal year claims shall be  made
10    before any claims are paid for the current fiscal year.
11    (Source: P.A. 88-641, eff. 9-9-94; 89-397, eff. 8-20-95.)
12        (105 ILCS 5/18-4.3) (from Ch. 122, par. 18-4.3)
13        Sec.  18-4.3.   Summer  school  grants.   Grants shall be
14    determined for pupil attendance in summer  schools  conducted
15    under Sections 10-22.33A and 34-18 and approved under Section
16    2-3.25 in the following manner.
17        The  amount  of  grant  for each accredited summer school
18    attendance pupil shall be  obtained  by  dividing  the  total
19    amount  of  apportionments  determined  under Section 18-8 or
20    Section 18-8.05 by the actual number  of  pupils  in  average
21    daily attendance used for such apportionments.  The number of
22    credited  summer school attendance pupils shall be determined
23    (a) by counting clock hours of class  instruction  by  pupils
24    enrolled in grades 1 through 12 in approved courses conducted
25    at  least  60 clock hours in summer sessions; (b) by dividing
26    such total of clock  hours  of  class  instruction  by  4  to
27    produce  days  of  credited pupil attendance; (c) by dividing
28    such days of credited pupil attendance by the  actual  number
29    of  days  in  the  regular term as used in computation in the
30    general apportionment in Section 18-8; and (d) by multiplying
31    by 1.25.
32        The amount of the  grant  for  a  summer  school  program
33    approved   by  the  State  Superintendent  of  Education  for
                            -10-               LRB9007963THpk
 1    children with disabilities, as defined  in  Sections  14-1.02
 2    through  14-1.07, shall be determined in the manner contained
 3    above except that average daily membership shall be  utilized
 4    in lieu of average daily attendance.
 5        In  the  case  of an apportionment based on summer school
 6    attendance or membership pupils, the claim therefor shall  be
 7    presented  as a separate claim for the particular school year
 8    in  which such summer school  session  ends.   On  or  before
 9    October  15  of each year the superintendent of each eligible
10    school district shall certify to the regional  superintendent
11    the  claim of the district for the summer session just ended.
12    Failure on the part of the school board to so  certify  shall
13    constitute  a  forfeiture  of its right to such payment.  The
14    regional  superintendent   shall   certify   to   the   State
15    Superintendent  of  Education  no  later  than November 1 the
16    regional report of  claims  for  summer  school.   The  State
17    Superintendent of Education shall transmit to the Comptroller
18    no later than December 15th of each year vouchers for payment
19    of amounts due school districts for summer school.  The State
20    Superintendent  of  Education shall direct the Comptroller to
21    draw his warrants for payments thereof by  the  30th  day  of
22    December.   If the money appropriated by the General Assembly
23    for  such  purpose  for any year is insufficient, it shall be
24    apportioned on the basis of claims approved.
25        However, notwithstanding the  foregoing  provisions,  for
26    each  fiscal  year  the  money  appropriated  by  the General
27    Assembly for the purposes of this Section shall only be  used
28    for  grants  for  approved  summer  school programs for those
29    children  with  disabilities  served  pursuant  to   Sections
30    14-7.02 and 14-7.02a of the School Code.
31    (Source: P.A. 89-397, eff. 8-20-95; 90-548, eff. 1-1-98.)
32        Section  99.  Effective date.  This Act takes effect July
33    1, 1998.

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