101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB2741

 

Introduced , by Rep. Thomas Morrison

 

SYNOPSIS AS INTRODUCED:
 
105 ILCS 5/17-1.5
105 ILCS 5/34-43.1  from Ch. 122, par. 34-43.1

    Amends the School Code. Makes changes with regard to the limitation of administrative costs. Defines "consumer price index", "expenditures per pupil", "general administration expenditures", and "school administration expenditures". Provides that for the 2020-2021 school year and each school year thereafter, each school district shall undertake budgetary and expenditure control actions so that the increase in each of the budgeted administrative expenditures per pupil (with the exception of the Chicago school district, whose limit is not changed), budgeted general administration expenditures per pupil, and budgeted school administration expenditures per pupil for that school year over the expenditures per pupil for the prior school year does not exceed the percentage increase, if any, in the consumer price index for the 12 months ending on the December 31 prior to the budgetary year or 5%, whichever one is less. Makes conforming changes and other changes.


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FISCAL NOTE ACT MAY APPLY
STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT

 

 

A BILL FOR

 

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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
517-1.5 and 34-43.1 as follows:
 
6    (105 ILCS 5/17-1.5)
7    Sec. 17-1.5. Limitation of administrative costs.
8    (a) It is the purpose of this Section to establish
9limitations on the growth of administrative expenditures in
10order to maximize the proportion of school district resources
11available for the instructional program, building maintenance,
12and safety services for the students of each district.
13    (b) Definitions. For the purposes of this Section:
14    "Administrative expenditures" mean the annual expenditures
15of school districts properly attributable to expenditure
16functions defined by the rules of the State Board of Education
17as: 2320 (Executive Administration Services); 2330 (Special
18Area Administration Services); 2490 (Other Support Services -
19School Administration); 2510 (Direction of Business Support
20Services); 2570 (Internal Services); and 2610 (Direction of
21Central Support Services); provided, however, that
22"administrative expenditures" shall not include early
23retirement or other pension system obligations required by

 

 

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1State law.
2    "Consumer price index" means the Consumer Price Index for
3All Urban Consumers for all items published by the Bureau of
4Labor Statistics of the United States Department of Labor.
5    "Expenditures per pupil" means the total administrative
6expenditures, general administration expenditures, or school
7administration expenditures divided by the average number of
8students reported to the State Board of Education as enrolled
9in the school district on October 1 and March 1, in the
10immediately preceding school year, as defined by "Average
11Student Enrollment" under Section 18-8.15 of this Code.
12    "General administration expenditures" means the sum of all
13annual expenditures of a school district that are attributable
14to expenditure functions that are defined by the rules of the
15State Board of Education as 2300 (Total Support Services -
16General Administration); however, "general administration
17expenditures" does not include early retirement or other
18pension system obligations required by State law.
19    "School administration expenditures" means the sum of all
20annual expenditures of a school district that are attributable
21to expenditure functions that are defined by the rules of the
22State Board of Education as 2400 (Total Support Services -
23School Administration); however, "school administration
24expenditures" does not include early retirement or other
25pension system obligations required by State law.
26    "School district" means all school districts having a

 

 

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1population of less than 500,000.
2    (c) For the 1998-99 school year through the 2019-2020
3school year and each school year thereafter, each school
4district shall undertake budgetary and expenditure control
5actions so that the increase in administrative expenditures for
6that school year over the prior school year does not exceed 5%.
7For 2020-2021 school year and each school year thereafter, each
8school district shall undertake budgetary and expenditure
9control actions so that the increase in each of the budgeted
10administrative expenditures per pupil, budgeted general
11administration expenditures per pupil, and budgeted school
12administration expenditures per pupil for that school year over
13the expenditures per pupil for the prior school year does not
14exceed the percentage increase, if any, in the consumer price
15index for the 12 months ending on December 31 prior to the
16budgetary year or 5%, whichever one is less. For purposes of
17this Section, for the 2019-2020 school year, the general
18administration expenditures per pupil shall be the lesser of
19the actual expenditures per pupil of the school district for
20the prior school year or the amount reported by the United
21States Census Bureau in its 2001 Annual Survey of School System
22Finances as the Illinois average per pupil for Support Services
23Expenditure - General Administration (Function 2300),
24increased by the percentage increase, if any, in the consumer
25price index for 2002 through 2019 compounded. For purposes of
26this Section, for the 2019-2020 school year, the school

 

 

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1administration expenditures per pupil shall be the amount
2reported by the United States Census Bureau in its 2015 Annual
3Survey of School System Finances as the national average per
4pupil for Support Services Expenditure - School Administration
5(Function 2400), increased by the percentage increase, if any,
6in the consumer price index for 2017, 2018, and 2019
7compounded. For the 2020-2021 school year and each subsequent
8school year, the State Board of Education shall publish on its
9Internet website the current year allowable percentage
10increase and a list of school districts that qualify to waive
11each of the applicable limitations under subsection (c-5) of
12this Section.
13    (c-5) School districts with administrative expenditures,
14general administration expenditures, or school administration
15expenditures per pupil in the 25th percentile and below for all
16districts of the same type, as defined by the State Board of
17Education, may waive the applicable limitation imposed under
18this Section for any year following a public hearing and with
19the affirmative vote of at least two-thirds of the members of
20the school board of the district. Any district waiving a the
21limitation shall notify the State Board within 45 days of such
22action.
23    (d) School districts shall file with the State Board of
24Education by November 15, 1998 and by each November 15th
25thereafter a one-page report that lists (i) the actual
26administrative expenditures, general administration

 

 

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1expenditures, and school administration expenditures for the
2prior year from the district's audited Annual Financial Report,
3with the relevant average number of students reported to the
4State Board of Education, as set forth in the definition of
5"expenditures per pupil" under this Section, and (ii) the
6projected administrative expenditures, general administration
7expenditures, and school administration expenditures for the
8current year from the budget adopted by the school board
9pursuant to Section 17-1 of this Code, with the relevant
10average number of students reported to the State Board of
11Education, as set forth in the definition of "expenditures per
12pupil" under this Section, (iii) the administrative
13expenditures per pupil, general administration expenditures
14per pupil, and school administration expenditures per pupil for
15the prior year and the current year, and (iv) the percentage
16increase in current year per pupil expenditures over prior year
17per pupil expenditures.
18    If a school district that is ineligible to waive a the
19limitation imposed by subsection (c) of this Section by board
20action exceeds that the limitation solely because of
21circumstances beyond the control of the district and the
22district has exhausted all available and reasonable remedies to
23comply with the applicable limitation, the district may request
24a waiver pursuant to Section 2-3.25g of this Code. The waiver
25application shall specify the amount, nature, and reason for
26the relief requested, as well as all remedies the district has

 

 

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1exhausted to comply with the limitation. Any emergency relief
2so requested shall apply only to the specific school year for
3which the request is made. The State Board of Education shall
4analyze all such waivers submitted and shall recommend that the
5General Assembly disapprove any such waiver requested that is
6not due solely to circumstances beyond the control of the
7district and for which the district has not exhausted all
8available and reasonable remedies to comply with the
9limitation. The State Superintendent shall have no authority to
10impose any sanctions pursuant to this Section for any
11expenditures for which a waiver has been requested until such
12waiver has been reviewed by the General Assembly. Except for a
13new district formed under Article 11E of this Code, any
14district that has current year expenditures per pupil but no
15prior year expenditures per pupil for a limitation must request
16a waiver under Section 2-3.25g of this Code.
17    If the report and information required under this
18subsection (d) are not provided by the school district in a
19timely manner, or are subsequently determined by the State
20Superintendent of Education to be incomplete or inaccurate, the
21State Superintendent shall notify the district in writing of
22reporting deficiencies. The school district shall, within 60
23days of the notice, address the reporting deficiencies
24identified.
25    (e) If the State Superintendent determines that a school
26district has failed to comply with the administrative

 

 

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1expenditure, the general administration expenditure, or the
2school administration expenditure limitation imposed in
3subsection (c) of this Section, the State Superintendent shall
4notify the district of the violation and direct the district to
5undertake corrective action to bring the district's budget into
6compliance with the applicable administrative expenditure
7limitation. The district shall, within 60 days of the notice,
8provide adequate assurance to the State Superintendent that
9appropriate corrective actions have been or will be taken. If
10the district fails to provide adequate assurance or fails to
11undertake the necessary corrective actions, the State
12Superintendent may impose progressive sanctions against the
13district that may culminate in withholding all subsequent
14payments of general State aid due the district under Section
1518-8.05 of this Code or evidence-based funding due the district
16under Section 18-8.15 of this Code until the assurance is
17provided or the corrective actions taken.
18    (f) The State Superintendent shall publish a list each year
19of the school districts that violate any the limitation imposed
20by subsection (c) of this Section and a list of the districts
21that waive a the limitation by board action as provided in
22subsection (c-5) (c) of this Section.
23    (g) For any school district that violates a limitation
24imposed by subsection (c) of this Section for a minimum of 2
25out of 3 years, the State Superintendent of Education may
26withhold payments of evidence-based funding due to the school

 

 

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1district under Section 18-8.15 of this Code in an amount equal
2to the amount the school district exceeded the limitation
3imposed.
4(Source: P.A. 100-465, eff. 8-31-17.)
 
5    (105 ILCS 5/34-43.1)  (from Ch. 122, par. 34-43.1)
6    Sec. 34-43.1. In this Section, "consumer price index",
7"expenditures per pupil", "general administration
8expenditures", and "school administration expenditures" have
9the meanings given to those terms under Section 17-1.5 of this
10Code.
11        (A) Limitation of noninstructional costs. It is the
12    purpose of this Section to establish for the Board of
13    Education and the general superintendent of schools
14    requirements and standards which maximize the proportion
15    of school district resources in direct support of
16    educational, program, and building maintenance and safety
17    services for the pupils of the district, and which
18    correspondingly minimize the amount and proportion of such
19    resources associated with centralized administration,
20    administrative support services, and other
21    noninstructional services.
22        For the 1989-90 school year and for all subsequent
23    school years, the Board of Education shall undertake
24    budgetary and expenditure control actions which limit the
25    administrative expenditures of the Board of Education to

 

 

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1    levels, as provided for in this Section, which represent an
2    average of the administrative expenses of all school
3    districts in this State not subject to Article 34.
4        For the 2020-2021 school year and for all subsequent
5    school years, the Board of Education shall also undertake
6    budgetary and expenditure control actions so that the
7    increase in each of the general administration
8    expenditures per pupil and school administration
9    expenditures per pupil for that school year over the
10    immediately preceding school year expenditures per pupil
11    does not exceed the percentage increase, if any, in the
12    consumer price index for the 12 months ending on December
13    31 prior to the budgetary year or 5%, whichever one is
14    less.
15        For purposes of this Section, for the 2019-2020 school
16    year, the general administration expenditures per pupil
17    shall be the amount reported by the United States Census
18    Bureau in its 2001 Annual Survey of School System Finances
19    as the average of the Support Services Expenditure -
20    General Administration (Function 2300) per pupil for the
21    district, increased by the percentage increase, if any, in
22    the consumer price index for the years 2002 through 2019
23    compounded. The school administration expenditures per
24    pupil shall be the amount reported by the United States
25    Census Bureau in its 2015 Annual Survey of School System
26    Finances as the average of the Support Services Expenditure -

 

 

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1     School Administration (Function 2400) per pupil for the
2    10 largest school districts in the United States, increased
3    by the percentage increase, if any, in the consumer price
4    index for 2017, 2018, and 2019 compounded.
5        On or before May 1, 2020 and annually thereafter, the
6    State Superintendent of Education shall certify to the
7    Board of Education the allowable percentage increase
8    applicable to the following year general administration
9    expenditures per pupil and school administration
10    expenditures per pupil.
11        (B) Certification of expenses by the State
12    Superintendent of Education. The State Superintendent of
13    Education shall annually certify, on or before May 1, to
14    the Board of Education and the School Finance Authority,
15    for the applicable school year, the following information:
16            (1) the annual expenditures of all school
17        districts of the State not subject to Article 34
18        properly attributable to expenditure functions defined
19        by the rules and regulations of the State Board of
20        Education as: 2210 (Improvement of Instructional
21        Services); 2300 (Support Services - General
22        Administration) excluding, however, 2320 (Executive
23        Administrative Services); 2490 (Other Support Services -
24         School Administration); 2500 (Support Services -
25        Business); 2600 (Support Services - Central);
26            (2) the total annual expenditures of all school

 

 

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1        districts not subject to Article 34 attributable to the
2        Education Fund, the Operations, Building and
3        Maintenance Fund, the Transportation Fund and the
4        Illinois Municipal Retirement Fund of the several
5        districts, as defined by the rules and regulations of
6        the State Board of Education; and
7            (3) a ratio, to be called the statewide average of
8        administrative expenditures, derived by dividing the
9        expenditures certified pursuant to paragraph (B)(1) by
10        the expenditures certified pursuant to paragraph
11        (B)(2).
12        For purposes of the annual certification of
13    expenditures and ratios required by this Section, the
14    "applicable year" of certification shall initially be the
15    1986-87 school year and, in sequent years, each succeeding
16    school year.
17        The State Superintendent of Education shall consult
18    with the Board of Education to ascertain whether particular
19    expenditure items allocable to the administrative
20    functions enumerated in paragraph (B)(1) are appropriately
21    or necessarily higher in the applicable school district
22    than in the rest of the State due to noncomparable factors.
23    The State Superintendent shall also review the relevant
24    cost proportions in other large urban school districts. The
25    State Superintendent shall also review the expenditure
26    categories in paragraph (B)(1) to ascertain whether they

 

 

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1    contain school-level expenses. If he or she finds that
2    adjustments to the formula are appropriate or necessary to
3    establish a more fair and comparable standard for
4    administrative cost for the Board of Education or to
5    exclude school-level expenses, the State Superintendent
6    shall recommend to the School Finance Authority rules and
7    regulations adjusting particular subcategories in this
8    paragraph subsection (B) or adjusting certain costs in
9    determining the budget and expenditure items properly
10    attributable to the functions or otherwise adjust the
11    formula.
12        (C) Administrative expenditure limitations. The annual
13    budget of the Board of Education, as adopted and
14    implemented, and the related annual expenditures for the
15    school year, shall reflect a limitation on administrative
16    outlays as required by the following provisions, taking
17    into account any adjustments established by the State
18    Superintendent of Education: (1) the budget and
19    expenditures of the Board of Education for the 1989-90
20    school year shall reflect a ratio of administrative
21    expenditures to total expenditures equal to or less than
22    the statewide average of administrative expenditures for
23    the 1986-87 school year as certified by the State
24    Superintendent of Education pursuant to paragraph (B)(3);
25    (2) for the 1990-91 school year and for all subsequent
26    school years, the budget and expenditures of the Board of

 

 

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1    Education shall reflect a ratio of administrative
2    expenditures to total expenditures equal to or less than
3    the statewide average of administrative expenditures
4    certified by the State Superintendent of Education for the
5    applicable year pursuant to paragraph (B)(3); (2.5) for the
6    2020-2021 school year and for all subsequent school years,
7    the budget and expenditures of the Board of Education shall
8    reflect an annual increase in each of the general
9    administration expenditures per pupil and school
10    administration expenditures per pupil over the immediately
11    preceding school year expenditures per pupil equal to or
12    less than the percentage increase, if any, in the consumer
13    price index for the 12 months ending on the previous
14    December 31 or 5%, whichever one is less, as certified by
15    the State Superintendent of Education under paragraph (A)
16    of this Section; (3) if for any school year the budget of
17    the Board of Education reflects a ratio of administrative
18    expenditures to total expenditures which exceeds the
19    applicable statewide average, the Board of Education shall
20    reduce expenditure items allocable to the administrative
21    functions enumerated in paragraph (B)(1) such that the
22    Board of Education's ratio of administrative expenditures
23    to total expenditures is equal to or less than the
24    applicable statewide average ratio; and (4) beginning with
25    the 2020-2021 school year, if for any school year the
26    budget of the Board of Education reflects an annual

 

 

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1    increase in either general administration expenditures per
2    pupil or school administration expenditures per pupil
3    greater than the percentage increase, if any, in the
4    consumer price index for the 12 months ending on the
5    previous December 31 or 5%, whichever one is less, as
6    certified by the State Superintendent of Education for the
7    applicable school year under paragraph (A) of this Section,
8    the Board of Education shall reduce expenditure items
9    allocable to general administration expenditures or school
10    administration expenditures to ensure the expenditures per
11    pupil are equal to or less than the allowable increase
12    amount.
13        For purposes of this Section, the ratio of
14    administrative expenditures to the total expenditures of
15    the Board of Education, as applied to the budget of the
16    Board of Education, shall mean: the budgeted expenditure
17    items of the Board of Education properly attributable to
18    the expenditure functions identified in paragraph (B)(1)
19    divided by the total budgeted expenditures of the Board of
20    Education properly attributable to the Board of Education
21    funds corresponding to those funds identified in paragraph
22    (B)(2), exclusive of any monies budgeted for payment to the
23    Public School Teachers' Pension and Retirement System,
24    attributable to payments due from the General Funds of the
25    State of Illinois.
26        The annual expenditure of the Board of Education for

 

 

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1    2320 (Executive Administrative Services) for the 1989-90
2    school year shall be no greater than the 2320 expenditure
3    for the 1988-89 school year. The annual expenditure of the
4    Board of Education for 2320 for the 1990-91 school year and
5    each subsequent school year shall be no greater than the
6    2320 expenditure for the immediately preceding school year
7    or the 1988-89 school year, whichever is less. This annual
8    expenditure limitation may be adjusted in each year in an
9    amount not to exceed any change effective during the
10    applicable school year in salary to be paid under the
11    collective bargaining agreement with instructional
12    personnel to which the Board is a party and in benefit
13    costs either required by law or such collective bargaining
14    agreement.
15        (D) Cost control measures. In undertaking actions to
16    control or reduce expenditure items necessitated by the
17    administrative expenditure, general administration
18    expenditure, and school administration expenditure
19    limitations of this Section, the Board of Education shall
20    give priority consideration to reductions or cost controls
21    with the least effect upon direct services to students or
22    instructional services for pupils, and upon the safety and
23    well-being of pupils, and, as applicable, with the
24    particular costs or functions to which the Board of
25    Education is higher than the statewide average.
26        For purposes of assuring that the cost control

 

 

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1    priorities of this paragraph subsection (D) are met, the
2    State Superintendent of Education shall, with the
3    assistance of the Board of Education, review the cost
4    allocation practices of the Board of Education, and the
5    State Superintendent of Education shall thereafter
6    recommend to the School Finance Authority rules and
7    regulations which define administrative, general
8    administration, and school administration areas which most
9    impact upon the direct and instructional needs of students
10    and upon the safety and well-being of the pupils of the
11    district. No position closed shall be reopened using State
12    or federal categorical funds.
13        (E) Report of Audited Information. For the 1988-89
14    school year and for all subsequent school years, the Board
15    of Education shall file with the State Board of Education
16    the Annual Financial Report and its audit, as required by
17    the rules of the State Board of Education. Such reports
18    shall be filed no later than February 15 following the end
19    of the school year of the Board of Education, beginning
20    with the report to be filed no later than February 15, 1990
21    for the 1988-89 school year.
22        As part of the required Annual Financial Report, the
23    Board of Education shall provide a detailed accounting of
24    the central level, district, bureau and department costs
25    and personnel included within expenditure functions
26    included in paragraphs (A) and paragraph (B)(1) of this

 

 

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1    Section. The nature and detail of the reporting required
2    for these functions shall be prescribed by the State Board
3    of Education in rules and regulations. A copy of this
4    detailed accounting shall also be provided annually to the
5    School Finance Authority and the public. This report shall
6    contain a reconciliation to the Board of Education's board
7    of education's adopted budget for that fiscal year,
8    specifically delineating administrative functions.
9        If the information required under this Section is not
10    provided by the Board of Education in a timely manner, or
11    is initially or subsequently determined by the State
12    Superintendent of Education to be incomplete or
13    inaccurate, the State Superintendent shall, in writing,
14    notify the Board of Education of reporting deficiencies.
15    The Board of Education shall, within 60 days of such
16    notice, address the reporting deficiencies identified. If
17    the State Superintendent of Education does not receive
18    satisfactory response to these reporting deficiencies
19    within 60 days, the next payment of general State aid or
20    evidence-based funding due the Board of Education under
21    Section 18-8 or Section 18-8.15 of this Code , as
22    applicable, and all subsequent payments, shall be withheld
23    by the State Superintendent of Education until the
24    enumerated deficiencies have been addressed.
25        Utilizing the Annual Financial Report, the State
26    Superintendent of Education shall certify on or before May

 

 

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1    1 to the Board of Education School Finance Authority the
2    Board of Education's ratio of administrative expenditures
3    to total expenditures for the 1988-89 school year and for
4    each succeeding school year and the Board of Education's
5    general administration expenditures and school
6    administration expenditures for the 2020-2021 school year
7    and for each subsequent school year. Such certification
8    shall indicate the extent to which the administrative
9    expenditure ratio, general administration expenditures,
10    and school administration expenditures of the Board of
11    Education conformed to the limitations required in
12    paragraph subsection (C) of this Section, taking into
13    account any adjustments of the administrative expenditure
14    limitations which may have been recommended by the State
15    Superintendent of Education to the School Finance
16    Authority. In deriving the administrative expenditure
17    ratio of the Chicago Board of Education, the State
18    Superintendent of Education shall utilize the definition
19    of this ratio prescribed in paragraph subsection (C) of
20    this Section, except that the actual expenditures of the
21    Board of Education shall be substituted for budgeted
22    expenditure items. In deriving the general administration
23    expenditures per pupil and school administration
24    expenditures per pupil of the Board of Education, the State
25    Superintendent of Education shall utilize the percentage
26    increase under paragraph (C) of this Section, except that

 

 

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1    the actual expenditures per pupil of the Board of Education
2    shall be substituted for budgeted expenditures per pupil.
3        (F) Approval and adjustments to administrative
4    expenditure limitations. The School Finance Authority
5    organized under Article 34A shall monitor the Board of
6    Education's adherence to the requirements of this Section.
7    As part of its responsibility the School Finance Authority
8    shall determine whether the Board of Education's budget for
9    the next school year, and the expenditures for a prior
10    school year, comply with the limitation of administrative
11    expenditures, general administration expenditures, and
12    school administration expenditures required by this
13    Section. The Board of Education and the State Board of
14    Education shall provide such information as is required by
15    the School Finance Authority in order for the Authority to
16    determine compliance with the provisions of this Section.
17    If the Authority determines that the budget proposed by the
18    Board of Education does not meet the cost control
19    requirements of this Section, the Board of Education shall
20    undertake budgetary reductions, consistent with the
21    requirements of this Section, to bring the proposed budget
22    into compliance with such cost control limitations.
23        If, in formulating cost control and cost reduction
24    alternatives, the Board of Education believes that meeting
25    the cost control requirements of this Section related to
26    the budget for the ensuing year would impair the education,

 

 

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1    safety, or well-being of the pupils of the school district,
2    the Board of Education may request that the School Finance
3    Authority make adjustments to the limitations required by
4    this Section. The Board of Education shall specify the
5    amount, nature, and reasons for the relief required and
6    shall also identify cost reductions which can be made in
7    expenditure functions not enumerated in paragraphs (A) and
8    paragraph (B)(1) of this Section, which would serve the
9    purposes of this Section.
10        The School Finance Authority shall consult with the
11    State Superintendent of Education concerning the
12    reasonableness from an educational administration
13    perspective of the adjustments sought by the Board of
14    Education. The School Finance Authority shall provide an
15    opportunity for the public to comment upon the
16    reasonableness of the Board's request. If, after such
17    consultation, the School Finance Authority determines that
18    all or a portion of the adjustments sought by the Board of
19    Education are reasonably appropriate or necessary, the
20    Authority may grant such relief from the provisions of this
21    Section which the Authority deems appropriate. Adjustments
22    so granted apply only to the specific school year for which
23    the request was made.
24        In the event that the School Finance Authority
25    determines that the Board of Education has failed to
26    achieve the required administrative, general

 

 

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1    administration, and school administration expenditure
2    limitations for a prior school year, or if the Authority
3    determines that the Board of Education has not met the
4    requirements of this paragraph subsection (F), the
5    Authority shall make recommendations to the Board of
6    Education concerning appropriate corrective actions. If
7    the Board of Education fails to provide adequate assurance
8    to the Authority that appropriate corrective actions have
9    been or will be taken, the Authority may, within 60 days
10    thereafter, require the board to adjust its current budget
11    to correct for the prior year's shortage or may recommend
12    to the members of the General Assembly and the Governor
13    such sanctions or remedial actions as will serve to deter
14    any further such failures on the part of the Board of
15    Education.
16        To assist the Authority in its monitoring
17    responsibilities, the Board of Education shall provide
18    such reports and information as are from time to time
19    required by the Authority.
20        (G) Independent reviews of administrative
21    expenditures. The School Finance Authority may direct
22    independent reviews of the administrative and
23    administrative support expenditures and services and other
24    non-instructional expenditure functions of the Board of
25    Education. The Board of Education shall afford full
26    cooperation to the School Finance Authority in such review

 

 

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1    activity. The purpose of such reviews shall be to verify
2    specific targets for improved operating efficiencies of
3    the Board of Education, to identify other areas of
4    potential efficiencies, and to assure full and proper
5    compliance by the Board of Education with all requirements
6    of this Section.
7        In the conduct of reviews under this paragraph (G)
8    subsection, the Authority may request the assistance and
9    consultation of the State Superintendent of Education with
10    regard to questions of efficiency and effectiveness in
11    educational administration.
12        (H) Reports to Governor and General Assembly. On or
13    before May 1, 1991 and no less frequently than yearly
14    thereafter, the School Finance Authority shall provide to
15    the Governor, the State Board of Education, and the members
16    of the General Assembly an annual report, as outlined in
17    Section 34A-606, which includes the following information:
18    (1) documenting the compliance or non-compliance of the
19    Board of Education with the requirements of this Section;
20    (2) summarizing the costs, findings, and recommendations
21    of any reviews directed by the School Finance Authority,
22    and the response to such recommendations made by the Board
23    of Education; and (3) recommending sanctions or
24    legislation necessary to fulfill the intent of this
25    Section.
26(Source: P.A. 100-465, eff. 8-31-17.)