Synopsis As Introduced Creates the Local Unfunded Mandate Exemption Act. Provides that all units of local government, school districts, and public colleges and universities may, by a majority vote of the governing body, exempt themselves from specified mandates that are unfunded if it is determined that it is not economically feasible to comply with the unfunded mandate. Provides for notice, public hearing, and other requirements in order for a governing body to exempt itself from any mandate. Prohibits exemption from federally required mandates, mandates pertaining to health and public safety, mandates pertaining to civil rights, and instructional mandates for school districts. Provides for appeal procedures by State agencies affected by exempted mandates. Amends the State Mandates Act. Provides that, if the Act conflicts with the Local Unfunded Mandate Exemption Act, the Local Unfunded Mandate Exemption Act controls.