Full Text of SB1853 94th General Assembly
SB1853 94TH GENERAL ASSEMBLY
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94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006 SB1853
Introduced 2/25/2005, by Sen. Kimberly A. Lightford SYNOPSIS AS INTRODUCED: |
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Amends the School Code. Provides that the State Superintendent of Education may require a school district to share financial information relevant to a proper investigation of the district's financial condition and the delivery of appropriate State financial, technical, and consulting services to the district under certain circumstances. Makes other changes concerning the State Board of Education's power to certify that a district is in financial difficulty. In the School District Financial Oversight Panel and Emergency Financial Assistance Law, provides that panel members shall be paid a stipend of not more than $100 per meeting, the amount of which must be documented in the Panel's annual budget and approved by the State Superintendent. Makes changes concerning emergency financial assistance grants and loans, including having the Illinois Finance Authority provide the loans and increasing the maximum amounts for loans and grants. In the Downstate School Finance Authority for Elementary Districts Law, provides that the members of a School Finance Authority shall be paid a stipend approved by the State Superintendent of not more than $100 per meeting. Makes changes concerning emergency financial assistance, including allowing grants to be provided by the State Board and having the Illinois Finance Authority provide loans (instead of the State Board). Provides that the annual budget of a school district (other than the Chicago school district) must be balanced and must be filed with the State Board. Provides that, to the extent the budget is not balanced, the district shall also adopt and file with the State Board a deficit reduction plan to balance the district's budget within 3 years. Deletes a provision exempting a financially distressed district from the debt limit. Provides that a school district must notify the State Board prior to issuing any form of long-term or short-term debt that will result in outstanding debt that exceeds 75% of the debt limit or any other provision of law. Repeals a Section concerning financially distressed districts. Makes other changes. Amends the State Mandates Act to require implementation without reimbursement. Effective July 1, 2006.
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FISCAL NOTE ACT MAY APPLY | |
STATE MANDATES ACT MAY REQUIRE REIMBURSEMENT |
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A BILL FOR
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SB1853 |
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| AN ACT concerning education.
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| Be it enacted by the People of the State of Illinois,
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| represented in the General Assembly:
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| Section 5. The School Code is amended by changing Sections | 5 |
| 1A-8, 1B-5, 1B-8, 1F-20, 1F-62, 17-1, 19-1, 19-8, 20-2, 20-3, | 6 |
| and 20-5 as follows:
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| (105 ILCS 5/1A-8) (from Ch. 122, par. 1A-8)
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| Sec. 1A-8. Powers of the Board in Assisting Districts | 9 |
| Deemed in Financial
Difficulties. To promote the financial | 10 |
| integrity of school districts, the
State Board of Education | 11 |
| shall be provided the necessary powers to promote
sound | 12 |
| financial management and continue operation of the public | 13 |
| schools.
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| The State Superintendent of Education may require a school | 15 |
| district, including any district subject to Article 34A of this | 16 |
| Code, to share financial information relevant to a proper | 17 |
| investigation of the district's financial condition and the | 18 |
| delivery of appropriate State financial, technical, and | 19 |
| consulting services to the district if the district (i) has | 20 |
| been designated, through the State Board of Education's School | 21 |
| District Financial Profile System, as on financial warning or | 22 |
| financial watch status, (ii) has failed to file an annual | 23 |
| financial report, annual budget, deficit reduction plan, or | 24 |
| other financial information as required by law, or (iii) has | 25 |
| been identified, through the district's annual audit or other | 26 |
| financial and management information, as in serious financial | 27 |
| difficulty in the current or next school year. In addition to | 28 |
| financial, technical, and consulting services provided by the | 29 |
| State Board of Education, at the request of a school district, | 30 |
| the State Superintendent may provide for an independent | 31 |
| financial consultant to assist the district review its | 32 |
| financial condition and options.
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| The State Board of Education, after proper investigation of | 2 |
| a district's
financial condition, may certify that a district, | 3 |
| including any district
subject to Article 34A, is in financial | 4 |
| difficulty
when any of the following conditions occur:
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| (1) The district has issued school or teacher orders | 6 |
| for wages as permitted in Sections
8-16, 32-7.2 and 34-76 | 7 |
| of this Code , or the district has issued funding bonds
to | 8 |
| retire teacher orders in 3 of the 5 last years ;
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| (2) The district has issued tax anticipation warrants | 10 |
| or tax
anticipation notes in anticipation of a second | 11 |
| year's taxes when warrants or
notes in anticipation of | 12 |
| current year taxes are still outstanding, as
authorized by | 13 |
| Sections 17-16, 34-23, 34-59 and 34-63 of this Code , or has | 14 |
| issued short-term debt against 2 future revenue sources, | 15 |
| such as, but not limited to, tax anticipation warrants and | 16 |
| general State Aid certificates or tax anticipation | 17 |
| warrants and revenue anticipation notes ;
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| (3) The district has for 2 consecutive years shown an | 19 |
| excess
of expenditures and other financing uses over | 20 |
| revenues and other financing
sources and beginning fund | 21 |
| balances on its annual financial report for the
aggregate | 22 |
| totals of the Educational, Operations and Maintenance,
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| Transportation, and Working Cash Funds;
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| (4) The district refuses to provide financial | 25 |
| information or cooperate with the State Superintendent in | 26 |
| an investigation of the district's financial condition.
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| The district had an enrollment of no
fewer than 4,000 | 28 |
| pupils during the 1997-1998 school year, has been | 29 |
| previously
certified to be in
financial
difficulty and | 30 |
| requests to be recertified as a result of continuing | 31 |
| financial
problems.
No
recertification may be made under | 32 |
| this item (4) after December 31, 1999.
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| No school district shall be certified by the State Board of | 34 |
| Education to be in financial difficulty by
reason of any of the | 35 |
| above circumstances arising as a result of the failure
of the | 36 |
| county to make any distribution of property tax money due the |
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| district
at the time such distribution is due; or if the | 2 |
| district clearly demonstrates
to the satisfaction of the State | 3 |
| Board of Education at the time of its
determination that such | 4 |
| condition no longer exists. If the State Board of
Education | 5 |
| certifies that a district in a city with 500,000 inhabitants or
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| more is in financial difficulty, the State Board shall so | 7 |
| notify the
Governor and the Mayor of the city in which the | 8 |
| district is located. The
State Board of Education may require | 9 |
| school districts certified in
financial difficulty, except | 10 |
| those districts subject to Article 34A, to
develop, adopt and | 11 |
| submit a financial plan within 45 days after
certification of | 12 |
| financial difficulty. The financial plan shall be
developed | 13 |
| according to guidelines presented to the district by the State
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| Board of Education within 14 days of certification. Such | 15 |
| guidelines shall
address the specific nature of each district's | 16 |
| financial difficulties. Any
proposed budget of the district | 17 |
| shall be consistent with the financial plan
submitted to and
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| approved by the State Board of Education .
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| A district certified to be in financial difficulty, other | 20 |
| than a district
subject to Article 34A, shall report to the | 21 |
| State Board of Education at
such times and in such manner as | 22 |
| the State Board may direct, concerning the
district's | 23 |
| compliance with each financial plan. The State Board may review
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| the district's operations, obtain budgetary data and financial | 25 |
| statements,
require the district to produce reports, and have | 26 |
| access to any other
information in the possession of the | 27 |
| district that it deems relevant. The
State Board may issue | 28 |
| recommendations or directives within its powers to
the district | 29 |
| to assist in
assure compliance with the financial plan. The | 30 |
| district
shall produce such budgetary data, financial | 31 |
| statements, reports and other
information and comply with such | 32 |
| directives. If the State Board of Education
determines that a | 33 |
| district has failed to comply with its financial plan, the
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| State Board of Education may rescind approval of the plan and | 35 |
| appoint a
Financial Oversight Panel for the district as | 36 |
| provided in Section 1B-4. This
action shall be taken only after |
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| the district has been given notice and an
opportunity to appear | 2 |
| before the State Board of Education to discuss its
failure to | 3 |
| comply with its financial plan.
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| No bonds, notes, teachers orders, tax anticipation | 5 |
| warrants or other
evidences of indebtedness shall be issued or | 6 |
| sold by a school district or
be legally binding upon or | 7 |
| enforceable against a local board of education
of a district | 8 |
| certified to be in financial difficulty unless and until the
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| financial plan required under this Section has been approved by | 10 |
| the State
Board of Education.
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| Any financial watch list distributed by the State Board of | 12 |
| Education
pursuant to this Section shall designate those school | 13 |
| districts on the
watch list that would not otherwise be on the | 14 |
| watch list were it not for the
inability or refusal of the | 15 |
| State of Illinois to make timely
disbursements of any payments | 16 |
| due school districts or to fully reimburse
school districts for | 17 |
| mandated categorical programs pursuant to
reimbursement | 18 |
| formulas provided in this School Code.
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| (Source: P.A. 89-235, eff. 8-4-95; 90-802, eff. 12-15-98.)
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| (105 ILCS 5/1B-5) (from Ch. 122, par. 1B-5)
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| Sec. 1B-5. When a petition for emergency financial
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| assistance for a school district is allowed by the State
Board | 23 |
| under Section 1B-4, the State Superintendent
shall within 10 | 24 |
| days thereafter appoint 3 members
to serve at the State | 25 |
| Superintendent's pleasure on a
Financial Oversight Panel for | 26 |
| the district. The State
Superintendent shall designate one of | 27 |
| the members of the
Panel to serve as its Chairman. In the event | 28 |
| of vacancy or
resignation the State Superintendent shall | 29 |
| appoint a
successor within 10 days of receiving notice thereof.
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| Members of the Panel shall be selected primarily on the
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| basis of their experience and education in financial
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| management, with consideration given to persons
knowledgeable | 33 |
| in education finance. A member of the Panel
may not be a board | 34 |
| member or employee of the district for
which the Panel is | 35 |
| constituted, nor may a member have a
direct financial interest |
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| in that district.
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| Panel members shall be paid a stipend of not more than $100 | 3 |
| per meeting and shall
serve without compensation, but may
be | 4 |
| reimbursed for travel and other necessary expenses
incurred in | 5 |
| the performance of their official duties by the
State Board. | 6 |
| The amount of the stipend must be documented in the Financial | 7 |
| Oversight Panel's annual budget and must be approved by the | 8 |
| State Superintendent. The amount reimbursed Panel
members for | 9 |
| their expenses shall be charged to the school
district as part | 10 |
| of any emergency financial assistance and
incorporated as a | 11 |
| part of the terms and conditions for
repayment of such | 12 |
| assistance or shall be deducted from the district's general
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| State aid as provided in Section 1B-8.
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| The first meeting of the Panel shall be held at the
call of | 15 |
| the Chairman. The Panel may elect such other
officers as it | 16 |
| deems appropriate. The Panel shall prescribe
the times and | 17 |
| places for its meetings and the manner in
which regular and | 18 |
| special meetings may be called, and shall
comply with the Open | 19 |
| Meetings Act.
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| Two members of the Panel shall constitute a quorum, and
the | 21 |
| affirmative vote of 2 members shall be necessary for any
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| decision or action to be taken by the Panel.
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| The Panel and the State Superintendent
shall cooperate with | 24 |
| each other in the exercise of their
respective powers. The | 25 |
| Panel shall report not later than
September 1 annually to the | 26 |
| State Board and the State
Superintendent with respect to its | 27 |
| activities and the
condition of the school district for the | 28 |
| previous fiscal
year.
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| Any Financial Oversight Panel established under this
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| Article shall remain in existence for not less than 3 years
nor | 31 |
| more than 10 years from the date the State Board grants
the | 32 |
| petition under Section 1B-4. If after 3 years the
school | 33 |
| district has repaid all of its obligations resulting
from | 34 |
| emergency State financial assistance provided under
this | 35 |
| Article and has improved its financial situation, the board of
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| education may, not more
frequently than once in any 12 month |
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| period, petition the
State Board to dissolve the Financial | 2 |
| Oversight Panel,
terminate the oversight responsibility, and | 3 |
| remove the
district's certification under Section 1A-8 as a | 4 |
| district in
financial difficulty. In acting on such a petition | 5 |
| the
State Board shall give additional weight to the
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| recommendations of the State Superintendent and the
Financial | 7 |
| Oversight Panel.
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| (Source: P.A. 88-618, eff. 9-9-94.)
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| (105 ILCS 5/1B-8) (from Ch. 122, par. 1B-8)
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| Sec. 1B-8. There is created in the State Treasury a
special | 11 |
| fund to be known as the School District Emergency
Financial | 12 |
| Assistance Fund (the "Fund"). The School District Emergency
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| Financial Assistance Fund shall consist of appropriations, | 14 |
| loan repayments, grants from the
federal government , and | 15 |
| donations from any public or private source. Moneys in
the Fund
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| may be appropriated only to the Illinois Finance Authority and
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| the State Board for
those
the purposes authorized under
of this | 18 |
| Article and Article 1F this Code
and for the purposes of | 19 |
| Section 1F-62 of this Code .
The appropriation may be
allocated | 20 |
| and expended by the State Board as
grants to provide technical | 21 |
| and consulting services to school districts to assess their | 22 |
| financial condition and by the Illinois Finance Authority as
or
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| loans to school districts which are the subject of an
approved | 24 |
| petition for emergency financial assistance under
Section 1B-4 | 25 |
| or 1F-62 of this Code. Neither the State Board of Education nor | 26 |
| the Illinois Finance Authority may collect any fees for | 27 |
| providing these services . From the amount allocated to each | 28 |
| such school
district the State Board shall identify a sum | 29 |
| sufficient to
cover all approved costs of the Financial | 30 |
| Oversight Panel
established for the respective school | 31 |
| district. If the State Board and State
Superintendent of | 32 |
| Education have not approved emergency financial assistance in
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| conjunction with the appointment of a Financial Oversight | 34 |
| Panel, the Panel's
approved costs shall be paid from deductions | 35 |
| from the district's general State
aid.
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| The Financial Oversight Panel may prepare and file
with the | 2 |
| State Superintendent a proposal for emergency
financial | 3 |
| assistance for the school district and for its
the
operations | 4 |
| budget of the Panel . No expenditures shall be
authorized by the | 5 |
| State Superintendent until he or she has approved
the proposal | 6 |
| of the Panel, either as submitted or in such
lesser amount | 7 |
| determined by the State Superintendent.
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| The maximum amount of an emergency financial assistance | 9 |
| loan
which may be allocated to any school district under this
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| Article, including moneys necessary for the operations of
the | 11 |
| Panel, shall not exceed $4,000
$1000 times the number of pupils
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| enrolled in the school district during the school year
ending | 13 |
| June 30 prior to the date of approval by the State
Board of the | 14 |
| petition for emergency financial assistance, as
certified to | 15 |
| the local board and the Panel by the State
Superintendent.
An | 16 |
| emergency financial assistance grant shall not exceed $1,000
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| $250 times the
number of such pupils. A district may receive | 18 |
| both a loan and a grant.
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| The payment of an emergency State financial assistance | 20 |
| grant or loan
shall be subject to appropriation by the General | 21 |
| Assembly.
Emergency State financial assistance allocated and | 22 |
| paid to a school
district under this Article may be applied to | 23 |
| any fund or funds from which
the local board of education of | 24 |
| that district is authorized to make
expenditures by law.
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| Any emergency financial assistance proposed by the
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| Financial Oversight Panel and approved by the State
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| Superintendent may be paid in its entirety during the
initial | 28 |
| year of the Panel's existence or spread in equal or
declining | 29 |
| amounts over a period of years not to exceed the
period of the | 30 |
| Panel's existence. All
loan payments made from the School | 31 |
| District Emergency Financial
Assistance Fund for a
school | 32 |
| district shall be required to be repaid, with simple interest | 33 |
| over
the term of the loan at a rate equal to 50% of the one-year | 34 |
| Constant Maturity
Treasury (CMT) yield as last published by the | 35 |
| Board of Governors of the Federal
Reserve System before the | 36 |
| date on which the district's loan is
approved
by the State |
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| Board of Education, not later than the
date the
Financial | 2 |
| Oversight Panel ceases to exist. The Panel shall
establish and | 3 |
| the Illinois Finance Authority
State Superintendent shall
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| approve the terms and conditions, including the schedule, of
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| repayments. The schedule shall provide for repayments
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| commencing July 1 of each year or upon each fiscal year's | 7 |
| receipt of moneys from a tax levy for emergency financial | 8 |
| assistance . Repayment shall be incorporated into the
annual | 9 |
| budget of the school district and may be made from any fund or | 10 |
| funds
of the district in which there are moneys available. | 11 |
| Default on repayment is subject to the Illinois Grant Funds | 12 |
| Recovery Act. When moneys are repaid
as provided herein they | 13 |
| shall not be made available to the local board for
further use | 14 |
| as emergency financial assistance under this Article at any
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| time thereafter. All repayments required to be made by a school | 16 |
| district
shall be received by the State Board and deposited in | 17 |
| the School District
Emergency Financial Assistance Fund.
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| In establishing the terms and conditions for the
repayment | 19 |
| obligation of the school district the Panel shall
annually | 20 |
| determine whether a separate local property tax levy is
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| required. The board of any school district with a tax rate
for | 22 |
| educational purposes for the prior year of less than
120% of | 23 |
| the maximum rate for educational purposes authorized
by Section | 24 |
| 17-2 shall provide for a separate
tax levy for emergency | 25 |
| financial assistance repayment
purposes. Such tax levy shall | 26 |
| not be subject to referendum approval. The
amount of the levy | 27 |
| shall be equal to the
amount necessary to meet the annual | 28 |
| repayment obligations of
the district as established by the | 29 |
| Panel, or 20% of the
amount levied for educational purposes for | 30 |
| the prior year,
whichever is less. However, no district shall | 31 |
| be
required to levy the tax if the district's operating tax
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| rate as determined under Section
18-8 or 18-8.05 exceeds 200% | 33 |
| of the district's tax rate for educational
purposes for the | 34 |
| prior year.
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| (Source: P.A. 92-855, eff. 12-6-02.)
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| (105 ILCS 5/1F-20)
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| Sec. 1F-20. Members of Authority; meetings.
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| (a) Upon establishment of a School Finance Authority
under | 4 |
| Section 1F-15 of this Code, the State Superintendent shall | 5 |
| within
15 days thereafter appoint 5 members to serve on a | 6 |
| School Finance Authority for
the district. Of the initial | 7 |
| members, 2 shall be appointed to serve a
term of 2 years and 3 | 8 |
| shall be appointed to serve a term of 3 years.
Thereafter, each | 9 |
| member shall serve for a term of 3 years and until his or her
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| successor has been appointed. The State Superintendent shall | 11 |
| designate one of
the members of the Authority to serve as its | 12 |
| Chairperson. In the event
of vacancy or resignation, the State | 13 |
| Superintendent shall, within 10
days after receiving notice, | 14 |
| appoint a successor to serve out that
member's term. The State | 15 |
| Superintendent may remove a member for
incompetence, | 16 |
| malfeasance, neglect of duty, or other just cause.
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| Members of the Authority shall be selected primarily on the | 18 |
| basis
of their experience and education in financial | 19 |
| management,
with consideration given to persons knowledgeable | 20 |
| in education finance.
Two members of the Authority shall be | 21 |
| residents of the school district that the
Authority serves. A | 22 |
| member of the Authority may not be a member of the
district's | 23 |
| school board or an
employee of the district
nor may
a
member | 24 |
| have a direct financial interest in the district.
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| Authority members shall be paid a stipend approved by the | 26 |
| State Superintendent of not more than $100 per meeting and
| 27 |
| serve without compensation, but may
be reimbursed by the State | 28 |
| Board for travel and other necessary
expenses incurred in the | 29 |
| performance of their official duties.
Unless paid from bonds | 30 |
| issued under Section 1F-65 of this Code, the amount
reimbursed | 31 |
| members for their expenses shall be charged
to the school | 32 |
| district as part of any emergency financial
assistance and | 33 |
| incorporated as a part of the terms and conditions
for | 34 |
| repayment of the assistance or shall be deducted from the
| 35 |
| district's general State aid as provided in Section 1B-8 of | 36 |
| this Code.
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| The Authority may elect such officers as it deems | 2 |
| appropriate.
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| (b) The first meeting of the Authority shall be held at the | 4 |
| call of the
Chairperson.
The
Authority shall prescribe the | 5 |
| times and places for its meetings and the manner
in which | 6 |
| regular and special meetings may be called and shall comply | 7 |
| with the
Open Meetings Act.
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| Three members of the Authority shall constitute a quorum.
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| When a vote is taken upon any measure before the Authority, a | 10 |
| quorum
being present, a majority of the votes of the members | 11 |
| voting on the
measure shall determine the outcome.
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| (Source: P.A. 92-855, eff. 12-6-02.)
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| (105 ILCS 5/1F-62)
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| Sec. 1F-62. School District Emergency Financial Assistance | 15 |
| Fund;
grants and loans. | 16 |
| (a) Moneys in the School District Emergency Financial | 17 |
| Assistance Fund
established under Section 1B-8 of this Code may | 18 |
| be allocated and
expended by the State Board as grants to | 19 |
| provide technical and consulting services to school districts | 20 |
| to assess their financial condition and by the Illinois Finance | 21 |
| Authority for emergency financial assistance loans to a School | 22 |
| Finance
an
Authority that petitions for
emergency financial
| 23 |
| assistance.
An emergency financial assistance loan to a School | 24 |
| Finance
an Authority or borrowing from
sources other than the | 25 |
| State shall not be
considered as part of the calculation of a | 26 |
| district's debt for purposes of
the limitation specified in | 27 |
| Section 19-1 of this Code. From the amount allocated to each | 28 |
| School Finance Authority, the State Board shall identify a sum | 29 |
| sufficient to cover all approved costs of the School Finance | 30 |
| Authority. If the State Board and State Superintendent have not | 31 |
| approved emergency financial assistance in conjunction with | 32 |
| the appointment of a School Finance Authority, the Authority's | 33 |
| approved costs shall be paid from deductions from the | 34 |
| district's general State aid. | 35 |
| The School Finance Authority may prepare and file with the |
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| State
Superintendent a proposal for emergency financial | 2 |
| assistance for the school district and for its operations | 3 |
| budget. No expenditures shall be
authorized by the State | 4 |
| Superintendent until he or she has approved
the proposal of the | 5 |
| School Finance Authority, either as submitted or in such lesser | 6 |
| amount determined by the State Superintendent.
| 7 |
| (b) The amount of an emergency financial assistance
loan | 8 |
| that may be allocated to a School Finance
an Authority under | 9 |
| this Article,
including moneys necessary for the operations of | 10 |
| the School Finance Authority, and borrowing
from sources other | 11 |
| than the State shall not
exceed, in the aggregate, $4,000 times | 12 |
| the number of pupils enrolled in the
district
during the school | 13 |
| year ending June 30 prior to the date of approval by
the State | 14 |
| Board of the petition for emergency financial assistance, as
| 15 |
| certified to the school board and the School Finance Authority | 16 |
| by the State
Superintendent.
However, this limitation does not | 17 |
| apply to borrowing by the district secured
by
amounts levied by | 18 |
| the district prior to establishment of the School Finance
| 19 |
| Authority. An emergency financial assistance grant shall not | 20 |
| exceed $1,000 times the number of such pupils. A district may | 21 |
| receive both a loan and a grant.
| 22 |
| (c) The payment of a State emergency financial assistance | 23 |
| grant or loan
shall be subject to appropriation by the General | 24 |
| Assembly. State
emergency financial assistance allocated and | 25 |
| paid to a School Finance
an Authority
under this Article may be | 26 |
| applied to any fund or funds from which the
School Finance
| 27 |
| Authority is authorized to make expenditures by
law.
| 28 |
| (d) Any State emergency financial assistance proposed by | 29 |
| the
School Finance Authority and approved by the State | 30 |
| Superintendent may be paid in its
entirety during the initial | 31 |
| year of the School Finance Authority's existence or spread in
| 32 |
| equal or declining amounts over a period of years not to exceed | 33 |
| the
period of the School Finance Authority's existence. The | 34 |
| State Superintendent shall not
approve any loan to the School | 35 |
| Finance Authority unless the School Finance Authority has been
| 36 |
| unable to borrow sufficient funds to operate the district.
|
|
|
|
SB1853 |
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LRB094 05832 NHT 35886 b |
|
| 1 |
| All loan payments made from the School District Emergency
| 2 |
| Financial Assistance Fund to a School Finance
an Authority | 3 |
| shall be required to be
repaid not later than the date the | 4 |
| School Finance Authority ceases to exist, with simple
interest | 5 |
| over the term of the loan at a rate equal to
50% of the one-year | 6 |
| Constant Maturity Treasury (CMT) yield as last published
by the | 7 |
| Board of Governors of the Federal Reserve System
before the
| 8 |
| date on which the School Finance Authority's loan is approved | 9 |
| by the State
Board.
| 10 |
| The School Finance Authority shall establish and the | 11 |
| Illinois Finance Authority
State Superintendent shall
approve | 12 |
| the terms and conditions of the loan, including the schedule of
| 13 |
| repayments.
The schedule shall provide for repayments | 14 |
| commencing July 1 of each
year or upon each fiscal year's | 15 |
| receipt of moneys from a tax levy for emergency financial | 16 |
| assistance . Repayment shall be incorporated into the annual | 17 |
| budget of the
district and may be made from any fund or funds | 18 |
| of the district in
which there are moneys available. Default on | 19 |
| repayment is subject to the Illinois Grant Funds Recovery Act.
| 20 |
| When moneys are repaid as provided
in this Section, they shall | 21 |
| not be made available to the School Finance Authority for
| 22 |
| further use as emergency financial assistance under this | 23 |
| Article at any
time thereafter. All repayments required to be | 24 |
| made by a School Finance
an Authority
shall be received by the | 25 |
| State Board and deposited in the School District
Emergency | 26 |
| Financial Assistance Fund.
| 27 |
| In establishing the terms and conditions for the repayment
| 28 |
| obligation of the School Finance Authority, the School Finance
| 29 |
| Authority shall annually determine
whether a separate local | 30 |
| property tax levy is required to meet that obligation.
The | 31 |
| School Finance Authority
shall provide for a separate tax
levy | 32 |
| for emergency financial assistance repayment purposes. This | 33 |
| tax
levy shall not be subject to referendum approval. The | 34 |
| amount of the levy
shall not exceed the amount necessary to | 35 |
| meet the annual
emergency financial repayment
obligations of | 36 |
| the district, including principal and interest, as established
|
|
|
|
SB1853 |
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LRB094 05832 NHT 35886 b |
|
| 1 |
| by the School Finance Authority.
| 2 |
| (Source: P.A. 92-855, eff. 12-6-02.)
| 3 |
| (105 ILCS 5/17-1) (from Ch. 122, par. 17-1)
| 4 |
| Sec. 17-1. Annual Budget. The board of education of each | 5 |
| school
district under 500,000 inhabitants shall, within or | 6 |
| before the first
quarter of each fiscal year, adopt and file | 7 |
| with the State Board of Education an annual balanced budget | 8 |
| which it deems
necessary to defray all necessary expenses and | 9 |
| liabilities of the
district, and in such annual budget shall | 10 |
| specify the objects and
purposes of each item and amount needed | 11 |
| for each object or purpose.
| 12 |
| The budget shall be entered upon a School District Budget | 13 |
| form prepared
and provided by the State Board of Education and | 14 |
| therein shall contain
a statement of the cash on hand at the
| 15 |
| beginning of the fiscal year, an estimate of the cash expected | 16 |
| to be
received during such fiscal year from all sources, an | 17 |
| estimate of the
expenditures contemplated for such fiscal year, | 18 |
| and a statement of the
estimated cash expected to be on hand at | 19 |
| the end of such year. The
estimate of taxes to be received may | 20 |
| be based upon the amount of actual
cash receipts that may | 21 |
| reasonably be expected by the district during
such fiscal year, | 22 |
| estimated from the experience of the district in prior
years | 23 |
| and with due regard for other circumstances that may | 24 |
| substantially
affect such receipts. Nothing in this Section | 25 |
| shall be construed as
requiring any district to change or | 26 |
| preventing any district from
changing from a cash basis of | 27 |
| financing to a surplus or deficit basis of
financing; or as | 28 |
| requiring any district to change or preventing any
district | 29 |
| from changing its system of accounting.
| 30 |
| To the extent that a school district's budget is not | 31 |
| balanced, the district shall also adopt and file with the State | 32 |
| Board of Education a deficit reduction plan to balance the | 33 |
| district's budget within 3 years. The deficit reduction plan | 34 |
| must be filed at the same time as the budget, but the State | 35 |
| Superintendent of Education may extend this deadline if the |
|
|
|
SB1853 |
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LRB094 05832 NHT 35886 b |
|
| 1 |
| situation warrants.
| 2 |
| The board of education of each district shall fix a fiscal | 3 |
| year
therefor. If the beginning of the fiscal year of a | 4 |
| district is
subsequent to the time that the tax levy due to be | 5 |
| made in such
fiscal year shall be
made, then such annual budget | 6 |
| shall be adopted prior to the time such
tax levy shall be made.
| 7 |
| The failure by a board of education of any district to adopt an | 8 |
| annual
budget, or to comply in any respect with the provisions | 9 |
| of this Section, shall
not affect the validity of any tax levy | 10 |
| of the district otherwise in
conformity with the law. With | 11 |
| respect to taxes levied either before, on, or
after the | 12 |
| effective date of this amendatory Act of the 91st General | 13 |
| Assembly,
(i) a tax levy is made
for the fiscal year in which | 14 |
| the levy is due to be made regardless of which
fiscal year the | 15 |
| proceeds of the levy are expended or are intended to be
| 16 |
| expended, and (ii) except as otherwise provided by law, a board | 17 |
| of education's
adoption of
an annual budget in conformity with | 18 |
| this Section is not a prerequisite to the
adoption of a valid | 19 |
| tax levy and is not a limit on the amount of the levy.
| 20 |
| Such budget shall be prepared in tentative form by some | 21 |
| person or
persons designated by the board, and in such | 22 |
| tentative form shall be
made conveniently available to public | 23 |
| inspection for at least 30 days
prior to final action thereon. | 24 |
| At least 1 public hearing shall be held
as to such budget prior | 25 |
| to final action thereon. Notice of availability
for public | 26 |
| inspection and of such public hearing shall be given by
| 27 |
| publication in a newspaper published in such district, at least | 28 |
| 30 days
prior to the time of such hearing. If there is no | 29 |
| newspaper published
in such district, notice of such public | 30 |
| hearing shall be given by
posting notices thereof in 5 of the | 31 |
| most public places in such district.
It shall be the duty of | 32 |
| the secretary of such board to make such
tentative budget | 33 |
| available to public inspection, and to arrange for such
public | 34 |
| hearing. The board may from time to time make transfers between
| 35 |
| the various items in any fund not exceeding in the aggregate | 36 |
| 10% of the
total of such fund as set forth in the budget. The |
|
|
|
SB1853 |
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LRB094 05832 NHT 35886 b |
|
| 1 |
| board may from time
to time amend such budget by the same | 2 |
| procedure as is herein provided
for its original adoption.
| 3 |
| Beginning July 1, 1976, the board of education, or regional
| 4 |
| superintendent, or governing board responsible for the | 5 |
| administration of
a joint agreement shall, by September 1 of | 6 |
| each
fiscal year thereafter, adopt an annual budget for the | 7 |
| joint agreement
in the same manner and subject to the same | 8 |
| requirements as are provided
in this Section.
| 9 |
| The State Board of Education shall exercise powers and | 10 |
| duties
relating to budgets as provided in Section 2-3.27
| 11 |
| 2--3.27 of this Code and shall require school districts to | 12 |
| submit their annual budgets, deficit reduction plans, and other | 13 |
| financial information, including revenue and expenditure | 14 |
| reports and borrowing and interfund transfer plans, in such | 15 |
| form and within the timelines designated by the State Board of | 16 |
| Education
Act .
| 17 |
| By fiscal year 1982 all school districts shall use the | 18 |
| Program Budget
Accounting System.
| 19 |
| In the case of a school district receiving emergency State | 20 |
| financial
assistance under Article 1B, the school board shall | 21 |
| also be subject to the
requirements
established under Article | 22 |
| 1B with respect to the annual budget.
| 23 |
| (Source: P.A. 91-75, eff. 7-9-99.)
| 24 |
| (105 ILCS 5/19-1) (from Ch. 122, par. 19-1)
| 25 |
| Sec. 19-1. Debt limitations of school districts.
| 26 |
| (a) School districts shall not be subject to the provisions | 27 |
| limiting their
indebtedness prescribed in "An Act to limit the | 28 |
| indebtedness of counties having
a population of less than | 29 |
| 500,000 and townships, school districts and other
municipal | 30 |
| corporations having a population of less than 300,000", | 31 |
| approved
February 15, 1928, as amended.
| 32 |
| No school districts maintaining grades K through 8 or 9 | 33 |
| through 12
shall become indebted in any manner or for any | 34 |
| purpose to an amount,
including existing indebtedness, in the | 35 |
| aggregate exceeding 6.9% on the
value of the taxable property |
|
|
|
SB1853 |
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LRB094 05832 NHT 35886 b |
|
| 1 |
| therein to be ascertained by the last assessment
for State and | 2 |
| county taxes or, until January 1, 1983, if greater, the sum | 3 |
| that
is produced by multiplying the school district's 1978 | 4 |
| equalized assessed
valuation by the debt limitation percentage | 5 |
| in effect on January 1, 1979,
previous to the incurring of such | 6 |
| indebtedness.
| 7 |
| No school districts maintaining grades K through 12 shall | 8 |
| become
indebted in any manner or for any purpose to an amount, | 9 |
| including
existing indebtedness, in the aggregate exceeding | 10 |
| 13.8% on the value of
the taxable property therein to be | 11 |
| ascertained by the last assessment
for State and county taxes | 12 |
| or, until January 1, 1983, if greater, the sum that
is produced | 13 |
| by multiplying the school district's 1978 equalized assessed
| 14 |
| valuation by the debt limitation percentage in effect on | 15 |
| January 1, 1979,
previous to the incurring of such | 16 |
| indebtedness.
| 17 |
| Notwithstanding the provisions of any other law to the | 18 |
| contrary, in any
case in which the voters of a school district | 19 |
| have approved a proposition
for the issuance of bonds of such | 20 |
| school district at an election held prior
to January 1, 1979, | 21 |
| and all of the bonds approved at such election have
not been | 22 |
| issued, the debt limitation applicable to such school district
| 23 |
| during the calendar year 1979 shall be computed by multiplying | 24 |
| the value
of taxable property therein, including personal | 25 |
| property, as ascertained
by the last assessment for State and | 26 |
| county taxes, previous to the incurring
of such indebtedness, | 27 |
| by the percentage limitation applicable to such school
district | 28 |
| under the provisions of this subsection (a).
| 29 |
| (b) Notwithstanding the debt limitation prescribed in | 30 |
| subsection (a)
of this Section, additional indebtedness may be | 31 |
| incurred in an amount
not to exceed the estimated cost of | 32 |
| acquiring or improving school sites
or constructing and | 33 |
| equipping additional building facilities under the
following | 34 |
| conditions:
| 35 |
| (1) Whenever the enrollment of students for the next | 36 |
| school year is
estimated by the board of education to |
|
|
|
SB1853 |
- 17 - |
LRB094 05832 NHT 35886 b |
|
| 1 |
| increase over the actual present
enrollment by not less | 2 |
| than 35% or by not less than 200 students or the
actual | 3 |
| present enrollment of students has increased over the | 4 |
| previous
school year by not less than 35% or by not less | 5 |
| than 200 students and
the board of education determines | 6 |
| that additional school sites or
building facilities are | 7 |
| required as a result of such increase in
enrollment; and
| 8 |
| (2) When the Regional Superintendent of Schools having | 9 |
| jurisdiction
over the school district and the State | 10 |
| Superintendent of Education
concur in such enrollment | 11 |
| projection or increase and approve the need
for such | 12 |
| additional school sites or building facilities and the
| 13 |
| estimated cost thereof; and
| 14 |
| (3) When the voters in the school district approve a | 15 |
| proposition for
the issuance of bonds for the purpose of | 16 |
| acquiring or improving such
needed school sites or | 17 |
| constructing and equipping such needed additional
building | 18 |
| facilities at an election called and held for that purpose.
| 19 |
| Notice of such an election shall state that the amount of | 20 |
| indebtedness
proposed to be incurred would exceed the debt | 21 |
| limitation otherwise
applicable to the school district. | 22 |
| The ballot for such proposition
shall state what percentage | 23 |
| of the equalized assessed valuation will be
outstanding in | 24 |
| bonds if the proposed issuance of bonds is approved by
the | 25 |
| voters; or
| 26 |
| (4) Notwithstanding the provisions of paragraphs (1) | 27 |
| through (3) of
this subsection (b), if the school board | 28 |
| determines that additional
facilities are needed to | 29 |
| provide a quality educational program and not
less than 2/3 | 30 |
| of those voting in an election called by the school board
| 31 |
| on the question approve the issuance of bonds for the | 32 |
| construction of
such facilities, the school district may | 33 |
| issue bonds for this
purpose; or
| 34 |
| (5) Notwithstanding the provisions of paragraphs (1) | 35 |
| through (3) of this
subsection (b), if (i) the school | 36 |
| district has previously availed itself of the
provisions of |
|
|
|
SB1853 |
- 18 - |
LRB094 05832 NHT 35886 b |
|
| 1 |
| paragraph (4) of this subsection (b) to enable it to issue | 2 |
| bonds,
(ii) the voters of the school district have not | 3 |
| defeated a proposition for the
issuance of bonds since the | 4 |
| referendum described in paragraph (4) of this
subsection | 5 |
| (b) was held, (iii) the school board determines that | 6 |
| additional
facilities are needed to provide a quality | 7 |
| educational program, and (iv) a
majority of those voting in | 8 |
| an election called by the school board on the
question | 9 |
| approve the issuance of bonds for the construction of such | 10 |
| facilities,
the school district may issue bonds for this | 11 |
| purpose.
| 12 |
| In no event shall the indebtedness incurred pursuant to | 13 |
| this
subsection (b) and the existing indebtedness of the school | 14 |
| district
exceed 15% of the value of the taxable property | 15 |
| therein to be
ascertained by the last assessment for State and | 16 |
| county taxes, previous
to the incurring of such indebtedness | 17 |
| or, until January 1, 1983, if greater,
the sum that is produced | 18 |
| by multiplying the school district's 1978 equalized
assessed | 19 |
| valuation by the debt limitation percentage in effect on | 20 |
| January 1,
1979.
| 21 |
| The indebtedness provided for by this subsection (b) shall | 22 |
| be in
addition to and in excess of any other debt limitation.
| 23 |
| (c) Notwithstanding the debt limitation prescribed in | 24 |
| subsection (a)
of this Section, in any case in which a public | 25 |
| question for the issuance
of bonds of a proposed school | 26 |
| district maintaining grades kindergarten
through 12 received | 27 |
| at least 60% of the valid ballots cast on the question at
an | 28 |
| election held on or prior to November 8, 1994, and in which the | 29 |
| bonds
approved at such election have not been issued, the | 30 |
| school district pursuant to
the requirements of Section 11A-10 | 31 |
| may issue the total amount of bonds approved
at such election | 32 |
| for the purpose stated in the question.
| 33 |
| (d) Notwithstanding the debt limitation prescribed in | 34 |
| subsection (a)
of this Section, a school district that meets | 35 |
| all the criteria set forth in
paragraphs (1) and (2) of this | 36 |
| subsection (d) may incur an additional
indebtedness in an |
|
|
|
SB1853 |
- 19 - |
LRB094 05832 NHT 35886 b |
|
| 1 |
| amount not to exceed $4,500,000, even though the amount of
the | 2 |
| additional indebtedness authorized by this subsection (d), | 3 |
| when incurred
and added to the aggregate amount of indebtedness | 4 |
| of the district existing
immediately prior to the district | 5 |
| incurring the additional indebtedness
authorized by this | 6 |
| subsection (d), causes the aggregate indebtedness of the
| 7 |
| district to exceed the debt limitation otherwise applicable to | 8 |
| that district
under subsection (a):
| 9 |
| (1) The additional indebtedness authorized by this | 10 |
| subsection (d) is
incurred by the school district through | 11 |
| the issuance of bonds under and in
accordance with Section | 12 |
| 17-2.11a for the purpose of replacing a school
building | 13 |
| which, because of mine subsidence damage, has been closed | 14 |
| as provided
in paragraph (2) of this subsection (d) or | 15 |
| through the issuance of bonds under
and in accordance with | 16 |
| Section 19-3 for the purpose of increasing the size of,
or | 17 |
| providing for additional functions in, such replacement | 18 |
| school buildings, or
both such purposes.
| 19 |
| (2) The bonds issued by the school district as provided | 20 |
| in paragraph (1)
above are issued for the purposes of | 21 |
| construction by the school district of
a new school | 22 |
| building pursuant to Section 17-2.11, to replace an | 23 |
| existing
school building that, because of mine subsidence | 24 |
| damage, is closed as of the
end of the 1992-93 school year | 25 |
| pursuant to action of the regional
superintendent of | 26 |
| schools of the educational service region in which the
| 27 |
| district is located under Section 3-14.22 or are issued for | 28 |
| the purpose of
increasing the size of, or providing for | 29 |
| additional functions in, the new
school building being | 30 |
| constructed to replace a school building closed as the
| 31 |
| result of mine subsidence damage, or both such purposes.
| 32 |
| (e) (Blank).
Notwithstanding the debt limitation | 33 |
| prescribed in subsection (a) of
this Section, a school district | 34 |
| that meets all the criteria set forth in
paragraphs (1) through | 35 |
| (5) of this subsection (e) may, without referendum,
incur an | 36 |
| additional indebtedness in an amount not to exceed the lesser |
|
|
|
SB1853 |
- 20 - |
LRB094 05832 NHT 35886 b |
|
| 1 |
| of
$5,000,000 or 1.5% of the value of the taxable property | 2 |
| within the district
even though the amount of the additional | 3 |
| indebtedness authorized by this
subsection (e), when incurred | 4 |
| and added to the aggregate amount of indebtedness
of the | 5 |
| district existing immediately prior to the district incurring | 6 |
| that
additional indebtedness, causes the aggregate | 7 |
| indebtedness of the district to
exceed or increases the amount | 8 |
| by which the aggregate indebtedness of the
district already | 9 |
| exceeds the debt limitation otherwise applicable to that
| 10 |
| district under subsection (a):
| 11 |
| (1) The State Board of Education certifies the school | 12 |
| district under
Section 19-1.5 as a financially distressed | 13 |
| district.
| 14 |
| (2) The additional indebtedness authorized by this | 15 |
| subsection (e) is
incurred by the financially distressed | 16 |
| district during the school year or
school years in which | 17 |
| the certification of the district as a financially
| 18 |
| distressed district continues in effect through the | 19 |
| issuance of bonds for the
lawful school purposes of the | 20 |
| district, pursuant to resolution of the school
board and | 21 |
| without referendum, as provided in paragraph (5) of this | 22 |
| subsection.
| 23 |
| (3) The aggregate amount of bonds issued by the | 24 |
| financially distressed
district during a fiscal year in | 25 |
| which it is authorized to issue bonds under
this subsection | 26 |
| does not exceed the amount by which the aggregate | 27 |
| expenditures
of the district for operational purposes | 28 |
| during the immediately preceding
fiscal year exceeds the | 29 |
| amount appropriated for the operational
purposes of the | 30 |
| district in the annual school budget adopted by the school
| 31 |
| board of the district for the fiscal year in which the | 32 |
| bonds are issued.
| 33 |
| (4) Throughout each fiscal year in which certification | 34 |
| of the district as
a financially distressed district | 35 |
| continues in effect, the district maintains
in effect a | 36 |
| gross salary expense and gross wage expense freeze policy |
|
|
|
SB1853 |
- 21 - |
LRB094 05832 NHT 35886 b |
|
| 1 |
| under
which the district expenditures for total employee | 2 |
| salaries and wages do not
exceed such expenditures for the | 3 |
| immediately preceding fiscal year. Nothing in
this | 4 |
| paragraph, however, shall be deemed to impair or to require | 5 |
| impairment of
the contractual obligations, including | 6 |
| collective bargaining agreements, of the
district or to | 7 |
| impair or require the impairment of the vested rights of | 8 |
| any
employee of the district under the terms of any | 9 |
| contract or agreement in effect
on the effective date of | 10 |
| this amendatory Act of 1994.
| 11 |
| (5) Bonds issued by the financially distressed | 12 |
| district under this
subsection shall bear interest at a | 13 |
| rate not to exceed the maximum rate
authorized by law at | 14 |
| the time of the making of the contract, shall mature
within | 15 |
| 40 years from their date of issue, and shall be signed by | 16 |
| the president
of the school board and treasurer of the | 17 |
| school district. In order to issue
bonds under this | 18 |
| subsection, the school board shall adopt a resolution | 19 |
| fixing
the amount of the bonds, the
date of the bonds, the | 20 |
| maturities of the bonds, the rates of interest of the
| 21 |
| bonds, and their place of payment and denomination, and | 22 |
| shall provide
for the levy and collection of a direct | 23 |
| annual tax upon all the taxable
property in the district | 24 |
| sufficient to pay the principal and interest on the
bonds | 25 |
| to maturity. Upon the filing in the office of the county | 26 |
| clerk of the
county in which the financially
distressed | 27 |
| district is located of a certified copy of the resolution, | 28 |
| it is the
duty of the county clerk to extend the tax | 29 |
| therefor in addition to and in
excess of all other taxes at | 30 |
| any time authorized to be levied by the district.
If bond | 31 |
| proceeds from the sale of bonds include a premium or if the | 32 |
| proceeds of
the bonds are invested as authorized by law, | 33 |
| the school board shall determine
by resolution whether the | 34 |
| interest earned on the investment of bond proceeds or
the | 35 |
| premium realized on the sale of the bonds is to be used for | 36 |
| any of the
lawful school purposes for which the bonds were |
|
|
|
SB1853 |
- 22 - |
LRB094 05832 NHT 35886 b |
|
| 1 |
| issued or for the payment of
the principal indebtedness and | 2 |
| interest on the bonds. The proceeds of the bond
sale shall | 3 |
| be deposited in the educational purposes fund of the | 4 |
| district and
shall be used to pay operational expenses of | 5 |
| the district. This subsection is
cumulative and | 6 |
| constitutes complete authority for the issuance of bonds as
| 7 |
| provided in this subsection, notwithstanding any other law | 8 |
| to the contrary.
| 9 |
| (f) Notwithstanding the provisions of subsection (a) of | 10 |
| this Section or of
any other law, bonds in not to exceed the | 11 |
| aggregate amount of $5,500,000 and
issued by a school district | 12 |
| meeting the following criteria shall not be
considered | 13 |
| indebtedness for purposes of any statutory limitation and may | 14 |
| be
issued in an amount or amounts, including existing | 15 |
| indebtedness, in excess of
any heretofore or hereafter imposed | 16 |
| statutory limitation as to indebtedness:
| 17 |
| (1) At the time of the sale of such bonds, the board of | 18 |
| education of the
district shall have determined by | 19 |
| resolution that the enrollment of students in
the district | 20 |
| is projected to increase by not less than 7% during each of | 21 |
| the
next succeeding 2 school years.
| 22 |
| (2) The board of education shall also determine by | 23 |
| resolution that the
improvements to be financed with the | 24 |
| proceeds of the bonds are needed because
of the projected | 25 |
| enrollment increases.
| 26 |
| (3) The board of education shall also determine by | 27 |
| resolution that the
projected increases in enrollment are | 28 |
| the result of improvements made or
expected to be made to | 29 |
| passenger rail facilities located in the school
district.
| 30 |
| Notwithstanding the provisions of subsection (a) of this | 31 |
| Section or of any other law, a school district that has availed | 32 |
| itself of the provisions of this subsection (f) prior to July | 33 |
| 22, 2004 ( the effective date of Public Act 93-799)
this | 34 |
| amendatory Act of the 93rd General Assembly may also issue | 35 |
| bonds approved by referendum up to an amount, including | 36 |
| existing indebtedness, not exceeding 25% of the equalized |
|
|
|
SB1853 |
- 23 - |
LRB094 05832 NHT 35886 b |
|
| 1 |
| assessed value of the taxable property in the district if all | 2 |
| of the conditions set forth in items (1), (2), and (3) of this | 3 |
| subsection (f) are met.
| 4 |
| (g) Notwithstanding the provisions of subsection (a) of | 5 |
| this Section or any
other law, bonds in not to exceed an | 6 |
| aggregate amount of 25% of the equalized
assessed value of the | 7 |
| taxable property of a school district and issued by a
school | 8 |
| district meeting the criteria in paragraphs (i) through (iv) of | 9 |
| this
subsection shall not be considered indebtedness for | 10 |
| purposes of any statutory
limitation and may be issued pursuant | 11 |
| to resolution of the school board in an
amount or amounts, | 12 |
| including existing indebtedness, in
excess of any statutory | 13 |
| limitation of indebtedness heretofore or hereafter
imposed:
| 14 |
| (i) The bonds are issued for the purpose of | 15 |
| constructing a new high school
building to replace two | 16 |
| adjacent existing buildings which together house a
single | 17 |
| high school, each of which is more than 65 years old, and | 18 |
| which together
are located on more than 10 acres and less | 19 |
| than 11 acres of property.
| 20 |
| (ii) At the time the resolution authorizing the | 21 |
| issuance of the bonds is
adopted, the cost of constructing | 22 |
| a new school building to replace the existing
school | 23 |
| building is less than 60% of the cost of repairing the | 24 |
| existing school
building.
| 25 |
| (iii) The sale of the bonds occurs before July 1, 1997.
| 26 |
| (iv) The school district issuing the bonds is a unit | 27 |
| school district
located in a county of less than 70,000 and | 28 |
| more than 50,000 inhabitants,
which has an average daily | 29 |
| attendance of less than 1,500 and an equalized
assessed | 30 |
| valuation of less than $29,000,000.
| 31 |
| (h) Notwithstanding any other provisions of this Section or | 32 |
| the
provisions of any other law, until January 1, 1998, a | 33 |
| community unit school
district maintaining grades K through 12 | 34 |
| may issue bonds up to an amount,
including existing | 35 |
| indebtedness, not exceeding 27.6% of the equalized assessed
| 36 |
| value of the taxable property in the district, if all of the |
|
|
|
SB1853 |
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LRB094 05832 NHT 35886 b |
|
| 1 |
| following
conditions are met:
| 2 |
| (i) The school district has an equalized assessed | 3 |
| valuation for calendar
year 1995 of less than $24,000,000;
| 4 |
| (ii) The bonds are issued for the capital improvement, | 5 |
| renovation,
rehabilitation, or replacement of existing | 6 |
| school buildings of the district,
all of which buildings | 7 |
| were originally constructed not less than 40 years ago;
| 8 |
| (iii) The voters of the district approve a proposition | 9 |
| for the issuance of
the bonds at a referendum held after | 10 |
| March 19, 1996; and
| 11 |
| (iv) The bonds are issued pursuant to Sections 19-2 | 12 |
| through 19-7 of this
Code.
| 13 |
| (i) Notwithstanding any other provisions of this Section or | 14 |
| the provisions
of any other law, until January 1, 1998, a | 15 |
| community unit school district
maintaining grades K through 12 | 16 |
| may issue bonds up to an amount, including
existing | 17 |
| indebtedness, not exceeding 27% of the equalized assessed value | 18 |
| of the
taxable property in the district, if all of the | 19 |
| following conditions are met:
| 20 |
| (i) The school district has an equalized assessed | 21 |
| valuation for calendar
year 1995 of less than $44,600,000;
| 22 |
| (ii) The bonds are issued for the capital improvement, | 23 |
| renovation,
rehabilitation, or replacement
of existing | 24 |
| school buildings of the district, all of which
existing | 25 |
| buildings were originally constructed not less than 80 | 26 |
| years ago;
| 27 |
| (iii) The voters of the district approve a proposition | 28 |
| for the issuance of
the bonds at a referendum held after | 29 |
| December 31, 1996; and
| 30 |
| (iv) The bonds are issued pursuant to Sections 19-2 | 31 |
| through 19-7 of this
Code.
| 32 |
| (j) Notwithstanding any other provisions of this Section or | 33 |
| the
provisions of any other law, until January 1, 1999, a | 34 |
| community unit school
district maintaining grades K through 12 | 35 |
| may issue bonds up to an amount,
including existing | 36 |
| indebtedness, not exceeding 27% of the equalized assessed
value |
|
|
|
SB1853 |
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LRB094 05832 NHT 35886 b |
|
| 1 |
| of the taxable property in the district if all of the following
| 2 |
| conditions are met:
| 3 |
| (i) The school district has an equalized assessed | 4 |
| valuation for calendar
year 1995 of less than $140,000,000 | 5 |
| and a best 3 months
average daily
attendance for the | 6 |
| 1995-96 school year of at least 2,800;
| 7 |
| (ii) The bonds are issued to purchase a site and build | 8 |
| and equip a new
high school, and the school district's | 9 |
| existing high school was originally
constructed not less | 10 |
| than 35
years prior to the sale of the bonds;
| 11 |
| (iii) At the time of the sale of the bonds, the board | 12 |
| of education
determines
by resolution that a new high | 13 |
| school is needed because of projected enrollment
| 14 |
| increases;
| 15 |
| (iv) At least 60% of those voting in an election held
| 16 |
| after December 31, 1996 approve a proposition
for the | 17 |
| issuance of
the bonds; and
| 18 |
| (v) The bonds are issued pursuant to Sections 19-2 | 19 |
| through
19-7 of this Code.
| 20 |
| (k) Notwithstanding the debt limitation prescribed in | 21 |
| subsection (a) of
this Section, a school district that meets | 22 |
| all the criteria set forth in
paragraphs (1) through (4) of | 23 |
| this subsection (k) may issue bonds to incur an
additional | 24 |
| indebtedness in an amount not to exceed $4,000,000 even though | 25 |
| the
amount of the additional indebtedness authorized by this | 26 |
| subsection (k), when
incurred and added to the aggregate amount | 27 |
| of indebtedness of the school
district existing immediately | 28 |
| prior to the school district incurring such
additional | 29 |
| indebtedness, causes the aggregate indebtedness of the school
| 30 |
| district to exceed or increases the amount by which the | 31 |
| aggregate indebtedness
of the district already exceeds the debt | 32 |
| limitation otherwise applicable to
that school district under | 33 |
| subsection (a):
| 34 |
| (1) the school district is located in 2 counties, and a | 35 |
| referendum to
authorize the additional indebtedness was | 36 |
| approved by a majority of the voters
of the school district |
|
|
|
SB1853 |
- 26 - |
LRB094 05832 NHT 35886 b |
|
| 1 |
| voting on the proposition to authorize that
indebtedness;
| 2 |
| (2) the additional indebtedness is for the purpose of | 3 |
| financing a
multi-purpose room addition to the existing | 4 |
| high school;
| 5 |
| (3) the additional indebtedness, together with the | 6 |
| existing indebtedness
of the school district, shall not | 7 |
| exceed 17.4% of the value of the taxable
property in the | 8 |
| school district, to be ascertained by the last assessment | 9 |
| for
State and county taxes; and
| 10 |
| (4) the bonds evidencing the additional indebtedness | 11 |
| are issued, if at
all, within 120 days of the effective | 12 |
| date of this amendatory Act of 1998.
| 13 |
| (l) Notwithstanding any other provisions of this Section or | 14 |
| the
provisions of any other law, until January 1, 2000, a | 15 |
| school district
maintaining grades kindergarten through 8 may | 16 |
| issue bonds up to an amount,
including existing indebtedness, | 17 |
| not exceeding 15% of the equalized assessed
value of the | 18 |
| taxable property in the district if all of the following
| 19 |
| conditions are met:
| 20 |
| (i) the district has an equalized assessed valuation | 21 |
| for calendar year
1996 of less than $10,000,000;
| 22 |
| (ii) the bonds are issued for capital improvement, | 23 |
| renovation,
rehabilitation, or replacement of one or more | 24 |
| school buildings of the district,
which buildings were | 25 |
| originally constructed not less than 70 years ago;
| 26 |
| (iii) the voters of the district approve a proposition | 27 |
| for the issuance of
the bonds at a referendum held on or | 28 |
| after March 17, 1998; and
| 29 |
| (iv) the bonds are issued pursuant to Sections 19-2 | 30 |
| through 19-7 of this
Code.
| 31 |
| (m) Notwithstanding any other provisions of this Section or | 32 |
| the provisions
of
any other law, until January 1, 1999, an | 33 |
| elementary school district maintaining
grades K through 8 may | 34 |
| issue bonds up to an amount, excluding existing
indebtedness, | 35 |
| not exceeding 18% of the equalized assessed value of the | 36 |
| taxable
property in the district, if all of the following |
|
|
|
SB1853 |
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LRB094 05832 NHT 35886 b |
|
| 1 |
| conditions are met:
| 2 |
| (i) The school district has an equalized assessed | 3 |
| valuation for calendar
year 1995 or less than $7,700,000;
| 4 |
| (ii) The school district operates 2 elementary | 5 |
| attendance centers that
until
1976 were operated as the | 6 |
| attendance centers of 2 separate and distinct school
| 7 |
| districts;
| 8 |
| (iii) The bonds are issued for the construction of a | 9 |
| new elementary school
building to replace an existing | 10 |
| multi-level elementary school building of the
school | 11 |
| district that is not handicapped accessible at all levels | 12 |
| and parts of
which were constructed more than 75 years ago;
| 13 |
| (iv) The voters of the school district approve a | 14 |
| proposition for the
issuance of the bonds at a referendum | 15 |
| held after July 1, 1998; and
| 16 |
| (v) The bonds are issued pursuant to Sections 19-2 | 17 |
| through 19-7 of this
Code.
| 18 |
| (n) Notwithstanding the debt limitation prescribed in | 19 |
| subsection (a) of
this Section or any other provisions of this | 20 |
| Section or of any other law, a
school district that meets all | 21 |
| of the criteria set forth in paragraphs (i)
through (vi) of | 22 |
| this subsection (n) may incur additional indebtedness by the
| 23 |
| issuance of bonds in an amount not exceeding the amount | 24 |
| certified by the
Capital Development Board to the school | 25 |
| district as provided in paragraph (iii)
of
this subsection (n), | 26 |
| even though the amount of the additional indebtedness so
| 27 |
| authorized, when incurred and added to the aggregate amount of | 28 |
| indebtedness of
the district existing immediately prior to the | 29 |
| district incurring the
additional indebtedness authorized by | 30 |
| this subsection (n), causes the aggregate
indebtedness of the | 31 |
| district to exceed the debt limitation otherwise applicable
by | 32 |
| law to that district:
| 33 |
| (i) The school district applies to the State Board of | 34 |
| Education for a
school construction project grant and | 35 |
| submits a district facilities plan in
support
of its | 36 |
| application pursuant to Section 5-20 of
the School |
|
|
|
SB1853 |
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LRB094 05832 NHT 35886 b |
|
| 1 |
| Construction Law.
| 2 |
| (ii) The school district's application and facilities | 3 |
| plan are approved
by,
and the district receives a grant | 4 |
| entitlement for a school construction project
issued by, | 5 |
| the State Board of Education under the School Construction | 6 |
| Law.
| 7 |
| (iii) The school district has exhausted its bonding | 8 |
| capacity or the unused
bonding capacity of the district is | 9 |
| less than the amount certified by the
Capital Development | 10 |
| Board to the district under Section 5-15 of the School
| 11 |
| Construction Law as the dollar amount of the school | 12 |
| construction project's cost
that the district will be | 13 |
| required to finance with non-grant funds in order to
| 14 |
| receive a school construction project grant under the | 15 |
| School Construction Law.
| 16 |
| (iv) The bonds are issued for a "school construction | 17 |
| project", as that
term is defined in Section 5-5 of the | 18 |
| School Construction Law, in an amount
that does not exceed | 19 |
| the dollar amount certified, as provided in paragraph
(iii) | 20 |
| of this subsection (n), by the Capital Development Board
to | 21 |
| the school
district under Section 5-15 of the School | 22 |
| Construction Law.
| 23 |
| (v) The voters of the district approve a proposition | 24 |
| for the issuance of
the bonds at a referendum held after | 25 |
| the criteria specified in paragraphs (i)
and (iii) of this | 26 |
| subsection (n) are met.
| 27 |
| (vi) The bonds are issued pursuant to Sections 19-2 | 28 |
| through 19-7 of the
School Code.
| 29 |
| (o) Notwithstanding any other provisions of this Section or | 30 |
| the
provisions of any other law, until November 1, 2007, a | 31 |
| community unit
school district maintaining grades K through 12 | 32 |
| may issue bonds up to
an amount, including existing | 33 |
| indebtedness, not exceeding 20% of the
equalized assessed value | 34 |
| of the taxable property in the district if all of the
following | 35 |
| conditions are met:
| 36 |
| (i) the school district has an equalized assessed |
|
|
|
SB1853 |
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LRB094 05832 NHT 35886 b |
|
| 1 |
| valuation
for calendar year 2001 of at least $737,000,000 | 2 |
| and an enrollment
for the 2002-2003 school year of at least | 3 |
| 8,500;
| 4 |
| (ii) the bonds are issued to purchase school sites, | 5 |
| build and
equip a new high school, build and equip a new | 6 |
| junior high school,
build and equip 5 new elementary | 7 |
| schools, and make technology
and other improvements and | 8 |
| additions to existing schools;
| 9 |
| (iii) at the time of the sale of the bonds, the board | 10 |
| of
education determines by resolution that the sites and | 11 |
| new or
improved facilities are needed because of projected | 12 |
| enrollment
increases;
| 13 |
| (iv) at least 57% of those voting in a general election | 14 |
| held
prior to January 1, 2003 approved a proposition for | 15 |
| the issuance of
the bonds; and
| 16 |
| (v) the bonds are issued pursuant to Sections 19-2 | 17 |
| through
19-7 of this Code.
| 18 |
| (p) Notwithstanding any other provisions of this Section or | 19 |
| the provisions of any other law, a community unit school | 20 |
| district maintaining grades K through 12 may issue bonds up to | 21 |
| an amount, including indebtedness, not exceeding 27% of the | 22 |
| equalized assessed value of the taxable property in the | 23 |
| district if all of the following conditions are met: | 24 |
| (i) The school district has an equalized assessed | 25 |
| valuation for calendar year 2001 of at least $295,741,187 | 26 |
| and a best 3 months' average daily attendance for the | 27 |
| 2002-2003 school year of at least 2,394. | 28 |
| (ii) The bonds are issued to build and equip 3 | 29 |
| elementary school buildings; build and equip one middle | 30 |
| school building; and alter, repair, improve, and equip all | 31 |
| existing school buildings in the district. | 32 |
| (iii) At the time of the sale of the bonds, the board | 33 |
| of education determines by resolution that the project is | 34 |
| needed because of expanding growth in the school district | 35 |
| and a projected enrollment increase. | 36 |
| (iv) The bonds are issued pursuant to Sections 19-2 |
|
|
|
SB1853 |
- 30 - |
LRB094 05832 NHT 35886 b |
|
| 1 |
| through 19-7 of this Code.
| 2 |
| (q) A school district must notify the State Board of | 3 |
| Education prior to issuing any form of long-term or short-term | 4 |
| debt that will result in outstanding debt that exceeds 75% of | 5 |
| the debt limit specified in this Section or any other provision | 6 |
| of law.
| 7 |
| (Source: P.A. 93-13, eff. 6-9-03; 93-799, eff. 7-22-04; | 8 |
| 93-1045, eff. 10-15-04; revised 10-22-04.)
| 9 |
| (105 ILCS 5/19-8)
(from Ch. 122, par. 19-8)
| 10 |
| Sec. 19-8. Bonds
to pay claims.
| 11 |
| Any school district or non-high district operating under | 12 |
| general law or
special charter having a population of 500,000 | 13 |
| or less is authorized to
issue bonds for the purpose of paying | 14 |
| orders issued for the wages of
teachers, or for the payment of | 15 |
| claims against any such district.
| 16 |
| Such bonds may be issued in an amount, including existing | 17 |
| indebtedness,
in excess of any statutory limitation as to debt.
| 18 |
| When a school district complies with Sections 19-9 and | 19 |
| 19-11 and bonds have
been
issued under this Section 19-8 by | 20 |
| that school district and that district is
certified as a | 21 |
| financially distressed district under Section 19-1.5, the
| 22 |
| amount of those bonds, when and after they are issued, whether | 23 |
| issued before or
after such certification, shall not be | 24 |
| considered
debt under any statutory debt limitation and shall | 25 |
| be excluded from the
computation
and determination of any | 26 |
| statutory or other debt limitation applicable to the
| 27 |
| financially distressed district.
| 28 |
| (Source: P.A. 88-641, eff. 9-9-94.)
| 29 |
| (105 ILCS 5/20-2)
(from Ch. 122, par. 20-2)
| 30 |
| Sec. 20-2. Indebtedness and bonds. For the purpose of | 31 |
| creating a working
cash fund, the school board of any such | 32 |
| district may incur an indebtedness and
issue bonds as evidence | 33 |
| thereof in an amount or amounts not exceeding in the
aggregate | 34 |
| 85% of the taxes permitted to be levied for educational |
|
|
|
SB1853 |
- 31 - |
LRB094 05832 NHT 35886 b |
|
| 1 |
| purposes for
the then current year to be determined by | 2 |
| multiplying the maximum educational
tax rate applicable to such | 3 |
| school district by the last assessed valuation as
determined at | 4 |
| the time of the issue of said bonds plus 85% of the last known
| 5 |
| entitlement of such district to taxes as by law now or | 6 |
| hereafter enacted or
amended, imposed by the General Assembly | 7 |
| of the State of Illinois to replace
revenue lost by units of | 8 |
| local government and school districts as a result of
the | 9 |
| abolition of ad valorem personal property taxes, pursuant to | 10 |
| Article IX,
Section 5, paragraph (c) of the Constitution of the | 11 |
| State of Illinois , except
that a district that is certified | 12 |
| under Section 19-1.5 as a financially
distressed district may | 13 |
| incur an indebtedness and issue bonds as evidence
thereof in an | 14 |
| amount or amounts not exceeding in the aggregate 125% of the
| 15 |
| taxes permitted to be levied for educational purposes for the | 16 |
| then current year
to be determined by multiplying the maximum | 17 |
| educational tax rate applicable to
that school district by the | 18 |
| last assessed valuation as determined at the time
of the | 19 |
| issuance of the bonds plus 125% of the last known entitlement | 20 |
| of that
district to taxes that by law now or hereafter enacted | 21 |
| or amended are imposed
by the General Assembly to replace | 22 |
| revenue lost by units of local government
and school districts | 23 |
| as a result of the abolition of ad valorem personal
property | 24 |
| taxes, pursuant to Article IX, Section 5, paragraph (c) of the
| 25 |
| Constitution of the State of Illinois . The
bonds shall bear | 26 |
| interest at not more than the maximum rate authorized by the
| 27 |
| Bond Authorization Act, as amended at the time of the making of | 28 |
| the contract,
if issued before January 1, 1972 and not more | 29 |
| than the maximum rate authorized
by the Bond Authorization Act, | 30 |
| as amended at the time of the making of the
contract, if issued | 31 |
| after January 1, 1972 and shall mature within 20 years from
the | 32 |
| date thereof. Subject to the foregoing limitations as to | 33 |
| amount, the bonds
may be issued in an amount including existing | 34 |
| indebtedness which will not
exceed the constitutional | 35 |
| limitation as to debt, notwithstanding any statutory
debt | 36 |
| limitation to the contrary. When bonds have been issued under |
|
|
|
SB1853 |
- 32 - |
LRB094 05832 NHT 35886 b |
|
| 1 |
| this
Article by
a school district that is certified as a | 2 |
| financially distressed district under
Section 19-1.5, the | 3 |
| amount of those bonds, when and after they are issued,
whether | 4 |
| issued before or after such certification, shall not be | 5 |
| considered debt
under any statutory debt limitation and shall | 6 |
| be
excluded from the computation and determination of any | 7 |
| statutory or other debt
limitation applicable to the | 8 |
| financially distressed district. The school
board shall before | 9 |
| or at the time
of issuing the bonds provide for the collection | 10 |
| of a direct annual tax upon all
the taxable property within the | 11 |
| district sufficient to pay the principal
thereof at maturity | 12 |
| and to pay the interest thereon as it falls due, which tax
| 13 |
| shall be in addition to the maximum amount of all other taxes, | 14 |
| either
educational; transportation; operations and | 15 |
| maintenance; or fire prevention and
safety fund taxes, now or | 16 |
| hereafter authorized and in addition to any
limitations upon | 17 |
| the levy of taxes as provided by Sections 17-2 through 17-9.
| 18 |
| The bonds may be issued redeemable at the option of the school | 19 |
| board of the
district issuing them on any interest payment date | 20 |
| on or after 5 years from
date of issue.
| 21 |
| With respect to instruments for the payment of money issued | 22 |
| under this
Section either before, on, or after the effective | 23 |
| date of this amendatory
Act of 1989, it is and always has been | 24 |
| the intention of the General
Assembly (i) that the Omnibus Bond | 25 |
| Acts are and always have been
supplementary grants of power to | 26 |
| issue instruments in accordance with the
Omnibus Bond Acts, | 27 |
| regardless of any provision of this Act that may appear
to be | 28 |
| or to have been more restrictive than those Acts, (ii) that the
| 29 |
| provisions of this Section are not a limitation on the | 30 |
| supplementary
authority granted by the Omnibus Bond Acts, and | 31 |
| (iii) that instruments
issued under this Section within the | 32 |
| supplementary authority granted by the
Omnibus Bond Acts are | 33 |
| not invalid because of any provision of this Act that
may | 34 |
| appear to be or to have been more restrictive than those Acts.
| 35 |
| (Source: P.A. 87-984; 88-641, eff. 9-9-94.)
|
|
|
|
SB1853 |
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LRB094 05832 NHT 35886 b |
|
| 1 |
| (105 ILCS 5/20-3)
(from Ch. 122, par. 20-3)
| 2 |
| Sec. 20-3. Tax levy. For the purpose of providing moneys | 3 |
| for a
working cash fund, the school board of any such school | 4 |
| district may also
levy annually upon all the taxable property | 5 |
| of their district a tax,
known as the "working cash fund tax," | 6 |
| not to exceed 0.05% of
value, as
equalized or assessed by the | 7 |
| Department of Revenue ; .
provided , that : (1) no such tax shall | 8 |
| be levied if bonds are issued in
amount or amounts equal in the | 9 |
| aggregate to the limitation set forth in
Section 20-2 for the | 10 |
| creation of a working cash fund . ; (2) no such tax
shall be | 11 |
| levied and extended by a school district that is not certified | 12 |
| as a
financially distressed district under Section 19-1.5 if | 13 |
| the amount of the tax
so to be extended
will increase the | 14 |
| working cash fund to a total amount exceeding 85% of
the taxes | 15 |
| last extended for educational purposes of the district plus
85% | 16 |
| of the last known entitlement of such district to taxes as by | 17 |
| law
now or hereafter enacted or amended, imposed by the General | 18 |
| Assembly of
the State of Illinois to replace revenue lost by | 19 |
| units of local
government and school districts as a result of | 20 |
| the abolition of ad
valorem personal property taxes, pursuant | 21 |
| to Article IX, Section 5(c) of
the Constitution of the State of | 22 |
| Illinois; and (3) no such tax shall be
levied or extended by a | 23 |
| school district that is certified as a financially
distressed | 24 |
| district under Section 19-1.5 if the amount of the tax so to be
| 25 |
| extended will increase the working cash fund to a total amount | 26 |
| exceeding 125%
of the taxes last extended for educational | 27 |
| purposes of the district plus 125%
of
the last known | 28 |
| entitlement of that district to taxes that by law now or
| 29 |
| hereafter
enacted or amended are imposed by the General | 30 |
| Assembly to
replace revenue lost by units of local government | 31 |
| and school districts as a
result of the abolition of ad valorem | 32 |
| personal property taxes, pursuant to
Article IX, Section 5(c) | 33 |
| of the Constitution of the State of
Illinois. The collection of | 34 |
| the tax
shall not be anticipated by the issuance of any | 35 |
| warrants drawn against
it. The tax shall be levied and | 36 |
| collected, except as otherwise provided
in this Section, in |
|
|
|
SB1853 |
- 34 - |
LRB094 05832 NHT 35886 b |
|
| 1 |
| like manner as the general taxes of the district,
and shall be | 2 |
| in addition to the maximum of all other taxes, either
| 3 |
| educational; transportation; operations and maintenance; or | 4 |
| fire
prevention and safety fund taxes, now or hereafter to be | 5 |
| levied for school
purposes. It may be levied by separate | 6 |
| resolution by the last Tuesday in
September in each year or it | 7 |
| may be included in the certificate of tax levy
filed under | 8 |
| Section 17-11.
| 9 |
| (Source: P.A. 87-984; 88-641, eff. 9-9-94.)
| 10 |
| (105 ILCS 5/20-5)
(from Ch. 122, par. 20-5)
| 11 |
| Sec. 20-5. Transfer to other fund. This Section shall not | 12 |
| apply in any
school district which does not operate a working | 13 |
| cash fund.
| 14 |
| Moneys, including interest earned from investment of the | 15 |
| working cash fund as
in this Section provided, shall be | 16 |
| transferred from the working cash fund to
another fund of the | 17 |
| district only upon the authority of the school board which
| 18 |
| shall from time to time by separate resolution direct the | 19 |
| school treasurer to
make transfers of such sums as may be | 20 |
| required for the purposes herein
authorized.
| 21 |
| The resolution shall set forth (a) the taxes in | 22 |
| anticipation of which
such transfer is to be made and from | 23 |
| which the working cash fund is to
be reimbursed; (b) the entire | 24 |
| amount of taxes extended, or which the school
board estimates | 25 |
| will be extended or received, for any year in anticipation of
| 26 |
| the collection of all or part of which such transfer is to be | 27 |
| made; (c) the
aggregate amount of warrants or notes theretofore | 28 |
| issued in anticipation of the
collection of such taxes together | 29 |
| with the amount of interest accrued and which
the school board | 30 |
| estimates will accrue thereon; (d) the aggregate amount of
| 31 |
| receipts from taxes imposed to replace revenue lost by units of | 32 |
| local
government and school districts as a result of the | 33 |
| abolition of ad valorem
personal property taxes, pursuant to | 34 |
| Article IX, Section 5(c) of the
Constitution of the State of | 35 |
| Illinois, which the corporate authorities estimate
will be set |
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| 1 |
| aside for the payment of the proportionate amount of debt | 2 |
| service
and pension or retirement obligations, as required by | 3 |
| Section 12 of the State
Revenue Sharing Act; and (e) the | 4 |
| aggregate amount of money theretofore
transferred from the | 5 |
| working cash fund to the other fund in anticipation of the
| 6 |
| collection of such taxes. The amount which any such resolution | 7 |
| shall direct the
treasurer so to transfer, in anticipation of | 8 |
| the collection of taxes levied or
to be received for any year, | 9 |
| together with the aggregate amount of such
anticipation tax | 10 |
| warrants or notes theretofore drawn against such taxes and the
| 11 |
| amount of interest accrued and estimated to accrue thereon and | 12 |
| the aggregate
amount of such transfers to be made in | 13 |
| anticipation of the collection of such
taxes and the amount | 14 |
| estimated to be required to satisfy debt service and
pension or | 15 |
| retirement obligations, as set forth in Section 12 of the State
| 16 |
| Revenue Sharing Act, shall not exceed 85% of the actual or | 17 |
| estimated amount of
such taxes extended or to be extended or to | 18 |
| be received as set forth in such
resolution in the case of a | 19 |
| school district that is not certified as a
financially | 20 |
| distressed district under Section 19-1.5 or 125% of the actual | 21 |
| or
estimated amount of the taxes extended or to be extended or | 22 |
| to be received as
set forth in the resolution in the case of a | 23 |
| district that is certified as a
financially distressed district | 24 |
| under Section 19-1.5 . At any time moneys are
available in the | 25 |
| working cash fund they
shall be transferred to the educational | 26 |
| fund and disbursed for the payment of
salaries and other school | 27 |
| expenses so as to avoid, whenever possible, the
issuance of | 28 |
| anticipation tax warrants or notes.
| 29 |
| Moneys earned as interest from the investment of the | 30 |
| working cash fund, or
any portion thereof, may be transferred | 31 |
| from the working cash fund to another
fund of the district | 32 |
| without any requirement of repayment to the working cash
fund, | 33 |
| upon the authority of the school board by separate resolution | 34 |
| directing
the school treasurer to make such transfer and | 35 |
| stating the purpose therefore as
one herein authorized.
| 36 |
| (Source: P.A. 87-970; 87-984; 87-1168; 88-9; 88-45; 88-641, |
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| eff. 9-9-94.)
| 2 |
| (105 ILCS 5/17-2C rep.)
| 3 |
| (105 ILCS 5/19-1.5 rep.)
| 4 |
| Section 10. The School Code is amended by repealing | 5 |
| Sections 17-2C and 19-1.5. | 6 |
| Section 90. The State Mandates Act is amended by adding | 7 |
| Section 8.29 as
follows:
| 8 |
| (30 ILCS 805/8.29 new)
| 9 |
| Sec. 8.29. Exempt mandate. Notwithstanding Sections 6 and 8 | 10 |
| of this
Act, no reimbursement by the State is required for the | 11 |
| implementation of
any mandate created by this amendatory Act of | 12 |
| the 94th General Assembly.
| 13 |
| Section 99. Effective date. This Act takes effect July 1, | 14 |
| 2006.
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|
INDEX
| 2 |
|
Statutes amended in order of appearance
|
| 3 |
| 105 ILCS 5/1A-8 |
from Ch. 122, par. 1A-8 |
| 4 |
| 105 ILCS 5/1B-5 |
from Ch. 122, par. 1B-5 |
| 5 |
| 105 ILCS 5/1B-8 |
from Ch. 122, par. 1B-8 |
| 6 |
| 105 ILCS 5/1F-20 |
|
| 7 |
| 105 ILCS 5/1F-62 |
|
| 8 |
| 105 ILCS 5/17-1 |
from Ch. 122, par. 17-1 |
| 9 |
| 105 ILCS 5/19-1 |
from Ch. 122, par. 19-1 |
| 10 |
| 105 ILCS 5/19-8 |
from Ch. 122, par. 19-8 |
| 11 |
| 105 ILCS 5/20-2 |
from Ch. 122, par. 20-2 |
| 12 |
| 105 ILCS 5/20-3 |
from Ch. 122, par. 20-3 |
| 13 |
| 105 ILCS 5/20-5 |
from Ch. 122, par. 20-5 |
| 14 |
| 105 ILCS 5/17-2C rep. |
|
| 15 |
| 105 ILCS 5/19-1.5 rep. |
|
| 16 |
| 30 ILCS 805/8.29 new |
|
| |
|