HB4042 100TH GENERAL ASSEMBLY

LRB100 12581 MLM 25737 b

100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB4042

Introduced , by Rep. Mark Batinick

SYNOPSIS AS INTRODUCED:

105 ILCS 5/17-2	from Ch. 122, par. 17-2
105 ILCS 5/34-53.6 new

Amends the School Code. Provides that, excluding any capital improvement tax, the aggregate tax rate levied annually by a school district shall not exceed 4%. Provides that school districts remain subject to (i) particular maximum tax rates set forth under the Code and (ii) the district's limiting rate under the Property Tax Extension Limitation Law, if applicable. Requires the State to appropriate and the State Board of Education to distribute to each school district funds sufficient to cover the revenue that the district would have received but for the reduction in its tax rate.

FISCAL NOTE ACT MAY APPLY

HOUSING AFFORDABILITY IMPACT NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning education.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The School Code is amended by changing Section 17-2 and by adding Section 34-53.6 as follows:

(105 ILCS 5/17-2) (from Ch. 122, par. 17-2)

Sec. 17-2. Tax levies; purposes; rates. Except as otherwise provided in Articles 12 and 13 of this Act, and except as provided in Section 17-2.2e of this Act, the following maximum rates shall apply to all taxes levied after August 10, 1965, in districts having a population of less than 500,000 inhabitants, including those districts organized under Article 11 of the School Code. The school board of any district having a population of less than 500,000 inhabitants may levy a tax annually, at not to exceed the maximum rates and for the specified purposes, upon all the taxable property of the district at the value, as equalized or assessed by the Department of Revenue as follows:

(1) districts maintaining only grades 1 through 8, .92% for educational purposes and .25% for operations and maintenance purposes;

(2) districts maintaining only grades 9 through 12, .92% for educational purposes and .25% for operations and maintenance purposes;

(3) districts maintaining grades 1 through 12, 1.63% for the 1985-86 school year, 1.68% for the 1986-87 school year, 1.75% for the 1987-88 school year and 1.84% for the 1988-89 school year and thereafter for educational purposes and .405% for the 1989-90 school year, .435% for the 1990-91 school year, .465% for the 1991-92 school year, and .50% for the 1992-93 school year and thereafter for operations and maintenance purposes;

(4) all districts, 0.75% for capital improvement purposes (which is in addition to the levy for operations and maintenance purposes), which tax is to be levied, accumulated for not more than 6 years, and spent for capital improvement purposes (including but not limited to the construction of a new school building or buildings or the purchase of school grounds on which any new school building is to be constructed or located, or both) only in accordance with Section 17-2.3 of this Act;

(5) districts maintaining only grades 1 through 8, .12% for transportation purposes, provided that districts maintaining only grades kindergarten through 8 which have an enrollment of at least 2600 students may levy, subject to Section 17-2.2, at not to exceed a maximum rate of .20% for transportation purposes for any school year in which the number of students requiring transportation in the district exceeds by at least 2% the number of students requiring transportation in the district during the preceding school year, as verified in the district's claim for pupil transportation and reimbursement and as certified by the State Board of Education to the county clerk of the county in which such district is located not later than November 15 following the submission of such claim; districts maintaining only grades 9 through 12, .12% for transportation purposes; and districts maintaining grades 1 through 12, .14% for the 1985-86 school year, .16% for the 1986-87 school year, .18% for the 1987-88 school year and .20% for the 1988-89 school year and thereafter, for transportation purposes;

(6) districts providing summer classes, .15% for educational purposes, subject to Section 17-2.1 of this Act.

Whenever any special charter school district operating grades 1 through 12, has organized or shall organize under the general school law, the district so organized may continue to levy taxes at not to exceed the rate at which taxes were last actually extended by the special charter district, except that if such rate at which taxes were last actually extended by such special charter district was less than the maximum rate for districts maintaining grades 1 through 12 authorized under this Section, such special charter district nevertheless may levy taxes at a rate not to exceed the maximum rate for districts maintaining grades 1 through 12 authorized under this Section, and except that if any such district maintains only grades 1 through 8, the board may levy, for educational purposes, at a rate not to exceed the maximum rate for elementary districts authorized under this Section.

Maximum rates before or after established in excess of those prescribed shall not be affected by the amendatory Act of 1965.

Excluding any capital improvement tax, for levy year 2018 and thereafter, the aggregate tax rate levied annually upon the equalized assessed value of the taxable property of the district by a school district having a population of less than 500,000 inhabitants shall not exceed 4%; provided that those school districts shall continue to be subject to (i) the particular maximum rates set forth under this Section for educational purposes, operations and maintenance, and transportation and (ii) the district's limiting rate under the Property Tax Extension Limitation Law, if the district is subject to that Law. For levy year 2018 and thereafter, the State shall appropriate and the State Board of Education shall distribute to each school district funds sufficient to cover the revenue that the district would have received but for the reduction in its tax rate under this Section.

(Source: P.A. 99-908, eff. 12-16-16.)

(105 ILCS 5/34-53.6 new)

Sec. 34-53.6. Maximum aggregate rate. Excluding any capital improvement tax, for levy year 2018 and thereafter, the aggregate tax rate levied annually upon the equalized assessed value of the taxable property of the district by a school district in a city with a population of 500,000 or more inhabitants shall not exceed 4%; provided that the school district shall continue to be subject to (i) the particular maximum rates set forth under this Article and (ii) the district's limiting rate under the Property Tax Extension Limitation Law, if the district is subject to that Law. For levy year 2018 and thereafter, the State shall appropriate and the State Board of Education shall distribute to the school district funds sufficient to cover the revenue that the district would have received but for the reduction in its tax rate under this Section.