093_HB2999ham001 LRB093 08377 NHT 12674 a 1 AMENDMENT TO HOUSE BILL 2999 2 AMENDMENT NO. . Amend House Bill 2999 by replacing 3 everything after the enacting clause with the following: 4 "Section 5. The School Code is amended by changing 5 Section 18-8.05 as follows: 6 (105 ILCS 5/18-8.05) 7 Sec. 18-8.05. Basis for apportionment of general State 8 financial aid and supplemental general State aid to the 9 common schools for the 1998-1999 and subsequent school years. 10 (A) General Provisions. 11 (1) The provisions of this Section apply to the 12 1998-1999 and subsequent school years. The system of general 13 State financial aid provided for in this Section is designed 14 to assure that, through a combination of State financial aid 15 and required local resources, the financial support provided 16 each pupil in Average Daily Attendance equals or exceeds a 17 prescribed per pupil Foundation Level. This formula approach 18 imputes a level of per pupil Available Local Resources and 19 provides for the basis to calculate a per pupil level of 20 general State financial aid that, when added to Available 21 Local Resources, equals or exceeds the Foundation Level. The -2- LRB093 08377 NHT 12674 a 1 amount of per pupil general State financial aid for school 2 districts, in general, varies in inverse relation to 3 Available Local Resources. Per pupil amounts are based upon 4 each school district's Average Daily Attendance as that term 5 is defined in this Section. 6 (2) In addition to general State financial aid, school 7 districts with specified levels or concentrations of pupils 8 from low income households are eligible to receive 9 supplemental general State financial aid grants as provided 10 pursuant to subsection (H). The supplemental State aid grants 11 provided for school districts under subsection (H) shall be 12 appropriated for distribution to school districts as part of 13 the same line item in which the general State financial aid 14 of school districts is appropriated under this Section. 15 (3) To receive financial assistance under this Section, 16 school districts are required to file claims with the State 17 Board of Education, subject to the following requirements: 18 (a) Any school district which fails for any given 19 school year to maintain school as required by law, or to 20 maintain a recognized school is not eligible to file for 21 such school year any claim upon the Common School Fund. 22 In case of nonrecognition of one or more attendance 23 centers in a school district otherwise operating 24 recognized schools, the claim of the district shall be 25 reduced in the proportion which the Average Daily 26 Attendance in the attendance center or centers bear to 27 the Average Daily Attendance in the school district. A 28 "recognized school" means any public school which meets 29 the standards as established for recognition by the State 30 Board of Education. A school district or attendance 31 center not having recognition status at the end of a 32 school term is entitled to receive State aid payments due 33 upon a legal claim which was filed while it was 34 recognized. -3- LRB093 08377 NHT 12674 a 1 (b) School district claims filed under this Section 2 are subject to Sections 18-9, 18-10, and 18-12, except as 3 otherwise provided in this Section. 4 (c) If a school district operates a full year 5 school under Section 10-19.1, the general State aid to 6 the school district shall be determined by the State 7 Board of Education in accordance with this Section as 8 near as may be applicable. 9 (d) (Blank). 10 (4) Except as provided in subsections (H) and (L), the 11 board of any district receiving any of the grants provided 12 for in this Section may apply those funds to any fund so 13 received for which that board is authorized to make 14 expenditures by law. 15 School districts are not required to exert a minimum 16 Operating Tax Rate in order to qualify for assistance under 17 this Section. 18 (5) As used in this Section the following terms, when 19 capitalized, shall have the meaning ascribed herein: 20 (a) "Average Daily Attendance": A count of pupil 21 attendance in school, averaged as provided for in 22 subsection (C) and utilized in deriving per pupil 23 financial support levels. 24 (b) "Available Local Resources": A computation of 25 local financial support, calculated on the basis of 26 Average Daily Attendance and derived as provided pursuant 27 to subsection (D). 28 (c) "Corporate Personal Property Replacement 29 Taxes": Funds paid to local school districts pursuant to 30 "An Act in relation to the abolition of ad valorem 31 personal property tax and the replacement of revenues 32 lost thereby, and amending and repealing certain Acts and 33 parts of Acts in connection therewith", certified August 34 14, 1979, as amended (Public Act 81-1st S.S.-1). -4- LRB093 08377 NHT 12674 a 1 (d) "Foundation Level": A prescribed level of per 2 pupil financial support as provided for in subsection 3 (B). 4 (e) "Operating Tax Rate": All school district 5 property taxes extended for all purposes, except Bond and 6 Interest, Summer School, Rent, Capital Improvement, and 7 Vocational Education Building purposes. 8 (B) Foundation Level. 9 (1) The Foundation Level is a figure established by the 10 State representing the minimum level of per pupil financial 11 support that should be available to provide for the basic 12 education of each pupil in Average Daily Attendance. As set 13 forth in this Section, each school district is assumed to 14 exert a sufficient local taxing effort such that, in 15 combination with the aggregate of general State financial aid 16 provided the district, an aggregate of State and local 17 resources are available to meet the basic education needs of 18 pupils in the district. 19 (2) For the 1998-1999 school year, the Foundation Level 20 of support is $4,225. For the 1999-2000 school year, the 21 Foundation Level of support is $4,325. For the 2000-2001 22 school year, the Foundation Level of support is $4,425. 23 (3) For the 2001-2002 school year and each school year 24 thereafter, the Foundation Level of support is $4,560 or such 25 greater amount as may be established by law by the General 26 Assembly. 27 (C) Average Daily Attendance. 28 (1) For purposes of calculating general State aid 29 pursuant to subsection (E), an Average Daily Attendance 30 figure shall be utilized. The Average Daily Attendance 31 figure for formula calculation purposes shall be the monthly 32 average of the actual number of pupils in attendance of each 33 school district, as further averaged for the best 3 months of -5- LRB093 08377 NHT 12674 a 1 pupil attendance for each school district. In compiling the 2 figures for the number of pupils in attendance, school 3 districts and the State Board of Education shall, for 4 purposes of general State aid funding, conform attendance 5 figures to the requirements of subsection (F). 6 (2) The Average Daily Attendance figures utilized in 7 subsection (E) shall be the requisite attendance data for the 8 school year immediately preceding the school year for which 9 general State aid is being calculated or the average of the 10 attendance data for the 3 preceding school years, whichever 11 is greater. The Average Daily Attendance figures utilized in 12 subsection (H) shall be the requisite attendance data for the 13 school year immediately preceding the school year for which 14 general State aid is being calculated. 15 (D) Available Local Resources. 16 (1) For purposes of calculating general State aid 17 pursuant to subsection (E), a representation of Available 18 Local Resources per pupil, as that term is defined and 19 determined in this subsection, shall be utilized. Available 20 Local Resources per pupil shall include a calculated dollar 21 amount representing local school district revenues from local 22 property taxes and from Corporate Personal Property 23 Replacement Taxes, expressed on the basis of pupils in 24 Average Daily Attendance. 25 (2) In determining a school district's revenue from 26 local property taxes, the State Board of Education shall 27 utilize the equalized assessed valuation of all taxable 28 property of each school district as of September 30 of the 29 previous year. The equalized assessed valuation utilized 30 shall be obtained and determined as provided in subsection 31 (G). 32 (3) For school districts maintaining grades kindergarten 33 through 12, local property tax revenues per pupil shall be 34 calculated as the product of the applicable equalized -6- LRB093 08377 NHT 12674 a 1 assessed valuation for the district multiplied by 3.00%, and 2 divided by the district's Average Daily Attendance figure. 3 For school districts maintaining grades kindergarten through 4 8, local property tax revenues per pupil shall be calculated 5 as the product of the applicable equalized assessed valuation 6 for the district multiplied by 2.30%, and divided by the 7 district's Average Daily Attendance figure. For school 8 districts maintaining grades 9 through 12, local property tax 9 revenues per pupil shall be the applicable equalized assessed 10 valuation of the district multiplied by 1.05%, and divided by 11 the district's Average Daily Attendance figure. 12 (4) The Corporate Personal Property Replacement Taxes 13 paid to each school district during the calendar year 2 years 14 before the calendar year in which a school year begins, 15 divided by the Average Daily Attendance figure for that 16 district, shall be added to the local property tax revenues 17 per pupil as derived by the application of the immediately 18 preceding paragraph (3). The sum of these per pupil figures 19 for each school district shall constitute Available Local 20 Resources as that term is utilized in subsection (E) in the 21 calculation of general State aid. 22 (E) Computation of General State Aid. 23 (1) For each school year, the amount of general State 24 aid allotted to a school district shall be computed by the 25 State Board of Education as provided in this subsection. 26 (2) For any school district for which Available Local 27 Resources per pupil is less than the product of 0.93 times 28 the Foundation Level, general State aid for that district 29 shall be calculated as an amount equal to the Foundation 30 Level minus Available Local Resources, multiplied by the 31 Average Daily Attendance of the school district. 32 (3) For any school district for which Available Local 33 Resources per pupil is equal to or greater than the product 34 of 0.93 times the Foundation Level and less than the product -7- LRB093 08377 NHT 12674 a 1 of 1.75 times the Foundation Level, the general State aid per 2 pupil shall be a decimal proportion of the Foundation Level 3 derived using a linear algorithm. Under this linear 4 algorithm, the calculated general State aid per pupil shall 5 decline in direct linear fashion from 0.07 times the 6 Foundation Level for a school district with Available Local 7 Resources equal to the product of 0.93 times the Foundation 8 Level, to 0.05 times the Foundation Level for a school 9 district with Available Local Resources equal to the product 10 of 1.75 times the Foundation Level. The allocation of 11 general State aid for school districts subject to this 12 paragraph 3 shall be the calculated general State aid per 13 pupil figure multiplied by the Average Daily Attendance of 14 the school district. 15 (4) For any school district for which Available Local 16 Resources per pupil equals or exceeds the product of 1.75 17 times the Foundation Level, the general State aid for the 18 school district shall be calculated as the product of $218 19 multiplied by the Average Daily Attendance of the school 20 district. 21 (5) The amount of general State aid allocated to a 22 school district for the 1999-2000 school year meeting the 23 requirements set forth in paragraph (4) of subsection (G) 24 shall be increased by an amount equal to the general State 25 aid that would have been received by the district for the 26 1998-1999 school year by utilizing the Extension Limitation 27 Equalized Assessed Valuation as calculated in paragraph (4) 28 of subsection (G) less the general State aid allotted for the 29 1998-1999 school year. This amount shall be deemed a one 30 time increase, and shall not affect any future general State 31 aid allocations. 32 (F) Compilation of Average Daily Attendance. 33 (1) Each school district shall, by July 1 of each year, 34 submit to the State Board of Education, on forms prescribed -8- LRB093 08377 NHT 12674 a 1 by the State Board of Education, attendance figures for the 2 school year that began in the preceding calendar year. The 3 attendance information so transmitted shall identify the 4 average daily attendance figures for each month of the school 5 year. Beginning with the general State aid claim form for 6 the 2002-2003 school year, districts shall calculate Average 7 Daily Attendance as provided in subdivisions (a), (b), and 8 (c) of this paragraph (1). 9 (a) In districts that do not hold year-round 10 classes, days of attendance in August shall be added to 11 the month of September and any days of attendance in June 12 shall be added to the month of May. 13 (b) In districts in which all buildings hold 14 year-round classes, days of attendance in July and August 15 shall be added to the month of September and any days of 16 attendance in June shall be added to the month of May. 17 (c) In districts in which some buildings, but not 18 all, hold year-round classes, for the non-year-round 19 buildings, days of attendance in August shall be added to 20 the month of September and any days of attendance in June 21 shall be added to the month of May. The average daily 22 attendance for the year-round buildings shall be computed 23 as provided in subdivision (b) of this paragraph (1). To 24 calculate the Average Daily Attendance for the district, 25 the average daily attendance for the year-round buildings 26 shall be multiplied by the days in session for the 27 non-year-round buildings for each month and added to the 28 monthly attendance of the non-year-round buildings. 29 Except as otherwise provided in this Section, days of 30 attendance by pupils shall be counted only for sessions of 31 not less than 5 clock hours of school work per day under 32 direct supervision of: (i) teachers, or (ii) non-teaching 33 personnel or volunteer personnel when engaging in 34 non-teaching duties and supervising in those instances -9- LRB093 08377 NHT 12674 a 1 specified in subsection (a) of Section 10-22.34 and paragraph 2 10 of Section 34-18, with pupils of legal school age and in 3 kindergarten and grades 1 through 12. 4 Days of attendance by tuition pupils shall be accredited 5 only to the districts that pay the tuition to a recognized 6 school. 7 (2) Days of attendance by pupils of less than 5 clock 8 hours of school shall be subject to the following provisions 9 in the compilation of Average Daily Attendance. 10 (a) Pupils regularly enrolled in a public school 11 for only a part of the school day may be counted on the 12 basis of 1/6 day for every class hour of instruction of 13 40 minutes or more attended pursuant to such enrollment, 14 unless a pupil is enrolled in a block-schedule format of 15 80 minutes or more of instruction, in which case the 16 pupil may be counted on the basis of the proportion of 17 minutes of school work completed each day to the minimum 18 number of minutes that school work is required to be held 19 that day. 20 (b) Days of attendance may be less than 5 clock 21 hours on the opening and closing of the school term, and 22 upon the first day of pupil attendance, if preceded by a 23 day or days utilized as an institute or teachers' 24 workshop. 25 (c) A session of 4 or more clock hours may be 26 counted as a day of attendance upon certification by the 27 regional superintendent, and approved by the State 28 Superintendent of Education to the extent that the 29 district has been forced to use daily multiple sessions. 30 (d) A session of 3 or more clock hours may be 31 counted as a day of attendance (1) when the remainder of 32 the school day or at least 2 hours in the evening of that 33 day is utilized for an in-service training program for 34 teachers, up to a maximum of 5 days per school year of -10- LRB093 08377 NHT 12674 a 1 which a maximum of 4 days of such 5 days may be used for 2 parent-teacher conferences, provided a district conducts 3 an in-service training program for teachers which has 4 been approved by the State Superintendent of Education; 5 or, in lieu of 4 such days, 2 full days may be used, in 6 which event each such day may be counted as a day of 7 attendance; and (2) when days in addition to those 8 provided in item (1) are scheduled by a school pursuant 9 to its school improvement plan adopted under Article 34 10 or its revised or amended school improvement plan adopted 11 under Article 2, provided that (i) such sessions of 3 or 12 more clock hours are scheduled to occur at regular 13 intervals, (ii) the remainder of the school days in which 14 such sessions occur are utilized for in-service training 15 programs or other staff development activities for 16 teachers, and (iii) a sufficient number of minutes of 17 school work under the direct supervision of teachers are 18 added to the school days between such regularly scheduled 19 sessions to accumulate not less than the number of 20 minutes by which such sessions of 3 or more clock hours 21 fall short of 5 clock hours. Any full days used for the 22 purposes of this paragraph shall not be considered for 23 computing average daily attendance. Days scheduled for 24 in-service training programs, staff development 25 activities, or parent-teacher conferences may be 26 scheduled separately for different grade levels and 27 different attendance centers of the district. 28 (e) A session of not less than one clock hour of 29 teaching hospitalized or homebound pupils on-site or by 30 telephone to the classroom may be counted as 1/2 day of 31 attendance, however these pupils must receive 4 or more 32 clock hours of instruction to be counted for a full day 33 of attendance. 34 (f) A session of at least 4 clock hours may be -11- LRB093 08377 NHT 12674 a 1 counted as a day of attendance for first grade pupils, 2 and pupils in full day kindergartens, and a session of 2 3 or more hours may be counted as 1/2 day of attendance by 4 pupils in kindergartens which provide only 1/2 day of 5 attendance. 6 (g) For children with disabilities who are below 7 the age of 6 years and who cannot attend 2 or more clock 8 hours because of their disability or immaturity, a 9 session of not less than one clock hour may be counted as 10 1/2 day of attendance; however for such children whose 11 educational needs so require a session of 4 or more clock 12 hours may be counted as a full day of attendance. 13 (h) A recognized kindergarten which provides for 14 only 1/2 day of attendance by each pupil shall not have 15 more than 1/2 day of attendance counted in any one day. 16 However, kindergartens may count 2 1/2 days of attendance 17 in any 5 consecutive school days. When a pupil attends 18 such a kindergarten for 2 half days on any one school 19 day, the pupil shall have the following day as a day 20 absent from school, unless the school district obtains 21 permission in writing from the State Superintendent of 22 Education. Attendance at kindergartens which provide for 23 a full day of attendance by each pupil shall be counted 24 the same as attendance by first grade pupils. Only the 25 first year of attendance in one kindergarten shall be 26 counted, except in case of children who entered the 27 kindergarten in their fifth year whose educational 28 development requires a second year of kindergarten as 29 determined under the rules and regulations of the State 30 Board of Education. 31 (G) Equalized Assessed Valuation Data. 32 (1) For purposes of the calculation of Available Local 33 Resources required pursuant to subsection (D), the State 34 Board of Education shall secure from the Department of -12- LRB093 08377 NHT 12674 a 1 Revenue the value as equalized or assessed by the Department 2 of Revenue of all taxable property of every school district, 3 together with (i) the applicable tax rate used in extending 4 taxes for the funds of the district as of September 30 of the 5 previous year and (ii) the limiting rate for all school 6 districts subject to property tax extension limitations as 7 imposed under the Property Tax Extension Limitation Law. 8 This equalized assessed valuation, as adjusted further by 9 the requirements of this subsection, shall be utilized in the 10 calculation of Available Local Resources. 11 (2) The equalized assessed valuation in paragraph (1) 12 shall be adjusted, as applicable, in the following manner: 13 (a) For the purposes of calculating State aid under 14 this Section, with respect to any part of a school 15 district within a redevelopment project area in respect 16 to which a municipality has adopted tax increment 17 allocation financing pursuant to the Tax Increment 18 Allocation Redevelopment Act, Sections 11-74.4-1 through 19 11-74.4-11 of the Illinois Municipal Code or the 20 Industrial Jobs Recovery Law, Sections 11-74.6-1 through 21 11-74.6-50 of the Illinois Municipal Code, no part of the 22 current equalized assessed valuation of real property 23 located in any such project area which is attributable to 24 an increase above the total initial equalized assessed 25 valuation of such property shall be used as part of the 26 equalized assessed valuation of the district, until such 27 time as all redevelopment project costs have been paid, 28 as provided in Section 11-74.4-8 of the Tax Increment 29 Allocation Redevelopment Act or in Section 11-74.6-35 of 30 the Industrial Jobs Recovery Law. For the purpose of the 31 equalized assessed valuation of the district, the total 32 initial equalized assessed valuation or the current 33 equalized assessed valuation, whichever is lower, shall 34 be used until such time as all redevelopment project -13- LRB093 08377 NHT 12674 a 1 costs have been paid. 2 (b) The real property equalized assessed valuation 3 for a school district shall be adjusted by subtracting 4 from the real property value as equalized or assessed by 5 the Department of Revenue for the district an amount 6 computed by dividing the amount of any abatement of taxes 7 under Section 18-170 of the Property Tax Code by 3.00% 8 for a district maintaining grades kindergarten through 9 12, by 2.30% for a district maintaining grades 10 kindergarten through 8, or by 1.05% for a district 11 maintaining grades 9 through 12 and adjusted by an amount 12 computed by dividing the amount of any abatement of taxes 13 under subsection (a) of Section 18-165 of the Property 14 Tax Code by the same percentage rates for district type 15 as specified in this subparagraph (b). 16 (3) For the 1999-2000 school year and each school year 17 thereafter, if a school district meets all of the criteria of 18 this subsection (G)(3), the school district's Available Local 19 Resources shall be calculated under subsection (D) using the 20 district's Extension Limitation Equalized Assessed Valuation 21 as calculated under this subsection (G)(3). 22 For purposes of this subsection (G)(3) the following 23 terms shall have the following meanings: 24 "Budget Year": The school year for which general 25 State aid is calculated and awarded under subsection (E). 26 "Base Tax Year": The property tax levy year used to 27 calculate the Budget Year allocation of general State 28 aid. 29 "Preceding Tax Year": The property tax levy year 30 immediately preceding the Base Tax Year. 31 "Base Tax Year's Tax Extension": The product of the 32 equalized assessed valuation utilized by the County Clerk 33 in the Base Tax Year multiplied by the limiting rate as 34 calculated by the County Clerk and defined in the -14- LRB093 08377 NHT 12674 a 1 Property Tax Extension Limitation Law. 2 "Preceding Tax Year's Tax Extension": The product of 3 the equalized assessed valuation utilized by the County 4 Clerk in the Preceding Tax Year multiplied by the 5 Operating Tax Rate as defined in subsection (A). 6 "Extension Limitation Ratio": A numerical ratio, 7 certified by the County Clerk, in which the numerator is 8 the Base Tax Year's Tax Extension and the denominator is 9 the Preceding Tax Year's Tax Extension. 10 "Operating Tax Rate": The operating tax rate as 11 defined in subsection (A). 12 If a school district is subject to property tax extension 13 limitations as imposed under the Property Tax Extension 14 Limitation Law, the State Board of Education shall calculate 15 the Extension Limitation Equalized Assessed Valuation of that 16 district. For the 1999-2000 school year, the Extension 17 Limitation Equalized Assessed Valuation of a school district 18 as calculated by the State Board of Education shall be equal 19 to the product of the district's 1996 Equalized Assessed 20 Valuation and the district's Extension Limitation Ratio. For 21 the 2000-2001 school year and each school year thereafter, 22 the Extension Limitation Equalized Assessed Valuation of a 23 school district as calculated by the State Board of Education 24 shall be equal to the product of the Equalized Assessed 25 Valuation last used in the calculation of general State aid 26 and the district's Extension Limitation Ratio. If the 27 Extension Limitation Equalized Assessed Valuation of a school 28 district as calculated under this subsection (G)(3) is less 29 than the district's equalized assessed valuation as 30 calculated pursuant to subsections (G)(1) and (G)(2), then 31 for purposes of calculating the district's general State aid 32 for the Budget Year pursuant to subsection (E), that 33 Extension Limitation Equalized Assessed Valuation shall be 34 utilized to calculate the district's Available Local -15- LRB093 08377 NHT 12674 a 1 Resources under subsection (D). 2 (4) For the purposes of calculating general State aid 3 for the 1999-2000 school year only, if a school district 4 experienced a triennial reassessment on the equalized 5 assessed valuation used in calculating its general State 6 financial aid apportionment for the 1998-1999 school year, 7 the State Board of Education shall calculate the Extension 8 Limitation Equalized Assessed Valuation that would have been 9 used to calculate the district's 1998-1999 general State aid. 10 This amount shall equal the product of the equalized assessed 11 valuation used to calculate general State aid for the 12 1997-1998 school year and the district's Extension Limitation 13 Ratio. If the Extension Limitation Equalized Assessed 14 Valuation of the school district as calculated under this 15 paragraph (4) is less than the district's equalized assessed 16 valuation utilized in calculating the district's 1998-1999 17 general State aid allocation, then for purposes of 18 calculating the district's general State aid pursuant to 19 paragraph (5) of subsection (E), that Extension Limitation 20 Equalized Assessed Valuation shall be utilized to calculate 21 the district's Available Local Resources. 22 (5) For school districts having a majority of their 23 equalized assessed valuation in any county except Cook, 24 DuPage, Kane, Lake, McHenry, or Will, if the amount of 25 general State aid allocated to the school district for the 26 1999-2000 school year under the provisions of subsection (E), 27 (H), and (J) of this Section is less than the amount of 28 general State aid allocated to the district for the 1998-1999 29 school year under these subsections, then the general State 30 aid of the district for the 1999-2000 school year only shall 31 be increased by the difference between these amounts. The 32 total payments made under this paragraph (5) shall not exceed 33 $14,000,000. Claims shall be prorated if they exceed 34 $14,000,000. -16- LRB093 08377 NHT 12674 a 1 (H) SupplementalSupplementalGeneral State Aid. 2 (1) In addition to the general State aid a school 3 district is allotted pursuant to subsection (E), qualifying 4 school districts shall receive a grant, paid in conjunction 5 with a district's payments of general State aid, for 6 supplemental general State aid based upon the concentration 7 level of children from low-income households within the 8 school district. Supplemental State aid grants provided for 9 school districts under this subsection shall be appropriated 10 for distribution to school districts as part of the same line 11 item in which the general State financial aid of school 12 districts is appropriated under this Section. For purposes of 13 this subsection, the term "Low-Income Concentration Level" 14 shall be the low-income eligible pupil count from the most 15 recently available federal census divided by the Average 16 Daily Attendance of the school district. If, however, (i) the 17 percentage decrease from the 2 most recent federal censuses 18 in the low-income eligible pupil count of a high school 19 district with fewer than 400 students exceeds by 75% or more 20 the percentage change in the total low-income eligible pupil 21 count of contiguous elementary school districts, whose 22 boundaries are coterminous with the high school district, or 23 (ii) a high school district within 2 counties and serving 5 24 elementary school districts, whose boundaries are coterminous 25 with the high school district, has a percentage decrease from 26 the 2 most recent federal censuses in the low-income eligible 27 pupil count and there is a percentage increase in the total 28 low-income eligible pupil count of a majority of the 29 elementary school districts in excess of 50% from the 2 most 30 recent federal censuses, then the high school district's 31 low-income eligible pupil count from the earlier federal 32 census shall be the number used as the low-income eligible 33 pupil count for the high school district, for purposes of 34 this subsection (H). The changes made to this paragraph (1) -17- LRB093 08377 NHT 12674 a 1 by Public Act 92-28 shall apply to supplemental general State 2 aid grants paid in fiscal year 1999 and in each fiscal year 3 thereafter and to any State aid payments made in fiscal year 4 1994 through fiscal year 1998 pursuant to subsection 1(n) of 5 Section 18-8 of this Code (which was repealed on July 1, 6 1998), and any high school district that is affected by 7 Public Act 92-28 is entitled to a recomputation of its 8 supplemental general State aid grant or State aid paid in any 9 of those fiscal years. This recomputation shall not be 10 affected by any other funding. 11 (2) Supplemental general State aid pursuant to this 12 subsection (H) shall be provided as follows for the 13 1998-1999, 1999-2000, and 2000-2001 school years only: 14 (a) For any school district with a Low Income 15 Concentration Level of at least 20% and less than 35%, 16 the grant for any school year shall be $800 multiplied by 17 the low income eligible pupil count. 18 (b) For any school district with a Low Income 19 Concentration Level of at least 35% and less than 50%, 20 the grant for the 1998-1999 school year shall be $1,100 21 multiplied by the low income eligible pupil count. 22 (c) For any school district with a Low Income 23 Concentration Level of at least 50% and less than 60%, 24 the grant for the 1998-99 school year shall be $1,500 25 multiplied by the low income eligible pupil count. 26 (d) For any school district with a Low Income 27 Concentration Level of 60% or more, the grant for the 28 1998-99 school year shall be $1,900 multiplied by the low 29 income eligible pupil count. 30 (e) For the 1999-2000 school year, the per pupil 31 amount specified in subparagraphs (b), (c), and (d) 32 immediately above shall be increased to $1,243, $1,600, 33 and $2,000, respectively. 34 (f) For the 2000-2001 school year, the per pupil -18- LRB093 08377 NHT 12674 a 1 amounts specified in subparagraphs (b), (c), and (d) 2 immediately above shall be $1,273, $1,640, and $2,050, 3 respectively. 4 (2.5) Supplemental general State aid pursuant to this 5 subsection (H) shall be provided as follows for the 2002-2003 6 school year and each school year thereafter: 7 (a) For any school district with a Low Income 8 Concentration Level of less than 10%, the grant for each 9 school year shall be $355 multiplied by the low income 10 eligible pupil count. 11 (b) For any school district with a Low Income 12 Concentration Level of at least 10% and less than 20%, 13 the grant for each school year shall be $675 multiplied 14 by the low income eligible pupil count. 15 (c) For any school district with a Low Income 16 Concentration Level of at least 20% and less than 35%, 17 the grant for each school year shall be $1,330 multiplied 18 by the low income eligible pupil count. 19 (d) For any school district with a Low Income 20 Concentration Level of at least 35% and less than 50%, 21 the grant for each school year shall be $1,362 multiplied 22 by the low income eligible pupil count. 23 (e) For any school district with a Low Income 24 Concentration Level of at least 50% and less than 60%, 25 the grant for each school year shall be $1,680 multiplied 26 by the low income eligible pupil count. 27 (f) For any school district with a Low Income 28 Concentration Level of 60% or more, the grant for each 29 school year shall be $2,080 multiplied by the low income 30 eligible pupil count. 31 (3) School districts with an Average Daily Attendance of 32 more than 1,000 and less than 50,000 that qualify for 33 supplemental general State aid pursuant to this subsection 34 shall submit a plan to the State Board of Education prior to -19- LRB093 08377 NHT 12674 a 1 October 30 of each year for the use of the funds resulting 2 from this grant of supplemental general State aid for the 3 improvement of instruction in which priority is given to 4 meeting the education needs of disadvantaged children. Such 5 plan shall be submitted in accordance with rules and 6 regulations promulgated by the State Board of Education. 7 (4) School districts with an Average Daily Attendance of 8 50,000 or more that qualify for supplemental general State 9 aid pursuant to this subsection shall be required to 10 distribute from funds available pursuant to this Section, no 11 less than $261,000,000 in accordance with the following 12 requirements: 13 (a) The required amounts shall be distributed to 14 the attendance centers within the district in proportion 15 to the number of pupils enrolled at each attendance 16 center who are eligible to receive free or reduced-price 17 lunches or breakfasts under the federal Child Nutrition 18 Act of 1966 and under the National School Lunch Act 19 during the immediately preceding school year. 20 (b) The distribution of these portions of 21 supplemental and general State aid among attendance 22 centers according to these requirements shall not be 23 compensated for or contravened by adjustments of the 24 total of other funds appropriated to any attendance 25 centers, and the Board of Education shall utilize funding 26 from one or several sources in order to fully implement 27 this provision annually prior to the opening of school. 28 (c) Each attendance center shall be provided by the 29 school district a distribution of noncategorical funds 30 and other categorical funds to which an attendance center 31 is entitled under law in order that the general State aid 32 and supplemental general State aid provided by 33 application of this subsection supplements rather than 34 supplants the noncategorical funds and other categorical -20- LRB093 08377 NHT 12674 a 1 funds provided by the school district to the attendance 2 centers. 3 (d) Any funds made available under this subsection 4 that by reason of the provisions of this subsection are 5 not required to be allocated and provided to attendance 6 centers may be used and appropriated by the board of the 7 district for any lawful school purpose. 8 (e) Funds received by an attendance center pursuant 9 to this subsection shall be used by the attendance center 10 at the discretion of the principal and local school 11 council for programs to improve educational opportunities 12 at qualifying schools through the following programs and 13 services: early childhood education, reduced class size 14 or improved adult to student classroom ratio, enrichment 15 programs, remedial assistance, attendance improvement, 16 and other educationally beneficial expenditures which 17 supplement the regular and basic programs as determined 18 by the State Board of Education. Funds provided shall not 19 be expended for any political or lobbying purposes as 20 defined by board rule. 21 (f) Each district subject to the provisions of this 22 subdivision (H)(4) shall submit an acceptable plan to 23 meet the educational needs of disadvantaged children, in 24 compliance with the requirements of this paragraph, to 25 the State Board of Education prior to July 15 of each 26 year. This plan shall be consistent with the decisions of 27 local school councils concerning the school expenditure 28 plans developed in accordance with part 4 of Section 29 34-2.3. The State Board shall approve or reject the plan 30 within 60 days after its submission. If the plan is 31 rejected, the district shall give written notice of 32 intent to modify the plan within 15 days of the 33 notification of rejection and then submit a modified plan 34 within 30 days after the date of the written notice of -21- LRB093 08377 NHT 12674 a 1 intent to modify. Districts may amend approved plans 2 pursuant to rules promulgated by the State Board of 3 Education. 4 Upon notification by the State Board of Education 5 that the district has not submitted a plan prior to July 6 15 or a modified plan within the time period specified 7 herein, the State aid funds affected by that plan or 8 modified plan shall be withheld by the State Board of 9 Education until a plan or modified plan is submitted. 10 If the district fails to distribute State aid to 11 attendance centers in accordance with an approved plan, 12 the plan for the following year shall allocate funds, in 13 addition to the funds otherwise required by this 14 subsection, to those attendance centers which were 15 underfunded during the previous year in amounts equal to 16 such underfunding. 17 For purposes of determining compliance with this 18 subsection in relation to the requirements of attendance 19 center funding, each district subject to the provisions 20 of this subsection shall submit as a separate document by 21 December 1 of each year a report of expenditure data for 22 the prior year in addition to any modification of its 23 current plan. If it is determined that there has been a 24 failure to comply with the expenditure provisions of this 25 subsection regarding contravention or supplanting, the 26 State Superintendent of Education shall, within 60 days 27 of receipt of the report, notify the district and any 28 affected local school council. The district shall within 29 45 days of receipt of that notification inform the State 30 Superintendent of Education of the remedial or corrective 31 action to be taken, whether by amendment of the current 32 plan, if feasible, or by adjustment in the plan for the 33 following year. Failure to provide the expenditure 34 report or the notification of remedial or corrective -22- LRB093 08377 NHT 12674 a 1 action in a timely manner shall result in a withholding 2 of the affected funds. 3 The State Board of Education shall promulgate rules 4 and regulations to implement the provisions of this 5 subsection. No funds shall be released under this 6 subdivision (H)(4) to any district that has not submitted 7 a plan that has been approved by the State Board of 8 Education. 9 (I) General State Aid for Newly Configured School Districts. 10 (1) For a new school district formed by combining 11 property included totally within 2 or more previously 12 existing school districts, for its first year of existence 13 the general State aid and supplemental general State aid 14 calculated under this Section shall be computed for the new 15 district and for the previously existing districts for which 16 property is totally included within the new district. If the 17 computation on the basis of the previously existing districts 18 is greater, a supplementary payment equal to the difference 19 shall be made for the first 4 years of existence of the new 20 district. 21 (2) For a school district which annexes all of the 22 territory of one or more entire other school districts, for 23 the first year during which the change of boundaries 24 attributable to such annexation becomes effective for all 25 purposes as determined under Section 7-9 or 7A-8, the general 26 State aid and supplemental general State aid calculated under 27 this Section shall be computed for the annexing district as 28 constituted after the annexation and for the annexing and 29 each annexed district as constituted prior to the annexation; 30 and if the computation on the basis of the annexing and 31 annexed districts as constituted prior to the annexation is 32 greater, a supplementary payment equal to the difference 33 shall be made for the first 4 years of existence of the 34 annexing school district as constituted upon such annexation. -23- LRB093 08377 NHT 12674 a 1 (3) For 2 or more school districts which annex all of 2 the territory of one or more entire other school districts, 3 and for 2 or more community unit districts which result upon 4 the division (pursuant to petition under Section 11A-2) of 5 one or more other unit school districts into 2 or more parts 6 and which together include all of the parts into which such 7 other unit school district or districts are so divided, for 8 the first year during which the change of boundaries 9 attributable to such annexation or division becomes effective 10 for all purposes as determined under Section 7-9 or 11A-10, 11 as the case may be, the general State aid and supplemental 12 general State aid calculated under this Section shall be 13 computed for each annexing or resulting district as 14 constituted after the annexation or division and for each 15 annexing and annexed district, or for each resulting and 16 divided district, as constituted prior to the annexation or 17 division; and if the aggregate of the general State aid and 18 supplemental general State aid as so computed for the 19 annexing or resulting districts as constituted after the 20 annexation or division is less than the aggregate of the 21 general State aid and supplemental general State aid as so 22 computed for the annexing and annexed districts, or for the 23 resulting and divided districts, as constituted prior to the 24 annexation or division, then a supplementary payment equal to 25 the difference shall be made and allocated between or among 26 the annexing or resulting districts, as constituted upon such 27 annexation or division, for the first 4 years of their 28 existence. The total difference payment shall be allocated 29 between or among the annexing or resulting districts in the 30 same ratio as the pupil enrollment from that portion of the 31 annexed or divided district or districts which is annexed to 32 or included in each such annexing or resulting district bears 33 to the total pupil enrollment from the entire annexed or 34 divided district or districts, as such pupil enrollment is -24- LRB093 08377 NHT 12674 a 1 determined for the school year last ending prior to the date 2 when the change of boundaries attributable to the annexation 3 or division becomes effective for all purposes. The amount 4 of the total difference payment and the amount thereof to be 5 allocated to the annexing or resulting districts shall be 6 computed by the State Board of Education on the basis of 7 pupil enrollment and other data which shall be certified to 8 the State Board of Education, on forms which it shall provide 9 for that purpose, by the regional superintendent of schools 10 for each educational service region in which the annexing and 11 annexed districts, or resulting and divided districts are 12 located. 13 (3.5) Claims for financial assistance under this 14 subsection (I) shall not be recomputed except as expressly 15 provided under this Section. 16 (4) Any supplementary payment made under this subsection 17 (I) shall be treated as separate from all other payments made 18 pursuant to this Section. 19 (J) Supplementary Grants in Aid. 20 (1) Notwithstanding any other provisions of this 21 Section, the amount of the aggregate general State aid in 22 combination with supplemental general State aid under this 23 Section for which each school district is eligible shall be 24 no less than the amount of the aggregate general State aid 25 entitlement that was received by the district under Section 26 18-8 (exclusive of amounts received under subsections 5(p) 27 and 5(p-5) of that Section) for the 1997-98 school year, 28 pursuant to the provisions of that Section as it was then in 29 effect. If a school district qualifies to receive a 30 supplementary payment made under this subsection (J), the 31 amount of the aggregate general State aid in combination with 32 supplemental general State aid under this Section which that 33 district is eligible to receive for each school year shall be 34 no less than the amount of the aggregate general State aid -25- LRB093 08377 NHT 12674 a 1 entitlement that was received by the district under Section 2 18-8 (exclusive of amounts received under subsections 5(p) 3 and 5(p-5) of that Section) for the 1997-1998 school year, 4 pursuant to the provisions of that Section as it was then in 5 effect. 6 (2) If, as provided in paragraph (1) of this subsection 7 (J), a school district is to receive aggregate general State 8 aid in combination with supplemental general State aid under 9 this Section for the 1998-99 school year and any subsequent 10 school year that in any such school year is less than the 11 amount of the aggregate general State aid entitlement that 12 the district received for the 1997-98 school year, the school 13 district shall also receive, from a separate appropriation 14 made for purposes of this subsection (J), a supplementary 15 payment that is equal to the amount of the difference in the 16 aggregate State aid figures as described in paragraph (1). 17 (3) (Blank). 18 (K) Grants to Laboratory and Alternative Schools. 19 In calculating the amount to be paid to the governing 20 board of a public university that operates a laboratory 21 school under this Section or to any alternative school that 22 is operated by a regional superintendent of schools, the 23 State Board of Education shall require by rule such reporting 24 requirements as it deems necessary. 25 As used in this Section, "laboratory school" means a 26 public school which is created and operated by a public 27 university and approved by the State Board of Education. The 28 governing board of a public university which receives funds 29 from the State Board under this subsection (K) may not 30 increase the number of students enrolled in its laboratory 31 school from a single district, if that district is already 32 sending 50 or more students, except under a mutual agreement 33 between the school board of a student's district of residence 34 and the university which operates the laboratory school. A -26- LRB093 08377 NHT 12674 a 1 laboratory school may not have more than 1,000 students, 2 excluding students with disabilities in a special education 3 program. 4 As used in this Section, "alternative school" means a 5 public school which is created and operated by a Regional 6 Superintendent of Schools and approved by the State Board of 7 Education. Such alternative schools may offer courses of 8 instruction for which credit is given in regular school 9 programs, courses to prepare students for the high school 10 equivalency testing program or vocational and occupational 11 training. A regional superintendent of schools may contract 12 with a school district or a public community college district 13 to operate an alternative school. An alternative school 14 serving more than one educational service region may be 15 established by the regional superintendents of schools of the 16 affected educational service regions. An alternative school 17 serving more than one educational service region may be 18 operated under such terms as the regional superintendents of 19 schools of those educational service regions may agree. 20 Each laboratory and alternative school shall file, on 21 forms provided by the State Superintendent of Education, an 22 annual State aid claim which states the Average Daily 23 Attendance of the school's students by month. The best 3 24 months' Average Daily Attendance shall be computed for each 25 school. The general State aid entitlement shall be computed 26 by multiplying the applicable Average Daily Attendance by the 27 Foundation Level as determined under this Section. 28 (L) Payments, Additional Grants in Aid and Other 29 Requirements. 30 (1) For a school district operating under the financial 31 supervision of an Authority created under Article 34A, the 32 general State aid otherwise payable to that district under 33 this Section, but not the supplemental general State aid, 34 shall be reduced by an amount equal to the budget for the -27- LRB093 08377 NHT 12674 a 1 operations of the Authority as certified by the Authority to 2 the State Board of Education, and an amount equal to such 3 reduction shall be paid to the Authority created for such 4 district for its operating expenses in the manner provided in 5 Section 18-11. The remainder of general State school aid for 6 any such district shall be paid in accordance with Article 7 34A when that Article provides for a disposition other than 8 that provided by this Article. 9 (2) (Blank). 10 (3) Summer school. Summer school payments shall be made 11 as provided in Section 18-4.3. 12 (M) Education Funding Advisory Board. 13 The Education Funding Advisory Board, hereinafter in this 14 subsection (M) referred to as the "Board", is hereby created. 15 The Board shall consist of 5 members who are appointed by the 16 Governor, by and with the advice and consent of the Senate. 17 The members appointed shall include representatives of 18 education, business, and the general public. One of the 19 members so appointed shall be designated by the Governor at 20 the time the appointment is made as the chairperson of the 21 Board. The initial members of the Board may be appointed any 22 time after the effective date of this amendatory Act of 1997. 23 The regular term of each member of the Board shall be for 4 24 years from the third Monday of January of the year in which 25 the term of the member's appointment is to commence, except 26 that of the 5 initial members appointed to serve on the 27 Board, the member who is appointed as the chairperson shall 28 serve for a term that commences on the date of his or her 29 appointment and expires on the third Monday of January, 2002, 30 and the remaining 4 members, by lots drawn at the first 31 meeting of the Board that is held after all 5 members are 32 appointed, shall determine 2 of their number to serve for 33 terms that commence on the date of their respective 34 appointments and expire on the third Monday of January, 2001, -28- LRB093 08377 NHT 12674 a 1 and 2 of their number to serve for terms that commence on the 2 date of their respective appointments and expire on the third 3 Monday of January, 2000. All members appointed to serve on 4 the Board shall serve until their respective successors are 5 appointed and confirmed. Vacancies shall be filled in the 6 same manner as original appointments. If a vacancy in 7 membership occurs at a time when the Senate is not in 8 session, the Governor shall make a temporary appointment 9 until the next meeting of the Senate, when he or she shall 10 appoint, by and with the advice and consent of the Senate, a 11 person to fill that membership for the unexpired term. If 12 the Senate is not in session when the initial appointments 13 are made, those appointments shall be made as in the case of 14 vacancies. 15 The Education Funding Advisory Board shall be deemed 16 established, and the initial members appointed by the 17 Governor to serve as members of the Board shall take office, 18 on the date that the Governor makes his or her appointment of 19 the fifth initial member of the Board, whether those initial 20 members are then serving pursuant to appointment and 21 confirmation or pursuant to temporary appointments that are 22 made by the Governor as in the case of vacancies. 23 The State Board of Education shall provide such staff 24 assistance to the Education Funding Advisory Board as is 25 reasonably required for the proper performance by the Board 26 of its responsibilities. 27 For school years after the 2000-2001 school year, the 28 Education Funding Advisory Board, in consultation with the 29 State Board of Education, shall make recommendations as 30 provided in this subsection (M) to the General Assembly for 31 the foundation level under subdivision (B)(3) of this Section 32 and for the supplemental general State aid grant level under 33 subsection (H) of this Section for districts with high 34 concentrations of children from poverty. The recommended -29- LRB093 08377 NHT 12674 a 1 foundation level shall be determined based on a methodology 2 which incorporates the basic education expenditures of 3 low-spending schools exhibiting high academic performance. 4 The Education Funding Advisory Board shall make such 5 recommendations to the General Assembly on January 1 of odd 6 numbered years, beginning January 1, 2001. 7 (N) (Blank). 8 (O) References. 9 (1) References in other laws to the various subdivisions 10 of Section 18-8 as that Section existed before its repeal and 11 replacement by this Section 18-8.05 shall be deemed to refer 12 to the corresponding provisions of this Section 18-8.05, to 13 the extent that those references remain applicable. 14 (2) References in other laws to State Chapter 1 funds 15 shall be deemed to refer to the supplemental general State 16 aid provided under subsection (H) of this Section. 17 (Source: P.A. 91-24, eff. 7-1-99; 91-93, eff. 7-9-99; 91-96, 18 eff. 7-9-99; 91-111, eff. 7-14-99; 91-357, eff. 7-29-99; 19 91-533, eff. 8-13-99; 92-7, eff. 6-29-01; 92-16, eff. 20 6-28-01; 92-28, eff. 7-1-01; 92-29, eff. 7-1-01; 92-269, eff. 21 8-7-01; 92-604, eff. 7-1-02; 92-651, eff. 7-11-02; 92-636, 22 eff. 7-11-02; revised 7-26-02.)".