Rep. Rita Mayfield

Filed: 4/12/2021

 

 


 

 


 
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1
AMENDMENT TO HOUSE BILL 7

2    AMENDMENT NO. ______. Amend House Bill 7 by replacing
3everything after the enacting clause with the following:
 
4    "Section 1. This Act may be referred to as the Classrooms
5First Act.
 
6    Section 5. The School Code is amended by changing Section
711E-135 and by adding Section 11E-140 as follows:
 
8    (105 ILCS 5/11E-135)
9    Sec. 11E-135. Incentives. Except as provided under Section
1011E-140, for For districts reorganizing under this Article and
11for a district or districts that annex all of the territory of
12one or more entire other school districts in accordance with
13Article 7 of this Code, the following payments shall be made
14from appropriations made for these purposes:
15    (a)(1) For a combined school district, as defined in

 

 

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1Section 11E-20 of this Code, or for a unit district, as defined
2in Section 11E-25 of this Code, for its first year of
3existence, the general State aid and supplemental general
4State aid calculated under Section 18-8.05 of this Code or the
5evidence-based funding calculated under Section 18-8.15 of
6this Code, as applicable, shall be computed for the new
7district and for the previously existing districts for which
8property is totally included within the new district. If the
9computation on the basis of the previously existing districts
10is greater, a supplementary payment equal to the difference
11shall be made for the first 4 years of existence of the new
12district.
13    (2) For a school district that annexes all of the
14territory of one or more entire other school districts as
15defined in Article 7 of this Code, for the first year during
16which the change of boundaries attributable to the annexation
17becomes effective for all purposes, as determined under
18Section 7-9 of this Code, the general State aid and
19supplemental general State aid calculated under Section
2018-8.05 of this Code or the evidence-based funding calculated
21under Section 18-8.15 of this Code, as applicable, shall be
22computed for the annexing district as constituted after the
23annexation and for the annexing and each annexed district as
24constituted prior to the annexation; and if the computation on
25the basis of the annexing and annexed districts as constituted
26prior to the annexation is greater, then a supplementary

 

 

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1payment equal to the difference shall be made for the first 4
2years of existence of the annexing school district as
3constituted upon the annexation.
4    (3) For 2 or more school districts that annex all of the
5territory of one or more entire other school districts, as
6defined in Article 7 of this Code, for the first year during
7which the change of boundaries attributable to the annexation
8becomes effective for all purposes, as determined under
9Section 7-9 of this Code, the general State aid and
10supplemental general State aid calculated under Section
1118-8.05 of this Code or the evidence-based funding calculated
12under Section 18-8.15 of this Code, as applicable, shall be
13computed for each annexing district as constituted after the
14annexation and for each annexing and annexed district as
15constituted prior to the annexation; and if the aggregate of
16the general State aid and supplemental general State aid or
17evidence-based funding, as applicable, as so computed for the
18annexing districts as constituted after the annexation is less
19than the aggregate of the general State aid and supplemental
20general State aid or evidence-based funding, as applicable, as
21so computed for the annexing and annexed districts, as
22constituted prior to the annexation, then a supplementary
23payment equal to the difference shall be made and allocated
24between or among the annexing districts, as constituted upon
25the annexation, for the first 4 years of their existence. The
26total difference payment shall be allocated between or among

 

 

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1the annexing districts in the same ratio as the pupil
2enrollment from that portion of the annexed district or
3districts that is annexed to each annexing district bears to
4the total pupil enrollment from the entire annexed district or
5districts, as such pupil enrollment is determined for the
6school year last ending prior to the date when the change of
7boundaries attributable to the annexation becomes effective
8for all purposes. The amount of the total difference payment
9and the amount thereof to be allocated to the annexing
10districts shall be computed by the State Board of Education on
11the basis of pupil enrollment and other data that shall be
12certified to the State Board of Education, on forms that it
13shall provide for that purpose, by the regional superintendent
14of schools for each educational service region in which the
15annexing and annexed districts are located.
16    (4) For a school district conversion, as defined in
17Section 11E-15 of this Code, or a multi-unit conversion, as
18defined in subsection (b) of Section 11E-30 of this Code, if in
19their first year of existence the newly created elementary
20districts and the newly created high school district, from a
21school district conversion, or the newly created elementary
22district or districts and newly created combined high school -
23unit district, from a multi-unit conversion, qualify for less
24general State aid under Section 18-8.05 of this Code or
25evidence-based funding under Section 18-8.15 of this Code than
26would have been payable under Section 18-8.05 or 18-8.15, as

 

 

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1applicable, for that same year to the previously existing
2districts, then a supplementary payment equal to that
3difference shall be made for the first 4 years of existence of
4the newly created districts. The aggregate amount of each
5supplementary payment shall be allocated among the newly
6created districts in the proportion that the deemed pupil
7enrollment in each district during its first year of existence
8bears to the actual aggregate pupil enrollment in all of the
9districts during their first year of existence. For purposes
10of each allocation:
11        (A) the deemed pupil enrollment of the newly created
12    high school district from a school district conversion
13    shall be an amount equal to its actual pupil enrollment
14    for its first year of existence multiplied by 1.25;
15        (B) the deemed pupil enrollment of each newly created
16    elementary district from a school district conversion
17    shall be an amount equal to its actual pupil enrollment
18    for its first year of existence reduced by an amount equal
19    to the product obtained when the amount by which the newly
20    created high school district's deemed pupil enrollment
21    exceeds its actual pupil enrollment for its first year of
22    existence is multiplied by a fraction, the numerator of
23    which is the actual pupil enrollment of the newly created
24    elementary district for its first year of existence and
25    the denominator of which is the actual aggregate pupil
26    enrollment of all of the newly created elementary

 

 

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1    districts for their first year of existence;
2        (C) the deemed high school pupil enrollment of the
3    newly created combined high school - unit district from a
4    multi-unit conversion shall be an amount equal to its
5    actual grades 9 through 12 pupil enrollment for its first
6    year of existence multiplied by 1.25; and
7        (D) the deemed elementary pupil enrollment of each
8    newly created district from a multi-unit conversion shall
9    be an amount equal to each district's actual grade K
10    through 8 pupil enrollment for its first year of
11    existence, reduced by an amount equal to the product
12    obtained when the amount by which the newly created
13    combined high school - unit district's deemed high school
14    pupil enrollment exceeds its actual grade 9 through 12
15    pupil enrollment for its first year of existence is
16    multiplied by a fraction, the numerator of which is the
17    actual grade K through 8 pupil enrollment of each newly
18    created district for its first year of existence and the
19    denominator of which is the actual aggregate grade K
20    through 8 pupil enrollment of all such newly created
21    districts for their first year of existence.
22    The aggregate amount of each supplementary payment under
23this subdivision (4) and the amount thereof to be allocated to
24the newly created districts shall be computed by the State
25Board of Education on the basis of pupil enrollment and other
26data, which shall be certified to the State Board of

 

 

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1Education, on forms that it shall provide for that purpose, by
2the regional superintendent of schools for each educational
3service region in which the newly created districts are
4located.
5    (5) For a partial elementary unit district, as defined in
6subsection (a) or (c) of Section 11E-30 of this Code, if, in
7the first year of existence, the newly created partial
8elementary unit district qualifies for less general State aid
9and supplemental general State aid under Section 18-8.05 of
10this Code or less evidence-based funding under Section 18-8.15
11of this Code, as applicable, than would have been payable
12under those Sections for that same year to the previously
13existing districts that formed the partial elementary unit
14district, then a supplementary payment equal to that
15difference shall be made to the partial elementary unit
16district for the first 4 years of existence of that newly
17created district.
18    (6) For an elementary opt-in, as described in subsection
19(d) of Section 11E-30 of this Code, the general State aid or
20evidence-based funding difference shall be computed in
21accordance with paragraph (5) of this subsection (a) as if the
22elementary opt-in was included in an optional elementary unit
23district at the optional elementary unit district's original
24effective date. If the calculation in this paragraph (6) is
25less than that calculated in paragraph (5) of this subsection
26(a) at the optional elementary unit district's original

 

 

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1effective date, then no adjustments may be made. If the
2calculation in this paragraph (6) is more than that calculated
3in paragraph (5) of this subsection (a) at the optional
4elementary unit district's original effective date, then the
5excess must be paid as follows:
6        (A) If the effective date for the elementary opt-in is
7    one year after the effective date for the optional
8    elementary unit district, 100% of the calculated excess
9    shall be paid to the optional elementary unit district in
10    each of the first 4 years after the effective date of the
11    elementary opt-in.
12        (B) If the effective date for the elementary opt-in is
13    2 years after the effective date for the optional
14    elementary unit district, 75% of the calculated excess
15    shall be paid to the optional elementary unit district in
16    each of the first 4 years after the effective date of the
17    elementary opt-in.
18        (C) If the effective date for the elementary opt-in is
19    3 years after the effective date for the optional
20    elementary unit district, 50% of the calculated excess
21    shall be paid to the optional elementary unit district in
22    each of the first 4 years after the effective date of the
23    elementary opt-in.
24        (D) If the effective date for the elementary opt-in is
25    4 years after the effective date for the optional
26    elementary unit district, 25% of the calculated excess

 

 

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1    shall be paid to the optional elementary unit district in
2    each of the first 4 years after the effective date of the
3    elementary opt-in.
4        (E) If the effective date for the elementary opt-in is
5    5 years after the effective date for the optional
6    elementary unit district, the optional elementary unit
7    district is not eligible for any additional incentives due
8    to the elementary opt-in.
9    (6.5) For a school district that annexes territory
10detached from another school district whereby the enrollment
11of the annexing district increases by 90% or more as a result
12of the annexation, for the first year during which the change
13of boundaries attributable to the annexation becomes effective
14for all purposes as determined under Section 7-9 of this Code,
15the general State aid and supplemental general State aid or
16evidence-based funding, as applicable, calculated under this
17Section shall be computed for the district gaining territory
18and the district losing territory as constituted after the
19annexation and for the same districts as constituted prior to
20the annexation; and if the aggregate of the general State aid
21and supplemental general State aid or evidence-based funding,
22as applicable, as so computed for the district gaining
23territory and the district losing territory as constituted
24after the annexation is less than the aggregate of the general
25State aid and supplemental general State aid or evidence-based
26funding, as applicable, as so computed for the district

 

 

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1gaining territory and the district losing territory as
2constituted prior to the annexation, then a supplementary
3payment shall be made to the annexing district for the first 4
4years of existence after the annexation, equal to the
5difference multiplied by the ratio of student enrollment in
6the territory detached to the total student enrollment in the
7district losing territory for the year prior to the effective
8date of the annexation. The amount of the total difference and
9the proportion paid to the annexing district shall be computed
10by the State Board of Education on the basis of pupil
11enrollment and other data that must be submitted to the State
12Board of Education in accordance with Section 7-14A of this
13Code. The changes to this Section made by Public Act 95-707 are
14intended to be retroactive and applicable to any annexation
15taking effect on or after July 1, 2004. For annexations that
16are eligible for payments under this paragraph (6.5) and that
17are effective on or after July 1, 2004, but before January 11,
182008 (the effective date of Public Act 95-707), the first
19required yearly payment under this paragraph (6.5) shall be
20paid in the fiscal year of January 11, 2008 (the effective date
21of Public Act 95-707). Subsequent required yearly payments
22shall be paid in subsequent fiscal years until the payment
23obligation under this paragraph (6.5) is complete.
24    (7) Claims for financial assistance under this subsection
25(a) may not be recomputed except as expressly provided under
26Section 18-8.05 or 18-8.15 of this Code.

 

 

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1    (8) Any supplementary payment made under this subsection
2(a) must be treated as separate from all other payments made
3pursuant to Section 18-8.05 or 18-8.15 of this Code.
4    (b)(1) After the formation of a combined school district,
5as defined in Section 11E-20 of this Code, or a unit district,
6as defined in Section 11E-25 of this Code, a computation shall
7be made to determine the difference between the salaries
8effective in each of the previously existing districts on June
930, prior to the creation of the new district. For the first 4
10years after the formation of the new district, a supplementary
11State aid reimbursement shall be paid to the new district
12equal to the difference between the sum of the salaries earned
13by each of the certificated members of the new district, while
14employed in one of the previously existing districts during
15the year immediately preceding the formation of the new
16district, and the sum of the salaries those certificated
17members would have been paid during the year immediately prior
18to the formation of the new district if placed on the salary
19schedule of the previously existing district with the highest
20salary schedule.
21    (2) After the territory of one or more school districts is
22annexed by one or more other school districts as defined in
23Article 7 of this Code, a computation shall be made to
24determine the difference between the salaries effective in
25each annexed district and in the annexing district or
26districts as they were each constituted on June 30 preceding

 

 

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1the date when the change of boundaries attributable to the
2annexation became effective for all purposes, as determined
3under Section 7-9 of this Code. For the first 4 years after the
4annexation, a supplementary State aid reimbursement shall be
5paid to each annexing district as constituted after the
6annexation equal to the difference between the sum of the
7salaries earned by each of the certificated members of the
8annexing district as constituted after the annexation, while
9employed in an annexed or annexing district during the year
10immediately preceding the annexation, and the sum of the
11salaries those certificated members would have been paid
12during the immediately preceding year if placed on the salary
13schedule of whichever of the annexing or annexed districts had
14the highest salary schedule during the immediately preceding
15year.
16    (3) For each new high school district formed under a
17school district conversion, as defined in Section 11E-15 of
18this Code, the State shall make a supplementary payment for 4
19years equal to the difference between the sum of the salaries
20earned by each certified member of the new high school
21district, while employed in one of the previously existing
22districts, and the sum of the salaries those certified members
23would have been paid if placed on the salary schedule of the
24previously existing district with the highest salary schedule.
25    (4) For each newly created partial elementary unit
26district, the State shall make a supplementary payment for 4

 

 

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1years equal to the difference between the sum of the salaries
2earned by each certified member of the newly created partial
3elementary unit district, while employed in one of the
4previously existing districts that formed the partial
5elementary unit district, and the sum of the salaries those
6certified members would have been paid if placed on the salary
7schedule of the previously existing district with the highest
8salary schedule. The salary schedules used in the calculation
9shall be those in effect in the previously existing districts
10for the school year prior to the creation of the new partial
11elementary unit district.
12    (5) For an elementary district opt-in, as described in
13subsection (d) of Section 11E-30 of this Code, the salary
14difference incentive shall be computed in accordance with
15paragraph (4) of this subsection (b) as if the opted-in
16elementary district was included in the optional elementary
17unit district at the optional elementary unit district's
18original effective date. If the calculation in this paragraph
19(5) is less than that calculated in paragraph (4) of this
20subsection (b) at the optional elementary unit district's
21original effective date, then no adjustments may be made. If
22the calculation in this paragraph (5) is more than that
23calculated in paragraph (4) of this subsection (b) at the
24optional elementary unit district's original effective date,
25then the excess must be paid as follows:
26        (A) If the effective date for the elementary opt-in is

 

 

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1    one year after the effective date for the optional
2    elementary unit district, 100% of the calculated excess
3    shall be paid to the optional elementary unit district in
4    each of the first 4 years after the effective date of the
5    elementary opt-in.
6        (B) If the effective date for the elementary opt-in is
7    2 years after the effective date for the optional
8    elementary unit district, 75% of the calculated excess
9    shall be paid to the optional elementary unit district in
10    each of the first 4 years after the effective date of the
11    elementary opt-in.
12        (C) If the effective date for the elementary opt-in is
13    3 years after the effective date for the optional
14    elementary unit district, 50% of the calculated excess
15    shall be paid to the optional elementary unit district in
16    each of the first 4 years after the effective date of the
17    elementary opt-in.
18        (D) If the effective date for the elementary opt-in is
19    4 years after the effective date for the partial
20    elementary unit district, 25% of the calculated excess
21    shall be paid to the optional elementary unit district in
22    each of the first 4 years after the effective date of the
23    elementary opt-in.
24        (E) If the effective date for the elementary opt-in is
25    5 years after the effective date for the optional
26    elementary unit district, the optional elementary unit

 

 

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1    district is not eligible for any additional incentives due
2    to the elementary opt-in.
3    (5.5) After the formation of a cooperative high school by
42 or more school districts under Section 10-22.22c of this
5Code, a computation shall be made to determine the difference
6between the salaries effective in each of the previously
7existing high schools on June 30 prior to the formation of the
8cooperative high school. For the first 4 years after the
9formation of the cooperative high school, a supplementary
10State aid reimbursement shall be paid to the cooperative high
11school equal to the difference between the sum of the salaries
12earned by each of the certificated members of the cooperative
13high school while employed in one of the previously existing
14high schools during the year immediately preceding the
15formation of the cooperative high school and the sum of the
16salaries those certificated members would have been paid
17during the year immediately prior to the formation of the
18cooperative high school if placed on the salary schedule of
19the previously existing high school with the highest salary
20schedule.
21    (5.10) After the annexation of territory detached from
22another school district whereby the enrollment of the annexing
23district increases by 90% or more as a result of the
24annexation, a computation shall be made to determine the
25difference between the salaries effective in the district
26gaining territory and the district losing territory as they

 

 

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1each were constituted on June 30 preceding the date when the
2change of boundaries attributable to the annexation became
3effective for all purposes as determined under Section 7-9 of
4this Code. For the first 4 years after the annexation, a
5supplementary State aid reimbursement shall be paid to the
6annexing district equal to the difference between the sum of
7the salaries earned by each of the certificated members of the
8annexing district as constituted after the annexation while
9employed in the district gaining territory or the district
10losing territory during the year immediately preceding the
11annexation and the sum of the salaries those certificated
12members would have been paid during such immediately preceding
13year if placed on the salary schedule of whichever of the
14district gaining territory or district losing territory had
15the highest salary schedule during the immediately preceding
16year. To be eligible for supplementary State aid reimbursement
17under this Section, the intergovernmental agreement to be
18submitted pursuant to Section 7-14A of this Code must show
19that staff members were transferred from the control of the
20district losing territory to the control of the district
21gaining territory in the annexation. The changes to this
22Section made by Public Act 95-707 are intended to be
23retroactive and applicable to any annexation taking effect on
24or after July 1, 2004. For annexations that are eligible for
25payments under this paragraph (5.10) and that are effective on
26or after July 1, 2004, but before January 11, 2008 (the

 

 

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1effective date of Public Act 95-707), the first required
2yearly payment under this paragraph (5.10) shall be paid in
3the fiscal year of January 11, 2008 (the effective date of
4Public Act 95-707). Subsequent required yearly payments shall
5be paid in subsequent fiscal years until the payment
6obligation under this paragraph (5.10) is complete.
7    (5.15) After the deactivation of a school facility in
8accordance with Section 10-22.22b of this Code, a computation
9shall be made to determine the difference between the salaries
10effective in the sending school district and each receiving
11school district on June 30 prior to the deactivation of the
12school facility. For the lesser of the first 4 years after the
13deactivation of the school facility or the length of the
14deactivation agreement, including any renewals of the original
15deactivation agreement, a supplementary State aid
16reimbursement shall be paid to each receiving district equal
17to the difference between the sum of the salaries earned by
18each of the certificated members transferred to that receiving
19district as a result of the deactivation while employed in the
20sending district during the year immediately preceding the
21deactivation and the sum of the salaries those certificated
22members would have been paid during the year immediately
23preceding the deactivation if placed on the salary schedule of
24the sending or receiving district with the highest salary
25schedule.
26    (6) The supplementary State aid reimbursement under this

 

 

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1subsection (b) shall be treated as separate from all other
2payments made pursuant to Section 18-8.05 of this Code. In the
3case of the formation of a new district or cooperative high
4school or a deactivation, reimbursement shall begin during the
5first year of operation of the new district or cooperative
6high school or the first year of the deactivation, and in the
7case of an annexation of the territory of one or more school
8districts by one or more other school districts or the
9annexation of territory detached from a school district
10whereby the enrollment of the annexing district increases by
1190% or more as a result of the annexation, reimbursement shall
12begin during the first year when the change in boundaries
13attributable to the annexation becomes effective for all
14purposes as determined pursuant to Section 7-9 of this Code,
15except that for an annexation of territory detached from a
16school district that is effective on or after July 1, 2004, but
17before January 11, 2008 (the effective date of Public Act
1895-707), whereby the enrollment of the annexing district
19increases by 90% or more as a result of the annexation,
20reimbursement shall begin during the fiscal year of January
2111, 2008 (the effective date of Public Act 95-707). Each year
22that the new, annexing, or receiving district or cooperative
23high school, as the case may be, is entitled to receive
24reimbursement, the number of eligible certified members who
25are employed on October 1 in the district or cooperative high
26school shall be certified to the State Board of Education on

 

 

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1prescribed forms by October 15 and payment shall be made on or
2before November 15 of that year.
3    (c)(1) For the first year after the formation of a
4combined school district, as defined in Section 11E-20 of this
5Code or a unit district, as defined in Section 11E-25 of this
6Code, a computation shall be made totaling each previously
7existing district's audited fund balances in the educational
8fund, working cash fund, operations and maintenance fund, and
9transportation fund for the year ending June 30 prior to the
10referendum for the creation of the new district. The new
11district shall be paid supplementary State aid equal to the
12sum of the differences between the deficit of the previously
13existing district with the smallest deficit and the deficits
14of each of the other previously existing districts.
15    (2) For the first year after the annexation of all of the
16territory of one or more entire school districts by another
17school district, as defined in Article 7 of this Code,
18computations shall be made, for the year ending June 30 prior
19to the date that the change of boundaries attributable to the
20annexation is allowed by the affirmative decision issued by
21the regional board of school trustees under Section 7-6 of
22this Code, notwithstanding any effort to seek administrative
23review of the decision, totaling the annexing district's and
24totaling each annexed district's audited fund balances in
25their respective educational, working cash, operations and
26maintenance, and transportation funds. The annexing district

 

 

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1as constituted after the annexation shall be paid
2supplementary State aid equal to the sum of the differences
3between the deficit of whichever of the annexing or annexed
4districts as constituted prior to the annexation had the
5smallest deficit and the deficits of each of the other
6districts as constituted prior to the annexation.
7    (3) For the first year after the annexation of all of the
8territory of one or more entire school districts by 2 or more
9other school districts, as defined by Article 7 of this Code,
10computations shall be made, for the year ending June 30 prior
11to the date that the change of boundaries attributable to the
12annexation is allowed by the affirmative decision of the
13regional board of school trustees under Section 7-6 of this
14Code, notwithstanding any action for administrative review of
15the decision, totaling each annexing and annexed district's
16audited fund balances in their respective educational, working
17cash, operations and maintenance, and transportation funds.
18The annexing districts as constituted after the annexation
19shall be paid supplementary State aid, allocated as provided
20in this paragraph (3), in an aggregate amount equal to the sum
21of the differences between the deficit of whichever of the
22annexing or annexed districts as constituted prior to the
23annexation had the smallest deficit and the deficits of each
24of the other districts as constituted prior to the annexation.
25The aggregate amount of the supplementary State aid payable
26under this paragraph (3) shall be allocated between or among

 

 

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1the annexing districts as follows:
2        (A) the regional superintendent of schools for each
3    educational service region in which an annexed district is
4    located prior to the annexation shall certify to the State
5    Board of Education, on forms that it shall provide for
6    that purpose, the value of all taxable property in each
7    annexed district, as last equalized or assessed by the
8    Department of Revenue prior to the annexation, and the
9    equalized assessed value of each part of the annexed
10    district that was annexed to or included as a part of an
11    annexing district;
12        (B) using equalized assessed values as certified by
13    the regional superintendent of schools under clause (A) of
14    this paragraph (3), the combined audited fund balance
15    deficit of each annexed district as determined under this
16    Section shall be apportioned between or among the annexing
17    districts in the same ratio as the equalized assessed
18    value of that part of the annexed district that was
19    annexed to or included as a part of an annexing district
20    bears to the total equalized assessed value of the annexed
21    district; and
22        (C) the aggregate supplementary State aid payment
23    under this paragraph (3) shall be allocated between or
24    among, and shall be paid to, the annexing districts in the
25    same ratio as the sum of the combined audited fund balance
26    deficit of each annexing district as constituted prior to

 

 

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1    the annexation, plus all combined audited fund balance
2    deficit amounts apportioned to that annexing district
3    under clause (B) of this subsection, bears to the
4    aggregate of the combined audited fund balance deficits of
5    all of the annexing and annexed districts as constituted
6    prior to the annexation.
7    (4) For the new elementary districts and new high school
8district formed through a school district conversion, as
9defined in Section 11E-15 of this Code or the new elementary
10district or districts and new combined high school - unit
11district formed through a multi-unit conversion, as defined in
12subsection (b) of Section 11E-30 of this Code, a computation
13shall be made totaling each previously existing district's
14audited fund balances in the educational fund, working cash
15fund, operations and maintenance fund, and transportation fund
16for the year ending June 30 prior to the referendum
17establishing the new districts. In the first year of the new
18districts, the State shall make a one-time supplementary
19payment equal to the sum of the differences between the
20deficit of the previously existing district with the smallest
21deficit and the deficits of each of the other previously
22existing districts. A district with a combined balance among
23the 4 funds that is positive shall be considered to have a
24deficit of zero. The supplementary payment shall be allocated
25among the newly formed high school and elementary districts in
26the manner provided by the petition for the formation of the

 

 

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1districts, in the form in which the petition is approved by the
2regional superintendent of schools or State Superintendent of
3Education under Section 11E-50 of this Code.
4    (5) For each newly created partial elementary unit
5district, as defined in subsection (a) or (c) of Section
611E-30 of this Code, a computation shall be made totaling the
7audited fund balances of each previously existing district
8that formed the new partial elementary unit district in the
9educational fund, working cash fund, operations and
10maintenance fund, and transportation fund for the year ending
11June 30 prior to the referendum for the formation of the
12partial elementary unit district. In the first year of the new
13partial elementary unit district, the State shall make a
14one-time supplementary payment to the new district equal to
15the sum of the differences between the deficit of the
16previously existing district with the smallest deficit and the
17deficits of each of the other previously existing districts. A
18district with a combined balance among the 4 funds that is
19positive shall be considered to have a deficit of zero.
20    (6) For an elementary opt-in as defined in subsection (d)
21of Section 11E-30 of this Code, the deficit fund balance
22incentive shall be computed in accordance with paragraph (5)
23of this subsection (c) as if the opted-in elementary was
24included in the optional elementary unit district at the
25optional elementary unit district's original effective date.
26If the calculation in this paragraph (6) is less than that

 

 

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1calculated in paragraph (5) of this subsection (c) at the
2optional elementary unit district's original effective date,
3then no adjustments may be made. If the calculation in this
4paragraph (6) is more than that calculated in paragraph (5) of
5this subsection (c) at the optional elementary unit district's
6original effective date, then the excess must be paid as
7follows:
8        (A) If the effective date for the elementary opt-in is
9    one year after the effective date for the optional
10    elementary unit district, 100% of the calculated excess
11    shall be paid to the optional elementary unit district in
12    the first year after the effective date of the elementary
13    opt-in.
14        (B) If the effective date for the elementary opt-in is
15    2 years after the effective date for the optional
16    elementary unit district, 75% of the calculated excess
17    shall be paid to the optional elementary unit district in
18    the first year after the effective date of the elementary
19    opt-in.
20        (C) If the effective date for the elementary opt-in is
21    3 years after the effective date for the optional
22    elementary unit district, 50% of the calculated excess
23    shall be paid to the optional elementary unit district in
24    the first year after the effective date of the elementary
25    opt-in.
26        (D) If the effective date for the elementary opt-in is

 

 

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1    4 years after the effective date for the optional
2    elementary unit district, 25% of the calculated excess
3    shall be paid to the optional elementary unit district in
4    the first year after the effective date of the elementary
5    opt-in.
6        (E) If the effective date for the elementary opt-in is
7    5 years after the effective date for the optional
8    elementary unit district, the optional elementary unit
9    district is not eligible for any additional incentives due
10    to the elementary opt-in.
11    (6.5) For the first year after the annexation of territory
12detached from another school district whereby the enrollment
13of the annexing district increases by 90% or more as a result
14of the annexation, a computation shall be made totaling the
15audited fund balances of the district gaining territory and
16the audited fund balances of the district losing territory in
17the educational fund, working cash fund, operations and
18maintenance fund, and transportation fund for the year ending
19June 30 prior to the date that the change of boundaries
20attributable to the annexation is allowed by the affirmative
21decision of the regional board of school trustees under
22Section 7-6 of this Code, notwithstanding any action for
23administrative review of the decision. The annexing district
24as constituted after the annexation shall be paid
25supplementary State aid equal to the difference between the
26deficit of whichever district included in this calculation as

 

 

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1constituted prior to the annexation had the smallest deficit
2and the deficit of each other district included in this
3calculation as constituted prior to the annexation, multiplied
4by the ratio of equalized assessed value of the territory
5detached to the total equalized assessed value of the district
6losing territory. The regional superintendent of schools for
7the educational service region in which a district losing
8territory is located prior to the annexation shall certify to
9the State Board of Education the value of all taxable property
10in the district losing territory and the value of all taxable
11property in the territory being detached, as last equalized or
12assessed by the Department of Revenue prior to the annexation.
13To be eligible for supplementary State aid reimbursement under
14this Section, the intergovernmental agreement to be submitted
15pursuant to Section 7-14A of this Code must show that fund
16balances were transferred from the district losing territory
17to the district gaining territory in the annexation. The
18changes to this Section made by Public Act 95-707 are intended
19to be retroactive and applicable to any annexation taking
20effect on or after July 1, 2004. For annexations that are
21eligible for payments under this paragraph (6.5) and that are
22effective on or after July 1, 2004, but before January 11, 2008
23(the effective date of Public Act 95-707), the required
24payment under this paragraph (6.5) shall be paid in the fiscal
25year of January 11, 2008 (the effective date of Public Act
2695-707).

 

 

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1    (7) For purposes of any calculation required under
2paragraph (1), (2), (3), (4), (5), (6), or (6.5) of this
3subsection (c), a district with a combined fund balance that
4is positive shall be considered to have a deficit of zero. For
5purposes of determining each district's audited fund balances
6in its educational fund, working cash fund, operations and
7maintenance fund, and transportation fund for the specified
8year ending June 30, as provided in paragraphs (1), (2), (3),
9(4), (5), (6), and (6.5) of this subsection (c), the balance of
10each fund shall be deemed decreased by an amount equal to the
11amount of the annual property tax theretofore levied in the
12fund by the district for collection and payment to the
13district during the calendar year in which the June 30 fell,
14but only to the extent that the tax so levied in the fund
15actually was received by the district on or before or
16comprised a part of the fund on such June 30. For purposes of
17determining each district's audited fund balances, a
18calculation shall be made for each fund to determine the
19average for the 3 years prior to the specified year ending June
2030, as provided in paragraphs (1), (2), (3), (4), (5), (6), and
21(6.5) of this subsection (c), of the district's expenditures
22in the categories "purchased services", "supplies and
23materials", and "capital outlay", as those categories are
24defined in rules of the State Board of Education. If this
253-year average is less than the district's expenditures in
26these categories for the specified year ending June 30, as

 

 

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1provided in paragraphs (1), (2), (3), (4), (5), (6), and (6.5)
2of this subsection (c), then the 3-year average shall be used
3in calculating the amounts payable under this Section in place
4of the amounts shown in these categories for the specified
5year ending June 30, as provided in paragraphs (1), (2), (3),
6(4), (5), (6), and (6.5) of this subsection (c). Any deficit
7because of State aid not yet received may not be considered in
8determining the June 30 deficits. The same basis of accounting
9shall be used by all previously existing districts and by all
10annexing or annexed districts, as constituted prior to the
11annexation, in making any computation required under
12paragraphs (1), (2), (3), (4), (5), (6), and (6.5) of this
13subsection (c).
14    (8) The supplementary State aid payments under this
15subsection (c) shall be treated as separate from all other
16payments made pursuant to Section 18-8.05 of this Code.
17    (d)(1) Following the formation of a combined school
18district, as defined in Section 11E-20 of this Code, a new unit
19district, as defined in Section 11E-25 of this Code, a new
20elementary district or districts and a new high school
21district formed through a school district conversion, as
22defined in Section 11E-15 of this Code, a new partial
23elementary unit district, as defined in Section 11E-30 of this
24Code, or a new elementary district or districts formed through
25a multi-unit conversion, as defined in subsection (b) of
26Section 11E-30 of this Code, or the annexation of all of the

 

 

 

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1territory of one or more entire school districts by one or more
2other school districts, as defined in Article 7 of this Code, a
3supplementary State aid reimbursement shall be paid for the
4number of school years determined under the following table to
5each new or annexing district equal to the sum of $4,000 for
6each certified employee who is employed by the district on a
7full-time basis for the regular term of the school year:
 
8Reorganized District's RankReorganized District's Rank
9by type of district (unit,in Average Daily Attendance
10high school, elementary)By Quintile
11in Equalized Assessed Value
12Per Pupil by Quintile
133rd, 4th,
141st2ndor 5th
15QuintileQuintileQuintile
16    1st Quintile1 year1 year1 year
17    2nd Quintile1 year2 years2 years
18    3rd Quintile2 years3 years3 years
19    4th Quintile2 years3 years3 years
20    5th Quintile2 years3 years3 years
21The State Board of Education shall make a one-time calculation
22of a reorganized district's quintile ranks. The average daily
23attendance used in this calculation shall be the best 3
24months' average daily attendance for the district's first

 

 

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1year. The equalized assessed value per pupil shall be the
2district's real property equalized assessed value used in
3calculating the district's first-year general State aid claim,
4under Section 18-8.05 of this Code, or first-year
5evidence-based funding claim, under Section 18-8.15 of this
6Code, as applicable, divided by the best 3 months' average
7daily attendance.
8    No annexing or resulting school district shall be entitled
9to supplementary State aid under this subsection (d) unless
10the district acquires at least 30% of the average daily
11attendance of the district from which the territory is being
12detached or divided.
13    If a district results from multiple reorganizations that
14would otherwise qualify the district for multiple payments
15under this subsection (d) in any year, then the district shall
16receive a single payment only for that year based solely on the
17most recent reorganization.
18    (2) For an elementary opt-in, as defined in subsection (d)
19of Section 11E-30 of this Code, the full-time certified staff
20incentive shall be computed in accordance with paragraph (1)
21of this subsection (d), equal to the sum of $4,000 for each
22certified employee of the elementary district that opts-in who
23is employed by the optional elementary unit district on a
24full-time basis for the regular term of the school year. The
25calculation from this paragraph (2) must be paid as follows:
26        (A) If the effective date for the elementary opt-in is

 

 

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1    one year after the effective date for the optional
2    elementary unit district, 100% of the amount calculated in
3    this paragraph (2) shall be paid to the optional
4    elementary unit district for the number of years
5    calculated in paragraph (1) of this subsection (d) at the
6    optional elementary unit district's original effective
7    date, starting in the second year after the effective date
8    of the elementary opt-in.
9        (B) If the effective date for the elementary opt-in is
10    2 years after the effective date for the optional
11    elementary unit district, 75% of the amount calculated in
12    this paragraph (2) shall be paid to the optional
13    elementary unit district for the number of years
14    calculated in paragraph (1) of this subsection (d) at the
15    optional elementary unit district's original effective
16    date, starting in the second year after the effective date
17    of the elementary opt-in.
18        (C) If the effective date for the elementary opt-in is
19    3 years after the effective date for the optional
20    elementary unit district, 50% of the amount calculated in
21    this paragraph (2) shall be paid to the optional
22    elementary unit district for the number of years
23    calculated in paragraph (1) of this subsection (d) at the
24    optional elementary unit district's original effective
25    date, starting in the second year after the effective date
26    of the elementary opt-in.

 

 

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1        (D) If the effective date for the elementary opt-in is
2    4 years after the effective date for the optional
3    elementary unit district, 25% of the amount calculated in
4    this paragraph (2) shall be paid to the optional
5    elementary unit district for the number of years
6    calculated in paragraph (1) of this subsection (d) at the
7    optional elementary unit district's original effective
8    date, starting in the second year after the effective date
9    of the elementary opt-in.
10        (E) If the effective date for the elementary opt-in is
11    5 years after the effective date for the optional
12    elementary unit district, the optional elementary unit
13    district is not eligible for any additional incentives due
14    to the elementary opt-in.
15    (2.5) Following the formation of a cooperative high school
16by 2 or more school districts under Section 10-22.22c of this
17Code, a supplementary State aid reimbursement shall be paid
18for 3 school years to the cooperative high school equal to the
19sum of $4,000 for each certified employee who is employed by
20the cooperative high school on a full-time basis for the
21regular term of any such school year. If a cooperative high
22school results from multiple agreements that would otherwise
23qualify the cooperative high school for multiple payments
24under this Section in any year, the cooperative high school
25shall receive a single payment for that year based solely on
26the most recent agreement.

 

 

10200HB0007ham001- 33 -LRB102 02691 CMG 24047 a

1    (2.10) Following the annexation of territory detached from
2another school district whereby the enrollment of the annexing
3district increases 90% or more as a result of the annexation, a
4supplementary State aid reimbursement shall be paid to the
5annexing district equal to the sum of $4,000 for each
6certified employee who is employed by the annexing district on
7a full-time basis and shall be calculated in accordance with
8subsection (a) of this Section. To be eligible for
9supplementary State aid reimbursement under this Section, the
10intergovernmental agreement to be submitted pursuant to
11Section 7-14A of this Code must show that certified staff
12members were transferred from the control of the district
13losing territory to the control of the district gaining
14territory in the annexation. The changes to this Section made
15by Public Act 95-707 are intended to be retroactive and
16applicable to any annexation taking effect on or after July 1,
172004. For annexations that are eligible for payments under
18this paragraph (2.10) and that are effective on or after July
191, 2004, but before January 11, 2008 (the effective date of
20Public Act 95-707), the first required yearly payment under
21this paragraph (2.10) shall be paid in the second fiscal year
22after January 11, 2008 (the effective date of Public Act
2395-707). Any subsequent required yearly payments shall be paid
24in subsequent fiscal years until the payment obligation under
25this paragraph (2.10) is complete.
26    (2.15) Following the deactivation of a school facility in

 

 

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1accordance with Section 10-22.22b of this Code, a
2supplementary State aid reimbursement shall be paid for the
3lesser of 3 school years or the length of the deactivation
4agreement, including any renewals of the original deactivation
5agreement, to each receiving school district equal to the sum
6of $4,000 for each certified employee who is employed by that
7receiving district on a full-time basis for the regular term
8of any such school year who was originally transferred to the
9control of that receiving district as a result of the
10deactivation. Receiving districts are eligible for payments
11under this paragraph (2.15) based on the certified employees
12transferred to that receiving district as a result of the
13deactivation and are not required to receive at least 30% of
14the deactivating district's average daily attendance as
15required under paragraph (1) of this subsection (d) to be
16eligible for payments.
17    (3) The supplementary State aid reimbursement payable
18under this subsection (d) shall be separate from and in
19addition to all other payments made to the district pursuant
20to any other Section of this Article.
21    (4) During May of each school year for which a
22supplementary State aid reimbursement is to be paid to a new,
23annexing, or receiving school district or cooperative high
24school pursuant to this subsection (d), the school board or
25governing board shall certify to the State Board of Education,
26on forms furnished to the school board or governing board by

 

 

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1the State Board of Education for purposes of this subsection
2(d), the number of certified employees for which the district
3or cooperative high school is entitled to reimbursement under
4this Section, together with the names, certificate numbers,
5and positions held by the certified employees.
6    (5) Upon certification by the State Board of Education to
7the State Comptroller of the amount of the supplementary State
8aid reimbursement to which a school district or cooperative
9high school is entitled under this subsection (d), the State
10Comptroller shall draw his or her warrant upon the State
11Treasurer for the payment thereof to the school district or
12cooperative high school and shall promptly transmit the
13payment to the school district or cooperative high school
14through the appropriate school treasurer.
15(Source: P.A. 100-465, eff. 8-31-17.)
 
16    (105 ILCS 5/11E-140 new)
17    Sec. 11E-140. Efficient School District Commission.
18    (a) The Efficient School District Commission is created.
19The purpose of the Commission is to provide recommendations to
20the Governor, the General Assembly, and the public regarding
21the optimal number of school districts in this State, the
22optimal student enrollment amount for a school district, and
23locations in this State where the reorganization and
24realignment of school districts would be beneficial. The
25Commission shall consist of all of the following voting

 

 

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1members:
2        (1) One member appointed by the Governor, who shall
3    serve as the chairperson.
4        (2) One member appointed by the State Board of
5    Education.
6        (3) One member appointed by the Speaker of the House
7    of Representatives.
8        (4) One member appointed by the Minority Leader of the
9    House of Representatives.
10        (5) One member appointed by the President of the
11    Senate.
12        (6) One member appointed by the Minority Leader of the
13    Senate.
14        (7) A representative appointed by the head of the
15    largest statewide professional teachers' organization, as
16    measured by the number of members reported in its most
17    recent federal Form LM-2 Labor Organization Annual Report.
18        (8) A representative appointed by the head of the
19    second largest statewide professional teachers'
20    organization, as measured by the number of members
21    reported in its most recent federal Form LM-2 Labor
22    Organization Annual Report.
23        (9) A representative appointed by the head of an
24    organization that represents school boards, selected by
25    the chairperson of the Commission.
26        (10) A representative appointed by the head of a

 

 

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1    statewide organization that represents school principals,
2    selected by the chairperson of the Commission.
3        (11) A parent of a child enrolled in or a teacher or an
4    administrator employed by a school located in the West
5    Cook region of the State Board of Education's Statewide
6    System of Support Fiscal Agents (Region 1-B-B), appointed
7    by the chairperson of the Commission.
8        (12) A parent of a child enrolled in or a teacher or an
9    administrator employed by a school located in the South
10    Cook region of the State Board of Education's Statewide
11    System of Support Fiscal Agents (Region 1-B-C), appointed
12    by the chairperson of the Commission.
13        (13) A parent of a child enrolled in or a teacher or an
14    administrator employed by a school located in the North
15    Cook region of the State Board of Education's Statewide
16    System of Support Fiscal Agents (Region 1-B-D), appointed
17    by the chairperson of the Commission.
18        (14) A parent of a child enrolled in or a teacher or an
19    administrator employed by a school located in the
20    Northeast region of the State Board of Education's
21    Statewide System of Support Fiscal Agents (Area 1-C),
22    appointed by the chairperson of the Commission.
23        (15) A parent of a child enrolled in or a teacher or an
24    administrator employed by a school located in the
25    Northwest region of the State Board of Education's
26    Statewide System of Support Fiscal Agents (Area 2),

 

 

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1    appointed by the chairperson of the Commission.
2        (16) A parent of a child enrolled in or a teacher or an
3    administrator employed by a school located in the West
4    Central region of the State Board of Education's Statewide
5    System of Support Fiscal Agents (Area 3), appointed by the
6    chairperson of the Commission.
7        (17) A parent of a child enrolled in or a teacher or an
8    administrator employed by a school located in the East
9    Central region of the State Board of Education's Statewide
10    System of Support Fiscal Agents (Area 4), appointed by the
11    chairperson of the Commission.
12        (18) A parent of a child enrolled in or a teacher or an
13    administrator employed by a school located in the
14    Southwest region of the State Board of Education's
15    Statewide System of Support Fiscal Agents (Area 5),
16    appointed by the chairperson of the Commission.
17        (19) A parent of a child enrolled in or a teacher or an
18    administrator employed by a school located in the
19    Southeast region of the State Board of Education's
20    Statewide System of Support Fiscal Agents (Area 6),
21    appointed by the chairperson of the Commission.
22        (20) A representative appointed by the head of an
23    association that represents school business officials,
24    selected by the chairperson of the Commission.
25        (21) A representative appointed by the head of an
26    association that represents school administrators,

 

 

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1    selected by the chairperson of the Commission.
2        (22) A representative appointed by the head of an
3    association that represents administrators of special
4    education, selected by the chairperson of the Commission.
5        (23) A representative appointed by the head of a
6    statewide parent organization, selected by the chairperson
7    of the Commission.
8        (24) A representative appointed by the head of an
9    organization that represents high school districts,
10    selected by the chairperson of the Commission.
11        (25) A representative appointed by the head of an
12    association that represents regional superintendents of
13    schools, selected by the chairperson of the Commission.
14    Members shall serve without compensation, but shall be
15reimbursed for their reasonable and necessary expenses from
16funds appropriated for that purpose. Members shall be
17reimbursed for their travel expenses from appropriations to
18the State Board of Education made available for that purpose
19and subject to the rules of the appropriate travel control
20board.
21    The Commission shall meet at the call of the chairperson,
22with the initial meeting to occur within 90 days after the
23effective date of this amendatory Act of the 102nd General
24Assembly. The Commission shall hold public hearings throughout
25the State with at least one public hearing in each of the 9
26regions of the State Board of Education's Statewide System of

 

 

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1Support Fiscal Agents that do not include the Chicago region
2(Region 1-A).
3    The State Board shall provide administrative assistance
4and necessary staff support services to the Commission.
5    (b) Recommendations of the Efficient School District
6Commission must focus on all of the following areas:
7        (1) Reducing the money spent on the duplication of
8    efforts.
9        (2) Improving the education of students by having
10    fewer obstacles between qualified teachers and their
11    students.
12        (3) Lowering the property tax burden.
13        (4) Providing recommendations on what the net cost
14    savings of realignment is to this State.
15        (5) With a view toward reducing unnecessary
16    administrative costs, improving the education of students,
17    and lowering the property tax burden, drafting specific
18    recommendations to reduce the statewide total number of
19    school districts by no less than 25% through the
20    reorganization of school districts into unit districts
21    under Section 11E-25. Each recommendation under this
22    paragraph (5) must include all of the following:
23            (A) A request to submit a proposition at the next
24        general election for the purpose of voting for or
25        against the establishment of a combined unit district.
26            (B) A description of the territory comprising the

 

 

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1        districts proposed to be dissolved and those to be
2        created, which, for an entire district, may be a
3        general reference to all of the territory included
4        within that district.
5            (C) A specification of the maximum tax rates the
6        proposed district or districts are authorized to levy
7        for various purposes and, if applicable, the
8        specifications related to the Property Tax Extension
9        Limitation Law, in accordance with Section 11E-80.
10    The Commission may not make any recommendations under this
11subsection that would provide for the consolidation of
12individual schools.
13    (c) On or before May 1, 2024, the Efficient School
14District Commission must vote on its recommendations and file
15a report with the Governor and the General Assembly. If the
16Commission adopts the report recommendations by an affirmative
17vote of at least 13 of its members, then the Commission's
18specific recommendations for reorganization of school
19districts into unit districts under paragraph (5) of
20subsection (b) shall be filed with the appropriate regional
21superintendent of schools in the same form as petitions filed
22under Section 11E-35. A copy of the Commission's specific
23recommendations shall be provided to the regional
24superintendent of schools of each educational service region
25situated in the territory described in the specific
26recommendation or that part of the territory in which the

 

 

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1greater percentage of equalized assessed valuation is
2situated. Petitions submitted by the Commission under this
3Section are not subject to the requirements under subsection
4(a) of Section 11E-35.
5    (d) Upon receiving the filed petition as provided in
6subsection (c) from the regional superintendent of schools,
7each school board of the affected school districts shall
8publish a copy of the petition on its official Internet
9website, if available, with a link to the recommendation shown
10prominently on the homepage of the website until the date of
11the next upcoming general election.
12    (e) Notwithstanding subsection (a) of Section 11E-50,
13within 14 days after the conclusion of the hearing under
14Section 11E-45 regarding a petition filed by the Efficient
15School District Commission, the regional superintendent shall,
16upon determining that the petition is in compliance with all
17applicable requirements set forth in the Election Code,
18through a written order, approve the petition, or, if the
19regional superintendent determines that the amended petition
20is not in compliance with the Election Code, the regional
21superintendent shall deny the petition.
22    (f) Notwithstanding subsection (b) of Section 11E-50,
23within 21 days after the receipt of the regional
24superintendent's decision regarding a petition filed by the
25Efficient School District Commission under this Section, the
26regional superintendent shall, upon determining that the

 

 

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1petition is in compliance with all applicable requirements set
2forth in the Election Code, through a written order, approve
3the petition, or, if the regional superintendent determines
4that the amended petition is not in compliance with the
5Election Code, the regional superintendent shall deny the
6petition.
7    (g) The Efficient School District Commission shall serve
8as and take on the responsibilities of the designated
9Committee of Ten for the purposes of petitions filed under
10this Section, except that notwithstanding paragraph (10) of
11subsection (a) of Section 11E-35, any amendments to petitions
12filed by the Commission and any binding stipulations made to
13any question with respect to a petition under this Section
14shall be made by at least 13 members of the Commission.
15    (h) This Section is repealed on January 31, 2025.
 
16    Section 99. Effective date. This Act takes effect upon
17becoming law.".