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1    AN ACT concerning education.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Public Community College Act is amended by
5changing Section 2-16.02 as follows:
 
6    (110 ILCS 805/2-16.02)  (from Ch. 122, par. 102-16.02)
7    Sec. 2-16.02. Grants. Any community college district that
8maintains a community college recognized by the State Board
9shall receive, when eligible, grants enumerated in this
10Section. Funded semester credit hours or other measures or both
11as specified by the State Board shall be used to distribute
12grants to community colleges. Funded semester credit hours
13shall be defined, for purposes of this Section, as the greater
14of (1) the number of semester credit hours, or equivalent, in
15all funded instructional categories of students who have been
16certified as being in attendance at midterm during the
17respective terms of the base fiscal year or (2) the average of
18semester credit hours, or equivalent, in all funded
19instructional categories of students who have been certified as
20being in attendance at midterm during the respective terms of
21the base fiscal year and the 2 prior fiscal years. For purposes
22of this Section, "base fiscal year" means the fiscal year 2
23years prior to the fiscal year for which the grants are

 

 

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1appropriated. Such students shall have been residents of
2Illinois and shall have been enrolled in courses that are part
3of instructional program categories approved by the State Board
4and that are applicable toward an associate degree or
5certificate. Courses that are eligible for reimbursement are
6those courses for which the district pays 50% or more of the
7program costs from unrestricted revenue sources, with the
8exception of courses offered by contract with the Department of
9Corrections in correctional institutions. For the purposes of
10this Section, "unrestricted revenue sources" means those
11revenues in which the provider of the revenue imposes no
12financial limitations upon the district as it relates to the
13expenditure of the funds. Except for Fiscal Year 2012, base
14operating grants shall be paid based on rates per funded
15semester credit hour or equivalent calculated by the State
16Board for funded instructional categories using cost of
17instruction, enrollment, inflation, and other relevant
18factors. For Fiscal Year 2012, the allocations for base
19operating grants to community college districts shall be the
20same as they were in Fiscal Year 2011, reduced or increased
21proportionately according to the appropriation for base
22operating grants for Fiscal Year 2012. A portion of the base
23operating grant shall be allocated on the basis of
24non-residential gross square footage of space maintained by the
25district.
26    Equalization grants shall be calculated by the State Board

 

 

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1by determining a local revenue factor for each district by: (A)
2adding (1) each district's Corporate Personal Property
3Replacement Fund allocations from the base fiscal year or the
4average of the base fiscal year and prior year, whichever is
5less, divided by the applicable statewide average tax rate to
6(2) the district's most recently audited year's equalized
7assessed valuation or the average of the most recently audited
8year and prior year, whichever is less, (B) then dividing by
9the district's audited full-time equivalent resident students
10for the base fiscal year or the average for the base fiscal
11year and the 2 prior fiscal years, whichever is greater, and
12(C) then multiplying by the applicable statewide average tax
13rate. The State Board shall calculate a statewide weighted
14average threshold by applying the same methodology to the
15totals of all districts' Corporate Personal Property Tax
16Replacement Fund allocations, equalized assessed valuations,
17and audited full-time equivalent district resident students
18and multiplying by the applicable statewide average tax rate.
19The difference between the statewide weighted average
20threshold and the local revenue factor, multiplied by the
21number of full-time equivalent resident students, shall
22determine the amount of equalization funding that each district
23is eligible to receive. A percentage factor, as determined by
24the State Board, may be applied to the statewide threshold as a
25method for allocating equalization funding. A minimum
26equalization grant of an amount per district as determined by

 

 

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1the State Board shall be established for any community college
2district which qualifies for an equalization grant based upon
3the preceding criteria, but becomes ineligible for
4equalization funding, or would have received a grant of less
5than the minimum equalization grant, due to threshold
6prorations applied to reduce equalization funding. As of July
71, 2004, a community college district must maintain a minimum
8required combined in-district tuition and universal fee rate
9per semester credit hour equal to 85% of the State-average
10combined rate, as determined by the State Board, for
11equalization funding. As of July 1, 2004, a community college
12district must maintain a minimum required operating tax rate
13equal to at least 95% of its maximum authorized tax rate to
14qualify for equalization funding. This 95% minimum tax rate
15requirement shall be based upon the maximum operating tax rate
16as limited by the Property Tax Extension Limitation Law.
17    The State Board shall distribute such other grants as may
18be authorized or appropriated by the General Assembly.
19    Each community college district entitled to State grants
20under this Section must submit a report of its enrollment to
21the State Board not later than 30 days following the end of
22each semester, quarter, or term in a format prescribed by the
23State Board. These semester credit hours, or equivalent, shall
24be certified by each district on forms provided by the State
25Board. Each district's certified semester credit hours, or
26equivalent, are subject to audit pursuant to Section 3-22.1.

 

 

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1    The State Board shall certify, prepare, and submit monthly
2vouchers to the State Comptroller setting forth an amount equal
3to one-twelfth of the grants approved by the State Board for
4base operating grants and equalization grants. The State Board
5shall prepare and submit to the State Comptroller vouchers for
6payments of other grants as appropriated by the General
7Assembly. If the amount appropriated for grants is different
8from the amount provided for such grants under this Act, the
9grants shall be proportionately reduced or increased
10accordingly.
11    For the purposes of this Section, "resident student" means
12a student in a community college district who maintains
13residency in that district or meets other residency definitions
14established by the State Board, and who was enrolled either in
15one of the approved instructional program categories in that
16district, or in another community college district to which the
17resident's district is paying tuition under Section 6-2 or with
18which the resident's district has entered into a cooperative
19agreement in lieu of such tuition.
20    For the purposes of this Section, a "full-time equivalent"
21student is equal to 30 semester credit hours.
22    The Illinois Community College Board Contracts and Grants
23Fund is hereby created in the State Treasury. Items of income
24to this fund shall include any grants, awards, endowments, or
25like proceeds, and where appropriate, other funds made
26available through contracts with governmental, public, and

 

 

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1private agencies or persons. The General Assembly shall from
2time to time make appropriations payable from such fund for the
3support, improvement, and expenses of the State Board and
4Illinois community college districts.
5(Source: P.A. 96-911, eff. 7-1-10; 97-72, eff. 7-1-11.)
 
6    Section 99. Effective date. This Act takes effect upon
7becoming law.