093_HB2354enr

 
HB2354 Enrolled                      LRB093 06468 NHT 06591 b

 1        AN ACT regarding schools.

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

 4        Section 5.   The  School  Code  is  amended  by  changing
 5    Section 2-3.117a as follows:

 6        (105 ILCS 5/2-3.117a)
 7        Sec. 2-3.117a. School Technology Revolving Loan Program.
 8        (a)  The  State  Board  of  Education  is  authorized  to
 9    administer  a  School  Technology Revolving Loan Program from
10    funds appropriated  from the School Technology Revolving Loan
11    Fund for the  purpose  of  making  the  financing  of  school
12    technology  hardware  improvements  affordable and making the
13    integration of technology in the classroom  possible.  School
14    technology  loans  shall  be  made available to public school
15    districts, charter  schools,  area  vocational  centers,  and
16    laboratory   schools  to  purchase  technology  hardware  for
17    eligible grade levels on a 2-year rotating  basis:  grades  9
18    through   12  in  fiscal  year  2004  and  each  second  year
19    thereafter and grades K through 8 in  fiscal  year  2005  and
20    each  second  year  thereafter  school  districts to purchase
21    technology hardware for eligible grade  levels  on  a  3-year
22    rotating  basis:  grades  K-4 in year one and each third year
23    thereafter,  grades  5-8  in  year  2  and  each  third  year
24    thereafter, grades  9-12  in  year  3  and  each  third  year
25    thereafter.
26        The State Board of Education shall determine the interest
27    rate the loans shall bear which shall not be greater than 50%
28    of  the  rate  for  the most recent date shown in the 20 G.O.
29    Bonds Index of average municipal bond yields as published  in
30    the  most recent edition of The Bond  Buyer, published in New
31    York, New York.  The repayment period for  School  Technology
 
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 1    Revolving  Loans  shall  not  exceed  3  years.  Participants
 2    Participating  school districts shall use at least 90% of the
 3    loan  proceeds  for  technology  hardware   investments   for
 4    students  and staff (,including computer hardware, technology
 5    networks, related wiring, and other items as defined in rules
 6    adopted by the State Board of Education) and up to 10% of the
 7    loan proceeds for computer furniture. No  participant  school
 8    district  whose  equalized  assessed  valuation  per pupil in
 9    average daily attendance is at the 99th percentile and  above
10    for  all  districts  of  the  same  type shall be eligible to
11    receive  a  School  Technology  Revolving  Loan   under   the
12    provisions of this Section for that year.
13        The  State Board of Education shall have the authority to
14    adopt  all  rules  necessary  for  the   implementation   and
15    administration   of  the  School  Technology  Revolving  Loan
16    Program,  including,  but  not  limited  to,  rules  defining
17    application procedures,  prescribing  a  maximum  amount  per
18    pupil  that may be requested annually by districts, requiring
19    appropriate local  commitments  for  technology  investments,
20    prescribing  a  mechanism  for  disbursing  loan funds in the
21    event requests exceed available funds, specifying collateral,
22    and prescribing actions  necessary  to  protect  the  State's
23    interest   in   the   event   of   default,  foreclosure,  or
24    noncompliance with the terms and conditions of the loans.
25        (b)  There is created in the State  treasury  the  School
26    Technology  Revolving  Loan Fund.  The State Board shall have
27    the authority to make expenditures from the Fund pursuant  to
28    appropriations  made  for the purposes of this Section. There
29    shall be deposited into the Fund such amounts, including  but
30    not limited to:
31             (1)  Transfers from the School Infrastructure Fund;
32             (2)  All  receipts, including principal and interest
33        payments, from any loan made from the Fund;
34             (3)  All  proceeds  of  assets  of  whatever  nature
 
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 1        received by the State Board as a  result  of  default  or
 2        delinquency with respect to loans made from the Fund;
 3             (4)  Any  appropriations,  grants,  or gifts made to
 4        the Fund; and
 5             (5)  Any   income   received   from   interest    on
 6        investments of money in the Fund.
 7    (Source: P.A. 90-548, eff. 1-1-98.)

 8        Section  99.   Effective  date.  This Act takes effect on
 9    July 1, 2003.