093_HB0290

 
                                     LRB093 04385 NHT 04435 b

 1        AN ACT concerning 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 29-18 as follows:

 6        (105 ILCS 5/29-18)
 7        Sec.  29-18.  Loan  program for first-time transportation
 8    costs.
 9        (a)  To assist school districts that  are  not  providing
10    free  pupil  transportation  on  the  effective  date of this
11    amendatory  Act  of  1998,  there  is  created  a  new  pupil
12    transportation interest-free  start-up  loan  program.   This
13    loan  program  shall  be  administered  by the State Board of
14    Education  and  shall  be  funded  from  appropriations  made
15    expressly for that purpose.
16        (b)  A  school  district  providing  free  transportation
17    services for the first time during fiscal year 1999, 2000, or
18    2001 may receive a loan during the first  year  of  operation
19    from  an  appropriation designated for such initial services.
20    To qualify for that funding, the district shall file a notice
21    of intent  to  provide  free  transportation  indicating  the
22    number  of students to be transported no later than August 15
23    of the first year of operation.  From the  appropriation  for
24    such initial services, the district shall receive 4 quarterly
25    payments  based upon the number of students to be transported
26    multiplied by  the  average  State  reimbursement  per  pupil
27    transported  paid  to school districts under Section 29-5 for
28    the prior year's regular transportation services.    However,
29    if  the  amount  appropriated  for  such  initial services is
30    insufficient to fund total loan amounts for any fiscal  year,
31    the  State  Board  of  Education shall reduce each district's
 
                            -2-      LRB093 04385 NHT 04435 b
 1    allowable loan amount proportionately to make total  adjusted
 2    loan amounts equal to the total amount appropriated. Vouchers
 3    for  the quarterly payments shall be prepared and transmitted
 4    by the State Board of Education to the State Comptroller  for
 5    payment on October 15, January 15, April 15, and July 15.
 6        (c)  A school district that obtains a start-up loan under
 7    this  Section  shall  be allowed to claim reimbursement under
 8    Section  29-5  for  transportation  costs   associated   with
 9    students who are transported using this start-up loan.
10        (d)  (Blank).  To  repay  the  funds  received under this
11    start-up loan, the State Superintendent  of  Education  shall
12    subtract  one-tenth of the amount of the loan from the amount
13    due for  the  school  district's  reimbursement  claim  under
14    Section  29-5  each  year  until  the  loan  is  repaid.  The
15    difference shall be the new amount  due  for  the  district's
16    reimbursement claim under Section 29-5.
17    (Source: P.A. 90-756, eff. 8-14-98.)

18        Section  99.  Effective date.  This Act takes effect upon
19    becoming law.