SB1498ham005 93RD GENERAL ASSEMBLY

09300SB1498ham005 LRB093 06568 SJM 46862 a

AMENDMENT TO SENATE BILL 1498

AMENDMENT NO. ____. Amend Senate Bill 1498, AS AMENDED, by replacing everything after the enacting clause with the following:

5		"Section 5. The Economic Development Area Tax Increment
6		Allocation Act is amended by changing Section 6 as follows:
7		(20 ILCS 620/6) (from Ch. 67 1/2, par. 1006)
8		Sec. 6. Filing with county clerk; certification of initial
9		equalized assessed value.
10		(a) The municipality shall file a certified copy of any
11		ordinance authorizing tax increment allocation financing for
12		an economic development project area with the county clerk, and
13		the county clerk shall immediately thereafter determine (1) the
14		most recently ascertained equalized assessed value of each lot,
15		block, tract or parcel of real property within the economic
16		development project area from which shall be deducted the
17		homestead exemptions provided by Sections 15-170, and 15-175,
18		and 15-176 of the Property Tax Code, which value shall be the
19		"initial equalized assessed value" of each such piece of
20		property, and (2) the total equalized assessed value of all
21		taxable real property within the economic development project
22		area by adding together the most recently ascertained equalized
23		assessed value of each taxable lot, block, tract, or parcel of
24		real property within such economic development project area,

1		from which shall be deducted the homestead exemptions provided
2		by Sections 15-170, and 15-175, and 15-176 of the Property Tax
3		Code, and shall certify such amount as the "total initial
4		equalized assessed value" of the taxable real property within
5		the economic development project area.
6		(b) After the county clerk has certified the "total initial
7		equalized assessed value" of the taxable real property in the
8		economic development project area, then in respect to every
9		taxing district containing an economic development project
10		area, the county clerk or any other official required by law to
11		ascertain the amount of the equalized assessed value of all
12		taxable property within that taxing district for the purpose of
13		computing the rate per cent of tax to be extended upon taxable
14		property within that taxing district, shall in every year that
15		tax increment allocation financing is in effect ascertain the
16		amount of value of taxable property in an economic development
17		project area by including in that amount the lower of the
18		current equalized assessed value or the certified "total
19		initial equalized assessed value" of all taxable real property
20		in such area. The rate per cent of tax determined shall be
21		extended to the current equalized assessed value of all
22		property in the economic development project area in the same
23		manner as the rate per cent of tax is extended to all other
24		taxable property in the taxing district. The method of
25		allocating taxes established under this Section shall
26		terminate when the municipality adopts an ordinance dissolving
27		the special tax allocation fund for the economic development
28		project area, terminating the economic development project
29		area, and terminating the use of tax increment allocation
30		financing for the economic development project area. This Act
31		shall not be construed as relieving property owners within an
32		economic development project area from paying a uniform rate of
33		taxes upon the current equalized assessed value of their
34		taxable property as provided in the Property Tax Code.

1		(Source: P.A. 88-670, eff. 12-2-94.)

2		Section 10. The Property Tax Code is amended by changing
3		Sections 14-15, 15-10, 15-170, 15-175, and 20-178 and by adding
4		Section 15-176 as follows:
5		(35 ILCS 200/14-15)
6		Sec. 14-15. Certificate of error; counties of 3,000,000 or
7		more.
8		(a) In counties with 3,000,000 or more inhabitants, if,
9		after the assessment is certified pursuant to Section 16-150,
10		but subject to the limitations of subsection (c) of this
11		Section, the county assessor discovers an error or mistake in
12		the assessment, the assessor shall execute a certificate
13		setting forth the nature and cause of the error. The
14		certificate when endorsed by the county assessor, or when
15		endorsed by the county assessor and board of appeals (until the
16		first Monday in December 1998 and the board of review beginning
17		the first Monday in December 1998 and thereafter) where the
18		certificate is executed for any assessment which was the
19		subject of a complaint filed in the board of appeals (until the
20		first Monday in December 1998 and the board of review beginning
21		the first Monday in December 1998 and thereafter) for the tax
22		year for which the certificate is issued, may, either be
23		certified according to the procedure authorized by this Section
24		or be presented and received in evidence in any court of
25		competent jurisdiction. Certification is authorized, at the
26		discretion of the county assessor, for: (1) certificates of
27		error allowing homestead exemptions pursuant to Sections
28		15-170, 15-172, and 15-175, and 15-176; (2) certificates of
29		error on residential property of 6 units or less; (3)
30		certificates of error allowing exemption of the property
31		pursuant to Section 14-25; and (4) other certificates of error
32		reducing assessed value by less than $100,000. Any certificate

1		of error not certified shall be presented to the court. The
2		county assessor shall develop reasonable procedures for the
3		filing and processing of certificates of error. Prior to the
4		certification or presentation to the court, the county assessor
5		or his or her designee shall execute and include in the
6		certificate of error a statement attesting that all procedural
7		requirements pertaining to the issuance of the certificate of
8		error have been met and that in fact an error exists. When so
9		introduced in evidence such certificate shall become a part of
10		the court records, and shall not be removed from the files
11		except upon the order of the court.
12		Certificates of error that will be presented to the court
13		shall be filed as an objection in the application for judgment
14		and order of sale for the year in relation to which the
15		certificate is made or as an amendment to the objection under
16		subsection (b). Certificates of error that are to be certified
17		according to the procedure authorized by this Section need not
18		be presented to the court as an objection or an amendment under
19		subsection (b). The State's Attorney of the county in which the
20		property is situated shall mail a copy of any final judgment
21		entered by the court regarding any certificate of error to the
22		taxpayer of record for the year in question.
23		Any unpaid taxes after the entry of the final judgment by
24		the court or certification on certificates issued under this
25		Section may be included in a special tax sale, provided that an
26		advertisement is published and a notice is mailed to the person
27		in whose name the taxes were last assessed, in a form and
28		manner substantially similar to the advertisement and notice
29		required under Sections 21-110 and 21-135. The advertisement
30		and sale shall be subject to all provisions of law regulating
31		the annual advertisement and sale of delinquent property, to
32		the extent that those provisions may be made applicable.
33		A certificate of error certified under this Section shall
34		be given effect by the county treasurer, who shall mark the tax

1		books and, upon receipt of one of the following certificates
2		from the county assessor or the county assessor and the board
3		of review where the board of review is required to endorse the
4		certificate of error, shall issue refunds to the taxpayer
5		accordingly:
6		"CERTIFICATION
7		I, .................., county assessor, hereby certify
8		that the Certificates of Error set out on the attached list
9		have been duly issued to correct an error or mistake in the
10		assessment."
11		"CERTIFICATION
12		I, .................., county assessor, and we,
13		........................................................,
14		members of the board of review, hereby certify that the
15		Certificates of Error set out on the attached list have
16		been duly issued to correct an error or mistake in the
17		assessment and that any certificates of error required to
18		be endorsed by the board of review have been so endorsed."
19		The county treasurer has the power to mark the tax books to
20		reflect the issuance of certificates of error certified
21		according to the procedure authorized in this Section for
22		certificates of error issued under Section 14-25 or
23		certificates of error issued to and including 3 years after the
24		date on which the annual judgment and order of sale for that
25		tax year was first entered. The county treasurer has the power
26		to issue refunds to the taxpayer as set forth above until all
27		refunds authorized by this Section have been completed.
28		To the extent that the certificate of error obviates the
29		liability for nonpayment of taxes, certification of a
30		certificate of error according to the procedure authorized in
31		this Section shall operate to vacate any judgment or forfeiture

1		as to that year's taxes, and the warrant books and judgment
2		books shall be marked to reflect that the judgment or
3		forfeiture has been vacated.
4		(b) Nothing in subsection (a) of this Section shall be
5		construed to prohibit the execution, endorsement, issuance,
6		and adjudication of a certificate of error if (i) the annual
7		judgment and order of sale for the tax year in question is
8		reopened for further proceedings upon consent of the county
9		collector and county assessor, represented by the State's
10		Attorney, and (ii) a new final judgment is subsequently entered
11		pursuant to the certificate. This subsection (b) shall be
12		construed as declarative of existing law and not as a new
13		enactment.
14		(c) No certificate of error, other than a certificate to
15		establish an exemption under Section 14-25, shall be executed
16		for any tax year more than 3 years after the date on which the
17		annual judgment and order of sale for that tax year was first
18		entered, except that during calendar years 1999 and 2000 a
19		certificate of error may be executed for any tax year, provided
20		that the error or mistake in the assessment was discovered no
21		more than 3 years after the date on which the annual judgment
22		and order of sale for that tax year was first entered.
23		(d) The time limitation of subsection (c) shall not apply
24		to a certificate of error correcting an assessment to $1, under
25		Section 10-35, on a parcel that a subdivision or planned
26		development has acquired by adverse possession, if during the
27		tax year for which the certificate is executed the subdivision
28		or planned development used the parcel as common area, as
29		defined in Section 10-35, and if application for the
30		certificate of error is made prior to December 1, 1997.
31		(e) The changes made by this amendatory Act of the 91st
32		General Assembly apply to certificates of error issued before,
33		on, and after the effective date of this amendatory Act of the
34		91st General Assembly.

1		(Source: P.A. 90-4, eff. 3-7-97; 90-288, eff. 8-1-97; 90-655,
2		eff. 7-30-98; 91-393, eff. 7-30-99; 91-686, eff. 1-26-00.)
3		(35 ILCS 200/15-10)
4		Sec. 15-10. Exempt property; procedures for certification.
5		All property granted an exemption by the Department pursuant to
6		the requirements of Section 15-5 and described in the Sections
7		following Section 15-30 and preceding Section 16-5, to the
8		extent therein limited, is exempt from taxation. In order to
9		maintain that exempt status, the titleholder or the owner of
10		the beneficial interest of any property that is exempt must
11		file with the chief county assessment officer, on or before
12		January 31 of each year (May 31 in the case of property
13		exempted by Section 15-170), an affidavit stating whether there
14		has been any change in the ownership or use of the property or
15		the status of the owner-resident, or that a disabled veteran
16		who qualifies under Section 15-165 owned and used the property
17		as of January 1 of that year. The nature of any change shall be
18		stated in the affidavit. Failure to file an affidavit shall, in
19		the discretion of the assessment officer, constitute cause to
20		terminate the exemption of that property, notwithstanding any
21		other provision of this Code. Owners of 5 or more such exempt
22		parcels within a county may file a single annual affidavit in
23		lieu of an affidavit for each parcel. The assessment officer,
24		upon request, shall furnish an affidavit form to the owners, in
25		which the owner may state whether there has been any change in
26		the ownership or use of the property or status of the owner or
27		resident as of January 1 of that year. The owner of 5 or more
28		exempt parcels shall list all the properties giving the same
29		information for each parcel as required of owners who file
30		individual affidavits.
31		However, titleholders or owners of the beneficial interest
32		in any property exempted under any of the following provisions
33		are not required to submit an annual filing under this Section:

1		(1) Section 15-45 (burial grounds) in counties of less
2		than 3,000,000 inhabitants and owned by a not-for-profit
3		organization.
4		(2) Section 15-40.
5		(3) Section 15-50 (United States property).
6		If there is a change in use or ownership, however, notice
7		must be filed pursuant to Section 15-20.
8		An application for homestead exemptions shall be filed as
9		provided in Section 15-170 (senior citizens homestead
10		exemption), Section 15-172 (senior citizens assessment freeze
11		homestead exemption), and Sections Section 15-175 and 15-176
12		(general homestead exemption), respectively.
13		(Source: P.A. 92-333, eff. 8-10-01; 92-729, eff. 7-25-02.)
14		(35 ILCS 200/15-170)
15		Sec. 15-170. Senior Citizens Homestead Exemption. An
16		annual homestead exemption limited, except as described here
17		with relation to cooperatives or life care facilities, to a
18		maximum reduction set forth below from the property's value, as
19		equalized or assessed by the Department, is granted for
20		property that is occupied as a residence by a person 65 years
21		of age or older who is liable for paying real estate taxes on
22		the property and is an owner of record of the property or has a
23		legal or equitable interest therein as evidenced by a written
24		instrument, except for a leasehold interest, other than a
25		leasehold interest of land on which a single family residence
26		is located, which is occupied as a residence by a person 65
27		years or older who has an ownership interest therein, legal,
28		equitable or as a lessee, and on which he or she is liable for
29		the payment of property taxes. The maximum reduction shall be
30		$2,500 in counties with 3,000,000 or more inhabitants and
31		$2,000 in all other counties. For land improved with an
32		apartment building owned and operated as a cooperative, the
33		maximum reduction from the value of the property, as equalized

1		by the Department, shall be multiplied by the number of
2		apartments or units occupied by a person 65 years of age or
3		older who is liable, by contract with the owner or owners of
4		record, for paying property taxes on the property and is an
5		owner of record of a legal or equitable interest in the
6		cooperative apartment building, other than a leasehold
7		interest. For land improved with a life care facility, the
8		maximum reduction from the value of the property, as equalized
9		by the Department, shall be multiplied by the number of
10		apartments or units occupied by persons 65 years of age or
11		older, irrespective of any legal, equitable, or leasehold
12		interest in the facility, who are liable, under a contract with
13		the owner or owners of record of the facility, for paying
14		property taxes on the property. In a cooperative or a life care
15		facility where a homestead exemption has been granted, the
16		cooperative association or the management firm of the
17		cooperative or facility shall credit the savings resulting from
18		that exemption only to the apportioned tax liability of the
19		owner or resident who qualified for the exemption. Any person
20		who willfully refuses to so credit the savings shall be guilty
21		of a Class B misdemeanor. Under this Section and Sections
22		Section 15-175 and 15-176, "life care facility" means a
23		facility as defined in Section 2 of the Life Care Facilities
24		Act, with which the applicant for the homestead exemption has a
25		life care contract as defined in that Act.
26		When a homestead exemption has been granted under this
27		Section and the person qualifying subsequently becomes a
28		resident of a facility licensed under the Nursing Home Care
29		Act, the exemption shall continue so long as the residence
30		continues to be occupied by the qualifying person's spouse if
31		the spouse is 65 years of age or older, or if the residence
32		remains unoccupied but is still owned by the person qualified
33		for the homestead exemption.
34		A person who will be 65 years of age during the current

1		assessment year shall be eligible to apply for the homestead
2		exemption during that assessment year. Application shall be
3		made during the application period in effect for the county of
4		his residence.
5		Beginning with assessment year 2003, for taxes payable in
6		2004, property that is first occupied as a residence after
7		January 1 of any assessment year by a person who is eligible
8		for the senior citizens homestead exemption under this Section
9		must be granted a pro-rata exemption for the assessment year.
10		The amount of the pro-rata exemption is the exemption allowed
11		in the county under this Section divided by 365 and multiplied
12		by the number of days during the assessment year the property
13		is occupied as a residence by a person eligible for the
14		exemption under this Section. The chief county assessment
15		officer must adopt reasonable procedures to establish
16		eligibility for this pro-rata exemption.
17		The assessor or chief county assessment officer may
18		determine the eligibility of a life care facility to receive
19		the benefits provided by this Section, by affidavit,
20		application, visual inspection, questionnaire or other
21		reasonable methods in order to insure that the tax savings
22		resulting from the exemption are credited by the management
23		firm to the apportioned tax liability of each qualifying
24		resident. The assessor may request reasonable proof that the
25		management firm has so credited the exemption.
26		The chief county assessment officer of each county with
27		less than 3,000,000 inhabitants shall provide to each person
28		allowed a homestead exemption under this Section a form to
29		designate any other person to receive a duplicate of any notice
30		of delinquency in the payment of taxes assessed and levied
31		under this Code on the property of the person receiving the
32		exemption. The duplicate notice shall be in addition to the
33		notice required to be provided to the person receiving the
34		exemption, and shall be given in the manner required by this

1		Code. The person filing the request for the duplicate notice
2		shall pay a fee of $5 to cover administrative costs to the
3		supervisor of assessments, who shall then file the executed
4		designation with the county collector. Notwithstanding any
5		other provision of this Code to the contrary, the filing of
6		such an executed designation requires the county collector to
7		provide duplicate notices as indicated by the designation. A
8		designation may be rescinded by the person who executed such
9		designation at any time, in the manner and form required by the
10		chief county assessment officer.
11		The assessor or chief county assessment officer may
12		determine the eligibility of residential property to receive
13		the homestead exemption provided by this Section by
14		application, visual inspection, questionnaire or other
15		reasonable methods. The determination shall be made in
16		accordance with guidelines established by the Department.
17		In counties with less than 3,000,000 inhabitants, the
18		county board may by resolution provide that if a person has
19		been granted a homestead exemption under this Section, the
20		person qualifying need not reapply for the exemption.
21		In counties with less than 3,000,000 inhabitants, if the
22		assessor or chief county assessment officer requires annual
23		application for verification of eligibility for an exemption
24		once granted under this Section, the application shall be
25		mailed to the taxpayer.
26		The assessor or chief county assessment officer shall
27		notify each person who qualifies for an exemption under this
28		Section that the person may also qualify for deferral of real
29		estate taxes under the Senior Citizens Real Estate Tax Deferral
30		Act. The notice shall set forth the qualifications needed for
31		deferral of real estate taxes, the address and telephone number
32		of county collector, and a statement that applications for
33		deferral of real estate taxes may be obtained from the county
34		collector.

1		Notwithstanding Sections 6 and 8 of the State Mandates Act,
2		no reimbursement by the State is required for the
3		implementation of any mandate created by this Section.
4		(Source: P.A. 92-196, eff. 1-1-02; 93-511, eff. 8-11-03.)
5		(35 ILCS 200/15-175)
6		Sec. 15-175. General homestead exemption. Except as
7		provided in Section 15-176, homestead property is entitled to
8		an annual homestead exemption limited, except as described here
9		with relation to cooperatives, to a reduction in the equalized
10		assessed value of homestead property equal to the increase in
11		equalized assessed value for the current assessment year above
12		the equalized assessed value of the property for 1977, up to
13		the maximum reduction set forth below. If however, the 1977
14		equalized assessed value upon which taxes were paid is
15		subsequently determined by local assessing officials, the
16		Property Tax Appeal Board, or a court to have been excessive,
17		the equalized assessed value which should have been placed on
18		the property for 1977 shall be used to determine the amount of
19		the exemption.
20		Except as provided in Section 15-176, the maximum reduction
21		shall be $4,500 in counties with 3,000,000 or more inhabitants
22		and $3,500 in all other counties.
23		In counties with fewer than 3,000,000 inhabitants, if,
24		based on the most recent assessment, the equalized assessed
25		value of the homestead property for the current assessment year
26		is greater than the equalized assessed value of the property
27		for 1977, the owner of the property shall automatically receive
28		the exemption granted under this Section in an amount equal to
29		the increase over the 1977 assessment up to the maximum
30		reduction set forth in this Section.
31		If in any assessment year beginning with the 2000
32		assessment year, homestead property has a pro-rata valuation
33		under Section 9-180 resulting in an increase in the assessed

1		valuation, a reduction in equalized assessed valuation equal to
2		the increase in equalized assessed value of the property for
3		the year of the pro-rata valuation above the equalized assessed
4		value of the property for 1977 shall be applied to the property
5		on a proportionate basis for the period the property qualified
6		as homestead property during the assessment year. The maximum
7		proportionate homestead exemption shall not exceed the maximum
8		homestead exemption allowed in the county under this Section
9		divided by 365 and multiplied by the number of days the
10		property qualified as homestead property.
11		"Homestead property" under this Section includes
12		residential property that is occupied by its owner or owners as
13		his or their principal dwelling place, or that is a leasehold
14		interest on which a single family residence is situated, which
15		is occupied as a residence by a person who has an ownership
16		interest therein, legal or equitable or as a lessee, and on
17		which the person is liable for the payment of property taxes.
18		For land improved with an apartment building owned and operated
19		as a cooperative or a building which is a life care facility as
20		defined in Section 15-170 and considered to be a cooperative
21		under Section 15-170, the maximum reduction from the equalized
22		assessed value shall be limited to the increase in the value
23		above the equalized assessed value of the property for 1977, up
24		to the maximum reduction set forth above, multiplied by the
25		number of apartments or units occupied by a person or persons
26		who is liable, by contract with the owner or owners of record,
27		for paying property taxes on the property and is an owner of
28		record of a legal or equitable interest in the cooperative
29		apartment building, other than a leasehold interest. For
30		purposes of this Section, the term "life care facility" has the
31		meaning stated in Section 15-170.
32		In a cooperative where a homestead exemption has been
33		granted, the cooperative association or its management firm
34		shall credit the savings resulting from that exemption only to

1		the apportioned tax liability of the owner who qualified for
2		the exemption. Any person who willfully refuses to so credit
3		the savings shall be guilty of a Class B misdemeanor.
4		Where married persons maintain and reside in separate
5		residences qualifying as homestead property, each residence
6		shall receive 50% of the total reduction in equalized assessed
7		valuation provided by this Section.
8		In counties with more than 3,000,000 inhabitants, the
9		assessor or chief county assessment officer may determine the
10		eligibility of residential property to receive the homestead
11		exemption by application, visual inspection, questionnaire or
12		other reasonable methods. The determination shall be made in
13		accordance with guidelines established by the Department.
14		In counties with fewer than 3,000,000 inhabitants, in the
15		event of a sale of homestead property the homestead exemption
16		shall remain in effect for the remainder of the assessment year
17		of the sale. The assessor or chief county assessment officer
18		may require the new owner of the property to apply for the
19		homestead exemption for the following assessment year.
20		(Source: P.A. 90-368, eff. 1-1-98; 90-552, eff. 12-12-97;
21		90-655, eff. 7-30-98; 91-346, eff. 7-29-99.)
22		(35 ILCS 200/15-176 new)
23		Sec. 15-176. General homestead exemption in counties with
24		3,000,000 or more inhabitants.
25		(a) In counties with 3,000,000 or more inhabitants, for the
26		assessment years as determined under subsection (j), homestead
27		property is entitled to an annual homestead exemption equal to
28		a reduction in the property's equalized assessed value
29		calculated as provided in this Section.
30		(b) As used in this Section:
31		(1) "Assessor" means the elected county assessor.
32		(2) "Adjusted homestead value" means the lesser of the
33		following values:

1		(A) The property's base homestead value increased
2		by 7% for each tax year after 2002 through and
3		including the current tax year, or, if the property is
4		sold or ownership is otherwise transferred, the
5		property's base homestead value increased by 7% for
6		each tax year after the year of the sale or transfer
7		through and including the current tax year. The
8		increase by 7% each year is an increase by 7% over the
9		prior year.
10		(B) The property's equalized assessed value for
11		the current tax year minus $4,500.
12		(3) "Base homestead value".
13		(A) Except as provided in subdivision ((b)(3)(B),
14		"base homestead value" means the equalized assessed
15		value of the property for tax year 2002 prior to
16		exemptions, minus $4,500, provided that it was
17		assessed for that year as residential property
18		qualified for any of the homestead exemptions under
19		Sections 15-170 through 15-175 of this Code, then in
20		force, and further provided that the property's
21		assessment was not based on a reduced assessed value
22		resulting from a temporary irregularity in the
23		property for that year. Except as provided in
24		subdivision (b)(3)(B), if the property did not have a
25		residential equalized assessed value for tax year
26		2002, then "base homestead value" means the base
27		homestead value established by the assessor under
28		subsection (c).
29		(B) If the property is sold or ownership is
30		otherwise transferred, "base homestead value" means
31		the equalized assessed value of the property at the
32		time of the sale or transfer prior to exemptions, minus
33		$4,500, provided that it was assessed as residential
34		property qualified for any of the homestead exemptions

1		under Sections 15-170 through 15-175 of this Code, then
2		in force, and further provided that the property's
3		assessment was not based on a reduced assessed value
4		resulting from a temporary irregularity in the
5		property.
6		(4) "Current tax year" means the tax year for which the
7		exemption under this Section is being applied.
8		(5) "Equalized assessed value" means the property's
9		assessed value as equalized by the Department.
10		(6) "Homestead" or "homestead property" means:
11		(A) Residential property that as of January 1 of
12		the tax year is occupied by its owner or owners as his,
13		her, or their principal dwelling place, or that is a
14		leasehold interest on which a single family residence
15		is situated, that is occupied as a residence by a
16		person who has a legal or equitable interest therein
17		evidenced by a written instrument, as an owner or as a
18		lessee, and on which the person is liable for the
19		payment of property taxes. Residential units in an
20		apartment building owned and operated as a
21		cooperative, or as a life care facility, which are
22		occupied by persons who hold a legal or equitable
23		interest in the cooperative apartment building or life
24		care facility as owners or lessees, and who are liable
25		by contract for the payment of property taxes, shall be
26		included within this definition of homestead property.
27		Residential property containing 6 or fewer dwelling
28		units shall also be included in this definition of
29		homestead property provided that at least one such unit
30		is occupied by the property's owner or owners as his,
31		her, or their principal dwelling place.
32		(B) A homestead includes the dwelling place,
33		appurtenant structures, and so much of the surrounding
34		land constituting the parcel on which the dwelling

1		place is situated as is used for residential purposes.
2		If the assessor has established a specific legal
3		description for a portion of property constituting the
4		homestead, then the homestead shall be limited to the
5		property within that description.
6		(7) "Life care facility" means a facility as defined in
7		Section 2 of the Life Care Facilities Act.
8		(c) If the property did not have a residential equalized
9		assessed value for tax year 2002 as provided in subdivision
10		(b)(3)(A) of this Section, then the assessor shall first
11		determine an initial value for the property by comparison with
12		assessed values for tax year 2002 of other properties having
13		physical and economic characteristics similar to those of the
14		subject property, so that the initial value is uniform in
15		relation to assessed values of those other properties for tax
16		year 2002. The product of the initial value multiplied by
17		2.4689, less $4,500, is the base homestead value.
18		For any tax year for which the assessor determines or
19		adjusts an initial value and hence a base homestead value under
20		this subsection (c), the initial value shall be subject to
21		review by the same procedures applicable to assessed values
22		established under this Code for that tax year.
23		(d) The base homestead value shall remain constant, except
24		that the assessor may revise it under the following
25		circumstances:
26		(1) If the equalized assessed value of a homestead
27		property for the current tax year is less than the previous
28		base homestead value for that property, then the current
29		equalized assessed value (provided it is not based on a
30		reduced assessed value resulting from a temporary
31		irregularity in the property) shall become the base
32		homestead value in subsequent tax years.
33		(2) For any year in which new buildings, structures, or
34		other improvements are constructed on the homestead

1		property that would increase its assessed value, the
2		assessor shall adjust the base homestead value as provided
3		in subsection (c) of this Section with due regard to the
4		value added by the new improvements.
5		(3) If the property is sold or ownership is otherwise
6		transferred, the base homestead value of the property shall
7		be adjusted as provided in subdivision (b)(3)(B).
8		(e) The amount of the exemption under this Section is the
9		equalized assessed value of the homestead property for the
10		current tax year, minus the adjusted homestead value, with the
11		following exceptions:
12		(1) The exemption under this Section shall not exceed
13		$25,000 for any taxable year.
14		(2) In the case of homestead property that also
15		qualifies for the exemption under Section 15-172, the
16		property is entitled to the exemption under this Section,
17		limited to the amount of $4,500.
18		(f) In the case of an apartment building owned and operated
19		as a cooperative, or as a life care facility, that contains
20		residential units that qualify as homestead property under this
21		Section, the maximum cumulative exemption amount attributed to
22		the entire building or facility shall not exceed the sum of the
23		exemptions calculated for each qualified residential unit. The
24		cooperative association, management firm, or other person or
25		entity that manages or controls the cooperative apartment
26		building or life care facility shall credit the exemption
27		attributable to each residential unit only to the apportioned
28		tax liability of the owner or other person responsible for
29		payment of taxes as to that unit. Any person who willfully
30		refuses to so credit the exemption is guilty of a Class B
31		misdemeanor.
32		(g) When married persons maintain separate residences, the
33		exemption provided under this Section shall be claimed by only
34		one such person and for only one residence.

1		(h) In the event of a sale or other transfer in ownership
2		of the homestead property, the exemption under this Section
3		shall remain in effect for the remainder of the tax year in
4		which the sale or transfer occurs, but shall be calculated
5		using the new base homestead value as provided in subdivision
6		(b)(3)(B). The assessor may require the new owner of the
7		property to apply for the exemption in the following year.
8		(i) The assessor may determine whether property qualifies
9		as a homestead under this Section by application, visual
10		inspection, questionnaire, or other reasonable methods. Each
11		year, at the time the assessment books are certified to the
12		county clerk by the board of review, the assessor shall furnish
13		to the county clerk a list of the properties qualified for the
14		homestead exemption under this Section. The list shall note the
15		base homestead value of each property to be used in the
16		calculation of the exemption for the current tax year.
17		(j) The provisions of this Section apply as follows:
18		(1) If the general assessment year for the property is
19		2003, this Section applies for assessment years 2003, 2004,
20		and 2005. Thereafter, the provisions of Section 15-175
21		apply.
22		(2) If the general assessment year for the property is
23		2004, this Section applies for assessment years 2004, 2005,
24		and 2006. Thereafter, the provisions of Section 15-175
25		apply.
26		(3) If the general assessment year for the property is
27		2005, this Section applies for assessment years 2005, 2006,
28		and 2007. Thereafter, the provisions of Section 15-175
29		apply.
30		(k) Notwithstanding Sections 6 and 8 of the State Mandates
31		Act, no reimbursement by the State is required for the
32		implementation of any mandate created by this Section.
33		(35 ILCS 200/20-178)

1		Sec. 20-178. Certificate of error; refund; interest. When
2		the county collector makes any refunds due on certificates of
3		error issued under Sections 14-15 through 14-25 that have been
4		either certified or adjudicated, the county collector shall pay
5		the taxpayer interest on the amount of the refund at the rate
6		of 0.5% per month.
7		No interest shall be due under this Section for any time
8		prior to 60 days after the effective date of this amendatory
9		Act of the 91st General Assembly. For certificates of error
10		issued prior to the effective date of this amendatory Act of
11		the 91st General Assembly, the county collector shall pay the
12		taxpayer interest from 60 days after the effective date of this
13		amendatory Act of the 91st General Assembly until the date the
14		refund is paid. For certificates of error issued on or after
15		the effective date of this amendatory Act of the 91st General
16		Assembly, interest shall be paid from 60 days after the
17		certificate of error is issued by the chief county assessment
18		officer to the date the refund is made. To cover the cost of
19		interest, the county collector shall proportionately reduce
20		the distribution of taxes collected for each taxing district in
21		which the property is situated.
22		This Section shall not apply to any certificate of error
23		granting a homestead exemption under Section 15-170, 15-172, or
24		15-175, or 15-176.
25		(Source: P.A. 91-393, eff. 7-30-99.)

26		Section 15. The County Economic Development Project Area
27		Property Tax Allocation Act is amended by changing Section 6 as
28		follows:
29		(55 ILCS 85/6) (from Ch. 34, par. 7006)
30		Sec. 6. Filing with county clerk; certification of initial
31		equalized assessed value.
32		(a) The county shall file a certified copy of any ordinance

1		authorizing property tax allocation financing for an economic
2		development project area with the county clerk, and the county
3		clerk shall immediately thereafter determine (1) the most
4		recently ascertained equalized assessed value of each lot,
5		block, tract or parcel of real property within the economic
6		development project area from which shall be deducted the
7		homestead exemptions provided by Sections 15-170, and 15-175,
8		and 15-176 of the Property Tax Code, which value shall be the
9		"initial equalized assessed value" of each such piece of
10		property, and (2) the total equalized assessed value of all
11		taxable real property within the economic development project
12		area by adding together the most recently ascertained equalized
13		assessed value of each taxable lot, block, tract, or parcel of
14		real property within such economic development project area,
15		from which shall be deducted the homestead exemptions provided
16		by Sections 15-170, and 15-175, and 15-176 of the Property Tax
17		Code. Upon receiving written notice from the Department of its
18		approval and certification of such economic development
19		project area, the county clerk shall immediately certify such
20		amount as the "total initial equalized assessed value" of the
21		taxable property within the economic development project area.
22		(b) After the county clerk has certified the "total initial
23		equalized assessed value" of the taxable real property in the
24		economic development project area, then in respect to every
25		taxing district containing an economic development project
26		area, the county clerk or any other official required by law to
27		ascertain the amount of the equalized assessed value of all
28		taxable property within that taxing district for the purpose of
29		computing the rate percent of tax to be extended upon taxable
30		property within the taxing district, shall in every year that
31		property tax allocation financing is in effect ascertain the
32		amount of value of taxable property in an economic development
33		project area by including in that amount the lower of the
34		current equalized assessed value or the certified "total

1		initial equalized assessed value" of all taxable real property
2		in such area. The rate percent of tax determined shall be
3		extended to the current equalized assessed value of all
4		property in the economic development project area in the same
5		manner as the rate percent of tax is extended to all other
6		taxable property in the taxing district. The method of
7		allocating taxes established under this Section shall
8		terminate when the county adopts an ordinance dissolving the
9		special tax allocation fund for the economic development
10		project area. This Act shall not be construed as relieving
11		property owners within an economic development project area
12		from paying a uniform rate of taxes upon the current equalized
13		assessed value of their taxable property as provided in the
14		Property Tax Code.
15		(Source: P.A. 88-670, eff. 12-2-94.)

16		Section 20. The County Economic Development Project Area
17		Tax Increment Allocation Act of 1991 is amended by changing
18		Section 45 as follows:
19		(55 ILCS 90/45) (from Ch. 34, par. 8045)
20		Sec. 45. Filing with county clerk; certification of initial
21		equalized assessed value.
22		(a) A county that has by ordinance approved an economic
23		development plan, established an economic development project
24		area, and adopted tax increment allocation financing for that
25		area shall file certified copies of the ordinance or ordinances
26		with the county clerk. Upon receiving the ordinance or
27		ordinances, the county clerk shall immediately determine (i)
28		the most recently ascertained equalized assessed value of each
29		lot, block, tract, or parcel of real property within the
30		economic development project area from which shall be deducted
31		the homestead exemptions provided by Sections 15-170, and
32		15-175, and 15-176 of the Property Tax Code (that value being

1		the "initial equalized assessed value" of each such piece of
2		property) and (ii) the total equalized assessed value of all
3		taxable real property within the economic development project
4		area by adding together the most recently ascertained equalized
5		assessed value of each taxable lot, block, tract, or parcel of
6		real property within the economic development project area,
7		from which shall be deducted the homestead exemptions provided
8		by Sections 15-170, and 15-175, and 15-176 of the Property Tax
9		Code, and shall certify that amount as the "total initial
10		equalized assessed value" of the taxable real property within
11		the economic development project area.
12		(b) After the county clerk has certified the "total initial
13		equalized assessed value" of the taxable real property in the
14		economic development project area, then in respect to every
15		taxing district containing an economic development project
16		area, the county clerk or any other official required by law to
17		ascertain the amount of the equalized assessed value of all
18		taxable property within the taxing district for the purpose of
19		computing the rate per cent of tax to be extended upon taxable
20		property within the taxing district shall, in every year that
21		tax increment allocation financing is in effect, ascertain the
22		amount of value of taxable property in an economic development
23		project area by including in that amount the lower of the
24		current equalized assessed value or the certified "total
25		initial equalized assessed value" of all taxable real property
26		in the area. The rate per cent of tax determined shall be
27		extended to the current equalized assessed value of all
28		property in the economic development project area in the same
29		manner as the rate per cent of tax is extended to all other
30		taxable property in the taxing district. The method of
31		extending taxes established under this Section shall terminate
32		when the county adopts an ordinance dissolving the special tax
33		allocation fund for the economic development project area. This
34		Act shall not be construed as relieving property owners within

1		an economic development project area from paying a uniform rate
2		of taxes upon the current equalized assessed value of their
3		taxable property as provided in the Property Tax Code.
4		(Source: P.A. 87-1; 88-670, eff. 12-2-94.)

5		Section 25. The Illinois Municipal Code is amended by
6		changing Sections 11-74.4-8, 11-74.4-9, and 11-74.6-40 as
7		follows:
8		(65 ILCS 5/11-74.4-8) (from Ch. 24, par. 11-74.4-8)
9		Sec. 11-74.4-8. Tax increment allocation financing. A
10		municipality may not adopt tax increment financing in a
11		redevelopment project area after the effective date of this
12		amendatory Act of 1997 that will encompass an area that is
13		currently included in an enterprise zone created under the
14		Illinois Enterprise Zone Act unless that municipality,
15		pursuant to Section 5.4 of the Illinois Enterprise Zone Act,
16		amends the enterprise zone designating ordinance to limit the
17		eligibility for tax abatements as provided in Section 5.4.1 of
18		the Illinois Enterprise Zone Act. A municipality, at the time a
19		redevelopment project area is designated, may adopt tax
20		increment allocation financing by passing an ordinance
21		providing that the ad valorem taxes, if any, arising from the
22		levies upon taxable real property in such redevelopment project
23		area by taxing districts and tax rates determined in the manner
24		provided in paragraph (c) of Section 11-74.4-9 each year after
25		the effective date of the ordinance until redevelopment project
26		costs and all municipal obligations financing redevelopment
27		project costs incurred under this Division have been paid shall
28		be divided as follows:
29		(a) That portion of taxes levied upon each taxable lot,
30		block, tract or parcel of real property which is attributable
31		to the lower of the current equalized assessed value or the
32		initial equalized assessed value of each such taxable lot,

1		block, tract or parcel of real property in the redevelopment
2		project area shall be allocated to and when collected shall be
3		paid by the county collector to the respective affected taxing
4		districts in the manner required by law in the absence of the
5		adoption of tax increment allocation financing.
6		(b) Except from a tax levied by a township to retire bonds
7		issued to satisfy court-ordered damages, that portion, if any,
8		of such taxes which is attributable to the increase in the
9		current equalized assessed valuation of each taxable lot,
10		block, tract or parcel of real property in the redevelopment
11		project area over and above the initial equalized assessed
12		value of each property in the project area shall be allocated
13		to and when collected shall be paid to the municipal treasurer
14		who shall deposit said taxes into a special fund called the
15		special tax allocation fund of the municipality for the purpose
16		of paying redevelopment project costs and obligations incurred
17		in the payment thereof. In any county with a population of
18		3,000,000 or more that has adopted a procedure for collecting
19		taxes that provides for one or more of the installments of the
20		taxes to be billed and collected on an estimated basis, the
21		municipal treasurer shall be paid for deposit in the special
22		tax allocation fund of the municipality, from the taxes
23		collected from estimated bills issued for property in the
24		redevelopment project area, the difference between the amount
25		actually collected from each taxable lot, block, tract, or
26		parcel of real property within the redevelopment project area
27		and an amount determined by multiplying the rate at which taxes
28		were last extended against the taxable lot, block, track, or
29		parcel of real property in the manner provided in subsection
30		(c) of Section 11-74.4-9 by the initial equalized assessed
31		value of the property divided by the number of installments in
32		which real estate taxes are billed and collected within the
33		county; provided that the payments on or before December 31,
34		1999 to a municipal treasurer shall be made only if each of the

1		following conditions are met:
2		(1) The total equalized assessed value of the
3		redevelopment project area as last determined was not less
4		than 175% of the total initial equalized assessed value.
5		(2) Not more than 50% of the total equalized assessed
6		value of the redevelopment project area as last determined
7		is attributable to a piece of property assigned a single
8		real estate index number.
9		(3) The municipal clerk has certified to the county
10		clerk that the municipality has issued its obligations to
11		which there has been pledged the incremental property taxes
12		of the redevelopment project area or taxes levied and
13		collected on any or all property in the municipality or the
14		full faith and credit of the municipality to pay or secure
15		payment for all or a portion of the redevelopment project
16		costs. The certification shall be filed annually no later
17		than September 1 for the estimated taxes to be distributed
18		in the following year; however, for the year 1992 the
19		certification shall be made at any time on or before March
20		31, 1992.
21		(4) The municipality has not requested that the total
22		initial equalized assessed value of real property be
23		adjusted as provided in subsection (b) of Section
24		11-74.4-9.
25		The conditions of paragraphs (1) through (4) do not apply
26		after December 31, 1999 to payments to a municipal treasurer
27		made by a county with 3,000,000 or more inhabitants that has
28		adopted an estimated billing procedure for collecting taxes. If
29		a county that has adopted the estimated billing procedure makes
30		an erroneous overpayment of tax revenue to the municipal
31		treasurer, then the county may seek a refund of that
32		overpayment. The county shall send the municipal treasurer a
33		notice of liability for the overpayment on or before the
34		mailing date of the next real estate tax bill within the

1		county. The refund shall be limited to the amount of the
2		overpayment.
3		It is the intent of this Division that after the effective
4		date of this amendatory Act of 1988 a municipality's own ad
5		valorem tax arising from levies on taxable real property be
6		included in the determination of incremental revenue in the
7		manner provided in paragraph (c) of Section 11-74.4-9. If the
8		municipality does not extend such a tax, it shall annually
9		deposit in the municipality's Special Tax Increment Fund an
10		amount equal to 10% of the total contributions to the fund from
11		all other taxing districts in that year. The annual 10% deposit
12		required by this paragraph shall be limited to the actual
13		amount of municipally produced incremental tax revenues
14		available to the municipality from taxpayers located in the
15		redevelopment project area in that year if: (a) the plan for
16		the area restricts the use of the property primarily to
17		industrial purposes, (b) the municipality establishing the
18		redevelopment project area is a home-rule community with a 1990
19		population of between 25,000 and 50,000, (c) the municipality
20		is wholly located within a county with a 1990 population of
21		over 750,000 and (d) the redevelopment project area was
22		established by the municipality prior to June 1, 1990. This
23		payment shall be in lieu of a contribution of ad valorem taxes
24		on real property. If no such payment is made, any redevelopment
25		project area of the municipality shall be dissolved.
26		If a municipality has adopted tax increment allocation
27		financing by ordinance and the County Clerk thereafter
28		certifies the "total initial equalized assessed value as
29		adjusted" of the taxable real property within such
30		redevelopment project area in the manner provided in paragraph
31		(b) of Section 11-74.4-9, each year after the date of the
32		certification of the total initial equalized assessed value as
33		adjusted until redevelopment project costs and all municipal
34		obligations financing redevelopment project costs have been

1		paid the ad valorem taxes, if any, arising from the levies upon
2		the taxable real property in such redevelopment project area by
3		taxing districts and tax rates determined in the manner
4		provided in paragraph (c) of Section 11-74.4-9 shall be divided
5		as follows:
6		(1) That portion of the taxes levied upon each taxable
7		lot, block, tract or parcel of real property which is
8		attributable to the lower of the current equalized assessed
9		value or "current equalized assessed value as adjusted" or
10		the initial equalized assessed value of each such taxable
11		lot, block, tract, or parcel of real property existing at
12		the time tax increment financing was adopted, minus the
13		total current homestead exemptions provided by Sections
14		15-170, and 15-175, and 15-176 of the Property Tax Code in
15		the redevelopment project area shall be allocated to and
16		when collected shall be paid by the county collector to the
17		respective affected taxing districts in the manner
18		required by law in the absence of the adoption of tax
19		increment allocation financing.
20		(2) That portion, if any, of such taxes which is
21		attributable to the increase in the current equalized
22		assessed valuation of each taxable lot, block, tract, or
23		parcel of real property in the redevelopment project area,
24		over and above the initial equalized assessed value of each
25		property existing at the time tax increment financing was
26		adopted, minus the total current homestead exemptions
27		pertaining to each piece of property provided by Sections
28		15-170, and 15-175, and 15-176 of the Property Tax Code in
29		the redevelopment project area, shall be allocated to and
30		when collected shall be paid to the municipal Treasurer,
31		who shall deposit said taxes into a special fund called the
32		special tax allocation fund of the municipality for the
33		purpose of paying redevelopment project costs and
34		obligations incurred in the payment thereof.

1		The municipality may pledge in the ordinance the funds in
2		and to be deposited in the special tax allocation fund for the
3		payment of such costs and obligations. No part of the current
4		equalized assessed valuation of each property in the
5		redevelopment project area attributable to any increase above
6		the total initial equalized assessed value, or the total
7		initial equalized assessed value as adjusted, of such
8		properties shall be used in calculating the general State
9		school aid formula, provided for in Section 18-8 of the School
10		Code, until such time as all redevelopment project costs have
11		been paid as provided for in this Section.
12		Whenever a municipality issues bonds for the purpose of
13		financing redevelopment project costs, such municipality may
14		provide by ordinance for the appointment of a trustee, which
15		may be any trust company within the State, and for the
16		establishment of such funds or accounts to be maintained by
17		such trustee as the municipality shall deem necessary to
18		provide for the security and payment of the bonds. If such
19		municipality provides for the appointment of a trustee, such
20		trustee shall be considered the assignee of any payments
21		assigned by the municipality pursuant to such ordinance and
22		this Section. Any amounts paid to such trustee as assignee
23		shall be deposited in the funds or accounts established
24		pursuant to such trust agreement, and shall be held by such
25		trustee in trust for the benefit of the holders of the bonds,
26		and such holders shall have a lien on and a security interest
27		in such funds or accounts so long as the bonds remain
28		outstanding and unpaid. Upon retirement of the bonds, the
29		trustee shall pay over any excess amounts held to the
30		municipality for deposit in the special tax allocation fund.
31		When such redevelopment projects costs, including without
32		limitation all municipal obligations financing redevelopment
33		project costs incurred under this Division, have been paid, all
34		surplus funds then remaining in the special tax allocation fund

1		shall be distributed by being paid by the municipal treasurer
2		to the Department of Revenue, the municipality and the county
3		collector; first to the Department of Revenue and the
4		municipality in direct proportion to the tax incremental
5		revenue received from the State and the municipality, but not
6		to exceed the total incremental revenue received from the State
7		or the municipality less any annual surplus distribution of
8		incremental revenue previously made; with any remaining funds
9		to be paid to the County Collector who shall immediately
10		thereafter pay said funds to the taxing districts in the
11		redevelopment project area in the same manner and proportion as
12		the most recent distribution by the county collector to the
13		affected districts of real property taxes from real property in
14		the redevelopment project area.
15		Upon the payment of all redevelopment project costs, the
16		retirement of obligations, the distribution of any excess
17		monies pursuant to this Section, and final closing of the books
18		and records of the redevelopment project area, the municipality
19		shall adopt an ordinance dissolving the special tax allocation
20		fund for the redevelopment project area and terminating the
21		designation of the redevelopment project area as a
22		redevelopment project area. Title to real or personal property
23		and public improvements acquired by or for the municipality as
24		a result of the redevelopment project and plan shall vest in
25		the municipality when acquired and shall continue to be held by
26		the municipality after the redevelopment project area has been
27		terminated. Municipalities shall notify affected taxing
28		districts prior to November 1 if the redevelopment project area
29		is to be terminated by December 31 of that same year. If a
30		municipality extends estimated dates of completion of a
31		redevelopment project and retirement of obligations to finance
32		a redevelopment project, as allowed by this amendatory Act of
33		1993, that extension shall not extend the property tax
34		increment allocation financing authorized by this Section.

1		Thereafter the rates of the taxing districts shall be extended
2		and taxes levied, collected and distributed in the manner
3		applicable in the absence of the adoption of tax increment
4		allocation financing.
5		Nothing in this Section shall be construed as relieving
6		property in such redevelopment project areas from being
7		assessed as provided in the Property Tax Code or as relieving
8		owners of such property from paying a uniform rate of taxes, as
9		required by Section 4 of Article 9 of the Illinois
10		Constitution.
11		(Source: P.A. 92-16, eff. 6-28-01; 93-298, eff. 7-23-03.)
12		(65 ILCS 5/11-74.4-9) (from Ch. 24, par. 11-74.4-9)
13		Sec. 11-74.4-9. Equalized assessed value of property.
14		(a) If a municipality by ordinance provides for tax
15		increment allocation financing pursuant to Section 11-74.4-8,
16		the county clerk immediately thereafter shall determine (1) the
17		most recently ascertained equalized assessed value of each lot,
18		block, tract or parcel of real property within such
19		redevelopment project area from which shall be deducted the
20		homestead exemptions provided by Sections 15-170, and 15-175,
21		and 15-176 of the Property Tax Code, which value shall be the
22		"initial equalized assessed value" of each such piece of
23		property, and (2) the total equalized assessed value of all
24		taxable real property within such redevelopment project area by
25		adding together the most recently ascertained equalized
26		assessed value of each taxable lot, block, tract, or parcel of
27		real property within such project area, from which shall be
28		deducted the homestead exemptions provided by Sections 15-170,
29		and 15-175, and 15-176 of the Property Tax Code, and shall
30		certify such amount as the "total initial equalized assessed
31		value" of the taxable real property within such project area.
32		(b) In reference to any municipality which has adopted tax
33		increment financing after January 1, 1978, and in respect to

1		which the county clerk has certified the "total initial
2		equalized assessed value" of the property in the redevelopment
3		area, the municipality may thereafter request the clerk in
4		writing to adjust the initial equalized value of all taxable
5		real property within the redevelopment project area by
6		deducting therefrom the exemptions provided for by Sections
7		15-170, and 15-175, and 15-176 of the Property Tax Code
8		applicable to each lot, block, tract or parcel of real property
9		within such redevelopment project area. The county clerk shall
10		immediately after the written request to adjust the total
11		initial equalized value is received determine the total
12		homestead exemptions in the redevelopment project area
13		provided by Sections 15-170, and 15-175, and 15-176 of the
14		Property Tax Code by adding together the homestead exemptions
15		provided by said Sections on each lot, block, tract or parcel
16		of real property within such redevelopment project area and
17		then shall deduct the total of said exemptions from the total
18		initial equalized assessed value. The county clerk shall then
19		promptly certify such amount as the "total initial equalized
20		assessed value as adjusted" of the taxable real property within
21		such redevelopment project area.
22		(c) After the county clerk has certified the "total initial
23		equalized assessed value" of the taxable real property in such
24		area, then in respect to every taxing district containing a
25		redevelopment project area, the county clerk or any other
26		official required by law to ascertain the amount of the
27		equalized assessed value of all taxable property within such
28		district for the purpose of computing the rate per cent of tax
29		to be extended upon taxable property within such district,
30		shall in every year that tax increment allocation financing is
31		in effect ascertain the amount of value of taxable property in
32		a redevelopment project area by including in such amount the
33		lower of the current equalized assessed value or the certified
34		"total initial equalized assessed value" of all taxable real

1		property in such area, except that after he has certified the
2		"total initial equalized assessed value as adjusted" he shall
3		in the year of said certification if tax rates have not been
4		extended and in every year thereafter that tax increment
5		allocation financing is in effect ascertain the amount of value
6		of taxable property in a redevelopment project area by
7		including in such amount the lower of the current equalized
8		assessed value or the certified "total initial equalized
9		assessed value as adjusted" of all taxable real property in
10		such area. The rate per cent of tax determined shall be
11		extended to the current equalized assessed value of all
12		property in the redevelopment project area in the same manner
13		as the rate per cent of tax is extended to all other taxable
14		property in the taxing district. The method of extending taxes
15		established under this Section shall terminate when the
16		municipality adopts an ordinance dissolving the special tax
17		allocation fund for the redevelopment project area. This
18		Division shall not be construed as relieving property owners
19		within a redevelopment project area from paying a uniform rate
20		of taxes upon the current equalized assessed value of their
21		taxable property as provided in the Property Tax Code.
22		(Source: P.A. 88-670, eff. 12-2-94.)
23		(65 ILCS 5/11-74.6-40)
24		Sec. 11-74.6-40. Equalized assessed value determination;
25		property tax extension.
26		(a) If a municipality by ordinance provides for tax
27		increment allocation financing under Section 11-74.6-35, the
28		county clerk immediately thereafter:
29		(1) shall determine the initial equalized assessed
30		value of each parcel of real property in the redevelopment
31		project area, which is the most recently established
32		equalized assessed value of each lot, block, tract or
33		parcel of taxable real property within the redevelopment

1		project area, minus the homestead exemptions provided by
2		Sections 15-170, and 15-175, and 15-176 of the Property Tax
3		Code; and
4		(2) shall certify to the municipality the total initial
5		equalized assessed value of all taxable real property
6		within the redevelopment project area.
7		(b) Any municipality that has established a vacant
8		industrial buildings conservation area may, by ordinance
9		passed after the adoption of tax increment allocation
10		financing, provide that the county clerk immediately
11		thereafter shall again determine:
12		(1) the updated initial equalized assessed value of
13		each lot, block, tract or parcel of real property, which is
14		the most recently ascertained equalized assessed value of
15		each lot, block, tract or parcel of real property within
16		the vacant industrial buildings conservation area; and
17		(2) the total updated initial equalized assessed value
18		of all taxable real property within the redevelopment
19		project area, which is the total of the updated initial
20		equalized assessed value of all taxable real property
21		within the vacant industrial buildings conservation area.
22		The county clerk shall certify to the municipality the
23		total updated initial equalized assessed value of all taxable
24		real property within the industrial buildings conservation
25		area.
26		(c) After the county clerk has certified the total initial
27		equalized assessed value or the total updated initial equalized
28		assessed value of the taxable real property in the area, for
29		each taxing district in which a redevelopment project area is
30		situated, the county clerk or any other official required by
31		law to determine the amount of the equalized assessed value of
32		all taxable property within the district for the purpose of
33		computing the percentage rate of tax to be extended upon
34		taxable property within the district, shall in every year that

1		tax increment allocation financing is in effect determine the
2		total equalized assessed value of taxable property in a
3		redevelopment project area by including in that amount the
4		lower of the current equalized assessed value or the certified
5		total initial equalized assessed value or, if the total of
6		updated equalized assessed value has been certified, the total
7		updated initial equalized assessed value of all taxable real
8		property in the redevelopment project area. After he has
9		certified the total initial equalized assessed value he shall
10		in the year of that certification, if tax rates have not been
11		extended, and in every subsequent year that tax increment
12		allocation financing is in effect, determine the amount of
13		equalized assessed value of taxable property in a redevelopment
14		project area by including in that amount the lower of the
15		current total equalized assessed value or the certified total
16		initial equalized assessed value or, if the total of updated
17		initial equalized assessed values have been certified, the
18		total updated initial equalized assessed value of all taxable
19		real property in the redevelopment project area.
20		(d) The percentage rate of tax determined shall be extended
21		on the current equalized assessed value of all property in the
22		redevelopment project area in the same manner as the rate per
23		cent of tax is extended to all other taxable property in the
24		taxing district. The method of extending taxes established
25		under this Section shall terminate when the municipality adopts
26		an ordinance dissolving the special tax allocation fund for the
27		redevelopment project area. This Law shall not be construed as
28		relieving property owners within a redevelopment project area
29		from paying a uniform rate of taxes upon the current equalized
30		assessed value of their taxable property as provided in the
31		Property Tax Code.
32		(Source: P.A. 88-537; 88-670, eff. 12-2-94.)

33

Section 30. The Economic Development Project Area Tax

1		Increment Allocation Act of 1995 is amended by changing Section
2		45 as follows:
3		(65 ILCS 110/45)
4		Sec. 45. Filing with county clerk; certification of initial
5		equalized assessed value.
6		(a) A municipality that has by ordinance approved an
7		economic development plan, established an economic development
8		project area, and adopted tax increment allocation financing
9		for that area shall file certified copies of the ordinance or
10		ordinances with the county clerk. Upon receiving the ordinance
11		or ordinances, the county clerk shall immediately determine (i)
12		the most recently ascertained equalized assessed value of each
13		lot, block, tract, or parcel of real property within the
14		economic development project area from which shall be deducted
15		the homestead exemptions provided by Sections 15-170, and
16		15-175, and 15-176 of the Property Tax Code (that value being
17		the "initial equalized assessed value" of each such piece of
18		property) and (ii) the total equalized assessed value of all
19		taxable real property within the economic development project
20		area by adding together the most recently ascertained equalized
21		assessed value of each taxable lot, block, tract, or parcel of
22		real property within the economic development project area,
23		from which shall be deducted the homestead exemptions provided
24		by Sections 15-170, and 15-175, and 15-176 of the Property Tax
25		Code, and shall certify that amount as the "total initial
26		equalized assessed value" of the taxable real property within
27		the economic development project area.
28		(b) After the county clerk has certified the "total initial
29		equalized assessed value" of the taxable real property in the
30		economic development project area, then in respect to every
31		taxing district containing an economic development project
32		area, the county clerk or any other official required by law to
33		ascertain the amount of the equalized assessed value of all

1		taxable property within the taxing district for the purpose of
2		computing the rate per cent of tax to be extended upon taxable
3		property within the taxing district shall, in every year that
4		tax increment allocation financing is in effect, ascertain the
5		amount of value of taxable property in an economic development
6		project area by including in that amount the lower of the
7		current equalized assessed value or the certified "total
8		initial equalized assessed value" of all taxable real property
9		in the area. The rate per cent of tax determined shall be
10		extended to the current equalized assessed value of all
11		property in the economic development project area in the same
12		manner as the rate per cent of tax is extended to all other
13		taxable property in the taxing district. The method of
14		extending taxes established under this Section shall terminate
15		when the municipality adopts an ordinance dissolving the
16		special tax allocation fund for the economic development
17		project area. This Act shall not be construed as relieving
18		owners or lessees of property within an economic development
19		project area from paying a uniform rate of taxes upon the
20		current equalized assessed value of their taxable property as
21		provided in the Property Tax Code.
22		(Source: P.A. 89-176, eff. 1-1-96.)

23		Section 35. The School Code is amended by changing Section
24		18-8.05 as follows:
25		(105 ILCS 5/18-8.05)
26		Sec. 18-8.05. Basis for apportionment of general State
27		financial aid and supplemental general State aid to the common
28		schools for the 1998-1999 and subsequent school years.
29		(A) General Provisions.
30		(1) The provisions of this Section apply to the 1998-1999
31		and subsequent school years. The system of general State

1		financial aid provided for in this Section is designed to
2		assure that, through a combination of State financial aid and
3		required local resources, the financial support provided each
4		pupil in Average Daily Attendance equals or exceeds a
5		prescribed per pupil Foundation Level. This formula approach
6		imputes a level of per pupil Available Local Resources and
7		provides for the basis to calculate a per pupil level of
8		general State financial aid that, when added to Available Local
9		Resources, equals or exceeds the Foundation Level. The amount
10		of per pupil general State financial aid for school districts,
11		in general, varies in inverse relation to Available Local
12		Resources. Per pupil amounts are based upon each school
13		district's Average Daily Attendance as that term is defined in
14		this Section.
15		(2) In addition to general State financial aid, school
16		districts with specified levels or concentrations of pupils
17		from low income households are eligible to receive supplemental
18		general State financial aid grants as provided pursuant to
19		subsection (H). The supplemental State aid grants provided for
20		school districts under subsection (H) shall be appropriated for
21		distribution to school districts as part of the same line item
22		in which the general State financial aid of school districts is
23		appropriated under this Section.
24		(3) To receive financial assistance under this Section,
25		school districts are required to file claims with the State
26		Board of Education, subject to the following requirements:
27		(a) Any school district which fails for any given
28		school year to maintain school as required by law, or to
29		maintain a recognized school is not eligible to file for
30		such school year any claim upon the Common School Fund. In
31		case of nonrecognition of one or more attendance centers in
32		a school district otherwise operating recognized schools,
33		the claim of the district shall be reduced in the
34		proportion which the Average Daily Attendance in the

1		attendance center or centers bear to the Average Daily
2		Attendance in the school district. A "recognized school"
3		means any public school which meets the standards as
4		established for recognition by the State Board of
5		Education. A school district or attendance center not
6		having recognition status at the end of a school term is
7		entitled to receive State aid payments due upon a legal
8		claim which was filed while it was recognized.
9		(b) School district claims filed under this Section are
10		subject to Sections 18-9, 18-10, and 18-12, except as
11		otherwise provided in this Section.
12		(c) If a school district operates a full year school
13		under Section 10-19.1, the general State aid to the school
14		district shall be determined by the State Board of
15		Education in accordance with this Section as near as may be
16		applicable.
17		(d) (Blank).
18		(4) Except as provided in subsections (H) and (L), the
19		board of any district receiving any of the grants provided for
20		in this Section may apply those funds to any fund so received
21		for which that board is authorized to make expenditures by law.
22		School districts are not required to exert a minimum
23		Operating Tax Rate in order to qualify for assistance under
24		this Section.
25		(5) As used in this Section the following terms, when
26		capitalized, shall have the meaning ascribed herein:
27		(a) "Average Daily Attendance": A count of pupil
28		attendance in school, averaged as provided for in
29		subsection (C) and utilized in deriving per pupil financial
30		support levels.
31		(b) "Available Local Resources": A computation of
32		local financial support, calculated on the basis of Average
33		Daily Attendance and derived as provided pursuant to
34		subsection (D).

1		(c) "Corporate Personal Property Replacement Taxes":
2		Funds paid to local school districts pursuant to "An Act in
3		relation to the abolition of ad valorem personal property
4		tax and the replacement of revenues lost thereby, and
5		amending and repealing certain Acts and parts of Acts in
6		connection therewith", certified August 14, 1979, as
7		amended (Public Act 81-1st S.S.-1).
8		(d) "Foundation Level": A prescribed level of per pupil
9		financial support as provided for in subsection (B).
10		(e) "Operating Tax Rate": All school district property
11		taxes extended for all purposes, except Bond and Interest,
12		Summer School, Rent, Capital Improvement, and Vocational
13		Education Building purposes.
14		(B) Foundation Level.
15		(1) The Foundation Level is a figure established by the
16		State representing the minimum level of per pupil financial
17		support that should be available to provide for the basic
18		education of each pupil in Average Daily Attendance. As set
19		forth in this Section, each school district is assumed to exert
20		a sufficient local taxing effort such that, in combination with
21		the aggregate of general State financial aid provided the
22		district, an aggregate of State and local resources are
23		available to meet the basic education needs of pupils in the
24		district.
25		(2) For the 1998-1999 school year, the Foundation Level of
26		support is $4,225. For the 1999-2000 school year, the
27		Foundation Level of support is $4,325. For the 2000-2001 school
28		year, the Foundation Level of support is $4,425.
29		(3) For the 2001-2002 school year and 2002-2003 school
30		year, the Foundation Level of support is $4,560.
31		(4) For the 2003-2004 school year and each school year
32		thereafter, the Foundation Level of support is $4,810 or such
33		greater amount as may be established by law by the General

1		Assembly.
2		(C) Average Daily Attendance.
3		(1) For purposes of calculating general State aid pursuant
4		to subsection (E), an Average Daily Attendance figure shall be
5		utilized. The Average Daily Attendance figure for formula
6		calculation purposes shall be the monthly average of the actual
7		number of pupils in attendance of each school district, as
8		further averaged for the best 3 months of pupil attendance for
9		each school district. In compiling the figures for the number
10		of pupils in attendance, school districts and the State Board
11		of Education shall, for purposes of general State aid funding,
12		conform attendance figures to the requirements of subsection
13		(F).
14		(2) The Average Daily Attendance figures utilized in
15		subsection (E) shall be the requisite attendance data for the
16		school year immediately preceding the school year for which
17		general State aid is being calculated or the average of the
18		attendance data for the 3 preceding school years, whichever is
19		greater. The Average Daily Attendance figures utilized in
20		subsection (H) shall be the requisite attendance data for the
21		school year immediately preceding the school year for which
22		general State aid is being calculated.
23		(D) Available Local Resources.
24		(1) For purposes of calculating general State aid pursuant
25		to subsection (E), a representation of Available Local
26		Resources per pupil, as that term is defined and determined in
27		this subsection, shall be utilized. Available Local Resources
28		per pupil shall include a calculated dollar amount representing
29		local school district revenues from local property taxes and
30		from Corporate Personal Property Replacement Taxes, expressed
31		on the basis of pupils in Average Daily Attendance.
32		(2) In determining a school district's revenue from local

1		property taxes, the State Board of Education shall utilize the
2		equalized assessed valuation of all taxable property of each
3		school district as of September 30 of the previous year. The
4		equalized assessed valuation utilized shall be obtained and
5		determined as provided in subsection (G).
6		(3) For school districts maintaining grades kindergarten
7		through 12, local property tax revenues per pupil shall be
8		calculated as the product of the applicable equalized assessed
9		valuation for the district multiplied by 3.00%, and divided by
10		the district's Average Daily Attendance figure. For school
11		districts maintaining grades kindergarten through 8, local
12		property tax revenues per pupil shall be calculated as the
13		product of the applicable equalized assessed valuation for the
14		district multiplied by 2.30%, and divided by the district's
15		Average Daily Attendance figure. For school districts
16		maintaining grades 9 through 12, local property tax revenues
17		per pupil shall be the applicable equalized assessed valuation
18		of the district multiplied by 1.05%, and divided by the
19		district's Average Daily Attendance figure.
20		(4) The Corporate Personal Property Replacement Taxes paid
21		to each school district during the calendar year 2 years before
22		the calendar year in which a school year begins, divided by the
23		Average Daily Attendance figure for that district, shall be
24		added to the local property tax revenues per pupil as derived
25		by the application of the immediately preceding paragraph (3).
26		The sum of these per pupil figures for each school district
27		shall constitute Available Local Resources as that term is
28		utilized in subsection (E) in the calculation of general State
29		aid.
30		(E) Computation of General State Aid.
31		(1) For each school year, the amount of general State aid
32		allotted to a school district shall be computed by the State
33		Board of Education as provided in this subsection.

1		(2) For any school district for which Available Local
2		Resources per pupil is less than the product of 0.93 times the
3		Foundation Level, general State aid for that district shall be
4		calculated as an amount equal to the Foundation Level minus
5		Available Local Resources, multiplied by the Average Daily
6		Attendance of the school district.
7		(3) For any school district for which Available Local
8		Resources per pupil is equal to or greater than the product of
9		0.93 times the Foundation Level and less than the product of
10		1.75 times the Foundation Level, the general State aid per
11		pupil shall be a decimal proportion of the Foundation Level
12		derived using a linear algorithm. Under this linear algorithm,
13		the calculated general State aid per pupil shall decline in
14		direct linear fashion from 0.07 times the Foundation Level for
15		a school district with Available Local Resources equal to the
16		product of 0.93 times the Foundation Level, to 0.05 times the
17		Foundation Level for a school district with Available Local
18		Resources equal to the product of 1.75 times the Foundation
19		Level. The allocation of general State aid for school districts
20		subject to this paragraph 3 shall be the calculated general
21		State aid per pupil figure multiplied by the Average Daily
22		Attendance of the school district.
23		(4) For any school district for which Available Local
24		Resources per pupil equals or exceeds the product of 1.75 times
25		the Foundation Level, the general State aid for the school
26		district shall be calculated as the product of $218 multiplied
27		by the Average Daily Attendance of the school district.
28		(5) The amount of general State aid allocated to a school
29		district for the 1999-2000 school year meeting the requirements
30		set forth in paragraph (4) of subsection (G) shall be increased
31		by an amount equal to the general State aid that would have
32		been received by the district for the 1998-1999 school year by
33		utilizing the Extension Limitation Equalized Assessed
34		Valuation as calculated in paragraph (4) of subsection (G) less

1		the general State aid allotted for the 1998-1999 school year.
2		This amount shall be deemed a one time increase, and shall not
3		affect any future general State aid allocations.
4		(F) Compilation of Average Daily Attendance.
5		(1) Each school district shall, by July 1 of each year,
6		submit to the State Board of Education, on forms prescribed by
7		the State Board of Education, attendance figures for the school
8		year that began in the preceding calendar year. The attendance
9		information so transmitted shall identify the average daily
10		attendance figures for each month of the school year. Beginning
11		with the general State aid claim form for the 2002-2003 school
12		year, districts shall calculate Average Daily Attendance as
13		provided in subdivisions (a), (b), and (c) of this paragraph
14		(1).
15		(a) In districts that do not hold year-round classes,
16		days of attendance in August shall be added to the month of
17		September and any days of attendance in June shall be added
18		to the month of May.
19		(b) In districts in which all buildings hold year-round
20		classes, days of attendance in July and August shall be
21		added to the month of September and any days of attendance
22		in June shall be added to the month of May.
23		(c) In districts in which some buildings, but not all,
24		hold year-round classes, for the non-year-round buildings,
25		days of attendance in August shall be added to the month of
26		September and any days of attendance in June shall be added
27		to the month of May. The average daily attendance for the
28		year-round buildings shall be computed as provided in
29		subdivision (b) of this paragraph (1). To calculate the
30		Average Daily Attendance for the district, the average
31		daily attendance for the year-round buildings shall be
32		multiplied by the days in session for the non-year-round
33		buildings for each month and added to the monthly

1		attendance of the non-year-round buildings.
2		Except as otherwise provided in this Section, days of
3		attendance by pupils shall be counted only for sessions of not
4		less than 5 clock hours of school work per day under direct
5		supervision of: (i) teachers, or (ii) non-teaching personnel or
6		volunteer personnel when engaging in non-teaching duties and
7		supervising in those instances specified in subsection (a) of
8		Section 10-22.34 and paragraph 10 of Section 34-18, with pupils
9		of legal school age and in kindergarten and grades 1 through
10		12.
11		Days of attendance by tuition pupils shall be accredited
12		only to the districts that pay the tuition to a recognized
13		school.
14		(2) Days of attendance by pupils of less than 5 clock hours
15		of school shall be subject to the following provisions in the
16		compilation of Average Daily Attendance.
17		(a) Pupils regularly enrolled in a public school for
18		only a part of the school day may be counted on the basis
19		of 1/6 day for every class hour of instruction of 40
20		minutes or more attended pursuant to such enrollment,
21		unless a pupil is enrolled in a block-schedule format of 80
22		minutes or more of instruction, in which case the pupil may
23		be counted on the basis of the proportion of minutes of
24		school work completed each day to the minimum number of
25		minutes that school work is required to be held that day.
26		(b) Days of attendance may be less than 5 clock hours
27		on the opening and closing of the school term, and upon the
28		first day of pupil attendance, if preceded by a day or days
29		utilized as an institute or teachers' workshop.
30		(c) A session of 4 or more clock hours may be counted
31		as a day of attendance upon certification by the regional
32		superintendent, and approved by the State Superintendent
33		of Education to the extent that the district has been
34		forced to use daily multiple sessions.

1		(d) A session of 3 or more clock hours may be counted
2		as a day of attendance (1) when the remainder of the school
3		day or at least 2 hours in the evening of that day is
4		utilized for an in-service training program for teachers,
5		up to a maximum of 5 days per school year of which a
6		maximum of 4 days of such 5 days may be used for
7		parent-teacher conferences, provided a district conducts
8		an in-service training program for teachers which has been
9		approved by the State Superintendent of Education; or, in
10		lieu of 4 such days, 2 full days may be used, in which
11		event each such day may be counted as a day of attendance;
12		and (2) when days in addition to those provided in item (1)
13		are scheduled by a school pursuant to its school
14		improvement plan adopted under Article 34 or its revised or
15		amended school improvement plan adopted under Article 2,
16		provided that (i) such sessions of 3 or more clock hours
17		are scheduled to occur at regular intervals, (ii) the
18		remainder of the school days in which such sessions occur
19		are utilized for in-service training programs or other
20		staff development activities for teachers, and (iii) a
21		sufficient number of minutes of school work under the
22		direct supervision of teachers are added to the school days
23		between such regularly scheduled sessions to accumulate
24		not less than the number of minutes by which such sessions
25		of 3 or more clock hours fall short of 5 clock hours. Any
26		full days used for the purposes of this paragraph shall not
27		be considered for computing average daily attendance. Days
28		scheduled for in-service training programs, staff
29		development activities, or parent-teacher conferences may
30		be scheduled separately for different grade levels and
31		different attendance centers of the district.
32		(e) A session of not less than one clock hour of
33		teaching hospitalized or homebound pupils on-site or by
34		telephone to the classroom may be counted as 1/2 day of

1		attendance, however these pupils must receive 4 or more
2		clock hours of instruction to be counted for a full day of
3		attendance.
4		(f) A session of at least 4 clock hours may be counted
5		as a day of attendance for first grade pupils, and pupils
6		in full day kindergartens, and a session of 2 or more hours
7		may be counted as 1/2 day of attendance by pupils in
8		kindergartens which provide only 1/2 day of attendance.
9		(g) For children with disabilities who are below the
10		age of 6 years and who cannot attend 2 or more clock hours
11		because of their disability or immaturity, a session of not
12		less than one clock hour may be counted as 1/2 day of
13		attendance; however for such children whose educational
14		needs so require a session of 4 or more clock hours may be
15		counted as a full day of attendance.
16		(h) A recognized kindergarten which provides for only
17		1/2 day of attendance by each pupil shall not have more
18		than 1/2 day of attendance counted in any one day. However,
19		kindergartens may count 2 1/2 days of attendance in any 5
20		consecutive school days. When a pupil attends such a
21		kindergarten for 2 half days on any one school day, the
22		pupil shall have the following day as a day absent from
23		school, unless the school district obtains permission in
24		writing from the State Superintendent of Education.
25		Attendance at kindergartens which provide for a full day of
26		attendance by each pupil shall be counted the same as
27		attendance by first grade pupils. Only the first year of
28		attendance in one kindergarten shall be counted, except in
29		case of children who entered the kindergarten in their
30		fifth year whose educational development requires a second
31		year of kindergarten as determined under the rules and
32		regulations of the State Board of Education.
33		(G) Equalized Assessed Valuation Data.

1		(1) For purposes of the calculation of Available Local
2		Resources required pursuant to subsection (D), the State Board
3		of Education shall secure from the Department of Revenue the
4		value as equalized or assessed by the Department of Revenue of
5		all taxable property of every school district, together with
6		(i) the applicable tax rate used in extending taxes for the
7		funds of the district as of September 30 of the previous year
8		and (ii) the limiting rate for all school districts subject to
9		property tax extension limitations as imposed under the
10		Property Tax Extension Limitation Law.
11		The Department of Revenue shall add to the equalized
12		assessed value of all taxable property of each school district
13		situated entirely or partially within a county with 3,000,000
14		or more inhabitants an amount equal to the total amount by
15		which the homestead exemption allowed under Section 15-176 of
16		the Property Tax Code for real property located in Cook County
17		and situated in that school district exceeds the total amount
18		that would have been allowed in that school district if the
19		maximum reduction under Section 15-176 was $4,500. The county
20		clerk of any county with 3,000,000 or more inhabitants shall
21		annually calculate and certify to the Department of Revenue for
22		each school district all homestead exemption amounts under
23		Section 15-176. It is the intent of this paragraph that if the
24		general homestead exemption for a parcel of property is
25		determined under Section 15-176 of the Property Tax Code rather
26		than Section 15-175, then the calculation of Available Local
27		Resources shall not be affected by the difference, if any,
28		between the amount of the general homestead exemption allowed
29		for that parcel of property under Section 15-176 of the
30		Property Tax Code and the amount that would have been allowed
31		had the general homestead exemption for that parcel of property
32		been determined under Section 15-175 of the Property Tax Code.
33		This equalized assessed valuation, as adjusted further by
34		the requirements of this subsection, shall be utilized in the

1		calculation of Available Local Resources.
2		(2) The equalized assessed valuation in paragraph (1) shall
3		be adjusted, as applicable, in the following manner:
4		(a) For the purposes of calculating State aid under
5		this Section, with respect to any part of a school district
6		within a redevelopment project area in respect to which a
7		municipality has adopted tax increment allocation
8		financing pursuant to the Tax Increment Allocation
9		Redevelopment Act, Sections 11-74.4-1 through 11-74.4-11
10		of the Illinois Municipal Code or the Industrial Jobs
11		Recovery Law, Sections 11-74.6-1 through 11-74.6-50 of the
12		Illinois Municipal Code, no part of the current equalized
13		assessed valuation of real property located in any such
14		project area which is attributable to an increase above the
15		total initial equalized assessed valuation of such
16		property shall be used as part of the equalized assessed
17		valuation of the district, until such time as all
18		redevelopment project costs have been paid, as provided in
19		Section 11-74.4-8 of the Tax Increment Allocation
20		Redevelopment Act or in Section 11-74.6-35 of the
21		Industrial Jobs Recovery Law. For the purpose of the
22		equalized assessed valuation of the district, the total
23		initial equalized assessed valuation or the current
24		equalized assessed valuation, whichever is lower, shall be
25		used until such time as all redevelopment project costs
26		have been paid.
27		(b) The real property equalized assessed valuation for
28		a school district shall be adjusted by subtracting from the
29		real property value as equalized or assessed by the
30		Department of Revenue for the district an amount computed
31		by dividing the amount of any abatement of taxes under
32		Section 18-170 of the Property Tax Code by 3.00% for a
33		district maintaining grades kindergarten through 12, by
34		2.30% for a district maintaining grades kindergarten

1		through 8, or by 1.05% for a district maintaining grades 9
2		through 12 and adjusted by an amount computed by dividing
3		the amount of any abatement of taxes under subsection (a)
4		of Section 18-165 of the Property Tax Code by the same
5		percentage rates for district type as specified in this
6		subparagraph (b).
7		(3) For the 1999-2000 school year and each school year
8		thereafter, if a school district meets all of the criteria of
9		this subsection (G)(3), the school district's Available Local
10		Resources shall be calculated under subsection (D) using the
11		district's Extension Limitation Equalized Assessed Valuation
12		as calculated under this subsection (G)(3).
13		For purposes of this subsection (G)(3) the following terms
14		shall have the following meanings:
15		"Budget Year": The school year for which general State
16		aid is calculated and awarded under subsection (E).
17		"Base Tax Year": The property tax levy year used to
18		calculate the Budget Year allocation of general State aid.
19		"Preceding Tax Year": The property tax levy year
20		immediately preceding the Base Tax Year.
21		"Base Tax Year's Tax Extension": The product of the
22		equalized assessed valuation utilized by the County Clerk
23		in the Base Tax Year multiplied by the limiting rate as
24		calculated by the County Clerk and defined in the Property
25		Tax Extension Limitation Law.
26		"Preceding Tax Year's Tax Extension": The product of
27		the equalized assessed valuation utilized by the County
28		Clerk in the Preceding Tax Year multiplied by the Operating
29		Tax Rate as defined in subsection (A).
30		"Extension Limitation Ratio": A numerical ratio,
31		certified by the County Clerk, in which the numerator is
32		the Base Tax Year's Tax Extension and the denominator is
33		the Preceding Tax Year's Tax Extension.
34		"Operating Tax Rate": The operating tax rate as defined

1		in subsection (A).
2		If a school district is subject to property tax extension
3		limitations as imposed under the Property Tax Extension
4		Limitation Law, the State Board of Education shall calculate
5		the Extension Limitation Equalized Assessed Valuation of that
6		district. For the 1999-2000 school year, the Extension
7		Limitation Equalized Assessed Valuation of a school district as
8		calculated by the State Board of Education shall be equal to
9		the product of the district's 1996 Equalized Assessed Valuation
10		and the district's Extension Limitation Ratio. For the
11		2000-2001 school year and each school year thereafter, the
12		Extension Limitation Equalized Assessed Valuation of a school
13		district as calculated by the State Board of Education shall be
14		equal to the product of the Equalized Assessed Valuation last
15		used in the calculation of general State aid and the district's
16		Extension Limitation Ratio. If the Extension Limitation
17		Equalized Assessed Valuation of a school district as calculated
18		under this subsection (G)(3) is less than the district's
19		equalized assessed valuation as calculated pursuant to
20		subsections (G)(1) and (G)(2), then for purposes of calculating
21		the district's general State aid for the Budget Year pursuant
22		to subsection (E), that Extension Limitation Equalized
23		Assessed Valuation shall be utilized to calculate the
24		district's Available Local Resources under subsection (D).
25		(4) For the purposes of calculating general State aid for
26		the 1999-2000 school year only, if a school district
27		experienced a triennial reassessment on the equalized assessed
28		valuation used in calculating its general State financial aid
29		apportionment for the 1998-1999 school year, the State Board of
30		Education shall calculate the Extension Limitation Equalized
31		Assessed Valuation that would have been used to calculate the
32		district's 1998-1999 general State aid. This amount shall equal
33		the product of the equalized assessed valuation used to
34		calculate general State aid for the 1997-1998 school year and

1		the district's Extension Limitation Ratio. If the Extension
2		Limitation Equalized Assessed Valuation of the school district
3		as calculated under this paragraph (4) is less than the
4		district's equalized assessed valuation utilized in
5		calculating the district's 1998-1999 general State aid
6		allocation, then for purposes of calculating the district's
7		general State aid pursuant to paragraph (5) of subsection (E),
8		that Extension Limitation Equalized Assessed Valuation shall
9		be utilized to calculate the district's Available Local
10		Resources.
11		(5) For school districts having a majority of their
12		equalized assessed valuation in any county except Cook, DuPage,
13		Kane, Lake, McHenry, or Will, if the amount of general State
14		aid allocated to the school district for the 1999-2000 school
15		year under the provisions of subsection (E), (H), and (J) of
16		this Section is less than the amount of general State aid
17		allocated to the district for the 1998-1999 school year under
18		these subsections, then the general State aid of the district
19		for the 1999-2000 school year only shall be increased by the
20		difference between these amounts. The total payments made under
21		this paragraph (5) shall not exceed $14,000,000. Claims shall
22		be prorated if they exceed $14,000,000.
23		(H) Supplemental General State Aid.
24		(1) In addition to the general State aid a school district
25		is allotted pursuant to subsection (E), qualifying school
26		districts shall receive a grant, paid in conjunction with a
27		district's payments of general State aid, for supplemental
28		general State aid based upon the concentration level of
29		children from low-income households within the school
30		district. Supplemental State aid grants provided for school
31		districts under this subsection shall be appropriated for
32		distribution to school districts as part of the same line item
33		in which the general State financial aid of school districts is

1		appropriated under this Section. If the appropriation in any
2		fiscal year for general State aid and supplemental general
3		State aid is insufficient to pay the amounts required under the
4		general State aid and supplemental general State aid
5		calculations, then the State Board of Education shall ensure
6		that each school district receives the full amount due for
7		general State aid and the remainder of the appropriation shall
8		be used for supplemental general State aid, which the State
9		Board of Education shall calculate and pay to eligible
10		districts on a prorated basis.
11		(1.5) This paragraph (1.5) applies only to those school
12		years preceding the 2003-2004 school year. For purposes of this
13		subsection (H), 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 Daily
16		Attendance of the school district. If, however, (i) the
17		percentage decrease from the 2 most recent federal censuses in
18		the low-income eligible pupil count of a high school district
19		with fewer than 400 students exceeds by 75% or more the
20		percentage change in the total low-income eligible pupil count
21		of contiguous elementary school districts, whose boundaries
22		are coterminous with the high school district, or (ii) a high
23		school district within 2 counties and serving 5 elementary
24		school districts, whose boundaries are coterminous with the
25		high school district, has a percentage decrease from the 2 most
26		recent federal censuses in the low-income eligible pupil count
27		and there is a percentage increase in the total low-income
28		eligible pupil count of a majority of the elementary school
29		districts in excess of 50% from the 2 most recent federal
30		censuses, then the high school district's low-income eligible
31		pupil count from the earlier federal census shall be the number
32		used as the low-income eligible pupil count for the high school
33		district, for purposes of this subsection (H). The changes made
34		to this paragraph (1) by Public Act 92-28 shall apply to

1		supplemental general State aid grants for school years
2		preceding the 2003-2004 school year that are paid in fiscal
3		year 1999 or thereafter and to any State aid payments made in
4		fiscal year 1994 through fiscal year 1998 pursuant to
5		subsection 1(n) of Section 18-8 of this Code (which was
6		repealed on July 1, 1998), and any high school district that is
7		affected by Public Act 92-28 is entitled to a recomputation of
8		its supplemental general State aid grant or State aid paid in
9		any of those fiscal years. This recomputation shall not be
10		affected by any other funding.
11		(1.10) This paragraph (1.10) applies to the 2003-2004
12		school year and each school year thereafter. For purposes of
13		this subsection (H), the term "Low-Income Concentration Level"
14		shall, for each fiscal year, be the low-income eligible pupil
15		count as of July 1 of the immediately preceding fiscal year (as
16		determined by the Department of Human Services based on the
17		number of pupils who are eligible for at least one of the
18		following low income programs: Medicaid, KidCare, TANF, or Food
19		Stamps, excluding pupils who are eligible for services provided
20		by the Department of Children and Family Services, averaged
21		over the 2 immediately preceding fiscal years for fiscal year
22		2004 and over the 3 immediately preceding fiscal years for each
23		fiscal year thereafter) divided by the Average Daily Attendance
24		of the school district.
25		(2) Supplemental general State aid pursuant to this
26		subsection (H) shall be provided as follows for the 1998-1999,
27		1999-2000, and 2000-2001 school years only:
28		(a) For any school district with a Low Income
29		Concentration Level of at least 20% and less than 35%, the
30		grant for any school year shall be $800 multiplied by the
31		low income eligible pupil count.
32		(b) For any school district with a Low Income
33		Concentration Level of at least 35% and less than 50%, the
34		grant for the 1998-1999 school year shall be $1,100

1		multiplied by the low income eligible pupil count.
2		(c) For any school district with a Low Income
3		Concentration Level of at least 50% and less than 60%, the
4		grant for the 1998-99 school year shall be $1,500
5		multiplied by the low income eligible pupil count.
6		(d) For any school district with a Low Income
7		Concentration Level of 60% or more, the grant for the
8		1998-99 school year shall be $1,900 multiplied by the low
9		income eligible pupil count.
10		(e) For the 1999-2000 school year, the per pupil amount
11		specified in subparagraphs (b), (c), and (d) immediately
12		above shall be increased to $1,243, $1,600, and $2,000,
13		respectively.
14		(f) For the 2000-2001 school year, the per pupil
15		amounts specified in subparagraphs (b), (c), and (d)
16		immediately above shall be $1,273, $1,640, and $2,050,
17		respectively.
18		(2.5) Supplemental general State aid pursuant to this
19		subsection (H) shall be provided as follows for the 2002-2003
20		school year:
21		(a) For any school district with a Low Income
22		Concentration Level of less than 10%, the grant for each
23		school year shall be $355 multiplied by the low income
24		eligible pupil count.
25		(b) For any school district with a Low Income
26		Concentration Level of at least 10% and less than 20%, the
27		grant for each school year shall be $675 multiplied by the
28		low income eligible pupil count.
29		(c) For any school district with a Low Income
30		Concentration Level of at least 20% and less than 35%, the
31		grant for each school year shall be $1,330 multiplied by
32		the low income eligible pupil count.
33		(d) For any school district with a Low Income
34		Concentration Level of at least 35% and less than 50%, the

1		grant for each school year shall be $1,362 multiplied by
2		the low income eligible pupil count.
3		(e) For any school district with a Low Income
4		Concentration Level of at least 50% and less than 60%, the
5		grant for each school year shall be $1,680 multiplied by
6		the low income eligible pupil count.
7		(f) For any school district with a Low Income
8		Concentration Level of 60% or more, the grant for each
9		school year shall be $2,080 multiplied by the low income
10		eligible pupil count.
11		(2.10) Except as otherwise provided, supplemental general
12		State aid pursuant to this subsection (H) shall be provided as
13		follows for the 2003-2004 school year and each school year
14		thereafter:
15		(a) For any school district with a Low Income
16		Concentration Level of 15% or less, the grant for each
17		school year shall be $355 multiplied by the low income
18		eligible pupil count.
19		(b) For any school district with a Low Income
20		Concentration Level greater than 15%, the grant for each
21		school year shall be $294.25 added to the product of $2,700
22		and the square of the Low Income Concentration Level, all
23		multiplied by the low income eligible pupil count.
24		For the 2003-2004 school year only, the grant shall be no
25		less than the grant for the 2002-2003 school year. For the
26		2004-2005 school year only, the grant shall be no less than the
27		grant for the 2002-2003 school year multiplied by 0.66. For the
28		2005-2006 school year only, the grant shall be no less than the
29		grant for the 2002-2003 school year multiplied by 0.33.
30		For the 2003-2004 school year only, the grant shall be no
31		greater than the grant received during the 2002-2003 school
32		year added to the product of 0.25 multiplied by the difference
33		between the grant amount calculated under subsection (a) or (b)
34		of this paragraph (2.10), whichever is applicable, and the

1		grant received during the 2002-2003 school year. For the
2		2004-2005 school year only, the grant shall be no greater than
3		the grant received during the 2002-2003 school year added to
4		the product of 0.50 multiplied by the difference between the
5		grant amount calculated under subsection (a) or (b) of this
6		paragraph (2.10), whichever is applicable, and the grant
7		received during the 2002-2003 school year. For the 2005-2006
8		school year only, the grant shall be no greater than the grant
9		received during the 2002-2003 school year added to the product
10		of 0.75 multiplied by the difference between the grant amount
11		calculated under subsection (a) or (b) of this paragraph
12		(2.10), whichever is applicable, and the grant received during
13		the 2002-2003 school year.
14		(3) School districts with an Average Daily Attendance of
15		more than 1,000 and less than 50,000 that qualify for
16		supplemental general State aid pursuant to this subsection
17		shall submit a plan to the State Board of Education prior to
18		October 30 of each year for the use of the funds resulting from
19		this grant of supplemental general State aid for the
20		improvement of instruction in which priority is given to
21		meeting the education needs of disadvantaged children. Such
22		plan shall be submitted in accordance with rules and
23		regulations promulgated by the State Board of Education.
24		(4) School districts with an Average Daily Attendance of
25		50,000 or more that qualify for supplemental general State aid
26		pursuant to this subsection shall be required to distribute
27		from funds available pursuant to this Section, no less than
28		$261,000,000 in accordance with the following requirements:
29		(a) The required amounts shall be distributed to the
30		attendance centers within the district in proportion to the
31		number of pupils enrolled at each attendance center who are
32		eligible to receive free or reduced-price lunches or
33		breakfasts under the federal Child Nutrition Act of 1966
34		and under the National School Lunch Act during the

1		immediately preceding school year.
2		(b) The distribution of these portions of supplemental
3		and general State aid among attendance centers according to
4		these requirements shall not be compensated for or
5		contravened by adjustments of the total of other funds
6		appropriated to any attendance centers, and the Board of
7		Education shall utilize funding from one or several sources
8		in order to fully implement this provision annually prior
9		to the opening of school.
10		(c) Each attendance center shall be provided by the
11		school district a distribution of noncategorical funds and
12		other categorical funds to which an attendance center is
13		entitled under law in order that the general State aid and
14		supplemental general State aid provided by application of
15		this subsection supplements rather than supplants the
16		noncategorical funds and other categorical funds provided
17		by the school district to the attendance centers.
18		(d) Any funds made available under this subsection that
19		by reason of the provisions of this subsection are not
20		required to be allocated and provided to attendance centers
21		may be used and appropriated by the board of the district
22		for any lawful school purpose.
23		(e) Funds received by an attendance center pursuant to
24		this subsection shall be used by the attendance center at
25		the discretion of the principal and local school council
26		for programs to improve educational opportunities at
27		qualifying schools through the following programs and
28		services: early childhood education, reduced class size or
29		improved adult to student classroom ratio, enrichment
30		programs, remedial assistance, attendance improvement, and
31		other educationally beneficial expenditures which
32		supplement the regular and basic programs as determined by
33		the State Board of Education. Funds provided shall not be
34		expended for any political or lobbying purposes as defined

1		by board rule.
2		(f) Each district subject to the provisions of this
3		subdivision (H)(4) shall submit an acceptable plan to meet
4		the educational needs of disadvantaged children, in
5		compliance with the requirements of this paragraph, to the
6		State Board of Education prior to July 15 of each year.
7		This plan shall be consistent with the decisions of local
8		school councils concerning the school expenditure plans
9		developed in accordance with part 4 of Section 34-2.3. The
10		State Board shall approve or reject the plan within 60 days
11		after its submission. If the plan is rejected, the district
12		shall give written notice of intent to modify the plan
13		within 15 days of the notification of rejection and then
14		submit a modified plan within 30 days after the date of the
15		written notice of intent to modify. Districts may amend
16		approved plans pursuant to rules promulgated by the State
17		Board of Education.
18		Upon notification by the State Board of Education that
19		the district has not submitted a plan prior to July 15 or a
20		modified plan within the time period specified herein, the
21		State aid funds affected by that plan or modified plan
22		shall be withheld by the State Board of Education until a
23		plan or modified plan is submitted.
24		If the district fails to distribute State aid to
25		attendance centers in accordance with an approved plan, the
26		plan for the following year shall allocate funds, in
27		addition to the funds otherwise required by this
28		subsection, to those attendance centers which were
29		underfunded during the previous year in amounts equal to
30		such underfunding.
31		For purposes of determining compliance with this
32		subsection in relation to the requirements of attendance
33		center funding, each district subject to the provisions of
34		this subsection shall submit as a separate document by

1		December 1 of each year a report of expenditure data for
2		the prior year in addition to any modification of its
3		current plan. If it is determined that there has been a
4		failure to comply with the expenditure provisions of this
5		subsection regarding contravention or supplanting, the
6		State Superintendent of Education shall, within 60 days of
7		receipt of the report, notify the district and any affected
8		local school council. The district shall within 45 days of
9		receipt of that notification inform the State
10		Superintendent of Education of the remedial or corrective
11		action to be taken, whether by amendment of the current
12		plan, if feasible, or by adjustment in the plan for the
13		following year. Failure to provide the expenditure report
14		or the notification of remedial or corrective action in a
15		timely manner shall result in a withholding of the affected
16		funds.
17		The State Board of Education shall promulgate rules and
18		regulations to implement the provisions of this
19		subsection. No funds shall be released under this
20		subdivision (H)(4) to any district that has not submitted a
21		plan that has been approved by the State Board of
22		Education.
23		(I) General State Aid for Newly Configured School Districts.
24		(1) For a new school district formed by combining property
25		included totally within 2 or more previously existing school
26		districts, for its first year of existence the general State
27		aid and supplemental general State aid calculated under this
28		Section shall be computed for the new district and for the
29		previously existing districts for which property is totally
30		included within the new district. If the computation on the
31		basis of the previously existing districts is greater, a
32		supplementary payment equal to the difference shall be made for
33		the first 4 years of existence of the new district.

1		(2) For a school district which annexes all of the
2		territory of one or more entire other school districts, for the
3		first year during which the change of boundaries attributable
4		to such annexation becomes effective for all purposes as
5		determined under Section 7-9 or 7A-8, the general State aid and
6		supplemental general State aid calculated under this Section
7		shall be computed for the annexing district as constituted
8		after the annexation and for the annexing and each annexed
9		district as constituted prior to the annexation; and if the
10		computation on the basis of the annexing and annexed districts
11		as constituted prior to the annexation is greater, a
12		supplementary payment equal to the difference shall be made for
13		the first 4 years of existence of the annexing school district
14		as constituted upon such annexation.
15		(3) For 2 or more school districts which annex all of the
16		territory of one or more entire other school districts, and for
17		2 or more community unit districts which result upon the
18		division (pursuant to petition under Section 11A-2) of one or
19		more other unit school districts into 2 or more parts and which
20		together include all of the parts into which such other unit
21		school district or districts are so divided, for the first year
22		during which the change of boundaries attributable to such
23		annexation or division becomes effective for all purposes as
24		determined under Section 7-9 or 11A-10, as the case may be, the
25		general State aid and supplemental general State aid calculated
26		under this Section shall be computed for each annexing or
27		resulting district as constituted after the annexation or
28		division and for each annexing and annexed district, or for
29		each resulting and divided district, as constituted prior to
30		the annexation or division; and if the aggregate of the general
31		State aid and supplemental general State aid as so computed for
32		the annexing or resulting districts as constituted after the
33		annexation or division is less than the aggregate of the
34		general State aid and supplemental general State aid as so

1		computed for the annexing and annexed districts, or for the
2		resulting and divided districts, as constituted prior to the
3		annexation or division, then a supplementary payment equal to
4		the difference shall be made and allocated between or among the
5		annexing or resulting districts, as constituted upon such
6		annexation or division, for the first 4 years of their
7		existence. The total difference payment shall be allocated
8		between or among the annexing or resulting districts in the
9		same ratio as the pupil enrollment from that portion of the
10		annexed or divided district or districts which is annexed to or
11		included in each such annexing or resulting district bears to
12		the total pupil enrollment from the entire annexed or divided
13		district or districts, as such pupil enrollment is determined
14		for the school year last ending prior to the date when the
15		change of boundaries attributable to the annexation or division
16		becomes effective for all purposes. The amount of the total
17		difference payment and the amount thereof to be allocated to
18		the annexing or resulting districts shall be computed by the
19		State Board of Education on the basis of pupil enrollment and
20		other data which shall be certified to the State Board of
21		Education, on forms which it shall provide for that purpose, by
22		the regional superintendent of schools for each educational
23		service region in which the annexing and annexed districts, or
24		resulting and divided districts are located.
25		(3.5) Claims for financial assistance under this
26		subsection (I) shall not be recomputed except as expressly
27		provided under this Section.
28		(4) Any supplementary payment made under this subsection
29		(I) shall be treated as separate from all other payments made
30		pursuant to this Section.
31		(J) Supplementary Grants in Aid.
32		(1) Notwithstanding any other provisions of this Section,
33		the amount of the aggregate general State aid in combination

1		with supplemental general State aid under this Section for
2		which each school district is eligible shall be no less than
3		the amount of the aggregate general State aid entitlement that
4		was received by the district under Section 18-8 (exclusive of
5		amounts received under subsections 5(p) and 5(p-5) of that
6		Section) for the 1997-98 school year, pursuant to the
7		provisions of that Section as it was then in effect. If a
8		school district qualifies to receive a supplementary payment
9		made under this subsection (J), the amount of the aggregate
10		general State aid in combination with supplemental general
11		State aid under this Section which that district is eligible to
12		receive for each school year shall be no less than the amount
13		of the aggregate general State aid entitlement that was
14		received by the district under Section 18-8 (exclusive of
15		amounts received under subsections 5(p) and 5(p-5) of that
16		Section) for the 1997-1998 school year, pursuant to the
17		provisions of that Section as it was then in effect.
18		(2) If, as provided in paragraph (1) of this subsection
19		(J), a school district is to receive aggregate general State
20		aid in combination with supplemental general State aid under
21		this Section for the 1998-99 school year and any subsequent
22		school year that in any such school year is less than the
23		amount of the aggregate general State aid entitlement that the
24		district received for the 1997-98 school year, the school
25		district shall also receive, from a separate appropriation made
26		for purposes of this subsection (J), a supplementary payment
27		that is equal to the amount of the difference in the aggregate
28		State aid figures as described in paragraph (1).
29		(3) (Blank).
30		(K) Grants to Laboratory and Alternative Schools.
31		In calculating the amount to be paid to the governing board
32		of a public university that operates a laboratory school under
33		this Section or to any alternative school that is operated by a

1		regional superintendent of schools, the State Board of
2		Education shall require by rule such reporting requirements as
3		it deems necessary.
4		As used in this Section, "laboratory school" means a public
5		school which is created and operated by a public university and
6		approved by the State Board of Education. The governing board
7		of a public university which receives funds from the State
8		Board under this subsection (K) may not increase the number of
9		students enrolled in its laboratory school from a single
10		district, if that district is already sending 50 or more
11		students, except under a mutual agreement between the school
12		board of a student's district of residence and the university
13		which operates the laboratory school. A laboratory school may
14		not have more than 1,000 students, excluding students with
15		disabilities in a special education program.
16		As used in this Section, "alternative school" means a
17		public school which is created and operated by a Regional
18		Superintendent of Schools and approved by the State Board of
19		Education. Such alternative schools may offer courses of
20		instruction for which credit is given in regular school
21		programs, courses to prepare students for the high school
22		equivalency testing program or vocational and occupational
23		training. A regional superintendent of schools may contract
24		with a school district or a public community college district
25		to operate an alternative school. An alternative school serving
26		more than one educational service region may be established by
27		the regional superintendents of schools of the affected
28		educational service regions. An alternative school serving
29		more than one educational service region may be operated under
30		such terms as the regional superintendents of schools of those
31		educational service regions may agree.
32		Each laboratory and alternative school shall file, on forms
33		provided by the State Superintendent of Education, an annual
34		State aid claim which states the Average Daily Attendance of

1		the school's students by month. The best 3 months' Average
2		Daily Attendance shall be computed for each school. The general
3		State aid entitlement shall be computed by multiplying the
4		applicable Average Daily Attendance by the Foundation Level as
5		determined under this Section.
6		(L) Payments, Additional Grants in Aid and Other Requirements.
7		(1) For a school district operating under the financial
8		supervision of an Authority created under Article 34A, the
9		general State aid otherwise payable to that district under this
10		Section, but not the supplemental general State aid, shall be
11		reduced by an amount equal to the budget for the operations of
12		the Authority as certified by the Authority to the State Board
13		of Education, and an amount equal to such reduction shall be
14		paid to the Authority created for such district for its
15		operating expenses in the manner provided in Section 18-11. The
16		remainder of general State school aid for any such district
17		shall be paid in accordance with Article 34A when that Article
18		provides for a disposition other than that provided by this
19		Article.
20		(2) (Blank).
21		(3) Summer school. Summer school payments shall be made as
22		provided in Section 18-4.3.
23		(M) Education Funding Advisory Board.
24		The Education Funding Advisory Board, hereinafter in this
25		subsection (M) referred to as the "Board", is hereby created.
26		The Board shall consist of 5 members who are appointed by the
27		Governor, by and with the advice and consent of the Senate. The
28		members appointed shall include representatives of education,
29		business, and the general public. One of the members so
30		appointed shall be designated by the Governor at the time the
31		appointment is made as the chairperson of the Board. The
32		initial members of the Board may be appointed any time after

1		the effective date of this amendatory Act of 1997. The regular
2		term of each member of the Board shall be for 4 years from the
3		third Monday of January of the year in which the term of the
4		member's appointment is to commence, except that of the 5
5		initial members appointed to serve on the Board, the member who
6		is appointed as the chairperson shall serve for a term that
7		commences on the date of his or her appointment and expires on
8		the third Monday of January, 2002, and the remaining 4 members,
9		by lots drawn at the first meeting of the Board that is held
10		after all 5 members are appointed, shall determine 2 of their
11		number to serve for terms that commence on the date of their
12		respective appointments and expire on the third Monday of
13		January, 2001, and 2 of their number to serve for terms that
14		commence on the date of their respective appointments and
15		expire on the third Monday of January, 2000. All members
16		appointed to serve on the Board shall serve until their
17		respective successors are appointed and confirmed. Vacancies
18		shall be filled in the same manner as original appointments. If
19		a vacancy in membership occurs at a time when the Senate is not
20		in session, the Governor shall make a temporary appointment
21		until the next meeting of the Senate, when he or she shall
22		appoint, by and with the advice and consent of the Senate, a
23		person to fill that membership for the unexpired term. If the
24		Senate is not in session when the initial appointments are
25		made, those appointments shall be made as in the case of
26		vacancies.
27		The Education Funding Advisory Board shall be deemed
28		established, and the initial members appointed by the Governor
29		to serve as members of the Board shall take office, on the date
30		that the Governor makes his or her appointment of the fifth
31		initial member of the Board, whether those initial members are
32		then serving pursuant to appointment and confirmation or
33		pursuant to temporary appointments that are made by the
34		Governor as in the case of vacancies.

1		The State Board of Education shall provide such staff
2		assistance to the Education Funding Advisory Board as is
3		reasonably required for the proper performance by the Board of
4		its responsibilities.
5		For school years after the 2000-2001 school year, the
6		Education Funding Advisory Board, in consultation with the
7		State Board of Education, shall make recommendations as
8		provided in this subsection (M) to the General Assembly for the
9		foundation level under subdivision (B)(3) of this Section and
10		for the supplemental general State aid grant level under
11		subsection (H) of this Section for districts with high
12		concentrations of children from poverty. The recommended
13		foundation level shall be determined based on a methodology
14		which incorporates the basic education expenditures of
15		low-spending schools exhibiting high academic performance. The
16		Education Funding Advisory Board shall make such
17		recommendations to the General Assembly on January 1 of odd
18		numbered years, beginning January 1, 2001.
19		(N) (Blank).
20		(O) References.
21		(1) References in other laws to the various subdivisions of
22		Section 18-8 as that Section existed before its repeal and
23		replacement by this Section 18-8.05 shall be deemed to refer to
24		the corresponding provisions of this Section 18-8.05, to the
25		extent that those references remain applicable.
26		(2) References in other laws to State Chapter 1 funds shall
27		be deemed to refer to the supplemental general State aid
28		provided under subsection (H) of this Section.
29		(Source: P.A. 92-16, eff. 6-28-01; 92-28, eff. 7-1-01; 92-29,
30		eff. 7-1-01; 92-269, eff. 8-7-01; 92-604, eff. 7-1-02; 92-636,
31		eff. 7-11-02; 92-651, eff. 7-11-02; 93-21, eff. 7-1-03.)

1		Section 40. The Criminal Code of 1961 is amended by
2		changing Section 17A-1 as follows:
3		(720 ILCS 5/17A-1) (from Ch. 38, par. 17A-1)
4		Sec. 17A-1. Persons under deportation order; ineligible
5		for benefits. An individual against whom a United States
6		Immigration Judge has issued an order of deportation which has
7		been affirmed by the Board of Immigration Review, as well as an
8		individual who appeals such an order pending appeal, under
9		paragraph 19 of Section 241(a) of the Immigration and
10		Nationality Act relating to persecution of others on account of
11		race, religion, national origin or political opinion under the
12		direction of or in association with the Nazi government of
13		Germany or its allies, shall be ineligible for the following
14		benefits authorized by State law:
15		(a) The homestead exemptions exemption and homestead
16		improvement exemption under Sections 15-170, 15-175, 15-176,
17		and 15-180 of the Property Tax Code.
18		(b) Grants under the Senior Citizens and Disabled Persons
19		Property Tax Relief and Pharmaceutical Assistance Act.
20		(c) The double income tax exemption conferred upon persons
21		65 years of age or older by Section 204 of the Illinois Income
22		Tax Act.
23		(d) Grants provided by the Department on Aging.
24		(e) Reductions in vehicle registration fees under Section
25		3-806.3 of the Illinois Vehicle Code.
26		(f) Free fishing and reduced fishing license fees under
27		Sections 20-5 and 20-40 of the Fish and Aquatic Life Code.
28		(g) Tuition free courses for senior citizens under the
29		Senior Citizen Courses Act.
30		(h) Any benefits under the Illinois Public Aid Code.
31		(Source: P.A. 87-895; 88-670, eff. 12-2-94.)

32

Section 90. The State Mandates Act is amended by adding

1		Section 8.28 as follows:
2		(30 ILCS 805/8.28 new)
3		Sec. 8.28. Exempt mandate. Notwithstanding Sections 6 and 8
4		of this Act, no reimbursement by the State is required for the
5		implementation of any mandate created by the General Homestead
6		Exemption under Section 15-176 of the Property Tax Code.

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