Full Text of HB1043 98th General Assembly
HB1043 98TH GENERAL ASSEMBLY |
| | 98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014 HB1043 Introduced , by Rep. Eddie Lee Jackson, Sr. - Jay Hoffman SYNOPSIS AS INTRODUCED: |
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Amends the School Code. Includes among the purposes for which moneys in the School District Emergency
Financial Assistance Fund may be appropriated to the Illinois Finance Authority and
the State Board of Education those purposes authorized under the provision concerning State interventions. Provides that the appropriation may be
allocated and expended by the State Board for contractual services to provide technical assistance or consultation to school districts to assess their financial condition and to Financial Oversight Panels that petition for emergency financial assistance grants and as necessary to fulfill the goals and obligations of an intergovernmental agreement between a school district and the State Board of Education for management oversight or an independent authority under the provision concerning State interventions (instead of just to provide technical assistance or consultation to school districts to assess their financial condition and to Financial Oversight Panels that petition for emergency financial assistance grants). Makes corresponding changes. Provides that an emergency financial assistance grant shall not exceed $2,000 (instead of $1,000) times the
number of certain pupils. In the provision concerning State interventions, includes among the possible actions that the State Board of Education shall take, if after 3 years following its placement
on academic watch status a school district or school remains on
academic watch status, entering into an
intergovernmental agreement, pursuant to the
Intergovernmental Cooperation Act and the Constitution of
the State of Illinois, with the school board for the school
district or school for management oversight of the planning
and operations of the school district or school by the
State Board of Education. Makes other changes. Effective immediately.
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| | | FISCAL NOTE ACT MAY APPLY | |
| | A BILL FOR |
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| 1 | | AN ACT concerning education.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The School Code is amended by changing Sections | 5 | | 1B-8 and 2-3.25f as follows:
| 6 | | (105 ILCS 5/1B-8) (from Ch. 122, par. 1B-8)
| 7 | | Sec. 1B-8. There is created in the State Treasury a
special | 8 | | fund to be known as the School District Emergency
Financial | 9 | | Assistance Fund (the "Fund"). The School District Emergency
| 10 | | Financial Assistance Fund shall consist of appropriations, | 11 | | loan repayments, grants from the
federal government, and | 12 | | donations from any public or private source. Moneys in
the Fund
| 13 | | may be appropriated only to the Illinois Finance Authority and
| 14 | | the State Board for
those purposes authorized under this | 15 | | Article and Articles
1F and 1H and Section 2-3.25f of this | 16 | | Code.
The appropriation may be
allocated and expended by the | 17 | | State Board for contractual services to provide technical | 18 | | assistance or consultation to school districts to assess their | 19 | | financial condition and to Financial Oversight Panels that | 20 | | petition for emergency financial assistance grants and as | 21 | | necessary to fulfill the goals and obligations of an | 22 | | intergovernmental agreement between a school district and the | 23 | | State Board of Education for management oversight or an |
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| 1 | | independent authority under Section 2-3.25f of this Code . The | 2 | | Illinois Finance Authority may provide
loans to school | 3 | | districts which are the subject of an
approved petition for | 4 | | emergency financial assistance under
Section 1B-4,
1F-62, or | 5 | | 1H-65 , or 2-3.25f of this Code. Neither the State Board of | 6 | | Education nor the Illinois Finance Authority may collect any | 7 | | fees for providing these services. | 8 | | From the amount allocated to each such school
district | 9 | | under this Article the State Board shall identify a sum | 10 | | sufficient to
cover all approved costs of the Financial | 11 | | Oversight Panel or intergovernmental agreement between a | 12 | | school district and the State Board of Education for management | 13 | | oversight or an independent authority
established for the | 14 | | respective school district. If the State Board and State
| 15 | | Superintendent of Education have not approved emergency | 16 | | financial assistance in
conjunction with the appointment of a | 17 | | Financial Oversight Panel or the entry into an | 18 | | intergovernmental agreement between a school district and the | 19 | | State Board of Education for management oversight or an | 20 | | independent authority , the Panel's
approved costs shall be paid | 21 | | from deductions from the district's general State
aid.
| 22 | | The Financial Oversight Panel or a school board that has | 23 | | entered into an intergovernmental agreement between the school | 24 | | district and the State Board of Education for management | 25 | | oversight or an independent authority may prepare and file
with | 26 | | the State Superintendent a proposal for emergency
financial |
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| 1 | | assistance for the school district and for its
operations | 2 | | budget. No expenditures from the Fund shall be
authorized by | 3 | | the State Superintendent until he or she has approved
the | 4 | | request of the Panel or the school board , either as submitted | 5 | | or in such
lesser amount determined by the State | 6 | | Superintendent.
| 7 | | The maximum amount of an emergency financial assistance | 8 | | loan
which may be allocated to any school district under this
| 9 | | Article, including moneys necessary for the operations of any | 10 | | Financial Oversight
the Panel, shall not exceed $4,000 times | 11 | | the number of pupils
enrolled in the school district during the | 12 | | school year
ending June 30 prior to the date of approval by the | 13 | | State
Board of the petition for emergency financial assistance, | 14 | | as
certified to the school local board or and the Panel or both | 15 | | by the State
Superintendent.
An emergency financial assistance | 16 | | grant shall not exceed $2,000 $1,000 times the
number of such | 17 | | pupils. A school district may receive both a loan and a grant.
| 18 | | The payment of an emergency State financial assistance | 19 | | grant or loan
shall be subject to appropriation by the General | 20 | | Assembly. Payment of the emergency State financial assistance | 21 | | loan is subject to the applicable provisions of the Illinois | 22 | | Finance Authority Act.
Emergency State financial assistance | 23 | | allocated and paid to a school
district under this Article may | 24 | | be applied to any fund or funds from which
the local board of | 25 | | education of that district is authorized to make
expenditures | 26 | | by law.
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| 1 | | Any emergency financial assistance grant proposed by the
| 2 | | Financial Oversight Panel or the school board that has entered | 3 | | into an intergovernmental agreement between the school | 4 | | district and the State Board of Education for management | 5 | | oversight or an independent authority and approved by the State
| 6 | | Superintendent may be paid in its entirety during the
initial | 7 | | year of the Panel's existence or the term of the | 8 | | intergovernmental agreement between the school district and | 9 | | the State Board of Education for management oversight or an | 10 | | independent authority or spread in equal or
declining amounts | 11 | | over a period of years not to exceed the
period of the Panel's | 12 | | existence or the term of the intergovernmental agreement | 13 | | between the school district and the State Board of Education | 14 | | for management oversight or an independent authority . An | 15 | | emergency financial assistance loan proposed by the Financial | 16 | | Oversight Panel or the school board that has entered into an | 17 | | intergovernmental agreement between the school district and | 18 | | the State Board of Education for management oversight or an | 19 | | independent authority and approved by the Illinois Finance | 20 | | Authority may be paid in its entirety during the initial year | 21 | | of the Panel's existence or the term of the intergovernmental | 22 | | agreement between the school district and the State Board of | 23 | | Education for management oversight or an independent authority | 24 | | or spread in equal or declining amounts over a period of years | 25 | | not to exceed the period of the Panel's existence or the term | 26 | | of the intergovernmental agreement between the school district |
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| 1 | | and the State Board of Education for management oversight or an | 2 | | independent authority . All
loans made by the Illinois Finance | 3 | | Authority for a
school district shall be required to be repaid, | 4 | | with simple interest over
the term of the loan at a rate equal | 5 | | to 50% of the one-year Constant Maturity
Treasury (CMT) yield | 6 | | as last published by the Board of Governors of the Federal
| 7 | | Reserve System before the date on which the district's loan is
| 8 | | approved
by the Illinois Finance Authority, not later than the
| 9 | | date the
Financial Oversight Panel ceases to exist or the | 10 | | expiration of the intergovernmental agreement between the | 11 | | school district and the State Board of Education for management | 12 | | oversight or an independent authority . The Panel or the school | 13 | | board that has entered into an intergovernmental agreement | 14 | | between the school district and the State Board of Education | 15 | | for management oversight or an independent authority shall
| 16 | | establish and the Illinois Finance Authority shall
approve the | 17 | | terms and conditions, including the schedule, of
repayments. | 18 | | The schedule shall provide for repayments
commencing July 1 of | 19 | | each year or upon each fiscal year's receipt of moneys from a | 20 | | tax levy for emergency financial assistance. Repayment shall be | 21 | | incorporated into the
annual budget of the school district and | 22 | | may be made from any fund or funds
of the district in which | 23 | | there are moneys available. An emergency financial assistance | 24 | | loan to the Panel or school district shall not be considered | 25 | | part of the calculation of a school district's debt for | 26 | | purposes of the limitation specified in Section 19-1 of this |
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| 1 | | Code. Default on repayment is subject to the Illinois Grant | 2 | | Funds Recovery Act. When moneys are repaid
as provided herein | 3 | | they shall not be made available to the school local board for
| 4 | | further use as emergency financial assistance under this | 5 | | Article at any
time thereafter. All repayments required to be | 6 | | made by a school district
shall be received by the State Board | 7 | | and deposited in the School District
Emergency Financial | 8 | | Assistance Fund.
| 9 | | In establishing the terms and conditions for the
repayment | 10 | | obligation of the school district , the Panel or the school | 11 | | board that has entered into an intergovernmental agreement | 12 | | between the school district and the State Board of Education | 13 | | for management oversight or an independent authority shall
| 14 | | annually determine whether a separate local property tax levy | 15 | | is
required. The school board of any school district with a tax | 16 | | rate
for educational purposes for the prior year of less than
| 17 | | 120% of the maximum rate for educational purposes authorized
by | 18 | | Section 17-2 shall provide for a separate
tax levy for | 19 | | emergency financial assistance repayment
purposes. Such tax | 20 | | levy shall not be subject to referendum approval. The
amount of | 21 | | the levy shall be equal to the
amount necessary to meet the | 22 | | annual repayment obligations of
the school district as | 23 | | established by the Panel or the school board that has entered | 24 | | into an intergovernmental agreement between the school | 25 | | district and the State Board of Education for management | 26 | | oversight or an independent authority , or 20% of the
amount |
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| 1 | | levied for educational purposes for the prior year,
whichever | 2 | | is less. However, no school district shall be
required to levy | 3 | | the tax if the district's operating tax
rate as determined | 4 | | under Section
18-8 or 18-8.05 exceeds 200% of the district's | 5 | | tax rate for educational
purposes for the prior year.
| 6 | | (Source: P.A. 97-429, eff. 8-16-11.)
| 7 | | (105 ILCS 5/2-3.25f) (from Ch. 122, par. 2-3.25f)
| 8 | | Sec. 2-3.25f. State interventions.
| 9 | | (a) The State Board of Education shall provide technical
| 10 | | assistance to assist with the development and implementation of | 11 | | School and District Improvement Plans.
| 12 | | Schools or school districts that fail to make reasonable | 13 | | efforts to
implement an
approved Improvement Plan may suffer | 14 | | loss of State funds by school
district, attendance center, or | 15 | | program as the State Board of Education
deems appropriate.
| 16 | | (a-5) In this subsection (a-5), "school" means any of the | 17 | | following named public schools or their successor name: | 18 | | (1) Dirksen Middle School in Dolton School District | 19 | | 149. | 20 | | (2) Diekman Elementary School in Dolton School | 21 | | District 149. | 22 | | (3) Caroline Sibley Elementary School in Dolton School | 23 | | District 149. | 24 | | (4) Berger-Vandenberg Elementary School in Dolton | 25 | | School District 149. |
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| 1 | | (5) Carol Moseley Braun School in Dolton School | 2 | | District 149. | 3 | | (6) New Beginnings Learning Academy in Dolton School | 4 | | District 149. | 5 | | (7) McKinley Junior High School in South Holland School | 6 | | District 150. | 7 | | (8) Greenwood Elementary School in South Holland | 8 | | School District 150. | 9 | | (9) McKinley Elementary School in South Holland School | 10 | | District 150. | 11 | | (10) Eisenhower School in South Holland School | 12 | | District 151. | 13 | | (11) Madison School in South Holland School District | 14 | | 151. | 15 | | (12) Taft School in South Holland School District 151. | 16 | | (13) Wolcott School in Thornton School District 154. | 17 | | (14) Memorial Junior High School in Lansing School | 18 | | District 158. | 19 | | (15) Oak Glen Elementary School in Lansing School | 20 | | District 158. | 21 | | (16) Lester Crawl Primary Center in Lansing School | 22 | | District 158. | 23 | | (17) Brookwood Junior High School in Brookwood School | 24 | | District 167. | 25 | | (18) Brookwood Middle School in Brookwood School | 26 | | District 167. |
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| 1 | | (19) Hickory Bend Elementary School in Brookwood | 2 | | School District 167. | 3 | | (20) Medgar Evers Primary Academic Center in Ford | 4 | | Heights School District 169. | 5 | | (21) Nathan Hale Elementary School in Sunnybrook | 6 | | School District 171. | 7 | | (22) Ira F. Aldridge Elementary School in City of | 8 | | Chicago School District 299. | 9 | | (23) William E.B. DuBois Elementary School in City of | 10 | | Chicago School District 299. | 11 | | If, after 2 years following its placement on academic watch | 12 | | status, a school remains on academic watch status, then, | 13 | | subject to federal appropriation money being available, the | 14 | | State Board of Education shall allow the school board to opt in | 15 | | the process of operating that school on a pilot full-year | 16 | | school plan approved by the State Board of Education upon | 17 | | expiration of its teachers' current collective bargaining | 18 | | agreement until the expiration of the next collective | 19 | | bargaining agreement. A school board must notify the State | 20 | | Board of Education of its intent to opt in the process of | 21 | | operating a school on a pilot full-year school plan. | 22 | | (b) In addition, if after 3 years following its placement | 23 | | on
academic
watch status a school district or school remains on
| 24 | | academic watch status, the
State Board of Education shall take | 25 | | one of the following actions for the
district or
school:
| 26 | | (1) The State Board of Education may authorize the |
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| 1 | | State
Superintendent
of Education to direct the regional | 2 | | superintendent of schools to remove
school board members | 3 | | pursuant to Section 3-14.28 of this Code. Prior
to such | 4 | | direction the State Board of Education shall permit members | 5 | | of the
local board of education to present written and oral | 6 | | comments to the State
Board of Education. The State Board | 7 | | of Education may direct the State
Superintendent of | 8 | | Education to appoint an Independent Authority that shall
| 9 | | exercise such powers and duties as may be necessary to | 10 | | operate a school or
school district for purposes of | 11 | | improving pupil performance and school
improvement. The | 12 | | State Superintendent of Education shall designate one
| 13 | | member of the Independent Authority to serve as chairman. | 14 | | The Independent
Authority shall serve for a period of time | 15 | | specified by the State Board of
Education upon the | 16 | | recommendation of the State Superintendent of
Education.
| 17 | | (2) The State Board of Education may (A)
change the | 18 | | recognition status of the school district or school to
| 19 | | nonrecognized, or (B) authorize the State Superintendent
| 20 | | of Education to direct the reassignment of pupils
or direct | 21 | | the reassignment or replacement of school district | 22 | | personnel who
are relevant to the
failure
to
meet adequate | 23 | | yearly progress criteria. If
a school district is | 24 | | nonrecognized in its entirety, it shall automatically
be | 25 | | dissolved on July 1 following that nonrecognition and its | 26 | | territory
realigned with another school district or |
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| 1 | | districts by the regional board
of school trustees in | 2 | | accordance with the procedures set forth in Section
7-11 of | 3 | | the School Code. The effective date of the nonrecognition | 4 | | of a school
shall be July 1 following the nonrecognition. | 5 | | (3) The State Board of Education may enter into an | 6 | | intergovernmental agreement, pursuant to the | 7 | | Intergovernmental Cooperation Act and the Constitution of | 8 | | the State of Illinois, with the school board for the school | 9 | | district or school for management oversight of the planning | 10 | | and operations of the school district or school by the | 11 | | State Board of Education. A school board that enters into | 12 | | an intergovernmental agreement with the State Board of | 13 | | Education under this paragraph (3) may prepare and file | 14 | | with the State Superintendent of Education a proposal for | 15 | | emergency financial assistance for the school district in | 16 | | accordance with Section 1B-8 of this Code. A school | 17 | | district may receive both a loan and a grant.
| 18 | | (c) All federal requirements apply to schools and school | 19 | | districts
utilizing
federal funds under Title I, Part A of the | 20 | | federal Elementary and Secondary
Education Act of 1965.
| 21 | | (Source: P.A. 97-370, eff. 1-1-12.)
| 22 | | Section 99. Effective date. This Act takes effect upon | 23 | | becoming law. | | | | HB1043 | - 12 - | LRB098 07996 NHT 38086 b |
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INDEX
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Statutes amended in order of appearance
| | 3 | | 105 ILCS 5/1B-8 | from Ch. 122, par. 1B-8 | | 4 | | 105 ILCS 5/2-3.25f | from Ch. 122, par. 2-3.25f |
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