Full Text of SB2823 99th General Assembly
SB2823enr 99TH GENERAL ASSEMBLY |
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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 Section | 5 | | 5-22 as follows:
| 6 | | (105 ILCS 5/5-22) (from Ch. 122, par. 5-22)
| 7 | | Sec. 5-22. Sales of school sites, buildings or other real | 8 | | estate. When , in the opinion of the school board, a school | 9 | | site, or portion
thereof, building, or site with building | 10 | | thereon , or any other real
estate of the district , has become | 11 | | unnecessary , or unsuitable , or
inconvenient for a school , or | 12 | | unnecessary for the uses of the district,
the school board, by | 13 | | a resolution adopted by at least two-thirds of the
board | 14 | | members, may sell or direct that the property be sold in the | 15 | | manner
provided
in the Local Government Property Transfer Act , | 16 | | or in the manner
herein provided or, in the case of residential | 17 | | property constructed or renovated by students as part of a | 18 | | curricular program, may engage the services of a licensed real | 19 | | estate broker to sell the property for a commission not to | 20 | | exceed 7%, contingent on the public listing of the property on | 21 | | a multiple listing service for a minimum of 14 calendar days | 22 | | and the sale of the property within 120 days . | 23 | | Unless legal title to the land is held by the school
board, |
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| 1 | | the school board shall forthwith notify the trustees of
schools | 2 | | or other school officials having legal title to such land of | 3 | | the
terms upon which they desire the property to be sold.
If | 4 | | the property is to be sold to another unit of local government | 5 | | or
school district, the school board, trustees of schools, or | 6 | | other school
officials
having legal title to the land shall | 7 | | proceed in the manner provided
in the Local Government Property | 8 | | Transfer Act. In all other cases, except if
the property is to | 9 | | be sold to a tenant that has leased the
property for 10 or more | 10 | | years and that tenant is a non-profit agency,
the school
board, | 11 | | trustees
of schools, or other school officials having legal | 12 | | title to the land shall,
within 60 days after adoption of the | 13 | | resolution (if the school board holds
legal title to the land), | 14 | | or within 60 days after the
trustees of school or other school | 15 | | officials having legal title receive the
notice (if the school | 16 | | board does not hold legal title to the land), sell the
property | 17 | | at public sale, by
auction or sealed bids, after first giving | 18 | | notice of the time, place, and terms
thereof by notice | 19 | | published once each week for 3 successive weeks prior to the
| 20 | | date of the sale if sale is by auction, or prior to the final | 21 | | date of
acceptance of bids if sale is by sealed bids, in a | 22 | | newspaper published in the
district or, if no such newspaper is | 23 | | published in the district, then in a
newspaper published in the | 24 | | county and having a general circulation in the
district; | 25 | | however, if territory containing a school site, building, or | 26 | | site
with building thereon, is detached from the school |
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| 1 | | district of which it is a
part after proceedings have been | 2 | | commenced under this Section for the sale of
that school site, | 3 | | building, or site with building thereon, but before the sale
is | 4 | | held, then the school board, trustees of schools, or other | 5 | | school
officials having legal title shall not advertise or sell | 6 | | that
school site, building, or site with building thereon, | 7 | | pursuant to those
proceedings. The notices may be in the | 8 | | following form:
| 9 | | NOTICE OF SALE
| 10 | | Notice is hereby given that on (insert date), the (here | 11 | | insert title of the school board, trustees of school, or
other | 12 | | school officials holding legal title) of (county)
(Township No. | 13 | | ...., Range No. .... P.M. ....) will sell at public sale (use
| 14 | | applicable alternative) (at ......... (state location of sale | 15 | | which shall
be within the district), at .... ..M.,) (by taking | 16 | | sealed bids which shall be
accepted until .... ..M., on (insert | 17 | | date), at (here insert location where bids will be accepted | 18 | | which shall be
within the district) which bids will be opened | 19 | | at .... ..M. on (insert
date) at (here insert location where | 20 | | bids
will be opened which shall be within the district)) the | 21 | | following described
property: (here describe the property), | 22 | | which sale will be made on the
following terms to-wit: (here | 23 | | insert terms of sale)
| 24 | | ....
| 25 | | ....
| 26 | | ....
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| 1 | | (Here insert title of school
| 2 | | officials holding legal title)
| 3 | | For purposes of determining "terms of sale" under this | 4 | | Section, the General
Assembly declares by this clarifying and | 5 | | amendatory Act of 1983 that "terms
of sale" are not limited to | 6 | | sales for cash only but include contracts for
deed, mortgages, | 7 | | and such other seller financed terms as may be specified
by the | 8 | | school board.
| 9 | | If a school board specifies a reasonable minimum selling | 10 | | price and that
price is not met or if no bids are received, the | 11 | | school board may adopt a
resolution determining or directing | 12 | | that the services
of
a licensed real estate broker be engaged | 13 | | to sell the property for a
commission not to exceed 7%,
| 14 | | contingent on the sale of the property within 120 days. If | 15 | | legal title to the
property is not held by the school board,
| 16 | | the trustees of schools or other school officials having legal | 17 | | title shall,
upon receipt of the resolution, engage the | 18 | | services of a licensed real estate
broker as directed in the | 19 | | resolution.
The board may accept a written offer equal to or | 20 | | greater than the established
minimum selling price for the | 21 | | described property. The services of a licensed
real estate | 22 | | broker may be utilized to seek a buyer. If the board lowers the
| 23 | | minimum selling price on the described property, the public | 24 | | sale procedures set
forth in this Section must be followed. The | 25 | | board may raise the minimum selling
price without repeating the |
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| 1 | | public sale procedures.
| 2 | | In the case of a sale of property to a tenant that has | 3 | | leased the
property for 10 or more years and that is a | 4 | | non-profit agency, an
appraisal is required prior to the sale. | 5 | | If the non-profit agency purchases
the property for less than | 6 | | the appraised value and subsequently sells the
property, the | 7 | | agency may retain only a percentage of the profits that is
| 8 | | proportional to the percentage of the appraisal,
plus any | 9 | | improvements made by the agency while the agency was the
owner,
| 10 | | that the agency paid in the initial sale.
The remaining portion | 11 | | of the profits made by the non-profit agency
shall revert to | 12 | | the school district.
| 13 | | The deed of conveyance shall be executed by the president | 14 | | and clerk
or secretary of the school board, trustees of | 15 | | schools, or other school
officials having legal title to the | 16 | | land, and the proceeds paid to the school
treasurer for the
| 17 | | benefit of the district; provided, that the proceeds of any | 18 | | such sale on
the island of Kaskaskia shall be paid to the State | 19 | | Treasurer for the use
of the district and shall be disbursed by | 20 | | him in the same manner as
income from the Kaskaskia Commons | 21 | | permanent school fund. The school
board shall use the proceeds | 22 | | from the sale first to pay the principal
and interest on any | 23 | | outstanding bonds on the property being sold, and
after all | 24 | | such bonds have been retired, the remaining proceeds from the
| 25 | | sale next shall be used by the school board to meet any urgent | 26 | | district needs
as determined under Sections 2-3.12 and 17-2.11 |
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| 1 | | and then for any other
authorized purpose and for deposit into | 2 | | any district fund. But whenever the
school board of any school | 3 | | district determines that any schoolhouse site with
or without a | 4 | | building thereon is of no further use to the district, and | 5 | | agrees
with the school board of any other school district | 6 | | within the boundaries of
which the site is situated, upon the | 7 | | sale thereof to that district, and agrees
upon the price to be | 8 | | paid therefor, and the site is selected by the purchasing
| 9 | | district in the manner required by law, then after the payment | 10 | | of the
compensation the school board, township trustees, or | 11 | | other school
officials having legal title
to the land of the | 12 | | schools shall, by proper instrument in writing, convey the
| 13 | | legal title of the site to the school board of the purchasing | 14 | | district, or to
the
trustees of schools for the use of the | 15 | | purchasing district, in accordance
with law. The provisions of | 16 | | this Section
shall not apply to any sale made pursuant to | 17 | | Section 5-23 or Section 5-24 or
Section 32-4.
| 18 | | (Source: P.A. 91-357, eff. 7-29-99; 92-365, eff. 8-15-01.)
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