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90_SB1333
New Act
30 ILCS 105/5.480 new
30 ILCS 105/5.481 new
35 ILCS 200/18-45
35 ILCS 200/18-185
105 ILCS 5/18-8 from Ch. 122, par. 18-8
105 ILCS 5/18-8.05
Creates the Local Option Property Tax Reduction Act and
amends the School Code, the Property Tax Code, and the State
Finance Act. Authorizes school districts by referendum to
impose an income tax on individuals resident of the district
at an annual rate not exceeding 2%. Requires the income tax
revenues disbursed to a district each year to be used to
abate the extension in that year of real property taxes
levied by the district on homestead property only. Creates a
credit against the tax in an amount not to exceed $500 equal
to 5% of amounts spent by the taxpayer on monthly rent for
the taxpayer's residence. Provides that for purposes of the
Property Tax Extension Limitation Law the "aggregate
extension base" shall not be reduced by any abatement
pursuant to the Local Option Property Tax Reduction Act.
Provides for a referendum repeal of the tax or a referendum
change in the rate at which the tax is imposed or the
percentage of the tax to be used for abatement. Provides for
the manner of levying, collecting, and disbursing the tax and
for the manner in which the tax revenues are used. Effective
immediately.
SRS90S0062NCaw
SRS90S0062NCaw
1 AN ACT in relation to taxes.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 1. Short title. This Act may be cited as the
5 Local Option Property Tax Reduction Act.
6 Section 5. Definitions. In this Act:
7 "Taxable income" means that portion of the net income of
8 the taxpayer which is allocable and apportionable to the
9 school district under the provisions of this Act and the
10 regulations promulgated thereunder.
11 "Net income" means the net income of the taxpayer as
12 defined and as determined and computed for the taxable year
13 under the provisions of the Illinois Income Tax Act.
14 "Taxable year" means the calendar year, or the fiscal
15 year ending in such calendar year, upon the basis of which
16 taxable income is computed under this Act, and also includes
17 a fractional part of a year for which income is earned.
18 "Resident" means an individual that is in the school
19 district for other than a temporary transitory purpose during
20 the taxable year, or who is domiciled in that school district
21 but is absent therefrom for a temporary or transitory purpose
22 during the taxable year.
23 Section 10. Referendum; imposition of tax; limitations.
24 The school board of each school district, including special
25 charter districts as defined in Section 1-3 of the School
26 Code and school districts organized under Article 34 of that
27 Code, may by proper resolution or shall upon petition of 5%
28 of the number of voters who voted in the school district in
29 the last gubernatorial election cause to be submitted to the
30 voters of the school district at a general or primary
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1 election in accordance with the general election law a
2 proposition to authorize an annual local income tax for
3 schools at a rate not to exceed 2%, measured as a percentage
4 of the taxable income of individuals and imposed only in
5 increments of 0.25%, to be imposed on every individual on the
6 privilege of earning or receiving income in or as a resident
7 of the school district. The resolution or petition to submit
8 the proposition to the voters of the district shall be in
9 accordance with the general election law. The proposition as
10 submitted at the referendum shall specify the annual rate at
11 which the tax is proposed to be imposed on individuals and
12 that the taxes collected shall be used to abate the extension
13 in that year of any real property taxes levied by the
14 district for lawful school purposes.
15 Section 15. Apportionment of income. The method of
16 allocating and apportioning income earned in the school
17 district by individuals that earn only a portion of their
18 income in that district shall be established by rules adopted
19 by the Department of Revenue for that purpose. The method so
20 established shall be determined, as near as may be, in
21 accordance with the provisions of Article III of the Illinois
22 Income Tax Act governing the manner in which income and items
23 of deduction are allocated and apportioned to this State with
24 respect to part-year residents and other persons.
25 Section 20. Additional referenda. The school board of a
26 school district may by resolution, or shall upon the petition
27 of 5% of the number of voters who voted in the school
28 district in the last gubernatorial election, cause to be
29 submitted to the voters of that district at a primary or
30 general election in accordance with the general election law
31 any of the following:
32 (i) A proposition to decrease (but only in
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1 increments of 0.25%) or to increase (but only in
2 increments of 0.25%) the annual rate for the local income
3 tax for schools imposed under Section 10.
4 (ii) In case authority to impose the local income
5 tax for schools has been rejected or repealed by the
6 voters at a prior referendum, a proposition to authorize
7 or again authorize the local income tax for schools to be
8 so imposed.
9 (iii) In case a proposition to authorize the
10 imposition of or to decrease the rate of the local income
11 tax for schools has been approved by the voters at a
12 prior referendum, a proposition to repeal that local
13 income tax for schools.
14 Any resolution or petition under this Section to submit
15 to the voters of the school district a proposition to
16 increase or decrease the annual rate for the local income tax
17 for schools shall specify the annual rate at which the tax is
18 proposed to be imposed.
19 Referenda under this Section shall be governed by the
20 general election law. If a majority of the votes cast is in
21 favor of the proposition to decrease or increase the rate of
22 or to authorize imposition of the local income tax for
23 schools, the school board shall thereafter, until the
24 authority is revoked in like manner, impose the annual tax as
25 authorized. If a majority of the votes cast is in favor of
26 the proposition to repeal the local income tax for schools,
27 that tax shall not thereafter be imposed unless again
28 authorized as provided in this Section.
29 Section 25. Collection.
30 (a) Any tax authorized under this Act shall be imposed,
31 increased, decreased, or repealed effective at the beginning
32 of the second calendar quarter beginning after certification
33 by the proper election officials of the results of the
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1 referendum that authorizes imposing, increasing, decreasing,
2 or repealing the tax. The tax so imposed shall be collected
3 by the Department of Revenue. The certification by the
4 proper election officials of the results of the referendum
5 authorizing the tax and the certification by the school board
6 to the Department of Revenue of the rate of the tax to be
7 imposed under this Act shall constitute the authority of the
8 Department of Revenue to collect the tax. Whenever a
9 proposition to authorize imposition of the local income tax
10 for schools is approved by the voters of any school district
11 as provided in this Act, the county clerk of each county in
12 which that school district is located shall promptly certify
13 the territorial boundaries of the district to the Department
14 of Revenue. Thereafter, the Department shall (i) promptly
15 notify all individual residents of the district who have
16 previously filed a return with respect to the taxes imposed
17 by the Illinois Income Tax Act that the local income tax for
18 schools has been imposed within the district and the manner
19 in which the tax is to be collected by and paid to the
20 Department of Revenue and (ii) publish notice in a newspaper
21 published in the school district, or if there is no such
22 newspaper then in a newspaper published in the county and
23 having circulation in the school district, that the local
24 income tax for schools has been imposed within the district
25 and the manner in which the tax is to be collected by and
26 paid to the Department of Revenue. Any tax imposed under
27 this Act shall be collected by and paid to the Department of
28 Revenue at the same time and in the same manner, with the
29 same withholding and estimated payment requirements and
30 subject to the same assessment and refund procedures,
31 penalties, and interest, as the tax imposed by the Illinois
32 Income Tax Act. Except as provided in subsection (b) of this
33 Section, the Department of Revenue shall forthwith pay over
34 to the State Treasurer, ex officio, as trustee, all moneys
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1 received by it under this Section to be deposited into a
2 special account that the State Treasurer and State
3 Comptroller shall establish and maintain for that school
4 district in the Local Option Property Tax Reduction Fund, a
5 special fund that is hereby created in the State treasury, to
6 be held and disbursed by the Treasurer as provided in this
7 Section and Section 30. All interest earned from the
8 investment of any moneys from time to time held in the Local
9 Option Property Tax Reduction Fund and any special accounts
10 established therein shall be retained by the Treasurer to be
11 applied toward the costs incurred by the Department of
12 Revenue in administering and enforcing this Act.
13 (b) The Local Option Property Tax Reduction Refund Fund
14 is hereby created in the State Treasury. The Department of
15 Revenue shall deposit a percentage of the amounts collected
16 from the tax imposed under this Act by any school district
17 into a special account that the State Treasurer and State
18 Comptroller shall establish and maintain within the Local
19 Option Property Tax Reduction Refund Fund for the purpose of
20 paying refunds resulting from overpayment of tax liability
21 under this Act with respect to that school district. The
22 Department of Revenue shall determine the percentage of the
23 amounts collected from the tax imposed under this Act by any
24 school district that is to be deposited into the special
25 account maintained in the Local Option Property Tax Reduction
26 Refund Fund to pay refunds resulting from overpayment of tax
27 liability under this Act with respect to that school district
28 and shall certify that percentage to the Comptroller, all in
29 accordance with rules adopted by the Department of Revenue
30 for purposes of this Section. Money in the special account
31 maintained in the Local Option Property Tax Reduction Refund
32 Fund with respect to any school district shall be expended
33 exclusively for the purpose of paying refunds resulting from
34 overpayment of tax liability under this Act with respect to
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1 that school district. The Director of Revenue shall order
2 payment of refunds resulting from overpayment of tax
3 liability under this Act from the special account maintained
4 with respect to a school district in the Local Option
5 Property Tax Reduction Refund Fund only to the extent that
6 amounts collected pursuant to this Act for that school
7 district have been deposited to and retained in that special
8 account. This Section shall constitute an irrevocable and
9 continuing appropriation from the Local Option Property Tax
10 Reduction Refund Fund and the special accounts established
11 and maintained therein for the purpose of paying refunds upon
12 the order of the Director of Revenue in accordance with the
13 provisions of this Section.
14 (c) The Department of Revenue shall promulgate such
15 rules and regulations as may be necessary to implement the
16 provisions of this Act.
17 Section 30. Certification, disbursement, and use of
18 funds.
19 (a) On or before June 15 of each calendar year, or the
20 first following business day if June 15 falls on a Saturday,
21 Sunday, or holiday, the Department of Revenue shall certify
22 to the State Comptroller the disbursement of stated sums of
23 money to each school district in which any tax authorized by
24 this Act has been imposed, levied, and collected during the
25 preceding calendar year. On each certification date, the
26 amount to be certified for disbursement from the separate
27 account maintained for a school district in the Local Option
28 Property Tax Reduction Fund shall be the amount deposited
29 into that special account from the tax collected under this
30 Act for that school district for the preceding calendar year,
31 reduced by an amount equal to 2% of the amount so deposited
32 into that special account to be retained by the Treasurer to
33 be applied toward the costs incurred by the Department of
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1 Revenue in administering and enforcing this Act.
2 (b) At the time of each disbursement to a school
3 district, the Department of Revenue shall prepare and certify
4 to the Comptroller the amount retained by the State Treasurer
5 as provided in this Section and the interest earned from the
6 investment of moneys from time to time held in the Local
7 Option Property Tax Reduction Fund and any special accounts
8 established therein as provided in subsection (a) of Section
9 25 to be applied toward the costs incurred by the Department
10 in administering and enforcing this Act, the amount so
11 retained and the interest so earned to be paid into the
12 General Revenue Fund of the State Treasury.
13 (c) Within 10 days after receipt by the Comptroller from
14 the Department of Revenue of the certification of
15 disbursements to the school districts and General Revenue
16 Fund as provided in this Section, the Comptroller shall cause
17 the warrants to be drawn for the respective amounts in
18 accordance with the directions contained in the
19 certification.
20 (d) If for any reason the General Assembly fails to make
21 an appropriation sufficient to pay each school district the
22 full amount required to be disbursed and paid to it by this
23 Section and any other provision of this Act, then this
24 Section shall constitute an irrevocable and continuing
25 appropriation of all amounts necessary for that purpose and
26 the irrevocable and continuing authority for and direction to
27 the Comptroller and Treasurer of the State to make the
28 necessary transfers out of and disbursements from the
29 revenues and funds of the State for that purpose.
30 (e) The school board of each school district that
31 receives a disbursement provided for in this Act shall apply
32 the moneys so disbursed to any funds from which the school
33 board of the school district is authorized to make
34 expenditures by law, provided that (i) the percentage of the
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1 amount so disbursed to the school district in any calendar
2 year that is attributable to the required minimum abatement
3 on homestead property only in the extension in that calendar
4 year of the real property taxes levied by the district for
5 educational purposes shall be applied by the school board to
6 its educational fund and used for educational purposes of the
7 district, and (ii) if any percentage of the amount so
8 disbursed to the school district in any calendar year is
9 attributable to any required additional abatement on
10 homestead property only in the extension in that calendar
11 year of any real property taxes levied by the district for
12 educational or any other lawful school purpose, that
13 percentage of the amount so disbursed shall be applied by the
14 district to the fund created for that purpose.
15 Section 35. Property tax abatement.
16 (a) The extension of real property taxes for a school
17 district within which the local income tax for schools
18 authorized by this Act already has been imposed, levied, and
19 collected shall be abated by the county clerk in which the
20 school district is located on homestead property only in the
21 manner provided by this Section, provided that (i) if any
22 such school district is located in more than one county the
23 amount of real property taxes of the district to be so abated
24 shall be apportioned by the county clerks of those counties
25 based upon the ratio of the aggregate assessed value of the
26 taxable property of the district in each such county and (ii)
27 prior to any abatement under this Section the county clerk
28 shall determine whether the amount of each tax levied by the
29 district for a lawful school purpose and certified for
30 extension is based on a rate at which the district making the
31 certification is authorized by statute or referendum to levy
32 that tax, shall disregard any excess, and shall extend the
33 levy of that tax in accordance with the provisions of Section
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1 18-45 of the Property Tax Code, subject to abatement as
2 provided in this Section.
3 (b) Not later than September 1 of the first calendar
4 year in which the tax authorized by this Act is imposed,
5 levied, and collected within a school district, the
6 Department of Revenue shall certify to the county clerk of
7 each county in which any part of the school district is
8 located the estimated amount of the tax that would have been
9 collected under this Act during the immediately preceding
10 calendar year in that part of the district located in the
11 county had this Act been in effect and had that tax been
12 imposed, levied, and collected within that district during
13 that immediately preceding calendar year at the same annual
14 rate and for the same period of time as that tax is imposed,
15 levied, and collected in the district during the calendar
16 year in which the certification is made.
17 (c) During the calendar year immediately succeeding the
18 calendar year in which the certification under subsection (b)
19 is required to be made, in extending the real property taxes
20 last levied by a school district for educational purposes,
21 the county clerk shall abate that extension of the district's
22 levy for educational purposes on homestead property only by
23 an amount equal to 100% of the estimated amount that was
24 certified to the county clerk by the Department of Revenue
25 under the provisions of subsection (b) during the calendar
26 year immediately preceding the calendar year in which the
27 extension is made. In each subsequent calendar year, in
28 extending the real property taxes levied by the school
29 district for educational purposes during the immediately
30 preceding calendar year, the county clerk shall abate each
31 such extension of the district's levy for educational
32 purposes on homestead property only by an amount equal to
33 100% of the amount disbursed to the school district under
34 Section 30 during June of the calendar year immediately
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1 preceding the calendar year in which the extension and
2 abatement are made.
3 Section 40. Property tax rates. The provisions of this
4 Act for abatement in the extension of the amount of real
5 property taxes levied by school districts on homestead
6 property only do not constitute and shall not be construed to
7 be a limitation on or a reduction in the rate at which any
8 school district now is or hereafter may be authorized by
9 statute or referendum to levy taxes for any lawful school
10 purpose. Notwithstanding any abatement required by Section 35
11 to be made in any year in any taxes levied by any school
12 district for educational or any other lawful school purpose,
13 for purposes of computing the operating tax rate of the
14 school district under Section 18-8, that abatement shall be
15 disregarded and the rate per cent applicable to the extension
16 of the district's tax for its educational, operations and
17 maintenance, and other school funds, as a component of its
18 operating tax rate under Section 18-8, shall be computed on
19 the basis of the amount actually certified by the district to
20 be levied for those purposes, unreduced by any abatement
21 required by Section 35.
22 Section 42. Residential rent credit. Each individual
23 taxpayer residing within a school district within which the
24 local income tax for schools authorized by this Act has been
25 imposed, levied, and collected is entitled to a credit, not
26 to exceed $500, against the tax imposed under this Act in the
27 amount of 5% of the annual rent paid by the taxpayer during
28 the taxable year for the residence of the taxpayer. In no
29 event shall a credit under this Section reduce the taxpayer's
30 liability under this Act to less than zero.
31 Section 45. Penalties. Any person who is subject to
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1 this Act and who (i) willfully fails to file a return, (ii)
2 willfully violates any rule or regulation of the Department
3 of Revenue for the administration or enforcement of this Act,
4 or (iii) willfully attempts in any other manner to evade or
5 defeat any tax imposed by this Act or the payment thereof is,
6 in addition to other penalties, guilty of a Class B
7 misdemeanor. A prosecution for any violation of this Act may
8 be commenced within 3 years of the commission of that act.
9 Section 70. The State Finance Act is amended by adding
10 Sections 5.480 and 5.481 as follows:
11 (30 ILCS 105/5.480 new)
12 Sec. 5.480. The Local Option Property Tax Reduction
13 Fund.
14 (30 ILCS 105/5.481 new)
15 Sec. 5.481. The Local Option Property Tax Reduction
16 Refund Fund.
17 Section 75. The Property Tax Code is amended by changing
18 Sections 18-45 and 18-185 as follows:
19 (35 ILCS 200/18-45)
20 Sec. 18-45. Computation of rates. Except as provided
21 below, each county clerk shall estimate and determine the
22 rate per cent upon the equalized assessed valuation for the
23 levy year of the property in the county's taxing districts
24 and special service areas, as established under Article VII
25 of the Illinois Constitution, so that the rate will produce,
26 within the proper divisions of that county, not less than the
27 net amount that will be required by the county board or
28 certified to the county clerk according to law. Prior to
29 extension, the county clerk shall determine the maximum
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1 amount of tax authorized to be levied by any statute. If the
2 amount of any tax certified to the county clerk for extension
3 exceeds the maximum, the clerk shall extend only the maximum
4 allowable levy.
5 The county clerk shall exclude from the total equalized
6 assessed valuation, whenever estimating and determining it
7 under this Section and Sections 18-50 through 18-105, the
8 equalized assessed valuation in the percentage which has been
9 agreed to by each taxing district, of any property or portion
10 thereof within an Enterprise Zone upon which an abatement of
11 taxes was made under Section 18-170. However, if a
12 municipality has adopted tax increment financing under
13 Division 74.4 of Article 11 of the Illinois Municipal Code,
14 the county clerk shall estimate and determine rates in
15 accordance with Sections 11-74.4-7 through 11-74.4-9 of that
16 Act. Beginning on January 1, 1998 and thereafter, the
17 equalized assessed value of all property for the computation
18 of the amount to be extended within a county with 3,000,000
19 or more inhabitants shall be the sum of (i) the equalized
20 assessed value of such property for the year immediately
21 preceding the levy year as established by the assessment and
22 equalization process for the year immediately prior to the
23 levy year, (ii) the equalized assessed value of any property
24 that qualifies as new property, as defined in Section 18-185,
25 or annexed property, as defined in Section 18-225, for the
26 current levy year, and (iii) any recovered tax increment
27 value, as defined in Section 18-185, for the current levy
28 year, less the equalized assessed value of any property that
29 qualifies as disconnected property, as defined in Section
30 18-225, for the current levy year.
31 The provisions of this Section and the authority and
32 responsibility of the county clerks hereunder are subject to
33 the provisions of Section 35 of the Local Option Property Tax
34 Reduction Act relative to abatement in the extension of taxes
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1 levied by school districts on homestead property only,
2 including special charter districts, in which the tax
3 authorized by that Act is imposed, levied and collected.
4 (Source: P.A. 90-320, eff. 1-1-98.)
5 (35 ILCS 200/18-185)
6 Sec. 18-185. Short title; definitions. This Section and
7 Sections 18-190 through 18-245 may be cited as the Property
8 Tax Extension Limitation Law. As used in Sections 18-190
9 through 18-245:
10 "Consumer Price Index" means the Consumer Price Index for
11 All Urban Consumers for all items published by the United
12 States Department of Labor.
13 "Extension limitation" means (a) the lesser of 5% or the
14 percentage increase in the Consumer Price Index during the
15 12-month calendar year preceding the levy year or (b) the
16 rate of increase approved by voters under Section 18-205.
17 "Affected county" means a county of 3,000,000 or more
18 inhabitants or a county contiguous to a county of 3,000,000
19 or more inhabitants.
20 "Taxing district" has the same meaning provided in
21 Section 1-150, except as otherwise provided in this Section.
22 For the 1991 through 1994 levy years only, "taxing district"
23 includes only each non-home rule taxing district having the
24 majority of its 1990 equalized assessed value within any
25 county or counties contiguous to a county with 3,000,000 or
26 more inhabitants. Beginning with the 1995 levy year, "taxing
27 district" includes only each non-home rule taxing district
28 subject to this Law before the 1995 levy year and each
29 non-home rule taxing district not subject to this Law before
30 the 1995 levy year having the majority of its 1994 equalized
31 assessed value in an affected county or counties. Beginning
32 with the levy year in which this Law becomes applicable to a
33 taxing district as provided in Section 18-213, "taxing
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1 district" also includes those taxing districts made subject
2 to this Law as provided in Section 18-213.
3 "Aggregate extension" for taxing districts to which this
4 Law applied before the 1995 levy year means the annual
5 corporate extension for the taxing district and those special
6 purpose extensions that are made annually for the taxing
7 district, excluding special purpose extensions: (a) made for
8 the taxing district to pay interest or principal on general
9 obligation bonds that were approved by referendum; (b) made
10 for any taxing district to pay interest or principal on
11 general obligation bonds issued before October 1, 1991; (c)
12 made for any taxing district to pay interest or principal on
13 bonds issued to refund or continue to refund those bonds
14 issued before October 1, 1991; (d) made for any taxing
15 district to pay interest or principal on bonds issued to
16 refund or continue to refund bonds issued after October 1,
17 1991 that were approved by referendum; (e) made for any
18 taxing district to pay interest or principal on revenue bonds
19 issued before October 1, 1991 for payment of which a property
20 tax levy or the full faith and credit of the unit of local
21 government is pledged; however, a tax for the payment of
22 interest or principal on those bonds shall be made only after
23 the governing body of the unit of local government finds that
24 all other sources for payment are insufficient to make those
25 payments; (f) made for payments under a building commission
26 lease when the lease payments are for the retirement of bonds
27 issued by the commission before October 1, 1991, to pay for
28 the building project; (g) made for payments due under
29 installment contracts entered into before October 1, 1991;
30 (h) made for payments of principal and interest on bonds
31 issued under the Metropolitan Water Reclamation District Act
32 to finance construction projects initiated before October 1,
33 1991; (i) made for payments of principal and interest on
34 limited bonds, as defined in Section 3 of the Local
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1 Government Debt Reform Act, in an amount not to exceed the
2 debt service extension base less the amount in items (b),
3 (c), (e), and (h) of this definition for non-referendum
4 obligations, except obligations initially issued pursuant to
5 referendum; (j) made for payments of principal and interest
6 on bonds issued under Section 15 of the Local Government Debt
7 Reform Act; and (k) made by a school district that
8 participates in the Special Education District of Lake
9 County, created by special education joint agreement under
10 Section 10-22.31 of the School Code, for payment of the
11 school district's share of the amounts required to be
12 contributed by the Special Education District of Lake County
13 to the Illinois Municipal Retirement Fund under Article 7 of
14 the Illinois Pension Code; the amount of any extension under
15 this item (k) shall be certified by the school district to
16 the county clerk.
17 "Aggregate extension" for the taxing districts to which
18 this Law did not apply before the 1995 levy year (except
19 taxing districts subject to this Law in accordance with
20 Section 18-213) means the annual corporate extension for the
21 taxing district and those special purpose extensions that are
22 made annually for the taxing district, excluding special
23 purpose extensions: (a) made for the taxing district to pay
24 interest or principal on general obligation bonds that were
25 approved by referendum; (b) made for any taxing district to
26 pay interest or principal on general obligation bonds issued
27 before March 1, 1995; (c) made for any taxing district to pay
28 interest or principal on bonds issued to refund or continue
29 to refund those bonds issued before March 1, 1995; (d) made
30 for any taxing district to pay interest or principal on bonds
31 issued to refund or continue to refund bonds issued after
32 March 1, 1995 that were approved by referendum; (e) made for
33 any taxing district to pay interest or principal on revenue
34 bonds issued before March 1, 1995 for payment of which a
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1 property tax levy or the full faith and credit of the unit of
2 local government is pledged; however, a tax for the payment
3 of interest or principal on those bonds shall be made only
4 after the governing body of the unit of local government
5 finds that all other sources for payment are insufficient to
6 make those payments; (f) made for payments under a building
7 commission lease when the lease payments are for the
8 retirement of bonds issued by the commission before March 1,
9 1995 to pay for the building project; (g) made for payments
10 due under installment contracts entered into before March 1,
11 1995; (h) made for payments of principal and interest on
12 bonds issued under the Metropolitan Water Reclamation
13 District Act to finance construction projects initiated
14 before October 1, 1991; (i) made for payments of principal
15 and interest on limited bonds, as defined in Section 3 of the
16 Local Government Debt Reform Act, in an amount not to exceed
17 the debt service extension base less the amount in items (b),
18 (c), and (e) of this definition for non-referendum
19 obligations, except obligations initially issued pursuant to
20 referendum and bonds described in subsection (h) of this
21 definition; (j) made for payments of principal and interest
22 on bonds issued under Section 15 of the Local Government Debt
23 Reform Act; (k) made for payments of principal and interest
24 on bonds authorized by Public Act 88-503 and issued under
25 Section 20a of the Chicago Park District Act for aquarium or
26 museum projects; and (l) made for payments of principal and
27 interest on bonds authorized by Public Act 87-1191 and issued
28 under Section 42 of the Cook County Forest Preserve District
29 Act for zoological park projects.
30 "Aggregate extension" for all taxing districts to which
31 this Law applies in accordance with Section 18-213, except
32 for those taxing districts subject to paragraph (2) of
33 subsection (e) of Section 18-213, means the annual corporate
34 extension for the taxing district and those special purpose
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1 extensions that are made annually for the taxing district,
2 excluding special purpose extensions: (a) made for the taxing
3 district to pay interest or principal on general obligation
4 bonds that were approved by referendum; (b) made for any
5 taxing district to pay interest or principal on general
6 obligation bonds issued before the date on which the
7 referendum making this Law applicable to the taxing district
8 is held; (c) made for any taxing district to pay interest or
9 principal on bonds issued to refund or continue to refund
10 those bonds issued before the date on which the referendum
11 making this Law applicable to the taxing district is held;
12 (d) made for any taxing district to pay interest or principal
13 on bonds issued to refund or continue to refund bonds issued
14 after the date on which the referendum making this Law
15 applicable to the taxing district is held if the bonds were
16 approved by referendum after the date on which the referendum
17 making this Law applicable to the taxing district is held;
18 (e) made for any taxing district to pay interest or principal
19 on revenue bonds issued before the date on which the
20 referendum making this Law applicable to the taxing district
21 is held for payment of which a property tax levy or the full
22 faith and credit of the unit of local government is pledged;
23 however, a tax for the payment of interest or principal on
24 those bonds shall be made only after the governing body of
25 the unit of local government finds that all other sources for
26 payment are insufficient to make those payments; (f) made for
27 payments under a building commission lease when the lease
28 payments are for the retirement of bonds issued by the
29 commission before the date on which the referendum making
30 this Law applicable to the taxing district is held to pay for
31 the building project; (g) made for payments due under
32 installment contracts entered into before the date on which
33 the referendum making this Law applicable to the taxing
34 district is held; (h) made for payments of principal and
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1 interest on limited bonds, as defined in Section 3 of the
2 Local Government Debt Reform Act, in an amount not to exceed
3 the debt service extension base less the amount in items (b),
4 (c), and (e) of this definition for non-referendum
5 obligations, except obligations initially issued pursuant to
6 referendum; (i) made for payments of principal and interest
7 on bonds issued under Section 15 of the Local Government Debt
8 Reform Act; and (j) made for a qualified airport authority to
9 pay interest or principal on general obligation bonds issued
10 for the purpose of paying obligations due under, or financing
11 airport facilities required to be acquired, constructed,
12 installed or equipped pursuant to, contracts entered into
13 before March 1, 1996 (but not including any amendments to
14 such a contract taking effect on or after that date).
15 "Aggregate extension" for all taxing districts to which
16 this Law applies in accordance with paragraph (2) of
17 subsection (e) of Section 18-213 means the annual corporate
18 extension for the taxing district and those special purpose
19 extensions that are made annually for the taxing district,
20 excluding special purpose extensions: (a) made for the taxing
21 district to pay interest or principal on general obligation
22 bonds that were approved by referendum; (b) made for any
23 taxing district to pay interest or principal on general
24 obligation bonds issued before the effective date of this
25 amendatory Act of 1997; (c) made for any taxing district to
26 pay interest or principal on bonds issued to refund or
27 continue to refund those bonds issued before the effective
28 date of this amendatory Act of 1997; (d) made for any taxing
29 district to pay interest or principal on bonds issued to
30 refund or continue to refund bonds issued after the effective
31 date of this amendatory Act of 1997 if the bonds were
32 approved by referendum after the effective date of this
33 amendatory Act of 1997; (e) made for any taxing district to
34 pay interest or principal on revenue bonds issued before the
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1 effective date of this amendatory Act of 1997 for payment of
2 which a property tax levy or the full faith and credit of the
3 unit of local government is pledged; however, a tax for the
4 payment of interest or principal on those bonds shall be made
5 only after the governing body of the unit of local government
6 finds that all other sources for payment are insufficient to
7 make those payments; (f) made for payments under a building
8 commission lease when the lease payments are for the
9 retirement of bonds issued by the commission before the
10 effective date of this amendatory Act of 1997 to pay for the
11 building project; (g) made for payments due under installment
12 contracts entered into before the effective date of this
13 amendatory Act of 1997; (h) made for payments of principal
14 and interest on limited bonds, as defined in Section 3 of the
15 Local Government Debt Reform Act, in an amount not to exceed
16 the debt service extension base less the amount in items (b),
17 (c), and (e) of this definition for non-referendum
18 obligations, except obligations initially issued pursuant to
19 referendum; (i) made for payments of principal and interest
20 on bonds issued under Section 15 of the Local Government Debt
21 Reform Act; and (j) made for a qualified airport authority to
22 pay interest or principal on general obligation bonds issued
23 for the purpose of paying obligations due under, or financing
24 airport facilities required to be acquired, constructed,
25 installed or equipped pursuant to, contracts entered into
26 before March 1, 1996 (but not including any amendments to
27 such a contract taking effect on or after that date).
28 "Debt service extension base" means an amount equal to
29 that portion of the extension for a taxing district for the
30 1994 levy year, or for those taxing districts subject to this
31 Law in accordance with Section 18-213, except for those
32 subject to paragraph (2) of subsection (e) of Section 18-213,
33 for the levy year in which the referendum making this Law
34 applicable to the taxing district is held, or for those
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1 taxing districts subject to this Law in accordance with
2 paragraph (2) of subsection (e) of Section 18-213 for the
3 1996 levy year, constituting an extension for payment of
4 principal and interest on bonds issued by the taxing district
5 without referendum, but not including (i) bonds authorized by
6 Public Act 88-503 and issued under Section 20a of the Chicago
7 Park District Act for aquarium and museum projects; (ii)
8 bonds issued under Section 15 of the Local Government Debt
9 Reform Act; or (iii) refunding obligations issued to refund
10 or to continue to refund obligations initially issued
11 pursuant to referendum. The debt service extension base may
12 be established or increased as provided under Section 18-212.
13 "Special purpose extensions" include, but are not limited
14 to, extensions for levies made on an annual basis for
15 unemployment and workers' compensation, self-insurance,
16 contributions to pension plans, and extensions made pursuant
17 to Section 6-601 of the Illinois Highway Code for a road
18 district's permanent road fund whether levied annually or
19 not. The extension for a special service area is not
20 included in the aggregate extension.
21 "Aggregate extension base" means the taxing district's
22 last preceding aggregate extension as adjusted under Sections
23 18-215 through 18-230. The "aggregate extension base" shall
24 not be reduced by the amount of any abatement pursuant to the
25 Local Option Property Tax Reduction Act.
26 "Levy year" has the same meaning as "year" under Section
27 1-155.
28 "New property" means (i) the assessed value, after final
29 board of review or board of appeals action, of new
30 improvements or additions to existing improvements on any
31 parcel of real property that increase the assessed value of
32 that real property during the levy year multiplied by the
33 equalization factor issued by the Department under Section
34 17-30 and (ii) the assessed value, after final board of
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1 review or board of appeals action, of real property not
2 exempt from real estate taxation, which real property was
3 exempt from real estate taxation for any portion of the
4 immediately preceding levy year, multiplied by the
5 equalization factor issued by the Department under Section
6 17-30.
7 "Qualified airport authority" means an airport authority
8 organized under the Airport Authorities Act and located in a
9 county bordering on the State of Wisconsin and having a
10 population in excess of 200,000 and not greater than 500,000.
11 "Recovered tax increment value" means the amount of the
12 current year's equalized assessed value, in the first year
13 after a municipality terminates the designation of an area as
14 a redevelopment project area previously established under the
15 Tax Increment Allocation Development Act in the Illinois
16 Municipal Code, previously established under the Industrial
17 Jobs Recovery Law in the Illinois Municipal Code, or
18 previously established under the Economic Development Area
19 Tax Increment Allocation Act, of each taxable lot, block,
20 tract, or parcel of real property in the redevelopment
21 project area over and above the initial equalized assessed
22 value of each property in the redevelopment project area.
23 Except as otherwise provided in this Section, "limiting
24 rate" means a fraction the numerator of which is the last
25 preceding aggregate extension base times an amount equal to
26 one plus the extension limitation defined in this Section and
27 the denominator of which is the current year's equalized
28 assessed value of all real property in the territory under
29 the jurisdiction of the taxing district during the prior levy
30 year. For those taxing districts that reduced their
31 aggregate extension for the last preceding levy year, the
32 highest aggregate extension in any of the last 3 preceding
33 levy years shall be used for the purpose of computing the
34 limiting rate. The denominator shall not include new
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1 property. The denominator shall not include the recovered
2 tax increment value.
3 (Source: P.A. 89-1, eff. 2-12-95; 89-138, eff. 7-14-95;
4 89-385, eff. 8-18-95; 89-436, eff. 1-1-96; 89-449, eff.
5 6-1-96; 89-510, eff. 7-11-96; 89-718, eff. 3-7-97; 90-485,
6 eff. 1-1-98; 90-511, eff. 8-22-97; revised 10-24-97.)
7 Section 80. The School Code is amended by changing
8 Section 18-8 as follows:
9 (105 ILCS 5/18-8) (from Ch. 122, par. 18-8)
10 (Section scheduled to be repealed on July 1, 1998)
11 Sec. 18-8. Basis for apportionment to districts,
12 laboratory schools and alternative schools.
13 A. The amounts to be apportioned for school years prior
14 to the 1998-1999 school year shall be determined for each
15 educational service region by school districts, as follows:
16 1. General Provisions.
17 (a) In the computation of the amounts to be apportioned,
18 the average daily attendance of all pupils in grades 9
19 through 12 shall be multiplied by 1.25. The average daily
20 attendance of all pupils in grades 7 and 8 shall be
21 multiplied by 1.05.
22 (b) The actual number of pupils in average daily
23 attendance shall be computed in a one-teacher school district
24 by dividing the total aggregate days of pupil attendance by
25 the actual number of days school is in session but not more
26 than 30 such pupils shall be accredited for such type of
27 district; and in districts of 2 or more teachers, or in
28 districts where records of attendance are kept by session
29 teachers, by taking the sum of the respective averages of the
30 units composing the group.
31 (c) Pupils in average daily attendance shall be computed
32 upon the average of the best 3 months of pupils attendance of
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1 the current school year except as district claims may be
2 later amended as provided hereinafter in this Section.
3 However, for any school district maintaining grades
4 kindergarten through 12, the "average daily attendance" shall
5 be computed on the average of the best 3 months of pupils
6 attendance of the current year in grades kindergarten through
7 8, added together with the average of the best 3 months of
8 pupils attendance of the current year in grades 9 through 12,
9 except as district claims may be later amended as provided in
10 this Section. Days of attendance shall be kept by regular
11 calendar months, except any days of attendance in August
12 shall be added to the month of September and any days of
13 attendance in June shall be added to the month of May.
14 Except as otherwise provided in this Section, days of
15 attendance by pupils shall be counted only for sessions of
16 not less than 5 clock hours of school work per day under
17 direct supervision of: (i) teachers, or (ii) non-teaching
18 personnel or volunteer personnel when engaging in
19 non-teaching duties and supervising in those instances
20 specified in subsection (a) of Section 10-22.34 and paragraph
21 10 of Section 34-18, with pupils of legal school age and in
22 kindergarten and grades 1 through 12.
23 (d) Pupils regularly enrolled in a public school for
24 only a part of the school day may be counted on the basis of
25 1/6 day for every class hour of instruction of 40 minutes or
26 more attended pursuant to such enrollment.
27 (e) Days of attendance may be less than 5 clock hours on
28 the opening and closing of the school term, and upon the
29 first day of pupil attendance, if preceded by a day or days
30 utilized as an institute or teachers' workshop.
31 (f) A session of 4 or more clock hours may be counted as
32 a day of attendance upon certification by the regional
33 superintendent, and approved by the State Superintendent of
34 Education to the extent that the district has been forced to
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1 use daily multiple sessions.
2 (g) A session of 3 or more clock hours may be counted as
3 a day of attendance (1) when the remainder of the school day
4 or at least 2 hours in the evening of that day is utilized
5 for an in-service training program for teachers, up to a
6 maximum of 5 days per school year of which a maximum of 4
7 days of such 5 days may be used for parent-teacher
8 conferences, provided a district conducts an in-service
9 training program for teachers which has been approved by the
10 State Superintendent of Education; or, in lieu of 4 such
11 days, 2 full days may be used, in which event each such day
12 may be counted as a day of attendance; and (2) when days in
13 addition to those provided in item (1) are scheduled by a
14 school pursuant to its school improvement plan adopted under
15 Article 34 or its revised or amended school improvement plan
16 adopted under Article 2, provided that (i) such sessions of 3
17 or more clock hours are scheduled to occur at regular
18 intervals, (ii) the remainder of the school days in which
19 such sessions occur are utilized for in-service training
20 programs or other staff development activities for teachers,
21 and (iii) a sufficient number of minutes of school work under
22 the direct supervision of teachers are added to the school
23 days between such regularly scheduled sessions to accumulate
24 not less than the number of minutes by which such sessions of
25 3 or more clock hours fall short of 5 clock hours. Any full
26 days used for the purposes of this paragraph shall not be
27 considered for computing average daily attendance. Days
28 scheduled for in-service training programs, staff development
29 activities, or parent-teacher conferences may be scheduled
30 separately for different grade levels and different
31 attendance centers of the district.
32 (h) A session of not less than one clock hour teaching
33 of hospitalized or homebound pupils on-site or by telephone
34 to the classroom may be counted as 1/2 day of attendance,
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1 however these pupils must receive 4 or more clock hours of
2 instruction to be counted for a full day of attendance.
3 (i) A session of at least 4 clock hours may be counted
4 as a day of attendance for first grade pupils, and pupils in
5 full day kindergartens, and a session of 2 or more hours may
6 be counted as 1/2 day of attendance by pupils in
7 kindergartens which provide only 1/2 day of attendance.
8 (j) For children with disabilities who are below the age
9 of 6 years and who cannot attend two or more clock hours
10 because of their disability or immaturity, a session of not
11 less than one clock hour may be counted as 1/2 day of
12 attendance; however for such children whose educational needs
13 so require a session of 4 or more clock hours may be counted
14 as a full day of attendance.
15 (k) A recognized kindergarten which provides for only
16 1/2 day of attendance by each pupil shall not have more than
17 1/2 day of attendance counted in any 1 day. However,
18 kindergartens may count 2 1/2 days of attendance in any 5
19 consecutive school days. Where a pupil attends such a
20 kindergarten for 2 half days on any one school day, such
21 pupil shall have the following day as a day absent from
22 school, unless the school district obtains permission in
23 writing from the State Superintendent of Education.
24 Attendance at kindergartens which provide for a full day of
25 attendance by each pupil shall be counted the same as
26 attendance by first grade pupils. Only the first year of
27 attendance in one kindergarten shall be counted except in
28 case of children who entered the kindergarten in their fifth
29 year whose educational development requires a second year of
30 kindergarten as determined under the rules and regulations of
31 the State Board of Education.
32 (l) Days of attendance by tuition pupils shall be
33 accredited only to the districts that pay the tuition to a
34 recognized school.
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1 (m) The greater of the immediately preceding year's
2 weighted average daily attendance or the average of the
3 weighted average daily attendance of the immediately
4 preceding year and the previous 2 years shall be used.
5 For any school year beginning July 1, 1986 or thereafter,
6 if the weighted average daily attendance in either grades
7 kindergarten through 8 or grades 9 through 12 of a district
8 as computed for the first calendar month of the current
9 school year exceeds by more than 5%, but not less than 25
10 pupils, the district's weighted average daily attendance for
11 the first calendar month of the immediately preceding year
12 in, respectively, grades kindergarten through 8 or grades 9
13 through 12, a supplementary payment shall be made to the
14 district equal to the difference in the amount of aid the
15 district would be paid under this Section using the weighted
16 average daily attendance in the district as computed for the
17 first calendar month of the current school year and the
18 amount of aid the district would be paid using the weighted
19 average daily attendance in the district for the first
20 calendar month of the immediately preceding year. Such
21 supplementary State aid payment shall be paid to the district
22 as provided in Section 18-8.4 and shall be treated as
23 separate from all other payments made pursuant to this
24 Section 18-8.
25 (n) The number of low income eligible pupils in a
26 district shall result in an increase in the weighted average
27 daily attendance calculated as follows: The number of low
28 income pupils shall increase the weighted ADA by .53 for each
29 student adjusted by dividing the percent of low income
30 eligible pupils in the district by the ratio of eligible low
31 income pupils in the State to the best 3 months' weighted
32 average daily attendance in the State. In no case may the
33 adjustment under this paragraph result in a greater weighting
34 than .625 for each eligible low income student. The number
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1 of low income eligible pupils in a district shall be the
2 low-income eligible count from the most recently available
3 federal census and the weighted average daily attendance
4 shall be calculated in accordance with the other provisions
5 of this paragraph.
6 (o) Any school district which fails for any given school
7 year to maintain school as required by law, or to maintain a
8 recognized school is not eligible to file for such school
9 year any claim upon the common school fund. In case of
10 nonrecognition of one or more attendance centers in a school
11 district otherwise operating recognized schools, the claim of
12 the district shall be reduced in the proportion which the
13 average daily attendance in the attendance center or centers
14 bear to the average daily attendance in the school district.
15 A "recognized school" means any public school which meets the
16 standards as established for recognition by the State Board
17 of Education. A school district or attendance center not
18 having recognition status at the end of a school term is
19 entitled to receive State aid payments due upon a legal claim
20 which was filed while it was recognized.
21 (p) School district claims filed under this Section are
22 subject to Sections 18-9, 18-10 and 18-12, except as herein
23 otherwise provided.
24 (q) The State Board of Education shall secure from the
25 Department of Revenue the value as equalized or assessed by
26 the Department of Revenue of all taxable property of every
27 school district together with the applicable tax rate used in
28 extending taxes for the funds of the district as of September
29 30 of the previous year. The Department of Revenue shall add
30 to the equalized assessed value of all taxable property of
31 each school district situated entirely or partially within a
32 county with 2,000,000 or more inhabitants an amount equal to
33 the total amount by which the homestead exemptions allowed
34 under Sections 15-170 and 15-175 of the Property Tax Code for
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1 real property situated in that school district exceeds the
2 total amount that would have been allowed in that school
3 district as homestead exemptions under those Sections if the
4 maximum reduction under Section 15-170 of the Property Tax
5 Code was $2,000 and the maximum reduction under Section
6 15-175 of the Property Tax Code was $3,500. The county clerk
7 of any county with 2,000,000 or more inhabitants shall
8 annually calculate and certify to the Department for each
9 school district all homestead exemption amounts required by
10 this amendatory Act of 1992. In a new district which has not
11 had any tax rates yet determined for extension of taxes, a
12 leveled uniform rate shall be computed from the latest amount
13 of the fund taxes extended on the several areas within such
14 new district.
15 (r) If a school district operates a full year school
16 under Section 10-19.1, the general state aid to the school
17 district shall be determined by the State Board of Education
18 in accordance with this Section as near as may be applicable.
19 2. New or recomputed claim. The general State aid
20 entitlement for a newly created school district or a district
21 which has annexed an entire school district shall be computed
22 using attendance, compensatory pupil counts, equalized
23 assessed valuation, and tax rate data which would have been
24 used had the district been in existence for 3 years. General
25 State aid entitlements shall not be recomputed except as
26 permitted herein.
27 3. Impaction. Impaction payments shall be made as
28 provided for in Section 18-4.2.
29 4. Summer school. Summer school payments shall be made
30 as provided in Section 18-4.3.
31 5. Computation of State aid. The State grant shall be
32 determined as follows:
33 (a) The State shall guarantee the amount of money that a
34 district's operating tax rate as limited in other Sections of
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1 this Act would produce if every district maintaining grades
2 kindergarten through 12 had an equalized assessed valuation
3 equal to $74,791 per weighted ADA pupil; every district
4 maintaining grades kindergarten through 8 had an equalized
5 assessed valuation of $108,644 per weighted ADA pupil; and
6 every district maintaining grades 9 through 12 had an
7 equalized assessed valuation of $187,657 per weighted ADA
8 pupil. The State Board of Education shall adjust the
9 equalized assessed valuation amounts stated in this
10 paragraph, if necessary, to conform to the amount of the
11 appropriation approved for any fiscal year.
12 (b) The operating tax rate to be used shall consist of
13 all district taxes extended for all purposes except community
14 college educational purposes for the payment of tuition under
15 Section 6-1 of the Public Community College Act, Bond and
16 Interest, Summer School, Rent, Capital Improvement and
17 Vocational Education Building. In calculating the operating
18 tax rate of any school district for purposes of this Section,
19 any abatement required by Section 35 of the Local Option
20 Property Tax Reduction Act in the extension of any tax levied
21 by the school district shall be disregarded and the rate per
22 cent applicable to the extension of the district's tax for
23 its educational, operations and maintenance, and other school
24 funds, as a component of its operating tax rate, shall be
25 computed on the basis of the amount actually certified by the
26 district to be levied for those purposes, unreduced by any
27 abatement required under Section 35 of the Local Option
28 Property Tax Reduction Act. Any district may elect to
29 exclude Transportation from the calculation of its operating
30 tax rate. Districts may include taxes extended for the
31 payment of principal and interest on bonds issued under the
32 provisions of Sections 17-2.11a and 20-2 at a rate of .05%
33 per year for each purpose or the actual rate extended,
34 whichever is less.
-30- SRS90S0062NCaw
1 (c) For calculation of aid under this Act a district
2 shall use the combined authorized tax rates of all funds not
3 exempt in (b) above, not to exceed 2.76% of the value of all
4 its taxable property as equalized or assessed by the
5 Department of Revenue for districts maintaining grades
6 kindergarten through 12; 1.90% of the value of all its
7 taxable property as equalized or assessed by the Department
8 of Revenue for districts maintaining grades kindergarten
9 through 8 only; 1.10% of the value of all its taxable
10 property as equalized or assessed by the Department of
11 Revenue for districts maintaining grades 9 through 12 only.
12 A district may, however, as provided in Article 17, increase
13 its operating tax rate above the maximum rate provided in
14 this subsection without affecting the amount of State aid to
15 which it is entitled under this Act.
16 (d) (1) For districts maintaining grades kindergarten
17 through 12 with an operating tax rate as described in
18 subsections 5(b) and (c) of less than 2.18%, and districts
19 maintaining grades kindergarten through 8 with an operating
20 tax rate of less than 1.28%, State aid shall be computed by
21 multiplying the difference between the guaranteed equalized
22 assessed valuation per weighted ADA pupil in subsection 5(a)
23 and the equalized assessed valuation per weighted ADA pupil
24 in the district by the operating tax rate, multiplied by the
25 weighted average daily attendance of the district; provided,
26 however, that for the 1989-1990 school year only, a school
27 district maintaining grades kindergarten through 8 whose
28 operating tax rate with reference to which its general State
29 aid for the 1989-1990 school year is determined is less than
30 1.28% and more than 1.090%, and which had an operating tax
31 rate of 1.28% or more for the previous year, shall have its
32 general State aid computed according to the provisions of
33 subsection 5(d)(2).
34 (2) For districts maintaining grades kindergarten
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1 through 12 with an operating tax rate as described in
2 subsection 5(b) and (c) of 2.18% and above, the State aid
3 shall be computed as provided in subsection (d) (1) but as
4 though the district had an operating tax rate of 2.76%; in
5 K-8 districts with an operating tax rate of 1.28% and above,
6 the State aid shall be computed as provided in subsection (d)
7 (1) but as though the district had an operating tax rate of
8 1.90%; and in 9-12 districts, the State aid shall be computed
9 by multiplying the difference between the guaranteed
10 equalized assessed valuation per weighted average daily
11 attendance pupil in subsection 5(a) and the equalized
12 assessed valuation per weighted average daily attendance
13 pupil in the district by the operating tax rate, not to
14 exceed 1.10%, multiplied by the weighted average daily
15 attendance of the district. State aid computed under the
16 provisions of this subsection (d) (2) shall be treated as
17 separate from all other payments made pursuant to this
18 Section. The State Comptroller and State Treasurer shall
19 transfer from the General Revenue Fund to the Common School
20 Fund the amounts necessary to permit these claims to be paid
21 in equal installments along with other State aid payments
22 remaining to be made for the 1983-1984 school year under this
23 Section.
24 (3) For any school district whose 1995 equalized
25 assessed valuation is at least 6% less than its 1994
26 equalized assessed valuation as the result of a reduction in
27 the equalized assessed valuation of the taxable property
28 within such district of any one taxpayer whose taxable
29 property within the district has a 1994 equalized assessed
30 valuation constituting at least 20% of the 1994 equalized
31 assessed valuation of all taxable property within the
32 district, the 1996-97 State aid of such district shall be
33 computed using its 1995 equalized assessed valuation.
34 (4) For any school district whose 1988 equalized
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1 assessed valuation is 55% or less of its 1981 equalized
2 assessed valuation, the 1990-91 State aid of such district
3 shall be computed by multiplying the 1988 equalized assessed
4 valuation by a factor of .8. Any such school district which
5 is reorganized effective for the 1991-92 school year shall
6 use the formula provided in this subparagraph for purposes of
7 the calculation made pursuant to subsection (m) of this
8 Section.
9 (e) The amount of State aid shall be computed under the
10 provisions of subsections 5(a) through 5(d) provided the
11 equalized assessed valuation per weighted ADA pupil is less
12 than .87 of the amounts in subsection 5(a). If the equalized
13 assessed valuation per weighted ADA pupil is equal to or
14 greater than .87 of the amounts in subsection 5(a), the State
15 aid shall be computed under the provisions of subsection
16 5(f).
17 (f) If the equalized assessed valuation per weighted ADA
18 pupil is equal to or greater than .87 of the amounts in
19 subsection 5(a), the State aid per weighted ADA pupil shall
20 be computed by multiplying the product of .13 times the
21 maximum per pupil amount computed under the provisions of
22 subsections 5(a) through 5(d) by an amount equal to the
23 quotient of .87 times the equalized assessed valuation per
24 weighted ADA pupil in subsection 5(a) for that type of
25 district divided by the district equalized valuation per
26 weighted ADA pupil except in no case shall the district
27 receive State aid per weighted ADA pupil of less than .07
28 times the maximum per pupil amount computed under the
29 provisions of subsections 5(a) through 5(d).
30 (g) In addition to the above grants, summer school
31 grants shall be made based upon the calculation as provided
32 in subsection 4 of this Section.
33 (h) The board of any district receiving any of the
34 grants provided for in this Section may apply those funds to
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1 any fund so received for which that board is authorized to
2 make expenditures by law.
3 (i) (1) (a) In school districts with an average daily
4 attendance of 50,000 or more, the amount which is provided
5 under subsection 1(n) of this Section by the application of a
6 base Chapter 1 weighting factor of .375 shall be distributed
7 to the attendance centers within the district in proportion
8 to the number of pupils enrolled at each attendance center
9 who are eligible to receive free or reduced-price lunches or
10 breakfasts under the federal Child Nutrition Act of 1966 and
11 under the National School Lunch Act during the immediately
12 preceding school year. The amount of State aid provided
13 under subsection 1(n) of this Section by the application of
14 the Chapter 1 weighting factor in excess of .375 shall be
15 distributed to the attendance centers within the district in
16 proportion to the total enrollment at each attendance center.
17 Beginning with school year 1989-90, and each school year
18 thereafter, all funds provided under subsection 1 (n) of this
19 Section by the application of the Chapter 1 weighting factor
20 which are in excess of the level of non-targeted Chapter 1
21 funds in school year 1988-89 shall be distributed to
22 attendance centers, and only to attendance centers, within
23 the district in proportion to the number of pupils enrolled
24 at each attendance center who are eligible to receive free or
25 reduced price lunches or breakfasts under the Federal Child
26 Nutrition Act and under the National School Lunch Act during
27 the immediately preceding school year. Beginning in school
28 year 1989-90, 25% of the previously non-targeted Chapter 1
29 funds as established for school year 1988-89 shall also be
30 distributed to the attendance centers, and only to attendance
31 centers, in the district in proportion to the number of
32 pupils enrolled at each attendance center who are eligible to
33 receive free or reduced price lunches or breakfasts under the
34 Federal Child Nutrition Act and under the National School
-34- SRS90S0062NCaw
1 Lunch Act during the immediately preceding school year; in
2 school year 1990-91, 50% of the previously non-targeted
3 Chapter 1 funds as established for school year 1988-89 shall
4 be distributed to attendance centers, and only to attendance
5 centers, in the district in proportion to the number of
6 pupils enrolled at each attendance center who are eligible to
7 receive such free or reduced price lunches or breakfasts
8 during the immediately preceding school year; in school year
9 1991-92, 75% of the previously non-targeted Chapter 1 funds
10 as established for school year 1988-89 shall be distributed
11 to attendance centers, and only to attendance centers, in the
12 district in proportion to the number of pupils enrolled at
13 each attendance center who are eligible to receive such free
14 or reduced price lunches or breakfasts during the immediately
15 preceding school year; in school year 1992-93 and thereafter,
16 all funds provided under subsection 1 (n) of this Section by
17 the application of the Chapter 1 weighting factor shall be
18 distributed to attendance centers, and only to attendance
19 centers, in the district in proportion to the number of
20 pupils enrolled at each attendance center who are eligible to
21 receive free or reduced price lunches or breakfasts under the
22 Federal Child Nutrition Act and under the National School
23 Lunch Act during the immediately preceding school year;
24 provided, however, that the distribution formula in effect
25 beginning with school year 1989-90 shall not be applicable to
26 such portion of State aid provided under subsection 1 (n) of
27 this Section by the application of the Chapter 1 weighting
28 formula as is set aside and appropriated by the school
29 district for the purpose of providing desegregation programs
30 and related transportation to students (which portion shall
31 not exceed 5% of the total amount of State aid which is
32 provided under subsection 1 (n) of this Section by
33 application of the Chapter 1 weighting formula), and the
34 relevant percentages shall be applied to the remaining
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1 portion of such State aid. The distribution of these
2 portions of general State aid among attendance centers
3 according to these requirements shall not be compensated for
4 or contravened by adjustments of the total of other funds
5 appropriated to any attendance centers. (b) The Board of
6 Education shall utilize funding from one or several sources
7 in order to fully implement this provision annually prior to
8 the opening of school. The Board of Education shall apply
9 savings from reduced administrative costs required under
10 Section 34-43.1 and growth in non-Chapter 1 State and local
11 funds to assure that all attendance centers receive funding
12 to replace losses due to redistribution of Chapter 1 funding.
13 The distribution formula and funding to replace losses due to
14 the distribution formula shall occur, in full, using any and
15 all sources available, including, if necessary, revenue from
16 administrative reductions beyond those required in Section
17 34-43.1, in order to provide the necessary funds. (c) Each
18 attendance center shall be provided by the school district a
19 distribution of noncategorical funds and other categorical
20 funds to which an attendance center is entitled under law in
21 order that the State aid provided by application of the
22 Chapter 1 weighting factor and required to be distributed
23 among attendance centers according to the requirements of
24 this paragraph supplements rather than supplants the
25 noncategorical funds and other categorical funds provided by
26 the school district to the attendance centers.
27 Notwithstanding the foregoing provisions of this subsection
28 5(i)(1) or any other law to the contrary, beginning with the
29 1995-1996 school year and for each school year thereafter,
30 the board of a school district to which the provisions of
31 this subsection apply shall be required to allocate or
32 provide to attendance centers of the district in any such
33 school year, from the State aid provided for the district
34 under this Section by application of the Chapter 1 weighting
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1 factor, an aggregate amount of not less than $261,000,000 of
2 State Chapter 1 funds. Any State Chapter 1 funds that by
3 reason of the provisions of this paragraph are not required
4 to be allocated and provided to attendance centers may be
5 used and appropriated by the board of the district for any
6 lawful school purpose. Chapter 1 funds received by an
7 attendance center (except those funds set aside for
8 desegregation programs and related transportation to
9 students) shall be used on the schedule cited in this Section
10 at the attendance center at the discretion of the principal
11 and local school council for programs to improve educational
12 opportunities at qualifying schools through the following
13 programs and services: early childhood education, reduced
14 class size or improved adult to student classroom ratio,
15 enrichment programs, remedial assistance, attendance
16 improvement and other educationally beneficial expenditures
17 which supplement the regular and basic programs as determined
18 by the State Board of Education. Chapter 1 funds shall not
19 be expended for any political or lobbying purposes as defined
20 by board rule. (d) Each district subject to the provisions of
21 this paragraph shall submit an acceptable plan to meet the
22 educational needs of disadvantaged children, in compliance
23 with the requirements of this paragraph, to the State Board
24 of Education prior to July 15 of each year. This plan shall
25 be consistent with the decisions of local school councils
26 concerning the school expenditure plans developed in
27 accordance with part 4 of Section 34-2.3. The State Board
28 shall approve or reject the plan within 60 days after its
29 submission. If the plan is rejected the district shall give
30 written notice of intent to modify the plan within 15 days of
31 the notification of rejection and then submit a modified plan
32 within 30 days after the date of the written notice of intent
33 to modify. Districts may amend approved plans pursuant to
34 rules promulgated by the State Board of Education.
-37- SRS90S0062NCaw
1 Upon notification by the State Board of Education that
2 the district has not submitted a plan prior to July 15 or a
3 modified plan within the time period specified herein, the
4 State aid funds affected by said plan or modified plan shall
5 be withheld by the State Board of Education until a plan or
6 modified plan is submitted.
7 If the district fails to distribute State aid to
8 attendance centers in accordance with an approved plan, the
9 plan for the following year shall allocate funds, in addition
10 to the funds otherwise required by this subparagraph, to
11 those attendance centers which were underfunded during the
12 previous year in amounts equal to such underfunding.
13 For purposes of determining compliance with this
14 subsection in relation to Chapter 1 expenditures, each
15 district subject to the provisions of this subsection shall
16 submit as a separate document by December 1 of each year a
17 report of Chapter 1 expenditure data for the prior year in
18 addition to any modification of its current plan. If it is
19 determined that there has been a failure to comply with the
20 expenditure provisions of this subsection regarding
21 contravention or supplanting, the State Superintendent of
22 Education shall, within 60 days of receipt of the report,
23 notify the district and any affected local school council.
24 The district shall within 45 days of receipt of that
25 notification inform the State Superintendent of Education of
26 the remedial or corrective action to be taken, whether by
27 amendment of the current plan, if feasible, or by adjustment
28 in the plan for the following year. Failure to provide the
29 expenditure report or the notification of remedial or
30 corrective action in a timely manner shall result in a
31 withholding of the affected funds.
32 The State Board of Education shall promulgate rules and
33 regulations to implement the provisions of this subsection
34 5(i)(1). No funds shall be released under subsection 1(n) of
-38- SRS90S0062NCaw
1 this Section or under this subsection 5(i)(1) to any district
2 which has not submitted a plan which has been approved by the
3 State Board of Education.
4 (2) School districts with an average daily attendance of
5 more than 1,000 and less than 50,000 and having a low income
6 pupil weighting factor in excess of .53 shall submit a plan
7 to the State Board of Education prior to October 30 of each
8 year for the use of the funds resulting from the application
9 of subsection 1(n) of this Section for the improvement of
10 instruction in which priority is given to meeting the
11 education needs of disadvantaged children. Such plan shall
12 be submitted in accordance with rules and regulations
13 promulgated by the State Board of Education.
14 (j) For the purposes of calculating State aid under this
15 Section, with respect to any part of a school district within
16 a redevelopment project area in respect to which a
17 municipality has adopted tax increment allocation financing
18 pursuant to the Tax Increment Allocation Redevelopment Act,
19 Sections 11-74.4-1 through 11-74.4-11 of the Illinois
20 Municipal Code or the Industrial Jobs Recovery Law, Sections
21 11-74.6-1 through 11-74.6-50 of the Illinois Municipal Code,
22 no part of the current equalized assessed valuation of real
23 property located in any such project area which is
24 attributable to an increase above the total initial equalized
25 assessed valuation of such property shall be used in
26 computing the equalized assessed valuation per weighted ADA
27 pupil in the district, until such time as all redevelopment
28 project costs have been paid, as provided in Section
29 11-74.4-8 of the Tax Increment Allocation Redevelopment Act
30 or in Section 11-74.6-35 of the Industrial Jobs Recovery Law.
31 For the purpose of computing the equalized assessed valuation
32 per weighted ADA pupil in the district the total initial
33 equalized assessed valuation or the current equalized
34 assessed valuation, whichever is lower, shall be used until
-39- SRS90S0062NCaw
1 such time as all redevelopment project costs have been paid.
2 (k) For a school district operating under the financial
3 supervision of an Authority created under Article 34A, the
4 State aid otherwise payable to that district under this
5 Section, other than State aid attributable to Chapter 1
6 students, shall be reduced by an amount equal to the budget
7 for the operations of the Authority as certified by the
8 Authority to the State Board of Education, and an amount
9 equal to such reduction shall be paid to the Authority
10 created for such district for its operating expenses in the
11 manner provided in Section 18-11. The remainder of State
12 school aid for any such district shall be paid in accordance
13 with Article 34A when that Article provides for a disposition
14 other than that provided by this Article.
15 (l) For purposes of calculating State aid under this
16 Section, the equalized assessed valuation for a school
17 district used to compute State aid shall be determined by
18 adding to the real property equalized assessed valuation for
19 the district an amount computed by dividing the amount of
20 money received by the district under the provisions of "An
21 Act in relation to the abolition of ad valorem personal
22 property tax and the replacement of revenues lost thereby",
23 certified August 14, 1979, by the total tax rate for the
24 district. For purposes of this subsection 1976 tax rates
25 shall be used for school districts in the county of Cook and
26 1977 tax rates shall be used for school districts in all
27 other counties.
28 (m) (1) For a new school district formed by combining
29 property included totally within 2 or more previously
30 existing school districts, for its first year of existence or
31 if the new district was formed after October 31, 1982 and
32 prior to September 23, 1985, for the year immediately
33 following September 23, 1985, the State aid calculated under
34 this Section shall be computed for the new district and for
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1 the previously existing districts for which property is
2 totally included within the new district. If the computation
3 on the basis of the previously existing districts is greater,
4 a supplementary payment equal to the difference shall be made
5 for the first 3 years of existence of the new district or if
6 the new district was formed after October 31, 1982 and prior
7 to September 23, 1985, for the 3 years immediately following
8 September 23, 1985.
9 (2) For a school district which annexes all of the
10 territory of one or more entire other school districts, for
11 the first year during which the change of boundaries
12 attributable to such annexation becomes effective for all
13 purposes as determined under Section 7-9 or 7A-8, the State
14 aid calculated under this Section shall be computed for the
15 annexing district as constituted after the annexation and for
16 the annexing and each annexed district as constituted prior
17 to the annexation; and if the computation on the basis of the
18 annexing and annexed districts as constituted prior to the
19 annexation is greater, a supplementary payment equal to the
20 difference shall be made for the first 3 years of existence
21 of the annexing school district as constituted upon such
22 annexation.
23 (3) For 2 or more school districts which annex all of
24 the territory of one or more entire other school districts,
25 and for 2 or more community unit districts which result upon
26 the division (pursuant to petition under Section 11A-2) of
27 one or more other unit school districts into 2 or more parts
28 and which together include all of the parts into which such
29 other unit school district or districts are so divided, for
30 the first year during which the change of boundaries
31 attributable to such annexation or division becomes effective
32 for all purposes as determined under Section 7-9 or 11A-10,
33 as the case may be, the State aid calculated under this
34 Section shall be computed for each annexing or resulting
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1 district as constituted after the annexation or division and
2 for each annexing and annexed district, or for each resulting
3 and divided district, as constituted prior to the annexation
4 or division; and if the aggregate of the State aid as so
5 computed for the annexing or resulting districts as
6 constituted after the annexation or division is less than the
7 aggregate of the State aid as so computed for the annexing
8 and annexed districts, or for the resulting and divided
9 districts, as constituted prior to the annexation or
10 division, then a supplementary payment equal to the
11 difference shall be made and allocated between or among the
12 annexing or resulting districts, as constituted upon such
13 annexation or division, for the first 3 years of their
14 existence. The total difference payment shall be allocated
15 between or among the annexing or resulting districts in the
16 same ratio as the pupil enrollment from that portion of the
17 annexed or divided district or districts which is annexed to
18 or included in each such annexing or resulting district bears
19 to the total pupil enrollment from the entire annexed or
20 divided district or districts, as such pupil enrollment is
21 determined for the school year last ending prior to the date
22 when the change of boundaries attributable to the annexation
23 or division becomes effective for all purposes. The amount
24 of the total difference payment and the amount thereof to be
25 allocated to the annexing or resulting districts shall be
26 computed by the State Board of Education on the basis of
27 pupil enrollment and other data which shall be certified to
28 the State Board of Education, on forms which it shall provide
29 for that purpose, by the regional superintendent of schools
30 for each educational service region in which the annexing and
31 annexed districts, or resulting and divided districts are
32 located.
33 (4) If a unit school district annexes all the territory
34 of another unit school district effective for all purposes
-42- SRS90S0062NCaw
1 pursuant to Section 7-9 on July 1, 1988, and if part of the
2 annexed territory is detached within 90 days after July 1,
3 1988, then the detachment shall be disregarded in computing
4 the supplementary State aid payments under this paragraph (m)
5 for the entire 3 year period and the supplementary State aid
6 payments shall not be diminished because of the detachment.
7 (5) Any supplementary State aid payment made under this
8 paragraph (m) shall be treated as separate from all other
9 payments made pursuant to this Section.
10 (n) For the purposes of calculating State aid under this
11 Section, the real property equalized assessed valuation for a
12 school district used to compute State aid shall be determined
13 by subtracting from the real property value as equalized or
14 assessed by the Department of Revenue for the district an
15 amount computed by dividing the amount of any abatement of
16 taxes under Section 18-170 of the Property Tax Code by the
17 maximum operating tax rates specified in subsection 5(c) of
18 this Section and an amount computed by dividing the amount of
19 any abatement of taxes under subsection (a) of Section 18-165
20 of the Property Tax Code by the maximum operating tax rates
21 specified in subsection 5(c) of this Section.
22 (o) Notwithstanding any other provisions of this
23 Section, for the 1996-1997 school year the amount of the
24 aggregate general State aid entitlement that is received
25 under this Section by each school district for that school
26 year shall be not less than the amount of the aggregate
27 general State aid entitlement that was received by the
28 district under this Section for the 1995-1996 school year.
29 If a school district is to receive an aggregate general State
30 aid entitlement under this Section for the 1996-1997 school
31 year that is less than the amount of the aggregate general
32 State aid entitlement that the district received under this
33 Section for the 1995-1996 school year, the school district
34 shall also receive, from a separate appropriation made for
-43- SRS90S0062NCaw
1 purposes of this paragraph (o), a supplementary payment that
2 is equal to the amount by which the general State aid
3 entitlement received by the district under this Section for
4 the 1995-1996 school year exceeds the general State aid
5 entitlement that the district is to receive under this
6 Section for the 1996-1997 school year.
7 Notwithstanding any other provisions of this Section, for
8 the 1997-1998 school year the amount of the aggregate general
9 State aid entitlement that is received under this Section by
10 each school district for that school year shall be not less
11 than the amount of the aggregate general State aid
12 entitlement that was received by the district under this
13 Section for the 1996-1997 school year. If a school district
14 is to receive an aggregate general State aid entitlement
15 under this Section for the 1997-1998 school year that is less
16 than the amount of the aggregate general State aid
17 entitlement that the district received under this Section for
18 the 1996-1997 school year, the school district shall also
19 receive, from a separate appropriation made for purposes of
20 this paragraph (o), a supplementary payment that is equal to
21 the amount by which the general State aid entitlement
22 received by the district under this Section for the 1996-1997
23 school year exceeds the general State aid entitlement that
24 the district is to receive under this Section for the
25 1997-1998 school year.
26 If the amount appropriated for supplementary payments to
27 school districts under this paragraph (o) is insufficient for
28 that purpose, the supplementary payments that districts are
29 to receive under this paragraph shall be prorated according
30 to the aggregate amount of the appropriation made for
31 purposes of this paragraph.
32 (p) For the 1997-1998 school year only, a supplemental
33 general State aid grant shall be provided for school
34 districts in an amount equal to the greater of the result of
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1 part (i) of this subsection or part (ii) of this subsection,
2 calculated as follows:
3 (i) The general State aid received by a school
4 district under this Section for the 1997-1998 school year
5 shall be added to the sum of (A) the result obtained by
6 multiplying the 1995 equalized valuation of all taxable
7 property in the district by the fixed calculation tax
8 rates of 3.0% for unit districts, 2.0% for elementary
9 districts and 1.0% for high school districts plus (B) the
10 aggregate corporate personal property replacement
11 revenues received by the district during the 1996-1997
12 school year. That aggregate amount determined under this
13 part (i) shall be divided by the average of the best 3
14 months of pupil attendance in the district for the
15 1996-1997 school year. If the result obtained by dividing
16 the aggregate amount determined under this part (i) by
17 the average of the best 3 months of pupil attendance in
18 the district is less than $3,600, the supplemental
19 general State aid grant for that district shall be equal
20 to the amount determined by subtracting from $3,600 the
21 result obtained by dividing the aggregate amount
22 determined under this part (i) by the average of the best
23 3 months of pupil attendance in the district, and by
24 multiplying that difference by the average of the best 3
25 months of pupil attendance in the district for the
26 1996-1997 school year.
27 (ii) The general State aid received by a school
28 district under this Section for the 1997-1998 school year
29 shall be added to the sum of (A) the result obtained by
30 multiplying the 1995 equalized assessed valuation of all
31 taxable property in the district by the district's
32 applicable 1995 operating tax rate as defined in this
33 part (ii) plus (B) the aggregate corporate personal
34 property replacement revenues received by the district
-45- SRS90S0062NCaw
1 during the 1996-1997 school year. That aggregate amount
2 shall be divided by the average of the best 3 months of
3 pupil attendance in the district for the 1996-1997 school
4 year. If the result obtained by dividing the aggregate
5 amount determined in this part (ii) by the average of the
6 best 3 months of pupil attendance in the district is less
7 than $4,100, the supplemental general State aid grant for
8 that district shall be equal to the amount determined by
9 subtracting from the $4,100 the result obtained by
10 dividing the aggregate amount determined in this part
11 (ii) by the average of the best 3 months of pupil
12 attendance in the district and by multiplying that
13 difference by the average of the best 3 months of pupil
14 attendance in the district for the 1996-1997 school year.
15 For the purposes of this part (ii), the "applicable 1995
16 operating tax rate" shall mean the following: (A) for
17 unit districts with operating tax rates of 3.00% or less,
18 elementary districts with operating tax rates of 2.00% or
19 less, and high school districts with operating tax rates
20 of 1.00% or less, the applicable 1995 operating tax rate
21 shall be 3.00% for unit districts, 2.00% for elementary
22 districts, and 1.00% for high school districts; (B) for
23 unit districts with operating tax rates of 4.50% or more,
24 elementary districts with operating tax rates of 3.00% or
25 more, and high school districts with operating tax rates
26 of 1.85% or more, the applicable 1995 operating tax rate
27 shall be 4.50% for unit districts, 3.00% for elementary
28 districts, and 1.85% for high school districts; and (C)
29 for unit districts with operating tax rates of more than
30 3.00% and less than 4.50%, for elementary districts with
31 operating tax rates of more than 2.00% and less than
32 3.00%, and for high school districts with operating tax
33 rates of more than 1.00% and less than 1.85%, the
34 applicable 1995 operating tax rate shall be the
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1 district's actual 1995 operating tax rate.
2 If the moneys appropriated in a separate line item by the
3 General Assembly to the State Board of Education for
4 supplementary payments required to be made and distributed to
5 school districts for the 1997-1998 school year under this
6 subsection 5(p) are insufficient, the amount of the
7 supplementary payments required to be made and distributed to
8 those school districts under this subsection shall abate
9 proportionately.
10 (p-5) For the 1997-98 school year only, a supplemental
11 general State aid grant shall be provided for school
12 districts based on the number of low-income eligible pupils
13 within the school district. For the purposes of this
14 subsection 5(p-5), "low-income eligible pupils" shall be the
15 low-income eligible pupil count from the most recently
16 available federal census. The supplemental general State aid
17 grant for each district shall be equal to the number of
18 low-income eligible pupils within that district multiplied by
19 $30.50. If the moneys appropriated in a separate line item
20 by the General Assembly to the State Board of Education for
21 supplementary payments required to be made and distributed to
22 school districts for the 1997-98 school year under this
23 subsection 5(p-5) are insufficient, the amount of the
24 supplementary payments required to be made and distributed to
25 those districts under this subsection shall abate
26 proportionately.
27 (q) Notwithstanding any provision of the Local Option
28 Property Tax Reduction Act, the adoption or failure to adopt
29 a local income tax for schools and any disbursements of funds
30 or property tax abatements resulting from the adoption and
31 imposition of a local income tax for schools by one or more
32 school districts under the Local Option Property Tax
33 Reduction Act shall not affect the computation or
34 distribution of State aid for any school district. All
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1 computations of State aid and all other distributions of
2 State funds to school districts shall proceed without regard
3 to changes in school funding provided in the Local Option
4 Property Tax Reduction Act.
5 B. In calculating the amount to be paid to the governing
6 board of a public university that operates a laboratory
7 school under this Section or to any alternative school that
8 is operated by a regional superintendent of schools, the
9 State Board of Education shall require by rule such reporting
10 requirements as it deems necessary.
11 As used in this Section, "laboratory school" means a
12 public school which is created and operated by a public
13 university and approved by the State Board of Education. The
14 governing board of a public university which receives funds
15 from the State Board under this subsection B may not increase
16 the number of students enrolled in its laboratory school from
17 a single district, if that district is already sending 50 or
18 more students, except under a mutual agreement between the
19 school board of a student's district of residence and the
20 university which operates the laboratory school. A
21 laboratory school may not have more than 1,000 students,
22 excluding students with disabilities in a special education
23 program.
24 As used in this Section, "alternative school" means a
25 public school which is created and operated by a Regional
26 Superintendent of Schools and approved by the State Board of
27 Education. Such alternative schools may offer courses of
28 instruction for which credit is given in regular school
29 programs, courses to prepare students for the high school
30 equivalency testing program or vocational and occupational
31 training. A regional superintendent of schools may contract
32 with a school district or a public community college district
33 to operate an alternative school. An alternative school
34 serving more than one educational service region may be
-48- SRS90S0062NCaw
1 operated under such terms as the regional superintendents of
2 schools of those educational service regions may agree.
3 Each laboratory and alternative school shall file, on
4 forms provided by the State Superintendent of Education, an
5 annual State aid claim which states the average daily
6 attendance of the school's students by month. The best 3
7 months' average daily attendance shall be computed for each
8 school. The weighted average daily attendance shall be
9 computed and the weighted average daily attendance for the
10 school's most recent 3 year average shall be compared to the
11 most recent weighted average daily attendance, and the
12 greater of the 2 shall be used for the calculation under this
13 subsection B. The general State aid entitlement shall be
14 computed by multiplying the school's student count by the
15 foundation level as determined under this Section.
16 C. This Section is repealed July 1, 1998.
17 (Source: P.A. 89-15, eff. 5-30-95; 89-235, eff. 8-4-95;
18 89-397, eff. 8-20-95; 89-610, eff. 8-6-96; 89-618, eff.
19 8-9-96; 89-626, eff. 8-9-96; 89-679, eff. 8-16-96; 90-9, eff.
20 7-1-97; 90-14, eff. 7-1-97; 90-548, eff. 12-4-97; 90-566,
21 eff. 1-2-98; revised 1-8-98.)
22 Section 85. The School Code is amended by changing
23 Section 18-8.05 as follows:
24 (105 ILCS 5/18-8.05)
25 (This Section may contain text from a Public Act with a
26 delayed effective date.)
27 Sec. 18-8.05. Basis for apportionment of general State
28 financial aid and supplemental general State aid to the
29 common schools for the 1998-1999 and subsequent school years.
30 (A) General Provisions.
31 (1) The provisions of this Section apply to the
32 1998-1999 and subsequent school years. The system of general
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1 State financial aid provided for in this Section is designed
2 to assure that, through a combination of State financial aid
3 and required local resources, the financial support provided
4 each 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
9 Local Resources, equals or exceeds the Foundation Level. The
10 amount of per pupil general State financial aid for school
11 districts, in general, varies in inverse relation to
12 Available Local Resources. Per pupil amounts are based upon
13 each school district's Average Daily Attendance as that term
14 is defined in 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
18 supplemental general State financial aid grants as provided
19 pursuant to subsection (H). The supplemental State aid grants
20 provided for school districts under subsection (H) shall be
21 appropriated for distribution to school districts as part of
22 the same line item in which the general State financial aid
23 of school districts is 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.
31 In case of nonrecognition of one or more attendance
32 centers in a school district otherwise operating
33 recognized schools, the claim of the district shall be
34 reduced in the proportion which the Average Daily
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1 Attendance in the attendance center or centers bear to
2 the Average Daily Attendance in the school district. A
3 "recognized school" means any public school which meets
4 the standards as established for recognition by the State
5 Board of Education. A school district or attendance
6 center not having recognition status at the end of a
7 school term is entitled to receive State aid payments due
8 upon a legal claim which was filed while it was
9 recognized.
10 (b) School district claims filed under this Section
11 are subject to Sections 18-9, 18-10, and 18-12, except as
12 otherwise provided in this Section.
13 (c) If a school district operates a full year
14 school under Section 10-19.1, the general State aid to
15 the school district shall be determined by the State
16 Board of Education in accordance with this Section as
17 near as may be applicable.
18 (d) Claims for financial assistance under this
19 Section shall not be recomputed except as expressly
20 provided under this Section.
21 (4) Except as provided in subsections (H) and (L), the
22 board of any district receiving any of the grants provided
23 for in this Section may apply those funds to any fund so
24 received for which that board is authorized to make
25 expenditures by law.
26 School districts are not required to exert a minimum
27 Operating Tax Rate in order to qualify for assistance under
28 this Section.
29 (5) As used in this Section the following terms, when
30 capitalized, shall have the meaning ascribed herein:
31 (a) "Average Daily Attendance": A count of pupil
32 attendance in school, averaged as provided for in
33 subsection (C) and utilized in deriving per pupil
34 financial support levels.
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1 (b) "Available Local Resources": A computation of
2 local financial support, calculated on the basis Average
3 Daily Attendance and derived as provided pursuant to
4 subsection (D).
5 (c) "Corporate Personal Property Replacement
6 Taxes": Funds paid to local school districts pursuant to
7 "An Act in relation to the abolition of ad valorem
8 personal property tax and the replacement of revenues
9 lost thereby, and amending and repealing certain Acts and
10 parts of Acts in connection therewith", certified August
11 14, 1979, as amended (Public Act 81-1st S.S.-1).
12 (d) "Foundation Level": A prescribed level of per
13 pupil financial support as provided for in subsection
14 (B).
15 (e) "Operating Tax Rate": All school district
16 property taxes extended for all purposes, except
17 community college educational purposes for the payment of
18 tuition under Section 6-1 of the Public Community College
19 Act, Bond and Interest, Summer School, Rent, Capital
20 Improvement, and Vocational Education Building purposes.
21 In addition, in calculating the operating tax rate of any
22 school district for purposes of this Section, any
23 abatement required by Section 35 of the Local Option
24 Property Tax Reduction Act in the extension of any tax
25 levied by the school district shall be disregarded and
26 the rate per cent applicable to the extension of the
27 district's tax for its educational, operations and
28 maintenance, and other school funds, as a component of
29 its operating tax rate, shall be computed on the basis of
30 the amount actually certified by the district to be
31 levied for those purposes, unreduced by any abatement
32 required under Section 35 of the Local Option Property
33 Tax Reduction Act.
34 (B) Foundation Level.
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1 (1) The Foundation Level is a figure established by the
2 State representing the minimum level of per pupil financial
3 support that should be available to provide for the basic
4 education of each pupil in Average Daily Attendance. As set
5 forth in this Section, each school district is assumed to
6 exert a sufficient local taxing effort such that, in
7 combination with the aggregate of general State financial aid
8 provided the district, an aggregate of State and local
9 resources are available to meet the basic education needs of
10 pupils in the district.
11 (2) For the 1998-1999 school year, the Foundation Level
12 of support is $4,225. For the 1999-2000 school year, the
13 Foundation Level of support is $4,325. For the 2000-2001
14 school year, the Foundation Level of support is $4,425.
15 (3) For the 2001-2002 school year and each school year
16 thereafter, the Foundation Level of support is $4,425 or such
17 greater amount as may be established by law by the General
18 Assembly.
19 (C) Average Daily Attendance.
20 (1) For purposes of calculating general State aid
21 pursuant to subsection (E), an Average Daily Attendance
22 figure shall be utilized. The Average Daily Attendance
23 figure for formula calculation purposes shall be the monthly
24 average of the actual number of pupils in attendance of each
25 school district, as further averaged for the best 3 months of
26 pupil attendance for each school district. In compiling the
27 figures for the number of pupils in attendance, school
28 districts and the State Board of Education shall, for
29 purposes of general State aid funding, conform attendance
30 figures to the requirements of subsection (F).
31 (2) The Average Daily Attendance figures utilized in
32 subsection (E) shall be the requisite attendance data for the
33 school year immediately preceding the school year for which
34 general State aid is being calculated.
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1 (D) Available Local Resources.
2 (1) For purposes of calculating general State aid
3 pursuant to subsection (E), a representation of Available
4 Local Resources per pupil, as that term is defined and
5 determined in this subsection, shall be utilized. Available
6 Local Resources per pupil shall include a calculated dollar
7 amount representing local school district revenues from local
8 property taxes and from Corporate Personal Property
9 Replacement Taxes, expressed on the basis of pupils in
10 Average Daily Attendance.
11 (2) In determining a school district's revenue from
12 local property taxes, the State Board of Education shall
13 utilize the equalized assessed valuation of all taxable
14 property of each school district as of September 30 of the
15 previous year. The equalized assessed valuation utilized
16 shall be obtained and determined as provided in subsection
17 (G).
18 (3) For school districts maintaining grades kindergarten
19 through 12, local property tax revenues per pupil shall be
20 calculated as the product of the applicable equalized
21 assessed valuation for the district multiplied by 3.00%, and
22 divided by the district's Average Daily Attendance figure.
23 For school districts maintaining grades kindergarten through
24 8, local property tax revenues per pupil shall be calculated
25 as the product of the applicable equalized assessed valuation
26 for the district multiplied by 2.30%, and divided by the
27 district's Average Daily Attendance figure. For school
28 districts maintaining grades 9 through 12, local property tax
29 revenues per pupil shall be the applicable equalized assessed
30 valuation of the district multiplied by 1.20%, and divided by
31 the district's Average Daily Attendance figure.
32 (4) The Corporate Personal Property Replacement Taxes
33 paid to each school district during the calendar year 2 years
34 before the calendar year in which a school year begins,
-54- SRS90S0062NCaw
1 divided by the Average Daily Attendance figure for that
2 district, shall be added to the local property tax revenues
3 per pupil as derived by the application of the immediately
4 preceding paragraph (3). The sum of these per pupil figures
5 for each school district shall constitute Available Local
6 Resources as that term is utilized in subsection (E) in the
7 calculation of general State aid.
8 (E) Computation of General State Aid.
9 (1) For each school year, the amount of general State
10 aid allotted to a school district shall be computed by the
11 State Board of Education as provided in this subsection.
12 (2) For any school district for which Available Local
13 Resources per pupil is less than the product of 0.93 times
14 the Foundation Level, general State aid for that district
15 shall be calculated as an amount equal to the Foundation
16 Level minus Available Local Resources, multiplied by the
17 Average Daily Attendance of the school district.
18 (3) For any school district for which Available Local
19 Resources per pupil is equal to or greater than the product
20 of 0.93 times the Foundation Level and less than the product
21 of 1.75 times the Foundation Level, the general State aid per
22 pupil shall be a decimal proportion of the Foundation Level
23 derived using a linear algorithm. Under this linear
24 algorithm, the calculated general State aid per pupil shall
25 decline in direct linear fashion from 0.07 times the
26 Foundation Level for a school district with Available Local
27 Resources equal to the product of 0.93 times the Foundation
28 Level, to 0.05 times the Foundation Level for a school
29 district with Available Local Resources equal to the product
30 of 1.75 times the Foundation Level. The allocation of
31 general State aid for school districts subject to this
32 paragraph 3 shall be the calculated general State aid per
33 pupil figure multiplied by the Average Daily Attendance of
34 the school district.
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1 (4) For any school district for which Available Local
2 Resources per pupil equals or exceeds the product of 1.75
3 times the Foundation Level, the general State aid for the
4 school district shall be calculated as the product of $218
5 multiplied by the Average Daily Attendance of the school
6 district.
7 (F) Compilation of Average Daily Attendance.
8 (1) Each school district shall, by July 1 of each year,
9 submit to the State Board of Education, on forms prescribed
10 by the State Board of Education, attendance figures for the
11 school year that began in the preceding calendar year. The
12 attendance information so transmitted shall identify the
13 average daily attendance figures for each month of the school
14 year, except that any days of attendance in August shall be
15 added to the month of September and any days of attendance in
16 June shall be added to the month of May.
17 Except as otherwise provided in this Section, days of
18 attendance by pupils shall be counted only for sessions of
19 not less than 5 clock hours of school work per day under
20 direct supervision of: (i) teachers, or (ii) non-teaching
21 personnel or volunteer personnel when engaging in
22 non-teaching duties and supervising in those instances
23 specified in subsection (a) of Section 10-22.34 and paragraph
24 10 of Section 34-18, with pupils of legal school age and in
25 kindergarten and grades 1 through 12.
26 Days of attendance by tuition pupils shall be accredited
27 only to the districts that pay the tuition to a recognized
28 school.
29 (2) Days of attendance by pupils of less than 5 clock
30 hours of school shall be subject to the following provisions
31 in the compilation of Average Daily Attendance.
32 (a) Pupils regularly enrolled in a public school
33 for only a part of the school day may be counted on the
34 basis of 1/6 day for every class hour of instruction of
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1 40 minutes or more attended pursuant to such enrollment.
2 (b) Days of attendance may be less than 5 clock
3 hours on the opening and closing of the school term, and
4 upon the first day of pupil attendance, if preceded by a
5 day or days utilized as an institute or teachers'
6 workshop.
7 (c) A session of 4 or more clock hours may be
8 counted as a day of attendance upon certification by the
9 regional superintendent, and approved by the State
10 Superintendent of Education to the extent that the
11 district has been forced to use daily multiple sessions.
12 (d) A session of 3 or more clock hours may be
13 counted as a day of attendance (1) when the remainder of
14 the school day or at least 2 hours in the evening of that
15 day is utilized for an in-service training program for
16 teachers, up to a maximum of 5 days per school year of
17 which a maximum of 4 days of such 5 days may be used for
18 parent-teacher conferences, provided a district conducts
19 an in-service training program for teachers which has
20 been approved by the State Superintendent of Education;
21 or, in lieu of 4 such days, 2 full days may be used, in
22 which event each such day may be counted as a day of
23 attendance; and (2) when days in addition to those
24 provided in item (1) are scheduled by a school pursuant
25 to its school improvement plan adopted under Article 34
26 or its revised or amended school improvement plan adopted
27 under Article 2, provided that (i) such sessions of 3 or
28 more clock hours are scheduled to occur at regular
29 intervals, (ii) the remainder of the school days in which
30 such sessions occur are utilized for in-service training
31 programs or other staff development activities for
32 teachers, and (iii) a sufficient number of minutes of
33 school work under the direct supervision of teachers are
34 added to the school days between such regularly scheduled
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1 sessions to accumulate not less than the number of
2 minutes by which such sessions of 3 or more clock hours
3 fall short of 5 clock hours. Any full days used for the
4 purposes of this paragraph shall not be considered for
5 computing average daily attendance. Days scheduled for
6 in-service training programs, staff development
7 activities, or parent-teacher conferences may be
8 scheduled separately for different grade levels and
9 different attendance centers of the district.
10 (e) A session of not less than one clock hour
11 teaching of hospitalized or homebound pupils on-site or
12 by telephone to the classroom may be counted as 1/2 day
13 of attendance, however these pupils must receive 4 or
14 more clock hours of instruction to be counted for a full
15 day of attendance.
16 (f) A session of at least 4 clock hours may be
17 counted as a day of attendance for first grade pupils,
18 and pupils in full day kindergartens, and a session of 2
19 or more hours may be counted as 1/2 day of attendance by
20 pupils in kindergartens which provide only 1/2 day of
21 attendance.
22 (g) For children with disabilities who are below
23 the age of 6 years and who cannot attend 2 or more clock
24 hours because of their disability or immaturity, a
25 session of not less than one clock hour may be counted as
26 1/2 day of attendance; however for such children whose
27 educational needs so require a session of 4 or more clock
28 hours may be counted as a full day of attendance.
29 (h) A recognized kindergarten which provides for
30 only 1/2 day of attendance by each pupil shall not have
31 more than 1/2 day of attendance counted in any 1 day.
32 However, kindergartens may count 2 1/2 days of attendance
33 in any 5 consecutive school days. When a pupil attends
34 such a kindergarten for 2 half days on any one school
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1 day, the pupil shall have the following day as a day
2 absent from school, unless the school district obtains
3 permission in writing from the State Superintendent of
4 Education. Attendance at kindergartens which provide for
5 a full day of attendance by each pupil shall be counted
6 the same as attendance by first grade pupils. Only the
7 first year of attendance in one kindergarten shall be
8 counted, except in case of children who entered the
9 kindergarten in their fifth year whose educational
10 development requires a second year of kindergarten as
11 determined under the rules and regulations of the State
12 Board of Education.
13 (G) Equalized Assessed Valuation Data.
14 (1) For purposes of the calculation of Available Local
15 Resources required pursuant to subsection (D), the State
16 Board of Education shall secure from the Department of
17 Revenue the value as equalized or assessed by the Department
18 of Revenue of all taxable property of every school district
19 together with the applicable tax rate used in extending taxes
20 for the funds of the district as of September 30 of the
21 previous year.
22 This equalized assessed valuation, as adjusted further by
23 the requirements of this subsection, shall be utilized in the
24 calculation of Available Local Resources.
25 (2) The equalized assessed valuation in paragraph (1)
26 shall be adjusted, as applicable, in the following manner:
27 (a) For the purposes of calculating State aid under
28 this Section, with respect to any part of a school
29 district within a redevelopment project area in respect
30 to which a municipality has adopted tax increment
31 allocation financing pursuant to the Tax Increment
32 Allocation Redevelopment Act, Sections 11-74.4-1 through
33 11-74.4-11 of the Illinois Municipal Code or the
34 Industrial Jobs Recovery Law, Sections 11-74.6-1 through
-59- SRS90S0062NCaw
1 11-74.6-50 of the Illinois Municipal Code, no part of the
2 current equalized assessed valuation of real property
3 located in any such project area which is attributable to
4 an increase above the total initial equalized assessed
5 valuation of such property shall be used as part of the
6 equalized assessed valuation of the district, until such
7 time as all redevelopment project costs have been paid,
8 as provided in Section 11-74.4-8 of the Tax Increment
9 Allocation Redevelopment Act or in Section 11-74.6-35 of
10 the Industrial Jobs Recovery Law. For the purpose of the
11 equalized assessed valuation of the district, the total
12 initial equalized assessed valuation or the current
13 equalized assessed valuation, whichever is lower, shall
14 be used until such time as all redevelopment project
15 costs have been paid.
16 (b) The real property equalized assessed valuation
17 for a school district shall be adjusted by subtracting
18 from the real property value as equalized or assessed by
19 the Department of Revenue for the district an amount
20 computed by dividing the amount of any abatement of taxes
21 under Section 18-170 of the Property Tax Code by 3.00%
22 for a district maintaining grades kindergarten through 12
23 or by 2.30% for a district maintaining grades
24 kindergarten through 8, or by 1.20% for a district
25 maintaining grades 9 through 12 and adjusted by an amount
26 computed by dividing the amount of any abatement of taxes
27 under subsection (a) of Section 18-165 of the Property
28 Tax Code by the same percentage rates for district type
29 as specified in this subparagraph (c).
30 (H) Supplemental General State Aid.
31 (1) In addition to the general State aid a school
32 district is allotted pursuant to subsection (E), qualifying
33 school districts shall receive a grant, paid in conjunction
34 with a district's payments of general State aid, for
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1 supplemental general State aid based upon the concentration
2 level of children from low-income households within the
3 school district. Supplemental State aid grants provided for
4 school districts under this subsection shall be appropriated
5 for distribution to school districts as part of the same line
6 item in which the general State financial aid of school
7 districts is appropriated under this Section. For purposes of
8 this subsection, the term "Low-Income Concentration Level"
9 shall be the low-income eligible pupil count from the most
10 recently available federal census divided by the Average
11 Daily Attendance of the school district.
12 (2) Supplemental general State aid pursuant to this
13 subsection shall be provided as follows:
14 (a) For any school district with a Low Income
15 Concentration Level of at least 20% and less than 35%,
16 the grant for any school year shall be $800 multiplied by
17 the low income eligible pupil count.
18 (b) For any school district with a Low Income
19 Concentration Level of at least 35% and less than 50%,
20 the grant for the 1998-1999 school year shall be $1,100
21 multiplied by the low income eligible pupil count.
22 (c) For any school district with a Low Income
23 Concentration Level of at least 50% and less than 60%,
24 the grant for the 1998-99 school year shall be $1,500
25 multiplied by the low income eligible pupil count.
26 (d) For any school district with a Low Income
27 Concentration Level of 60% or more, the grant for the
28 1998-99 school year shall be $1,900 multiplied by the low
29 income eligible pupil count.
30 (e) For the 1999-2000 school year, the per pupil
31 amount specified in subparagraphs (b), (c), and (d),
32 immediately above shall be increased by $100 to $1,200,
33 $1,600, and $2,000, respectively.
34 (f) For the 2000-2001 school year, the per pupil
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1 amounts specified in subparagraphs (b), (c) and (d)
2 immediately above shall be increased to $1,230, $1,640,
3 and $2,050, respectively.
4 (3) School districts with an Average Daily Attendance of
5 more than 1,000 and less than 50,000 that qualify for
6 supplemental general State aid pursuant to this subsection
7 shall submit a plan to the State Board of Education prior to
8 October 30 of each year for the use of the funds resulting
9 from this grant of supplemental general State aid for the
10 improvement of instruction in which priority is given to
11 meeting the education needs of disadvantaged children. Such
12 plan shall be submitted in accordance with rules and
13 regulations promulgated by the State Board of Education.
14 (4) School districts with an Average Daily Attendance of
15 50,000 or more that qualify for supplemental general State
16 aid pursuant to this subsection shall be required to
17 distribute from funds available pursuant to this Section, no
18 less than $261,000,000 in accordance with the following
19 requirements:
20 (a) The required amounts shall be distributed to
21 the attendance centers within the district in proportion
22 to the number of pupils enrolled at each attendance
23 center who are eligible to receive free or reduced-price
24 lunches or breakfasts under the federal Child Nutrition
25 Act of 1966 and under the National School Lunch Act
26 during the immediately preceding school year.
27 (b) The distribution of these portions of
28 supplemental and general State aid among attendance
29 centers according to these requirements shall not be
30 compensated for or contravened by adjustments of the
31 total of other funds appropriated to any attendance
32 centers, and the Board of Education shall utilize funding
33 from one or several sources in order to fully implement
34 this provision annually prior to the opening of school.
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1 (c) Each attendance center shall be provided by the
2 school district a distribution of noncategorical funds
3 and other categorical funds to which an attendance center
4 is entitled under law in order that the general State aid
5 and supplemental general State aid provided by
6 application of this subsection supplements rather than
7 supplants the noncategorical funds and other categorical
8 funds provided by the school district to the attendance
9 centers.
10 (d) Any funds made available under this subsection
11 that by reason of the provisions of this subsection are
12 not required to be allocated and provided to attendance
13 centers may be used and appropriated by the board of the
14 district for any lawful school purpose.
15 (e) Funds received by an attendance center pursuant
16 to this subsection shall be used by the attendance center
17 at the discretion of the principal and local school
18 council for programs to improve educational opportunities
19 at qualifying schools through the following programs and
20 services: early childhood education, reduced class size
21 or improved adult to student classroom ratio, enrichment
22 programs, remedial assistance, attendance improvement and
23 other educationally beneficial expenditures which
24 supplement the regular and basic programs as determined
25 by the State Board of Education. Funds provided shall
26 not be expended for any political or lobbying purposes as
27 defined by board rule.
28 (f) Each district subject to the provisions of this
29 subdivision (H)(4) shall submit an acceptable plan to
30 meet the educational needs of disadvantaged children, in
31 compliance with the requirements of this paragraph, to
32 the State Board of Education prior to July 15 of each
33 year. This plan shall be consistent with the decisions of
34 local school councils concerning the school expenditure
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1 plans developed in accordance with part 4 of Section
2 34-2.3. The State Board shall approve or reject the plan
3 within 60 days after its submission. If the plan is
4 rejected, the district shall give written notice of
5 intent to modify the plan within 15 days of the
6 notification of rejection and then submit a modified plan
7 within 30 days after the date of the written notice of
8 intent to modify. Districts may amend approved plans
9 pursuant to rules promulgated by the State Board of
10 Education.
11 Upon notification by the State Board of Education
12 that the district has not submitted a plan prior to July
13 15 or a modified plan within the time period specified
14 herein, the State aid funds affected by that plan or
15 modified plan shall be withheld by the State Board of
16 Education until a plan or modified plan is submitted.
17 If the district fails to distribute State aid to
18 attendance centers in accordance with an approved plan,
19 the plan for the following year shall allocate funds, in
20 addition to the funds otherwise required by this
21 subsection, to those attendance centers which were
22 underfunded during the previous year in amounts equal to
23 such underfunding.
24 For purposes of determining compliance with this
25 subsection in relation to the requirements of attendance
26 center funding, each district subject to the provisions
27 of this subsection shall submit as a separate document by
28 December 1 of each year a report of expenditure data for
29 the prior year in addition to any modification of its
30 current plan. If it is determined that there has been a
31 failure to comply with the expenditure provisions of this
32 subsection regarding contravention or supplanting, the
33 State Superintendent of Education shall, within 60 days
34 of receipt of the report, notify the district and any
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1 affected local school council. The district shall within
2 45 days of receipt of that notification inform the State
3 Superintendent of Education of the remedial or corrective
4 action to be taken, whether by amendment of the current
5 plan, if feasible, or by adjustment in the plan for the
6 following year. Failure to provide the expenditure
7 report or the notification of remedial or corrective
8 action in a timely manner shall result in a withholding
9 of the affected funds.
10 The State Board of Education shall promulgate rules
11 and regulations to implement the provisions of this
12 subsection. No funds shall be released under this
13 subdivision (H)(4) to any district that has not submitted
14 a plan that has been approved by the State Board of
15 Education.
16 (I) General State Aid for Newly Configured School Districts.
17 (1) For a new school district formed by combining
18 property included totally within 2 or more previously
19 existing school districts, for its first year of existence
20 the general State aid and supplemental general State aid
21 calculated under this Section shall be computed for the new
22 district and for the previously existing districts for which
23 property is totally included within the new district. If the
24 computation on the basis of the previously existing districts
25 is greater, a supplementary payment equal to the difference
26 shall be made for the first 4 years of existence of the new
27 district.
28 (2) For a school district which annexes all of the
29 territory of one or more entire other school districts, for
30 the first year during which the change of boundaries
31 attributable to such annexation becomes effective for all
32 purposes as determined under Section 7-9 or 7A-8, the general
33 State aid and supplemental general State aid calculated under
34 this Section shall be computed for the annexing district as
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1 constituted after the annexation and for the annexing and
2 each annexed district as constituted prior to the annexation;
3 and if the computation on the basis of the annexing and
4 annexed districts as constituted prior to the annexation is
5 greater, a supplementary payment equal to the difference
6 shall be made for the first 4 years of existence of the
7 annexing school district as constituted upon such annexation.
8 (3) For 2 or more school districts which annex all of
9 the territory of one or more entire other school districts,
10 and for 2 or more community unit districts which result upon
11 the division (pursuant to petition under Section 11A-2) of
12 one or more other unit school districts into 2 or more parts
13 and which together include all of the parts into which such
14 other unit school district or districts are so divided, for
15 the first year during which the change of boundaries
16 attributable to such annexation or division becomes effective
17 for all purposes as determined under Section 7-9 or 11A-10,
18 as the case may be, the general State aid and supplemental
19 general State aid calculated under this Section shall be
20 computed for each annexing or resulting district as
21 constituted after the annexation or division and for each
22 annexing and annexed district, or for each resulting and
23 divided district, as constituted prior to the annexation or
24 division; and if the aggregate of the general State aid and
25 supplemental general State aid as so computed for the
26 annexing or resulting districts as constituted after the
27 annexation or division is less than the aggregate of the
28 general State aid and supplemental general State aid as so
29 computed for the annexing and annexed districts, or for the
30 resulting and divided districts, as constituted prior to the
31 annexation or division, then a supplementary payment equal to
32 the difference shall be made and allocated between or among
33 the annexing or resulting districts, as constituted upon such
34 annexation or division, for the first 4 years of their
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1 existence. The total difference payment shall be allocated
2 between or among the annexing or resulting districts in the
3 same ratio as the pupil enrollment from that portion of the
4 annexed or divided district or districts which is annexed to
5 or included in each such annexing or resulting district bears
6 to the total pupil enrollment from the entire annexed or
7 divided district or districts, as such pupil enrollment is
8 determined for the school year last ending prior to the date
9 when the change of boundaries attributable to the annexation
10 or division becomes effective for all purposes. The amount
11 of the total difference payment and the amount thereof to be
12 allocated to the annexing or resulting districts shall be
13 computed by the State Board of Education on the basis of
14 pupil enrollment and other data which shall be certified to
15 the State Board of Education, on forms which it shall provide
16 for that purpose, by the regional superintendent of schools
17 for each educational service region in which the annexing and
18 annexed districts, or resulting and divided districts are
19 located.
20 (4) Any supplementary payment made under this subsection
21 (I) shall be treated as separate from all other payments made
22 pursuant to this Section.
23 (J) Supplementary Grants in Aid.
24 (1) Notwithstanding any other provisions of this
25 Section, the amount of the aggregate general State aid in
26 combination with supplemental general State aid under this
27 Section for which each school district is eligible for the
28 1998-1999 school year shall be no less than the amount of the
29 aggregate general State aid entitlement that was received by
30 the district under Section 18-8 (exclusive of amounts
31 received under subsections 5(p) and 5(p-5) of that Section)
32 for the 1997-98 school year, pursuant to the provisions of
33 that Section as it was then in effect. If a school district
34 qualifies to receive a supplementary payment made under this
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1 subsection (J) for the 1998-1999 school year, the amount of
2 the aggregate general State aid in combination with
3 supplemental general State aid under this Section which that
4 district is eligible to receive for each school year
5 subsequent to the 1998-1999 school year shall be no less than
6 the amount of the aggregate general State aid entitlement
7 that was received by the district under Section 18-8
8 (exclusive of amounts received under subsections 5(p) and
9 5(p-5) of that Section) for the 1997-1998 school year,
10 pursuant to the provisions of that Section as it was then in
11 effect.
12 (2) If, as provided in paragraph (1) of this subsection
13 (J), a school district is to receive aggregate general State
14 aid in combination with supplemental general State aid under
15 this Section for the 1998-99 school year, or for the 1998-99
16 school year and any subsequent school year, that in any such
17 school year is less than the amount of the aggregate general
18 State aid entitlement that the district received for the
19 1997-98 school year, the school district shall also receive,
20 from a separate appropriation made for purposes of this
21 subsection (J), a supplementary payment that is equal to the
22 amount of the difference in the aggregate State aid figures
23 as described in paragraph (1).
24 (3) If the amount appropriated for supplementary
25 payments to school districts under this subsection (J) is
26 insufficient for that purpose, the supplementary payments
27 that districts are to receive under this subsection shall be
28 prorated according to the aggregate amount of the
29 appropriation made for purposes of this subsection.
30 (K) Grants to Laboratory and Alternative Schools.
31 In calculating the amount to be paid to the governing
32 board of a public university that operates a laboratory
33 school under this Section or to any alternative school that
34 is operated by a regional superintendent, the State Board of
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1 Education shall require by rule such reporting requirements
2 as it deems necessary.
3 As used in this Section, "laboratory school" means a
4 public school which is created and operated by a public
5 university and approved by the State Board of Education. The
6 governing board of a public university which receives funds
7 from the State Board under this subsection (K) may not
8 increase the number of students enrolled in its laboratory
9 school from a single district, if that district is already
10 sending 50 or more students, except under a mutual agreement
11 between the school board of a student's district of residence
12 and the university which operates the laboratory school. A
13 laboratory school may not have more than 1,000 students,
14 excluding students with disabilities in a special education
15 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.
24 Each laboratory and alternative school shall file, on
25 forms provided by the State Superintendent of Education, an
26 annual State aid claim which states the Average Daily
27 Attendance of the school's students by month. The best 3
28 months' Average Daily Attendance shall be computed for each
29 school. The general State aid entitlement shall be computed
30 by multiplying the applicable Average Daily Attendance by the
31 Foundation Level as determined under this Section.
32 (L) Payments, Additional Grants in Aid and Other
33 Requirements.
34 (1) For a school district operating under the financial
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1 supervision of an Authority created under Article 34A, the
2 general State aid otherwise payable to that district under
3 this Section, but not the supplemental general State aid,
4 shall be reduced by an amount equal to the budget for the
5 operations of the Authority as certified by the Authority to
6 the State Board of Education, and an amount equal to such
7 reduction shall be paid to the Authority created for such
8 district for its operating expenses in the manner provided in
9 Section 18-11. The remainder of general State school aid for
10 any such district shall be paid in accordance with Article
11 34A when that Article provides for a disposition other than
12 that provided by this Article.
13 (2) Impaction. Impaction payments shall be made as
14 provided for in Section 18-4.2.
15 (3) Summer school. Summer school payments shall be made
16 as provided in Section 18-4.3.
17 (M) Education Funding Advisory Board.
18 The Education Funding Advisory Board, hereinafter in this
19 subsection (M) referred to as the "Board", is hereby created.
20 The Board shall consist of 5 members who are appointed by the
21 Governor, by and with the advice and consent of the Senate.
22 The members appointed shall include representatives of
23 education, business, and the general public. One of the
24 members so appointed shall be designated by the Governor at
25 the time the appointment is made as the chairperson of the
26 Board. The initial members of the Board may be appointed any
27 time after the effective date of this amendatory Act of 1997.
28 The regular term of each member of the Board shall be for 4
29 years from the third Monday of January of the year in which
30 the term of the member's appointment is to commence, except
31 that of the 5 initial members appointed to serve on the
32 Board, the member who is appointed as the chairperson shall
33 serve for a term that commences on the date of his or her
34 appointment and expires on the third Monday of January, 2002,
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1 and the remaining 4 members, by lots drawn at the first
2 meeting of the Board that is held after all 5 members are
3 appointed, shall determine 2 of their number to serve for
4 terms that commence on the date of their respective
5 appointments and expire on the third Monday of January, 2001,
6 and 2 of their number to serve for terms that commence on the
7 date of their respective appointments and expire on the third
8 Monday of January, 2000. All members appointed to serve on
9 the Board shall serve until their respective successors are
10 appointed and confirmed. Vacancies shall be filled in the
11 same manner as original appointments. If a vacancy in
12 membership occurs at a time when the Senate is not in
13 session, the Governor shall make a temporary appointment
14 until the next meeting of the Senate, when he or she shall
15 appoint, by and with the advice and consent of the Senate, a
16 person to fill that membership for the unexpired term. If
17 the Senate is not in session when the initial appointments
18 are made, those appointments shall be made as in the case of
19 vacancies.
20 The Education Funding Advisory Board shall be deemed
21 established, and the initial members appointed by the
22 Governor to serve as members of the Board shall take office,
23 on the date that the Governor makes his or her appointment of
24 the fifth initial member of the Board, whether those initial
25 members are then serving pursuant to appointment and
26 confirmation or pursuant to temporary appointments that are
27 made by the Governor as in the case of vacancies.
28 The State Board of Education shall provide such staff
29 assistance to the Education Funding Advisory Board as is
30 reasonably required for the proper performance by the Board
31 of its responsibilities.
32 For school years after the 2000-2001 school year, the
33 Education Funding Advisory Board, in consultation with the
34 State Board of Education, shall make recommendations as
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1 provided in this subsection (M) to the General Assembly for
2 the foundation level under subdivision (B)(3) of this Section
3 and for the supplemental general State aid grant level under
4 subsection (H) of this Section for districts with high
5 concentrations of children from poverty. The recommended
6 foundation level shall be determined based on a methodology
7 which incorporates the basic education expenditures of
8 low-spending schools exhibiting high academic performance.
9 The Education Funding Advisory Board shall make such
10 recommendations to the General Assembly on January 1 of odd
11 numbered years, beginning January 1, 2001.
12 (N) General State Aid Adjustment Grant.
13 (1) Any school district subject to property tax
14 extension limitations as imposed under the provisions of the
15 Property Tax Extension Limitation Law shall be entitled to
16 receive, subject to the qualifications and requirements of
17 this subsection, a general State aid adjustment grant.
18 Eligibility for this grant shall be determined on an annual
19 basis and claims for grant payments shall be paid subject to
20 appropriations made specific to this subsection. For
21 purposes of this subsection the following terms shall have
22 the following meanings:
23 "Budget Year": The school year for which general State
24 aid is calculated and awarded under subsection (E).
25 "Current Year": The school year immediately preceding
26 the Budget Year.
27 "Base Tax Year": The property tax levy year used to
28 calculate the Budget Year allocation of general State aid.
29 "Preceding Tax Year": The property tax levy year
30 immediately preceding the Base Tax Year.
31 "Extension Limitation Ratio": A numerical ratio,
32 certified by a school district's County Clerk, in which the
33 numerator is the Base Tax Year's tax extension amount
34 resulting from the Operating Tax Rate and the denominator is
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1 the Preceding Tax Year's tax extension amount resulting from
2 the Operating Tax Rate.
3 "Operating Tax Rate": The operating tax rate as defined
4 in subsection (A).
5 (2) To qualify for a general State aid adjustment grant,
6 a school district must meet all of the following eligibility
7 criteria for each Budget Year for which a grant is claimed:
8 (a) The Operating Tax Rate of the school district
9 in the Preceding Tax Year was at least 3.00% in the case
10 of a school district maintaining grades kindergarten
11 through 12, at least 2.30% in the case of a school
12 district maintaining grades kindergarten through 8, or at
13 least 1.41% in the case of a school district maintaining
14 grades 9 through 12.
15 (b) The Operating Tax Rate of the school district
16 for the Base Tax Year was reduced by the Clerk of the
17 County as a result of the requirements of the Property
18 Tax Extension Limitation Law.
19 (c) The Available Local Resources per pupil of the
20 school district as calculated pursuant to subsection (D)
21 using the Base Tax Year are less than the product of 1.75
22 times the Foundation Level for the Budget Year.
23 (d) The school district has filed a proper and
24 timely claim for a general State aid adjustment grant as
25 required under this subsection.
26 (3) A claim for grant assistance under this subsection
27 shall be filed with the State Board of Education on or before
28 January 1 of the Current Year for a grant for the Budget
29 Year. The claim shall be made on forms prescribed by the
30 State Board of Education and must be accompanied by a written
31 statement from the Clerk of the County, certifying:
32 (a) That the school district has its extension for
33 the Base Tax Year reduced as a result of the Property Tax
34 Extension Limitation Law.
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1 (b) That the Operating Tax Rate of the school
2 district for the Preceding Tax Year met the tax rate
3 requirements of subdivision (N)(2) of this Section.
4 (c) The Extension Limitation Ratio as that term is
5 defined in this subsection.
6 (4) On or before August 1 of the Budget Year the State
7 Board of Education shall calculate, for all school districts
8 meeting the other requirements of this subsection, the amount
9 of the general State aid adjustment grant, if any, that the
10 school districts are eligible to receive in the Budget Year.
11 The amount of the general State aid adjustment grant shall be
12 calculated as follows:
13 (a) Determine the school district's general State
14 aid grant for the Budget Year as provided in accordance
15 with the provisions of subsection (E).
16 (b) Determine the school district's adjusted level
17 of general State aid by utilizing in the calculation of
18 Available Local Resources an equalized assessed valuation
19 that is the equalized assessed valuation of the Preceding
20 Tax Year multiplied by the Extension Limitation Ratio.
21 (c) Subtract the sum derived in subparagraph (a)
22 from the sum derived in subparagraph (b). If the result
23 is a positive number, that amount shall be the general
24 State aid adjustment grant that the district is eligible
25 to receive.
26 (5) The State Board of Education shall in the Current
27 Year, based upon claims filed in the Current Year, recommend
28 to the General Assembly an appropriation amount for the
29 general State aid adjustment grants to be made in the Budget
30 Year.
31 (6) Claims for general State aid adjustment grants shall
32 be paid in a lump sum on or before January 1 of the Budget
33 Year only from appropriations made by the General Assembly
34 expressly for claims under this subsection. No such claims
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1 may be paid from amounts appropriated for any other purpose
2 provided for under this Section. In the event that the
3 appropriation for claims under this subsection is
4 insufficient to meet all Budget Year claims for a general
5 State aid adjustment grant, the appropriation available shall
6 be proportionately prorated by the State Board of Education
7 amongst all districts filing for and entitled to payments.
8 (7) The State Board of Education shall promulgate the
9 required claim forms and rules necessary to implement the
10 provisions of this subsection.
11 (O) References.
12 (1) References in other laws to the various subdivisions
13 of Section 18-8 as that Section existed before its repeal and
14 replacement by this Section 18-8.05 shall be deemed to refer
15 to the corresponding provisions of this Section 18-8.05, to
16 the extent that those references remain applicable.
17 (2) References in other laws to State Chapter 1 funds
18 shall be deemed to refer to the supplemental general State
19 aid provided under subsection (H) of this Section.
20 (Source: P.A. 90-548, eff. 7-1-98.)
21 Section 99. Effective date. This Act takes effect upon
22 becoming law except that Section 85 takes effect July 1,
23 1998.