State of Illinois
92nd General Assembly
Legislation

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[ Introduced ][ House Amendment 001 ]


92_HB0253eng

 
HB0253 Engrossed                               LRB9202941NTsb

 1        AN ACT with regard to schools.

 2        Be  it  enacted  by  the People of the State of Illinois,
 3    represented in the General Assembly:

 4        Section 5.   The  School  Code  is  amended  by  changing
 5    Section 18-8.05 as follows:

 6        (105 ILCS 5/18-8.05)
 7        Sec.  18-8.05.  Basis  for apportionment of general State
 8    financial aid and  supplemental  general  State  aid  to  the
 9    common schools for the 1998-1999 and subsequent school years.

10    (A)  General Provisions.
11        (1)  The   provisions   of  this  Section  apply  to  the
12    1998-1999 and subsequent school years.  The system of general
13    State financial aid provided for in this Section is  designed
14    to  assure that, through a combination of State financial aid
15    and required local resources, the financial support  provided
16    each  pupil  in  Average Daily Attendance equals or exceeds a
17    prescribed per pupil Foundation Level.  This formula approach
18    imputes a level of per pupil Available  Local  Resources  and
19    provides  for  the  basis  to  calculate a per pupil level of
20    general State financial aid that,  when  added  to  Available
21    Local Resources, equals or exceeds the Foundation Level.  The
22    amount  of  per  pupil general State financial aid for school
23    districts,  in  general,  varies  in  inverse   relation   to
24    Available  Local Resources.  Per pupil amounts are based upon
25    each school district's Average Daily Attendance as that  term
26    is defined in this Section.
27        (2)  In  addition  to general State financial aid, school
28    districts with specified levels or concentrations  of  pupils
29    from   low   income   households   are  eligible  to  receive
30    supplemental general State financial aid grants  as  provided
31    pursuant to subsection (H). The supplemental State aid grants
 
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 1    provided  for  school districts under subsection (H) shall be
 2    appropriated for distribution to school districts as part  of
 3    the  same  line item in which the general State financial aid
 4    of school districts is appropriated under this Section.
 5        (3)  To receive financial assistance under this  Section,
 6    school  districts  are required to file claims with the State
 7    Board of Education, subject to the following requirements:
 8             (a)  Any school district which fails for  any  given
 9        school  year to maintain school as required by law, or to
10        maintain a recognized school is not eligible to file  for
11        such  school  year any claim upon the Common School Fund.
12        In case of  nonrecognition  of  one  or  more  attendance
13        centers   in   a   school  district  otherwise  operating
14        recognized schools, the claim of the  district  shall  be
15        reduced   in  the  proportion  which  the  Average  Daily
16        Attendance in the attendance center or  centers  bear  to
17        the  Average  Daily Attendance in the school district.  A
18        "recognized school" means any public school  which  meets
19        the standards as established for recognition by the State
20        Board  of  Education.   A  school  district or attendance
21        center not having recognition status  at  the  end  of  a
22        school term is entitled to receive State aid payments due
23        upon   a  legal  claim  which  was  filed  while  it  was
24        recognized.
25             (b)  School district claims filed under this Section
26        are subject to Sections 18-9, 18-10, and 18-12, except as
27        otherwise provided in this Section.
28             (c)  If a  school  district  operates  a  full  year
29        school  under  Section  10-19.1, the general State aid to
30        the school district shall  be  determined  by  the  State
31        Board  of  Education  in  accordance with this Section as
32        near as may be applicable.
33             (d) (Blank).
34        (4)  Except as provided in subsections (H) and  (L),  the
 
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 1    board  of  any  district receiving any of the grants provided
 2    for in this Section may apply those  funds  to  any  fund  so
 3    received   for   which  that  board  is  authorized  to  make
 4    expenditures by law.
 5        School districts are not  required  to  exert  a  minimum
 6    Operating  Tax  Rate in order to qualify for assistance under
 7    this Section.
 8        (5)  As used in this Section the  following  terms,  when
 9    capitalized, shall have the meaning ascribed herein:
10             (a)  "Average  Daily  Attendance":  A count of pupil
11        attendance  in  school,  averaged  as  provided  for   in
12        subsection   (C)  and  utilized  in  deriving  per  pupil
13        financial support levels.
14             (b)  "Available Local Resources":  A computation  of
15        local  financial  support,  calculated  on  the  basis of
16        Average Daily Attendance and derived as provided pursuant
17        to subsection (D).
18             (c)  "Corporate   Personal   Property    Replacement
19        Taxes":  Funds paid to local school districts pursuant to
20        "An  Act  in  relation  to  the  abolition  of ad valorem
21        personal property tax and  the  replacement  of  revenues
22        lost thereby, and amending and repealing certain Acts and
23        parts  of Acts in connection therewith", certified August
24        14, 1979, as amended (Public Act 81-1st S.S.-1).
25             (d)  "Foundation Level":  A prescribed level of  per
26        pupil  financial  support  as  provided for in subsection
27        (B).
28             (e)  "Operating  Tax  Rate":   All  school  district
29        property taxes extended for all purposes, except Bond and
30        Interest, Summer School, Rent, Capital  Improvement,  and
31        Vocational Education Building purposes.

32    (B)  Foundation Level.
33        (1)  The  Foundation Level is a figure established by the
34    State representing the minimum level of per  pupil  financial
 
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 1    support  that  should  be  available to provide for the basic
 2    education of each pupil in Average Daily Attendance.  As  set
 3    forth  in  this  Section,  each school district is assumed to
 4    exert  a  sufficient  local  taxing  effort  such  that,   in
 5    combination with the aggregate of general State financial aid
 6    provided  the  district,  an  aggregate  of  State  and local
 7    resources are available to meet the basic education needs  of
 8    pupils in the district.
 9        (2)  For  the 1998-1999 school year, the Foundation Level
10    of support is $4,225.  For the  1999-2000  school  year,  the
11    Foundation  Level  of  support  is $4,325.  For the 2000-2001
12    school year, the Foundation Level of support is $4,425.
13        (3)  For the 2001-2002 school year and each  school  year
14    thereafter, the Foundation Level of support is $4,425 or such
15    greater  amount  as  may be established by law by the General
16    Assembly.

17    (C)  Average Daily Attendance.
18        (1)  For  purposes  of  calculating  general  State   aid
19    pursuant  to  subsection  (E),  an  Average  Daily Attendance
20    figure shall  be  utilized.   The  Average  Daily  Attendance
21    figure  for formula calculation purposes shall be the monthly
22    average of the actual number of pupils in attendance of  each
23    school district, as further averaged for the best 3 months of
24    pupil  attendance for each school district.  In compiling the
25    figures for  the  number  of  pupils  in  attendance,  school
26    districts  and  the  State  Board  of  Education  shall,  for
27    purposes  of  general  State  aid funding, conform attendance
28    figures to the requirements of subsection (F).
29        (2)  The Average Daily  Attendance  figures  utilized  in
30    subsection (E) shall be the requisite attendance data for the
31    school  year  immediately preceding the school year for which
32    general State aid is being calculated.

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

 7    (E)  Computation of General State Aid.
 8        (1)  For each school year, the amount  of  general  State
 9    aid  allotted  to  a school district shall be computed by the
10    State Board of Education as provided in this subsection.
11        (2)  For any school district for  which  Available  Local
12    Resources  per  pupil  is less than the product of 0.93 times
13    the Foundation Level, general State  aid  for  that  district
14    shall  be  calculated  as  an  amount equal to the Foundation
15    Level minus Available  Local  Resources,  multiplied  by  the
16    Average Daily Attendance of the school district.
17        (3)  For  any  school  district for which Available Local
18    Resources per pupil is equal to or greater than  the  product
19    of  0.93 times the Foundation Level and less than the product
20    of 1.75 times the Foundation Level, the general State aid per
21    pupil shall be a decimal proportion of the  Foundation  Level
22    derived   using   a  linear  algorithm.   Under  this  linear
23    algorithm, the calculated general State aid per  pupil  shall
24    decline   in  direct  linear  fashion  from  0.07  times  the
25    Foundation Level for a school district with  Available  Local
26    Resources  equal  to the product of 0.93 times the Foundation
27    Level, to 0.05  times  the  Foundation  Level  for  a  school
28    district  with Available Local Resources equal to the product
29    of 1.75  times  the  Foundation  Level.   The  allocation  of
30    general  State  aid  for  school  districts  subject  to this
31    paragraph 3 shall be the calculated  general  State  aid  per
32    pupil  figure  multiplied  by the Average Daily Attendance of
33    the school district.
34        (4)  For any school district for  which  Available  Local
 
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 1    Resources  per  pupil  equals  or exceeds the product of 1.75
 2    times the Foundation Level, the general  State  aid  for  the
 3    school  district  shall  be calculated as the product of $218
 4    multiplied by the Average  Daily  Attendance  of  the  school
 5    district.
 6        (5)  The  amount  of  general  State  aid  allocated to a
 7    school district for the 1999-2000  school  year  meeting  the
 8    requirements  set  forth  in  paragraph (4) of subsection (G)
 9    shall be increased by an amount equal to  the  general  State
10    aid  that  would  have  been received by the district for the
11    1998-1999 school year by utilizing the  Extension  Limitation
12    Equalized  Assessed  Valuation as calculated in paragraph (4)
13    of subsection (G) less the general State aid allotted for the
14    1998-1999 school year.  This amount shall  be  deemed  a  one
15    time  increase, and shall not affect any future general State
16    aid allocations.

17    (F)  Compilation of Average Daily Attendance.
18        (1)  Each school district shall, by July 1 of each  year,
19    submit  to  the State Board of Education, on forms prescribed
20    by the State Board of Education, attendance figures  for  the
21    school  year  that began in the preceding calendar year.  The
22    attendance information  so  transmitted  shall  identify  the
23    average daily attendance figures for each month of the school
24    year,  except  that any days of attendance in August shall be
25    added to the month of September and any days of attendance in
26    June shall be added to the month of May.
27        Except as otherwise provided in  this  Section,  days  of
28    attendance  by  pupils  shall be counted only for sessions of
29    not less than 5 clock hours of  school  work  per  day  under
30    direct  supervision  of:  (i)  teachers, or (ii) non-teaching
31    personnel   or   volunteer   personnel   when   engaging   in
32    non-teaching  duties  and  supervising  in  those   instances
33    specified in subsection (a) of Section 10-22.34 and paragraph
34    10  of  Section 34-18, with pupils of legal school age and in
 
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 1    kindergarten and grades 1 through 12.
 2        Days of attendance by tuition pupils shall be  accredited
 3    only  to  the  districts that pay the tuition to a recognized
 4    school.
 5        (2)  Days of attendance by pupils of less  than  5  clock
 6    hours  of school shall be subject to the following provisions
 7    in the compilation of Average Daily Attendance.
 8             (a)  Pupils regularly enrolled in  a  public  school
 9        for  only  a part of the school day may be counted on the
10        basis of 1/6 day for every class hour of  instruction  of
11        40 minutes or more attended pursuant to such enrollment.
12             (b)  Days  of  attendance  may  be less than 5 clock
13        hours on the opening and closing of the school term,  and
14        upon  the first day of pupil attendance, if preceded by a
15        day  or  days  utilized  as  an  institute  or  teachers'
16        workshop.
17             (c)  A session of 4  or  more  clock  hours  may  be
18        counted  as a day of attendance upon certification by the
19        regional  superintendent,  and  approved  by  the   State
20        Superintendent  of  Education  to  the  extent  that  the
21        district has been forced to use daily multiple sessions.
22             (d)  A  session  of  3  or  more  clock hours may be
23        counted as a day of attendance (1) when the remainder  of
24        the school day or at least 2 hours in the evening of that
25        day  is  utilized  for an in-service training program for
26        teachers, up to a maximum of 5 days per  school  year  of
27        which  a maximum of 4 days of such 5 days may be used for
28        parent-teacher conferences, provided a district  conducts
29        an  in-service  training  program  for teachers which has
30        been approved by the State Superintendent  of  Education;
31        or,  in  lieu of 4 such days, 2 full days may be used, in
32        which event each such day may be  counted  as  a  day  of
33        attendance;  and  (2)  when  days  in  addition  to those
34        provided in item (1) are scheduled by a  school  pursuant
 
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 1        to  its  school improvement plan adopted under Article 34
 2        or its revised or amended school improvement plan adopted
 3        under Article 2, provided that (i) such sessions of 3  or
 4        more  clock  hours  are  scheduled  to  occur  at regular
 5        intervals, (ii) the remainder of the school days in which
 6        such sessions occur are utilized for in-service  training
 7        programs   or  other  staff  development  activities  for
 8        teachers, and (iii) a sufficient  number  of  minutes  of
 9        school  work under the direct supervision of teachers are
10        added to the school days between such regularly scheduled
11        sessions to  accumulate  not  less  than  the  number  of
12        minutes  by  which such sessions of 3 or more clock hours
13        fall short of 5 clock hours. Any full days used  for  the
14        purposes  of  this  paragraph shall not be considered for
15        computing average daily attendance.  Days  scheduled  for
16        in-service    training    programs,   staff   development
17        activities,  or   parent-teacher   conferences   may   be
18        scheduled  separately  for  different  grade  levels  and
19        different attendance centers of the district.
20             (e)  A  session  of  not less than one clock hour of
21        teaching hospitalized or homebound pupils on-site  or  by
22        telephone  to  the classroom may be counted as 1/2 day of
23        attendance, however these pupils must receive 4  or  more
24        clock  hours  of instruction to be counted for a full day
25        of attendance.
26             (f)  A session of at least  4  clock  hours  may  be
27        counted  as  a  day of attendance for first grade pupils,
28        and pupils in full day kindergartens, and a session of  2
29        or  more hours may be counted as 1/2 day of attendance by
30        pupils in kindergartens which provide  only  1/2  day  of
31        attendance.
32             (g)  For  children  with  disabilities who are below
33        the age of 6 years and who cannot attend 2 or more  clock
34        hours  because  of  their  disability  or  immaturity,  a
 
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 1        session of not less than one clock hour may be counted as
 2        1/2  day  of  attendance; however for such children whose
 3        educational needs so require a session of 4 or more clock
 4        hours may be counted as a full day of attendance.
 5             (h)  A recognized kindergarten  which  provides  for
 6        only  1/2  day of attendance by each pupil shall not have
 7        more than 1/2 day of attendance counted in any  one  day.
 8        However, kindergartens may count 2 1/2 days of attendance
 9        in  any  5 consecutive school days.  When a pupil attends
10        such a kindergarten for 2 half days  on  any  one  school
11        day,  the  pupil  shall  have  the following day as a day
12        absent from school, unless the  school  district  obtains
13        permission  in  writing  from the State Superintendent of
14        Education.  Attendance at kindergartens which provide for
15        a full day of attendance by each pupil shall  be  counted
16        the  same  as attendance by first grade pupils.  Only the
17        first year of attendance in  one  kindergarten  shall  be
18        counted,  except  in  case  of  children  who entered the
19        kindergarten  in  their  fifth  year  whose   educational
20        development  requires  a  second  year of kindergarten as
21        determined under the rules and regulations of  the  State
22        Board of Education.

23    (G)  Equalized Assessed Valuation Data.
24        (1)  For  purposes  of the calculation of Available Local
25    Resources required pursuant  to  subsection  (D),  the  State
26    Board  of  Education  shall  secure  from  the  Department of
27    Revenue the value as equalized or assessed by the  Department
28    of  Revenue of all taxable property of every school district,
29    together with (i) the applicable tax rate used  in  extending
30    taxes for the funds of the district as of September 30 of the
31    previous  year  and  (ii)  the  limiting  rate for all school
32    districts subject to property tax  extension  limitations  as
33    imposed under the Property Tax Extension Limitation Law.
34        This equalized assessed valuation, as adjusted further by
 
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 1    the requirements of this subsection, shall be utilized in the
 2    calculation of Available Local Resources.
 3        (2)  The  equalized  assessed  valuation in paragraph (1)
 4    shall be adjusted, as applicable, in the following manner:
 5             (a)  For the purposes of calculating State aid under
 6        this Section, with  respect  to  any  part  of  a  school
 7        district  within  a redevelopment project area in respect
 8        to  which  a  municipality  has  adopted  tax   increment
 9        allocation   financing  pursuant  to  the  Tax  Increment
10        Allocation Redevelopment Act, Sections 11-74.4-1  through
11        11-74.4-11   of   the  Illinois  Municipal  Code  or  the
12        Industrial Jobs Recovery Law, Sections 11-74.6-1  through
13        11-74.6-50 of the Illinois Municipal Code, no part of the
14        current  equalized  assessed  valuation  of real property
15        located in any such project area which is attributable to
16        an increase above the total  initial  equalized  assessed
17        valuation  of  such property shall be used as part of the
18        equalized assessed valuation of the district, until  such
19        time  as  all redevelopment project costs have been paid,
20        as provided in Section 11-74.4-8  of  the  Tax  Increment
21        Allocation  Redevelopment Act or in Section 11-74.6-35 of
22        the Industrial Jobs Recovery Law.  For the purpose of the
23        equalized assessed valuation of the district,  the  total
24        initial  equalized  assessed  valuation  or  the  current
25        equalized  assessed  valuation, whichever is lower, shall
26        be used until such  time  as  all  redevelopment  project
27        costs have been paid.
28             (b)  The  real property equalized assessed valuation
29        for a school district shall be  adjusted  by  subtracting
30        from  the real property value as equalized or assessed by
31        the Department of Revenue  for  the  district  an  amount
32        computed by dividing the amount of any abatement of taxes
33        under  Section  18-170  of the Property Tax Code by 3.00%
34        for a district maintaining  grades  kindergarten  through
 
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 1        12,   by   2.30%   for   a  district  maintaining  grades
 2        kindergarten through  8,  or  by  1.05%  for  a  district
 3        maintaining grades 9 through 12 and adjusted by an amount
 4        computed by dividing the amount of any abatement of taxes
 5        under  subsection  (a)  of Section 18-165 of the Property
 6        Tax Code by the same percentage rates for  district  type
 7        as specified in this subparagraph (b).
 8        (3)  For  the  1999-2000 school year and each school year
 9    thereafter, if a school district meets all of the criteria of
10    this subsection (G)(3), the school district's Available Local
11    Resources shall be calculated under subsection (D) using  the
12    district's  Extension Limitation Equalized Assessed Valuation
13    as calculated under this subsection (G)(3).
14        For purposes of  this  subsection  (G)(3)  the  following
15    terms shall have the following meanings:
16             "Budget  Year":   The  school year for which general
17        State aid is calculated and awarded under subsection (E).
18             "Base Tax Year": The property tax levy year used  to
19        calculate  the  Budget  Year  allocation of general State
20        aid.
21             "Preceding Tax Year": The  property  tax  levy  year
22        immediately preceding the Base Tax Year.
23             "Base  Tax Year's Tax Extension": The product of the
24        equalized assessed valuation utilized by the County Clerk
25        in the Base Tax Year multiplied by the limiting  rate  as
26        calculated  by  the  County  Clerk  and  defined  in  the
27        Property Tax Extension Limitation Law.
28             "Preceding Tax Year's Tax Extension": The product of
29        the  equalized  assessed valuation utilized by the County
30        Clerk  in  the  Preceding  Tax  Year  multiplied  by  the
31        Operating Tax Rate as defined in subsection (A).
32             "Extension Limitation  Ratio":  A  numerical  ratio,
33        certified  by the County Clerk, in which the numerator is
34        the Base Tax Year's Tax Extension and the denominator  is
 
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 1        the Preceding Tax Year's Tax Extension.
 2             "Operating  Tax  Rate":  The  operating  tax rate as
 3        defined in subsection (A).
 4        If a school district is subject to property tax extension
 5    limitations as  imposed  under  the  Property  Tax  Extension
 6    Limitation  Law, and if the Available Local Resources of that
 7    school district as  calculated  pursuant  to  subsection  (D)
 8    using  the  Base  Tax  Year are less than the product of 1.75
 9    times the Foundation Level for the  Budget  Year,  the  State
10    Board  of  Education shall calculate the Extension Limitation
11    Equalized Assessed  Valuation  of  that  district.   For  the
12    1999-2000  school  year,  the  Extension Limitation Equalized
13    Assessed Valuation of a school district as calculated by  the
14    State Board of Education shall be equal to the product of the
15    district's   1996   Equalized   Assessed  Valuation  and  the
16    district's Extension Limitation  Ratio.   For  the  2000-2001
17    school  year  and  each school year thereafter, the Extension
18    Limitation Equalized Assessed Valuation of a school  district
19    as  calculated by the State Board of Education shall be equal
20    to the product of the last  calculated  Extension  Limitation
21    Equalized  Assessed  Valuation  and  the district's Extension
22    Limitation  Ratio.  If  the  Extension  Limitation  Equalized
23    Assessed Valuation of a school district as  calculated  under
24    this  subsection (G)(3) is less than the district's equalized
25    assessed valuation  as  calculated  pursuant  to  subsections
26    (G)(1)  and  (G)(2),  then  for  purposes  of calculating the
27    district's general State aid for the Budget Year pursuant  to
28    subsection  (E), that Extension Limitation Equalized Assessed
29    Valuation shall  be  utilized  to  calculate  the  district's
30    Available Local Resources under subsection (D).
31        (4)  For  the  purposes  of calculating general State aid
32    for the 1999-2000 school year  only,  if  a  school  district
33    experienced   a   triennial  reassessment  on  the  equalized
34    assessed valuation used  in  calculating  its  general  State
 
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 1    financial  aid  apportionment  for the 1998-1999 school year,
 2    the State Board of Education shall  calculate  the  Extension
 3    Limitation  Equalized Assessed Valuation that would have been
 4    used to calculate the district's 1998-1999 general State aid.
 5    This amount shall equal the product of the equalized assessed
 6    valuation  used  to  calculate  general  State  aid  for  the
 7    1997-1998 school year and the district's Extension Limitation
 8    Ratio.   If  the  Extension  Limitation  Equalized   Assessed
 9    Valuation  of  the  school  district as calculated under this
10    paragraph (4) is less than the district's equalized  assessed
11    valuation  utilized  in  calculating the district's 1998-1999
12    general  State  aid  allocation,   then   for   purposes   of
13    calculating  the  district's  general  State  aid pursuant to
14    paragraph (5) of subsection (E),  that  Extension  Limitation
15    Equalized  Assessed  Valuation shall be utilized to calculate
16    the district's Available Local Resources.
17        (5)  For school districts  having  a  majority  of  their
18    equalized  assessed  valuation  in  any  county  except Cook,
19    DuPage, Kane, Lake,  McHenry,  or  Will,  if  the  amount  of
20    general  State  aid  allocated to the school district for the
21    1999-2000 school year under the provisions of subsection (E),
22    (H), and (J) of this Section  is  less  than  the  amount  of
23    general State aid allocated to the district for the 1998-1999
24    school  year  under these subsections, then the general State
25    aid of the district for the 1999-2000 school year only  shall
26    be  increased  by  the difference between these amounts.  The
27    total payments made under this paragraph (5) shall not exceed
28    $14,000,000.   Claims  shall  be  prorated  if  they   exceed
29    $14,000,000.

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. If, however, the
12    percentage decrease from the 2 most recent  federal  censuses
13    in  the  low-income  eligible  pupil  count  of a high school
14    district with fewer than 400 students exceeds by 75% or  more
15    the  percentage change in the total low-income eligible pupil
16    count  of  contiguous  elementary  school  districts,   whose
17    boundaries are coterminous with the high school district, the
18    high  school  district's low-income eligible pupil count from
19    the earlier federal census shall be the number  used  as  the
20    low-income eligible pupil count for the high school district,
21    for purposes of this subsection (H).
22        (2)  Supplemental  general  State  aid  pursuant  to this
23    subsection (H) shall be provided as follows for those  school
24    years before the 2001-2002 school year:
25             (a)  For  any  school  district  with  a  Low Income
26        Concentration Level of at least 20% and  less  than  35%,
27        the grant for any school year shall be $800 multiplied by
28        the low income eligible pupil count.
29             (b)  For  any  school  district  with  a  Low Income
30        Concentration Level of at least 35% and  less  than  50%,
31        the  grant  for the 1998-1999 school year shall be $1,100
32        multiplied by the low income eligible pupil count.
33             (c)  For any  school  district  with  a  Low  Income
34        Concentration  Level  of  at least 50% and less than 60%,
 
HB0253 Engrossed            -16-               LRB9202941NTsb
 1        the grant for the 1998-99 school  year  shall  be  $1,500
 2        multiplied by the low income eligible pupil count.
 3             (d)  For  any  school  district  with  a  Low Income
 4        Concentration Level of 60% or more,  the  grant  for  the
 5        1998-99 school year shall be $1,900 multiplied by the low
 6        income eligible pupil count.
 7             (e)  For  the  1999-2000  school year, the per pupil
 8        amount specified  in  subparagraphs  (b),  (c),  and  (d)
 9        immediately  above  shall be increased to $1,243, $1,600,
10        and $2,000, respectively.
11             (f)  For the 2000-2001 school year,  the  per  pupil
12        amounts  specified  in  subparagraphs  (b),  (c), and (d)
13        immediately above shall be $1,273,  $1,640,  and  $2,050,
14        respectively.
15        (2.5)  Supplemental  general  State  aid pursuant to this
16    subsection (H) shall be provided as follows for the 2001-2002
17    school year and each school year thereafter:
18             (a)  For any  school  district  with  a  Low  Income
19        Concentration  Level  of  at least 20% and less than 35%,
20        the grant for each  school  year  shall  be  28%  of  the
21        Foundation  Level  multiplied  by the low income eligible
22        pupil count.
23             (b)  For any  school  district  with  a  Low  Income
24        Concentration  Level  of  at least 35% and less than 50%,
25        the grant for each  school  year  shall  be  31%  of  the
26        Foundation  Level  multiplied  by the low income eligible
27        pupil count.
28             (c)  For any  school  district  with  a  Low  Income
29        Concentration  Level  of  at least 50% and less than 60%,
30        the grant for each  school  year  shall  be  38%  of  the
31        Foundation  Level  multiplied  by the low income eligible
32        pupil count.
33             (d)  For any  school  district  with  a  Low  Income
34        Concentration  Level  of  60% or more, the grant for each
 
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 1        school  year  shall  be  47%  of  the  Foundation   Level
 2        multiplied by the low income eligible pupil count.
 3        (3)  School districts with an Average Daily Attendance of
 4    more  than  1,000  and  less  than  50,000  that  qualify for
 5    supplemental general State aid pursuant  to  this  subsection
 6    shall  submit a plan to the State Board of Education prior to
 7    October 30 of each year for the use of  the  funds  resulting
 8    from  this  grant  of  supplemental general State aid for the
 9    improvement of instruction in  which  priority  is  given  to
10    meeting  the education needs of disadvantaged children.  Such
11    plan  shall  be  submitted  in  accordance  with  rules   and
12    regulations promulgated by the State Board of Education.
13        (4)  School districts with an Average Daily Attendance of
14    50,000  or  more  that qualify for supplemental general State
15    aid  pursuant  to  this  subsection  shall  be  required   to
16    distribute  from funds available pursuant to this Section, no
17    less than  $261,000,000  in  accordance  with  the  following
18    requirements:
19             (a)  The  required  amounts  shall be distributed to
20        the attendance centers within the district in  proportion
21        to  the  number  of  pupils  enrolled  at each attendance
22        center who are eligible to receive free or  reduced-price
23        lunches  or  breakfasts under the federal Child Nutrition
24        Act of 1966 and  under  the  National  School  Lunch  Act
25        during the immediately preceding school year.
26             (b)  The   distribution   of   these   portions   of
27        supplemental  and  general  State  aid  among  attendance
28        centers  according  to  these  requirements  shall not be
29        compensated for or  contravened  by  adjustments  of  the
30        total  of  other  funds  appropriated  to  any attendance
31        centers, and the Board of Education shall utilize funding
32        from one or several sources in order to  fully  implement
33        this provision annually prior to the opening of school.
34             (c)  Each attendance center shall be provided by the
 
HB0253 Engrossed            -18-               LRB9202941NTsb
 1        school  district  a  distribution of noncategorical funds
 2        and other categorical funds to which an attendance center
 3        is entitled under law in order that the general State aid
 4        and  supplemental   general   State   aid   provided   by
 5        application  of  this  subsection supplements rather than
 6        supplants the noncategorical funds and other  categorical
 7        funds  provided  by the school district to the attendance
 8        centers.
 9             (d)  Any funds made available under this  subsection
10        that  by  reason of the provisions of this subsection are
11        not required to be allocated and provided  to  attendance
12        centers  may be used and appropriated by the board of the
13        district for any lawful school purpose.
14             (e)  Funds received by an attendance center pursuant
15        to this subsection shall be used by the attendance center
16        at the discretion  of  the  principal  and  local  school
17        council for programs to improve educational opportunities
18        at  qualifying schools through the following programs and
19        services: early childhood education, reduced  class  size
20        or  improved adult to student classroom ratio, enrichment
21        programs, remedial  assistance,  attendance  improvement,
22        and  other  educationally  beneficial  expenditures which
23        supplement the regular and basic programs  as  determined
24        by  the  State  Board of Education.  Funds provided shall
25        not be expended for any political or lobbying purposes as
26        defined by board rule.
27             (f)  Each district subject to the provisions of this
28        subdivision (H)(4) shall submit  an  acceptable  plan  to
29        meet  the educational needs of disadvantaged children, in
30        compliance with the requirements of  this  paragraph,  to
31        the  State  Board  of  Education prior to July 15 of each
32        year. This plan shall be consistent with the decisions of
33        local school councils concerning the  school  expenditure
34        plans  developed  in  accordance  with  part 4 of Section
 
HB0253 Engrossed            -19-               LRB9202941NTsb
 1        34-2.3.  The State Board shall approve or reject the plan
 2        within 60 days after its  submission.   If  the  plan  is
 3        rejected,  the  district  shall  give  written  notice of
 4        intent  to  modify  the  plan  within  15  days  of   the
 5        notification of rejection and then submit a modified plan
 6        within  30  days  after the date of the written notice of
 7        intent to modify.  Districts  may  amend  approved  plans
 8        pursuant  to  rules  promulgated  by  the  State Board of
 9        Education.
10             Upon notification by the State  Board  of  Education
11        that  the district has not submitted a plan prior to July
12        15 or a modified plan within the  time  period  specified
13        herein,  the  State  aid  funds  affected by that plan or
14        modified plan shall be withheld by  the  State  Board  of
15        Education until a plan or modified plan is submitted.
16             If  the  district  fails  to distribute State aid to
17        attendance centers in accordance with an  approved  plan,
18        the  plan for the following year shall allocate funds, in
19        addition  to  the  funds  otherwise  required   by   this
20        subsection,   to  those  attendance  centers  which  were
21        underfunded during the previous year in amounts equal  to
22        such underfunding.
23             For  purposes  of  determining  compliance with this
24        subsection in relation to the requirements of  attendance
25        center  funding,  each district subject to the provisions
26        of this subsection shall submit as a separate document by
27        December 1 of each year a report of expenditure data  for
28        the  prior  year  in  addition to any modification of its
29        current plan.  If it is determined that there has been  a
30        failure to comply with the expenditure provisions of this
31        subsection  regarding  contravention  or supplanting, the
32        State Superintendent of Education shall, within  60  days
33        of  receipt  of  the  report, notify the district and any
34        affected local school council.  The district shall within
 
HB0253 Engrossed            -20-               LRB9202941NTsb
 1        45 days of receipt of that notification inform the  State
 2        Superintendent of Education of the remedial or corrective
 3        action  to be taken, whether  by amendment of the current
 4        plan, if feasible, or by adjustment in the plan  for  the
 5        following  year.   Failure  to  provide  the  expenditure
 6        report  or  the  notification  of  remedial or corrective
 7        action in a timely manner shall result in  a  withholding
 8        of the affected funds.
 9             The  State Board of Education shall promulgate rules
10        and regulations  to  implement  the  provisions  of  this
11        subsection.   No  funds  shall  be  released  under  this
12        subdivision (H)(4) to any district that has not submitted
13        a  plan  that  has  been  approved  by the State Board of
14        Education.

15    (I)  General State Aid for Newly Configured School Districts.
16        (1)  For  a  new  school  district  formed  by  combining
17    property  included  totally  within  2  or  more   previously
18    existing  school  districts,  for its first year of existence
19    the general State aid  and  supplemental  general  State  aid
20    calculated  under  this Section shall be computed for the new
21    district and for the previously existing districts for  which
22    property is totally included within the new district.  If the
23    computation on the basis of the previously existing districts
24    is  greater,  a supplementary payment equal to the difference
25    shall be made for the first 4 years of existence of  the  new
26    district.
27        (2)  For  a  school  district  which  annexes  all of the
28    territory of one or more entire other school  districts,  for
29    the   first  year  during  which  the  change  of  boundaries
30    attributable to such annexation  becomes  effective  for  all
31    purposes as determined under Section 7-9 or 7A-8, the general
32    State aid and supplemental general State aid calculated under
33    this  Section  shall be computed for the annexing district as
34    constituted after the annexation and  for  the  annexing  and
 
HB0253 Engrossed            -21-               LRB9202941NTsb
 1    each annexed district as constituted prior to the annexation;
 2    and  if  the  computation  on  the  basis of the annexing and
 3    annexed districts as constituted prior to the  annexation  is
 4    greater,  a  supplementary  payment  equal  to the difference
 5    shall be made for the first  4  years  of  existence  of  the
 6    annexing school district as constituted upon such annexation.
 7        (3)  For  2  or  more school districts which annex all of
 8    the territory of one or more entire other  school  districts,
 9    and  for 2 or more community unit districts which result upon
10    the division (pursuant to petition under  Section  11A-2)  of
11    one  or more other unit school districts into 2 or more parts
12    and which together include all of the parts into  which  such
13    other  unit  school district or districts are so divided, for
14    the  first  year  during  which  the  change  of   boundaries
15    attributable to such annexation or division becomes effective
16    for  all  purposes as determined under Section 7-9 or 11A-10,
17    as the case may be, the general State  aid  and  supplemental
18    general  State  aid  calculated  under  this Section shall be
19    computed  for  each  annexing  or   resulting   district   as
20    constituted  after  the  annexation  or division and for each
21    annexing and annexed district,  or  for  each  resulting  and
22    divided  district,  as constituted prior to the annexation or
23    division; and if the aggregate of the general State  aid  and
24    supplemental  general  State  aid  as  so  computed  for  the
25    annexing  or  resulting  districts  as  constituted after the
26    annexation or division is less  than  the  aggregate  of  the
27    general  State  aid  and supplemental general State aid as so
28    computed for the annexing and annexed districts, or  for  the
29    resulting  and divided districts, as constituted prior to the
30    annexation or division, then a supplementary payment equal to
31    the difference shall be made and allocated between  or  among
32    the annexing or resulting districts, as constituted upon such
33    annexation  or  division,  for  the  first  4  years of their
34    existence.  The total difference payment shall  be  allocated
 
HB0253 Engrossed            -22-               LRB9202941NTsb
 1    between  or  among the annexing or resulting districts in the
 2    same ratio as the pupil enrollment from that portion  of  the
 3    annexed  or divided district or districts which is annexed to
 4    or included in each such annexing or resulting district bears
 5    to the total pupil enrollment  from  the  entire  annexed  or
 6    divided  district  or  districts, as such pupil enrollment is
 7    determined for the school year last ending prior to the  date
 8    when  the change of boundaries attributable to the annexation
 9    or division becomes effective for all purposes.   The  amount
10    of  the total difference payment and the amount thereof to be
11    allocated to the annexing or  resulting  districts  shall  be
12    computed  by  the  State  Board  of Education on the basis of
13    pupil enrollment and other data which shall be  certified  to
14    the State Board of Education, on forms which it shall provide
15    for  that  purpose, by the regional superintendent of schools
16    for each educational service region in which the annexing and
17    annexed districts, or resulting  and  divided  districts  are
18    located.
19        (3.5)  Claims   for   financial   assistance  under  this
20    subsection (I) shall not be recomputed  except  as  expressly
21    provided under this Section.
22        (4)  Any supplementary payment made under this subsection
23    (I) shall be treated as separate from all other payments made
24    pursuant to this Section.

25    (J)  Supplementary Grants in Aid.
26        (1)  Notwithstanding   any   other   provisions  of  this
27    Section, the amount of the aggregate  general  State  aid  in
28    combination  with  supplemental  general State aid under this
29    Section for which each school district is eligible  shall  be
30    no  less  than  the amount of the aggregate general State aid
31    entitlement that was received by the district  under  Section
32    18-8  (exclusive  of  amounts received under subsections 5(p)
33    and 5(p-5) of that Section)  for  the  1997-98  school  year,
34    pursuant  to the provisions of that Section as it was then in
 
HB0253 Engrossed            -23-               LRB9202941NTsb
 1    effect.  If  a  school  district  qualifies  to   receive   a
 2    supplementary  payment  made  under  this subsection (J), the
 3    amount of the aggregate general State aid in combination with
 4    supplemental general State aid under this Section  which that
 5    district is eligible to receive for each school year shall be
 6    no less than the amount of the aggregate  general  State  aid
 7    entitlement  that  was received by the district under Section
 8    18-8 (exclusive of amounts received  under  subsections  5(p)
 9    and  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 and  any  subsequent
16    school  year  that  in  any such school year is less than the
17    amount of the aggregate general State  aid  entitlement  that
18    the district received for the 1997-98 school year, the school
19    district  shall  also  receive, from a separate appropriation
20    made for purposes of this  subsection  (J),  a  supplementary
21    payment  that is equal to the amount of the difference in the
22    aggregate State aid figures as described in paragraph (1).
23        (3)  (Blank).

24    (K)  Grants to Laboratory and Alternative Schools.
25        In calculating the amount to be  paid  to  the  governing
26    board  of  a  public  university  that  operates a laboratory
27    school under this Section or to any alternative  school  that
28    is  operated  by  a  regional  superintendent of schools, the
29    State Board of Education shall require by rule such reporting
30    requirements as it deems necessary.
31        As used in this  Section,  "laboratory  school"  means  a
32    public  school  which  is  created  and  operated by a public
33    university and approved by the State Board of Education.  The
34    governing board of a public university which  receives  funds
 
HB0253 Engrossed            -24-               LRB9202941NTsb
 1    from  the  State  Board  under  this  subsection  (K) may not
 2    increase the number of students enrolled  in  its  laboratory
 3    school  from  a  single district, if that district is already
 4    sending 50 or more students, except under a mutual  agreement
 5    between the school board of a student's district of residence
 6    and  the  university which operates the laboratory school.  A
 7    laboratory school may not  have  more  than  1,000  students,
 8    excluding  students  with disabilities in a special education
 9    program.
10        As used in this Section,  "alternative  school"  means  a
11    public  school  which  is  created and operated by a Regional
12    Superintendent of Schools and approved by the State Board  of
13    Education.   Such  alternative  schools  may offer courses of
14    instruction for which  credit  is  given  in  regular  school
15    programs,  courses  to  prepare  students for the high school
16    equivalency testing program or  vocational  and  occupational
17    training.   A regional superintendent of schools may contract
18    with a school district or a public community college district
19    to  operate  an  alternative  school.   An alternative school
20    serving more than  one  educational  service  region  may  be
21    established by the regional superintendents of schools of the
22    affected  educational service regions.  An alternative school
23    serving more than  one  educational  service  region  may  be
24    operated  under such terms as the regional superintendents of
25    schools of those educational service regions may agree.
26        Each laboratory and alternative  school  shall  file,  on
27    forms  provided  by the State Superintendent of Education, an
28    annual  State  aid  claim  which  states  the  Average  Daily
29    Attendance of the school's students by  month.   The  best  3
30    months'  Average  Daily Attendance shall be computed for each
31    school. The general State aid entitlement shall  be  computed
32    by multiplying the applicable Average Daily Attendance by the
33    Foundation Level as determined under this Section.

34    (L)  Payments,   Additional   Grants   in   Aid   and   Other
 
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 1    Requirements.
 2        (1)  For  a school district operating under the financial
 3    supervision of an Authority created under  Article  34A,  the
 4    general  State  aid  otherwise payable to that district under
 5    this Section, but not the  supplemental  general  State  aid,
 6    shall  be  reduced  by  an amount equal to the budget for the
 7    operations of the Authority as certified by the Authority  to
 8    the  State  Board  of  Education, and an amount equal to such
 9    reduction shall be paid to the  Authority  created  for  such
10    district for its operating expenses in the manner provided in
11    Section 18-11.  The remainder of general State school aid for
12    any  such  district  shall be paid in accordance with Article
13    34A when that Article provides for a disposition  other  than
14    that provided by this Article.
15        (2)  (Blank).
16        (3)  Summer school.  Summer school payments shall be made
17    as provided in Section 18-4.3.

18    (M)  Education Funding Advisory Board.
19        The Education Funding Advisory Board, hereinafter in this
20    subsection (M) referred to as the "Board", is hereby created.
21    The Board shall consist of 5 members who are appointed by the
22    Governor,  by  and with the advice and consent of the Senate.
23    The  members  appointed  shall  include  representatives   of
24    education,  business,  and  the  general  public.  One of the
25    members so appointed shall be designated by the  Governor  at
26    the  time  the  appointment is made as the chairperson of the
27    Board. The initial members of the Board may be appointed  any
28    time after the effective date of this amendatory Act of 1997.
29    The  regular  term of each member of the Board shall be for 4
30    years from the third Monday of January of the year  in  which
31    the  term  of the member's appointment is to commence, except
32    that of the 5 initial  members  appointed  to  serve  on  the
33    Board,  the  member who is appointed as the chairperson shall
34    serve for a term that commences on the date  of  his  or  her
 
HB0253 Engrossed            -26-               LRB9202941NTsb
 1    appointment and expires on the third Monday of January, 2002,
 2    and  the  remaining  4  members,  by  lots drawn at the first
 3    meeting of the Board that is held after  all  5  members  are
 4    appointed,  shall  determine  2  of their number to serve for
 5    terms  that  commence  on  the  date  of   their   respective
 6    appointments and expire on the third Monday of January, 2001,
 7    and 2 of their number to serve for terms that commence on the
 8    date of their respective appointments and expire on the third
 9    Monday  of  January, 2000.  All members appointed to serve on
10    the Board shall serve until their respective  successors  are
11    appointed  and  confirmed.   Vacancies shall be filled in the
12    same manner  as  original  appointments.   If  a  vacancy  in
13    membership  occurs  at  a  time  when  the  Senate  is not in
14    session, the Governor  shall  make  a  temporary  appointment
15    until  the  next  meeting of the Senate, when he or she shall
16    appoint, by and with the advice and consent of the Senate,  a
17    person  to  fill  that membership for the unexpired term.  If
18    the Senate is not in session when  the  initial  appointments
19    are  made, those appointments shall be made as in the case of
20    vacancies.
21        The Education Funding  Advisory  Board  shall  be  deemed
22    established,   and  the  initial  members  appointed  by  the
23    Governor to serve as members of the Board shall take  office,
24    on the date that the Governor makes his or her appointment of
25    the  fifth initial member of the Board, whether those initial
26    members  are  then  serving  pursuant  to   appointment   and
27    confirmation  or  pursuant to temporary appointments that are
28    made by the Governor as in the case of vacancies.
29        The State Board of Education  shall  provide  such  staff
30    assistance  to  the  Education  Funding  Advisory Board as is
31    reasonably required for the proper performance by  the  Board
32    of its responsibilities.
33        For  school  years  after  the 2000-2001 school year, the
34    Education Funding Advisory Board, in  consultation  with  the
 
HB0253 Engrossed            -27-               LRB9202941NTsb
 1    State  Board  of  Education,  shall  make  recommendations as
 2    provided in this subsection (M) to the General  Assembly  for
 3    the foundation level under subdivision (B)(3) of this Section
 4    and  for the supplemental general State aid grant level under
 5    subsection (H)  of  this  Section  for  districts  with  high
 6    concentrations  of  children  from  poverty.  The recommended
 7    foundation level shall be determined based on  a  methodology
 8    which   incorporates  the  basic  education  expenditures  of
 9    low-spending schools exhibiting  high  academic  performance.
10    The   Education   Funding  Advisory  Board  shall  make  such
11    recommendations to the General Assembly on January 1  of  odd
12    numbered years, beginning January 1, 2001.

13    (N)  (Blank).

14    (O)  References.
15        (1)  References in other laws to the various subdivisions
16    of Section 18-8 as that Section existed before its repeal and
17    replacement  by this Section 18-8.05 shall be deemed to refer
18    to the corresponding provisions of this Section  18-8.05,  to
19    the extent that those references remain applicable.
20        (2)  References  in  other  laws to State Chapter 1 funds
21    shall be deemed to refer to the  supplemental  general  State
22    aid provided under subsection (H) of this Section.
23    (Source:  P.A.  90-548,  eff.  7-1-98;  incorporates  90-566;
24    90-653,  eff.  7-29-98;  90-654,  eff.  7-29-98; 90-655, eff.
25    7-30-98; 90-802, eff. 12-15-98; 90-815, eff. 2-11-99;  91-24,
26    eff.  7-1-99; 91-93, eff. 7-9-99; 91-96, eff. 7-9-99; 91-111,
27    eff. 7-14-99; 91-357, eff.  7-29-99;  91-533,  eff.  8-13-99;
28    revised 8-27-99.)

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

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