State of Illinois
92nd General Assembly
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92_HB3050sam001

 










                                           LRB9207211NTsbam02

 1                    AMENDMENT TO HOUSE BILL 3050

 2        AMENDMENT NO.     .  Amend House Bill 3050  by  replacing
 3    everything after the enacting clause with the following:

 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
 
                            -2-            LRB9207211NTsbam02
 1    amount of per pupil general State financial  aid  for  school
 2    districts,   in   general,  varies  in  inverse  relation  to
 3    Available Local Resources.  Per pupil amounts are based  upon
 4    each  school district's Average Daily Attendance as that term
 5    is defined in this Section.
 6        (2)  In addition to general State financial  aid,  school
 7    districts  with  specified levels or concentrations of pupils
 8    from  low  income  households   are   eligible   to   receive
 9    supplemental  general  State financial aid grants as provided
10    pursuant to subsection (H). The supplemental State aid grants
11    provided for school districts under subsection (H)  shall  be
12    appropriated  for distribution to school districts as part of
13    the same line item in which the general State  financial  aid
14    of school districts is appropriated under this Section.
15        (3)  To  receive financial assistance under this Section,
16    school districts are required to file claims with  the  State
17    Board of Education, subject to the following requirements:
18             (a)  Any  school  district which fails for any given
19        school year to maintain school as required by law, or  to
20        maintain  a recognized school is not eligible to file for
21        such school year any claim upon the Common  School  Fund.
22        In  case  of  nonrecognition  of  one  or more attendance
23        centers  in  a  school   district   otherwise   operating
24        recognized  schools,  the  claim of the district shall be
25        reduced  in  the  proportion  which  the  Average   Daily
26        Attendance  in  the  attendance center or centers bear to
27        the Average Daily Attendance in the school  district.   A
28        "recognized  school"  means any public school which meets
29        the standards as established for recognition by the State
30        Board of Education.   A  school  district  or  attendance
31        center  not  having  recognition  status  at the end of a
32        school term is entitled to receive State aid payments due
33        upon  a  legal  claim  which  was  filed  while  it   was
34        recognized.
 
                            -3-            LRB9207211NTsbam02
 1             (b)  School district claims filed under this Section
 2        are subject to Sections 18-9, 18-10, and 18-12, except as
 3        otherwise provided in this Section.
 4             (c)  If  a  school  district  operates  a  full year
 5        school under Section 10-19.1, the general  State  aid  to
 6        the  school  district  shall  be  determined by the State
 7        Board of Education in accordance  with  this  Section  as
 8        near as may be applicable.
 9             (d) (Blank).
10        (4)  Except  as  provided in subsections (H) and (L), the
11    board of any district receiving any of  the  grants  provided
12    for  in  this  Section  may  apply those funds to any fund so
13    received  for  which  that  board  is  authorized   to   make
14    expenditures by law.
15        School  districts  are  not  required  to exert a minimum
16    Operating Tax Rate in order to qualify for  assistance  under
17    this Section.
18        (5)  As  used  in  this Section the following terms, when
19    capitalized, shall have the meaning ascribed herein:
20             (a)  "Average Daily Attendance":  A count  of  pupil
21        attendance   in  school,  averaged  as  provided  for  in
22        subsection  (C)  and  utilized  in  deriving  per   pupil
23        financial support levels.
24             (b)  "Available  Local Resources":  A computation of
25        local financial  support,  calculated  on  the  basis  of
26        Average Daily Attendance and derived as provided pursuant
27        to subsection (D).
28             (c)  "Corporate    Personal   Property   Replacement
29        Taxes":  Funds paid to local school districts pursuant to
30        "An Act in  relation  to  the  abolition  of  ad  valorem
31        personal  property  tax  and  the replacement of revenues
32        lost thereby, and amending and repealing certain Acts and
33        parts of Acts in connection therewith", certified  August
34        14, 1979, as amended (Public Act 81-1st S.S.-1).
 
                            -4-            LRB9207211NTsbam02
 1             (d)  "Foundation  Level":  A prescribed level of per
 2        pupil financial support as  provided  for  in  subsection
 3        (B).
 4             (e)  "Operating  Tax  Rate":   All  school  district
 5        property taxes extended for all purposes, except Bond and
 6        Interest,  Summer  School, Rent, Capital Improvement, and
 7        Vocational Education Building purposes.

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

27    (C)  Average Daily Attendance.
28        (1)  For   purposes  of  calculating  general  State  aid
29    pursuant to  subsection  (E),  an  Average  Daily  Attendance
30    figure  shall  be  utilized.   The  Average  Daily Attendance
31    figure for formula calculation purposes shall be the  monthly
32    average  of the actual number of pupils in attendance of each
33    school district, as further averaged for the best 3 months of
 
                            -5-            LRB9207211NTsbam02
 1    pupil attendance for each school district.  In compiling  the
 2    figures  for  the  number  of  pupils  in  attendance, school
 3    districts  and  the  State  Board  of  Education  shall,  for
 4    purposes of general State  aid  funding,  conform  attendance
 5    figures to the requirements of subsection (F).
 6        (2)  The  Average  Daily  Attendance  figures utilized in
 7    subsection (E) shall be the requisite attendance data for the
 8    school year immediately preceding the school year  for  which
 9    general State aid is being calculated.

10    (D)  Available Local Resources.
11        (1)  For   purposes  of  calculating  general  State  aid
12    pursuant to subsection (E),  a  representation  of  Available
13    Local  Resources  per  pupil,  as  that  term  is defined and
14    determined in this subsection, shall be utilized.   Available
15    Local  Resources  per pupil shall include a calculated dollar
16    amount representing local school district revenues from local
17    property  taxes  and   from   Corporate   Personal   Property
18    Replacement  Taxes,  expressed  on  the  basis  of  pupils in
19    Average Daily Attendance.
20        (2)  In determining  a  school  district's  revenue  from
21    local  property  taxes,  the  State  Board of Education shall
22    utilize the  equalized  assessed  valuation  of  all  taxable
23    property  of  each  school district as of September 30 of the
24    previous year.  The  equalized  assessed  valuation  utilized
25    shall  be  obtained  and determined as provided in subsection
26    (G).
27        (3)  For school districts maintaining grades kindergarten
28    through 12, local property tax revenues per  pupil  shall  be
29    calculated   as  the  product  of  the  applicable  equalized
30    assessed valuation for the district multiplied by 3.00%,  and
31    divided  by  the  district's Average Daily Attendance figure.
32    For school districts maintaining grades kindergarten  through
33    8,  local property tax revenues per pupil shall be calculated
34    as the product of the applicable equalized assessed valuation
 
                            -6-            LRB9207211NTsbam02
 1    for the district multiplied by  2.30%,  and  divided  by  the
 2    district's  Average  Daily  Attendance  figure.   For  school
 3    districts maintaining grades 9 through 12, local property tax
 4    revenues per pupil shall be the applicable equalized assessed
 5    valuation of the district multiplied by 1.05%, and divided by
 6    the district's Average Daily Attendance figure.
 7        (4)  The  Corporate  Personal  Property Replacement Taxes
 8    paid to each school district during the calendar year 2 years
 9    before the calendar year  in  which  a  school  year  begins,
10    divided  by  the  Average  Daily  Attendance  figure for that
11    district, shall be added to the local property  tax  revenues
12    per  pupil  as  derived by the application of the immediately
13    preceding paragraph (3).  The sum of these per pupil  figures
14    for  each  school  district  shall constitute Available Local
15    Resources as that term is utilized in subsection (E)  in  the
16    calculation of general State aid.

17    (E)  Computation of General State Aid.
18        (1)  For  each  school  year, the amount of general State
19    aid allotted to a school district shall be  computed  by  the
20    State Board of Education as provided in this subsection.
21        (2)  For  any  school  district for which Available Local
22    Resources per pupil is less than the product  of  0.93  times
23    the  Foundation  Level,  general  State aid for that district
24    shall be calculated as an  amount  equal  to  the  Foundation
25    Level  minus  Available  Local  Resources,  multiplied by the
26    Average Daily Attendance of the school district.
27        (3)  For any school district for  which  Available  Local
28    Resources  per  pupil is equal to or greater than the product
29    of 0.93 times the Foundation Level and less than the  product
30    of 1.75 times the Foundation Level, the general State aid per
31    pupil  shall  be a decimal proportion of the Foundation Level
32    derived  using  a  linear  algorithm.   Under   this   linear
33    algorithm,  the  calculated general State aid per pupil shall
34    decline  in  direct  linear  fashion  from  0.07  times   the
 
                            -7-            LRB9207211NTsbam02
 1    Foundation  Level  for a school district with Available Local
 2    Resources equal to the product of 0.93 times  the  Foundation
 3    Level,  to  0.05  times  the  Foundation  Level  for a school
 4    district with Available Local Resources equal to the  product
 5    of  1.75  times  the  Foundation  Level.   The  allocation of
 6    general State  aid  for  school  districts  subject  to  this
 7    paragraph  3  shall  be  the calculated general State aid per
 8    pupil figure multiplied by the Average  Daily  Attendance  of
 9    the school district.
10        (4)  For  any  school  district for which Available Local
11    Resources per pupil equals or exceeds  the  product  of  1.75
12    times  the  Foundation  Level,  the general State aid for the
13    school district shall be calculated as the  product  of  $218
14    multiplied  by  the  Average  Daily  Attendance of the school
15    district.
16        (5)  The amount of  general  State  aid  allocated  to  a
17    school  district  for  the  1999-2000 school year meeting the
18    requirements set forth in paragraph  (4)  of  subsection  (G)
19    shall  be  increased  by an amount equal to the general State
20    aid that would have been received by  the  district  for  the
21    1998-1999  school  year by utilizing the Extension Limitation
22    Equalized Assessed Valuation as calculated in  paragraph  (4)
23    of subsection (G) less the general State aid allotted for the
24    1998-1999  school  year.   This  amount shall be deemed a one
25    time increase, and shall not affect any future general  State
26    aid allocations.

27    (F)  Compilation of Average Daily Attendance.
28        (1)  Each  school district shall, by July 1 of each year,
29    submit to the State Board of Education, on  forms  prescribed
30    by  the  State Board of Education, attendance figures for the
31    school year that began in the preceding calendar  year.   The
32    attendance  information  so  transmitted  shall  identify the
33    average daily attendance figures for each month of the school
34    year, except that any days of attendance in August  shall  be
 
                            -8-            LRB9207211NTsbam02
 1    added to the month of September and any days of attendance in
 2    June shall be added to the month of May.
 3        Except  as  otherwise  provided  in this Section, days of
 4    attendance by pupils shall be counted only  for  sessions  of
 5    not  less  than  5  clock  hours of school work per day under
 6    direct supervision of: (i)  teachers,  or  (ii)  non-teaching
 7    personnel   or   volunteer   personnel   when   engaging   in
 8    non-teaching   duties  and  supervising  in  those  instances
 9    specified in subsection (a) of Section 10-22.34 and paragraph
10    10 of Section 34-18, with pupils of legal school age  and  in
11    kindergarten and grades 1 through 12.
12        Days  of attendance by tuition pupils shall be accredited
13    only to the districts that pay the tuition  to  a  recognized
14    school.
15        (2)  Days  of  attendance  by pupils of less than 5 clock
16    hours of school shall be subject to the following  provisions
17    in the compilation of Average Daily Attendance.
18             (a)  Pupils  regularly  enrolled  in a public school
19        for only a part of the school day may be counted  on  the
20        basis  of  1/6 day for every class hour of instruction of
21        40 minutes or more attended pursuant to such enrollment.
22             (b)  Days of attendance may be  less  than  5  clock
23        hours  on the opening and closing of the school term, and
24        upon the first day of pupil attendance, if preceded by  a
25        day  or  days  utilized  as  an  institute  or  teachers'
26        workshop.
27             (c)  A  session  of  4  or  more  clock hours may be
28        counted as a day of attendance upon certification by  the
29        regional   superintendent,  and  approved  by  the  State
30        Superintendent  of  Education  to  the  extent  that  the
31        district has been forced to use daily multiple sessions.
32             (d)  A session of 3  or  more  clock  hours  may  be
33        counted  as a day of attendance (1) when the remainder of
34        the school day or at least 2 hours in the evening of that
 
                            -9-            LRB9207211NTsbam02
 1        day is utilized for an in-service  training  program  for
 2        teachers,  up  to  a maximum of 5 days per school year of
 3        which a maximum of 4 days of such 5 days may be used  for
 4        parent-teacher  conferences, provided a district conducts
 5        an in-service training program  for  teachers  which  has
 6        been  approved  by the State Superintendent of Education;
 7        or, in lieu of 4 such days, 2 full days may be  used,  in
 8        which  event  each  such  day  may be counted as a day of
 9        attendance; and  (2)  when  days  in  addition  to  those
10        provided  in  item (1) are scheduled by a school pursuant
11        to its school improvement plan adopted under  Article  34
12        or its revised or amended school improvement plan adopted
13        under  Article 2, provided that (i) such sessions of 3 or
14        more clock  hours  are  scheduled  to  occur  at  regular
15        intervals, (ii) the remainder of the school days in which
16        such  sessions occur are utilized for in-service training
17        programs  or  other  staff  development  activities   for
18        teachers,  and  (iii)  a  sufficient number of minutes of
19        school work under the direct supervision of teachers  are
20        added to the school days between such regularly scheduled
21        sessions  to  accumulate  not  less  than  the  number of
22        minutes by which such sessions of 3 or more  clock  hours
23        fall  short  of 5 clock hours. Any full days used for the
24        purposes of this paragraph shall not  be  considered  for
25        computing  average  daily attendance.  Days scheduled for
26        in-service   training   programs,    staff    development
27        activities,   or   parent-teacher   conferences   may  be
28        scheduled  separately  for  different  grade  levels  and
29        different attendance centers of the district.
30             (e)  A session of not less than one  clock  hour  of
31        teaching  hospitalized  or homebound pupils on-site or by
32        telephone to the classroom may be counted as 1/2  day  of
33        attendance,  however  these pupils must receive 4 or more
34        clock hours of instruction to be counted for a  full  day
 
                            -10-           LRB9207211NTsbam02
 1        of attendance.
 2             (f)  A  session  of  at  least  4 clock hours may be
 3        counted as a day of attendance for  first  grade  pupils,
 4        and  pupils in full day kindergartens, and a session of 2
 5        or more hours may be counted as 1/2 day of attendance  by
 6        pupils  in  kindergartens  which  provide only 1/2 day of
 7        attendance.
 8             (g)  For children with disabilities  who  are  below
 9        the  age of 6 years and who cannot attend 2 or more clock
10        hours  because  of  their  disability  or  immaturity,  a
11        session of not less than one clock hour may be counted as
12        1/2 day of attendance; however for  such  children  whose
13        educational needs so require a session of 4 or more clock
14        hours may be counted as a full day of attendance.
15             (h)  A  recognized  kindergarten  which provides for
16        only 1/2 day of attendance by each pupil shall  not  have
17        more  than  1/2 day of attendance counted in any one day.
18        However, kindergartens may count 2 1/2 days of attendance
19        in any 5 consecutive school days.  When a  pupil  attends
20        such  a  kindergarten  for  2 half days on any one school
21        day, the pupil shall have the  following  day  as  a  day
22        absent  from  school,  unless the school district obtains
23        permission in writing from the  State  Superintendent  of
24        Education.  Attendance at kindergartens which provide for
25        a  full  day of attendance by each pupil shall be counted
26        the same as attendance by first grade pupils.   Only  the
27        first  year  of  attendance  in one kindergarten shall be
28        counted, except in  case  of  children  who  entered  the
29        kindergarten   in  their  fifth  year  whose  educational
30        development requires a second  year  of  kindergarten  as
31        determined  under  the rules and regulations of the State
32        Board of Education.

33    (G)  Equalized Assessed Valuation Data.
34        (1)  For purposes of the calculation of  Available  Local
 
                            -11-           LRB9207211NTsbam02
 1    Resources  required  pursuant  to  subsection  (D), the State
 2    Board of  Education  shall  secure  from  the  Department  of
 3    Revenue  the value as equalized or assessed by the Department
 4    of Revenue of all taxable property of every school  district,
 5    together  with  (i) the applicable tax rate used in extending
 6    taxes for the funds of the district as of September 30 of the
 7    previous year and (ii)  the  limiting  rate  for  all  school
 8    districts  subject  to  property tax extension limitations as
 9    imposed under the Property Tax Extension Limitation Law.
10        This equalized assessed valuation, as adjusted further by
11    the requirements of this subsection, shall be utilized in the
12    calculation of Available Local Resources.
13        (2)  The equalized assessed valuation  in  paragraph  (1)
14    shall be adjusted, as applicable, in the following manner:
15             (a)  For the purposes of calculating State aid under
16        this  Section,  with  respect  to  any  part  of a school
17        district within a redevelopment project area  in  respect
18        to   which  a  municipality  has  adopted  tax  increment
19        allocation  financing  pursuant  to  the  Tax   Increment
20        Allocation  Redevelopment Act, Sections 11-74.4-1 through
21        11-74.4-11  of  the  Illinois  Municipal  Code   or   the
22        Industrial  Jobs Recovery Law, Sections 11-74.6-1 through
23        11-74.6-50 of the Illinois Municipal Code, no part of the
24        current equalized assessed  valuation  of  real  property
25        located in any such project area which is attributable to
26        an  increase  above  the total initial equalized assessed
27        valuation of such property shall be used as part  of  the
28        equalized  assessed valuation of the district, until such
29        time as all redevelopment project costs have  been  paid,
30        as  provided  in  Section  11-74.4-8 of the Tax Increment
31        Allocation Redevelopment Act or in Section 11-74.6-35  of
32        the Industrial Jobs Recovery Law.  For the purpose of the
33        equalized  assessed  valuation of the district, the total
34        initial  equalized  assessed  valuation  or  the  current
 
                            -12-           LRB9207211NTsbam02
 1        equalized assessed valuation, whichever is  lower,  shall
 2        be  used  until  such  time  as all redevelopment project
 3        costs have been paid.
 4             (b)  The real property equalized assessed  valuation
 5        for  a  school  district shall be adjusted by subtracting
 6        from the real property value as equalized or assessed  by
 7        the  Department  of  Revenue  for  the district an amount
 8        computed by dividing the amount of any abatement of taxes
 9        under Section 18-170 of the Property Tax  Code  by  3.00%
10        for  a  district  maintaining grades kindergarten through
11        12,  by  2.30%  for   a   district   maintaining   grades
12        kindergarten  through  8,  or  by  1.05%  for  a district
13        maintaining grades 9 through 12 and adjusted by an amount
14        computed by dividing the amount of any abatement of taxes
15        under subsection (a) of Section 18-165  of  the  Property
16        Tax  Code  by the same percentage rates for district type
17        as specified in this subparagraph (b).
18        (3)  For the 1999-2000 school year and each  school  year
19    thereafter, if a school district meets all of the criteria of
20    this subsection (G)(3), the school district's Available Local
21    Resources  shall be calculated under subsection (D) using the
22    district's Extension Limitation Equalized Assessed  Valuation
23    as calculated under this subsection (G)(3).
24        For  purposes  of  this  subsection  (G)(3) the following
25    terms shall have the following meanings:
26             "Budget Year":  The school year  for  which  general
27        State aid is calculated and awarded under subsection (E).
28             "Base  Tax Year": The property tax levy year used to
29        calculate the Budget Year  allocation  of  general  State
30        aid.
31             "Preceding  Tax  Year":  The  property tax levy year
32        immediately preceding the Base Tax Year.
33             "Base Tax Year's Tax Extension": The product of  the
34        equalized assessed valuation utilized by the County Clerk
 
                            -13-           LRB9207211NTsbam02
 1        in  the  Base Tax Year multiplied by the limiting rate as
 2        calculated  by  the  County  Clerk  and  defined  in  the
 3        Property Tax Extension Limitation Law.
 4             "Preceding Tax Year's Tax Extension": The product of
 5        the equalized assessed valuation utilized by  the  County
 6        Clerk  in  the  Preceding  Tax  Year  multiplied  by  the
 7        Operating Tax Rate as defined in subsection (A).
 8             "Extension  Limitation  Ratio":  A  numerical ratio,
 9        certified by the County Clerk, in which the numerator  is
10        the  Base Tax Year's Tax Extension and the denominator is
11        the Preceding Tax Year's Tax Extension.
12             "Operating Tax Rate":  The  operating  tax  rate  as
13        defined in subsection (A).
14        If a school district is subject to property tax extension
15    limitations  as  imposed  under  the  Property  Tax Extension
16    Limitation Law, and if the Available Local Resources of  that
17    school  district  as  calculated  pursuant  to subsection (D)
18    using the Base Tax Year are less than  the  product  of  1.75
19    times  the  Foundation  Level  for the Budget Year, the State
20    Board of Education shall calculate the  Extension  Limitation
21    Equalized  Assessed  Valuation  of  that  district.   For the
22    1999-2000 school year,  the  Extension  Limitation  Equalized
23    Assessed  Valuation of a school district as calculated by the
24    State Board of Education shall be equal to the product of the
25    district's  1996  Equalized  Assessed   Valuation   and   the
26    district's  Extension  Limitation  Ratio.   For the 2000-2001
27    school year and each school year  thereafter,  the  Extension
28    Limitation  Equalized Assessed Valuation of a school district
29    as calculated by the State Board of Education shall be  equal
30    to  the  product  of the last calculated Extension Limitation
31    Equalized Assessed Valuation  and  the  district's  Extension
32    Limitation  Ratio.  If  the  Extension  Limitation  Equalized
33    Assessed  Valuation  of a school district as calculated under
34    this subsection (G)(3) is less than the district's  equalized
 
                            -14-           LRB9207211NTsbam02
 1    assessed  valuation  as  calculated  pursuant  to subsections
 2    (G)(1) and (G)(2),  then  for  purposes  of  calculating  the
 3    district's  general State aid for the Budget Year pursuant to
 4    subsection (E), that Extension Limitation Equalized  Assessed
 5    Valuation  shall  be  utilized  to  calculate  the district's
 6    Available Local Resources under subsection (D).
 7        (4)  For the purposes of calculating  general  State  aid
 8    for  the  1999-2000  school  year  only, if a school district
 9    experienced  a  triennial  reassessment  on   the   equalized
10    assessed  valuation  used  in  calculating  its general State
11    financial aid apportionment for the  1998-1999  school  year,
12    the  State  Board  of Education shall calculate the Extension
13    Limitation Equalized Assessed Valuation that would have  been
14    used to calculate the district's 1998-1999 general State aid.
15    This amount shall equal the product of the equalized assessed
16    valuation  used  to  calculate  general  State  aid  for  the
17    1997-1998 school year and the district's Extension Limitation
18    Ratio.    If  the  Extension  Limitation  Equalized  Assessed
19    Valuation of the school district  as  calculated  under  this
20    paragraph  (4) is less than the district's equalized assessed
21    valuation utilized in calculating  the  district's  1998-1999
22    general   State   aid   allocation,   then  for  purposes  of
23    calculating the district's  general  State  aid  pursuant  to
24    paragraph  (5)  of  subsection (E), that Extension Limitation
25    Equalized Assessed Valuation shall be utilized  to  calculate
26    the district's Available Local Resources.
27        (5)  For  school  districts  having  a  majority of their
28    equalized assessed  valuation  in  any  county  except  Cook,
29    DuPage,  Kane,  Lake,  McHenry,  or  Will,  if  the amount of
30    general State aid allocated to the school  district  for  the
31    1999-2000 school year under the provisions of subsection (E),
32    (H),  and  (J)  of  this  Section  is less than the amount of
33    general State aid allocated to the district for the 1998-1999
34    school year under these subsections, then the  general  State
 
                            -15-           LRB9207211NTsbam02
 1    aid  of the district for the 1999-2000 school year only shall
 2    be increased by the difference between  these  amounts.   The
 3    total payments made under this paragraph (5) shall not exceed
 4    $14,000,000.    Claims  shall  be  prorated  if  they  exceed
 5    $14,000,000.

 6    (H)  Supplemental General State Aid.
 7        (1)  In addition  to  the  general  State  aid  a  school
 8    district  is  allotted pursuant to subsection (E), qualifying
 9    school districts shall receive a grant, paid  in  conjunction
10    with   a  district's  payments  of  general  State  aid,  for
11    supplemental general State aid based upon  the  concentration
12    level  of  children  from  low-income  households  within the
13    school district. Supplemental State aid grants  provided  for
14    school  districts under this subsection shall be appropriated
15    for distribution to school districts as part of the same line
16    item in which the  general  State  financial  aid  of  school
17    districts is appropriated under this Section. For purposes of
18    this  subsection,  the  term "Low-Income Concentration Level"
19    shall be the low-income eligible pupil count  from  the  most
20    recently  available  federal  census  divided  by the Average
21    Daily Attendance of the school  district.  If,  however,  the
22    percentage  decrease  from the 2 most recent federal censuses
23    in the low-income eligible  pupil  count  of  a  high  school
24    district  with fewer than 400 students exceeds by 75% or more
25    the percentage change in the total low-income eligible  pupil
26    count   of  contiguous  elementary  school  districts,  whose
27    boundaries are coterminous with the high school district, the
28    high school district's low-income eligible pupil  count  from
29    the  earlier  federal  census shall be the number used as the
30    low-income eligible pupil count for the high school district,
31    for purposes of this subsection (H).
32        (2)  Supplemental general  State  aid  pursuant  to  this
33    subsection shall be provided as follows:
34             (a)  For  any  school  district  with  a  Low Income
 
                            -16-           LRB9207211NTsbam02
 1        Concentration Level of at least 20% and  less  than  35%,
 2        the grant for any school year shall be $800 multiplied by
 3        the low income eligible pupil count.
 4             (b)  For  any  school  district  with  a  Low Income
 5        Concentration Level of at least 35% and  less  than  50%,
 6        the  grant  for the 1998-1999 school year shall be $1,100
 7        multiplied by the low income eligible pupil count.
 8             (c)  For any  school  district  with  a  Low  Income
 9        Concentration  Level  of  at least 50% and less than 60%,
10        the grant for the 1998-99 school  year  shall  be  $1,500
11        multiplied by the low income eligible pupil count.
12             (d)  For  any  school  district  with  a  Low Income
13        Concentration Level of 60% or more,  the  grant  for  the
14        1998-99 school year shall be $1,900 multiplied by the low
15        income eligible pupil count.
16             (e)  For  the  1999-2000  school year, the per pupil
17        amount specified  in  subparagraphs  (b),  (c),  and  (d)
18        immediately  above  shall be increased to $1,243, $1,600,
19        and $2,000, respectively.
20             (f)  For the 2000-2001 school year,  the  per  pupil
21        amounts  specified  in  subparagraphs  (b),  (c), and (d)
22        immediately above shall be $1,273,  $1,640,  and  $2,050,
23        respectively.
24        (3)  School districts with an Average Daily Attendance of
25    more  than  1,000  and  less  than  50,000  that  qualify for
26    supplemental general State aid pursuant  to  this  subsection
27    shall  submit a plan to the State Board of Education prior to
28    October 30 of each year for the use of  the  funds  resulting
29    from  this  grant  of  supplemental general State aid for the
30    improvement of instruction in  which  priority  is  given  to
31    meeting  the education needs of disadvantaged children.  Such
32    plan  shall  be  submitted  in  accordance  with  rules   and
33    regulations promulgated by the State Board of Education.
34        (4)  School districts with an Average Daily Attendance of
 
                            -17-           LRB9207211NTsbam02
 1    50,000  or  more  that qualify for supplemental general State
 2    aid  pursuant  to  this  subsection  shall  be  required   to
 3    distribute  from funds available pursuant to this Section, no
 4    less than  $261,000,000  in  accordance  with  the  following
 5    requirements:
 6             (a)  The  required  amounts  shall be distributed to
 7        the attendance centers within the district in  proportion
 8        to  the  number  of  pupils  enrolled  at each attendance
 9        center who are eligible to receive free or  reduced-price
10        lunches  or  breakfasts under the federal Child Nutrition
11        Act of 1966 and  under  the  National  School  Lunch  Act
12        during the immediately preceding school year.
13             (b)  The   distribution   of   these   portions   of
14        supplemental  and  general  State  aid  among  attendance
15        centers  according  to  these  requirements  shall not be
16        compensated for or  contravened  by  adjustments  of  the
17        total  of  other  funds  appropriated  to  any attendance
18        centers, and the Board of Education shall utilize funding
19        from one or several sources in order to  fully  implement
20        this provision annually prior to the opening of school.
21             (c)  Each attendance center shall be provided by the
22        school  district  a  distribution of noncategorical funds
23        and other categorical funds to which an attendance center
24        is entitled under law in order that the general State aid
25        and  supplemental   general   State   aid   provided   by
26        application  of  this  subsection supplements rather than
27        supplants the noncategorical funds and other  categorical
28        funds  provided  by the school district to the attendance
29        centers.
30             (d)  Any funds made available under this  subsection
31        that  by  reason of the provisions of this subsection are
32        not required to be allocated and provided  to  attendance
33        centers  may be used and appropriated by the board of the
34        district for any lawful school purpose.
 
                            -18-           LRB9207211NTsbam02
 1             (e)  Funds received by an attendance center pursuant
 2        to this subsection shall be used by the attendance center
 3        at the discretion  of  the  principal  and  local  school
 4        council for programs to improve educational opportunities
 5        at  qualifying schools through the following programs and
 6        services: early childhood education, reduced  class  size
 7        or  improved adult to student classroom ratio, enrichment
 8        programs, remedial  assistance,  attendance  improvement,
 9        and  other  educationally  beneficial  expenditures which
10        supplement the regular and basic programs  as  determined
11        by  the  State  Board of Education.  Funds provided shall
12        not be expended for any political or lobbying purposes as
13        defined by board rule.
14             (f)  Each district subject to the provisions of this
15        subdivision (H)(4) shall submit  an  acceptable  plan  to
16        meet  the educational needs of disadvantaged children, in
17        compliance with the requirements of  this  paragraph,  to
18        the  State  Board  of  Education prior to July 15 of each
19        year. This plan shall be consistent with the decisions of
20        local school councils concerning the  school  expenditure
21        plans  developed  in  accordance  with  part 4 of Section
22        34-2.3.  The State Board shall approve or reject the plan
23        within 60 days after its  submission.   If  the  plan  is
24        rejected,  the  district  shall  give  written  notice of
25        intent  to  modify  the  plan  within  15  days  of   the
26        notification of rejection and then submit a modified plan
27        within  30  days  after the date of the written notice of
28        intent to modify.  Districts  may  amend  approved  plans
29        pursuant  to  rules  promulgated  by  the  State Board of
30        Education.
31             Upon notification by the State  Board  of  Education
32        that  the district has not submitted a plan prior to July
33        15 or a modified plan within the  time  period  specified
34        herein,  the  State  aid  funds  affected by that plan or
 
                            -19-           LRB9207211NTsbam02
 1        modified plan shall be withheld by  the  State  Board  of
 2        Education until a plan or modified plan is submitted.
 3             If  the  district  fails  to distribute State aid to
 4        attendance centers in accordance with an  approved  plan,
 5        the  plan for the following year shall allocate funds, in
 6        addition  to  the  funds  otherwise  required   by   this
 7        subsection,   to  those  attendance  centers  which  were
 8        underfunded during the previous year in amounts equal  to
 9        such underfunding.
10             For  purposes  of  determining  compliance with this
11        subsection in relation to the requirements of  attendance
12        center  funding,  each district subject to the provisions
13        of this subsection shall submit as a separate document by
14        December 1 of each year a report of expenditure data  for
15        the  prior  year  in  addition to any modification of its
16        current plan.  If it is determined that there has been  a
17        failure to comply with the expenditure provisions of this
18        subsection  regarding  contravention  or supplanting, the
19        State Superintendent of Education shall, within  60  days
20        of  receipt  of  the  report, notify the district and any
21        affected local school council.  The district shall within
22        45 days of receipt of that notification inform the  State
23        Superintendent of Education of the remedial or corrective
24        action  to be taken, whether  by amendment of the current
25        plan, if feasible, or by adjustment in the plan  for  the
26        following  year.   Failure  to  provide  the  expenditure
27        report  or  the  notification  of  remedial or corrective
28        action in a timely manner shall result in  a  withholding
29        of the affected funds.
30             The  State Board of Education shall promulgate rules
31        and regulations  to  implement  the  provisions  of  this
32        subsection.   No  funds  shall  be  released  under  this
33        subdivision (H)(4) to any district that has not submitted
34        a  plan  that  has  been  approved  by the State Board of
 
                            -20-           LRB9207211NTsbam02
 1        Education.

 2    (I)  General State Aid for Newly Configured School Districts.
 3        (1)  For  a  new  school  district  formed  by  combining
 4    property  included  totally  within  2  or  more   previously
 5    existing  school  districts,  for its first year of existence
 6    the general State aid  and  supplemental  general  State  aid
 7    calculated  under  this Section shall be computed for the new
 8    district and for the previously existing districts for  which
 9    property is totally included within the new district.  If the
10    computation on the basis of the previously existing districts
11    is  greater,  a supplementary payment equal to the difference
12    shall be made for the first 4 years of existence of  the  new
13    district.
14        (2)  For  a  school  district  which  annexes  all of the
15    territory of one or more entire other school  districts,  for
16    the   first  year  during  which  the  change  of  boundaries
17    attributable to such annexation  becomes  effective  for  all
18    purposes as determined under Section 7-9 or 7A-8, the general
19    State aid and supplemental general State aid calculated under
20    this  Section  shall be computed for the annexing district as
21    constituted after the annexation and  for  the  annexing  and
22    each annexed district as constituted prior to the annexation;
23    and  if  the  computation  on  the  basis of the annexing and
24    annexed districts as constituted prior to the  annexation  is
25    greater,  a  supplementary  payment  equal  to the difference
26    shall be made for the first  4  years  of  existence  of  the
27    annexing school district as constituted upon such annexation.
28        (3)  For  2  or  more school districts which annex all of
29    the territory of one or more entire other  school  districts,
30    and  for 2 or more community unit districts which result upon
31    the division (pursuant to petition under  Section  11A-2)  of
32    one  or more other unit school districts into 2 or more parts
33    and which together include all of the parts into  which  such
34    other  unit  school district or districts are so divided, for
 
                            -21-           LRB9207211NTsbam02
 1    the  first  year  during  which  the  change  of   boundaries
 2    attributable to such annexation or division becomes effective
 3    for  all  purposes as determined under Section 7-9 or 11A-10,
 4    as the case may be, the general State  aid  and  supplemental
 5    general  State  aid  calculated  under  this Section shall be
 6    computed  for  each  annexing  or   resulting   district   as
 7    constituted  after  the  annexation  or division and for each
 8    annexing and annexed district,  or  for  each  resulting  and
 9    divided  district,  as constituted prior to the annexation or
10    division; and if the aggregate of the general State  aid  and
11    supplemental  general  State  aid  as  so  computed  for  the
12    annexing  or  resulting  districts  as  constituted after the
13    annexation or division is less  than  the  aggregate  of  the
14    general  State  aid  and supplemental general State aid as so
15    computed for the annexing and annexed districts, or  for  the
16    resulting  and divided districts, as constituted prior to the
17    annexation or division, then a supplementary payment equal to
18    the difference shall be made and allocated between  or  among
19    the annexing or resulting districts, as constituted upon such
20    annexation  or  division,  for  the  first  4  years of their
21    existence.  The total difference payment shall  be  allocated
22    between  or  among the annexing or resulting districts in the
23    same ratio as the pupil enrollment from that portion  of  the
24    annexed  or divided district or districts which is annexed to
25    or included in each such annexing or resulting district bears
26    to the total pupil enrollment  from  the  entire  annexed  or
27    divided  district  or  districts, as such pupil enrollment is
28    determined for the school year last ending prior to the  date
29    when  the change of boundaries attributable to the annexation
30    or division becomes effective for all purposes.   The  amount
31    of  the total difference payment and the amount thereof to be
32    allocated to the annexing or  resulting  districts  shall  be
33    computed  by  the  State  Board  of Education on the basis of
34    pupil enrollment and other data which shall be  certified  to
 
                            -22-           LRB9207211NTsbam02
 1    the State Board of Education, on forms which it shall provide
 2    for  that  purpose, by the regional superintendent of schools
 3    for each educational service region in which the annexing and
 4    annexed districts, or resulting  and  divided  districts  are
 5    located.
 6        (3.5)  Claims   for   financial   assistance  under  this
 7    subsection (I) shall not be recomputed  except  as  expressly
 8    provided under this Section.
 9        (4)  Any supplementary payment made under this subsection
10    (I) shall be treated as separate from all other payments made
11    pursuant to this Section.

12    (J)  Supplementary Grants in Aid.
13        (1)  Notwithstanding   any   other   provisions  of  this
14    Section, the amount of the aggregate  general  State  aid  in
15    combination  with  supplemental  general State aid under this
16    Section for which each school district is eligible  shall  be
17    no  less  than  the amount of the aggregate general State aid
18    entitlement that was received by the district  under  Section
19    18-8  (exclusive  of  amounts received under subsections 5(p)
20    and 5(p-5) of that Section)  for  the  1997-98  school  year,
21    pursuant  to the provisions of that Section as it was then in
22    effect.  If  a  school  district  qualifies  to   receive   a
23    supplementary  payment  made  under  this subsection (J), the
24    amount of the aggregate general State aid in combination with
25    supplemental general State aid under this Section  which that
26    district is eligible to receive for each school year shall be
27    no less than the amount of the aggregate  general  State  aid
28    entitlement  that  was received by the district under Section
29    18-8 (exclusive of amounts received  under  subsections  5(p)
30    and  5(p-5)  of  that Section) for the 1997-1998 school year,
31    pursuant to the provisions of that Section as it was then  in
32    effect.
33        (2)  If,  as provided in paragraph (1) of this subsection
34    (J), a school district is to receive aggregate general  State
 
                            -23-           LRB9207211NTsbam02
 1    aid  in combination with supplemental general State aid under
 2    this Section for the 1998-99 school year and  any  subsequent
 3    school  year  that  in  any such school year is less than the
 4    amount of the aggregate general State  aid  entitlement  that
 5    the district received for the 1997-98 school year, the school
 6    district  shall  also  receive, from a separate appropriation
 7    made for purposes of this  subsection  (J),  a  supplementary
 8    payment  that is equal to the amount of the difference in the
 9    aggregate State aid figures as described in paragraph (1).
10        (3)  (Blank).

11    (K)  Grants to Laboratory and Alternative Schools.
12        In calculating the amount to be  paid  to  the  governing
13    board  of  a  public  university  that  operates a laboratory
14    school under this Section or to any alternative  school  that
15    is  operated  by  a  regional  superintendent of schools, the
16    State Board of Education shall require by rule such reporting
17    requirements as it deems necessary.
18        As used in this  Section,  "laboratory  school"  means  a
19    public  school  which  is  created  and  operated by a public
20    university and approved by the State Board of Education.  The
21    governing board of a public university which  receives  funds
22    from  the  State  Board  under  this  subsection  (K) may not
23    increase the number of students enrolled  in  its  laboratory
24    school  from  a  single district, if that district is already
25    sending 50 or more students, except under a mutual  agreement
26    between the school board of a student's district of residence
27    and  the  university which operates the laboratory school.  A
28    laboratory school may not  have  more  than  1,000  students,
29    excluding  students  with disabilities in a special education
30    program.
31        As used in this Section,  "alternative  school"  means  a
32    public  school  which  is  created and operated by a Regional
33    Superintendent of Schools and approved by the State Board  of
34    Education.   Such  alternative  schools  may offer courses of
 
                            -24-           LRB9207211NTsbam02
 1    instruction for which  credit  is  given  in  regular  school
 2    programs,  courses  to  prepare  students for the high school
 3    equivalency testing program or  vocational  and  occupational
 4    training.   A regional superintendent of schools may contract
 5    with a school district or a public community college district
 6    to  operate  an  alternative  school.   An alternative school
 7    serving more than  one  educational  service  region  may  be
 8    established by the regional superintendents of schools of the
 9    affected  educational service regions.  An alternative school
10    serving more than  one  educational  service  region  may  be
11    operated  under such terms as the regional superintendents of
12    schools of those educational service regions may agree.
13        Each laboratory and alternative  school  shall  file,  on
14    forms  provided  by the State Superintendent of Education, an
15    annual  State  aid  claim  which  states  the  Average  Daily
16    Attendance of the school's students by  month.   The  best  3
17    months'  Average  Daily Attendance shall be computed for each
18    school. The general State aid entitlement shall  be  computed
19    by multiplying the applicable Average Daily Attendance by the
20    Foundation Level as determined under this Section.

21    (L)  Payments,   Additional   Grants   in   Aid   and   Other
22    Requirements.
23        (1)  For  a school district operating under the financial
24    supervision of an Authority created under  Article  34A,  the
25    general  State  aid  otherwise payable to that district under
26    this Section, but not the  supplemental  general  State  aid,
27    shall  be  reduced  by  an amount equal to the budget for the
28    operations of the Authority as certified by the Authority  to
29    the  State  Board  of  Education, and an amount equal to such
30    reduction shall be paid to the  Authority  created  for  such
31    district for its operating expenses in the manner provided in
32    Section 18-11.  The remainder of general State school aid for
33    any  such  district  shall be paid in accordance with Article
34    34A when that Article provides for a disposition  other  than
 
                            -25-           LRB9207211NTsbam02
 1    that provided by this Article.
 2        (2)  (Blank).
 3        (3)  Summer school.  Summer school payments shall be made
 4    as provided in Section 18-4.3.

 5    (M)  Education Funding Advisory Board.
 6        The Education Funding Advisory Board, hereinafter in this
 7    subsection (M) referred to as the "Board", is hereby created.
 8    The Board shall consist of 5 members who are appointed by the
 9    Governor,  by  and with the advice and consent of the Senate.
10    The  members  appointed  shall  include  representatives   of
11    education,  business,  and  the  general  public.  One of the
12    members so appointed shall be designated by the  Governor  at
13    the  time  the  appointment is made as the chairperson of the
14    Board. The initial members of the Board may be appointed  any
15    time after the effective date of this amendatory Act of 1997.
16    The  regular  term of each member of the Board shall be for 4
17    years from the third Monday of January of the year  in  which
18    the  term  of the member's appointment is to commence, except
19    that of the 5 initial  members  appointed  to  serve  on  the
20    Board,  the  member who is appointed as the chairperson shall
21    serve for a term that commences on the date  of  his  or  her
22    appointment and expires on the third Monday of January, 2002,
23    and  the  remaining  4  members,  by  lots drawn at the first
24    meeting of the Board that is held after  all  5  members  are
25    appointed,  shall  determine  2  of their number to serve for
26    terms  that  commence  on  the  date  of   their   respective
27    appointments and expire on the third Monday of January, 2001,
28    and 2 of their number to serve for terms that commence on the
29    date of their respective appointments and expire on the third
30    Monday  of  January, 2000.  All members appointed to serve on
31    the Board shall serve until their respective  successors  are
32    appointed  and  confirmed.   Vacancies shall be filled in the
33    same manner  as  original  appointments.   If  a  vacancy  in
34    membership  occurs  at  a  time  when  the  Senate  is not in
 
                            -26-           LRB9207211NTsbam02
 1    session, the Governor  shall  make  a  temporary  appointment
 2    until  the  next  meeting of the Senate, when he or she shall
 3    appoint, by and with the advice and consent of the Senate,  a
 4    person  to  fill  that membership for the unexpired term.  If
 5    the Senate is not in session when  the  initial  appointments
 6    are  made, those appointments shall be made as in the case of
 7    vacancies.
 8        The Education Funding  Advisory  Board  shall  be  deemed
 9    established,   and  the  initial  members  appointed  by  the
10    Governor to serve as members of the Board shall take  office,
11    on the date that the Governor makes his or her appointment of
12    the  fifth initial member of the Board, whether those initial
13    members  are  then  serving  pursuant  to   appointment   and
14    confirmation  or  pursuant to temporary appointments that are
15    made by the Governor as in the case of vacancies.
16        The State Board of Education  shall  provide  such  staff
17    assistance  to  the  Education  Funding  Advisory Board as is
18    reasonably required for the proper performance by  the  Board
19    of its responsibilities.
20        For  school  years  after  the 2000-2001 school year, the
21    Education Funding Advisory Board, in  consultation  with  the
22    State  Board  of  Education,  shall  make  recommendations as
23    provided in this subsection (M) to the General  Assembly  for
24    the foundation level under subdivision (B)(3) of this Section
25    and  for the supplemental general State aid grant level under
26    subsection (H)  of  this  Section  for  districts  with  high
27    concentrations  of  children  from  poverty.  The recommended
28    foundation level shall be determined based on  a  methodology
29    which   incorporates  the  basic  education  expenditures  of
30    low-spending schools exhibiting  high  academic  performance.
31    The   Education   Funding  Advisory  Board  shall  make  such
32    recommendations to the General Assembly on January 1  of  odd
33    numbered years, beginning January 1, 2001.

34    (N)  (Blank).
 
                            -27-           LRB9207211NTsbam02
 1    (O)  References.
 2        (1)  References in other laws to the various subdivisions
 3    of Section 18-8 as that Section existed before its repeal and
 4    replacement  by this Section 18-8.05 shall be deemed to refer
 5    to the corresponding provisions of this Section  18-8.05,  to
 6    the extent that those references remain applicable.
 7        (2)  References  in  other  laws to State Chapter 1 funds
 8    shall be deemed to refer to the  supplemental  general  State
 9    aid provided under subsection (H) of this Section.
10    (Source:  P.A.  90-548,  eff.  7-1-98;  incorporates  90-566;
11    90-653,  eff.  7-29-98;  90-654,  eff.  7-29-98; 90-655, eff.
12    7-30-98; 90-802, eff. 12-15-98; 90-815, eff. 2-11-99;  91-24,
13    eff.  7-1-99; 91-93, eff. 7-9-99; 91-96, eff. 7-9-99; 91-111,
14    eff. 7-14-99; 91-357, eff.  7-29-99;  91-533,  eff.  8-13-99;
15    revised 8-27-99.)".

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