State of Illinois
92nd General Assembly
Legislation

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[ Engrossed ][ Enrolled ][ Senate Amendment 001 ]


92_SB1524

 
                                               LRB9208953NTsb

 1        AN ACT concerning average daily attendance.

 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.   Beginning  with  the general State aid claim form for
25    the 2001-2002 school year, districts shall calculate  Average
26    Daily  Attendance  as  provided in subdivisions (a), (b), and
27    (c) of this paragraph (1).
28             (a)  In  districts  that  do  not  hold   year-round
29        classes,  except  that  any  days of attendance in August
30        shall be added to the month of September and any days  of
31        attendance in June shall be added to the month of May.
32             (b)  In  districts  holding year-round classes, each
33        month in which students attend classes for more  than  20
34        calendar  days  shall  be counted as a separate month for
 
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 1        the purpose of calculating  the  best  3  months  average
 2        daily attendance.
 3             (c)  In  districts  in which some buildings, but not
 4        all, conduct year-round classes, the year-round buildings
 5        shall compute Average Daily  Attendance  as  provided  in
 6        subdivision   (b)   of   this   paragraph   (1)  and  the
 7        non-year-round  buildings  shall  compute  Average  Daily
 8        Attendance  as  provided  in  subdivision  (a)  of   this
 9        paragraph  (1).  These 2 average daily attendance figures
10        shall then be averaged to  calculate  the  Average  Daily
11        Attendance for the district.
12        Except  as  otherwise  provided  in this Section, days of
13    attendance by pupils shall be counted only  for  sessions  of
14    not  less  than  5  clock  hours of school work per day under
15    direct supervision of: (i)  teachers,  or  (ii)  non-teaching
16    personnel   or   volunteer   personnel   when   engaging   in
17    non-teaching   duties  and  supervising  in  those  instances
18    specified in subsection (a) of Section 10-22.34 and paragraph
19    10 of Section 34-18, with pupils of legal school age  and  in
20    kindergarten and grades 1 through 12.
21        Days  of attendance by tuition pupils shall be accredited
22    only to the districts that pay the tuition  to  a  recognized
23    school.
24        (2)  Days  of  attendance  by pupils of less than 5 clock
25    hours of school shall be subject to the following  provisions
26    in the compilation of Average Daily Attendance.
27             (a)  Pupils  regularly  enrolled  in a public school
28        for only a part of the school day may be counted  on  the
29        basis  of  1/6 day for every class hour of instruction of
30        40 minutes or more attended pursuant to such enrollment.
31             (b)  Days of attendance may be  less  than  5  clock
32        hours  on the opening and closing of the school term, and
33        upon the first day of pupil attendance, if preceded by  a
34        day  or  days  utilized  as  an  institute  or  teachers'
 
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 1        workshop.
 2             (c)  A  session  of  4  or  more  clock hours may be
 3        counted as a day of attendance upon certification by  the
 4        regional   superintendent,  and  approved  by  the  State
 5        Superintendent  of  Education  to  the  extent  that  the
 6        district has been forced to use daily multiple sessions.
 7             (d)  A session of 3  or  more  clock  hours  may  be
 8        counted  as a day of attendance (1) when the remainder of
 9        the school day or at least 2 hours in the evening of that
10        day is utilized for an in-service  training  program  for
11        teachers,  up  to  a maximum of 5 days per school year of
12        which a maximum of 4 days of such 5 days may be used  for
13        parent-teacher  conferences, provided a district conducts
14        an in-service training program  for  teachers  which  has
15        been  approved  by the State Superintendent of Education;
16        or, in lieu of 4 such days, 2 full days may be  used,  in
17        which  event  each  such  day  may be counted as a day of
18        attendance; and  (2)  when  days  in  addition  to  those
19        provided  in  item (1) are scheduled by a school pursuant
20        to its school improvement plan adopted under  Article  34
21        or its revised or amended school improvement plan adopted
22        under  Article 2, provided that (i) such sessions of 3 or
23        more clock  hours  are  scheduled  to  occur  at  regular
24        intervals, (ii) the remainder of the school days in which
25        such  sessions occur are utilized for in-service training
26        programs  or  other  staff  development  activities   for
27        teachers,  and  (iii)  a  sufficient number of minutes of
28        school work under the direct supervision of teachers  are
29        added to the school days between such regularly scheduled
30        sessions  to  accumulate  not  less  than  the  number of
31        minutes by which such sessions of 3 or more  clock  hours
32        fall  short  of 5 clock hours. Any full days used for the
33        purposes of this paragraph shall not  be  considered  for
34        computing  average  daily attendance.  Days scheduled for
 
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 1        in-service   training   programs,    staff    development
 2        activities,   or   parent-teacher   conferences   may  be
 3        scheduled  separately  for  different  grade  levels  and
 4        different attendance centers of the district.
 5             (e)  A session of not less than one  clock  hour  of
 6        teaching  hospitalized  or homebound pupils on-site or by
 7        telephone to the classroom may be counted as 1/2  day  of
 8        attendance,  however  these pupils must receive 4 or more
 9        clock hours of instruction to be counted for a  full  day
10        of attendance.
11             (f)  A  session  of  at  least  4 clock hours may be
12        counted as a day of attendance for  first  grade  pupils,
13        and  pupils in full day kindergartens, and a session of 2
14        or more hours may be counted as 1/2 day of attendance  by
15        pupils  in  kindergartens  which  provide only 1/2 day of
16        attendance.
17             (g)  For children with disabilities  who  are  below
18        the  age of 6 years and who cannot attend 2 or more clock
19        hours  because  of  their  disability  or  immaturity,  a
20        session of not less than one clock hour may be counted as
21        1/2 day of attendance; however for  such  children  whose
22        educational needs so require a session of 4 or more clock
23        hours may be counted as a full day of attendance.
24             (h)  A  recognized  kindergarten  which provides for
25        only 1/2 day of attendance by each pupil shall  not  have
26        more  than  1/2 day of attendance counted in any one day.
27        However, kindergartens may count 2 1/2 days of attendance
28        in any 5 consecutive school days.  When a  pupil  attends
29        such  a  kindergarten  for  2 half days on any one school
30        day, the pupil shall have the  following  day  as  a  day
31        absent  from  school,  unless the school district obtains
32        permission in writing from the  State  Superintendent  of
33        Education.  Attendance at kindergartens which provide for
34        a  full  day of attendance by each pupil shall be counted
 
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 1        the same as attendance by first grade pupils.   Only  the
 2        first  year  of  attendance  in one kindergarten shall be
 3        counted, except in  case  of  children  who  entered  the
 4        kindergarten   in  their  fifth  year  whose  educational
 5        development requires a second  year  of  kindergarten  as
 6        determined  under  the rules and regulations of the State
 7        Board of Education.

 8    (G)  Equalized Assessed Valuation Data.
 9        (1)  For purposes of the calculation of  Available  Local
10    Resources  required  pursuant  to  subsection  (D), the State
11    Board of  Education  shall  secure  from  the  Department  of
12    Revenue  the value as equalized or assessed by the Department
13    of Revenue of all taxable property of every school  district,
14    together  with  (i) the applicable tax rate used in extending
15    taxes for the funds of the district as of September 30 of the
16    previous year and (ii)  the  limiting  rate  for  all  school
17    districts  subject  to  property tax extension limitations as
18    imposed under the Property Tax Extension Limitation Law.
19        This equalized assessed valuation, as adjusted further by
20    the requirements of this subsection, shall be utilized in the
21    calculation of Available Local Resources.
22        (2)  The equalized assessed valuation  in  paragraph  (1)
23    shall be adjusted, as applicable, in the following manner:
24             (a)  For the purposes of calculating State aid under
25        this  Section,  with  respect  to  any  part  of a school
26        district within a redevelopment project area  in  respect
27        to   which  a  municipality  has  adopted  tax  increment
28        allocation  financing  pursuant  to  the  Tax   Increment
29        Allocation  Redevelopment Act, Sections 11-74.4-1 through
30        11-74.4-11  of  the  Illinois  Municipal  Code   or   the
31        Industrial  Jobs Recovery Law, Sections 11-74.6-1 through
32        11-74.6-50 of the Illinois Municipal Code, no part of the
33        current equalized assessed  valuation  of  real  property
34        located in any such project area which is attributable to
 
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 1        an  increase  above  the total initial equalized assessed
 2        valuation of such property shall be used as part  of  the
 3        equalized  assessed valuation of the district, until such
 4        time as all redevelopment project costs have  been  paid,
 5        as  provided  in  Section  11-74.4-8 of the Tax Increment
 6        Allocation Redevelopment Act or in Section 11-74.6-35  of
 7        the Industrial Jobs Recovery Law.  For the purpose of the
 8        equalized  assessed  valuation of the district, the total
 9        initial  equalized  assessed  valuation  or  the  current
10        equalized assessed valuation, whichever is  lower,  shall
11        be  used  until  such  time  as all redevelopment project
12        costs have been paid.
13             (b)  The real property equalized assessed  valuation
14        for  a  school  district shall be adjusted by subtracting
15        from the real property value as equalized or assessed  by
16        the  Department  of  Revenue  for  the district an amount
17        computed by dividing the amount of any abatement of taxes
18        under Section 18-170 of the Property Tax  Code  by  3.00%
19        for  a  district  maintaining grades kindergarten through
20        12,  by  2.30%  for   a   district   maintaining   grades
21        kindergarten  through  8,  or  by  1.05%  for  a district
22        maintaining grades 9 through 12 and adjusted by an amount
23        computed by dividing the amount of any abatement of taxes
24        under subsection (a) of Section 18-165  of  the  Property
25        Tax  Code  by the same percentage rates for district type
26        as specified in this subparagraph (b).
27        (3)  For the 1999-2000 school year and each  school  year
28    thereafter, if a school district meets all of the criteria of
29    this subsection (G)(3), the school district's Available Local
30    Resources  shall be calculated under subsection (D) using the
31    district's Extension Limitation Equalized Assessed  Valuation
32    as calculated under this subsection (G)(3).
33        For  purposes  of  this  subsection  (G)(3) the following
34    terms shall have the following meanings:
 
                            -13-               LRB9208953NTsb
 1             "Budget Year":  The school year  for  which  general
 2        State aid is calculated and awarded under subsection (E).
 3             "Base  Tax Year": The property tax levy year used to
 4        calculate the Budget Year  allocation  of  general  State
 5        aid.
 6             "Preceding  Tax  Year":  The  property tax levy year
 7        immediately preceding the Base Tax Year.
 8             "Base Tax Year's Tax Extension": The product of  the
 9        equalized assessed valuation utilized by the County Clerk
10        in  the  Base Tax Year multiplied by the limiting rate as
11        calculated  by  the  County  Clerk  and  defined  in  the
12        Property Tax Extension Limitation Law.
13             "Preceding Tax Year's Tax Extension": The product of
14        the equalized assessed valuation utilized by  the  County
15        Clerk  in  the  Preceding  Tax  Year  multiplied  by  the
16        Operating Tax Rate as defined in subsection (A).
17             "Extension  Limitation  Ratio":  A  numerical ratio,
18        certified by the County Clerk, in which the numerator  is
19        the  Base Tax Year's Tax Extension and the denominator is
20        the Preceding Tax Year's Tax Extension.
21             "Operating Tax Rate":  The  operating  tax  rate  as
22        defined in subsection (A).
23        If a school district is subject to property tax extension
24    limitations  as  imposed  under  the  Property  Tax Extension
25    Limitation Law, and if the Available Local Resources of  that
26    school  district  as  calculated  pursuant  to subsection (D)
27    using the Base Tax Year are less than  the  product  of  1.75
28    times  the  Foundation  Level  for the Budget Year, the State
29    Board of Education shall calculate the  Extension  Limitation
30    Equalized  Assessed  Valuation  of  that  district.   For the
31    1999-2000 school year,  the  Extension  Limitation  Equalized
32    Assessed  Valuation of a school district as calculated by the
33    State Board of Education shall be equal to the product of the
34    district's  1996  Equalized  Assessed   Valuation   and   the
 
                            -14-               LRB9208953NTsb
 1    district's  Extension  Limitation  Ratio.   For the 2000-2001
 2    school year and each school year  thereafter,  the  Extension
 3    Limitation  Equalized Assessed Valuation of a school district
 4    as calculated by the State Board of Education shall be  equal
 5    to  the  product  of the last calculated Extension Limitation
 6    Equalized Assessed Valuation  and  the  district's  Extension
 7    Limitation  Ratio.  If  the  Extension  Limitation  Equalized
 8    Assessed  Valuation  of a school district as calculated under
 9    this subsection (G)(3) is less than the district's  equalized
10    assessed  valuation  as  calculated  pursuant  to subsections
11    (G)(1) and (G)(2),  then  for  purposes  of  calculating  the
12    district's  general State aid for the Budget Year pursuant to
13    subsection (E), that Extension Limitation Equalized  Assessed
14    Valuation  shall  be  utilized  to  calculate  the district's
15    Available Local Resources under subsection (D).
16        (4)  For the purposes of calculating  general  State  aid
17    for  the  1999-2000  school  year  only, if a school district
18    experienced  a  triennial  reassessment  on   the   equalized
19    assessed  valuation  used  in  calculating  its general State
20    financial aid apportionment for the  1998-1999  school  year,
21    the  State  Board  of Education shall calculate the Extension
22    Limitation Equalized Assessed Valuation that would have  been
23    used to calculate the district's 1998-1999 general State aid.
24    This amount shall equal the product of the equalized assessed
25    valuation  used  to  calculate  general  State  aid  for  the
26    1997-1998 school year and the district's Extension Limitation
27    Ratio.    If  the  Extension  Limitation  Equalized  Assessed
28    Valuation of the school district  as  calculated  under  this
29    paragraph  (4) is less than the district's equalized assessed
30    valuation utilized in calculating  the  district's  1998-1999
31    general   State   aid   allocation,   then  for  purposes  of
32    calculating the district's  general  State  aid  pursuant  to
33    paragraph  (5)  of  subsection (E), that Extension Limitation
34    Equalized Assessed Valuation shall be utilized  to  calculate
 
                            -15-               LRB9208953NTsb
 1    the district's Available Local Resources.
 2        (5)  For  school  districts  having  a  majority of their
 3    equalized assessed  valuation  in  any  county  except  Cook,
 4    DuPage,  Kane,  Lake,  McHenry,  or  Will,  if  the amount of
 5    general State aid allocated to the school  district  for  the
 6    1999-2000 school year under the provisions of subsection (E),
 7    (H),  and  (J)  of  this  Section  is less than the amount of
 8    general State aid allocated to the district for the 1998-1999
 9    school year under these subsections, then the  general  State
10    aid  of the district for the 1999-2000 school year only shall
11    be increased by the difference between  these  amounts.   The
12    total payments made under this paragraph (5) shall not exceed
13    $14,000,000.    Claims  shall  be  prorated  if  they  exceed
14    $14,000,000.

15    (H)  Supplemental General State Aid.
16        (1)  In addition  to  the  general  State  aid  a  school
17    district  is  allotted pursuant to subsection (E), qualifying
18    school districts shall receive a grant, paid  in  conjunction
19    with   a  district's  payments  of  general  State  aid,  for
20    supplemental general State aid based upon  the  concentration
21    level  of  children  from  low-income  households  within the
22    school district. Supplemental State aid grants  provided  for
23    school  districts under this subsection shall be appropriated
24    for distribution to school districts as part of the same line
25    item in which the  general  State  financial  aid  of  school
26    districts is appropriated under this Section. For purposes of
27    this  subsection,  the  term "Low-Income Concentration Level"
28    shall be the low-income eligible pupil count  from  the  most
29    recently  available  federal  census  divided  by the Average
30    Daily Attendance of the school  district.  If,  however,  the
31    percentage  decrease  from the 2 most recent federal censuses
32    in the low-income eligible  pupil  count  of  a  high  school
33    district  with fewer than 400 students exceeds by 75% or more
34    the percentage change in the total low-income eligible  pupil
 
                            -16-               LRB9208953NTsb
 1    count   of  contiguous  elementary  school  districts,  whose
 2    boundaries are coterminous with the high school district, the
 3    high school district's low-income eligible pupil  count  from
 4    the  earlier  federal  census shall be the number used as the
 5    low-income eligible pupil count for the high school district,
 6    for purposes of this subsection (H).
 7        (2)  Supplemental general  State  aid  pursuant  to  this
 8    subsection shall be provided as follows:
 9             (a)  For  any  school  district  with  a  Low Income
10        Concentration Level of at least 20% and  less  than  35%,
11        the grant for any school year shall be $800 multiplied by
12        the low income eligible pupil count.
13             (b)  For  any  school  district  with  a  Low Income
14        Concentration Level of at least 35% and  less  than  50%,
15        the  grant  for the 1998-1999 school year shall be $1,100
16        multiplied by the low income eligible pupil count.
17             (c)  For any  school  district  with  a  Low  Income
18        Concentration  Level  of  at least 50% and less than 60%,
19        the grant for the 1998-99 school  year  shall  be  $1,500
20        multiplied by the low income eligible pupil count.
21             (d)  For  any  school  district  with  a  Low Income
22        Concentration Level of 60% or more,  the  grant  for  the
23        1998-99 school year shall be $1,900 multiplied by the low
24        income eligible pupil count.
25             (e)  For  the  1999-2000  school year, the per pupil
26        amount specified  in  subparagraphs  (b),  (c),  and  (d)
27        immediately  above  shall be increased to $1,243, $1,600,
28        and $2,000, respectively.
29             (f)  For the 2000-2001 school year,  the  per  pupil
30        amounts  specified  in  subparagraphs  (b),  (c), and (d)
31        immediately above shall be $1,273,  $1,640,  and  $2,050,
32        respectively.
33        (3)  School districts with an Average Daily Attendance of
34    more  than  1,000  and  less  than  50,000  that  qualify for
 
                            -17-               LRB9208953NTsb
 1    supplemental general State aid pursuant  to  this  subsection
 2    shall  submit a plan to the State Board of Education prior to
 3    October 30 of each year for the use of  the  funds  resulting
 4    from  this  grant  of  supplemental general State aid for the
 5    improvement of instruction in  which  priority  is  given  to
 6    meeting  the education needs of disadvantaged children.  Such
 7    plan  shall  be  submitted  in  accordance  with  rules   and
 8    regulations promulgated by the State Board of Education.
 9        (4)  School districts with an Average Daily Attendance of
10    50,000  or  more  that qualify for supplemental general State
11    aid  pursuant  to  this  subsection  shall  be  required   to
12    distribute  from funds available pursuant to this Section, no
13    less than  $261,000,000  in  accordance  with  the  following
14    requirements:
15             (a)  The  required  amounts  shall be distributed to
16        the attendance centers within the district in  proportion
17        to  the  number  of  pupils  enrolled  at each attendance
18        center who are eligible to receive free or  reduced-price
19        lunches  or  breakfasts under the federal Child Nutrition
20        Act of 1966 and  under  the  National  School  Lunch  Act
21        during the immediately preceding school year.
22             (b)  The   distribution   of   these   portions   of
23        supplemental  and  general  State  aid  among  attendance
24        centers  according  to  these  requirements  shall not be
25        compensated for or  contravened  by  adjustments  of  the
26        total  of  other  funds  appropriated  to  any attendance
27        centers, and the Board of Education shall utilize funding
28        from one or several sources in order to  fully  implement
29        this provision annually prior to the opening of school.
30             (c)  Each attendance center shall be provided by the
31        school  district  a  distribution of noncategorical funds
32        and other categorical funds to which an attendance center
33        is entitled under law in order that the general State aid
34        and  supplemental   general   State   aid   provided   by
 
                            -18-               LRB9208953NTsb
 1        application  of  this  subsection supplements rather than
 2        supplants the noncategorical funds and other  categorical
 3        funds  provided  by the school district to the attendance
 4        centers.
 5             (d)  Any funds made available under this  subsection
 6        that  by  reason of the provisions of this subsection are
 7        not required to be allocated and provided  to  attendance
 8        centers  may be used and appropriated by the board of the
 9        district for any lawful school purpose.
10             (e)  Funds received by an attendance center pursuant
11        to this subsection shall be used by the attendance center
12        at the discretion  of  the  principal  and  local  school
13        council for programs to improve educational opportunities
14        at  qualifying schools through the following programs and
15        services: early childhood education, reduced  class  size
16        or  improved adult to student classroom ratio, enrichment
17        programs, remedial  assistance,  attendance  improvement,
18        and  other  educationally  beneficial  expenditures which
19        supplement the regular and basic programs  as  determined
20        by  the  State  Board of Education.  Funds provided shall
21        not be expended for any political or lobbying purposes as
22        defined by board rule.
23             (f)  Each district subject to the provisions of this
24        subdivision (H)(4) shall submit  an  acceptable  plan  to
25        meet  the educational needs of disadvantaged children, in
26        compliance with the requirements of  this  paragraph,  to
27        the  State  Board  of  Education prior to July 15 of each
28        year. This plan shall be consistent with the decisions of
29        local school councils concerning the  school  expenditure
30        plans  developed  in  accordance  with  part 4 of Section
31        34-2.3.  The State Board shall approve or reject the plan
32        within 60 days after its  submission.   If  the  plan  is
33        rejected,  the  district  shall  give  written  notice of
34        intent  to  modify  the  plan  within  15  days  of   the
 
                            -19-               LRB9208953NTsb
 1        notification of rejection and then submit a modified plan
 2        within  30  days  after the date of the written notice of
 3        intent to modify.  Districts  may  amend  approved  plans
 4        pursuant  to  rules  promulgated  by  the  State Board of
 5        Education.
 6             Upon notification by the State  Board  of  Education
 7        that  the district has not submitted a plan prior to July
 8        15 or a modified plan within the  time  period  specified
 9        herein,  the  State  aid  funds  affected by that plan or
10        modified plan shall be withheld by  the  State  Board  of
11        Education until a plan or modified plan is submitted.
12             If  the  district  fails  to distribute State aid to
13        attendance centers in accordance with an  approved  plan,
14        the  plan for the following year shall allocate funds, in
15        addition  to  the  funds  otherwise  required   by   this
16        subsection,   to  those  attendance  centers  which  were
17        underfunded during the previous year in amounts equal  to
18        such underfunding.
19             For  purposes  of  determining  compliance with this
20        subsection in relation to the requirements of  attendance
21        center  funding,  each district subject to the provisions
22        of this subsection shall submit as a separate document by
23        December 1 of each year a report of expenditure data  for
24        the  prior  year  in  addition to any modification of its
25        current plan.  If it is determined that there has been  a
26        failure to comply with the expenditure provisions of this
27        subsection  regarding  contravention  or supplanting, the
28        State Superintendent of Education shall, within  60  days
29        of  receipt  of  the  report, notify the district and any
30        affected local school council.  The district shall within
31        45 days of receipt of that notification inform the  State
32        Superintendent of Education of the remedial or corrective
33        action  to be taken, whether  by amendment of the current
34        plan, if feasible, or by adjustment in the plan  for  the
 
                            -20-               LRB9208953NTsb
 1        following  year.   Failure  to  provide  the  expenditure
 2        report  or  the  notification  of  remedial or corrective
 3        action in a timely manner shall result in  a  withholding
 4        of the affected funds.
 5             The  State Board of Education shall promulgate rules
 6        and regulations  to  implement  the  provisions  of  this
 7        subsection.   No  funds  shall  be  released  under  this
 8        subdivision (H)(4) to any district that has not submitted
 9        a  plan  that  has  been  approved  by the State Board of
10        Education.

11    (I)  General State Aid for Newly Configured School Districts.
12        (1)  For  a  new  school  district  formed  by  combining
13    property  included  totally  within  2  or  more   previously
14    existing  school  districts,  for its first year of existence
15    the general State aid  and  supplemental  general  State  aid
16    calculated  under  this Section shall be computed for the new
17    district and for the previously existing districts for  which
18    property is totally included within the new district.  If the
19    computation on the basis of the previously existing districts
20    is  greater,  a supplementary payment equal to the difference
21    shall be made for the first 4 years of existence of  the  new
22    district.
23        (2)  For  a  school  district  which  annexes  all of the
24    territory of one or more entire other school  districts,  for
25    the   first  year  during  which  the  change  of  boundaries
26    attributable to such annexation  becomes  effective  for  all
27    purposes as determined under Section 7-9 or 7A-8, the general
28    State aid and supplemental general State aid calculated under
29    this  Section  shall be computed for the annexing district as
30    constituted after the annexation and  for  the  annexing  and
31    each annexed district as constituted prior to the annexation;
32    and  if  the  computation  on  the  basis of the annexing and
33    annexed districts as constituted prior to the  annexation  is
34    greater,  a  supplementary  payment  equal  to the difference
 
                            -21-               LRB9208953NTsb
 1    shall be made for the first  4  years  of  existence  of  the
 2    annexing school district as constituted upon such annexation.
 3        (3)  For  2  or  more school districts which annex all of
 4    the territory of one or more entire other  school  districts,
 5    and  for 2 or more community unit districts which result upon
 6    the division (pursuant to petition under  Section  11A-2)  of
 7    one  or more other unit school districts into 2 or more parts
 8    and which together include all of the parts into  which  such
 9    other  unit  school district or districts are so divided, for
10    the  first  year  during  which  the  change  of   boundaries
11    attributable to such annexation or division becomes effective
12    for  all  purposes as determined under Section 7-9 or 11A-10,
13    as the case may be, the general State  aid  and  supplemental
14    general  State  aid  calculated  under  this Section shall be
15    computed  for  each  annexing  or   resulting   district   as
16    constituted  after  the  annexation  or division and for each
17    annexing and annexed district,  or  for  each  resulting  and
18    divided  district,  as constituted prior to the annexation or
19    division; and if the aggregate of the general State  aid  and
20    supplemental  general  State  aid  as  so  computed  for  the
21    annexing  or  resulting  districts  as  constituted after the
22    annexation or division is less  than  the  aggregate  of  the
23    general  State  aid  and supplemental general State aid as so
24    computed for the annexing and annexed districts, or  for  the
25    resulting  and divided districts, as constituted prior to the
26    annexation or division, then a supplementary payment equal to
27    the difference shall be made and allocated between  or  among
28    the annexing or resulting districts, as constituted upon such
29    annexation  or  division,  for  the  first  4  years of their
30    existence.  The total difference payment shall  be  allocated
31    between  or  among the annexing or resulting districts in the
32    same ratio as the pupil enrollment from that portion  of  the
33    annexed  or divided district or districts which is annexed to
34    or included in each such annexing or resulting district bears
 
                            -22-               LRB9208953NTsb
 1    to the total pupil enrollment  from  the  entire  annexed  or
 2    divided  district  or  districts, as such pupil enrollment is
 3    determined for the school year last ending prior to the  date
 4    when  the change of boundaries attributable to the annexation
 5    or division becomes effective for all purposes.   The  amount
 6    of  the total difference payment and the amount thereof to be
 7    allocated to the annexing or  resulting  districts  shall  be
 8    computed  by  the  State  Board  of Education on the basis of
 9    pupil enrollment and other data which shall be  certified  to
10    the State Board of Education, on forms which it shall provide
11    for  that  purpose, by the regional superintendent of schools
12    for each educational service region in which the annexing and
13    annexed districts, or resulting  and  divided  districts  are
14    located.
15        (3.5)  Claims   for   financial   assistance  under  this
16    subsection (I) shall not be recomputed  except  as  expressly
17    provided under this Section.
18        (4)  Any supplementary payment made under this subsection
19    (I) shall be treated as separate from all other payments made
20    pursuant to this Section.

21    (J)  Supplementary Grants in Aid.
22        (1)  Notwithstanding   any   other   provisions  of  this
23    Section, the amount of the aggregate  general  State  aid  in
24    combination  with  supplemental  general State aid under this
25    Section for which each school district is eligible  shall  be
26    no  less  than  the amount of the aggregate general State aid
27    entitlement that was received by the district  under  Section
28    18-8  (exclusive  of  amounts received under subsections 5(p)
29    and 5(p-5) of that Section)  for  the  1997-98  school  year,
30    pursuant  to the provisions of that Section as it was then in
31    effect.  If  a  school  district  qualifies  to   receive   a
32    supplementary  payment  made  under  this subsection (J), the
33    amount of the aggregate general State aid in combination with
34    supplemental general State aid under this Section  which that
 
                            -23-               LRB9208953NTsb
 1    district is eligible to receive for each school year shall be
 2    no less than the amount of the aggregate  general  State  aid
 3    entitlement  that  was received by the district under Section
 4    18-8 (exclusive of amounts received  under  subsections  5(p)
 5    and  5(p-5)  of  that Section) for the 1997-1998 school year,
 6    pursuant to the provisions of that Section as it was then  in
 7    effect.
 8        (2)  If,  as provided in paragraph (1) of this subsection
 9    (J), a school district is to receive aggregate general  State
10    aid  in combination with supplemental general State aid under
11    this Section for the 1998-99 school year and  any  subsequent
12    school  year  that  in  any such school year is less than the
13    amount of the aggregate general State  aid  entitlement  that
14    the district received for the 1997-98 school year, the school
15    district  shall  also  receive, from a separate appropriation
16    made for purposes of this  subsection  (J),  a  supplementary
17    payment  that is equal to the amount of the difference in the
18    aggregate State aid figures as described in paragraph (1).
19        (3)  (Blank).

20    (K)  Grants to Laboratory and Alternative Schools.
21        In calculating the amount to be  paid  to  the  governing
22    board  of  a  public  university  that  operates a laboratory
23    school under this Section or to any alternative  school  that
24    is  operated  by  a  regional  superintendent of schools, the
25    State Board of Education shall require by rule such reporting
26    requirements as it deems necessary.
27        As used in this  Section,  "laboratory  school"  means  a
28    public  school  which  is  created  and  operated by a public
29    university and approved by the State Board of Education.  The
30    governing board of a public university which  receives  funds
31    from  the  State  Board  under  this  subsection  (K) may not
32    increase the number of students enrolled  in  its  laboratory
33    school  from  a  single district, if that district is already
34    sending 50 or more students, except under a mutual  agreement
 
                            -24-               LRB9208953NTsb
 1    between the school board of a student's district of residence
 2    and  the  university which operates the laboratory school.  A
 3    laboratory school may not  have  more  than  1,000  students,
 4    excluding  students  with disabilities in a special education
 5    program.
 6        As used in this Section,  "alternative  school"  means  a
 7    public  school  which  is  created and operated by a Regional
 8    Superintendent of Schools and approved by the State Board  of
 9    Education.   Such  alternative  schools  may offer courses of
10    instruction for which  credit  is  given  in  regular  school
11    programs,  courses  to  prepare  students for the high school
12    equivalency testing program or  vocational  and  occupational
13    training.   A regional superintendent of schools may contract
14    with a school district or a public community college district
15    to  operate  an  alternative  school.   An alternative school
16    serving more than  one  educational  service  region  may  be
17    established by the regional superintendents of schools of the
18    affected  educational service regions.  An alternative school
19    serving more than  one  educational  service  region  may  be
20    operated  under such terms as the regional superintendents of
21    schools of those educational service regions may agree.
22        Each laboratory and alternative  school  shall  file,  on
23    forms  provided  by the State Superintendent of Education, an
24    annual  State  aid  claim  which  states  the  Average  Daily
25    Attendance of the school's students by  month.   The  best  3
26    months'  Average  Daily Attendance shall be computed for each
27    school. The general State aid entitlement shall  be  computed
28    by multiplying the applicable Average Daily Attendance by the
29    Foundation Level as determined under this Section.

30    (L)  Payments,   Additional   Grants   in   Aid   and   Other
31    Requirements.
32        (1)  For  a school district operating under the financial
33    supervision of an Authority created under  Article  34A,  the
34    general  State  aid  otherwise payable to that district under
 
                            -25-               LRB9208953NTsb
 1    this Section, but not the  supplemental  general  State  aid,
 2    shall  be  reduced  by  an amount equal to the budget for the
 3    operations of the Authority as certified by the Authority  to
 4    the  State  Board  of  Education, and an amount equal to such
 5    reduction shall be paid to the  Authority  created  for  such
 6    district for its operating expenses in the manner provided in
 7    Section 18-11.  The remainder of general State school aid for
 8    any  such  district  shall be paid in accordance with Article
 9    34A when that Article provides for a disposition  other  than
10    that provided by this Article.
11        (2)  (Blank).
12        (3)  Summer school.  Summer school payments shall be made
13    as provided in Section 18-4.3.

14    (M)  Education Funding Advisory Board.
15        The Education Funding Advisory Board, hereinafter in this
16    subsection (M) referred to as the "Board", is hereby created.
17    The Board shall consist of 5 members who are appointed by the
18    Governor,  by  and with the advice and consent of the Senate.
19    The  members  appointed  shall  include  representatives   of
20    education,  business,  and  the  general  public.  One of the
21    members so appointed shall be designated by the  Governor  at
22    the  time  the  appointment is made as the chairperson of the
23    Board. The initial members of the Board may be appointed  any
24    time after the effective date of this amendatory Act of 1997.
25    The  regular  term of each member of the Board shall be for 4
26    years from the third Monday of January of the year  in  which
27    the  term  of the member's appointment is to commence, except
28    that of the 5 initial  members  appointed  to  serve  on  the
29    Board,  the  member who is appointed as the chairperson shall
30    serve for a term that commences on the date  of  his  or  her
31    appointment and expires on the third Monday of January, 2002,
32    and  the  remaining  4  members,  by  lots drawn at the first
33    meeting of the Board that is held after  all  5  members  are
34    appointed,  shall  determine  2  of their number to serve for
 
                            -26-               LRB9208953NTsb
 1    terms  that  commence  on  the  date  of   their   respective
 2    appointments and expire on the third Monday of January, 2001,
 3    and 2 of their number to serve for terms that commence on the
 4    date of their respective appointments and expire on the third
 5    Monday  of  January, 2000.  All members appointed to serve on
 6    the Board shall serve until their respective  successors  are
 7    appointed  and  confirmed.   Vacancies shall be filled in the
 8    same manner  as  original  appointments.   If  a  vacancy  in
 9    membership  occurs  at  a  time  when  the  Senate  is not in
10    session, the Governor  shall  make  a  temporary  appointment
11    until  the  next  meeting of the Senate, when he or she shall
12    appoint, by and with the advice and consent of the Senate,  a
13    person  to  fill  that membership for the unexpired term.  If
14    the Senate is not in session when  the  initial  appointments
15    are  made, those appointments shall be made as in the case of
16    vacancies.
17        The Education Funding  Advisory  Board  shall  be  deemed
18    established,   and  the  initial  members  appointed  by  the
19    Governor to serve as members of the Board shall take  office,
20    on the date that the Governor makes his or her appointment of
21    the  fifth initial member of the Board, whether those initial
22    members  are  then  serving  pursuant  to   appointment   and
23    confirmation  or  pursuant to temporary appointments that are
24    made by the Governor as in the case of vacancies.
25        The State Board of Education  shall  provide  such  staff
26    assistance  to  the  Education  Funding  Advisory Board as is
27    reasonably required for the proper performance by  the  Board
28    of its responsibilities.
29        For  school  years  after  the 2000-2001 school year, the
30    Education Funding Advisory Board, in  consultation  with  the
31    State  Board  of  Education,  shall  make  recommendations as
32    provided in this subsection (M) to the General  Assembly  for
33    the foundation level under subdivision (B)(3) of this Section
34    and  for the supplemental general State aid grant level under
 
                            -27-               LRB9208953NTsb
 1    subsection (H)  of  this  Section  for  districts  with  high
 2    concentrations  of  children  from  poverty.  The recommended
 3    foundation level shall be determined based on  a  methodology
 4    which   incorporates  the  basic  education  expenditures  of
 5    low-spending schools exhibiting  high  academic  performance.
 6    The   Education   Funding  Advisory  Board  shall  make  such
 7    recommendations to the General Assembly on January 1  of  odd
 8    numbered years, beginning January 1, 2001.

 9    (N)  (Blank).

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

25        Section  99.  Effective date.  This Act takes effect upon
26    becoming law.

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