Public Act 90-0757 of the 90th General Assembly

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Public Act 90-0757

HB2844 Enrolled                               LRB9008869NTsbA

    AN ACT concerning education.

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

    Section  3.  The  State  Finance Act is amended by adding
Sections 5.480 and 6z-46 as follows:

    (30 ILCS 105/5.480 new)
    Sec. 5.480.  The Right to Read Fund.

    (30 ILCS 105/6z-46 new)
    Sec. 6z-46.  The Right to Read Fund.  The Right  to  Read
Fund is created as a special fund in the State treasury.  All
gifts,  donations,  and  charitable  contributions  that  are
contributed  by any private individual or entity to the State
Board of Education for the purpose of improving  the  reading
of children in the public schools shall be deposited into the
Right  to  Read  Fund.   All  money in the Right to Read Fund
shall be  used,  subject  to  appropriation  by  the  General
Assembly, by the State Board of Education for distribution to
school districts for this purpose.

    Section  5.   The  School  Code  is  amended  by changing
Sections 10-1, 10-4,  10-5,  10-6,  10-22.6,  17-2.2a,  19-1,
27A-11, and 34A-411 as follows:

    (105 ILCS 5/10-1) (from Ch. 122, par. 10-1)
    Sec. 10-1. Board of school directors.
    (a)  School  districts  having a population of fewer than
1000 inhabitants and not governed by any special act shall be
governed by a board of  school  directors  to  consist  of  3
members  who  shall  be  elected  in  the  manner provided in
Article 9 of this  Act.  In  consolidated  districts  and  in
districts  in  which  the  membership  of the board of school
directors is increased  as  provided  in  subsection  (b),  7
members shall be so elected.
    (b)  Upon presentment to the board of school directors of
a  school  district  having  a population of fewer than 1,000
inhabitants of a petition signed by the lesser of 5% or 25 of
the  registered  voters  of  the  district  to  increase  the
membership of the district's board of school directors  to  7
directors  and  to  elect  a  new  7-member  board  of school
directors to replace  the  district's  existing  board  of  3
school  directors,  the  clerk  or  secretary of the board of
school directors shall certify the proposition to the  proper
election  authorities  for  submission to the electors of the
district at a regular scheduled election in  accordance  with
the  general election law.  If the proposition is approved by
a majority of those voting on the proposition, the members of
the board of school directors  of  that  district  thereafter
shall  be elected in the manner provided by subsection (c) of
Section 10-4.
(Source: Laws 1961, p. 31.)

    (105 ILCS 5/10-4) (from Ch. 122, par. 10-4)
    Sec. 10-4.  Election of directors.
    (a)  In all districts, directors shall be elected in each
odd-numbered year, each for a term of 4 years.
    (b)  In consolidated  districts  where  5  directors  are
elected  in  1981 pursuant to the extension of terms provided
by law for transition to the consolidated  election  schedule
under  the  general  election  law,  those  directors elected
shall, by lot, determine 2 of their number to serve  2  years
and  3 to serve 4 years; their successors shall serve for a 4
year term.
    (c)  If a proposition to increase  the  membership  of  a
school  district's  board  of school directors to 7 directors
and to elect a new 7-member  board  of  school  directors  to
replace  the  district's existing board of 3 school directors
is approved by the electors of  the  district  at  a  regular
scheduled  election  as provided in subsection (b) of Section
10-1, 7 members shall be elected at the next  regular  school
election,  in  the  manner provided by Article 9, to serve as
the board of school directors of that district.  The terms of
office of the 3 members of  the  board  of  school  directors
serving  at  the time of the election of the initial 7-member
board of school directors  shall  expire  when  the  7  newly
elected  members  of  the  initial  7-member  board of school
directors assume office and  are  organized  as  provided  in
Section  10-5.   At their organizational meeting, the initial
members of the 7-member board of school  directors  shall  by
lot  determine  4 of their number to serve 4 year terms and 3
of their number to serve  2  year  terms.   Their  successors
shall serve for a 4 year term.
    (d)  In all other districts, one school director shall be
elected  in  each district every other odd-numbered year, and
two school directors shall  be  elected  in  the  intervening
odd-numbered years.
    (e)  When  a  vacancy  occurs in the membership of any on
the board of school directors the  remaining  members  shall,
within  30  days,  fill  the vacancy by appointment until the
next regular school election, or, upon their  failure  so  to
do,  the  regional superintendent shall make such appointment
within the next  30  days  to  fill  the  vacancy  as  herein
provided.     Upon  the  regional superintendent's failure to
fill the vacancy, the vacancy shall be  filled  at  the  next
regularly scheduled election.
(Source: P.A. 85-1046.)

    (105 ILCS 5/10-5) (from Ch. 122, par. 10-5)
    Sec.  10-5.  Organization  of board - Report to treasurer
and regional superintendent of schools. Within 7  days  after
the  regular  election of directors, the directors shall meet
and organize by appointing one of their number president  and
another  as  clerk.  The  clerk  shall  at once report to the
treasurer and regional superintendent of schools the names of
the president and clerk so appointed. Terms  of  members  are
subject  to  Section  2A-54  of  the Election Code, except as
otherwise limited by subsection (c) of Section 10-4.
(Source: P.A. 90-358, eff. 1-1-98.)

    (105 ILCS 5/10-6) (from Ch. 122, par. 10-6)
    Sec. 10-6. Regular and special  meetings.  The  directors
shall  hold  regular  meetings  at  such  times  as  they may
designate, and special meetings at the call of the  president
or  of any 2 members. Public notice of meetings must be given
as prescribed in Sections 2.02 and 2.03 of the Open  Meetings
Act "An Act in relation to meetings", approved July 11, 1957,
as  heretofore  or  hereafter  amended.  No official business
shall be transacted by the directors except at a regular or a
special meeting. In consolidated districts and  in  districts
electing   a   7-member   board  of  school  directors  under
subsection (c) of Section 10-4, 4 directors shall  constitute
a  quorum  for  the  transaction  of  business., In all other
districts 2 directors  shall  constitute  a  quorum  for  the
transaction  of business. If the president or clerk is absent
from  any  meeting  or  refuses  to  perform  his  duties,  a
president or clerk pro tempore shall be appointed.   At  each
regular  and  special  meeting  which  is open to the public,
members of the public and employees of the district shall  be
afforded  time, subject to reasonable constraints, to comment
to or ask questions of the  board.   When  the  president  or
district   superintendent   of  schools  receives  a  written
correspondence from a resident within the  school  district's
territory,  requesting  the  consideration of a matter before
the board, the author of the correspondence shall  receive  a
formal  written  statement  from an appointed official of the
board stating the board's position on their request, no later
than 60 days from the receipt of the  correspondence  by  the
president  or district superintendent of schools.  The formal
written response from the board  shall  establish  a  meeting
before the board or list the reasons for denying the request.
(Source: P.A. 83-787.)

    (105 ILCS 5/10-22.6) (from Ch. 122, par. 10-22.6)
    Sec.  10-22.6.  Suspension or expulsion of pupils; school
searches.
    (a)  To expel pupils  guilty  of  gross  disobedience  or
misconduct,  and  no  action  shall lie against them for such
expulsion. Expulsion shall take place only after the  parents
have  been  requested to appear at a meeting of the board, or
with a hearing officer appointed  by  it,  to  discuss  their
child's behavior. Such request shall be made by registered or
certified mail and shall state the time, place and purpose of
the meeting. The board, or a hearing officer appointed by it,
at such meeting shall state the reasons for dismissal and the
date  on  which  the  expulsion  is to become effective. If a
hearing officer is appointed by the board he shall report  to
the  board  a  written  summary  of the evidence heard at the
meeting and the board may take  such  action  thereon  as  it
finds appropriate.
    (b)  To   suspend  or  by  regulation  to  authorize  the
superintendent of the district or  the  principal,  assistant
principal,  or  dean  of  students  of  any school to suspend
pupils guilty of gross  disobedience  or  misconduct,  or  to
suspend  pupils guilty of gross disobedience or misconduct on
the school bus from riding the  school  bus,  and  no  action
shall  lie against them for such suspension. The board may by
regulation authorize the superintendent of  the  district  or
the  principal,  assistant  principal, or dean of students of
any school to suspend pupils guilty of such acts for a period
not to exceed 10 school days. If a pupil is suspended due  to
gross  disobedience  or misconduct on a school bus, the board
may suspend the pupil in excess of 10 school days for  safety
reasons.  Any suspension shall be reported immediately to the
parents or guardian of such pupil along with a full statement
of  the  reasons  for  such  suspension and a notice of their
right to a review, a copy of which  shall  be  given  to  the
school  board.  Upon  request  of the parents or guardian the
school board or a  hearing  officer  appointed  by  it  shall
review  such  action  of  the  superintendent  or  principal,
assistant principal, or dean of students.  At such review the
parents  or  guardian of the pupil may appear and discuss the
suspension with the  board  or  its  hearing  officer.  If  a
hearing  officer is appointed by the board he shall report to
the board a written summary of  the  evidence  heard  at  the
meeting.  After  its  hearing  or upon receipt of the written
report of its hearing officer, the board may take such action
as it finds appropriate.
    (c)  The Department of Human Services shall be invited to
send a representative to  consult  with  the  board  at  such
meeting whenever there is evidence that mental illness may be
the cause for expulsion or suspension.
    (d)  The  board may expel a student for a definite period
of time not to exceed 2 calendar years, as  determined  on  a
case  by  case  basis.    A student who is determined to have
brought a weapon to school, any school-sponsored activity  or
event,  or  any  activity  or  event which bears a reasonable
relationship to school shall be expelled for a period of  not
less  than  one year, except that the expulsion period may be
modified by  the  superintendent,  and  the  superintendent's
determination  may be modified by the board on a case by case
basis. For the purpose of this  Section,  the  term  "weapon"
means (1) possession, use, control, or transfer of any object
which  may  be  used  to cause bodily harm, including but not
limited to gun,  rifle,  shotgun,  a  weapon  as  defined  by
Section  921  of  Title  18,  United  States Code, firearm as
defined in Section 1.1 of the Firearm  Owners  Identification
Act,  or  use  of  a weapon as defined in Section 24-1 of the
Criminal Code, (2) any other object if used or  attempted  to
be  used  to cause bodily harm, including but not limited to,
knives, guns, firearms, rifles, shotguns, brass knuckles,  or
billy clubs, or (3) "look alikes" of any weapon as defined in
this  Section.  thereof. Such items as  baseball bats, pipes,
bottles, locks, sticks, pencils, and pens may  be  considered
weapons if used or attempted to be used to cause bodily harm.
Expulsion  or  suspension  shall  be  construed  in  a manner
consistent with the  Federal  Individuals  with  Disabilities
Education  Act.  A  student  who  is subject to suspension or
expulsion as provided in this Section may be eligible  for  a
transfer  to an alternative school program in accordance with
Article 13A of the  School  Code.   The  provisions  of  this
subsection  (d)  apply  in  all  school  districts, including
special  charter  districts  and  districts  organized  under
Article 34.
    (e)  To maintain  order  and  security  in  the  schools,
school  authorities  may  inspect and search places and areas
such as  lockers,  desks,  parking  lots,  and  other  school
property  and equipment owned or controlled by the school, as
well as personal effects left in those places  and  areas  by
students,  without  notice  to or the consent of the student,
and without a search warrant.  As a matter of public  policy,
the  General  Assembly finds that students have no reasonable
expectation of privacy in these places and areas or in  their
personal  effects  left  in  these  places and areas.  School
authorities may request the  assistance  of  law  enforcement
officials  for  the  purpose  of  conducting  inspections and
searches of lockers, desks, parking lots,  and  other  school
property  and equipment owned or controlled by the school for
illegal  drugs,  weapons,  or  other  illegal  or   dangerous
substances or materials, including searches conducted through
the  use of specially trained dogs.  If a search conducted in
accordance with  this  Section  produces  evidence  that  the
student  has  violated  or is violating either the law, local
ordinance, or the school's policies or rules,  such  evidence
may  be seized by school authorities, and disciplinary action
may be taken.  School authorities may  also  turn  over  such
evidence  to  law enforcement authorities.  The provisions of
this subsection (e) apply in all school districts,  including
special  charter  districts  and  districts  organized  under
Article 34.
    (f)  Suspension  or  expulsion  may include suspension or
expulsion  from  school  and  all  school  activities  and  a
prohibition from being present on school grounds.
(Source: P.A.  89-371,  eff.  1-1-96;  89-507,  eff.  7-1-97;
89-610,  eff.  8-6-96;  P.A. 90-14, eff. 7-1-97; 90-548, eff.
1-1-98.)

    (105 ILCS 5/17-2.2a) (from Ch. 122, par. 17-2.2a)
    Sec. 17-2.2a.  (a) Tax for  special  education  programs.
The  school board of any district having a population of less
than 500,000 inhabitants may, by proper resolution,  levy  an
annual  tax  upon  the  value as equalized or assessed by the
Department  of  Revenue,  for  special  education   purposes,
including  the  purposes  authorized  by Section 10-22.3lb as
follows:
         (1)  districts maintaining only grades  kindergarten
    through   8,   and  prior  to  July  1,  1970,  districts
    maintaining only grades 1 through 8, .02%;
         (2)  districts maintaining only grades 9 through 12,
    .02%;
         (3)  districts maintaining only grades  kindergarten
    through   12,  and  prior  to  July  1,  1970,  districts
    maintaining only grades 1 through 12, .04%.
    The revenue raised by such tax shall  be  used  only  for
special  education  purposes,  including the construction and
maintenance of special education facilities.
    Upon proper resolution of the school  board,  the  school
district  may  accumulate  such  funds  for special education
building purposes for a period of 8 years.
    Buildings  constructed  under  the  provisions  of   this
Section  shall comply with the building code authorized under
Section 2-3.12.
    If it is no longer  feasible  or  economical  to  utilize
classroom  facilities  constructed  with  revenues raised and
accumulated  by  the  tax  for  special  education   building
purposes,  the district, or cooperative district by unanimous
consent, may with the approval of the regional superintendent
of schools and the State Superintendent of Education use such
facilities for regular  school  purposes.   The  district  or
cooperative  of  districts  shall  make comparable facilities
available  for  special   education   purposes   at   another
attendance  center  which is in a more practical location due
to the proximity of the students served.
    (b)  If the school board of any district that has  levied
the  tax  authorized  by  this  Section  determines  that the
accumulated funds from such tax and  from  the  $1,000  State
reimbursement  per professional worker received under Section
14-13.02  are  no  longer  required  for  special   education
building   purposes,  the  board  may  by  proper  resolution
transfer such funds to any other fund  to  be  used  for  any
special  education  purposes  authorized by Article 14.  Such
transfer  shall  not  be  made  until  after   the   regional
superintendent  has  certified to the State Superintendent of
Education that adequate housing provisions have been made for
all  children  with  disabilities  residing  in  the   school
district.
    (c)  The tax rate limits specified in this Section may be
increased  to .40% .125% by districts maintaining only grades
kindergarten through 8 or only grades 9 through  12,  and  to
.80%   .25%  by  districts  maintaining  grades  kindergarten
through 12, upon the approval of a proposition to effect such
increase by  a  majority  of  the  electors  voting  on  such
proposition at a regular scheduled election.  The proposition
may  be initiated by resolution of the school board and shall
be  certified  by  the  secretary  to  the  proper   election
authorities  for  submission  in  accordance with the general
election law.  If at such election a majority  of  the  votes
cast on the proposition is in favor thereof, the school board
may thereafter until such authority is revoked in like manner
levy annually the tax so authorized.
(Source: P.A. 89-397, eff. 8-20-95.)

    (105 ILCS 5/19-1) (from Ch. 122, par. 19-1)
    Sec. 19-1.  Debt limitations of school districts.
    (a)  School   districts  shall  not  be  subject  to  the
provisions limiting their indebtedness prescribed in "An  Act
to  limit the indebtedness of counties having a population of
less than 500,000 and townships, school districts  and  other
municipal  corporations  having  a  population  of  less than
300,000", approved February 15, 1928, as amended.
    No school districts maintaining grades K through 8  or  9
through  12  shall  become  indebted in any manner or for any
purpose to an amount, including existing indebtedness, in the
aggregate exceeding 6.9% on the value of the taxable property
therein to be ascertained by the last  assessment  for  State
and  county  taxes or, until January 1, 1983, if greater, the
sum that is produced by  multiplying  the  school  district's
1978  equalized  assessed  valuation  by  the debt limitation
percentage in effect on January  1,  1979,  previous  to  the
incurring of such indebtedness.
    No school districts maintaining grades K through 12 shall
become  indebted  in  any  manner  or  for  any purpose to an
amount, including existing  indebtedness,  in  the  aggregate
exceeding  13.8% on the value of the taxable property therein
to be ascertained by the last assessment for State and county
taxes or, until January 1, 1983, if greater, the sum that  is
produced  by multiplying the school district's 1978 equalized
assessed valuation  by  the  debt  limitation  percentage  in
effect  on January 1, 1979, previous to the incurring of such
indebtedness.
    Notwithstanding the provisions of any other  law  to  the
contrary,  in  any  case  in  which  the  voters  of a school
district have approved a  proposition  for  the  issuance  of
bonds  of  such  school district at an election held prior to
January 1, 1979, and  all  of  the  bonds  approved  at  such
election have not been issued, the debt limitation applicable
to  such  school district during the calendar year 1979 shall
be computed by multiplying  the  value  of  taxable  property
therein,  including  personal property, as ascertained by the
last assessment for State and county taxes, previous  to  the
incurring  of such indebtedness, by the percentage limitation
applicable to such school district under  the  provisions  of
this subsection (a).
    (b)  Notwithstanding  the  debt  limitation prescribed in
subsection (a) of this Section, additional  indebtedness  may
be  incurred in an amount not to exceed the estimated cost of
acquiring or  improving  school  sites  or  constructing  and
equipping  additional building facilities under the following
conditions:
         (1)  Whenever the enrollment  of  students  for  the
    next  school  year is estimated by the board of education
    to increase over the actual  present  enrollment  by  not
    less  than  35%  or  by not less than 200 students or the
    actual present enrollment of students has increased  over
    the  previous  school year by not less than 35% or by not
    less  than  200  students  and  the  board  of  education
    determines  that  additional  school  sites  or  building
    facilities are required as a result of such  increase  in
    enrollment; and
         (2)  When  the  Regional  Superintendent  of Schools
    having jurisdiction over  the  school  district  and  the
    State   Superintendent   of   Education  concur  in  such
    enrollment projection or increase and  approve  the  need
    for  such  additional school sites or building facilities
    and the estimated cost thereof; and
         (3)  When the voters in the school district  approve
    a  proposition  for the issuance of bonds for the purpose
    of acquiring or improving such  needed  school  sites  or
    constructing   and   equipping   such  needed  additional
    building facilities at an election called  and  held  for
    that purpose. Notice of such an election shall state that
    the  amount of indebtedness proposed to be incurred would
    exceed the debt limitation otherwise  applicable  to  the
    school  district.   The ballot for such proposition shall
    state what percentage of the equalized assessed valuation
    will be outstanding in bonds if the proposed issuance  of
    bonds is approved by the voters; or
         (4)  Notwithstanding  the  provisions  of paragraphs
    (1) through (3) of this subsection  (b),  if  the  school
    board determines that additional facilities are needed to
    provide  a  quality educational program and not less than
    2/3 of those voting in an election called by  the  school
    board  on  the question approve the issuance of bonds for
    the construction of such facilities, the school  district
    may issue bonds for this purpose; or.
         (5)  Notwithstanding  the  provisions  of paragraphs
    (1) through (3) of this subsection (b), if (i) the school
    district has previously availed itself of the  provisions
    of  paragraph  (4) of this subsection (b) to enable it to
    issue bonds, (ii) the voters of the school district  have
    not  defeated  a  proposition  for  the issuance of bonds
    since the referendum described in paragraph (4)  of  this
    subsection   (b)   was   held,  (iii)  the  school  board
    determines  that  additional  facilities  are  needed  to
    provide  a  quality  educational  program,  and  (iv)   a
    majority  of  those  voting  in an election called by the
    school board on the  question  approve  the  issuance  of
    bonds for the construction of such facilities, the school
    district may issue bonds for this purpose.
    In  no  event shall the indebtedness incurred pursuant to
this subsection (b) and  the  existing  indebtedness  of  the
school  district  exceed  15%  of  the  value  of the taxable
property therein to be ascertained by the last assessment for
State and county taxes, previous to  the  incurring  of  such
indebtedness  or,  until January 1, 1983, if greater, the sum
that is produced by multiplying the  school  district's  1978
equalized   assessed   valuation   by   the  debt  limitation
percentage in effect on January 1, 1979.
    The indebtedness provided  for  by  this  subsection  (b)
shall  be  in  addition  to  and  in excess of any other debt
limitation.
    (c)  Notwithstanding the debt  limitation  prescribed  in
subsection (a) of this Section, in any case in which a public
question  for  the  issuance  of  bonds  of a proposed school
district maintaining grades kindergarten through 12  received
at  least 60% of the valid ballots cast on the question at an
election held on or prior to November 8, 1994, and  in  which
the bonds approved at such election have not been issued, the
school  district  pursuant  to  the  requirements  of Section
11A-10 may issue the total amount of bonds approved  at  such
election for the purpose stated in the question.
    (d)  Notwithstanding  the  debt  limitation prescribed in
subsection (a) of this Section, a school district that  meets
all  the criteria set forth in paragraphs (1) and (2) of this
subsection (d) may incur an  additional  indebtedness  in  an
amount  not  to  exceed $4,500,000, even though the amount of
the additional indebtedness  authorized  by  this  subsection
(d),  when  incurred  and  added  to  the aggregate amount of
indebtedness of the district existing  immediately  prior  to
the district incurring the additional indebtedness authorized
by  this subsection (d), causes the aggregate indebtedness of
the  district  to  exceed  the  debt   limitation   otherwise
applicable to that district under subsection (a):
         (1)  The  additional indebtedness authorized by this
    subsection (d) is incurred by the school district through
    the issuance  of  bonds  under  and  in  accordance  with
    Section  17-2.11a  for  the purpose of replacing a school
    building which, because of mine  subsidence  damage,  has
    been   closed  as  provided  in  paragraph  (2)  of  this
    subsection (d) or through the issuance of bonds under and
    in accordance  with  Section  19-3  for  the  purpose  of
    increasing  the  size  of,  or  providing  for additional
    functions in, such replacement school buildings, or  both
    such purposes.
         (2)  The  bonds  issued  by  the  school district as
    provided in  paragraph  (1)  above  are  issued  for  the
    purposes  of construction by the school district of a new
    school building pursuant to Section 17-2.11,  to  replace
    an   existing  school  building  that,  because  of  mine
    subsidence damage, is closed as of the end of the 1992-93
    school  year  pursuant  to   action   of   the   regional
    superintendent  of  schools  of  the  educational service
    region in which the district  is  located  under  Section
    3-14.22  or  are issued for the purpose of increasing the
    size of, or providing for additional  functions  in,  the
    new school building being constructed to replace a school
    building  closed as the result of mine subsidence damage,
    or both such purposes.
    (e)  Notwithstanding the debt  limitation  prescribed  in
subsection  (a) of this Section, a school district that meets
all the criteria set forth in paragraphs (1) through  (5)  of
this   subsection  (e)  may,  without  referendum,  incur  an
additional indebtedness in an amount not to exceed the lesser
of $5,000,000 or 1.5% of the value of  the  taxable  property
within  the district even though the amount of the additional
indebtedness authorized by this subsection (e), when incurred
and added to the aggregate  amount  of  indebtedness  of  the
district existing immediately prior to the district incurring
that    additional   indebtedness,   causes   the   aggregate
indebtedness of the  district  to  exceed  or  increases  the
amount  by  which  the aggregate indebtedness of the district
already exceeds the debt limitation otherwise  applicable  to
that district under subsection (a):
         (1)  The  State  Board  of  Education  certifies the
    school district under Section  19-1.5  as  a  financially
    distressed district.
         (2)  The  additional indebtedness authorized by this
    subsection (e) is incurred by the financially  distressed
    district  during the school year or school years in which
    the  certification  of  the  district  as  a  financially
    distressed  district  continues  in  effect  through  the
    issuance of bonds for the lawful school purposes  of  the
    district,  pursuant to resolution of the school board and
    without referendum, as provided in paragraph (5) of  this
    subsection.
         (3)  The  aggregate  amount  of  bonds issued by the
    financially distressed district during a fiscal  year  in
    which   it  is  authorized  to  issue  bonds  under  this
    subsection does  not  exceed  the  amount  by  which  the
    aggregate  expenditures  of  the district for operational
    purposes during the  immediately  preceding  fiscal  year
    exceeds  the  amount  appropriated  for  the  operational
    purposes  of  the  district  in  the annual school budget
    adopted by the school  board  of  the  district  for  the
    fiscal year in which the bonds are issued.
         (4)  Throughout    each   fiscal   year   in   which
    certification of the district as a financially distressed
    district continues in effect, the district  maintains  in
    effect  a  gross  salary  expense  and gross wage expense
    freeze policy under which the district  expenditures  for
    total  employee  salaries  and  wages  do not exceed such
    expenditures for the immediately preceding  fiscal  year.
    Nothing  in  this  paragraph, however, shall be deemed to
    impair  or  to  require  impairment  of  the  contractual
    obligations, including collective bargaining  agreements,
    of the district or to impair or require the impairment of
    the  vested  rights of any employee of the district under
    the terms of any contract or agreement in effect  on  the
    effective date of this amendatory Act of 1994.
         (5)  Bonds  issued  by  the  financially  distressed
    district  under  this subsection shall bear interest at a
    rate not to exceed the maximum rate authorized by law  at
    the  time  of  the  making  of the contract, shall mature
    within 40 years from their date of issue,  and  shall  be
    signed by the president of the school board and treasurer
    of  the  school  district.  In order to issue bonds under
    this  subsection,  the  school  board   shall   adopt   a
    resolution  fixing  the  amount of the bonds, the date of
    the bonds, the maturities of  the  bonds,  the  rates  of
    interest  of  the  bonds,  and their place of payment and
    denomination,  and  shall  provide  for  the   levy   and
    collection  of  a  direct annual tax upon all the taxable
    property in the district sufficient to pay the  principal
    and  interest  on the bonds to maturity.  Upon the filing
    in the office of the county clerk of the county in  which
    the  financially  distressed  district  is  located  of a
    certified copy of the resolution, it is the duty  of  the
    county  clerk  to  extend the tax therefor in addition to
    and in excess of all other taxes at any  time  authorized
    to  be levied by the district.  If bond proceeds from the
    sale of bonds include a premium or if the proceeds of the
    bonds are invested as authorized by law, the school board
    shall determine by resolution whether the interest earned
    on  the  investment  of  bond  proceeds  or  the  premium
    realized on the sale of the bonds is to be used  for  any
    of  the  lawful  school purposes for which the bonds were
    issued or for the payment of the  principal  indebtedness
    and interest on the bonds.  The proceeds of the bond sale
    shall  be  deposited  in the educational purposes fund of
    the  district  and  shall  be  used  to  pay  operational
    expenses of the district.  This subsection is  cumulative
    and  constitutes  complete  authority for the issuance of
    bonds as provided in this subsection, notwithstanding any
    other law to the contrary.
    (f)  Notwithstanding the provisions of subsection (a)  of
this  Section or of any other law, bonds in not to exceed the
aggregate  amount  of  $5,500,000  and  issued  by  a  school
district  meeting  the  following  criteria  shall   not   be
considered   indebtedness   for  purposes  of  any  statutory
limitation and  may  be  issued  in  an  amount  or  amounts,
including  existing indebtedness, in excess of any heretofore
or hereafter imposed statutory limitation as to indebtedness:
         (1)  At the time of the  sale  of  such  bonds,  the
    board  of education of the district shall have determined
    by resolution that the  enrollment  of  students  in  the
    district  is  projected  to  increase by not less than 7%
    during each of the next succeeding 2 school years.
         (2)  The board of education shall also determine  by
    resolution  that the improvements to be financed with the
    proceeds of the bonds are needed because of the projected
    enrollment increases.
         (3)  The board of education shall also determine  by
    resolution that the projected increases in enrollment are
    the result of improvements made or expected to be made to
    passenger rail facilities located in the school district.
    (g)  Notwithstanding  the provisions of subsection (a) of
this Section or any other law, bonds  in  not  to  exceed  an
aggregate  amount  of  25% of the equalized assessed value of
the taxable property of a school district  and  issued  by  a
school  district  meeting  the  criteria  in  paragraphs  (i)
through  (iv)  of  this  subsection  shall  not be considered
indebtedness for purposes of any statutory limitation and may
be issued pursuant to resolution of the school  board  in  an
amount or amounts, including existing indebtedness, in excess
of  any  statutory  limitation  of indebtedness heretofore or
hereafter imposed:
         (i)  The  bonds  are  issued  for  the  purpose   of
    constructing  a  new  high school building to replace two
    adjacent existing buildings which together house a single
    high school, each of which is more than 65 years old, and
    which together are located on more than 10 acres and less
    than 11 acres of property.
         (ii)  At the time  the  resolution  authorizing  the
    issuance   of   the   bonds   is  adopted,  the  cost  of
    constructing  a  new  school  building  to  replace   the
    existing  school building is less than 60% of the cost of
    repairing the existing school building.
         (iii)  The sale of the bonds occurs before  July  1,
    1997.
         (iv)  The  school  district  issuing  the bonds is a
    unit school district located in a  county  of  less  than
    70,000  and  more  than  50,000 inhabitants, which has an
    average daily  attendance  of  less  than  1,500  and  an
    equalized assessed valuation of less than $29,000,000.
    (h)  Notwithstanding any other provisions of this Section
or  the provisions of any other law, until January 1, 1998, a
community unit school district maintaining grades  K  through
12  may  issue  bonds  up  to  an  amount, including existing
indebtedness, not exceeding 27.6% of the  equalized  assessed
value  of the taxable property in the district, if all of the
following conditions are met:
         (i)  The school district has an  equalized  assessed
    valuation   for   calendar   year   1995   of  less  than
    $24,000,000;
         (ii)  The  bonds  are   issued   for   the   capital
    improvement,  renovation,  rehabilitation, or replacement
    of existing school buildings  of  the  district,  all  of
    which buildings were originally constructed not less than
    40 years ago;
         (iii)  The   voters   of   the  district  approve  a
    proposition for the issuance of the bonds at a referendum
    held after March 19, 1996; and
         (iv)  The bonds are issued pursuant to Sections 19-2
    through 19-7 of this Code.
    (i)  Notwithstanding any other provisions of this Section
or the provisions of any other law, until January 1, 1998,  a
community  unit  school district maintaining grades K through
12 may issue  bonds  up  to  an  amount,  including  existing
indebtedness,  not  exceeding  27%  of the equalized assessed
value of the taxable property in the district, if all of  the
following conditions are met:
         (i)  The  school  district has an equalized assessed
    valuation  for  calendar   year   1995   of   less   than
    $44,600,000;
         (ii)  The   bonds   are   issued   for  the  capital
    improvement, renovation, rehabilitation,  or  replacement
    of  existing  school  buildings  of  the district, all of
    which existing buildings were originally constructed  not
    less than 80 years ago;
         (iii)  The   voters   of   the  district  approve  a
    proposition for the issuance of the bonds at a referendum
    held after December 31, 1996; and
         (iv)  The bonds are issued pursuant to Sections 19-2
    through 19-7 of this Code.
    (j)  Notwithstanding any other provisions of this Section
or the provisions of any other law, until January 1, 1999,  a
community  unit  school district maintaining grades K through
12 may issue  bonds  up  to  an  amount,  including  existing
indebtedness,  not  exceeding  27%  of the equalized assessed
value of the taxable property in the district if all  of  the
following conditions are met:
         (i)  The  school  district has an equalized assessed
    valuation  for  calendar   year   1995   of   less   than
    $140,000,000 and a best 3 months average daily attendance
    for the 1995-96 school year of at least 2,800;
         (ii)  The  bonds  are  issued to purchase a site and
    build and  equip  a  new  high  school,  and  the  school
    district's    existing   high   school   was   originally
    constructed not less than 35 years prior to the  sale  of
    the bonds;
         (iii)  At  the  time  of  the sale of the bonds, the
    board of education determines by resolution  that  a  new
    high  school  is  needed  because of projected enrollment
    increases;
         (iv)  At least 60% of those voting  in  an  election
    held  after  December  31, 1996 approve a proposition for
    the issuance of the bonds; and
         (v)  The bonds are issued pursuant to Sections  19-2
    through 19-7 of this Code.
    (k)  Notwithstanding  the  debt  limitation prescribed in
subsection (a) of this Section, a school district that  meets
all  the  criteria set forth in paragraphs (1) through (4) of
this subsection (k) may issue bonds to  incur  an  additional
indebtedness  in  an  amount  not  to  exceed $4,000,000 even
though the amount of the additional  indebtedness  authorized
by  this  subsection  (k),  when  incurred  and  added to the
aggregate amount  of  indebtedness  of  the  school  district
existing  immediately  prior to the school district incurring
such   additional   indebtedness,   causes   the    aggregate
indebtedness  of  the  school district to exceed or increases
the  amount  by  which  the  aggregate  indebtedness  of  the
district  already  exceeds  the  debt  limitation   otherwise
applicable to that school district under subsection (a):
         (1)  the  school  district is located in 2 counties,
    and a referendum to authorize the additional indebtedness
    was approved by a majority of the voters  of  the  school
    district  voting  on  the  proposition  to authorize that
    indebtedness;
         (2)  the additional indebtedness is for the  purpose
    of   financing  a  multi-purpose  room  addition  to  the
    existing high school;
         (3)  the additional indebtedness, together with  the
    existing  indebtedness  of the school district, shall not
    exceed 17.4% of the value of the taxable property in  the
    school district, to be ascertained by the last assessment
    for State and county taxes; and
         (4)  the    bonds    evidencing    the    additional
    indebtedness  are  issued,  if at all, within 120 days of
    the effective date of this amendatory Act of 1998.
    (l)  Notwithstanding any other provisions of this Section
or the provisions of any other law, until January 1, 2000,  a
school district maintaining grades kindergarten through 8 may
issue bonds up to an amount, including existing indebtedness,
not  exceeding  15%  of  the  equalized assessed value of the
taxable property in the district  if  all  of  the  following
conditions are met:
         (i)  the   district   has   an   equalized  assessed
    valuation  for  calendar   year   1996   of   less   than
    $10,000,000;
         (ii)  the  bonds are issued for capital improvement,
    renovation, rehabilitation, or replacement of one or more
    school buildings of the district,  which  buildings  were
    originally constructed not less than 70 years ago;
         (iii)  the   voters   of   the  district  approve  a
    proposition for the issuance of the bonds at a referendum
    held on or after March 17, 1998; and
         (iv)  the bonds are issued pursuant to Sections 19-2
    through 19-7 of this Code.
    (m)  Notwithstanding any other provisions of this Section
or the provisions of any other law, until January 1, 1999, an
elementary school district maintaining grades K through 8 may
issue bonds up to an amount, excluding existing indebtedness,
not exceeding 18% of the  equalized  assessed  value  of  the
taxable  property  in  the  district, if all of the following
conditions are met:
         (i)  The school district has an  equalized  assessed
    valuation for calendar year 1995 or less than $7,700,000;
         (ii)  The  school  district  operates  2  elementary
    attendance  centers  that until 1976 were operated as the
    attendance centers of  2  separate  and  distinct  school
    districts;
         (iii)  The  bonds are issued for the construction of
    a new elementary school building to replace  an  existing
    multi-level  elementary  school  building  of  the school
    district that is not handicapped accessible at all levels
    and parts of which were constructed more  than  75  years
    ago;
         (iv)  The  voters  of  the school district approve a
    proposition for the issuance of the bonds at a referendum
    held after July 1, 1998; and
         (v)  The bonds are issued pursuant to Sections  19-2
    through 19-7 of this Code.
(Source: P.A.   89-47,  eff.  7-1-95;  89-661,  eff.  1-1-97;
89-698, eff. 1-14-97; 90-570, eff. 1-28-98.)

    (105 ILCS 5/27A-11)
    Sec. 27A-11.  Financing.
    (a)  For purposes of the School Code, pupils enrolled  in
a charter school shall be included in the pupil enrollment of
the  school  district  within  which the pupil resides.  Each
charter school (i) shall determine  the  school  district  in
which  each  pupil  who  is  enrolled  in  the charter school
resides, (ii) shall report the  aggregate  number  of  pupils
resident of a school district who are enrolled in the charter
school  to  the school district in which those pupils reside,
and (iii) shall maintain accurate records of daily attendance
that shall be deemed sufficient to file claims under  Section
18-8  notwithstanding  any other requirements of that Section
regarding hours of instruction and teacher certification.
    (b)  As part of a charter school  contract,  the  charter
school  and the local school board shall agree on funding and
any services to be provided by the  school  district  to  the
charter  school.  Agreed  funding that a charter school is to
receive from the local school board for a school  year  shall
be  paid  in equal quarterly installments with the payment of
the installment for the first quarter being  made  not  later
than  July  1,  unless  the  charter  establishes a different
payment schedule.
    All services  centrally  or  otherwise  provided  by  the
school district including, but not limited to, food services,
custodial  services, maintenance, curriculum, media services,
libraries, transportation, and warehousing shall  be  subject
to  negotiation between a charter school and the local school
board and paid for out of the revenues negotiated pursuant to
this subsection (b); provided that  the  local  school  board
shall not attempt, by negotiation or otherwise, to obligate a
charter school to provide pupil transportation for pupils for
whom  a  district  is  not required to provide transportation
under the criteria set forth in subsection (a)(13) of Section
27A-7.
    In no event shall the funding be less than  75%  or  more
than 125% of the school district's per capita student tuition
multiplied by the number of students residing in the district
who are enrolled in the charter school.
    It is the intent of the General Assembly that funding and
service agreements under this subsection (b) shall be neither
a  financial  incentive  nor  a financial disincentive to the
establishment of a charter school.
    Fees collected from students enrolled at a charter school
shall be retained by the charter school.
    (c)  Notwithstanding subsection (b) of this Section,  the
proportionate  share of State and federal resources generated
by students with disabilities or staff serving them shall  be
directed to charter schools enrolling those students by their
school  districts or administrative units.  The proportionate
share of  moneys  generated  under  other  federal  or  State
categorical aid programs shall be directed to charter schools
serving students eligible for that aid.
    (d)(1)  The   governing  body  of  a  charter  school  is
authorized to accept gifts, donations, or grants of any  kind
made  to  the  charter  school  and  to  expend or use gifts,
donations,  or  grants  in  accordance  with  the  conditions
prescribed by the donor; however, a gift, donation, or  grant
may not be accepted by the governing body if it is subject to
any  condition  contrary to applicable law or contrary to the
terms of the contract between  the  charter  school  and  the
local  school  board.  Charter schools shall be encouraged to
solicit and utilize community volunteer  speakers  and  other
instructional  resources  when  providing  instruction on the
Holocaust and other historical events.
    (2)  From amounts appropriated to  the  State  Board  for
purposes  of this subsection (d)(2), the State Board may make
loans to charter schools established under this Article to be
used by those  schools  to  defer  their  start-up  costs  of
acquiring   textbooks  and  laboratory  and  other  equipment
required for student instruction. Any such loan shall be made
to a charter school at the  inception  of  the  term  of  its
charter,  under  terms  established  by  the State Board, and
shall be repaid by the charter school over the  term  of  its
charter.   A  local  school  board is not responsible for the
repayment of the loan.
    (e)  No later than January 1, 1997, the State Board shall
issue a report to  the  General  Assembly  and  the  Governor
describing  the charter schools certified under this Article,
their geographic locations, their areas  of  focus,  and  the
numbers of school children served by them.
    (f)  The  State  Board shall provide technical assistance
to  persons  and  groups  preparing   or   revising   charter
applications.
    (g)  At  the  non-renewal  or  revocation of its charter,
each charter school  shall  refund  to  the  local  board  of
education all unspent funds.
    (h)  A  charter  school is authorized to incur temporary,
short term debt to pay operating expenses in anticipation  of
receipt of funds from the local school board.
(Source: P.A. 89-450, eff. 4-10-96; 90-548, eff. 1-1-98.)

    (105 ILCS 5/34A-411) (from Ch. 122, par. 34A-411)
    Sec.   34A-411.    Termination   and   reinstatement   of
Authority's power under this Article.
    (a)  The   powers  and  responsibilities  granted  to  or
imposed upon the  Authority  and  the  Board  under  Sections
34A-401   through  34A-410  of  this  Article  shall  not  be
exercised after the Authority has certified to  the  Governor
and  the  Mayor  that  the  Board  has completed 6 successive
Fiscal Years of balanced Budgets pursuant to  the  accounting
and   other   principles   prescribed   by   the   Authority.
Notwithstanding  the  foregoing  sentence,  Sections 34A-402,
34A-404, 34A-405, and 34A-408 shall continue  in  full  force
and  effect  after  such certification of the completion of 6
successive Fiscal Years of balanced Budgets.
    (b)  Upon   determination   by    the    Authority    and
certification  of the Authority to the Governor and the Mayor
that the Board has failed  to  adopt  a  balanced  Budget  by
August  15th  immediately  preceding the commencement of each
Fiscal Year or failed to achieve a balanced  Budget  for  two
successive  Fiscal  Years,  subsequent to a time in which the
powers and responsibilities of the Authority  and  the  Board
are  not exercised pursuant to paragraph (a) of this Section,
the Authority and Board shall resume the  exercise  of  their
respective  powers  and  responsibilities  pursuant  to  each
Section of this Article.
    (c)  Notwithstanding  the  provisions  of subsections (a)
and (b) of this Section or any other provision of law to  the
contrary,  the  powers  and  responsibilities  granted  to or
imposed upon the  Authority  and  the  Board  under  Sections
34A-401  through  34A-410  and  Section 34A-606 are suspended
until July 1, 2004 1999.
(Source: P.A. 88-511; 89-15, eff. 5-30-95.)

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

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