Public Act 098-0131
 
HB0160 EnrolledLRB098 02682 NHT 32916 b

    AN ACT concerning education.
 
    Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
 
    Section 5. The School Code is amended by changing Section
17-2A as follows:
 
    (105 ILCS 5/17-2A)  (from Ch. 122, par. 17-2A)
    Sec. 17-2A. Interfund Transfers.
    (a) The school board of any district having a population of
less than 500,000 inhabitants may, by proper resolution
following a public hearing set by the school board or the
president of the school board (that is preceded (i) by at least
one published notice over the name of the clerk or secretary of
the board, occurring at least 7 days and not more than 30 days
prior to the hearing, in a newspaper of general circulation
within the school district and (ii) by posted notice over the
name of the clerk or secretary of the board, at least 48 hours
before the hearing, at the principal office of the school board
or at the building where the hearing is to be held if a
principal office does not exist, with both notices setting
forth the time, date, place, and subject matter of the
hearing), transfer money from (1) the Educational Fund to the
Operations and Maintenance Fund or the Transportation Fund, (2)
the Operations and Maintenance Fund to the Educational Fund or
the Transportation Fund, or (3) the Transportation Fund to the
Educational Fund or the Operations and Maintenance Fund of said
district, provided that, except during the period from July 1,
2003 through June 30, 2016 2013, such transfer is made solely
for the purpose of meeting one-time, non-recurring expenses.
Except during the period from July 1, 2003 through June 30,
2016 and except as otherwise provided in subsection (b) of this
Section 2013, any other permanent interfund transfers
authorized by any provision or judicial interpretation of this
Code for which the transferee fund is not precisely and
specifically set forth in the provision of this Code
authorizing such transfer shall be made to the fund of the
school district most in need of the funds being transferred, as
determined by resolution of the school board.
     (b) Notwithstanding subsection (a) of this Section or any
other provision of this Code to the contrary, the school board
of any school district (i) that is subject to the Property Tax
Extension Limitation Law, (ii) that has a population of less
than 500,000 inhabitants, (iii) that is levying at its maximum
tax rate, (iv) whose total equalized assessed valuation has
declined 20% in the prior 2 years, (v) in which 80% or more of
its students receive free or reduced-price lunch, and (vi) that
had an equalized assessed valuation of less than $207 million
but more than $203 million in the 2011 levy year may annually,
until July 1, 2016, transfer money from any fund of the
district, other than the Illinois Municipal Retirement Fund and
the Bonds and Interest Fund, to the educational fund, the
operations and maintenance fund, or the transportation fund of
the district by proper resolution following a public hearing
set by the school board or the president of the school board,
with notice as provided in subsection (a) of this Section, so
long as the district meets the qualifications set forth in this
subsection (b) on the effective date of this amendatory Act of
the 98th General Assembly even if the district does not meet
those qualifications at the time a given transfer is made.
(Source: P.A. 95-53, eff. 8-10-07; 96-1201, eff. 7-22-10.)
 
    Section 10. The Tort Liability of Schools Act is amended by
adding Section 9.5 as follows:
 
    (745 ILCS 25/9.5 new)
    Sec. 9.5. Tort immunity fund transfers. Notwithstanding
any provision of the School Code to the contrary, if a school
board determines that there are educational needs that will go
unmet because of a lack of funds in the district's educational,
operations and maintenance, and transportation funds, that
there exists a sufficient fund balance in the district's tort
immunity fund to meet those educational needs, and that a
transfer will not cause the district to realize increased tort
exposure, then the school board of any school district (i) that
is subject to the Property Tax Extension Limitation Law, (ii)
that has a population of less than 500,000 inhabitants, (iii)
that is levying at its maximum tax rate, (iv) whose total
equalized assessed valuation has declined 20% in the prior 2
years, (v) in which 80% or more of its students receive free or
reduced-price lunch, and (vi) that had an equalized assessed
valuation of less than $207 million but more than $203 million
in the 2011 levy year may annually, until July 1, 2016,
transfer money from the tort immunity fund of the district to
the educational fund, the operations and maintenance fund, or
the transportation fund of the district by proper resolution
following a public hearing set by the school board or the
president of the school board, with notice as provided in
subsection (a) of Section 17-2A of the School Code, so long as
the district meets the qualifications set forth in this Section
on the effective date of this amendatory Act of the 98th
General Assembly even if the district does not meet those
qualifications at the time a given transfer is made.