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| | HB5572 Engrossed | | LRB100 16329 NHT 31455 b |
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| 1 | | AN ACT concerning education.
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| 2 | | Be it enacted by the People of the State of Illinois,
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| 3 | | represented in the General Assembly:
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| 4 | | Section 1. Short title. This Act may be cited as the School |
| 5 | | District Debt Control and Taxpayer Protection Act.
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| 6 | | Section 5. Definitions. As used in this Act: |
| 7 | | "Debt" includes bonded debt costs of principal, interest, |
| 8 | | premium, and issuance costs. |
| 9 | | "Equalized assessed value" means the assessed value as |
| 10 | | equalized by the Illinois Department of Revenue.
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| 11 | | Section 10. Refinancing debt. Notwithstanding any other |
| 12 | | law to the contrary, a school district may not refinance debt |
| 13 | | past the repayment period of the debt when issued.
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| 14 | | Section 15. Debt serviced more than 20 years. |
| 15 | | Notwithstanding any law to the contrary, a school district may |
| 16 | | not issue debt to be serviced over a period greater than 20 |
| 17 | | years.
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| 18 | | Section 20. Debt limitation. Notwithstanding any other law |
| 19 | | to the contrary, no school district may become indebted in any |
| 20 | | manner or for any purpose in an amount, including the entire |
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| | HB5572 Engrossed | - 2 - | LRB100 16329 NHT 31455 b |
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| 1 | | debt service, in the aggregate exceeding 13.8% for a unit |
| 2 | | district or 6.9% for an elementary or high school district of |
| 3 | | the value of the taxable property therein to be ascertained by |
| 4 | | the last assessment for State and county taxes or, if greater, |
| 5 | | the sum that is produced by multiplying the school district's |
| 6 | | 2017 equalized assessed value by the debt limitation percentage |
| 7 | | in effect on the effective date of this Act, previous to the |
| 8 | | incurring of such indebtedness.
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| 9 | | Section 25. New debt prohibited. |
| 10 | | (a) Notwithstanding any other law to the contrary and on |
| 11 | | and after the effective date of this Act, a school district |
| 12 | | that exceeds the debt limitation of Section 20 of this Act may |
| 13 | | not incur any new debt until the school district's aggregate |
| 14 | | debt limitation is below the debt limitation of Section 20. |
| 15 | | (b) Notwithstanding subsection (a), a school district may |
| 16 | | issue new debt on or after the effective date of this Act if a |
| 17 | | referendum allowing new debt to be issued was passed before the |
| 18 | | effective date of this Act.
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| 19 | | Section 30. Additional debt. Nothing in this Act shall |
| 20 | | authorize any school district to issue additional debt above |
| 21 | | and beyond what is otherwise authorized by law.
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| 22 | | Section 99. Effective date. This Act takes effect upon |
| 23 | | becoming law.
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