HB5120 102ND GENERAL ASSEMBLY

LRB102 25918 RJF 35289 b

102ND GENERAL ASSEMBLY
State of Illinois
2021 and 2022
HB5120

Introduced 1/27/2022, by Rep. Mark Batinick

SYNOPSIS AS INTRODUCED:

30 ILCS 115/12	from Ch. 85, par. 616
35 ILCS 200/20-37 new
55 ILCS 5/3-10014.5 new
55 ILCS 5/3-10014.6 new
105 ILCS 5/4-13 new
105 ILCS 5/10-19.05

Amends the State Revenue Sharing Act. Provides for an even distribution of the moneys in the Personal Property Tax Replacement Fund between currently specified entities and Countywide Personal Property Tax Distribution Funds. Amends the Property Tax Code. Provides for a distribution of the moneys collected by the county collector from holders of commercial and industrial property to Countywide Commercial and Industrial Property Tax Funds. Amends the Counties Code. Provides that each county treasurer shall create and maintain a separate Countywide Personal Property Tax Distribution Fund and Countywide Commercial and Industrial Property Tax Fund. Provides that each Fund shall serve as a distribution fund for the distribution of specified revenues on a countywide, per-pupil basis. Provides further duties of the county treasurer concerning each Fund and the allocation of moneys therein. Amends the School Code. Requires each school board to provide the county treasurer with the daily pupil attendance calculation on a monthly basis. Requires each county board to ensure compliance of the county treasurer with duties concerning the Countywide Personal Property Tax Distribution Fund and the Countywide Commercial and Industrial Property Tax Fund and the allocation of moneys therein.

A BILL FOR

AN ACT concerning finance.

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

Section 5. The State Revenue Sharing Act is amended by changing Section 12 as follows:

(30 ILCS 115/12) (from Ch. 85, par. 616)

Sec. 12. Personal Property Tax Replacement Fund. There is hereby created the Personal Property Tax Replacement Fund, a special fund in the State Treasury into which shall be paid all revenue realized:

(a) all amounts realized from the additional personal property tax replacement income tax imposed by subsections (c) and (d) of Section 201 of the Illinois Income Tax Act, except for those amounts deposited into the Income Tax Refund Fund pursuant to subsection (c) of Section 901 of the Illinois Income Tax Act; and

(b) all amounts realized from the additional personal property replacement invested capital taxes imposed by Section 2a.1 of the Messages Tax Act, Section 2a.1 of the Gas Revenue Tax Act, Section 2a.1 of the Public Utilities Revenue Act, and Section 3 of the Water Company Invested Capital Tax Act, and amounts payable to the Department of Revenue under the Telecommunications Infrastructure Maintenance Fee Act.

As soon as may be after the end of each month, the Department of Revenue shall certify to the Treasurer and the Comptroller the amount of all refunds paid out of the General Revenue Fund through the preceding month on account of overpayment of liability on taxes paid into the Personal Property Tax Replacement Fund. Upon receipt of such certification, the Treasurer and the Comptroller shall transfer the amount so certified from the Personal Property Tax Replacement Fund into the General Revenue Fund.

For every tax year ending prior to January 1, 2023, the The payments of revenue into the Personal Property Tax Replacement Fund shall be used exclusively for distribution to taxing districts, regional offices and officials, and local officials as provided in this Section and in the School Code, payment of the ordinary and contingent expenses of the Property Tax Appeal Board, payment of the expenses of the Department of Revenue incurred in administering the collection and distribution of monies paid into the Personal Property Tax Replacement Fund and transfers due to refunds to taxpayers for overpayment of liability for taxes paid into the Personal Property Tax Replacement Fund.

For every tax year ending on or after January 1, 2023 and prior to January 1, 2024, the payments of revenue into the Personal Property Tax Replacement Fund shall be split into 2 segments on a 95% to 5% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Personal Property Tax Distribution Funds within each county.

For every tax year ending on or after January 1, 2024 and prior to January 1, 2025, the payments of revenue into the Personal Property Tax Replacement Fund shall be split into 2 segments on a 90% to 10% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Personal Property Tax Distribution Funds within each county.

For every tax year ending on or after January 1, 2025 and prior to January 1, 2026, the payments of revenue into the Personal Property Tax Replacement Fund shall be split into 2 segments on an 85% to 15% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Personal Property Tax Distribution Funds within each county.

For every tax year ending on or after January 1, 2026 and prior to January 1, 2027, the payments of revenue into the Personal Property Tax Replacement Fund shall be split into 2 segments on an 80% to 20% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Personal Property Tax Distribution Funds within each county.

For every tax year ending on or after January 1, 2027 and prior to January 1, 2028, the payments of revenue into the Personal Property Tax Replacement Fund shall be split into 2 segments on a 75% to 25% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Personal Property Tax Distribution Funds within each county.

For every tax year ending on or after January 1, 2028 and prior to January 1, 2029, the payments of revenue into the Personal Property Tax Replacement Fund shall be split into 2 segments on a 70% to 30% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Personal Property Tax Distribution Funds within each county.

For every tax year ending on or after January 1, 2029 and prior to January 1, 2030, the payments of revenue into the Personal Property Tax Replacement Fund shall be split into 2 segments on a 65% to 35% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Personal Property Tax Distribution Funds within each county.

For every tax year ending on or after January 1, 2030 and prior to January 1, 2031, the payments of revenue into the Personal Property Tax Replacement Fund shall be split into 2 segments on a 60% to 40% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Personal Property Tax Distribution Funds within each county.

For every tax year ending on or after January 1, 2031 and prior to January 1, 2032, the payments of revenue into the Personal Property Tax Replacement Fund shall be split into 2 segments on a 55% to 45% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Personal Property Tax Distribution Funds within each county.

For every tax year ending on or after January 1, 2032, the payments of revenue into the Personal Property Tax Replacement Fund shall be split into 2 segments on a 50% to 50% basis. One of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the other segment shall be paid to the Countywide Personal Property Tax Distribution Funds within each county.

In addition, moneys in the Personal Property Tax Replacement Fund may be used to pay any of the following: (i) salary, stipends, and additional compensation as provided by law for chief election clerks, county clerks, and county recorders; (ii) costs associated with regional offices of education and educational service centers; (iii) reimbursements payable by the State Board of Elections under Section 4-25, 5-35, 6-71, 13-10, 13-10a, or 13-11 of the Election Code; (iv) expenses of the Illinois Educational Labor Relations Board; and (v) salary, personal services, and additional compensation as provided by law for court reporters under the Court Reporters Act.

As soon as may be after June 26, 1980 (the effective date of Public Act 81-1255), the Department of Revenue shall certify to the Treasurer the amount of net replacement revenue paid into the General Revenue Fund prior to that effective date from the additional tax imposed by Section 2a.1 of the Messages Tax Act; Section 2a.1 of the Gas Revenue Tax Act; Section 2a.1 of the Public Utilities Revenue Act; Section 3 of the Water Company Invested Capital Tax Act; amounts collected by the Department of Revenue under the Telecommunications Infrastructure Maintenance Fee Act; and the additional personal property tax replacement income tax imposed by the Illinois Income Tax Act, as amended by Public Act 81-1st Special Session-1. Net replacement revenue shall be defined as the total amount paid into and remaining in the General Revenue Fund as a result of those Acts minus the amount outstanding and obligated from the General Revenue Fund in state vouchers or warrants prior to June 26, 1980 (the effective date of Public Act 81-1255) as refunds to taxpayers for overpayment of liability under those Acts.

All interest earned by monies accumulated in the Personal Property Tax Replacement Fund shall be deposited in such Fund. All amounts allocated pursuant to this Section are appropriated on a continuing basis.

Prior to December 31, 1980, as soon as may be after the end of each quarter beginning with the quarter ending December 31, 1979, and on and after December 31, 1980, as soon as may be after January 1, March 1, April 1, May 1, July 1, August 1, October 1 and December 1 of each year, the Department of Revenue shall allocate to each taxing district as defined in Section 1-150 of the Property Tax Code, in accordance with the provisions of paragraph (2) of this Section the portion of the funds held in the Personal Property Tax Replacement Fund which is required to be distributed, as provided in paragraph (1), for each quarter. Provided, however, under no circumstances shall any taxing district during each of the first two years of distribution of the taxes imposed by Public Act 81-1st Special Session-1 be entitled to an annual allocation which is less than the funds such taxing district collected from the 1978 personal property tax. Provided further that under no circumstances shall any taxing district during the third year of distribution of the taxes imposed by Public Act 81-1st Special Session-1 receive less than 60% of the funds such taxing district collected from the 1978 personal property tax. In the event that the total of the allocations made as above provided for all taxing districts, during either of such 3 years, exceeds the amount available for distribution the allocation of each taxing district shall be proportionately reduced. Except as provided in Section 13 of this Act, the Department shall then certify, pursuant to appropriation, such allocations to the State Comptroller who shall pay over to the several taxing districts the respective amounts allocated to them.

Any township which receives an allocation based in whole or in part upon personal property taxes which it levied pursuant to Section 6-507 or 6-512 of the Illinois Highway Code and which was previously required to be paid over to a municipality shall immediately pay over to that municipality a proportionate share of the personal property replacement funds which such township receives.

Any municipality or township, other than a municipality with a population in excess of 500,000, which receives an allocation based in whole or in part on personal property taxes which it levied pursuant to Sections 3-1, 3-4 and 3-6 of the Illinois Local Library Act and which was previously required to be paid over to a public library shall immediately pay over to that library a proportionate share of the personal property tax replacement funds which such municipality or township receives; provided that if such a public library has converted to a library organized under the Illinois Public Library District Act, regardless of whether such conversion has occurred on, after or before January 1, 1988, such proportionate share shall be immediately paid over to the library district which maintains and operates the library. However, any library that has converted prior to January 1, 1988, and which hitherto has not received the personal property tax replacement funds, shall receive such funds commencing on January 1, 1988.

Any township which receives an allocation based in whole or in part on personal property taxes which it levied pursuant to Section 1c of the Public Graveyards Act and which taxes were previously required to be paid over to or used for such public cemetery or cemeteries shall immediately pay over to or use for such public cemetery or cemeteries a proportionate share of the personal property tax replacement funds which the township receives.

Any taxing district which receives an allocation based in whole or in part upon personal property taxes which it levied for another governmental body or school district in Cook County in 1976 or for another governmental body or school district in the remainder of the State in 1977 shall immediately pay over to that governmental body or school district the amount of personal property replacement funds which such governmental body or school district would receive directly under the provisions of paragraph (2) of this Section, had it levied its own taxes.

(1) The portion of the Personal Property Tax Replacement Fund required to be distributed as of the time allocation is required to be made shall be the amount available in such Fund as of the time allocation is required to be made.

The amount available for distribution shall be the total amount in the fund at such time minus the necessary administrative and other authorized expenses as limited by the appropriation and the amount determined by: (a) $2.8 million for fiscal year 1981; (b) for fiscal year 1982, .54% of the funds distributed from the fund during the preceding fiscal year; (c) for fiscal year 1983 through fiscal year 1988, .54% of the funds distributed from the fund during the preceding fiscal year less .02% of such fund for fiscal year 1983 and less .02% of such funds for each fiscal year thereafter; (d) for fiscal year 1989 through fiscal year 2011 no more than 105% of the actual administrative expenses of the prior fiscal year; (e) for fiscal year 2012 and beyond, a sufficient amount to pay (i) stipends, additional compensation, salary reimbursements, and other amounts directed to be paid out of this Fund for local officials as authorized or required by statute and (ii) the ordinary and contingent expenses of the Property Tax Appeal Board and the expenses of the Department of Revenue incurred in administering the collection and distribution of moneys paid into the Fund; (f) for fiscal years 2012 and 2013 only, a sufficient amount to pay stipends, additional compensation, salary reimbursements, and other amounts directed to be paid out of this Fund for regional offices and officials as authorized or required by statute; or (g) for fiscal years 2018 through 2022 only, a sufficient amount to pay amounts directed to be paid out of this Fund for public community college base operating grants and local health protection grants to certified local health departments as authorized or required by appropriation or statute. Such portion of the fund shall be determined after the transfer into the General Revenue Fund due to refunds, if any, paid from the General Revenue Fund during the preceding quarter. If at any time, for any reason, there is insufficient amount in the Personal Property Tax Replacement Fund for payments for regional offices and officials or local officials or payment of costs of administration or for transfers due to refunds at the end of any particular month, the amount of such insufficiency shall be carried over for the purposes of payments for regional offices and officials, local officials, transfers into the General Revenue Fund, and costs of administration to the following month or months. Net replacement revenue held, and defined above, shall be transferred by the Treasurer and Comptroller to the Personal Property Tax Replacement Fund within 10 days of such certification.

(2) Each quarterly allocation shall first be apportioned in the following manner: 51.65% for taxing districts in Cook County and 48.35% for taxing districts in the remainder of the State.

The Personal Property Replacement Ratio of each taxing district outside Cook County shall be the ratio which the Tax Base of that taxing district bears to the Downstate Tax Base. The Tax Base of each taxing district outside of Cook County is the personal property tax collections for that taxing district for the 1977 tax year. The Downstate Tax Base is the personal property tax collections for all taxing districts in the State outside of Cook County for the 1977 tax year. The Department of Revenue shall have authority to review for accuracy and completeness the personal property tax collections for each taxing district outside Cook County for the 1977 tax year.

The Personal Property Replacement Ratio of each Cook County taxing district shall be the ratio which the Tax Base of that taxing district bears to the Cook County Tax Base. The Tax Base of each Cook County taxing district is the personal property tax collections for that taxing district for the 1976 tax year. The Cook County Tax Base is the personal property tax collections for all taxing districts in Cook County for the 1976 tax year. The Department of Revenue shall have authority to review for accuracy and completeness the personal property tax collections for each taxing district within Cook County for the 1976 tax year.

For all purposes of this Section 12, amounts paid to a taxing district for such tax years as may be applicable by a foreign corporation under the provisions of Section 7-202 of the Public Utilities Act, as amended, shall be deemed to be personal property taxes collected by such taxing district for such tax years as may be applicable. The Director shall determine from the Illinois Commerce Commission, for any tax year as may be applicable, the amounts so paid by any such foreign corporation to any and all taxing districts. The Illinois Commerce Commission shall furnish such information to the Director. For all purposes of this Section 12, the Director shall deem such amounts to be collected personal property taxes of each such taxing district for the applicable tax year or years.

Taxing districts located both in Cook County and in one or more other counties shall receive both a Cook County allocation and a Downstate allocation determined in the same way as all other taxing districts.

If any taxing district in existence on July 1, 1979 ceases to exist, or discontinues its operations, its Tax Base shall thereafter be deemed to be zero. If the powers, duties and obligations of the discontinued taxing district are assumed by another taxing district, the Tax Base of the discontinued taxing district shall be added to the Tax Base of the taxing district assuming such powers, duties and obligations.

If two or more taxing districts in existence on July 1, 1979, or a successor or successors thereto shall consolidate into one taxing district, the Tax Base of such consolidated taxing district shall be the sum of the Tax Bases of each of the taxing districts which have consolidated.

If a single taxing district in existence on July 1, 1979, or a successor or successors thereto shall be divided into two or more separate taxing districts, the tax base of the taxing district so divided shall be allocated to each of the resulting taxing districts in proportion to the then current equalized assessed value of each resulting taxing district.

If a portion of the territory of a taxing district is disconnected and annexed to another taxing district of the same type, the Tax Base of the taxing district from which disconnection was made shall be reduced in proportion to the then current equalized assessed value of the disconnected territory as compared with the then current equalized assessed value within the entire territory of the taxing district prior to disconnection, and the amount of such reduction shall be added to the Tax Base of the taxing district to which annexation is made.

If a community college district is created after July 1, 1979, beginning on January 1, 1996 (the effective date of Public Act 89-327), its Tax Base shall be 3.5% of the sum of the personal property tax collected for the 1977 tax year within the territorial jurisdiction of the district.

The amounts allocated and paid to taxing districts pursuant to the provisions of Public Act 81-1st Special Session-1 shall be deemed to be substitute revenues for the revenues derived from taxes imposed on personal property pursuant to the provisions of the "Revenue Act of 1939" or "An Act for the assessment and taxation of private car line companies", approved July 22, 1943, as amended, or Section 414 of the Illinois Insurance Code, prior to the abolition of such taxes and shall be used for the same purposes as the revenues derived from ad valorem taxes on real estate.

Monies received by any taxing districts from the Personal Property Tax Replacement Fund shall be first applied toward payment of the proportionate amount of debt service which was previously levied and collected from extensions against personal property on bonds outstanding as of December 31, 1978 and next applied toward payment of the proportionate share of the pension or retirement obligations of the taxing district which were previously levied and collected from extensions against personal property. For each such outstanding bond issue, the County Clerk shall determine the percentage of the debt service which was collected from extensions against real estate in the taxing district for 1978 taxes payable in 1979, as related to the total amount of such levies and collections from extensions against both real and personal property. For 1979 and subsequent years' taxes, the County Clerk shall levy and extend taxes against the real estate of each taxing district which will yield the said percentage or percentages of the debt service on such outstanding bonds. The balance of the amount necessary to fully pay such debt service shall constitute a first and prior lien upon the monies received by each such taxing district through the Personal Property Tax Replacement Fund and shall be first applied or set aside for such purpose. In counties having fewer than 3,000,000 inhabitants, the amendments to this paragraph as made by Public Act 81-1255 shall be first applicable to 1980 taxes to be collected in 1981.

(Source: P.A. 101-10, eff. 6-5-19; 101-636, eff. 6-10-20; 102-16, eff. 6-17-21.)

Section 10. The Property Tax Code is amended by adding Section 20-37 as follows:

(35 ILCS 200/20-37 new)

Sec. 20-37. Commercial and industrial property tax revenue sharing. Notwithstanding any provision of law to the contrary, all tax revenue collected by the county collector from holders of commercial and industrial property shall be distributed to the Countywide Commercial and Industrial Property Tax Fund of each county for use by school districts as provided in this Section.

For every tax year ending on or after January 1, 2023 and prior to January 1, 2024, the payments of commercial and industrial property tax revenue shall be split into 2 segments on a 95% to 5% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Commercial and Industrial Property Tax Funds within each county.

For every tax year ending on or after January 1, 2024 and prior to January 1, 2025, the payments of commercial and industrial property tax revenue shall be split into 2 segments on a 90% to 10% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Commercial and Industrial Property Tax Funds within each county.

For every tax year ending on or after January 1, 2025 and prior to January 1, 2026, the payments of commercial and industrial property tax revenue shall be split into 2 segments on an 85% to 15% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Commercial and Industrial Property Tax Funds within each county.

For every tax year ending on or after January 1, 2026 and prior to January 1, 2027, the payments of commercial and industrial property tax revenue shall be split into 2 segments on an 80% to 20% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Commercial and Industrial Property Tax Funds within each county.

For every tax year ending on or after January 1, 2027 and prior to January 1, 2028, the payments of commercial and industrial property tax revenue shall be split into 2 segments on a 75% to 25% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Commercial and Industrial Property Tax Funds within each county.

For every tax year ending on or after January 1, 2028 and prior to January 1, 2029, the payments of commercial and industrial property tax revenue shall be split into 2 segments on a 70% to 30% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Commercial and Industrial Property Tax Funds within each county.

For every tax year ending on or after January 1, 2029 and prior to January 1, 2030, the payments of commercial and industrial property tax revenue shall be split into 2 segments on a 65% to 35% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Commercial and Industrial Property Tax Funds within each county.

For every tax year ending on or after January 1, 2030 and prior to January 1, 2031, the payments of commercial and industrial property tax revenue shall be split into 2 segments on a 60% to 40% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Commercial and Industrial Property Tax Funds within each county.

For every tax year ending on or after January 1, 2031 and prior to January 1, 2032, the payments of commercial and industrial property tax revenue shall be split into 2 segments on a 55% to 45% basis. The larger of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the smaller of the 2 segments shall be paid to the Countywide Commercial and Industrial Property Tax Funds within each county.

For every tax year ending on or after January 1, 2032, the payments of commercial and industrial property tax revenue shall be split into 2 segments on a 50% to 50% basis. One of the 2 segments shall be distributed under the law in place as of the effective date of this amendatory Act of the 102nd General Assembly, and the other segment shall be paid to the Countywide Commercial and Industrial Property Tax Funds within each county.

Section 15. The Counties Code is amended by adding Sections 3-10014.5 and 3-10014.6 as follows:

(55 ILCS 5/3-10014.5 new)

Sec. 3-10014.5. Countywide Personal Property Tax Distribution Fund; payment of money.

(a) Each county treasurer shall create and maintain a separate Countywide Personal Property Tax Distribution Fund. Moneys within this Fund shall be used exclusively for the purposes described in this Section.

(b) The Countywide Personal Property Tax Distribution Fund shall serve, in each county, as a distribution fund for the distribution of a segment of corporate personal property tax revenues on a countywide, per-pupil basis.

(c) The county treasurer shall determine, based upon the daily pupil attendance calculation, the headcount from within that county of every pupil in a school district that is contained, or partially contained, within the county. After making this calculation, the county treasurer shall divide all moneys within the Countywide Personal Property Tax Distribution Fund between the school districts on a per-pupil basis, and shall quarterly transfer the moneys so divided to each school district no later than February 1, May 1, August 1, and November 1 of each calendar year.

(d) For each transfer, the 3 most recent monthly daily pupil attendance calculations, as reported to each county treasurer under the provisions of Section 10-19.05 of the School Code, shall be used to complete the calculation and accomplish the transfer.

(e) For the purpose of this Section, "daily pupil attendance calculation" has the meaning provided in Section 10-19.05 of the School Code.

(55 ILCS 5/3-10014.6 new)

Sec. 3-10014.6. Countywide Commercial and Industrial Property Tax Fund; payment of money.

(a) Each county treasurer shall create and maintain a separate Countywide Commercial and Industrial Property Tax Fund. Moneys within this Fund shall be used exclusively for the purposes described in this Section.

(b) The Countywide Commercial and Industrial Property Tax Fund shall serve, in each county, as a distribution fund for the distribution of a segment of commercial and industrial property tax revenues on a countywide, per-pupil basis.

(c) The county treasurer shall determine, based upon the daily pupil attendance calculation, the headcount from within that county of every pupil in a school district that is contained, or partially contained, within the county. After making this calculation, the county treasurer shall divide all moneys within the Countywide Commercial and Industrial Property Tax Fund between the school districts on a per-pupil basis, and shall quarterly transfer the moneys so divided to each school district no later than February 1, May 1, August 1, and November 1 of each calendar year.

(d) For each transfer, the 3 most recent monthly daily pupil attendance calculations, as reported to each county treasurer under the provisions of Section 10-19.05 of the School Code, shall be used to complete the calculation and accomplish the transfer.

(e) For the purpose of this Section, "daily pupil attendance calculation" has the meaning provided in Section 10-19.05 of the School Code.

Section 20. The School Code is amended by changing Section 10-19.05 and by adding Section 4-13 as follows:

(105 ILCS 5/4-13 new)

Sec. 4-13. Personal property tax distribution compliance. The county board shall ensure compliance of the county treasurer with duties concerning the Countywide Personal Property Tax Distribution Fund and the Countywide Commercial and Industrial Property Tax Fund, and the allocation of moneys therein, as provided under Sections 3-10014.5 and 3-10014.6 of the Counties Code.

(105 ILCS 5/10-19.05)

Sec. 10-19.05. Daily pupil attendance calculation.

(a) Except as otherwise provided in this Section, for a pupil of legal school age and in kindergarten or any of grades 1 through 12, a day of attendance shall be counted only for sessions of not less than 5 clock hours of school work per day under direct supervision of (i) teachers or (ii) non-teaching personnel or volunteer personnel when engaging in non-teaching duties and supervising in those instances specified in subsection (a) of Section 10-22.34 and paragraph 10 of Section 34-18. Days of attendance by pupils through verified participation in an e-learning program adopted by a school board and verified by the regional office of education or intermediate service center for the school district under Section 10-20.56 of this Code shall be considered as full days of attendance under this Section.

(b) A pupil regularly enrolled in a public school for only a part of the school day may be counted on the basis of one-sixth of a school day for every class hour of instruction of 40 minutes or more attended pursuant to such enrollment, unless a pupil is enrolled in a block-schedule format of 80 minutes or more of instruction, in which case the pupil may be counted on the basis of the proportion of minutes of school work completed each day to the minimum number of minutes that school work is required to be held that day.

(c) A session of 4 or more clock hours may be counted as a day of attendance upon certification by the regional superintendent of schools and approval by the State Superintendent of Education to the extent that the district has been forced to use daily multiple sessions.

(d) A session of 3 or more clock hours may be counted as a day of attendance (1) when the remainder of the school day or at least 2 hours in the evening of that day is utilized for an in-service training program for teachers, up to a maximum of 10 days per school year, provided that a district conducts an in-service training program for teachers in accordance with Section 10-22.39 of this Code, or, in lieu of 4 such days, 2 full days may be used, in which event each such day may be counted as a day required for a legal school calendar pursuant to Section 10-19 of this Code; (2) when, of the 5 days allowed under item (1), a maximum of 4 days are used for parent-teacher conferences, or, in lieu of 4 such days, 2 full days are used, in which case each such day may be counted as a calendar day required under Section 10-19 of this Code, provided that the full-day, parent-teacher conference consists of (i) a minimum of 5 clock hours of parent-teacher conferences, (ii) both a minimum of 2 clock hours of parent-teacher conferences held in the evening following a full day of student attendance and a minimum of 3 clock hours of parent-teacher conferences held on the day immediately following evening parent-teacher conferences, or (iii) multiple parent-teacher conferences held in the evenings following full days of student attendance in which the time used for the parent-teacher conferences is equivalent to a minimum of 5 clock hours; and (3) when days in addition to those provided in items (1) and (2) are scheduled by a school pursuant to its school improvement plan adopted under Article 34 or its revised or amended school improvement plan adopted under Article 2, provided that (i) such sessions of 3 or more clock hours are scheduled to occur at regular intervals, (ii) the remainder of the school days in which such sessions occur are utilized for in-service training programs or other staff development activities for teachers, and (iii) a sufficient number of minutes of school work under the direct supervision of teachers are added to the school days between such regularly scheduled sessions to accumulate not less than the number of minutes by which such sessions of 3 or more clock hours fall short of 5 clock hours. Days scheduled for in-service training programs, staff development activities, or parent-teacher conferences may be scheduled separately for different grade levels and different attendance centers of the district.

(e) A session of not less than one clock hour of teaching hospitalized or homebound pupils on-site or by telephone to the classroom may be counted as a half day of attendance; however, these pupils must receive 4 or more clock hours of instruction to be counted for a full day of attendance.

(f) A session of at least 4 clock hours may be counted as a day of attendance for first grade pupils and pupils in full-day kindergartens, and a session of 2 or more hours may be counted as a half day of attendance by pupils in kindergartens that provide only half days of attendance.

(g) For children with disabilities who are below the age of 6 years and who cannot attend 2 or more clock hours because of their disability or immaturity, a session of not less than one clock hour may be counted as a half day of attendance; however, for such children whose educational needs require a session of 4 or more clock hours, a session of at least 4 clock hours may be counted as a full day of attendance.

(h) A recognized kindergarten that provides for only a half day of attendance by each pupil shall not have more than one half day of attendance counted in any one day. However, kindergartens may count 2 and a half days of attendance in any 5 consecutive school days. When a pupil attends such a kindergarten for 2 half days on any one school day, the pupil shall have the following day as a day absent from school, unless the school district obtains permission in writing from the State Superintendent of Education. Attendance at kindergartens that provide for a full day of attendance by each pupil shall be counted the same as attendance by first grade pupils. Only the first year of attendance in one kindergarten shall be counted, except in the case of children who entered the kindergarten in their fifth year whose educational development requires a second year of kindergarten as determined under rules of the State Board of Education.

(i) On the days when the State's final accountability assessment is administered under subsection (c) of Section 2-3.64a-5 of this Code, the day of attendance for a pupil whose school day must be shortened to accommodate required testing procedures may be less than 5 clock hours and shall be counted toward the 176 days of actual pupil attendance required under Section 10-19 of this Code, provided that a sufficient number of minutes of school work in excess of 5 clock hours are first completed on other school days to compensate for the loss of school work on the examination days.

(j) Pupils enrolled in a remote educational program established under Section 10-29 of this Code may be counted on the basis of a one-fifth day of attendance for every clock hour of instruction attended in the remote educational program, provided that, in any month, the school district may not claim for a student enrolled in a remote educational program more days of attendance than the maximum number of days of attendance the district can claim (i) for students enrolled in a building holding year-round classes if the student is classified as participating in the remote educational program on a year-round schedule or (ii) for students enrolled in a building not holding year-round classes if the student is not classified as participating in the remote educational program on a year-round schedule.

(j-5) The clock hour requirements of subsections (a) through (j) of this Section do not apply if the Governor has declared a disaster due to a public health emergency pursuant to Section 7 of the Illinois Emergency Management Agency Act. The State Superintendent of Education may establish minimum clock hour requirements under Sections 10-30 and 34-18.66 if the Governor has declared a disaster due to a public health emergency pursuant to Section 7 of the Illinois Emergency Management Agency Act.

(k) Pupil participation in any of the following activities shall be counted toward the calculation of clock hours of school work per day:

(1) Instruction in a college course in which a student is dually enrolled for both high school credit and college credit.

(2) Participation in a Supervised Career Development Experience, as defined in Section 10 of the Postsecondary and Workforce Readiness Act, in which student participation and learning outcomes are supervised by an educator licensed under Article 21B.

(3) Participation in a youth apprenticeship, as jointly defined in rules of the State Board of Education and Department of Commerce and Economic Opportunity, in which student participation and outcomes are supervised by an educator licensed under Article 21B.

(4) Participation in a blended learning program approved by the school district in which course content, student evaluation, and instructional methods are supervised by an educator licensed under Article 21B.

(l) Any daily pupil attendance calculation performed by a school board shall be shared with the appropriate county treasurer on the 15th day of each month. The school board shall also cooperate with the county treasurer to enable the county treasurer to fulfill the duties regarding the Countywide Personal Property Tax Distribution Fund and the Countywide Commercial and Industrial Property Tax Fund as provided under Sections 3-10014.5 and 3-10014.6 of the Counties Code. If a school district is divided between more than one county, the duty to cooperate shall be in force even if the school board is headquartered in one county and the county treasurer holds office in another county.

(Source: P.A. 101-12, eff. 7-1-19; 101-643, eff. 6-18-20.)