093_SB0390eng SB390 Engrossed LRB093 10030 NHT 10281 b 1 AN ACT concerning schools. 2 Be it enacted by the People of the State of Illinois, 3 represented in the General Assembly: 4 Section 5. The School Construction Law is amended by 5 changing Sections 5-5, 5-25, and 5-35 as follows: 6 (105 ILCS 230/5-5) 7 Sec. 5-5. Definitions. As used in this Article: 8 "Approved school construction bonds" mean bonds that were 9 approved by referendum after January 1, 1996 but prior to 10 January 1, 1998 as provided in Sections 19-2 through 19-7 of 11 the School Code to provide funds for the acquisition, 12 development, construction, reconstruction, rehabilitation, 13 improvement, architectural planning, and installation of 14 capital facilities consisting of buildings, structures, 15 durable-equipment, and land for educational purposes. 16 "Grant index" means a figure for each school district 17 equal to one minus the ratio of the district's equalized 18 assessed valuation per pupil in average daily attendance to 19 the equalized assessed valuation per pupil in average daily 20 attendance of the district located at the 90th percentile for 21 all districts of the same category. For the purpose of 22 calculating the grant index, school districts are grouped 23 into 2 categories, Category I and Category II. Category I 24 consists of elementary and unit school districts. The 25 equalized assessed valuation per pupil in average daily 26 attendance of each school district in Category I shall be 27 computed using its grades kindergarten through 8 average 28 daily attendance figure. A unit school district's Category I 29 grant index shall be used for projects or portions of 30 projects constructed for elementary school pupils. Category 31 II consists of high school and unit school districts. The SB390 Engrossed -2- LRB093 10030 NHT 10281 b 1 equalized assessed valuation per pupil in average daily 2 attendance of each school district in Category II shall be 3 computed using its grades 9 through 12 average daily 4 attendance figure. A unit school district's Category II 5 grant index shall be used for projects or portions of 6 projects constructed for high school pupils. The changes 7 made by this amendatory Act of the 92nd General Assembly 8 apply to all grants made on or after the effective date of 9 this amendatory Act, provided that for grants not yet made on 10 the effective date of this amendatory Act but made in fiscal 11 year 2001 and for grants made in fiscal year 2002, the grant 12 index for a school district shall be the greater of (i) the 13 grant index as calculated under this Law on or after the 14 effective date of this amendatory Act or (ii) the grant index 15 as calculated under this Law before the effective date of 16 this amendatory Act. The grant index shall be no less than 17 0.35 and no greater than 0.75 for each district; provided 18 that the grant index for districts whose equalized assessed 19 valuation per pupil in average daily attendance is at the 20 99th percentile and above for all districts of the same type 21 shall be 0.00. 22 "School construction project" means the acquisition, 23 development, construction, reconstruction, rehabilitation, 24 improvement, architectural planning, and installation of 25 capital facilities consisting of buildings, structures, 26 durable equipment, and land for educational purposes. 27 "School district" means any school district or special 28 charter district as defined in Section 1-3 of the School Code 29 or any administrative district, or governing board, of a 30 joint agreement organized under Section 10-22.31 of the 31 School Code. 32 "School maintenance project" means a project, other than 33 a school construction project, intended to provide for the 34 maintenance or upkeep of buildings or structures for SB390 Engrossed -3- LRB093 10030 NHT 10281 b 1 educational purposes, but does not include ongoing 2 operational costs. 3 (Source: P.A. 91-38, eff. 6-15-99; 92-168, eff. 7-26-01.) 4 (105 ILCS 230/5-25) 5 Sec. 5-25. Eligibility and project standards. 6 (a) The State Board of Education shall establish 7 eligibility standards for school construction project grants 8 and debt service grants. These standards shall include 9 minimum enrollment requirements for eligibility for school 10 construction project grants of 200 students for elementary 11 districts, 200 students for high school districts, and 400 12 students for unit districts. The State Board of Education 13 shall approve a district's eligibility for a school 14 construction project grant or a debt service grant pursuant 15 to the established standards. For purposes of determining a 16 joint agreement's eligibility for a school construction 17 project grant or a debt service grant, a joint agreement 18 shall be deemed eligible if one or more of its member 19 districts satisfies the grant index criteria set forth in 20 this Law. 21 (b) The Capital Development Board shall establish 22 project standards for all school construction project grants 23 provided pursuant to this Article. These standards shall 24 include space and capacity standards as well as the 25 determination of recognized project costs that shall be 26 eligible for State financial assistance and enrichment costs 27 that shall not be eligible for State financial assistance. 28 (c) The State Board of Education and the Capital 29 Development Board shall not establish standards that 30 disapprove or otherwise establish limitations that restrict 31 the eligibility of a school district with a population 32 exceeding 500,000 for a school construction project grant 33 based on the fact that any or all of the school construction SB390 Engrossed -4- LRB093 10030 NHT 10281 b 1 project grant will be used to pay debt service or to make 2 lease payments, as authorized by subsection (b) of Section 3 5-35 of this Law. 4 (Source: P.A. 90-548, eff. 1-1-98; 91-38, eff. 6-15-99.) 5 (105 ILCS 230/5-35) 6 Sec. 5-35. School construction project grant amounts; 7 permitted use; prohibited use. 8 (a) The product of the district's grant index and the 9 recognized project cost, as determined by the Capital 10 Development Board, for an approved school construction 11 project shall equal the amount of the grant the Capital 12 Development Board shall provide to the eligible district. 13 The grant index shall not be used in cases where the General 14 Assembly and the Governor approve appropriations designated 15 for specifically identified school district construction 16 projects, nor shall it be used to calculate the amount of the 17 grant the Capital Development Board provides to an eligible 18 joint agreement. In those instances where a joint agreement 19 is determined eligible for a school construction project 20 grant, the amount of the grant shall be determined on a 21 case-by-case basis, based on the needs of the joint agreement 22 in its entirety. 23 (b) In each fiscal year in which school construction 24 project grants are awarded, 20% of the total amount awarded 25 statewide shall be awarded to a school district with a 26 population exceeding 500,000, provided such district complies 27 with the provisions of this Article. 28 In addition to the uses otherwise authorized by this Law, 29 any school district with a population exceeding 500,000 is 30 authorized to use any or all of the school construction 31 project grants (i) to pay debt service, as defined in the 32 Local Government Debt Reform Act, on bonds, as defined in the 33 Local Government Debt Reform Act, issued to finance one or SB390 Engrossed -5- LRB093 10030 NHT 10281 b 1 more school construction projects and (ii) to the extent that 2 any such bond is a lease or other installment or financing 3 contract between the school district and a public building 4 commission that has issued bonds to finance one or more 5 qualifying school construction projects, to make lease 6 payments under the lease. 7 (c) No portion of a school construction project grant 8 awarded by the Capital Development Board shall be used by a 9 school district for any on-going operational costs. 10 (Source: P.A. 90-548, eff. 1-1-98; 91-38, eff. 6-15-99.) 11 Section 99. Effective date. This Act takes effect on 12 July 1, 2003.