093_SB0744ham001

 










                                     LRB093 03065 NHT 17280 a

 1                    AMENDMENT TO SENATE BILL 744

 2        AMENDMENT NO.     .  Amend Senate Bill 744  by  replacing
 3    everything after the enacting clause with the following:

 4                             "Article 1

 5        Section  1-1.   Short title. This Act may be cited as the
 6    FY2004 Budget Implementation (Education) Act.

 7        Section 1-5.  Purpose. It is the purpose of this  Act  to
 8    make  changes  relating  to  education  that are necessary to
 9    implement the State's FY2004 budget.

10                              Article 5

11        Section 5-5.  The School  Code  is  amended  by  changing
12    Sections  1D-1, 2-3.47, 2-3.61, 2-3.62, 18-8.05, and 27A-11.5
13    and adding Section 2-3.131 as follows:

14        (105 ILCS 5/1D-1)
15        Sec. 1D-1.  Block grant funding.
16        (a)  For  fiscal  year  1996   and   each   fiscal   year
17    thereafter,  the  State  Board  of Education shall award to a
18    school  district  having  a  population   exceeding   500,000
 
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 1    inhabitants   a   general   education   block  grant  and  an
 2    educational services block grant, determined as  provided  in
 3    this  Section,  in  lieu  of  distributing  to  the  district
 4    separate   State   funding  for  the  programs  described  in
 5    subsections (b) and (c).  The  provisions  of  this  Section,
 6    however,  do not apply to any federal funds that the district
 7    is entitled to receive.  In accordance with  Section  2-3.32,
 8    all  block  grants are subject to an audit.  Therefore, block
 9    grant receipts and block grant expenditures shall be recorded
10    to the appropriate fund code for the designated block grant.
11        (b)  The general education block grant shall include  the
12    following programs: REI Initiative, Summer Bridges, Preschool
13    At  Risk, K-6 Comprehensive Arts, School Improvement Support,
14    Urban  Education,  Scientific   Literacy,   Substance   Abuse
15    Prevention,  Second  Language  Planning,  Staff  Development,
16    Outcomes  and  Assessment,  K-6 Reading Improvement, Truants'
17    Optional Education, Hispanic Programs, Agriculture Education,
18    Gifted Education, Parental Education, Prevention  Initiative,
19    Report   Cards,   and   Criminal  Background  Investigations.
20    Notwithstanding any other provision of law, all amounts  paid
21    under   the   general   education   block  grant  from  State
22    appropriations to a  school  district  in  a  city  having  a
23    population    exceeding    500,000   inhabitants   shall   be
24    appropriated and expended by the board of that  district  for
25    any of the programs included in the block grant or any of the
26    board's lawful purposes.
27        (c)  The  educational  services block grant shall include
28    the following programs:  Bilingual,  Regular  and  Vocational
29    Transportation,  State  Lunch  and  Free  Breakfast  Program,
30    Special  Education (Personnel, Extraordinary, Transportation,
31    Orphanage,  Private  Tuition),  Summer  School,   Educational
32    Service   Centers,   and   Administrator's   Academy.    This
33    subsection   (c)   does  not  relieve  the  district  of  its
34    obligation to provide the services required under  a  program
 
                            -3-      LRB093 03065 NHT 17280 a
 1    that is included within the educational services block grant.
 2    It  is  the intention of the General Assembly in enacting the
 3    provisions of this subsection (c) to relieve the district  of
 4    the   administrative   burdens  that  impede  efficiency  and
 5    accompany  single-program  funding.   The  General   Assembly
 6    encourages  the  board  to pursue mandate waivers pursuant to
 7    Section 2-3.25g.
 8        (d)  For  fiscal  year  1996   and   each   fiscal   year
 9    thereafter,  the  amount of the district's block grants shall
10    be determined as follows: (i) with respect  to  each  program
11    that  is included within each block grant, the district shall
12    receive an amount equal to the same percentage of the current
13    fiscal year  appropriation  made  for  that  program  as  the
14    percentage of the appropriation received by the district from
15    the 1995 fiscal year appropriation made for that program, and
16    (ii)  the  total  amount  that  is due the district under the
17    block grant shall be the aggregate of the  amounts  that  the
18    district  is  entitled  to  receive  for the fiscal year with
19    respect to each program that is  included  within  the  block
20    grant  that  the  State  Board  of  Education shall award the
21    district under this Section for that  fiscal  year.   In  the
22    case  of  the  Summer  Bridges  program,  the  amount  of the
23    district's block grant shall be equal to 44% of the amount of
24    the current fiscal year appropriation made for that program.
25        (e)  The district is not required to file any application
26    or other claim in order to receive the block grants to  which
27    it  is  entitled  under  this  Section.  The  State  Board of
28    Education shall make payments to the district of amounts  due
29    under the district's block grants on a schedule determined by
30    the State Board of Education.
31        (f)  A  school  district  to  which  this Section applies
32    shall report to the State Board of Education on  its  use  of
33    the  block  grants in such form and detail as the State Board
34    of Education may specify.
 
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 1        (g)  This paragraph provides for the treatment  of  block
 2    grants  under  Article  1C  for  purposes  of calculating the
 3    amount of block grants for a  district  under  this  Section.
 4    Those  block  grants  under Article 1C are, for this purpose,
 5    treated as included in the amount of  appropriation  for  the
 6    various  programs  set  forth  in  paragraph  (b) above.  The
 7    appropriation in each current  fiscal  year  for  each  block
 8    grant under Article 1C shall be treated for these purposes as
 9    appropriations  for  the  individual program included in that
10    block grant.  The proportion of each block grant so allocated
11    to each such program included in it shall be  the  proportion
12    which   the   appropriation  for  that  program  was  of  all
13    appropriations for such purposes now in that block grant,  in
14    fiscal 1995.
15        Payments  to  the school district under this Section with
16    respect  to  each  program  for  which  payments  to   school
17    districts generally, as of the date of this amendatory Act of
18    the 92nd General Assembly, are on a reimbursement basis shall
19    continue to be made to the district on a reimbursement basis,
20    pursuant  to  the  provisions  of  this  Code governing those
21    programs.
22        (h)  Notwithstanding any  other  provision  of  law,  any
23    school  district  receiving  a block grant under this Section
24    may classify all or a portion of the funds that  it  receives
25    in  a  particular fiscal year from any block grant authorized
26    under this Code or from general State aid pursuant to Section
27    18-8.05 of this Code (other than supplemental  general  State
28    aid) as funds received in connection with any funding program
29    for  which  it is entitled to receive funds from the State in
30    that fiscal year (including, without limitation, any  funding
31    program  referred  to  in  subsection  (c)  of this Section),
32    regardless of the source  or  timing  of  the  receipt.   The
33    district  may  not  classify  more funds as funds received in
34    connection with the funding  program  than  the  district  is
 
                            -5-      LRB093 03065 NHT 17280 a
 1    entitled  to  receive  in  that fiscal year for that program.
 2    Any classification by a district must be made by a resolution
 3    of its board of education.  The resolution must identify  the
 4    amount  of  any  block  grant  or  general  State  aid  to be
 5    classified under this subsection (h)  and  must  specify  the
 6    funding  program  to  which  the  funds  are to be treated as
 7    received  in  connection  therewith.   This   resolution   is
 8    controlling  as  to  the  classification  of funds referenced
 9    therein.  A certified copy of the resolution must be sent  to
10    the  State  Superintendent of Education. The resolution shall
11    still take effect even though a copy of  the  resolution  has
12    not  been  sent to the State Superintendent of Education in a
13    timely manner.  No classification under this  subsection  (h)
14    by  a  district  shall  affect  the total amount or timing of
15    money the district is entitled to receive  under  this  Code.
16    No  classification  under  this  subsection (h) by a district
17    shall in any way relieve the  district  from  or  affect  any
18    requirements  that  otherwise would apply with respect to the
19    block grant  as  provided  in  this  Section,  including  any
20    accounting  of  funds  by  source,  reporting expenditures by
21    original  source  and  purpose,  reporting  requirements,  or
22    requirements of provision of services.
23    (Source: P.A. 91-711,  eff.  7-1-00;  92-568,  eff.  6-26-02;
24    92-651, eff. 7-11-02.)

25        (105 ILCS 5/2-3.47) (from Ch. 122, par. 2-3.47)
26        Sec.  2-3.47.  Comprehensive  Educational Plan. The State
27    Board of Education shall analyze the current and  anticipated
28    problems  and  deficiencies, present and future minimum needs
29    and requirements and  immediate  and  future  objectives  and
30    goals  of  elementary and secondary education in the State of
31    Illinois,  and  shall  design  and  prepare  a  Comprehensive
32    Educational Plan for the development, expansion, integration,
33    coordination, and improved and efficient utilization  of  the
 
                            -6-      LRB093 03065 NHT 17280 a
 1    personnel,  facilities,  revenues, curricula and standards of
 2    elementary and secondary education for the public schools  in
 3    the  areas of teaching (including preparation, certification,
 4    compensation, classification, performance rating and tenure),
 5    administration,  program  content  and  enrichment,   student
 6    academic achievement, class size, transportation, educational
 7    finance   and   budgetary   and   accounting  procedure,  and
 8    educational policy and resource planning.  In formulating the
 9    Comprehensive Educational Plan for elementary  and  secondary
10    education,  pre-school  through  grade 12, in this State, the
11    State  Board  of  Education  shall  give   consideration   to
12    disabled,  gifted, occupational, career and other specialized
13    areas of elementary  and  secondary  education,  and  further
14    shall  consider  the problems, requirements and objectives of
15    private elementary and secondary schools within the State  as
16    the   same   relate  to  the  present  and  future  problems,
17    deficiencies, needs, requirements, objectives  and  goals  of
18    the public school system of Illinois.  As an integral part of
19    the  Comprehensive  Educational  Plan,  the  State  Board  of
20    Education  shall  develop  an annual budget for education for
21    the entire State which details the required,  total  revenues
22    from all sources and the estimated total expenditures for all
23    purposes  under  the  Comprehensive  Educational  Plan.   The
24    budgets  shall  specify  the amount of revenue projected from
25    each source and the amount of expenditure estimated for  each
26    purpose  for  the  fiscal year, and shall specifically relate
27    and  identify   such   projected   revenues   and   estimated
28    expenditures  to  the  particular  problem, deficiency, need,
29    requirement, objective or goal set forth in the Comprehensive
30    Educational Plan to which such revenues for expenditures  are
31    attributable.  The State Board of Education shall prepare and
32    submit  to  the  General  Assembly and the Governor drafts of
33    proposed   legislation   to   implement   the   Comprehensive
34    Educational  Plan;  shall  engage  in  a  continuing   study,
 
                            -7-      LRB093 03065 NHT 17280 a
 1    analysis and evaluation of the Comprehensive Educational Plan
 2    so  designed  and  prepared;  and  shall from time to time as
 3    required with respect to such  annual  budgets,  and  as  the
 4    State  Board of Education shall determine with respect to any
 5    proposed amendments or  modifications  of  any  Comprehensive
 6    Educational  Plan enacted by the General Assembly, submit its
 7    drafts or recommendations for  proposed  legislation  to  the
 8    General Assembly and the Governor.
 9    (Source: P.A. 89-397, eff. 8-20-95; 90-372, eff. 7-1-98.)

10        (105 ILCS 5/2-3.61) (from Ch. 122, par. 2-3.61)
11        Sec.  2-3.61.   Summer school grants; gifted and remedial
12    education. From moneys appropriated for  such  purposes,  the
13    State  Board  of Education shall provide summer school grants
14    to qualifying school districts applying for such grants to be
15    used  by  such  districts,  in  strict  accordance  with  the
16    provisions  of  this  Section,  solely  for  the  purpose  of
17    enabling students who  are  "gifted  children"  or  "talented
18    children"  as  defined  in Section 14A-2 and students who, as
19    determined by the school district in accordance with criteria
20    established by the State Board of Education, are in  need  of
21    remedial   education   in   order  to  qualify  for  academic
22    advancement to attend summer school  without  having  to  pay
23    tuition,   fees   or   instructional   material  expenses.  A
24    qualifying district receiving a summer school grant  pursuant
25    to this Section shall use the grant moneys so received solely
26    for  the  purpose  of  employing  certificated  personnel  to
27    provide  instruction and to furnish necessary transportation,
28    text books and other instructional materials for students who
29    are gifted children, talented children or in need of remedial
30    education within the meaning of this Section and  who  attend
31    the  summer  school program of the district. All applications
32    for grants under this Section shall be made  on  forms  which
33    the  State  Board  of  Education  shall provide, and shall be
 
                            -8-      LRB093 03065 NHT 17280 a
 1    filed by the school districts  making  application  for  such
 2    grants  with  the  State  Board  of  Education  prior  to the
 3    beginning of a program.  The State Board of  Education  shall
 4    adopt  rules regarding the procedure by which application may
 5    be made for such grants, and  shall  establish  standards  by
 6    which  to  evaluate  the  summer  school programs proposed by
 7    applicant  school  districts  for  students  who  are  gifted
 8    children, talented children or in need of remedial  education
 9    within the meaning of this Section and for the payment of all
10    grants awarded pursuant to this Section.
11    (Source: P.A. 86-184.)

12        (105 ILCS 5/2-3.62) (from Ch. 122, par. 2-3.62)
13        Sec. 2-3.62.  Educational Service Centers.
14        (a)  A  regional  network  of educational service centers
15    shall be established by  the  State  Board  of  Education  to
16    coordinate and combine existing services in a manner which is
17    practical  and  efficient  and  to  provide  new  services to
18    schools as provided in this Section.   Services  to  be  made
19    available   by  such  centers  shall  include  the  planning,
20    implementation and evaluation of:
21             (1)  (blank); education for gifted children  through
22        area   service   centers,   experimental   projects   and
23        institutes as provided in Section 14A-6;
24             (2)  computer  technology  education  including  the
25        evaluation,   use  and  application  of  state-of-the-art
26        technology in computer software as  provided  in  Section
27        2-3.43;
28             (3)  mathematics,  science and reading resources for
29        teachers  including   continuing   education,   inservice
30        training and staff development.
31        The  centers  may provide training, technical assistance,
32    coordination and planning in  other  program  areas  such  as
33    school  improvement,  school accountability, career guidance,
 
                            -9-      LRB093 03065 NHT 17280 a
 1    early  childhood  education,   alcohol/drug   education   and
 2    prevention,   family   life   -   sex  education,  electronic
 3    transmission of data from  school  districts  to  the  State,
 4    alternative  education  and  regional  special education, and
 5    telecommunications systems that  provide  distance  learning.
 6    Such  telecommunications  systems may be obtained through the
 7    Department of Central Management Services pursuant to Section
 8    405-270 of the Department of Central Management Services  Law
 9    (20   ILCS   405/405-270).   The  programs  and  services  of
10    educational service centers may be offered to private  school
11    teachers  and  private  school  students  within each service
12    center  area  provided  public  schools  have  already   been
13    afforded adequate access to such programs and services.
14        The  State  Board of Education shall promulgate rules and
15    regulations necessary to implement this Section.   The  rules
16    shall  include  detailed  standards which delineate the scope
17    and specific content of  programs  to  be  provided  by  each
18    Educational Service Center, as well as the specific planning,
19    implementation and evaluation services to be provided by each
20    Center  relative  to  its  programs.    The  Board shall also
21    provide the standards by which it will evaluate the  programs
22    provided by each Center.
23        (b)  Centers serving Class 1 county school units shall be
24    governed  by  an 11-member board, 3 members of which shall be
25    public school teachers  nominated  by  the  local  bargaining
26    representatives  to  the  appropriate regional superintendent
27    for appointment and no more than 3 members of which shall  be
28    from  each  of  the  following  categories, including but not
29    limited to superintendents, regional superintendents,  school
30    board  members  and  a  representative  of  an institution of
31    higher  education.   The  members  of  the  board  shall   be
32    appointed   by  the  regional  superintendents  whose  school
33    districts are served by the educational service  center.  The
34    composition  of  the board will reflect the revisions of this
 
                            -10-     LRB093 03065 NHT 17280 a
 1    amendatory Act of 1989 as the  terms  of  office  of  current
 2    members expire.
 3        (c)  The  centers  shall be of sufficient size and number
 4    to assure delivery of services to all local school  districts
 5    in the State.
 6        (d)  From  monies appropriated for this program the State
 7    Board  of  Education  shall  provide  grants  to   qualifying
 8    Educational  Service  Centers  applying  for  such  grants in
 9    accordance with rules  and  regulations  promulgated  by  the
10    State Board of Education to implement this Section.
11        (e)  The  governing  authority of each of the 18 regional
12    educational service centers shall appoint a family life - sex
13    education advisory board consisting of 2 parents, 2 teachers,
14    2 school administrators, 2 school  board  members,  2  health
15    care  professionals,  one  library system representative, and
16    the director of the regional educational service  center  who
17    shall   serve   as  chairperson  of  the  advisory  board  so
18    appointed.  Members  of  the  family  life  -  sex  education
19    advisory  boards  shall  serve without compensation.  Each of
20    the advisory boards appointed  pursuant  to  this  subsection
21    shall  develop a plan for regional teacher-parent family life
22    - sex education training sessions and shall  file  a  written
23    report  of  such  plan  with  the  governing  board  of their
24    regional educational service center.  The directors  of  each
25    of  the  regional educational service centers shall thereupon
26    meet, review each of the reports submitted  by  the  advisory
27    boards and combine those reports into a single written report
28    which  they  shall  file  with the Citizens Council on School
29    Problems prior to the end of the regular school term  of  the
30    1987-1988 school year.
31        (f)  The  14  educational service centers serving Class I
32    county school units shall be disbanded on the first Monday of
33    August,  1995,  and  their  statutory  responsibilities   and
34    programs   shall  be  assumed  by  the  regional  offices  of
 
                            -11-     LRB093 03065 NHT 17280 a
 1    education, subject to rules and regulations developed by  the
 2    State  Board  of  Education.  The regional superintendents of
 3    schools elected  by  the  voters  residing  in  all  Class  I
 4    counties  shall  serve  as the chief administrators for these
 5    programs and  services.   By  rule  of  the  State  Board  of
 6    Education,  the  10  educational  service  regions  of lowest
 7    population shall  provide  such  services  under  cooperative
 8    agreements with larger regions.
 9    (Source: P.A. 91-239, eff. 1-1-00.)

10        (105 ILCS 5/2-3.131 new)
11        Sec.  2-3.131.  FY2004  transitional assistance payments.
12    If the amount that the State Board of Education will pay to a
13    school district from  fiscal  year  2004  appropriations,  as
14    estimated  by  the State Board of Education on April 1, 2004,
15    is less than the amount that the  State  Board  of  Education
16    paid   to   the   school   district  from  fiscal  year  2003
17    appropriations, then, subject  to  appropriation,  the  State
18    Board of Education shall make a fiscal year 2004 transitional
19    assistance  payment to the school district in an amount equal
20    to the difference between the estimated  amount  to  be  paid
21    from fiscal year 2004 appropriations and the amount paid from
22    fiscal year 2003 appropriations.

23        (105 ILCS 5/18-8.05)
24        Sec.  18-8.05.  Basis  for apportionment of general State
25    financial aid and  supplemental  general  State  aid  to  the
26    common schools for the 1998-1999 and subsequent school years.

27    (A)  General Provisions.
28        (1)  The   provisions   of  this  Section  apply  to  the
29    1998-1999 and subsequent school years.  The system of general
30    State financial aid provided for in this Section is  designed
31    to  assure that, through a combination of State financial aid
32    and required local resources, the financial support  provided
 
                            -12-     LRB093 03065 NHT 17280 a
 1    each  pupil  in  Average Daily Attendance equals or exceeds a
 2    prescribed per pupil Foundation Level.  This formula approach
 3    imputes a level of per pupil Available  Local  Resources  and
 4    provides  for  the  basis  to  calculate a per pupil level of
 5    general State financial aid that,  when  added  to  Available
 6    Local Resources, equals or exceeds the Foundation Level.  The
 7    amount  of  per  pupil general State financial aid for school
 8    districts,  in  general,  varies  in  inverse   relation   to
 9    Available  Local Resources.  Per pupil amounts are based upon
10    each school district's Average Daily Attendance as that  term
11    is defined in this Section.
12        (2)  In  addition  to general State financial aid, school
13    districts with specified levels or concentrations  of  pupils
14    from   low   income   households   are  eligible  to  receive
15    supplemental general State financial aid grants  as  provided
16    pursuant to subsection (H). The supplemental State aid grants
17    provided  for  school districts under subsection (H) shall be
18    appropriated for distribution to school districts as part  of
19    the  same  line item in which the general State financial aid
20    of school districts is appropriated under this Section.
21        (3)  To receive financial assistance under this  Section,
22    school  districts  are required to file claims with the State
23    Board of Education, subject to the following requirements:
24             (a)  Any school district which fails for  any  given
25        school  year to maintain school as required by law, or to
26        maintain a recognized school is not eligible to file  for
27        such  school  year any claim upon the Common School Fund.
28        In case of  nonrecognition  of  one  or  more  attendance
29        centers   in   a   school  district  otherwise  operating
30        recognized schools, the claim of the  district  shall  be
31        reduced   in  the  proportion  which  the  Average  Daily
32        Attendance in the attendance center or  centers  bear  to
33        the  Average  Daily Attendance in the school district.  A
34        "recognized school" means any public school  which  meets
 
                            -13-     LRB093 03065 NHT 17280 a
 1        the standards as established for recognition by the State
 2        Board  of  Education.   A  school  district or attendance
 3        center not having recognition status  at  the  end  of  a
 4        school term is entitled to receive State aid payments due
 5        upon   a  legal  claim  which  was  filed  while  it  was
 6        recognized.
 7             (b)  School district claims filed under this Section
 8        are subject to Sections 18-9, 18-10, and 18-12, except as
 9        otherwise provided in this Section.
10             (c)  If a  school  district  operates  a  full  year
11        school  under  Section  10-19.1, the general State aid to
12        the school district shall  be  determined  by  the  State
13        Board  of  Education  in  accordance with this Section as
14        near as may be applicable.
15             (d)  (Blank).
16        (4)  Except as provided in subsections (H) and  (L),  the
17    board  of  any  district receiving any of the grants provided
18    for in this Section may apply those  funds  to  any  fund  so
19    received   for   which  that  board  is  authorized  to  make
20    expenditures by law.
21        School districts are not  required  to  exert  a  minimum
22    Operating  Tax  Rate in order to qualify for assistance under
23    this Section.
24        (5)  As used in this Section the  following  terms,  when
25    capitalized, shall have the meaning ascribed herein:
26             (a)  "Average  Daily  Attendance":  A count of pupil
27        attendance  in  school,  averaged  as  provided  for   in
28        subsection   (C)  and  utilized  in  deriving  per  pupil
29        financial support levels.
30             (b)  "Available Local Resources":  A computation  of
31        local  financial  support,  calculated  on  the  basis of
32        Average Daily Attendance and derived as provided pursuant
33        to subsection (D).
34             (c)  "Corporate   Personal   Property    Replacement
 
                            -14-     LRB093 03065 NHT 17280 a
 1        Taxes":  Funds paid to local school districts pursuant to
 2        "An  Act  in  relation  to  the  abolition  of ad valorem
 3        personal property tax and  the  replacement  of  revenues
 4        lost thereby, and amending and repealing certain Acts and
 5        parts  of Acts in connection therewith", certified August
 6        14, 1979, as amended (Public Act 81-1st S.S.-1).
 7             (d)  "Foundation Level":  A prescribed level of  per
 8        pupil  financial  support  as  provided for in subsection
 9        (B).
10             (e)  "Operating  Tax  Rate":   All  school  district
11        property taxes extended for all purposes, except Bond and
12        Interest, Summer School, Rent, Capital  Improvement,  and
13        Vocational Education Building purposes.

14    (B)  Foundation Level.
15        (1)  The  Foundation Level is a figure established by the
16    State representing the minimum level of per  pupil  financial
17    support  that  should  be  available to provide for the basic
18    education of each pupil in Average Daily Attendance.  As  set
19    forth  in  this  Section,  each school district is assumed to
20    exert  a  sufficient  local  taxing  effort  such  that,   in
21    combination with the aggregate of general State financial aid
22    provided  the  district,  an  aggregate  of  State  and local
23    resources are available to meet the basic education needs  of
24    pupils in the district.
25        (2)  For  the 1998-1999 school year, the Foundation Level
26    of support is $4,225.  For the  1999-2000  school  year,  the
27    Foundation  Level  of  support  is $4,325.  For the 2000-2001
28    school year, the Foundation Level of support is $4,425.
29        (3)  For the 2001-2002 school year and  2002-2003  school
30    year  each  school  year  thereafter, the Foundation Level of
31    support  is  $4,560  or  such  greater  amount  as   may   be
32    established by law by the General Assembly.
33        (4)  For  the  2003-2004 school year and each school year
34    thereafter, the Foundation Level of support is $4,810 or such
 
                            -15-     LRB093 03065 NHT 17280 a
 1    greater amount as may be established by law  by  the  General
 2    Assembly.

 3    (C)  Average Daily Attendance.
 4        (1)  For   purposes  of  calculating  general  State  aid
 5    pursuant to  subsection  (E),  an  Average  Daily  Attendance
 6    figure  shall  be  utilized.   The  Average  Daily Attendance
 7    figure for formula calculation purposes shall be the  monthly
 8    average  of the actual number of pupils in attendance of each
 9    school district, as further averaged for the best 3 months of
10    pupil attendance for each school district.  In compiling  the
11    figures  for  the  number  of  pupils  in  attendance, school
12    districts  and  the  State  Board  of  Education  shall,  for
13    purposes of general State  aid  funding,  conform  attendance
14    figures to the requirements of subsection (F).
15        (2)  The  Average  Daily  Attendance  figures utilized in
16    subsection (E) shall be the requisite attendance data for the
17    school year immediately preceding the school year  for  which
18    general  State  aid is being calculated or the average of the
19    attendance data for the 3 preceding school  years,  whichever
20    is greater.  The Average Daily Attendance figures utilized in
21    subsection (H) shall be the requisite attendance data for the
22    school  year  immediately preceding the school year for which
23    general State aid is being calculated.

24    (D)  Available Local Resources.
25        (1)  For  purposes  of  calculating  general  State   aid
26    pursuant  to  subsection  (E),  a representation of Available
27    Local Resources per  pupil,  as  that  term  is  defined  and
28    determined  in this subsection, shall be utilized.  Available
29    Local Resources per pupil shall include a  calculated  dollar
30    amount representing local school district revenues from local
31    property   taxes   and   from   Corporate  Personal  Property
32    Replacement Taxes,  expressed  on  the  basis  of  pupils  in
33    Average Daily Attendance.
 
                            -16-     LRB093 03065 NHT 17280 a
 1        (2)  In  determining  a  school  district's  revenue from
 2    local property taxes, the  State  Board  of  Education  shall
 3    utilize  the  equalized  assessed  valuation  of  all taxable
 4    property of each school district as of September  30  of  the
 5    previous  year.   The  equalized  assessed valuation utilized
 6    shall be obtained and determined as  provided  in  subsection
 7    (G).
 8        (3)  For school districts maintaining grades kindergarten
 9    through  12,  local  property tax revenues per pupil shall be
10    calculated  as  the  product  of  the  applicable   equalized
11    assessed  valuation for the district multiplied by 3.00%, and
12    divided by the district's Average  Daily  Attendance  figure.
13    For  school districts maintaining grades kindergarten through
14    8, local property tax revenues per pupil shall be  calculated
15    as the product of the applicable equalized assessed valuation
16    for  the  district  multiplied  by  2.30%, and divided by the
17    district's  Average  Daily  Attendance  figure.   For  school
18    districts maintaining grades 9 through 12, local property tax
19    revenues per pupil shall be the applicable equalized assessed
20    valuation of the district multiplied by 1.05%, and divided by
21    the district's Average Daily Attendance figure.
22        (4)  The Corporate Personal  Property  Replacement  Taxes
23    paid to each school district during the calendar year 2 years
24    before  the  calendar  year  in  which  a school year begins,
25    divided by the  Average  Daily  Attendance  figure  for  that
26    district,  shall  be added to the local property tax revenues
27    per pupil as derived by the application  of  the  immediately
28    preceding  paragraph (3).  The sum of these per pupil figures
29    for each school district  shall  constitute  Available  Local
30    Resources  as  that term is utilized in subsection (E) in the
31    calculation of general State aid.

32    (E)  Computation of General State Aid.
33        (1)  For each school year, the amount  of  general  State
34    aid  allotted  to  a school district shall be computed by the
 
                            -17-     LRB093 03065 NHT 17280 a
 1    State Board of Education as provided in this subsection.
 2        (2)  For any school district for  which  Available  Local
 3    Resources  per  pupil  is less than the product of 0.93 times
 4    the Foundation Level, general State  aid  for  that  district
 5    shall  be  calculated  as  an  amount equal to the Foundation
 6    Level minus Available  Local  Resources,  multiplied  by  the
 7    Average Daily Attendance of the school district.
 8        (3)  For  any  school  district for which Available Local
 9    Resources per pupil is equal to or greater than  the  product
10    of  0.93 times the Foundation Level and less than the product
11    of 1.75 times the Foundation Level, the general State aid per
12    pupil shall be a decimal proportion of the  Foundation  Level
13    derived   using   a  linear  algorithm.   Under  this  linear
14    algorithm, the calculated general State aid per  pupil  shall
15    decline   in  direct  linear  fashion  from  0.07  times  the
16    Foundation Level for a school district with  Available  Local
17    Resources  equal  to the product of 0.93 times the Foundation
18    Level, to 0.05  times  the  Foundation  Level  for  a  school
19    district  with Available Local Resources equal to the product
20    of 1.75  times  the  Foundation  Level.   The  allocation  of
21    general  State  aid  for  school  districts  subject  to this
22    paragraph 3 shall be the calculated  general  State  aid  per
23    pupil  figure  multiplied  by the Average Daily Attendance of
24    the school district.
25        (4)  For any school district for  which  Available  Local
26    Resources  per  pupil  equals  or exceeds the product of 1.75
27    times the Foundation Level, the general  State  aid  for  the
28    school  district  shall  be calculated as the product of $218
29    multiplied by the Average  Daily  Attendance  of  the  school
30    district.
31        (5)  The  amount  of  general  State  aid  allocated to a
32    school district for the 1999-2000  school  year  meeting  the
33    requirements  set  forth  in  paragraph (4) of subsection (G)
34    shall be increased by an amount equal to  the  general  State
 
                            -18-     LRB093 03065 NHT 17280 a
 1    aid  that  would  have  been received by the district for the
 2    1998-1999 school year by utilizing the  Extension  Limitation
 3    Equalized  Assessed  Valuation as calculated in paragraph (4)
 4    of subsection (G) less the general State aid allotted for the
 5    1998-1999 school year.  This amount shall  be  deemed  a  one
 6    time  increase, and shall not affect any future general State
 7    aid allocations.

 8    (F)  Compilation of Average Daily Attendance.
 9        (1)  Each school district shall, by July 1 of each  year,
10    submit  to  the State Board of Education, on forms prescribed
11    by the State Board of Education, attendance figures  for  the
12    school  year  that began in the preceding calendar year.  The
13    attendance information  so  transmitted  shall  identify  the
14    average daily attendance figures for each month of the school
15    year.   Beginning  with  the general State aid claim form for
16    the 2002-2003 school year, districts shall calculate  Average
17    Daily  Attendance  as  provided in subdivisions (a), (b), and
18    (c) of this paragraph (1).
19             (a)  In  districts  that  do  not  hold   year-round
20        classes,  days  of attendance in August shall be added to
21        the month of September and any days of attendance in June
22        shall be added to the month of May.
23             (b)  In  districts  in  which  all  buildings   hold
24        year-round classes, days of attendance in July and August
25        shall  be added to the month of September and any days of
26        attendance in June shall be added to the month of May.
27             (c)  In districts in which some buildings,  but  not
28        all,  hold  year-round  classes,  for  the non-year-round
29        buildings, days of attendance in August shall be added to
30        the month of September and any days of attendance in June
31        shall be added to the month of  May.  The  average  daily
32        attendance for the year-round buildings shall be computed
33        as  provided in subdivision (b) of this paragraph (1). To
34        calculate the Average Daily Attendance for the  district,
 
                            -19-     LRB093 03065 NHT 17280 a
 1        the average daily attendance for the year-round buildings
 2        shall  be  multiplied  by  the  days  in  session for the
 3        non-year-round buildings for each month and added to  the
 4        monthly attendance of the non-year-round buildings.
 5        Except  as  otherwise  provided  in this Section, days of
 6    attendance by pupils shall be counted only  for  sessions  of
 7    not  less  than  5  clock  hours of school work per day under
 8    direct supervision of: (i)  teachers,  or  (ii)  non-teaching
 9    personnel   or   volunteer   personnel   when   engaging   in
10    non-teaching   duties  and  supervising  in  those  instances
11    specified in subsection (a) of Section 10-22.34 and paragraph
12    10 of Section 34-18, with pupils of legal school age  and  in
13    kindergarten and grades 1 through 12.
14        Days  of attendance by tuition pupils shall be accredited
15    only to the districts that pay the tuition  to  a  recognized
16    school.
17        (2)  Days  of  attendance  by pupils of less than 5 clock
18    hours of school shall be subject to the following  provisions
19    in the compilation of Average Daily Attendance.
20             (a)  Pupils  regularly  enrolled  in a public school
21        for only a part of the school day may be counted  on  the
22        basis  of  1/6 day for every class hour of instruction of
23        40 minutes or more attended pursuant to such  enrollment,
24        unless  a pupil is enrolled in a block-schedule format of
25        80 minutes or more of  instruction,  in  which  case  the
26        pupil  may  be  counted on the basis of the proportion of
27        minutes of school work completed each day to the  minimum
28        number of minutes that school work is required to be held
29        that day.
30             (b)  Days  of  attendance  may  be less than 5 clock
31        hours on the opening and closing of the school term,  and
32        upon  the first day of pupil attendance, if preceded by a
33        day  or  days  utilized  as  an  institute  or  teachers'
34        workshop.
 
                            -20-     LRB093 03065 NHT 17280 a
 1             (c)  A session of 4  or  more  clock  hours  may  be
 2        counted  as a day of attendance upon certification by the
 3        regional  superintendent,  and  approved  by  the   State
 4        Superintendent  of  Education  to  the  extent  that  the
 5        district has been forced to use daily multiple sessions.
 6             (d)  A  session  of  3  or  more  clock hours may be
 7        counted as a day of attendance (1) when the remainder  of
 8        the school day or at least 2 hours in the evening of that
 9        day  is  utilized  for an in-service training program for
10        teachers, up to a maximum of 5 days per  school  year  of
11        which  a maximum of 4 days of such 5 days may be used for
12        parent-teacher conferences, provided a district  conducts
13        an  in-service  training  program  for teachers which has
14        been approved by the State Superintendent  of  Education;
15        or,  in  lieu of 4 such days, 2 full days may be used, in
16        which event each such day may be  counted  as  a  day  of
17        attendance;  and  (2)  when  days  in  addition  to those
18        provided in item (1) are scheduled by a  school  pursuant
19        to  its  school improvement plan adopted under Article 34
20        or its revised or amended school improvement plan adopted
21        under Article 2, provided that (i) such sessions of 3  or
22        more  clock  hours  are  scheduled  to  occur  at regular
23        intervals, (ii) the remainder of the school days in which
24        such sessions occur are utilized for in-service  training
25        programs   or  other  staff  development  activities  for
26        teachers, and (iii) a sufficient  number  of  minutes  of
27        school  work under the direct supervision of teachers are
28        added to the school days between such regularly scheduled
29        sessions to  accumulate  not  less  than  the  number  of
30        minutes  by  which such sessions of 3 or more clock hours
31        fall short of 5 clock hours. Any full days used  for  the
32        purposes  of  this  paragraph shall not be considered for
33        computing average daily attendance.  Days  scheduled  for
34        in-service    training    programs,   staff   development
 
                            -21-     LRB093 03065 NHT 17280 a
 1        activities,  or   parent-teacher   conferences   may   be
 2        scheduled  separately  for  different  grade  levels  and
 3        different attendance centers of the district.
 4             (e)  A  session  of  not less than one clock hour of
 5        teaching hospitalized or homebound pupils on-site  or  by
 6        telephone  to  the classroom may be counted as 1/2 day of
 7        attendance, however these pupils must receive 4  or  more
 8        clock  hours  of instruction to be counted for a full day
 9        of attendance.
10             (f)  A session of at least  4  clock  hours  may  be
11        counted  as  a  day of attendance for first grade pupils,
12        and pupils in full day kindergartens, and a session of  2
13        or  more hours may be counted as 1/2 day of attendance by
14        pupils in kindergartens which provide  only  1/2  day  of
15        attendance.
16             (g)  For  children  with  disabilities who are below
17        the age of 6 years and who cannot attend 2 or more  clock
18        hours  because  of  their  disability  or  immaturity,  a
19        session of not less than one clock hour may be counted as
20        1/2  day  of  attendance; however for such children whose
21        educational needs so require a session of 4 or more clock
22        hours may be counted as a full day of attendance.
23             (h)  A recognized kindergarten  which  provides  for
24        only  1/2  day of attendance by each pupil shall not have
25        more than 1/2 day of attendance counted in any  one  day.
26        However, kindergartens may count 2 1/2 days of attendance
27        in  any  5 consecutive school days.  When a pupil attends
28        such a kindergarten for 2 half days  on  any  one  school
29        day,  the  pupil  shall  have  the following day as a day
30        absent from school, unless the  school  district  obtains
31        permission  in  writing  from the State Superintendent of
32        Education. Attendance at kindergartens which provide  for
33        a  full  day of attendance by each pupil shall be counted
34        the same as attendance by first grade  pupils.  Only  the
 
                            -22-     LRB093 03065 NHT 17280 a
 1        first  year  of  attendance  in one kindergarten shall be
 2        counted, except in  case  of  children  who  entered  the
 3        kindergarten   in  their  fifth  year  whose  educational
 4        development requires a second  year  of  kindergarten  as
 5        determined  under  the rules and regulations of the State
 6        Board of Education.

 7    (G)  Equalized Assessed Valuation Data.
 8        (1)  For purposes of the calculation of  Available  Local
 9    Resources  required  pursuant  to  subsection  (D), the State
10    Board of  Education  shall  secure  from  the  Department  of
11    Revenue  the value as equalized or assessed by the Department
12    of Revenue of all taxable property of every school  district,
13    together  with  (i) the applicable tax rate used in extending
14    taxes for the funds of the district as of September 30 of the
15    previous year and (ii)  the  limiting  rate  for  all  school
16    districts  subject  to  property tax extension limitations as
17    imposed under the Property Tax Extension Limitation Law.
18        This equalized assessed valuation, as adjusted further by
19    the requirements of this subsection, shall be utilized in the
20    calculation of Available Local Resources.
21        (2)  The equalized assessed valuation  in  paragraph  (1)
22    shall be adjusted, as applicable, in the following manner:
23             (a)  For the purposes of calculating State aid under
24        this  Section,  with  respect  to  any  part  of a school
25        district within a redevelopment project area  in  respect
26        to   which  a  municipality  has  adopted  tax  increment
27        allocation  financing  pursuant  to  the  Tax   Increment
28        Allocation  Redevelopment Act, Sections 11-74.4-1 through
29        11-74.4-11  of  the  Illinois  Municipal  Code   or   the
30        Industrial  Jobs Recovery Law, Sections 11-74.6-1 through
31        11-74.6-50 of the Illinois Municipal Code, no part of the
32        current equalized assessed  valuation  of  real  property
33        located in any such project area which is attributable to
34        an  increase  above  the total initial equalized assessed
 
                            -23-     LRB093 03065 NHT 17280 a
 1        valuation of such property shall be used as part  of  the
 2        equalized  assessed valuation of the district, until such
 3        time as all redevelopment project costs have  been  paid,
 4        as  provided  in  Section  11-74.4-8 of the Tax Increment
 5        Allocation Redevelopment Act or in Section 11-74.6-35  of
 6        the Industrial Jobs Recovery Law.  For the purpose of the
 7        equalized  assessed  valuation of the district, the total
 8        initial  equalized  assessed  valuation  or  the  current
 9        equalized assessed valuation, whichever is  lower,  shall
10        be  used  until  such  time  as all redevelopment project
11        costs have been paid.
12             (b)  The real property equalized assessed  valuation
13        for  a  school  district shall be adjusted by subtracting
14        from the real property value as equalized or assessed  by
15        the  Department  of  Revenue  for  the district an amount
16        computed by dividing the amount of any abatement of taxes
17        under Section 18-170 of the Property Tax  Code  by  3.00%
18        for  a  district  maintaining grades kindergarten through
19        12,  by  2.30%  for   a   district   maintaining   grades
20        kindergarten  through  8,  or  by  1.05%  for  a district
21        maintaining grades 9 through 12 and adjusted by an amount
22        computed by dividing the amount of any abatement of taxes
23        under subsection (a) of Section 18-165  of  the  Property
24        Tax  Code  by the same percentage rates for district type
25        as specified in this subparagraph (b).
26        (3)  For the 1999-2000 school year and each  school  year
27    thereafter, if a school district meets all of the criteria of
28    this subsection (G)(3), the school district's Available Local
29    Resources  shall be calculated under subsection (D) using the
30    district's Extension Limitation Equalized Assessed  Valuation
31    as calculated under this subsection (G)(3).
32        For  purposes  of  this  subsection  (G)(3) the following
33    terms shall have the following meanings:
34             "Budget Year":  The school year  for  which  general
 
                            -24-     LRB093 03065 NHT 17280 a
 1        State aid is calculated and awarded under subsection (E).
 2             "Base  Tax Year": The property tax levy year used to
 3        calculate the Budget Year  allocation  of  general  State
 4        aid.
 5             "Preceding  Tax  Year":  The  property tax levy year
 6        immediately preceding the Base Tax Year.
 7             "Base Tax Year's Tax Extension": The product of  the
 8        equalized assessed valuation utilized by the County Clerk
 9        in  the  Base Tax Year multiplied by the limiting rate as
10        calculated  by  the  County  Clerk  and  defined  in  the
11        Property Tax Extension Limitation Law.
12             "Preceding Tax Year's Tax Extension": The product of
13        the equalized assessed valuation utilized by  the  County
14        Clerk  in  the  Preceding  Tax  Year  multiplied  by  the
15        Operating Tax Rate as defined in subsection (A).
16             "Extension  Limitation  Ratio":  A  numerical ratio,
17        certified by the County Clerk, in which the numerator  is
18        the  Base Tax Year's Tax Extension and the denominator is
19        the Preceding Tax Year's Tax Extension.
20             "Operating Tax Rate":  The  operating  tax  rate  as
21        defined in subsection (A).
22        If a school district is subject to property tax extension
23    limitations  as  imposed  under  the  Property  Tax Extension
24    Limitation Law, the State Board of Education shall  calculate
25    the Extension Limitation Equalized Assessed Valuation of that
26    district.   For  the  1999-2000  school  year,  the Extension
27    Limitation Equalized Assessed Valuation of a school  district
28    as  calculated by the State Board of Education shall be equal
29    to the product of  the  district's  1996  Equalized  Assessed
30    Valuation and the district's Extension Limitation Ratio.  For
31    the  2000-2001  school  year and each school year thereafter,
32    the Extension Limitation Equalized Assessed  Valuation  of  a
33    school district as calculated by the State Board of Education
34    shall  be  equal  to  the  product  of the Equalized Assessed
 
                            -25-     LRB093 03065 NHT 17280 a
 1    Valuation last used in the calculation of general  State  aid
 2    and   the  district's  Extension  Limitation  Ratio.  If  the
 3    Extension Limitation Equalized Assessed Valuation of a school
 4    district as calculated under this subsection (G)(3)  is  less
 5    than   the   district's   equalized   assessed  valuation  as
 6    calculated pursuant to subsections (G)(1)  and  (G)(2),  then
 7    for  purposes of calculating the district's general State aid
 8    for  the  Budget  Year  pursuant  to  subsection  (E),   that
 9    Extension  Limitation  Equalized  Assessed Valuation shall be
10    utilized  to  calculate  the   district's   Available   Local
11    Resources under subsection (D).
12        (4)  For  the  purposes  of calculating general State aid
13    for the 1999-2000 school year  only,  if  a  school  district
14    experienced   a   triennial  reassessment  on  the  equalized
15    assessed valuation used  in  calculating  its  general  State
16    financial  aid  apportionment  for the 1998-1999 school year,
17    the State Board of Education shall  calculate  the  Extension
18    Limitation  Equalized Assessed Valuation that would have been
19    used to calculate the district's 1998-1999 general State aid.
20    This amount shall equal the product of the equalized assessed
21    valuation  used  to  calculate  general  State  aid  for  the
22    1997-1998 school year and the district's Extension Limitation
23    Ratio.   If  the  Extension  Limitation  Equalized   Assessed
24    Valuation  of  the  school  district as calculated under this
25    paragraph (4) is less than the district's equalized  assessed
26    valuation  utilized  in  calculating the district's 1998-1999
27    general  State  aid  allocation,   then   for   purposes   of
28    calculating  the  district's  general  State  aid pursuant to
29    paragraph (5) of subsection (E),  that  Extension  Limitation
30    Equalized  Assessed  Valuation shall be utilized to calculate
31    the district's Available Local Resources.
32        (5)  For school districts  having  a  majority  of  their
33    equalized  assessed  valuation  in  any  county  except Cook,
34    DuPage, Kane, Lake,  McHenry,  or  Will,  if  the  amount  of
 
                            -26-     LRB093 03065 NHT 17280 a
 1    general  State  aid  allocated to the school district for the
 2    1999-2000 school year under the provisions of subsection (E),
 3    (H), and (J) of this Section  is  less  than  the  amount  of
 4    general State aid allocated to the district for the 1998-1999
 5    school  year  under these subsections, then the general State
 6    aid of the district for the 1999-2000 school year only  shall
 7    be  increased  by  the difference between these amounts.  The
 8    total payments made under this paragraph (5) shall not exceed
 9    $14,000,000.   Claims  shall  be  prorated  if  they   exceed
10    $14,000,000.

11    (H)  Supplemental General State Aid.
12        (1)  In  addition  to  the  general  State  aid  a school
13    district is allotted pursuant to subsection  (E),  qualifying
14    school  districts  shall receive a grant, paid in conjunction
15    with  a  district's  payments  of  general  State  aid,   for
16    supplemental  general  State aid based upon the concentration
17    level of  children  from  low-income  households  within  the
18    school  district.  Supplemental State aid grants provided for
19    school districts under this subsection shall be  appropriated
20    for distribution to school districts as part of the same line
21    item  in  which  the  general  State  financial aid of school
22    districts  is  appropriated  under  this  Section.   If   the
23    appropriation  in  any  fiscal year for general State aid and
24    supplemental general State aid is  insufficient  to  pay  the
25    amounts required under the general State aid and supplemental
26    general  State  aid  calculations,  then  the  State Board of
27    Education shall ensure that each school district receives the
28    full amount due for general State aid and  the  remainder  of
29    the  appropriation  shall  be  used  for supplemental general
30    State aid, which the State Board of Education shall calculate
31    and pay to eligible districts on a prorated basis.
32        (1.5)  This paragraph (1.5) applies only to those  school
33    years  preceding  the  2003-2004 school year. For purposes of
34    this  subsection  (H),  the  term  "Low-Income  Concentration
 
                            -27-     LRB093 03065 NHT 17280 a
 1    Level" shall be the low-income eligible pupil count from  the
 2    most recently available federal census divided by the Average
 3    Daily Attendance of the school district. If, however, (i) the
 4    percentage  decrease  from the 2 most recent federal censuses
 5    in the low-income eligible  pupil  count  of  a  high  school
 6    district  with fewer than 400 students exceeds by 75% or more
 7    the percentage change in the total low-income eligible  pupil
 8    count   of  contiguous  elementary  school  districts,  whose
 9    boundaries are coterminous with the high school district,  or
10    (ii)  a  high school district within 2 counties and serving 5
11    elementary school districts, whose boundaries are coterminous
12    with the high school district, has a percentage decrease from
13    the 2 most recent federal censuses in the low-income eligible
14    pupil count and there is a percentage increase in  the  total
15    low-income   eligible  pupil  count  of  a  majority  of  the
16    elementary school districts in excess of 50% from the 2  most
17    recent  federal  censuses,  then  the  high school district's
18    low-income eligible pupil  count  from  the  earlier  federal
19    census  shall  be  the number used as the low-income eligible
20    pupil count for the high school  district,  for  purposes  of
21    this  subsection (H).  The changes made to this paragraph (1)
22    by Public Act 92-28 shall apply to supplemental general State
23    aid grants for school years preceding  the  2003-2004  school
24    year  that are paid in fiscal year 1999 or and in each fiscal
25    year thereafter  and to any State aid payments made in fiscal
26    year 1994 through fiscal year  1998  pursuant  to  subsection
27    1(n) of Section 18-8 of this Code (which was repealed on July
28    1,  1998),  and  any high school district that is affected by
29    Public Act 92-28  is  entitled  to  a  recomputation  of  its
30    supplemental general State aid grant or State aid paid in any
31    of  those  fiscal  years.   This  recomputation  shall not be
32    affected by any other funding.
33        (1.10)  This paragraph (1.10) applies  to  the  2003-2004
34    school  year and each school year thereafter. For purposes of
 
                            -28-     LRB093 03065 NHT 17280 a
 1    this  subsection  (H),  the  term  "Low-Income  Concentration
 2    Level"  shall,  for  each  fiscal  year,  be  the  low-income
 3    eligible  pupil  count  as  of  July  1  of  the  immediately
 4    preceding fiscal year (as determined  by  the  Department  of
 5    Human Services based on the number of pupils who are eligible
 6    for  at  least  one  of  the  following  low income programs:
 7    Medicaid, KidCare, TANF, or Food Stamps, excluding pupils who
 8    are eligible for  services  provided  by  the  Department  of
 9    Children and Family Services, averaged over the 2 immediately
10    preceding  fiscal  years  for fiscal year 2004 and over the 3
11    immediately preceding  fiscal  years  for  each  fiscal  year
12    thereafter)  divided  by  the Average Daily Attendance of the
13    school district.
14        (2)  Supplemental general  State  aid  pursuant  to  this
15    subsection   (H)   shall  be  provided  as  follows  for  the
16    1998-1999, 1999-2000, and 2000-2001 school years only:
17             (a)  For any  school  district  with  a  Low  Income
18        Concentration  Level  of  at least 20% and less than 35%,
19        the grant for any school year shall be $800 multiplied by
20        the low income eligible pupil count.
21             (b)  For any  school  district  with  a  Low  Income
22        Concentration  Level  of  at least 35% and less than 50%,
23        the grant for the 1998-1999 school year shall  be  $1,100
24        multiplied by the low income eligible pupil count.
25             (c)  For  any  school  district  with  a  Low Income
26        Concentration Level of at least 50% and  less  than  60%,
27        the  grant  for  the  1998-99 school year shall be $1,500
28        multiplied by the low income eligible pupil count.
29             (d)  For any  school  district  with  a  Low  Income
30        Concentration  Level  of  60%  or more, the grant for the
31        1998-99 school year shall be $1,900 multiplied by the low
32        income eligible pupil count.
33             (e)  For the 1999-2000 school year,  the  per  pupil
34        amount  specified  in  subparagraphs  (b),  (c),  and (d)
 
                            -29-     LRB093 03065 NHT 17280 a
 1        immediately above shall be increased to  $1,243,  $1,600,
 2        and $2,000, respectively.
 3             (f)  For  the  2000-2001  school year, the per pupil
 4        amounts specified in  subparagraphs  (b),  (c),  and  (d)
 5        immediately  above  shall  be $1,273, $1,640, and $2,050,
 6        respectively.
 7        (2.5)  Supplemental general State aid  pursuant  to  this
 8    subsection (H) shall be provided as follows for the 2002-2003
 9    school year and each school year thereafter:
10             (a)  For  any  school  district  with  a  Low Income
11        Concentration Level of less than 10%, the grant for  each
12        school  year  shall  be $355 multiplied by the low income
13        eligible pupil count.
14             (b)  For any  school  district  with  a  Low  Income
15        Concentration  Level  of  at least 10% and less than 20%,
16        the grant for each school year shall be  $675  multiplied
17        by the low income eligible pupil count.
18             (c)  For  any  school  district  with  a  Low Income
19        Concentration Level of at least 20% and  less  than  35%,
20        the grant for each school year shall be $1,330 multiplied
21        by the low income eligible pupil count.
22             (d)  For  any  school  district  with  a  Low Income
23        Concentration Level of at least 35% and  less  than  50%,
24        the grant for each school year shall be $1,362 multiplied
25        by the low income eligible pupil count.
26             (e)  For  any  school  district  with  a  Low Income
27        Concentration Level of at least 50% and  less  than  60%,
28        the grant for each school year shall be $1,680 multiplied
29        by the low income eligible pupil count.
30             (f)  For  any  school  district  with  a  Low Income
31        Concentration Level of 60% or more, the  grant  for  each
32        school  year shall be $2,080 multiplied by the low income
33        eligible pupil count.
34        (2.10)  Except  as   otherwise   provided,   supplemental
 
                            -30-     LRB093 03065 NHT 17280 a
 1    general  State  aid  pursuant to this subsection (H) shall be
 2    provided as follows for the 2003-2004 school  year  and  each
 3    school year thereafter:
 4             (a)  For  any  school  district  with  a  Low Income
 5        Concentration Level of 15% or less, the  grant  for  each
 6        school  year  shall  be $355 multiplied by the low income
 7        eligible pupil count.
 8             (b)  For any  school  district  with  a  Low  Income
 9        Concentration  Level greater than 15%, the grant for each
10        school year shall be $294.25  added  to  the  product  of
11        $2,700  and  the  square  of the Low Income Concentration
12        Level, all multiplied by the low  income  eligible  pupil
13        count.
14        For the 2003-2004 school year only, the grant shall be no
15    less  than  the  grant for the 2002-2003 school year. For the
16    2004-2005 school year only, the grant shall be no  less  than
17    the  grant  for the 2002-2003 school year multiplied by 0.66.
18    For the 2005-2006 school year only, the  grant  shall  be  no
19    less  than the grant for the 2002-2003 school year multiplied
20    by 0.33.
21        For the 2003-2004 school year only, the grant shall be no
22    greater than the grant received during the  2002-2003  school
23    year   added  to  the  product  of  0.25  multiplied  by  the
24    difference  between  the  grant   amount   calculated   under
25    subsection  (a) or (b) of this paragraph (2.10), whichever is
26    applicable, and  the  grant  received  during  the  2002-2003
27    school  year.  For  the 2004-2005 school year only, the grant
28    shall be no  greater  than  the  grant  received  during  the
29    2002-2003 school year added to the product of 0.50 multiplied
30    by  the  difference between the grant amount calculated under
31    subsection (a) or (b) of this paragraph (2.10), whichever  is
32    applicable,  and  the  grant  received  during  the 2002-2003
33    school year. For the 2005-2006 school year  only,  the  grant
34    shall  be  no  greater  than  the  grant  received during the
 
                            -31-     LRB093 03065 NHT 17280 a
 1    2002-2003 school year added to the product of 0.75 multiplied
 2    by the difference between the grant amount  calculated  under
 3    subsection  (a) or (b) of this paragraph (2.10), whichever is
 4    applicable, and  the  grant  received  during  the  2002-2003
 5    school year.
 6        (3)  School districts with an Average Daily Attendance of
 7    more  than  1,000  and  less  than  50,000  that  qualify for
 8    supplemental general State aid pursuant  to  this  subsection
 9    shall  submit a plan to the State Board of Education prior to
10    October 30 of each year for the use of  the  funds  resulting
11    from  this  grant  of  supplemental general State aid for the
12    improvement of instruction in  which  priority  is  given  to
13    meeting  the education needs of disadvantaged children.  Such
14    plan  shall  be  submitted  in  accordance  with  rules   and
15    regulations promulgated by the State Board of Education.
16        (4)  School districts with an Average Daily Attendance of
17    50,000  or  more  that qualify for supplemental general State
18    aid  pursuant  to  this  subsection  shall  be  required   to
19    distribute  from funds available pursuant to this Section, no
20    less than  $261,000,000  in  accordance  with  the  following
21    requirements:
22             (a)  The  required  amounts  shall be distributed to
23        the attendance centers within the district in  proportion
24        to  the  number  of  pupils  enrolled  at each attendance
25        center who are eligible to receive free or  reduced-price
26        lunches  or  breakfasts under the federal Child Nutrition
27        Act of 1966 and  under  the  National  School  Lunch  Act
28        during the immediately preceding school year.
29             (b)  The   distribution   of   these   portions   of
30        supplemental  and  general  State  aid  among  attendance
31        centers  according  to  these  requirements  shall not be
32        compensated for or  contravened  by  adjustments  of  the
33        total  of  other  funds  appropriated  to  any attendance
34        centers, and the Board of Education shall utilize funding
 
                            -32-     LRB093 03065 NHT 17280 a
 1        from one or several sources in order to  fully  implement
 2        this provision annually prior to the opening of school.
 3             (c)  Each attendance center shall be provided by the
 4        school  district  a  distribution of noncategorical funds
 5        and other categorical funds to which an attendance center
 6        is entitled under law in order that the general State aid
 7        and  supplemental   general   State   aid   provided   by
 8        application  of  this  subsection supplements rather than
 9        supplants the noncategorical funds and other  categorical
10        funds  provided  by the school district to the attendance
11        centers.
12             (d)  Any funds made available under this  subsection
13        that  by  reason of the provisions of this subsection are
14        not required to be allocated and provided  to  attendance
15        centers  may be used and appropriated by the board of the
16        district for any lawful school purpose.
17             (e)  Funds received by an attendance center pursuant
18        to this subsection shall be used by the attendance center
19        at the discretion  of  the  principal  and  local  school
20        council for programs to improve educational opportunities
21        at  qualifying schools through the following programs and
22        services: early childhood education, reduced  class  size
23        or  improved adult to student classroom ratio, enrichment
24        programs, remedial  assistance,  attendance  improvement,
25        and  other  educationally  beneficial  expenditures which
26        supplement the regular and basic programs  as  determined
27        by the State Board of Education. Funds provided shall not
28        be  expended  for  any  political or lobbying purposes as
29        defined by board rule.
30             (f)  Each district subject to the provisions of this
31        subdivision (H)(4) shall submit  an  acceptable  plan  to
32        meet  the educational needs of disadvantaged children, in
33        compliance with the requirements of  this  paragraph,  to
34        the  State  Board  of  Education prior to July 15 of each
 
                            -33-     LRB093 03065 NHT 17280 a
 1        year. This plan shall be consistent with the decisions of
 2        local school councils concerning the  school  expenditure
 3        plans  developed  in  accordance  with  part 4 of Section
 4        34-2.3.  The State Board shall approve or reject the plan
 5        within 60 days after its  submission.   If  the  plan  is
 6        rejected,  the  district  shall  give  written  notice of
 7        intent  to  modify  the  plan  within  15  days  of   the
 8        notification of rejection and then submit a modified plan
 9        within  30  days  after the date of the written notice of
10        intent to modify.  Districts  may  amend  approved  plans
11        pursuant  to  rules  promulgated  by  the  State Board of
12        Education.
13             Upon notification by the State  Board  of  Education
14        that  the district has not submitted a plan prior to July
15        15 or a modified plan within the  time  period  specified
16        herein,  the  State  aid  funds  affected by that plan or
17        modified plan shall be withheld by  the  State  Board  of
18        Education until a plan or modified plan is submitted.
19             If  the  district  fails  to distribute State aid to
20        attendance centers in accordance with an  approved  plan,
21        the  plan for the following year shall allocate funds, in
22        addition  to  the  funds  otherwise  required   by   this
23        subsection,   to  those  attendance  centers  which  were
24        underfunded during the previous year in amounts equal  to
25        such underfunding.
26             For  purposes  of  determining  compliance with this
27        subsection in relation to the requirements of  attendance
28        center  funding,  each district subject to the provisions
29        of this subsection shall submit as a separate document by
30        December 1 of each year a report of expenditure data  for
31        the  prior  year  in  addition to any modification of its
32        current plan.  If it is determined that there has been  a
33        failure to comply with the expenditure provisions of this
34        subsection  regarding  contravention  or supplanting, the
 
                            -34-     LRB093 03065 NHT 17280 a
 1        State Superintendent of Education shall, within  60  days
 2        of  receipt  of  the  report, notify the district and any
 3        affected local school council.  The district shall within
 4        45 days of receipt of that notification inform the  State
 5        Superintendent of Education of the remedial or corrective
 6        action  to be taken, whether  by amendment of the current
 7        plan, if feasible, or by adjustment in the plan  for  the
 8        following  year.   Failure  to  provide  the  expenditure
 9        report  or  the  notification  of  remedial or corrective
10        action in a timely manner shall result in  a  withholding
11        of the affected funds.
12             The  State Board of Education shall promulgate rules
13        and regulations  to  implement  the  provisions  of  this
14        subsection.   No  funds  shall  be  released  under  this
15        subdivision (H)(4) to any district that has not submitted
16        a  plan  that  has  been  approved  by the State Board of
17        Education.

18    (I)  General State Aid for Newly Configured School Districts.
19        (1)  For  a  new  school  district  formed  by  combining
20    property  included  totally  within  2  or  more   previously
21    existing  school  districts,  for its first year of existence
22    the general State aid  and  supplemental  general  State  aid
23    calculated  under  this Section shall be computed for the new
24    district and for the previously existing districts for  which
25    property is totally included within the new district.  If the
26    computation on the basis of the previously existing districts
27    is  greater,  a supplementary payment equal to the difference
28    shall be made for the first 4 years of existence of  the  new
29    district.
30        (2)  For  a  school  district  which  annexes  all of the
31    territory of one or more entire other school  districts,  for
32    the   first  year  during  which  the  change  of  boundaries
33    attributable to such annexation  becomes  effective  for  all
34    purposes as determined under Section 7-9 or 7A-8, the general
 
                            -35-     LRB093 03065 NHT 17280 a
 1    State aid and supplemental general State aid calculated under
 2    this  Section  shall be computed for the annexing district as
 3    constituted after the annexation and  for  the  annexing  and
 4    each annexed district as constituted prior to the annexation;
 5    and  if  the  computation  on  the  basis of the annexing and
 6    annexed districts as constituted prior to the  annexation  is
 7    greater,  a  supplementary  payment  equal  to the difference
 8    shall be made for the first  4  years  of  existence  of  the
 9    annexing school district as constituted upon such annexation.
10        (3)  For  2  or  more school districts which annex all of
11    the territory of one or more entire other  school  districts,
12    and  for 2 or more community unit districts which result upon
13    the division (pursuant to petition under  Section  11A-2)  of
14    one  or more other unit school districts into 2 or more parts
15    and which together include all of the parts into  which  such
16    other  unit  school district or districts are so divided, for
17    the  first  year  during  which  the  change  of   boundaries
18    attributable to such annexation or division becomes effective
19    for  all  purposes as determined under Section 7-9 or 11A-10,
20    as the case may be, the general State  aid  and  supplemental
21    general  State  aid  calculated  under  this Section shall be
22    computed  for  each  annexing  or   resulting   district   as
23    constituted  after  the  annexation  or division and for each
24    annexing and annexed district,  or  for  each  resulting  and
25    divided  district,  as constituted prior to the annexation or
26    division; and if the aggregate of the general State  aid  and
27    supplemental  general  State  aid  as  so  computed  for  the
28    annexing  or  resulting  districts  as  constituted after the
29    annexation or division is less  than  the  aggregate  of  the
30    general  State  aid  and supplemental general State aid as so
31    computed for the annexing and annexed districts, or  for  the
32    resulting  and divided districts, as constituted prior to the
33    annexation or division, then a supplementary payment equal to
34    the difference shall be made and allocated between  or  among
 
                            -36-     LRB093 03065 NHT 17280 a
 1    the annexing or resulting districts, as constituted upon such
 2    annexation  or  division,  for  the  first  4  years of their
 3    existence.  The total difference payment shall  be  allocated
 4    between  or  among the annexing or resulting districts in the
 5    same ratio as the pupil enrollment from that portion  of  the
 6    annexed  or divided district or districts which is annexed to
 7    or included in each such annexing or resulting district bears
 8    to the total pupil enrollment  from  the  entire  annexed  or
 9    divided  district  or  districts, as such pupil enrollment is
10    determined for the school year last ending prior to the  date
11    when  the change of boundaries attributable to the annexation
12    or division becomes effective for all purposes.   The  amount
13    of  the total difference payment and the amount thereof to be
14    allocated to the annexing or  resulting  districts  shall  be
15    computed  by  the  State  Board  of Education on the basis of
16    pupil enrollment and other data which shall be  certified  to
17    the State Board of Education, on forms which it shall provide
18    for  that  purpose, by the regional superintendent of schools
19    for each educational service region in which the annexing and
20    annexed districts, or resulting  and  divided  districts  are
21    located.
22        (3.5)  Claims   for   financial   assistance  under  this
23    subsection (I) shall not be recomputed  except  as  expressly
24    provided under this Section.
25        (4)  Any supplementary payment made under this subsection
26    (I) shall be treated as separate from all other payments made
27    pursuant to this Section.

28    (J)  Supplementary Grants in Aid.
29        (1)  Notwithstanding   any   other   provisions  of  this
30    Section, the amount of the aggregate  general  State  aid  in
31    combination  with  supplemental  general State aid under this
32    Section for which each school district is eligible  shall  be
33    no  less  than  the amount of the aggregate general State aid
34    entitlement that was received by the district  under  Section
 
                            -37-     LRB093 03065 NHT 17280 a
 1    18-8  (exclusive  of  amounts received under subsections 5(p)
 2    and 5(p-5) of that Section)  for  the  1997-98  school  year,
 3    pursuant  to the provisions of that Section as it was then in
 4    effect.  If  a  school  district  qualifies  to   receive   a
 5    supplementary  payment  made  under  this subsection (J), the
 6    amount of the aggregate general State aid in combination with
 7    supplemental general State aid under this Section which  that
 8    district is eligible to receive for each school year shall be
 9    no  less  than  the amount of the aggregate general State aid
10    entitlement that was received by the district  under  Section
11    18-8  (exclusive  of  amounts received under subsections 5(p)
12    and 5(p-5) of that Section) for the  1997-1998  school  year,
13    pursuant  to the provisions of that Section as it was then in
14    effect.
15        (2)  If, as provided in paragraph (1) of this  subsection
16    (J),  a school district is to receive aggregate general State
17    aid in combination with supplemental general State aid  under
18    this  Section  for the 1998-99 school year and any subsequent
19    school year that in any such school year  is  less  than  the
20    amount  of  the  aggregate general State aid entitlement that
21    the district received for the 1997-98 school year, the school
22    district shall also receive, from  a  separate  appropriation
23    made  for  purposes  of  this subsection (J), a supplementary
24    payment that is equal to the amount of the difference in  the
25    aggregate State aid figures as described in paragraph (1).
26        (3)  (Blank).

27    (K)  Grants to Laboratory and Alternative Schools.
28        In  calculating  the  amount  to be paid to the governing
29    board of a  public  university  that  operates  a  laboratory
30    school  under  this Section or to any alternative school that
31    is operated by a  regional  superintendent  of  schools,  the
32    State Board of Education shall require by rule such reporting
33    requirements as it deems necessary.
34        As  used  in  this  Section,  "laboratory school" means a
 
                            -38-     LRB093 03065 NHT 17280 a
 1    public school which is  created  and  operated  by  a  public
 2    university and approved by the State Board of Education.  The
 3    governing  board  of a public university which receives funds
 4    from the State  Board  under  this  subsection  (K)  may  not
 5    increase  the  number  of students enrolled in its laboratory
 6    school from a single district, if that  district  is  already
 7    sending  50 or more students, except under a mutual agreement
 8    between the school board of a student's district of residence
 9    and the university which operates the laboratory  school.   A
10    laboratory  school  may  not  have  more than 1,000 students,
11    excluding students with disabilities in a  special  education
12    program.
13        As  used  in  this  Section, "alternative school" means a
14    public school which is created and  operated  by  a  Regional
15    Superintendent  of Schools and approved by the State Board of
16    Education.  Such alternative schools  may  offer  courses  of
17    instruction  for  which  credit  is  given  in regular school
18    programs, courses to prepare students  for  the  high  school
19    equivalency  testing  program  or vocational and occupational
20    training.   A regional superintendent of schools may contract
21    with a school district or a public community college district
22    to operate an  alternative  school.   An  alternative  school
23    serving  more  than  one  educational  service  region may be
24    established by the regional superintendents of schools of the
25    affected educational service regions.  An alternative  school
26    serving  more  than  one  educational  service  region may be
27    operated under such terms as the regional superintendents  of
28    schools of those educational service regions may agree.
29        Each  laboratory  and  alternative  school shall file, on
30    forms provided by the State Superintendent of  Education,  an
31    annual  State  aid  claim  which  states  the  Average  Daily
32    Attendance  of  the  school's  students by month.  The best 3
33    months' Average Daily Attendance shall be computed  for  each
34    school.  The  general State aid entitlement shall be computed
 
                            -39-     LRB093 03065 NHT 17280 a
 1    by multiplying the applicable Average Daily Attendance by the
 2    Foundation Level as determined under this Section.

 3    (L)  Payments,   Additional   Grants   in   Aid   and   Other
 4    Requirements.
 5        (1)  For a school district operating under the  financial
 6    supervision  of  an  Authority created under Article 34A, the
 7    general State aid otherwise payable to  that  district  under
 8    this  Section,  but  not  the supplemental general State aid,
 9    shall be reduced by an amount equal to  the  budget  for  the
10    operations  of the Authority as certified by the Authority to
11    the State Board of Education, and an  amount  equal  to  such
12    reduction  shall  be  paid  to the Authority created for such
13    district for its operating expenses in the manner provided in
14    Section 18-11.  The remainder of general State school aid for
15    any such district shall be paid in  accordance  with  Article
16    34A  when  that Article provides for a disposition other than
17    that provided by this Article.
18        (2)  (Blank).
19        (3)  Summer school.  Summer school payments shall be made
20    as provided in Section 18-4.3.

21    (M)  Education Funding Advisory Board.
22        The Education Funding Advisory Board, hereinafter in this
23    subsection (M) referred to as the "Board", is hereby created.
24    The Board shall consist of 5 members who are appointed by the
25    Governor, by and with the advice and consent of  the  Senate.
26    The   members  appointed  shall  include  representatives  of
27    education, business, and  the  general  public.  One  of  the
28    members  so  appointed shall be designated by the Governor at
29    the time the appointment is made as the  chairperson  of  the
30    Board.  The initial members of the Board may be appointed any
31    time after the effective date of this amendatory Act of 1997.
32    The regular term of each member of the Board shall be  for  4
33    years  from  the third Monday of January of the year in which
 
                            -40-     LRB093 03065 NHT 17280 a
 1    the term of the member's appointment is to  commence,  except
 2    that  of  the  5  initial  members  appointed to serve on the
 3    Board, the member who is appointed as the  chairperson  shall
 4    serve  for  a  term  that commences on the date of his or her
 5    appointment and expires on the third Monday of January, 2002,
 6    and the remaining 4 members,  by  lots  drawn  at  the  first
 7    meeting  of  the  Board  that is held after all 5 members are
 8    appointed, shall determine 2 of their  number  to  serve  for
 9    terms   that   commence  on  the  date  of  their  respective
10    appointments and expire on the third Monday of January, 2001,
11    and 2 of their number to serve for terms that commence on the
12    date of their respective appointments and expire on the third
13    Monday of January, 2000.  All members appointed to  serve  on
14    the  Board  shall serve until their respective successors are
15    appointed and confirmed.  Vacancies shall be  filled  in  the
16    same  manner  as  original  appointments.   If  a  vacancy in
17    membership occurs at  a  time  when  the  Senate  is  not  in
18    session,  the  Governor  shall  make  a temporary appointment
19    until the next meeting of the Senate, when he  or  she  shall
20    appoint,  by and with the advice and consent of the Senate, a
21    person to fill that membership for the  unexpired  term.   If
22    the  Senate  is  not in session when the initial appointments
23    are made, those appointments shall be made as in the case  of
24    vacancies.
25        The  Education  Funding  Advisory  Board  shall be deemed
26    established,  and  the  initial  members  appointed  by   the
27    Governor  to serve as members of the Board shall take office,
28    on the date that the Governor makes his or her appointment of
29    the fifth initial member of the Board, whether those  initial
30    members   are   then  serving  pursuant  to  appointment  and
31    confirmation or pursuant to temporary appointments  that  are
32    made by the Governor as in the case of vacancies.
33        The  State  Board  of  Education shall provide such staff
34    assistance to the Education  Funding  Advisory  Board  as  is
 
                            -41-     LRB093 03065 NHT 17280 a
 1    reasonably  required  for the proper performance by the Board
 2    of its responsibilities.
 3        For school years after the  2000-2001  school  year,  the
 4    Education  Funding  Advisory  Board, in consultation with the
 5    State Board  of  Education,  shall  make  recommendations  as
 6    provided  in  this subsection (M) to the General Assembly for
 7    the foundation level under subdivision (B)(3) of this Section
 8    and for the supplemental general State aid grant level  under
 9    subsection  (H)  of  this  Section  for  districts  with high
10    concentrations of children  from  poverty.   The  recommended
11    foundation  level  shall be determined based on a methodology
12    which  incorporates  the  basic  education  expenditures   of
13    low-spending  schools  exhibiting  high academic performance.
14    The  Education  Funding  Advisory  Board  shall   make   such
15    recommendations  to  the General Assembly on January 1 of odd
16    numbered years, beginning January 1, 2001.

17    (N)  (Blank).

18    (O)  References.
19        (1)  References in other laws to the various subdivisions
20    of Section 18-8 as that Section existed before its repeal and
21    replacement by this Section 18-8.05 shall be deemed to  refer
22    to  the  corresponding provisions of this Section 18-8.05, to
23    the extent that those references remain applicable.
24        (2)  References in other laws to State  Chapter  1  funds
25    shall  be  deemed  to refer to the supplemental general State
26    aid provided under subsection (H) of this Section.
27    (Source: P.A. 91-24, eff. 7-1-99; 91-93, eff. 7-9-99;  91-96,
28    eff.  7-9-99;  91-111,  eff.  7-14-99;  91-357, eff. 7-29-99;
29    91-533,  eff.  8-13-99;  92-7,  eff.  6-29-01;  92-16,   eff.
30    6-28-01; 92-28, eff. 7-1-01; 92-29, eff. 7-1-01; 92-269, eff.
31    8-7-01;  92-604,  eff.  7-1-02; 92-636, eff. 7-11-02; 92-651,
32    eff. 7-11-02; revised 7-26-02.)
 
                            -42-     LRB093 03065 NHT 17280 a
 1        (105 ILCS 5/27A-11.5)
 2        Sec. 27A-11.5.  State  financing.   The  State  Board  of
 3    Education  shall make the following funds available to school
 4    districts and charter schools:
 5             (1)  From a separate appropriation made to the State
 6        Board for purposes of this  subdivision  (1),  the  State
 7        Board  shall  make  transition  impact  aid  available to
 8        school districts that approve a  new  charter  school  or
 9        that have funds withheld by the State Board to fund a new
10        charter school that is chartered by the State Board.  The
11        amount  of  the  aid  shall  equal  90% of the per capita
12        funding paid to the charter school during the first  year
13        of  its  initial  charter  term,  65%  of  the per capita
14        funding paid to the charter school during the second year
15        of its initial term, and 35% of the  per  capita  funding
16        paid  to  the charter school during the third year of its
17        initial term.  This transition impact aid shall  be  paid
18        to   the   local   school   board   in   equal  quarterly
19        installments, with the payment of the installment for the
20        first  quarter  being  made  by  August  1st  immediately
21        preceding the first,  second,  and  third  years  of  the
22        initial term.  The district shall file an application for
23        this  aid  with the State Board in a format designated by
24        the State Board.  If the appropriation is insufficient in
25        any year to pay all approved claims, the impact aid shall
26        be prorated. However, for fiscal  year  2004,  the  State
27        Board  of  Education  shall  pay approved claims only for
28        charter schools with a valid  charter  granted  prior  to
29        June 1, 2003. If any funds remain after these claims have
30        been  paid, then the State Board of Education may pay all
31        other approved claims on a pro rata  basis.    Transition
32        impact  aid  shall  be  paid  beginning  in the 1999-2000
33        school year for charter schools that are  in  the  first,
34        second,  or third year of their initial term.  Transition
 
                            -43-     LRB093 03065 NHT 17280 a
 1        impact aid shall not be paid for any charter school  that
 2        is  proposed  and  created  by  one  or  more  boards  of
 3        education,  as  authorized under the provisions of Public
 4        Act 91-405.
 5             (2)  From a  separate  appropriation  made  for  the
 6        purpose  of  this  subdivision (2), the State Board shall
 7        make grants to charter  schools  to  pay  their  start-up
 8        costs  of  acquiring  educational materials and supplies,
 9        textbooks, furniture, and other equipment  needed  during
10        their  initial  term.   The  State  Board  shall annually
11        establish the time and manner of  application  for  these
12        grants,  which shall not exceed $250 per student enrolled
13        in the charter school.
14             (3)  The Charter  Schools  Revolving  Loan  Fund  is
15        created as a special fund in the State treasury.  Federal
16        funds,  such  other  funds  as  may be made available for
17        costs  associated  with  the  establishment  of   charter
18        schools  in  Illinois,  and  amounts  repaid  by  charter
19        schools  that  have  received  a  loan  from  the Charter
20        Schools Revolving Loan Fund shall be deposited  into  the
21        Charter  Schools  Revolving  Loan Fund, and the moneys in
22        the  Charter  Schools  Revolving  Loan  Fund   shall   be
23        appropriated  to  the  State  Board  and  used to provide
24        interest-free loans  to  charter  schools.   These  funds
25        shall   be  used  to  pay  start-up  costs  of  acquiring
26        educational materials and supplies, textbooks, furniture,
27        and other equipment needed in the  initial  term  of  the
28        charter   school  and  for  acquiring  and  remodeling  a
29        suitable physical plant, within the initial term  of  the
30        charter  school.   Loans shall be limited to one loan per
31        charter school and shall  not  exceed  $250  per  student
32        enrolled  in  the charter school.  A loan shall be repaid
33        by the end of the initial term  of  the  charter  school.
34        The State Board may deduct amounts necessary to repay the
 
                            -44-     LRB093 03065 NHT 17280 a
 1        loan  from funds due to the charter school or may require
 2        that the local school board that authorized  the  charter
 3        school  deduct  such  amounts  from funds due the charter
 4        school and  remit  these  amounts  to  the  State  Board,
 5        provided  that  the  local  school  board  shall  not  be
 6        responsible  for  repayment of the loan.  The State Board
 7        may use up to 3% of the appropriation to contract with  a
 8        non-profit entity to administer the loan program.
 9             (4)  A  charter  school  may  apply for and receive,
10        subject to the same  restrictions  applicable  to  school
11        districts, any grant administered by the State Board that
12        is available for school districts.
13    (Source: P.A. 91-407, eff. 8-3-99; 92-16, eff. 6-28-01.)

14        (105 ILCS 5/Art. 14A rep.)
15        Section  5-10.  The  School  Code is amended by repealing
16    Article 14A.

17                             Article 10

18        Section 10-5.  The School Code  is  amended  by  changing
19    Section 10-22.20 as follows:

20        (105 ILCS 5/10-22.20) (from Ch. 122, par. 10-22.20)
21        Sec.  10-22.20.  Classes  for  adults  and  youths  whose
22    schooling   has   been   interrupted;  conditions  for  State
23    reimbursement; use of child care facilities.
24        (a)  To establish special classes for the instruction (1)
25    of persons of age 21 years or over, and (2) of  persons  less
26    than age 21 and not otherwise in attendance in public school,
27    for  the  purpose  of  providing adults in the community, and
28    youths  whose  schooling  has  been  interrupted,  with  such
29    additional basic education, vocational  skill  training,  and
30    other  instruction  as  may  be  necessary  to increase their
 
                            -45-     LRB093 03065 NHT 17280 a
 1    qualifications for employment or other means of  self-support
 2    and  their ability to meet their responsibilities as citizens
 3    including  courses  of  instruction  regularly  accepted  for
 4    graduation  from  elementary  or   high   schools   and   for
 5    Americanization  and  General  Educational Development Review
 6    classes.
 7        The board  shall  pay  the  necessary  expenses  of  such
 8    classes  out of school funds of the district, including costs
 9    of student transportation and such  facilities  or  provision
10    for  child-care  as  may  be necessary in the judgment of the
11    board  to  permit  maximum  utilization  of  the  courses  by
12    students with  children,  and  other  special  needs  of  the
13    students  directly related to such instruction.  The expenses
14    thus incurred shall be subject  to  State  reimbursement,  as
15    provided  in  this  Section.   The  board  may make a tuition
16    charge for persons taking instruction who are not subject  to
17    State  reimbursement,  such  tuition charge not to exceed the
18    per capita cost of such classes.
19        The cost of such instruction,  including  the  additional
20    expenses   herein  authorized,  incurred  for  recipients  of
21    financial aid under the Illinois  Public  Aid  Code,  or  for
22    persons   for  whom  education  and  training  aid  has  been
23    authorized under Section 9-8 of that Code, shall  be  assumed
24    in  its  entirety from funds appropriated by the State to the
25    Illinois Community College Board.
26        (b)  The Illinois Community College Board shall establish
27    the standards for the courses of instruction reimbursed under
28    this Section.  The Illinois  Community  College  Board  shall
29    supervise  the  administration of the programs.  The Illinois
30    Community  College  Board  shall  determine   the   cost   of
31    instruction  in  accordance with standards established by the
32    the Illinois Community College Board, including therein other
33    incidental costs as herein authorized, which shall  serve  as
34    the  basis  of  State  reimbursement  in  accordance with the
 
                            -46-     LRB093 03065 NHT 17280 a
 1    provisions of  this Section. In the approval of programs  and
 2    the  determination  of  the cost of instruction, the Illinois
 3    Community  College  Board  shall  provide  for  the   maximum
 4    utilization  of federal funds for such programs. The Illinois
 5    Community College Board shall also provide for:
 6             (1)  the development of an index of need for program
 7        planning and for area funding allocations, as defined  by
 8        the Illinois Community College Board;
 9             (2)  the    method    for   calculating   hours   of
10        instruction, as defined by the Illinois Community College
11        Board, claimable for reimbursement and a method to  phase
12        in  the calculation and for adjusting the calculations in
13        cases where the services of a program are interrupted due
14        to  circumstances  beyond  the  control  of  the  program
15        provider;
16             (3)  a  plan  for  the  reallocation  of  funds   to
17        increase  the  amount  allocated  for  grants  based upon
18        program performance as set forth in subsection (d) below;
19        and
20             (4)  the development of  standards  for  determining
21        grants  based upon performance as set forth in subsection
22        (d) below and a plan for the phased-in implementation  of
23        those standards.
24        For   instruction   provided   by  school  districts  and
25    community  college  districts  beginning  July  1,  1996  and
26    thereafter, reimbursement provided by the Illinois  Community
27    College Board for classes authorized by this Section shall be
28    provided   from  funds  appropriated  for  the  reimbursement
29    criteria set forth in subsection (c) below.
30        (c)  Upon the annual approval of the  Illinois  Community
31    College  Board,  reimbursement  shall  be  first provided for
32    transportation, child care services, and other special  needs
33    of the students directly related to instruction and then from
34    the  funds  remaining  an  amount equal to the product of the
 
                            -47-     LRB093 03065 NHT 17280 a
 1    total credit hours or units of instruction  approved  by  the
 2    Illinois   Community   College   Board,   multiplied  by  the
 3    following:
 4             (1)  For  adult   basic   education,   the   maximum
 5        reimbursement  per credit hour or per unit of instruction
 6        shall be  equal  to  the  general  state  aid  per  pupil
 7        foundation level established in subsection (B) of Section
 8        18-8.05, divided by 60;
 9             (2)  The  maximum  reimbursement  per credit hour or
10        per unit of instruction in subparagraph (1)  above  shall
11        be  weighted  for students enrolled in classes defined as
12        vocational skills and approved by the Illinois  Community
13        College Board by 1.25;
14             (3)  The  maximum  reimbursement  per credit hour or
15        per unit of instruction in subparagraph (1)  above  shall
16        be  multiplied  by  .90  for students enrolled in classes
17        defined  as  adult  secondary  education   programs   and
18        approved by the Illinois Community College Board;
19             (4)  (Blank)  For  community  college  districts the
20        maximum reimbursement per credit  hour  in  subparagraphs
21        (1),  (2),  and  (3)  above shall be reduced by the Adult
22        Basic Education/Adult Secondary  Education/English  As  A
23        Second  Language  credit  hour  grant  rate prescribed in
24        Section 2-16.02 of the Public Community College  Act,  as
25        pro-rated to the appropriation level; and
26             (5)  Programs receiving funds under the formula that
27        was  in  effect  during  the 1994-1995 program year which
28        continue to be approved and which generate at  least  80%
29        of  the  hours  claimable  in  1994-95, or in the case of
30        programs not approved in 1994-95  at  least  80%  of  the
31        hours  claimable  in  1995-96,  shall  have  funding  for
32        subsequent  years  based upon 100% of the 1995-96 formula
33        funding level for 1996-97, 90%  of  the  1995-96  formula
34        funding  level  for  1997-98,  80% of the 1995-96 formula
 
                            -48-     LRB093 03065 NHT 17280 a
 1        funding level for 1998-99, and 70% of the 1995-96 formula
 2        funding level for 1999-2000.  For  any  approved  program
 3        which  generates  less than 80% of the claimable hours in
 4        its base year, the level  of  funding  pursuant  to  this
 5        paragraph  shall be reduced proportionately.  Funding for
 6        program years after 1999-2000 shall be determined by  the
 7        Illinois Community College Board.
 8        (d)  Upon  its  annual  approval,, the Illinois Community
 9    College Board shall provide grants to eligible  programs  for
10    supplemental  activities  to improve or expand services under
11    the  Adult  Education  Act.    Eligible  programs  shall   be
12    determined based upon performance outcomes of students in the
13    programs as set by the Illinois Community College Board.
14        (e)  Reimbursement  under  this  Section shall not exceed
15    the actual costs of the approved program.
16        If the amount  appropriated  to  the  Illinois  Community
17    College  Board  for  reimbursement under this Section is less
18    than the amount required under this  Act,  the  apportionment
19    shall be proportionately reduced.
20        School  districts  and  community  college  districts may
21    assess students up to $3.00  per  credit  hour,  for  classes
22    other than Adult Basic Education level programs, if needed to
23    meet program costs.
24        (f)  An  education  plan  shall  be  established for each
25    adult or youth whose schooling has been interrupted  and  who
26    is participating in the instructional programs provided under
27    this Section.
28        Each  school  board  and  community college shall keep an
29    accurate and detailed account of the students assigned to and
30    receiving instruction under this Section who are  subject  to
31    State  reimbursement  and  shall  submit  reports of services
32    provided commencing with fiscal year 1997 as required by  the
33    Illinois Community College Board.
34        For  classes authorized under this Section, a credit hour
 
                            -49-     LRB093 03065 NHT 17280 a
 1    or unit of  instruction  is  equal  to  15  hours  of  direct
 2    instruction for students enrolled in approved adult education
 3    programs  at  midterm  and  making  satisfactory progress, in
 4    accordance  with  standards  established  by   the   Illinois
 5    Community College Board.
 6        (g)  Upon  proof  submitted to the Illinois Department of
 7    Human Services of the payment of all claims  submitted  under
 8    this  Section,  that Department shall apply for federal funds
 9    made available therefor and any  federal  funds  so  received
10    shall  be  paid  into  the  General Revenue Fund in the State
11    Treasury.
12        School districts or community colleges providing  classes
13    under  this Section shall submit applications to the Illinois
14    Community College Board for preapproval  in  accordance  with
15    the  standards  established by the Illinois Community College
16    Board.  Payments shall be  made  by  the  Illinois  Community
17    College   Board   based   upon  approved  programs.   Interim
18    expenditure reports may be required by the Illinois Community
19    College Board.  Final claims for the  school  year  shall  be
20    submitted  to the regional superintendents for transmittal to
21    the  Illinois  Community  College  Board.    Final   adjusted
22    payments shall be made by September 30.
23        If  a school district or community college district fails
24    to provide, or is providing  unsatisfactory  or  insufficient
25    classes  under  this  Section, the Illinois Community College
26    Board may  enter  into  agreements  with  public  or  private
27    educational  or  other agencies other than the public schools
28    for the establishment of such classes.
29        (h)  If a school district or community  college  district
30    establishes   child-care   facilities  for  the  children  of
31    participants in classes established under  this  Section,  it
32    may  extend  the use of these facilities to students who have
33    obtained employment and to other  persons  in  the  community
34    whose  children require care and supervision while the parent
 
                            -50-     LRB093 03065 NHT 17280 a
 1    or other person in charge of  the  children  is  employed  or
 2    otherwise absent from the home during all or part of the day.
 3    It may make the facilities available before and after as well
 4    as  during  regular  school hours to school age and preschool
 5    age children who may benefit thereby, including children  who
 6    require  care  and  supervision  pending  the return of their
 7    parent  or  other  person  in  charge  of  their  care   from
 8    employment or other activity requiring absence from the home.
 9        The  Illinois  Community  College  Board shall pay to the
10    board the cost of care in the facilities for any child who is
11    a recipient of financial aid under the  Illinois  Public  Aid
12    Code.
13        The  board  may  charge  for care of children for whom it
14    cannot make claim under the provisions of this Section.   The
15    charge  shall  not  exceed per capita cost, and to the extent
16    feasible, shall  be  fixed  at  a  level  which  will  permit
17    utilization  by  employed  parents of low or moderate income.
18    It may also permit any  other  State  or  local  governmental
19    agency  or  private  agency  providing  care  for children to
20    purchase care.
21        After  July  1,  1970  when  the  provisions  of  Section
22    10-20.20 become operative in  the  district,  children  in  a
23    child-care  facility shall be transferred to the kindergarten
24    established under that Section for such portion of the day as
25    may be required for the kindergarten program,  and  only  the
26    prorated  costs  of  care and training provided in the Center
27    for the remaining period shall be  charged  to  the  Illinois
28    Department  of  Human  Services  or other persons or agencies
29    paying for such care.
30        (i)  The provisions of this Section shall also  apply  to
31    school districts having a population exceeding 500,000.
32        (j)  In  addition  to  claiming  reimbursement under this
33    Section, a school district may claim general State aid  under
34    Section  18-8.05 for any student under age 21 who is enrolled
 
                            -51-     LRB093 03065 NHT 17280 a
 1    in courses accepted for graduation from  elementary  or  high
 2    school  and  who  otherwise meets the requirements of Section
 3    18-8.05.
 4    (Source: P.A.  90-14,  eff.  7-1-97;  90-548,  eff.   1-1-98;
 5    90-802, eff. 12-15-98; 91-830, eff. 7-1-01; revised 2-17-03.)

 6        Section  10-10.   The  Adult  Education Act is amended by
 7    changing Section 3-1 as follows:

 8        (105 ILCS 405/3-1) (from Ch. 122, par. 203-1)
 9        Sec. 3-1.  Apportionment for Adult Education Courses. Any
10    school  district  or  public   community   college   district
11    maintaining  adult  education  classes for the instruction of
12    persons over 21 years of age and youths under 21 years of age
13    whose schooling has been interrupted  shall  be  entitled  to
14    claim  an  apportionment in accordance with the provisions of
15    Section 10-22.20 of the School Code and Section 2-4  of  this
16    Act.  Any public community college district maintaining adult
17    education classes for the  instruction  of  persons  over  21
18    years of age and youths under 21 years of age whose schooling
19    has   been   interrupted   shall  be  entitled  to  claim  an
20    apportionment in accordance with the  provisions  of  Section
21    2-16.02 of the Public Community College Act.
22        Reimbursement  as  herein  provided  shall  be limited to
23    courses regularly accepted for graduation from elementary  or
24    high  schools and for Americanization and General Educational
25    Development Review classes which are approved by the Board.
26        If the amount appropriated for this purpose is less  than
27    the amount required under the provisions of this Section, the
28    apportionment  for  local  districts shall be proportionately
29    reduced.
30    (Source: P.A. 91-830, eff. 7-1-00.)

31        Section 10-15.   The  Public  Community  College  Act  is
 
                            -52-     LRB093 03065 NHT 17280 a
 1    amended  by  changing Section 2-16.02 and adding Section 2-20
 2    as follows:

 3        (110 ILCS 805/2-16.02) (from Ch. 122, par. 102-16.02)
 4        Sec. 2-16.02.  Grants.  Any  community  college  district
 5    that  maintains  a  community college recognized by the State
 6    Board shall receive, when eligible, grants enumerated in this
 7    Section.  Funded semester credit hours or other  measures  or
 8    both  as  specified  by  the  State  Board  shall  be used to
 9    distribute grants to  community  colleges.   Funded  semester
10    credit  hours shall be defined, for purposes of this Section,
11    as the greater of (1) the number of semester credit hours, or
12    equivalent,  in  all  funded  instructional   categories   of
13    students  who  have  been certified as being in attendance at
14    midterm during the respective terms of the base  fiscal  year
15    or  (2)  the average of semester credit hours, or equivalent,
16    in all funded instructional categories of students  who  have
17    been  certified  as being in attendance at midterm during the
18    respective terms of the base fiscal  year  and  the  2  prior
19    fiscal  years.   For  purposes  of this Section, "base fiscal
20    year" means the fiscal year 2 years prior to the fiscal  year
21    for  which  the grants are appropriated.  Such students shall
22    have been residents of Illinois and shall have been  enrolled
23    in  courses that are part of instructional program categories
24    approved by the State Board and that are applicable toward an
25    associate degree or certificate. Courses  that  are  eligible
26    for  reimbursement  are  those courses for which the district
27    pays 50% or more  of  the  program  costs  from  unrestricted
28    revenue  sources,  with  the  exception of courses offered by
29    contract with the Department of Corrections  in  correctional
30    institutions. For the purposes of this Section, "unrestricted
31    revenue  sources"  means those revenues in which the provider
32    of the revenue imposes  no  financial  limitations  upon  the
33    district  as  it  relates  to  the  expenditure of the funds.
 
                            -53-     LRB093 03065 NHT 17280 a
 1    Courses are not eligible for reimbursement where the district
 2    receives federal or State financing or both, except financing
 3    through the State Board, for 50% or more of the program costs
 4    with the exception of courses offered by  contract  with  the
 5    Department of Corrections in correctional institutions.  Base
 6    operating  grants  shall  be  paid  based on rates per funded
 7    semester credit hour or equivalent calculated  by  the  State
 8    Board  for  funded  instructional  categories  using  cost of
 9    instruction,  enrollment,  inflation,  and   other   relevant
10    factors.  A  portion  of  the  base  operating grant shall be
11    allocated  on  the  basis  of  non-residential  gross  square
12    footage of space maintained by the district.
13        Equalization grants shall  be  calculated  by  the  State
14    Board by determining a local revenue factor for each district
15    by:   (A)  adding  (1)  each  district's  Corporate  Personal
16    Property  Replacement  Fund  allocations from the base fiscal
17    year or the average of the base fiscal year and  prior  year,
18    whichever  is  less,  divided  by  the  applicable  statewide
19    average  tax rate to (2) the district's most recently audited
20    year's equalized assessed valuation or  the  average  of  the
21    most recently audited year and prior year, whichever is less,
22    (B)   then  dividing  by  the  district's  audited  full-time
23    equivalent resident students for the base fiscal year or  the
24    average  for  the  base   fiscal  year and the 2 prior fiscal
25    years, whichever is greater, and (C) then multiplying by  the
26    applicable statewide average tax rate.  The State Board shall
27    calculate  a statewide weighted average threshold by applying
28    the  same  methodology  to  the  totals  of  all   districts'
29    Corporate Personal Property Tax Replacement Fund allocations,
30    equalized   assessed   valuations,   and   audited  full-time
31    equivalent district resident students and multiplying by  the
32    applicable   statewide  average  tax  rate.   The  difference
33    between the statewide  weighted  average  threshold  and  the
34    local  revenue  factor, multiplied by the number of full-time
 
                            -54-     LRB093 03065 NHT 17280 a
 1    equivalent resident students, shall determine the  amount  of
 2    equalization  funding  that  each  district  is  eligible  to
 3    receive.   A  percentage  factor,  as determined by the State
 4    Board, may be applied to the statewide threshold as a  method
 5    for  allocating equalization funding.  A minimum equalization
 6    grant of an amount per district as determined  by  the  State
 7    Board shall be established for any community college district
 8    which  qualifies  for  an  equalization  grant based upon the
 9    preceding criteria, but becomes ineligible  for  equalization
10    funding,  or  would  have  received  a grant of less than the
11    minimum  equalization  grant,  due  to  threshold  prorations
12    applied to reduce equalization funding. As of July 1, 2004, a
13    community college district must maintain a  minimum  required
14    combined  in-district  tuition  and  universal  fee  rate per
15    semester credit  hour  equal  to  85%  of  the  State-average
16    combined   rate,  as  determined  by  the  State  Board,  for
17    equalization funding. As of July 1, 2004, a community college
18    district must maintain a minimum required operating tax  rate
19    equal  to  at least 95% of its maximum authorized tax rate to
20    qualify for equalization funding. This 95% minimum  tax  rate
21    requirement  shall  be  based  upon the maximum operating tax
22    rate as limited by the Property Tax Extension Limitation Law.
23     As  of  July  1,  1997,  community  college  districts  must
24    maintain a minimum  required  in-district  tuition  rate  per
25    semester  credit  hour as determined by the State Board.  For
26    each fiscal year between July 1,  1997  and  June  30,  2001,
27    districts  not  meeting  the  minimum  required  rate will be
28    subject to a percent reduction  of  equalization  funding  as
29    determined by the State Board.  As of July 1, 2001, districts
30    must  meet  the  required minimum in-district tuition rate to
31    qualify for equalization funding.
32        The State Board shall distribute such other grants as may
33    be authorized or appropriated by the General Assembly.
34        Each community college district entitled to State  grants
 
                            -55-     LRB093 03065 NHT 17280 a
 1    under  this Section must submit a report of its enrollment to
 2    the State Board not later than 30 days following the  end  of
 3    each semester, quarter, or term in a format prescribed by the
 4    State  Board.   These  semester  credit hours, or equivalent,
 5    shall be certified by each district on forms provided by  the
 6    State  Board.   Each  district's  certified  semester  credit
 7    hours,  or  equivalent,  are  subject  to  audit  pursuant to
 8    Section 3-22.1.
 9        The State Board shall certify, prepare, and submit to the
10    State Comptroller during August, November, February, and  May
11    of each fiscal year vouchers setting forth an amount equal to
12    25%  of  the  grants  approved  by  the  State Board for base
13    operating grants and equalization grants.   The  State  Board
14    shall  prepare  and  submit to the State Comptroller vouchers
15    for payments of other grants as appropriated by  the  General
16    Assembly.  If the amount appropriated for grants is different
17    from  the amount provided for such grants under this Act, the
18    grants  shall  be  proportionately   reduced   or   increased
19    accordingly.
20        For  the  purposes  of  this  Section, "resident student"
21    means a student in a community college district who maintains
22    residency  in  that  district  or   meets   other   residency
23    definitions  established  by  the  State  Board,  and who was
24    enrolled either in one of the approved instructional  program
25    categories  in that district, or in another community college
26    district to which the resident's district is  paying  tuition
27    under  Section  6-2 or with which the resident's district has
28    entered into a cooperative agreement in lieu of such tuition.
29        For  the  purposes  of   this   Section,   a   "full-time
30    equivalent" student is equal to 30 semester credit hours.
31        The Illinois Community College Board Contracts and Grants
32    Fund  is  hereby  created  in  the  State Treasury.  Items of
33    income  to  this  fund  shall  include  any  grants,  awards,
34    endowments, or like proceeds, and  where  appropriate,  other
 
                            -56-     LRB093 03065 NHT 17280 a
 1    funds  made  available  through  contracts with governmental,
 2    public,  and  private  agencies  or  persons.   The   General
 3    Assembly  shall from time to time make appropriations payable
 4    from such fund for the support, improvement, and expenses  of
 5    the State Board and Illinois community college districts.
 6    (Source:  P.A.  89-141,  eff.  7-14-95; 89-281, eff. 8-10-95;
 7    89-473, eff.  6-18-96;  89-626,  eff.  8-9-96;  90-468,  eff.
 8    8-17-97;  90-486, eff. 8-17-97; 90-497, eff. 8-18-97; 90-587,
 9    eff. 8-7-98 (contingent upon 90-720); 90-655,  eff.  7-30-98;
10    90-720, eff. 8-7-98.)

11        (110 ILCS 805/2-20 new)
12        Sec.  2-20.  Deferred maintenance grants. For fiscal year
13    2004 only, the State Board shall award a deferred maintenance
14    grant only to a district to which Article  VII  of  this  Act
15    applies,  for  that  district's  general purposes. This grant
16    shall be awarded under a  formula  determined  by  the  State
17    Board.

18        Section  10-20.   The Higher Education Student Assistance
19    Act is amended by changing Section 52 as follows:

20        (110 ILCS 947/52)
21        Sec. 52.  Illinois Future Teacher  Corps  ITEACH  Teacher
22    Shortage Scholarship Program.
23        (a)  In order to encourage academically talented Illinois
24    students,  especially  minority  students, to pursue teaching
25    careers, especially in teacher  shortage  disciplines  (which
26    shall  be defined to include early childhood education) or at
27    hard-to-staff  schools  (as  defined  by  the  Commission  in
28    consultation  with  the  State  Board  of   Education),   the
29    Commission   shall,   each   year,   receive   and   consider
30    applications  for  scholarship assistance under this Section.
31    An applicant is eligible for a scholarship under this Section
 
                            -57-     LRB093 03065 NHT 17280 a
 1    when the Commission finds that the applicant is:
 2             (1)  a United States citizen or eligible noncitizen;
 3             (2)  a resident of Illinois;
 4             (3)  a high school graduate  or  a  person  who  has
 5        received a General Educational Development Certificate;
 6             (4)  enrolled or accepted for enrollment at or above
 7        the  junior  level,  on at least a half-time basis, at an
 8        Illinois institution of higher learning; and
 9             (5)  pursuing  a  postsecondary  course   of   study
10        leading  to  initial  certification in a teacher shortage
11        discipline or pursuing additional course work  needed  to
12        gain   State   Board  of  Education  approval  to  teach,
13        including  alternative  teacher  certification,   in   an
14        approved  specialized  area  in  which a teacher shortage
15        exists.
16        (b)  Recipients shall be selected from  among  applicants
17    qualified  pursuant  to subsection (a) based on a combination
18    of the following criteria as set forth by the Commission: (1)
19    academic excellence; (2) status  as  a  minority  student  as
20    defined  in  Section  50; and (3) financial need.  Preference
21    may be given to previous recipients of assistance under  this
22    Section,  provided  they continue to maintain eligibility and
23    maintain satisfactory academic progress as determined by  the
24    institution   of   higher  learning  at  which  they  enroll.
25    Preference may also be given to qualified applicants enrolled
26    at or above the junior level.
27        (c)  Each scholarship awarded under this Section shall be
28    in an amount sufficient to pay the tuition and fees and  room
29    and  board  costs  of  the  Illinois  institution  of  higher
30    learning  at which the recipient is enrolled, up to an annual
31    maximum of $5,000; except that in the case of a recipient who
32    does not  reside  on-campus  at  the  institution  of  higher
33    learning  at  which  he or she is enrolled, the amount of the
34    scholarship shall  be  sufficient  to  pay  tuition  and  fee
 
                            -58-     LRB093 03065 NHT 17280 a
 1    expenses and a commuter allowance, up to an annual maximum of
 2    $5,000.  For  recipients  who  agree  to  teach  in a teacher
 3    shortage  discipline  or  at  a  hard-to-staff  school  under
 4    subsection (i) of this Section, the Commission may,  by  rule
 5    and  subject  to  appropriation,  increase the annual maximum
 6    amount to $10,000. If a recipient agrees to teach in  both  a
 7    teacher  shortage  discipline  and  at a hard-to-staff school
 8    under subsection (i) of  this  Section,  the  Commission  may
 9    increase  the  amount  of the scholarship awarded by up to an
10    additional $5,000.
11        (d)  The total amount of scholarship  assistance  awarded
12    by  the Commission under this Section to an individual in any
13    given fiscal year, when added to other  financial  assistance
14    awarded  to  that  individual for that year, shall not exceed
15    the cost of attendance at the institution of higher  learning
16    at which the student is enrolled.
17        (e)  A  recipient may receive up to 4 8 semesters or 6 12
18    quarters of scholarship assistance under this Section.
19        (f)  All applications for scholarship  assistance  to  be
20    awarded under this Section shall be made to the Commission in
21    a  form  as  set  forth  by  the  Commission.   The  form  of
22    application  and  the  information  required  to be set forth
23    therein shall  be  determined  by  the  Commission,  and  the
24    Commission  shall  require eligible applicants to submit with
25    their  applications  such   supporting   documents   as   the
26    Commission deems necessary.
27        (g)  Subject  to  a  separate appropriation made for such
28    purposes, payment  of  any  scholarship  awarded  under  this
29    Section shall be determined by the Commission. There shall be
30    a  separate  appropriation  made  for scholarships awarded to
31    recipients  who  agree  to  teach  in  a   teacher   shortage
32    discipline  or at a hard-to-staff school under subsection (i)
33    of this Section.  The  Commission  may  use  for  scholarship
34    assistance  under this Section (i) all funds appropriated for
 
                            -59-     LRB093 03065 NHT 17280 a
 1    scholarships under this Section that were formerly  known  as
 2    ITEACH  Teacher  Shortage  Scholarships  and  (ii)  all funds
 3    appropriated for scholarships under Section 65.65 of this Act
 4    (repealed  by  this  amendatory  Act  of  the  93rd   General
 5    Assembly),  formerly  known  as Illinois Future Teacher Corps
 6    Scholarships.
 7        All scholarship funds distributed in accordance with this
 8    Section shall be paid to the institution  on  behalf  of  the
 9    recipients.    Scholarship  funds  are  applicable  toward  2
10    semesters or 3 quarters  of  enrollment  within  an  academic
11    year.
12        (h)  The  Commission  shall administer the ITEACH Teacher
13    Shortage scholarship program established by this Section  and
14    shall  make  all  necessary and proper rules not inconsistent
15    with this Section for its effective implementation.
16        (i)  Prior to receiving scholarship  assistance  for  any
17    academic  year, each recipient of a scholarship awarded under
18    this Section shall be required by the Commission to  sign  an
19    agreement  under which the recipient pledges that, within the
20    one-year period following the  termination  of  the  academic
21    program  for  which  the recipient was awarded a scholarship,
22    the recipient: (i) shall begin teaching in a teacher shortage
23    discipline for a period of not less than 5 years one year for
24    each  year  of  scholarship  assistance  awarded  under  this
25    Section, (ii) shall fulfill this  teaching  obligation  at  a
26    nonprofit Illinois public, private, or parochial preschool or
27    an  Illinois public elementary or secondary school, and (iii)
28    shall, upon request of the Commission, provide the Commission
29    with evidence that he or she is fulfilling or  has  fulfilled
30    the  terms  of  the  teaching  agreement provided for in this
31    subsection.
32        (j)  If a recipient of a scholarship awarded  under  this
33    Section fails to fulfill the teaching obligation set forth in
34    subsection  (i) of this Section, the Commission shall require
 
                            -60-     LRB093 03065 NHT 17280 a
 1    the  recipient  to  repay  the  amount  of  the  scholarships
 2    received, prorated according to the fraction of the  teaching
 3    obligation  not  completed, plus interest at a rate of 5% and
 4    if applicable, reasonable collection fees.  The Commission is
 5    authorized to establish  rules  relating  to  its  collection
 6    activities  for repayment of scholarships under this Section.
 7    Payments received by the Commission under this subsection (j)
 8    shall be remitted to the State Comptroller for  deposit  into
 9    the  General  Revenue  Fund,  except  that  that portion of a
10    recipient's repayment that equals the amount in expenses that
11    the  Commission  has  reasonably   incurred   in   attempting
12    collection from that recipient shall be remitted to the State
13    Comptroller   for  deposit  into  the  Commission's  Accounts
14    Receivable Fund.
15        (k)  A  recipient  of  a  scholarship  awarded   by   the
16    Commission  under  this  Section shall not be in violation of
17    the agreement entered into pursuant to subsection (i) if  the
18    recipient  (i)  enrolls  on  a  full-time basis as a graduate
19    student in a course of study related to the field of teaching
20    at an institution of higher learning; (ii) is  serving  as  a
21    member  of the armed services of the United States;  (iii) is
22    temporarily  totally  disabled,  as  established   by   sworn
23    affidavit  of  a  qualified physician; or (iv) is seeking and
24    unable to find full-time employment as a teacher at a  school
25    that  satisfies  the criteria set forth in subsection (i) and
26    is able to provide evidence of that fact.  Any such extension
27    of the period during which the teaching requirement  must  be
28    fulfilled  shall  be  subject  to  limitations of duration as
29    established by the Commission.
30    (Source: P.A. 91-670, eff. 12-22-99; 92-845, eff. 1-1-03.)

31        Section 10-25.  The Illinois Vehicle Code is  amended  by
32    changing 3-648 as follows:
 
                            -61-     LRB093 03065 NHT 17280 a
 1        (625 ILCS 5/3-648)
 2        Sec. 3-648.  Education license plates.
 3        (a)  The  Secretary,  upon receipt of an application made
 4    in the form prescribed by the Secretary,  may  issue  special
 5    registration  plates  designated as Education license plates.
 6    The special plates issued under this Section shall be affixed
 7    only to passenger vehicles of the first  division  and  motor
 8    vehicles  of the second division weighing not more than 8,000
 9    pounds.   Plates  issued  under  this  Section  shall  expire
10    according to the multi-year procedure established by  Section
11    3-414.1 of this Code.
12        (b)  The   design  and  color  of  the  plates  shall  be
13    determined by a contest that every elementary school pupil in
14    the State of Illinois  is  eligible  to  enter.  The  designs
15    submitted  for  the  contest shall be judged on September 30,
16    2002, and the winning design shall be selected by a committee
17    composed of the Secretary, the Director of  State  Police,  2
18    members  of the Senate, one member chosen by the President of
19    the Senate and one  member  chosen  by  the  Senate  Minority
20    Leader,  and  2  members of the House of Representatives, one
21    member chosen by the Speaker of  the  House  and  one  member
22    chosen  by the House Minority Leader. The Secretary may allow
23    the plates to be issued  as  vanity  or  personalized  plates
24    under  Section  3-405.1  of  the  Code.   The Secretary shall
25    prescribe stickers or decals as provided under Section  3-412
26    of this Code.
27        (c)  An  applicant for the special plate shall be charged
28    a  $40  fee  for  original  issuance,  in  addition  to   the
29    appropriate registration fee. Of this $40 additional original
30    issuance  fee,  $15  shall be deposited into the Secretary of
31    State Special License Plate Fund, to be used by the Secretary
32    to help defray the administrative processing costs,  and  $25
33    shall  be  deposited  into  the Illinois Future Teacher Corps
34    Scholarship Fund.  For each registration  renewal  period,  a
 
                            -62-     LRB093 03065 NHT 17280 a
 1    $40  fee,  in  addition  to the appropriate registration fee,
 2    shall be charged. Of this  $40  additional  renewal  fee,  $2
 3    shall  be  deposited  into  the  Secretary  of  State Special
 4    License Plate Fund  and  $38  shall  be  deposited  into  the
 5    Illinois  Future Teacher Corps Scholarship Fund.  Each fiscal
 6    year, once deposits from the additional original issuance and
 7    renewal fees into the  Secretary  of  State  Special  License
 8    Plate  Fund  have  reached $500,000, all the amounts received
 9    for the additional fees for the balance of  the  fiscal  year
10    shall  be  deposited  into  the Illinois Future Teacher Corps
11    Scholarship Fund.
12        (d)  The Illinois Future Teacher Corps  Scholarship  Fund
13    is   created  as  a  special  fund  in  the  State  treasury.
14    Ninety-five percent of the  moneys  in  the  Illinois  Future
15    Teacher  Corps  Scholarship Fund shall be appropriated to the
16    Illinois Student Assistance Commission for scholarships under
17    Section  52  or  65.65  of  the  Higher   Education   Student
18    Assistance  Act,  and 5% of the moneys in the Illinois Future
19    Teacher Corps Scholarship Fund shall be appropriated  to  the
20    State  Board  of  Education  for  grants  to the Golden Apple
21    Foundation  for  Excellence   in   Teaching,   a   recognized
22    charitable  organization that meets the requirements of Title
23    26, Section 501(c)(3) of the United States Code.
24    (Source: P.A. 92-445, eff.  8-17-01;  92-651,  eff.  7-11-02;
25    92-845, eff. 1-1-03.)

26        (110 ILCS 947/65.65 rep.)
27        Section  10-30.   The Higher Education Student Assistance
28    Act is amended by repealing Section 65.65.

29                             Article 99

30        Section 99-99.  Effective date. This Act takes effect  on
31    July 1, 2003.".