HJ0113 94TH GENERAL ASSEMBLY

HJ0113 LRB094 13465 NHT 57687 r

HOUSE JOINT RESOLUTION

WHEREAS, The reform of the Chicago public school system in 1995 granted the mayor of the City of Chicago and the board of education a great deal of flexibility in the management of City of Chicago School District 299 (CPS); and

WHEREAS, CPS still receives a quarter of the State's annual appropriations for elementary and secondary education; and

WHEREAS, CPS received approximately $1.6 billion in fiscal year 2006 in State funding, representing an increase of more than $90 million; and

WHEREAS, Despite the increase in State funding, the Chicago Board of Education approved a budget of approximately $5 billion, down $2.4 million from fiscal year 2005; and

WHEREAS, The fiscal year 2006 budget for CPS calls for a 1.9% property tax hike (the maximum increase allowed under State law) and also calls for the school district to dip into its cash reserves for the second time in 3 years; and

WHEREAS, CPS's budget has been criticized by taxpayer watchdog groups as lacking in transparency, with operating costs continuing to skyrocket despite reduced staffing and enrollment; and

WHEREAS, Following the adoption of the budget by the Chicago Board of Education, local taxpayer watchdog groups issued a letter to the State Board of Education demanding a State audit of the school district's use of consultants, which the Chicago Board of Education has increased by $70 million for fiscal year 2006; and

WHEREAS, Further concerns have been raised over community input into the decisions on which schools should be shuttered and which proposed schools should serve as replacements under Chicago's Renaissance 2010 plan that calls for the closure of 60 of the lowest performing schools in order to open 100 new charter, contract, or performance schools over the next 5 years; and

WHEREAS, CPS received $11 million in new funding in fiscal year 2006 for early childhood education programs, which the Chicago Board of Education has decided to use as grants to private day care centers to boost salaries, hire certified teachers, buy supplies, and train staff on educational techniques rather than expand preschool programs to reduce the current waiting list; and

WHEREAS, CPS continues to face a major budget deficit of $328 million in fiscal year 2007; and

WHEREAS, In an effort to reduce that deficit, CPS has proposed cutting teaching positions, asking for another property tax hike, and, even more significantly, asking the General Assembly for a waiver so that CPS may forgo its $70 million pension obligation to the Public School Teachers' Pension and Retirement Fund of Chicago, a payment that will only continue to grow in outlying fiscal years; therefore, be it

RESOLVED, BY THE HOUSE OF REPRESENTATIVES OF THE NINETY-FOURTH GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, THE SENATE CONCURRING HEREIN, that we direct the Auditor General to immediately conduct a management, performance, and financial audit of the Chicago Board of Education to determine the efficiency with which both State and local funds provided to CPS are handled; and be it further

RESOLVED, That we urge full cooperation by Mayor Richard M. Daley and the Chicago Board of Education during the course of the Auditor General's investigation; and be it further

RESOLVED, That the Auditor General, in his audit reports, advise the General Assembly as to any areas of inefficiency and mismanagement and the extent to which these would result in cost savings to the school district and the State should they be corrected; and be it further

RESOLVED, That the Auditor General, in his reports, should advise the General Assembly and the Chicago Board of Education on how to create more transparency in the school district's budget and improve the overall accounting, reporting, and budgeting systems of the school district; and be it further

RESOLVED, That the Auditor General's audit reports concerning the Chicago Board of Education and CPS be submitted to the General Assembly and the Governor; and be it further

RESOLVED, That suitable copies of this resolution be delivered to the Auditor General, the Legislative Audit Commission, the Chicago Board of Education, Mayor Richard M. Daley, and the State Board of Education.