Rep. Thomas M. Bennett

Filed: 1/6/2022

 

 


 

 


 
10200HB3637ham002LRB102 16919 CMG 30346 a

1
AMENDMENT TO HOUSE BILL 3637

2    AMENDMENT NO. ______. Amend House Bill 3637 by replacing
3everything after the enacting clause with the following:
 
4    "Section 5. The State Finance Act is amended by changing
5Section 6z-45 as follows:
 
6    (30 ILCS 105/6z-45)
7    Sec. 6z-45. The School Infrastructure Fund.
8    (a) The School Infrastructure Fund is created as a special
9fund in the State Treasury.
10    In addition to any other deposits authorized by law,
11beginning January 1, 2000, on the first day of each month, or
12as soon thereafter as may be practical, the State Treasurer
13and State Comptroller shall transfer the sum of $5,000,000
14from the General Revenue Fund to the School Infrastructure
15Fund, except that, notwithstanding any other provision of law,
16and in addition to any other transfers that may be provided for

 

 

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1by law, before June 30, 2012, the Comptroller and the
2Treasurer shall transfer $45,000,000 from the General Revenue
3Fund into the School Infrastructure Fund, and, for fiscal year
42013 only, the Treasurer and the Comptroller shall transfer
5$1,250,000 from the General Revenue Fund to the School
6Infrastructure Fund on the first day of each month; provided,
7however, that no such transfers shall be made from July 1, 2001
8through June 30, 2003.
9    (a-5) Money in the School Infrastructure Fund may be used
10to pay the expenses of the State Board of Education, the
11Governor's Office of Management and Budget, and the Capital
12Development Board in administering programs under the School
13Construction Law, the total expenses not to exceed $1,315,000
14in any fiscal year.
15    (b) Subject to the transfer provisions set forth below,
16money in the School Infrastructure Fund shall, if and when the
17State of Illinois incurs any bonded indebtedness for the
18construction of school improvements under subsection (e) of
19Section 5 of the General Obligation Bond Act, be set aside and
20used for the purpose of paying and discharging annually the
21principal and interest on that bonded indebtedness then due
22and payable, and for no other purpose.
23    In addition to other transfers to the General Obligation
24Bond Retirement and Interest Fund made pursuant to Section 15
25of the General Obligation Bond Act, upon each delivery of
26bonds issued for construction of school improvements under the

 

 

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1School Construction Law, the State Comptroller shall compute
2and certify to the State Treasurer the total amount of
3principal of, interest on, and premium, if any, on such bonds
4during the then current and each succeeding fiscal year. With
5respect to the interest payable on variable rate bonds, such
6certifications shall be calculated at the maximum rate of
7interest that may be payable during the fiscal year, after
8taking into account any credits permitted in the related
9indenture or other instrument against the amount of such
10interest required to be appropriated for that period.
11    On or before the last day of each month, the State
12Treasurer and State Comptroller shall transfer from the School
13Infrastructure Fund to the General Obligation Bond Retirement
14and Interest Fund an amount sufficient to pay the aggregate of
15the principal of, interest on, and premium, if any, on the
16bonds payable on their next payment date, divided by the
17number of monthly transfers occurring between the last
18previous payment date (or the delivery date if no payment date
19has yet occurred) and the next succeeding payment date.
20Interest payable on variable rate bonds shall be calculated at
21the maximum rate of interest that may be payable for the
22relevant period, after taking into account any credits
23permitted in the related indenture or other instrument against
24the amount of such interest required to be appropriated for
25that period. Interest for which moneys have already been
26deposited into the capitalized interest account within the

 

 

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1General Obligation Bond Retirement and Interest Fund shall not
2be included in the calculation of the amounts to be
3transferred under this subsection.
4    (b-5) The money deposited into the School Infrastructure
5Fund from transfers pursuant to subsections (c-30) and (c-35)
6of Section 13 of the Illinois Gambling Act shall be applied,
7without further direction, as provided in subsection (b-3) of
8Section 5-35 of the School Construction Law.
9    (b-7) In fiscal year 2021 only, of the surplus, if any, in
10the School Infrastructure Fund after payments made pursuant to
11subsections (a-5), (b), and (b-5) of this Section, $20,000,000
12shall be transferred to the General Revenue Fund.
13    (c) The surplus, if any, in the School Infrastructure Fund
14after payments made pursuant to subsections (a-5), (b), (b-5),
15and (b-7) of this Section shall, subject to appropriation, be
16used as follows:
17    First - to make 3 payments to the School Technology
18Revolving Loan Fund as follows:
19        Transfer of $30,000,000 in fiscal year 1999;
20        Transfer of $20,000,000 in fiscal year 2000; and
21        Transfer of $10,000,000 in fiscal year 2001.
22    Second - to pay any amounts due for grants for school
23construction projects and debt service under the School
24Construction Law.
25    Third - to pay any amounts due for grants for school
26maintenance projects under the School Construction Law.

 

 

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1(Source: P.A. 100-23, eff. 7-6-17; 101-31, eff. 6-28-19;
2101-636, eff. 6-10-20.)
 
3    Section 10. The Local Government Debt Reform Act is
4amended by changing Section 16.5 as follows:
 
5    (30 ILCS 350/16.5)
6    Sec. 16.5. Proposition for bonds. For all elections held
7after July 1, 2000, the form of a proposition to authorize the
8issuance of bonds pursuant to either a referendum or backdoor
9referendum may be as set forth in this Section as an
10alternative to the form of proposition as otherwise set forth
11by applicable law. The proposition authorized by this Section
12shall be in substantially the following form:
13        Shall (name of governmental unit) (state purpose for
14    the bond issue) and issue its bonds to the amount of $
15    (state amount) for the purpose of paying the costs
16    thereof?
17    If a school district receives a conditional grant award
18from the Capital Development Board expects to receive a school
19construction grant from the State of Illinois pursuant to
20Section 5-15 of the School Construction Law for the a school
21construction project to be financed in part with proceeds of
22the bonds a bond authorized by referendum, then the form of
23proposition may at the option of the school district
24additionally contain substantially the following language:

 

 

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1        (Name of school district) expects to receive a school
2    construction grant from the State of Illinois in the
3    amount of $ (state amount) pursuant to the School
4    Construction Law to cover a portion of the total project
5    costs for the school construction project to be financed
6    in part with the proceeds of the bonds, based on the
7    conditional grant award received from the Capital
8    Development Board pursuant to the School Construction Law
9    (i) a grant entitlement from the State Board of Education
10    and (ii) current recognized project costs determined by
11    the Capital Development Board.
12(Source: P.A. 91-868, eff. 6-22-00; 92-879, eff. 1-13-03.)
 
13    Section 15. The School Construction Law is amended by
14changing Sections 5-5, 5-10, 5-15, 5-20, 5-25, 5-30, 5-35, and
155-50 as follows:
 
16    (105 ILCS 230/5-5)
17    Sec. 5-5. Definitions. As used in this Article:
18    "Conditional grant award" means the formal notification by
19the Capital Development Board to a school district of its
20conditional intent to award a grant to a school district to pay
21a portion of the recognized project cost for a school
22construction project. The grant award is conditioned upon
23receiving proof from the school district that it has funds
24available to cover the cost of the required local match.

 

 

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1    "Grant award amount" means an amount equal to the
2recognized project cost determined by the Capital Development
3Board for a school construction project multiplied by the
4grant award percentage and then adjusted as may be required
5pursuant to subsection (d) of Section 5-15.
6    "Grant award percentage" means a percentage equal to one
7minus the required local match percentage.
8    "Approved school construction bonds" mean bonds that were
9approved by referendum after January 1, 1996 but prior to
10January 1, 1998 as provided in Sections 19-2 through 19-7 of
11the School Code to provide funds for the acquisition,
12development, construction, reconstruction, rehabilitation,
13improvement, architectural planning, and installation of
14capital facilities consisting of buildings, structures,
15durable-equipment, and land for educational purposes.
16    "Grant index" means a figure for each school district
17equal to one minus the ratio of the district's equalized
18assessed valuation per pupil in average daily attendance to
19the equalized assessed valuation per pupil in average daily
20attendance of the district located at the 90th percentile for
21all districts of the same category. This definition applies
22only to school construction projects for which a grant
23application was filed for the 2004 through 2006 application
24cycles by a school district included on the State Board of
25Education's 2004 through 2006 School Construction Project
26Application Cycle listings and only for the purpose of

 

 

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1determining the amount of any adjustment pursuant to
2subsection (d) of Section 5-15 to a grant award amount for a
3project funded during the first application cycle opened after
4June 30, 2021. For the purpose of calculating the grant index,
5school districts are grouped into 2 categories, Category I and
6Category II. Category I consists of elementary and unit school
7districts. The equalized assessed valuation per pupil in
8average daily attendance of each school district in Category I
9shall be computed using its grades kindergarten through 8
10average daily attendance figure. A unit school district's
11Category I grant index shall be used for projects or portions
12of projects constructed for elementary school pupils. Category
13II consists of high school and unit school districts. The
14equalized assessed valuation per pupil in average daily
15attendance of each school district in Category II shall be
16computed using its grades 9 through 12 average daily
17attendance figure. A unit school district's Category II grant
18index shall be used for projects or portions of projects
19constructed for high school pupils. The changes made by this
20amendatory Act of the 92nd General Assembly apply to all
21grants made on or after the effective date of this amendatory
22Act, provided that for grants not yet made on the effective
23date of this amendatory Act but made in fiscal year 2001 and
24for grants made in fiscal year 2002, the grant index for a
25school district shall be the greater of (i) the grant index as
26calculated under this Law on or after the effective date of

 

 

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1this amendatory Act or (ii) the grant index as calculated
2under this Law before the effective date of this amendatory
3Act. The grant index shall be no less than 0.35 and no greater
4than 0.75 for each district; provided that the grant index for
5districts whose equalized assessed valuation per pupil in
6average daily attendance is at the 99th percentile and above
7for all districts of the same type shall be 0.00.
8    The grant index shall be calculated for each of those
9school districts forming a reorganized school district or
10cooperative high school if one or more of the following happen
11within the current or prior 2 fiscal years:
12        (1) a new school district is created in accordance
13    with Article 11E of the School Code;
14        (2) an existing school district annexes all of the
15    territory of one or more entire other school districts in
16    accordance with Article 7 of the School Code; or
17        (3) a cooperative high school is formed in accordance
18    with Section 10-22.22c of the School Code.
19The average grant index of those school districts shall be
20used as the grant index for the newly reorganized district or
21cooperative high school.
22    "Recognized project cost" means the total project cost for
23a school construction project determined by the Capital
24Development Board to be taken into account in calculating the
25grant award amount and the required local match for a school
26construction project.

 

 

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1    "Required local match" means an amount equal to the
2product of the recognized project cost determined by the
3Capital Development Board multiplied by a school district's
4required local match percentage, and then adjusted as may be
5required pursuant to Section 5-15.
6    "Required local match percentage" means a percentage equal
7to a school district's Local Capacity Percentage, as defined
8in Section 18-8.15 of the School Code, and as calculated by the
9State Superintendent of Education in the fiscal year in which
10the school district applies for a grant to be awarded pursuant
11to this Article, provided that the required local match
12percentage shall be no less than 10% and no greater than 90%
13for any district. With respect to a Type 40 area vocational
14center cooperative, a special education cooperative, or a
15cooperative high school, the required local match percentage
16is calculated by first multiplying each cooperative member
17district's average student enrollment utilized to calculate
18its latest Evidence-Based Funding, as defined in Section
1918-8.15 of the School Code, by the respective district's
20latest Local Capacity Percentage, as defined in Section
2118-8.15 of the School Code, to obtain a weighted average
22student enrollment. Then, the required local match percentage
23is calculated by taking the sum of all the member districts'
24weighted average student enrollment and dividing that sum by
25the sum of all the member districts' average student
26enrollment utilized to calculate the latest Evidence-Based

 

 

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1Funding.
2    "School construction project" means the acquisition,
3development, construction, reconstruction, rehabilitation,
4improvement, architectural planning, and installation of
5capital facilities consisting of buildings, structures,
6durable equipment, and land for educational purposes.
7    "School district" means a school district or a Type 40
8area vocational center or special education cooperative that
9is jointly owned, if the joint agreement includes language
10that specifies how the debt obligation is to be paid,
11including in the event that an entity withdraws from the joint
12agreement.
13    "School district" includes a cooperative high school, if
14the cooperative agreement includes language that specifies how
15the debt obligation is to be paid, including if an entity
16withdraws from the cooperative agreement or the cooperative
17agreement is terminated which shall be considered a high
18school district for the purpose of calculating its grant
19index.
20    "School maintenance project" means a project, other than a
21school construction project, intended to provide for the
22maintenance or upkeep of buildings or structures for
23educational purposes, but does not include ongoing operational
24costs.
25(Source: P.A. 96-731, eff. 8-25-09; 96-1381, eff. 1-1-11.)
 

 

 

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1    (105 ILCS 230/5-10)
2    Sec. 5-10. Grant awards. The Capital Development Board is
3authorized to make grants to school districts for school
4construction projects with funds appropriated by the General
5Assembly from the School Infrastructure Fund and the School
6Construction Fund pursuant to the provisions of this Article.
7The State Board of Education is authorized to make grants to
8school districts for debt service with funds appropriated by
9the General Assembly from the School Infrastructure Fund
10pursuant to the provisions of this Article.
11(Source: P.A. 90-548, eff. 1-1-98.)
 
12    (105 ILCS 230/5-15)
13    Sec. 5-15. Grant award amounts and required local match
14entitlements.
15    (a) After June 30, 2021, any time there is an
16appropriation of funds by the General Assembly from the School
17Infrastructure Fund or School Construction Fund and a release
18of the appropriated funds to the Capital Development Board for
19expenditure on grant awards pursuant to the provisions of this
20Article, the The State Board of Education is authorized to
21open an application cycle to receive grant applications from
22school districts issue grant entitlements for school
23construction projects. No grant application filed before the
24start of the first application cycle after June 30, 2021 may be
25considered. After the close of each application cycle, the

 

 

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1State Board of Education and debt service and shall determine
2the approval of applications, the required local match
3percentage for each approved application, and the priority
4order for school construction project grants to be made by the
5Capital Development Board and shall then notify all applicants
6regarding their eligibility for a grant. Such notification
7shall include an estimate of the required local match. The
8State Board of Education shall publish a list of applicants
9eligible for grants and forward it to the Capital Development
10Board. When issuing a grant entitlement for a school
11construction project, the Capital Development Board, as a part
12of that entitlement, shall certify to the district receiving
13the entitlement the dollar amount of the school construction
14project's cost that the district will be required to finance
15with non-grant funds in order to qualify to receive a school
16construction project grant under this Article from the Capital
17Development Board.
18    (b) The Capital Development Board, to the extent that
19appropriated funds have been released and proceeding through
20the list of eligible applicants in the order of priority
21determined by the State Board of Education, shall issue
22conditional grant awards to eligible school districts. An
23applicant that does not receive a conditional grant award
24notification must submit a new application during another
25application cycle in order to receive future consideration for
26a grant award.

 

 

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1    (c) The conditional grant award certifies to a school
2district the recognized project costs for its school
3construction project determined by the Capital Development
4Board, the applicable required local match percentage and
5grant award percentage, the required local match and grant
6award amount calculated by multiplying the required local
7match percentage and the grant award percentage by the
8recognized project cost, and the required local match and
9grant award amount as those amounts may be adjusted as
10required in subsection (d).
11    (d) The required local match and grant award amount are
12calculated by multiplying the required local match percentage
13and the grant award percentage by the recognized project cost,
14provided that, only during the first application cycle after
15June 30, 2021, these amounts may be adjusted if the applicant
16had previously expended funds on a school construction project
17on the 2004 through 2006 School Construction Grant Lists. In
18that case, the required local match shall be reduced (but not
19below zero) and the grant award amount shall be increased (to
20an amount no greater than the recognized project cost) by an
21amount determined by the Capital Development Board to be equal
22to the amount of the grant the applicant would have received
23pursuant to Section 5-35 had it been awarded a grant in 2004,
242005, or 2006 based on the 2004, 2005, or 2006 School
25Construction Grant List and the year in which the school
26district applied for the grant.

 

 

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1    (e) A school district shall have 2 years from the date the
2school district was issued a conditional grant award from the
3Capital Development Board to obtain the school district's
4required local match and receive a final grant award from the
5Capital Development Board. If the required local match is not
6obtained within the 2-year time frame, the school district
7shall be required to reapply in another application cycle,
8after the 2-year time frame, to be considered for a grant
9award. The State share of the grant amount in a conditional
10grant award that is not claimed by a school district within the
112-year time frame shall be reallocated to future application
12cycles after the 2-year time frame expires.
13(Source: P.A. 90-548, eff. 1-1-98; 91-55, eff. 6-30-99.)
 
14    (105 ILCS 230/5-20)
15    Sec. 5-20. Grant application; district facilities plan.
16School districts shall apply to the State Board of Education
17for school construction project grants and debt service
18grants. Districts filing grant applications shall submit to
19the State Board a district facilities plan that shall include,
20but not be limited to, an assessment of present and future
21district facility needs as required by present and anticipated
22educational programming, the availability of local financial
23resources including current revenues, fund balances, and
24unused bonding capacity, a fiscal plan for meeting present and
25anticipated debt service obligations, and a maintenance plan

 

 

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1and schedule that contain necessary assurances that new,
2renovated, and existing facilities are being or will be
3properly maintained. If a district that applies for a school
4construction project grant has no unused bonding capacity or
5if its unused bonding capacity may be less than the portion of
6the cost of the proposed school construction project that the
7district would be required to finance with non-grant funds,
8the amount certified by the Capital Development Board under
9Section 5-15 application and facilities plan submitted by the
10district shall set forth the estimated amount of the project's
11cost that the district proposes to finance by the issuance of
12bonds under subsection (n) of Section 19-1 of the School Code.
13The State Board of Education shall review and approve district
14facilities plans prior to prioritizing the applications
15issuing grant entitlements. Each district that receives a
16grant entitlement shall annually update its district
17facilities plan and submit the revised plan to the State Board
18for approval.
19(Source: P.A. 90-548, eff. 1-1-98; 91-55, eff. 6-30-99.)
 
20    (105 ILCS 230/5-25)
21    Sec. 5-25. Eligibility and project standards.
22    (a) The State Board of Education shall establish
23eligibility standards for school construction project grants
24and debt service grants. These standards shall include minimum
25enrollment requirements for eligibility for school

 

 

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1construction project grants of 200 students for elementary
2districts, 200 students for high school districts, and 400
3students for unit districts. The total enrollment of member
4districts forming a cooperative high school in accordance with
5subsection (c) of Section 10-22.22 of the School Code shall
6meet the minimum enrollment requirements specified in this
7subsection (a). The State Board of Education shall approve a
8district's eligibility for a school construction project grant
9or a debt service grant pursuant to the established standards.
10    For purposes only of determining a Type 40 area vocational
11center's eligibility for an entity included in a school
12construction project grant or a school maintenance project
13grant, an area vocational center shall be deemed eligible if
14one or more of its member school districts satisfy the grant
15index criteria set forth in this Law. A Type 40 area vocational
16center that makes application for school construction funds
17after August 25, 2009 (the effective date of Public Act
1896-731) shall be placed on the respective application cycle
19list. Type 40 area vocational centers must be placed last on
20the priority listing of eligible entities for the applicable
21fiscal year.
22    (b) The Capital Development Board shall establish project
23standards for all school construction project grants provided
24pursuant to this Article. These standards shall include space
25and capacity standards as well as the determination of
26recognized project costs that shall be eligible for State

 

 

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1financial assistance and enrichment costs that shall not be
2eligible for State financial assistance.
3    (c) The State Board of Education and the Capital
4Development Board shall not establish standards that
5disapprove or otherwise establish limitations that restrict
6the eligibility of (i) a school district with a population
7exceeding 500,000 for a school construction project grant
8based on the fact that any or all of the school construction
9project grant will be used to pay debt service or to make lease
10payments, as authorized by subsection (b) of Section 5-35 of
11this Law, (ii) a school district located in whole or in part in
12a county that imposes a tax for school facility or resources
13purposes pursuant to Section 5-1006.7 of the Counties Code, or
14(iii) a school district that (1) was organized prior to 1860
15and (2) is located in part in a city originally incorporated
16prior to 1840, based on the fact that all or a part of the
17school construction project is owned by a public building
18commission and leased to the school district or the fact that
19any or all of the school construction project grant will be
20used to pay debt service or to make lease payments.
21    (d) (Blank). A reorganized school district or cooperative
22high school may use a school construction application that was
23submitted by a school district that formed the reorganized
24school district or cooperative high school if that application
25has not been entitled for a project by the State Board of
26Education and any one or more of the following happen within

 

 

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1the current or prior 4 fiscal years:
2        (1) a new school district is created in accordance
3    with Article 11E of the School Code;
4        (2) an existing school district annexes all of the
5    territory of one or more other school districts in
6    accordance with Article 7 of the School Code; or
7        (3) a cooperative high school is formed in accordance
8    with subsection (c) of Section 10-22.22 of the School
9    Code.
10A new elementary district formed from a school district
11conversion, as defined in Section 11E-15 of the School Code,
12may use only the application of the dissolved district whose
13territory is now included in the new elementary district and
14must obtain the written approval of the local school board of
15any other school district that includes territory from that
16dissolved district. A new high school district formed from a
17school district conversion, as defined in Section 11E-15 of
18the School Code, may use only the application of any dissolved
19district whose territory is now included in the new high
20school district, but only after obtaining the written approval
21of the local school board of any other school district that
22includes territory from that dissolved district. A cooperative
23high school using this Section must obtain the written
24approval of the local school board of the member school
25district whose application it is using. All other eligibility
26and project standards apply to this Section.

 

 

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1(Source: P.A. 101-455, eff. 8-23-19.)
 
2    (105 ILCS 230/5-30)
3    Sec. 5-30. Priority of school construction projects. The
4State Board of Education shall develop standards for the
5determination of priority needs concerning school construction
6projects based upon approved district facilities plans. Such
7standards shall call for prioritization based on the degree of
8need and project type in the following order:
9        (1) Replacement or reconstruction of school buildings
10    destroyed or damaged by flood, tornado, fire, earthquake,
11    mine subsidence, or other disasters, either man-made or
12    produced by nature;
13        (2) Projects designed to alleviate a shortage of
14    classrooms due to population growth or to replace or
15    rehabilitate aging school buildings;
16        (3) Projects resulting from interdistrict
17    reorganization of school districts contingent on local
18    referenda;
19        (4) Replacement, rehabilitation, or reconstruction of
20    school facilities determined to be severe and continuing
21    health or life safety hazards;
22        (5) Alterations necessary to provide accessibility for
23    qualified individuals with disabilities; and
24        (6) Other unique solutions to facility needs.
25Except for those changes absolutely necessary to comply with

 

 

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1the changes made to subsection (c) of Section 5-25 of this Law
2by Public Act 96-37, the State Board of Education may not make
3any material changes to the standards in effect on May 18,
42004, unless the State Board of Education is specifically
5authorized by law.
6(Source: P.A. 96-37, eff. 7-13-09; 96-102, eff. 7-29-09;
796-1000, eff. 7-2-10; 97-880, eff. 8-2-12.)
 
8    (105 ILCS 230/5-35)
9    Sec. 5-35. School construction project grant award
10amounts; permitted use; prohibited use.
11    (a) The grant award percentage is equal to one minus the
12required local match percentage. The grant award amount is
13equal to the grant award percentage multiplied by The product
14of the district's grant index and the recognized project cost,
15as determined by the Capital Development Board, for an
16approved school construction project, which amount may be
17adjusted as required in Section 5-15. The grant award amount
18shall equal the amount of the grant the Capital Development
19Board shall provide to the eligible district. The grant index
20shall not be used in cases where the General Assembly and the
21Governor approve appropriations designated for specifically
22identified school district construction projects.
23    The average of the grant indexes of the member districts
24in a joint agreement shall be used to calculate the amount of a
25school construction project grant awarded to an eligible Type

 

 

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140 area vocational center.
2    (b) In each fiscal year in which school construction
3project grants are awarded, 20% of the total amount awarded
4statewide shall be awarded to a school district with a
5population exceeding 500,000, provided such district complies
6with the provisions of this Article.
7    In addition to the uses otherwise authorized by this Law,
8any school district with a population exceeding 500,000 is
9authorized to use any or all of the school construction
10project grants (i) to pay debt service, as defined in the Local
11Government Debt Reform Act, on bonds, as defined in the Local
12Government Debt Reform Act, issued to finance one or more
13school construction projects and (ii) to the extent that any
14such bond is a lease or other installment or financing
15contract between the school district and a public building
16commission that has issued bonds to finance one or more
17qualifying school construction projects, to make lease
18payments under the lease.
19    (b-3) The Capital Development Board shall make payment in
20an amount equal to 20% of each amount deposited into the School
21Infrastructure Fund pursuant to subsection (b-5) of Section
226z-45 of the State Finance Act to the Board of Education of the
23City of Chicago within 10 days after such deposit. The Board of
24Education of the City of Chicago shall use such moneys
25received (i) for application to the costs of a school
26construction project, (ii) to pay debt service on bonds, as

 

 

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1those terms are defined in the Local Government Debt Reform
2Act, that are issued to finance one or more school
3construction projects, and (iii) to the extent that any such
4bond is a lease or other installment or financing contract
5between the school district and a public building commission
6that has issued bonds to finance one or more qualifying school
7construction projects, to make lease payments under the lease.
8The Board of Education of the City of Chicago shall submit
9quarterly to the Capital Development Board documentation
10sufficient to establish that this money is being used as
11authorized by this Section. The Capital Development Board may
12withhold payments if the documentation is not provided. The
13remaining 80% of each such deposit shall be applied in
14accordance with the provisions of subsection (a) of this
15Section; however, no portion of this remaining 80% shall be
16awarded to a school district with a population of more than
17500,000.
18    (b-5) In addition to the uses otherwise authorized by this
19Law, any school district that (1) was organized prior to 1860
20and (2) is located in part in a city originally incorporated
21prior to 1840 is authorized to use any or all of the school
22construction project grants (i) to pay debt service on bonds,
23as those terms are defined in the Local Government Debt Reform
24Act, that are issued to finance one or more school
25construction projects and (ii) to the extent that any such
26bond is a lease or other installment or financing contract

 

 

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1between the school district and a public building commission
2that has issued bonds to finance one or more qualifying school
3construction projects, to make lease payments under the lease.
4    (c) No portion of a school construction project grant
5awarded by the Capital Development Board shall be used by a
6school district for any on-going operational costs.
7(Source: P.A. 98-18, eff. 6-7-13.)
 
8    (105 ILCS 230/5-50)
9    Sec. 5-50. Referendum requirements. A school district may
10submit a school construction project or the financing of a
11school construction project to referendum at any time.
12However, the proposition may include a reference to the school
13district's expectation of receiving a school construction
14grant from the State of Illinois only if the school district
15has received a conditional grant award for the project from
16the Capital Development Board. After the State Board of
17Education has approved all or part of a district's application
18and issued a grant entitlement for a school construction
19project grant, the district shall submit the project or the
20financing of the project to a referendum when such referendum
21is required by law, except for a project financed by bonds
22issued pursuant to subsection (p-70) of Section 19-1 of the
23School Code.
24(Source: P.A. 96-1438, eff. 8-20-10; 97-333, eff. 8-12-11.)
 

 

 

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1    (105 ILCS 230/5-37 rep.)
2    (105 ILCS 230/5-38 rep.)
3    (105 ILCS 230/5-45 rep.)
4    (105 ILCS 230/5-57 rep.)
5    Section 20. The School Construction Law is amended by
6repealing Sections 5-37, 5-38, 5-45, and 5-57.
 
7    Section 99. Effective date. This Act takes effect upon
8becoming law.".