HB3446 EngrossedLRB103 29421 RJT 55812 b

1    AN ACT concerning education.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The School Code is amended by changing Sections
510-17a and 18-8.15 as follows:
 
6    (105 ILCS 5/10-17a)  (from Ch. 122, par. 10-17a)
7    Sec. 10-17a. State, school district, and school report
8cards.
9    (1) By October 31, 2013 and October 31 of each subsequent
10school year, the State Board of Education, through the State
11Superintendent of Education, shall prepare a State report
12card, school district report cards, and school report cards,
13and shall by the most economical means provide to each school
14district in this State, including special charter districts
15and districts subject to the provisions of Article 34, the
16report cards for the school district and each of its schools.
17Because of the impacts of the COVID-19 public health emergency
18during school year 2020-2021, the State Board of Education
19shall have until December 31, 2021 to prepare and provide the
20report cards that would otherwise be due by October 31, 2021.
21During a school year in which the Governor has declared a
22disaster due to a public health emergency pursuant to Section
237 of the Illinois Emergency Management Agency Act, the report

 

 

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1cards for the school districts and each of its schools shall be
2prepared by December 31.
3    (2) In addition to any information required by federal
4law, the State Superintendent shall determine the indicators
5and presentation of the school report card, which must
6include, at a minimum, the most current data collected and
7maintained by the State Board of Education related to the
8following:
9        (A) school characteristics and student demographics,
10    including average class size, average teaching experience,
11    student racial/ethnic breakdown, and the percentage of
12    students classified as low-income; the percentage of
13    students classified as English learners, the number of
14    students who graduate from a bilingual or English learner
15    program, and the number of students who graduate from,
16    transfer from, or otherwise leave bilingual programs; the
17    percentage of students who have individualized education
18    plans or 504 plans that provide for special education
19    services; the number and percentage of all students who
20    have been assessed for placement in a gifted education or
21    advanced academic program and, of those students: (i) the
22    racial and ethnic breakdown, (ii) the percentage who are
23    classified as low-income, and (iii) the number and
24    percentage of students who received direct instruction
25    from a teacher who holds a gifted education endorsement
26    and, of those students, the percentage who are classified

 

 

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1    as low-income; the percentage of students scoring at the
2    "exceeds expectations" level on the assessments required
3    under Section 2-3.64a-5 of this Code; the percentage of
4    students who annually transferred in or out of the school
5    district; average daily attendance; the per-pupil
6    operating expenditure of the school district; and the
7    per-pupil State average operating expenditure for the
8    district type (elementary, high school, or unit);
9        (B) curriculum information, including, where
10    applicable, Advanced Placement, International
11    Baccalaureate or equivalent courses, dual enrollment
12    courses, foreign language classes, computer science
13    courses, school personnel resources (including Career
14    Technical Education teachers), before and after school
15    programs, extracurricular activities, subjects in which
16    elective classes are offered, health and wellness
17    initiatives (including the average number of days of
18    Physical Education per week per student), approved
19    programs of study, awards received, community
20    partnerships, and special programs such as programming for
21    the gifted and talented, students with disabilities, and
22    work-study students;
23        (C) student outcomes, including, where applicable, the
24    percentage of students deemed proficient on assessments of
25    State standards, the percentage of students in the eighth
26    grade who pass Algebra, the percentage of students who

 

 

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1    participated in workplace learning experiences, the
2    percentage of students enrolled in post-secondary
3    institutions (including colleges, universities, community
4    colleges, trade/vocational schools, and training programs
5    leading to career certification within 2 semesters of high
6    school graduation), the percentage of students graduating
7    from high school who are college and career ready, and the
8    percentage of graduates enrolled in community colleges,
9    colleges, and universities who are in one or more courses
10    that the community college, college, or university
11    identifies as a developmental course;
12        (D) student progress, including, where applicable, the
13    percentage of students in the ninth grade who have earned
14    5 credits or more without failing more than one core
15    class, a measure of students entering kindergarten ready
16    to learn, a measure of growth, and the percentage of
17    students who enter high school on track for college and
18    career readiness;
19        (E) the school environment, including, where
20    applicable, high school dropout rate by grade level, the
21    percentage of students with less than 10 absences in a
22    school year, the percentage of teachers with less than 10
23    absences in a school year for reasons other than
24    professional development, leaves taken pursuant to the
25    federal Family Medical Leave Act of 1993, long-term
26    disability, or parental leaves, the 3-year average of the

 

 

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1    percentage of teachers returning to the school from the
2    previous year, the number of different principals at the
3    school in the last 6 years, the number of teachers who hold
4    a gifted education endorsement, the process and criteria
5    used by the district to determine whether a student is
6    eligible for participation in a gifted education program
7    or advanced academic program and the manner in which
8    parents and guardians are made aware of the process and
9    criteria, the number of teachers who are National Board
10    Certified Teachers, disaggregated by race and ethnicity, 2
11    or more indicators from any school climate survey selected
12    or approved by the State and administered pursuant to
13    Section 2-3.153 of this Code, with the same or similar
14    indicators included on school report cards for all surveys
15    selected or approved by the State pursuant to Section
16    2-3.153 of this Code, the combined percentage of teachers
17    rated as proficient or excellent in their most recent
18    evaluation, and, beginning with the 2022-2023 school year,
19    data on the number of incidents of violence that occurred
20    on school grounds or during school-related activities and
21    that resulted in an out-of-school suspension, expulsion,
22    or removal to an alternative setting, as reported pursuant
23    to Section 2-3.162;
24        (F) a school district's and its individual schools'
25    balanced accountability measure, in accordance with
26    Section 2-3.25a of this Code;

 

 

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1        (G) the total and per pupil normal cost amount the
2    State contributed to the Teachers' Retirement System of
3    the State of Illinois in the prior fiscal year for the
4    school's employees, which shall be reported to the State
5    Board of Education by the Teachers' Retirement System of
6    the State of Illinois;
7        (H) for a school district organized under Article 34
8    of this Code only, State contributions to the Public
9    School Teachers' Pension and Retirement Fund of Chicago
10    and State contributions for health care for employees of
11    that school district;
12        (I) a school district's Final Percent of Adequacy, as
13    defined in paragraph (4) of subsection (f) of Section
14    18-8.15 of this Code;
15        (J) a school district's Local Capacity Target, as
16    defined in paragraph (2) of subsection (c) of Section
17    18-8.15 of this Code, displayed as a percentage amount;
18        (K) a school district's Real Receipts, as defined in
19    paragraph (1) of subsection (d) of Section 18-8.15 of this
20    Code, divided by a school district's Adequacy Target, as
21    defined in paragraph (1) of subsection (b) of Section
22    18-8.15 of this Code, displayed as a percentage amount;
23        (L) a school district's administrative costs;
24        (M) whether or not the school has participated in the
25    Illinois Youth Survey. In this paragraph (M), "Illinois
26    Youth Survey" means a self-report survey, administered in

 

 

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1    school settings every 2 years, designed to gather
2    information about health and social indicators, including
3    substance abuse patterns and the attitudes of students in
4    grades 8, 10, and 12; and
5        (N) whether the school offered its students career and
6    technical education opportunities.
7    The school report card shall also provide information that
8allows for comparing the current outcome, progress, and
9environment data to the State average, to the school data from
10the past 5 years, and to the outcomes, progress, and
11environment of similar schools based on the type of school and
12enrollment of low-income students, special education students,
13and English learners; and .
14        (O) a school district's expenditure of Base Funding
15    Minimum and Evidence-Based Funding received from the State
16    under Section 18-8.15 in the level of specificity required
17    by the annual spending plans mandated by subsection (h) of
18    Section 18-8.15.
19    As used in this subsection (2):
20    "Administrative costs" means costs associated with
21executive, administrative, or managerial functions within the
22school district that involve planning, organizing, managing,
23or directing the school district.
24    "Advanced academic program" means a course of study to
25which students are assigned based on advanced cognitive
26ability or advanced academic achievement compared to local age

 

 

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1peers and in which the curriculum is substantially
2differentiated from the general curriculum to provide
3appropriate challenge and pace.
4    "Computer science" means the study of computers and
5algorithms, including their principles, their hardware and
6software designs, their implementation, and their impact on
7society. "Computer science" does not include the study of
8everyday uses of computers and computer applications, such as
9keyboarding or accessing the Internet.
10    "Gifted education" means educational services, including
11differentiated curricula and instructional methods, designed
12to meet the needs of gifted children as defined in Article 14A
13of this Code.
14    For the purposes of paragraph (A) of this subsection (2),
15"average daily attendance" means the average of the actual
16number of attendance days during the previous school year for
17any enrolled student who is subject to compulsory attendance
18by Section 26-1 of this Code at each school and charter school.
19    (3) At the discretion of the State Superintendent, the
20school district report card shall include a subset of the
21information identified in paragraphs (A) through (E) of
22subsection (2) of this Section, as well as information
23relating to the operating expense per pupil and other finances
24of the school district, and the State report card shall
25include a subset of the information identified in paragraphs
26(A) through (E) and paragraph (N) of subsection (2) of this

 

 

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1Section. The school district report card shall include the
2average daily attendance, as that term is defined in
3subsection (2) of this Section, of students who have
4individualized education programs and students who have 504
5plans that provide for special education services within the
6school district.
7    (4) Notwithstanding anything to the contrary in this
8Section, in consultation with key education stakeholders, the
9State Superintendent shall at any time have the discretion to
10amend or update any and all metrics on the school, district, or
11State report card.
12    (5) Annually, no more than 30 calendar days after receipt
13of the school district and school report cards from the State
14Superintendent of Education, each school district, including
15special charter districts and districts subject to the
16provisions of Article 34, shall present such report cards at a
17regular school board meeting subject to applicable notice
18requirements, post the report cards on the school district's
19Internet web site, if the district maintains an Internet web
20site, make the report cards available to a newspaper of
21general circulation serving the district, and, upon request,
22send the report cards home to a parent (unless the district
23does not maintain an Internet web site, in which case the
24report card shall be sent home to parents without request). If
25the district posts the report card on its Internet web site,
26the district shall send a written notice home to parents

 

 

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1stating (i) that the report card is available on the web site,
2(ii) the address of the web site, (iii) that a printed copy of
3the report card will be sent to parents upon request, and (iv)
4the telephone number that parents may call to request a
5printed copy of the report card.
6    (6) Nothing contained in Public Act 98-648 repeals,
7supersedes, invalidates, or nullifies final decisions in
8lawsuits pending on July 1, 2014 (the effective date of Public
9Act 98-648) in Illinois courts involving the interpretation of
10Public Act 97-8.
11(Source: P.A. 101-68, eff. 1-1-20; 101-81, eff. 7-12-19;
12101-654, eff. 3-8-21; 102-16, eff. 6-17-21; 102-294, eff.
131-1-22; 102-539, eff. 8-20-21; 102-558, eff. 8-20-21; 102-594,
14eff. 7-1-22; 102-813, eff. 5-13-22.)
 
15    (105 ILCS 5/18-8.15)
16    Sec. 18-8.15. Evidence-Based Funding for student success
17for the 2017-2018 and subsequent school years.
18    (a) General provisions.
19        (1) The purpose of this Section is to ensure that, by
20    June 30, 2027 and beyond, this State has a kindergarten
21    through grade 12 public education system with the capacity
22    to ensure the educational development of all persons to
23    the limits of their capacities in accordance with Section
24    1 of Article X of the Constitution of the State of
25    Illinois. To accomplish that objective, this Section

 

 

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1    creates a method of funding public education that is
2    evidence-based; is sufficient to ensure every student
3    receives a meaningful opportunity to learn irrespective of
4    race, ethnicity, sexual orientation, gender, or
5    community-income level; and is sustainable and
6    predictable. When fully funded under this Section, every
7    school shall have the resources, based on what the
8    evidence indicates is needed, to:
9            (A) provide all students with a high quality
10        education that offers the academic, enrichment, social
11        and emotional support, technical, and career-focused
12        programs that will allow them to become competitive
13        workers, responsible parents, productive citizens of
14        this State, and active members of our national
15        democracy;
16            (B) ensure all students receive the education they
17        need to graduate from high school with the skills
18        required to pursue post-secondary education and
19        training for a rewarding career;
20            (C) reduce, with a goal of eliminating, the
21        achievement gap between at-risk and non-at-risk
22        students by raising the performance of at-risk
23        students and not by reducing standards; and
24            (D) ensure this State satisfies its obligation to
25        assume the primary responsibility to fund public
26        education and simultaneously relieve the

 

 

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1        disproportionate burden placed on local property taxes
2        to fund schools.
3        (2) The Evidence-Based Funding formula under this
4    Section shall be applied to all Organizational Units in
5    this State. The Evidence-Based Funding formula outlined in
6    this Act is based on the formula outlined in Senate Bill 1
7    of the 100th General Assembly, as passed by both
8    legislative chambers. As further defined and described in
9    this Section, there are 4 major components of the
10    Evidence-Based Funding model:
11            (A) First, the model calculates a unique Adequacy
12        Target for each Organizational Unit in this State that
13        considers the costs to implement research-based
14        activities, the unit's student demographics, and
15        regional wage differences.
16            (B) Second, the model calculates each
17        Organizational Unit's Local Capacity, or the amount
18        each Organizational Unit is assumed to contribute
19        toward its Adequacy Target from local resources.
20            (C) Third, the model calculates how much funding
21        the State currently contributes to the Organizational
22        Unit and adds that to the unit's Local Capacity to
23        determine the unit's overall current adequacy of
24        funding.
25            (D) Finally, the model's distribution method
26        allocates new State funding to those Organizational

 

 

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1        Units that are least well-funded, considering both
2        Local Capacity and State funding, in relation to their
3        Adequacy Target.
4        (3) An Organizational Unit receiving any funding under
5    this Section may apply those funds to any fund so received
6    for which that Organizational Unit is authorized to make
7    expenditures by law.
8        (4) As used in this Section, the following terms shall
9    have the meanings ascribed in this paragraph (4):
10        "Adequacy Target" is defined in paragraph (1) of
11    subsection (b) of this Section.
12        "Adjusted EAV" is defined in paragraph (4) of
13    subsection (d) of this Section.
14        "Adjusted Local Capacity Target" is defined in
15    paragraph (3) of subsection (c) of this Section.
16        "Adjusted Operating Tax Rate" means a tax rate for all
17    Organizational Units, for which the State Superintendent
18    shall calculate and subtract for the Operating Tax Rate a
19    transportation rate based on total expenses for
20    transportation services under this Code, as reported on
21    the most recent Annual Financial Report in Pupil
22    Transportation Services, function 2550 in both the
23    Education and Transportation funds and functions 4110 and
24    4120 in the Transportation fund, less any corresponding
25    fiscal year State of Illinois scheduled payments excluding
26    net adjustments for prior years for regular, vocational,

 

 

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1    or special education transportation reimbursement pursuant
2    to Section 29-5 or subsection (b) of Section 14-13.01 of
3    this Code divided by the Adjusted EAV. If an
4    Organizational Unit's corresponding fiscal year State of
5    Illinois scheduled payments excluding net adjustments for
6    prior years for regular, vocational, or special education
7    transportation reimbursement pursuant to Section 29-5 or
8    subsection (b) of Section 14-13.01 of this Code exceed the
9    total transportation expenses, as defined in this
10    paragraph, no transportation rate shall be subtracted from
11    the Operating Tax Rate.
12        "Allocation Rate" is defined in paragraph (3) of
13    subsection (g) of this Section.
14        "Alternative School" means a public school that is
15    created and operated by a regional superintendent of
16    schools and approved by the State Board.
17        "Applicable Tax Rate" is defined in paragraph (1) of
18    subsection (d) of this Section.
19        "Assessment" means any of those benchmark, progress
20    monitoring, formative, diagnostic, and other assessments,
21    in addition to the State accountability assessment, that
22    assist teachers' needs in understanding the skills and
23    meeting the needs of the students they serve.
24        "Assistant principal" means a school administrator
25    duly endorsed to be employed as an assistant principal in
26    this State.

 

 

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1        "At-risk student" means a student who is at risk of
2    not meeting the Illinois Learning Standards or not
3    graduating from elementary or high school and who
4    demonstrates a need for vocational support or social
5    services beyond that provided by the regular school
6    program. All students included in an Organizational Unit's
7    Low-Income Count, as well as all English learner and
8    disabled students attending the Organizational Unit, shall
9    be considered at-risk students under this Section.
10        "Average Student Enrollment" or "ASE" for fiscal year
11    2018 means, for an Organizational Unit, the greater of the
12    average number of students (grades K through 12) reported
13    to the State Board as enrolled in the Organizational Unit
14    on October 1 in the immediately preceding school year,
15    plus the pre-kindergarten students who receive special
16    education services of 2 or more hours a day as reported to
17    the State Board on December 1 in the immediately preceding
18    school year, or the average number of students (grades K
19    through 12) reported to the State Board as enrolled in the
20    Organizational Unit on October 1, plus the
21    pre-kindergarten students who receive special education
22    services of 2 or more hours a day as reported to the State
23    Board on December 1, for each of the immediately preceding
24    3 school years. For fiscal year 2019 and each subsequent
25    fiscal year, "Average Student Enrollment" or "ASE" means,
26    for an Organizational Unit, the greater of the average

 

 

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1    number of students (grades K through 12) reported to the
2    State Board as enrolled in the Organizational Unit on
3    October 1 and March 1 in the immediately preceding school
4    year, plus the pre-kindergarten students who receive
5    special education services as reported to the State Board
6    on October 1 and March 1 in the immediately preceding
7    school year, or the average number of students (grades K
8    through 12) reported to the State Board as enrolled in the
9    Organizational Unit on October 1 and March 1, plus the
10    pre-kindergarten students who receive special education
11    services as reported to the State Board on October 1 and
12    March 1, for each of the immediately preceding 3 school
13    years. For the purposes of this definition, "enrolled in
14    the Organizational Unit" means the number of students
15    reported to the State Board who are enrolled in schools
16    within the Organizational Unit that the student attends or
17    would attend if not placed or transferred to another
18    school or program to receive needed services. For the
19    purposes of calculating "ASE", all students, grades K
20    through 12, excluding those attending kindergarten for a
21    half day and students attending an alternative education
22    program operated by a regional office of education or
23    intermediate service center, shall be counted as 1.0. All
24    students attending kindergarten for a half day shall be
25    counted as 0.5, unless in 2017 by June 15 or by March 1 in
26    subsequent years, the school district reports to the State

 

 

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1    Board of Education the intent to implement full-day
2    kindergarten district-wide for all students, then all
3    students attending kindergarten shall be counted as 1.0.
4    Special education pre-kindergarten students shall be
5    counted as 0.5 each. If the State Board does not collect or
6    has not collected both an October 1 and March 1 enrollment
7    count by grade or a December 1 collection of special
8    education pre-kindergarten students as of August 31, 2017
9    (the effective date of Public Act 100-465), it shall
10    establish such collection for all future years. For any
11    year in which a count by grade level was collected only
12    once, that count shall be used as the single count
13    available for computing a 3-year average ASE. Funding for
14    programs operated by a regional office of education or an
15    intermediate service center must be calculated using the
16    Evidence-Based Funding formula under this Section for the
17    2019-2020 school year and each subsequent school year
18    until separate adequacy formulas are developed and adopted
19    for each type of program. ASE for a program operated by a
20    regional office of education or an intermediate service
21    center must be determined by the March 1 enrollment for
22    the program. For the 2019-2020 school year, the ASE used
23    in the calculation must be the first-year ASE and, in that
24    year only, the assignment of students served by a regional
25    office of education or intermediate service center shall
26    not result in a reduction of the March enrollment for any

 

 

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1    school district. For the 2020-2021 school year, the ASE
2    must be the greater of the current-year ASE or the 2-year
3    average ASE. Beginning with the 2021-2022 school year, the
4    ASE must be the greater of the current-year ASE or the
5    3-year average ASE. School districts shall submit the data
6    for the ASE calculation to the State Board within 45 days
7    of the dates required in this Section for submission of
8    enrollment data in order for it to be included in the ASE
9    calculation. For fiscal year 2018 only, the ASE
10    calculation shall include only enrollment taken on October
11    1. In recognition of the impact of COVID-19, the
12    definition of "Average Student Enrollment" or "ASE" shall
13    be adjusted for calculations under this Section for fiscal
14    years 2022 through 2024. For fiscal years 2022 through
15    2024, the enrollment used in the calculation of ASE
16    representing the 2020-2021 school year shall be the
17    greater of the enrollment for the 2020-2021 school year or
18    the 2019-2020 school year.
19        "Base Funding Guarantee" is defined in paragraph (10)
20    of subsection (g) of this Section.
21        "Base Funding Minimum" is defined in subsection (e) of
22    this Section.
23        "Base Tax Year" means the property tax levy year used
24    to calculate the Budget Year allocation of primary State
25    aid.
26        "Base Tax Year's Extension" means the product of the

 

 

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1    equalized assessed valuation utilized by the county clerk
2    in the Base Tax Year multiplied by the limiting rate as
3    calculated by the county clerk and defined in PTELL.
4        "Bilingual Education Allocation" means the amount of
5    an Organizational Unit's final Adequacy Target
6    attributable to bilingual education divided by the
7    Organizational Unit's final Adequacy Target, the product
8    of which shall be multiplied by the amount of new funding
9    received pursuant to this Section. An Organizational
10    Unit's final Adequacy Target attributable to bilingual
11    education shall include all additional investments in
12    English learner students' adequacy elements.
13        "Budget Year" means the school year for which primary
14    State aid is calculated and awarded under this Section.
15        "Central office" means individual administrators and
16    support service personnel charged with managing the
17    instructional programs, business and operations, and
18    security of the Organizational Unit.
19        "Comparable Wage Index" or "CWI" means a regional cost
20    differentiation metric that measures systemic, regional
21    variations in the salaries of college graduates who are
22    not educators. The CWI utilized for this Section shall,
23    for the first 3 years of Evidence-Based Funding
24    implementation, be the CWI initially developed by the
25    National Center for Education Statistics, as most recently
26    updated by Texas A & M University. In the fourth and

 

 

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1    subsequent years of Evidence-Based Funding implementation,
2    the State Superintendent shall re-determine the CWI using
3    a similar methodology to that identified in the Texas A & M
4    University study, with adjustments made no less frequently
5    than once every 5 years.
6        "Computer technology and equipment" means computers
7    servers, notebooks, network equipment, copiers, printers,
8    instructional software, security software, curriculum
9    management courseware, and other similar materials and
10    equipment.
11        "Computer technology and equipment investment
12    allocation" means the final Adequacy Target amount of an
13    Organizational Unit assigned to Tier 1 or Tier 2 in the
14    prior school year attributable to the additional $285.50
15    per student computer technology and equipment investment
16    grant divided by the Organizational Unit's final Adequacy
17    Target, the result of which shall be multiplied by the
18    amount of new funding received pursuant to this Section.
19    An Organizational Unit assigned to a Tier 1 or Tier 2 final
20    Adequacy Target attributable to the received computer
21    technology and equipment investment grant shall include
22    all additional investments in computer technology and
23    equipment adequacy elements.
24        "Core subject" means mathematics; science; reading,
25    English, writing, and language arts; history and social
26    studies; world languages; and subjects taught as Advanced

 

 

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1    Placement in high schools.
2        "Core teacher" means a regular classroom teacher in
3    elementary schools and teachers of a core subject in
4    middle and high schools.
5        "Core Intervention teacher (tutor)" means a licensed
6    teacher providing one-on-one or small group tutoring to
7    students struggling to meet proficiency in core subjects.
8        "CPPRT" means corporate personal property replacement
9    tax funds paid to an Organizational Unit during the
10    calendar year one year before the calendar year in which a
11    school year begins, pursuant to "An Act in relation to the
12    abolition of ad valorem personal property tax and the
13    replacement of revenues lost thereby, and amending and
14    repealing certain Acts and parts of Acts in connection
15    therewith", certified August 14, 1979, as amended (Public
16    Act 81-1st S.S.-1).
17        "EAV" means equalized assessed valuation as defined in
18    paragraph (2) of subsection (d) of this Section and
19    calculated in accordance with paragraph (3) of subsection
20    (d) of this Section.
21        "ECI" means the Bureau of Labor Statistics' national
22    employment cost index for civilian workers in educational
23    services in elementary and secondary schools on a
24    cumulative basis for the 12-month calendar year preceding
25    the fiscal year of the Evidence-Based Funding calculation.
26        "EIS Data" means the employment information system

 

 

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1    data maintained by the State Board on educators within
2    Organizational Units.
3        "Employee benefits" means health, dental, and vision
4    insurance offered to employees of an Organizational Unit,
5    the costs associated with the statutorily required payment
6    of the normal cost of the Organizational Unit's teacher
7    pensions, Social Security employer contributions, and
8    Illinois Municipal Retirement Fund employer contributions.
9        "English learner" or "EL" means a child included in
10    the definition of "English learners" under Section 14C-2
11    of this Code participating in a program of transitional
12    bilingual education or a transitional program of
13    instruction meeting the requirements and program
14    application procedures of Article 14C of this Code. For
15    the purposes of collecting the number of EL students
16    enrolled, the same collection and calculation methodology
17    as defined above for "ASE" shall apply to English
18    learners, with the exception that EL student enrollment
19    shall include students in grades pre-kindergarten through
20    12.
21        "Essential Elements" means those elements, resources,
22    and educational programs that have been identified through
23    academic research as necessary to improve student success,
24    improve academic performance, close achievement gaps, and
25    provide for other per student costs related to the
26    delivery and leadership of the Organizational Unit, as

 

 

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1    well as the maintenance and operations of the unit, and
2    which are specified in paragraph (2) of subsection (b) of
3    this Section.
4        "Evidence-Based Funding" means State funding provided
5    to an Organizational Unit pursuant to this Section.
6        "Extended day" means academic and enrichment programs
7    provided to students outside the regular school day before
8    and after school or during non-instructional times during
9    the school day.
10        "Extension Limitation Ratio" means a numerical ratio
11    in which the numerator is the Base Tax Year's Extension
12    and the denominator is the Preceding Tax Year's Extension.
13        "Final Percent of Adequacy" is defined in paragraph
14    (4) of subsection (f) of this Section.
15        "Final Resources" is defined in paragraph (3) of
16    subsection (f) of this Section.
17        "Full-time equivalent" or "FTE" means the full-time
18    equivalency compensation for staffing the relevant
19    position at an Organizational Unit.
20        "Funding Gap" is defined in paragraph (1) of
21    subsection (g).
22        "Hybrid District" means a partial elementary unit
23    district created pursuant to Article 11E of this Code.
24        "Instructional assistant" means a core or special
25    education, non-licensed employee who assists a teacher in
26    the classroom and provides academic support to students.

 

 

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1        "Instructional facilitator" means a qualified teacher
2    or licensed teacher leader who facilitates and coaches
3    continuous improvement in classroom instruction; provides
4    instructional support to teachers in the elements of
5    research-based instruction or demonstrates the alignment
6    of instruction with curriculum standards and assessment
7    tools; develops or coordinates instructional programs or
8    strategies; develops and implements training; chooses
9    standards-based instructional materials; provides
10    teachers with an understanding of current research; serves
11    as a mentor, site coach, curriculum specialist, or lead
12    teacher; or otherwise works with fellow teachers, in
13    collaboration, to use data to improve instructional
14    practice or develop model lessons.
15        "Instructional materials" means relevant
16    instructional materials for student instruction,
17    including, but not limited to, textbooks, consumable
18    workbooks, laboratory equipment, library books, and other
19    similar materials.
20        "Laboratory School" means a public school that is
21    created and operated by a public university and approved
22    by the State Board.
23        "Librarian" means a teacher with an endorsement as a
24    library information specialist or another individual whose
25    primary responsibility is overseeing library resources
26    within an Organizational Unit.

 

 

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1        "Limiting rate for Hybrid Districts" means the
2    combined elementary school and high school limiting rates.
3        "Local Capacity" is defined in paragraph (1) of
4    subsection (c) of this Section.
5        "Local Capacity Percentage" is defined in subparagraph
6    (A) of paragraph (2) of subsection (c) of this Section.
7        "Local Capacity Ratio" is defined in subparagraph (B)
8    of paragraph (2) of subsection (c) of this Section.
9        "Local Capacity Target" is defined in paragraph (2) of
10    subsection (c) of this Section.
11        "Low-Income Count" means, for an Organizational Unit
12    in a fiscal year, the higher of the average number of
13    students for the prior school year or the immediately
14    preceding 3 school years who, as of July 1 of the
15    immediately preceding fiscal year (as determined by the
16    Department of Human Services), are eligible for at least
17    one of the following low-income programs: Medicaid, the
18    Children's Health Insurance Program, Temporary Assistance
19    for Needy Families (TANF), or the Supplemental Nutrition
20    Assistance Program, excluding pupils who are eligible for
21    services provided by the Department of Children and Family
22    Services. Until such time that grade level low-income
23    populations become available, grade level low-income
24    populations shall be determined by applying the low-income
25    percentage to total student enrollments by grade level.
26    The low-income percentage is determined by dividing the

 

 

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1    Low-Income Count by the Average Student Enrollment. The
2    low-income percentage for programs operated by a regional
3    office of education or an intermediate service center must
4    be set to the weighted average of the low-income
5    percentages of all of the school districts in the service
6    region. The weighted low-income percentage is the result
7    of multiplying the low-income percentage of each school
8    district served by the regional office of education or
9    intermediate service center by each school district's
10    Average Student Enrollment, summarizing those products and
11    dividing the total by the total Average Student Enrollment
12    for the service region.
13        "Maintenance and operations" means custodial services,
14    facility and ground maintenance, facility operations,
15    facility security, routine facility repairs, and other
16    similar services and functions.
17        "Minimum Funding Level" is defined in paragraph (9) of
18    subsection (g) of this Section.
19        "New Property Tax Relief Pool Funds" means, for any
20    given fiscal year, all State funds appropriated under
21    Section 2-3.170 of this Code.
22        "New State Funds" means, for a given school year, all
23    State funds appropriated for Evidence-Based Funding in
24    excess of the amount needed to fund the Base Funding
25    Minimum for all Organizational Units in that school year.
26        "Nurse" means an individual licensed as a certified

 

 

HB3446 Engrossed- 27 -LRB103 29421 RJT 55812 b

1    school nurse, in accordance with the rules established for
2    nursing services by the State Board, who is an employee of
3    and is available to provide health care-related services
4    for students of an Organizational Unit.
5        "Operating Tax Rate" means the rate utilized in the
6    previous year to extend property taxes for all purposes,
7    except Bond and Interest, Summer School, Rent, Capital
8    Improvement, and Vocational Education Building purposes.
9    For Hybrid Districts, the Operating Tax Rate shall be the
10    combined elementary and high school rates utilized in the
11    previous year to extend property taxes for all purposes,
12    except Bond and Interest, Summer School, Rent, Capital
13    Improvement, and Vocational Education Building purposes.
14        "Organizational Unit" means a Laboratory School or any
15    public school district that is recognized as such by the
16    State Board and that contains elementary schools typically
17    serving kindergarten through 5th grades, middle schools
18    typically serving 6th through 8th grades, high schools
19    typically serving 9th through 12th grades, a program
20    established under Section 2-3.66 or 2-3.41, or a program
21    operated by a regional office of education or an
22    intermediate service center under Article 13A or 13B. The
23    General Assembly acknowledges that the actual grade levels
24    served by a particular Organizational Unit may vary
25    slightly from what is typical.
26        "Organizational Unit CWI" is determined by calculating

 

 

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1    the CWI in the region and original county in which an
2    Organizational Unit's primary administrative office is
3    located as set forth in this paragraph, provided that if
4    the Organizational Unit CWI as calculated in accordance
5    with this paragraph is less than 0.9, the Organizational
6    Unit CWI shall be increased to 0.9. Each county's current
7    CWI value shall be adjusted based on the CWI value of that
8    county's neighboring Illinois counties, to create a
9    "weighted adjusted index value". This shall be calculated
10    by summing the CWI values of all of a county's adjacent
11    Illinois counties and dividing by the number of adjacent
12    Illinois counties, then taking the weighted value of the
13    original county's CWI value and the adjacent Illinois
14    county average. To calculate this weighted value, if the
15    number of adjacent Illinois counties is greater than 2,
16    the original county's CWI value will be weighted at 0.25
17    and the adjacent Illinois county average will be weighted
18    at 0.75. If the number of adjacent Illinois counties is 2,
19    the original county's CWI value will be weighted at 0.33
20    and the adjacent Illinois county average will be weighted
21    at 0.66. The greater of the county's current CWI value and
22    its weighted adjusted index value shall be used as the
23    Organizational Unit CWI.
24        "Preceding Tax Year" means the property tax levy year
25    immediately preceding the Base Tax Year.
26        "Preceding Tax Year's Extension" means the product of

 

 

HB3446 Engrossed- 29 -LRB103 29421 RJT 55812 b

1    the equalized assessed valuation utilized by the county
2    clerk in the Preceding Tax Year multiplied by the
3    Operating Tax Rate.
4        "Preliminary Percent of Adequacy" is defined in
5    paragraph (2) of subsection (f) of this Section.
6        "Preliminary Resources" is defined in paragraph (2) of
7    subsection (f) of this Section.
8        "Principal" means a school administrator duly endorsed
9    to be employed as a principal in this State.
10        "Professional development" means training programs for
11    licensed staff in schools, including, but not limited to,
12    programs that assist in implementing new curriculum
13    programs, provide data focused or academic assessment data
14    training to help staff identify a student's weaknesses and
15    strengths, target interventions, improve instruction,
16    encompass instructional strategies for English learner,
17    gifted, or at-risk students, address inclusivity, cultural
18    sensitivity, or implicit bias, or otherwise provide
19    professional support for licensed staff.
20        "Prototypical" means 450 special education
21    pre-kindergarten and kindergarten through grade 5 students
22    for an elementary school, 450 grade 6 through 8 students
23    for a middle school, and 600 grade 9 through 12 students
24    for a high school.
25        "PTELL" means the Property Tax Extension Limitation
26    Law.

 

 

HB3446 Engrossed- 30 -LRB103 29421 RJT 55812 b

1        "PTELL EAV" is defined in paragraph (4) of subsection
2    (d) of this Section.
3        "Pupil support staff" means a nurse, psychologist,
4    social worker, family liaison personnel, or other staff
5    member who provides support to at-risk or struggling
6    students.
7        "Real Receipts" is defined in paragraph (1) of
8    subsection (d) of this Section.
9        "Regionalization Factor" means, for a particular
10    Organizational Unit, the figure derived by dividing the
11    Organizational Unit CWI by the Statewide Weighted CWI.
12        "School counselor" means a licensed school counselor
13    who provides guidance and counseling support for students
14    within an Organizational Unit.
15        "School site staff" means the primary school secretary
16    and any additional clerical personnel assigned to a
17    school.
18        "Special education" means special educational
19    facilities and services, as defined in Section 14-1.08 of
20    this Code.
21        "Special Education Allocation" means the amount of an
22    Organizational Unit's final Adequacy Target attributable
23    to special education divided by the Organizational Unit's
24    final Adequacy Target, the product of which shall be
25    multiplied by the amount of new funding received pursuant
26    to this Section. An Organizational Unit's final Adequacy

 

 

HB3446 Engrossed- 31 -LRB103 29421 RJT 55812 b

1    Target attributable to special education shall include all
2    special education investment adequacy elements.
3        "Specialist teacher" means a teacher who provides
4    instruction in subject areas not included in core
5    subjects, including, but not limited to, art, music,
6    physical education, health, driver education,
7    career-technical education, and such other subject areas
8    as may be mandated by State law or provided by an
9    Organizational Unit.
10        "Specially Funded Unit" means an Alternative School,
11    safe school, Department of Juvenile Justice school,
12    special education cooperative or entity recognized by the
13    State Board as a special education cooperative,
14    State-approved charter school, or alternative learning
15    opportunities program that received direct funding from
16    the State Board during the 2016-2017 school year through
17    any of the funding sources included within the calculation
18    of the Base Funding Minimum or Glenwood Academy.
19        "Supplemental Grant Funding" means supplemental
20    general State aid funding received by an Organizational
21    Unit during the 2016-2017 school year pursuant to
22    subsection (H) of Section 18-8.05 of this Code (now
23    repealed).
24        "State Adequacy Level" is the sum of the Adequacy
25    Targets of all Organizational Units.
26        "State Board" means the State Board of Education.

 

 

HB3446 Engrossed- 32 -LRB103 29421 RJT 55812 b

1        "State Superintendent" means the State Superintendent
2    of Education.
3        "Statewide Weighted CWI" means a figure determined by
4    multiplying each Organizational Unit CWI times the ASE for
5    that Organizational Unit creating a weighted value,
6    summing all Organizational Units' weighted values, and
7    dividing by the total ASE of all Organizational Units,
8    thereby creating an average weighted index.
9        "Student activities" means non-credit producing
10    after-school programs, including, but not limited to,
11    clubs, bands, sports, and other activities authorized by
12    the school board of the Organizational Unit.
13        "Substitute teacher" means an individual teacher or
14    teaching assistant who is employed by an Organizational
15    Unit and is temporarily serving the Organizational Unit on
16    a per diem or per period-assignment basis to replace
17    another staff member.
18        "Summer school" means academic and enrichment programs
19    provided to students during the summer months outside of
20    the regular school year.
21        "Supervisory aide" means a non-licensed staff member
22    who helps in supervising students of an Organizational
23    Unit, but does so outside of the classroom, in situations
24    such as, but not limited to, monitoring hallways and
25    playgrounds, supervising lunchrooms, or supervising
26    students when being transported in buses serving the

 

 

HB3446 Engrossed- 33 -LRB103 29421 RJT 55812 b

1    Organizational Unit.
2        "Target Ratio" is defined in paragraph (4) of
3    subsection (g).
4        "Tier 1", "Tier 2", "Tier 3", and "Tier 4" are defined
5    in paragraph (3) of subsection (g).
6        "Tier 1 Aggregate Funding", "Tier 2 Aggregate
7    Funding", "Tier 3 Aggregate Funding", and "Tier 4
8    Aggregate Funding" are defined in paragraph (1) of
9    subsection (g).
10    (b) Adequacy Target calculation.
11        (1) Each Organizational Unit's Adequacy Target is the
12    sum of the Organizational Unit's cost of providing
13    Essential Elements, as calculated in accordance with this
14    subsection (b), with the salary amounts in the Essential
15    Elements multiplied by a Regionalization Factor calculated
16    pursuant to paragraph (3) of this subsection (b).
17        (2) The Essential Elements are attributable on a pro
18    rata basis related to defined subgroups of the ASE of each
19    Organizational Unit as specified in this paragraph (2),
20    with investments and FTE positions pro rata funded based
21    on ASE counts in excess of or less than the thresholds set
22    forth in this paragraph (2). The method for calculating
23    attributable pro rata costs and the defined subgroups
24    thereto are as follows:
25            (A) Core class size investments. Each
26        Organizational Unit shall receive the funding required

 

 

HB3446 Engrossed- 34 -LRB103 29421 RJT 55812 b

1        to support that number of FTE core teacher positions
2        as is needed to keep the respective class sizes of the
3        Organizational Unit to the following maximum numbers:
4                (i) For grades kindergarten through 3, the
5            Organizational Unit shall receive funding required
6            to support one FTE core teacher position for every
7            15 Low-Income Count students in those grades and
8            one FTE core teacher position for every 20
9            non-Low-Income Count students in those grades.
10                (ii) For grades 4 through 12, the
11            Organizational Unit shall receive funding required
12            to support one FTE core teacher position for every
13            20 Low-Income Count students in those grades and
14            one FTE core teacher position for every 25
15            non-Low-Income Count students in those grades.
16            The number of non-Low-Income Count students in a
17        grade shall be determined by subtracting the
18        Low-Income students in that grade from the ASE of the
19        Organizational Unit for that grade.
20            (B) Specialist teacher investments. Each
21        Organizational Unit shall receive the funding needed
22        to cover that number of FTE specialist teacher
23        positions that correspond to the following
24        percentages:
25                (i) if the Organizational Unit operates an
26            elementary or middle school, then 20.00% of the

 

 

HB3446 Engrossed- 35 -LRB103 29421 RJT 55812 b

1            number of the Organizational Unit's core teachers,
2            as determined under subparagraph (A) of this
3            paragraph (2); and
4                (ii) if such Organizational Unit operates a
5            high school, then 33.33% of the number of the
6            Organizational Unit's core teachers.
7            (C) Instructional facilitator investments. Each
8        Organizational Unit shall receive the funding needed
9        to cover one FTE instructional facilitator position
10        for every 200 combined ASE of pre-kindergarten
11        children with disabilities and all kindergarten
12        through grade 12 students of the Organizational Unit.
13            (D) Core intervention teacher (tutor) investments.
14        Each Organizational Unit shall receive the funding
15        needed to cover one FTE teacher position for each
16        prototypical elementary, middle, and high school.
17            (E) Substitute teacher investments. Each
18        Organizational Unit shall receive the funding needed
19        to cover substitute teacher costs that is equal to
20        5.70% of the minimum pupil attendance days required
21        under Section 10-19 of this Code for all full-time
22        equivalent core, specialist, and intervention
23        teachers, school nurses, special education teachers
24        and instructional assistants, instructional
25        facilitators, and summer school and extended day
26        teacher positions, as determined under this paragraph

 

 

HB3446 Engrossed- 36 -LRB103 29421 RJT 55812 b

1        (2), at a salary rate of 33.33% of the average salary
2        for grade K through 12 teachers and 33.33% of the
3        average salary of each instructional assistant
4        position.
5            (F) Core school counselor investments. Each
6        Organizational Unit shall receive the funding needed
7        to cover one FTE school counselor for each 450
8        combined ASE of pre-kindergarten children with
9        disabilities and all kindergarten through grade 5
10        students, plus one FTE school counselor for each 250
11        grades 6 through 8 ASE middle school students, plus
12        one FTE school counselor for each 250 grades 9 through
13        12 ASE high school students.
14            (G) Nurse investments. Each Organizational Unit
15        shall receive the funding needed to cover one FTE
16        nurse for each 750 combined ASE of pre-kindergarten
17        children with disabilities and all kindergarten
18        through grade 12 students across all grade levels it
19        serves.
20            (H) Supervisory aide investments. Each
21        Organizational Unit shall receive the funding needed
22        to cover one FTE for each 225 combined ASE of
23        pre-kindergarten children with disabilities and all
24        kindergarten through grade 5 students, plus one FTE
25        for each 225 ASE middle school students, plus one FTE
26        for each 200 ASE high school students.

 

 

HB3446 Engrossed- 37 -LRB103 29421 RJT 55812 b

1            (I) Librarian investments. Each Organizational
2        Unit shall receive the funding needed to cover one FTE
3        librarian for each prototypical elementary school,
4        middle school, and high school and one FTE aide or
5        media technician for every 300 combined ASE of
6        pre-kindergarten children with disabilities and all
7        kindergarten through grade 12 students.
8            (J) Principal investments. Each Organizational
9        Unit shall receive the funding needed to cover one FTE
10        principal position for each prototypical elementary
11        school, plus one FTE principal position for each
12        prototypical middle school, plus one FTE principal
13        position for each prototypical high school.
14            (K) Assistant principal investments. Each
15        Organizational Unit shall receive the funding needed
16        to cover one FTE assistant principal position for each
17        prototypical elementary school, plus one FTE assistant
18        principal position for each prototypical middle
19        school, plus one FTE assistant principal position for
20        each prototypical high school.
21            (L) School site staff investments. Each
22        Organizational Unit shall receive the funding needed
23        for one FTE position for each 225 ASE of
24        pre-kindergarten children with disabilities and all
25        kindergarten through grade 5 students, plus one FTE
26        position for each 225 ASE middle school students, plus

 

 

HB3446 Engrossed- 38 -LRB103 29421 RJT 55812 b

1        one FTE position for each 200 ASE high school
2        students.
3            (M) Gifted investments. Each Organizational Unit
4        shall receive $40 per kindergarten through grade 12
5        ASE.
6            (N) Professional development investments. Each
7        Organizational Unit shall receive $125 per student of
8        the combined ASE of pre-kindergarten children with
9        disabilities and all kindergarten through grade 12
10        students for trainers and other professional
11        development-related expenses for supplies and
12        materials.
13            (O) Instructional material investments. Each
14        Organizational Unit shall receive $190 per student of
15        the combined ASE of pre-kindergarten children with
16        disabilities and all kindergarten through grade 12
17        students to cover instructional material costs.
18            (P) Assessment investments. Each Organizational
19        Unit shall receive $25 per student of the combined ASE
20        of pre-kindergarten children with disabilities and all
21        kindergarten through grade 12 students to cover
22        assessment costs.
23            (Q) Computer technology and equipment investments.
24        Each Organizational Unit shall receive $285.50 per
25        student of the combined ASE of pre-kindergarten
26        children with disabilities and all kindergarten

 

 

HB3446 Engrossed- 39 -LRB103 29421 RJT 55812 b

1        through grade 12 students to cover computer technology
2        and equipment costs. For the 2018-2019 school year and
3        subsequent school years, Organizational Units assigned
4        to Tier 1 and Tier 2 in the prior school year shall
5        receive an additional $285.50 per student of the
6        combined ASE of pre-kindergarten children with
7        disabilities and all kindergarten through grade 12
8        students to cover computer technology and equipment
9        costs in the Organizational Unit's Adequacy Target.
10        The State Board may establish additional requirements
11        for Organizational Unit expenditures of funds received
12        pursuant to this subparagraph (Q), including a
13        requirement that funds received pursuant to this
14        subparagraph (Q) may be used only for serving the
15        technology needs of the district. It is the intent of
16        Public Act 100-465 that all Tier 1 and Tier 2 districts
17        receive the addition to their Adequacy Target in the
18        following year, subject to compliance with the
19        requirements of the State Board.
20            (R) Student activities investments. Each
21        Organizational Unit shall receive the following
22        funding amounts to cover student activities: $100 per
23        kindergarten through grade 5 ASE student in elementary
24        school, plus $200 per ASE student in middle school,
25        plus $675 per ASE student in high school.
26            (S) Maintenance and operations investments. Each

 

 

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1        Organizational Unit shall receive $1,038 per student
2        of the combined ASE of pre-kindergarten children with
3        disabilities and all kindergarten through grade 12
4        students for day-to-day maintenance and operations
5        expenditures, including salary, supplies, and
6        materials, as well as purchased services, but
7        excluding employee benefits. The proportion of salary
8        for the application of a Regionalization Factor and
9        the calculation of benefits is equal to $352.92.
10            (T) Central office investments. Each
11        Organizational Unit shall receive $742 per student of
12        the combined ASE of pre-kindergarten children with
13        disabilities and all kindergarten through grade 12
14        students to cover central office operations, including
15        administrators and classified personnel charged with
16        managing the instructional programs, business and
17        operations of the school district, and security
18        personnel. The proportion of salary for the
19        application of a Regionalization Factor and the
20        calculation of benefits is equal to $368.48.
21            (U) Employee benefit investments. Each
22        Organizational Unit shall receive 30% of the total of
23        all salary-calculated elements of the Adequacy Target,
24        excluding substitute teachers and student activities
25        investments, to cover benefit costs. For central
26        office and maintenance and operations investments, the

 

 

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1        benefit calculation shall be based upon the salary
2        proportion of each investment. If at any time the
3        responsibility for funding the employer normal cost of
4        teacher pensions is assigned to school districts, then
5        that amount certified by the Teachers' Retirement
6        System of the State of Illinois to be paid by the
7        Organizational Unit for the preceding school year
8        shall be added to the benefit investment. For any
9        fiscal year in which a school district organized under
10        Article 34 of this Code is responsible for paying the
11        employer normal cost of teacher pensions, then that
12        amount of its employer normal cost plus the amount for
13        retiree health insurance as certified by the Public
14        School Teachers' Pension and Retirement Fund of
15        Chicago to be paid by the school district for the
16        preceding school year that is statutorily required to
17        cover employer normal costs and the amount for retiree
18        health insurance shall be added to the 30% specified
19        in this subparagraph (U). The Teachers' Retirement
20        System of the State of Illinois and the Public School
21        Teachers' Pension and Retirement Fund of Chicago shall
22        submit such information as the State Superintendent
23        may require for the calculations set forth in this
24        subparagraph (U).
25            (V) Additional investments in low-income students.
26        In addition to and not in lieu of all other funding

 

 

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1        under this paragraph (2), each Organizational Unit
2        shall receive funding based on the average teacher
3        salary for grades K through 12 to cover the costs of:
4                (i) one FTE intervention teacher (tutor)
5            position for every 125 Low-Income Count students;
6                (ii) one FTE pupil support staff position for
7            every 125 Low-Income Count students;
8                (iii) one FTE extended day teacher position
9            for every 120 Low-Income Count students; and
10                (iv) one FTE summer school teacher position
11            for every 120 Low-Income Count students.
12            (W) Additional investments in English learner
13        students. In addition to and not in lieu of all other
14        funding under this paragraph (2), each Organizational
15        Unit shall receive funding based on the average
16        teacher salary for grades K through 12 to cover the
17        costs of:
18                (i) one FTE intervention teacher (tutor)
19            position for every 125 English learner students;
20                (ii) one FTE pupil support staff position for
21            every 125 English learner students;
22                (iii) one FTE extended day teacher position
23            for every 120 English learner students;
24                (iv) one FTE summer school teacher position
25            for every 120 English learner students; and
26                (v) one FTE core teacher position for every

 

 

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1            100 English learner students.
2            (X) Special education investments. Each
3        Organizational Unit shall receive funding based on the
4        average teacher salary for grades K through 12 to
5        cover special education as follows:
6                (i) one FTE teacher position for every 141
7            combined ASE of pre-kindergarten children with
8            disabilities and all kindergarten through grade 12
9            students;
10                (ii) one FTE instructional assistant for every
11            141 combined ASE of pre-kindergarten children with
12            disabilities and all kindergarten through grade 12
13            students; and
14                (iii) one FTE psychologist position for every
15            1,000 combined ASE of pre-kindergarten children
16            with disabilities and all kindergarten through
17            grade 12 students.
18        (3) For calculating the salaries included within the
19    Essential Elements, the State Superintendent shall
20    annually calculate average salaries to the nearest dollar
21    using the employment information system data maintained by
22    the State Board, limited to public schools only and
23    excluding special education and vocational cooperatives,
24    schools operated by the Department of Juvenile Justice,
25    and charter schools, for the following positions:
26            (A) Teacher for grades K through 8.

 

 

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1            (B) Teacher for grades 9 through 12.
2            (C) Teacher for grades K through 12.
3            (D) School counselor for grades K through 8.
4            (E) School counselor for grades 9 through 12.
5            (F) School counselor for grades K through 12.
6            (G) Social worker.
7            (H) Psychologist.
8            (I) Librarian.
9            (J) Nurse.
10            (K) Principal.
11            (L) Assistant principal.
12        For the purposes of this paragraph (3), "teacher"
13    includes core teachers, specialist and elective teachers,
14    instructional facilitators, tutors, special education
15    teachers, pupil support staff teachers, English learner
16    teachers, extended day teachers, and summer school
17    teachers. Where specific grade data is not required for
18    the Essential Elements, the average salary for
19    corresponding positions shall apply. For substitute
20    teachers, the average teacher salary for grades K through
21    12 shall apply.
22        For calculating the salaries included within the
23    Essential Elements for positions not included within EIS
24    Data, the following salaries shall be used in the first
25    year of implementation of Evidence-Based Funding:
26            (i) school site staff, $30,000; and

 

 

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1            (ii) non-instructional assistant, instructional
2        assistant, library aide, library media tech, or
3        supervisory aide: $25,000.
4        In the second and subsequent years of implementation
5    of Evidence-Based Funding, the amounts in items (i) and
6    (ii) of this paragraph (3) shall annually increase by the
7    ECI.
8        The salary amounts for the Essential Elements
9    determined pursuant to subparagraphs (A) through (L), (S)
10    and (T), and (V) through (X) of paragraph (2) of
11    subsection (b) of this Section shall be multiplied by a
12    Regionalization Factor.
13    (c) Local Capacity calculation.
14        (1) Each Organizational Unit's Local Capacity
15    represents an amount of funding it is assumed to
16    contribute toward its Adequacy Target for purposes of the
17    Evidence-Based Funding formula calculation. "Local
18    Capacity" means either (i) the Organizational Unit's Local
19    Capacity Target as calculated in accordance with paragraph
20    (2) of this subsection (c) if its Real Receipts are equal
21    to or less than its Local Capacity Target or (ii) the
22    Organizational Unit's Adjusted Local Capacity, as
23    calculated in accordance with paragraph (3) of this
24    subsection (c) if Real Receipts are more than its Local
25    Capacity Target.
26        (2) "Local Capacity Target" means, for an

 

 

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1    Organizational Unit, that dollar amount that is obtained
2    by multiplying its Adequacy Target by its Local Capacity
3    Ratio.
4            (A) An Organizational Unit's Local Capacity
5        Percentage is the conversion of the Organizational
6        Unit's Local Capacity Ratio, as such ratio is
7        determined in accordance with subparagraph (B) of this
8        paragraph (2), into a cumulative distribution
9        resulting in a percentile ranking to determine each
10        Organizational Unit's relative position to all other
11        Organizational Units in this State. The calculation of
12        Local Capacity Percentage is described in subparagraph
13        (C) of this paragraph (2).
14            (B) An Organizational Unit's Local Capacity Ratio
15        in a given year is the percentage obtained by dividing
16        its Adjusted EAV or PTELL EAV, whichever is less, by
17        its Adequacy Target, with the resulting ratio further
18        adjusted as follows:
19                (i) for Organizational Units serving grades
20            kindergarten through 12 and Hybrid Districts, no
21            further adjustments shall be made;
22                (ii) for Organizational Units serving grades
23            kindergarten through 8, the ratio shall be
24            multiplied by 9/13;
25                (iii) for Organizational Units serving grades
26            9 through 12, the Local Capacity Ratio shall be

 

 

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1            multiplied by 4/13; and
2                (iv) for an Organizational Unit with a
3            different grade configuration than those specified
4            in items (i) through (iii) of this subparagraph
5            (B), the State Superintendent shall determine a
6            comparable adjustment based on the grades served.
7            (C) The Local Capacity Percentage is equal to the
8        percentile ranking of the district. Local Capacity
9        Percentage converts each Organizational Unit's Local
10        Capacity Ratio to a cumulative distribution resulting
11        in a percentile ranking to determine each
12        Organizational Unit's relative position to all other
13        Organizational Units in this State. The Local Capacity
14        Percentage cumulative distribution resulting in a
15        percentile ranking for each Organizational Unit shall
16        be calculated using the standard normal distribution
17        of the score in relation to the weighted mean and
18        weighted standard deviation and Local Capacity Ratios
19        of all Organizational Units. If the value assigned to
20        any Organizational Unit is in excess of 90%, the value
21        shall be adjusted to 90%. For Laboratory Schools, the
22        Local Capacity Percentage shall be set at 10% in
23        recognition of the absence of EAV and resources from
24        the public university that are allocated to the
25        Laboratory School. For programs operated by a regional
26        office of education or an intermediate service center,

 

 

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1        the Local Capacity Percentage must be set at 10% in
2        recognition of the absence of EAV and resources from
3        school districts that are allocated to the regional
4        office of education or intermediate service center.
5        The weighted mean for the Local Capacity Percentage
6        shall be determined by multiplying each Organizational
7        Unit's Local Capacity Ratio times the ASE for the unit
8        creating a weighted value, summing the weighted values
9        of all Organizational Units, and dividing by the total
10        ASE of all Organizational Units. The weighted standard
11        deviation shall be determined by taking the square
12        root of the weighted variance of all Organizational
13        Units' Local Capacity Ratio, where the variance is
14        calculated by squaring the difference between each
15        unit's Local Capacity Ratio and the weighted mean,
16        then multiplying the variance for each unit times the
17        ASE for the unit to create a weighted variance for each
18        unit, then summing all units' weighted variance and
19        dividing by the total ASE of all units.
20            (D) For any Organizational Unit, the
21        Organizational Unit's Adjusted Local Capacity Target
22        shall be reduced by either (i) the school board's
23        remaining contribution pursuant to paragraph (ii) of
24        subsection (b-4) of Section 16-158 of the Illinois
25        Pension Code in a given year or (ii) the board of
26        education's remaining contribution pursuant to

 

 

HB3446 Engrossed- 49 -LRB103 29421 RJT 55812 b

1        paragraph (iv) of subsection (b) of Section 17-129 of
2        the Illinois Pension Code absent the employer normal
3        cost portion of the required contribution and amount
4        allowed pursuant to subdivision (3) of Section
5        17-142.1 of the Illinois Pension Code in a given year.
6        In the preceding sentence, item (i) shall be certified
7        to the State Board of Education by the Teachers'
8        Retirement System of the State of Illinois and item
9        (ii) shall be certified to the State Board of
10        Education by the Public School Teachers' Pension and
11        Retirement Fund of the City of Chicago.
12        (3) If an Organizational Unit's Real Receipts are more
13    than its Local Capacity Target, then its Local Capacity
14    shall equal an Adjusted Local Capacity Target as
15    calculated in accordance with this paragraph (3). The
16    Adjusted Local Capacity Target is calculated as the sum of
17    the Organizational Unit's Local Capacity Target and its
18    Real Receipts Adjustment. The Real Receipts Adjustment
19    equals the Organizational Unit's Real Receipts less its
20    Local Capacity Target, with the resulting figure
21    multiplied by the Local Capacity Percentage.
22        As used in this paragraph (3), "Real Percent of
23    Adequacy" means the sum of an Organizational Unit's Real
24    Receipts, CPPRT, and Base Funding Minimum, with the
25    resulting figure divided by the Organizational Unit's
26    Adequacy Target.

 

 

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1    (d) Calculation of Real Receipts, EAV, and Adjusted EAV
2for purposes of the Local Capacity calculation.
3        (1) An Organizational Unit's Real Receipts are the
4    product of its Applicable Tax Rate and its Adjusted EAV.
5    An Organizational Unit's Applicable Tax Rate is its
6    Adjusted Operating Tax Rate for property within the
7    Organizational Unit.
8        (2) The State Superintendent shall calculate the
9    equalized assessed valuation, or EAV, of all taxable
10    property of each Organizational Unit as of September 30 of
11    the previous year in accordance with paragraph (3) of this
12    subsection (d). The State Superintendent shall then
13    determine the Adjusted EAV of each Organizational Unit in
14    accordance with paragraph (4) of this subsection (d),
15    which Adjusted EAV figure shall be used for the purposes
16    of calculating Local Capacity.
17        (3) To calculate Real Receipts and EAV, the Department
18    of Revenue shall supply to the State Superintendent the
19    value as equalized or assessed by the Department of
20    Revenue of all taxable property of every Organizational
21    Unit, together with (i) the applicable tax rate used in
22    extending taxes for the funds of the Organizational Unit
23    as of September 30 of the previous year and (ii) the
24    limiting rate for all Organizational Units subject to
25    property tax extension limitations as imposed under PTELL.
26            (A) The Department of Revenue shall add to the

 

 

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1        equalized assessed value of all taxable property of
2        each Organizational Unit situated entirely or
3        partially within a county that is or was subject to the
4        provisions of Section 15-176 or 15-177 of the Property
5        Tax Code (i) an amount equal to the total amount by
6        which the homestead exemption allowed under Section
7        15-176 or 15-177 of the Property Tax Code for real
8        property situated in that Organizational Unit exceeds
9        the total amount that would have been allowed in that
10        Organizational Unit if the maximum reduction under
11        Section 15-176 was (I) $4,500 in Cook County or $3,500
12        in all other counties in tax year 2003 or (II) $5,000
13        in all counties in tax year 2004 and thereafter and
14        (ii) an amount equal to the aggregate amount for the
15        taxable year of all additional exemptions under
16        Section 15-175 of the Property Tax Code for owners
17        with a household income of $30,000 or less. The county
18        clerk of any county that is or was subject to the
19        provisions of Section 15-176 or 15-177 of the Property
20        Tax Code shall annually calculate and certify to the
21        Department of Revenue for each Organizational Unit all
22        homestead exemption amounts under Section 15-176 or
23        15-177 of the Property Tax Code and all amounts of
24        additional exemptions under Section 15-175 of the
25        Property Tax Code for owners with a household income
26        of $30,000 or less. It is the intent of this

 

 

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1        subparagraph (A) that if the general homestead
2        exemption for a parcel of property is determined under
3        Section 15-176 or 15-177 of the Property Tax Code
4        rather than Section 15-175, then the calculation of
5        EAV shall not be affected by the difference, if any,
6        between the amount of the general homestead exemption
7        allowed for that parcel of property under Section
8        15-176 or 15-177 of the Property Tax Code and the
9        amount that would have been allowed had the general
10        homestead exemption for that parcel of property been
11        determined under Section 15-175 of the Property Tax
12        Code. It is further the intent of this subparagraph
13        (A) that if additional exemptions are allowed under
14        Section 15-175 of the Property Tax Code for owners
15        with a household income of less than $30,000, then the
16        calculation of EAV shall not be affected by the
17        difference, if any, because of those additional
18        exemptions.
19            (B) With respect to any part of an Organizational
20        Unit within a redevelopment project area in respect to
21        which a municipality has adopted tax increment
22        allocation financing pursuant to the Tax Increment
23        Allocation Redevelopment Act, Division 74.4 of Article
24        11 of the Illinois Municipal Code, or the Industrial
25        Jobs Recovery Law, Division 74.6 of Article 11 of the
26        Illinois Municipal Code, no part of the current EAV of

 

 

HB3446 Engrossed- 53 -LRB103 29421 RJT 55812 b

1        real property located in any such project area that is
2        attributable to an increase above the total initial
3        EAV of such property shall be used as part of the EAV
4        of the Organizational Unit, until such time as all
5        redevelopment project costs have been paid, as
6        provided in Section 11-74.4-8 of the Tax Increment
7        Allocation Redevelopment Act or in Section 11-74.6-35
8        of the Industrial Jobs Recovery Law. For the purpose
9        of the EAV of the Organizational Unit, the total
10        initial EAV or the current EAV, whichever is lower,
11        shall be used until such time as all redevelopment
12        project costs have been paid.
13            (B-5) The real property equalized assessed
14        valuation for a school district shall be adjusted by
15        subtracting from the real property value, as equalized
16        or assessed by the Department of Revenue, for the
17        district an amount computed by dividing the amount of
18        any abatement of taxes under Section 18-170 of the
19        Property Tax Code by 3.00% for a district maintaining
20        grades kindergarten through 12, by 2.30% for a
21        district maintaining grades kindergarten through 8, or
22        by 1.05% for a district maintaining grades 9 through
23        12 and adjusted by an amount computed by dividing the
24        amount of any abatement of taxes under subsection (a)
25        of Section 18-165 of the Property Tax Code by the same
26        percentage rates for district type as specified in

 

 

HB3446 Engrossed- 54 -LRB103 29421 RJT 55812 b

1        this subparagraph (B-5).
2            (C) For Organizational Units that are Hybrid
3        Districts, the State Superintendent shall use the
4        lesser of the adjusted equalized assessed valuation
5        for property within the partial elementary unit
6        district for elementary purposes, as defined in
7        Article 11E of this Code, or the adjusted equalized
8        assessed valuation for property within the partial
9        elementary unit district for high school purposes, as
10        defined in Article 11E of this Code.
11            (D) If a school district's boundaries span
12        multiple counties, then the Department of Revenue
13        shall send to the State Board, for the purposes of
14        calculating Evidence-Based Funding, the limiting rate
15        and individual rates by purpose for the county that
16        contains the majority of the school district's
17        equalized assessed valuation.
18        (4) An Organizational Unit's Adjusted EAV shall be the
19    average of its EAV over the immediately preceding 3 years
20    or the lesser of its EAV in the immediately preceding year
21    or the average of its EAV over the immediately preceding 3
22    years if the EAV in the immediately preceding year has
23    declined by 10% or more when comparing the 2 most recent
24    years. In the event of Organizational Unit reorganization,
25    consolidation, or annexation, the Organizational Unit's
26    Adjusted EAV for the first 3 years after such change shall

 

 

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1    be as follows: the most current EAV shall be used in the
2    first year, the average of a 2-year EAV or its EAV in the
3    immediately preceding year if the EAV declines by 10% or
4    more when comparing the 2 most recent years for the second
5    year, and the lesser of a 3-year average EAV or its EAV in
6    the immediately preceding year if the Adjusted EAV
7    declines by 10% or more when comparing the 2 most recent
8    years for the third year. For any school district whose
9    EAV in the immediately preceding year is used in
10    calculations, in the following year, the Adjusted EAV
11    shall be the average of its EAV over the immediately
12    preceding 2 years or the immediately preceding year if
13    that year represents a decline of 10% or more when
14    comparing the 2 most recent years.
15        "PTELL EAV" means a figure calculated by the State
16    Board for Organizational Units subject to PTELL as
17    described in this paragraph (4) for the purposes of
18    calculating an Organizational Unit's Local Capacity Ratio.
19    Except as otherwise provided in this paragraph (4), the
20    PTELL EAV of an Organizational Unit shall be equal to the
21    product of the equalized assessed valuation last used in
22    the calculation of general State aid under Section 18-8.05
23    of this Code (now repealed) or Evidence-Based Funding
24    under this Section and the Organizational Unit's Extension
25    Limitation Ratio. If an Organizational Unit has approved
26    or does approve an increase in its limiting rate, pursuant

 

 

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1    to Section 18-190 of the Property Tax Code, affecting the
2    Base Tax Year, the PTELL EAV shall be equal to the product
3    of the equalized assessed valuation last used in the
4    calculation of general State aid under Section 18-8.05 of
5    this Code (now repealed) or Evidence-Based Funding under
6    this Section multiplied by an amount equal to one plus the
7    percentage increase, if any, in the Consumer Price Index
8    for All Urban Consumers for all items published by the
9    United States Department of Labor for the 12-month
10    calendar year preceding the Base Tax Year, plus the
11    equalized assessed valuation of new property, annexed
12    property, and recovered tax increment value and minus the
13    equalized assessed valuation of disconnected property.
14        As used in this paragraph (4), "new property" and
15    "recovered tax increment value" shall have the meanings
16    set forth in the Property Tax Extension Limitation Law.
17    (e) Base Funding Minimum calculation.
18        (1) For the 2017-2018 school year, the Base Funding
19    Minimum of an Organizational Unit or a Specially Funded
20    Unit shall be the amount of State funds distributed to the
21    Organizational Unit or Specially Funded Unit during the
22    2016-2017 school year prior to any adjustments and
23    specified appropriation amounts described in this
24    paragraph (1) from the following Sections, as calculated
25    by the State Superintendent: Section 18-8.05 of this Code
26    (now repealed); Section 5 of Article 224 of Public Act

 

 

HB3446 Engrossed- 57 -LRB103 29421 RJT 55812 b

1    99-524 (equity grants); Section 14-7.02b of this Code
2    (funding for children requiring special education
3    services); Section 14-13.01 of this Code (special
4    education facilities and staffing), except for
5    reimbursement of the cost of transportation pursuant to
6    Section 14-13.01; Section 14C-12 of this Code (English
7    learners); and Section 18-4.3 of this Code (summer
8    school), based on an appropriation level of $13,121,600.
9    For a school district organized under Article 34 of this
10    Code, the Base Funding Minimum also includes (i) the funds
11    allocated to the school district pursuant to Section 1D-1
12    of this Code attributable to funding programs authorized
13    by the Sections of this Code listed in the preceding
14    sentence and (ii) the difference between (I) the funds
15    allocated to the school district pursuant to Section 1D-1
16    of this Code attributable to the funding programs
17    authorized by Section 14-7.02 (non-public special
18    education reimbursement), subsection (b) of Section
19    14-13.01 (special education transportation), Section 29-5
20    (transportation), Section 2-3.80 (agricultural
21    education), Section 2-3.66 (truants' alternative
22    education), Section 2-3.62 (educational service centers),
23    and Section 14-7.03 (special education - orphanage) of
24    this Code and Section 15 of the Childhood Hunger Relief
25    Act (free breakfast program) and (II) the school
26    district's actual expenditures for its non-public special

 

 

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1    education, special education transportation,
2    transportation programs, agricultural education, truants'
3    alternative education, services that would otherwise be
4    performed by a regional office of education, special
5    education orphanage expenditures, and free breakfast, as
6    most recently calculated and reported pursuant to
7    subsection (f) of Section 1D-1 of this Code. The Base
8    Funding Minimum for Glenwood Academy shall be $625,500.
9    For programs operated by a regional office of education or
10    an intermediate service center, the Base Funding Minimum
11    must be the total amount of State funds allocated to those
12    programs in the 2018-2019 school year and amounts provided
13    pursuant to Article 34 of Public Act 100-586 and Section
14    3-16 of this Code. All programs established after June 5,
15    2019 (the effective date of Public Act 101-10) and
16    administered by a regional office of education or an
17    intermediate service center must have an initial Base
18    Funding Minimum set to an amount equal to the first-year
19    ASE multiplied by the amount of per pupil funding received
20    in the previous school year by the lowest funded similar
21    existing program type. If the enrollment for a program
22    operated by a regional office of education or an
23    intermediate service center is zero, then it may not
24    receive Base Funding Minimum funds for that program in the
25    next fiscal year, and those funds must be distributed to
26    Organizational Units under subsection (g).

 

 

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1        (2) For the 2018-2019 and subsequent school years, the
2    Base Funding Minimum of Organizational Units and Specially
3    Funded Units shall be the sum of (i) the amount of
4    Evidence-Based Funding for the prior school year, (ii) the
5    Base Funding Minimum for the prior school year, and (iii)
6    any amount received by a school district pursuant to
7    Section 7 of Article 97 of Public Act 100-21.
8        For the 2022-2023 school year, the Base Funding
9    Minimum of Organizational Units shall be the amounts
10    recalculated by the State Board of Education for Fiscal
11    Year 2019 through Fiscal Year 2022 that were necessary due
12    to average student enrollment errors for districts
13    organized under Article 34 of this Code, plus the Fiscal
14    Year 2022 property tax relief grants provided under
15    Section 2-3.170 of this Code, ensuring each Organizational
16    Unit has the correct amount of resources for Fiscal Year
17    2023 Evidence-Based Funding calculations and that Fiscal
18    Year 2023 Evidence-Based Funding Distributions are made in
19    accordance with this Section.
20        (3) Subject to approval by the General Assembly as
21    provided in this paragraph (3), an Organizational Unit
22    that meets all of the following criteria, as determined by
23    the State Board, shall have District Intervention Money
24    added to its Base Funding Minimum at the time the Base
25    Funding Minimum is calculated by the State Board:
26            (A) The Organizational Unit is operating under an

 

 

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1        Independent Authority under Section 2-3.25f-5 of this
2        Code for a minimum of 4 school years or is subject to
3        the control of the State Board pursuant to a court
4        order for a minimum of 4 school years.
5            (B) The Organizational Unit was designated as a
6        Tier 1 or Tier 2 Organizational Unit in the previous
7        school year under paragraph (3) of subsection (g) of
8        this Section.
9            (C) The Organizational Unit demonstrates
10        sustainability through a 5-year financial and
11        strategic plan.
12            (D) The Organizational Unit has made sufficient
13        progress and achieved sufficient stability in the
14        areas of governance, academic growth, and finances.
15        As part of its determination under this paragraph (3),
16    the State Board may consider the Organizational Unit's
17    summative designation, any accreditations of the
18    Organizational Unit, or the Organizational Unit's
19    financial profile, as calculated by the State Board.
20        If the State Board determines that an Organizational
21    Unit has met the criteria set forth in this paragraph (3),
22    it must submit a report to the General Assembly, no later
23    than January 2 of the fiscal year in which the State Board
24    makes it determination, on the amount of District
25    Intervention Money to add to the Organizational Unit's
26    Base Funding Minimum. The General Assembly must review the

 

 

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1    State Board's report and may approve or disapprove, by
2    joint resolution, the addition of District Intervention
3    Money. If the General Assembly fails to act on the report
4    within 40 calendar days from the receipt of the report,
5    the addition of District Intervention Money is deemed
6    approved. If the General Assembly approves the amount of
7    District Intervention Money to be added to the
8    Organizational Unit's Base Funding Minimum, the District
9    Intervention Money must be added to the Base Funding
10    Minimum annually thereafter.
11        For the first 4 years following the initial year that
12    the State Board determines that an Organizational Unit has
13    met the criteria set forth in this paragraph (3) and has
14    received funding under this Section, the Organizational
15    Unit must annually submit to the State Board, on or before
16    November 30, a progress report regarding its financial and
17    strategic plan under subparagraph (C) of this paragraph
18    (3). The plan shall include the financial data from the
19    past 4 annual financial reports or financial audits that
20    must be presented to the State Board by November 15 of each
21    year and the approved budget financial data for the
22    current year. The plan shall be developed according to the
23    guidelines presented to the Organizational Unit by the
24    State Board. The plan shall further include financial
25    projections for the next 3 fiscal years and include a
26    discussion and financial summary of the Organizational

 

 

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1    Unit's facility needs. If the Organizational Unit does not
2    demonstrate sufficient progress toward its 5-year plan or
3    if it has failed to file an annual financial report, an
4    annual budget, a financial plan, a deficit reduction plan,
5    or other financial information as required by law, the
6    State Board may establish a Financial Oversight Panel
7    under Article 1H of this Code. However, if the
8    Organizational Unit already has a Financial Oversight
9    Panel, the State Board may extend the duration of the
10    Panel.
11    (f) Percent of Adequacy and Final Resources calculation.
12        (1) The Evidence-Based Funding formula establishes a
13    Percent of Adequacy for each Organizational Unit in order
14    to place such units into tiers for the purposes of the
15    funding distribution system described in subsection (g) of
16    this Section. Initially, an Organizational Unit's
17    Preliminary Resources and Preliminary Percent of Adequacy
18    are calculated pursuant to paragraph (2) of this
19    subsection (f). Then, an Organizational Unit's Final
20    Resources and Final Percent of Adequacy are calculated to
21    account for the Organizational Unit's poverty
22    concentration levels pursuant to paragraphs (3) and (4) of
23    this subsection (f).
24        (2) An Organizational Unit's Preliminary Resources are
25    equal to the sum of its Local Capacity Target, CPPRT, and
26    Base Funding Minimum. An Organizational Unit's Preliminary

 

 

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1    Percent of Adequacy is the lesser of (i) its Preliminary
2    Resources divided by its Adequacy Target or (ii) 100%.
3        (3) Except for Specially Funded Units, an
4    Organizational Unit's Final Resources are equal to the sum
5    of its Local Capacity, CPPRT, and Adjusted Base Funding
6    Minimum. The Base Funding Minimum of each Specially Funded
7    Unit shall serve as its Final Resources, except that the
8    Base Funding Minimum for State-approved charter schools
9    shall not include any portion of general State aid
10    allocated in the prior year based on the per capita
11    tuition charge times the charter school enrollment.
12        (4) An Organizational Unit's Final Percent of Adequacy
13    is its Final Resources divided by its Adequacy Target. An
14    Organizational Unit's Adjusted Base Funding Minimum is
15    equal to its Base Funding Minimum less its Supplemental
16    Grant Funding, with the resulting figure added to the
17    product of its Supplemental Grant Funding and Preliminary
18    Percent of Adequacy.
19    (g) Evidence-Based Funding formula distribution system.
20        (1) In each school year under the Evidence-Based
21    Funding formula, each Organizational Unit receives funding
22    equal to the sum of its Base Funding Minimum and the unit's
23    allocation of New State Funds determined pursuant to this
24    subsection (g). To allocate New State Funds, the
25    Evidence-Based Funding formula distribution system first
26    places all Organizational Units into one of 4 tiers in

 

 

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1    accordance with paragraph (3) of this subsection (g),
2    based on the Organizational Unit's Final Percent of
3    Adequacy. New State Funds are allocated to each of the 4
4    tiers as follows: Tier 1 Aggregate Funding equals 50% of
5    all New State Funds, Tier 2 Aggregate Funding equals 49%
6    of all New State Funds, Tier 3 Aggregate Funding equals
7    0.9% of all New State Funds, and Tier 4 Aggregate Funding
8    equals 0.1% of all New State Funds. Each Organizational
9    Unit within Tier 1 or Tier 2 receives an allocation of New
10    State Funds equal to its tier Funding Gap, as defined in
11    the following sentence, multiplied by the tier's
12    Allocation Rate determined pursuant to paragraph (4) of
13    this subsection (g). For Tier 1, an Organizational Unit's
14    Funding Gap equals the tier's Target Ratio, as specified
15    in paragraph (5) of this subsection (g), multiplied by the
16    Organizational Unit's Adequacy Target, with the resulting
17    amount reduced by the Organizational Unit's Final
18    Resources. For Tier 2, an Organizational Unit's Funding
19    Gap equals the tier's Target Ratio, as described in
20    paragraph (5) of this subsection (g), multiplied by the
21    Organizational Unit's Adequacy Target, with the resulting
22    amount reduced by the Organizational Unit's Final
23    Resources and its Tier 1 funding allocation. To determine
24    the Organizational Unit's Funding Gap, the resulting
25    amount is then multiplied by a factor equal to one minus
26    the Organizational Unit's Local Capacity Target

 

 

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1    percentage. Each Organizational Unit within Tier 3 or Tier
2    4 receives an allocation of New State Funds equal to the
3    product of its Adequacy Target and the tier's Allocation
4    Rate, as specified in paragraph (4) of this subsection
5    (g).
6        (2) To ensure equitable distribution of dollars for
7    all Tier 2 Organizational Units, no Tier 2 Organizational
8    Unit shall receive fewer dollars per ASE than any Tier 3
9    Organizational Unit. Each Tier 2 and Tier 3 Organizational
10    Unit shall have its funding allocation divided by its ASE.
11    Any Tier 2 Organizational Unit with a funding allocation
12    per ASE below the greatest Tier 3 allocation per ASE shall
13    get a funding allocation equal to the greatest Tier 3
14    funding allocation per ASE multiplied by the
15    Organizational Unit's ASE. Each Tier 2 Organizational
16    Unit's Tier 2 funding allocation shall be multiplied by
17    the percentage calculated by dividing the original Tier 2
18    Aggregate Funding by the sum of all Tier 2 Organizational
19    Units' Tier 2 funding allocation after adjusting
20    districts' funding below Tier 3 levels.
21        (3) Organizational Units are placed into one of 4
22    tiers as follows:
23            (A) Tier 1 consists of all Organizational Units,
24        except for Specially Funded Units, with a Percent of
25        Adequacy less than the Tier 1 Target Ratio. The Tier 1
26        Target Ratio is the ratio level that allows for Tier 1

 

 

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1        Aggregate Funding to be distributed, with the Tier 1
2        Allocation Rate determined pursuant to paragraph (4)
3        of this subsection (g).
4            (B) Tier 2 consists of all Tier 1 Units and all
5        other Organizational Units, except for Specially
6        Funded Units, with a Percent of Adequacy of less than
7        0.90.
8            (C) Tier 3 consists of all Organizational Units,
9        except for Specially Funded Units, with a Percent of
10        Adequacy of at least 0.90 and less than 1.0.
11            (D) Tier 4 consists of all Organizational Units
12        with a Percent of Adequacy of at least 1.0.
13        (4) The Allocation Rates for Tiers 1 through 4 are
14    determined as follows:
15            (A) The Tier 1 Allocation Rate is 30%.
16            (B) The Tier 2 Allocation Rate is the result of the
17        following equation: Tier 2 Aggregate Funding, divided
18        by the sum of the Funding Gaps for all Tier 2
19        Organizational Units, unless the result of such
20        equation is higher than 1.0. If the result of such
21        equation is higher than 1.0, then the Tier 2
22        Allocation Rate is 1.0.
23            (C) The Tier 3 Allocation Rate is the result of the
24        following equation: Tier 3 Aggregate Funding, divided
25        by the sum of the Adequacy Targets of all Tier 3
26        Organizational Units.

 

 

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1            (D) The Tier 4 Allocation Rate is the result of the
2        following equation: Tier 4 Aggregate Funding, divided
3        by the sum of the Adequacy Targets of all Tier 4
4        Organizational Units.
5        (5) A tier's Target Ratio is determined as follows:
6            (A) The Tier 1 Target Ratio is the ratio level that
7        allows for Tier 1 Aggregate Funding to be distributed
8        with the Tier 1 Allocation Rate.
9            (B) The Tier 2 Target Ratio is 0.90.
10            (C) The Tier 3 Target Ratio is 1.0.
11        (6) If, at any point, the Tier 1 Target Ratio is
12    greater than 90%, then all Tier 1 funding shall be
13    allocated to Tier 2 and no Tier 1 Organizational Unit's
14    funding may be identified.
15        (7) In the event that all Tier 2 Organizational Units
16    receive funding at the Tier 2 Target Ratio level, any
17    remaining New State Funds shall be allocated to Tier 3 and
18    Tier 4 Organizational Units.
19        (8) If any Specially Funded Units, excluding Glenwood
20    Academy, recognized by the State Board do not qualify for
21    direct funding following the implementation of Public Act
22    100-465 from any of the funding sources included within
23    the definition of Base Funding Minimum, the unqualified
24    portion of the Base Funding Minimum shall be transferred
25    to one or more appropriate Organizational Units as
26    determined by the State Superintendent based on the prior

 

 

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1    year ASE of the Organizational Units.
2        (8.5) If a school district withdraws from a special
3    education cooperative, the portion of the Base Funding
4    Minimum that is attributable to the school district may be
5    redistributed to the school district upon withdrawal. The
6    school district and the cooperative must include the
7    amount of the Base Funding Minimum that is to be
8    reapportioned in their withdrawal agreement and notify the
9    State Board of the change with a copy of the agreement upon
10    withdrawal.
11        (9) The Minimum Funding Level is intended to establish
12    a target for State funding that will keep pace with
13    inflation and continue to advance equity through the
14    Evidence-Based Funding formula. The target for State
15    funding of New Property Tax Relief Pool Funds is
16    $50,000,000 for State fiscal year 2019 and subsequent
17    State fiscal years. The Minimum Funding Level is equal to
18    $350,000,000. In addition to any New State Funds, no more
19    than $50,000,000 New Property Tax Relief Pool Funds may be
20    counted toward the Minimum Funding Level. If the sum of
21    New State Funds and applicable New Property Tax Relief
22    Pool Funds are less than the Minimum Funding Level, than
23    funding for tiers shall be reduced in the following
24    manner:
25            (A) First, Tier 4 funding shall be reduced by an
26        amount equal to the difference between the Minimum

 

 

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1        Funding Level and New State Funds until such time as
2        Tier 4 funding is exhausted.
3            (B) Next, Tier 3 funding shall be reduced by an
4        amount equal to the difference between the Minimum
5        Funding Level and New State Funds and the reduction in
6        Tier 4 funding until such time as Tier 3 funding is
7        exhausted.
8            (C) Next, Tier 2 funding shall be reduced by an
9        amount equal to the difference between the Minimum
10        Funding Level and New State Funds and the reduction in
11        Tier 4 and Tier 3.
12            (D) Finally, Tier 1 funding shall be reduced by an
13        amount equal to the difference between the Minimum
14        Funding level and New State Funds and the reduction in
15        Tier 2, 3, and 4 funding. In addition, the Allocation
16        Rate for Tier 1 shall be reduced to a percentage equal
17        to the Tier 1 Allocation Rate set by paragraph (4) of
18        this subsection (g), multiplied by the result of New
19        State Funds divided by the Minimum Funding Level.
20        (9.5) For State fiscal year 2019 and subsequent State
21    fiscal years, if New State Funds exceed $300,000,000, then
22    any amount in excess of $300,000,000 shall be dedicated
23    for purposes of Section 2-3.170 of this Code up to a
24    maximum of $50,000,000.
25        (10) In the event of a decrease in the amount of the
26    appropriation for this Section in any fiscal year after

 

 

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1    implementation of this Section, the Organizational Units
2    receiving Tier 1 and Tier 2 funding, as determined under
3    paragraph (3) of this subsection (g), shall be held
4    harmless by establishing a Base Funding Guarantee equal to
5    the per pupil kindergarten through grade 12 funding
6    received in accordance with this Section in the prior
7    fiscal year. Reductions shall be made to the Base Funding
8    Minimum of Organizational Units in Tier 3 and Tier 4 on a
9    per pupil basis equivalent to the total number of the ASE
10    in Tier 3-funded and Tier 4-funded Organizational Units
11    divided by the total reduction in State funding. The Base
12    Funding Minimum as reduced shall continue to be applied to
13    Tier 3 and Tier 4 Organizational Units and adjusted by the
14    relative formula when increases in appropriations for this
15    Section resume. In no event may State funding reductions
16    to Organizational Units in Tier 3 or Tier 4 exceed an
17    amount that would be less than the Base Funding Minimum
18    established in the first year of implementation of this
19    Section. If additional reductions are required, all school
20    districts shall receive a reduction by a per pupil amount
21    equal to the aggregate additional appropriation reduction
22    divided by the total ASE of all Organizational Units.
23        (11) The State Superintendent shall make minor
24    adjustments to the distribution formula set forth in this
25    subsection (g) to account for the rounding of percentages
26    to the nearest tenth of a percentage and dollar amounts to

 

 

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1    the nearest whole dollar.
2    (h) State Superintendent administration of funding and
3district submission requirements.
4        (1) The State Superintendent shall, in accordance with
5    appropriations made by the General Assembly, meet the
6    funding obligations created under this Section.
7        (2) The State Superintendent shall calculate the
8    Adequacy Target for each Organizational Unit under this
9    Section. No Evidence-Based Funding shall be distributed
10    within an Organizational Unit without the approval of the
11    unit's school board.
12        (3) Annually, the State Superintendent shall calculate
13    and report to each Organizational Unit the unit's
14    aggregate financial adequacy amount, which shall be the
15    sum of the Adequacy Target for each Organizational Unit.
16    The State Superintendent shall calculate and report
17    separately for each Organizational Unit the unit's total
18    State funds allocated for its students with disabilities.
19    The State Superintendent shall calculate and report
20    separately for each Organizational Unit the amount of
21    funding and applicable FTE calculated for each Essential
22    Element of the unit's Adequacy Target.
23        (4) Annually, the State Superintendent shall calculate
24    and report to each Organizational Unit the amount the unit
25    must expend on special education and bilingual education
26    and computer technology and equipment for Organizational

 

 

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1    Units assigned to Tier 1 or Tier 2 that received an
2    additional $285.50 per student computer technology and
3    equipment investment grant to their Adequacy Target
4    pursuant to the unit's Base Funding Minimum, Special
5    Education Allocation, Bilingual Education Allocation, and
6    computer technology and equipment investment allocation.
7        (5) Moneys distributed under this Section shall be
8    calculated on a school year basis, but paid on a fiscal
9    year basis, with payments beginning in August and
10    extending through June. Unless otherwise provided, the
11    moneys appropriated for each fiscal year shall be
12    distributed in 22 equal payments at least 2 times monthly
13    to each Organizational Unit. If moneys appropriated for
14    any fiscal year are distributed other than monthly, the
15    distribution shall be on the same basis for each
16    Organizational Unit.
17        (6) Any school district that fails, for any given
18    school year, to maintain school as required by law or to
19    maintain a recognized school is not eligible to receive
20    Evidence-Based Funding. In case of non-recognition of one
21    or more attendance centers in a school district otherwise
22    operating recognized schools, the claim of the district
23    shall be reduced in the proportion that the enrollment in
24    the attendance center or centers bears to the enrollment
25    of the school district. "Recognized school" means any
26    public school that meets the standards for recognition by

 

 

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1    the State Board. A school district or attendance center
2    not having recognition status at the end of a school term
3    is entitled to receive State aid payments due upon a legal
4    claim that was filed while it was recognized.
5        (7) School district claims filed under this Section
6    are subject to Sections 18-9 and 18-12 of this Code,
7    except as otherwise provided in this Section.
8        (8) Each fiscal year, the State Superintendent shall
9    calculate for each Organizational Unit an amount of its
10    Base Funding Minimum and Evidence-Based Funding that shall
11    be deemed attributable to the provision of special
12    educational facilities and services, as defined in Section
13    14-1.08 of this Code, in a manner that ensures compliance
14    with maintenance of State financial support requirements
15    under the federal Individuals with Disabilities Education
16    Act. An Organizational Unit must use such funds only for
17    the provision of special educational facilities and
18    services, as defined in Section 14-1.08 of this Code, and
19    must comply with any expenditure verification procedures
20    adopted by the State Board.
21        (9) All Organizational Units in this State must submit
22    annual spending plans by the end of September of each year
23    to the State Board as part of the annual budget process,
24    which shall describe how each Organizational Unit will
25    utilize the Base Funding Minimum and Evidence-Based
26    Funding it receives from this State under this Section

 

 

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1    with specific identification of the intended utilization
2    of Low-Income, English learner, and special education
3    resources. Additionally, the annual spending plans of each
4    Organizational Unit shall describe how the Organizational
5    Unit expects to achieve student growth and how the
6    Organizational Unit will achieve State education goals, as
7    defined by the State Board, and shall indicate which
8    stakeholder groups the Organizational Unit engaged to
9    inform annual spending plans. The State Superintendent
10    may, from time to time, identify additional requisites for
11    Organizational Units to satisfy when compiling the annual
12    spending plans required under this subsection (h). The
13    format and scope of annual spending plans shall be
14    developed by the State Superintendent and the State Board
15    of Education. School districts that serve students under
16    Article 14C of this Code shall continue to submit
17    information as required under Section 14C-12 of this Code.
18    Annual spending plans required under this subsection (h)
19    shall be integrated in annual school district budgets
20    completed pursuant to Section 17-1 and Section 34-43.
21        (10) No later than January 1, 2018, the State
22    Superintendent shall develop a 5-year strategic plan for
23    all Organizational Units to help in planning for adequacy
24    funding under this Section. The State Superintendent shall
25    submit the plan to the Governor and the General Assembly,
26    as provided in Section 3.1 of the General Assembly

 

 

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1    Organization Act. The plan shall include recommendations
2    for:
3            (A) a framework for collaborative, professional,
4        innovative, and 21st century learning environments
5        using the Evidence-Based Funding model;
6            (B) ways to prepare and support this State's
7        educators for successful instructional careers;
8            (C) application and enhancement of the current
9        financial accountability measures, the approved State
10        plan to comply with the federal Every Student Succeeds
11        Act, and the Illinois Balanced Accountability Measures
12        in relation to student growth and elements of the
13        Evidence-Based Funding model; and
14            (D) implementation of an effective school adequacy
15        funding system based on projected and recommended
16        funding levels from the General Assembly.
17        (11) On an annual basis, the State Superintendent must
18    recalibrate all of the following per pupil elements of the
19    Adequacy Target and applied to the formulas, based on the
20    study of average expenses and as reported in the most
21    recent annual financial report:
22            (A) Gifted under subparagraph (M) of paragraph (2)
23        of subsection (b).
24            (B) Instructional materials under subparagraph (O)
25        of paragraph (2) of subsection (b).
26            (C) Assessment under subparagraph (P) of paragraph

 

 

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1        (2) of subsection (b).
2            (D) Student activities under subparagraph (R) of
3        paragraph (2) of subsection (b).
4            (E) Maintenance and operations under subparagraph
5        (S) of paragraph (2) of subsection (b).
6            (F) Central office under subparagraph (T) of
7        paragraph (2) of subsection (b).
8    (i) Professional Review Panel.
9        (1) A Professional Review Panel is created to study
10    and review topics related to the implementation and effect
11    of Evidence-Based Funding, as assigned by a joint
12    resolution or Public Act of the General Assembly or a
13    motion passed by the State Board of Education. The Panel
14    must provide recommendations to and serve the Governor,
15    the General Assembly, and the State Board. The State
16    Superintendent or his or her designee must serve as a
17    voting member and chairperson of the Panel. The State
18    Superintendent must appoint a vice chairperson from the
19    membership of the Panel. The Panel must advance
20    recommendations based on a three-fifths majority vote of
21    Panel members present and voting. A minority opinion may
22    also accompany any recommendation of the Panel. The Panel
23    shall be appointed by the State Superintendent, except as
24    otherwise provided in paragraph (2) of this subsection (i)
25    and include the following members:
26            (A) Two appointees that represent district

 

 

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1        superintendents, recommended by a statewide
2        organization that represents district superintendents.
3            (B) Two appointees that represent school boards,
4        recommended by a statewide organization that
5        represents school boards.
6            (C) Two appointees from districts that represent
7        school business officials, recommended by a statewide
8        organization that represents school business
9        officials.
10            (D) Two appointees that represent school
11        principals, recommended by a statewide organization
12        that represents school principals.
13            (E) Two appointees that represent teachers,
14        recommended by a statewide organization that
15        represents teachers.
16            (F) Two appointees that represent teachers,
17        recommended by another statewide organization that
18        represents teachers.
19            (G) Two appointees that represent regional
20        superintendents of schools, recommended by
21        organizations that represent regional superintendents.
22            (H) Two independent experts selected solely by the
23        State Superintendent.
24            (I) Two independent experts recommended by public
25        universities in this State.
26            (J) One member recommended by a statewide

 

 

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1        organization that represents parents.
2            (K) Two representatives recommended by collective
3        impact organizations that represent major metropolitan
4        areas or geographic areas in Illinois.
5            (L) One member from a statewide organization
6        focused on research-based education policy to support
7        a school system that prepares all students for
8        college, a career, and democratic citizenship.
9            (M) One representative from a school district
10        organized under Article 34 of this Code.
11        The State Superintendent shall ensure that the
12    membership of the Panel includes representatives from
13    school districts and communities reflecting the
14    geographic, socio-economic, racial, and ethnic diversity
15    of this State. The State Superintendent shall additionally
16    ensure that the membership of the Panel includes
17    representatives with expertise in bilingual education and
18    special education. Staff from the State Board shall staff
19    the Panel.
20        (2) In addition to those Panel members appointed by
21    the State Superintendent, 4 members of the General
22    Assembly shall be appointed as follows: one member of the
23    House of Representatives appointed by the Speaker of the
24    House of Representatives, one member of the Senate
25    appointed by the President of the Senate, one member of
26    the House of Representatives appointed by the Minority

 

 

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1    Leader of the House of Representatives, and one member of
2    the Senate appointed by the Minority Leader of the Senate.
3    There shall be one additional member appointed by the
4    Governor. All members appointed by legislative leaders or
5    the Governor shall be non-voting, ex officio members.
6        (3) The Panel must study topics at the direction of
7    the General Assembly or State Board of Education, as
8    provided under paragraph (1). The Panel may also study the
9    following topics at the direction of the chairperson:
10            (A) The format and scope of annual spending plans
11        referenced in paragraph (9) of subsection (h) of this
12        Section.
13            (B) The Comparable Wage Index under this Section.
14            (C) Maintenance and operations, including capital
15        maintenance and construction costs.
16            (D) "At-risk student" definition.
17            (E) Benefits.
18            (F) Technology.
19            (G) Local Capacity Target.
20            (H) Funding for Alternative Schools, Laboratory
21        Schools, safe schools, and alternative learning
22        opportunities programs.
23            (I) Funding for college and career acceleration
24        strategies.
25            (J) Special education investments.
26            (K) Early childhood investments, in collaboration

 

 

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1        with the Illinois Early Learning Council.
2        (4) (Blank).
3        (5) Within 5 years after the implementation of this
4    Section, and every 5 years thereafter, the Panel shall
5    complete an evaluative study of the entire Evidence-Based
6    Funding model, including an assessment of whether or not
7    the formula is achieving State goals. The Panel shall
8    report to the State Board, the General Assembly, and the
9    Governor on the findings of the study.
10        (6) (Blank).
11        (7) To ensure that (i) the Adequacy Target calculation
12    under subsection (b) accurately reflects the needs of
13    students living in poverty or attending schools located in
14    areas of high poverty, (ii) racial equity within the
15    Evidence-Based Funding formula is explicitly explored and
16    advanced, and (iii) the funding goals of the formula
17    distribution system established under this Section are
18    sufficient to provide adequate funding for every student
19    and to fully fund every school in this State, the Panel
20    shall review the Essential Elements under paragraph (2) of
21    subsection (b). The Panel shall consider all of the
22    following in its review:
23            (A) The financial ability of school districts to
24        provide instruction in a foreign language to every
25        student and whether an additional Essential Element
26        should be added to the formula to ensure that every

 

 

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1        student has access to instruction in a foreign
2        language.
3            (B) The adult-to-student ratio for each Essential
4        Element in which a ratio is identified. The Panel
5        shall consider whether the ratio accurately reflects
6        the staffing needed to support students living in
7        poverty or who have traumatic backgrounds.
8            (C) Changes to the Essential Elements that may be
9        required to better promote racial equity and eliminate
10        structural racism within schools.
11            (D) The impact of investing $350,000,000 in
12        additional funds each year under this Section and an
13        estimate of when the school system will become fully
14        funded under this level of appropriation.
15            (E) Provide an overview of alternative funding
16        structures that would enable the State to become fully
17        funded at an earlier date.
18            (F) The potential to increase efficiency and to
19        find cost savings within the school system to expedite
20        the journey to a fully funded system.
21            (G) The appropriate levels for reenrolling and
22        graduating high-risk high school students who have
23        been previously out of school. These outcomes shall
24        include enrollment, attendance, skill gains, credit
25        gains, graduation or promotion to the next grade
26        level, and the transition to college, training, or

 

 

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1        employment, with an emphasis on progressively
2        increasing the overall attendance.
3            (H) The evidence-based or research-based practices
4        that are shown to reduce the gaps and disparities
5        experienced by African American students in academic
6        achievement and educational performance, including
7        practices that have been shown to reduce disparities
8        in disciplinary rates, drop-out rates, graduation
9        rates, college matriculation rates, and college
10        completion rates.
11        On or before December 31, 2021, the Panel shall report
12    to the State Board, the General Assembly, and the Governor
13    on the findings of its review. This paragraph (7) is
14    inoperative on and after July 1, 2022.
15    (j) References. Beginning July 1, 2017, references in
16other laws to general State aid funds or calculations under
17Section 18-8.05 of this Code (now repealed) shall be deemed to
18be references to evidence-based model formula funds or
19calculations under this Section.
20(Source: P.A. 101-10, eff. 6-5-19; 101-17, eff. 6-14-19;
21101-643, eff. 6-18-20; 101-654, eff. 3-8-21; 102-33, eff.
226-25-21; 102-197, eff. 7-30-21; 102-558, eff. 8-20-21;
23102-699, eff. 4-19-22; 102-782, eff. 1-1-23; 102-813, eff.
245-13-22; 102-894, eff. 5-20-22; revised 12-13-22.)