State of Illinois
90th General Assembly
Legislation

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90_SB0889

      105 ILCS 5/27A-2
      105 ILCS 5/27A-4
      105 ILCS 5/27A-7
      105 ILCS 5/27A-8
      105 ILCS 5/27A-9
      105 ILCS 5/27A-11
          Amends the School Code.  Makes changes in the legislative
      findings and purposes that are part of  the  Charter  Schools
      Law.   Authorizes  enrollment  in a charter school on a space
      available basis for pupils  residing  in  a  school  district
      outside  the  geographic boundaries of the area served by the
      local school board.  Provides  that  approval  of  a  charter
      school  proposal  shall  not  be  withheld  because a charter
      school building is not under lease, so long  as  at  least  2
      potentially available sites are identified in the submission.
      Clarifies  that  charter  school  submissions  do not have to
      demonstrate unequivocally that the charter school  will  meet
      each  of  the  declared  purposes of the Charter Schools Law.
      Replaces references to "innovative" in describing educational
      and  teaching  techniques  and  programs   with   alternative
      terminology.   Provides that charter school proposals may not
      be denied by a local school board unless the board is able to
      demonstrate  that  the  proposal  does  not  meet   statutory
      requirements.   Provides  that  the  State Board is to review
      actions of the local school board  in  denying,  refusing  to
      renew, or revoking a charter, and requires the State Board to
      overrule  the  local school board if the charter school meets
      statutory requirements.  Adds additional provisions  relative
      to  pupil  transportation,  start-up  loans for textbooks and
      equipment, and payment schedules for  funds  that  a  charter
      school  is  to  receive  from  a local school board.  Revises
      provisions relating to petitions  currently  required  to  be
      filed  in  support  of charter school proposals.  Makes other
      related changes.
                                                     LRB9002896THpk
                                               LRB9002896THpk
 1        AN ACT to amend the  School  Code  by  changing  Sections
 2    27A-2, 27A-4, 27A-7, 27A-8, 27A-9, and 27A-11.
 3        Be  it  enacted  by  the People of the State of Illinois,
 4    represented in the General Assembly:
 5        Section 5.   The  School  Code  is  amended  by  changing
 6    Sections  27A-2,  27A-4,  27A-7,  27A-8, 27A-9, and 27A-11 as
 7    follows:
 8        (105 ILCS 5/27A-2)
 9        Sec. 27A-2. Legislative declaration.
10        (a)  The General Assembly finds and declares as follows:
11             (1)  Encouraging   educational   excellence   is   a
12        fundamental goal in the best interests of the  people  of
13        this State.
14             (2)  There  are  educators,  community  members, and
15        parents in Illinois who can offer flexible  or  different
16        and  innovative  educational techniques and programs, but
17        who lack an avenue through which to provide  them  within
18        the public school system.
19             (3)  The   enactment   of   legislation  authorizing
20        charter schools to operate in Illinois will  promote  new
21        options  within the public school system and will provide
22        pupils, educators, community members,  and  parents  with
23        the stimulus to strive for educational excellence.
24        (b)  The General Assembly further finds and declares that
25    this Article is enacted for the following purposes:
26             (1)  To  improve  pupil learning by creating schools
27        with high, rigorous standards for pupil performance.
28             (2)  To  increase  learning  opportunities  for  all
29        pupils,  with  special  emphasis  on  expanded   learning
30        experiences for at-risk pupils, consistent, however, with
31        an  equal  commitment  to increase learning opportunities
                            -2-                LRB9002896THpk
 1        for all other groups of pupils in a manner that does  not
 2        discriminate  on  the  basis  of disability, race, creed,
 3        color,  gender,  national  origin,  religion,   ancestry,
 4        marital status, or need for special education services.
 5             (3)  To  encourage  the  use  of innovative teaching
 6        methods that may  be  different  in  some  respects  than
 7        others regularly used in the public school system.
 8             (4)  To  allow the development of new, different, or
 9        alternative innovative forms of measuring pupil  learning
10        and achievement.
11             (5)  To  create  new  professional opportunities for
12        teachers, including the opportunity to be responsible for
13        the learning program at the school site.
14             (6)  To provide parents  and  pupils  with  expanded
15        choices within the public school system.
16             (7)  To encourage parental and community involvement
17        with public schools.
18             (8)  To hold charter schools accountable for meeting
19        rigorous  school  content  standards and to provide those
20        schools with the opportunity to improve accountability.
21        (c)  In authorizing charter schools, it is the intent  of
22    the  General  Assembly  to  create  a  legitimate  avenue for
23    parents, teachers, and community members to take  responsible
24    risks  and  create  new,  different,  or innovative, and more
25    flexible ways of educating children within the public  school
26    system.   The  General Assembly seeks to create opportunities
27    within the public school system of Illinois  for  development
28    of  effective innovative and accountable teaching techniques.
29    The  provisions  of  this  Article  should   be   interpreted
30    liberally  to  support the findings and goals of this Section
31    and to advance a renewed commitment by the State of  Illinois
32    to the mission, goals, and diversity of public education.
33    (Source: P.A. 89-450, eff. 4-10-96.)
                            -3-                LRB9002896THpk
 1        (105 ILCS 5/27A-4)
 2        Sec. 27A-4.  General Provisions.
 3        (a)  The  General  Assembly  does  not intend to alter or
 4    amend the provisions of any court-ordered desegregation  plan
 5    in effect for any school district.  A charter school shall be
 6    subject  to  all  federal  and  State laws and constitutional
 7    provisions  prohibiting  discrimination  on  the   basis   of
 8    disability,  race,  creed,  color,  gender,  national origin,
 9    religion, ancestry,  marital  status,  or  need  for  special
10    education services.
11        (b)  The  total number of charter schools operating under
12    this Article at any one time shall not exceed 45.   Not  more
13    that  15 charter schools shall operate at any one time in any
14    city having a population exceeding 500,000; not more than  15
15    charter schools shall operate at any one time in the counties
16    of  DuPage,  Kane,  Lake,  McHenry, Will, and that portion of
17    Cook  County  that  is  located  outside  a  city  having   a
18    population  exceeding  500,000;  and not more than 15 charter
19    schools shall operate at any one time in the remainder of the
20    State.
21        For purposes of  implementing  this  Section,  the  State
22    Board  shall  assign  a  number to each charter submission it
23    receives   under   Section   27A-6   for   its   review   and
24    certification, based on the chronological order in which  the
25    submission is received by it.  The State Board shall promptly
26    notify  local  school  boards  when  the  maximum  numbers of
27    certified charter schools authorized  to  operate  have  been
28    reached.
29        (c)  No  charter shall be granted under this Article that
30    would convert any existing private, parochial, or  non-public
31    school to a charter school.
32        (d)  Enrollment  in a charter school shall be open to any
33    pupil who resides within the  geographic  boundaries  of  the
34    area served by the local school board.  However, no more than
                            -4-                LRB9002896THpk
 1    50%  of  the  number  of  resident pupils enrolled in any one
 2    grade in a school district  with  only  a  single  attendance
 3    center  covering  that  grade  may  be  enrolled in a charter
 4    school at one time. A pupil who resides in a school  district
 5    that  is outside the geographic boundaries of the area served
 6    by the local school board may be accepted for enrollment in a
 7    charter school on a space available basis  after  all  pupils
 8    residing  within the geographic boundaries of the area served
 9    by the local school board  have  been  accommodated,  if  the
10    pupil's parents or legal guardian request such enrollment and
11    agree  to  provide any necessary transportation for the pupil
12    at their own expense. If a pupil  who  resides  in  a  school
13    district  that  is  outside  the geographic boundaries of the
14    area served  by  the  local  school  board  is  accepted  for
15    enrollment  and  enrolls  in  a  charter school, the board of
16    education of the school district in which the  pupil  resides
17    shall  pay  to  the  charter  school, in 4 equal installments
18    payable quarterly over the course of the school year in which
19    the enrollment is effective,  an  amount  equal  to  the  per
20    capita  cost  of maintaining the schools of that district for
21    the preceding school year.  Days  of  attendance  by  such  a
22    tuition pupil shall be accredited to the school district that
23    pays the tuition to the charter school.
24        (e)  Nothing  in  this  Article  shall  prevent 2 or more
25    local school boards from  jointly  issuing  a  charter  to  a
26    single  shared  charter  school,  provided  that  all  of the
27    provisions of this Article are met as to those  local  school
28    boards.
29        (f)  No  local school board shall require any employee of
30    the school district to be employed in a charter school.
31        (g)  No  local  school  board  shall  require  any  pupil
32    residing within the geographic boundary of  its  district  to
33    enroll in a charter school.
34        (h)  If there are more eligible applicants for enrollment
                            -5-                LRB9002896THpk
 1    in   a  charter  school  than  there  are  spaces  available,
 2    successful applicants shall be selected by lottery.  However:
 3    (1), priority shall be given to siblings of  pupils  enrolled
 4    in  the charter school and to pupils who were enrolled in the
 5    charter school the previous school year, unless expelled  for
 6    cause;  and  (2)  applicants  who  do  not  reside within the
 7    geographic boundaries of the area served by the local  school
 8    board shall not be eligible for lottery selection except on a
 9    space  available basis after all eligible applicants residing
10    within the geographic boundaries of the area  served  by  the
11    local  school  board have been accommodated.  Dual enrollment
12    at both a charter school and a public  school  or  non-public
13    school  shall  not  be  allowed.  A pupil who is suspended or
14    expelled  from  a  charter  school  shall  be  deemed  to  be
15    suspended or expelled from the public schools of  the  school
16    district in which the pupil resides.
17        (i)  No charter school established under this Article may
18    be  authorized  to open prior to the school year beginning in
19    the fall of 1996.
20    (Source: P.A. 89-450, eff. 4-10-96.)
21        (105 ILCS 5/27A-7)
22        Sec. 27A-7.  Charter submission.
23        (a)  A proposal to establish a charter  school  shall  be
24    submitted  to  the  State Board and the local school board in
25    the form of a proposed  contract  entered  into  between  the
26    local  school  board  and  the  governing  body of a proposed
27    charter school.  The charter school proposal as submitted  to
28    the State Board shall include:
29             (1)  The  name of the proposed charter school, which
30        must include the words "Charter School".
31             (2)  The age or grade range, areas of focus, minimum
32        and maximum numbers of  pupils  to  be  enrolled  in  the
33        charter  school,  and  any  other admission criteria that
                            -6-                LRB9002896THpk
 1        would be legal if used by a school district.
 2             (3)  A description of and address for  the  physical
 3        plant  in  which  the  charter  school  will  be located;
 4        provided that nothing in the Article shall be  deemed  to
 5        justify  delaying  or  withholding favorable action on or
 6        approval  of  a  charter  school  proposal  because   the
 7        building  or  buildings in which the charter school is to
 8        be located have not been acquired or rented at the time a
 9        charter school proposal is submitted  or  approved  or  a
10        charter  school contract is entered into or submitted for
11        certification or certified, so long as  the  proposal  or
12        submission identifies and names at least 2 sites that are
13        potentially available as a charter school facility by the
14        time the charter school is to open.
15             (4)  The  mission  statement  of the charter school,
16        which must be  consistent  with  the  General  Assembly's
17        declared  purposes; provided that nothing in this Article
18        shall be construed to require that, in order  to  receive
19        favorable  consideration  and  approval, a charter school
20        proposal  demonstrate  unequivocally  that  the   charter
21        school  will  be  able  to  meet  each  of those declared
22        purposes, it being the intention of the  Charter  Schools
23        Law  that  those  purposes  be  recognized  as goals that
24        charter schools must aspire to attain.
25             (5)  The goals, objectives,  and  pupil  performance
26        standards to be achieved by the charter school.
27             (6)  In  the  case  of  a  proposal  to  establish a
28        charter school by converting an existing public school or
29        attendance center to charter school status, evidence that
30        the proposed formation of the charter school has received
31        the required approval of from  certified  teachers,  from
32        parents  and  guardians, and, if applicable, from a local
33        school council as provided in subsection (b)  of  Section
34        27A-8.
                            -7-                LRB9002896THpk
 1             (7)  A   description   of   the   charter   school's
 2        educational   program,   pupil   performance   standards,
 3        curriculum,  school  year,  school  days,  and  hours  of
 4        operation.
 5             (8)  A  description of the charter school's plan for
 6        evaluating pupil performance, the  types  of  assessments
 7        that  will  be  used  to  measure  pupil progress towards
 8        achievement of the school's pupil performance  standards,
 9        the  timeline for achievement of those standards, and the
10        procedures for taking corrective action in the event that
11        pupil performance at the charter school falls below those
12        standards.
13             (9)  Evidence that  the  terms  of  the  charter  as
14        proposed  are  economically  sound  for  both the charter
15        school and the school district, a proposed budget for the
16        term of the charter, a description of the manner in which
17        an annual  audit  of  the  financial  and  administrative
18        operations  of the charter school, including any services
19        provided by the school district, are to be conducted, and
20        a plan for the  displacement  of  pupils,  teachers,  and
21        other employees who will not attend or be employed in the
22        charter school.
23             (10)  A  description of the governance and operation
24        of the charter school, including the nature and extent of
25        parental,   professional    educator,    and    community
26        involvement  in  the  governance  and  operation  of  the
27        charter school.
28             (11)  An  explanation  of the relationship that will
29        exist between  the  charter  school  and  its  employees,
30        including  evidence  that  the  terms  and  conditions of
31        employment have been addressed  with  affected  employees
32        and  their recognized representative, if any.  However, a
33        bargaining unit of  charter  school  employees  shall  be
34        separate  and  distinct  from any bargaining units formed
                            -8-                LRB9002896THpk
 1        from employees of a school district in which the  charter
 2        school is located.
 3             (12)  An  agreement  between  the  parties regarding
 4        their respective legal liability and applicable insurance
 5        coverage.
 6             (13)  A description of how the charter school  plans
 7        to  meet  the  transportation needs of its pupils,  and a
 8        plan for addressing the transportation  needs  of  pupils
 9        with  disabilities  who, because of their disability, are
10        unable to travel by bus and cannot reasonably be expected
11        to be transported by their parent or  guardian;  provided
12        that   a  charter  school  is  not  required  to  provide
13        transportation to its at-risk pupils under  circumstances
14        in which it does not provide transportation to pupils who
15        are  not  at-risk  or  under  a disability low-income and
16        at-risk pupils.
17             (14)  The proposed effective date and  term  of  the
18        charter;  provided  that  the  first  day  of  the  first
19        academic year and the first day of the fiscal year of the
20        charter  school  shall coincide with the first day of the
21        academic year and the first day of the fiscal year of the
22        local school district.
23             (15)  Any other information reasonably  required  by
24        the State Board of Education.
25        (b)  A  proposal  to  establish  a  charter school may be
26    initiated by individuals  or  organizations  that  will  have
27    majority  representation  on  the board of directors or other
28    governing body of the corporation  or  other  discrete  legal
29    entity  that  is  to  be  established to operate the proposed
30    charter school,  or  by  the  board  of  directors  or  other
31    governing body of a discrete legal entity already existing or
32    established  to  operate  the  proposed  charter school.  The
33    individuals or organizations referred to in  this  subsection
34    may  be  school teachers, school administrators, local school
                            -9-                LRB9002896THpk
 1    councils, colleges or universities or their faculty  members,
 2    public  community  colleges  or  their  instructors  or other
 3    representatives, corporations, or  other  entities  or  their
 4    representatives.   The  proposal  shall  be  submitted to the
 5    local school board for consideration  and,  if  the  proposal
 6    complies  with the requirements of this Article as determined
 7    under  subsection  (f)  of  Section  27-8  appropriate,   for
 8    development  of  a  proposed  contract to be submitted to the
 9    State Board  for certification under Section 27A-6.
10        (c)  The local school board may not without  the  consent
11    of  the  governing  body  of the charter school condition its
12    approval of a charter school proposal  on  acceptance  of  an
13    agreement  to  operate  under  State laws and regulations and
14    local school board policies from which the charter school  is
15    otherwise exempted under this Article.
16    (Source: P.A. 89-450, eff. 4-10-96.)
17        (105 ILCS 5/27A-8)
18        Sec. 27A-8.  Evaluation of charter proposals.
19        (a)  In  evaluating any charter school proposal submitted
20    to it, the  local  school  board  shall  give  preference  to
21    proposals that:
22             (1)  demonstrate   a  high  level  of  local  pupil,
23        parental,  community,  business,  and  school   personnel
24        support;
25             (2)  set   rigorous   levels   of   expected   pupil
26        achievement  and demonstrate feasible plans for attaining
27        those levels of achievement; and
28             (3)  are designed to enroll and serve a  substantial
29        proportion  of at-risk children; provided that nothing in
30        the Charter Schools Law shall be construed as intended to
31        limit the establishment of charter schools to those  that
32        serve  a substantial portion of at-risk children or to in
33        any   manner   restrict,   limit,   or   discourage   the
                            -10-               LRB9002896THpk
 1        establishment of charter schools that  enroll  and  serve
 2        other    pupil    populations   under   a   nonexclusive,
 3        nondiscriminatory admissions policy.
 4        (b)  In the case of a proposal  to  establish  a  charter
 5    school  by converting an existing public school or attendance
 6    center to charter school status, evidence that  the  proposed
 7    formation of the charter school has received majority support
 8    from certified teachers and from parents and guardians in the
 9    school or attendance center affected by the proposed charter,
10    and,  if  applicable,  from  a local school council, shall be
11    demonstrated by a petition in support of the  charter  school
12    signed by certified teachers and a petition in support of the
13    charter  school  signed  by  parents  and  guardians  and, if
14    applicable, by a vote of the local school council held  at  a
15    public  meeting.   In  the  case  of  all  other proposals to
16    establish a charter school, evidence of sufficient support to
17    fill the number of pupil seats set forth in the proposal  may
18    shall be demonstrated by a petition in support of the charter
19    school  signed  by parents and guardians of students eligible
20    to attend the charter school. In all cases, the  individuals,
21    organizations,  or  entities  who  initiate  the  proposal to
22    establish a charter school may elect, in  lieu  of  including
23    any  petition referred to in this subsection as a part of the
24    proposal submitted to the local school board, to either:  (i)
25    demonstrate  that the charter school has received the support
26    referred  to  in  this  subsection  by  other  evidence   and
27    information  presented  at  the public meeting that the local
28    school board is required to convene under  this  Section,  or
29    (ii)  submit  any  petition referred to in this subsection to
30    the State Board rather than to the local school board, to  be
31    received, treated, and held in confidence and without further
32    disclosure  by  the  State  Board and considered by the State
33    Board under subsection (a)(6) of Section 27A-7 at  such  time
34    as  the  charter  school  proposal  is submitted to the State
                            -11-               LRB9002896THpk
 1    Board as provided in that Section.
 2        (c)  Within 45  days  of  receipt  of  a  charter  school
 3    proposal,  the  local  school  board  shall  convene a public
 4    meeting to obtain information to  assist  the  board  in  its
 5    decision to grant or deny the charter school proposal.
 6        (d)  Notice  of  the  public  meeting  required  by  this
 7    Section shall be published in a community newspaper published
 8    in  the  school  district  in  which  the proposed charter is
 9    located and, if  there  is  no  such  newspaper,  then  in  a
10    newspaper  published  in the county and having circulation in
11    the school district.  The notices shall be published not more
12    than 10 days nor less than 5  days  before  the  meeting  and
13    shall  state  that  information  regarding  a  charter school
14    proposal will be heard at the meeting.  Copies of the  notice
15    shall  also  be posted at appropriate locations in the school
16    or attendance center proposed to be established as a  charter
17    school,  the  public  schools in the school district, and the
18    local school board office.
19        (e)  Within 30 days of  the  public  meeting,  the  local
20    school board shall vote, in a public meeting, to either grant
21    or deny the charter school proposal.
22        (f)  Within  7  days of the public meeting required under
23    subsection (e), the local school board shall  file  a  report
24    with  to  the  State  Board granting or denying the whether a
25    proposal has been granted or denied. The local  school  board
26    shall  not  act  to  deny the proposal to establish a charter
27    school if the charter school proposal  as  submitted  and  as
28    supported by evidence and information presented at the public
29    meeting  complies  with  the requirements established by this
30    Article for the creation of a charter school.  If the  report
31    of  the  local  school board denies the proposal to establish
32    the charter school, the State Board shall review  the  action
33    of  the  local  school  board  on  the merits, as in cases of
34    appeal, and shall overrule the local school board and approve
                            -12-               LRB9002896THpk
 1    the proposal unless the report  of  the  local  school  board
 2    demonstrates  that  the  proposal  fails  to  comply with the
 3    requirements of  this  Article  for  establishing  a  charter
 4    school. Within 14 days of receipt of the local school board's
 5    report,  the State Board shall determine whether the approved
 6    charter proposal complies is consistent with the requirements
 7    provisions of this Article  and,  if  the  approved  proposal
 8    complies, approve or overrule, as the case may be, the report
 9    of  the local school board, and certify the proposal pursuant
10    to Section 27A-6.
11    (Source: P.A. 89-450, eff. 4-10-96.)
12        (105 ILCS 5/27A-9)
13        Sec. 27A-9. Term of charter; renewal.
14        (a)  A charter may be granted for a period not less  than
15    3 and not more than 5 school years.  A charter may be renewed
16    in incremental periods not to exceed 5 school years.
17        (b)  A  charter  school renewal proposal submitted to the
18    local school board shall contain:
19             (1)  A report on the progress of the charter  school
20        in  achieving  the  goals,  objectives, pupil performance
21        standards, content standards,  and  other  terms  of  the
22        initial approved charter proposal; and
23             (2)  A  financial statement that discloses the costs
24        of  administration,  instruction,  and   other   spending
25        categories  for the charter school that is understandable
26        to the general public and that will allow  comparison  of
27        those   costs   to  other  schools  or  other  comparable
28        organizations, in a format required by the State Board.
29        (c)  A charter may be revoked or not renewed if the local
30    school board clearly demonstrates determines that the charter
31    school did any of  the  following,  or  otherwise  failed  to
32    comply with the requirements of this law for other good cause
33    shown:
                            -13-               LRB9002896THpk
 1             (1)  Committed  a  material  violation of any of the
 2        conditions, standards, or procedures  set  forth  in  the
 3        charter.
 4             (2)  Failed  to  meet  or  make  reasonable progress
 5        toward achievement of  the  content  standards  or  pupil
 6        performance standards identified in the charter.
 7             (3)  Failed  to meet generally accepted standards of
 8        fiscal management.
 9             (4)  Violated any provision of law  from  which  the
10        charter school was not exempted.
11        (d)  (Blank).  In  addition, a charter may not be renewed
12    if the local school board determines that it is  not  in  the
13    interest of the pupils residing within the school district or
14    service area to continue the operation of the charter school.
15        (e)  Notice  of  a local school board's decision to deny,
16    revoke or not to renew a charter and the evidence  relied  on
17    by  the local school board in reaching that decision shall be
18    provided to and may be appealed to the State Board. The State
19    Board shall consider each appeal  on  the  merits  and  shall
20    overrule  the  local  board's decision and reinstate or renew
21    the charter if it finds  that  the  local  school  board  has
22    failed  to  meet its burden of demonstrating that the charter
23    school engaged  in  conduct  that  under  the  provisions  of
24    subsection  (c) would have warranted revocation or nonrenewal
25    of the charter. Final decisions of the State Board  shall  be
26    subject  to  judicial  review under the Administrative Review
27    Law.
28    (Source: P.A. 89-450, eff. 4-10-96.)
29        (105 ILCS 5/27A-11)
30        Sec. 27A-11.  Financing.
31        (a)  For purposes of the School Code, pupils enrolled  in
32    a charter school shall be included in the pupil enrollment of
33    the  school  district  within  which the pupil resides.  Each
                            -14-               LRB9002896THpk
 1    charter school (i) shall determine  the  school  district  in
 2    which  each  pupil  who  is  enrolled  in  the charter school
 3    resides and (ii) shall report the aggregate number of  pupils
 4    resident of a school district who are enrolled in the charter
 5    school to the school district in which those pupils reside.
 6        (b)  As  part  of  a charter school contract, the charter
 7    school and the local school board shall agree on funding  and
 8    any  services  to  be  provided by the school district to the
 9    charter school. All agreed funding that a charter  school  is
10    to  receive  from  the  local  school board for a school year
11    shall be paid in full not later than July 1 of  the  calendar
12    year  in  which  that school year begins, unless as a part of
13    the charter school contract the charter  school  agrees  that
14    such  funding  for  the  school  year  shall be paid in equal
15    quarterly installments with the payment  of  the  installment
16    for the first quarter being made not later than July 1.
17        All  services  centrally  or  otherwise  provided  by the
18    school district including, but not limited to, food services,
19    custodial services, maintenance, curriculum, media  services,
20    libraries,  transportation,  and warehousing shall be subject
21    to negotiation between a charter school and the local  school
22    board and paid for out of the revenues negotiated pursuant to
23    this  subsection  (b);  provided  that the local school board
24    shall not attempt, by negotiation or otherwise, to obligate a
25    charter school to provide pupil transportation for pupils for
26    whom a district is not  required  to  provide  transportation
27    under the criteria set forth in subsection (a)(13) of Section
28    27A-7.
29        In  no  event  shall the funding be less than 95% or more
30    than 105% of the school district's per capita student tuition
31    multiplied by the number of students residing in the district
32    who are enrolled in the charter school.
33        It is the intent of the General Assembly that funding and
34    service agreements under this subsection (b) shall be neither
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 1    a financial incentive nor a  financial  disincentive  to  the
 2    establishment of a charter school.
 3        Fees collected from students enrolled at a charter school
 4    shall be retained by the charter school.
 5        (c)  Notwithstanding  subsection (b) of this Section, the
 6    proportionate share of State and federal resources  generated
 7    by  students with disabilities or staff serving them shall be
 8    directed to charter schools enrolling those students by their
 9    school districts or administrative units.  The  proportionate
10    share  of  moneys  generated  under  other  federal  or State
11    categorical aid programs shall be directed to charter schools
12    serving students eligible for that aid.
13        (d)(1)  The  governing  body  of  a  charter  school   is
14    authorized  to accept gifts, donations, or grants of any kind
15    made to the charter  school  and  to  expend  or  use  gifts,
16    donations,  or  grants  in  accordance  with  the  conditions
17    prescribed  by the donor; however, a gift, donation, or grant
18    may not be accepted by the governing body if it is subject to
19    any condition contrary to applicable law or contrary  to  the
20    terms  of  the  contract  between  the charter school and the
21    local school board.  Charter schools shall be  encouraged  to
22    solicit  and  utilize  community volunteer speakers and other
23    instructional resources when  providing  instruction  on  the
24    Holocaust and other historical events.
25        (2)  From  amounts  appropriated  to  the State Board for
26    purposes of this subsection (d)(2), the State Board may  make
27    loans to charter schools established under this Article to be
28    used  by  those  schools  to  defer  their  start-up costs of
29    acquiring  textbooks  and  laboratory  and  other   equipment
30    required for student instruction. Any such loan shall be made
31    to  a  charter  school  at  the  inception of the term of its
32    charter, under terms established  by  the  State  Board,  and
33    shall  be  repaid  by the charter school over the term of its
34    charter.
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 1        (e)  No later than January 1, 1997, the State Board shall
 2    issue a report to  the  General  Assembly  and  the  Governor
 3    describing  the charter schools certified under this Article,
 4    their geographic locations, their areas  of  focus,  and  the
 5    numbers of school children served by them.
 6        (f)  The  State  Board shall provide technical assistance
 7    to  persons  and  groups  preparing   or   revising   charter
 8    applications.
 9        (g)  At  the  non-renewal  or  revocation of its charter,
10    each charter school  shall  refund  to  the  local  board  of
11    education all unspent funds.
12        (h)  A  charter  school is authorized to incur temporary,
13    short term debt to pay operating expenses in anticipation  of
14    receipt of funds from the local school board.
15    (Source: P.A. 89-450, eff. 4-10-96.)

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