State of Illinois
92nd General Assembly
Legislation

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[ Engrossed ][ Enrolled ][ Senate Amendment 001 ]


92_SB0377

 
                                               LRB9207374NTsb

 1        AN ACT with respect to schools.

 2        Be it enacted by the People of  the  State  of  Illinois,
 3    represented in the General Assembly:

 4        Section  5.   The  School  Code  is  amended  by changing
 5    Section 18-8.05 as follows:

 6        (105 ILCS 5/18-8.05)
 7        Sec. 18-8.05.  Basis for apportionment of  general  State
 8    financial  aid  and  supplemental  general  State  aid to the
 9    common schools for the 1998-1999 and subsequent school years.

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

32    (B)  Foundation Level.
33        (1)  The Foundation Level is a figure established by  the
34    State  representing  the minimum level of per pupil financial
 
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 1    support that should be available to  provide  for  the  basic
 2    education  of each pupil in Average Daily Attendance.  As set
 3    forth in this Section, each school  district  is  assumed  to
 4    exert   a  sufficient  local  taxing  effort  such  that,  in
 5    combination with the aggregate of general State financial aid
 6    provided the  district,  an  aggregate  of  State  and  local
 7    resources  are available to meet the basic education needs of
 8    pupils in the district.
 9        (2)  For the 1998-1999 school year, the Foundation  Level
10    of  support  is  $4,225.   For the 1999-2000 school year, the
11    Foundation Level of support is  $4,325.   For  the  2000-2001
12    school year, the Foundation Level of support is $4,425.
13        (3)  For  the  2001-2002 school year and each school year
14    thereafter, the Foundation Level of support is $4,425 or such
15    greater amount as may be established by law  by  the  General
16    Assembly.

17    (C)  Average Daily Attendance.
18        (1)  For   purposes  of  calculating  general  State  aid
19    pursuant to  subsection  (E),  an  Average  Daily  Attendance
20    figure  shall  be  utilized.   The  Average  Daily Attendance
21    figure for formula calculation purposes shall be the  monthly
22    average  of the actual number of pupils in attendance of each
23    school district, as further averaged for the best 3 months of
24    pupil attendance for each school district.  In compiling  the
25    figures  for  the  number  of  pupils  in  attendance, school
26    districts  and  the  State  Board  of  Education  shall,  for
27    purposes of general State  aid  funding,  conform  attendance
28    figures to the requirements of subsection (F).
29        (2)  The  Average  Daily  Attendance  figures utilized in
30    subsection (E) shall be the requisite attendance data for the
31    school year immediately preceding the school year  for  which
32    general State aid is being calculated.

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

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

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

31    (G)  Equalized Assessed Valuation Data.
32        (1)  For  purposes  of the calculation of Available Local
33    Resources required pursuant  to  subsection  (D),  the  State
34    Board  of  Education  shall  secure  from  the  Department of
 
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 1    Revenue the value as equalized or assessed by the  Department
 2    of  Revenue of all taxable property of every school district,
 3    together with (i) the applicable tax rate used  in  extending
 4    taxes for the funds of the district as of September 30 of the
 5    previous  year  and  (ii)  the  limiting  rate for all school
 6    districts subject to property tax  extension  limitations  as
 7    imposed under the Property Tax Extension Limitation Law.
 8        This equalized assessed valuation, as adjusted further by
 9    the requirements of this subsection, shall be utilized in the
10    calculation of Available Local Resources.
11        (2)  The  equalized  assessed  valuation in paragraph (1)
12    shall be adjusted, as applicable, in the following manner:
13             (a)  For the purposes of calculating State aid under
14        this Section, with  respect  to  any  part  of  a  school
15        district  within  a redevelopment project area in respect
16        to  which  a  municipality  has  adopted  tax   increment
17        allocation   financing  pursuant  to  the  Tax  Increment
18        Allocation Redevelopment Act, Sections 11-74.4-1  through
19        11-74.4-11   of   the  Illinois  Municipal  Code  or  the
20        Industrial Jobs Recovery Law, Sections 11-74.6-1  through
21        11-74.6-50 of the Illinois Municipal Code, no part of the
22        current  equalized  assessed  valuation  of real property
23        located in any such project area which is attributable to
24        an increase above the total  initial  equalized  assessed
25        valuation  of  such property shall be used as part of the
26        equalized assessed valuation of the district, until  such
27        time  as  all redevelopment project costs have been paid,
28        as provided in Section 11-74.4-8  of  the  Tax  Increment
29        Allocation  Redevelopment Act or in Section 11-74.6-35 of
30        the Industrial Jobs Recovery Law.  For the purpose of the
31        equalized assessed valuation of the district,  the  total
32        initial  equalized  assessed  valuation  or  the  current
33        equalized  assessed  valuation, whichever is lower, shall
34        be used until such  time  as  all  redevelopment  project
 
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 1        costs have been paid.
 2             (b)  The  real property equalized assessed valuation
 3        for a school district shall be  adjusted  by  subtracting
 4        from  the real property value as equalized or assessed by
 5        the Department of Revenue  for  the  district  an  amount
 6        computed by dividing the amount of any abatement of taxes
 7        under  Section  18-170  of the Property Tax Code by 3.00%
 8        for a district maintaining  grades  kindergarten  through
 9        12,   by   2.30%   for   a  district  maintaining  grades
10        kindergarten through  8,  or  by  1.05%  for  a  district
11        maintaining grades 9 through 12 and adjusted by an amount
12        computed by dividing the amount of any abatement of taxes
13        under  subsection  (a)  of Section 18-165 of the Property
14        Tax Code by the same percentage rates for  district  type
15        as specified in this subparagraph (b).
16        (3)  For  the  1999-2000 school year and each school year
17    thereafter, if a school district meets all of the criteria of
18    this subsection (G)(3), the school district's Available Local
19    Resources shall be calculated under subsection (D) using  the
20    district's  Extension Limitation Equalized Assessed Valuation
21    as calculated under this subsection (G)(3).
22        For purposes of  this  subsection  (G)(3)  the  following
23    terms shall have the following meanings:
24             "Budget  Year":   The  school year for which general
25        State aid is calculated and awarded under subsection (E).
26             "Base Tax Year": The property tax levy year used  to
27        calculate  the  Budget  Year  allocation of general State
28        aid.
29             "Preceding Tax Year": The  property  tax  levy  year
30        immediately preceding the Base Tax Year.
31             "Base  Tax Year's Tax Extension": The product of the
32        equalized assessed valuation utilized by the County Clerk
33        in the Base Tax Year multiplied by the limiting  rate  as
34        calculated  by  the  County  Clerk  and  defined  in  the
 
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 1        Property Tax Extension Limitation Law.
 2             "Preceding Tax Year's Tax Extension": The product of
 3        the  equalized  assessed valuation utilized by the County
 4        Clerk  in  the  Preceding  Tax  Year  multiplied  by  the
 5        Operating Tax Rate as defined in subsection (A).
 6             "Extension Limitation  Ratio":  A  numerical  ratio,
 7        certified  by the County Clerk, in which the numerator is
 8        the Base Tax Year's Tax Extension and the denominator  is
 9        the Preceding Tax Year's Tax Extension.
10             "Operating  Tax  Rate":  The  operating  tax rate as
11        defined in subsection (A).
12        If a school district is subject to property tax extension
13    limitations as  imposed  under  the  Property  Tax  Extension
14    Limitation  Law, and if the Available Local Resources of that
15    school district as  calculated  pursuant  to  subsection  (D)
16    using  the  Base  Tax  Year are less than the product of 1.75
17    times the Foundation Level for the  Budget  Year,  the  State
18    Board  of  Education shall calculate the Extension Limitation
19    Equalized Assessed  Valuation  of  that  district.   For  the
20    1999-2000  school  year,  the  Extension Limitation Equalized
21    Assessed Valuation of a school district as calculated by  the
22    State Board of Education shall be equal to the product of the
23    district's   1996   Equalized   Assessed  Valuation  and  the
24    district's Extension Limitation  Ratio.   For  the  2000-2001
25    school  year  and  each school year thereafter, the Extension
26    Limitation Equalized Assessed Valuation of a school  district
27    as  calculated by the State Board of Education shall be equal
28    to the product of the last  calculated  Extension  Limitation
29    Equalized  Assessed  Valuation  and  the district's Extension
30    Limitation  Ratio.  If  the  Extension  Limitation  Equalized
31    Assessed Valuation of a school district as  calculated  under
32    this  subsection (G)(3) is less than the district's equalized
33    assessed valuation  as  calculated  pursuant  to  subsections
34    (G)(1)  and  (G)(2),  then  for  purposes  of calculating the
 
                            -14-               LRB9207374NTsb
 1    district's general State aid for the Budget Year pursuant  to
 2    subsection  (E), that Extension Limitation Equalized Assessed
 3    Valuation shall  be  utilized  to  calculate  the  district's
 4    Available Local Resources under subsection (D).
 5        (4)  For  the  purposes  of calculating general State aid
 6    for the 1999-2000 school year  only,  if  a  school  district
 7    experienced   a   triennial  reassessment  on  the  equalized
 8    assessed valuation used  in  calculating  its  general  State
 9    financial  aid  apportionment  for the 1998-1999 school year,
10    the State Board of Education shall  calculate  the  Extension
11    Limitation  Equalized Assessed Valuation that would have been
12    used to calculate the district's 1998-1999 general State aid.
13    This amount shall equal the product of the equalized assessed
14    valuation  used  to  calculate  general  State  aid  for  the
15    1997-1998 school year and the district's Extension Limitation
16    Ratio.   If  the  Extension  Limitation  Equalized   Assessed
17    Valuation  of  the  school  district as calculated under this
18    paragraph (4) is less than the district's equalized  assessed
19    valuation  utilized  in  calculating the district's 1998-1999
20    general  State  aid  allocation,   then   for   purposes   of
21    calculating  the  district's  general  State  aid pursuant to
22    paragraph (5) of subsection (E),  that  Extension  Limitation
23    Equalized  Assessed  Valuation shall be utilized to calculate
24    the district's Available Local Resources.
25        (5)  For school districts  having  a  majority  of  their
26    equalized  assessed  valuation  in  any  county  except Cook,
27    DuPage, Kane, Lake,  McHenry,  or  Will,  if  the  amount  of
28    general  State  aid  allocated to the school district for the
29    1999-2000 school year under the provisions of subsection (E),
30    (H), and (J) of this Section  is  less  than  the  amount  of
31    general State aid allocated to the district for the 1998-1999
32    school  year  under these subsections, then the general State
33    aid of the district for the 1999-2000 school year only  shall
34    be  increased  by  the difference between these amounts.  The
 
                            -15-               LRB9207374NTsb
 1    total payments made under this paragraph (5) shall not exceed
 2    $14,000,000.   Claims  shall  be  prorated  if  they   exceed
 3    $14,000,000.

 4    (H)  Supplemental General State Aid.
 5        (1)  In  addition  to  the  general  State  aid  a school
 6    district is allotted pursuant to subsection  (E),  qualifying
 7    school  districts  shall receive a grant, paid in conjunction
 8    with  a  district's  payments  of  general  State  aid,   for
 9    supplemental  general  State aid based upon the concentration
10    level of  children  from  low-income  households  within  the
11    school  district.  Supplemental State aid grants provided for
12    school districts under this subsection shall be  appropriated
13    for distribution to school districts as part of the same line
14    item  in  which  the  general  State  financial aid of school
15    districts is appropriated under this Section. For purposes of
16    this subsection, the term  "Low-Income  Concentration  Level"
17    shall  be  the  low-income eligible pupil count from the most
18    recently available federal  census  divided  by  the  Average
19    Daily  Attendance  of  the  school district. If, however, the
20    percentage decrease from the 2 most recent  federal  censuses
21    in  the  low-income  eligible  pupil  count  of a high school
22    district with fewer than 400 students exceeds by 75% or  more
23    the  percentage change in the total low-income eligible pupil
24    count  of  contiguous  elementary  school  districts,   whose
25    boundaries are coterminous with the high school district, the
26    high  school  district's low-income eligible pupil count from
27    the earlier federal census shall be the number  used  as  the
28    low-income eligible pupil count for the high school district,
29    for purposes of this subsection (H).
30        (2)  Supplemental  general  State  aid  pursuant  to this
31    subsection shall be provided as follows:
32             (a)  For any  school  district  with  a  Low  Income
33        Concentration  Level  of  at least 20% and less than 35%,
34        the grant for any school year shall be $800 multiplied by
 
                            -16-               LRB9207374NTsb
 1        the low income eligible pupil count.
 2             (b)  For any  school  district  with  a  Low  Income
 3        Concentration  Level  of  at least 35% and less than 50%,
 4        the grant for the 1998-1999 school year shall  be  $1,100
 5        multiplied by the low income eligible pupil count.
 6             (c)  For  any  school  district  with  a  Low Income
 7        Concentration Level of at least 50% and  less  than  60%,
 8        the  grant  for  the  1998-99 school year shall be $1,500
 9        multiplied by the low income eligible pupil count.
10             (d)  For any  school  district  with  a  Low  Income
11        Concentration  Level  of  60%  or more, the grant for the
12        1998-99 school year shall be $1,900 multiplied by the low
13        income eligible pupil count.
14             (e)  For the 1999-2000 school year,  the  per  pupil
15        amount  specified  in  subparagraphs  (b),  (c),  and (d)
16        immediately above shall be increased to  $1,243,  $1,600,
17        and $2,000, respectively.
18             (f)  For  the  2000-2001  school year, the per pupil
19        amounts specified in  subparagraphs  (b),  (c),  and  (d)
20        immediately  above  shall  be $1,273, $1,640, and $2,050,
21        respectively.
22        (3)  School districts with an Average Daily Attendance of
23    more than  1,000  and  less  than  50,000  that  qualify  for
24    supplemental  general  State  aid pursuant to this subsection
25    shall submit a plan to the State Board of Education prior  to
26    October  30  of  each year for the use of the funds resulting
27    from this grant of supplemental general  State  aid  for  the
28    improvement  of  instruction  in  which  priority is given to
29    meeting the education needs of disadvantaged children.   Such
30    plan   shall  be  submitted  in  accordance  with  rules  and
31    regulations promulgated by the State Board of Education.
32        (4)  School districts with an Average Daily Attendance of
33    50,000 or more that qualify for  supplemental  general  State
34    aid   pursuant  to  this  subsection  shall  be  required  to
 
                            -17-               LRB9207374NTsb
 1    distribute from funds available pursuant to this Section,  no
 2    less  than  $261,000,000  in  accordance  with  the following
 3    requirements:
 4             (a)  The required amounts shall  be  distributed  to
 5        the  attendance centers within the district in proportion
 6        to the number  of  pupils  enrolled  at  each  attendance
 7        center  who are eligible to receive free or reduced-price
 8        lunches or breakfasts under the federal  Child  Nutrition
 9        Act  of  1966  and  under  the  National School Lunch Act
10        during the immediately preceding school year.
11             (b)  The   distribution   of   these   portions   of
12        supplemental  and  general  State  aid  among  attendance
13        centers according to  these  requirements  shall  not  be
14        compensated  for  or  contravened  by  adjustments of the
15        total of  other  funds  appropriated  to  any  attendance
16        centers, and the Board of Education shall utilize funding
17        from  one  or several sources in order to fully implement
18        this provision annually prior to the opening of school.
19             (c)  Each attendance center shall be provided by the
20        school district a distribution  of  noncategorical  funds
21        and other categorical funds to which an attendance center
22        is entitled under law in order that the general State aid
23        and   supplemental   general   State   aid   provided  by
24        application of this subsection  supplements  rather  than
25        supplants  the noncategorical funds and other categorical
26        funds provided by the school district to  the  attendance
27        centers.
28             (d)  Any  funds made available under this subsection
29        that by reason of the provisions of this  subsection  are
30        not  required  to be allocated and provided to attendance
31        centers may be used and appropriated by the board of  the
32        district for any lawful school purpose.
33             (e)  Funds received by an attendance center pursuant
34        to this subsection shall be used by the attendance center
 
                            -18-               LRB9207374NTsb
 1        at  the  discretion  of  the  principal  and local school
 2        council for programs to improve educational opportunities
 3        at qualifying schools through the following programs  and
 4        services:  early  childhood education, reduced class size
 5        or improved adult to student classroom ratio,  enrichment
 6        programs,  remedial  assistance,  attendance improvement,
 7        and other  educationally  beneficial  expenditures  which
 8        supplement  the  regular and basic programs as determined
 9        by the State Board of Education.   Funds  provided  shall
10        not be expended for any political or lobbying purposes as
11        defined by board rule.
12             (f)  Each district subject to the provisions of this
13        subdivision  (H)(4)  shall  submit  an acceptable plan to
14        meet the educational needs of disadvantaged children,  in
15        compliance  with  the  requirements of this paragraph, to
16        the State Board of Education prior to  July  15  of  each
17        year. This plan shall be consistent with the decisions of
18        local  school  councils concerning the school expenditure
19        plans developed in accordance  with  part  4  of  Section
20        34-2.3.  The State Board shall approve or reject the plan
21        within  60  days  after  its  submission.  If the plan is
22        rejected, the  district  shall  give  written  notice  of
23        intent   to  modify  the  plan  within  15  days  of  the
24        notification of rejection and then submit a modified plan
25        within 30 days after the date of the  written  notice  of
26        intent  to  modify.    Districts may amend approved plans
27        pursuant to rules  promulgated  by  the  State  Board  of
28        Education.
29             Upon  notification  by  the State Board of Education
30        that the district has not submitted a plan prior to  July
31        15  or  a  modified plan within the time period specified
32        herein, the State aid funds  affected  by  that  plan  or
33        modified  plan  shall  be  withheld by the State Board of
34        Education until a plan or modified plan is submitted.
 
                            -19-               LRB9207374NTsb
 1             If the district fails to  distribute  State  aid  to
 2        attendance  centers  in accordance with an approved plan,
 3        the plan for the following year shall allocate funds,  in
 4        addition   to   the  funds  otherwise  required  by  this
 5        subsection,  to  those  attendance  centers  which   were
 6        underfunded  during the previous year in amounts equal to
 7        such underfunding.
 8             For purposes of  determining  compliance  with  this
 9        subsection  in relation to the requirements of attendance
10        center funding, each district subject to  the  provisions
11        of this subsection shall submit as a separate document by
12        December  1 of each year a report of expenditure data for
13        the prior year in addition to  any  modification  of  its
14        current  plan.  If it is determined that there has been a
15        failure to comply with the expenditure provisions of this
16        subsection regarding contravention  or  supplanting,  the
17        State  Superintendent  of Education shall, within 60 days
18        of receipt of the report, notify  the  district  and  any
19        affected local school council.  The district shall within
20        45  days of receipt of that notification inform the State
21        Superintendent of Education of the remedial or corrective
22        action to be taken, whether  by amendment of the  current
23        plan,  if  feasible, or by adjustment in the plan for the
24        following  year.   Failure  to  provide  the  expenditure
25        report or the  notification  of  remedial  or  corrective
26        action  in  a timely manner shall result in a withholding
27        of the affected funds.
28             The State Board of Education shall promulgate  rules
29        and  regulations  to  implement  the  provisions  of this
30        subsection.   No  funds  shall  be  released  under  this
31        subdivision (H)(4) to any district that has not submitted
32        a plan that has been  approved  by  the  State  Board  of
33        Education.

34    (I)  General State Aid for Newly Configured School Districts.
 
                            -20-               LRB9207374NTsb
 1        (1)  For  a  new  school  district  formed  by  combining
 2    property   included  totally  within  2  or  more  previously
 3    existing school districts, for its first  year  of  existence
 4    the  general  State  aid  and  supplemental general State aid
 5    calculated under this Section shall be computed for  the  new
 6    district  and for the previously existing districts for which
 7    property is totally included within the new district.  If the
 8    computation on the basis of the previously existing districts
 9    is greater, a supplementary payment equal to  the  difference
10    shall  be  made for the first 4 years of existence of the new
11    district.
12        (2)  For a school  district  which  annexes  all  of  the
13    territory  of  one or more entire other school districts, for
14    the  first  year  during  which  the  change  of   boundaries
15    attributable  to  such  annexation  becomes effective for all
16    purposes as determined under Section 7-9 or 7A-8, the general
17    State aid and supplemental general State aid calculated under
18    this Section shall be computed for the annexing  district  as
19    constituted  after  the  annexation  and for the annexing and
20    each annexed district as constituted prior to the annexation;
21    and if the computation on  the  basis  of  the  annexing  and
22    annexed  districts  as constituted prior to the annexation is
23    greater, a supplementary  payment  equal  to  the  difference
24    shall  be  made  for  the  first  4 years of existence of the
25    annexing school district as constituted upon such annexation.
26        (3)  For 2 or more school districts which  annex  all  of
27    the  territory  of one or more entire other school districts,
28    and for 2 or more community unit districts which result  upon
29    the  division  (pursuant  to petition under Section 11A-2) of
30    one or more other unit school districts into 2 or more  parts
31    and  which  together include all of the parts into which such
32    other unit school district or districts are so  divided,  for
33    the   first  year  during  which  the  change  of  boundaries
34    attributable to such annexation or division becomes effective
 
                            -21-               LRB9207374NTsb
 1    for all purposes as determined under Section 7-9  or  11A-10,
 2    as  the  case  may be, the general State aid and supplemental
 3    general State aid calculated  under  this  Section  shall  be
 4    computed   for   each   annexing  or  resulting  district  as
 5    constituted after the annexation or  division  and  for  each
 6    annexing  and  annexed  district,  or  for each resulting and
 7    divided district, as constituted prior to the  annexation  or
 8    division;  and  if the aggregate of the general State aid and
 9    supplemental  general  State  aid  as  so  computed  for  the
10    annexing or resulting  districts  as  constituted  after  the
11    annexation  or  division  is  less  than the aggregate of the
12    general State aid and supplemental general State  aid  as  so
13    computed  for  the annexing and annexed districts, or for the
14    resulting and divided districts, as constituted prior to  the
15    annexation or division, then a supplementary payment equal to
16    the  difference  shall be made and allocated between or among
17    the annexing or resulting districts, as constituted upon such
18    annexation or division,  for  the  first  4  years  of  their
19    existence.   The  total difference payment shall be allocated
20    between or among the annexing or resulting districts  in  the
21    same  ratio  as the pupil enrollment from that portion of the
22    annexed or divided district or districts which is annexed  to
23    or included in each such annexing or resulting district bears
24    to  the  total  pupil  enrollment  from the entire annexed or
25    divided district or districts, as such  pupil  enrollment  is
26    determined  for the school year last ending prior to the date
27    when the change of boundaries attributable to the  annexation
28    or  division  becomes effective for all purposes.  The amount
29    of the total difference payment and the amount thereof to  be
30    allocated  to  the  annexing  or resulting districts shall be
31    computed by the State Board of  Education  on  the  basis  of
32    pupil  enrollment  and other data which shall be certified to
33    the State Board of Education, on forms which it shall provide
34    for that purpose, by the regional superintendent  of  schools
 
                            -22-               LRB9207374NTsb
 1    for each educational service region in which the annexing and
 2    annexed  districts,  or  resulting  and divided districts are
 3    located.
 4        (3.5)  Claims  for  financial   assistance   under   this
 5    subsection  (I)  shall  not be recomputed except as expressly
 6    provided under this Section.
 7        (4)  Any supplementary payment made under this subsection
 8    (I) shall be treated as separate from all other payments made
 9    pursuant to this Section.

10    (J)  Supplementary Grants in Aid.
11        (1)  Notwithstanding  any  other   provisions   of   this
12    Section,  the  amount  of  the aggregate general State aid in
13    combination with supplemental general State  aid  under  this
14    Section  for  which each school district is eligible shall be
15    no less than the amount of the aggregate  general  State  aid
16    entitlement  that  was received by the district under Section
17    18-8 (exclusive of amounts received  under  subsections  5(p)
18    and  5(p-5)  of  that  Section)  for the 1997-98 school year,
19    pursuant to the provisions of that Section as it was then  in
20    effect.   If   a  school  district  qualifies  to  receive  a
21    supplementary payment made under  this  subsection  (J),  the
22    amount of the aggregate general State aid in combination with
23    supplemental general State aid under this Section  which that
24    district is eligible to receive for each school year shall be
25    no  less  than  the amount of the aggregate general State aid
26    entitlement that was received by the district  under  Section
27    18-8  (exclusive  of  amounts received under subsections 5(p)
28    and 5(p-5) of that Section) for the  1997-1998  school  year,
29    pursuant  to the provisions of that Section as it was then in
30    effect.
31        (2)  If, as provided in paragraph (1) of this  subsection
32    (J),  a school district is to receive aggregate general State
33    aid in combination with supplemental general State aid  under
34    this  Section  for the 1998-99 school year and any subsequent
 
                            -23-               LRB9207374NTsb
 1    school year that in any such school year  is  less  than  the
 2    amount  of  the  aggregate general State aid entitlement that
 3    the district received for the 1997-98 school year, the school
 4    district shall also receive, from  a  separate  appropriation
 5    made  for  purposes  of  this subsection (J), a supplementary
 6    payment that is equal to the amount of the difference in  the
 7    aggregate State aid figures as described in paragraph (1).
 8        (3)  (Blank).

 9    (K)  Grants to Laboratory and Alternative Schools.
10        In  calculating  the  amount  to be paid to the governing
11    board of a  public  university  that  operates  a  laboratory
12    school  under  this Section or to any alternative school that
13    is operated by a  regional  superintendent  of  schools,  the
14    State Board of Education shall require by rule such reporting
15    requirements as it deems necessary.
16        As  used  in  this  Section,  "laboratory school" means a
17    public school which is  created  and  operated  by  a  public
18    university and approved by the State Board of Education.  The
19    governing  board  of a public university which receives funds
20    from the State  Board  under  this  subsection  (K)  may  not
21    increase  the  number  of students enrolled in its laboratory
22    school from a single district, if that  district  is  already
23    sending  50 or more students, except under a mutual agreement
24    between the school board of a student's district of residence
25    and the university which operates the laboratory  school.   A
26    laboratory  school  may  not  have  more than 1,000 students,
27    excluding students with disabilities in a  special  education
28    program.
29        As  used  in  this  Section, "alternative school" means a
30    public school which is created and  operated  by  a  Regional
31    Superintendent  of Schools and approved by the State Board of
32    Education.  Such alternative schools  may  offer  courses  of
33    instruction  for  which  credit  is  given  in regular school
34    programs, courses to prepare students  for  the  high  school
 
                            -24-               LRB9207374NTsb
 1    equivalency  testing  program  or vocational and occupational
 2    training.   A regional superintendent of schools may contract
 3    with a school district or a public community college district
 4    to operate an  alternative  school.   An  alternative  school
 5    serving  more  than  one  educational  service  region may be
 6    established by the regional superintendents of schools of the
 7    affected educational service regions.  An alternative  school
 8    serving  more  than  one  educational  service  region may be
 9    operated under such terms as the regional superintendents  of
10    schools of those educational service regions may agree.
11        Each  laboratory  and  alternative  school shall file, on
12    forms provided by the State Superintendent of  Education,  an
13    annual  State  aid  claim  which  states  the  Average  Daily
14    Attendance  of  the  school's  students by month.  The best 3
15    months' Average Daily Attendance shall be computed  for  each
16    school.  The  general State aid entitlement shall be computed
17    by multiplying the applicable Average Daily Attendance by the
18    Foundation Level as determined under this Section.

19    (L)  Payments,   Additional   Grants   in   Aid   and   Other
20    Requirements.
21        (1)  For a school district operating under the  financial
22    supervision  of  an  Authority created under Article 34A, the
23    general State aid otherwise payable to  that  district  under
24    this  Section,  but  not  the supplemental general State aid,
25    shall be reduced by an amount equal to  the  budget  for  the
26    operations  of the Authority as certified by the Authority to
27    the State Board of Education, and an  amount  equal  to  such
28    reduction  shall  be  paid  to the Authority created for such
29    district for its operating expenses in the manner provided in
30    Section 18-11.  The remainder of general State school aid for
31    any such district shall be paid in  accordance  with  Article
32    34A  when  that Article provides for a disposition other than
33    that provided by this Article.
34        (2)  (Blank).
 
                            -25-               LRB9207374NTsb
 1        (3)  Summer school.  Summer school payments shall be made
 2    as provided in Section 18-4.3.

 3    (M)  Education Funding Advisory Board.
 4        The Education Funding Advisory Board, hereinafter in this
 5    subsection (M) referred to as the "Board", is hereby created.
 6    The Board shall consist of 5 members who are appointed by the
 7    Governor, by and with the advice and consent of  the  Senate.
 8    The   members  appointed  shall  include  representatives  of
 9    education, business, and  the  general  public.  One  of  the
10    members  so  appointed shall be designated by the Governor at
11    the time the appointment is made as the  chairperson  of  the
12    Board.  The initial members of the Board may be appointed any
13    time after the effective date of this amendatory Act of 1997.
14    The regular term of each member of the Board shall be  for  4
15    years  from  the third Monday of January of the year in which
16    the term of the member's appointment is to  commence,  except
17    that  of  the  5  initial  members  appointed to serve on the
18    Board, the member who is appointed as the  chairperson  shall
19    serve  for  a  term  that commences on the date of his or her
20    appointment and expires on the third Monday of January, 2002,
21    and the remaining 4 members,  by  lots  drawn  at  the  first
22    meeting  of  the  Board  that is held after all 5 members are
23    appointed, shall determine 2 of their  number  to  serve  for
24    terms   that   commence  on  the  date  of  their  respective
25    appointments and expire on the third Monday of January, 2001,
26    and 2 of their number to serve for terms that commence on the
27    date of their respective appointments and expire on the third
28    Monday of January, 2000.  All members appointed to  serve  on
29    the  Board  shall serve until their respective successors are
30    appointed and confirmed.  Vacancies shall be  filled  in  the
31    same  manner  as  original  appointments.   If  a  vacancy in
32    membership occurs at  a  time  when  the  Senate  is  not  in
33    session,  the  Governor  shall  make  a temporary appointment
34    until the next meeting of the Senate, when he  or  she  shall
 
                            -26-               LRB9207374NTsb
 1    appoint,  by and with the advice and consent of the Senate, a
 2    person to fill that membership for the  unexpired  term.   If
 3    the  Senate  is  not in session when the initial appointments
 4    are made, those appointments shall be made as in the case  of
 5    vacancies.
 6        The  Education  Funding  Advisory  Board  shall be deemed
 7    established,  and  the  initial  members  appointed  by   the
 8    Governor  to serve as members of the Board shall take office,
 9    on the date that the Governor makes his or her appointment of
10    the fifth initial member of the Board, whether those  initial
11    members   are   then  serving  pursuant  to  appointment  and
12    confirmation or pursuant to temporary appointments  that  are
13    made by the Governor as in the case of vacancies.
14        The  State  Board  of  Education shall provide such staff
15    assistance to the Education  Funding  Advisory  Board  as  is
16    reasonably  required  for the proper performance by the Board
17    of its responsibilities.
18        For school years after the  2000-2001  school  year,  the
19    Education  Funding  Advisory  Board, in consultation with the
20    State Board  of  Education,  shall  make  recommendations  as
21    provided  in  this subsection (M) to the General Assembly for
22    the foundation level under subdivision (B)(3) of this Section
23    and for the supplemental general State aid grant level  under
24    subsection  (H)  of  this  Section  for  districts  with high
25    concentrations of children  from  poverty.   The  recommended
26    foundation  level  shall be determined based on a methodology
27    which  incorporates  the  basic  education  expenditures   of
28    low-spending  schools  exhibiting  high academic performance.
29    The  Education  Funding  Advisory  Board  shall   make   such
30    recommendations  to  the General Assembly on January 1 of odd
31    numbered years, beginning January 1, 2001.

32    (N)  (Blank).

33    (O)  References.
 
                            -27-               LRB9207374NTsb
 1        (1)  References in other laws to the various subdivisions
 2    of Section 18-8 as that Section existed before its repeal and
 3    replacement by this Section 18-8.05 shall be deemed to  refer
 4    to  the  corresponding provisions of this Section 18-8.05, to
 5    the extent that those references remain applicable.
 6        (2)  References in other laws to State  Chapter  1  funds
 7    shall  be  deemed  to refer to the supplemental general State
 8    aid provided under subsection (H) of this Section.
 9    (Source:  P.A.  90-548,  eff.  7-1-98;  incorporates  90-566;
10    90-653, eff. 7-29-98;  90-654,  eff.  7-29-98;  90-655,  eff.
11    7-30-98;  90-802, eff. 12-15-98; 90-815, eff. 2-11-99; 91-24,
12    eff. 7-1-99; 91-93, eff. 7-9-99; 91-96, eff. 7-9-99;  91-111,
13    eff.  7-14-99;  91-357,  eff.  7-29-99; 91-533, eff. 8-13-99;
14    revised 8-27-99.)

15        Section 99.  Effective date.  This Act  takes  effect  on
16    July 1, 2001.

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