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| Public Act 099-0794 | ||||
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AN ACT concerning education.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The School Code is amended by changing Section | ||||
5-22 as follows:
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(105 ILCS 5/5-22) (from Ch. 122, par. 5-22)
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Sec. 5-22. Sales of school sites, buildings or other real | ||||
estate. When, in the opinion of the school board, a school | ||||
site, or portion
thereof, building, or site with building | ||||
thereon, or any other real
estate of the district, has become | ||||
unnecessary, or unsuitable, or
inconvenient for a school, or | ||||
unnecessary for the uses of the district,
the school board, by | ||||
a resolution adopted by at least two-thirds of the
board | ||||
members, may sell or direct that the property be sold in the | ||||
manner
provided
in the Local Government Property Transfer Act, | ||||
or in the manner
herein provided or, in the case of residential | ||||
property constructed or renovated by students as part of a | ||||
curricular program, may engage the services of a licensed real | ||||
estate broker to sell the property for a commission not to | ||||
exceed 7%, contingent on the public listing of the property on | ||||
a multiple listing service for a minimum of 14 calendar days | ||||
and the sale of the property within 120 days. | ||||
Unless legal title to the land is held by the school
board, | ||||
the school board shall forthwith notify the trustees of
schools | ||
or other school officials having legal title to such land of | ||
the
terms upon which they desire the property to be sold.
If | ||
the property is to be sold to another unit of local government | ||
or
school district, the school board, trustees of schools, or | ||
other school
officials
having legal title to the land shall | ||
proceed in the manner provided
in the Local Government Property | ||
Transfer Act. In all other cases, except if
the property is to | ||
be sold to a tenant that has leased the
property for 10 or more | ||
years and that tenant is a non-profit agency,
the school
board, | ||
trustees
of schools, or other school officials having legal | ||
title to the land shall,
within 60 days after adoption of the | ||
resolution (if the school board holds
legal title to the land), | ||
or within 60 days after the
trustees of school or other school | ||
officials having legal title receive the
notice (if the school | ||
board does not hold legal title to the land), sell the
property | ||
at public sale, by
auction or sealed bids, after first giving | ||
notice of the time, place, and terms
thereof by notice | ||
published once each week for 3 successive weeks prior to the
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date of the sale if sale is by auction, or prior to the final | ||
date of
acceptance of bids if sale is by sealed bids, in a | ||
newspaper published in the
district or, if no such newspaper is | ||
published in the district, then in a
newspaper published in the | ||
county and having a general circulation in the
district; | ||
however, if territory containing a school site, building, or | ||
site
with building thereon, is detached from the school | ||
district of which it is a
part after proceedings have been | ||
commenced under this Section for the sale of
that school site, | ||
building, or site with building thereon, but before the sale
is | ||
held, then the school board, trustees of schools, or other | ||
school
officials having legal title shall not advertise or sell | ||
that
school site, building, or site with building thereon, | ||
pursuant to those
proceedings. The notices may be in the | ||
following form:
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NOTICE OF SALE
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Notice is hereby given that on (insert date), the (here | ||
insert title of the school board, trustees of school, or
other | ||
school officials holding legal title) of (county)
(Township No. | ||
...., Range No. .... P.M. ....) will sell at public sale (use
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applicable alternative) (at ......... (state location of sale | ||
which shall
be within the district), at .... ..M.,) (by taking | ||
sealed bids which shall be
accepted until .... ..M., on (insert | ||
date), at (here insert location where bids will be accepted | ||
which shall be
within the district) which bids will be opened | ||
at .... ..M. on (insert
date) at (here insert location where | ||
bids
will be opened which shall be within the district)) the | ||
following described
property: (here describe the property), | ||
which sale will be made on the
following terms to-wit: (here | ||
insert terms of sale)
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....
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....
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....
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(Here insert title of school
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officials holding legal title)
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For purposes of determining "terms of sale" under this | ||
Section, the General
Assembly declares by this clarifying and | ||
amendatory Act of 1983 that "terms
of sale" are not limited to | ||
sales for cash only but include contracts for
deed, mortgages, | ||
and such other seller financed terms as may be specified
by the | ||
school board.
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If a school board specifies a reasonable minimum selling | ||
price and that
price is not met or if no bids are received, the | ||
school board may adopt a
resolution determining or directing | ||
that the services
of
a licensed real estate broker be engaged | ||
to sell the property for a
commission not to exceed 7%,
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contingent on the sale of the property within 120 days. If | ||
legal title to the
property is not held by the school board,
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the trustees of schools or other school officials having legal | ||
title shall,
upon receipt of the resolution, engage the | ||
services of a licensed real estate
broker as directed in the | ||
resolution.
The board may accept a written offer equal to or | ||
greater than the established
minimum selling price for the | ||
described property. The services of a licensed
real estate | ||
broker may be utilized to seek a buyer. If the board lowers the
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minimum selling price on the described property, the public | ||
sale procedures set
forth in this Section must be followed. The | ||
board may raise the minimum selling
price without repeating the | ||
public sale procedures.
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In the case of a sale of property to a tenant that has | ||
leased the
property for 10 or more years and that is a | ||
non-profit agency, an
appraisal is required prior to the sale. | ||
If the non-profit agency purchases
the property for less than | ||
the appraised value and subsequently sells the
property, the | ||
agency may retain only a percentage of the profits that is
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proportional to the percentage of the appraisal,
plus any | ||
improvements made by the agency while the agency was the
owner,
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that the agency paid in the initial sale.
The remaining portion | ||
of the profits made by the non-profit agency
shall revert to | ||
the school district.
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The deed of conveyance shall be executed by the president | ||
and clerk
or secretary of the school board, trustees of | ||
schools, or other school
officials having legal title to the | ||
land, and the proceeds paid to the school
treasurer for the
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benefit of the district; provided, that the proceeds of any | ||
such sale on
the island of Kaskaskia shall be paid to the State | ||
Treasurer for the use
of the district and shall be disbursed by | ||
him in the same manner as
income from the Kaskaskia Commons | ||
permanent school fund. The school
board shall use the proceeds | ||
from the sale first to pay the principal
and interest on any | ||
outstanding bonds on the property being sold, and
after all | ||
such bonds have been retired, the remaining proceeds from the
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sale next shall be used by the school board to meet any urgent | ||
district needs
as determined under Sections 2-3.12 and 17-2.11 | ||
and then for any other
authorized purpose and for deposit into | ||
any district fund. But whenever the
school board of any school | ||
district determines that any schoolhouse site with
or without a | ||
building thereon is of no further use to the district, and | ||
agrees
with the school board of any other school district | ||
within the boundaries of
which the site is situated, upon the | ||
sale thereof to that district, and agrees
upon the price to be | ||
paid therefor, and the site is selected by the purchasing
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district in the manner required by law, then after the payment | ||
of the
compensation the school board, township trustees, or | ||
other school
officials having legal title
to the land of the | ||
schools shall, by proper instrument in writing, convey the
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legal title of the site to the school board of the purchasing | ||
district, or to
the
trustees of schools for the use of the | ||
purchasing district, in accordance
with law. The provisions of | ||
this Section
shall not apply to any sale made pursuant to | ||
Section 5-23 or Section 5-24 or
Section 32-4.
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(Source: P.A. 91-357, eff. 7-29-99; 92-365, eff. 8-15-01.)
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