State of Illinois
92nd General Assembly
Legislation

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92_HB0125

 
                                               LRB9201210NTsb

 1        AN ACT to amend the School Construction Law.

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

 4        Section 5.  The School Construction  Law  is  amended  by
 5    changing Sections 5-5, 5-25, and 5-35  as follows:

 6        (105 ILCS 230/5-5)
 7        Sec. 5-5. Definitions.  As used in this Article:
 8        "Approved school construction bonds" mean bonds that were
 9    approved  by  referendum  after  January 1, 1996 but prior to
10    January 1, 1998 as provided in Sections 19-2 through 19-7  of
11    the  School  Code  to  provide  funds  for  the  acquisition,
12    development,  construction,  reconstruction,  rehabilitation,
13    improvement,  architectural  planning,  and  installation  of
14    capital   facilities  consisting  of  buildings,  structures,
15    durable-equipment, and land for educational purposes.
16        "Grant index" means a figure  for  each  school  district
17    equal  to  one  minus  the  ratio of the district's equalized
18    assessed valuation per pupil in average daily  attendance  to
19    the  equalized  assessed valuation per pupil in average daily
20    attendance of the district located at the 90th percentile for
21    all districts of the same type.  The grant index shall be  no
22    less  than  0.50  0.35  and  no  greater  than  0.75 for each
23    district; provided that the grant index for  districts  whose
24    equalized  assessed  valuation  per  pupil  in  average daily
25    attendance is at  the  99th  percentile  and  above  for  all
26    districts of the same type shall be 0.00.
27        "School  construction  project"  means  the  acquisition,
28    development,  construction,  reconstruction,  rehabilitation,
29    improvement,  architectural  planning,  and  installation  of
30    capital   facilities  consisting  of  buildings,  structures,
31    durable equipment, and land for educational purposes.
 
                            -2-                LRB9201210NTsb
 1        "School maintenance project" means a project, other  than
 2    a  school  construction  project, intended to provide for the
 3    maintenance  or  upkeep  of  buildings  or   structures   for
 4    educational   purposes,   but   does   not   include  ongoing
 5    operational costs.
 6    (Source: P.A. 90-548, eff. 1-1-98; 91-38, eff. 6-15-99.)

 7        (105 ILCS 230/5-25)
 8        Sec. 5-25.  Eligibility and project standards.
 9        (a)  The  State  Board  of  Education   shall   establish
10    eligibility  standards for school construction project grants
11    and debt  service  grants.   These  standards  shall  include
12    minimum  enrollment  requirements  for eligibility for school
13    construction project grants of 200  students  for  elementary
14    districts,  200  students  for high school districts, and 400
15    students for unit districts.  The State  Board  of  Education
16    shall   approve   a   district's  eligibility  for  a  school
17    construction project grant or a debt service  grant  pursuant
18    to the established standards.
19        (b)  The   Capital   Development  Board  shall  establish
20    project standards for all school construction project  grants
21    provided  pursuant  to  this  Article.  These standards shall
22    include  space  and  capacity  standards  as  well   as   the
23    determination  of  recognized  project  costs  that  shall be
24    eligible for State financial assistance and enrichment  costs
25    that shall not be eligible for State financial assistance.
26        The  recognized  project cost initially calculated by the
27    Capital Development Board shall establish the acceptable cost
28    of the eligible expenditures.  If the bid price  received  by
29    the  district  from  the various contractors for the eligible
30    expenditures is less than the bid estimate amount included in
31    this initial calculation, then the  recognized  project  cost
32    shall be reduced by the amount of the difference.  If the bid
33    price  received  by the district from the various contractors
 
                            -3-                LRB9201210NTsb
 1    for  the  eligible  expenditures  is  greater  than  the  bid
 2    estimate amount included in this  initial  calculation,  then
 3    the  recognized project cost shall be increased by the amount
 4    of the difference.
 5        (c)  The  State  Board  of  Education  and  the   Capital
 6    Development   Board   shall   not  establish  standards  that
 7    disapprove or otherwise establish limitations  that  restrict
 8    the  eligibility  of  a  school  district  with  a population
 9    exceeding 500,000 for a  school  construction  project  grant
10    based  on the fact that any or all of the school construction
11    project grant will be used to pay debt  service  or  to  make
12    lease  payments,  as  authorized by subsection (b) of Section
13    5-35 of this Law.
14    (Source: P.A. 90-548, eff. 1-1-98; 91-38, eff. 6-15-99.)

15        (105 ILCS 230/5-35)
16        Sec. 5-35. School  construction  project  grant  amounts;
17    permitted use; prohibited use.
18        (a)  The  product  of  the district's grant index and the
19    recognized  project  cost,  as  determined  by  the   Capital
20    Development   Board,  for  an  approved  school  construction
21    project shall equal the  amount  of  the  grant  the  Capital
22    Development  Board  shall  provide  to the eligible district.
23    For those districts that have not received  grants  from  the
24    Capital Development Board prior to the effective date of this
25    amendatory  Act  of the 92nd General Assembly, the district's
26    grant index may not be less than 0.50.  The grant index shall
27    not be used in cases  where  the  General  Assembly  and  the
28    Governor  approve  appropriations designated for specifically
29    identified school district construction projects.
30        (b)  In each fiscal year  in  which  school  construction
31    project  grants  are awarded, 20% of the total amount awarded
32    statewide shall be  awarded  to  a  school  district  with  a
33    population exceeding 500,000, provided such district complies
 
                            -4-                LRB9201210NTsb
 1    with the provisions of this Article.
 2        In addition to the uses otherwise authorized by this Law,
 3    any  school  district  with a population exceeding 500,000 is
 4    authorized to use any  or  all  of  the  school  construction
 5    project  grants  (i)  to  pay debt service, as defined in the
 6    Local Government Debt Reform Act, on bonds, as defined in the
 7    Local Government Debt Reform Act, issued to  finance  one  or
 8    more school construction projects and (ii) to the extent that
 9    any  such  bond  is a lease or other installment or financing
10    contract between the school district and  a  public  building
11    commission  that  has  issued  bonds  to  finance one or more
12    qualifying  school  construction  projects,  to  make   lease
13    payments under the lease.
14        (c)  No  portion  of  a school construction project grant
15    awarded by the Capital Development Board shall be used  by  a
16    school district for any on-going operational costs.
17    (Source: P.A. 90-548, eff. 1-1-98; 91-38, eff. 6-15-99.)

18        Section  99.  Effective  date.   This Act takes effect on
19    July 1, 2001.

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