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| [ Introduced ] | [ Engrossed ] | [ Senate Amendment 002 ] |
92_SB0636sam001
LRB9207928NTsbam
1 AMENDMENT TO SENATE BILL 636
2 AMENDMENT NO. . Amend Senate Bill 636 by replacing
3 everything after the enacting clause with the following:
4 "Section 5. The School Code is amended by changing
5 Sections 27A-11, 27A-11.5, and 34-49 as follows:
6 (105 ILCS 5/27A-11)
7 Sec. 27A-11. Local financing.
8 (a) For purposes of the School Code, pupils enrolled in
9 a charter school shall be included in the pupil enrollment of
10 the school district within which the pupil resides. Each
11 charter school (i) shall determine the school district in
12 which each pupil who is enrolled in the charter school
13 resides, (ii) shall report the aggregate number of pupils
14 resident of a school district who are enrolled in the charter
15 school to the school district in which those pupils reside,
16 and (iii) shall maintain accurate records of daily attendance
17 that shall be deemed sufficient to file claims under Section
18 18-8 notwithstanding any other requirements of that Section
19 regarding hours of instruction and teacher certification.
20 (b) Except for a charter school established by
21 referendum under Section 27A-6.5, as part of a charter school
22 contract, the charter school and the local school board shall
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1 agree on funding and any services to be provided by the
2 school district to the charter school. Agreed funding that a
3 charter school is to receive from the local school board for
4 a school year shall be paid in equal quarterly installments
5 with the payment of the installment for the first quarter
6 being made not later than July 1, unless the charter
7 establishes a different payment schedule.
8 All services centrally or otherwise provided by the
9 school district including, but not limited to, rent, food
10 services, custodial services, maintenance, curriculum, media
11 services, libraries, transportation, and warehousing shall be
12 subject to negotiation between a charter school and the local
13 school board and paid for out of the revenues negotiated
14 pursuant to this subsection (b); provided that the local
15 school board shall not attempt, by negotiation or otherwise,
16 to obligate a charter school to provide pupil transportation
17 for pupils for whom a district is not required to provide
18 transportation under the criteria set forth in subsection
19 (a)(13) of Section 27A-7.
20 In no event shall the funding be less than 75% or more
21 than 125% of the school district's per capita student tuition
22 multiplied by the number of students residing in the district
23 who are enrolled in the charter school.
24 It is the intent of the General Assembly that funding and
25 service agreements under this subsection (b) shall be neither
26 a financial incentive nor a financial disincentive to the
27 establishment of a charter school.
28 The charter school may set and collect reasonable fees.
29 Fees collected from students enrolled at a charter school
30 shall be retained by the charter school.
31 (c) Notwithstanding subsection (b) of this Section, the
32 proportionate share of State and federal resources generated
33 by students with disabilities or staff serving them shall be
34 directed to charter schools enrolling those students by their
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1 school districts or administrative units. The proportionate
2 share of moneys generated under other federal or State
3 categorical aid programs shall be directed to charter schools
4 serving students eligible for that aid.
5 (d) The governing body of a charter school is authorized
6 to accept gifts, donations, or grants of any kind made to the
7 charter school and to expend or use gifts, donations, or
8 grants in accordance with the conditions prescribed by the
9 donor; however, a gift, donation, or grant may not be
10 accepted by the governing body if it is subject to any
11 condition contrary to applicable law or contrary to the terms
12 of the contract between the charter school and the local
13 school board. Charter schools shall be encouraged to solicit
14 and utilize community volunteer speakers and other
15 instructional resources when providing instruction on the
16 Holocaust and other historical events.
17 (e) (Blank).
18 (f) The State Board shall provide technical assistance,
19 including information that clearly details the process,
20 timelines, and criteria used to prepare and revise charter
21 applications, to persons and groups preparing or revising
22 charter applications. Other information, such as links to
23 external resource organizations, may also be provided.
24 (g) At the non-renewal or revocation of its charter,
25 each charter school shall refund to the local board of
26 education all unspent funds.
27 (h) A charter school is authorized to incur temporary,
28 short term debt to pay operating expenses in anticipation of
29 receipt of funds from the local school board.
30 (i) A charter school may (i) borrow money for the
31 acquisition, construction, renovation, redevelopment, and
32 equipping of school and educational facilities and for such
33 other needs as determined by the governing body of the
34 charter school, at such rates of interest as the governing
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1 body may determine, without regard to any referendum
2 requirements, (ii) issue bonds, notes, and other obligations;
3 and (iii) secure any of its obligations, including any
4 obligation arising from the delivery of a guarantee described
5 in subsection (k) of this Section, by pledge, mortgage, or
6 deed on any or all of its property.
7 (j) The governing body of a charter school may pledge,
8 as security for the payment of its obligations, grants or
9 other revenues expected to be received from the local school
10 board, the State, or the federal government or gifts,
11 donations, or grants of any kind expected to be received by
12 the charter school from any source.
13 Any such pledge is valid and binding from the time the
14 pledge is made. The revenues, moneys, and other funds so
15 pledged and thereafter received by the charter school shall
16 immediately be subject to the lien of the pledge without any
17 physical delivery thereof or further act; and, subject only
18 to the provisions of prior agreements, the lien of the pledge
19 shall be valid and binding against all parties having claims
20 of any kind in tort, contract, or otherwise against the
21 charter school irrespective of whether these parties have
22 notice thereof. No ordinance, resolution, trust agreement,
23 or other instrument by which the pledge is created needs to
24 be filed or recorded except in the records of the charter
25 school.
26 The State Treasurer, the State Comptroller, the
27 Department of Revenue, the Department of Transportation, the
28 State Superintendent of Education, any regional
29 superintendent of schools, and the local school board shall
30 deposit or cause to be deposited any amount of grants or
31 other revenues expected to be received by a charter school
32 from that official, entity, or local school board that have
33 been pledged to the payment of obligations of the charter
34 school, in accordance with the authorization of the charter
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1 school, directly into a designated escrow account established
2 by and at the direction of the charter school. The
3 resolution authorizing that deposit shall, within 10 days
4 after adoption by the governing body of the charter school,
5 be filed with the official, entity, or local school board
6 having custody of the pledged grants or other revenues.
7 (k) A local school board may guarantee the repayment or
8 otherwise enhance the credit of all or any portion of the
9 debt obligations of a charter school located in the school
10 district, without regard to any referendum requirements and
11 subject to the terms negotiated between the local school
12 board and the governing body of the charter school, provided
13 that the term of any such guarantee or credit enhancement
14 does not exceed 30 years.
15 (Source: P.A. 90-548, eff. 1-1-98; 90-757, eff. 8-14-98;
16 91-407, eff. 8-3-99.)
17 (105 ILCS 5/27A-11.5)
18 Sec. 27A-11.5. State financing. The State Board of
19 Education shall make the following funds available to school
20 districts and charter schools:
21 (1) From a separate appropriation made to the State
22 Board for purposes of this subdivision (1), the State
23 Board shall make transition impact aid available to
24 school districts that approve a new charter school or
25 that have funds withheld by the State Board to fund a new
26 charter school that is chartered by the State Board. The
27 amount of the aid shall equal 90% of the per capita
28 funding paid to the charter school during the first year
29 of its initial charter term, 65% of the per capita
30 funding paid to the charter school during the second year
31 of its initial term, and 35% of the per capita funding
32 paid to the charter school during the third year of its
33 initial term. This transition impact aid shall be paid
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1 to the local school board in equal quarterly
2 installments, with the payment of the installment for the
3 first quarter being made by August 1st immediately
4 preceding the first, second, and third years of the
5 initial term. The district shall file an application for
6 this aid with the State Board in a format designated by
7 the State Board. If the appropriation is insufficient in
8 any year to pay all approved claims, the impact aid shall
9 be prorated. Transition impact aid shall be paid
10 beginning in the 1999-2000 school year for charter
11 schools that are in the first, second, or third year of
12 their initial term. If House Bill 230 of the 91st
13 General Assembly becomes law, Transition impact aid shall
14 not be paid for any charter school that is proposed and
15 created by one or more boards of education, as authorized
16 under the provisions of Public Act 91-405 House Bill 230
17 of the 91st General Assembly.
18 (2) From a separate appropriation made to the State
19 Board for the purpose of this subdivision (2), the State
20 Board shall make grants to charter schools in the amount
21 of $1,000 per student enrolled in the charter school to
22 pay the charter school's their start-up costs of
23 acquiring educational materials and supplies, textbooks,
24 furniture, and other equipment, of acquiring, remodeling,
25 and maintaining a suitable physical plant, and of any
26 other needs as determined by the charter school needed
27 during their initial term. The State Board shall
28 annually establish the time and manner of application for
29 these grants, which shall not exceed $250 per student
30 enrolled in the charter school.
31 (3) The Charter Schools Revolving Loan Fund is
32 created as a special fund in the State treasury. Federal
33 funds, such other funds as may be made available for
34 costs associated with the establishment of charter
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1 schools in Illinois, and amounts repaid by charter
2 schools that have received a loan from the Charter
3 Schools Revolving Loan Fund shall be deposited into the
4 Charter Schools Revolving Loan Fund, and the moneys in
5 the Charter Schools Revolving Loan Fund shall be
6 appropriated to the State Board and used to provide
7 interest-free loans to charter schools. These funds
8 shall be used to pay start-up costs of acquiring
9 educational materials and supplies, textbooks, furniture,
10 and other equipment needed in the initial term of the
11 charter school and for acquiring and remodeling a
12 suitable physical plant, within the initial term of the
13 charter school. Loans shall be limited to one loan per
14 charter school and shall not exceed $500 $250 per student
15 enrolled in the charter school. A loan shall be repaid
16 by the end of the initial term of the charter school.
17 The State Board may deduct amounts necessary to repay the
18 loan from funds due to the charter school or may require
19 that the local school board that authorized the charter
20 school deduct such amounts from funds due the charter
21 school and remit these amounts to the State Board,
22 provided that the local school board shall not be
23 responsible for repayment of the loan. The State Board
24 may use up to 3% of the appropriation to contract with a
25 non-profit entity to administer the loan program.
26 (4) A charter school may apply for and shall
27 receive, subject to the same restrictions applicable to
28 school districts, any grant and programmatic funds
29 administered by the State Board that is available for
30 school districts.
31 (Source: P.A. 91-407, eff. 8-3-99; revised 8-4-99.)
32 (105 ILCS 5/34-49) (from Ch. 122, par. 34-49)
33 Sec. 34-49. Contracts, expense and liabilities without
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1 appropriation. No contract shall be made or expense or
2 liability incurred by the board, or any member or committee
3 thereof, or by any person for or in its behalf,
4 notwithstanding the expenditure may have been ordered by the
5 board, unless an appropriation therefor has been previously
6 made. Neither the board, nor any member or committee,
7 officer, head of any department or bureau, or employee
8 thereof shall during a fiscal year expend or contract to be
9 expended any money, or incur any liability, or enter into any
10 contract which by its terms involves the expenditure of money
11 for any of the purposes for which provision is made in the
12 budget, in excess of the amounts appropriated in the budget.
13 Any contract, verbal or written, made in violation of this
14 Section is void as to the board, and no moneys belonging
15 thereto shall be paid thereon. Provided, however, that the
16 board may lease from any Public Building Commission created
17 pursuant to the provisions of the Public Building Commission
18 Act, approved July 5, 1955, as heretofore or hereafter
19 amended, or from any individuals, partnerships or
20 corporations, any real or personal property for the purpose
21 of securing space for its school purposes or office or other
22 space for its administrative functions for any period of time
23 not exceeding 40 years, and such lease may be made and the
24 obligation or expense thereunder incurred without making a
25 previous appropriation therefor, except as otherwise provided
26 in Section 34-21.1 of this Act. Provided that the board may
27 enter into agreements, including lease and lease purchase
28 agreements having a term not longer than 40 years from the
29 date on which such agreements are entered into, with
30 individuals, partnerships, or corporations for the
31 construction of school buildings, school administrative
32 offices, site development, and school support facilities.
33 The board shall maintain exclusive possession of all such
34 schools, school administrative offices, and school facilities
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1 which it is occupying or acquiring pursuant to any such lease
2 or lease purchase agreement, and in addition shall have and
3 exercise complete control over the education program
4 conducted at such schools, offices and facilities. The
5 board's contribution under any such lease or lease purchase
6 agreement shall be limited to the use of the real estate and
7 existing improvements on a rental basis which shall be exempt
8 from any form of leasehold tax or assessment, but the
9 interests of the board may be subordinated to the interests
10 of a mortgage holder or holders acquired as security for
11 additional improvements made on the property; however, (1).
12 Provided that the board may enter into agreements, including
13 lease and lease purchase agreements, having a term not longer
14 than 40 years from the date on which such agreements are
15 entered into for the provision of school buildings and
16 related property and facilities for an agricultural science
17 school pursuant to subparagraphs (8) through (10) of Section
18 34-21.1,; and such agreements may be made and the obligations
19 thereunder incurred without making a previous appropriation
20 therefor, and (2) the board may enter into agreements to
21 guarantee the repayment or otherwise enhance the credit of
22 the debt obligations of a charter school as provided in
23 subsection (k) of Section 27A-11 of this Code for a term not
24 to exceed 30 years. This Section does not prevent the making
25 of lawful contracts for the construction of buildings, the
26 purchase of insurance, the leasing of equipment, the purchase
27 of personal property by a conditional sales agreement, or the
28 leasing of personal property under an agreement that upon
29 compliance with the terms of which the board shall become or
30 has the option to become the owner of the property for no
31 additional consideration or for a nominal consideration, the
32 term of which may be for periods of more than 1 year, but, in
33 no case, shall such conditional sales agreements or leases of
34 personal property by which the board may or will become the
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1 owner of the personal property, provide for the consideration
2 to be paid during a period of time in excess of 10 years nor
3 shall such contracts provide for the payment of interest in
4 excess of the maximum rate authorized by the Bond
5 Authorization Act, as amended at the time of the making of
6 the contract, on the unpaid balance owing; nor shall this
7 Section prevent the making of lawful contracts for the
8 purchase of fuel and the removal of ashes for a period from
9 July 1 of any year to June 30 of the year following, or the
10 making of lawful contracts for the transportation of pupils
11 to and from school, or the entering into of employment
12 contracts with individuals or groups of employees for any
13 period not to exceed 4 years, or the entering into contracts
14 with third parties for services otherwise performed by
15 employees for any period not to exceed 5 years provided that
16 the contracts with third parties for services provided at
17 attendance centers shall specify that the principal of an
18 attendance center shall have authority, to the maximum extent
19 possible, to direct persons assigned to the attendance center
20 pursuant to that contract, or the making of requirement
21 contracts for not to exceed one year the terms of which may
22 extend into the succeeding fiscal year provided, however,
23 that such contracts contain a limitation on the amount to be
24 expended and that such contracts shall impose no obligation
25 on the board except pursuant to written purchase order.
26 With respect to instruments for the payment of money
27 issued under this Section either before, on, or after the
28 effective date of this amendatory Act of 1989, it is and
29 always has been the intention of the General Assembly (i)
30 that the Omnibus Bond Acts are and always have been
31 supplementary grants of power to issue instruments in
32 accordance with the Omnibus Bond Acts, regardless of any
33 provision of this Act that may appear to be or to have been
34 more restrictive than those Acts, (ii) that the provisions of
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1 this Section are not a limitation on the supplementary
2 authority granted by the Omnibus Bond Acts, and (iii) that
3 instruments issued under this Section within the
4 supplementary authority granted by the Omnibus Bond Acts are
5 not invalid because of any provision of this Act that may
6 appear to be or to have been more restrictive than those
7 Acts.
8 (Source: P.A. 89-15, eff. 5-30-95.)".