Bill Amendment: IL HB3053 | 2019-2020 | 101st General Assembly

NOTE: For additional amemendments please see the Bill Drafting List

---

Bill Title: SCH DISTRICT EFFICIENCY COMM

Status: 2019-07-03 - Senate Floor Amendment No. 1 Pursuant to Senate Rule 3-9(b) / Referred to Assignments [HB3053 Detail]

Download: Illinois-2019-HB3053-House_Amendment_001.html

---

Rep. Rita Mayfield

Filed: 3/14/2019

10100HB3053ham001 LRB101 07321 AXK 57536 a
AMENDMENT TO HOUSE BILL 3053
AMENDMENT NO. ______. Amend House Bill 3053 by replacing
everything after the enacting clause with the following:
"Section 1. Short title. This Act may be referred to as the
Classrooms First Act.
Section 5. The School Code is amended by changing 11E-135
and by adding Section 11E-140 as follows:
(105 ILCS 5/11E-135)
Sec. 11E-135. Incentives. Except as provided under Section
11E-140, for For districts reorganizing under this Article and
for a district or districts that annex all of the territory of
one or more entire other school districts in accordance with
Article 7 of this Code, the following payments shall be made
from appropriations made for these purposes:
(a)(1) For a combined school district, as defined in

10100HB3053ham001 - 2 - LRB101 07321 AXK 57536 a
Section 11E-20 of this Code, or for a unit district, as defined
in Section 11E-25 of this Code, for its first year of
existence, the general State aid and supplemental general State
aid calculated under Section 18-8.05 of this Code or the
evidence-based funding calculated under Section 18-8.15 of
this Code, as applicable, shall be computed for the new
district and for the previously existing districts for which
property is totally included within the new district. If the
computation on the basis of the previously existing districts
is greater, a supplementary payment equal to the difference
shall be made for the first 4 years of existence of the new
district.
(2) For a school district that annexes all of the territory
of one or more entire other school districts as defined in
Article 7 of this Code, for the first year during which the
change of boundaries attributable to the annexation becomes
effective for all purposes, as determined under Section 7-9 of
this Code, the general State aid and supplemental general State
aid calculated under Section 18-8.05 of this Code or the
evidence-based funding calculated under Section 18-8.15 of
this Code, as applicable, shall be computed for the annexing
district as constituted after the annexation and for the
annexing and each annexed district as constituted prior to the
annexation; and if the computation on the basis of the annexing
and annexed districts as constituted prior to the annexation is
greater, then a supplementary payment equal to the difference

10100HB3053ham001 - 3 - LRB101 07321 AXK 57536 a
shall be made for the first 4 years of existence of the
annexing school district as constituted upon the annexation.
(3) For 2 or more school districts that annex all of the
territory of one or more entire other school districts, as
defined in Article 7 of this Code, for the first year during
which the change of boundaries attributable to the annexation
becomes effective for all purposes, as determined under Section
7-9 of this Code, the general State aid and supplemental
general State aid calculated under Section 18-8.05 of this Code
or the evidence-based funding calculated under Section 18-8.15
of this Code, as applicable, shall be computed for each
annexing district as constituted after the annexation and for
each annexing and annexed district as constituted prior to the
annexation; and if the aggregate of the general State aid and
supplemental general State aid or evidence-based funding, as
applicable, as so computed for the annexing districts as
constituted after the annexation is less than the aggregate of
the general State aid and supplemental general State aid or
evidence-based funding, as applicable, as so computed for the
annexing and annexed districts, as constituted prior to the
annexation, then a supplementary payment equal to the
difference shall be made and allocated between or among the
annexing districts, as constituted upon the annexation, for the
first 4 years of their existence. The total difference payment
shall be allocated between or among the annexing districts in
the same ratio as the pupil enrollment from that portion of the

10100HB3053ham001 - 4 - LRB101 07321 AXK 57536 a
annexed district or districts that is annexed to each annexing
district bears to the total pupil enrollment from the entire
annexed district or districts, as such pupil enrollment is
determined for the school year last ending prior to the date
when the change of boundaries attributable to the annexation
becomes effective for all purposes. The amount of the total
difference payment and the amount thereof to be allocated to
the annexing districts shall be computed by the State Board of
Education on the basis of pupil enrollment and other data that
shall be certified to the State Board of Education, on forms
that it shall provide for that purpose, by the regional
superintendent of schools for each educational service region
in which the annexing and annexed districts are located.
(4) For a school district conversion, as defined in Section
11E-15 of this Code, or a multi-unit conversion, as defined in
subsection (b) of Section 11E-30 of this Code, if in their
first year of existence the newly created elementary districts
and the newly created high school district, from a school
district conversion, or the newly created elementary district
or districts and newly created combined high school - unit
district, from a multi-unit conversion, qualify for less
general State aid under Section 18-8.05 of this Code or
evidence-based funding under Section 18-8.15 of this Code than
would have been payable under Section 18-8.05 or 18-8.15, as
applicable, for that same year to the previously existing
districts, then a supplementary payment equal to that

10100HB3053ham001 - 5 - LRB101 07321 AXK 57536 a
difference shall be made for the first 4 years of existence of
the newly created districts. The aggregate amount of each
supplementary payment shall be allocated among the newly
created districts in the proportion that the deemed pupil
enrollment in each district during its first year of existence
bears to the actual aggregate pupil enrollment in all of the
districts during their first year of existence. For purposes of
each allocation:
(A) the deemed pupil enrollment of the newly created
high school district from a school district conversion
shall be an amount equal to its actual pupil enrollment for
its first year of existence multiplied by 1.25;
(B) the deemed pupil enrollment of each newly created
elementary district from a school district conversion
shall be an amount equal to its actual pupil enrollment for
its first year of existence reduced by an amount equal to
the product obtained when the amount by which the newly
created high school district's deemed pupil enrollment
exceeds its actual pupil enrollment for its first year of
existence is multiplied by a fraction, the numerator of
which is the actual pupil enrollment of the newly created
elementary district for its first year of existence and the
denominator of which is the actual aggregate pupil
enrollment of all of the newly created elementary districts
for their first year of existence;
(C) the deemed high school pupil enrollment of the

10100HB3053ham001 - 6 - LRB101 07321 AXK 57536 a
newly created combined high school - unit district from a
multi-unit conversion shall be an amount equal to its
actual grades 9 through 12 pupil enrollment for its first
year of existence multiplied by 1.25; and
(D) the deemed elementary pupil enrollment of each
newly created district from a multi-unit conversion shall
be an amount equal to each district's actual grade K
through 8 pupil enrollment for its first year of existence,
reduced by an amount equal to the product obtained when the
amount by which the newly created combined high school -
unit district's deemed high school pupil enrollment
exceeds its actual grade 9 through 12 pupil enrollment for
its first year of existence is multiplied by a fraction,
the numerator of which is the actual grade K through 8
pupil enrollment of each newly created district for its
first year of existence and the denominator of which is the
actual aggregate grade K through 8 pupil enrollment of all
such newly created districts for their first year of
existence.
The aggregate amount of each supplementary payment under
this subdivision (4) and the amount thereof to be allocated to
the newly created districts shall be computed by the State
Board of Education on the basis of pupil enrollment and other
data, which shall be certified to the State Board of Education,
on forms that it shall provide for that purpose, by the
regional superintendent of schools for each educational

10100HB3053ham001 - 7 - LRB101 07321 AXK 57536 a
service region in which the newly created districts are
located.
(5) For a partial elementary unit district, as defined in
subsection (a) or (c) of Section 11E-30 of this Code, if, in
the first year of existence, the newly created partial
elementary unit district qualifies for less general State aid
and supplemental general State aid under Section 18-8.05 of
this Code or less evidence-based funding under Section 18-8.15
of this Code, as applicable, than would have been payable under
those Sections for that same year to the previously existing
districts that formed the partial elementary unit district,
then a supplementary payment equal to that difference shall be
made to the partial elementary unit district for the first 4
years of existence of that newly created district.
(6) For an elementary opt-in, as described in subsection
(d) of Section 11E-30 of this Code, the general State aid or
evidence-based funding difference shall be computed in
accordance with paragraph (5) of this subsection (a) as if the
elementary opt-in was included in an optional elementary unit
district at the optional elementary unit district's original
effective date. If the calculation in this paragraph (6) is
less than that calculated in paragraph (5) of this subsection
(a) at the optional elementary unit district's original
effective date, then no adjustments may be made. If the
calculation in this paragraph (6) is more than that calculated
in paragraph (5) of this subsection (a) at the optional

10100HB3053ham001 - 8 - LRB101 07321 AXK 57536 a
elementary unit district's original effective date, then the
excess must be paid as follows:
(A) If the effective date for the elementary opt-in is
one year after the effective date for the optional
elementary unit district, 100% of the calculated excess
shall be paid to the optional elementary unit district in
each of the first 4 years after the effective date of the
elementary opt-in.
(B) If the effective date for the elementary opt-in is
2 years after the effective date for the optional
elementary unit district, 75% of the calculated excess
shall be paid to the optional elementary unit district in
each of the first 4 years after the effective date of the
elementary opt-in.
(C) If the effective date for the elementary opt-in is
3 years after the effective date for the optional
elementary unit district, 50% of the calculated excess
shall be paid to the optional elementary unit district in
each of the first 4 years after the effective date of the
elementary opt-in.
(D) If the effective date for the elementary opt-in is
4 years after the effective date for the optional
elementary unit district, 25% of the calculated excess
shall be paid to the optional elementary unit district in
each of the first 4 years after the effective date of the
elementary opt-in.

10100HB3053ham001 - 9 - LRB101 07321 AXK 57536 a
(E) If the effective date for the elementary opt-in is
5 years after the effective date for the optional
elementary unit district, the optional elementary unit
district is not eligible for any additional incentives due
to the elementary opt-in.
(6.5) For a school district that annexes territory detached
from another school district whereby the enrollment of the
annexing district increases by 90% or more as a result of the
annexation, for the first year during which the change of
boundaries attributable to the annexation becomes effective
for all purposes as determined under Section 7-9 of this Code,
the general State aid and supplemental general State aid or
evidence-based funding, as applicable, calculated under this
Section shall be computed for the district gaining territory
and the district losing territory as constituted after the
annexation and for the same districts as constituted prior to
the annexation; and if the aggregate of the general State aid
and supplemental general State aid or evidence-based funding,
as applicable, as so computed for the district gaining
territory and the district losing territory as constituted
after the annexation is less than the aggregate of the general
State aid and supplemental general State aid or evidence-based
funding, as applicable, as so computed for the district gaining
territory and the district losing territory as constituted
prior to the annexation, then a supplementary payment shall be
made to the annexing district for the first 4 years of

10100HB3053ham001 - 10 - LRB101 07321 AXK 57536 a
existence after the annexation, equal to the difference
multiplied by the ratio of student enrollment in the territory
detached to the total student enrollment in the district losing
territory for the year prior to the effective date of the
annexation. The amount of the total difference and the
proportion paid to the annexing district shall be computed by
the State Board of Education on the basis of pupil enrollment
and other data that must be submitted to the State Board of
Education in accordance with Section 7-14A of this Code. The
changes to this Section made by Public Act 95-707 are intended
to be retroactive and applicable to any annexation taking
effect on or after July 1, 2004. For annexations that are
eligible for payments under this paragraph (6.5) and that are
effective on or after July 1, 2004, but before January 11, 2008
(the effective date of Public Act 95-707), the first required
yearly payment under this paragraph (6.5) shall be paid in the
fiscal year of January 11, 2008 (the effective date of Public
Act 95-707). Subsequent required yearly payments shall be paid
in subsequent fiscal years until the payment obligation under
this paragraph (6.5) is complete.
(7) Claims for financial assistance under this subsection
(a) may not be recomputed except as expressly provided under
Section 18-8.05 or 18-8.15 of this Code.
(8) Any supplementary payment made under this subsection
(a) must be treated as separate from all other payments made
pursuant to Section 18-8.05 or 18-8.15 of this Code.

10100HB3053ham001 - 11 - LRB101 07321 AXK 57536 a
(b)(1) After the formation of a combined school district,
as defined in Section 11E-20 of this Code, or a unit district,
as defined in Section 11E-25 of this Code, a computation shall
be made to determine the difference between the salaries
effective in each of the previously existing districts on June
30, prior to the creation of the new district. For the first 4
years after the formation of the new district, a supplementary
State aid reimbursement shall be paid to the new district equal
to the difference between the sum of the salaries earned by
each of the certificated members of the new district, while
employed in one of the previously existing districts during the
year immediately preceding the formation of the new district,
and the sum of the salaries those certificated members would
have been paid during the year immediately prior to the
formation of the new district if placed on the salary schedule
of the previously existing district with the highest salary
schedule.
(2) After the territory of one or more school districts is
annexed by one or more other school districts as defined in
Article 7 of this Code, a computation shall be made to
determine the difference between the salaries effective in each
annexed district and in the annexing district or districts as
they were each constituted on June 30 preceding the date when
the change of boundaries attributable to the annexation became
effective for all purposes, as determined under Section 7-9 of
this Code. For the first 4 years after the annexation, a

10100HB3053ham001 - 12 - LRB101 07321 AXK 57536 a
supplementary State aid reimbursement shall be paid to each
annexing district as constituted after the annexation equal to
the difference between the sum of the salaries earned by each
of the certificated members of the annexing district as
constituted after the annexation, while employed in an annexed
or annexing district during the year immediately preceding the
annexation, and the sum of the salaries those certificated
members would have been paid during the immediately preceding
year if placed on the salary schedule of whichever of the
annexing or annexed districts had the highest salary schedule
during the immediately preceding year.
(3) For each new high school district formed under a school
district conversion, as defined in Section 11E-15 of this Code,
the State shall make a supplementary payment for 4 years equal
to the difference between the sum of the salaries earned by
each certified member of the new high school district, while
employed in one of the previously existing districts, and the
sum of the salaries those certified members would have been
paid if placed on the salary schedule of the previously
existing district with the highest salary schedule.
(4) For each newly created partial elementary unit
district, the State shall make a supplementary payment for 4
years equal to the difference between the sum of the salaries
earned by each certified member of the newly created partial
elementary unit district, while employed in one of the
previously existing districts that formed the partial

10100HB3053ham001 - 13 - LRB101 07321 AXK 57536 a
elementary unit district, and the sum of the salaries those
certified members would have been paid if placed on the salary
schedule of the previously existing district with the highest
salary schedule. The salary schedules used in the calculation
shall be those in effect in the previously existing districts
for the school year prior to the creation of the new partial
elementary unit district.
(5) For an elementary district opt-in, as described in
subsection (d) of Section 11E-30 of this Code, the salary
difference incentive shall be computed in accordance with
paragraph (4) of this subsection (b) as if the opted-in
elementary district was included in the optional elementary
unit district at the optional elementary unit district's
original effective date. If the calculation in this paragraph
(5) is less than that calculated in paragraph (4) of this
subsection (b) at the optional elementary unit district's
original effective date, then no adjustments may be made. If
the calculation in this paragraph (5) is more than that
calculated in paragraph (4) of this subsection (b) at the
optional elementary unit district's original effective date,
then the excess must be paid as follows:
(A) If the effective date for the elementary opt-in is
one year after the effective date for the optional
elementary unit district, 100% of the calculated excess
shall be paid to the optional elementary unit district in
each of the first 4 years after the effective date of the

10100HB3053ham001 - 14 - LRB101 07321 AXK 57536 a
elementary opt-in.
(B) If the effective date for the elementary opt-in is
2 years after the effective date for the optional
elementary unit district, 75% of the calculated excess
shall be paid to the optional elementary unit district in
each of the first 4 years after the effective date of the
elementary opt-in.
(C) If the effective date for the elementary opt-in is
3 years after the effective date for the optional
elementary unit district, 50% of the calculated excess
shall be paid to the optional elementary unit district in
each of the first 4 years after the effective date of the
elementary opt-in.
(D) If the effective date for the elementary opt-in is
4 years after the effective date for the partial elementary
unit district, 25% of the calculated excess shall be paid
to the optional elementary unit district in each of the
first 4 years after the effective date of the elementary
opt-in.
(E) If the effective date for the elementary opt-in is
5 years after the effective date for the optional
elementary unit district, the optional elementary unit
district is not eligible for any additional incentives due
to the elementary opt-in.
(5.5) After the formation of a cooperative high school by 2
or more school districts under Section 10-22.22c of this Code,

10100HB3053ham001 - 15 - LRB101 07321 AXK 57536 a
a computation shall be made to determine the difference between
the salaries effective in each of the previously existing high
schools on June 30 prior to the formation of the cooperative
high school. For the first 4 years after the formation of the
cooperative high school, a supplementary State aid
reimbursement shall be paid to the cooperative high school
equal to the difference between the sum of the salaries earned
by each of the certificated members of the cooperative high
school while employed in one of the previously existing high
schools during the year immediately preceding the formation of
the cooperative high school and the sum of the salaries those
certificated members would have been paid during the year
immediately prior to the formation of the cooperative high
school if placed on the salary schedule of the previously
existing high school with the highest salary schedule.
(5.10) After the annexation of territory detached from
another school district whereby the enrollment of the annexing
district increases by 90% or more as a result of the
annexation, a computation shall be made to determine the
difference between the salaries effective in the district
gaining territory and the district losing territory as they
each were constituted on June 30 preceding the date when the
change of boundaries attributable to the annexation became
effective for all purposes as determined under Section 7-9 of
this Code. For the first 4 years after the annexation, a
supplementary State aid reimbursement shall be paid to the

10100HB3053ham001 - 16 - LRB101 07321 AXK 57536 a
annexing district equal to the difference between the sum of
the salaries earned by each of the certificated members of the
annexing district as constituted after the annexation while
employed in the district gaining territory or the district
losing territory during the year immediately preceding the
annexation and the sum of the salaries those certificated
members would have been paid during such immediately preceding
year if placed on the salary schedule of whichever of the
district gaining territory or district losing territory had the
highest salary schedule during the immediately preceding year.
To be eligible for supplementary State aid reimbursement under
this Section, the intergovernmental agreement to be submitted
pursuant to Section 7-14A of this Code must show that staff
members were transferred from the control of the district
losing territory to the control of the district gaining
territory in the annexation. The changes to this Section made
by Public Act 95-707 are intended to be retroactive and
applicable to any annexation taking effect on or after July 1,
2004. For annexations that are eligible for payments under this
paragraph (5.10) and that are effective on or after July 1,
2004, but before January 11, 2008 (the effective date of Public
Act 95-707), the first required yearly payment under this
paragraph (5.10) shall be paid in the fiscal year of January
11, 2008 (the effective date of Public Act 95-707). Subsequent
required yearly payments shall be paid in subsequent fiscal
years until the payment obligation under this paragraph (5.10)

10100HB3053ham001 - 17 - LRB101 07321 AXK 57536 a
is complete.
(5.15) After the deactivation of a school facility in
accordance with Section 10-22.22b of this Code, a computation
shall be made to determine the difference between the salaries
effective in the sending school district and each receiving
school district on June 30 prior to the deactivation of the
school facility. For the lesser of the first 4 years after the
deactivation of the school facility or the length of the
deactivation agreement, including any renewals of the original
deactivation agreement, a supplementary State aid
reimbursement shall be paid to each receiving district equal to
the difference between the sum of the salaries earned by each
of the certificated members transferred to that receiving
district as a result of the deactivation while employed in the
sending district during the year immediately preceding the
deactivation and the sum of the salaries those certificated
members would have been paid during the year immediately
preceding the deactivation if placed on the salary schedule of
the sending or receiving district with the highest salary
schedule.
(6) The supplementary State aid reimbursement under this
subsection (b) shall be treated as separate from all other
payments made pursuant to Section 18-8.05 of this Code. In the
case of the formation of a new district or cooperative high
school or a deactivation, reimbursement shall begin during the
first year of operation of the new district or cooperative high

10100HB3053ham001 - 18 - LRB101 07321 AXK 57536 a
school or the first year of the deactivation, and in the case
of an annexation of the territory of one or more school
districts by one or more other school districts or the
annexation of territory detached from a school district whereby
the enrollment of the annexing district increases by 90% or
more as a result of the annexation, reimbursement shall begin
during the first year when the change in boundaries
attributable to the annexation becomes effective for all
purposes as determined pursuant to Section 7-9 of this Code,
except that for an annexation of territory detached from a
school district that is effective on or after July 1, 2004, but
before January 11, 2008 (the effective date of Public Act
95-707), whereby the enrollment of the annexing district
increases by 90% or more as a result of the annexation,
reimbursement shall begin during the fiscal year of January 11,
2008 (the effective date of Public Act 95-707). Each year that
the new, annexing, or receiving district or cooperative high
school, as the case may be, is entitled to receive
reimbursement, the number of eligible certified members who are
employed on October 1 in the district or cooperative high
school shall be certified to the State Board of Education on
prescribed forms by October 15 and payment shall be made on or
before November 15 of that year.
(c)(1) For the first year after the formation of a combined
school district, as defined in Section 11E-20 of this Code or a
unit district, as defined in Section 11E-25 of this Code, a

10100HB3053ham001 - 19 - LRB101 07321 AXK 57536 a
computation shall be made totaling each previously existing
district's audited fund balances in the educational fund,
working cash fund, operations and maintenance fund, and
transportation fund for the year ending June 30 prior to the
referendum for the creation of the new district. The new
district shall be paid supplementary State aid equal to the sum
of the differences between the deficit of the previously
existing district with the smallest deficit and the deficits of
each of the other previously existing districts.
(2) For the first year after the annexation of all of the
territory of one or more entire school districts by another
school district, as defined in Article 7 of this Code,
computations shall be made, for the year ending June 30 prior
to the date that the change of boundaries attributable to the
annexation is allowed by the affirmative decision issued by the
regional board of school trustees under Section 7-6 of this
Code, notwithstanding any effort to seek administrative review
of the decision, totaling the annexing district's and totaling
each annexed district's audited fund balances in their
respective educational, working cash, operations and
maintenance, and transportation funds. The annexing district
as constituted after the annexation shall be paid supplementary
State aid equal to the sum of the differences between the
deficit of whichever of the annexing or annexed districts as
constituted prior to the annexation had the smallest deficit
and the deficits of each of the other districts as constituted

10100HB3053ham001 - 20 - LRB101 07321 AXK 57536 a
prior to the annexation.
(3) For the first year after the annexation of all of the
territory of one or more entire school districts by 2 or more
other school districts, as defined by Article 7 of this Code,
computations shall be made, for the year ending June 30 prior
to the date that the change of boundaries attributable to the
annexation is allowed by the affirmative decision of the
regional board of school trustees under Section 7-6 of this
Code, notwithstanding any action for administrative review of
the decision, totaling each annexing and annexed district's
audited fund balances in their respective educational, working
cash, operations and maintenance, and transportation funds.
The annexing districts as constituted after the annexation
shall be paid supplementary State aid, allocated as provided in
this paragraph (3), in an aggregate amount equal to the sum of
the differences between the deficit of whichever of the
annexing or annexed districts as constituted prior to the
annexation had the smallest deficit and the deficits of each of
the other districts as constituted prior to the annexation. The
aggregate amount of the supplementary State aid payable under
this paragraph (3) shall be allocated between or among the
annexing districts as follows:
(A) the regional superintendent of schools for each
educational service region in which an annexed district is
located prior to the annexation shall certify to the State
Board of Education, on forms that it shall provide for that

10100HB3053ham001 - 21 - LRB101 07321 AXK 57536 a
purpose, the value of all taxable property in each annexed
district, as last equalized or assessed by the Department
of Revenue prior to the annexation, and the equalized
assessed value of each part of the annexed district that
was annexed to or included as a part of an annexing
district;
(B) using equalized assessed values as certified by the
regional superintendent of schools under clause (A) of this
paragraph (3), the combined audited fund balance deficit of
each annexed district as determined under this Section
shall be apportioned between or among the annexing
districts in the same ratio as the equalized assessed value
of that part of the annexed district that was annexed to or
included as a part of an annexing district bears to the
total equalized assessed value of the annexed district; and
(C) the aggregate supplementary State aid payment
under this paragraph (3) shall be allocated between or
among, and shall be paid to, the annexing districts in the
same ratio as the sum of the combined audited fund balance
deficit of each annexing district as constituted prior to
the annexation, plus all combined audited fund balance
deficit amounts apportioned to that annexing district
under clause (B) of this subsection, bears to the aggregate
of the combined audited fund balance deficits of all of the
annexing and annexed districts as constituted prior to the
annexation.

10100HB3053ham001 - 22 - LRB101 07321 AXK 57536 a
(4) For the new elementary districts and new high school
district formed through a school district conversion, as
defined in Section 11E-15 of this Code or the new elementary
district or districts and new combined high school - unit
district formed through a multi-unit conversion, as defined in
subsection (b) of Section 11E-30 of this Code, a computation
shall be made totaling each previously existing district's
audited fund balances in the educational fund, working cash
fund, operations and maintenance fund, and transportation fund
for the year ending June 30 prior to the referendum
establishing the new districts. In the first year of the new
districts, the State shall make a one-time supplementary
payment equal to the sum of the differences between the deficit
of the previously existing district with the smallest deficit
and the deficits of each of the other previously existing
districts. A district with a combined balance among the 4 funds
that is positive shall be considered to have a deficit of zero.
The supplementary payment shall be allocated among the newly
formed high school and elementary districts in the manner
provided by the petition for the formation of the districts, in
the form in which the petition is approved by the regional
superintendent of schools or State Superintendent of Education
under Section 11E-50 of this Code.
(5) For each newly created partial elementary unit
district, as defined in subsection (a) or (c) of Section 11E-30
of this Code, a computation shall be made totaling the audited

10100HB3053ham001 - 23 - LRB101 07321 AXK 57536 a
fund balances of each previously existing district that formed
the new partial elementary unit district in the educational
fund, working cash fund, operations and maintenance fund, and
transportation fund for the year ending June 30 prior to the
referendum for the formation of the partial elementary unit
district. In the first year of the new partial elementary unit
district, the State shall make a one-time supplementary payment
to the new district equal to the sum of the differences between
the deficit of the previously existing district with the
smallest deficit and the deficits of each of the other
previously existing districts. A district with a combined
balance among the 4 funds that is positive shall be considered
to have a deficit of zero.
(6) For an elementary opt-in as defined in subsection (d)
of Section 11E-30 of this Code, the deficit fund balance
incentive shall be computed in accordance with paragraph (5) of
this subsection (c) as if the opted-in elementary was included
in the optional elementary unit district at the optional
elementary unit district's original effective date. If the
calculation in this paragraph (6) is less than that calculated
in paragraph (5) of this subsection (c) at the optional
elementary unit district's original effective date, then no
adjustments may be made. If the calculation in this paragraph
(6) is more than that calculated in paragraph (5) of this
subsection (c) at the optional elementary unit district's
original effective date, then the excess must be paid as

10100HB3053ham001 - 24 - LRB101 07321 AXK 57536 a
follows:
(A) If the effective date for the elementary opt-in is
one year after the effective date for the optional
elementary unit district, 100% of the calculated excess
shall be paid to the optional elementary unit district in
the first year after the effective date of the elementary
opt-in.
(B) If the effective date for the elementary opt-in is
2 years after the effective date for the optional
elementary unit district, 75% of the calculated excess
shall be paid to the optional elementary unit district in
the first year after the effective date of the elementary
opt-in.
(C) If the effective date for the elementary opt-in is
3 years after the effective date for the optional
elementary unit district, 50% of the calculated excess
shall be paid to the optional elementary unit district in
the first year after the effective date of the elementary
opt-in.
(D) If the effective date for the elementary opt-in is
4 years after the effective date for the optional
elementary unit district, 25% of the calculated excess
shall be paid to the optional elementary unit district in
the first year after the effective date of the elementary
opt-in.
(E) If the effective date for the elementary opt-in is

10100HB3053ham001 - 25 - LRB101 07321 AXK 57536 a
5 years after the effective date for the optional
elementary unit district, the optional elementary unit
district is not eligible for any additional incentives due
to the elementary opt-in.
(6.5) For the first year after the annexation of territory
detached from another school district whereby the enrollment of
the annexing district increases by 90% or more as a result of
the annexation, a computation shall be made totaling the
audited fund balances of the district gaining territory and the
audited fund balances of the district losing territory in the
educational fund, working cash fund, operations and
maintenance fund, and transportation fund for the year ending
June 30 prior to the date that the change of boundaries
attributable to the annexation is allowed by the affirmative
decision of the regional board of school trustees under Section
7-6 of this Code, notwithstanding any action for administrative
review of the decision. The annexing district as constituted
after the annexation shall be paid supplementary State aid
equal to the difference between the deficit of whichever
district included in this calculation as constituted prior to
the annexation had the smallest deficit and the deficit of each
other district included in this calculation as constituted
prior to the annexation, multiplied by the ratio of equalized
assessed value of the territory detached to the total equalized
assessed value of the district losing territory. The regional
superintendent of schools for the educational service region in

10100HB3053ham001 - 26 - LRB101 07321 AXK 57536 a
which a district losing territory is located prior to the
annexation shall certify to the State Board of Education the
value of all taxable property in the district losing territory
and the value of all taxable property in the territory being
detached, as last equalized or assessed by the Department of
Revenue prior to the annexation. To be eligible for
supplementary State aid reimbursement under this Section, the
intergovernmental agreement to be submitted pursuant to
Section 7-14A of this Code must show that fund balances were
transferred from the district losing territory to the district
gaining territory in the annexation. The changes to this
Section made by Public Act 95-707 are intended to be
retroactive and applicable to any annexation taking effect on
or after July 1, 2004. For annexations that are eligible for
payments under this paragraph (6.5) and that are effective on
or after July 1, 2004, but before January 11, 2008 (the
effective date of Public Act 95-707), the required payment
under this paragraph (6.5) shall be paid in the fiscal year of
January 11, 2008 (the effective date of Public Act 95-707).
(7) For purposes of any calculation required under
paragraph (1), (2), (3), (4), (5), (6), or (6.5) of this
subsection (c), a district with a combined fund balance that is
positive shall be considered to have a deficit of zero. For
purposes of determining each district's audited fund balances
in its educational fund, working cash fund, operations and
maintenance fund, and transportation fund for the specified

10100HB3053ham001 - 27 - LRB101 07321 AXK 57536 a
year ending June 30, as provided in paragraphs (1), (2), (3),
(4), (5), (6), and (6.5) of this subsection (c), the balance of
each fund shall be deemed decreased by an amount equal to the
amount of the annual property tax theretofore levied in the
fund by the district for collection and payment to the district
during the calendar year in which the June 30 fell, but only to
the extent that the tax so levied in the fund actually was
received by the district on or before or comprised a part of
the fund on such June 30. For purposes of determining each
district's audited fund balances, a calculation shall be made
for each fund to determine the average for the 3 years prior to
the specified year ending June 30, as provided in paragraphs
(1), (2), (3), (4), (5), (6), and (6.5) of this subsection (c),
of the district's expenditures in the categories "purchased
services", "supplies and materials", and "capital outlay", as
those categories are defined in rules of the State Board of
Education. If this 3-year average is less than the district's
expenditures in these categories for the specified year ending
June 30, as provided in paragraphs (1), (2), (3), (4), (5),
(6), and (6.5) of this subsection (c), then the 3-year average
shall be used in calculating the amounts payable under this
Section in place of the amounts shown in these categories for
the specified year ending June 30, as provided in paragraphs
(1), (2), (3), (4), (5), (6), and (6.5) of this subsection (c).
Any deficit because of State aid not yet received may not be
considered in determining the June 30 deficits. The same basis

10100HB3053ham001 - 28 - LRB101 07321 AXK 57536 a
of accounting shall be used by all previously existing
districts and by all annexing or annexed districts, as
constituted prior to the annexation, in making any computation
required under paragraphs (1), (2), (3), (4), (5), (6), and
(6.5) of this subsection (c).
(8) The supplementary State aid payments under this
subsection (c) shall be treated as separate from all other
payments made pursuant to Section 18-8.05 of this Code.
(d)(1) Following the formation of a combined school
district, as defined in Section 11E-20 of this Code, a new unit
district, as defined in Section 11E-25 of this Code, a new
elementary district or districts and a new high school district
formed through a school district conversion, as defined in
Section 11E-15 of this Code, a new partial elementary unit
district, as defined in Section 11E-30 of this Code, or a new
elementary district or districts formed through a multi-unit
conversion, as defined in subsection (b) of Section 11E-30 of
this Code, or the annexation of all of the territory of one or
more entire school districts by one or more other school
districts, as defined in Article 7 of this Code, a
supplementary State aid reimbursement shall be paid for the
number of school years determined under the following table to
each new or annexing district equal to the sum of $4,000 for
each certified employee who is employed by the district on a
full-time basis for the regular term of the school year:

10100HB3053ham001 - 29 - LRB101 07321 AXK 57536 a
Reorganized District's Rank Reorganized District's Rank
by type of district (unit, in Average Daily Attendance
high school, elementary) By Quintile
in Equalized Assessed Value
Per Pupil by Quintile
3rd, 4th,
1st 2nd or 5th
Quintile Quintile Quintile
1st Quintile 1 year 1 year 1 year
2nd Quintile 1 year 2 years 2 years
3rd Quintile 2 years 3 years 3 years
4th Quintile 2 years 3 years 3 years
5th Quintile 2 years 3 years 3 years
The State Board of Education shall make a one-time calculation
of a reorganized district's quintile ranks. The average daily
attendance used in this calculation shall be the best 3 months'
average daily attendance for the district's first year. The
equalized assessed value per pupil shall be the district's real
property equalized assessed value used in calculating the
district's first-year general State aid claim, under Section
18-8.05 of this Code, or first-year evidence-based funding
claim, under Section 18-8.15 of this Code, as applicable,
divided by the best 3 months' average daily attendance.
No annexing or resulting school district shall be entitled
to supplementary State aid under this subsection (d) unless the

10100HB3053ham001 - 30 - LRB101 07321 AXK 57536 a
district acquires at least 30% of the average daily attendance
of the district from which the territory is being detached or
divided.
If a district results from multiple reorganizations that
would otherwise qualify the district for multiple payments
under this subsection (d) in any year, then the district shall
receive a single payment only for that year based solely on the
most recent reorganization.
(2) For an elementary opt-in, as defined in subsection (d)
of Section 11E-30 of this Code, the full-time certified staff
incentive shall be computed in accordance with paragraph (1) of
this subsection (d), equal to the sum of $4,000 for each
certified employee of the elementary district that opts-in who
is employed by the optional elementary unit district on a
full-time basis for the regular term of the school year. The
calculation from this paragraph (2) must be paid as follows:
(A) If the effective date for the elementary opt-in is
one year after the effective date for the optional
elementary unit district, 100% of the amount calculated in
this paragraph (2) shall be paid to the optional elementary
unit district for the number of years calculated in
paragraph (1) of this subsection (d) at the optional
elementary unit district's original effective date,
starting in the second year after the effective date of the
elementary opt-in.
(B) If the effective date for the elementary opt-in is

10100HB3053ham001 - 31 - LRB101 07321 AXK 57536 a
2 years after the effective date for the optional
elementary unit district, 75% of the amount calculated in
this paragraph (2) shall be paid to the optional elementary
unit district for the number of years calculated in
paragraph (1) of this subsection (d) at the optional
elementary unit district's original effective date,
starting in the second year after the effective date of the
elementary opt-in.
(C) If the effective date for the elementary opt-in is
3 years after the effective date for the optional
elementary unit district, 50% of the amount calculated in
this paragraph (2) shall be paid to the optional elementary
unit district for the number of years calculated in
paragraph (1) of this subsection (d) at the optional
elementary unit district's original effective date,
starting in the second year after the effective date of the
elementary opt-in.
(D) If the effective date for the elementary opt-in is
4 years after the effective date for the optional
elementary unit district, 25% of the amount calculated in
this paragraph (2) shall be paid to the optional elementary
unit district for the number of years calculated in
paragraph (1) of this subsection (d) at the optional
elementary unit district's original effective date,
starting in the second year after the effective date of the
elementary opt-in.

10100HB3053ham001 - 32 - LRB101 07321 AXK 57536 a
(E) If the effective date for the elementary opt-in is
5 years after the effective date for the optional
elementary unit district, the optional elementary unit
district is not eligible for any additional incentives due
to the elementary opt-in.
(2.5) Following the formation of a cooperative high school
by 2 or more school districts under Section 10-22.22c of this
Code, a supplementary State aid reimbursement shall be paid for
3 school years to the cooperative high school equal to the sum
of $4,000 for each certified employee who is employed by the
cooperative high school on a full-time basis for the regular
term of any such school year. If a cooperative high school
results from multiple agreements that would otherwise qualify
the cooperative high school for multiple payments under this
Section in any year, the cooperative high school shall receive
a single payment for that year based solely on the most recent
agreement.
(2.10) Following the annexation of territory detached from
another school district whereby the enrollment of the annexing
district increases 90% or more as a result of the annexation, a
supplementary State aid reimbursement shall be paid to the
annexing district equal to the sum of $4,000 for each certified
employee who is employed by the annexing district on a
full-time basis and shall be calculated in accordance with
subsection (a) of this Section. To be eligible for
supplementary State aid reimbursement under this Section, the

10100HB3053ham001 - 33 - LRB101 07321 AXK 57536 a
intergovernmental agreement to be submitted pursuant to
Section 7-14A of this Code must show that certified staff
members were transferred from the control of the district
losing territory to the control of the district gaining
territory in the annexation. The changes to this Section made
by Public Act 95-707 are intended to be retroactive and
applicable to any annexation taking effect on or after July 1,
2004. For annexations that are eligible for payments under this
paragraph (2.10) and that are effective on or after July 1,
2004, but before January 11, 2008 (the effective date of Public
Act 95-707), the first required yearly payment under this
paragraph (2.10) shall be paid in the second fiscal year after
January 11, 2008 (the effective date of Public Act 95-707). Any
subsequent required yearly payments shall be paid in subsequent
fiscal years until the payment obligation under this paragraph
(2.10) is complete.
(2.15) Following the deactivation of a school facility in
accordance with Section 10-22.22b of this Code, a supplementary
State aid reimbursement shall be paid for the lesser of 3
school years or the length of the deactivation agreement,
including any renewals of the original deactivation agreement,
to each receiving school district equal to the sum of $4,000
for each certified employee who is employed by that receiving
district on a full-time basis for the regular term of any such
school year who was originally transferred to the control of
that receiving district as a result of the deactivation.

10100HB3053ham001 - 34 - LRB101 07321 AXK 57536 a
Receiving districts are eligible for payments under this
paragraph (2.15) based on the certified employees transferred
to that receiving district as a result of the deactivation and
are not required to receive at least 30% of the deactivating
district's average daily attendance as required under
paragraph (1) of this subsection (d) to be eligible for
payments.
(3) The supplementary State aid reimbursement payable
under this subsection (d) shall be separate from and in
addition to all other payments made to the district pursuant to
any other Section of this Article.
(4) During May of each school year for which a
supplementary State aid reimbursement is to be paid to a new,
annexing, or receiving school district or cooperative high
school pursuant to this subsection (d), the school board or
governing board shall certify to the State Board of Education,
on forms furnished to the school board or governing board by
the State Board of Education for purposes of this subsection
(d), the number of certified employees for which the district
or cooperative high school is entitled to reimbursement under
this Section, together with the names, certificate numbers, and
positions held by the certified employees.
(5) Upon certification by the State Board of Education to
the State Comptroller of the amount of the supplementary State
aid reimbursement to which a school district or cooperative
high school is entitled under this subsection (d), the State

10100HB3053ham001 - 35 - LRB101 07321 AXK 57536 a
Comptroller shall draw his or her warrant upon the State
Treasurer for the payment thereof to the school district or
cooperative high school and shall promptly transmit the payment
to the school district or cooperative high school through the
appropriate school treasurer.
(Source: P.A. 100-465, eff. 8-31-17.)
(105 ILCS 5/11E-140 new)
Sec. 11E-140. School District Efficiency Commission.
(a) The School District Efficiency Commission is created.
The Commission shall consist of all of the following voting
members:
(1) The Lieutenant Governor or his or her appointee,
who shall serve as the chairperson.
(2) One member appointed by the State Board of
Education.
(3) One representative appointed by the Speaker of the
House of Representatives.
(4) One representative appointed by the Minority
Leader of the House of Representatives.
(5) One senator appointed by the President of the
Senate.
(6) One senator appointed by the Minority Leader of the
Senate.
(7) A representative of a statewide professional
teachers' organization appointed by the head of that

10100HB3053ham001 - 36 - LRB101 07321 AXK 57536 a
organization.
(8) A representative of a different statewide
professional teachers' organization appointed by the head
of that organization.
(9) A representative of a statewide organization that
represents school boards appointed by the head of that
organization.
(10) A representative of a statewide organization
representing principals appointed by the head of that
organization.
(11) A representative of an organization representing
professional teachers in a city having a population
exceeding 500,000 appointed by the head of that
organization.
(12) A representative of an association representing
school business officials appointed by the head of that
association.
(13) A representative of an association representing
school administrators appointed by the head of that
association.
(14) A member of the Chicago Board of Education
appointed by the Chicago Board of Education.
(15) A representative from an organization
representing administrators of special education appointed
by the head of that organization.
(16) A representative from a statewide parent

10100HB3053ham001 - 37 - LRB101 07321 AXK 57536 a
organization appointed by the head of that organization.
(17) A representative from an organization
representing high school districts appointed by the head of
that organization.
(18) A representative from a rural school district in
this State appointed by the Governor.
(19) A representative from a suburban school district
in this State appointed by the Governor.
(20) A representative of an association that
represents regional superintendents of schools appointed
by the head of that association.
Members shall serve without compensation, but shall be
reimbursed for their reasonable and necessary expenses from
funds appropriated for that purpose. Members shall be
reimbursed for their travel expenses from appropriations to the
State Board of Education made available for that purpose and
subject to the rules of the appropriate travel control board.
The Commission shall meet at the call of the chairperson, with
the initial meeting of the Commission being held as soon as
possible after the effective date of this amendatory Act of the
101st General Assembly, and shall hold public hearings
throughout this State. The State Board shall provide
administrative assistance and necessary staff support services
to the Commission.
(b) The Commission must make recommendations to the
Governor and the General Assembly on the number of school

10100HB3053ham001 - 38 - LRB101 07321 AXK 57536 a
districts in this State, the optimal amount of enrollment for a
school district, and where reorganization and realignment of
school districts would be beneficial in this State. The
Commission's recommendations must focus on all of the following
areas:
(1) Reducing the money spent on the duplication of
efforts.
(2) Improving the education of students by having fewer
obstacles between qualified teachers and their students.
(3) Lowering the property tax burden.
(4) Providing recommendations on what the net cost
savings of realignment is to this State.
(5) With a view toward reducing unnecessary
administrative costs, improving the education of students,
and lowering the property tax burden, drafting specific
propositions to reduce the statewide total number of school
districts by no less than 25% through the reorganization of
school districts into unit districts under Section 11E-25.
Each proposition under this paragraph must include all of
the following:
(A) A request to submit the proposition at the next
general election for the purpose of voting for or
against the establishment of a combined unit district.
(B) A description of the territory comprising the
districts proposed to be dissolved and those to be
created, which, for an entire district, may be a

10100HB3053ham001 - 39 - LRB101 07321 AXK 57536 a
general reference to all of the territory included
within that district.
(C) A specification of the maximum tax rates the
proposed district or districts are authorized to levy
for various purposes and, if applicable, the
specifications related to the Property Tax Extension
Limitation Law, in accordance with Section 11E-80 of
this Code.
(c) On or before May 1, 2020, the Commission must vote on
its recommended propositions and file a report with the
Governor and the General Assembly. If the Commission adopts the
report by an affirmative vote of at least 11 of its members,
then the Commission's specific propositions for reorganization
of school districts into unit districts under paragraph (5) of
subsection (b) shall be filed with the appropriate regional
superintendent of schools in the same form as required for
petitions under Section 11E-35.
(d) Upon the filing of a proposition with the regional
superintendent of schools under subsection (c), the regional
superintendent shall do both of the following:
(1) Provide a copy of the proposition to each school
board affected by the proposition and the regional
superintendent of schools of any other educational service
region in which the territory described in the proposition
is situated.
(2) Publish a notice of the proposition at least once

10100HB3053ham001 - 40 - LRB101 07321 AXK 57536 a
each week for 3 successive weeks in at least one newspaper
having general circulation within the area of all of the
territory of the proposed district or districts. The
expense of publishing the notice shall be paid by the
School District Efficiency Commission.
(e) The notice described in paragraph (2) of subsection (d)
must include all of the following information:
(1) When and to whom the proposition was presented.
(2) The proposition.
(3) A description of the territory comprising the
districts proposed to be dissolved and those to be created,
which, for an entire district, may be a general reference
to all of the territory included within that district.
(f) Within 14 days after receipt of the recommended
proposition, the regional superintendent of schools must
inform the School District Efficiency Commission if the
recommended proposition, as amended or filed, is proper and in
compliance with all applicable requirements set forth in the
Election Code. If the regional superintendent determines that
the proposition is not in proper order or not in compliance
with any applicable requirements set forth in the Election
Code, the regional superintendent must identify the specific
alleged defects in the proposition and include specific
recommendations to cure the alleged defects. The School
District Efficiency Commission may amend the proposition to
cure the alleged defects within 14 days after receipt of the

10100HB3053ham001 - 41 - LRB101 07321 AXK 57536 a
regional superintendent's specific recommendations.
(g) Within 14 days after receipt of the School District
Efficiency Commission's amendments in response to the specific
recommendations, the regional superintendent of schools shall,
upon determining the proposition is in proper order and in
compliance with applicable requirements set forth in the
Election Code, through a written order, approve the
proposition, or, if the regional superintendent of schools
determines that the amended proposition is not proper or not in
compliance with the Election Code, the regional superintendent
shall deny the proposition.
(h) Upon approving or denying the proposition, the regional
superintendent of schools shall submit the proposition and all
evidence to the State Superintendent of Education. The State
Superintendent shall review the proposition and the written
order of the regional superintendent, if any. Within 21 days
after the receipt of the regional superintendent's decision,
the State Superintendent shall determine whether the
proposition is proper and in compliance with the applicable
requirements set forth in the Election Code, and, through a
written order, either approve or deny the proposition. If the
State Superintendent denies the proposition, the State
Superintendent shall set forth in writing the specific basis
for determining the proposition is not proper or not in
compliance with the applicable provisions of the Election Code.
The decision of the State Superintendent is an administrative

10100HB3053ham001 - 42 - LRB101 07321 AXK 57536 a
decision as defined in Section 3-101 of the Code of Civil
Procedure. The State Superintendent shall provide a copy of the
decision by certified mail, return receipt requested, to the
School District Efficiency Commission, each school board of a
district in which territory described in the proposition is
situated, the regional superintendent with whom the
proposition was filed, and the regional superintendent of
schools of any other educational service region in which
territory described in the proposition is situated. If the
proposition is approved, the State Superintendent shall
otherwise treat the approved proposition as a petition approved
under subsection (b) of Section 11E-50.
(i) Any member of the School District Efficiency Commission
or school board of any district in which territory described in
the proposition is situated may, within 35 days after a copy of
the decision sought to be reviewed was served by certified
mail, return receipt requested, upon the affected party or upon
the attorney of record for the party, apply for a review of an
administrative decision of the State Superintendent of
Education in accordance with the Administrative Review Law and
any rules adopted pursuant to the Administrative Review Law.
The commencement of any action for review shall operate as a
supersedeas, and no further proceedings shall be had until
final disposition of the review. The circuit court of the
county in which the proposition is filed with the regional
superintendent of schools shall have sole jurisdiction to

10100HB3053ham001 - 43 - LRB101 07321 AXK 57536 a
entertain a complaint for review.
(j) This Section is repealed on January 31, 2021.
Section 99. Effective date. This Act takes effect upon
becoming law.".