Bill Text: IL SB2647 | 2009-2010 | 96th General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Amends the School Code and the School Construction Law. In a Section concerning a school board's power to levy a tax or borrow money and issue bonds for fire prevention, safety, energy conservation, disabled accessibility, school security, and specified repair purposes, makes changes concerning a school district's authority to replace a school building or build additions to replace portions of a building. With respect to one of the exceptions to a school district's debt limitation, allows additional indebtedness by the execution of a lease with a public building commission; makes related changes. Removes references that limit provisions to just the Chicago school district with respect to (i) the prohibition on the State Board of Education and the Capital Development Board establishing standards that disapprove or otherwise establishing limitations that restrict the eligibility of a school district for a school construction project grant based on certain facts (including based on the fact that all or a part of the school construction project is owned by a public building commission and leased to the school) and (ii) the authority of a school district to use school construction project grants for certain purposes. Effective immediately.

Spectrum: Bipartisan Bill

Status: (Passed) 2010-08-20 - Public Act . . . . . . . . . 96-1467 [SB2647 Detail]

Download: Illinois-2009-SB2647-Introduced.html

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96TH GENERAL ASSEMBLY State of Illinois 2009 and 2010 SB2647 Introduced 1/28/2010, by Sen. David Koehler SYNOPSIS AS INTRODUCED:
105 ILCS 5/17-2.11 from Ch. 122, par. 17-2.11
105 ILCS 5/19-1
105 ILCS 230/5-25
105 ILCS 230/5-35
Amends the School Code and the School Construction Law. In a Section concerning a school board's power to levy a tax or borrow money and issue bonds for fire prevention, safety, energy conservation, disabled accessibility, school security, and specified repair purposes, makes changes concerning a school district's authority to replace a school building or build additions to replace portions of a building. With respect to one of the exceptions to a school district's debt limitation, allows additional indebtedness by the execution of a lease with a public building commission; makes related changes. Removes references that limit provisions to just the Chicago school district with respect to (i) the prohibition on the State Board of Education and the Capital Development Board establishing standards that disapprove or otherwise establishing limitations that restrict the eligibility of a school district for a school construction project grant based on certain facts (including based on the fact that all or a part of the school construction project is owned by a public building commission and leased to the school) and (ii) the authority of a school district to use school construction project grants for certain purposes. Effective immediately.
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FISCAL NOTE ACT MAY APPLY
A BILL FOR
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AN ACT concerning education.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The School Code is amended by changing Sections
17-2.11 and 19-1 as follows:
(105 ILCS 5/17-2.11) (from Ch. 122, par. 17-2.11)
Sec. 17-2.11. School board power to levy a tax or to borrow
money and issue bonds for fire prevention, safety, energy
conservation, disabled accessibility, school security, and
specified repair purposes.
(a) Whenever, as a result of any lawful order of any
agency, other than a school board, having authority to enforce
any school building code applicable to any facility that houses
students, or any law or regulation for the protection and
safety of the environment, pursuant to the Environmental
Protection Act, any school district having a population of less
than 500,000 inhabitants is required to alter or reconstruct
any school building or permanent, fixed equipment; the district
may, by proper resolution, levy a tax for the purpose of making
such alteration or reconstruction, based on a survey report by
an architect or engineer licensed in this State, upon all of
the taxable property of the district at the value as assessed
by the Department of Revenue and at a rate not to exceed 0.05%

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per year for a period sufficient to finance such alteration or
reconstruction, upon the following conditions:
(1) When there are not sufficient funds available in
the operations and maintenance fund of the school district,
the school facility occupation tax fund of the district, or
the fire prevention and safety fund of the district, as
determined by the district on the basis of rules adopted by
the State Board of Education, to make such alteration or
reconstruction or to purchase and install such permanent,
fixed equipment so ordered or determined as necessary.
Appropriate school district records must be made available
to the State Superintendent of Education, upon request, to
confirm this insufficiency.
(2) When a certified estimate of an architect or
engineer licensed in this State stating the estimated
amount necessary to make the alteration or reconstruction
or to purchase and install the equipment so ordered has
been secured by the school district, and the estimate has
been approved by the regional superintendent of schools
having jurisdiction over the district and the State
Superintendent of Education. Approval must not be granted
for any work that has already started without the prior
express authorization of the State Superintendent of
Education. If the estimate is not approved or is denied
approval by the regional superintendent of schools within 3
months after the date on which it is submitted to him or

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her, the school board of the district may submit the
estimate directly to the State Superintendent of Education
for approval or denial.
In the case of an emergency situation, where the estimated
cost to effectuate emergency repairs is less than the amount
specified in Section 10-20.21 of this Code, the school district
may proceed with such repairs prior to approval by the State
Superintendent of Education, but shall comply with the
provisions of subdivision (2) of this subsection (a) as soon
thereafter as may be as well as Section 10-20.21 of this Code.
If the estimated cost to effectuate emergency repairs is
greater than the amount specified in Section 10-20.21 of this
Code, then the school district shall proceed in conformity with
Section 10-20.21 of this Code and with rules established by the
State Board of Education to address such situations. The rules
adopted by the State Board of Education to deal with these
situations shall stipulate that emergency situations must be
expedited and given priority consideration. For purposes of
this paragraph, an emergency is a situation that presents an
imminent and continuing threat to the health and safety of
students or other occupants of a facility, requires complete or
partial evacuation of a building or part of a building, or
consumes one or more of the 5 emergency days built into the
adopted calendar of the school or schools or would otherwise be
expected to cause such school or schools to fall short of the
minimum school calendar requirements.

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(b) Whenever any such district determines that it is
necessary for energy conservation purposes that any school
building or permanent, fixed equipment should be altered or
reconstructed and that such alterations or reconstruction will
be made with funds not necessary for the completion of approved
and recommended projects contained in any safety survey report
or amendments thereto authorized by Section 2-3.12 of this Act;
the district may levy a tax or issue bonds as provided in
subsection (a) of this Section.
(c) Whenever any such district determines that it is
necessary for disabled accessibility purposes and to comply
with the school building code that any school building or
equipment should be altered or reconstructed and that such
alterations or reconstruction will be made with funds not
necessary for the completion of approved and recommended
projects contained in any safety survey report or amendments
thereto authorized under Section 2-3.12 of this Act, the
district may levy a tax or issue bonds as provided in
subsection (a) of this Section.
(d) Whenever any such district determines that it is
necessary for school security purposes and the related
protection and safety of pupils and school personnel that any
school building or property should be altered or reconstructed
or that security systems and equipment (including but not
limited to intercom, early detection and warning, access
control and television monitoring systems) should be purchased

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and installed, and that such alterations, reconstruction or
purchase and installation of equipment will be made with funds
not necessary for the completion of approved and recommended
projects contained in any safety survey report or amendment
thereto authorized by Section 2-3.12 of this Act and will deter
and prevent unauthorized entry or activities upon school
property by unknown or dangerous persons, assure early
detection and advance warning of any such actual or attempted
unauthorized entry or activities and help assure the continued
safety of pupils and school staff if any such unauthorized
entry or activity is attempted or occurs; the district may levy
a tax or issue bonds as provided in subsection (a) of this
Section.
(e) If a school district does not need funds for other fire
prevention and safety projects, including the completion of
approved and recommended projects contained in any safety
survey report or amendments thereto authorized by Section
2-3.12 of this Act, and it is determined after a public hearing
(which is preceded by at least one published notice (i)
occurring at least 7 days prior to the hearing in a newspaper
of general circulation within the school district and (ii)
setting forth the time, date, place, and general subject matter
of the hearing) that there is a substantial, immediate, and
otherwise unavoidable threat to the health, safety, or welfare
of pupils due to disrepair of school sidewalks, playgrounds,
parking lots, or school bus turnarounds and repairs must be

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made; then the district may levy a tax or issue bonds as
provided in subsection (a) of this Section.
(f) For purposes of this Section a school district may
replace a school building or build additions to replace
portions of a building when it is determined that the
effectuation of the recommendations for the existing building
will cost more than the replacement costs to be paid for from
the proceeds of bonds issued pursuant to this Section. Such
determination shall be based on a comparison of estimated costs
made by an architect or engineer licensed in the State of
Illinois. The portion of the new building or addition paid for
from the proceeds of bonds issued pursuant to this Section
shall not exceed the be equivalent in area (square feet) of the
buildings or additions being replaced, shall be and comparable
in purpose and grades served, and may be on the same site or
another site. Such replacement may only be done upon order of
the regional superintendent of schools and the approval of the
State Superintendent of Education.
(g) The filing of a certified copy of the resolution
levying the tax when accompanied by the certificates of the
regional superintendent of schools and State Superintendent of
Education shall be the authority of the county clerk to extend
such tax.
(h) The county clerk of the county in which any school
district levying a tax under the authority of this Section is
located, in reducing raised levies, shall not consider any such

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tax as a part of the general levy for school purposes and shall
not include the same in the limitation of any other tax rate
which may be extended.
Such tax shall be levied and collected in like manner as
all other taxes of school districts, subject to the provisions
contained in this Section.
(i) The tax rate limit specified in this Section may be
increased to .10% upon the approval of a proposition to effect
such increase by a majority of the electors voting on that
proposition at a regular scheduled election. Such proposition
may be initiated by resolution of the school board and shall be
certified by the secretary to the proper election authorities
for submission in accordance with the general election law.
(j) When taxes are levied by any school district for fire
prevention, safety, energy conservation, and school security
purposes as specified in this Section, and the purposes for
which the taxes have been levied are accomplished and paid in
full, and there remain funds on hand in the Fire Prevention and
Safety Fund from the proceeds of the taxes levied, including
interest earnings thereon, the school board by resolution shall
use such excess and other board restricted funds, excluding
bond proceeds and earnings from such proceeds, as follows:
(1) for other authorized fire prevention, safety,
energy conservation, and school security purposes; or
(2) for transfer to the Operations and Maintenance Fund
for the purpose of abating an equal amount of operations

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and maintenance purposes taxes.
(k) If any transfer is made to the Operation and
Maintenance Fund, the secretary of the school board shall
within 30 days notify the county clerk of the amount of that
transfer and direct the clerk to abate the taxes to be extended
for the purposes of operations and maintenance authorized under
Section 17-2 of this Act by an amount equal to such transfer.
(l) If the proceeds from the tax levy authorized by this
Section are insufficient to complete the work approved under
this Section, the school board is authorized to sell bonds
without referendum under the provisions of this Section in an
amount that, when added to the proceeds of the tax levy
authorized by this Section, will allow completion of the
approved work.
(m) Any bonds issued pursuant to this Section shall bear
interest at a rate not to exceed the maximum rate authorized by
law at the time of the making of the contract, shall mature
within 20 years from date, and shall be signed by the president
of the school board and the treasurer of the school district.
(n) In order to authorize and issue such bonds, the school
board shall adopt a resolution fixing the amount of bonds, the
date thereof, the maturities thereof, rates of interest
thereof, place of payment and denomination, which shall be in
denominations of not less than $100 and not more than $5,000,
and provide for the levy and collection of a direct annual tax
upon all the taxable property in the school district sufficient

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to pay the principal and interest on such bonds to maturity.
Upon the filing in the office of the county clerk of the county
in which the school district is located of a certified copy of
the resolution, it is the duty of the county clerk to extend
the tax therefor in addition to and in excess of all other
taxes heretofore or hereafter authorized to be levied by such
school district.
(o) After the time such bonds are issued as provided for by
this Section, if additional alterations or reconstructions are
required to be made because of surveys conducted by an
architect or engineer licensed in the State of Illinois, the
district may levy a tax at a rate not to exceed .05% per year
upon all the taxable property of the district or issue
additional bonds, whichever action shall be the most feasible.
(p) This Section is cumulative and constitutes complete
authority for the issuance of bonds as provided in this Section
notwithstanding any other statute or law to the contrary.
(q) With respect to instruments for the payment of money
issued under this Section either before, on, or after the
effective date of Public Act 86-004 (June 6, 1989), it is, and
always has been, the intention of the General Assembly (i) that
the Omnibus Bond Acts are, and always have been, supplementary
grants of power to issue instruments in accordance with the
Omnibus Bond Acts, regardless of any provision of this Act that
may appear to be or to have been more restrictive than those
Acts, (ii) that the provisions of this Section are not a

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limitation on the supplementary authority granted by the
Omnibus Bond Acts, and (iii) that instruments issued under this
Section within the supplementary authority granted by the
Omnibus Bond Acts are not invalid because of any provision of
this Act that may appear to be or to have been more restrictive
than those Acts.
(r) When the purposes for which the bonds are issued have
been accomplished and paid for in full and there remain funds
on hand from the proceeds of the bond sale and interest
earnings therefrom, the board shall, by resolution, use such
excess funds in accordance with the provisions of Section
10-22.14 of this Act.
(s) Whenever any tax is levied or bonds issued for fire
prevention, safety, energy conservation, and school security
purposes, such proceeds shall be deposited and accounted for
separately within the Fire Prevention and Safety Fund.
(Source: P.A. 95-675, eff. 10-11-07; 95-793, eff. 1-1-09;
96-252, eff. 8-11-09.)
(105 ILCS 5/19-1)
Sec. 19-1. Debt limitations of school districts.
(a) School districts shall not be subject to the provisions
limiting their indebtedness prescribed in "An Act to limit the
indebtedness of counties having a population of less than
500,000 and townships, school districts and other municipal
corporations having a population of less than 300,000",

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approved February 15, 1928, as amended.
No school districts maintaining grades K through 8 or 9
through 12 shall become indebted in any manner or for any
purpose to an amount, including existing indebtedness, in the
aggregate exceeding 6.9% on the value of the taxable property
therein to be ascertained by the last assessment for State and
county taxes or, until January 1, 1983, if greater, the sum
that is produced by multiplying the school district's 1978
equalized assessed valuation by the debt limitation percentage
in effect on January 1, 1979, previous to the incurring of such
indebtedness.
No school districts maintaining grades K through 12 shall
become indebted in any manner or for any purpose to an amount,
including existing indebtedness, in the aggregate exceeding
13.8% on the value of the taxable property therein to be
ascertained by the last assessment for State and county taxes
or, until January 1, 1983, if greater, the sum that is produced
by multiplying the school district's 1978 equalized assessed
valuation by the debt limitation percentage in effect on
January 1, 1979, previous to the incurring of such
indebtedness.
No partial elementary unit district, as defined in Article
11E of this Code, shall become indebted in any manner or for
any purpose in an amount, including existing indebtedness, in
the aggregate exceeding 6.9% of the value of the taxable
property of the entire district, to be ascertained by the last

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assessment for State and county taxes, plus an amount,
including existing indebtedness, in the aggregate exceeding
6.9% of the value of the taxable property of that portion of
the district included in the elementary and high school
classification, to be ascertained by the last assessment for
State and county taxes. Moreover, no partial elementary unit
district, as defined in Article 11E of this Code, shall become
indebted on account of bonds issued by the district for high
school purposes in the aggregate exceeding 6.9% of the value of
the taxable property of the entire district, to be ascertained
by the last assessment for State and county taxes, nor shall
the district become indebted on account of bonds issued by the
district for elementary purposes in the aggregate exceeding
6.9% of the value of the taxable property for that portion of
the district included in the elementary and high school
classification, to be ascertained by the last assessment for
State and county taxes.
Notwithstanding the provisions of any other law to the
contrary, in any case in which the voters of a school district
have approved a proposition for the issuance of bonds of such
school district at an election held prior to January 1, 1979,
and all of the bonds approved at such election have not been
issued, the debt limitation applicable to such school district
during the calendar year 1979 shall be computed by multiplying
the value of taxable property therein, including personal
property, as ascertained by the last assessment for State and

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county taxes, previous to the incurring of such indebtedness,
by the percentage limitation applicable to such school district
under the provisions of this subsection (a).
(b) Notwithstanding the debt limitation prescribed in
subsection (a) of this Section, additional indebtedness may be
incurred in an amount not to exceed the estimated cost of
acquiring or improving school sites or constructing and
equipping additional building facilities under the following
conditions:
(1) Whenever the enrollment of students for the next
school year is estimated by the board of education to
increase over the actual present enrollment by not less
than 35% or by not less than 200 students or the actual
present enrollment of students has increased over the
previous school year by not less than 35% or by not less
than 200 students and the board of education determines
that additional school sites or building facilities are
required as a result of such increase in enrollment; and
(2) When the Regional Superintendent of Schools having
jurisdiction over the school district and the State
Superintendent of Education concur in such enrollment
projection or increase and approve the need for such
additional school sites or building facilities and the
estimated cost thereof; and
(3) When the voters in the school district approve a
proposition for the issuance of bonds for the purpose of

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acquiring or improving such needed school sites or
constructing and equipping such needed additional building
facilities at an election called and held for that purpose.
Notice of such an election shall state that the amount of
indebtedness proposed to be incurred would exceed the debt
limitation otherwise applicable to the school district.
The ballot for such proposition shall state what percentage
of the equalized assessed valuation will be outstanding in
bonds if the proposed issuance of bonds is approved by the
voters; or
(4) Notwithstanding the provisions of paragraphs (1)
through (3) of this subsection (b), if the school board
determines that additional facilities are needed to
provide a quality educational program and not less than 2/3
of those voting in an election called by the school board
on the question approve the issuance of bonds for the
construction of such facilities, the school district may
issue bonds for this purpose; or
(5) Notwithstanding the provisions of paragraphs (1)
through (3) of this subsection (b), if (i) the school
district has previously availed itself of the provisions of
paragraph (4) of this subsection (b) to enable it to issue
bonds, (ii) the voters of the school district have not
defeated a proposition for the issuance of bonds since the
referendum described in paragraph (4) of this subsection
(b) was held, (iii) the school board determines that

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additional facilities are needed to provide a quality
educational program, and (iv) a majority of those voting in
an election called by the school board on the question
approve the issuance of bonds for the construction of such
facilities, the school district may issue bonds for this
purpose.
In no event shall the indebtedness incurred pursuant to
this subsection (b) and the existing indebtedness of the school
district exceed 15% of the value of the taxable property
therein to be ascertained by the last assessment for State and
county taxes, previous to the incurring of such indebtedness
or, until January 1, 1983, if greater, the sum that is produced
by multiplying the school district's 1978 equalized assessed
valuation by the debt limitation percentage in effect on
January 1, 1979.
The indebtedness provided for by this subsection (b) shall
be in addition to and in excess of any other debt limitation.
(c) Notwithstanding the debt limitation prescribed in
subsection (a) of this Section, in any case in which a public
question for the issuance of bonds of a proposed school
district maintaining grades kindergarten through 12 received
at least 60% of the valid ballots cast on the question at an
election held on or prior to November 8, 1994, and in which the
bonds approved at such election have not been issued, the
school district pursuant to the requirements of Section 11A-10
(now repealed) may issue the total amount of bonds approved at

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such election for the purpose stated in the question.
(d) Notwithstanding the debt limitation prescribed in
subsection (a) of this Section, a school district that meets
all the criteria set forth in paragraphs (1) and (2) of this
subsection (d) may incur an additional indebtedness in an
amount not to exceed $4,500,000, even though the amount of the
additional indebtedness authorized by this subsection (d),
when incurred and added to the aggregate amount of indebtedness
of the district existing immediately prior to the district
incurring the additional indebtedness authorized by this
subsection (d), causes the aggregate indebtedness of the
district to exceed the debt limitation otherwise applicable to
that district under subsection (a):
(1) The additional indebtedness authorized by this
subsection (d) is incurred by the school district through
the issuance of bonds under and in accordance with Section
17-2.11a for the purpose of replacing a school building
which, because of mine subsidence damage, has been closed
as provided in paragraph (2) of this subsection (d) or
through the issuance of bonds under and in accordance with
Section 19-3 for the purpose of increasing the size of, or
providing for additional functions in, such replacement
school buildings, or both such purposes.
(2) The bonds issued by the school district as provided
in paragraph (1) above are issued for the purposes of
construction by the school district of a new school

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building pursuant to Section 17-2.11, to replace an
existing school building that, because of mine subsidence
damage, is closed as of the end of the 1992-93 school year
pursuant to action of the regional superintendent of
schools of the educational service region in which the
district is located under Section 3-14.22 or are issued for
the purpose of increasing the size of, or providing for
additional functions in, the new school building being
constructed to replace a school building closed as the
result of mine subsidence damage, or both such purposes.
(e) (Blank).
(f) Notwithstanding the provisions of subsection (a) of
this Section or of any other law, bonds in not to exceed the
aggregate amount of $5,500,000 and issued by a school district
meeting the following criteria shall not be considered
indebtedness for purposes of any statutory limitation and may
be issued in an amount or amounts, including existing
indebtedness, in excess of any heretofore or hereafter imposed
statutory limitation as to indebtedness:
(1) At the time of the sale of such bonds, the board of
education of the district shall have determined by
resolution that the enrollment of students in the district
is projected to increase by not less than 7% during each of
the next succeeding 2 school years.
(2) The board of education shall also determine by
resolution that the improvements to be financed with the

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proceeds of the bonds are needed because of the projected
enrollment increases.
(3) The board of education shall also determine by
resolution that the projected increases in enrollment are
the result of improvements made or expected to be made to
passenger rail facilities located in the school district.
Notwithstanding the provisions of subsection (a) of this
Section or of any other law, a school district that has availed
itself of the provisions of this subsection (f) prior to July
22, 2004 (the effective date of Public Act 93-799) may also
issue bonds approved by referendum up to an amount, including
existing indebtedness, not exceeding 25% of the equalized
assessed value of the taxable property in the district if all
of the conditions set forth in items (1), (2), and (3) of this
subsection (f) are met.
(g) Notwithstanding the provisions of subsection (a) of
this Section or any other law, bonds in not to exceed an
aggregate amount of 25% of the equalized assessed value of the
taxable property of a school district and issued by a school
district meeting the criteria in paragraphs (i) through (iv) of
this subsection shall not be considered indebtedness for
purposes of any statutory limitation and may be issued pursuant
to resolution of the school board in an amount or amounts,
including existing indebtedness, in excess of any statutory
limitation of indebtedness heretofore or hereafter imposed:
(i) The bonds are issued for the purpose of

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constructing a new high school building to replace two
adjacent existing buildings which together house a single
high school, each of which is more than 65 years old, and
which together are located on more than 10 acres and less
than 11 acres of property.
(ii) At the time the resolution authorizing the
issuance of the bonds is adopted, the cost of constructing
a new school building to replace the existing school
building is less than 60% of the cost of repairing the
existing school building.
(iii) The sale of the bonds occurs before July 1, 1997.
(iv) The school district issuing the bonds is a unit
school district located in a county of less than 70,000 and
more than 50,000 inhabitants, which has an average daily
attendance of less than 1,500 and an equalized assessed
valuation of less than $29,000,000.
(h) Notwithstanding any other provisions of this Section or
the provisions of any other law, until January 1, 1998, a
community unit school district maintaining grades K through 12
may issue bonds up to an amount, including existing
indebtedness, not exceeding 27.6% of the equalized assessed
value of the taxable property in the district, if all of the
following conditions are met:
(i) The school district has an equalized assessed
valuation for calendar year 1995 of less than $24,000,000;
(ii) The bonds are issued for the capital improvement,

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renovation, rehabilitation, or replacement of existing
school buildings of the district, all of which buildings
were originally constructed not less than 40 years ago;
(iii) The voters of the district approve a proposition
for the issuance of the bonds at a referendum held after
March 19, 1996; and
(iv) The bonds are issued pursuant to Sections 19-2
through 19-7 of this Code.
(i) Notwithstanding any other provisions of this Section or
the provisions of any other law, until January 1, 1998, a
community unit school district maintaining grades K through 12
may issue bonds up to an amount, including existing
indebtedness, not exceeding 27% of the equalized assessed value
of the taxable property in the district, if all of the
following conditions are met:
(i) The school district has an equalized assessed
valuation for calendar year 1995 of less than $44,600,000;
(ii) The bonds are issued for the capital improvement,
renovation, rehabilitation, or replacement of existing
school buildings of the district, all of which existing
buildings were originally constructed not less than 80
years ago;
(iii) The voters of the district approve a proposition
for the issuance of the bonds at a referendum held after
December 31, 1996; and
(iv) The bonds are issued pursuant to Sections 19-2

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through 19-7 of this Code.
(j) Notwithstanding any other provisions of this Section or
the provisions of any other law, until January 1, 1999, a
community unit school district maintaining grades K through 12
may issue bonds up to an amount, including existing
indebtedness, not exceeding 27% of the equalized assessed value
of the taxable property in the district if all of the following
conditions are met:
(i) The school district has an equalized assessed
valuation for calendar year 1995 of less than $140,000,000
and a best 3 months average daily attendance for the
1995-96 school year of at least 2,800;
(ii) The bonds are issued to purchase a site and build
and equip a new high school, and the school district's
existing high school was originally constructed not less
than 35 years prior to the sale of the bonds;
(iii) At the time of the sale of the bonds, the board
of education determines by resolution that a new high
school is needed because of projected enrollment
increases;
(iv) At least 60% of those voting in an election held
after December 31, 1996 approve a proposition for the
issuance of the bonds; and
(v) The bonds are issued pursuant to Sections 19-2
through 19-7 of this Code.
(k) Notwithstanding the debt limitation prescribed in

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subsection (a) of this Section, a school district that meets
all the criteria set forth in paragraphs (1) through (4) of
this subsection (k) may issue bonds to incur an additional
indebtedness in an amount not to exceed $4,000,000 even though
the amount of the additional indebtedness authorized by this
subsection (k), when incurred and added to the aggregate amount
of indebtedness of the school district existing immediately
prior to the school district incurring such additional
indebtedness, causes the aggregate indebtedness of the school
district to exceed or increases the amount by which the
aggregate indebtedness of the district already exceeds the debt
limitation otherwise applicable to that school district under
subsection (a):
(1) the school district is located in 2 counties, and a
referendum to authorize the additional indebtedness was
approved by a majority of the voters of the school district
voting on the proposition to authorize that indebtedness;
(2) the additional indebtedness is for the purpose of
financing a multi-purpose room addition to the existing
high school;
(3) the additional indebtedness, together with the
existing indebtedness of the school district, shall not
exceed 17.4% of the value of the taxable property in the
school district, to be ascertained by the last assessment
for State and county taxes; and
(4) the bonds evidencing the additional indebtedness

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are issued, if at all, within 120 days of the effective
date of this amendatory Act of 1998.
(l) Notwithstanding any other provisions of this Section or
the provisions of any other law, until January 1, 2000, a
school district maintaining grades kindergarten through 8 may
issue bonds up to an amount, including existing indebtedness,
not exceeding 15% of the equalized assessed value of the
taxable property in the district if all of the following
conditions are met:
(i) the district has an equalized assessed valuation
for calendar year 1996 of less than $10,000,000;
(ii) the bonds are issued for capital improvement,
renovation, rehabilitation, or replacement of one or more
school buildings of the district, which buildings were
originally constructed not less than 70 years ago;
(iii) the voters of the district approve a proposition
for the issuance of the bonds at a referendum held on or
after March 17, 1998; and
(iv) the bonds are issued pursuant to Sections 19-2
through 19-7 of this Code.
(m) Notwithstanding any other provisions of this Section or
the provisions of any other law, until January 1, 1999, an
elementary school district maintaining grades K through 8 may
issue bonds up to an amount, excluding existing indebtedness,
not exceeding 18% of the equalized assessed value of the
taxable property in the district, if all of the following

SB2647 - 24 - LRB096 19695 NHT 35098 b
conditions are met:
(i) The school district has an equalized assessed
valuation for calendar year 1995 or less than $7,700,000;
(ii) The school district operates 2 elementary
attendance centers that until 1976 were operated as the
attendance centers of 2 separate and distinct school
districts;
(iii) The bonds are issued for the construction of a
new elementary school building to replace an existing
multi-level elementary school building of the school
district that is not handicapped accessible at all levels
and parts of which were constructed more than 75 years ago;
(iv) The voters of the school district approve a
proposition for the issuance of the bonds at a referendum
held after July 1, 1998; and
(v) The bonds are issued pursuant to Sections 19-2
through 19-7 of this Code.
(n) Notwithstanding the debt limitation prescribed in
subsection (a) of this Section or any other provisions of this
Section or of any other law, a school district that meets all
of the criteria set forth in paragraphs (i) through (vi) or
paragraphs (i), (ii), and (iv) of this subsection (n) may incur
additional indebtedness by the issuance of bonds or the
execution of a lease with a public commission in an amount not
exceeding the amount certified by the Capital Development Board
to the school district as provided in paragraph (iii) of this

SB2647 - 25 - LRB096 19695 NHT 35098 b
subsection (n), even though the amount of the additional
indebtedness so authorized, when incurred and added to the
aggregate amount of indebtedness of the district existing
immediately prior to the district incurring the additional
indebtedness authorized by this subsection (n), causes the
aggregate indebtedness of the district to exceed the debt
limitation otherwise applicable by law to that district:
(i) The school district applies to the State Board of
Education for a school construction project grant and
submits a district facilities plan in support of its
application pursuant to Section 5-20 of the School
Construction Law.
(ii) The school district's application and facilities
plan are approved by, and the district receives a grant
entitlement for a school construction project issued by,
the State Board of Education under the School Construction
Law.
(iii) The school district has exhausted its bonding
capacity or the unused bonding capacity of the district is
less than the amount certified by the Capital Development
Board to the district under Section 5-15 of the School
Construction Law as the dollar amount of the school
construction project's cost that the district will be
required to finance with non-grant funds in order to
receive a school construction project grant under the
School Construction Law.

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(iv) The bonds are issued for a "school construction
project", as that term is defined in Section 5-5 of the
School Construction Law, in an amount that does not exceed
the dollar amount certified, as provided in paragraph (iii)
of this subsection (n), by the Capital Development Board to
the school district under Section 5-15 of the School
Construction Law.
(v) The voters of the district approve a proposition
for the issuance of the bonds at a referendum held after
the criteria specified in paragraphs (i) and (iii) of this
subsection (n) are met.
(vi) The bonds are issued pursuant to Sections 19-2
through 19-7 of the School Code.
(vii) The school district will lease the school
construction project from a public building commission
pursuant to the Public Building Commission Act.
The indebtedness incurred on any lease under this
subsection (n) shall not be indebtedness for purposes of any
statutory debt limitation.
(o) Notwithstanding any other provisions of this Section or
the provisions of any other law, until November 1, 2007, a
community unit school district maintaining grades K through 12
may issue bonds up to an amount, including existing
indebtedness, not exceeding 20% of the equalized assessed value
of the taxable property in the district if all of the following
conditions are met:

SB2647 - 27 - LRB096 19695 NHT 35098 b
(i) the school district has an equalized assessed
valuation for calendar year 2001 of at least $737,000,000
and an enrollment for the 2002-2003 school year of at least
8,500;
(ii) the bonds are issued to purchase school sites,
build and equip a new high school, build and equip a new
junior high school, build and equip 5 new elementary
schools, and make technology and other improvements and
additions to existing schools;
(iii) at the time of the sale of the bonds, the board
of education determines by resolution that the sites and
new or improved facilities are needed because of projected
enrollment increases;
(iv) at least 57% of those voting in a general election
held prior to January 1, 2003 approved a proposition for
the issuance of the bonds; and
(v) the bonds are issued pursuant to Sections 19-2
through 19-7 of this Code.
(p) Notwithstanding any other provisions of this Section or
the provisions of any other law, a community unit school
district maintaining grades K through 12 may issue bonds up to
an amount, including indebtedness, not exceeding 27% of the
equalized assessed value of the taxable property in the
district if all of the following conditions are met:
(i) The school district has an equalized assessed
valuation for calendar year 2001 of at least $295,741,187

SB2647 - 28 - LRB096 19695 NHT 35098 b
and a best 3 months' average daily attendance for the
2002-2003 school year of at least 2,394.
(ii) The bonds are issued to build and equip 3
elementary school buildings; build and equip one middle
school building; and alter, repair, improve, and equip all
existing school buildings in the district.
(iii) At the time of the sale of the bonds, the board
of education determines by resolution that the project is
needed because of expanding growth in the school district
and a projected enrollment increase.
(iv) The bonds are issued pursuant to Sections 19-2
through 19-7 of this Code.
(p-5) Notwithstanding any other provisions of this Section
or the provisions of any other law, bonds issued by a community
unit school district maintaining grades K through 12 shall not
be considered indebtedness for purposes of any statutory
limitation and may be issued in an amount or amounts, including
existing indebtedness, in excess of any heretofore or hereafter
imposed statutory limitation as to indebtedness, if all of the
following conditions are met:
(i) For each of the 4 most recent years, residential
property comprises more than 80% of the equalized assessed
valuation of the district.
(ii) At least 2 school buildings that were constructed
40 or more years prior to the issuance of the bonds will be
demolished and will be replaced by new buildings or

SB2647 - 29 - LRB096 19695 NHT 35098 b
additions to one or more existing buildings.
(iii) Voters of the district approve a proposition for
the issuance of the bonds at a regularly scheduled
election.
(iv) At the time of the sale of the bonds, the school
board determines by resolution that the new buildings or
building additions are needed because of an increase in
enrollment projected by the school board.
(v) The principal amount of the bonds, including
existing indebtedness, does not exceed 25% of the equalized
assessed value of the taxable property in the district.
(vi) The bonds are issued prior to January 1, 2007,
pursuant to Sections 19-2 through 19-7 of this Code.
(p-10) Notwithstanding any other provisions of this
Section or the provisions of any other law, bonds issued by a
community consolidated school district maintaining grades K
through 8 shall not be considered indebtedness for purposes of
any statutory limitation and may be issued in an amount or
amounts, including existing indebtedness, in excess of any
heretofore or hereafter imposed statutory limitation as to
indebtedness, if all of the following conditions are met:
(i) For each of the 4 most recent years, residential
and farm property comprises more than 80% of the equalized
assessed valuation of the district.
(ii) The bond proceeds are to be used to acquire and
improve school sites and build and equip a school building.

SB2647 - 30 - LRB096 19695 NHT 35098 b
(iii) Voters of the district approve a proposition for
the issuance of the bonds at a regularly scheduled
election.
(iv) At the time of the sale of the bonds, the school
board determines by resolution that the school sites and
building additions are needed because of an increase in
enrollment projected by the school board.
(v) The principal amount of the bonds, including
existing indebtedness, does not exceed 20% of the equalized
assessed value of the taxable property in the district.
(vi) The bonds are issued prior to January 1, 2007,
pursuant to Sections 19-2 through 19-7 of this Code.
(p-15) In addition to all other authority to issue bonds,
the Oswego Community Unit School District Number 308 may issue
bonds with an aggregate principal amount not to exceed
$450,000,000, but only if all of the following conditions are
met:
(i) The voters of the district have approved a
proposition for the bond issue at the general election held
on November 7, 2006.
(ii) At the time of the sale of the bonds, the school
board determines, by resolution, that: (A) the building and
equipping of the new high school building, new junior high
school buildings, new elementary school buildings, early
childhood building, maintenance building, transportation
facility, and additions to existing school buildings, the

SB2647 - 31 - LRB096 19695 NHT 35098 b
altering, repairing, equipping, and provision of
technology improvements to existing school buildings, and
the acquisition and improvement of school sites, as the
case may be, are required as a result of a projected
increase in the enrollment of students in the district; and
(B) the sale of bonds for these purposes is authorized by
legislation that exempts the debt incurred on the bonds
from the district's statutory debt limitation.
(iii) The bonds are issued, in one or more bond issues,
on or before November 7, 2011, but the aggregate principal
amount issued in all such bond issues combined must not
exceed $450,000,000.
(iv) The bonds are issued in accordance with this
Article 19.
(v) The proceeds of the bonds are used only to
accomplish those projects approved by the voters at the
general election held on November 7, 2006.
The debt incurred on any bonds issued under this subsection
(p-15) shall not be considered indebtedness for purposes of any
statutory debt limitation.
(p-20) In addition to all other authority to issue bonds,
the Lincoln-Way Community High School District Number 210 may
issue bonds with an aggregate principal amount not to exceed
$225,000,000, but only if all of the following conditions are
met:
(i) The voters of the district have approved a

SB2647 - 32 - LRB096 19695 NHT 35098 b
proposition for the bond issue at the general primary
election held on March 21, 2006.
(ii) At the time of the sale of the bonds, the school
board determines, by resolution, that: (A) the building and
equipping of the new high school buildings, the altering,
repairing, and equipping of existing school buildings, and
the improvement of school sites, as the case may be, are
required as a result of a projected increase in the
enrollment of students in the district; and (B) the sale of
bonds for these purposes is authorized by legislation that
exempts the debt incurred on the bonds from the district's
statutory debt limitation.
(iii) The bonds are issued, in one or more bond issues,
on or before March 21, 2011, but the aggregate principal
amount issued in all such bond issues combined must not
exceed $225,000,000.
(iv) The bonds are issued in accordance with this
Article 19.
(v) The proceeds of the bonds are used only to
accomplish those projects approved by the voters at the
primary election held on March 21, 2006.
The debt incurred on any bonds issued under this subsection
(p-20) shall not be considered indebtedness for purposes of any
statutory debt limitation.
(p-25) In addition to all other authority to issue bonds,
Rochester Community Unit School District 3A may issue bonds

SB2647 - 33 - LRB096 19695 NHT 35098 b
with an aggregate principal amount not to exceed $18,500,000,
but only if all of the following conditions are met:
(i) The voters of the district approve a proposition
for the bond issuance at the general primary election held
in 2008.
(ii) At the time of the sale of the bonds, the school
board determines, by resolution, that: (A) the building and
equipping of a new high school building; the addition of
classrooms and support facilities at the high school,
middle school, and elementary school; the altering,
repairing, and equipping of existing school buildings; and
the improvement of school sites, as the case may be, are
required as a result of a projected increase in the
enrollment of students in the district; and (B) the sale of
bonds for these purposes is authorized by a law that
exempts the debt incurred on the bonds from the district's
statutory debt limitation.
(iii) The bonds are issued, in one or more bond issues,
on or before December 31, 2012, but the aggregate principal
amount issued in all such bond issues combined must not
exceed $18,500,000.
(iv) The bonds are issued in accordance with this
Article 19.
(v) The proceeds of the bonds are used to accomplish
only those projects approved by the voters at the primary
election held in 2008.

SB2647 - 34 - LRB096 19695 NHT 35098 b
The debt incurred on any bonds issued under this subsection
(p-25) shall not be considered indebtedness for purposes of any
statutory debt limitation.
(p-30) In addition to all other authority to issue bonds,
Prairie Grove Consolidated School District 46 may issue bonds
with an aggregate principal amount not to exceed $30,000,000,
but only if all of the following conditions are met:
(i) The voters of the district approve a proposition
for the bond issuance at an election held in 2008.
(ii) At the time of the sale of the bonds, the school
board determines, by resolution, that (A) the building and
equipping of a new school building and additions to
existing school buildings are required as a result of a
projected increase in the enrollment of students in the
district and (B) the altering, repairing, and equipping of
existing school buildings are required because of the age
of the existing school buildings.
(iii) The bonds are issued, in one or more bond
issuances, on or before December 31, 2012; however, the
aggregate principal amount issued in all such bond
issuances combined must not exceed $30,000,000.
(iv) The bonds are issued in accordance with this
Article.
(v) The proceeds of the bonds are used to accomplish
only those projects approved by the voters at an election
held in 2008.

SB2647 - 35 - LRB096 19695 NHT 35098 b
The debt incurred on any bonds issued under this subsection
(p-30) shall not be considered indebtedness for purposes of any
statutory debt limitation.
(p-35) In addition to all other authority to issue bonds,
Prairie Hill Community Consolidated School District 133 may
issue bonds with an aggregate principal amount not to exceed
$13,900,000, but only if all of the following conditions are
met:
(i) The voters of the district approved a proposition
for the bond issuance at an election held on April 17,
2007.
(ii) At the time of the sale of the bonds, the school
board determines, by resolution, that (A) the improvement
of the site of and the building and equipping of a school
building are required as a result of a projected increase
in the enrollment of students in the district and (B) the
repairing and equipping of the Prairie Hill Elementary
School building is required because of the age of that
school building.
(iii) The bonds are issued, in one or more bond
issuances, on or before December 31, 2011, but the
aggregate principal amount issued in all such bond
issuances combined must not exceed $13,900,000.
(iv) The bonds are issued in accordance with this
Article.
(v) The proceeds of the bonds are used to accomplish

SB2647 - 36 - LRB096 19695 NHT 35098 b
only those projects approved by the voters at an election
held on April 17, 2007.
The debt incurred on any bonds issued under this subsection
(p-35) shall not be considered indebtedness for purposes of any
statutory debt limitation.
(p-40) In addition to all other authority to issue bonds,
Mascoutah Community Unit District 19 may issue bonds with an
aggregate principal amount not to exceed $55,000,000, but only
if all of the following conditions are met:
(1) The voters of the district approve a proposition
for the bond issuance at a regular election held on or
after November 4, 2008.
(2) At the time of the sale of the bonds, the school
board determines, by resolution, that (i) the building and
equipping of a new high school building is required as a
result of a projected increase in the enrollment of
students in the district and the age and condition of the
existing high school building, (ii) the existing high
school building will be demolished, and (iii) the sale of
bonds is authorized by statute that exempts the debt
incurred on the bonds from the district's statutory debt
limitation.
(3) The bonds are issued, in one or more bond
issuances, on or before December 31, 2011, but the
aggregate principal amount issued in all such bond
issuances combined must not exceed $55,000,000.

SB2647 - 37 - LRB096 19695 NHT 35098 b
(4) The bonds are issued in accordance with this
Article.
(5) The proceeds of the bonds are used to accomplish
only those projects approved by the voters at a regular
election held on or after November 4, 2008.
The debt incurred on any bonds issued under this subsection
(p-40) shall not be considered indebtedness for purposes of any
statutory debt limitation.
(p-45) Notwithstanding the provisions of subsection (a) of
this Section or of any other law, bonds issued pursuant to
Section 19-3.5 of this Code shall not be considered
indebtedness for purposes of any statutory limitation if the
bonds are issued in an amount or amounts, including existing
indebtedness of the school district, not in excess of 18.5% of
the value of the taxable property in the district to be
ascertained by the last assessment for State and county taxes.
(p-50) Notwithstanding the provisions of subsection (a) of
this Section or of any other law, bonds issued pursuant to
Section 19-3.10 of this Code shall not be considered
indebtedness for purposes of any statutory limitation if the
bonds are issued in an amount or amounts, including existing
indebtedness of the school district, not in excess of 43% of
the value of the taxable property in the district to be
ascertained by the last assessment for State and county taxes.
(p-55) (p-45) In addition to all other authority to issue
bonds, Belle Valley School District 119 may issue bonds with an

SB2647 - 38 - LRB096 19695 NHT 35098 b
aggregate principal amount not to exceed $47,500,000, but only
if all of the following conditions are met:
(1) The voters of the district approve a proposition
for the bond issuance at an election held on or after April
7, 2009.
(2) Prior to the issuance of the bonds, the school
board determines, by resolution, that (i) the building and
equipping of a new school building is required as a result
of mine subsidence in an existing school building and
because of the age and condition of another existing school
building and (ii) the issuance of bonds is authorized by
statute that exempts the debt incurred on the bonds from
the district's statutory debt limitation.
(3) The bonds are issued, in one or more bond
issuances, on or before March 31, 2014, but the aggregate
principal amount issued in all such bond issuances combined
must not exceed $47,500,000.
(4) The bonds are issued in accordance with this
Article.
(5) The proceeds of the bonds are used to accomplish
only those projects approved by the voters at an election
held on or after April 7, 2009.
The debt incurred on any bonds issued under this subsection
(p-55) (p-45) shall not be considered indebtedness for purposes
of any statutory debt limitation. Bonds issued under this
subsection (p-55) (p-45) must mature within not to exceed 30

SB2647 - 39 - LRB096 19695 NHT 35098 b
years from their date, notwithstanding any other law to the
contrary.
(q) A school district must notify the State Board of
Education prior to issuing any form of long-term or short-term
debt that will result in outstanding debt that exceeds 75% of
the debt limit specified in this Section or any other provision
of law.
(Source: P.A. 95-331, eff. 8-21-07; 95-594, eff. 9-10-07;
95-792, eff. 1-1-09; 96-63, eff. 7-23-09; 96-273, eff. 8-11-09;
96-517, eff. 8-14-09; revised 9-15-09.)
Section 10. The School Construction Law is amended by
changing Sections 5-25 and 5-35 as follows:
(105 ILCS 230/5-25)
Sec. 5-25. Eligibility and project standards.
(a) The State Board of Education shall establish
eligibility standards for school construction project grants
and debt service grants. These standards shall include minimum
enrollment requirements for eligibility for school
construction project grants of 200 students for elementary
districts, 200 students for high school districts, and 400
students for unit districts. The State Board of Education shall
approve a district's eligibility for a school construction
project grant or a debt service grant pursuant to the
established standards.

SB2647 - 40 - LRB096 19695 NHT 35098 b
For purposes only of determining a Type 40 area vocational
center's eligibility for an entity included in a school
construction project grant or a school maintenance project
grant, an area vocational center shall be deemed eligible if
one or more of its member school districts satisfy the grant
index criteria set forth in this Law. A Type 40 area vocational
center that makes application for school construction funds
after August 25, 2009 (the effective date of Public Act 96-731)
this amendatory Act of the 96th General Assembly shall be
placed on the respective application cycle list. Type 40 area
vocational centers must be placed last on the priority listing
of eligible entities for the applicable fiscal year.
(b) The Capital Development Board shall establish project
standards for all school construction project grants provided
pursuant to this Article. These standards shall include space
and capacity standards as well as the determination of
recognized project costs that shall be eligible for State
financial assistance and enrichment costs that shall not be
eligible for State financial assistance.
(c) The State Board of Education and the Capital
Development Board shall not establish standards that
disapprove or otherwise establish limitations that restrict
the eligibility of (i) a school district with a population
exceeding 500,000 for a school construction project grant based
on the fact that any or all of the school construction project
grant will be used to pay debt service or to make lease

SB2647 - 41 - LRB096 19695 NHT 35098 b
payments, as authorized by subsection (b) of Section 5-35 of
this Law, or based on the fact that all or a part of the school
construction project is owned by a public building commission
and leased to the school, or (ii) a school district located in
whole or in part in a county that imposes a tax for school
facility purposes pursuant to Section 5-1006.7 of the Counties
Code.
(Source: P.A. 96-37, eff. 7-13-09; 96-731, eff. 8-25-09;
revised 9-15-09.)
(105 ILCS 230/5-35)
Sec. 5-35. School construction project grant amounts;
permitted use; prohibited use.
(a) The product of the district's grant index and the
recognized project cost, as determined by the Capital
Development Board, for an approved school construction project
shall equal the amount of the grant the Capital Development
Board shall provide to the eligible district. The grant index
shall not be used in cases where the General Assembly and the
Governor approve appropriations designated for specifically
identified school district construction projects.
The average of the grant indexes of the member districts in
a joint agreement shall be used to calculate the amount of a
school construction project grant awarded to an eligible Type
40 area vocational center.
(b) In each fiscal year in which school construction

SB2647 - 42 - LRB096 19695 NHT 35098 b
project grants are awarded, 20% of the total amount awarded
statewide shall be awarded to a school district with a
population exceeding 500,000, provided such district complies
with the provisions of this Article.
In addition to the uses otherwise authorized by this Law,
any school district with a population exceeding 500,000 is
authorized to use any or all of the school construction project
grants (i) to pay debt service, as defined in the Local
Government Debt Reform Act, on bonds, as defined in the Local
Government Debt Reform Act, issued to finance one or more
school construction projects and (ii) to the extent that any
such bond is a lease or other installment or financing contract
between the school district and a public building commission
that has issued bonds to finance one or more qualifying school
construction projects, to make lease payments under the lease.
(c) No portion of a school construction project grant
awarded by the Capital Development Board shall be used by a
school district for any on-going operational costs.
(Source: P.A. 96-731, eff. 8-25-09.)
Section 99. Effective date. This Act takes effect upon