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Illinois General Assembly - Full Text of HB5161

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104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB5161

Introduced 2/10/2026, by Rep. Joyce Mason

SYNOPSIS AS INTRODUCED:

105 ILCS 5/2-3.214 new
105 ILCS 5/18-8.15

Amends the evidence-based funding provisions of the School Code.
Includes in the definition of "Organizational Unit" a State-approved
charter school that has greater than or equal to 15% fewer low-income
students than the school district in which the charter school is located.
Requires the State Board of Education to determine how each funding
variable within the evidence-based funding formula needs to be adjusted to
accommodate the changes made by the amendatory Act. Effective immediately.
LRB104 17853 LNS 31287 b

A BILL FOR

HB5161
LRB104 17853 LNS 31287 b
1

AN ACT concerning education.

2

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

4

Section 5.
The School Code is amended by adding Section
5
2-3.214 and by changing Section 18-8.15 as follows:

6

(105 ILCS 5/2-3.214 new)
7

Sec. 2-3.214.
Evidence-based funding formula adjustments.

8
The State Board of Education shall determine how each funding
9
variable within the evidence-based funding formula provided in
10
Section 18-8.15 needs to be adjusted to accommodate the
11
changes made to Section 18-8.15 by this amendatory Act of the
12
104th General Assembly.

13

(105 ILCS 5/18-8.15)
14

Sec. 18-8.15.
Evidence-Based Funding for student success
15
for the 2017-2018 and subsequent school years.
16

(a) General provisions.
17

(1) The purpose of this Section is to ensure that, by
18

June 30, 2027 and beyond, this State has a kindergarten
19

through grade 12 public education system with the capacity
20

to ensure the educational development of all persons to
21

the limits of their capacities in accordance with Section
22

1 of Article X of the Constitution of the State of

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Illinois. To accomplish that objective, this Section
2

creates a method of funding public education that is
3

evidence-based; is sufficient to ensure every student
4

receives a meaningful opportunity to learn irrespective of
5

race, ethnicity, sexual orientation, gender, or
6

community-income level; and is sustainable and
7

predictable. When fully funded under this Section, every
8

school shall have the resources, based on what the
9

evidence indicates is needed, to:
10

(A) provide all students with a high quality
11

education that offers the academic, enrichment, social
12

and emotional support, technical, and career-focused
13

programs that will allow them to become competitive
14

workers, responsible parents, productive citizens of
15

this State, and active members of our national
16

democracy;
17

(B) ensure all students receive the education they
18

need to graduate from high school with the skills
19

required to pursue post-secondary education and
20

training for a rewarding career;
21

(C) reduce, with a goal of eliminating, the
22

achievement gap between at-risk and non-at-risk
23

students by raising the performance of at-risk
24

students and not by reducing standards; and
25

(D) ensure this State satisfies its obligation to
26

assume the primary responsibility to fund public

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1

education and simultaneously relieve the
2

disproportionate burden placed on local property taxes
3

to fund schools.
4

(2) The Evidence-Based Funding formula under this
5

Section shall be applied to all Organizational Units in
6

this State. The Evidence-Based Funding formula outlined in
7

this Act is based on the formula outlined in Senate Bill 1
8

of the 100th General Assembly, as passed by both
9

legislative chambers. As further defined and described in
10

this Section, there are 4 major components of the
11

Evidence-Based Funding model:
12

(A) First, the model calculates a unique Adequacy
13

Target for each Organizational Unit in this State that
14

considers the costs to implement research-based
15

activities, the unit's student demographics, and
16

regional wage differences.
17

(B) Second, the model calculates each
18

Organizational Unit's Local Capacity, or the amount
19

each Organizational Unit is assumed to contribute
20

toward its Adequacy Target from local resources.
21

(C) Third, the model calculates how much funding
22

the State currently contributes to the Organizational
23

Unit and adds that to the unit's Local Capacity to
24

determine the unit's overall current adequacy of
25

funding.
26

(D) Finally, the model's distribution method

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allocates new State funding to those Organizational
2

Units that are least well-funded, considering both
3

Local Capacity and State funding, in relation to their
4

Adequacy Target.
5

(3) An Organizational Unit receiving any funding under
6

this Section may apply those funds to any fund so received
7

for which that Organizational Unit is authorized to make
8

expenditures by law.
9

(4) As used in this Section, the following terms shall
10

have the meanings ascribed in this paragraph (4):
11

"Adequacy Target" is defined in paragraph (1) of
12

subsection (b) of this Section.
13

"Adjusted EAV" is defined in paragraph (4) of
14

subsection (d) of this Section.
15

"Adjusted Local Capacity Target" is defined in
16

paragraph (3) of subsection (c) of this Section.
17

"Adjusted Operating Tax Rate" means a tax rate for all
18

Organizational Units, for which the State Superintendent
19

shall calculate and subtract for the Operating Tax Rate a
20

transportation rate based on total expenses for
21

transportation services under this Code, as reported on
22

the most recent Annual Financial Report in Pupil
23

Transportation Services, function 2550 in both the
24

Education and Transportation funds and functions 4110 and
25

4120 in the Transportation fund, less any corresponding
26

fiscal year State of Illinois scheduled payments excluding

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net adjustments for prior years for regular, vocational,
2

or special education transportation reimbursement pursuant
3

to Section 29-5 or subsection (b) of Section 14-13.01 of
4

this Code divided by the Adjusted EAV. If an
5

Organizational Unit's corresponding fiscal year State of
6

Illinois scheduled payments excluding net adjustments for
7

prior years for regular, vocational, or special education
8

transportation reimbursement pursuant to Section 29-5 or
9

subsection (b) of Section 14-13.01 of this Code exceed the
10

total transportation expenses, as defined in this
11

paragraph, no transportation rate shall be subtracted from
12

the Operating Tax Rate.
13

"Allocation Rate" is defined in paragraph (3) of
14

subsection (g) of this Section.
15

"Alternative School" means a public school that is
16

created and operated by a regional superintendent of
17

schools and approved by the State Board.
18

"Applicable Tax Rate" is defined in paragraph (1) of
19

subsection (d) of this Section.
20

"Assessment" means any of those benchmark, progress
21

monitoring, formative, diagnostic, and other assessments,
22

in addition to the State accountability assessment, that
23

assist teachers' needs in understanding the skills and
24

meeting the needs of the students they serve.
25

"Assistant principal" means a school administrator
26

duly endorsed to be employed as an assistant principal in

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this State.
2

"At-risk student" means a student who is at risk of
3

not meeting the Illinois Learning Standards or not
4

graduating from elementary or high school and who
5

demonstrates a need for vocational support or social
6

services beyond that provided by the regular school
7

program. All students included in an Organizational Unit's
8

Low-Income Count, as well as all English learner and
9

disabled students attending the Organizational Unit, shall
10

be considered at-risk students under this Section.
11

"Average Student Enrollment" or "ASE" for fiscal year
12

2018 means, for an Organizational Unit, the greater of the
13

average number of students (grades K through 12) reported
14

to the State Board as enrolled in the Organizational Unit
15

on October 1 in the immediately preceding school year,
16

plus the pre-kindergarten students who receive special
17

education services of 2 or more hours a day as reported to
18

the State Board on December 1 in the immediately preceding
19

school year, or the average number of students (grades K
20

through 12) reported to the State Board as enrolled in the
21

Organizational Unit on October 1, plus the
22

pre-kindergarten students who receive special education
23

services of 2 or more hours a day as reported to the State
24

Board on December 1, for each of the immediately preceding
25

3 school years. For fiscal year 2019 and each subsequent
26

fiscal year, "Average Student Enrollment" or "ASE" means,

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for an Organizational Unit, the greater of the average
2

number of students (grades K through 12) reported to the
3

State Board as enrolled in the Organizational Unit on
4

October 1 and March 1 in the immediately preceding school
5

year, plus the pre-kindergarten students who receive
6

special education services as reported to the State Board
7

on October 1 and March 1 in the immediately preceding
8

school year, or the average number of students (grades K
9

through 12) reported to the State Board as enrolled in the
10

Organizational Unit on October 1 and March 1, plus the
11

pre-kindergarten students who receive special education
12

services as reported to the State Board on October 1 and
13

March 1, for each of the immediately preceding 3 school
14

years. For the purposes of this definition, "enrolled in
15

the Organizational Unit" means the number of students
16

reported to the State Board who are enrolled in schools
17

within the Organizational Unit that the student attends or
18

would attend if not placed or transferred to another
19

school or program to receive needed services. For the
20

purposes of calculating "ASE", all students, grades K
21

through 12, excluding those attending kindergarten for a
22

half day and students attending an alternative education
23

program operated by a regional office of education or
24

intermediate service center, shall be counted as 1.0. All
25

students attending kindergarten for a half day shall be
26

counted as 0.5, unless in 2017 by June 15 or by March 1 in

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subsequent years, the school district reports to the State
2

Board of Education the intent to implement full-day
3

kindergarten district-wide for all students, then all
4

students attending kindergarten shall be counted as 1.0.
5

Special education pre-kindergarten students shall be
6

counted as 0.5 each. If the State Board does not collect or
7

has not collected both an October 1 and March 1 enrollment
8

count by grade or a December 1 collection of special
9

education pre-kindergarten students as of August 31, 2017
10

(the effective date of Public Act 100-465), it shall
11

establish such collection for all future years. For any
12

year in which a count by grade level was collected only
13

once, that count shall be used as the single count
14

available for computing a 3-year average ASE. Funding for
15

programs operated by a regional office of education or an
16

intermediate service center must be calculated using the
17

Evidence-Based Funding formula under this Section for the
18

2019-2020 school year and each subsequent school year
19

until separate adequacy formulas are developed and adopted
20

for each type of program. ASE for a program operated by a
21

regional office of education or an intermediate service
22

center must be determined by the March 1 enrollment for
23

the program. For the 2019-2020 school year, the ASE used
24

in the calculation must be the first-year ASE and, in that
25

year only, the assignment of students served by a regional
26

office of education or intermediate service center shall

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not result in a reduction of the March enrollment for any
2

school district. For the 2020-2021 school year, the ASE
3

must be the greater of the current-year ASE or the 2-year
4

average ASE. Beginning with the 2021-2022 school year, the
5

ASE must be the greater of the current-year ASE or the
6

3-year average ASE. School districts shall submit the data
7

for the ASE calculation to the State Board within 45 days
8

of the dates required in this Section for submission of
9

enrollment data in order for it to be included in the ASE
10

calculation. For fiscal year 2018 only, the ASE
11

calculation shall include only enrollment taken on October
12

1. In recognition of the impact of COVID-19, the
13

definition of "Average Student Enrollment" or "ASE" shall
14

be adjusted for calculations under this Section for fiscal
15

years 2022 through 2024. For fiscal years 2022 through
16

2024, the enrollment used in the calculation of ASE
17

representing the 2020-2021 school year shall be the
18

greater of the enrollment for the 2020-2021 school year or
19

the 2019-2020 school year.
20

"Base Funding Guarantee" is defined in paragraph (10)
21

of subsection (g) of this Section.
22

"Base Funding Minimum" is defined in subsection (e) of
23

this Section.
24

"Base Tax Year" means the property tax levy year used
25

to calculate the Budget Year allocation of primary State
26

aid.

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"Base Tax Year's Extension" means the product of the
2

equalized assessed valuation utilized by the county clerk
3

in the Base Tax Year multiplied by the limiting rate as
4

calculated by the county clerk and defined in PTELL.
5

"Bilingual Education Allocation" means the amount of
6

an Organizational Unit's final Adequacy Target
7

attributable to bilingual education divided by the
8

Organizational Unit's final Adequacy Target, the product
9

of which shall be multiplied by the amount of new funding
10

received pursuant to this Section. An Organizational
11

Unit's final Adequacy Target attributable to bilingual
12

education shall include all additional investments in
13

English learner students' adequacy elements.
14

"Budget Year" means the school year for which primary
15

State aid is calculated and awarded under this Section.
16

"Central office" means individual administrators and
17

support service personnel charged with managing the
18

instructional programs, business and operations, and
19

security of the Organizational Unit.
20

"Comparable Wage Index" or "CWI" means a regional cost
21

differentiation metric that measures systemic, regional
22

variations in the salaries of college graduates who are
23

not educators. The CWI utilized for this Section shall,
24

for the first 3 years of Evidence-Based Funding
25

implementation, be the CWI initially developed by the
26

National Center for Education Statistics, as most recently

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updated by Texas A & M University. In the fourth and
2

subsequent years of Evidence-Based Funding implementation,
3

the State Superintendent shall re-determine the CWI using
4

the methodology identified in a comparable wage index
5

study developed by the University of Illinois, with
6

adjustments made no less frequently than once every 5
7

years.
8

"Computer technology and equipment" means computers
9

servers, notebooks, network equipment, copiers, printers,
10

instructional software, security software, curriculum
11

management courseware, and other similar materials and
12

equipment.
13

"Computer technology and equipment investment
14

allocation" means the final Adequacy Target amount of an
15

Organizational Unit assigned to Tier 1 or Tier 2 in the
16

prior school year attributable to the additional $285.50
17

per student computer technology and equipment investment
18

grant divided by the Organizational Unit's final Adequacy
19

Target, the result of which shall be multiplied by the
20

amount of new funding received pursuant to this Section.
21

An Organizational Unit assigned to a Tier 1 or Tier 2 final
22

Adequacy Target attributable to the received computer
23

technology and equipment investment grant shall include
24

all additional investments in computer technology and
25

equipment adequacy elements.
26

"Core subject" means mathematics; science; reading,

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English, writing, and language arts; history and social
2

studies; world languages; and subjects taught as Advanced
3

Placement in high schools.
4

"Core teacher" means a regular classroom teacher in
5

elementary schools and teachers of a core subject in
6

middle and high schools.
7

"Core Intervention teacher (tutor)" means a licensed
8

teacher providing one-on-one or small group tutoring to
9

students struggling to meet proficiency in core subjects.
10

"CPPRT" means corporate personal property replacement
11

tax funds paid to an Organizational Unit during the
12

calendar year one year before the calendar year in which a
13

school year begins, pursuant to "An Act in relation to the
14

abolition of ad valorem personal property tax and the
15

replacement of revenues lost thereby, and amending and
16

repealing certain Acts and parts of Acts in connection
17

therewith", certified August 14, 1979, as amended (Public
18

Act 81-1st S.S.-1).
19

"EAV" means equalized assessed valuation as defined in
20

paragraph (2) of subsection (d) of this Section and
21

calculated in accordance with paragraph (3) of subsection
22

(d) of this Section.
23

"ECI" means the Bureau of Labor Statistics' national
24

employment cost index for civilian workers in educational
25

services in elementary and secondary schools on a
26

cumulative basis for the 12-month calendar year preceding

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the fiscal year of the Evidence-Based Funding calculation.
2

"EIS Data" means the employment information system
3

data maintained by the State Board on educators within
4

Organizational Units.
5

"Employee benefits" means health, dental, and vision
6

insurance offered to employees of an Organizational Unit,
7

the costs associated with the statutorily required payment
8

of the normal cost of the Organizational Unit's teacher
9

pensions, Social Security employer contributions, and
10

Illinois Municipal Retirement Fund employer contributions.
11

"English learner" or "EL" means a child included in
12

the definition of "English learners" under Section 14C-2
13

of this Code participating in a program of transitional
14

bilingual education or a transitional program of
15

instruction meeting the requirements and program
16

application procedures of Article 14C of this Code. For
17

the purposes of collecting the number of EL students
18

enrolled, the same collection and calculation methodology
19

as defined above for "ASE" shall apply to English
20

learners, with the exception that EL student enrollment
21

shall include students in grades pre-kindergarten through
22

12.
23

"Essential Elements" means those elements, resources,
24

and educational programs that have been identified through
25

academic research as necessary to improve student success,
26

improve academic performance, close achievement gaps, and

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provide for other per student costs related to the
2

delivery and leadership of the Organizational Unit, as
3

well as the maintenance and operations of the unit, and
4

which are specified in paragraph (2) of subsection (b) of
5

this Section.
6

"Evidence-Based Funding" means State funding provided
7

to an Organizational Unit pursuant to this Section.
8

"Extended day" means academic and enrichment programs
9

provided to students outside the regular school day before
10

and after school or during non-instructional times during
11

the school day.
12

"Extension Limitation Ratio" means a numerical ratio
13

in which the numerator is the Base Tax Year's Extension
14

and the denominator is the Preceding Tax Year's Extension.
15

"Final Percent of Adequacy" is defined in paragraph
16

(4) of subsection (f) of this Section.
17

"Final Resources" is defined in paragraph (3) of
18

subsection (f) of this Section.
19

"Full-time equivalent" or "FTE" means the full-time
20

equivalency compensation for staffing the relevant
21

position at an Organizational Unit.
22

"Funding Gap" is defined in paragraph (1) of
23

subsection (g).
24

"Hybrid District" means a partial elementary unit
25

district created pursuant to Article 11E of this Code.
26

"Instructional assistant" means a core or special

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education, non-licensed employee who assists a teacher in
2

the classroom and provides academic support to students.
3

"Instructional facilitator" means a qualified teacher
4

or licensed teacher leader who facilitates and coaches
5

continuous improvement in classroom instruction; provides
6

instructional support to teachers in the elements of
7

research-based instruction or demonstrates the alignment
8

of instruction with curriculum standards and assessment
9

tools; develops or coordinates instructional programs or
10

strategies; develops and implements training; chooses
11

standards-based instructional materials; provides
12

teachers with an understanding of current research; serves
13

as a mentor, site coach, curriculum specialist, or lead
14

teacher; or otherwise works with fellow teachers, in
15

collaboration, to use data to improve instructional
16

practice or develop model lessons.
17

"Instructional materials" means relevant
18

instructional materials for student instruction,
19

including, but not limited to, textbooks, consumable
20

workbooks, laboratory equipment, library books, and other
21

similar materials.
22

"Laboratory School" means a public school that is
23

created and operated by a public university and approved
24

by the State Board.
25

"Librarian" means a teacher with an endorsement as a
26

library information specialist or another individual whose

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primary responsibility is overseeing library resources
2

within an Organizational Unit.
3

"Limiting rate for Hybrid Districts" means the
4

combined elementary school and high school limiting rates.
5

"Local Capacity" is defined in paragraph (1) of
6

subsection (c) of this Section.
7

"Local Capacity Percentage" is defined in subparagraph
8

(A) of paragraph (2) of subsection (c) of this Section.
9

"Local Capacity Ratio" is defined in subparagraph (B)
10

of paragraph (2) of subsection (c) of this Section.
11

"Local Capacity Target" is defined in paragraph (2) of
12

subsection (c) of this Section.
13

"Low-Income Count" means, for an Organizational Unit
14

in a fiscal year, the higher of the average number of
15

students for the prior school year or the immediately
16

preceding 3 school years who, as of July 1 of the
17

immediately preceding fiscal year (as determined by the
18

Department of Human Services), are eligible for at least
19

one of the following low-income programs: Medicaid, the
20

Children's Health Insurance Program, Temporary Assistance
21

for Needy Families (TANF), or the Supplemental Nutrition
22

Assistance Program, excluding pupils who are eligible for
23

services provided by the Department of Children and Family
24

Services. Until such time that grade level low-income
25

populations become available, grade level low-income
26

populations shall be determined by applying the low-income

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1

percentage to total student enrollments by grade level.
2

The low-income percentage is determined by dividing the
3

Low-Income Count by the Average Student Enrollment. The
4

low-income percentage for a regional office of education
5

or an intermediate service center operating one or more
6

alternative education programs must be set to the weighted
7

average of the low-income percentages of all of the school
8

districts in the service region. The weighted low-income
9

percentage is the result of multiplying the low-income
10

percentage of each school district served by the regional
11

office of education or intermediate service center by each
12

school district's Average Student Enrollment, summarizing
13

those products and dividing the total by the total Average
14

Student Enrollment for the service region.
15

"Maintenance and operations" means custodial services,
16

facility and ground maintenance, facility operations,
17

facility security, routine facility repairs, and other
18

similar services and functions.
19

"Minimum Funding Level" is defined in paragraph (9) of
20

subsection (g) of this Section.
21

"New Property Tax Relief Pool Funds" means, for any
22

given fiscal year, all State funds appropriated under
23

Section 2-3.170 of this Code.
24

"New State Funds" means, for a given school year, all
25

State funds appropriated for Evidence-Based Funding in
26

excess of the amount needed to fund the Base Funding

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Minimum for all Organizational Units in that school year.
2

"Nurse" means an individual licensed as a certified
3

school nurse, in accordance with the rules established for
4

nursing services by the State Board, who is an employee of
5

and is available to provide health care-related services
6

for students of an Organizational Unit.
7

"Operating Tax Rate" means the rate utilized in the
8

previous year to extend property taxes for all purposes,
9

except Bond and Interest, Summer School, Rent, Capital
10

Improvement, and Vocational Education Building purposes.
11

For Hybrid Districts, the Operating Tax Rate shall be the
12

combined elementary and high school rates utilized in the
13

previous year to extend property taxes for all purposes,
14

except Bond and Interest, Summer School, Rent, Capital
15

Improvement, and Vocational Education Building purposes.
16

"Organizational Unit" means a Laboratory School or any
17

public school district that is recognized as such by the
18

State Board and that contains elementary schools typically
19

serving kindergarten through 5th grades, middle schools
20

typically serving 6th through 8th grades,
or
high schools
21

typically serving 9th through 12th grades, a program
22

established under Section 2-3.66 or 2-3.41,
or
a program
23

operated by a regional office of education or an
24

intermediate service center under Article 13A or 13B
, or a
25

State-approved charter school that has greater than or
26

equal to 15% fewer low-income students than the school

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district in which the charter school is located
. The
2

General Assembly acknowledges that the actual grade levels
3

served by a particular Organizational Unit may vary
4

slightly from what is typical.
5

"Organizational Unit CWI" is determined by calculating
6

the CWI in the region and original county in which an
7

Organizational Unit's primary administrative office is
8

located as set forth in this paragraph, provided that if
9

the Organizational Unit CWI as calculated in accordance
10

with this paragraph is less than 0.9, the Organizational
11

Unit CWI shall be increased to 0.9. Each county's current
12

CWI value shall be adjusted based on the CWI value of that
13

county's neighboring Illinois counties, to create a
14

"weighted adjusted index value". This shall be calculated
15

by summing the CWI values of all of a county's adjacent
16

Illinois counties and dividing by the number of adjacent
17

Illinois counties, then taking the weighted value of the
18

original county's CWI value and the adjacent Illinois
19

county average. To calculate this weighted value, if the
20

number of adjacent Illinois counties is greater than 2,
21

the original county's CWI value will be weighted at 0.25
22

and the adjacent Illinois county average will be weighted
23

at 0.75. If the number of adjacent Illinois counties is 2,
24

the original county's CWI value will be weighted at 0.33
25

and the adjacent Illinois county average will be weighted
26

at 0.66. The greater of the county's current CWI value and

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its weighted adjusted index value shall be used as the
2

Organizational Unit CWI.
3

"Preceding Tax Year" means the property tax levy year
4

immediately preceding the Base Tax Year.
5

"Preceding Tax Year's Extension" means the product of
6

the equalized assessed valuation utilized by the county
7

clerk in the Preceding Tax Year multiplied by the
8

Operating Tax Rate.
9

"Preliminary Percent of Adequacy" is defined in
10

paragraph (2) of subsection (f) of this Section.
11

"Preliminary Resources" is defined in paragraph (2) of
12

subsection (f) of this Section.
13

"Principal" means a school administrator duly endorsed
14

to be employed as a principal in this State.
15

"Professional development" means training programs for
16

licensed staff in schools, including, but not limited to,
17

programs that assist in implementing new curriculum
18

programs, provide data focused or academic assessment data
19

training to help staff identify a student's weaknesses and
20

strengths, target interventions, improve instruction,
21

encompass instructional strategies for English learner,
22

gifted, or at-risk students, address inclusivity, cultural
23

sensitivity, or implicit bias, or otherwise provide
24

professional support for licensed staff.
25

"Prototypical" means 450 special education
26

pre-kindergarten and kindergarten through grade 5 students

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for an elementary school, 450 grade 6 through 8 students
2

for a middle school, and 600 grade 9 through 12 students
3

for a high school.
4

"PTELL" means the Property Tax Extension Limitation
5

Law.
6

"PTELL EAV" is defined in paragraph (4) of subsection
7

(d) of this Section.
8

"Pupil support staff" means a nurse, psychologist,
9

social worker, family liaison personnel, or other staff
10

member who provides support to at-risk or struggling
11

students.
12

"Real Receipts" is defined in paragraph (1) of
13

subsection (d) of this Section.
14

"Regionalization Factor" means, for a particular
15

Organizational Unit, the figure derived by dividing the
16

Organizational Unit CWI by the Statewide Weighted CWI.
17

"School counselor" means a licensed school counselor
18

who provides guidance and counseling support for students
19

within an Organizational Unit.
20

"School site staff" means the primary school secretary
21

and any additional clerical personnel assigned to a
22

school.
23

"Special education" means special educational
24

facilities and services, as defined in Section 14-1.08 of
25

this Code.
26

"Special Education Allocation" means the amount of an

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Organizational Unit's final Adequacy Target attributable
2

to special education divided by the Organizational Unit's
3

final Adequacy Target, the product of which shall be
4

multiplied by the amount of new funding received pursuant
5

to this Section. An Organizational Unit's final Adequacy
6

Target attributable to special education shall include all
7

special education investment adequacy elements.
8

"Specialist teacher" means a teacher who provides
9

instruction in subject areas not included in core
10

subjects, including, but not limited to, art, music,
11

physical education, health, driver education,
12

career-technical education, and such other subject areas
13

as may be mandated by State law or provided by an
14

Organizational Unit.
15

"Specially Funded Unit" means an Alternative School,
16

safe school, Department of Juvenile Justice school,
17

special education cooperative or entity recognized by the
18

State Board as a special education cooperative,
19

State-approved charter school, or alternative learning
20

opportunities program that received direct funding from
21

the State Board during the 2016-2017 school year through
22

any of the funding sources included within the calculation
23

of the Base Funding Minimum or Glenwood Academy.
24

"Supplemental Grant Funding" means supplemental
25

general State aid funding received by an Organizational
26

Unit during the 2016-2017 school year pursuant to

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subsection (H) of Section 18-8.05 of this Code (now
2

repealed).
3

"State Adequacy Level" is the sum of the Adequacy
4

Targets of all Organizational Units.
5

"State Board" means the State Board of Education.
6

"State Superintendent" means the State Superintendent
7

of Education.
8

"Statewide Weighted CWI" means a figure determined by
9

multiplying each Organizational Unit CWI times the ASE for
10

that Organizational Unit creating a weighted value,
11

summing all Organizational Units' weighted values, and
12

dividing by the total ASE of all Organizational Units,
13

thereby creating an average weighted index.
14

"Student activities" means non-credit producing
15

after-school programs, including, but not limited to,
16

clubs, bands, sports, and other activities authorized by
17

the school board of the Organizational Unit.
18

"Substitute teacher" means an individual teacher or
19

teaching assistant who is employed by an Organizational
20

Unit and is temporarily serving the Organizational Unit on
21

a per diem or per period-assignment basis to replace
22

another staff member.
23

"Summer school" means academic and enrichment programs
24

provided to students during the summer months outside of
25

the regular school year.
26

"Supervisory aide" means a non-licensed staff member

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who helps in supervising students of an Organizational
2

Unit, but does so outside of the classroom, in situations
3

such as, but not limited to, monitoring hallways and
4

playgrounds, supervising lunchrooms, or supervising
5

students when being transported in buses serving the
6

Organizational Unit.
7

"Target Ratio" is defined in paragraph (4) of
8

subsection (g).
9

"Tier 1", "Tier 2", "Tier 3", and "Tier 4" are defined
10

in paragraph (3) of subsection (g).
11

"Tier 1 Aggregate Funding", "Tier 2 Aggregate
12

Funding", "Tier 3 Aggregate Funding", and "Tier 4
13

Aggregate Funding" are defined in paragraph (1) of
14

subsection (g).
15

(b) Adequacy Target calculation.
16

(1) Each Organizational Unit's Adequacy Target is the
17

sum of the Organizational Unit's cost of providing
18

Essential Elements, as calculated in accordance with this
19

subsection (b), with the salary amounts in the Essential
20

Elements multiplied by a Regionalization Factor calculated
21

pursuant to paragraph (3) of this subsection (b).
22

(2) The Essential Elements are attributable on a pro
23

rata basis related to defined subgroups of the ASE of each
24

Organizational Unit as specified in this paragraph (2),
25

with investments and FTE positions pro rata funded based
26

on ASE counts in excess of or less than the thresholds set

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forth in this paragraph (2). The method for calculating
2

attributable pro rata costs and the defined subgroups
3

thereto are as follows:
4

(A) Core class size investments. Each
5

Organizational Unit shall receive the funding required
6

to support that number of FTE core teacher positions
7

as is needed to keep the respective class sizes of the
8

Organizational Unit to the following maximum numbers:
9

(i) For grades kindergarten through 3, the
10

Organizational Unit shall receive funding required
11

to support one FTE core teacher position for every
12

15 Low-Income Count students in those grades and
13

one FTE core teacher position for every 20
14

non-Low-Income Count students in those grades.
15

(ii) For grades 4 through 12, the
16

Organizational Unit shall receive funding required
17

to support one FTE core teacher position for every
18

20 Low-Income Count students in those grades and
19

one FTE core teacher position for every 25
20

non-Low-Income Count students in those grades.
21

The number of non-Low-Income Count students in a
22

grade shall be determined by subtracting the
23

Low-Income students in that grade from the ASE of the
24

Organizational Unit for that grade.
25

(B) Specialist teacher investments. Each
26

Organizational Unit shall receive the funding needed

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to cover that number of FTE specialist teacher
2

positions that correspond to the following
3

percentages:
4

(i) if the Organizational Unit operates an
5

elementary or middle school, then 20.00% of the
6

number of the Organizational Unit's core teachers,
7

as determined under subparagraph (A) of this
8

paragraph (2); and
9

(ii) if such Organizational Unit operates a
10

high school, then 33.33% of the number of the
11

Organizational Unit's core teachers.
12

(C) Instructional facilitator investments. Each
13

Organizational Unit shall receive the funding needed
14

to cover one FTE instructional facilitator position
15

for every 200 combined ASE of pre-kindergarten
16

children with disabilities and all kindergarten
17

through grade 12 students of the Organizational Unit.
18

(D) Core intervention teacher (tutor) investments.
19

Each Organizational Unit shall receive the funding
20

needed to cover one FTE teacher position for each
21

prototypical elementary, middle, and high school.
22

(E) Substitute teacher investments. Each
23

Organizational Unit shall receive the funding needed
24

to cover substitute teacher costs that is equal to
25

5.70% of the minimum pupil attendance days required
26

under Section 10-19 of this Code for all full-time

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equivalent core, specialist, and intervention
2

teachers, school nurses, special education teachers
3

and instructional assistants, instructional
4

facilitators, and summer school and extended day
5

teacher positions, as determined under this paragraph
6

(2), at a salary rate of 33.33% of the average salary
7

for grade K through 12 teachers and 33.33% of the
8

average salary of each instructional assistant
9

position.
10

(F) Core school counselor investments. Each
11

Organizational Unit shall receive the funding needed
12

to cover one FTE school counselor for each 450
13

combined ASE of pre-kindergarten children with
14

disabilities and all kindergarten through grade 5
15

students, plus one FTE school counselor for each 250
16

grades 6 through 8 ASE middle school students, plus
17

one FTE school counselor for each 250 grades 9 through
18

12 ASE high school students.
19

(G) Nurse investments. Each Organizational Unit
20

shall receive the funding needed to cover one FTE
21

nurse for each 750 combined ASE of pre-kindergarten
22

children with disabilities and all kindergarten
23

through grade 12 students across all grade levels it
24

serves.
25

(H) Supervisory aide investments. Each
26

Organizational Unit shall receive the funding needed

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to cover one FTE for each 225 combined ASE of
2

pre-kindergarten children with disabilities and all
3

kindergarten through grade 5 students, plus one FTE
4

for each 225 ASE middle school students, plus one FTE
5

for each 200 ASE high school students.
6

(I) Librarian investments. Each Organizational
7

Unit shall receive the funding needed to cover one FTE
8

librarian for each prototypical elementary school,
9

middle school, and high school and one FTE aide or
10

media technician for every 300 combined ASE of
11

pre-kindergarten children with disabilities and all
12

kindergarten through grade 12 students.
13

(J) Principal investments. Each Organizational
14

Unit shall receive the funding needed to cover one FTE
15

principal position for each prototypical elementary
16

school, plus one FTE principal position for each
17

prototypical middle school, plus one FTE principal
18

position for each prototypical high school.
19

(K) Assistant principal investments. Each
20

Organizational Unit shall receive the funding needed
21

to cover one FTE assistant principal position for each
22

prototypical elementary school, plus one FTE assistant
23

principal position for each prototypical middle
24

school, plus one FTE assistant principal position for
25

each prototypical high school.
26

(L) School site staff investments. Each

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Organizational Unit shall receive the funding needed
2

for one FTE position for each 225 ASE of
3

pre-kindergarten children with disabilities and all
4

kindergarten through grade 5 students, plus one FTE
5

position for each 225 ASE middle school students, plus
6

one FTE position for each 200 ASE high school
7

students.
8

(M) Gifted investments. Each Organizational Unit
9

shall receive $40 per kindergarten through grade 12
10

ASE.
11

(N) Professional development investments. Each
12

Organizational Unit shall receive $125 per student of
13

the combined ASE of pre-kindergarten children with
14

disabilities and all kindergarten through grade 12
15

students for trainers and other professional
16

development-related expenses for supplies and
17

materials.
18

(O) Instructional material investments. Each
19

Organizational Unit shall receive $190 per student of
20

the combined ASE of pre-kindergarten children with
21

disabilities and all kindergarten through grade 12
22

students to cover instructional material costs.
23

(P) Assessment investments. Each Organizational
24

Unit shall receive $25 per student of the combined ASE
25

of pre-kindergarten children with disabilities and all
26

kindergarten through grade 12 students to cover

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1

assessment costs.
2

(Q) Computer technology and equipment investments.
3

Each Organizational Unit shall receive $285.50 per
4

student of the combined ASE of pre-kindergarten
5

children with disabilities and all kindergarten
6

through grade 12 students to cover computer technology
7

and equipment costs. For the 2018-2019 school year and
8

subsequent school years, Organizational Units assigned
9

to Tier 1 and Tier 2 in the prior school year shall
10

receive an additional $285.50 per student of the
11

combined ASE of pre-kindergarten children with
12

disabilities and all kindergarten through grade 12
13

students to cover computer technology and equipment
14

costs in the Organizational Unit's Adequacy Target.
15

The State Board may establish additional requirements
16

for Organizational Unit expenditures of funds received
17

pursuant to this subparagraph (Q), including a
18

requirement that funds received pursuant to this
19

subparagraph (Q) may be used only for serving the
20

technology needs of the district. It is the intent of
21

Public Act 100-465 that all Tier 1 and Tier 2 districts
22

receive the addition to their Adequacy Target in the
23

following year, subject to compliance with the
24

requirements of the State Board.
25

(R) Student activities investments. Each
26

Organizational Unit shall receive the following

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funding amounts to cover student activities: $100 per
2

kindergarten through grade 5 ASE student in elementary
3

school, plus $200 per ASE student in middle school,
4

plus $675 per ASE student in high school.
5

(S) Maintenance and operations investments. Each
6

Organizational Unit shall receive $1,038 per student
7

of the combined ASE of pre-kindergarten children with
8

disabilities and all kindergarten through grade 12
9

students for day-to-day maintenance and operations
10

expenditures, including salary, supplies, and
11

materials, as well as purchased services, but
12

excluding employee benefits. The proportion of salary
13

for the application of a Regionalization Factor and
14

the calculation of benefits is equal to $352.92.
15

(T) Central office investments. Each
16

Organizational Unit shall receive $742 per student of
17

the combined ASE of pre-kindergarten children with
18

disabilities and all kindergarten through grade 12
19

students to cover central office operations, including
20

administrators and classified personnel charged with
21

managing the instructional programs, business and
22

operations of the school district, and security
23

personnel. The proportion of salary for the
24

application of a Regionalization Factor and the
25

calculation of benefits is equal to $368.48.
26

(U) Employee benefit investments. Each

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Organizational Unit shall receive 30% of the total of
2

all salary-calculated elements of the Adequacy Target,
3

excluding substitute teachers and student activities
4

investments, to cover benefit costs. For central
5

office and maintenance and operations investments, the
6

benefit calculation shall be based upon the salary
7

proportion of each investment. If at any time the
8

responsibility for funding the employer normal cost of
9

teacher pensions is assigned to school districts, then
10

that amount certified by the Teachers' Retirement
11

System of the State of Illinois to be paid by the
12

Organizational Unit for the preceding school year
13

shall be added to the benefit investment. For any
14

fiscal year in which a school district organized under
15

Article 34 of this Code is responsible for paying the
16

employer normal cost of teacher pensions, then that
17

amount of its employer normal cost plus the amount for
18

retiree health insurance as certified by the Public
19

School Teachers' Pension and Retirement Fund of
20

Chicago to be paid by the school district for the
21

preceding school year that is statutorily required to
22

cover employer normal costs and the amount for retiree
23

health insurance shall be added to the 30% specified
24

in this subparagraph (U). The Teachers' Retirement
25

System of the State of Illinois and the Public School
26

Teachers' Pension and Retirement Fund of Chicago shall

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submit such information as the State Superintendent
2

may require for the calculations set forth in this
3

subparagraph (U).
4

(V) Additional investments in low-income students.
5

In addition to and not in lieu of all other funding
6

under this paragraph (2), each Organizational Unit
7

shall receive funding based on the average teacher
8

salary for grades K through 12 to cover the costs of:
9

(i) one FTE intervention teacher (tutor)
10

position for every 125 Low-Income Count students;
11

(ii) one FTE pupil support staff position for
12

every 125 Low-Income Count students;
13

(iii) one FTE extended day teacher position
14

for every 120 Low-Income Count students; and
15

(iv) one FTE summer school teacher position
16

for every 120 Low-Income Count students.
17

(W) Additional investments in English learner
18

students. In addition to and not in lieu of all other
19

funding under this paragraph (2), each Organizational
20

Unit shall receive funding based on the average
21

teacher salary for grades K through 12 to cover the
22

costs of:
23

(i) one FTE intervention teacher (tutor)
24

position for every 125 English learner students;
25

(ii) one FTE pupil support staff position for
26

every 125 English learner students;

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(iii) one FTE extended day teacher position
2

for every 120 English learner students;
3

(iv) one FTE summer school teacher position
4

for every 120 English learner students; and
5

(v) one FTE core teacher position for every
6

100 English learner students.
7

(X) Special education investments. Each
8

Organizational Unit shall receive funding based on the
9

average teacher salary for grades K through 12 to
10

cover special education as follows:
11

(i) one FTE teacher position for every 141
12

combined ASE of pre-kindergarten children with
13

disabilities and all kindergarten through grade 12
14

students;
15

(ii) one FTE instructional assistant for every
16

141 combined ASE of pre-kindergarten children with
17

disabilities and all kindergarten through grade 12
18

students; and
19

(iii) one FTE psychologist position for every
20

1,000 combined ASE of pre-kindergarten children
21

with disabilities and all kindergarten through
22

grade 12 students.
23

(3) For calculating the salaries included within the
24

Essential Elements, the State Superintendent shall
25

annually calculate average salaries to the nearest dollar
26

using the employment information system data maintained by

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1

the State Board, limited to public schools only and
2

excluding special education and vocational cooperatives,
3

schools operated by the Department of Juvenile Justice,
4

and charter schools, for the following positions:
5

(A) Teacher for grades K through 8.
6

(B) Teacher for grades 9 through 12.
7

(C) Teacher for grades K through 12.
8

(D) School counselor for grades K through 8.
9

(E) School counselor for grades 9 through 12.
10

(F) School counselor for grades K through 12.
11

(G) Social worker.
12

(H) Psychologist.
13

(I) Librarian.
14

(J) Nurse.
15

(K) Principal.
16

(L) Assistant principal.
17

For the purposes of this paragraph (3), "teacher"
18

includes core teachers, specialist and elective teachers,
19

instructional facilitators, tutors, special education
20

teachers, pupil support staff teachers, English learner
21

teachers, extended day teachers, and summer school
22

teachers. Where specific grade data is not required for
23

the Essential Elements, the average salary for
24

corresponding positions shall apply. For substitute
25

teachers, the average teacher salary for grades K through
26

12 shall apply.

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For calculating the salaries included within the
2

Essential Elements for positions not included within EIS
3

Data, the following salaries shall be used in the first
4

year of implementation of Evidence-Based Funding:
5

(i) school site staff, $30,000; and
6

(ii) non-instructional assistant, instructional
7

assistant, library aide, library media tech, or
8

supervisory aide: $25,000.
9

In the second and subsequent years of implementation
10

of Evidence-Based Funding, the amounts in items (i) and
11

(ii) of this paragraph (3) shall annually increase by the
12

ECI.
13

The salary amounts for the Essential Elements
14

determined pursuant to subparagraphs (A) through (L), (S)
15

and (T), and (V) through (X) of paragraph (2) of
16

subsection (b) of this Section shall be multiplied by a
17

Regionalization Factor.
18

(c) Local Capacity calculation.
19

(1) Each Organizational Unit's Local Capacity
20

represents an amount of funding it is assumed to
21

contribute toward its Adequacy Target for purposes of the
22

Evidence-Based Funding formula calculation. "Local
23

Capacity" means either (i) the Organizational Unit's Local
24

Capacity Target as calculated in accordance with paragraph
25

(2) of this subsection (c) if its Real Receipts are equal
26

to or less than its Local Capacity Target or (ii) the

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Organizational Unit's Adjusted Local Capacity, as
2

calculated in accordance with paragraph (3) of this
3

subsection (c) if Real Receipts are more than its Local
4

Capacity Target.
5

(2) "Local Capacity Target" means, for an
6

Organizational Unit, that dollar amount that is obtained
7

by multiplying its Adequacy Target by its Local Capacity
8

Ratio.
9

(A) An Organizational Unit's Local Capacity
10

Percentage is the conversion of the Organizational
11

Unit's Local Capacity Ratio, as such ratio is
12

determined in accordance with subparagraph (B) of this
13

paragraph (2), into a cumulative distribution
14

resulting in a percentile ranking to determine each
15

Organizational Unit's relative position to all other
16

Organizational Units in this State. The calculation of
17

Local Capacity Percentage is described in subparagraph
18

(C) of this paragraph (2).
19

(B) An Organizational Unit's Local Capacity Ratio
20

in a given year is the percentage obtained by dividing
21

its Adjusted EAV or PTELL EAV, whichever is less, by
22

its Adequacy Target, with the resulting ratio further
23

adjusted as follows:
24

(i) for Organizational Units serving grades
25

kindergarten through 12 and Hybrid Districts, no
26

further adjustments shall be made;

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(ii) for Organizational Units serving grades
2

kindergarten through 8, the ratio shall be
3

multiplied by 9/13;
4

(iii) for Organizational Units serving grades
5

9 through 12, the Local Capacity Ratio shall be
6

multiplied by 4/13; and
7

(iv) for an Organizational Unit with a
8

different grade configuration than those specified
9

in items (i) through (iii) of this subparagraph
10

(B), the State Superintendent shall determine a
11

comparable adjustment based on the grades served.
12

(C) The Local Capacity Percentage is equal to the
13

percentile ranking of the district. Local Capacity
14

Percentage converts each Organizational Unit's Local
15

Capacity Ratio to a cumulative distribution resulting
16

in a percentile ranking to determine each
17

Organizational Unit's relative position to all other
18

Organizational Units in this State. The Local Capacity
19

Percentage cumulative distribution resulting in a
20

percentile ranking for each Organizational Unit shall
21

be calculated using the standard normal distribution
22

of the score in relation to the weighted mean and
23

weighted standard deviation and Local Capacity Ratios
24

of all Organizational Units. If the value assigned to
25

any Organizational Unit is in excess of 90%, the value
26

shall be adjusted to 90%. For Laboratory Schools, the

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Local Capacity Percentage shall be set at 10% in
2

recognition of the absence of EAV and resources from
3

the public university that are allocated to the
4

Laboratory School. For a regional office of education
5

or an intermediate service center operating one or
6

more alternative education programs, the Local
7

Capacity Percentage must be set at 10% in recognition
8

of the absence of EAV and resources from school
9

districts that are allocated to the regional office of
10

education or intermediate service center. The weighted
11

mean for the Local Capacity Percentage shall be
12

determined by multiplying each Organizational Unit's
13

Local Capacity Ratio times the ASE for the unit
14

creating a weighted value, summing the weighted values
15

of all Organizational Units, and dividing by the total
16

ASE of all Organizational Units. The weighted standard
17

deviation shall be determined by taking the square
18

root of the weighted variance of all Organizational
19

Units' Local Capacity Ratio, where the variance is
20

calculated by squaring the difference between each
21

unit's Local Capacity Ratio and the weighted mean,
22

then multiplying the variance for each unit times the
23

ASE for the unit to create a weighted variance for each
24

unit, then summing all units' weighted variance and
25

dividing by the total ASE of all units.
26

(D) For any Organizational Unit, the

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Organizational Unit's Adjusted Local Capacity Target
2

shall be reduced by either (i) the school board's
3

remaining contribution pursuant to paragraph (ii) of
4

subsection (b-4) of Section 16-158 of the Illinois
5

Pension Code in a given year or (ii) the board of
6

education's remaining contribution pursuant to
7

paragraph (iv) of subsection (b) of Section 17-129 of
8

the Illinois Pension Code absent the employer normal
9

cost portion of the required contribution and amount
10

allowed pursuant to subdivision (3) of Section
11

17-142.1 of the Illinois Pension Code in a given year.
12

In the preceding sentence, item (i) shall be certified
13

to the State Board of Education by the Teachers'
14

Retirement System of the State of Illinois and item
15

(ii) shall be certified to the State Board of
16

Education by the Public School Teachers' Pension and
17

Retirement Fund of the City of Chicago.
18

(3) If an Organizational Unit's Real Receipts are more
19

than its Local Capacity Target, then its Local Capacity
20

shall equal an Adjusted Local Capacity Target as
21

calculated in accordance with this paragraph (3). The
22

Adjusted Local Capacity Target is calculated as the sum of
23

the Organizational Unit's Local Capacity Target and its
24

Real Receipts Adjustment. The Real Receipts Adjustment
25

equals the Organizational Unit's Real Receipts less its
26

Local Capacity Target, with the resulting figure

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multiplied by the Local Capacity Percentage.
2

As used in this paragraph (3), "Real Percent of
3

Adequacy" means the sum of an Organizational Unit's Real
4

Receipts, CPPRT, and Base Funding Minimum, with the
5

resulting figure divided by the Organizational Unit's
6

Adequacy Target.
7

(d) Calculation of Real Receipts, EAV, and Adjusted EAV
8
for purposes of the Local Capacity calculation.
9

(1) An Organizational Unit's Real Receipts are the
10

product of its Applicable Tax Rate and its Adjusted EAV.
11

An Organizational Unit's Applicable Tax Rate is its
12

Adjusted Operating Tax Rate for property within the
13

Organizational Unit.
14

(2) The State Superintendent shall calculate the
15

equalized assessed valuation, or EAV, of all taxable
16

property of each Organizational Unit as of September 30 of
17

the previous year in accordance with paragraph (3) of this
18

subsection (d). The State Superintendent shall then
19

determine the Adjusted EAV of each Organizational Unit in
20

accordance with paragraph (4) of this subsection (d),
21

which Adjusted EAV figure shall be used for the purposes
22

of calculating Local Capacity.
23

(3) To calculate Real Receipts and EAV, the Department
24

of Revenue shall supply to the State Superintendent the
25

value as equalized or assessed by the Department of
26

Revenue of all taxable property of every Organizational

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Unit, together with (i) the applicable tax rate used in
2

extending taxes for the funds of the Organizational Unit
3

as of September 30 of the previous year and (ii) the
4

limiting rate for all Organizational Units subject to
5

property tax extension limitations as imposed under PTELL.
6

(A) The Department of Revenue shall add to the
7

equalized assessed value of all taxable property of
8

each Organizational Unit situated entirely or
9

partially within a county that is or was subject to the
10

provisions of Section 15-176 or 15-177 of the Property
11

Tax Code (i) an amount equal to the total amount by
12

which the homestead exemption allowed under Section
13

15-176 or 15-177 of the Property Tax Code for real
14

property situated in that Organizational Unit exceeds
15

the total amount that would have been allowed in that
16

Organizational Unit if the maximum reduction under
17

Section 15-176 was (I) $4,500 in Cook County or $3,500
18

in all other counties in tax year 2003 or (II) $5,000
19

in all counties in tax year 2004 and thereafter and
20

(ii) an amount equal to the aggregate amount for the
21

taxable year of all additional exemptions under
22

Section 15-175 of the Property Tax Code for owners
23

with a household income of $30,000 or less. The county
24

clerk of any county that is or was subject to the
25

provisions of Section 15-176 or 15-177 of the Property
26

Tax Code shall annually calculate and certify to the

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Department of Revenue for each Organizational Unit all
2

homestead exemption amounts under Section 15-176 or
3

15-177 of the Property Tax Code and all amounts of
4

additional exemptions under Section 15-175 of the
5

Property Tax Code for owners with a household income
6

of $30,000 or less. It is the intent of this
7

subparagraph (A) that if the general homestead
8

exemption for a parcel of property is determined under
9

Section 15-176 or 15-177 of the Property Tax Code
10

rather than Section 15-175, then the calculation of
11

EAV shall not be affected by the difference, if any,
12

between the amount of the general homestead exemption
13

allowed for that parcel of property under Section
14

15-176 or 15-177 of the Property Tax Code and the
15

amount that would have been allowed had the general
16

homestead exemption for that parcel of property been
17

determined under Section 15-175 of the Property Tax
18

Code. It is further the intent of this subparagraph
19

(A) that if additional exemptions are allowed under
20

Section 15-175 of the Property Tax Code for owners
21

with a household income of less than $30,000, then the
22

calculation of EAV shall not be affected by the
23

difference, if any, because of those additional
24

exemptions.
25

(B) With respect to any part of an Organizational
26

Unit within a redevelopment project area in respect to

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which a municipality has adopted tax increment
2

allocation financing pursuant to the Tax Increment
3

Allocation Redevelopment Act, Division 74.4 of Article
4

11 of the Illinois Municipal Code, or the Industrial
5

Jobs Recovery Law, Division 74.6 of Article 11 of the
6

Illinois Municipal Code, no part of the current EAV of
7

real property located in any such project area that is
8

attributable to an increase above the total initial
9

EAV of such property shall be used as part of the EAV
10

of the Organizational Unit, until such time as all
11

redevelopment project costs have been paid, as
12

provided in Section 11-74.4-8 of the Tax Increment
13

Allocation Redevelopment Act or in Section 11-74.6-35
14

of the Industrial Jobs Recovery Law. For the purpose
15

of the EAV of the Organizational Unit, the total
16

initial EAV or the current EAV, whichever is lower,
17

shall be used until such time as all redevelopment
18

project costs have been paid.
19

(B-5) The real property equalized assessed
20

valuation for a school district shall be adjusted by
21

subtracting from the real property value, as equalized
22

or assessed by the Department of Revenue, for the
23

district an amount computed by dividing the amount of
24

any abatement of taxes under Section 18-170 of the
25

Property Tax Code by 3.00% for a district maintaining
26

grades kindergarten through 12, by 2.30% for a

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district maintaining grades kindergarten through 8, or
2

by 1.05% for a district maintaining grades 9 through
3

12 and adjusted by an amount computed by dividing the
4

amount of any abatement of taxes under subsection (a)
5

of Section 18-165 of the Property Tax Code by the same
6

percentage rates for district type as specified in
7

this subparagraph (B-5).
8

(C) For Organizational Units that are Hybrid
9

Districts, the State Superintendent shall use the
10

lesser of the adjusted equalized assessed valuation
11

for property within the partial elementary unit
12

district for elementary purposes, as defined in
13

Article 11E of this Code, or the adjusted equalized
14

assessed valuation for property within the partial
15

elementary unit district for high school purposes, as
16

defined in Article 11E of this Code.
17

(D) If a school district's boundaries span
18

multiple counties, then the Department of Revenue
19

shall send to the State Board, for the purposes of
20

calculating Evidence-Based Funding, the limiting rate
21

and individual rates by purpose for the county that
22

contains the majority of the school district's
23

equalized assessed valuation.
24

(4) An Organizational Unit's Adjusted EAV shall be the
25

average of its EAV over the immediately preceding 3 years
26

or the lesser of its EAV in the immediately preceding year

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or the average of its EAV over the immediately preceding 3
2

years if the EAV in the immediately preceding year has
3

declined by 10% or more when comparing the 2 most recent
4

years. In the event of Organizational Unit reorganization,
5

consolidation, or annexation, the Organizational Unit's
6

Adjusted EAV for the first 3 years after such change shall
7

be as follows: the most current EAV shall be used in the
8

first year, the average of a 2-year EAV or its EAV in the
9

immediately preceding year if the EAV declines by 10% or
10

more when comparing the 2 most recent years for the second
11

year, and the lesser of a 3-year average EAV or its EAV in
12

the immediately preceding year if the Adjusted EAV
13

declines by 10% or more when comparing the 2 most recent
14

years for the third year. For any school district whose
15

EAV in the immediately preceding year is used in
16

calculations, in the following year, the Adjusted EAV
17

shall be the average of its EAV over the immediately
18

preceding 2 years or the immediately preceding year if
19

that year represents a decline of 10% or more when
20

comparing the 2 most recent years.
21

"PTELL EAV" means a figure calculated by the State
22

Board for Organizational Units subject to PTELL as
23

described in this paragraph (4) for the purposes of
24

calculating an Organizational Unit's Local Capacity Ratio.
25

Except as otherwise provided in this paragraph (4), the
26

PTELL EAV of an Organizational Unit shall be equal to the

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product of the equalized assessed valuation last used in
2

the calculation of general State aid under Section 18-8.05
3

of this Code (now repealed) or Evidence-Based Funding
4

under this Section and the Organizational Unit's Extension
5

Limitation Ratio. If an Organizational Unit has approved
6

or does approve an increase in its limiting rate, pursuant
7

to Section 18-190 of the Property Tax Code, affecting the
8

Base Tax Year, the PTELL EAV shall be equal to the product
9

of the equalized assessed valuation last used in the
10

calculation of general State aid under Section 18-8.05 of
11

this Code (now repealed) or Evidence-Based Funding under
12

this Section multiplied by an amount equal to one plus the
13

percentage increase, if any, in the Consumer Price Index
14

for All Urban Consumers for all items published by the
15

United States Department of Labor for the 12-month
16

calendar year preceding the Base Tax Year, plus the
17

equalized assessed valuation of new property, annexed
18

property, and recovered tax increment value and minus the
19

equalized assessed valuation of disconnected property.
20

As used in this paragraph (4), "new property" and
21

"recovered tax increment value" shall have the meanings
22

set forth in the Property Tax Extension Limitation Law.
23

(e) Base Funding Minimum calculation.
24

(1) For the 2017-2018 school year, the Base Funding
25

Minimum of an Organizational Unit or a Specially Funded
26

Unit shall be the amount of State funds distributed to the

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Organizational Unit or Specially Funded Unit during the
2

2016-2017 school year prior to any adjustments and
3

specified appropriation amounts described in this
4

paragraph (1) from the following Sections, as calculated
5

by the State Superintendent: Section 18-8.05 of this Code
6

(now repealed); Section 5 of Article 224 of Public Act
7

99-524 (equity grants); Section 14-7.02b of this Code
8

(funding for children requiring special education
9

services); Section 14-13.01 of this Code (special
10

education facilities and staffing), except for
11

reimbursement of the cost of transportation pursuant to
12

Section 14-13.01; Section 14C-12 of this Code (English
13

learners); and Section 18-4.3 of this Code (summer
14

school), based on an appropriation level of $13,121,600.
15

For a school district organized under Article 34 of this
16

Code, the Base Funding Minimum also includes (i) the funds
17

allocated to the school district pursuant to Section 1D-1
18

of this Code attributable to funding programs authorized
19

by the Sections of this Code listed in the preceding
20

sentence and (ii) the difference between (I) the funds
21

allocated to the school district pursuant to Section 1D-1
22

of this Code attributable to the funding programs
23

authorized by Section 14-7.02 (non-public special
24

education reimbursement), subsection (b) of Section
25

14-13.01 (special education transportation), Section 29-5
26

(transportation), Section 2-3.80 (agricultural

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education), Section 2-3.66 (truants' alternative
2

education), Section 2-3.62 (educational service centers),
3

and Section 14-7.03 (special education - orphanage) of
4

this Code and Section 15 of the Childhood Hunger Relief
5

Act (free breakfast program) and (II) the school
6

district's actual expenditures for its non-public special
7

education, special education transportation,
8

transportation programs, agricultural education, truants'
9

alternative education, services that would otherwise be
10

performed by a regional office of education, special
11

education orphanage expenditures, and free breakfast, as
12

most recently calculated and reported pursuant to
13

subsection (f) of Section 1D-1 of this Code. The Base
14

Funding Minimum for Glenwood Academy shall be $952,014.
15

For programs operated by a regional office of education or
16

an intermediate service center, the Base Funding Minimum
17

must be the total amount of State funds allocated to those
18

programs in the 2018-2019 school year and amounts provided
19

pursuant to Article 34 of Public Act 100-586 and Section
20

3-16 of this Code. All programs established after June 5,
21

2019 (the effective date of Public Act 101-10) and
22

administered by a regional office of education or an
23

intermediate service center must have an initial Base
24

Funding Minimum set to an amount equal to the first-year
25

ASE multiplied by the amount of per pupil funding received
26

in the previous school year by the lowest funded similar

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existing program type. If the enrollment for a program
2

operated by a regional office of education or an
3

intermediate service center is zero, then it may not
4

receive Base Funding Minimum funds for that program in the
5

next fiscal year, and those funds must be distributed to
6

Organizational Units under subsection (g).
7

(2) For the 2018-2019 and subsequent school years, the
8

Base Funding Minimum of Organizational Units and Specially
9

Funded Units shall be the sum of (i) the amount of
10

Evidence-Based Funding for the prior school year, (ii) the
11

Base Funding Minimum for the prior school year, and (iii)
12

any amount received by a school district pursuant to
13

Section 7 of Article 97 of Public Act 100-21.
14

For the 2022-2023 school year, the Base Funding
15

Minimum of Organizational Units shall be the amounts
16

recalculated by the State Board of Education for Fiscal
17

Year 2019 through Fiscal Year 2022 that were necessary due
18

to average student enrollment errors for districts
19

organized under Article 34 of this Code, plus the Fiscal
20

Year 2022 property tax relief grants provided under
21

Section 2-3.170 of this Code, ensuring each Organizational
22

Unit has the correct amount of resources for Fiscal Year
23

2023 Evidence-Based Funding calculations and that Fiscal
24

Year 2023 Evidence-Based Funding Distributions are made in
25

accordance with this Section.
26

(3) Subject to approval by the General Assembly as

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provided in this paragraph (3), an Organizational Unit
2

that meets all of the following criteria, as determined by
3

the State Board, shall have District Intervention Money
4

added to its Base Funding Minimum at the time the Base
5

Funding Minimum is calculated by the State Board:
6

(A) The Organizational Unit is operating under an
7

Independent Authority under Section 2-3.25f-5 of this
8

Code for a minimum of 4 school years or is subject to
9

the control of the State Board pursuant to a court
10

order for a minimum of 4 school years.
11

(B) The Organizational Unit was designated as a
12

Tier 1 or Tier 2 Organizational Unit in the previous
13

school year under paragraph (3) of subsection (g) of
14

this Section.
15

(C) The Organizational Unit demonstrates
16

sustainability through a 5-year financial and
17

strategic plan.
18

(D) The Organizational Unit has made sufficient
19

progress and achieved sufficient stability in the
20

areas of governance, academic growth, and finances.
21

As part of its determination under this paragraph (3),
22

the State Board may consider the Organizational Unit's
23

summative designation, any accreditations of the
24

Organizational Unit, or the Organizational Unit's
25

financial profile, as calculated by the State Board.
26

If the State Board determines that an Organizational

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Unit has met the criteria set forth in this paragraph (3),
2

it must submit a report to the General Assembly, no later
3

than January 2 of the fiscal year in which the State Board
4

makes it determination, on the amount of District
5

Intervention Money to add to the Organizational Unit's
6

Base Funding Minimum. The General Assembly must review the
7

State Board's report and may approve or disapprove, by
8

joint resolution, the addition of District Intervention
9

Money. If the General Assembly fails to act on the report
10

within 40 calendar days from the receipt of the report,
11

the addition of District Intervention Money is deemed
12

approved. If the General Assembly approves the amount of
13

District Intervention Money to be added to the
14

Organizational Unit's Base Funding Minimum, the District
15

Intervention Money must be added to the Base Funding
16

Minimum annually thereafter.
17

For the first 4 years following the initial year that
18

the State Board determines that an Organizational Unit has
19

met the criteria set forth in this paragraph (3) and has
20

received funding under this Section, the Organizational
21

Unit must annually submit to the State Board, on or before
22

November 30, a progress report regarding its financial and
23

strategic plan under subparagraph (C) of this paragraph
24

(3). The plan shall include the financial data from the
25

past 4 annual financial reports or financial audits that
26

must be presented to the State Board by November 15 of each

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year and the approved budget financial data for the
2

current year. The plan shall be developed according to the
3

guidelines presented to the Organizational Unit by the
4

State Board. The plan shall further include financial
5

projections for the next 3 fiscal years and include a
6

discussion and financial summary of the Organizational
7

Unit's facility needs. If the Organizational Unit does not
8

demonstrate sufficient progress toward its 5-year plan or
9

if it has failed to file an annual financial report, an
10

annual budget, a financial plan, a deficit reduction plan,
11

or other financial information as required by law, the
12

State Board may establish a Financial Oversight Panel
13

under Article 1H of this Code. However, if the
14

Organizational Unit already has a Financial Oversight
15

Panel, the State Board may extend the duration of the
16

Panel.
17

(f) Percent of Adequacy and Final Resources calculation.
18

(1) The Evidence-Based Funding formula establishes a
19

Percent of Adequacy for each Organizational Unit in order
20

to place such units into tiers for the purposes of the
21

funding distribution system described in subsection (g) of
22

this Section. Initially, an Organizational Unit's
23

Preliminary Resources and Preliminary Percent of Adequacy
24

are calculated pursuant to paragraph (2) of this
25

subsection (f). Then, an Organizational Unit's Final
26

Resources and Final Percent of Adequacy are calculated to

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account for the Organizational Unit's poverty
2

concentration levels pursuant to paragraphs (3) and (4) of
3

this subsection (f).
4

(2) An Organizational Unit's Preliminary Resources are
5

equal to the sum of its Local Capacity Target, CPPRT, and
6

Base Funding Minimum. An Organizational Unit's Preliminary
7

Percent of Adequacy is the lesser of (i) its Preliminary
8

Resources divided by its Adequacy Target or (ii) 100%.
9

(3) Except for Specially Funded Units, an
10

Organizational Unit's Final Resources are equal to the sum
11

of its Local Capacity, CPPRT, and Adjusted Base Funding
12

Minimum. The Base Funding Minimum of each Specially Funded
13

Unit shall serve as its Final Resources, except that the
14

Base Funding Minimum for State-approved charter schools
15

shall not include any portion of general State aid
16

allocated in the prior year based on the per capita
17

tuition charge times the charter school enrollment.
18

(4) An Organizational Unit's Final Percent of Adequacy
19

is its Final Resources divided by its Adequacy Target. An
20

Organizational Unit's Adjusted Base Funding Minimum is
21

equal to its Base Funding Minimum less its Supplemental
22

Grant Funding, with the resulting figure added to the
23

product of its Supplemental Grant Funding and Preliminary
24

Percent of Adequacy.
25

(g) Evidence-Based Funding formula distribution system.
26

(1) In each school year under the Evidence-Based

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Funding formula, each Organizational Unit receives funding
2

equal to the sum of its Base Funding Minimum and the unit's
3

allocation of New State Funds determined pursuant to this
4

subsection (g). To allocate New State Funds, the
5

Evidence-Based Funding formula distribution system first
6

places all Organizational Units into one of 4 tiers in
7

accordance with paragraph (3) of this subsection (g),
8

based on the Organizational Unit's Final Percent of
9

Adequacy. New State Funds are allocated to each of the 4
10

tiers as follows: Tier 1 Aggregate Funding equals 50% of
11

all New State Funds, Tier 2 Aggregate Funding equals 49%
12

of all New State Funds, Tier 3 Aggregate Funding equals
13

0.9% of all New State Funds, and Tier 4 Aggregate Funding
14

equals 0.1% of all New State Funds. Each Organizational
15

Unit within Tier 1 or Tier 2 receives an allocation of New
16

State Funds equal to its tier Funding Gap, as defined in
17

the following sentence, multiplied by the tier's
18

Allocation Rate determined pursuant to paragraph (4) of
19

this subsection (g). For Tier 1, an Organizational Unit's
20

Funding Gap equals the tier's Target Ratio, as specified
21

in paragraph (5) of this subsection (g), multiplied by the
22

Organizational Unit's Adequacy Target, with the resulting
23

amount reduced by the Organizational Unit's Final
24

Resources. For Tier 2, an Organizational Unit's Funding
25

Gap equals the tier's Target Ratio, as described in
26

paragraph (5) of this subsection (g), multiplied by the

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Organizational Unit's Adequacy Target, with the resulting
2

amount reduced by the Organizational Unit's Final
3

Resources and its Tier 1 funding allocation. To determine
4

the Organizational Unit's Funding Gap, the resulting
5

amount is then multiplied by a factor equal to one minus
6

the Organizational Unit's Local Capacity Target
7

percentage. Each Organizational Unit within Tier 3 or Tier
8

4 receives an allocation of New State Funds equal to the
9

product of its Adequacy Target and the tier's Allocation
10

Rate, as specified in paragraph (4) of this subsection
11

(g).
12

(2) To ensure equitable distribution of dollars for
13

all Tier 2 Organizational Units, no Tier 2 Organizational
14

Unit shall receive fewer dollars per ASE than any Tier 3
15

Organizational Unit. Each Tier 2 and Tier 3 Organizational
16

Unit shall have its funding allocation divided by its ASE.
17

Any Tier 2 Organizational Unit with a funding allocation
18

per ASE below the greatest Tier 3 allocation per ASE shall
19

get a funding allocation equal to the greatest Tier 3
20

funding allocation per ASE multiplied by the
21

Organizational Unit's ASE. Each Tier 2 Organizational
22

Unit's Tier 2 funding allocation shall be multiplied by
23

the percentage calculated by dividing the original Tier 2
24

Aggregate Funding by the sum of all Tier 2 Organizational
25

Units' Tier 2 funding allocation after adjusting
26

districts' funding below Tier 3 levels.

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1

(3) Organizational Units are placed into one of 4
2

tiers as follows:
3

(A) Tier 1 consists of all Organizational Units,
4

except for Specially Funded Units, with a Percent of
5

Adequacy less than the Tier 1 Target Ratio. The Tier 1
6

Target Ratio is the ratio level that allows for Tier 1
7

Aggregate Funding to be distributed, with the Tier 1
8

Allocation Rate determined pursuant to paragraph (4)
9

of this subsection (g).
10

(B) Tier 2 consists of all Tier 1 Units and all
11

other Organizational Units, except for Specially
12

Funded Units, with a Percent of Adequacy of less than
13

0.90.
14

(C) Tier 3 consists of all Organizational Units,
15

except for Specially Funded Units, with a Percent of
16

Adequacy of at least 0.90 and less than 1.0.
17

(D) Tier 4 consists of all Organizational Units
18

with a Percent of Adequacy of at least 1.0.
19

(4) The Allocation Rates for Tiers 1 through 4 are
20

determined as follows:
21

(A) The Tier 1 Allocation Rate is 30%.
22

(B) The Tier 2 Allocation Rate is the result of the
23

following equation: Tier 2 Aggregate Funding, divided
24

by the sum of the Funding Gaps for all Tier 2
25

Organizational Units, unless the result of such
26

equation is higher than 1.0. If the result of such

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1

equation is higher than 1.0, then the Tier 2
2

Allocation Rate is 1.0.
3

(C) The Tier 3 Allocation Rate is the result of the
4

following equation: Tier 3 Aggregate Funding, divided
5

by the sum of the Adequacy Targets of all Tier 3
6

Organizational Units.
7

(D) The Tier 4 Allocation Rate is the result of the
8

following equation: Tier 4 Aggregate Funding, divided
9

by the sum of the Adequacy Targets of all Tier 4
10

Organizational Units.
11

(5) A tier's Target Ratio is determined as follows:
12

(A) The Tier 1 Target Ratio is the ratio level that
13

allows for Tier 1 Aggregate Funding to be distributed
14

with the Tier 1 Allocation Rate.
15

(B) The Tier 2 Target Ratio is 0.90.
16

(C) The Tier 3 Target Ratio is 1.0.
17

(6) If, at any point, the Tier 1 Target Ratio is
18

greater than 90%, then all Tier 1 funding shall be
19

allocated to Tier 2 and no Tier 1 Organizational Unit's
20

funding may be identified.
21

(7) In the event that all Tier 2 Organizational Units
22

receive funding at the Tier 2 Target Ratio level, any
23

remaining New State Funds shall be allocated to Tier 3 and
24

Tier 4 Organizational Units.
25

(8) If any Specially Funded Units, excluding Glenwood
26

Academy, recognized by the State Board do not qualify for

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1

direct funding following the implementation of Public Act
2

100-465 from any of the funding sources included within
3

the definition of Base Funding Minimum, the unqualified
4

portion of the Base Funding Minimum shall be transferred
5

to one or more appropriate Organizational Units as
6

determined by the State Superintendent based on the prior
7

year ASE of the Organizational Units.
8

(8.5) If a school district withdraws from a special
9

education cooperative, the portion of the Base Funding
10

Minimum that is attributable to the school district may be
11

redistributed to the school district upon withdrawal. The
12

school district and the cooperative must include the
13

amount of the Base Funding Minimum that is to be
14

reapportioned in their withdrawal agreement and notify the
15

State Board of the change with a copy of the agreement upon
16

withdrawal.
17

(9) The Minimum Funding Level is intended to establish
18

a target for State funding that will keep pace with
19

inflation and continue to advance equity through the
20

Evidence-Based Funding formula. The target for State
21

funding of New Property Tax Relief Pool Funds is
22

$50,000,000 for State fiscal year 2019 and subsequent
23

State fiscal years. The Minimum Funding Level is equal to
24

$350,000,000. In addition to any New State Funds, no more
25

than $50,000,000 New Property Tax Relief Pool Funds may be
26

counted toward the Minimum Funding Level. If the sum of

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New State Funds and applicable New Property Tax Relief
2

Pool Funds are less than the Minimum Funding Level, than
3

funding for tiers shall be reduced in the following
4

manner:
5

(A) First, Tier 4 funding shall be reduced by an
6

amount equal to the difference between the Minimum
7

Funding Level and New State Funds until such time as
8

Tier 4 funding is exhausted.
9

(B) Next, Tier 3 funding shall be reduced by an
10

amount equal to the difference between the Minimum
11

Funding Level and New State Funds and the reduction in
12

Tier 4 funding until such time as Tier 3 funding is
13

exhausted.
14

(C) Next, Tier 2 funding shall be reduced by an
15

amount equal to the difference between the Minimum
16

Funding Level and New State Funds and the reduction in
17

Tier 4 and Tier 3.
18

(D) Finally, Tier 1 funding shall be reduced by an
19

amount equal to the difference between the Minimum
20

Funding level and New State Funds and the reduction in
21

Tier 2, 3, and 4 funding. In addition, the Allocation
22

Rate for Tier 1 shall be reduced to a percentage equal
23

to the Tier 1 Allocation Rate set by paragraph (4) of
24

this subsection (g), multiplied by the result of New
25

State Funds divided by the Minimum Funding Level.
26

(9.5) For State fiscal year 2019 and subsequent State

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1

fiscal years, except State fiscal year 2026, if New State
2

Funds exceed $300,000,000, then any amount in excess of
3

$300,000,000 shall be dedicated for purposes of Section
4

2-3.170 of this Code up to a maximum of $50,000,000.
5

(10) In the event of a decrease in the amount of the
6

appropriation for this Section in any fiscal year after
7

implementation of this Section, the Organizational Units
8

receiving Tier 1 and Tier 2 funding, as determined under
9

paragraph (3) of this subsection (g), shall be held
10

harmless by establishing a Base Funding Guarantee equal to
11

the per pupil kindergarten through grade 12 funding
12

received in accordance with this Section in the prior
13

fiscal year. Reductions shall be made to the Base Funding
14

Minimum of Organizational Units in Tier 3 and Tier 4 on a
15

per pupil basis equivalent to the total number of the ASE
16

in Tier 3-funded and Tier 4-funded Organizational Units
17

divided by the total reduction in State funding. The Base
18

Funding Minimum as reduced shall continue to be applied to
19

Tier 3 and Tier 4 Organizational Units and adjusted by the
20

relative formula when increases in appropriations for this
21

Section resume. In no event may State funding reductions
22

to Organizational Units in Tier 3 or Tier 4 exceed an
23

amount that would be less than the Base Funding Minimum
24

established in the first year of implementation of this
25

Section. If additional reductions are required, all school
26

districts shall receive a reduction by a per pupil amount

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1

equal to the aggregate additional appropriation reduction
2

divided by the total ASE of all Organizational Units.
3

(11) The State Superintendent shall make minor
4

adjustments to the distribution formula set forth in this
5

subsection (g) to account for the rounding of percentages
6

to the nearest tenth of a percentage and dollar amounts to
7

the nearest whole dollar.
8

(h) State Superintendent administration of funding and
9
district submission requirements.
10

(1) The State Superintendent shall, in accordance with
11

appropriations made by the General Assembly, meet the
12

funding obligations created under this Section.
13

(2) The State Superintendent shall calculate the
14

Adequacy Target for each Organizational Unit under this
15

Section. No Evidence-Based Funding shall be distributed
16

within an Organizational Unit without the approval of the
17

unit's school board.
18

(3) Annually, the State Superintendent shall calculate
19

and report to each Organizational Unit the unit's
20

aggregate financial adequacy amount, which shall be the
21

sum of the Adequacy Target for each Organizational Unit.
22

The State Superintendent shall calculate and report
23

separately for each Organizational Unit the unit's total
24

State funds allocated for its students with disabilities.
25

The State Superintendent shall calculate and report
26

separately for each Organizational Unit the amount of

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1

funding and applicable FTE calculated for each Essential
2

Element of the unit's Adequacy Target.
3

(4) Annually, the State Superintendent shall calculate
4

and report to each Organizational Unit the amount the unit
5

must expend on special education and bilingual education
6

and computer technology and equipment for Organizational
7

Units assigned to Tier 1 or Tier 2 that received an
8

additional $285.50 per student computer technology and
9

equipment investment grant to their Adequacy Target
10

pursuant to the unit's Base Funding Minimum, Special
11

Education Allocation, Bilingual Education Allocation, and
12

computer technology and equipment investment allocation.
13

(5) Moneys distributed under this Section shall be
14

calculated on a school year basis, but paid on a fiscal
15

year basis, with payments beginning in August and
16

extending through June. Unless otherwise provided, the
17

moneys appropriated for each fiscal year shall be
18

distributed in 22 equal payments at least 2 times monthly
19

to each Organizational Unit. If moneys appropriated for
20

any fiscal year are distributed other than monthly, the
21

distribution shall be on the same basis for each
22

Organizational Unit.
23

(6) Any school district that fails, for any given
24

school year, to maintain school as required by law or to
25

maintain a recognized school is not eligible to receive
26

Evidence-Based Funding. In case of non-recognition of one

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1

or more attendance centers in a school district otherwise
2

operating recognized schools, the claim of the district
3

shall be reduced in the proportion that the enrollment in
4

the attendance center or centers bears to the enrollment
5

of the school district. "Recognized school" means any
6

public school that meets the standards for recognition by
7

the State Board. A school district or attendance center
8

not having recognition status at the end of a school term
9

is entitled to receive State aid payments due upon a legal
10

claim that was filed while it was recognized.
11

(7) School district claims filed under this Section
12

are subject to Sections 18-9 and 18-12 of this Code,
13

except as otherwise provided in this Section.
14

(8) Each fiscal year, the State Superintendent shall
15

calculate for each Organizational Unit an amount of its
16

Base Funding Minimum and Evidence-Based Funding that shall
17

be deemed attributable to the provision of special
18

educational facilities and services, as defined in Section
19

14-1.08 of this Code, in a manner that ensures compliance
20

with maintenance of State financial support requirements
21

under the federal Individuals with Disabilities Education
22

Act. An Organizational Unit must use such funds only for
23

the provision of special educational facilities and
24

services, as defined in Section 14-1.08 of this Code, and
25

must comply with any expenditure verification procedures
26

adopted by the State Board.

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1

(9) All Organizational Units in this State must submit
2

annual spending plans, as part of the budget submission
3

process, no later than October 31 of each year to the State
4

Board. The spending plan shall describe how each
5

Organizational Unit will utilize the Base Funding Minimum
6

and Evidence-Based Funding it receives from this State
7

under this Section with specific identification of the
8

intended utilization of Low-Income, English learner, and
9

special education resources. Additionally, the annual
10

spending plans of each Organizational Unit shall describe
11

how the Organizational Unit expects to achieve student
12

growth and how the Organizational Unit will achieve State
13

education goals, as defined by the State Board, and shall
14

indicate which stakeholder groups the Organizational Unit
15

engaged with to inform its annual spending plans. The
16

State Superintendent may, from time to time, identify
17

additional requisites for Organizational Units to satisfy
18

when compiling the annual spending plans required under
19

this subsection (h). The format and scope of annual
20

spending plans shall be developed by the State
21

Superintendent and the State Board of Education. School
22

districts that serve students under Article 14C of this
23

Code shall continue to submit information as required
24

under Section 14C-12 of this Code. Annual spending plans
25

required under this subsection (h) shall be integrated
26

into annual school district budgets completed pursuant to

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1

Section 17-1 or Section 34-43. Organizational Units that
2

do not submit a budget to the State Board shall be provided
3

with a separate planning template developed by the State
4

Board. The State Board shall create an Evidence-Based
5

Funding spending plan tool to make Evidence-Based Funding
6

spending plan data for each Organizational Unit available
7

on the State Board's website no later than December 31,
8

2025, with annual updates thereafter. The tool shall allow
9

for the selection and review of each Organizational Unit's
10

planned use of Evidence-Based Funding.
11

(10) No later than January 1, 2018, the State
12

Superintendent shall develop a 5-year strategic plan for
13

all Organizational Units to help in planning for adequacy
14

funding under this Section. The State Superintendent shall
15

submit the plan to the Governor and the General Assembly,
16

as provided in Section 3.1 of the General Assembly
17

Organization Act. The plan shall include recommendations
18

for:
19

(A) a framework for collaborative, professional,
20

innovative, and 21st century learning environments
21

using the Evidence-Based Funding model;
22

(B) ways to prepare and support this State's
23

educators for successful instructional careers;
24

(C) application and enhancement of the current
25

financial accountability measures, the approved State
26

plan to comply with the federal Every Student Succeeds

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1

Act, and the Illinois Balanced Accountability Measures
2

in relation to student growth and elements of the
3

Evidence-Based Funding model; and
4

(D) implementation of an effective school adequacy
5

funding system based on projected and recommended
6

funding levels from the General Assembly.
7

(11) On an annual basis, the State Superintendent must
8

recalibrate all of the following per pupil elements of the
9

Adequacy Target and applied to the formulas, based on the
10

study of average expenses and as reported in the most
11

recent annual financial report:
12

(A) Gifted under subparagraph (M) of paragraph (2)
13

of subsection (b).
14

(B) Instructional materials under subparagraph (O)
15

of paragraph (2) of subsection (b).
16

(C) Assessment under subparagraph (P) of paragraph
17

(2) of subsection (b).
18

(D) Student activities under subparagraph (R) of
19

paragraph (2) of subsection (b).
20

(E) Maintenance and operations under subparagraph
21

(S) of paragraph (2) of subsection (b).
22

(F) Central office under subparagraph (T) of
23

paragraph (2) of subsection (b).
24

(i) Professional Review Panel.
25

(1) A Professional Review Panel is created to study
26

and review topics related to the implementation and effect

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1

of Evidence-Based Funding, as assigned by a joint
2

resolution or Public Act of the General Assembly or a
3

motion passed by the State Board of Education. The Panel
4

must provide recommendations to and serve the Governor,
5

the General Assembly, and the State Board. The State
6

Superintendent or his or her designee must serve as a
7

voting member and chairperson of the Panel. The State
8

Superintendent must appoint a vice chairperson from the
9

membership of the Panel. The Panel must advance
10

recommendations based on a three-fifths majority vote of
11

Panel members present and voting. A minority opinion may
12

also accompany any recommendation of the Panel. The Panel
13

shall be appointed by the State Superintendent, except as
14

otherwise provided in paragraph (2) of this subsection (i)
15

and include the following members:
16

(A) Two appointees that represent district
17

superintendents, recommended by a statewide
18

organization that represents district superintendents.
19

(B) Two appointees that represent school boards,
20

recommended by a statewide organization that
21

represents school boards.
22

(C) Two appointees from districts that represent
23

school business officials, recommended by a statewide
24

organization that represents school business
25

officials.
26

(D) Two appointees that represent school

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1

principals, recommended by a statewide organization
2

that represents school principals.
3

(E) Two appointees that represent teachers,
4

recommended by a statewide organization that
5

represents teachers.
6

(F) Two appointees that represent teachers,
7

recommended by another statewide organization that
8

represents teachers.
9

(G) Two appointees that represent regional
10

superintendents of schools, recommended by
11

organizations that represent regional superintendents.
12

(H) Two independent experts selected solely by the
13

State Superintendent.
14

(I) Two independent experts recommended by public
15

universities in this State.
16

(J) One member recommended by a statewide
17

organization that represents parents.
18

(K) Two representatives recommended by collective
19

impact organizations that represent major metropolitan
20

areas or geographic areas in Illinois.
21

(L) One member from a statewide organization
22

focused on research-based education policy to support
23

a school system that prepares all students for
24

college, a career, and democratic citizenship.
25

(M) One representative from a school district
26

organized under Article 34 of this Code.

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1

The State Superintendent shall ensure that the
2

membership of the Panel includes representatives from
3

school districts and communities reflecting the
4

geographic, socio-economic, racial, and ethnic diversity
5

of this State. The State Superintendent shall additionally
6

ensure that the membership of the Panel includes
7

representatives with expertise in bilingual education and
8

special education. Staff from the State Board shall staff
9

the Panel.
10

(2) In addition to those Panel members appointed by
11

the State Superintendent, 4 members of the General
12

Assembly shall be appointed as follows: one member of the
13

House of Representatives appointed by the Speaker of the
14

House of Representatives, one member of the Senate
15

appointed by the President of the Senate, one member of
16

the House of Representatives appointed by the Minority
17

Leader of the House of Representatives, and one member of
18

the Senate appointed by the Minority Leader of the Senate.
19

There shall be one additional member appointed by the
20

Governor. All members appointed by legislative leaders or
21

the Governor shall be non-voting, ex officio members.
22

(3) The Panel must study topics at the direction of
23

the General Assembly or State Board of Education, as
24

provided under paragraph (1). The Panel may also study the
25

following topics at the direction of the chairperson:
26

(A) The format and scope of annual spending plans

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LRB104 17853 LNS 31287 b
1

referenced in paragraph (9) of subsection (h) of this
2

Section.
3

(B) The Comparable Wage Index under this Section.
4

(C) Maintenance and operations, including capital
5

maintenance and construction costs.
6

(D) "At-risk student" definition.
7

(E) Benefits.
8

(F) Technology.
9

(G) Local Capacity Target.
10

(H) Funding for Alternative Schools, Laboratory
11

Schools, safe schools, and alternative learning
12

opportunities programs.
13

(I) Funding for college and career acceleration
14

strategies.
15

(J) Special education investments.
16

(K) Early childhood investments, in collaboration
17

with the Illinois Early Learning Council.
18

(4) (Blank).
19

(5) Within 5 years after the implementation of this
20

Section, and every 5 years thereafter, the Panel shall
21

complete an evaluative study of the entire Evidence-Based
22

Funding model, including an assessment of whether or not
23

the formula is achieving State goals. The Panel shall
24

report to the State Board, the General Assembly, and the
25

Governor on the findings of the study.
26

(6) (Blank).

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1

(7) To ensure that (i) the Adequacy Target calculation
2

under subsection (b) accurately reflects the needs of
3

students living in poverty or attending schools located in
4

areas of high poverty, (ii) racial equity within the
5

Evidence-Based Funding formula is explicitly explored and
6

advanced, and (iii) the funding goals of the formula
7

distribution system established under this Section are
8

sufficient to provide adequate funding for every student
9

and to fully fund every school in this State, the Panel
10

shall review the Essential Elements under paragraph (2) of
11

subsection (b). The Panel shall consider all of the
12

following in its review:
13

(A) The financial ability of school districts to
14

provide instruction in a foreign language to every
15

student and whether an additional Essential Element
16

should be added to the formula to ensure that every
17

student has access to instruction in a foreign
18

language.
19

(B) The adult-to-student ratio for each Essential
20

Element in which a ratio is identified. The Panel
21

shall consider whether the ratio accurately reflects
22

the staffing needed to support students living in
23

poverty or who have traumatic backgrounds.
24

(C) Changes to the Essential Elements that may be
25

required to better promote racial equity and eliminate
26

structural racism within schools.

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1

(D) The impact of investing $350,000,000 in
2

additional funds each year under this Section and an
3

estimate of when the school system will become fully
4

funded under this level of appropriation.
5

(E) Provide an overview of alternative funding
6

structures that would enable the State to become fully
7

funded at an earlier date.
8

(F) The potential to increase efficiency and to
9

find cost savings within the school system to expedite
10

the journey to a fully funded system.
11

(G) The appropriate levels for reenrolling and
12

graduating high-risk high school students who have
13

been previously out of school. These outcomes shall
14

include enrollment, attendance, skill gains, credit
15

gains, graduation or promotion to the next grade
16

level, and the transition to college, training, or
17

employment, with an emphasis on progressively
18

increasing the overall attendance.
19

(H) The evidence-based or research-based practices
20

that are shown to reduce the gaps and disparities
21

experienced by African American students in academic
22

achievement and educational performance, including
23

practices that have been shown to reduce disparities
24

in disciplinary rates, drop-out rates, graduation
25

rates, college matriculation rates, and college
26

completion rates.

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1

On or before December 31, 2021, the Panel shall report
2

to the State Board, the General Assembly, and the Governor
3

on the findings of its review. This paragraph (7) is
4

inoperative on and after July 1, 2022.
5

(8) On or before April 1, 2024, the Panel must submit a
6

report to the General Assembly on annual adjustments to
7

Glenwood Academy's base-funding minimum in a similar
8

fashion to school districts under this Section.
9

(9) On or before March 31, 2026, the Professional
10

Review Panel shall make a report to the Governor and the
11

General Assembly assessing the impact of the property tax
12

relief pool grant program under Section 2-3.170, including
13

the number of districts participating in the program by
14

fiscal year since Fiscal Year 2019, the tier assignment
15

for participating school districts, and an analysis of the
16

operating tax rates of participating school districts to
17

determine if the grant program is meeting the legislative
18

intent of reducing property taxes in high-tax areas of the
19

State.
20

(j) References. Beginning July 1, 2017, references in
21
other laws to general State aid funds or calculations under
22
Section 18-8.05 of this Code (now repealed) shall be deemed to
23
be references to evidence-based model formula funds or
24
calculations under this Section.
25
(Source: P.A. 103-8, eff. 6-7-23; 103-154, eff. 6-30-23;
26
103-175, eff. 6-30-23; 103-605, eff. 7-1-24; 103-780, eff.

HB5161
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LRB104 17853 LNS 31287 b
1
8-2-24; 103-802, eff. 1-1-25; 104-2, eff. 6-16-25; 104-417,
2
eff. 8-15-25; 104-435, eff. 11-21-25; revised 12-9-25.)

3

Section 99.
Effective date.
This Act takes effect upon
4
becoming law.

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