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Full Text of HB5162
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HB5162 - 104th General Assembly
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104TH GENERAL ASSEMBLY
State of Illinois
2025 and 2026
HB5162
Introduced 2/10/2026, by Rep. Joyce Mason
SYNOPSIS AS INTRODUCED:
105 ILCS 5/27A-9
Amends the Charter Schools Law of the School Code. Provides that a
charter school's failure to adequately address racial, socioeconomic, or
educational disparities between a school district and the charter school
or failure to align the charter mission and vision to a school board's
mission and vision are both reasons for the school board or State Board of
Education, as the chartering entity, to revoke or not renew a charter.
Effective immediately.
LRB104 17854 LNS 31288 b
A BILL FOR
HB5162
LRB104 17854 LNS 31288 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 changing Section
5
27A-9 as follows:
6
(105 ILCS 5/27A-9)
7
Sec. 27A-9.
Term of charter; renewal.
8
(a) An initial charter shall be granted for a period of 5
9
school years. A charter may be renewed in incremental periods
10
not to exceed 10 school years. Authorizers shall ensure that
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every charter granted on or after January 1, 2017 includes
12
standards and goals for academic, organizational, and
13
financial performance. A charter must meet all standards and
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goals for academic, organizational, and financial performance
15
set forth by the authorizer in order to be renewed for a term
16
in excess of 5 years but not more than 10 years. If an
17
authorizer fails to establish standards and goals, a charter
18
shall not be renewed for a term in excess of 5 years. Nothing
19
contained in this Section shall require an authorizer to grant
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a full 10-year renewal term to any particular charter school,
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but an authorizer may award a full 10-year renewal term to
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charter schools that have a demonstrated track record of
23
improving student performance.
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(b) A charter school renewal proposal submitted to the
2
local school board or the State Board, as the chartering
3
entity, shall contain:
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(1) a report on the progress of the charter school in
5
achieving the goals, objectives, pupil performance
6
standards, content standards, and other terms of the
7
initial approved charter proposal; and
8
(2) a financial statement that discloses the costs of
9
administration, instruction, and other spending categories
10
for the charter school that is understandable to the
11
general public and that will allow comparison of those
12
costs to other schools or other comparable organizations,
13
in a format required by the State Board.
14
(c) A charter may be revoked or not renewed if the local
15
school board or the State Board, as the chartering entity,
16
clearly demonstrates that the charter school did any of the
17
following, or otherwise failed to comply with the requirements
18
of this law:
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(1) Committed a material violation of any of the
20
conditions, standards, or procedures set forth in the
21
charter.
22
(2) Failed to meet or make reasonable progress toward
23
achievement of the content standards or pupil performance
24
standards identified in the charter.
25
(3) Failed to meet generally accepted standards of
26
fiscal management.
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LRB104 17854 LNS 31288 b
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(4) Violated any provision of law from which the
2
charter school was not exempted.
3
(5) Failed to adequately address racial,
4
socioeconomic, or educational disparities between the
5
school district and the charter school.
6
(6) Failed to align the charter mission and vision to
7
the local school board's mission and vision.
8
In the case of revocation, the local school board or the
9
State Board, as the chartering entity, shall notify the
10
charter school in writing of the reason why the charter is
11
subject to revocation. The charter school shall submit a
12
written plan to the local school board or the State Board,
13
whichever is applicable, to rectify the problem. The plan
14
shall include a timeline for implementation, which shall not
15
exceed 2 years or the date of the charter's expiration,
16
whichever is earlier. If the local school board or the State
17
Board, as the chartering entity, finds that the charter school
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has failed to implement the plan of remediation and adhere to
19
the timeline, then the chartering entity shall revoke the
20
charter. Except in situations of an emergency where the
21
health, safety, or education of the charter school's students
22
is at risk, the revocation shall take place at the end of a
23
school year. Nothing in this Section shall be construed to
24
prohibit an implementation timetable that is less than 2 years
25
in duration. No local school board may arbitrarily or
26
capriciously revoke or not renew a charter. Except for
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1
extenuating circumstances outlined in this Section, if a local
2
school board revokes or does not renew a charter, it must
3
ensure that all students currently enrolled in the charter
4
school are placed in schools that are higher performing than
5
that charter school, as defined in the State's federal Every
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Student Succeeds Act accountability plan. In determining
7
whether extenuating circumstances exist, a local school board
8
must detail, by clear and convincing evidence, that factors
9
unrelated to the charter school's accountability designation
10
outweigh the charter school's academic performance.
11
(d) (Blank).
12
(e) Notice of a local school board's decision to deny,
13
revoke, or not renew a charter shall be provided to the State
14
Board.
15
The State Board may reverse a local board's decision to
16
revoke or not renew a charter if the State Board finds that the
17
charter school or charter school proposal (i) is in compliance
18
with this Article and (ii) is in the best interests of the
19
students it is designed to serve. The State Board may
20
condition the granting of an appeal on the acceptance by the
21
charter school of funding in an amount less than that
22
requested in the proposal submitted to the local school board.
23
The State Board must appoint and utilize a hearing officer for
24
any appeals conducted under this subsection. Final decisions
25
of the State Board are subject to judicial review under the
26
Administrative Review Law.
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(f) Notwithstanding other provisions of this Article, if
2
the State Board on appeal reverses a local board's decision or
3
if a charter school is approved by referendum, the State Board
4
shall act as the authorized chartering entity for the charter
5
school and shall perform all functions under this Article
6
otherwise performed by the local school board. The State Board
7
shall report the aggregate number of charter school pupils
8
resident in a school district to that district and shall
9
notify the district of the amount of funding to be paid by the
10
State Board to the charter school enrolling such students. The
11
charter school shall maintain accurate records of daily
12
attendance and student enrollment and shall enter data on the
13
students served, their characteristics, their particular
14
needs, the programs in which they participate, and their
15
academic achievement into the statewide student information
16
system established by the State Board. The State Board shall
17
withhold from funds otherwise due the district the funds
18
authorized by this Article to be paid to the charter school and
19
shall pay such amounts to the charter school in quarterly
20
installments, calculated as follows:
21
(1) The amount of the first quarterly payment shall be
22
based on the projected number of students who will be
23
enrolled in the charter school in the upcoming school
24
year, multiplied by one-fourth of the resident district's
25
per capita tuition amount. Each charter school shall
26
submit its projected enrollment by no later than August 1
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of each year on a form provided by the State Board for this
2
purpose.
3
(2) The amount of the second quarterly payment shall
4
be calculated such that the aggregate amount of the first
5
and second quarterly installments is equal to the number
6
of students reported as enrolled at the charter school on
7
October 1 in the State Board's student information system,
8
multiplied by one-half of the resident district's per
9
capita tuition amount.
10
(3) The amount of the third quarterly payment shall be
11
based on the number of students enrolled in the charter
12
school on January 1, multiplied by one-fourth of the
13
resident district's per capita tuition amount. Each
14
charter school shall submit its January 1 enrollment by no
15
later than January 5 of each year on a form provided by the
16
State Board for this purpose.
17
(4) The amount of the fourth quarterly payment shall
18
be calculated such that the aggregate amount of the third
19
and fourth installments is equal to the number of students
20
reported as enrolled at the charter school on March 1 in
21
the State Board's student information system, multiplied
22
by one-half of the resident district's per capita tuition
23
amount.
24
(g) (Blank).
25
(h) The State Board shall pay directly to a charter school
26
it authorizes any federal or State funding attributable to a
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LRB104 17854 LNS 31288 b
1
student with a disability attending the school.
2
(Source: P.A. 103-175, eff. 6-30-23.)
3
Section 99.
Effective date.
This Act takes effect upon
4
becoming law.
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