Bill Text: IL SB3407 | 2013-2014 | 98th General Assembly | Introduced

---

Bill Title: Amends the State Mandates Act. Requires the State Board of Education to collect and maintain information concerning State mandates for schools, determine the statewide implementation of State mandates for schools, review school district applications for reimbursement submitted under the Act where the General Assembly has appropriated funds to reimburse school districts for costs associated with the implementation of a State mandate, and annually report to the Governor and the General Assembly regarding the administration of the Act and changes proposed to the Act that concern schools. Requires the Legislative Research Unit to conduct public hearings as needed to review the information collected and the recommendations made by the Board. Provides that within 2 years following the effective date of the amendatory Act, the Board shall collect and tabulate relevant information as to the nature and scope of each existing State mandate for schools. Further provides that failure of the General Assembly to appropriate adequate funds for reimbursement to schools as required by this Act shall not relieve the Board from these obligations. Requires that fiscal notes on bills creating State mandates shall include actual implementation cost data and analysis generated by school districts. Makes changes concerning appeals under the Act.

Spectrum: Slight Partisan Bill (Republican 2-1)

Status: (Failed) 2015-01-13 - Session Sine Die [SB3407 Detail]

Download: Illinois-2013-SB3407-Introduced.html

---

98TH GENERAL ASSEMBLY State of Illinois 2013 and 2014 SB3407 Introduced 2/14/2014, by Sen. Michael Connelly SYNOPSIS AS INTRODUCED:
30 ILCS 805/4.5 new
30 ILCS 805/7 from Ch. 85, par. 2207
30 ILCS 805/8 from Ch. 85, par. 2208
Amends the State Mandates Act. Requires the State Board of Education to collect and maintain information concerning State mandates for schools, determine the statewide implementation of State mandates for schools, review school district applications for reimbursement submitted under the Act where the General Assembly has appropriated funds to reimburse school districts for costs associated with the implementation of a State mandate, and annually report to the Governor and the General Assembly regarding the administration of the Act and changes proposed to the Act that concern schools. Requires the Legislative Research Unit to conduct public hearings as needed to review the information collected and the recommendations made by the Board. Provides that within 2 years following the effective date of the amendatory Act, the Board shall collect and tabulate relevant information as to the nature and scope of each existing State mandate for schools. Further provides that failure of the General Assembly to appropriate adequate funds for reimbursement to schools as required by this Act shall not relieve the Board from these obligations. Requires that fiscal notes on bills creating State mandates shall include actual implementation cost data and analysis generated by school districts. Makes changes concerning appeals under the Act.
LRB098 17993 OMW 53118 b
FISCAL NOTE ACT MAY APPLY
A BILL FOR
SB3407 LRB098 17993 OMW 53118 b
AN ACT concerning finance.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The State Mandates Act is amended by changing
Sections 7 and 8 and by adding Section 4.5 as follows:
(30 ILCS 805/4.5 new)
Sec. 4.5. Collection and maintenance of information
concerning State mandates for schools.
(a) The State Board of Education shall be responsible for
the following:
(1) Collecting and maintaining information on State
mandates for schools, including information required for
effective implementation of the provisions of this Act.
(2) Reviewing school district applications for
reimbursement submitted under this Act where the General
Assembly has appropriated funds to reimburse school
districts for costs associated with the implementation of a
State mandate. Where there is no appropriation for
reimbursement, upon a request for determination of a State
mandate by a school district or more than one school
district filing a single request, other than a community
college district, the Board shall, in conjunction with an
association established under Article 23 of the School

SB3407 - 2 - LRB098 17993 OMW 53118 b
Code, determine whether a Public Act constitutes a State
mandate and, if so, the statewide cost of implementation.
(3) Hearing complaints or suggestions from school
districts and other affected organizations as to existing
or proposed State mandates for schools.
(4) Annually reporting to the Governor and the General
Assembly about the administration of provisions of this Act
and changes proposed to this Act that concern schools.
The Legislative Research Unit shall conduct public
hearings as needed to review the information collected and the
recommendations made by the Board under this subsection (a).
The Board shall cooperate fully with the Legislative Research
Unit, providing any information, supporting documentation, and
other assistance required by the Legislative Research Unit to
conduct the hearing.
(b) Within 2 years following the effective date of this
amendatory Act of the 98th General Assembly, the Board shall
collect and tabulate relevant information as to the nature and
scope of each existing State mandate for schools, including,
but not limited to: (i) the identity of the type of school
district and local government agency or official to whom the
State mandate is directed, (ii) whether an identifiable local
direct cost is necessitated by the State mandate and the
estimated annual amount, (iii) the extent of State financial
participation, if any, in meeting identifiable costs, (iv) the
State agency, if any, charged with supervising the

SB3407 - 3 - LRB098 17993 OMW 53118 b
implementation of the mandate, and (v) a brief description of
the State mandate and a citation to its origin in statute or
rule.
(c) The resulting information from subsection (b) of this
Section shall be published in a catalog that shall be made
available to members of the General Assembly, State and local
officials, and interested citizens. As new State mandates are
enacted, they shall be added to the catalog, and on January 31
of every year, the Department shall list each new State mandate
that was enacted during the preceding session of the General
Assembly, as well as the estimated additional identifiable
direct costs, if any, imposed upon school districts. A revised
version of the catalog shall be published every 2 years,
beginning with the publication date of the first catalog.
(d) Failure of the General Assembly to appropriate adequate
funds for reimbursement to schools as required by this Act
shall not relieve the Board from its obligations under this
Section.
(30 ILCS 805/7) (from Ch. 85, par. 2207)
Sec. 7. Review of Existing Mandates.
(a) Concurrently with, or within 3 months subsequent to the
publication of a catalog of State mandates as prescribed in
subsection (b) of Sections Section 4 and 4.5 the Department
shall submit to the Governor and the General Assembly a review
and report on mandates enacted prior to the effective date of

SB3407 - 4 - LRB098 17993 OMW 53118 b
this Act and remaining in effect at the time of submittal of
the report. The State Board of Education shall submit a review
of existing State mandates for schools concurrently with the
publication required under subsection (c) of Section 4.5 of
this Act.
(b) The report shall include for each mandate the
following: (1) The factual information specified in subsection
(b) of Section 4 for the catalog; (2) extent to which the
enactment of the mandate was requested, supported, encouraged
or opposed by local governments or their respective
organization; (3) whether the mandate continues to meet a
Statewide policy objective or has achieved the initial policy
intent in whole or in part; (4) amendments if any are required
to make the mandate more effective; (5) whether the mandate
should be retained or rescinded; (6) whether State financial
participation in helping meet the identifiable increased local
costs arising from the mandate should be initiated, and if so,
recommended ratios and phasing-in schedules; and (7) any other
information or recommendations which the Department considers
pertinent.
(c) The appropriate committee of each house of the General
Assembly shall review the report and shall initiate such
legislation or other action as it deems necessary.
The requirement for reporting to the General Assembly shall
be satisfied by filing copies of the report with the Speaker,
the Minority Leader and the Clerk of the House of

SB3407 - 5 - LRB098 17993 OMW 53118 b
Representatives and the President, the Minority Leader, the
Secretary of the Senate, the members of the committees required
to review the report under subsection (c) and the Legislative
Research Unit, as required by Section 3.1 of "An Act to revise
the law in relation to the General Assembly", approved February
25, 1874, as amended, and filing such additional copies with
the State Government Report Distribution Center for the General
Assembly as is required under paragraph (t) of Section 7 of the
State Library Act.
(Source: P.A. 84-1438.)
(30 ILCS 805/8) (from Ch. 85, par. 2208)
Sec. 8. Exclusions, reimbursement application, review,
appeals, and adjudication.
(a) Exclusions: Any of the following circumstances
inherent to, or associated with, a mandate shall exclude the
State from reimbursement liability under this Act. If the
mandate (1) accommodates a request from local governments or
organizations thereof; (2) imposes additional duties of a
nature which can be carried out by existing staff and
procedures at no appreciable net cost increase; (3) creates
additional costs but also provides offsetting savings
resulting in no aggregate increase in net costs; (4) imposes a
cost that is wholly or largely recovered from Federal, State or
other external financial aid; (5) imposes additional annual net
costs of less than $1,000 for each of the several local

SB3407 - 6 - LRB098 17993 OMW 53118 b
governments affected or less than $50,000, in the aggregate,
for all local governments affected.
The failure of the General Assembly to make necessary
appropriations shall relieve the local government of the
obligation to implement any service mandates, tax exemption
mandates, and personnel mandates, as specified in Section 6,
subsections (b), (c), (d) and (e), unless the exclusion
provided for in this Section are explicitly stated in the Act
establishing the mandate. In the event that funding is not
provided for a State-mandated program by the General Assembly,
the local government may implement or continue the program upon
approval of its governing body. If the local government
approves the program and funding is subsequently provided, the
State shall reimburse the local governments only for costs
incurred subsequent to the funding.
(b) Reimbursement Estimation and Appropriation Procedure.
(1) When a bill is introduced in the General Assembly,
the Legislative Reference Bureau, hereafter referred to as
the Bureau, shall determine whether such bill may require
reimbursement to local governments pursuant to this Act.
The Bureau shall make such determination known in the
Legislative Synopsis and Digest.
In making the determination required by this
subsection (b) the Bureau shall disregard any provision in
a bill which would make inoperative the reimbursement
requirements of Section 6 above, including an express

SB3407 - 7 - LRB098 17993 OMW 53118 b
exclusion of the applicability of this Act, and shall make
the determination irrespective of any such provision.
(2) Any bill or amended bill which creates or expands a
State mandate shall be subject to the provisions of "An Act
requiring fiscal notes in relation to certain bills",
approved June 4, 1965, as amended. The fiscal notes for
such bills or amended bills shall include estimates of the
costs to local government and the costs of any
reimbursement required under this Act. In the case of bills
having a potential fiscal impact on units of local
government, the fiscal note shall be prepared by the
Department and include actual implementation cost data and
analysis generated by school districts. In the case of
bills having a potential fiscal impact on school districts,
the fiscal note shall be prepared by the State
Superintendent of Education. In the case of bills having a
potential fiscal impact on community college districts,
the fiscal note shall be prepared by the Illinois Community
College Board. Such fiscal note shall accompany the bill
that requires State reimbursement and shall be prepared
prior to any final action on such a bill by the assigned
committee. However, if a fiscal note is not filed by the
appropriate agency within 30 days of introduction of a
bill, the bill can be heard in committee and advanced to
the order of second reading. The bill shall then remain on
second reading until a fiscal note is filed. A bill

SB3407 - 8 - LRB098 17993 OMW 53118 b
discharged from committee shall also remain on second
reading until a fiscal note is provided by the appropriate
agency.
(3) The estimate required by paragraph (2) above, shall
include the amount estimated to be required during the
first fiscal year of a bill's operation in order to
reimburse local governments pursuant to Section 6, for
costs mandated by such bill. In the event that the
effective date of such a bill is not the first day of the
fiscal year the estimate shall also include the amount
estimated to be required for reimbursement for the next
following full fiscal year.
(4) For the initial fiscal year, reimbursement funds
shall be provided as follows: (i) any statute mandating
such costs shall have a companion appropriation bill, and
(ii) any executive order mandating such costs shall be
accompanied by a bill to appropriate the funds therefor,
or, alternatively an appropriation for such funds shall be
included in the executive budget for the next following
fiscal year.
In subsequent fiscal years appropriations for such
costs shall be included in the Governor's budget or
supplemental appropriation bills.
(c) Reimbursement Application and Disbursement Procedure.
(1) For the initial fiscal year during which
reimbursement is authorized, each local government, or

SB3407 - 9 - LRB098 17993 OMW 53118 b
more than one local government wishing to join in filing a
single claim, believing itself to be entitled to
reimbursement under this Act shall submit to the
Department, State Superintendent of Education or Illinois
Community College Board within 60 days of the effective
date of the mandate a claim for reimbursement accompanied
by its estimate of the increased costs required by the
mandate for the balance of the fiscal year. The Department,
State Superintendent of Education or Illinois Community
College Board shall review such claim and estimate, shall
apportion the claim into 3 equal installments and shall
direct the Comptroller to pay the installments at equal
intervals throughout the remainder of the fiscal year from
the funds appropriated for such purposes, provided that the
Department, State Superintendent of Education or Illinois
Community College Board may (i) audit the records of any
local government to verify the actual amount of the
mandated cost, and (ii) reduce any claim determined to be
excessive or unreasonable.
(2) For the subsequent fiscal years, local governments
shall submit claims as specified above on or before October
1 of each year. The Department, State Superintendent of
Education or Illinois Community College Board shall
apportion the claims into 3 equal installments and shall
direct the Comptroller to pay the first installment upon
approval of the claims, with subsequent installments to

SB3407 - 10 - LRB098 17993 OMW 53118 b
follow on January 1 and March 1, such claims to be paid
from funds appropriated therefor, provided that the
Department, State Superintendent of Education or Illinois
Community College Board (i) may audit the records of any
local governments to verify the actual amount of the
mandated cost, (ii) may reduce any claim, determined to be
excessive or unreasonable, and (iii) shall adjust the
payment to correct for any underpayments or overpayments
which occurred in the previous fiscal year.
(3) Any funds received by a local government pursuant
to this Act may be used for any public purpose.
If the funds appropriated for reimbursement of the
costs of local government resulting from the creation or
expansion of a State mandate are less than the total of the
approved claims, the amount appropriated shall be prorated
among the local governments having approved claims.
(d) Appeals and Adjudication.
(1) Local governments may appeal determinations made
by State agencies acting pursuant to subsection (c) above.
The appeal must be submitted to the State Mandates Board of
Review created by Section 9.1 of this Act within 60 days
following the date of receipt of the determination being
appealed. The appeal must include evidence as to the extent
to which the mandate has been carried out in an effective
manner and executed without recourse to standards of
staffing or expenditure higher than specified in the

SB3407 - 11 - LRB098 17993 OMW 53118 b
mandatory statute, if such standards are specified in the
statute. The State Mandates Board of Review, after
reviewing the evidence submitted to it, may increase or
reduce the amount of a reimbursement claim. The decision of
the State Mandates Board of Review shall be final subject
to judicial review. However, if sufficient funds have not
been appropriated, the Department shall notify the General
Assembly of such cost, and appropriations for such costs
shall be included in a supplemental appropriation bill.
(2) A local government may also appeal directly to the
State Mandates Board of Review in those situations in which
the Department of Commerce and Economic Opportunity or
State Board of Education does not act upon the local
government's application for reimbursement or request for
mandate determination submitted under this Act. The appeal
must include evidence that the application for
reimbursement or request for mandate determination was
properly filed and should have been reviewed by the
Department or State Board of Education.
An appeal may be made to the Board if the Department
does not respond to a local government's application for
reimbursement or request for mandate determination within
120 days after filing the application or request. In no
case, however, may an appeal be brought more than one year
after the application or request is filed with the
Department.

SB3407 - 12 - LRB098 17993 OMW 53118 b
(Source: P.A. 94-793, eff. 5-19-06.)