99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB2416

Introduced , by Rep. Jim Durkin

SYNOPSIS AS INTRODUCED:
105 ILCS 5/5-1 from Ch. 122, par. 5-1

Amends the Trustees of Schools Article of the School Code. Allows the school board of Lyons Township High School District 204 to withdraw from the jurisdiction and authority of the trustees of schools of Lyons Township and the township treasurer, provided that the school board elects or appoints its own school treasurer. Provides that these amendatory changes are prospective only, starting from the effective date of the amendatory Act, and shall not affect any legal action pending on the effective date of the amendatory Act in the Illinois courts in which Lyons Township High School District 204 is a listed party. Effective immediately.
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A BILL FOR

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1 AN ACT concerning education.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 5. The School Code is amended by changing Section
55-1 as follows:
6 (105 ILCS 5/5-1) (from Ch. 122, par. 5-1)
7 Sec. 5-1. County school units.
8 (a) The territory in each county, exclusive of any school
9district governed by any special act which requires the
10district to appoint its own school treasurer, shall constitute
11a county school unit. County school units of less than
122,000,000 inhabitants shall be known as Class I county school
13units and the office of township trustees, where existing on
14July 1, 1962, in such units shall be abolished on that date and
15all books and records of such former township trustees shall be
16forthwith thereafter transferred to the county board of school
17trustees. County school units of 2,000,000 or more inhabitants
18shall be known as Class II county school units and shall retain
19the office of township trustees unless otherwise provided in
20subsection (b) or (c).
21 (b) Notwithstanding subsections (a) and (c), the school
22board of any elementary school district having a fall, 1989
23aggregate enrollment of at least 2,500 but less than 6,500

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1pupils and having boundaries that are coterminous with the
2boundaries of a high school district, and the school board of
3any high school district having a fall, 1989 aggregate
4enrollment of at least 2,500 but less than 6,500 pupils and
5having boundaries that are coterminous with the boundaries of
6an elementary school district, may, whenever the territory of
7such school district forms a part of a Class II county school
8unit, by proper resolution withdraw such school district from
9the jurisdiction and authority of the trustees of schools of
10the township in which such school district is located and from
11the jurisdiction and authority of the township treasurer in
12such Class II county school unit; provided that the school
13board of any such school district shall, upon the adoption and
14passage of such resolution, thereupon elect or appoint its own
15school treasurer as provided in Section 8-1. Upon the adoption
16and passage of such resolution and the election or appointment
17by the school board of its own school treasurer: (1) the
18trustees of schools in such township shall no longer have or
19exercise any powers and duties with respect to the school
20district governed by such school board or with respect to the
21school business, operations or assets of such school district;
22and (2) all books and records of the township trustees relating
23to the school business and affairs of such school district
24shall be transferred and delivered to the school board of such
25school district. Upon the effective date of this amendatory Act
26of 1993, the legal title to, and all right, title and interest

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1formerly held by the township trustees in any school buildings
2and school sites used and occupied by the school board of such
3school district for school purposes, that legal title, right,
4title and interest thereafter having been transferred to and
5vested in the regional board of school trustees under P.A.
687-473 until the abolition of that regional board of school
7trustees by P.A. 87-969, shall be deemed transferred by
8operation of law to and shall vest in the school board of that
9school district.
10 Notwithstanding subsections (a) and (c), the school boards
11of Oak Park & River Forest District 200, Oak Park Elementary
12School District 97, and River Forest School District 90 may, by
13proper resolution, withdraw from the jurisdiction and
14authority of the trustees of schools of Proviso and Cicero
15Townships and the township treasurer, provided that the school
16board shall, upon the adoption and passage of the resolution,
17elect or appoint its own school treasurer as provided in
18Section 8-1 of this Code. Upon the adoption and passage of the
19resolution and the election or appointment by the school board
20of its own school treasurer: (1) the trustees of schools in the
21township or townships shall no longer have or exercise any
22powers or duties with respect to the school district or with
23respect to the school business, operations, or assets of the
24school district; (2) all books and records of the trustees of
25schools and all moneys, securities, loanable funds, and other
26assets relating to the school business and affairs of the

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1school district shall be transferred and delivered to the
2school board; and (3) all legal title to and all right, title,
3and interest formerly held by the trustees of schools in any
4common school lands, school buildings, or school sites used and
5occupied by the school board and all rights of property and
6causes of action pertaining to or constituting a part of the
7common school lands, buildings, or sites shall be deemed
8transferred by operation of law to and shall vest in the school
9board.
10 Notwithstanding subsections (a) and (c), the respective
11school boards of Berwyn North School District 98, Berwyn South
12School District 100, Cicero School District 99, and J.S. Morton
13High School District 201 may, by proper resolution, withdraw
14from the jurisdiction and authority of the trustees of schools
15of Cicero Township and the township treasurer, provided that
16the school board shall, upon the adoption and passage of the
17resolution, elect or appoint its own school treasurer as
18provided in Section 8-1 of this Code. Upon the adoption and
19passage of the resolution and the election or appointment by
20the school board of its own school treasurer: (1) the trustees
21of schools in the township shall no longer have or exercise any
22powers or duties with respect to the school district or with
23respect to the school business, operations, or assets of the
24school district; (2) all books and records of the trustees of
25schools and all moneys, securities, loanable funds, and other
26assets relating to the school business and affairs of the

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1school district shall be transferred and delivered to the
2school board; and (3) all legal title to and all right, title,
3and interest formerly held by the trustees of schools in any
4common school lands, school buildings, or school sites used and
5occupied by the school board and all rights of property and
6causes of action pertaining to or constituting a part of the
7common school lands, buildings, or sites shall be deemed
8transferred by operation of law to and shall vest in the school
9board.
10 Notwithstanding subsections (a) and (c) of this Section,
11the school board of Lyons Township High School District 204
12may, by proper resolution, withdraw from the jurisdiction and
13authority of the trustees of schools of Lyons Township and the
14township treasurer, provided that the school board shall, upon
15the adoption and passage of the resolution, elect or appoint
16its own school treasurer as provided in Section 8-1 of this
17Code. Upon the adoption and passage of the resolution and the
18election or appointment by the school board of its own school
19treasurer: (1) the trustees of schools in the township shall no
20longer have or exercise any powers or duties with respect to
21the school district or with respect to the school business,
22operations, or assets of the school district; (2) all books and
23records of the trustees of schools and all moneys, securities,
24loanable funds, and other assets relating to the school
25business and affairs of the school district shall be
26transferred and delivered to the school board; and (3) all

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1legal title to and all right, title, and interest formerly held
2by the trustees of schools in any common school lands, school
3buildings, or school sites used and occupied by the school
4board and all rights of property and causes of action
5pertaining to or constituting a part of the common school
6lands, buildings, or sites shall be deemed transferred by
7operation of law to and shall vest in the school board. The
8changes made to this Section by this amendatory Act of the 99th
9General Assembly are prospective only, starting from the
10effective date of this amendatory Act of the 99th General
11Assembly, and shall not affect any legal action pending on the
12effective date of this amendatory Act of the 99th General
13Assembly in the Illinois courts in which Lyons Township High
14School District 204 is a listed party.
15 (c) Notwithstanding the provisions of subsection (a), the
16offices of township treasurer and trustee of schools of any
17township located in a Class II county school unit shall be
18abolished as provided in this subsection if all of the
19following conditions are met:
20 (1) During the same 30 day period, each school board of
21 each elementary and unit school district that is subject to
22 the jurisdiction and authority of the township treasurer
23 and trustees of schools of the township in which those
24 offices are sought to be abolished gives written notice by
25 certified mail, return receipt requested to the township
26 treasurer and trustees of schools of that township of the

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1 date of a meeting of the school board, to be held not more
2 than 90 nor less than 60 days after the date when the
3 notice is given, at which meeting the school board is to
4 consider and vote upon the question of whether there shall
5 be submitted to the electors of the school district a
6 proposition to abolish the offices of township treasurer
7 and trustee of schools of that township. None of the
8 notices given under this paragraph to the township
9 treasurer and trustees of schools of a township shall be
10 deemed sufficient or in compliance with the requirements of
11 this paragraph unless all of those notices are given within
12 the same 30 day period.
13 (2) Each school board of each elementary and unit
14 school district that is subject to the jurisdiction and
15 authority of the township treasurer and trustees of schools
16 of the township in which those offices are sought to be
17 abolished, by the affirmative vote of at least 5 members of
18 the school board at a school board meeting of which notice
19 is given as required by paragraph (1) of this subsection,
20 adopts a resolution requiring the secretary of the school
21 board to certify to the proper election authorities for
22 submission to the electors of the school district at the
23 next consolidated election in accordance with the general
24 election law a proposition to abolish the offices of
25 township treasurer and trustee of schools of that township.
26 None of the resolutions adopted under this paragraph by any

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1 elementary or unit school districts that are subject to the
2 jurisdiction and authority of the township treasurer and
3 trustees of schools of the township in which those offices
4 are sought to be abolished shall be deemed in compliance
5 with the requirements of this paragraph or sufficient to
6 authorize submission of the proposition to abolish those
7 offices to a referendum of the electors in any such school
8 district unless all of the school boards of all of the
9 elementary and unit school districts that are subject to
10 the jurisdiction and authority of the township treasurer
11 and trustees of schools of that township adopt such a
12 resolution in accordance with the provisions of this
13 paragraph.
14 (3) The school boards of all of the elementary and unit
15 school districts that are subject to the jurisdiction and
16 authority of the township treasurer and trustees of schools
17 of the township in which those offices are sought to be
18 abolished submit a proposition to abolish the offices of
19 township treasurer and trustee of schools of that township
20 to the electors of their respective school districts at the
21 same consolidated election in accordance with the general
22 election law, the ballot in each such district to be in
23 substantially the following form:
24 -------------------------------------------------------------
25
OFFICIAL BALLOT
26 Shall the offices of township

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1 treasurer and YES
2 trustee of -------------
3 schools of Township ..... NO
4 Range ..... be abolished?
5 -------------------------------------------------------------
6 (4) At the consolidated election at which the
7 proposition to abolish the offices of township treasurer
8 and trustee of schools of a township is submitted to the
9 electors of each elementary and unit school district that
10 is subject to the jurisdiction and authority of the
11 township treasurer and trustee of schools of that township,
12 a majority of the electors voting on the proposition in
13 each such elementary and unit school district votes in
14 favor of the proposition as submitted to them.
15 If in each elementary and unit school district that is
16subject to the jurisdiction and authority of the township
17treasurer and trustees of schools of the township in which
18those offices are sought to be abolished a majority of the
19electors in each such district voting at the consolidated
20election on the proposition to abolish the offices of township
21treasurer and trustee of schools of that township votes in
22favor of the proposition as submitted to them, the proposition
23shall be deemed to have passed; but if in any such elementary
24or unit school district a majority of the electors voting on
25that proposition in that district fails to vote in favor of the
26proposition as submitted to them, then notwithstanding the vote

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1of the electors in any other such elementary or unit school
2district on that proposition the proposition shall not be
3deemed to have passed in any of those elementary or unit school
4districts, and the offices of township treasurer and trustee of
5schools of the township in which those offices were sought to
6be abolished shall not be abolished, unless in each of those
7elementary and unit school districts remaining subject to the
8jurisdiction and authority of the township treasurer and
9trustees of schools of that township proceedings are again
10initiated to abolish those offices and all of the proceedings
11and conditions prescribed in paragraphs (1) through (4) of this
12subsection are repeated and met in each of those elementary and
13unit school districts.
14 Notwithstanding the foregoing provisions of this Section
15or any other provision of the School Code, the offices of
16township treasurer and trustee of schools of a township that
17has a population of less than 200,000 and that contains a unit
18school district and is located in a Class II county school unit
19shall also be abolished as provided in this subsection if all
20of the conditions set forth in paragraphs (1), (2), and (3) of
21this subsection are met and if the following additional
22condition is met:
23 The electors in all of the school districts subject to
24 the jurisdiction and authority of the township treasurer
25 and trustees of schools of the township in which those
26 offices are sought to be abolished shall vote at the

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1 consolidated election on the proposition to abolish the
2 offices of township treasurer and trustee of schools of
3 that township. If a majority of the electors in all of the
4 school districts combined voting on the proposition vote in
5 favor of the proposition, then the proposition shall be
6 deemed to have passed; but if a majority of the electors
7 voting on the proposition in all of the school district
8 fails to vote in favor of the proposition as submitted to
9 them, then the proposition shall not be deemed to have
10 passed and the offices of township treasurer and trustee of
11 schools of the township in which those offices were sought
12 to be abolished shall not be abolished, unless and until
13 the proceedings detailed in paragraphs (1) through (3) of
14 this subsection and the conditions set forth in this
15 paragraph are met.
16 If the proposition to abolish the offices of township
17treasurer and trustee of schools of a township is deemed to
18have passed at the consolidated election as provided in this
19subsection, those offices shall be deemed abolished by
20operation of law effective on January 1 of the calendar year
21immediately following the calendar year in which that
22consolidated election is held, provided that if after the
23election, the trustees of schools by resolution elect to
24abolish the offices of township treasurer and trustee of
25schools effective on July 1 immediately following the election,
26then the offices shall be abolished on July 1 immediately

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1following the election. On the date that the offices of
2township treasurer and trustee of schools of a township are
3deemed abolished by operation of law, the school board of each
4elementary and unit school district and the school board of
5each high school district that is subject to the jurisdiction
6and authority of the township treasurer and trustees of schools
7of that township at the time those offices are abolished: (i)
8shall appoint its own school treasurer as provided in Section
98-1; and (ii) unless the term of the contract of a township
10treasurer expires on the date that the office of township
11treasurer is abolished, shall pay to the former township
12treasurer its proportionate share of any aggregate
13compensation that, were the office of township treasurer not
14abolished at that time, would have been payable to the former
15township treasurer after that date over the remainder of the
16term of the contract of the former township treasurer that
17began prior to but ends after that date. In addition, on the
18date that the offices of township treasurer and trustee of
19schools of a township are deemed abolished as provided in this
20subsection, the school board of each elementary school, high
21school and unit school district that until that date is subject
22to the jurisdiction and authority of the township treasurer and
23trustees of schools of that township shall be deemed by
24operation of law to have agreed and assumed to pay and, when
25determined, shall pay to the Illinois Municipal Retirement Fund
26a proportionate share of the unfunded liability existing in

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1that Fund at the time these offices are abolished in that
2calendar year for all annuities or other benefits then or
3thereafter to become payable from that Fund with respect to all
4periods of service performed prior to that date as a
5participating employee in that Fund by persons serving during
6those periods of service as a trustee of schools, township
7treasurer or regular employee in the office of the township
8treasurer of that township. That unfunded liability shall be
9actuarially determined by the board of trustees of the Illinois
10Municipal Retirement Fund, and the board of trustees shall
11thereupon notify each school board required to pay a
12proportionate share of that unfunded liability of the aggregate
13amount of the unfunded liability so determined. The amount so
14paid to the Illinois Municipal Retirement Fund by each of those
15school districts shall be credited to the account of the
16township in that Fund. For each elementary school, high school
17and unit school district under the jurisdiction and authority
18of a township treasurer and trustees of schools of a township
19in which those offices are abolished as provided in this
20subsection, each such district's proportionate share of the
21aggregate compensation payable to the former township
22treasurer as provided in this paragraph and each such
23district's proportionate share of the aggregate amount of the
24unfunded liability payable to the Illinois Municipal
25Retirement Fund as provided in this paragraph shall be computed
26in accordance with the ratio that the number of pupils in

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1average daily attendance in each such district for the school
2year last ending prior to the date on which the offices of
3township treasurer and trustee of schools of that township are
4abolished bears to the aggregate number of pupils in average
5daily attendance in all of those districts as so reported for
6that school year.
7 Upon abolition of the offices of township treasurer and
8trustee of schools of a township as provided in this
9subsection: (i) the regional board of school trustees, in its
10corporate capacity, shall be deemed the successor in interest
11to the former trustees of schools of that township with respect
12to the common school lands and township loanable funds of the
13township; (ii) all right, title and interest existing or vested
14in the former trustees of schools of that township in the
15common school lands and township loanable funds of the
16township, and all records, moneys, securities and other assets,
17rights of property and causes of action pertaining to or
18constituting a part of those common school lands or township
19loanable funds, shall be transferred to and deemed vested by
20operation of law in the regional board of school trustees,
21which shall hold legal title to, manage and operate all common
22school lands and township loanable funds of the township,
23receive the rents, issues and profits therefrom, and have and
24exercise with respect thereto the same powers and duties as are
25provided by this Code to be exercised by regional boards of
26school trustees when acting as township land commissioners in

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1counties having at least 220,000 but fewer than 2,000,000
2inhabitants; (iii) the regional board of school trustees shall
3select to serve as its treasurer with respect to the common
4school lands and township loanable funds of the township a
5person from time to time also serving as the appointed school
6treasurer of any school district that was subject to the
7jurisdiction and authority of the township treasurer and
8trustees of schools of that township at the time those offices
9were abolished, and the person selected to also serve as
10treasurer of the regional board of school trustees shall have
11his compensation for services in that capacity fixed by the
12regional board of school trustees, to be paid from the township
13loanable funds, and shall make to the regional board of school
14trustees the reports required to be made by treasurers of
15township land commissioners, give bond as required by
16treasurers of township land commissioners, and perform the
17duties and exercise the powers of treasurers of township land
18commissioners; (iv) the regional board of school trustees shall
19designate in the manner provided by Section 8-7, insofar as
20applicable, a depositary for its treasurer, and the proceeds of
21all rents, issues and profits from the common school lands and
22township loanable funds of that township shall be deposited and
23held in the account maintained for those purposes with that
24depositary and shall be expended and distributed therefrom as
25provided in Section 15-24 and other applicable provisions of
26this Code; and (v) whenever there is vested in the trustees of

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1schools of a township at the time that office is abolished
2under this subsection the legal title to any school buildings
3or school sites used or occupied for school purposes by any
4elementary school, high school or unit school district subject
5to the jurisdiction and authority of those trustees of school
6at the time that office is abolished, the legal title to those
7school buildings and school sites shall be deemed transferred
8by operation of law to and invested in the school board of that
9school district, in its corporate capacity Section 7-28, the
10same to be held, sold, exchanged leased or otherwise
11transferred in accordance with applicable provisions of this
12Code.
13 Notwithstanding Section 2-3.25g of this Code, a waiver of a
14mandate established under this Section may not be requested.
15(Source: P.A. 94-1078, eff. 1-9-07; 94-1105, eff. 6-1-07; 95-4,
16eff. 5-31-07; 95-876, eff. 8-21-08.)