• IASA Position Statements - School Finance: State Issues

    2.1 STATE SUPPORT/CONSTITUTIONAL MANDATE - The IASA encourages and supports legislative action to increase reimbursements to such levels necessary to implement the constitutional requirement that the State of Illinois have primary responsibility for financing the system of public education. (1/00)

    2.2 BUDGET STABILITY FOR SCHOOL DISTRICTS – The IASA shall support legislation requiring the Illinois General Assembly to determine the amount of funding for educational entitlements and General State Aid no later than March 31 (3 months prior to the start of the budget year) and enact a biennial budgetary cycle. Once the amount of funding for educational entitlements is determined, the General assembly shall be required to vote on the funding in a stand-alone piece of legislation.  (2/17)

    2.3 STATE AID PAYMENTS - The IASA shall encourage the Illinois General Assembly to pass legislation whereby State aid payments would be forwarded to all school districts directly from the State Comptroller. (1/00)

    2.4 STATE AID PAYMENTS - The IASA shall support legislation that requires the State of Illinois to make general state aid payments to school districts, on a monthly basis, during the entitlement year in which they are appropriated. Furthermore, the IASA shall support legislation that requires the State of Illinois to pay interest at the current legal rate on any payments which are late. (01/12)

    2.5 MANDATED PROGRAMS - The IASA supports the local control of public schools and believes any programs or services mandated by the Illinois General Assembly and the Governor or the Illinois State Board of Education must provide sufficient new revenues to fully reimburse the additional costs by those programs. Statutory enactment of new mandated programs must be in compliance with and not exempted from the State Mandates Act. (09/10)

    2.6 CATEGORICAL REDUCTIONS PROSPECTIVE ONLY - The IASA shall support legislation requiring that any reductions in line item funds for categorical payments which are subject to reimbursement by the State (e.g. transportation or special education) shall be prospective only and shall not affect such line item costs incurred by a school district prior to such reduction but not yet claimed or approved for reimbursement. (01/12)

    2.7 FORWARD FUNDING - The IASA shall encourage and support legislative and/or a constitutional amendment that will enable and require the State and federal governments to implement forward funding of school programs, thus providing for the efficient and effective management of school districts. (1/09)

    2.8 FUNDING OF GROUP PLACEMENT STUDENTS - The IASA urges the General Assembly and Governor's Office to provide funding for children who are wards of the State who create a significant impact on local school district budgets when they are placed in temporary shelters and foster homes operating within school districts. (1/00)

    2.9 TEACHERS' RETIREMENT SYSTEM - The IASA urges the Illinois General Assembly to fully fund the Teachers' Retirement System. (1/00)

    2.10 STATE INSTITUTIONS - The IASA urges the State to provide funds to local school districts for purchasing or constructing additional classrooms required to provide instruction for students who reside in State facilities located within the district. (1/00)

    2.11 INVESTMENT OPPORTUNITIES - The IASA shall encourage the Illinois General Assembly to study the current laws pertaining to investment opportunities now available to public agencies and school districts with the goal of expanding the list of appropriate investment vehicles and clarifying existing language to include such options as public access money market funds. (1/00)

    2.12 CONTRACTING DRIVER'S EDUCATION - The IASA shall support legislation authorizing school districts to provide a comprehensive driver's education program through contract. Such contracts should be made with properly authorized persons or agencies and may include provisions allowing for the use of school property. (1/00)

    2.13 CORPORATE PERSONAL PROPERTY REPLACEMENT TAX - The IASA supports the Corporate Personal Property Replacement Tax as a source of revenue for schools. Any proposed legislation should not diminish the funds provided by this revenue source. (1/00)

    2.14 IMPACT AID (STUDENT HOUSING) - The IASA shall support legislation reinstating Impact Aid to school districts where there are students residing in housing provided on state property from which no property taxes are received. The Impact Aid shall be based on the number of students generated from the state property. (1/00)

    2.15 GENERAL STATE AID FORMULA - The Illinois Association of School Administrators:

    • Encourages the Governor and legislators to fund the general State aid formula at a level that reflects the cost of providing quality education for Illinois students;   
    • Encourages the Governor and legislators to meet the costs of funding quality public education by making education the State's primary budgetary program, which may require the increase of existing taxes or establishment of new taxes to generate the necessary State revenues;
    • Opposes any provision in a general State aid formula that would reduce a district's ability to generate local property tax revenues;
    • Recognizes the inequity of the current general State aid formula and supports research by the Illinois State Board of Education to uncover methods of eliminating those inequities; and
    • Urges the Governor and legislators to review the method of calculating the disadvantaged student count which currently uses Title 1 eligible students in the school aid formula and replace it with a more accurate method of determining the number of students from disadvantaged backgrounds. (1/00) 
    2.16 FUNDING SPECIAL EDUCATION PROGRAMS - The IASA shall urge Congress to adequately fund Public Law 94-142 (Individuals with Disabilities Education Act) commensurate with the mandates required by the Act; shall strongly encourage the State of Illinois to totally fund with new monies, in a timely manner, the extra costs of educating children with special needs including transportation and accessibility costs; shall seek changes in current practice to fund local districts for special education professional personnel at 51% of the prior year's average salary for such professionals, and shall continue to oppose any requirement that local public school districts pay room and board costs for any child with a disability placed in private facilities. (1/02)


    2.17 TITLE 1 COUNT - The IASA shall encourage the Illinois General Assembly to adopt a fair, appropriate, accurate and timely means of determining the count of low income students as used for the general aid distribution formula. (1/00)

    2.18 ALTERNATIVE SCHOOLS - The IASA shall support adequate State funding for regional alternative schooling programs. (1/00)

    2.19 PRESCHOOL PROGRAMS - The IASA shall support full funding of early childhood programs operated by public schools as a priority with legislation providing new monies for both staffing and infrastructure costs associated with early childhood programs for preschool children, at-risk infants and toddlers and grants for parental training. (2/17)

    2.20 FUNDING FOR DIFFERENTIATED INSTRUCTION – The IASA shall seek administrative and legislative actions calling for the provision of separate and sufficient new monies to support programs of differentiated instruction for those students identified as having exceptional talents and abilities, permitting these students to reach their potential.  Such student talents and abilities may be in areas that expand beyond the core curricula.  To ensure efficiency and productivity in the implementation of these programs, school districts should be provided sufficient flexibility in the acquisition and expenditure of such State funds. (1/08)

    2.21 SCHOOL FUNDING - The IASA shall actively support the general concepts regarding school funding reform, property tax relief and tax reform identified in the legislative outline prepared by the Center for Tax and Budget Accountability in June of 2004.  Legislation resulting from that legislative outline shall be supported by the Illinois Association of School Administrators provided that: the State guarantees the payment of property tax relief grants will be made in a timely fashion with no loss of funds to the school district: school districts have continued access to local property tax revenues through levies and referenda: and the legislation meets the criteria outlined in the IASA Position Statement 3.20 – School Finance Reform. (9/06)

    2.22 BILINGUAL EDUCATION OPTIONS - The IASA shall request the Illinois State Legislature to pass legislation to amend the current Illinois School Code to make Transitional Bilingual Education optional and not mandatory. (1/09)

    2.23 ISBE OVERSIGHT AGREEMENT - The IASA shall work to modify state statutes governing Illinois State Board of Education (ISBE) school district oversight panels or finance authorities. Statutory changes should include, but not be limited to, the following:

    • Unless called for by the local school district, an oversight panel or finance authority shall not be imposed without a rigorous set of criteria, including the timeline, proving the school district will not or cannot serve the needs of its students, staff and community;
    • Clear benchmarks and goals shall be included in the establishment of an oversight panel or finance authority and once substantially met the oversight panel or finance authority shall be dissolved;
    • Bonding authority and issuance must remain the responsibility of the elected school board so that the duration of the oversight can be minimal; (09/10)
    • Progress toward benchmarks and goals must be reviewed and shared with the school district under oversight on a regular basis including any reasons or criteria for inability to make progress. Review should also recommend any modifications needed to achieve success;
    • Due process and review by the Attorney General must be afforded school districts when appropriate; and
    • ISBE authority to establish oversight panels or finance authorities shall not be broadened to facilitate imposition of a panel or authority or to expand their oversight once put in place. (1/10)

    2.24 STATE AUTHORIZED CHARTER SCHOOL FUNDING – The IASA shall urge adoption of legislation which would revise the method of funding State-authorized charter schools so as to limit the withholding of State funds from host school districts to reflect the percentage of state funding to the district in the prior fiscal year and to ensure State provision of the entire balance of per capita funding entitlement to the charter school. (2/13)

    Updated – February 2017