SCH CD-FINANCIAL DIFFICULTY

Amends the School Code. Provides that the State Superintendent of Education may require a school district to share financial information relevant to a proper investigation of the district's financial condition and the delivery of appropriate State financial, technical, and consulting services to the district under certain circumstances. Makes other changes concerning the State Board of Education's power to certify that a district is in financial difficulty. In the School District Financial Oversight Panel and Emergency Financial Assistance Law, provides that panel members shall be paid a stipend of not more than $100 per meeting, the amount of which must be documented in the Panel's annual budget and approved by the State Superintendent. Makes changes concerning emergency financial assistance grants and loans, including having the Illinois Finance Authority provide the loans and increasing the maximum amounts for loans and grants. In the Downstate School Finance Authority for Elementary Districts Law, provides that the members of a School Finance Authority shall be paid a stipend approved by the State Superintendent of not more than $100 per meeting. Makes changes concerning emergency financial assistance, including allowing grants to be provided by the State Board and having the Illinois Finance Authority provide loans (instead of the State Board). Provides that the annual budget of a school district (other than the Chicago school district) must be balanced and must be filed with the State Board. Provides that, to the extent the budget is not balanced, the district shall also adopt and file with the State Board a deficit reduction plan to balance the district's budget within 3 years. Deletes a provision exempting a financially distressed district from the debt limit. Provides that a school district must notify the State Board prior to issuing any form of long-term or short-term debt that will result in outstanding debt that exceeds 75% of the debt limit or any other provision of law. Repeals a Section concerning financially distressed districts. Makes other changes. Amends the State Mandates Act to require implementation without reimbursement. Effective July 1, 2006.