IL HB2741

Amends the School Code to limit growth of administrative expenditures for school districts (excluding Chicago) starting with the 2020-2021 school year.

Requires increases in budgeted administrative expenditures per pupil, general administration expenditures per pupil, and school administration expenditures per pupil to not exceed the consumer price index increase for the 12 months ending December 31 prior to the budgetary year or 5%, whichever is less.

Defines key terms including "consumer price index," "expenditures per pupil," "general administration expenditures," and "school administration expenditures" based on State Board of Education expenditure functions.

Establishes baseline limits for 2019-2020 using 2001 and 2015 Census Bureau data adjusted for inflation, and allows school districts in the 25th percentile and below for their type to waive limitations with a two-thirds school board vote and State Board notification.

Removes prior penalty provisions allowing withholding of state aid and replaces them with a new penalty that allows withholding of evidence-based funding for districts violating limitations for 2 of 3 years in an amount equal to the overage.