105 ILCS 5/34-49
2021 Illinois Compiled Statutes|Chapter 105 - SCHOOLS|105 ILCS 5/ - School Code.|Article 34 - Cities Of Over 500,000 Inhabitants - Board Of Education

 (from Ch. 122, par. 34-49)Sec. 34-49.     Contracts, expense and liabilities without appropriation.     No contract shall be made or expense or liability incurred by the board,  or any member or committee thereof, or by any person for or in its  behalf, notwithstanding the expenditure may have been ordered by the  board, unless an appropriation therefor has been previously made.  Neither the board, nor any member or committee, officer, head of any  department or bureau, or employee thereof shall during a fiscal year  expend or contract to be expended any money, or incur any liability, or  enter into any contract which by its terms involves the expenditure of  money for any of the purposes for which provision is made in the budget,  in excess of the amounts appropriated in the budget.  Any contract,  verbal or written, made in violation of this Section is void as to the  board, and no moneys belonging thereto shall be paid thereon.  Provided,  however, that the board may lease from any Public Building Commission  created pursuant to the provisions of the Public Building Commission  Act, approved July 5, 1955, as heretofore or hereafter amended, or from  any individuals, partnerships or corporations, any real  or personal property for the purpose of securing space for its school  purposes or office or other space  for its administrative functions for any period of time not exceeding 40  years, and such lease may be made and the obligation or expense  thereunder incurred without making a previous appropriation therefor,  except as otherwise provided in Section 34-21.1 of this Act.  Provided  that the board may enter into agreements, including lease and lease  purchase agreements having a term not longer than 40 years from the date on  which such agreements are entered into, with individuals, partnerships, or  corporations for the construction of school buildings, school  administrative offices, site development, and school support facilities.  The board shall maintain exclusive possession of all such schools, school  administrative offices, and school facilities which it is occupying or  acquiring pursuant to any such lease or lease purchase agreement, and in  addition shall have and exercise complete control over the education  program conducted at such schools, offices and facilities.  The board's  contribution under any such lease or lease purchase agreement shall be  limited to the use of the real estate and existing improvements on a rental  basis which shall be exempt from any form of leasehold tax or assessment,  but the interests of the board may be subordinated to the interests of a  mortgage holder or holders acquired as security for additional improvements  made on the property.  Provided that the board may enter into agreements, including lease and lease purchase  agreements, having a term not longer than 40 years from the date on which  such agreements are entered into for the provision of school buildings  and related property and facilities for an agricultural science school  pursuant to subparagraphs (8) through (10) of  Section 34-21.1; and such  agreements may be made and the obligations thereunder incurred without  making a previous appropriation therefor.  This Section does not prevent the making of lawful contracts for the  construction of buildings, the purchase of insurance, the leasing of  equipment, the purchase of personal property by a conditional sales  agreement, or the leasing of personal property under an agreement that  upon compliance with the terms of which the board shall become or has  the option to become the owner of the property for no additional  consideration or for a nominal consideration, the term of which may be  for periods of more than 1 year, but, in no case, shall such conditional  sales agreements or leases of personal property by which the board may  or will become the owner of the personal property, provide for the  consideration to be paid during a period of time in excess of 10 years  nor shall such contracts provide for the payment of interest in excess  of  the maximum rate authorized by the Bond Authorization Act, as amended at the  time of the making of the contract, on the unpaid balance owing; nor shall  this Section  prevent the making of lawful contracts for the purchase of fuel and the  removal of ashes for a period from July 1 of any year to June 30 of the  year following, or the making of lawful contracts for the transportation  of pupils  to and from school, or the entering into of employment  contracts with individuals or groups of employees for any period not to  exceed 4 years, or the entering into contracts with third parties  for services otherwise performed by employees for any period not to exceed 5  years provided that the contracts with third parties for services provided at  attendance centers shall specify that the principal of an attendance center  shall have authority, to the maximum extent possible, to direct persons  assigned to the attendance center  pursuant to that contract, or the making of requirement contracts for not  to exceed one year the terms of which may extend into the succeeding fiscal  year provided,  however, that such contracts contain a limitation on the amount to be expended  and that such contracts shall impose no obligation on the board except pursuant  to written purchase order.With respect to instruments for the payment of money issued under this  Section either before, on, or after the effective date of this amendatory  Act of 1989, it is and always has been the intention of the General  Assembly (i) that the Omnibus Bond Acts are and always have been supplementary  grants of  power to issue instruments in accordance with the Omnibus Bond Acts,  regardless of any provision of this Act that may appear to be or to have  been more restrictive than those Acts, (ii)  that the provisions of this Section are not a limitation on the  supplementary authority granted by the Omnibus Bond  Acts,  and (iii) that instruments issued under this  Section within the supplementary authority granted by the Omnibus Bond Acts  are not invalid  because of any provision of this Act that may appear to be or to have been  more restrictive than those Acts.    (Source: P.A. 89-15, eff. 5-30-95.)