Board of Education of the Illinois Valley Central Unit District 321 v. State

35 Ill. Ct. Cl. 716
CourtCourt of Claims of Illinois
DecidedDecember 21, 1982
DocketNo. 80-CC-0390
StatusPublished
Cited by1 cases

This text of 35 Ill. Ct. Cl. 716 (Board of Education of the Illinois Valley Central Unit District 321 v. State) is published on Counsel Stack Legal Research, covering Court of Claims of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Board of Education of the Illinois Valley Central Unit District 321 v. State, 35 Ill. Ct. Cl. 716 (Ill. Super. Ct. 1982).

Opinion

Roe, C.J.

This cause is before the Court on Claimant’s motion for summary judgment, the response thereto filed by the Respondent, and Claimant’s motion to strike that response. On May 12, 1981, the Court heard oral arguments on the motions.

The circumstances which gave rise to this claim were set forth in the complaint as follows. Under the authority granted by section 10 — 23.4 of the School Code (Ill. Rev. Stat., ch. 122, par. 10 — 23.4), the Claimant owns, operates, and maintains a number of school buses for the transportation of students in its district. Claimant maintained on its payroll a full-time director of transportation and other full-time personnel to administer its transportation program. Their duties essentially were said to include: (a) developing bus routes and assigning students, (b) writing specifications for bidding on new buses, (c) arranging the purchase of new buses and sale of old buses, (d) recruiting and training drivers, (e) maintaining accounting functions for the transportation fund, (f) maintaining records of total days of transported pupil enrollment (over or under lh miles, total miles travelled, and individual pupil bus riders), (g) administering to the opération and maintenance of a private fleet, (h) administering transportation insurance programs, (i) handling parental complaints, and (j) handling extra-curricular activities.

Pursuant to section 17 — 8 of the School Code (Ill. Rev. Stat., ch. 122, par. 17 — 8), Claimant commenced making charges to the transportation fund in the 1967-1968 school year for salaries and related expenses. For the school year 1974-1975 the audit section of the Illinois Office of Education for the first time disallowed $42,842.03 of Claimant’s charges and reduced Claimant’s claim for that year by that amount. Similarly, for the school year 1975-1976 the audit section disallowed $25,102.91 of charges and reduced the claim by that amount for a cumulative total of $67,944.94. Claimant has previously presented and appealed its claim to the transportation fund audit section which denied its claim. A similar suit filed in a circuit court was dismissed for lack of jurisdiction.

The complaint does not clearly indicate the reason relied upon for the denial of the charges. It states that no challenge was made as to the amounts of administrative salaries or other amounts. Attached to the complaint is a letter from Joseph M. Cronin, State Superintendent of Education, which the complaint describes as being a rejection letter. On its face however, it says very little. Without more its relevance is questionable. Also attached to the complaint was what was described as the “Illinois Financial Accounting manual for Local School Systems; circular series A, No. 246,1969 and revised January 1972, Section IV, subsections 501.0, 501.1, 502.16, 503.1, 507.1 and 512.1.” However the Court has checked with the clerk’s office and finds that only copies of subsections 501.0, 501.1, 501.2, 501.3, 501.7, and 501.9 were actually filed. Regardless, Claimant states that these are instructions to the school districts in this State for salaries in various instances to be pro-rated. The relevancy of these directives is not stated.

Based upon this information the complaint conclusively alleges that Respondent has relied upon inconsistent and unreasonable standards in denying Claimant’s charges because of an alleged discriminatory effect of treatment of large and small school districts. It also concludes that said denial is clearly violative of the legislative mandate of section 17 — 8 of the School Code. Ill. Rev. Stat., ch. 122, par. 17 — 8.

The Respondent filed no answer to the complaint other than a general denial of the facts which occurred by lapse of the 60 days pursuant to Rule 10.

The motion for summary judgment and accompanying memorandum adds little information as to why the claims were disallowed. It states:

“Apparently, the only authority for disallowing these claims is an internal policy determination made by Respondent’s audit section and not pursuant to any formal rulemaking procedure. In fact, it is apparently Respondent’s position that its new policy, which became effective in the 1974-1975 school year, provides that salary expenditures for personnel other than school bus drivers and maintenance personnel are nonclaimable.” (Claimant’s own emphasis)

Nine months later an objection to the motion for summary judgment and a renewal of said motion were filed, the two apparently having crossed in the mail. Claimant subsequently filed a motion to strike Respondent’s objection on grounds of tardiness. Although Respondent’s objection was clearly filed beyond the time limit, we reluctantly deny the motion to strike in the interests of judicial economy and efficiency. This case presents a situation not heretofore faced by the Court. By looking strictly at Claimant’s pleadings we would be forced to remand the case to a commissioner for a full hearing because there is insufficient information contained in said pleadings to sufficiently apprise us of the facts involved and to convince us that Claimant is entitled to judgment as a matter of law. By allowing the objection to be filed much time and expense will be saved.

From the objection to the motion for summary judgment which is 24 pages long including the departmental report we are able to ascertain why the Board of Education denied the claim. Respondent apparently relied on section 29 — 5 of the School Code (Ill. Rev. Stat., ch. 122, par. 29 — 5) as authority for determining what costs it would and would not pay. According to that statute the State Board of Education shall prescribe uniform regulations for determining standards for reimbursement for transportation as described in said section, forms of cost accounting and standards for determining reasonable depreciation. After having reimbursed Claimant for the items which are the subject of this suit for many years, the Board issued what is termed “Instructions for Completing Annual Claims for Pupil Transportation for the 1974-1975 and 1975-1976 school years.” It was upon these instructions that Respondent relied to disallow the costs claimed.

We find that Respondent exceeded the authority granted by section 29 — 5 of the School Code (111. Rev. Stat., ch. 122, par. 29 — 5) in utilizing it to determine on its own what costs it would and would not reimburse. That statute sets forth a formula for reimbursement. Specifically it sets out which pupils are covered and how to arrive at the amount of reimbursement. In several places it refers to costs of transportation. As Claimant correctly points out, the costs of transportation are defined in section 17 — 8 of the School Code (Ill. Rev. Stat., ch. 122, par. 17 — 8). It provided as follows:

“Section 17 — 8. Transportation costs paid from transportation fund. Any transportation operating costs incurred from transporting pupils to and from school and school sponsored activities and the costs of acquiring equipment shall be paid from a transportation fund to consist of moneys received from any tax levy for such purpose, state reimbursement for transportation, all funds received from other districts for transporting pupils and any charges for transportation services rendered to individuals or auxiliary enterprises of the school.

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Cite This Page — Counsel Stack

Bluebook (online)
35 Ill. Ct. Cl. 716, Counsel Stack Legal Research, https://law.counselstack.com/opinion/board-of-education-of-the-illinois-valley-central-unit-district-321-v-ilclaimsct-1982.