2016 PROPOSED TAX LEVY SC HO O L D ISTR IC T U- 4 6 N O V EM BER - - PowerPoint PPT Presentation

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2016 PROPOSED TAX LEVY SC HO O L D ISTR IC T U- 4 6 N O V EM BER - - PowerPoint PPT Presentation

Oct 19, 2023 223 likes •430 views

2016 PROPOSED TAX LEVY SC HO O L D ISTR IC T U- 4 6 N O V EM BER 7 , 2 0 1 6 2016 TAX LEVY TIMELINE No ve mb e r 7 Re so lutio n re g a rding pro po se d le vie s a nd de te rmina tio n o f ta x le vy (wo rk se ssio n) No ve mb e

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SLIDE 1

SC HO O L D ISTR IC T U- 4 6 N O V EM BER 7 , 2 0 1 6

2016 PROPOSED TAX LEVY

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SLIDE 2

2016 TAX LEVY TIMELINE

  • No ve mb e r 7 – Re so lutio n re g a rding pro po se d le vie s

a nd de te rmina tio n o f ta x le vy (wo rk se ssio n)

  • No ve mb e r 21 – Ado ptio n o f pro po se d le vie s a nd

de te rmina tio n o f ta x le vy re so lutio n (disc ussio n/ a c tio n). T a x le vy re so lutio n a nd Ce rtific a te o f T a x L e vy (wo rk se ssio n).

  • De c e mb e r 12 – Ado ptio n o f ta x le vy re so lutio n a nd

Ce rtific a te o f T a x L e vy.

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SLIDE 3

ABATEMENT TIMELINE

  • No ve mb e r 21 – Pre se nt re so lutio n o f I

nte nt to Ab a te

  • De c e mb e r 12 – Vo te o n re so lutio n o f I

nte nt to Ab a te

  • Ja nua ry 23 – Pre se nt Re so lutio n to Ab a te a nd

tra nsfe r funds fro m the E duc a tio na l F und to the Bo nd a nd I nte re st F und to c o ve r the a b a te me nt a mo unt.

  • F

e b rua ry 6 – Vo te o n Re so lutio n to Ab a te

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SLIDE 4

TAX LEVY TERMS

  • Pro pe rty T

a x L e vy – a mo unt o f pro pe rty ta x do lla rs re q ue ste d to o pe ra te the Distric t fo r the sub se q ue nt fisc a l ye a r

  • E

AV – E q ua lize d Asse sse d Va lua tio n – One -third o f the ta xa b le ma rke t va lue o f re a l e sta te

  • Ne w Co nstruc tio n – Asse sse d va lue o f ne w

impro ve me nts o r a dditio ns to a n e xisting pro pe rty o r pro pe rty tha t wa s pre vio usly e xe mpt

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SLIDE 5

PROPERTY TAX EXTENSION LIMITATION LAW (PTELL)

  • CPI

with a c a p o f 5% 5 ye a r CPI a ve ra g e = 1.5% 3 ye a r CPI a ve ra g e = 1.0%

  • Ne w c o nstruc tio n
  • Bo nd a nd inte re st pa yme nts
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SLIDE 6

FIVE YEAR HISTORY OF LEVY REQUESTS

T a x L e vy Yr. Pre vious Yr. E xte nsion Propose d L e vy L e vy Pe rc e nt Inc re a se Ac tua l E xte nsion Ac tua l E xte nsion Inc re a se De c e mbe r CPI- U

2011

$246,678,180 $278,778,945 13.01% $243,285,505

  • 1.38%

1.5%

2012

$243,285,505 $265,434,979 9.10% $257,825,855 5.98% 3.0%

2013

$257,825,855 $270,062,332 2.99% $257,626,347

  • 0.08%

1.7%

2014

$257,626,347 $264,158,428 2.54% $258,557,344 0.36% 1.5%

2015

$258,557,344 $263,449,740 1.89% $261,980,999 1.32% 0.8%

2016*

$261,980,999 $266,951,621 1.90%* T BD T BD 0.7%

*Pro po se d

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SLIDE 7

TAX LEVY ASSUMPTIONS

  • We ha ve two ke y c o mpo ne nts utilize d in c re a ting a

le vy tha t a re unkno wn until April o f 2017: E q ua lize d Asse sse d Va lua tio n (E AV) a nd ne w c o nstruc tio n.

  • 1. We a re e stima ting a n inc re a se in E

AV o f 6%. K a ne ha s g ive n us a n e stima te o f 9%, ho we ve r, we do no t ha ve va lue s fro m DuPa g e a nd Co o k. L a st ye a r DuPa g e E AV inc re a se d 3%, while Co o k E AV de c re a se d 3%.

  • 2. We ha ve e stima te d $30 millio n in ne w pro pe rty fo r the c urre nt

le vy. L a st ye a rs’ a c tua l va lue wa s $19 millio n. We ha ve pro je c te d a n inc re a se due to the c o rre la tio n b e twe e n de ve lo pe r do na tio n do lla rs a nd c o nstruc tio n numb e rs.

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SLIDE 8

NEW GROWTH

  • Pro pe rty a dde d to the ta x b a se (ne w g ro wth) is

a b o ve a nd b e yo nd the CPI limita tio n.

  • Ne w g ro wth c a n b e fro m a nne xa tio ns, e xpire d T

I F s, ho me a dditio ns, ne w re side ntia l a nd c o mme rc ia l c o nstruc tio n, a nd e xpira tio ns o f 4-ye a r e xe mptio ns.

  • Sc ho o l distric ts must le vy fo r ne w g ro wth in ye a r o ne
  • r the va lue o f the c o nstruc tio n is c a ppe d fo re ve r.
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SLIDE 9

CALCULATING NEW GROWTH

2015 T a x E xte nsio n = $261,980,999 CPI is 0.7% X ma x. e xte nsio n = $263,814,866 Ne w Gro wth E stima te $30,000,000 Adds a ppro xima te ly 0.69% to the e xte nsio n = $265,623,503

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SLIDE 10

EAV AND TAX RATES

I f E AV is fla t a nd CPI

  • U is fla t, the T

a x Ra te is fla t. I f E AV is de c lining o r inc re a sing le ss the CPI

  • U inc re a se , the T

a x Ra te will inc re a se . I f the E AV inc re a se is mo re tha n the CPI

  • U inc re a se , the T

a x Ra te will de c line . T a x ra te s a re de te rmine d a fte r the E AV is fina lize d a nd re q ue sts a re ma de .

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SLIDE 11

WHY DID MY TAXES INCREASE

  • T

he re a re se ve ra l re a so ns why pro pe rty ta xe s ma y inc re a se ye a r o ve r ye a r. An inc re a se in pro pe rty ta xe s within yo ur pa rtic ula r ta xing distric t ma y o c c ur due to the fo llo wing :

  • 1. A de c re a se in the ta xing distric t’ s o ve ra ll e q ua lize d a sse sse d

va lue c a n inc re a se the ra te .

  • 2. An inc re a se in ta xe s le vie d b y the lo c a l g o ve rnme nt a nd

sc ho o l distric t in a c c o rda nc e with the Pro pe rty T a x E xte nsio n L imita tio n L a w.

  • 3. An inc re a se in the a sse sse d va lue o f yo ur pro pe rty.
  • 4. A de c re a se in a sse sse d va lue tha t is lo we r/ sma lle r tha n the
  • ve ra ll de c re a se in a sse sse d va lue fo r the ta xing b o dy.
  • 5. Pub lic vo ting fo r b o nd issue s suc h a s ne w c o nstruc tio n.
  • 6. An inc re a se in the pa yme nts o f pre vio usly a ppro ve d b o nds.
  • 7. A shift in the b urde n b e twe e n c o untie s.
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SLIDE 12

CORPORATE TAX APPEALS

  • E

VE RY YE AR CORPORAT E T AX APPE AL S SHIF T BE T WE E N $3 MIL L ION AND $4 MIL L ION IN F UNDING T O OT HE R T AXPAYE RS.

  • Ho w do e s tha t a ffe c t ho me o wne rs? IT

SHIF T S T HE BURDE N ON HOME OWNE RS.

  • IF

T HE BURDE N INCRE ASE S, T HE T AX INCRE ASE S RE GARDL E SS OF WHAT T HE T AXING DIST RICT S RE QUE ST .

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SLIDE 13

HOW ARE PROPERTY TAXES CALCULATED

T

  • ta l Distric t E

AV $500,000,000 Ho me o wne r’ s E AV $50,000 Ho me o wne r’ s ho use va lue $150,000 Ho me o wne r’ s E AV Po rtio n o f T

  • ta l E

AV 0.0001 T

  • ta l Sc ho o l Distric t

Pro pe rty T a x Re ve nue $20,000,000 Ho me o wne r’ s Pro pe rty T a x Bill $2,000 T a x Ca lc ula tio n $20,000,000 X 0.0001 = $2,000

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SLIDE 14

SAMPLE WITH IMPROVEMENTS TO PROPERTY OR REASSESSMENT OCCURS

T

  • ta l Distric t E

AV $500,000,000 Ho me o wne r’ s E AV $65,000 Ho me o wne r’ s ho use va lue $195,000 Ho me o wne r’ s E AV Po rtio n o f T

  • ta l E

AV 0.00013 T

  • ta l Sc ho o l Distric t

Pro pe rty T a x Re ve nue $20,000,000 Ho me o wne r’ s Pro pe rty T a x Bill $2,600 T a x Ca lc ula tio n $20,000,000 X 0.00013 = $2,600

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SLIDE 15

WHAT HAPPENS WHEN EAV DROPS

T

  • ta l Distric t E

AV $480,000,000 Ho me o wne r’ s E AV $50,000 Ho me o wne r’ s ho use va lue $150,000 Ho me o wne r’ s E AV Po rtio n o f T

  • ta l E

AV 0.0001041 T

  • ta l Sc ho o l Distric t

Pro pe rty T a x Re ve nue $20,000,000 Ho me o wne r’ s Pro pe rty T a x Bill $2,083 T a x Ca lc ula tio n $20,000,000 X 0.0001041 = $2,083

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SLIDE 16

WHAT HAPPENS WHEN EAV INCREASES

T

  • ta l Distric t E

AV $520,000,000 Ho me o wne r’ s E AV $50,000 Ho me o wne r’ s ho use va lue $150,000 Ho me o wne r’ s E AV Po rtio n o f T

  • ta l E

AV 0.0000962 T

  • ta l Sc ho o l Distric t

Pro pe rty T a x Re ve nue $20,000,000 Ho me o wne r’ s Pro pe rty T a x Bill $1,923 T a x Ca lc ula tio n $20,000,000 X 0.0000962 = $1,923

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SLIDE 17

HOW DOES U-46 COMPARE TO OTHER DISTRICTS

Distric t Ope ra ting E xpe nditure s Pe r Pupil (OE PP) - 2015 Pe r Ca pita T uition Cha rg e (PCT C) - 2015

Ge ne va CUSD 304 $14,730.68 $14,609.00 Na pe rville CUSD 203 $14,544.59 $13,701.24 Ba ta via USD 101 $13,435.46 $12,413.82 St Cha rle s CUSD 303 $13,258.04 $11,916.76 K a ne la nd CUSD 302 $12,446.37 $11,471.95 Ce ntra l CUSD 301 $11,923.78 $11,023.57 Auro ra We st USD 129 $11,662.90 $ 9,915.20 SD U-46 $11,404.00 $ 9,591.05 Auro ra E a st USD 131 $11,334.72 $ 8,805.18 I ndia n Pra irie CUSD 204 $11,053.45 $ 9,993.45 CUSD 300 $10,726.27 $ 9,199.13 Huntle y CSD 158 $ 9,427.18 $ 8,226.98

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SLIDE 18

HOW DOES U-46 COMPARE TO OTHER DISTRICTS

Distric t 2012 E AV Pe r Stude nt L

  • c a l Re ve nue pe r Stude nt

for e a c h $1 ta x ra te

Ge ne va CUSD 304 $241,472 $2,414.72 Na pe rville CUSD 203 $272,333 $2,723.33 Ba ta via USD 101 $188,944 $1,889.44 St Cha rle s CUSD 303 $231,691 $2,316.91 K a ne la nd CUSD 302 $174,598 $1,745.98 Ce ntra l CUSD 301 $174,733 $1,747.33 Auro ra We st USD 129 $119,645 $ 1,196.45 SD U-46 $130,889 $ 1,308.89 Auro ra E a st USD 131 $51,525 $ 515.25 I ndia n Pra irie CUSD 204 $172,004 $ 1,720.04 CUSD 300 $160,348 $ 1,603.48 Huntle y CSD 158 $ 128,942 $ 1,289.42

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SLIDE 19

2016 LEVY

(WITHOUT BOND AND INTEREST)

  • E

duc a tio na l F und $162,872,895

  • Ope ra tio ns & Ma inte na nc e F

und $ 31,203,795

  • T

ra nspo rta tio n F und $ 16,950,095

  • I

MRF $ 6,569,710

  • So c ia l Se c urity

$ 5,400,290

  • L

ife Sa fe ty F und $ 1,976,619

  • T
  • rt

$ 9,768,694

  • Spe c ia l E

duc a tio n $ 32,209,523 T

  • ta l

$266,951,621 De fe nsive Cha ng e : 1.90% Ac tua l E

  • st. Cha ng e : 1.39%

I mpa c t o n E xisting Ho me o wne rs is 0.7%