Oak Park and River Forest High School District 200 201 North - - PDF document

Oak Park and River Forest High School District 200

201 North Scoville Avenue  Oak Park, IL 60302-2296 TEL: (708) 383-0700 WEB: www.oprfhs.org TTY/TDD: (708) 524-5500 FAX: (708) 434-3910

TO: Board of Education FROM: Tod Altenburg, Chief School Business Official; and the Finance Committee DATE: December 17, 2015 RE: RESOLUTION abating the working cash fund of Consolidated High School District Number 200, Cook County, Illinois, and abating the taxes heretofore levied for the year 2015 to pay debt service on General Obligation Limited Tax School Bonds, Series 2005, and General Obligation Limited Tax School Bonds, Series 2009, of said School District

BACKGROUND: This report was presented to the Finance Committee at the December 8th meeting at which time the vote was 3-0 to recommend to the Board of Education for approval as presented at its December 17, 2015 meeting.

For the past three tax levy years, the Board of Education has approved a resolution to abate the Bond and Interest Levy that is necessary to make the annual payments for principal and interest for debt service. In other words, rather than levy a direct tax, the Board of Education has abated this amount and made the payments from the district’s Working Cash Fund rather than the County Clerk extending the necessary amount via the property tax levy to make these payments.

SUMMARY OF FINDINGS:

Attached is a spreadsheet which outlines our current debt in terms of general obligation bonds. The payment associated with the 2015 (this year’s) tax levy is $2,466,675. Also attached is the Resolution that was prepared by Chapman and Cutler, LLP, attorneys at law who specialize in finance. The Administration recommends continuing this practice again this year.

RECOMMENDATION:

MOTION: To approve the Resolution abating the working cash fund of Consolidated High School District Number 200, Cook County, Illinois, and abating the taxes heretofore levied for the year 2015 to pay debt service on General Obligation Limited Tax School Bonds, Series 2005 and General Obligation Limited Tax School Bonds, Series 2009, of said School District as presented. ROLL CALL VOTE

20151208 FIN Resolution for 2015 Debt Service Abatement 2225969 • LKG • 11/30/2015

MINUTES of a regular public meeting of the Board of Education of Consolidated High School District Number 200, Cook County, Illinois, held in the Oak Park and River Forest High School Building in said School District at 7:30 o’clock P.M., on the 17th day of December 2015. * * * The meeting was called to order by the President, and upon the roll being called, Jeff Weissglass, the President, and the following members were physically present at said location: ______________________________________________________________________________ ______________________________________________________________________________ The following members were allowed by a majority of the members of the Board of Education in accordance with and to the extent allowed by rules adopted by the Board of Education to attend the meeting by video or audio conference: ____________________________ ______________________________________________________________________________ No member was permitted to attend the meeting by video or audio conference. The following members were absent and did not participate in the meeting in any manner

• r to any extent whatsoever: _______________________________________________________

______________________________________________________________________________ The President announced that the next item of business before the Board of Education was the consideration of a resolution abating the working cash fund of the District and abating the taxes heretofore levied for the year 2015 to pay debt service on the General Obligation Limited Tax School Bonds, Series 2005, and General Obligation Limited Tax School Bonds, Series 2009, of the District. Whereupon Member _____________________ presented and the Secretary read by title a resolution as follows, copies of which were available to everyone in attendance at said meeting who requested a copy:

RESOLUTION abating the working cash fund of Consolidated High School District Number 200, Cook County, Illinois, and abating the taxes heretofore levied for the year 2015 to pay debt service on the General Obligation Limited Tax School Bonds, Series 2005, and General Obligation Limited Tax School Bonds, Series 2009, of said School District. * * * WHEREAS, the Board of Education (the “Board”) of Consolidated High School District Number 200, Cook County, Illinois (the “District”), by resolution adopted on the 24th day of February 2005 (the “2005 Resolution”), did provide for the issue of $1,675,000 General Obligation Limited Tax School Bonds, Series 2005 (the “2005 Bonds”), and the levy of a direct annual tax to pay the principal of and interest on the 2005 Bonds; and WHEREAS, on the 28th day of February 2005, a duly certified copy of the 2005 Resolution was filed in the office of the County Clerk of Cook County, Illinois (the “County Clerk”); and WHEREAS, the District established the “School Bond and Interest Fund of 2005” (the “2005 Bond Fund”) pursuant to Section 10 of the 2005 Resolution for the purpose of paying the debt service on the 2005 Bonds; and WHEREAS, the Board, by resolution adopted on the 27th day of August 2009, as amended by a resolution adopted by the Board on the 24th day of September 2009, and as supplemented by a Notification of Sale, dated the 1st day of December 2009 (the “2009 Resolution”), did provide for the issue of $11,810,000 General Obligation Limited Tax School Bonds, Series 2009 (the “2009 Bonds” and together with the 2005 Bonds, the “Bonds”), and the levy of a direct annual tax to pay the principal of and interest on the 2009 Bonds; and WHEREAS, on the 14th day of December 2009, a duly certified copy of the 2009 Resolution was filed in the office of the County Clerk; and

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WHEREAS, the District established the “Refunding Bond and Interest Sinking Fund Account of 2009” (the “2009 Bond Fund”) pursuant to Section 10 of the 2009 Resolution for the purpose of paying the debt service on the 2009 Bonds; and WHEREAS, Board has heretofore created and maintained a working cash fund in and for the District (the “Working Cash Fund”); and WHEREAS, Section 20-10 of the School Code of the State of Illinois, as amended (the “Code”), authorizes the Board to abate the Working Cash Fund; and WHEREAS, the Board has determined and does hereby determine that it is necessary and in the best interests of the District that the Working Cash Fund be abated by the amount of $2,466,675 (the “Abatement Amount”) and that of the Abatement Amount, $111,075 be deposited in the 2005 Bond Fund and $2,355,600 be deposited in the 2009 Bond Fund; and WHEREAS, as a result of said abatement, the District will have surplus funds in the 2005 Bond Fund and the 2009 Bond Fund, and it is necessary and in the best interests of the District that the taxes heretofore levied for the year 2015 to pay the Bonds be abated: NOW, THEREFORE, Be It and It is Hereby Resolved by the Board of Education of Consolidated High School District Number 200, Cook County, Illinois, as follows: Section 1. Incorporation of Preambles. The Board hereby finds that all of the recitals contained in the preambles to this Resolution are full, true and correct and does incorporate them into this Resolution by this reference. Section 2. Amount of Abatement. The Working Cash Fund shall be abated as of the date hereof by the Abatement Amount. Section 3. Permanent Transfer. The School Treasurer of the District is hereby authorized and directed to forthwith permanently transfer $111,075 of the Abatement Amount to the 2005 Bond Fund and $2,355,600 of the Abatement Amount to the 2009 Bond Fund, the same

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being the funds of the District most in need of the Abatement Amount. It is also hereby found and determined that (a) the Abatement Amount, when added to the 2005 Bond Fund and the 2009 Bond Fund in the amounts set forth above and regardless of any subsequent transfers of the Abatement Amount, will not result in an excessive accumulation of assets in the 2005 Bond Fund or in the 2009 Bond Fund and (b) the balance remaining in the Working Cash Fund after said abatement, including the amount of any taxes heretofore levied by the District for the Working Cash Fund pursuant to Section 20-3 of the Code, but not yet collected and deposited into the Working Cash Fund, and amounts transferred pursuant to Section 20-4 of the Code and to be reimbursed to the Working Cash Fund, is at least equal to 0.05% of the value, as equalized

• r assessed by the Department of Revenue, of the taxable property in the District.

Section 4. Outstanding Loans. If necessary to effectuate such abatement and permanent transfer, any outstanding loans from the Working Cash Fund to other funds of the District in an amount, together with any cash immediately transferred pursuant to Section 2 above, equal in the aggregate to the Abatement Amount shall be paid to the 2005 Bond Fund and the 2009 Bond Fund in the amounts set forth above, and any remaining outstanding loans shall be paid to the Working Cash Fund at the time and in the manner required by the Code. Section 5. Abatement of Tax. The taxes heretofore levied for the year 2015 in the 2005 Resolution and in the 2009 Resolution shall be abated by that amount representing surplus funds in the respective Bond Fund, and the amount of the tax currently on file for the year 2015 to pay debt service on the Bonds, the amount of the tax to be abated for said year, and the remainder of the tax levied which is to be extended for said year to pay debt service on the Bonds are as follows:

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FOR THE 2005 BONDS LEVY YEAR AMOUNT CURRENTLY

ON FILE

AMOUNT TO BE ABATED REMAINDER OF TAX TO BE EXTENDED TO PRODUCE 2015 $111,075 $111,075 $-0- FOR THE 2009 BONDS LEVY YEAR AMOUNT CURRENTLY

ON FILE

AMOUNT TO BE ABATED REMAINDER OF TAX TO BE EXTENDED TO PRODUCE 2015 $2,355,600 $2,355,600 $-0- Section 6. Filing of Resolution. Forthwith upon the adoption of this resolution, the Secretary of the Board shall file a certified copy hereof with the County Clerk, and it shall be the duty of the County Clerk to abate said tax levied for the year 2015 in accordance with the provisions hereof. Section 7.

• Severability. If any section, paragraph, clause or provision of this

Resolution shall be held to be invalid or unenforceable for any reason, the invalidity or unenforceability of such section, paragraph, clause or provision shall not affect any of the remaining provisions of this Resolution. Section 8. Repealer and Effective Date. All resolutions or parts thereof in conflict herewith be and the same are hereby repealed that this Resolution shall be in full force and effect forthwith upon its adoption. Adopted December 17, 2015. _______________________________________ President, Board of Education _______________________________________ Secretary, Board of Education

Member ___________________ moved and Member ____________________ seconded the motion that said resolution as presented and read by title be adopted. After a full discussion thereof, the President directed that the roll be called for a vote upon the motion to adopt said resolution. Upon the roll being called, the following members voted AYE: _____________________ ______________________________________________________________________________ ______________________________________________________________________________ NAY: __________________________________________________________________ Whereupon the President declared the motion carried and said resolution adopted, approved and signed the same in open meeting and directed the Secretary to record the same in the records of the Board of Education of Consolidated High School District Number 200, Cook County, Illinois, which was done. Other business not pertinent to the adoption of said resolution was duly transacted at the meeting. Upon motion duly made, seconded and carried, the meeting was adjourned. _______________________________________ Secretary, Board of Education

STATE OF ILLINOIS ) ) SS COUNTY OF COOK ) CERTIFICATION OF RESOLUTION AND MINUTES I, the undersigned, do hereby certify that I am the duly qualified and acting Secretary of the Board of Education (the “Board”) of Consolidated High School District Number 200, Cook County, Illinois (the “District”), and as such official I am the keeper of the records and files of the District and the Board. I do further certify that the foregoing constitutes a full, true and complete transcript of the minutes of the meeting of the Board held on the 17th day of December 2015, insofar as same relates to the adoption of a resolution entitled: RESOLUTION abating the working cash fund of Consolidated High School District Number 200, Cook County, Illinois, and abating the taxes heretofore levied for the year 2015 to pay debt service on the General Obligation Limited Tax School Bonds, Series 2005, and General Obligation Limited Tax School Bonds, Series 2009, of said School District. a true, correct and complete copy of which said resolution as adopted at said meeting appears in the foregoing transcript of the minutes of said meeting. I do further certify that the deliberations of the Board on the adoption of said resolution were conducted openly, that the vote on the adoption of said resolution was taken openly, that said meeting was called and held at a specified time and place convenient to the public, that notice of said meeting was duly given to all of the news media requesting such notice, that an agenda for said meeting was posted at the location where said meeting was held and at the principal office of the Board at least 48 hours in advance of the holding of said meeting, that at least one copy of said agenda was continuously available for public review during the entire 48-hour period preceding said meeting, that said agenda contained a separate specific item concerning the proposed adoption of said resolution, that said meeting was called and held in strict compliance with the provisions of the Open Meetings Act of the State of Illinois, as amended, and with the provisions of the School Code of the State of Illinois, as amended, and that the Board has complied with all of the provisions of said Act and said Code and with all of the procedural rules of the Board in the passage of said resolution. IN WITNESS WHEREOF, I hereunto affix my official signature, this 17th day of December 2015. _______________________________________ Secretary, Board of Education

STATE OF ILLINOIS ) ) SS COUNTY OF COOK ) FILING CERTIFICATE I, the undersigned, do hereby certify that I am the duly qualified and acting County Clerk

• f The County of Cook, Illinois, and as such official, I do further certify that on the ____ day of

_____________, 20__, there was filed in my office a duly certified copy of a resolution entitled: RESOLUTION abating the working cash fund of Consolidated High School District Number 200, Cook County, Illinois, and abating the taxes heretofore levied for the year 2015 to pay debt service on the General Obligation Limited Tax School Bonds, Series 2005, and General Obligation Limited Tax School Bonds, Series 2009, of said School District. duly adopted by the Board of Education of Consolidated High School District Number 200, Cook County, Illinois, on the 17th day of December 2015, and that the same has been deposited in the official files and records of my office. I do further certify that the taxes heretofore levied for the year 2015 for the payment of the General Obligation Limited Tax School Bonds, Series 2005, and General Obligation Limited Tax School Bonds, Series 2009, as described in said resolution will be abated as provided in said resolution. IN WITNESS WHERETO, I hereunto affix my official signature and the seal of said County, this ____ day of ___________, 20__. _______________________________________ County Clerk (SEAL)