In this issue:
Giving Tuesday donation
On Giving Tuesday, please consider donating to our foundation, Partnership for Educational Progress (PEP). PEP provides financial resources to support programs that enhance student achievement and enrich learning opportunities. You may donate to PEP at this link.
DuPage County resources
Check out a variety of resources available to DuPage County residents:
Highlights of Dec. 2 board meeting
Board Highlights feature a brief description of the action items and discussion items on the meeting agenda. Board Highlights do not replace minutes. The minutes are approved by the board and posted after the next regularly scheduled board meeting. Present: Margaret DeLaRosa, Kermit Eby, Bob Friend, Martha Mueller and Jim Shannon. Absent: Hetal Lee and Rosemarie Montanez.
SUPERINTENDENT’S REPORT:
As part of our process, a meeting was arranged with Safeway on December 2.
THE BOARD APPROVED:
– the November 11, 2024 regular meeting minutes and closed session minutes; the November 13, 2024 closed special meeting minutes; the November 18, 2024 closed special meeting minutes; and the November 19, 2024 closed special meeting minutes.
– 2024 tax levy. The district presented a proposed tax levy that included a board resolution to abate (reduce) the tax levy by $750,000 to provide tax relief to our communities. Over the past three years, a cumulative total of $4.25 million will be achieved (last year, the board approved a $2.0 million abatement).
The result of this year’s abatement will be a shortfall in the debt service fund; which will be covered by fund balance (cash reserves). There is no impact on the operating budget and the financial profile score rating. This approach ensures that the district is able to fully fund instructional programming while ensuring that Glenbard is fiscally responsible to the community.
The 2024 tax levy will be the formal request to the county that will generate a 4.76 percent year-over-year increase to the tax levy; the abatement will reduce total impact (inclusive of the bond and interest levy) by approximately 0.50 percent. This is in line with the district’s strategy of limiting year-to-year increases to no more than 4.5 percent.
The anticipated levy extension request to the county will be further reduced to an estimate of 4.08 percent by the DuPage County Clerk prior to the tax extension being finalized in the spring (when new construction amounts and equalized assessed valuations [EAVs] have been determined). The district anticipates issuing its approved referendum bonds in the spring of 2025, which will not go into effect until next year’s (2025) levy.
The district sets a tax levy on an annual basis, which provides Glenbard with more than 75 percent of its total revenue. The setting of the annual tax levy is governed by the Truth in Taxation Law, School Code, Property Tax Code, and Property Tax Extension Limitation Law (PTELL).
Truth in Taxation Law (the “Act”) requires that at least 20 days prior to the adoption of the levy, the school board must estimate the aggregate levy for the year through a board motion or resolution.
After experiencing hyperinflation the past two fiscal years, 2023 marked the first time the Consumer Price Index (CPI) fell below the 5 percent PTELL cap. The 2023 year-end CPI came in at 3.4 percent. This will be the maximum amount the district can raise the tax levy (excluding new property growth).
Property Tax Extension Limitation Law limits the amount the tax levy (aggregate extension) can increase over the prior year’s tax levy. Debt service levies are not included in this limitation.
Three factors determine the allowable tax growth under the PTELL laws: amount of the prior year’s tax extension; the increase in the Consumer Price Index for Urban (CPI-U) as of December 2023 (was 3.4 percent); and new property growth.
The first two items are already known, but the new property growth will not be known until April 2025, so the district must estimate the amount of new property growth and the county clerk will adjust the tax extension once the final number is known. We have prepared two calculations to account for this projection.
Most Likely: We have calculated our most likely extension based on a 2023 calendar year CPI of 3.4 percent and an estimated new construction amount of $50,000,000. This calculation represents the total tax extension that we believe the district will most likely receive. Based on this calculation, we believe that our total property tax extension revenue will increase by $8,224,733 or 5.29 percent – year over year (3.4 percent increase due to CPI; 0.68 percent increase due to new construction and 1.21 percent in bond and interest). We have estimated an increase in property equalized assessed value (EAV) of 9.0 percent.
Manual Override/Submitted Levy: School districts generally levy a dollar amount higher than the expected or most likely amount for three primary reasons:
Education fund = $121,500,000 (Most Likely); $122,310,000 (‘Override’)
Operations, Building & Maintenance fund = $25,050,000 (Most Likely); $25,200,000 (‘Override’)
Transportation fund = $8,770,000 (Most Likely); $8,800,000 (‘Override’)
IMRF fund = $720,000 (Most Likely); $730,000 (‘Override’)
Social Security & Medicare fund = $1,550,000 (Most Likely); $1,570,000 (‘Override’)
Total = $157,590,000 (Most Likely); $158,610,000 (‘Override’)
Year-over-year increase: 4.08 percent (Most Likely); 4.76 percent (‘Override’)
Our proposed property tax levy submission, excluding the bond and interest levy, is $158,610,000 which represents a 4.76 percent increase over the prior year’s aggregate tax extension (‘override amount’). For reasons mentioned above, it is prudent to levy a higher dollar amount than expected.
In the spring of 2025, DuPage County will calculate our actual property tax extension pursuant to the tax cap, taking into account the CPI and new construction and all approved abatements.
– establish closed special meetings for the purposes of consideration of superintendent candidates, preparing for and conducting interviews of superintendent candidates and selecting the new superintendent. On October 14, 2024, the board took action to approve holding the following closed special meetings pursuant to section 2a of the Illinois Open Meetings Act for the purposes of consideration of superintendent candidates, preparing for and conducting interviews of superintendent candidates and selecting the new superintendent on November 13, 2024; November 18, 2024; November 19, 2024; December 3, 2024; and December 5, 2024. There is a need to cancel the December 3, 2024 meeting and to reschedule and relocate the December 5, 2024 meeting to be held at the district offices, beginning at 4:00 PM.
– policies and procedures for second reading and adoption. 4:90-AP3 Use of the Check Signing Machine [delete]; 4:90-AP4 Signing Activity and Imprest Checks [delete]; and 4:90-E1 Building Activity Account Transfer.
BOARD INFORMATION/DISCUSSION ITEMS INCLUDED:
– awards and recognitions. Congratulations to Glenbard South student Thomas Jochum, who was a boys cross country All-State honoree after finishing second at the Class 2A state final. His coaches are Doug Gorski and Chris MacTaggart.
– South academic board goals report. Principal Jessica Santee and the South administrative team presented the Glenbard South board goals, including the following data:
– policies and procedures for first reading and discussion. 4:20-AP1 Handling of Money; 4:20-AP2 Convenience and Trust Accounts; 4:90 Student Activity and Fiduciary Funds [new name]; 4:90-AP1 Student Activities – Funds and Management [new]; and 4:90-AP2 Student Activity Accounts.
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