Superintendent: District 211's 5-year financial plan stable

For the next five years, Palatine-Schaumburg High School District 211's spending will match its revenues, according to projections.

Over the next five years, District 211 will bring in an average of $229.3 million and spend an average of $226.5 million, according to projections shared on Thursday night at the District 211 board meeting. The board also approved the 2010 property tax levy on Thursday, a 3.1 percent increase from last year's at $200.2 million. Torres said that property values within the district increased by .9 percent from 2008 to 2009.

The levy increases comes from the 2.7 percent rate of inflation and .4 percent increase in new property within the district. The vote was unanimous, with Debra Strauss absent.

Board member Anna Klimkowicz asked what happens after five years if spending outpaces revenues.

“What we have to do is simply, as we build this thing, is we've got to make decisions on the expenditure side to stay within that revenue stream,” said Associate Superintendent for Business David Torres.

Torres pointed to last year's budget process, which dealt with the state cutting funding for District 211 by $4 million.

“We responded immediately with a reduction of $4 million on the expenditure side,” Torres said, noting cuts in this year's budget are to technology, with the purchase of new equipment being deferred.

Costs are increasing each year faster than the rate of inflation, Torres said, calling out increases to health insurance and contributions to staff retirement funds. The rising cots and decreases in state and federal funding means that “without question” that the district would have to re-examine collective bargaining parameters on contracts taking the district past 2014, Torres said.

Superintendent Nancy Robb stressed district officials haven't used increases to the tax levy to pay off debt. She wanted to reiterate that the district has financial stability, that the district is devoted to maintain quality and is being held accountable for its spending.

“When it's necessary we will make the reductions that will have to be made,” Robb said.