Woodland rolls on with plan to borrow $9.4 million

Woodland Elementary District 50 hasn't encountered public opposition, so officials are proceeding with a plan to borrow up to $9.9 million to cover capital expenditures and allow for a reduced tax rate.

The Gurnee-based District 50 hosted a public hearing on the proposal Dec. 16, but no residents stepped up to speak either way on the issue when given the opportunity.

While District 50 doesn't need voter permission to borrow the money, state law provides taxpayers a chance to force a ballot question if they obtained signatures on a petition from at least 10 percent of the district's registered voters.

But no one filed a petition within the required 30 days of a Nov. 18 meeting when Woodland officials publicly declared their intent to borrow the funds through issuance of working-cash bonds.

Copier, bus and computer leases would be among the capital expenditures covered with the $9.9 million loan.

District 50 plans to refinance debt as part of an attempt to slice its tax rate for the bond-and-interest fund. Officials said the refinancing, in combination with the loan, would let Woodland to cut its levy request by $2 million annually from 2011 to 2014.

That, the district estimates, would save the owner of a $300,000 home about $100 on each of their next four spring tax bills.

District 50 board President Lawrence Gregorash said officials have been doing whatever it takes to shrink annual expenses for at least seven years. Board members never wanted to leverage debt to bring more money into the district, he said, but are left with few options because of uncertainty over state aid payments.

“We have to find a way to do something,” Gregorash said. “So, we are going to look at this last vestige of control that we have in order to make sure that we have a stream of revenue for a period of six years, folks.”

Board members are expected to give formal authorization for the working-cash bond sale Jan. 27.