Palatine District 15 proposing small levy hike
Palatine Township Elementary School District 15 administrators are expecting a 0.8 percent increase in next year's property tax levy, which, if adopted, would mean a small tax hike for property owners.
The proposed levy of $117.8 million - up from $116.5 million a year ago - includes the maximum increase allowed under state law. That would mean a $16.19 annual tax increase for homes valued at $200,000 and a $24.27 increase for a $300,000 home.
"The increases are needed because our costs increase each year, and we are never completely sure how much the state and federal funding will be," Superintendent Scott Thompson said. "Even though the education portion of the budget was signed by Gov. (Bruce) Rauner, the state regularly has not paid the amount budgeted."
The district also plans to include room to ensure it captures the benefit of any new construction that adds value to the district, such as the Patrick Hyundai car dealership.
State law allows districts to increase their property tax levies by either the Consumer Price Index or 5 percent, whichever is smaller. Recent projections put the CPI at 0.8 percent. The CPI for the 2012 tax year was 3 percent, and in 2014 it was 1.5 percent.
"This could be the smallest increase in the last six years," Thompson said.
School board member Manjula Sriram said the district should stop placing its revenue burden on taxpayers.
"Let's first think about how to control our expenses. You can't just go to the public every time you need money," she said. "We don't know what's coming down from the state, so we should be cautious with the raises we give."
District officials also want to issue bonds to fund $25 million of an estimated $119 million project to make mandatory life-safety improvements to buildings. The bonds can be issued without voter approval.
The district is still waiting for state approval to move forward with the work, which initially was projected to go out for bid this month.
If the plan is approved, the cost of repaying the bonds would raises taxes on a $250,000 residence by $17; the increase would be $27 for a $400,000 property. By 2034, the year the bonds would be paid off, the work would cost $68 for a $250,000 house, $112 for a $400,000 house.
The board is scheduled to discuss the levy when it meets at 7 p.m. Wednesday at Sundling Junior High School, 1100 N. Smith St., in Palatine.
The board is expected to vote on the levy Dec. 9.