District 15 should abandon bond sale
As a resident of District 15 I spent many hours researching the controversial bond issue, to understand the pros and cons of the $27 million proposal which would put us approximately $51 million in debt. I have concluded it is fiscally irresponsible and obscenely wasteful.
Most troubling was the school board's decision to solve a periodic cash shortage problem (caused by late payments from the state and county) by issuing $10 million in working cash bonds. This problem could be solved using short-term loans called tax anticipation warrants, which cost millions less than working cash bonds.
Initially, I was puzzled why the board would choose the more expensive option. When the Daily Herald quoted school board President Gerald Chapman saying we can't maintain a 30 percent fund balance without the bond sale and still spend money, I had the answer.
It appears that although the cash flow situation is a legitimate problem, it was used as an excuse to issue the bonds, which would generate what was really desired, a $10 million lump sum of cash.
Dissenting board member Sue Quinn had it right when she said issuing working cash bonds is like taking out a second mortgage to pay for groceries.
Why does the district need more money? It might be because the board recently gave teachers and bus drivers a raise, costing an additional $2.8 million in the first year alone.
Working cash bonds enable districts to get money out of hapless taxpayers without a referendum. This callous disregard for taxpayers, many of whom have taken pay cuts or lost their jobs, is stunning.
The only way to fight is through a citizen's petition to put the issue on the ballot ... fortunately, our community has a small group of hardworking citizens who devoted countless hours to this task. We owe them a tremendous debt of gratitude.
Unfortunately, getting 7,500 signatures was just the beginning. The machine has now "lawyered up" and is working hard to disqualify the petition. It looks like it's going to be a long, expensive process. Please consider supporting the effort. Go to d15pie.org/bonds2010/.
Teri Paulson
Hoffman Estates