Dist. 204 prez pushing ahead with plan to withhold state tax payments

Indian Prairie school board President Curt Bradshaw appears to be pushing forward with his plan to withhold monthly payroll tax payments to the state department of revenue - even though district officials already have paid their attorneys $1,520 to tell them it's illegal.

Support from some of his fellow Unit District 204 board members also appears to have fallen by the wayside.

In an e-mail sent Friday to individual board members, Bradshaw presented a draft ordinance he prepared for the Illinois Association of School Boards to include as part of its legislative initiative.

"The state has consistently delayed payments to school districts as a means of financing its budget shortfalls (as of May 2010, the state is behind $1.4 billion in payments to school districts). This practice negatively impacts the financial operation of school districts. In addition, many school districts are forced to incur substantial borrowing costs to make up the funding shortfall," he wrote in the resolution. "Currently, school districts are forwarding millions in income tax payments to the same entity that is behind $1.4 billion in payments to school districts. Allowing school districts to setoff income tax payments due the state against amounts owed by the state to school districts will provide school districts critical funding and lessen the impact of past-due payments on district operations."

He then solicited comments from board members.

"I would like to put this on the consent agenda for June 7 and work out any kinks beforehand so we don't need to use meeting time discussing it," he wrote. "Are you supportive of this as is, or are there any changes you believe are necessary?"

Early replies from his peers were less than supportive.

"I'd like to see a few things thought about first. I'm not saying one way or the other until we discuss it further," Cathy Piehl said. "I want to understand what objections there could be to us going forward with this and I want to make sure we don't look silly in the process."

Dawn DeSart has opposed the initiative since it was first discussed. She said she thought the proposal originally was presented in jest and she's not about to let up now that she knows Bradshaw is serious.

"To me it's a waste of time and money (in legal fees for our taxpayers). The resolution will never happen, nor should it. It's not our money. It's our employees' earnings being withheld for tax purposes," she said. "In fact, our employees are entitled to receive any overpayments back in the form of a tax refund."

Christine Vickers called the resolution "ridiculous" and "unconscionable."

"I am unwilling to take a personal or professional risk for this particular challenge nor do I believe it is within our legal authority to pursue this type of action against other governmental agencies albeit local, state or federal," Vickers said Tuesday. "This is an unfounded battle destined to be lost."

Bradshaw, however, says he has heard from both legislators and lobbyists that a change to current law is possible.

"We have a responsibility to work with our legislators to solve problems - not just remain victims of those problems," he said Wednesday. "I have a hard time understanding why someone elected to represent the taxpayers would not want to fight for them."

The measure is not completely without support. Board Vice President Alka Tyle said the resolution outlines a "natural thing that happens" when governing bodies owe each other money.

"I do support the resolution. Normally, when we owe money to somebody and they owe us, it's a natural thing that I think happens in many tiers where you figure out the balance and the person owing more pays that to the other party," Tyle said. "Certainly the concept sounds very reasonable to me and my rationale is purely driven by the fact that we are cutting basic education for students and this is a way for us to minimize our losses in a way that is fair and reasonable."

Any discussion next Monday may be moot, however, because IASB Associate Executive Director Ben Schwarm said he received a copy of the draft Wednesday morning and has begun reviewing the technical aspects of the proposal. Specifically, Schwarm said he was making sure the expression of the resolution matches the desired result and whether the resolution follows the association's resolution template.

It does on both counts, he said.

"They'll still need to formally submit it by June 23 if their board approves it in order for our members to potentially vote on it at our November conference," he said. "This is the first time we've seen this idea and it's certainly more innovative than most of the 20 to 25 resolutions we get a year. But that could be just what our school boards need in this particular economic climate."

District 204 board member Susan Rasmus declined to comment Wednesday and Mark Metzger, a former IASB president and current school board member, could not be reached.

<div class="infoBox"> <h1>More Coverage</h1> <div class="infoBoxContent"> <div class="infoArea"> <h2>Stories</h2> <ul class="links"> <li><a href="/story/?id=385303">Press association questions District 204 e-mail chain<span class="date"> [6/2/10]</span></a></li> </ul> </div> </div> </div>