Arlington Heights District 25 set to borrow final $15 million for kindergarten and building projects
Arlington Heights Elementary District 25 next week plans to sell the remaining $15 million in bonds from the total $75 million amount authorized by voters in a 2022 referendum to fund full-day kindergarten and other building projects.
The Feb. 5 competitive bond sale comes as the district looks to recoup costs already expended in its ongoing Build 25 program, while preparing for its next set of summer construction projects in 2025 and 2026.
The new borrowing won’t result in any new tax increase for property owners this year — only continuation of a higher tax bill they’ve been paying since the June 28, 2022, ballot measure was narrowly approved and the initial $60 million of debt was issued in August 2022.
It means paying an extra $235 in property taxes a year for the owner of a home valued at $400,000.
“The tax impact will not change,” said Elizabeth Hennessy of Raymond James, the district’s financial adviser. “We have created a window for these bonds to blend in with the existing $60 million. So the taxpayers will not feel any impact.”
“These bonds wrap around the existing bonds so that together the payments are stable over the 20-year period and will not increase with (the new) issuance,” she said.
Stacey Mallek, the district’s assistant superintendent for business, said the intention was always to sell the bonds in two installments — a larger one up front and a smaller one in 2025. She says she initially expected the latter sale to take place in fall 2025, but the district has already issued construction contracts in excess of $60 million.
Officials said they’ve spent the first $60 million, and have used some reserves, but intend to reimburse the fund balance when they receive the remaining $15 million.
The district added on a gymnasium expansion at Patton Elementary School, and moved up other building upgrade projects in its five-year capital plan to capitalize on construction already taking place. The marquee piece of the referendum campaign was the addition of 25 kindergarten classrooms across six of the district’s seven elementary schools, costing nearly $45 million.
The full-day kindergarten program welcomed students for the first time this school year.
Next up on the to-do list is some $3.5 million worth of infrastructure work when school lets out for the year, including nearly $1 million to replace lighting and ceilings at Thomas Middle School, $600,000 to replace windows at Miner School, and $520,000 for new classroom casework and cabinets at Patton. The school board must still approve formal bids.
District 25 plans another $4.3 million in capital projects during the summer of 2026.
After the scheduled Feb. 5 bond sale, the district is expected to receive the $15 million in proceeds March 5.