Sales tax idea doesn't excite Dist 127 board
A new state law allowing school districts to seek approval for a countywide sales tax boost to fund construction expenses got a chilly response in its first Lake County test.
Three members of Grayslake High School District 127's facilities and finance committee declined to recommend supporting pursuit of the tax Thursday. Their decision was based, in part, because District 127 doesn't have any major construction projects on the horizon.
Board member Phil Lippert, who chairs the board's facilities and finance committee, said the concept falls short if it was the General Assembly's idea of school-funding reform.
"We pay legislators to come up with good solutions," Lippert said. "This doesn't seem to be one of them."
Under the state law effective since October, school boards representing at least 51 percent of a student population in a county are allowed to pass resolutions to put the question on the ballot. Local county boards also can put the issue to a vote.
Voters would see the sales tax question -- up to a 1 percentage point increase -- if enough Lake County schools want it on the ballot at the next opportunity come next November. All county schools would be eligible for the extra money if the sales tax were approved.
Regional school superintendents would distribute the tax proceeds, which districts must deposit in a special construction fund. The cash would be shipped to districts based on pupil enrollment, meaning more children in a school system would equal more cash.
Money from the sales tax would help pay for new buildings, renovations, architects, land acquisition and other construction-related costs. If a district's slice of the pie isn't enough to cover a construction project, a local property tax-increase referendum can be sought to pay for the balance.
Michael Zelek, associate superintendent for business services at District 127, said many suburban school officials he encountered at a recent gathering were unaware of the new state law. Cook County was excluded from the law.
District 127 Superintendent Catherine Finger said she initially thought it stemmed from Gov. Rod Blagojevich's failed plan for a gross-receipts tax on businesses.
While she's aware of the new-revenue potential for the tax, Finger expressed concern about the effect it could have on consumers.
"It's good news-bad news, depending on where you sit," she said.
Legislators overrode Blagojevich's veto of the law allowing counties to seek the tax.
Blagojevich unsuccessfully contended state funding -- not a sales tax increase -- should be used for school construction fees.
Lake County Regional Superintendent of Schools Roycealee Wood said there is interest among local education officials in the sales tax. She said she expects it to be discussed by Lake County school superintendents at a meeting next month.
"I think we have to look at all kinds of alternatives," Wood said. "School funding is an issue and will continue to be an issue."