ECC board to consider 2015 tax levy, course fee changes
The Elgin Community College board is seeking to collect roughly $56 million in property taxes for 2015 to fund operations and roughly $13 million to cover debt payments, officials said.
The college board Tuesday night is expected to authorize publishing the proposed tax levies and adopt changes to course fees. The levies are necessary to fund the more than $88 million 2015-16 budget the board adopted in June.
A public hearing and final adoption of levies will be at the Dec. 8 board meeting.
ECC is seeking to levy the same amount for operations as it sought in 2014. But the college received only $46 million for 2014 due to the state property tax cap which limits the amount school districts can collect based on the previous year's Consumer Price Index (CPI), said Sharon Konny, vice president of business and finance.
The CPI for the 2014 tax levy was 1.5 percent, and for the 2015 levy it is .80 percent.
"I would expect we would receive some more (in taxes) than the prior year. I don't know how much though at this point," Konny said. "The five counties will have to determine what each county's share is of the levy and they do their calculations to determine the rate."
The amount needed to make principal and interest payments on outstanding debt - roughly $189 million as of June 30, 2015 - reduced from more than $15 million for 2014 to roughly $13 million for 2015.
"There was some debt that was retired," Konny said. "(The levy) is driven by the principal and interest payments that are due the next year."
State funding makes up roughly 14 percent of the college's operational budget, which for this fiscal year is about $5 million. That includes an allowance for a 10 percent reduction in state funding.
Despite the current budget impasse that has stalled state education funding for school districts and higher education institutions, Konny said officials aren't expecting a shortfall.
Course fees for hundreds of classes also may change, though modestly, officials said.
Current fees range anywhere from $5 up to $2,200 depending on the course. Proposed fee increases range anywhere from $10 up to $250 - the higher increases are for courses in the nursing and culinary arts programs.
"Some programs are very expensive to run," said Rose DiGerlando, vice president of teaching, learning and student development.
Those courses often require specialized supplies and materials, software, high-tech equipment and heavy maintenance, individualized instruction, or low faculty-to-student ratio.
However, fees for most courses are not expected to increase, and some fees have reduced, DiGerlando said.
Any changes to ECC's tuition, which increased from $114 to $119 per credit hour this fiscal year with a 2 percent decline in enrollment, will be discussed at the January or March board meetings, officials said.