By Chris Fox
At its regular meeting on Tuesday, Feb. 21, District 205 School Board members voted unanimously to approve a resolution abating a portion of the tax levied for the year 2022. The board approved a plan that included the option to abate about $969,000 in taxes. In its previous meeting, the board discussed three options. One of those options included no abatement. The second option included the abatement of about $537,000. The third option included the abatement of about $969,000.
According to information provided by the district, the abatement of about $969,000 will mean that the owner of a district home with a market value of $500,000 will save $51 on District 205 portion of their property taxes for the year 2022.
Board members Jim Collins and Courtenae Trautmann both stated that in their previous meeting, they asked for a fourth option related to abatement for 2022 that provided more than $969,000 in abatement. They asked why the district did not provide such an option. The board faced an imminent deadline of Feb. 28, 2023, of having to choose to offer abatement for 2022.
Christopher Whelton, the district’s assistant superintendent for finance and operations, gave a presentation before the board voted on the abatement options. Whelton referred to the current environment of high inflation and labor shortages. He stated that the district is facing significant increases in health insurance claims. He also said the district is looking at double-digit increases in its nursing and busing contracts. Whelton further noted that the district will deplete its reserves by $21 million by using $7 million this year, as well as in each of the next two years. Those funds will largely be used to pay for increases in the scopes of district construction and renovation projects.
Board member Athena Arvanitis also referred to the upcoming depletion in reserves, stating that of the district’s fund balance of about $40 million, about $20 million has been earmarked for future spending.
Collins addressed some of Whelton’s information about budget increases. Collins said that health insurance claims represent about 8 percent of the district’s budget, while busing represents around 3 percent of the budget and nursing represents about 1 percent. He said that while increases in those items might look scary, but in context, they are relatively minor. Collins also said that the board voted in December to raise property taxes by the maximum amount. He also noted that the district accumulated money every year, even in years with low inflation. He said he would vote to approve the resolution including the abatement of about $969,000, but he regretted there wasn’t an option to offer a larger amount of abatement for taxpayers.
