Education and Property Taxes - Part 2

Last week news came out that the Illinois Legislature is willing to let the voters weigh in on possibly reducing property taxes and, in turn, to reduce the funds available for schools and other local agencies. And when it comes to funding public schools, the consequences could be catastrophic.

First, 10% of all registered voters in a school district must sign a petition asking for the question to be put on the ballot so that all citizens have the opportunity to vote one way or another on the issue. Next, if the question passes then there is an opportunity for local officials to reduce tax collections.

Local school boards can then reduce property tax reductions by up to 10% a year. Imagine a local board collects and spends $50 million a year in property tax revenue. A 10% reduction means that the board has $5 million less in revenue. The results would be catastrophic in terms of properly administering the curriculum of the district.

If a school board is wisely using the $50 million, losing $5 million is simply unfathomable.

Dick