Quincy Reporter

Community Consolidated School District 181 Board of Education Finance and Facilities Committee met Nov. 12.

Here are the minutes provided by the committee:

Call of Meeting

The Board of Education Finance Committee meeting of Community Consolidated School District 181, DuPage and Cook Counties, Illinois, was called to order by Board Member and Finance Committee Co-Chair Asim Aleem at 5:09 p.m. on Tuesday, November 12, 2024.

Roll Call

Finance Committee members present were Asim Aleem, Dr. Garcia, Adam East, Ellen Dunlap, Mindy Bradford, Lois Mejdrich, Jerry Mejdrich, Margaret Kleber, Mike Duggan, and Catie Norton.

Pledge of Allegiance

Mindy Bradford led the Pledge of Allegiance.

Public Comment

No public comments.

Approval of Minutes

Sinead Duffy made a motion to approve the minutes from the September 10, 2024, Finance and Facilities Committee meeting. Asim Aleem seconded the motion. The motion carried.

Celebrations

Ms. Bradford shared the recent celebrations for the Business and Operations department

● The Business Office received approval for the School Project Maintenance Grant for $50,000 for the Walker MRC

● The 2025 Annual Insurance Renewal Process went well

○ Offered informational sessions at each school that were well-attended

○ Offered a pre-recorded information session also

● Added interactive online bus routing access

Discussion Topics

Fund Balance Strategy

Mrs. Mindy Bradford, Assistant Superintendent of Business and Operations, reviewed the district’s Fund Balance Strategy, used to ensure a healthy financial position for the district.

She highlighted the following information:

● Fund Balance Goal: The district aims to maintain an audited operating fund balance between 30% and 50% of total annual expenditures. The District’s current projected fund balance is 48.8%.

● Fund Balance Phase 1 Stages: The stages the District considers when determining an abatement amount.

○ Possible Revenue Reduction/ Cost Shifts: The District does not anticipate any revenue reduction or cost shift factors at this time.

○ District Initiatives - Investments/Improvement Efforts: No significant fund balance implications.

○ Abatement: No additional funds need to be abated beyond the $2M based on our policy and practice

■ Due to the abatement, taxpayers would see an approximate savings of $103 for a home with a fair market value of $500,000.

● Financial Monitoring: The administration will continue to monitor financial risks and adjust the strategy as needed to ensure the district’s long-term financial stability.

Mr. Mejdrich asked what the ending fund balance would be. Ms. Norton explained that the auditors are almost finished and she would have this information available at the December Finance meeting.

Items for Recommendation

Monthly Financials

Ms. Bradford shared the following:

Operating Funds Year to Date:

● $52.5 MM:

● Trending on track

○ Includes relief to the taxpayers in the spring

● Revenue $38.1 MM: Trending on track

● Expenses $19.3 MM: Trending on track

The committee agreed and supported the recommendation to bring this item forward for Board approval.

Tax Levy Presentation

Mrs. Mindy Bradford, Assistant Superintendent of Business and Operations, presented the information on the estimated amounts necessary to be levied for the year 2024. She said the administration recommended a total estimated tax levy of $79,944,103 for the year 2024. This represents a 4.6% increase over the 2023 levy of $76,433,827. The increase is primarily due to new construction and the impact of the Property Tax Extension Limitation Law (PTELL).

A public hearing is scheduled for December 16th.

Ms. Bradford shared the following highlights:

● Projected Tax Levy: The district is proposing a total 2024 Levy of $79,944,103 for operating funds. This represents a 4.6% increase over the 2023 extension.

● PTELL Impact: The Property Tax Extension Limitation Law (PTELL) will limit the district's tax revenue growth. While property values are increasing, the PTELL will cap the increase in tax extensions based on the lower CPI (i.e., 3.4%) or 5%. This year’s calculations use the 3.4% CPI-U rate as of December 31, 2023.

● EAV Increase: The district's Equalized Assessed Value (EAV) is projected to increase by 8.3%, based on current assessor estimates.

● New Construction: Based on current assessor estimates, new construction is estimated at $24,539,761. This represents a decrease of 17.6% from the previous year.

● Abatement: This year's levy includes a $2 million continued commitment to returning tax dollars to the taxpayers.

Proposed 2024 Tax Levy Breakdown:

● Education: $66,051,818 (an increase of $2,955,102 from 2023)

● Operation and Maintenance: $10,709,610 (an increase of $427,987 from 2023)

● Transportation: $1,723,629 (an increase of $68,881 from 2023)

● Illinois Municipal Retirement: $729,523 (an increase of $29,153 from 2023)

● Social Security: $729,523 (an increase of $29,153 from 2023)

The committee agreed and supported the recommendation to bring this item forward for Board approval.

Resolution/Estimated Amounts to Levy

Ms. Bradford presented the resolution on the estimated amounts necessary to be levied for the year 2024. She said the administration recommended a total estimated tax levy of $79,944,103 for the year 2024.

The committee agreed and supported the recommendation to bring this item forward for Board approval.

Resolution - Disposition of Surplus Property (Electronic Equipment)

Ms. Bradford presented the Resolution for the Disposition of Surplus Property (Electronic Equipment. She said the administration was seeking approval to sell surplus electronic devices to Upward Assets. This included approximately 500 Chromebooks, 800 iPads, 70 projectors, and other outdated technology equipment. The estimated revenue from this sale is $76,000.

Ms. Bradford shared that this is an annual request. The District has a significant amount of surplus electronic devices that are replaced as a part of the district’s approved annual technology replacement cycle. The Technology Department solicited proposals for resale of the equipment and the vendor, Upward Assets, was selected as the vendor with the highest bid. She noted that the vendor is required to provide a certificate of secure data destruction and cannot take any reductions to the proposed amount after taking possession of the equipment, per the new contract that was used this year to better protect the district’s financial interests.

The committee agreed and supported the recommendation to bring this item forward for Board approval.

Resolution - Disposition of Surplus Property (Capital Equipment)

Ms. Bradford presented the Resolution for the Disposition of Surplus Capital Equipment Property. She said the resolution detailed the disposal of surplus or obsolete property, primarily textbooks, furniture, and equipment.

It was noted that a significant portion of the surplus items, including textbooks and obsolete equipment, will be donated to SCARCE, a nonprofit organization focused on building sustainable communities. Other items, such as student desks and chairs, will be recycled or disposed of appropriately. She said that by disposing of surplus property, the district will reduce storage costs and improve efficiency.

The committee agreed and supported the recommendation to bring this item forward for Board approval.

Future Agenda Items

● Annual Comprehensive Financial Report (ACFR)

● Annual Financial Report

● Annual Statement of Affairs

● Full-Day Kindergarten Update

● Monthly Financials

● Tax Levy Adoption (Including Hearing)

● Resolution of CCSD 181 Providing for Tax Levy for the Year 2024

● District Office Building Supplemental Bid Approval & Award

Adjournment

Asim Aleem made a motion to adjourn at 5:55 p.m. Margaret Kleber seconded the motion. The motion carried.

https://go.boarddocs.com/il/hccsdil/Board.nsf/files/DBPQRA6A86BB/$file/2024_11_12_Fin.%20Com.%20Mtg.%20Min..pdf