Senate Bill 2073 Would Harm Local Schools
2/21/2012
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Statement of IFT Director of Political Activities Toby Trimmer
State government continues pushing its financial problems onto the backs of local schools, forcing public education to lay off teachers and cut important programs
Even as schools struggle financially, irresponsible lawmakers are trying to pass a bill that would severely restrict local funding that keeps the school doors open to educate our children.
These new restrictions come as lawmakers are considering a massive unfunded mandate on these same cash-strapped school districts to pay for pensions. We cannot expect a world class education from our schools if we continue to slash their funding and impose costly shifts.
The State Board of Education is calling for more funding for education, but so far we’ve seen only legislative proposals designed to cut the scarce funds we have left. The IFT encourages our senators to take a close look at the severe harm Senate Bill 2073 will bring to public schools and to vote against the bill.
Background
SB 2073 would have far-reaching negative impact upon already revenue-challenged school districts. The legislation requires that districts in PTELL (tax-capped) communities for which the total taxable Equalized Assessed Valuation (EAV) is less than the previous year be restricted to a 0% extension, or the rate approved by voters. Currently, districts subject to PTELL are limited in their ability to increase local revenue by the Consumer Price Index (CPI) or 5%, whichever is less. SB 2073 eliminates the authority of a local school board to increase local revenue by inflationary costs.
Reasons for Opposition:
- Each yearʼs levy is based upon the previous yearʼs levy, therefore reductions are permanent, continuous and compounding.
- The proposal eliminates a local school boardʼs authority to levy based on the needs of the community and student population. School board members are elected to serve as fiscal stewards of our school districts and consider the impact of fiscal decisions on their community prior to adoption a levy.
- A decrease in EAV can be caused or contributed to by many factors unrelated to declining home property values/assessments, including the county multiplier, a change in assessment factors or large number of property tax appeals.
- One property ownerʼs lowered assessed valuation could cause the 0% extension limitation.
- The proposal would override rates previously approved by voters.
- Districts in tax-capped counties are already limited in their ability to access additional local revenue due to PTELL provisions.
- Freezing local resources will increase the amount of general state aid to which districts are entitled. This year the State Board of Education has indicated general state aid will be prorated, a result of inadequate state resources.
- School districts have already experienced reduced revenue through cuts in transportation, the elimination of the ADA block grant, and the GSA hold harmless provisions.
Examples of Local District Impact: - Elgin U-46 - $3.7 million reduction.
- Crete Monee CUSD #201 - $500,000 reduction for this year with anticipated loss of $32 million over 10 years.
- Belvidere CUSD #101 - $550,000 reduction = 10-12 teaching positions.
- St. Charles CUSD #303 - $2,600,809 reduction for this year with anticipated loss of $36 million over next 10 years = 52 teaching positions/5.4% of teaching staff.
- Naperville CUSD #203 - $4 million reduction = 57 teaching positions. Ultimate impact by 2015 would be $23 million, 11.5% of budget to be reduced, resulting in a cumulative loss of 327 teaching positions.
- Lake Forest #67 and Lake Forest HS #115 - combined reduction of $900,000.
- Both districts implemented drastic budget cuts this year - 9% reduction in personnel and 11% reduction in personnel.
- Northfield HS #225 - $2.1 million reduction.
- Evanston HS #202 - $1.5 million reduction.
- Maine Twp. HS $207 - $2.6 million reduction. The district reduced personnel by 10% last year.
- New Trier HS #203 - $3 million reduction.
- River Trails Elementary District #29 - $500,000 reduction.
- CHSD #99 - $1 million reduction.
- New Lenox #122 - $522,000 reduction, which would lead to further reduction in staff.
- Downers Grove #58 - $1,224,457 reduction.
- Grayslake HS #127 - $500,000 reduction.
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The Illinois Federation of Teachers represents 103,000 teachers and paraprofessionals in PreK-12 school districts throughout Illinois, faculty and staff at Illinois’ community colleges and universities, public employees under every statewide elected constitutional officer, and retirees.
