$54 million down, billions more to go
Monday, Jan 27, 2020 - Posted by Rich Miller
* Press release…
The Illinois State Board of Education (ISBE) today announced the 39 school districts that are eligible for the fiscal year 2020 Property Tax Relief Grant – a significant increase in eligible districts over the previous year. The grant, part of the Evidence-Based Funding for Student Success Act, allows eligible school districts to cut local property taxes and replace that revenue with state funds.
Governor JB Pritzker’s FY 2020 budget appropriated $3.65 million more for the grant than in FY 2019. The FY 2020 grant can serve 11 more districts than it did in FY 2019, when 28 school districts received the grant.
The $53,650,000 grant can replace a total of $57,313,122 in local property taxes, once school districts proceed with the abatement. The districts that are eligible for the grant are those that have the highest tax rates within their organization type (elementary, high school, or unit district) out of all those that applied. Eligible districts must submit an abatement resolution to their county clerks by March 30. ISBE will distribute the grant to each eligible district after receiving the Certification of Abatement Form from the county clerk.
Public Act 101-0017 made changes to the program effective this year to expand eligibility to additional districts and to require tax abatement for two consecutive years for the grant amount to become a permanent part of the school district’s Base Funding Minimum going forward.
Click here for the list of communities.
While important to those individual communities and while it will make a difference, that $53.6 million grant is around 0.2 percent of the total property tax levy of about $30 billion.
- Telly - Monday, Jan 27, 20 @ 1:57 pm:
== $53.6 million grant is around 0.2 percent of the total property tax levy of about $30 billion. ==
True. It’s a drop in the bucket. But this program does provide a legal mechanism for a version of a property tax swap. It should be expanded.
- Blue Dog Dem - Monday, Jan 27, 20 @ 2:34 pm:
If JB would guarantee that half the proceeds from the Progressive Tax would be dedicated to either this program or paying down pension debt, I would be inclined to vote yes. Kinda the proverbial ‘lock box’ pledge.
- DarkDante - Monday, Jan 27, 20 @ 2:38 pm:
==half the proceeds from the Progressive Tax would be dedicated to either this program or paying down pension debt==
Pritzker has said that he would devote and extra $200M a year (over and above thea actuarial requirement) from the Graduated Structure to pay into the pension funds. With that pledge, I would say that over half of the projected Graduated Income tax incremental revenue would be going towards pensions… So I look forward to you voting yes on ballot initiative come November.
- DarkDante - Monday, Jan 27, 20 @ 2:39 pm:
Lotta typos there, but I believe it is interpretable. Usually checking this blog while in the office, so please forgive me!
- Blue Dog Dem - Monday, Jan 27, 20 @ 2:43 pm:
Dark. Nice try. I need at least $1.75 billion. Not $200 mil.
- Demoralized - Monday, Jan 27, 20 @ 3:11 pm:
==I need at least $1.75 billion.==
I’m assuming you won’t complain about the tax increase that would be necessary to accomplish this swap right?
- Elliott Ness - Monday, Jan 27, 20 @ 3:33 pm:
Drop, meet bucket, this is all sizzle and NO STEAK. A meaningless part of the funding formula model and unless there is a commitment to allow for substantial swap in the form of income or property taxes this is just not a starter.
- Blue Dog Dem - Monday, Jan 27, 20 @ 3:44 pm:
Demorilized. Did I miss where the new revenue was already spent?
- Demoralized - Monday, Jan 27, 20 @ 5:02 pm:
That’s what I thought. Want your cake and to eat it to. You want billions in property tax relief? You’re going to have to exchange it for billions in other tax increases. Pick your poision. Because you can’t have both. Be cute all you want. It just shows you aren’t serious.
- Blue Dog Dem - Monday, Jan 27, 20 @ 9:28 pm:
No Dem. couldn’t be anymore serious. No property tax relief for higher income tax or no significant pension pay down. No vote.