Lower than forecasted CPI brings even bigger deficits in D-15
Without budget cuts, Community Consolidated School District 15 is on target to deficit spend $6.4 million in school year 2011-2012.
The Bureau of Labor Statistics reported last week that the year-over-year Consumer Price Index for all Urban Consumers for 2010 is 1.5 percent. This is the number that affects District 15 and other tax capped school districts in determining the amount of property tax revenue they will receive.
Simply said – it means that District 15 will still see an increase in revenue next year, but not as big an increase as they had hoped. The 1.5 percent figure is much less than the 2.5 percent district officials projected and were counting on to soften forecasted budget deficits for the next five years and beyond. The difference means that District 15's forcasted 2011-2012 budget deficit increases by $1 million – from $5.4 million to about $6.4 million.
At last week’s school board meeting , it was stated and not debated that the district’s financial troubles are because of employee salary and benefit expenditures that continue to rise faster than property tax revenues that are linked to inflation.
District 15 Superintendent Scott Thompson agrees there is a problem but prefers to wait until the current negotiated contracts expire. The first one will be the teachers’ union contract in 2012.
That contract was approved June 2009 just a month after the last school board election – and with predictions from dissenting members that it would put the district in the situation it is facing today.
Since that time, additional contracts have been negotiated and approved by the board majority.
For those that follow District 15 school board proceedings on a regular basis – either by attending meetings or watching them on cable – the realization that deficit spending is occurring is not a surprise. The fact that massive budget reductions like those seen in 2005 are on the horizon also is not surprising.
No one – not a family, school district or state – can live beyond its means forever. At some point, a leader has to emerge and say "no” and take the necessary steps to put them on a secure financial path.
I fear for those parents whose children are not yet in the school system or have just begun their education in District 15. It will not be long before the district’s reserves run out. A tax increase referendum will be the only way to avoid even larger class sizes and program cuts.
And an already overburdened community may very well say “no” – just as they did last November when the district asked for $27 million in cash bonds.
School board elections are this April 5. It is time to pay attention and elect those who can lead us out – and not into more of the same.
With the recent resignation of District 15 board vice president Mark Bloom, the community is guaranteed that there will be at least two new faces on the school board. Because of the timing of Bloom's departure, his replacement will be chosen by a majority vote of the current school board before the election.
Three other board members will be chosen by you, the voter, on April 5.
Before you make your decision, please take the time to find out more about each candidate. District 15’s future depends on it.
More information about school board candidates in both District 15 and Township High School District 211 will be provided in future columns. Sign up below to make sure you don’t miss them.
mary vanek
9:59 am on Wednesday, January 19, 2011
To those of us who have watched the board for years, and for those of us who were at the June 2009 meeting where the board majority approved a three year teachers contract that it knew or should have known it could not afford, this is no surprise. The board majority, led by Jerry Chapman, is counting on the voters to have a short memory when a tax increase is ultimately put on the ballot. Spend spend spend then tax tax tax is the education establishments rallying cry. And many of the voters will be duped into believing that what we have is a revenue problem, not a spending problem, and if we can just increase revenue everything will be OK. Everything will not be OK, the vicious overspending cycle will continue at an even greater rate, because after all, the money will be there to spend. But not for long. Salaries and benefits will continue to outstrip the CPI, because the unions will not be satisfied with raises tied to CPI. In 5 or 10 years we will be right back where we are today - deficit spending. We need to elect board members who understand that we can not spend more than we have. We can't rationalize excessive spending by saying "it's for the children". And we especially cannot count on the already overburdened taxpayers to vote "yes" to a tax increase, nor should we. The children are the ones who will suffer in the end, if the so-called adults in charge of District 15 cannot get their financial house in order.
Concerned Resident
8:23 am on Sunday, February 13, 2011
Mary, thank you for your committment to our community. Few are paying attention and with your efforts lets hope they start. This clearly is not a rally against the teachers, many are very dedicated and do a wonderful job. I thank them for thier committment and they clearly don't have to worry about the scenario I am proposing. I believe that increases should be capped at CPI and put into a pool. From there increases should be doled out based on performance and not related at all to tenure. It is very simple, if you do your job well, are organized and relate to the children you will be rewarded, if you don't you have a year to improve and let the board decide what happens then. Time to get this house in order.
Patrick Murphy
1:09 pm on Monday, February 14, 2011
Here is from D15 minutes of last meeting:
The Board awarded contracts for:
Three years of taxi services for student transportation to American Taxi, Mt. Prospect, IL, for an estimated total bid amount of $221,940, plus an increase equal to CPI in the last two years of the contract, as recommended.
Who gets taxi service and why?