2013 Tax Levy Hearing Board of Education Meeting December 16,

Property Tax Impact Local property taxes represent approximately percent of the total district budgeted revenues Property taxes represent percent of the Regular Education Fund’s budgeted revenues 2

Truth-In-Taxation Act Requires Districts to ESTIMATE the dollar amount to be collected from property taxes Disclose proposed increase if aggregate dollar amount (levy) is more than 105% of prior year’s extension Publish Notice in Newspaper Hold a Public Hearing 3

PTELL – “Tax Cap” Law Property Tax Extension Limitation Law County Clerk Limits Actual Increase CPI 1.7% Proposed Levy Increase 5.0% Limits the increase in property tax extensions to 5% or the CPI whichever is less. 4

Tax Extension Limit Extension = $86,904, CPI = 1.70% Maximum 2013 Extension based on the 2013 Extension = $89,805,341 (includes new property growth EST. $11,000,000 and the expired Fiat-Allis TIF of approximately $20,000,000) 2013 Levy Amount = $90,927,909

FAQ: Why is the amount levied more than what is allowed? In order to maximize revenues, we prepare our levy by estimating the amounts at a higher level than anticipated. Our reason for doing this is because property growth in the district is an unknown. Equalized Assessed Valuation New Construction Expired TIFs 6

2013 Levy Request by Fund Education Fund$ 62,477,027 Operations & Maintenance$ 12,886,421 Transportation$ 4,470,676 Special Ed$ 1,355,299 Tort$ 3,987,918 Municipal Retirement$ 3,170,308 Social Security$ 2,580,259 TotalLevy $ 90,927,909 7

Average Homeowner Property Tax Increase Impact Market Value EAV 2012 Tax Rate $ Est. Rate $ Increase $100,000$27,333$1337$1372$35 $150,000$44,000$2152$2209$57 $200,000$60,667$2967$3046$79 $250,000$77,333$3783$3883$100 Assumes $6000 homestead exemption 8

Questions Springfield Public School District 186 Sangamon County 9