1. 2013 Tax Levy Hearing Board of Education Meeting December 16, 2013 1

2. Property Tax Impact Local property taxes represent approximately 50.98 percent of the total district budgeted revenues Property taxes represent 54.50 percent of the Regular Education Fund’s budgeted revenues 2

3. 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

4. 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

5. Tax Extension Limit 5 2012 Extension = $86,904,459 2012 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

6. 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

7. 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

8. Average Homeowner Property Tax Increase Impact Market Value EAV 2012 Tax Rate $4.8920 2013 Est. Rate $5.0220 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

9. Questions Springfield Public School District 186 Sangamon County 9