After voting unanimously not to increase its share of Lake County property taxes in September as part of approving its budget, Waukegan Community Unit School District 60 left the door open 11 weeks later for a tax hike next year.
The District 60 Board of Education vote 5-1 to raise the 2023 tax levy for taxes payable next year 4.99% Monday at the Lincoln Center administration building in Waukegan, giving it the opportunity to increase its tax base.
Brian Luosa, the district’s director of business and financial services, said the proposed levy is just over $55.4 million, a 4.99% increase from last year’s $52.8 million.
Recognizing the district has kept property taxes the same for the past four years, he said it can be done for 2024 as well if the board wishes. If the levy remains the same, future hikes will be smaller.
“When we don’t claim all (the) extension, and we reduce it to what it was the year before and keep it lower, we lose that base forever,” Luosa said. “We cannot get it back. We’ve lost a lot of tax base in the past.”
With larger exemptions this year for property taxes, Luosa said he anticipates taxes will be lower even with an increased levy. The owner of a $150,000 home can expect to pay $1.88 less than last year. If taxes remain level, the reduction will be $98 less.
Both Board members Rick Riddle and Christine Lensing said they considered increasing the levy now an insurance policy against losing future revenue, as Luosa described the process.
Though the levy rose a year ago and was later reduced in the spring, both Gwen Polk, the associate superintendent of business and financial services, and board President Brandon Ewing made it clear taxes will remain flat at the Sept. 12 board meeting.
“We cannot not ever raise taxes forever, but I am glad we can continue to keep them level as we have for the last four years,” Ewing said at the Sept. 12 meeting. “I know a tax increase would be hard on our families. We would much rather take grant opportunities to make sure our students and staff have what they need to be successful.”
Despite the commitment made in September, none of the board members — Ewing missed Tuesday’s meeting — indicated they were opposed to a tax increase, except for Anita Hanna. She was the sole no vote.
“We can talk about the future, and that’s OK,” Hanna said. “Regardless of what anybody says, there are many, many people in our community that are hurting. We have many people who don’t have a six-figure income.”
Board member Adriana Gonzalez said taxation is always a difficult topic, but there are times raising them are necessary. When it is needed to assure student success, it can be the right decision, she said.
“We’re not raising taxes because we want to,” Gonzalez said. “We can’t afford to be left behind. Our students can’t afford to be left behind. When I say yes to this and look toward the future, I’m looking at students just like me and we need the investment.”
Though voting yes, Lensing said she wants community involvement — including a town hall meeting and perhaps a referendum — before the taxes are raised, and the money is spent. She wants to see it as an agenda item for discussion.
“As an insurance policy, it wouldn’t be bad approving this as long as we talk about what a town hall with the community would look like to engage them meaningfully in this conversation,” Lensing said,
Board member Carolina Fabian said the Sept. 12 budget discussion and approval was for the spending plan from July 1 through June 30. The property tax money collected will also be applied to the budget for the next fiscal year.
With the levy approved, Luosa said it will be submitted to the Lake County Clerk’s Office no later than the last Tuesday in December. From there, it goes through a series of procedures set forth by state law.
Lake County Clerk Anthony Vega said property values are determined through an equalization process to help calculate the amount taxpayers will pay. Once his office makes the determination, Lake County Treasurer Holly Kim’s office prepares and mails the tax bills.
Chris Lopez, the county’s property tax administrator, said in early spring officials of taxing entities — like school district’s and municipalities — have the opportunity to make downward adjustments.
Polk said the past few years, she has worked with Lopez to reduce the amount of potential tax revenue to the prior year’s total. When that happens, the base is reduced, limiting the potential increase for the following year.
Voting for the referendum were Riddle, Lensing, Fabian, Gonzalez and board member Jeff McBride.
