Unit 2 Board Adopts Tax Levy
On Monday, December 16, the Unit 2 Board of Education held a “Truth in Taxation Hearing” and adopted the property tax levy for tax year 2013. Local property taxes are a significant revenue source for most Illinois school districts. For Unit 2, property taxes account for nearly 2/3 of anticipated FY2014 revenue. To access property tax revenue, school districts must issue a levy.
The tax levy is submitted on a Certificate of Tax Levy which is approved by the Board of Education and filed with the County Clerk on or before the last Tuesday of each December. The Certificate of Tax Levy is a document which lists the dollar amount requested in each revenue fund. The taxes are extended (or paid) to the school district in the following year. The amount of taxes extended (or paid) does not necessarily equal the amount levied (requested) and in fact in Unit 2 the amount extended in the major operating funds is far less than what is levied.
The actual extension (or payment) of taxes is determined by the Equalized Assessed Valuation (EAV) of the school district and the maximum approved tax rates in the school district. EAV, generally speaking, represents 1/3 of the actual market value of property in the district. The actual EAV is not known at the time the levy is passed in December. Most of the district’s revenue funds have maximum rates so regardless of how much a Board levies, the maximum the Clerk can extend is the dollar amount generated by the EAV times the maximum tax rate.
The bottom line for Unit 2 taxpayers is that if EAV is in the anticipated range, the Unit 2 portion of your property tax bill may increase between 1.3% and 1.5%. To access the presentation from the board meeting click here.