Frequently Asked Questions

• In April the Operating Fund (reserves) Balance Lowpoint was $39,546,740. Over the next three years, transfers of approximately $7M per year from that fund, totaling approximately $21M will be made for construction projects to address additional facility needs and provide additional capacity for students.
• When considering the tax levy and abatement, looking at an example of a $500,000 house, the tax levy amount would decrease due to the abatement, providing $51 in tax relief to taxpayers. Therefore a homeowners bill for a $500K House with no new construction (Only Existing Property) on average, could increase by 4.09%, which equals $293.13 annually.
• While the tax cap was 5%, inflation was 7%, leaving the school district with a potential budget deficit. School Districts are not immune to inflation. The tax levy is estimated to provide $8M to the District, these funds are imperative to cover the rising costs required to continue developing and maintaining high quality schools, comprehensive programming, address additional facility needs, provide additional capacity for students and drive student success. Some costs include, but are not limited to:
• $21M facility investment ($7M/Year) over the next three years to address additional facility needs and provide additional capacity for students
• Staffing needs continue to increase significantly to meet the diverse needs of our student population and district-wide programming
• First Student Contract increases due to labor shortages and inflation:
  • 17% for 2022-23
  • 12% for 2023-24
• Cottage Hill Contract increases due to labor shortages and inflation:
  • 13% for 2022-23
  • 12% for 2023-24
• Nurse Contract increases due to labor shortages:
  • 15.75% for 2022-23
  • TBD for 2023-24 - Facing the possibility of significant financial implications
• Significant increases in health insurance claims
  • 6.5% Premium increase incurred Jan 1, 202
  • Our insurance broker has learned that BCBS will be increasing their trend factor (medical/Rx inflation) by 35% in 2023 for their book of business - driving an inevitable increase to D205 in January 2024
• Labor shortages for substitutes, education assistants, custodians, food service workers
• Inflation for cost of goods - technology, paper, etc.

• D205 is currently performing as good or better than 90% of all districts in the state (Top 10% of Illinois based on 2022 IAR and SAT combined).
• Phase 3 of the Strategic Plan provides details of the multitude of steps that are being taken to monitor and ensure student growth and success. Specifically, some of the things that are being implemented already to ensure that these goals are met include:
  • Implemented a comprehensive assessment system to identify individual student strengths and areas for improvement
  • Implement a research-based, multi-tiered instructional model that supports all learners
  • Utilize data to identify opportunity areas to implement educator learning and training that supports student learning
  • Review current resources and utilize this information to implement district-wide guaranteed and viable curriculum that elevates student outcomes
  • Conducting a K-12 math program review that will allow District 205 to establish a multi-year strategy to continue to support student achievement in mathematics across grades K - 12 with actionable next steps and instructional best practices
  • Facilitate a 9-12 curriculum review of core classes, including standards alignment, assessment practices, and daily instructional tasks to ensure student growth and achievement
  • Conducting an English Language Learners (ELL) and Dual-language program review to reflect on the progress to date as well as to execute an action plan that identifies specific next steps to elevate outcomes for English language learners and for all students in the Dual Language program
  • Create and implement a student attendance support plan to monitor and support student attendance
  • Implementing Kindness in the Classroom in our middle-schools to provide a holistic approach to ensure that students are equipped with the appropriate skills to be college, career and life ready
  • Expansion of summer enrichment and acceleration programs
  • Implementing math interventionists to provide targeted math intervention across both Elementary and Middle Schools.
  • Continuously update safety and security tools, equipment and training for our schools in conjunction with local authorities to reflect current best practices to ensure the safety and security of all students, staff, and facilities providing a safe learning environment
  • Attracing, continuously developing, and retaining high-quality, purpose-driven educators to serve the diverse needs of all students
• The District will also be launching a strategic dashboard this Spring, which will be located on the District’s website, and will share detailed updates on progress monitoring of the objectives and strategies for each priority area of the strategic plan as well as updates on indicator metrics, definitions and additional information for each.

• Fund Balance - Fund balance is an accounting term to describe the difference between a fund’s assets and liabilities. It is imperative that school districts maintain an adequate fund balance to provide cash flow for both unforeseen and continual needs. The fund balance represents the net cash after all revenues have been deposited and all expenses have been paid. The D205 fund balance is calculated by subtracting the non-operating funds from the total operating funds.  This number can spike twice a year due to the receipt of property taxes that come in two installments  -  48-52% is typically received in May/June and the remainder is typically received in September. 
• Cash on Hand - Cash on hand is a snapshot in time that reflects the total cash in the bank on any specific date.  School Districts in Illinois use June 30 as the final day of the fiscal year.  Therefore, Audited financials are determined based on the cash on hand of that specific date.  The total cash on hand of any date is not a accurate reflection of the complete financial picture for the District due to the fact that the first deposit of tax revenue, approximately half of the total annual income for the District, was recently received.   
• Surplus/Reserves - Reserves are like savings accounts – it is an accumulation of funds for a future purpose. The source of funding for District 205 reserves would be the surplus funds from previous fiscal years. Reserves accumulate over time and are not solely from the previous year, but the accumulation of all previous year's annual surplus/deficit amounts.

District 205's Annual Comprehensive financial report can be found on the District's website under the Finance and Operations Page, or by clicking HERE. 

High Points are: 

• June - Receipt of 1st tax installment 
• September - Receipt of 2nd tax installment 

Low Points are: 

• April/May - Expenses continue to be paid