Kankakee School Board OKs 2024 tax levy

KANKAKEE — Kankakee School District 111 will be asking for an almost 5% tax increase and looking to collect close to $20.3 million in property taxes to operate in the upcoming fiscal year.

The district is requesting $20,255,000 for its 2024 tax levy, an increase of about 4.97% over the 2023 extension.

The Kankakee School Board approved the 2024 tax levy during its meeting Monday at Kennedy Middle School.

“It’s essential for the district,” said board President Chris Bohlen of the levy increase.

Robert Grossi, District 111 treasurer, presented the final levy numbers during a public hearing before the meeting.

For the owner of a $200,000 home, the tax impact would be an increase of $75 per year for the school district’s portion of the tax bill.

In the district’s 2025 budget, property taxes are the second largest funding source, accounting for about 25% of revenue, while evidence-based state funding makes up the largest portion, about 49%.

The consumer price index for December of 2023, which represents the cost of living increase, was 3.4%.

Kankakee County is subject to tax caps, meaning the increase in the levy is limited to 5% or the change in CPI, whichever is less.

The historical average for CPI dating back to 1993 has been around 2.2%, but due to the COVID-19 pandemic and other factors, inflation reached record-high levels of around 7% in 2022 and 2023.

“Regardless of what the inflation level is, the highest you can increase your tax levy year over year is 5%,” Grossi explained.

For the 2024 tax levy, the most the district can receive over the prior year’s extension is a 3.4% increase, plus revenue from new property.

Districts request above the CPI or tax cap in order to capture additional tax revenue available from new property in the area.

“You’re guaranteed to get the 3.4% increase versus last year due to the rate of inflation,” he said. “The other extra cushion is just any new property available in the district.”

Every $1 million of new property equalized assessed value within the district’s boundaries generates approximately $42,000 in additional revenue.

For the 2024 tax levy, new taxable property is estimated at $5.3 million, which should generate about $220,000 in additional revenues to the district.

In 2023, the new property EAV was at around $3.8 million. The highest it has been in the last 10 years was close to $5 million in 2020.

Grossi also noted that the district has applied for a property tax relief grant through the state of Illinois. The state is awarding $50 million to districts with high tax rates compared to their peers.

The grant would mean the district can abate its property taxes to give a portion back to taxpayers.

If the district is awarded the grant, its taxpayers would save an aggregate of about $3.6 million.

However, Grossi said the district is not likely to be selected, as 33 of the 34 highest taxed school districts on the state’s list are in Cook County. The district should learn of its grant status in January.

“I think the intent is we continue to give back,” added Superintendent Teresa Lance. “If we get that grant, that’ll be amazing because we’ll be able to give back more to the community.”

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