Lemont-Bromberek Combined School District 113A officials have to make haste in order to get a possible referendum on the February ballot.
If school officials decide to ask voters for a tax hike to help shore up the district’s $2 million shortfall, they must make a decision by Nov. 30. A special meeting to discuss the issue is set for Monday, Nov. 23.
The last three referendums sought by the School Board have not passed.
“This time the vote is serious,” Board Member Sue Murphy said at the Nov. 18 board meeting. “We have been deficit spending. We can no longer do it.”
Board member Kevin Doherty said a vote against going to referendum is a vote for cuts to staff and programs.
“If we do nothing, if we abstain, we’re effectively voting for cuts because that’s what will happen,” he said.
Linda Matkowski, senior vice president for PMA Securities Inc., outlined the steps the district could take to get out of its financial hole at the meeting. She said despite a referendum, some cuts may still have to be made.
Board member Janet Hughes asked Matkowski to clarify the term ‘cuts.’
“Reductions in staff, supplies, materials,” Matkowski said. “Some numbers have bigger expenditures attached to them because of how you handle benefits.”
Those cuts could mean upping the number of students per classroom, cutting certain administration staff such as nurses or custodians, and eliminating school programs such as art and music.
Board member Kevin Doherty said from the feedback he has gotten from residents is they would rather see the district correct the deficit rather than do a temporary fix.
“They felt the impact on their property values would be severe if we ended up with 35 kids in a classroom and no extracurricular activities,” he said. “They saw that and didn’t want that.”
School officials have a few options.
One suggested option is a $0.40 tax rate increase, which means the tax rate would increase by 40 cents per $100 of assessed property value.
A working cash bond of 10 cents per $100,000 of assessed value also was suggested, along with still making 50 percent of the suggested cuts. Matkowski warned a working cash bond would only be a temporary fix.
District 113A business manager Bob Beckwith said with a working cash bond, there is an influx of cash one time, whereas a rate increase is forever.
“With working cash it’s borrowing for two years and it’s paid off,” he said. “It infuses the district with cash and eliminates the short-term borrowing and rights the ship, but the problem is that you’re still in a mode of more expenses than revenue and not generating revenue to cover those expenses.”
Board member Karen Siston said school officials need to keep the current economy in mind.
“We want to continue operating and get rid of the issue we’re having,” she said. “Working cash is a temporary fix, and I think people would rather fix the problem permanently but the whole thing comes down to what can people afford today?”
Lemont resident James Jandora said before school officials consider a referendum, they need to consider other options.
“Create a list of cost saving items that are challenging. Renegotiate contracts. Extend payments to suppliers,” he said. “If someone was crafty enough to put together two school board systems for five schools, someone could unwind it.”
Resident Laura Reigle said she strongly suggests board members have an alternate plan in case a referendum does not pass given the economy.
“I would like to recommend making cuts in the administration and service contracts,” she said. “Until this happens it’s difficult for the community to show support for a board and administration in denial.”
Resident Jennifer Eakin called for unity.
“We need everybody to work together to come to an answer and move forward,” she said.