McHenry County Blog

Larry Snow

“While Democrats say Teachers ‘Have Kept Their Part of the Deal?’“

is the title of an April 5, 2011, article by former Huntley School District 158 Board member Larry Snow.  (The quote was in the Chicago Tribune Marcy 31, 2011.  It is from Executive Director Dick Ingram of Teachers’ Retirement System.)

The article was published in “The Champion” with this teaser:

“82,981 of 132,502 Illinois Teachers Pay Nothing or Little into Their Pensions“

That’s 63% of all teachers in Illinois.

The State Journal-Register is reporting that State Rep. Kevin McCarthy (D-Orland Park) is promoting a bill where state and local governments would all pay six percent of payroll toward employee pensions.

In a revealing sentence in reporter Chris Wetterich’s article, he writes,

“What’s unclear is how much more employees themselves would have to pay.“

Because no one has done the research except, I believe, the Illinois Education Association and Snow, how much extra teachers would have to pay if their so-called contribution rate was raised from 9.4% to 13.77% is a really good question.

While not covering every school district in Illinois, Snow did research the teachers’ contracts for all of the large school districts (by law all are supposed to be on the internet) in order to find out how much teachers pay in order to get a “full 75 percent pension after working only 27 years.” He points out, “Most adults work for 27 years before they turn age 50.”

As way of background, Snow notes that teachers are not in the Social Security System and, therefore, are not forced to pay Social Security taxes.

“Ordinary workers get hit with a 6.2 percent deduction for Social Security,” Snow writes. “It’s a deduction they have to pay federal and state income taxes on.

“Democrats gave teachers a huge loophole of not paying income taxes on any of their pension deductions” he continues. “This enormous no-tax handout to teachers amounts to billions of dollars each year.”

Snow’s research leads him to this conclusion:

“Over 51,000 of the total 132,502 teachers in Illinois contribute nothing from their K-12 paychecks into their pensions. Illinois law says it is to be 9.4 percent.

“About an additional 32,000 teachers pay little into their pensions. It is 1.81 percent to be precise for these 31,956 teachers.“

How many teachers pay not a dime toward their retirement?

51,025 teachers in 186 school districts pay nothing for retirement benefits.

They “don’t pay a penny into the 9.4 percent called out by Illinois law.

“There are a total of 868 districts in Illinois.

“The pay-zero teachers listed are 39 percent of all teachers in Illinois,” Snow reveals.

No agency in state government seems to keep track of this information.

Not the Downstate Teachers Retirement Fund, which boldly and incorrectly claims,

“Active TRS members are required to contribute 9.4 percent of their creditable earnings each year…”

The State Board of Education doesn’t keep track either.

My guess is that only the Illinois Education Association has a matrix showing what school districts have given what benefits in contract negotiations.

Snow discovered this about Lockport:

“…on page 14 of the Lockport Township HS 205 teachers contract it reads:

1. The Board will pay the current level of retirement contribution to the Teachers Retirement System of Illinois.”
2. It is expressly understood that figures appearing on this salary schedule include a sum equal to the current level of TRS contribution of the base salary of each Teacher which is, in fact, payable to the Teachers’ Retirement System on the Teacher’s behalf.”

“The ISBE report shows this board paying nothing. A Democrat bureaucracy doesn’t check the teachers contracts to see if what is reported, matches what’s in writing.”

And, if legislation is passed requiring 4.37 percentage points more, how long do you think it will take Lockport taxpayers to pick up the difference?

Given that local teachers’ unions pretty much control school boards wherever they are elected (read everywhere but Chicago), my guess is will be on the top of the collective bargaining list.

Do you wonder if Rep. McCarthy knows that?

Is his proposal just a setting up local taxpayers for an even bigger fall?

Five years from now will 39% of teachers still be paying nothing for their pensions?

Even better for teachers is that this pension payment ups their pension payments.

Take a look at the chart below.  Chances are your school district is on it.

Chart of Pension Contributions by 82,981 District Teachers of 132,502 Total Illinois K-12 Teachers

Name of District	No. of Teachers	Percent of Pension Contributed by Teachers
Thornton Twp 205	428	Zero
Proviso 209	281	Zero
Waukegan 60	1,098	Zero
Morton 201	455	Zero
Kankakee 111	348	Zero
Joliet 204	340	Zero
Round Lake 116	387	Zero
Rockford	1,843	Zero
Decatur 61	454	Zero
Crete Monee	340	Zero
Danville 118	382	Zero
Valley View 365	1,068	Zero
Aurora West 129	706	Zero
East Peoria 309	69	Zero
Galesburg	281	Zero
Bremen 228	313	Zero
Freeport	317	Zero
Leyden 212	219	Zero
Elgin U-46	2,332	Zero
Rock Island	388	Zero
Mattoon	225	Zero
Collinsville	394	Zero
Massac 1	143	Zero
Sterling	219	Zero
Belvidere	531	Zero
Quincy	436	Zero
Dixon	179	Zero
West Chicago	248	Zero
Cook County 130	289	Zero
Cicero 99	738	Zero
Joliet 86	617	Zero
Harvey 152	163	Zero
Crystal Lake 155	412	Zero
Crystal Lake 47	564	Zero
Wheeling 21	489	Zero
Champaign 4	717	Zero
United CUSD 304	68	Zero
Riverdale 100	76	Zero
Reed Custer 255	114	Zero
Wilmington 209U	84	Zero
United Township 30	90	Zero
Summit Hill 161	213	Zero
Plainfield	1,695	Zero
Schiller Park 81	98	Zero
Dolton 149	176	Zero
Township 211 Palatine	799	Zero
Ball Chatham 5	248	Zero
Taylorville 3	152	Zero
Williamsville 15	81	Zero
Harrisburg 3	130	Zero
Belleville 201	281	Zero
Dupo 196	76	Zero
O’Fallon 203	145	Zero
O’Fallon 90	207	Zero
Rochester 3A	142	Zero
Pekin 108	248	Zero
Morton 709	175	Zero
New Lenox 122	287	Zero
Frankfort 157	158	Zero
Marion 2	219	Zero
Carterville 5	110	Zero
Kinnikinnick 131	122	Zero
Tolono 7	116	Zero
Mahomet-Seymour 3	161	Zero
Champaign 4	717	Zero
Urbana	346	Zero
Charleston 1	180	Zero
Park Ridge 64	319	Zero
Evanston 202	222	Zero
Maine HSD 207	508	Zero
Arlington Heights 214	753	Zero
Niles 219	350	Zero
Berkeley 87	165	Zero
Berwyn South	263	Zero
Lyons 204	239	Zero
Lemont 113	144	Zero
Palatine 15	713	Zero
Schaumburg 54	1,003	Zero
Oak Lawn 123	203	Zero
Oak Lawn 229	114	Zero
CHSD 230 Orland Park	519	Zero
Argo 217	111	Zero
Homewood 233	174	Zero
Genoa 424	137	Zero
Sycamore 427	231	Zero
Dekalb 428	362	Zero
Lombard 44	216	Zero
Downers Grove 58	277	Zero
Hinsdale 86	296	Zero
Elmhurst 205	538	Zero
Naperville 203	1,063	Zero
Effingham 40	176	Zero
Canton Union 66	175	Zero
Morris 54	61	Zero
Morris 101	50	Zero
Coal City 1	138	Zero
Jersey 100	164	Zero
Central CUSD 301	224	Zero
Kaneland 302	275	Zero
St. Charles 303	880	Zero
Cahokia	298	0.4
Chicago Public Schools	23,219	2
Peoria 150	988	0.4
Springfield	1,105	0.4
Moline 40	461	0.4
Harvard	149	0.87
Dolton 148	236	1.4
Belleville 118	228	0.4
Pekin 303	125	0.4
Hononegah 207	118	0.4
Arlington Heights 59	444	3
Leyden 212	219	0.4
Summit 104	103	0.4
Palos 118	130	0.4
CHSD 219 Orland Park	519	0.4
Bensenville 2	145	1.4
DuPage 88	266	0.4
CHSD 94	122	0.9
CUSD 300	1,189	4.4
Hawthorn 73	253	1.4
Lake Forest 115	132	0.4
Wauconda 118	273	0.4
Johnsburg 12	158	0.4
Cary 26	192	4.9
Woodstock 200	385	1.4
Keeneyville 20	107	0.4
Winnebago 323	117	0.4
LaSalle-Peru Twp. 120	88	0.7
Prairie-Hills 144	187	0.4
Geneva 304	367	Zero
Herscher 2	126	Zero
Manteno 5	160	Zero
Bourbonnais 53	160	Zero
Bradley 61	103	Zero
Bradley Bourbonnais 307	114	Zero
Momence 1	88	Zero
Yorkville 115	329	Zero
Plano 88	154	Zero
Oswego 308	827	Zero
Streator 44	132	Zero
Ottawa 141	140	Zero
Ottawa 140	102	Zero
Glenview 34	343	Zero
Zion 6	177	Zero
Grayslake 46	266	Zero
Elmwood Park 401	181	Zero
Libertyville 70	159	Zero
North Shore 112	374	Zero
HSD 113 Highland Park	249	Zero
Grant 124	91	Zero
Zion-Benton 126	156	Zero
Evanston 65	547	Zero
Grayslake 127	187	Zero
Meridian 15	64	Zero
Mt. Zion 3	133	Zero
Edwardsville 7	480	Zero
Alton 11	467	Zero
Macomb 185	130	Zero
McHenry 15	282	Zero
McHenry 156	158	Zero
Nippersink 2	92	Zero
Columbia 4	111	Zero
Waterloo 5	166	Zero
Hillsboro 3	114	Zero
Meridian 223	113	Zero
Illinois Valley Central 321	139	Zero
Carbondale 165	76	Zero
Carbondale 95	105	Zero
Riverton 14	85	Zero
Auburn 10	90	Zero
Pawnee 11	47	Zero
Panhandle 2	35	Zero
Sullivan 300	75	Zero
Centralia 135	93	Zero
Litchfield 12	83	Zero
Harlem 122	505	Zero
Granite City 9	617	Zero
Princeton 115	86	Zero
Princeton 500	43	Zero
Bond County 2	120	Zero
Duquoin CUSD 300	101	Zero
Rocton 140	102	Zero
Rochelle Twp. HSD 212	71	Zero
Rochelle CCSD 231	131	Zero
Byron 226	127	Zero
Oregon 220	104	Zero
Farmington Central 265	85	Zero
Porta 202	75	Zero
River Bend 2	71	Zero
Red Bud 132	73	Zero
Sparta 140	105	Zero
Southwestern 9	107	Zero
Staunton 6	87	Zero
Gillespie 7	81	Zero
Hamilton County 10	83	Zero
Midwest Central 191	85	Zero
Tuscola 301	86	Zero
West Carroll 314	99	Zero
Oakwood 76	64	Zero
Hoopeston 11	94	Zero
Westville 2	80	Zero
Beardstown 15	98	Zero
El Paso-Gridley 11	99	Zero
Murphysboro 186	137	Zero
Monticello 25	111	Zero
Paris-Union 95	74	Zero
Mt. Vernon Twp. 210	80	Zero
Mt. Vernon 80	109	Zero
Jasper County 1	101	Zero
Steger 194	128	Zero
Calumet City 155	77	Zero
North Boone 200	116	Zero
CCSD 93 Carol Stream	294	Zero
East Maine SD 63	254	Zero
Lockport Township HS 205	205	Zero
Above Teachers Total	82,981

Not in the Carpentersville School District this time.

Farther down the Fox River Valley in St. Charles.

And they are apparently being paid by the taxpayers to run touch-feely meetings to prepare taxpayers for a big bond issue.

The (Elgin) Daily Courier News’ Janelle Walker calls the outfit “a facilitating team.”

But readers of McHenry County Blog know that Unicom/ARC out of St. Louis is a tax hiker’s consultant. Here are the details of St. Charles District 303′s tax hike preparations, as set forth in the Courier News.

And here is what one of ARC/Unicom’s Missouri clients—a school superintendent—wrote as a testimony:

“School leaders who hope to move their district’s forward must understand that we can’t make progress without the informed consent, active participation, and sound advice of those who pay the bills! UNICOM•ARC understands this fact of life in public education better than any group I know. They can steer a district through a public engagement process, secure accurate survey data, and guide election efforts to achieve even the most ambitious district goals.”

Look far enough on the web site and you can even find prior work for the St. Charles School District:

“Client: St. Charles (IL) Community Unit School District 303

“Challenge: Determine support level for a bond issue to build a new elementary and middle school, improve and expand a high school and make repairs and renovations to other District buildings, and to test possible messages in favor and opposition of a bond proposal.

“Solution: In collaboration with the District, UNICOM•ARC drafted a comprehensive telephone survey to gather information about District residents’ perception of these issues, and a sample was developed with quotas that ensured all areas of the District would be represented in appropriate proportions.

“It was determined that the District lacked majority support for a bond issue with 48.8% of survey participants answering they would favor this proposal. The results of the bond election substantiated this research, with 49.0% favoring the proposal.“

Take a look at the list of school districts these tax hikers have helped hike taxes here.

One of them is Belvidere.

I am sure it is no coincidence that the school superintendent in St. Charles came from Belvidere.

There’s no mention of Carpentersville District 300 on the Unicom/Arc web site now…like you can see here.

Not in the Carpentersville School District this time.

Farther down the Fox River Valley in St. Charles.

And they are apparently being paid by the taxpayers to run touch-feely meetings to prepare taxpayers for a big bond issue.

The (Elgin) Daily Courier News’ Janelle Walker calls the outfit “a facilitating team.”

But readers of McHenry County Blog know that Unicom/ARC out of St. Louis is a tax hiker’s consultant. Here are the details of St. Charles District 303′s tax hike preparations, as set forth in the Courier News.

And here is what one of ARC/Unicom’s Missouri clients—a school superintendent—wrote as a testimony:

“School leaders who hope to move their district’s forward must understand that we can’t make progress without the informed consent, active participation, and sound advice of those who pay the bills! UNICOM•ARC understands this fact of life in public education better than any group I know. They can steer a district through a public engagement process, secure accurate survey data, and guide election efforts to achieve even the most ambitious district goals.”

Look far enough on the web site and you can even find prior work for the St. Charles School District:

“Client: St. Charles (IL) Community Unit School District 303

“Challenge: Determine support level for a bond issue to build a new elementary and middle school, improve and expand a high school and make repairs and renovations to other District buildings, and to test possible messages in favor and opposition of a bond proposal.

“Solution: In collaboration with the District, UNICOM•ARC drafted a comprehensive telephone survey to gather information about District residents’ perception of these issues, and a sample was developed with quotas that ensured all areas of the District would be represented in appropriate proportions.

“It was determined that the District lacked majority support for a bond issue with 48.8% of survey participants answering they would favor this proposal. The results of the bond election substantiated this research, with 49.0% favoring the proposal.“

Take a look at the list of school districts these tax hikers have helped hike taxes here.

One of them is Belvidere.

I am sure it is no coincidence that the school superintendent in St. Charles came from Belvidere.

There’s no mention of Carpentersville District 300 on the Unicom/Arc web site now…like you can see here.

One of the most notorious violations of taxpayers used by school districts is the use of Working Cash Funds.

The scam works this way.

The school board passes a resolution to borrow money (issue bonds).

Taxpayers do have a short time to gather an extraordinary percentage of the voters’ signatures.

Districts typically publish the notice of the possibility of what is called a “backdoor” referendum during the winter when people find it too cold to go door-to-door.

“Sneaky” does not begin to describe this practice. “Evil” comes to mind.

If enough signatures are not gathered to force a referendum, taxes go up to pay back the bonds.

In the worst-case scenario, the school district then drains the Working Cash Fund and the process starts all over.

A tax increase without a referendum followed by another tax increase without a referendum, ad infinitum.

The Belvidere School Board is using a different permutation of this scam, a friend of McHenry County Blog has informed me.

The Belvidere school board tax hikers want $23 million, but don’t want to have to go through one of those messy referendums.

After all, when the district asked for $54.5 million, the voters said, “No.”

So much easier just to take almost half that amount with a majority vote of the school board.

Hey, it’ll only cost 3-5 cents per $100 of assessed valuation says PMA financial advisor Scott Smith, but he told Rockford Register-Star reporter Kevin Haas,

“Right now, it is difficult to say what would happen with the tax rate overall.”

This guy Smith says it will only cost $20 to $34 more a year on a $200,000 house.

How many years?

T-W-E-N-T-Y !!!

Taxpayers wanting the courtesy of a vote on the November ballot have until February 25th to gather more than 2,500 signatures.

Considering the cost, it might be worth the work of gathering petition signatures.

Petitions are supposed to be provided by the school district. (If they are not, please let me know.)

Here’s what Lyle Morgensen, a former business manager for School District 100 told Haas,

“It seems to me that the taxpayer should have the opportunity to decide if this is a good thing for the district or not.”

And, should they get than number, based on the experience of folks in the Elgin school district who did similarly, the local school board will hire lawyers to eliminate the unregistered voters in order to get the number lower than 10% and kill the referendum.

So, if you go after signatures aim for at least 3,500.

35 people would only have to get 100 per person.

Don’t tell me it can’t be done.

That’s no reason not to try, though.

I gathered 1,100 signatures in one week (I’ll grant it was summer) standing outside of the Jewel grocery store in Crystal Lake in the late 1980’s.

So, don’t tell me it can’t be done.

I’ll be some high traffic store would let you stand inside.

And, start thinking about who is going to run against these anti-democratic school board members next year.

= = = = =
Signs are from the second Belvidere school bond referendum.

One of the most notorious violations of taxpayers used by school districts is the use of Working Cash Funds.

The scam works this way.

The school board passes a resolution to borrow money (issue bonds).

Taxpayers do have a short time to gather an extraordinary percentage of the voters’ signatures.

Districts typically publish the notice of the possibility of what is called a “backdoor” referendum during the winter when people find it too cold to go door-to-door.

“Sneaky” does not begin to describe this practice. “Evil” comes to mind.

If enough signatures are not gathered to force a referendum, taxes go up to pay back the bonds.

In the worst-case scenario, the school district then drains the Working Cash Fund and the process starts all over.

A tax increase without a referendum followed by another tax increase without a referendum, ad infinitum.

The Belvidere School Board is using a different permutation of this scam, a friend of McHenry County Blog has informed me.

The Belvidere school board tax hikers want $23 million, but don’t want to have to go through one of those messy referendums.

After all, when the district asked for $54.5 million, the voters said, “No.”

So much easier just to take almost half that amount with a majority vote of the school board.

Hey, it’ll only cost 3-5 cents per $100 of assessed valuation says PMA financial advisor Scott Smith, but he told Rockford Register-Star reporter Kevin Haas,

“Right now, it is difficult to say what would happen with the tax rate overall.”

This guy Smith says it will only cost $20 to $34 more a year on a $200,000 house.

How many years?

T-W-E-N-T-Y !!!

Taxpayers wanting the courtesy of a vote on the November ballot have until February 25th to gather more than 2,500 signatures.

Considering the cost, it might be worth the work of gathering petition signatures.

Petitions are supposed to be provided by the school district. (If they are not, please let me know.)

Here’s what Lyle Morgensen, a former business manager for School District 100 told Haas,

“It seems to me that the taxpayer should have the opportunity to decide if this is a good thing for the district or not.”

And, should they get than number, based on the experience of folks in the Elgin school district who did similarly, the local school board will hire lawyers to eliminate the unregistered voters in order to get the number lower than 10% and kill the referendum.

So, if you go after signatures aim for at least 3,500.

35 people would only have to get 100 per person.

Don’t tell me it can’t be done.

That’s no reason not to try, though.

I gathered 1,100 signatures in one week (I’ll grant it was summer) standing outside of the Jewel grocery store in Crystal Lake in the late 1980’s.

So, don’t tell me it can’t be done.

I’ll be some high traffic store would let you stand inside.

And, start thinking about who is going to run against these anti-democratic school board members next year.

= = = = =
Signs are from the second Belvidere school bond referendum.

For those of you into bizarre school stuff with time to read a long article on a slow Sunday, you might want to read how the Belvidere School Board managed to select the most expensive alternative after narrowly losing a tax rate hike.

I wonder how all the people who have moved from McHenry County to Boone County for lower housing costs and property taxes are reacting.

And, by the way, Don Schlomann, the school superintendent who came up with the plan, is off to St. Charles.

And also in the “Did you know? file is
///Ken Swanson, president of the Illinois Education Association, is a former teacher in Belvidere.

For those of you into bizarre school stuff with time to read a long article on a slow Sunday, you might want to read how the Belvidere School Board managed to select the most expensive alternative after narrowly losing a tax rate hike.

I wonder how all the people who have moved from McHenry County to Boone County for lower housing costs and property taxes are reacting.

And, by the way, Don Schlomann, the school superintendent who came up with the plan, is off to St. Charles.

And also in the “Did you know? file is
///Ken Swanson, president of the Illinois Education Association, is a former teacher in Belvidere.

As reported Monday, the Belvidere School Board has figured out a way to save sports and extracurricular activities after pledging to kill them, if their spring referendum failed.

As reporter Jeff Kolkey put it,

If this were a game of chicken, Belvidere School Board members blinked first Monday night, possibly trading the long-term financial health of the school system for the good of the community.

How did they justify their 5-1 vote sitting before 650 (!!) residents?

They will spend down their surplus and counting on more, but not a lot more, State Aid to Education.

Here’s how the Rockford Register-Star reporter summed up what will happen:

Without an increase in local property taxes or significant increases in general state aid, the district will be borrowing money to meet payroll in about four years. With no tax increase and only conservative increases in state aid, the district’s $14.5 million education fund balance will turn into a more than $5 million accumulated deficit by 2012.

But just like Arnold Schwarzenegger, they’ll be back in February, the lowest turnout election in the two-year cycle.

Board member Dick Van Evera charged the audience thusly:

“This group has a responsibility and obligation to make sure the next referendum is a success — an overwhelming success.ra told the crowd. I charge all of you with this responsibility.”

Elections are about differential turnout and the tax hike folks apparently think they are better organized than their opponents.

And, they’re probably right.

As reported Monday, the Belvidere School Board has figured out a way to save sports and extracurricular activities after pledging to kill them, if their spring referendum failed.

As reporter Jeff Kolkey put it,

If this were a game of chicken, Belvidere School Board members blinked first Monday night, possibly trading the long-term financial health of the school system for the good of the community.

How did they justify their 5-1 vote sitting before 650 (!!) residents?

They will spend down their surplus and counting on more, but not a lot more, State Aid to Education.

Here’s how the Rockford Register-Star reporter summed up what will happen:

Without an increase in local property taxes or significant increases in general state aid, the district will be borrowing money to meet payroll in about four years. With no tax increase and only conservative increases in state aid, the district’s $14.5 million education fund balance will turn into a more than $5 million accumulated deficit by 2012.

But just like Arnold Schwarzenegger, they’ll be back in February, the lowest turnout election in the two-year cycle.

Board member Dick Van Evera charged the audience thusly:

“This group has a responsibility and obligation to make sure the next referendum is a success — an overwhelming success.ra told the crowd. I charge all of you with this responsibility.”

Elections are about differential turnout and the tax hike folks apparently think they are better organized than their opponents.

And, they’re probably right.