State Property Tax Relief for McHenry County Taxpayers? Nah.

Here is the program of property tax relief included in the recent State Aid To Education law:


Tax relief will not be falling on McHenry County taxpayers

Beginning in FY 19, the State Board will provide up to $50 million in property tax relief grants to eligible school districts.

Eligible districts are those that exceed a threshold tax rate and that agree to abate a portion of taxes, up to a statutory limit, in the coming tax cycle.

In return, qualifying districts receive a state grant in an amount that is a proportion of the tax relief provided.

District adjusted operating tax rates are compared on what statute terms a unit equivalent basis.

For unit districts, the adjusted operating tax rate is unaltered.

For elementary districts the rate is multiplied by a factor of 13/9.

For high school districts the rate is multiplied by a factor of 13/4.

The result is termed the Unit Equivalent Tax Rate.

Eligible districts are those with Unit Equivalent Tax Rates that exceed the threshold Unit Equivalent Tax Rate.

That threshold rate is determined based on the data for districts that apply for this program and will not be known until all applications have been received and reviewed.

Grants are prioritized in order of highest Unit Equivalent Tax Rates among grant applicants.

The tax relief a district is eligible to provide may be no greater than the lesser of

(A) 1% of EAV for a unit district, 0.69% of EAV for an elementary school district, or 0.31% of EAV for a high school district, or

(B) the difference between the district’s Unit Equivalent Tax Rate and the threshold Unit Equivalent Tax Rate.

If the latter is the lesser amount and the difference is less than 1%, that difference is further modified by multiplying the difference by 1 for a Unit district, by 0.69 for an elementary district and by 0.31 for a high school district.

The grant amount a district may receive is equal to a percentage of the tax relief provided, which is calculated as (1 – Local Capacity Percentage2).

Districts may view the amount of tax relief provided locally that may be paid as a state property tax relief grant by viewing the FY 19 Property Tax Relief file located below.

Property tax relief grant amounts received in FY 19 will be included in future calculations of those districts’ Base Funding Minimum amounts, per 18-8.15 of the School Code.

Future grant amounts are subject to appropriations.

You can read the  eligibility list here:  Final FY 2019 Property Tax Relief Eligibility List.
Interestingly, Crystal Lake High School District 155 is the highest district that did not qualify–number 29.

Fox River Grove Grade School District ranked 49th.

Other McHenry County school districts ranked as follows:

  • 56 – McHenry High School District
  • 66 – McHenry Grade School District
  • 103 – Woodstock School District
  • 109 – Harvard School District
  • 113 – Crystal Lake Grade School District
  • 122 – Prairie Grove Grade School District
  • 140 – Johnsburg School District
  • 146 – Cary Grade School District
  • 150 – Riley Grade School District
  • 189 – Huntley School District
  • 215 – Marengo-Union Grade School District

I couldn’t find Richmond High School or the Nippersink Grade School District on the list.

There are 371 school districts in Illinois.

= = = = =

Commenter “Out of Towner” points out my number above is not correct.  It was obtained by looking at the number of lines on the attached spreadsheet.  I don’t know enough about the new School Aid Formula to explain the difference.

Here are the number of school districts, according to “Out of Towner:”

As of July 1, 2018,

852 public school districts:

  • 368 elementary districts,
  • 97 high school districts,
  • 386 unit districts, and
  • one Illinois Department of Juvenile Justice district


State Property Tax Relief for McHenry County Taxpayers? Nah. — 6 Comments

  1. Re: “There are 371 school districts in Illinois.”

    That number is a little bit off.

    As of July 1, 2018,
    852 public school districts:
    368 elementary districts,
    97 high school districts,
    386 unit districts, and
    one Illinois Department of Juvenile Justice district

  2. From white taxpayers to misrun and terrible school districts overwhelmingly minority, that’s what it’s really all about.

    And the white flight from crushing taxation, crime and disorder is no longer from or to certain neighborhoods, it’s fully statewide.

    Wait for the crash, preferably from another state or country.

  3. I was going by the number of lines in the spreadsheet to which the article is linked.

  4. The 371 districts referenced in the post represents the number of districts that applied to receive this grant.

    Obviously, most districts were so far down on the original list that applying for the grant was not worth their while.

    Originally, Cary D-26 was so far down on the list I never expected D-26 to receive any money, but I felt it was our duty to the taxpayers to submit an application.

    The pool of grant money would have had to increase by about $320 million before D-26 taxpayers ever saw a nickel.

    I always thought this was a bad list to be ranked high on.

    It means your district’s tax rate is excessive.

    Here’s how the Illinois State Board of Education describes the program:

    “Provides school districts with high tax rates relative to other school districts with an opportunity to lower the property tax burden on local taxpayers with the State replacing a portion of forgone tax revenue with state funds.”

    The fact that D-155 is so high on this list highlights the excessive burden placed on this community by D-155 Board of Education.

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