Residents in Oak Lawn Community High School District 229 may not have noticed the difference on their 2018 second installment property tax bill, but the district’s tax rate was lower than the previous year and resulted in taxpayers paying less in property taxes. The lower rate was attributed to the Board of Education’s participation in the state’s property tax relief grant program. Under the one-time program, Oak Lawn CHSD #229 was one of 28 districts that received property tax relief grant funds.
In March, the District 229 Board of Education adopted a resolution to abate $2.4M in property taxes. According to Assistant Superintendent Joseph McCurdy, “abating is basically not accepting the full amount of property taxes that the District is entitled to by lowering the tax rate.” In this situation, the District took action to do a one-time abatement which affected the 2018 Second Property Tax Installment that was recently due. The abatement reduced the tax rate from 2.901 to 2.764, saving the owner of a home valued at $150,000 approximately $82.
The loss of District revenue because of the property tax relief will be offset with additional funding through the Illinois State Board of Education evidence-based funding formula. The formula was used to determine a school’s state funding. Under the Property Tax Relief Grant Program, the District abated $2.4M in local property taxes but received an additional $2.1M in state funding. The $300K loss to the District will be accounted for in future state funding. The Board of Education President Robert Loehr said, the short-term loss to the District is a small sacrifice considering the savings the taxpayers received.