Late spring traditionally means end-of-year activities, field trips, award presentations, and graduation ceremonies for schools. It also means that the district office will receive inquiries about property tax bills and the school district's role in determining what a property owner’s tax bill will look like.
This year, we have noticed that Illini Central CUSD8’s tax rate differs in Logan, Tazewell, and Mason counties. Logan shows that the school’s tax rate is $4.6611. Mason shows $4.6796. Finally, Tazewell shows $4.7269. It seems odd that the District’s rate would be different depending on the county, and ultimately, they should not be. The difference stems from each county's property values and, more importantly, when they perform the tax computation.
The three county clerks communicate with one another when they are developing the tax computation report. Tazewell County has historically been the first to send its tax computation report. As a result, they often have to estimate the equalized assessed valuation (EAV) of the properties in Logan and Mason. This year, the estimated numbers that Tazewell County used were lower than the actual values. The difference was about $11.5 million. For this year, Mason County also estimated Logan County’s value.
The actual tax rate is a product of the tax money a taxing authority will receive and the EAV of the properties being taxed. If a county uses a lower EAV than what actually exists, the tax rate will be higher, and the taxpayer will pay more. This is what happened in Tazewell County.
I spoke with the Tazewell County Clerk about this situation. If a county collects too much in taxes in a year, the difference will be made up the following year. The school district’s tax revenue will be reduced the following year, which will lower the taxpayers' bill the following year. In this case, the 2024 tax levy (payable in 2025) will be lowered for taxpayers in Tazewell, resulting in a lower tax rate.
For the 2023 levy, the Illini Central CUSD189 Board of Education set the goal of keeping the tax rate at or slightly lower than the 2022 levy. The actual tax rate for the 2022 levy was $4.7279. Based on the information the District has received, the actual tax rate for the 2023 levy will be $4.66.
We understand that some taxpayers may experience an increase in their overall tax bill compared to last year. This could be due to other taxing authorities raising their tax rates, which would affect the overall tax bill. Additionally, it's possible that the assessed valuation of the taxpayer’s property has increased. We want to assure you that the school district has no role in the assessment of property values.