While the overall physical condition of both Concord Elementary and Cass Junior High Schools are structurally sound and the schools have been well maintained, there are significant needs that must be addressed outside of the normal budget. This has been an issue for several years and is included in the Board of Education’s Vision 2025 Strategic Plan with the “development of a comprehensive master plan for the improvement and replacement of the district’s HVAC systems”, and to “determine the most efficient options to finance the necessary improvements to indoor air quality and HVAC systems, safety and security equipment, and health and life safety needs.”

The most urgent priority is the replacement of our HVAC systems. Most of the HVAC system has been maintained far beyond its life expectancy and the Board’s goal is to replace the system in the most cost-effective manner, while greatly improving energy efficiency and indoor air quality, as well as maintaining an optimal educational environment. The safety and security needs include replacing the old fire alarm system, updating and modernizing the video surveillance system, and purchasing an integrated intercom and communication system for extreme emergencies and safety situations.

Put another way, the facility plans that have been developed do not include anything added, new or unnecessary. Rather, it is an effort to proactively address what is needed in the most cost-effective manner for our taxpayers, while doing so with a plan that will save money and resolve these issues both currently and for the next generations as well.

The district has made investments in maintaining the HVAC units to extend the life of the existing system as much as possible, but the ongoing maintenance and repairs of the current systems are costly, inefficient and potentially unsafe.

At Concord, 9 of the 11 zones are heated and cooled by HVAC systems that were installed in either 1996 or 1997 and have already exceeded their life expectancy. The remaining two were installed in 2000 and 2004. Concord does not have a central boiler system for heat, but a series of electric or gas-fired units that cover various areas of the building. At Cass, 15 of the 19 zones are heated and cooled by HVAC systems that were installed in 2002 or prior, with the vast majority at or nearing the end of their life expectancy. Several recent upgrades have addressed the other four areas, including re-tubing the existing 1997 boiler.

ASHRAE is the industry organization that sets standards and guidelines for most HVAC equipment and here is the HVAC Equipment Life Expectancy Chart. While the district has done an excellent job trying to maintain old equipment for as long as possible, approximately 80 percent of the district’s HVAC infrastructure needs to be replaced. Any of the newer or more recently upgraded equipment in place would be maintained and later integrated into the new system as much as possible.

Following are several pictures of the school district's current HVAC systems:

While ideally the system would have been replaced by now, the school district has worked hard to maximize its life expectancy and keep it running as long as possible. The Board has been proactive in its planning, conservative with expenses and has also provided the resources from our taxpayers to maintain the existing HVAC systems for well over two decades and beyond its expected use.

The district has always done so, but unfortunately, it has become very costly and inefficient to repair and maintain systems that are beyond their life capacity. With a plan and a proactive approach, the work can be accomplished while bidding projects with economies of scale, rather than trying to replace a major component such as a rooftop unit that heats part of a school in the middle of the winter. To do this cost-effectively, it needs to be done with a long-term plan that considers long-term energy savings and the lowest life-cycle costs over time. The school district also maintains an outstanding credit rating and it would be less expensive to borrow the necessary funds in a low interest rate environment.

Also, not only can the district not afford the system to go down financially, but we also cannot afford this educationally. If a large rooftop unit ceases to function during the winter, an entire wing or area of a building could be without heat. With no way to pay for replacement and a supply chain that will not allow replacement for months, the district could be forced to consider other temporary alternatives from remote learning to alternative settings if conditions were to become unsafe at school. This is obviously something the district would try to avoid at all costs, but it is a reality of the current situation.

While it would be ideal to address infrastructure needs of this nature within the school district’s existing budget, this is not possible. Excluding current debt obligations, the total operations and maintenance expenditure budget for fiscal year 2022 is approximately $925,000. In the event one of the larger rooftop units would become permanently inoperable, the district could not pay for a single larger unit with an estimated replacement cost of $350,000 - $500,000 taking up 35 to 50 percent of the district’s operations and maintenance budget. There are many of these units and this is not work that is possible within the school district’s budget.

The Facilities Committee, which is made up of 12 individuals representing parent and community members, Board members, teachers and staff, was tasked with working with the school district’s architect and engineer to develop solutions and recommendations. The committee identified educational environment, indoor air quality, energy efficiency, maintenance and long-term life-cycle costs as the key items to balance in its recommendations.

After detailed work and reviewing various options, the committee was unanimous in its recommendation to pursue the most cost-effective plan through a geothermal system at each school. All of the systems were comparably priced in initial costs, but the geothermal system scored the highest in each of the identified key areas, including having by far the lowest life cycle cost.

The proposed renovation of the heating, ventilation, and air conditioning systems includes individual geo-exchange heating and cooling systems to serve Concord Elementary School and Cass Junior High School. This system is the most energy efficient and has the lowest life cycle cost of any HVAC system. Here is more information on the proposed system.

Geothermal energy is derived from the temperature of the earth, as the earth absorbs 50 percent of all solar energy and traps it as heat just below the surface. Using a heat pump, this natural and renewable resource trapped below the earth's surface is transformed into a highly efficient form of energy. Geothermal energy provides buildings with a dependable, economical and sustainable heating and cooling system.

In addition to the key advantages identified in the previous question, there are two important financial benefits to the geothermal system. The first is a significant savings in annual energy costs. Initial energy savings are estimated at approximately 35 percent, resulting in an estimated annual savings from the operating budget of approximately $70,000 per year. Based on current energy costs, the long-term savings in a rising energy cost environment could be in the millions over the course of the coming decades.

The second and potentially greater financial benefit is life-cycle cost. In addition to long-term energy savings, life-cycle costs also take into account the initial cost of the replacement system, expected maintenance costs, 20-year equipment replacement costs and residual value at the end of a 40-year cycle. With all factors taken into consideration based on current cost factors, the geothermal system is about 13 percent more expensive up front than the least expensive of the three options considered. However, the geothermal system was 39 percent less expensive in terms of total life-cycle costs, and 21 percent less expensive in total. 

The exact wording of the June 28 ballot question will read as follows:

“Shall the Board of Education of Cass School District Number 63, DuPage County, Illinois, be authorized to alter, repair and equip existing school buildings, renovate and replace heating, ventilation and air conditioning (HVAC) systems, pay alternate bonds issued to finance renovations to school buildings as claims as provided for by Article 19 (Sections 19-8 to 19-14, inclusive) of the School Code and issue bonds of said School District to the amount of $13,425,000 for the purpose of paying the costs thereof?”

While the legal wording on ballot questions can be confusing, a vote of yes is simply authorizing the Board to issue bonds up to (but not to exceed) $13,425,000 to address the needs as described above and to pay off an existing bond that is funded out of existing operating funds. The portion of the proposed bond issue used to refund existing operating debt will be paid off 8 years earlier than the outstanding issue, saving an estimated $110,000 in interest over the life of the bonds. The district maintains a strong "AA" bond rating from Standard and Poor's.

The referendum authority does not allow bond proceeds to be used for any other purpose than what is described here. Once issued, the bond will be paid back over 20 years.

Yes, and we will continue to do so. While there are no known grants to cover all costs, the district is working on options through ComEd, as well as through both state and federal sources to fund as much of the project as possible. Work is still being done, but so far the grant opportunities available for the total project are approximately $400,000 to 500,000.

Any part of this project that is of a significant cost will absolutely be vetted through the competitive bidding process. If the final project cost is less than anticipated, then the district will only borrow what it needs. There is no incentive to borrow more than what is necessary to fund the proposed projects.

Absolutely not. The new revenue can only be used for the purposes described above.

There are several important things to understand about the finances in Cass 63. First, the school district has a very tight budget that is almost completely limited to the growth of the consumer price index (CPI). This is due to the fact that over 80 percent of the district's total revenue is local property taxes, which are directly tied to CPI. The school district has made this work for many years and is continuing to do so, but CPI does not allow for higher, one-time expenses related to things like facility improvements. On the other hand, state funding accounts for only about 7 percent of budget revenues, while federal funding is even less at approximately 6 percent.

The other critical aspect of the district's finances that is extremely unique is Argonne National Laboratory. Argonne is federally owned property that has a huge impact in Cass School District 63. Of the school district’s 2,807 total acres, 1,026 is federally owned land as part of Argonne. This means that roughly 37 percent of the school district’s total real estate is federally owned property and real estate owned by the federal government is not subject to property taxes.

Federal impact aid partially reimburses school districts for the lost revenue associated with nontaxable federal property and Cass 63 is one of only eight school districts in Illinois that fall under this program. Despite the fact that such a large percentage of Cass 63 property is federal land, in fiscal year 2021 the district only received $368,499 in federal impact aid funding. In comparison, the other 1,781 acres (approximately 63 percent) generated $9.6 million in local property taxes. This means that on a per acre basis, federal impact aid replaces just over 6 cents of every dollar lost to federal property, which puts our school district at a huge disadvantage. For those interested, here is more information on federal impact aid in Cass 63.

Despite all of this, our school district has worked hard to be smart, conservative and to stretch our dollars as far as possible. With revenues limited to CPI, there is no way to build reserve funds to address needs this large, which is why a bond for this specific purpose will get the job done. In fact, if voters approve the referendum on June 28, the district will still be approximately 30 percent under its legal debt capacity and will also be able to save a substantial amount of money by spending less on energy and maintenance costs for years to come.

The increase in the rate to pay for the new bond is estimated to be 26 cents. This is approximately a 4.0 percent increase in the overall property tax rate, and a 9.6 percent increase in the school district’s rate. For an owner-occupied home valued at $300,000, this is a $246 increase, or about $20.50 per month. A tax calculator is provided below. Simply enter last year's total property taxes paid to see the estimated impact for your home.

No. Of the elementary school districts in DuPage County, the average property tax rate is $3.14 per $100 of equalized assessed valuation. The current tax rate in Cass 63 is $2.71. If this bond question is approved by the voters, the tax rate would increase to approximately $2.97, which would still be about 5 percent below the average in DuPage County.

Source: DuPage County Clerk

Not on a comparative basis. Out of 29 elementary school districts in DuPage County, Cass School District 63 ranks 18^th in tax rates, 19^th in local tax revenue generated per student, 21^st in state funding per student and 28^th in corporate personal property replacement tax per student. Despite these rankings, approximately 80 percent of the school district's total annual revenue comes from local property taxes, which is otherwise limited to the growth of the consumer price index.

Source: DuPage County Clerk and Illinois State Board of Education

Again, not on a comparative basis. Out of the 10 elementary school districts in the immediate area, Cass School District 63 maintains the second lowest operating expenditure per student. The district average of $13,618 per student is 15 percent lower than the area average of $16,284 and 13 percent lower than the average operating expenditure per pupil among all elementary school districts in DuPage County. 

In fact, Cass 63's average operating expense is 8 percent below the state average, despite serving students in the state's second wealthiest county. By definition, Cass School District 63 is one of the most efficient school districts, despite our small size.

Source: Illinois State Board of Education

Exactly 32 years ago. Back in 1990, voters approved a referendum to increase the overall tax rate by 40 cents. Soon after that referendum, the Property Tax Extension Limitation Law (commonly known as PTELL) was implemented in DuPage County. PTELL prevents the district from collecting the full amount of revenues that were previously approved by the voters since it limits the annual increase in local tax revenue sources to no more than the consumer price index (CPI). This has had the effect over time of lowering the district’s operating tax rate that was approved by the voters.

Despite that challenge and the unusual amount of time since the last passage of a referendum, the district is not asking for a general tax rate increase. The purpose of this referendum is the issuance of a new bond to address specific HVAC, safety and security needs, and refunding an existing bond. It changes no other rates and raises no rate permanently. 

No. Consolidating school districts has absolutely nothing to do with the maintenance of physical buildings, HVAC systems or safety and security needs. In fact, it is far more likely that consolidation would increase rather than decrease costs to our local taxpayers. As explained previously, Cass School District 63 already has by far the lowest expenditure per student in the area. 

Cass School District is not promoting a view on the referendum, but is placing verifiable facts and details in your hands and trusting our voters to decide. This includes information for all of our voters to see if you are a registered voter and how to locate your polling place, as well as how to find an in-person voter registration location near you if you prefer to vote in person. For all other information, please visit the DuPage County Election page. 

Following are key dates for the June 28, 2022 Primary Election:

May 19, 2022      First day for mailing or delivery of vote by mail ballot. First day for early voting at the office of the election authority and temporary locations designated by the election authority, which includes the DuPage County Fairgrounds

June 12, 2022     Last day for voters to register online to vote through the State Board of Elections website.

June 13, 2022     First day of in-person early voting at permanent polling places other than the office of the election authority.

June 20, 2022     Last day for any voter who is a member of the U.S. military and service or their spouses, as well as voting age dependents and citizens temporarily residing outside the U.S. to make federal voting assistance program application for a vote by mail ballot.

June 23, 2022     Last day for the election authority to receive an application (either by mail or electronically) for a vote by mail ballot from any registered voter.

June 27, 2022     Last day for in-person early voting at the office of the election authority or at a location designated by the election authority (June 25 for a temporary voting site).

June 27, 2022     Last day for any registered voter to make application in person for a vote by mail ballot.

June 28, 2022     Last day for any registered voter to return a completed a vote by mail ballot and postmarked no later than June 28, 2022.

June 28, 2022     General Primary Election

In the interest of full transparency and to make sure all questions are answered, the district is hosting three facility information meetings and two still remain. Notice of these meetings has been provided through an informational flyer that was mailed to all homes in the school district.

The next information meeting is completely virtual via Zoom on Monday, May 23, at 6:30 p.m. Just click on the link to access the meeting. We will then host another in person meeting scheduled for Wednesday, May 25 at 6:30 p.m. in the Cass Junior High choral room (room 125).

These meetings will include a presentation of the plans, solutions and costs, as well as an opportunity for any questions from our parents and community.

In addition to the community information meetings, the district will continue to update information here as questions arise. Also, feel free to contact any member of the Board of Education or Superintendent Mark Cross at mcross@cassd63.org or 331-481-4004. Mr. Cross will also meet with any individual or group who has questions, concerns or would just like to learn more.