District 95 Financial Dashboard

Overview

Lake Zurich Community Unit School District 95 is a high-performing educational institution in the northwest suburbs of Chicago, serving diverse communities including Lake Zurich, Deer Park, Hawthorn Woods, Kildeer, unincorporated Lake County, and North Barrington. The district provides educational opportunities for students from Pre-K through age 22, emphasizing long-term planning and community involvement to support continuous growth and adaptation within an evolving educational landscape.

This financial overview outlines key fiscal information and projections for the upcoming year, offering insights into the district's current financial status.

Community Support and Referendum

The district benefits from strong community support, as demonstrated by the 69% approval for a $77.6 million building referendum. 

Additionally, the Board allocated an extra $35,089,153 from Debt Service Extension Bonds, annual operating funds, and existing reserves, bringing the total capital investment in district buildings and campuses under the Referendum Promise to $112,689,153.

This community-backed funding and support has made a meaningful impact on each school, enriching the educational experience for all students. Click here to see detailed project lists for each funding source and additional referendum information.

Long-Range Financial Planning

Beyond referendum-driven investments, the district dedicates part of its annual operating budget to managing capital improvement expenses for facilities, sites, and equipment maintenance. These investments are guided by the District’s annually updated Long-Range Facilities Plan, ensuring ongoing, strategic infrastructure improvements.

Budget for 2024-2025

The district follows a rigorous annual budget process, culminating in Board approval by September 30. This process begins each January with a Financial Workshop, where key assumptions and departmental inputs inform the development of a Preliminary Budget and a multi-year financial projection. As the year progresses, administration gathers additional data and refines the budget, moving to a Draft Budget stage in March. Further adjustments are made as actual figures and refined estimates are integrated into a Tentative Budget, which the Board of Education reviews and approves in June. The final budget is then completed with last updates from the Tentative Budget, followed by a public hearing and formal Board approval. For the 2024-2025 fiscal year, the public hearing and final budget approval were held on September 5, 2024.

The 2024-2025 budget reflects prudent fiscal planning. Revenue projections are based on estimated property tax collections, interest earnings, and fees. Projected expenses include salaries, benefits, and expected increases in costs for services and supplies due to inflation. Capital expenditures are also included, funded by a $3 million transfer from the Operations and Maintenance Fund and reserves from the Education Fund to the Capital Projects Fund.

Although the budget reflects a deficit due to specific Board-designated expenditures, the combined operating funds show a positive balance of $620,434, underscoring the district’s commitment to sound financial management.

The budget also accounts for "On Behalf Payments" from the State, recorded as both revenue and expenses, resulting in a net zero-dollar impact on district finances.

The district has secured labor agreements with certified staff through the 2025-2026 school year, promoting workforce stability. Additionally, its AAA rating from Standard and Poor’s highlights the district's financial strength and stability.

2024 Levy

The district's tax extension is regulated by the Property Tax Extension Limitation Law (PTELL), or "tax cap," which limits tax increases to 5% or the Consumer Price Index (CPI), whichever is lower, plus any increase from new construction. For 2024, the CPI cap is set at 3.4%.

New construction plays a significant role in determining the Equalized Assessed Valuation (EAV) and overall tax extension. Preliminary data indicates a $20,972,581 increase in EAV from new construction, with final figures expected in the spring.

The Board will adopt a levy amount higher than the estimated extension to capture all eligible funding, accounting for unknown variables. This approach enables final adjustments when the official levy is received in April, based on actual revenue and budgetary decisions for Fiscal Year 2025. Taxpayers are protected by the tax cap, which restricts the total extension to CPI-based limits (3.4% in 2024) plus new construction.

Conclusion

Lake Zurich Community Unit School District 95 remains committed to fiscal responsibility, long-term planning, and strong community partnerships. The district's stable financial foundation and transparent financial practices enable it to provide quality educational opportunities while adapting to evolving fiscal and educational needs.