CCSD 59 business presenter Mohsen told the Board of Education on Aug. 6 that the district’s 2025–26 budget is sustainable but carries a “very low margin” for operating funds and will require careful spending.

Mohsen said local revenue makes up roughly 86% of the district’s revenue, with about 79% coming from local property tax, and warned a recent windfall tied to corporate personal property replacement tax (CPPRT) is shrinking. “Fund balance gives you the stability,” he said, and cautioned that the CPPRT correction from the Illinois Department of Revenue has reduced the unusual revenue the district received in recent years.

The presenter said the district expects operating revenues to rise by about 2.9% before accounting for other state and federal changes and that interest earnings and CPPRT receipts will decline. He noted the district has been deliberately using fund balance to pay capital projects — including Brentwood renovations — instead of issuing debt. “We will be drawing down our fund balance to fund our capital projects and not issuing any debt,” Mohsen said.

Why this matters: Mohsen framed the budget as aligned with the district’s strategic goals while underscoring a narrow operating surplus. The board opened a public hearing on the budget at the beginning of the meeting, received no public comments on the budget, and closed the hearing before the formal adoption agenda later in the meeting.

Key details in Mohsen’s presentation included:
- Revenue mix: About 86% local revenue overall and roughly 79% from local property taxes; state and federal funds are smaller and often restricted.
- CPPRT: Mohsen said CPPRT receipts peaked unusually in 2023 (he cited roughly $15.3 million for the district in earlier years) and are declining as the state corrects prior calculations; he said a $5.8 million figure is expected to be the last correction the district will receive.
- Operating margin: The operating fund projected a small surplus (Mohsen cited an operating surplus figure in the presentation) but he described it as “a very low margin” that requires prudence on recurring spending.
- Expenditure drivers: Salaries and benefits compose roughly 75% of annual spending; health insurance and special-education transportation costs are notable growth pressures.
- Capital: The district plans to draw on fund balance for capital projects (Brentwood addition cited at roughly $15 million) rather than issuing bonds; Mohsen said construction projects can overlap fiscal years and will be reported in detail later in the year.

Board questions and follow-ups focused on expenditure assumptions and detail. A board member asked about increases in purchase-of-service and supplies and whether those are one-time or recurring; Mohsen said department-driven initiatives and curriculum needs drive those figures and staff will provide more detail on specific line items. Another board member asked whether federal program reductions could be absorbed; Mohsen answered that it depends on district priorities but emphasized that federally targeted funds (for example, special education) are restricted and that local resources would likely be required if federal support were reduced.

The board directed staff to provide more granular documentation on purchase-service increases and to include monthly automated financial reports that Mohsen proposed for ongoing oversight. Mohsen said he will share the proposed monthly reports and a five-year projection after the budget is locked.

Ending: The board completed the public hearing portion with no public comments and moved the budget to the adoption agenda for later formal consideration; staff committed to supplying the requested detailed line-item and monthly reporting before final adoption.