CHSD 155 board approves parameters for up to $14 million alternate revenue bond sale to fund stadium and facility work

The Community High School District 155 Board of Education on Jan. 14 approved a parameters resolution authorizing the issuance of not-to-exceed $14,000,000 in general obligation alternate revenue bonds to finance renovations, repairs and equipment for district facilities, including the stadiums at Cary-Grove High School, Crystal Lake Central High School, Crystal Lake South High School and Prairie Ridge High School. The motion passed on a roll-call vote with all members present voting yes.

The measure delegates authority to district administration and a board designee to sell the bonds on a day judged most advantageous in the municipal market and contemplates the board later adopting a resolution that would pledge revenues and levy a direct annual tax if pledged revenues prove insufficient. "I'm seeking a motion to approve the parameters resolution authorizing the issuance of not to exceed $14,000,000 general obligation alternate bonds," said Dr. Werner, the district's assistant superintendent for finance and operations, introducing the item.

District financial advisor Tammy Beck gave a market update and explained how recent shifts in municipal yields affect expected proceeds. She said estimated proceeds for the projects were in the range of about $13.2 million to $13.5 million depending on market conditions and that the district's target maximum annual debt service is $1,000,000. "Until we actually get into the market, obviously, we can't lock in the interest rate," Beck told the board, and she said staff expected to update the district's credit rating and to market the bonds around Feb. 18 with closing a few weeks after that.

Beck reviewed comparative true interest costs and noted that recent federal and inflation data have moved yields modestly; in the presentation she showed an example true interest cost in the mid-3% to low-4% range and explained that those movements change the amount of net proceeds the district would receive while keeping the district's annual payment cap in mind. The issuance is planned under the Local Government Debt Reform Act and will require a credit-rating update; the district currently carries an AA+ rating, Beck said.

Board members asked no substantive follow-up questions during the presentation. The district communications team and administration will produce voter and community-facing messaging as the project and bond sale progress, Superintendent Dr. Neil Lissinski said in his report.

In other business the board approved several financial and operations items during the meeting. The board approved board bills totaling $12,100,000 covering the period Dec. 11 through Jan. 14, which the district broke down in its packet as approximately $6,800,000 for payroll-related items and $5,300,000 for vendor payments. The board approved the 2025 capital improvements bid package 2 in the amount of $5,357,974 and approved a memorandum of understanding concerning girls flag football stipends and athletic supervision. A consent agenda of resignations, retirements, dismissals and nonrenewals passed; during that roll call one board member stated they would abstain on two listed consent items (identified in the packet as B13 and D5) but did not provide a name that was clearly captured in the public transcript. The board also approved a resolution to dismiss Adan Aguirre, an educational support employee, following executive session.

The board entered executive session during the meeting citing the Illinois Open Meetings Act exemptions for pending or probable litigation and employment/discipline of specific employees (5 ILCS 120/2(c)(11) and 5 ILCS 120/2(c)(1)). The board indicated it expected action when it returned to open session and then voted on the dismissal resolution.

The bond parameters vote sets the framework for administration to proceed with the sale; estimated proceeds, final interest rates, the precise amortization schedule and the date of sale will be determined when bonds are marketed and underwritten. The district materials filed with the board note that the levy of a direct annual tax to pay principal and interest would be a contingent action only if pledged revenues are insufficient to meet debt service.

The board recognition items during the meeting included staff awards: Crystal Lake Central science teacher Molly Cieslowski was recognized as a teacher of the month, and Superintendent Dr. Neil Lissinski was noted as a finalist for an Illinois superintendent innovation award; those recognitions were ceremonial and did not require board action.

Looking ahead, administration said it will update the board when it has the final terms of sale and will return with the necessary authorizing resolution and documentation to close the transaction.