Park Ridge CCSD 64 consultant: district surplus likely to narrow; board urged to build reserves

An outside financial consultant told the Park Ridge CCSD 64 Board of Education on Oct. 16 that the district’s historical surpluses are likely to narrow in the coming years and recommended strengthening reserves to guard against tax‑collection delays and rising costs.

Rob, an outside finance consultant, presented nine years of audited and unaudited district finances and projections. He said revenues have grown roughly 3.5% annually while expenses grew about 3.1% over the same period, producing aggregate surpluses of about $27.4 million since 2017. The district has also invested about $102.8 million in facilities since 2017, he said, and used roughly $44.3 million of fund balances and bond proceeds for that work.

"Your revenues have grown at a rate of 3 and a half percent a year on average. And your expenses 3 and a half 3.1%. That's a good thing," Rob said. He warned that several structural factors could reverse that trend: real estate tax growth is tied to the consumer price index (CPI), the district plans $4 million a year in capital commitments after current projects, and personnel costs (salaries and benefits) account for roughly 76% of expenditures.

Why it matters: the district’s board policy currently sets a minimum reserve target of 108 days of operating costs; the Illinois State Board of Education guidance…