By David Cannon
Aurora, Ill.
In 1986, the city of Aurora government, created TIF #1 – a public financing tool which diverts property tax dollars from their rightful destination to an unaccountable, undemocratic bucket of money, often doled out to private developers directly, as is the case with the new casino TIF district.
In 1993, Hollywood Casino (run by Penn Entertainment) opened in Aurora and began paying incremental property taxes – not to taxing bodies, but into TIF #1. The school district encompassing the original Casino property was East Aurora School District.
Due to TIF #1, East Aurora Schools forwent any incremental property tax revenues from the new Casino for 23 years. In 2009, before the initial TIF expired, it was extended another 12 years, currently allowable by State law. Over those combined 35 years, TIF #1 diverted over $50M away from public tax bodies into an unaccountable, undemocratic pot of money. East Aurora School District missed out on approximately $31 million. With the new casino TIF district, this could be you.
In 2022, after 35 years of waiting, East Aurora Schools saw its first dime of Casino property taxes, in the amount of $142,000.
And now, as the School District is finally poised to benefit from the Casino, Penn Entertainment and the City are moving it to a different jurisdiction to give Penn a better return on their investment. Any promise of future tax revenues for public schools was a bluff.
Based on conservative City of Aurora figures, if the new casino TIF District is approved, Batavia School District will miss out on approximately $74M in tax revenues over 23 years.
The city of Aurora has proposed an Intergovernmental Agreement where the taxing bodies will get 10% of any incremental taxes and 90% will go to Penn. This is a bad deal that you must not sign. By taking a hard line, you strengthen your hand.
The buck stops with the School Board. You are the decision-makers for the students, staff, and parents of Batavia School District 101 and you are the ones held personally responsible for those decisions. Please do not send staff to make this decision on your behalf.
The Batavia School District should:
- Vote no on the currently proposed Intergovernmental Agreement with the City of Aurora (agenda item 7.2);
- Pass a resolution sending a sitting board member to the Joint Review Board meeting on November 8 @ 10 a.m.;
- Vote no at the Joint Review Board meeting;
- Have District 101 staff members run the numbers provided by the city of Aurora government and Penn Entertainment to confirm that they make sense before making any decisions.
This is purposely complicated. It is meant to limit tax liability for corporations, not to enrich the community. Have strength and do not be discouraged. I ask you to please do your due diligence and fight for Batavia Schools.