Equalized Assessed Valuation (EAV) Notice
Dear Taxpayers of North Mac CUSD #34,
This letter is to inform you the North Mac School District is estimating a larger than normal
increase in our Equalized Assessed Valuation (EAV) that will in turn drive an increase in our
proposed tax levy. This large increase is due to the newly installed solar energy system in the
northwest corner of our school district. A required notice has been placed in area newspapers
outlining the proposed levy increase for the school district and subsequent levy hearing. What
the notice does not explain is the reason for the proposed levy increase. The North Mac School
Board of Education would like our community to know the majority of this EAV and proposed
levy increase will come directly from the solar energy system and not the property owners.
This is positive news for both the district and our tax payers.
HOW DOES THE SCHOOL DISTRICT LEVY PROCESS WORK?
Illinois school districts receive local revenue from property owners through the levy process.
The value of each parcel located within a school district’s borders is assessed by the county. A
district’s EAV is then determined after a series of adjustments by the county and state. The
school district’s tax rate is then applied to the EAV resulting in revenue to the district. The
amount of money received through the levy process is the levy extension. When the proposed
levy is 5% or more than the previous year’s extension, the district must place a notice in local
newspapers and hold a levy hearing.
HOW DOES AN EAV INCREASE IMPACT THE TAX RATE?
The increase in our EAV not only positively impacts the district’s revenue, but also decreases the
overall tax rate, saving tax payers money. The levy process used by school districts in Illinois
multiplies the district’s EAV by the tax rate to generate local revenue to help support our
students’ education. As our EAV increases, a lower tax rate is necessary to generate the revenue
our school district receives through the levy. In this case, the majority of our estimated EAV
increase and proposed levy increase will not be at the expense of our property owners.
WHAT IS OUR CURRENT EAV & HOW MUCH WILL OUR EAV INCREASE?
The district’s current EAV is $191,271,216 and we estimate next year’s increase in the EAV to
be approximately $20,000,000 due to the solar energy system alone. Coupled with typical EAV
increases we have experienced in the last few years, we estimate our EAV will increase to
approximately $225,000,000.
WHY DON’T WE KNOW EXACTLY WHAT OUR EAV WILL BE?
School districts rely on county assessors to estimate what the EAV will be for the upcoming
year, but there is no way of knowing for certain at this time. The best information counties can
offer at the time levies are due is an estimate. In North Mac’s case, we rely on three counties,
Macoupin, Sangamon and Montgomery, to estimate our EAV.
WHY DOES THE DISTRICT REQUEST MORE REVENUE THAN THEY KNOW THEY
WILL RECEIVE THROUGH THE PROPOSED LEVY?
By law, school districts can receive no more revenue than requested through the levy process.
As stated above, we also do not know what our annual EAV increase will be. Therefore, we
estimate our EAV increase to be higher than we think, so the district is sure to capture all
revenue it legally can. Unfortunately, North Mac is not in a financial position to turn down
revenue. Like many districts in our area, we struggle to generate enough revenue to meet our
students’ needs.
IMPORTANT ITEMS OF NOTE:
• The tax rate has dropped by over $.35 since 2021 and that trend will continue as our EAV
increases.
• We also anticipate another significant increase in our EAV once the wind turbines are
operational.
• You can use this hyperlink to learn more about the valuation of commercial solar energy
systems - Solar Energy Systems
Please contact Kyle Hacke, Superintendent, with any questions.
217-627-2915
khacke@northmacschools.org