Elmhurst D205 Finances Good: Board Candidates

ELMHURST, IL – Except for one, Elmhurst school board candidates last week generally praised the state of the school district's finances.

But in the last few months, Patch has uncovered information that hasn't reflected positively on the finances.

In November, Patch revealed that Elmhurst District 205 was one of only a handful statewide to receive the state's worst financial rating, known as "watch."

A month later, Patch reported a former top district official, Todd Schmidt, spent $46,000 on booze, cigars and other personal items with his district credit card. He paid back the money every month, meaning he essentially got unofficial short-term loans.

During the League of Women Voters forum last month, these developments rarely came up.

On a question about district policies, candidate Brian Bresnahan apparently referred to the credit card controversy.

"Obviously with recent news, we need to strengthen our fiscal oversight and proactively evaluate our financial policies," he said.

Another candidate, Tom Chavez, long a critic of the board, noted the policy against allowing employees to use district credit cards for personal expenses.

"That wasn't being followed," he said. "The policies that we already have on the books need to be enforced by the district administration and by the school board."

As for sinking to the lowest rating, board President Athena Arvanitis, who is seeking a second term, said that was the result of deferring property tax income to July. That hurt the district's rating because the state counts what's in the bank accounts on June 30, she said.

"The board, I'm happy to say, made the decision last year to change back to the old accounting method where we are reporting in a way that does not have a negative impact on our rating," Arvanitis said. "Our finances are strong."

Candidate John Bishof reflected Arvanitis' sentiments, saying officials have been "good stewards."

"Save for an accounting change, we're not on credit watch. We're in a good state," he said.

Candidate Nicole Slowinski agreed.

"Overall, our school is in a good financial state," she said. "Right now, the district and the school have been very mindful about our spend."

Bresnahan also said the district was in good financial shape, saying it has a "robust" fund balance.

At the same time, he said, "Obviously, there needs to be a little more transparency with how the district uses their money and collects it."

Chavez was doubtful about the district's finances.

"Athena says we have improved. OK, but last year they told us we would improve and we didn't improve," Chavez said.

In 2023, the district received "early warning" status, the second-lowest financial rating, joining nine other districts out of more than 850.

After that rating, the district said in response to Patch's inquiry that it anticipated a better score in 2024. Instead, it dropped.

Chavez noted that with the lowest rating, the district is in the company of mostly low-income communities. Among them is Dolton District 148.

"We need more accountability," he said.

Last month, the board reached an agreement for the departure of Todd Schmidt's supervisor, Chris Whelton, assistant superintendent of finance.

The agreement stated that the finance department's practices were under investigation.

The election is April 1. Five candidates are running for three seats.