$4,160,000* GLEN ELLYN PARK DISTRICT DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016

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1 New Issue Investment Rating: Date of Sale: Tuesday, December 13, 2016 S&P Global Ratings AA+ (Stable) Between 10:15 and 10:30 A.M., C.S.T. (Closed Speer Auction) Official Statement Subject to compliance by the District with certain covenants, in the opinion of Chapman and Cutler LLP, Bond Counsel, under present law, interest on the Bonds is excludable from gross income of the owners thereof for federal income tax purposes and is not included as an item of tax preference in computing the federal alternative minimum tax for individuals and corporations. Interest on the Bonds is not exempt from present State of Illinois income taxes. See TAX EXEMPTION herein for a more complete discussion. The Bonds are qualified tax-exempt obligations under Section 265(b)(3) of the Internal Revenue Code of 1986, as amended. See QUALIFIED TAX-EXEMPT OBLIGATIONS herein. $4,160,000* GLEN ELLYN PARK DISTRICT DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Dated Date of Delivery Book-Entry Non-Callable Bank Qualified Due Serially December 15, The $4,160,000* General Obligation Limited Tax Park Bonds, Series 2016 (the Bonds ) are being issued by the Glen Ellyn Park District, DuPage County, Illinois (the District ). Interest is payable semiannually on June 15 and December 15 of each year, commencing June 15, Interest is calculated based on a 360-day year of twelve 30-day months. The Bonds will be issued using a book-entry system. The Depository Trust Company ( DTC ), New York, New York, will act as securities depository for the Bonds. The ownership of one fully registered Bond for each maturity will be registered in the name of Cede & Co., as nominee for DTC and no physical delivery of Bonds will be made to purchasers. The Bonds will mature on December 15 in the following years and amounts. AMOUNTS*, MATURITIES, INTEREST RATES, PRICES OR YIELDS AND CUSIP NUMBERS Principal Due Interest Price or CUSIP Principal Due Interest Price or CUSIP Amount* Dec. 15 Rate Yield Number(1) Amount* Dec. 15 Rate Yield Number(1) $1,070, % % $505, % % ,095, % % , % % ,115, % % Any consecutive maturities may be aggregated into term bonds at the option of the bidder, in which case the mandatory redemption provisions shall be on the same schedule as above. The Bonds are not subject to optional redemption prior to maturity. OPTIONAL REDEMPTION PURPOSE, LEGALITY AND SECURITY Bond proceeds will be used to (i) currently refund a portion of the District s outstanding General Obligation Limited Tax Park Bonds, Series 2009, (ii) finance various capital projects within the District, and (iii) pay the costs of issuing the Bonds. See PLAN OF FINANCING and THE PROJECT herein. In the opinion of Bond Counsel, Chapman and Cutler LLP, Chicago, Illinois, the Bonds are valid and legally binding upon the District and are payable from any funds of the District legally available for such purpose, and all taxable property in the District is subject to the levy of taxes to pay the same without limitation as to rate, except that the rights of the owners of the Bonds and the enforceability of the Bonds may be limited by bankruptcy, insolvency, reorganization, moratorium and other similar laws affecting creditors rights and by equitable principles, whether considered at law or in equity, including the exercise of judicial discretion. The amount of said taxes that may be extended to pay the Bonds is limited as provided by law. See THE DESCRIPTION OF THE BONDS herein. This Official Statement is dated December 1, 2016, and has been prepared under the authority of the District. An electronic copy of this Official Statement is available from the web site under Debt Auction Center/Competitive Official Statement Sales Calendar. Additional copies may be obtained from Mr. Nick Cinquegrani, Superintendent of Finance and Personnel, Glen Ellyn Park District, Spring Avenue Recreation Center, 185 Spring Avenue, Glen Ellyn, Illinois 60137, or from the Municipal Advisors to the District: *Subject to change. (1) CUSIP numbers appearing in this Official Statement have been provided by the CUSIP Service Bureau, which is managed on behalf of the American Bankers Association by S&P Capital IQ, a part of McGraw Hill Financial Inc. The District is not responsible for the selection of CUSIP numbers and makes no representation as to their correctness on the Bonds or as set forth on the cover of this Official Statement.

2 For purposes of compliance with Rule 15c2-12 of the Securities and Exchange Commission, this document, as the same may be supplemented or corrected by the District from time to time (collectively, the Official Statement ), may be treated as an Official Statement with respect to the Bonds described herein that is deemed near final as of the date hereof (or the date of any such supplement or correction) by the District. The Official Statement, when further supplemented by an addendum or addenda specifying the maturity dates, principal amounts and interest rates of the Bonds, together with any other information required by law or deemed appropriate by the District, shall constitute a Final Official Statement of the District with respect to the Bonds, as that term is defined in Rule 15c2-12. Any such addendum or addenda shall, on and after the date thereof, be fully incorporated herein and made a part hereof by reference. Alternatively, such final terms of the Bonds and other information may be included in a separate document entitled Final Official Statement rather than through supplementing the Official Statement by an addendum or addenda. No dealer, broker, salesman or other person has been authorized by the District to give any information or to make any representations with respect to the Bonds other than as contained in the Official Statement or the Final Official Statement and, if given or made, such other information or representations must not be relied upon as having been authorized by the District. Certain information contained in the Official Statement and the Final Official Statement may have been obtained from sources other than records of the District and, while believed to be reliable, is not guaranteed as to completeness. THE INFORMATION AND EXPRESSIONS OF OPINION IN THE OFFICIAL STATEMENT AND THE FINAL OFFICIAL STATEMENT ARE SUBJECT TO CHANGE, AND NEITHER THE DELIVERY OF THE OFFICIAL STATEMENT OR THE FINAL OFFICIAL STATEMENT NOR ANY SALE MADE UNDER EITHER SUCH DOCUMENT SHALL CREATE ANY IMPLICATION THAT THERE HAS BEEN NO CHANGE IN THE AFFAIRS OF THE DISTRICT SINCE THE RESPECTIVE DATES THEREOF. References herein to laws, rules, regulations, ordinances, resolutions, agreements, reports and other documents do not purport to be comprehensive or definitive. All references to such documents are qualified in their entirety by reference to the particular document, the full text of which may contain qualifications of and exceptions to statements made herein. Where full texts have not been included as appendices to the Official Statement or the Final Official Statement, they will be furnished on request. This Official Statement does not constitute an offer to sell, or solicitation of an offer to buy, any securities to any person in any jurisdiction where such offer or solicitation of such offer would be unlawful. (i)

3 TABLE OF CONTENTS Page BOND ISSUE SUMMARY... 1 GLEN ELLYN PARK DISTRICT Board of Commissioners and Administrative Staff... 2 DESCRIPTION OF THE BONDS... 2 Authority and Purpose... 2 Security... 3 THE DISTRICT... 4 District Organization and Services... 4 Education... 4 Transportation... 4 SOCIOECONOMIC INFORMATION... 5 Employment... 5 Housing... 7 Income... 8 PLAN OF FINANCING... 9 THE PROJECT... 9 DEBT INFORMATION PROPERTY ASSESSMENT AND TAX INFORMATION REAL PROPERTY ASSESSMENT, TAX LEVY AND COLLECTION PROCEDURES Tax Levy and Collection Procedures Exemptions Property Tax Extension Limitation Law Truth in Taxation Law FINANCIAL INFORMATION Deposits and Investments Budgetary Information Financial Reports No Consent or Updated Information Requested of the Auditor Summary Financial Information Statement of Net Position Statement of Activities Balance Sheet Revenues and Expenditures Balance Sheet Budgeted Financial Information EMPLOYEE RETIREMENT AND OTHER POSTEMPLOYMENT BENEFITS OBLIGATIONS REGISTRATION, TRANSFER AND EXCHANGE TAX EXEMPTION CONTINUING DISCLOSURE THE UNDERTAKING Annual Financial Information Disclosure Reportable Events Disclosure Consequences of Failure of the District to Provide Information Amendment; Waiver Termination of Undertaking Additional Information Dissemination of Information; Dissemination Agent OPTIONAL REDEMPTION LITIGATION CERTAIN LEGAL MATTERS OFFICIAL STATEMENT AUTHORIZATION INVESTMENT RATING UNDERWRITING MUNICIPAL ADVISOR CERTIFICATION APPENDIX A - FISCAL YEAR 2015 AUDITED FINANCIAL STATEMENTS APPENDIX B - DESCRIBING BOOK-ENTRY-ONLY ISSUANCE APPENDIX C - PROPOSED FORM OF OPINION OF BOND COUNSEL APPENDIX D - EXCERPTS OF FISCAL YEAR 2015 AUDITED FINANCIAL STATEMENTS RELATING TO THE DISTRICT S PENSION PLANS OFFICIAL BID FORM OFFICIAL NOTICE OF SALE (ii)

4 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 BOND ISSUE SUMMARY This Bond Issue Summary is expressly qualified by the entire Official Statement, including the Official Notice of Sale and the Official Bid Form, which are provided for the convenience of potential investors and which should be reviewed in their entirety by potential investors. Issuer: Glen Ellyn Park District, DuPage County, Illinois. Issue: $4,160,000* General Obligation Limited Tax Park Bonds, Series Dated Date: Date of delivery, expected to be on or about December 29, Interest Due: Each June 15 and December 15, commencing June 15, Principal Due: Optional Redemption: Authorization: Security: Credit Rating: Purpose: Tax Exemption: Bank Qualification: Bond Registrar/Paying Agent/ Escrow Agent: Serially each December 15, commencing December 15, 2017 through 2021, as detailed on the front page of this Official Statement. The Bonds are not subject to optional redemption prior to maturity. The Bonds are issued pursuant to the provisions of the Local Government Debt Reform Act of the State of Illinois, as amended (the Debt Reform Act ), and the Park District Code of the State of Illinois, as amended (the Park Code ). The Bonds are valid and legally binding upon the District and are payable from any funds of the District legally available for such purpose, and all taxable property in the District is subject to the levy of taxes to pay the same without limitation as to rate, except that the rights of the owners of the Bonds and the enforceability of the Bonds may be limited by bankruptcy, insolvency, reorganization, moratorium and other similar laws affecting creditors rights and by equitable principles, whether considered at law or in equity, including the exercise of judicial discretion. The amount of said taxes that may be extended to pay the Bonds is limited as provided by law. See THE DESCRIPTION OF THE BONDS herein. The Bonds have been rated AA+ (Stable Outlook) by S&P Global Ratings, New York, New York. The Bond proceeds will be used to (i) currently refund a portion of the District s outstanding General Obligation Limited Tax Park Bonds, Series 2009, (ii) finance various capital projects within the District, and (iii) pay the costs of issuing the Bonds. See PLAN OF FINANCING and THE PROJECT herein. Chapman and Cutler LLP, Chicago, Illinois, will provide an opinion as to the tax exemption of the interest on the Bonds as discussed under TAX EXEMPTION in this Official Statement. Interest on the Bonds is not exempt from present State of Illinois income taxes. The Bonds are qualified tax-exempt obligations under Section 265(b)(3) of the Internal Revenue Code of 1986, as amended. See QUALIFIED TAX-EXEMPT OBLIGATIONS herein. Amalgamated Bank of Chicago, Chicago, Illinois. Delivery: The Bonds are expected to be delivered on or about December 29, Book-Entry Form: Denomination: Municipal Advisor: The Bonds will be registered in the name of Cede & Co. as nominee for The Depository Trust Company ( DTC ), New York, New York. DTC will act as securities depository of the Bonds. See APPENDIX B herein. $5,000 or integral multiples thereof. Speer Financial, Inc., Chicago, Illinois. *Subject to change. 1

5 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 GLEN ELLYN PARK DISTRICT DuPage County, Illinois Board of Park Commissioners Jay Kinzler President Julie Nephew Vice President Melissa Creech Treasurer Kathy Cornell Park Commissioner Rob C. Weber Park Commissioner Vanessa Pierce Park Commissioner Chris Wilson Park Commissioner Administrative Staff David Harris Executive Director Kimberly Dikker Board Secretary Nick Cinquegrani Superintendent of Finance and Personnel Derke Price, Esq. Ancel, Glink, Diamond, Bush, DiCianni & Krafthefer DESCRIPTION OF THE BONDS Authority and Purpose The General Obligation Limited Tax Park Bonds, Series 2016 (the Bonds ), are being issued pursuant to the Park District Code of the State of Illinois, as amended (the Park Code ), the Local Government Debt Reform Act of the State of Illinois (the Debt Reform Act ), and all laws amendatory thereof and supplementary thereto, and are authorized by the Board of Park Commissioners (the Board ) of the Glen Ellyn Park District, DuPage County, Illinois (the District ) by an ordinance (the Bond Ordinance ) to be adopted on December 13, Bond proceeds will be used to (i) currently refund a portion of the District s outstanding General Obligation Limited Tax Park Bonds, Series 2009, (ii) finance various capital projects within the District, and (iii) pay the costs of issuing the Bonds. See PLAN OF FINANCING and THE PROJECT herein. 2

6 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Security The Bonds, in the opinion of Chapman and Cutler LLP, Chicago, Illinois, Bond Counsel ( Bond Counsel ), are valid and legally binding upon the District and are payable from any funds of the District legally available for such purpose, and all taxable property in the District is subject to the levy of taxes to pay the same without limitation as to rate, except that the rights of the owners of the Bonds and the enforceability of the Bonds may be limited by bankruptcy, insolvency, reorganization, moratorium and other similar laws affecting creditors rights and by equitable principles, whether considered at law or in equity, including the exercise of judicial discretion. The amount of said taxes that will be extended to pay the Bonds is limited by the Property Tax Extension Limitation Law of the State of Illinois, as amended (the Limitation Law ). The Debt Reform Act provides that the Bonds are payable from the debt service extension base of the District (the Base ), which is an amount equal to that portion of the extension for the District for the 1991 levy year constituting an extension for payment of principal and interest on bonds issued by the District without referendum, but not including alternate bonds issued under Section 15 of the Debt Reform Act or refunding obligations issued to refund or to continue to refund obligations of the District initially issued pursuant to referendum, increased each year, commencing with the 2009 levy year, by the lesser of 5% or the percentage increase in the Consumer Price Index (as defined in the Limitation Law) during the 12-month calendar year preceding the levy year. The Limitation Law further provides that the annual amount of taxes to be extended to pay the Bonds and all other limited bonds heretofore and hereafter issued by the District shall not exceed the Base. The Bonds will constitute one of two series of limited bonds of the District which are payable from the Base. Payments on the Bonds from the Base will be made on a parity with the payments on the District s outstanding General Obligation Limited Tax Park Bonds, Series The District is authorized to issue from time to time additional limited bonds payable from the Base, as permitted by law, and to determine the lien priority of payments to be made from the Base to pay the District s limited bonds. The amount of the Base is $1,157, Non-Referendum Debt Service Extension Base Margin(1) Debt Service Outstanding Available Debt Levy Extension Base Limited Bonds The Service Extension Year (DSEB)(2) Debt Service(3) Bonds(4) Total(4) Base Margin(4) $1,157,157 $ 0 $1,155,049 $1,155,049 $ 2, ,157, ,156,800 1,156, ,157, ,154,900 1,154,900 2, ,157, , , , ,157, , , , and Thereafter 1,157, ,157,157 Notes: (1) Source: The District. (2) The original Debt Service Extension Base of $1,027, has increased due to CPI increases of 0.10% for levy year 2009, 2.70% for levy year 2010, 1.50% for levy year 2011, 3.00% for levy year 2012, 1.7% for levy year 2013, 1.5% for levy year 2014, 0.8% for levy year 2015 and 0.7% for levy year (3) Excludes the Refunded Bonds. Subject to change. (4) Subject to change. 3

7 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 THE DISTRICT District Organization and Services The Glen Ellyn Park District (the District ) was organized in 1919 and has been a member of the Illinois Association of Park Districts since The District is located 23 miles west of the City of Chicago. The District primarily serves the Village of Glen Ellyn and small portions of the Villages of Carol Stream, Glendale Heights and Lombard, and the City of Wheaton. The District estimates the population it serves to be 35,000. The Board of Park Commissioners is composed of seven District residents and are elected at-large for a fouryear term of office. This policymaking board is responsible for establishing and maintaining the District as a corporate entity assuring adequate financing and competent staffing of the District. The day-to-day operations of the District are the responsibility of the administrative staff under the direction and supervision of the Executive Director. Under the direction of the Executive Director are three Superintendents: Finance and Personnel, Recreation, and Parks, as well as an Executive Assistant. There are also four full-time Recreation Supervisors for programming and ten full time staff in the parks area and facilities. The District employs approximately 28 full-time, 105 part-time and 577 seasonal personnel. The District owns 8 facilities and 263 acres of land and leases an additional 47 acres of land. The District s 29 parks are meticulously maintained for the community's use in both unstructured recreation and for programmed events such as youth soccer and softball. The District operates one outdoor aquatic facility, four recreation buildings, 22 multipurpose parks and playgrounds and two lakes. The Spring Avenue Recreation Center provides additional space for recreation programming and is a home for the District s administrative offices. In 2002, the District acquired and developed 25 acres at Maryknoll Park. This completed development includes two 18-hole miniature golf courses, one of which is handicap accessible, a picnic pavilion, two platform tennis courts, an adventure playground and a splash pad water park. A $3 million renovation approved by referendum of the Main Street Recreation Center was completed in In 2010, an 83,000 square foot multi-sport athletic facility was constructed at Ackerman Park. In 2011, an additional two platform tennis courts and a multi-purpose building were constructed. In 2015, a $2.9 million renovation project was initiated for the upgrading of Lake Ellyn Park and restoring the Lake Ellyn Boathouse to its historic beauty. Education Elementary and secondary education is provided by grade school district numbers 15, 41, 44 and 89; high school district number 87; and unit school district number 200. Opportunities for higher learning are provided by the College of DuPage, Community College District Number 502. With an annual enrollment of over 36,000, the community college is the largest in the State of Illinois in terms of enrollment. Educational programs in over 80 areas of study include associate degrees, college transfer classes, occupational and vocational programs, continuing education and special programs such as the older Adult Institute and the Business and Professional Institute. District residents also have access to the many public and private educational institutions throughout the Chicago metropolitan area. Transportation A variety of highway and commuter and rail facilities are available to District residents. Commuter travel to and from Chicago s downtown business district is available from METRA, with a station centrally located in the heart of downtown Glen Ellyn. I-355, located immediately east of the District, provides access to I-88 and I-55 to the south and I-290 to the north. O Hare International Airport is approximately a half-hour north-east of the District. 4

8 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 SOCIOECONOMIC INFORMATION Demographic information is not available for the District. The following statistics principally pertain to the Village of Glen Ellyn (the Village ) which comprises approximately 79% of the District s 2013 equalized assessed valuation (EAV). Additional comparisons are made with DuPage County and the State of Illinois. Employment Substantial employment is available in surrounding communities, the Research and Development Corridor south of the Village, and throughout the Chicago metropolitan area. Numerous employers are located within the Village and in surrounding communities. The following employment data shows a consistently diverse and strong growth trend for employment in DuPage County. This data is NOT comparable to similar U.S. Census statistics, which would include government employment, and establishments not covered by the Illinois Unemployment Insurance Act, and could classify employment categories differently. DuPage County Private, Non-Agricultural Employment Covered by the Illinois Unemployment Insurance Act(1) (Data as of March for each Year) Farm, Forestry, Fisheries Mining and Quarrying Construction... 19,063 18,558 19,459 21,631 23,613 Manufacturing... 50,700 52,024 53,073 53,269 55,224 Transportation, Communications, Utilities... 34,315 34,992 35,232 34,486 34,863 Wholesale Trade... 45,609 47,015 49,281 51,638 51,530 Retail Trade... 60,903 61,120 61,834 62,292 59,960 Finance, Insurance, Real Estate... 37,365 38,220 40,012 39,785 39,882 Services(2) , , , , ,699 Total , , , , ,363 Notes: (1) Source: Illinois Department of Employment Security. (2) Includes unclassified establishments. Following are lists of large employers located in the Village and in the surrounding area. Major Village Employers(1) Approximate Name Product/Service Employment College of DuPage... Community College... 2,600 M&R Printing Equipment, Inc.... Printing Machinery and Equipment Innovative Systems Group, Inc.... Information Technology Consulting First Student, Inc.... School Bus Operators Dreisilker Electric Motors, Inc... Wholesale and Retail Electric Motors Anamet, Inc.... Testing Services Elliot Construction Corp.... Commercial and Residential Construction Baird & Warner... Real Estate Agents Glen Ellyn Public Library... Public Library Berkshire Hathaway Home Services... Res Haggerty Chevrolet... Car Dealership Cyrus, Inc.... Business Consulting Glen Ellyn Hospitality, LLC... Hotel Note: (1) Source: 2016 Illinois Manufacturers Directory, 2016 Illinois Services Directory and a selective telephone survey. 5

9 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Major Area Employers(1) Approximate Location Name Product/Service Employment Downers Grove... HAVI Group, LP... Company Headquarters, Management Consulting... 9,000 Winfield... Central DuPage Hospital... General Hospital... 6,000 Winfield... Northwestern Medicine Regional Medical Group... Medical Practice... 4,000 Downers Grove... DuPage Medical Group... Health Care... 3,200 Wheaton... DuPage County Government Center... Government... 3,130 Lisle... Navistar Inc.... Commercial Trucks and Diesel Engines... 3,000 Elmhurst... Elmhurst Memorial Hospital... General Hospital... 2,800 Lisle... IC Bus, LLC... School Buses... 2,800 Downers Grove... Advocate Good Samaritan Hospital... General Hospital... 2,700 Oak Brook... McDonalds Corp.... Corporate Headquarters... 2,100 Lisle... Platinum Systems Specialists, Inc.... Computer Related Services... 1,500 Addison... United Parcel Service, Inc... Parcel Delivery Service... 1,400 Downers Grove... DeVry Education Group... Vocational School... 1,074 Lisle... Molex Inc.... Electronic Connectors... 1,000 Wheaton... Spraying Systems... Metal Products... 1,000 Lisle... Valid USA, Inc.... Direct Marketing Services... 1,000 Oak Brook... One Touch Point Corp.... Commercial Printing Wheaton... Marianjoy Medical Group... Healthcare Facility Addison... Pampered Chef... Home Furnishings Oak Brook... Ace Hardware... Home Improvement and Hardware Store Wheaton... Wheaton College... Higher Education Oak Brook... Advovate Home Health Services... Home Healthcare Lisle... CA Technologies... Computer Software Development Elmhurst... McMaster-Carr Supply... Industrial Supplies Note: (1) Source: 2016 Illinois Manufacturers Directory, 2016 Illinois Services Directory and a selective telephone survey. The following tables show employment by industry and by occupation for the Village, DuPage County (the County ) and the State of Illinois (the State ) as reported by the U.S. Census Bureau American Community Survey 5-year estimated values. Employment By Industry(1) The Village DuPage County State of Illinois Classification Number Percent Number Percent Number Percent Agriculture, Forestry, Fishing and Hunting, and Mining % 1, % 4, % Construction % 21, % 110, % Manufacturing... 1, % 59, % 255, % Wholesale Trade % 18, % 66, % Retail Trade % 50, % 245, % Transportation and Warehousing, and Utilities % 26, % 152, % Information % 12, % 56, % Finance and Insurance, and Real Estate and Rental and Leasing... 1, % 43, % 196, % Professional, Scientific, and Management, and Administrative and Waste Management Services... 2, % 66, % 333, % Educational Services and Health Care and Social Assistance. 2, % 99, % 556, % Arts, Entertainment and Recreation and Accommodation and Food Services... 1, % 40, % 239, % Other Services, Except Public Administration % 22, % 123, % Public Administration % 11, % 89, % Total... 12, % 474, % 2,433, % Note: (1) Source: U. S. Bureau of the Census, American Community Survey 5 year estimates. 6

10 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Employment By Occupation(1) The Village DuPage County State of Illinois Classification Number Percent Number Percent Number Percent Management, Business, Science and Arts... 6, % 210, % 923, % Service... 1, % 62, % 442, % Sales and Office... 3, % 125, % 600, % Natural Resources, Construction, and Maintenance % 26, % 148, % Production, Transportation, and Material Moving % 49, % 318, % Total... 12, % 474, % 2,433, % Note: (1) Source: U. S. Bureau of the Census, American Community Survey 5 year estimates. Annual Average Unemployment Rates(1) Calendar The DuPage State of Year Village County Illinois % 3.4% 4.6% % 3.8% 5.1% % 5.0% 6.4% % 8.4% 10.0% % 8.5% 10.5% % 8.0% 9.7% % 7.3% 8.9% % 7.5% 9.2% % 5.6% 7.1% % 4.0% 5.3% 2016(2) % 4.5% 5.6% Notes: (1) Source: Illinois Department of Employment Security. (2) Preliminary rates for July Housing The U.S. Census Bureau, American Community Survey 5-Year Estimates, reported that the median value of the Village's owner-occupied homes was $386,400, which compares with $279,700 for DuPage County and $175,700 for the State. The value of specified owner-occupied units for the Village, DuPage County and the State was as follows: Home Value(1) The Village DuPage County State of Illinois Value Number Percent Number Percent Number Percent Under $50, % 5, % 243, % $50,000 to $99, % 9, % 508, % $100,000 to $149, % 19, % 525, % $150,000 to $199, % 32, % 533, % $200,000 to $299, , % 71, % 663, % $300,000 to $499, , % 74, % 486, % $500,000 to $999, , % 28, % 188, % $1,000,000 or more % 6, % 45, % Total... 7, % 248, % 3,194, % Note: (1) Source: U.S. Bureau of the Census American Community Survey 5-year estimates. Mortgage Status(1) The Village DuPage County State of Illinois Number Percent Number Percent Number Percent Housing Units with a Mortgage... 5, % 180, % 2,146, % Housing Units without a Mortgage... 2, % 68, % 1,048, % Total... 7, % 248, % 3,194, % Note: (1) Source: U.S. Bureau of the Census American Community Survey 5-year estimates. 7

11 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Income Per Capita Personal Income for the Highest Income Counties in the State(1) Rank 2010 to DuPage County... $38, Lake County... 38, McHenry County... 33, Monroe County... 33, Piatt County... 31, Kendall County... 31, Will County... 30, McLean County... 30, Kane County... 30, Sangamon County... 30, Cook County... 30,468 Note: (1) Source: U.S. Bureau of the Census to 2014 American Community 5-Year Estimates. The following shows a ranking of median family income for the Chicago metropolitan area from the American Community Survey. Ranking of Median Family Income(1) Family County Income Rank DuPage County... $96,330 1 Lake County... 92,910 2 Kendall County... 92,794 3 McHenry County... 88,699 4 Will County... 87,503 5 Kane County... 81,273 8 Cook County... 66, Note: (1) Source: U.S. Bureau of the Census 2010 to 2014 American Community Survey 5-Year Estimates. According to the U.S. Census Bureau, American Community Survey 5-Year Estimates, the Village had a median family income of $125,452. This compares to $96,330 for DuPage County and $70,967 for the State. The following table represents the distribution of family incomes for the Village, DuPage County and the State. Family Income(1) The Village DuPage County State of Illinois Income Number Percent Number Percent Number Percent Under $10, % 4, % 138, % $10,000 to $14, % 2, % 84, % $15,000 to $24, % 9, % 222, % $25,000 to $34, % 12, % 252, % $35,000 to $49, % 22, % 376, % $50,000 to $74, % 36, % 577, % $75,000 to $99, % 36, % 465, % $100,000 to $149, , % 53, % 553, % $150,000 to $199, % 27, % 230, % $200,000 or more... 2, % 33, % 231, % Total... 7, % 239, % 3,131, % Note: (1) Source: U.S. Bureau of the Census American Community Survey 5-year estimates. 8

12 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 According to the U.S. Census Bureau, American Community Survey 5-Year Estimates, the Village had a median household income of $91,051. This compares to $79,016 for DuPage County and $57,166 for the State. The following table represents the distribution of household incomes for the Village, DuPage County and the State. Household Income(1) The Village DuPage County State of Illinois Income Number Percent Number Percent Number Percent Under $10, % 11, % 341, % $10,000 to $14, % 8, % 218, % $15,000 to $24, % 21, % 479, % $25,000 to $34, % 24, % 455, % $35,000 to $49, % 37, % 614, % $50,000 to $74, , % 56, % 852, % $75,000 to $99, , % 48, % 612, % $100,000 to $149, , % 62, % 671, % $150,000 to $199, % 30, % 265, % $200,000 or more... 2, % 35, % 267, % Total... 10, % 337, % 4,778, % Note: (1) Source: U.S. Bureau of the Census American Community Survey 5-year estimates. PLAN OF FINANCING A portion of the Bond proceeds will be used to fund an escrow to currently refund a portion of the District s outstanding General Obligation Limited Tax Park Bonds, Series 2009, as listed below (the Refunded Bonds ) and to pay the costs of issuing the Bonds. The Refunded Bonds General Obligation Limited Tax Park Bonds, Series 2009 Outstanding Amount Redemption Redemption CUSIPs(2) Maturity Amount Refunded(1) Price(s) Date(1) (Base: ) 12/15/ $ 435,000 $ 0 NA NA DG6 12/15/ , , % 1/6/2017 DH4 12/15/ , , % 1/6/2017 DJ0 12/15/ , , % 1/6/2017 DK7 12/15/ , , % 1/6/2017 DL5 12/15/ , , % 1/6/2017 DM3 $2,745,000 $2,310,000 Notes: (1) Subject to change. (2) CUSIP numbers appearing in this Official Statement have been provided by the CUSIP Service Bureau, which is managed on behalf of the American Bankers Association by Standard & Poor's, a division of the McGraw-Hill Companies, Inc. The District is not responsible for the selection of CUSIP numbers and makes no representation as to their correctness on the Bonds or as set forth in this Official Statement. Bond proceeds will be used to purchase direct full faith and credit obligations of the United States of America (the Government Securities ), the principal of which together with interest to be earned thereon will be sufficient (i) to pay when due the interest on the Refunded Bonds as stated above, and (ii) to pay principal of the Refunded Bonds on the redemption date. The Government Securities will be held in an escrow account created pursuant to an escrow agreement (the Escrow Agreement ) dated as of December 29, 2016, between the District and Amalgamated Bank of Chicago, Chicago, Illinois, as Escrow Agent (the Escrow Agent ). THE PROJECT A portion of the Bond proceeds will be used to finance various capital projects within the District. 9

13 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 DEBT INFORMATION After issuance of the Bonds, the District will have outstanding $8,095,000* principal amount of general obligation bonded debt. Other than the Bonds, the District does not intend to issue additional debt within the next six months. General Obligation Bonded Debt(1) (Principal Only) Less: The Total Cumulative Calendar Series Series Series The Refunded Outstanding Principal Retired(3) Year 2009(2) 2012(2) 2014 Bonds(2)(3) Bonds(3) Debt(3) Amount Percent $ 435,000 $630,000 $1,620,000 $ 0 $ 0 $2,685,000 $2,685, % , ,250,000 1,070,000 (455,000) 2,320,000 5,005, % , ,095,000 (470,000) 1,095,000 6,100, % , ,115,000 (490,000) 1,115,000 7,215, % , ,000 (510,000) 505,000 7,720, % , ,000 (385,000) 375,000 8,095, % Total... $2,745,000 $630,000 $2,870,000 $4,160,000 $(2,310,000) $8,095,000 Notes: (1) Source: the District. (2) Limited Tax General Obligation Bonds. (3) Subject to change. Detailed Overlapping Bonded Debt(1) (As of May 10, 2016) Outstanding Applicable to District Debt Percent(2) Amount Schools: Grade School District Number $ 12,901, % $ 18,062 Grade School District Number ,775, % 3,687,378 Grade School District Number ,210, % 103,086 Grade School District Number ,315, % 6,557,191 High School District Number ,880, % 23,175,360 Unit School District Number ,185, % 130,548 Community College District Number ,385, % 10,968,369 Total Schools... $44,639,993 Others: DuPage County... $166,395, % $ 7,354,659 DuPage County Forest Preserve District ,098, % 6,236,561 Village of Glen Ellyn... 21,955, % 20,802,363 Village of Glendale Heights... 37,880, % 3,662,996 City of Wheaton... 40,520, % 1,320,952 Glenside Fire District , % 60,000 Glenside Library District... 4,820, % 429,944 Total Others... $39,867,475 Total School and Others Overlapping Bonded Debt... $84,507,468 Notes: (1) Source: DuPage County Clerk. (2) Overlapping debt percentages based on 2015 EAV, the most recent available. *Subject to change. 10

14 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Statement of Bonded Indebtedness(1) Ratio To Per Capita Amount Equalized Estimated (Dist. Est. Applicable Assessed Actual 35,000) Equalized Assessed Valuation of Taxable Property, $1,499,099, % 33.33% $ 42, Estimated Actual Value, $4,497,297, % % $128, Total Direct Bonded Debt(2)... $ 8,095, % 0.18% $ Overlapping Bonded Debt (3): Schools... $ 44,639, % 0.99% $ 1, All Others... 39,867, % 0.89% 1, Total Overlapping Bonded Debt... $ 84,507, % 1.88% $ 2, Total Net Direct and Overlapping Bonded Debt(2)... $ 92,602, % 2.06% $ 2, Notes: (1) Source: DuPage County Clerk (2) Includes the Bonds and excludes the Refunded Bonds. (3) Overlapping debt as of May 10, Legal Debt Margin(1) 0.575% 2.875% of EAV of EAV Assessed Valuation of Taxable Property, $1,499,099,239 Non-Referendum Authority (0.575% of EAV)... $8,619,821 Statutory Debt Limitation (2.875% of EAV)... $43,099,103 General Obligation Debt: Series 2009(2)(4)... $ 435,000 $ 435,000 $ 435,000 Series , , ,000 Series 2014(3)... 2,870,000 2,870,000 The Bonds(4)... 4,160,000 4,160,000 4,160,000 Total General Obligation Debt(4)... $ 8,095,000 $5,225,000 $8,095,000 Total Applicable Debt(4)... $5,225,000 $ 8,095,000 Legal Debt Margin(4)... $3,394,821 $35,004,103 Notes: (1) Source: the District. Less the Refunded Bonds. (2) Excludes the Refunded Bonds. (3) The 2014 Bonds issued pursuant to referendum do not count against the District's non-referendum 0.575% of EAV debt limit for general obligation bonded debt. (4) Subject to change. PROPERTY ASSESSMENT AND TAX INFORMATION For the 2015 levy year, the District s EAV was comprised of approximately 89% residential, 11% commercial, and less than 1% industrial, farm and railroad property valuations. District Equalized Assessed Valuation(1) Levy Year Property Class Residential... $1,420,582,355 $1,322,683,926 $1,268,632,610 $1,260,690,540 $1,329,891,329 Farm... 5,353 4,529 1,030 1,133 1,410 Commercial ,418, ,416, ,564, ,970, ,474,334 Industrial... 7,594,610 7,284,550 7,085,070 6,415,460 6,514,650 Railroad , , ,848 1,020,585 1,217,516 Total... $1,604,283,809 $1,500,160,730 $1,440,264,251 $1,422,098,196 $1,499,099,239 Percent Change + (-)... (7.51%)(2) (6.49%) (3.99%) (1.26%) 5.41% Notes: (1) Source: DuPage County Clerk. (2) 2011 percent change based on a 2010 EAV of $1,734,464,

15 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Representative Tax Rates(1) (Per $100 EAV) Levy Years District Rates: Corporate... $ $ $ $ $ Bond & Interest I.M.R.F Police Protection Audit Tort Judgments/Liability Recreation Paving/Lighting Recreation for Handicapped Total District Rates(2)... $ $ $ $ $ DuPage County DuPage County Forest Preserve District DuPage County Airport Authority Milton Township Village of Glen Ellyn Village of Glen Ellyn Library Glen Ellyn Mosquito Abatement District Grade School District Number High School District Number Community College District Number Total Rates(3)... $ $ $ $ $ Notes: (1) Source: DuPage County Clerk. (2) Statutory tax rate limits for the District are as follows: Corporate ($0.3500); Police Protection ($0.0250); Audit ($0.0050); Recreation ($0.3700) Paving/Lighting ($0.0050); and Recreation for Handicapped ($0.0400). (3) Representative tax rates for other government units are from Milton Township tax code 5036, which represents approximately 58% of the District's 2015 EAV. District Tax Extensions and Collections(1) Levy Coll. Taxes Total Collections Year Year Extended Amount Percent $5,865,958 $5,834, % ,953,497 5,912, % ,171,661 6,147, % ,304,037 6,276, % ,447,793 6,417, % ,648, In Collection ---- Note: (1) Source: DuPage County Treasurer. Principal Taxpayers(1) Taxpayer Name Business/Service 2015 EAV(2) Glen Oak Country Club... Country Club... $14,937,070 Shree Siddhi Vinakak House... Real Estate... 10,773,330 Market Plaza 450 LLC... Shopping Mall... 9,679,230 Brookdale Living Community... Retirement Community... 7,883,330 Arbors of Glen Ellyn... Apartment Complex... 7,515,300 Baker Hill Station LLC... Real Estate... 6,833,880 CG Center LLC... Real Estate... 6,165,520 DuPage Medical Group... Real Estate... 5,600,030 Briar Grace Management... Real Estate... 5,295,890 Menard's... Home Improvement Store... 3,220,590 Total... $77,904,170 Ten Largest Taxpayers as a Percent of the District's 2015 EAV ($1,499,099,239) % 12

16 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 REAL PROPERTY ASSESSMENT, TAX LEVY AND COLLECTION PROCEDURES Tax Levy and Collection Procedures Local assessment officers determine the assessed valuation of taxable real property and railroad property not held or used for railroad operations. The Illinois Department of Revenue (the Department ) assesses certain other types of taxable property, including railroad property held or used for railroad operations. Local assessment officers valuation determinations are subject to review at the county level and then, in general, to equalization by the Department. Such equalization is achieved by applying to each county s assessments a multiplier determined by the Department. The purpose of equalization is to provide a common basis of assessments among counties by adjusting assessments toward the statutory standard of 33-1/3% of fair cash value. Farmland is assessed according to a statutory formula which takes into account factors such as productivity and crop mix. Taxes are extended against the assessed values after equalization. Property tax levies of each taxing body are filed in the office of the county clerk of each county in which territory of that taxing body is located. The county clerk computes the rates and amount of taxes applicable to taxable property subject to the tax levies of each taxing body and determines the dollar amount of taxes attributable to each respective parcel of taxable property. The county clerk then supplies to the appropriate collecting officials within the county the information needed to bill the taxes attributable to the various parcels therein. After the taxes have been collected, the collecting officials distribute to the various taxing bodies their respective shares of the taxes collected. Taxes levied in one calendar year are due and payable in two installments during the next calendar year. Taxes that are not paid when due, or that are not paid by mail and postmarked on or before the due date, are subject to a penalty of 1-1/2% per month until paid. Unpaid property taxes, together with penalties, interest and costs, constitute a lien against the property subject to the tax. Exemptions The Illinois Property Tax Code, as amended (the Property Tax Code ), exempts certain property from taxation. Certain property is exempt from taxation on the basis of ownership and/or use, including, but not limited to, public parks, not-for-profit schools, public schools, churches, not-for-profit hospitals and public hospitals. In addition, the Property Tax Code provides a variety of homestead exemptions, which are discussed below. An annual General Homestead Exemption provides that the EAV of certain property owned and used for residential purposes ( Residential Property ) may be reduced by the amount of any increase over the 1977 EAV, up to a maximum reduction of $6,000 for tax year 2012 and thereafter. The Homestead Improvement Exemption applies to Residential Property that has been improved and to properties that have been rebuilt in the two years following a catastrophic event, as defined in the Property Tax Code. The exemption is limited to $75,000 per year, to the extent the Assessed Valuation is attributable solely to such improvements or rebuilding. The Senior Citizens Homestead Exemption annually reduces the EAV on residences owned and occupied by senior citizens. Beginning with tax year 2013, the maximum exemption is $5,

17 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 The Senior Citizens Assessment Freeze Homestead Exemption freezes property tax assessments for homeowners who are 65 and older, reside in their property as their principal place of residence and receive a household income not in excess of $55,000. This exemption grants to qualifying senior citizens an exemption equal to the difference between (a) the current EAV of the residence and (b) the EAV of a senior citizen s residence for the year prior to the year in which he or she first qualifies and applies for the exemption, plus the EAV of improvements since such year. Beginning January 1, 2015 purchasers of certain single family homes and residences of one to six units located in certain distress communities can apply for the Community Stabilization Assessment Freeze Pilot Program. To be eligible the purchaser must meet certain requirements for rehabilitating the property, including expenditures of at least $5 per square foot, adjusted by CPI. Upon meeting the requirements, the assessed value of the improvements is reduced by (a) 90% in the first seven years, (b) 65% in the eighth year and (c) 35% in the ninth year. The program will be phased out by June 30, The Natural Disaster Homestead Exemption (the Natural Disaster Exemption ) applies to homestead properties containing a residential structure that has been rebuilt following a natural disaster occurring in taxable year 2012 or any taxable year thereafter. A natural disaster is an occurrence of widespread or severe damage or loss of property resulting from any catastrophic cause including but not limited to fire, flood, earthquake, wind, or storm. The Natural Disaster Exemption is equal to the equalized assessed value of the residence in the first taxable year for which the taxpayer applies for the exemption minus the base amount. To be eligible for the Natural Disaster Exemption, the residential structure must be rebuilt within two years after the date of the natural disaster, and the square footage of the rebuilt residential structure may not be more than 110% of the square footage of the original residential structure as it existed immediately prior to the natural disaster. The Natural Disaster Exemption remains at a constant amount until the taxable year in which the property is sold or transferred. Three exemptions are available to veterans of the United States armed forces. The Disabled Veterans Exemption exempts up to $100,000 of the Assessed Valuation of property owned and used exclusively by veterans, their spouses or unmarried surviving spouses. Qualification for this exemption requires the veteran s disability to be of such a nature that the federal government has authorized payment for purchase of specially adapted housing under the U.S. Code as certified to annually by the Illinois Department of Veterans Affairs. The Disabled Veterans Standard Homestead Exemption provides an annual homestead exemption to veterans with a service-connected disability based on the percentage of such disability. If the veteran has a (a) service-connected disability of 30% or more but less than 50%, the annual exemption is $2,500, (b) service-connected disability of 50% or more but less than 70%, the annual exemption is $5,000, and (c) service-connected disability of 70% or more, the property is exempt from taxation. The Returning Veterans Homestead Exemption is available for property owned and occupied as the principal residence of a veteran in the assessment year, or the year following the assessment year, in which the veteran returns from an armed conflict while on active duty in the United States armed forces. This provision grants a one-time homestead exemption of $5,000. Finally, the Disabled Persons Homestead Exemption provides an annual homestead exemption in the amount of $2,000 for property that is owned and occupied by certain disabled persons who meet State-mandated guidelines. 14

18 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Property Tax Extension Limitation Law The Property Tax Extension Limitation Law, as amended (the Limitation Law ), limits the annual growth in the amount of property taxes to be extended for certain Illinois non-home-rule units, including the District. In general, the annual growth permitted under the Limitation Law is the lesser of 5% or the percentage increase in the Consumer Price Index during the calendar year preceding the levy year. Taxes can also be increased due to new construction, referendum approval of tax rate increases, mergers and consolidations. The effect of the Limitation Law is to limit the amount of property taxes that can be extended for a taxing body. In addition, general obligation bonds, notes and installment contracts payable from ad valorem taxes unlimited as to rate and amount cannot be issued by the affected taxing bodies unless they are approved by referendum, are alternate bonds or are for certain refunding purposes. The District has the authority to levy taxes for many different purposes. See the table entitled Representative Tax Rates under PROPERTY ASSESSMENT AND TAX INFORMATION herein. The ceiling at any particular time on the rate at which these taxes may be extended for the District is either (i) unlimited (as provided by statute), (ii) initially set by statute but permitted to be increased by referendum, (iii) capped by statute, or (iv) limited to the rate approved by referendum. Public Act , effective June 30, 2006, provides that the only ceiling on a particular tax rate is the ceiling set by statute above, at which the rate is not permitted to be further increased by referendum or otherwise. Therefore, taxing districts (such as the District) will have increased flexibility to levy taxes for the purposes for which they most need the money. The total aggregate tax rate for the various purposes subject to the Limitation Law, however, will not be allowed to exceed the District s limiting rate computed in accordance with the provisions of the Limitation Law. Local governments, including the District, can issue limited tax bonds in lieu of general obligation bonds that have otherwise been authorized by applicable law. See DESCRIPTION OF THE BONDS herein. Illinois legislators have introduced proposals to modify the Limitation Law, including freezing property taxes and extending tax caps to all taxing bodies in the State (the Property Tax Freeze Proposal ). If the Property Tax Freeze Proposal or similar legislation were to become law, such reform may have a material impact on the finances of the District and the ability of the District to issue non-referendum bonds. The District cannot predict whether, or in what form, any change to the Limitation Law, including the Property Tax Freeze Proposal, may be enacted into law, nor can the District predict the effect of any such change on the District s finances. Truth in Taxation Law Legislation known as the Truth in Taxation Law (the Law ) limits the aggregate amount of certain taxes which can be levied by, and extended for, a taxing district to 105% of the amount of taxes extended in the preceding year unless specified notice, hearing and certification requirements are met by the taxing body. The express purpose of the Law is to require published disclosure of, and hearing upon, an intention to adopt a levy in excess of the specified levels. 15

19 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 FINANCIAL INFORMATION Deposits and Investments The District s cash and cash equivalents are considered to be cash on hand, demand deposits and short-term investments with original maturities of three months or less from the date of acquisition. Statutes authorize the District to invest in the following: bonds, notes, certificates of indebtedness, Treasury bills or other securities which are guaranteed by the full faith and credit of the United States of America as to principal and interest. bonds, notes, debentures or similar obligations of the United States of America or its agencies. interest-bearing savings accounts, interest-bearing certificates of deposit, interest-bearing time deposits, or other investments constituting direct obligations of a bank as defined by the Illinois Banking Act. Securities legally issuable by savings banks or savings and loan associations incorporated under the laws of any state of the United States. Dividend-bearing share accounts and share certificate accounts of a credit union chartered under the laws of the State of Illinois or the United States, provided the principal office of the credit union is located within the State of Illinois. Short-term discount obligations of the Federal National Mortgage Association ( FNMA ). Investments may be made only in financial institutions that are insured by the Federal Deposit Insurance Corporation and other applicable law for credit unions. short-term obligations (maturing within 180 days of date of purchase) of corporations organized in the United States with assets exceeding five hundred million dollars ($500,000,000). Such obligations must be rated, at the time of purchase, at one of the three highest classifications established by at least two standard rating services. This type of obligation is limited to one-third of the District s funds and may not exceed 10% of the corporation s outstanding obligations. money market mutual funds registered under the Investment Company Act of 1940 which invest only in bonds, notes, certificates of indebtedness, Treasury bills, or other securities which are guaranteed by the full faith and credit of the United States of America as to principal and interest, or in bonds, notes, debentures or other similar obligations of the United States of America or its agencies, and to agreements to repurchase such obligations. In addition, the District may also invest in a fund managed, operated and administered by a bank. repurchase agreement of government securities subject to the Government Securities Act of State of Illinois Funds and Illinois Park District Liquid Asset Fund. 16

20 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Budgetary Information The District follows these procedures in establishing the budgetary data reflected in the financial statements: The Combined Budget and Appropriation Ordinance is prepared in tentative form by the Executive Director of Parks and Recreation, and is made available by the Park Secretary for public inspection 30 days prior to final Board action. A public hearing is held on the tentative Combined Budget and Appropriation Ordinance to obtain taxpayer comments. Prior to April 1, the Appropriation Ordinance is legally enacted through the passage of a Combined Budget and Appropriation Ordinance. All actual expenditures contained herein have been compared to the annual appropriation. The Board of Park Commissioners may: o o o Amend the Budget and Appropriation Ordinance in the same manner as its original enactment. Transfer between items of any fund not exceeding in the aggregate ten percent (10%) of the total amount appropriated in such fund. After six months of the fiscal year, by two-thirds vote transfer any appropriation item it anticipates being unexpected to any other appropriation item. All appropriations lapse at year end. Expenditures may not legally exceed budgeted appropriations at the fund level. Management cannot amend the Budget and Appropriation Ordinance. Budgets for the Corporate, Special Revenue, Debt Service and Capital Projects Funds are adopted on a basis of anticipated revenues to be received in cash, and expenditures to be incurred, which does not differ materially from accounting principles generally accepted in the United States of America. All budgets and appropriations are prepared based on the annual fiscal year of the District. The District does not use the encumbrance method of accounting. Budgetary funds are controlled by an integrated budgetary accounting system, in accordance with various legal requirements that govern the District. Financial Reports The District s financial statements are audited annually by certified public accountants. The District s financial statements are completed on a modified accrual basis of accounting consistent with generally accepted accounting principles applicable to governmental entities. See APPENDIX A for more detail. 17

21 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 No Consent or Updated Information Requested of the Auditor The tables and excerpts (collectively, the Excerpted Financial Information ) contained in this FINANCIAL INFORMATION section and in APPENDIX A are from the audited financial statements of the District, including the audited financial statements for the fiscal year ended December 31, 2015 (the 2015 Audit ), which was approved by formal action of the Board of Park Commissioners. The District has not requested the Auditor to update information contained in the Excerpted Financial Information; nor has the District requested that the Auditor consent to the use of the Excerpted Financial Information in this Official Statement. Other than as expressly set forth in this Official Statement, the financial information contained in the Excerpted Financial Information has not been updated since the date of the 2015 Audit. The inclusion of the Excerpted Financial Information in this Official Statement in and of itself is not intended to demonstrate the fiscal condition of the District since the date of the 2015 Audit. Questions or inquiries relating to financial information of the District since the date of the 2015 Audit should be directed to the District. Summary Financial Information The following tables are summaries and do not purport to be the complete audits, copies of which are available upon request. See APPENDIX A for excerpts of the District s 2015 fiscal year audit. Governmental Activities Statement of Net Position Audited as of December ASSETS: Cash and Investments... $ 5,565,448 $ 7,123,849 $ 7,571,776 $ 8,191,623 $ 7,337,356 Receivables, Net... 6,061,160 6,279,105 6,439,353 6,973,011 7,079,501 Unamortized Bond Issuance Costs... 38, Due From Other Governments ,170 0 Capital Assets, Net... 41,748,544 41,397,664 40,409,019 39,479,574 40,806,095 Total Assets... $53,413,419 $54,800,618 $54,420,148 $54,653,378 $55,222,952 DEFERRED OUTFLOWS OF RESOURCES: Deferred Items-IMRF... $ 0 $ 0 $ 0 $ 0 $ 901,134 Total Assets and Deferred Outflows of Resources... $ 0 $ 0 $ 0 $ 0 $56,124,086 LIABILITIES: Accounts Payable... $ 367,918 $ 654,428 $ 373,741 $ 360,598 $ 653,454 Retainage Payable ,664 Accrued Payroll... 82,997 84, , ,941 44,899 Accrued Interest Payable... 20,933 23,825 15,683 5,598 8,161 Deferred Revenue... 6,821,651 7,159,193 7,381,142 8,044,012 8,326,811 Noncurrent Liabilities: Due Within One Year... 2,206,644 2,408,746 2,607,747 2,684,451 2,869,665 Due In More Than One Year... 12,702,177 12,159,307 9,566,437 6,977,149 5,609,670 Compensated Absences Payable , , , , ,658 Total Liabilities... $22,308,898 $22,605,420 $20,159,950 $18,320,555 $17,717,982 NET POSITION: Investment in Capital Assets, Net of Related Debt... $28,847,943 $29,068,143 $30,014,394 $31,004,647 $34,348,298 Restricted For: Capital Projects... 1,981,576 2,209,786 1,751,812 1,157, ,636 Debt Service... 49, ,113 4,045 0 Working Cash , ,000 Property Tax and Special Levies... 1,173,046 1,380,691 1,411,814 1,376,210 2,071,642 Cash in Lieu of Land Donations , , ,864 Unrestricted... (947,170) (463,422) 882,033 2,334, ,664 Total Net Position... $31,104,521 $32,195,198 $34,260,198 $36,332,823 $38,406,104 18

22 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Governmental Activities Statement of Activities Audited for the Year Ended December ASSETS: General Government... $(2,641,198) $ (2,483,130) $ (2,218,333) $ (2,104,917) $ (2,608,512) Culture and Recreation... (1,743,262) (2,279,068) (1,862,773) (2,082,056) (1,794,930) Interest on Long-Term Debt... (571,865) (490,765) (447,415) (433,854) (204,240) Total Governmental Activities... $(4,956,325) $ (5,252,963) $ (4,528,521) $ (4,620,827) $ (4,607,682) GENERAL REVENUES: Property and Replacement Taxes... $ 6,013,724 $ 6,049,922 $ 6,299,415 $ 6,432,733 $ 6,583,650 Unrestricted Investment Earnings... 20,229 18,353 21,963 (28,724) (54,268) Miscellaneous , , , , ,716 Total General Revenues... $ 6,259,031 $ 6,343,640 $ 6,593,521 $ 6,693,452 $ 6,835,098 Change in Net Position... $ 1,302,706 $ 1,090,677 $ 2,065,000 $ 2,072,625 $ 2,227,416 Net Position, Beginning... $29,801,815 $31,104,521 $32,195,198 $34,260,198 $36,178,688(1) Net Position, Ending... $31,104,521 $32,195,198 $34,260,198 $36,332,823 $38,406,104 Note: (1) As restated. General Fund Balance Sheet Audited as of December ASSETS: Cash and Investments... $ 962,849 $1,175,626 $1,494,195 $1,585,456 $1,156,961 Accounts Receivable: Property Taxes, Net... 1,537,151 1,827,000 2,226,001 2,163,500 2,147,500 Other ,234 28,896 Due from Other Governments ,170 0 Total Assets... $2,500,000 $3,002,626 $3,720,196 $3,804,360 $3,333,357 LIABILITIES AND FUND BALANCES: Liabilities: Accounts Payable... $ 93,848 $ 92,446 $ 89,869 $ 91,659 $ 80,524 Accrued Payroll... 27,060 21,979 42,011 45,527 15,382 Deferred Property Tax Revenue... 1,527,456 1,827,000 2,219,362 2,163,500 2,147,500 Total Liabilities... $1,648,364 $1,941,425 $2,351,242 $2,300,686 $2,243,406 Fund Balances: Unassigned... $ 651,636 $ 861,201 $1,168,954 $1,303,674 $ 889,951 Restricted , , , , ,000 Total Fund Balances... $ 851,636 $1,061,201 $1,368,954 $1,503,674 $1,089,951 Total Liabilities and Fund Balances... $2,500,000 $3,002,626 $3,720,196 $3,804,360 $3,333,357 The remainder of this page was left blank intentionally. 19

23 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 General Fund Revenues and Expenditures Audited for the Year Ended December REVENUES: Property Taxes... $1,485,603 $1,608,381 $1,738,412 $2,138,149 $2,173,278 Replacement Income Taxes... 68,182 68,307 75,725 77,957 83,129 Charges for Services... 1,300 2,280 2,160 1,902 0 Interest... 5,823 9,535 7,428 3,953 (6,904) Intergovernmental... 1, Miscellaneous... 88, , ,672 72,296 10,071 Total Revenues... $1,650,912 $1,824,014 $1,928,397 $2,294,257 $2,259,574 EXPENDITURES: Administrative... $ 759,207 $ 694,332 $ 527,667 $ 822,908 $ 814,891 Maintenance and Improvements , ,980 1,022,674 1,217,969 1,220,941 Capital Outlay... 5,201 7,765 12,358 12,085 10,915 Total Expenditures... $1,630,629 $1,604,077 $1,562,699 $2,052,962 $2,046,747 Excess (Deficiency) of Revenues Over (Under) Expenditures... $ 20,283 $ 219,937 $ 365,698 $ 241,295 $ 212,827 OTHER FINANCING SOURCES (USES): Operating Transfers In... $ 263,665 $ 129,664 $ 229,055 $ 70,799 $ 75,824 Operating Transfers Out... (250,000) (140,036) (287,000) (177,374) (702,374) Total Other Financing Sources (Uses)... $ 13,665 $ (10,372) $ (57,945) $ (106,575) $ (626,550) Excess (Deficiency) of Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses... $ 33,948 $ 209,565 $ 307,753 $ 134,720 $ (413,723) Fund Balance, Beginning... $ 817,688 $ 851,636 $1,061,201 $1,368,954 $1,503,674 Fund Balance, Ending... $ 851,636 $1,061,201 $1,368,954 $1,503,674 $1,089,951 Recreation Fund Balance Sheet Audited as of December ASSETS: Cash and Investments... $1,821,680 $2,187,314 $2,727,803 $2,903,640 $3,540,278 Accounts Receivable: Property Taxes, Net , , ,241 1,009,259 1,104,582 Other , ,806 Total Assets... $2,760,150 $2,952,455 $3,610,044 $4,165,049 $4,925,666 LIABILITIES AND FUND BALANCES: Liabilities: Accounts Payable... $ 162,415 $ 204,507 $ 223,424 $ 195,986 $ 195,641 Accrued Payroll... 39,589 45,183 61,836 83,313 28,810 Other Payables , ,879 1,461,393 1,598,570 Deferred Property Tax Revenue... 1,731, , ,265 1,009,259 1,104,582 Total Liabilities... $1,933,400 $1,894,919 $2,126,404 $2,749,951 $2,927,603 Fund Balances: Restricted... $ 826,750 $1,057,536 $ 973,887 $1,003,460 $1,563,162 Assigned , , ,901 Total Fund Balances... $ 826,750 $1,057,536 $1,483,640 $1,415,098 $1,998,063 Total Liabilities and Fund Balances... $2,760,150 $2,952,455 $3,610,044 $4,165,049 $4,925,666 20

24 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Recreation Fund Revenues and Expenditures Audited for the Year Ended December REVENUES: Property Taxes... $ 907,439 $ 796,621 $ 771,037 $ 873,540 $ 912,739 Replacement Income Taxes... 68,182 68,307 75,725 77,957 83,129 Recreational Programs... 3,141,394 3,245,445 3,382,938 3,545,198 3,945,174 Swimming Pool , , , , ,251 Spring Avenue Recreation Facility... 13,901 11,069 8,454 3,840 12,600 Sports and Fitness Center , , , ,056 1,033,038 Maryknoll Park , , , , ,228 Interest... 4,502 4,012 5,276 (16,883) (25,646) Rental Income , , , , ,037 Other... 60,102 72,686 81,788 83,951 82,587 Total Revenues... $5,729,683 $5,908,011 $6,075,058 $6,532,830 $7,204,137 EXPENDITURES: Administrative... $1,170,740 $1,239,190 $ 937,061 $1,335,242 $1,401,883 Recreational Programs... 2,280,437 2,328,117 2,335,381 2,471,629 2,716,433 Sports and Fitness Center , , , , ,809 Sunset Swimming Pool , , , , ,544 Main Street Recreation Center , , , , ,633 Spring Avenue Recreation Facility , , , , ,434 Lake Ellyn Boathouse... 35,574 35,943 52,740 59,552 42,114 Maryknoll Park... 97, , , , ,915 Debt Service , ,243 98,328 95,720 0 Capital Outlay... 46,647 44,069 11,385 27,716 6,500 Total Expenditures... $5,094,591 $5,286,812 $5,138,552 $5,834,604 $6,086,265 Excess (Deficiency) of Revenues Over (Under) Expenditures... $ 635,092 $ 621,199 $ 936,506 $ 698,226 $1,117,872 OTHER FINANCING SOURCES (USES): Operating Transfers In... $ 0 $ 30,000 $ 99,219 $ 0 $ 0 Operating Transfers Out... (382,335) (420,413) (609,621) (766,768) (534,907) Total Other Financing Sources (Uses)... $ (382,335) $ (390,413) $ (510,402) $ (766,768) $ (534,907) Excess (Deficiency) of Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses... $ 252,757 $ 230,786 $ 426,104 $ (68,542) $ 582,965 Fund Balance, Beginning... $ 573,993 $ 826,750 $1,057,536 $1,483,640 $1,415,098 Fund Balance, Ending... $ 826,750 $1,057,536 $1,483,640 $1,415,098 $1,998,063 The remainder of this page was left blank intentionally. 21

25 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 General Fund Budgeted Financial Information Interim Budget Fiscal Nine Months Year Ending Ending 12/31/2016 9/30/16 REVENUES: Property Taxes... $2,208,320 $2,066,044 Interest Income... 4,000 5,539 Rentals... 6,500 2,500 Transfers... 75,324 75,324 Miscellaneous ,708 Total Revenues... $2,294,344 $2,153,115 EXPENDITURES: Salaries & Wages... $1,044,606 $ 733,375 Contractual Services , ,487 Material & Supplies , ,804 Equipment... 17,475 8,885 Building & Landscaping ,500 52,964 Miscellaneous... 43,050 17,283 Insurance , ,915 Utilities... 53,300 31,388 Transfers , ,374 Total Expenditures... $2,466,385 $1,619,475 Excess (Deficiency) of Revenues Over (Under) Expenditures... $ (172,041) $ 533,640 Recreation Fund Budgeted Financial Information Interim Budget Fiscal Nine Months Year Ending Ending 12/31/2016 9/30/16 REVENUES: Property Taxes... $1,101,697 $1,061,383 Charges for Services... 5,379,283 5,236,651 Rentals , ,819 Concessions... 87,350 76,947 Interest Income... 3,000 9,149 Licenses & Permits... 4,225 5,505 Grants & Donations... 6,000 7,760 Miscellaneous... 13,950 15,100 Chargeback Revenue , ,799 Total Revenues... $7,568,239 $7,360,112 EXPENDITURES Salaries & Wages... $2,434,769 $1,900,359 Contractual Services... 1,527,334 1,185,536 Materials & Supplies , ,549 Equipment... 24,275 11,972 Building & Landscaping... 16,000 6,231 Insurance , ,957 Utilities , ,755 Miscellaneous , ,020 Transfers... 1,515,478 1,515,476 Total Expenditures... $7,465,514 $5,979,856 Excess (Deficiency) of Revenues Over (Under) Expenditures... $ 102,725 $1,380,257 22

26 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 EMPLOYEE RETIREMENT AND OTHER POSTEMPLOYMENT BENEFITS OBLIGATIONS See APPENDIX D herein for a discussion of the District s employee retirement and other postemployment benefits obligations. The Illinois Municipal Retirement Fund (IMRF) is held by the State of Illinois, which sets the annual contribution by the District. Historically, the District has fully funded its annual contribution to the IMRF. REGISTRATION, TRANSFER AND EXCHANGE See also APPENDIX B for information on registration, transfer and exchange of book-entry bonds. The Bonds will be initially issued as book-entry bonds. The District shall cause books (the Bond Register ) for the registration and for the transfer of the Bonds to be kept at the principal office maintained for the purpose by the Bond Registrar in Chicago, Illinois. The District will authorize to be prepared, and the Bond Registrar shall keep custody of, multiple bond blanks executed by the District for use in the transfer and exchange of Bonds. Any Bond may be transferred or exchanged, but only in the manner, subject to the limitations, and upon payment of the charges as set forth in the Bond Ordinance. Upon surrender for transfer or exchange of any Bond at the principal office maintained for the purpose by the Bond Registrar, duly endorsed by, or accompanied by a written instrument or instruments of transfer in form satisfactory to the Bond Registrar and duly executed by the registered owner or such owner s attorney duly authorized in writing, the District shall execute and the Bond Registrar shall authenticate, date and deliver in the name of the registered owner, transferee or transferees (as the case may be) a new fully registered Bond or Bonds of the same maturity and interest rate of authorized denominations, for a like aggregate principal amount. The execution by the District of any fully registered Bond shall constitute full and due authorization of such Bond, and the Bond Registrar shall thereby be authorized to authenticate, date and deliver such Bond, provided, however, the principal amount of outstanding Bonds of each maturity authenticated by the Bond Registrar shall not exceed the authorized principal amount of Bonds for such maturity less Bonds previously paid. The Bond Registrar shall not be required to transfer or exchange any Bond following the close of business on the first day of the month in which an interest payment date occurs on such Bond (known as the record date). The person in whose name any Bond shall be registered shall be deemed and regarded as the absolute owner thereof for all purposes, and payment of the principal of or interest on any Bonds shall be made only to or upon the order of the registered owner thereof or such owner s legal representative. All such payments shall be valid and effectual to satisfy and discharge the liability upon such Bond to the extent of the sum or sums so paid. No service charge shall be made for any transfer or exchange of Bonds, but the District or the Bond Registrar may require payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in connection with any transfer or exchange of Bonds. 23

27 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 TAX EXEMPTION Federal tax law contains a number of requirements and restrictions which apply to the Bonds, including investment restrictions, periodic payments of arbitrage profits to the United States, requirements regarding the proper use of bond proceeds and the facilities financed therewith, and certain other matters. The District has covenanted to comply with all requirements that must be satisfied in order for the interest on the Bonds to be excludable from gross income for federal income tax purposes. Failure to comply with certain of such covenants could cause interest on the Bonds to become includible in gross income for federal income tax purposes retroactively to the date of issuance of the Bonds. Subject to the District s compliance with the above-referenced covenants, under present law, in the opinion of Bond Counsel, interest on the Bonds is excludable from the gross income of the owners thereof for federal income tax purposes, and is not included as an item of tax preference in computing the federal alternative minimum tax for individuals and corporations, but Bond Counsel expresses no opinion as to whether interest on the Bonds is taken into account in computing an adjusted current earnings, which is used in determining the federal alternative minimum tax for certain corporations. In rendering its opinion, Bond Counsel will rely upon certifications of the District with respect to certain material facts within the District s knowledge. Bond Counsel s opinion represents its legal judgment based upon its review of the law and the facts that it deems relevant to render such opinion and is not a guarantee of a result. Ownership of the Bonds may result in collateral federal income tax consequences to certain taxpayers, including, without limitation, corporations subject to the alternative minimum tax corporations, subject to the branch profits tax, financial institutions, certain insurance companies, certain S corporations, individual recipients of Social Security or Railroad Retirement benefits and taxpayers who may be deemed to have incurred (or continued) indebtedness to purchase or carry tax-exempt obligations. Prospective purchasers of the Bonds should consult their tax advisors as to applicability of any such collateral consequences. The issue price (the Issue Price ) for each maturity of the Bonds is the price at which a substantial amount of such maturity of the Bonds is first sold to the public. The Issue Price of a maturity of the Bonds may be different from the price set forth, or the price corresponding to the yield set forth, on the cover page hereof. If the Issue Price of a maturity of the Bonds is less than the principal amount payable at maturity, the difference between the Issue Price of each such maturity, if any, of the Bonds (the OID Bonds ) and the principal amount payable at maturity is original issue discount. For an investor who purchases an OID Bond in the initial public offering at the Issue Price for such maturity and who holds such OID Bond to its stated maturity, subject to the condition that the District complies with the covenants discussed above, (a) the full amount of original issue discount with respect to such OID Bond constitutes interest which is excludable from the gross income of the owner thereof for federal income tax purposes; (b) such owner will not realize taxable capital gain or market discount upon payment of such OID Bond at its stated maturity; (c) such original issue discount is not included as an item of tax preference in computing the alternative minimum tax for individuals and corporations under the Code, but owners of OID Bonds should consult their own tax advisors as to whether such original issue discount is taken into account in computing an adjusted current earnings, which is used in determining the federal alternative minimum tax for certain corporations; and (d) the accretion of original issue discount in each year may result in an alternative minimum tax liability for corporations or certain other collateral federal income tax consequences in each year even though a corresponding cash payment may not be received until a later year. Based upon the stated position of the Illinois Department of Revenue under Illinois income tax law, accreted original issue discount on such OID Bonds is subject to taxation as it accretes, even though there may not be a corresponding cash payment until a later year. Owners of OID Bonds should consult their own tax advisors with respect to the state and local tax consequences of original issue discount on such OID Bonds. 24

28 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Owners of Bonds who dispose of Bonds prior to the stated maturity (whether by sale, redemption or otherwise), purchase Bonds in the initial public offering, but at a price different from the Issue Price or purchase Bonds subsequent to the initial public offering should consult their own tax advisors. If a Bond is purchased at any time for a price that is less than the Bond s stated redemption price at maturity or, in the case of an OID Bond, its Issue Price plus accreted original issue discount (the Revised Issue Price ), the purchaser will be treated as having purchased a Bond with market discount subject to the market discount rules of the Code (unless a statutory de minimis rule applies). Accrued market discount is treated as taxable ordinary income and is recognized when a Bond is disposed of (to the extent such accrued discount does not exceed gain realized) or, at the purchaser s election, as it accrues. Such treatment would apply to any purchaser who purchases an OID Bond for a price that is less than its Revised Issue Price. The applicability of the market discount rules may adversely affect the liquidity or secondary market price of such Bond. Purchasers should consult their own tax advisors regarding the potential implications of market discount with respect to the Bonds. An investor may purchase a Bond at a price in excess of its stated principal amount. Such excess is characterized for federal income tax purposes as bond premium and must be amortized by an investor on a constant yield basis over the remaining term of the Bond in a manner that takes into account potential call dates and call prices. An investor cannot deduct amortized bond premium relating to a tax-exempt bond. The amortized bond premium is treated as a reduction in the tax-exempt interest received. As bond premium is amortized, it reduces the investor s basis in the Bond. Investors who purchase a Bond at a premium should consult their own tax advisors regarding the amortization of bond premium and its effect on the Bond s basis for purposes of computing gain or loss in connection with the sale, exchange, redemption or early retirement of the Bond. There are or may be pending in the Congress of the United States legislative proposals, including some that carry retroactive effective dates, that, if enacted, could alter or amend the federal tax matters referred to above or affect the market value of the Bonds. It cannot be predicted whether or in what form any such proposal might be enacted or whether, if enacted, it would apply to bonds issued prior to enactment. Prospective purchasers of the Bonds should consult their own tax advisors regarding any pending or proposed federal tax legislation. Bond Counsel expresses no opinion regarding any pending or proposed federal tax legislation. The Internal Revenue Service (the Service ) has an ongoing program of auditing tax-exempt obligations to determine whether, in the view of the Service, interest on such tax-exempt obligations is includible in the gross income of the owners thereof for federal income tax purposes. It cannot be predicted whether or not the Service will commence an audit of the Bonds. If an audit is commenced, under current procedures the Service may treat the District as a taxpayer and the Bondholders may have no right to participate in such procedure. The commencement of an audit could adversely affect the market value and liquidity of the Bonds until the audit is concluded, regardless of the ultimate outcome. Payments of interest on, and proceeds of the sale, redemption or maturity of, tax-exempt obligations, including the Bonds, are in certain cases required to be reported to the Service. Additionally, backup withholding may apply to any such payments to any Bond owner who fails to provide an accurate Form W-9 Request for Taxpayer Identification Number and Certification, or a substantially identical form, or to any Bond owner who is notified by the Service of a failure to report any interest or dividends required to be shown on federal income tax returns. The reporting and backup withholding requirements do not affect the excludability of such interest from gross income for federal tax purposes. 25

29 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Interest on the Bonds is not exempt from present State of Illinois income taxes. Ownership of the Bonds may result in other state and local tax consequences to certain taxpayers. Bond Counsel expresses no opinion regarding any such collateral consequences arising with respect to the Bonds. Prospective purchasers of the Bonds should consult their tax advisors regarding the applicability of any such state and local taxes. CONTINUING DISCLOSURE The District will enter into a Continuing Disclosure Undertaking (the Undertaking ) for the benefit of the beneficial owners of the Bonds to send certain information annually and to provide notice of certain events to the Municipal Securities Rulemaking Board (the MSRB ) pursuant to the requirements of Section (b)(5) of Rule 15c2-12 (the Rule ) adopted by the Securities and Exchange Commission (the Commission ) under the Securities Exchange Act of No person, other than the District, has undertaken, or is otherwise expected, to provide continuing disclosure with respect to the Bonds. The information to be provided on an annual basis, the events which will be noticed on an occurrence basis and a summary of other terms of the Undertaking, including termination, amendment and remedies, are set forth below under THE UNDERTAKING. The District s Annual Financial Information and Audited Financial Statements for the Fiscal Year Ended December 31, 2009 were filed on time as specified by previous undertakings; however, the information was not filed for the CUSIPs associated with the District s General Obligation Park Bonds, Series The information was filed for the CUSIPs associated with District's other outstanding debt at that time. In the past five years there have been numerous rating actions reported by Moody s Investors Service, Standard & Poor s Rating Corporation and Fitch Ratings affecting the municipal bond insurance companies, some of which had insured bonds previously issued by the District. Due to widespread knowledge of these rating actions, material event notices were not filed by the District. A failure by the District to comply with the Undertaking will not constitute a default under the Ordinance and beneficial owners of the Bonds are limited to the remedies described in the Undertaking. See THE UNDERTAKING - Consequences of Failure of the District to Provide Information. The District must report any failure to comply with the Undertaking in accordance with the Rule. Any broker, dealer or municipal securities dealer must consider such report before recommending the purchase or sale of the Bonds in the secondary market. Consequently, such a failure may adversely affect the transferability and liquidity of the Bonds and their market price. THE UNDERTAKING The following is a brief summary of certain provisions of the Undertaking of the District and does not purport to be complete. The statements made under this caption are subject to the detailed provisions of the Undertaking, a copy of which is available upon request from the District. Annual Financial Information Disclosure The District covenants that it will disseminate its Annual Financial Information and its Audited Financial Statements, if any (as described below) to the MSRB in such manner and format and accompanied by identifying information as is prescribed by the MSRB or the Commission at the time of delivery of such information within 210 days after the last day of the District s fiscal year (currently December 31). If Audited Financial Statements are not available when the Annual Financial Information is filed, the District will file unaudited financial statements. The District will submit Audited Financial Statements to the MSRB s Electronic Municipal Market Access ( EMMA ) system within 30 days after availability to the District. MSRB Rule G-32 requires all EMMA filings to be in wordsearchable PDF format. This requirement extends to all documents to be filed with EMMA, including financial statements and other externally prepared reports. 26

30 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Annual Financial Information means: 1. All of the tables under the heading PROPERTY ASSESSMENT AND TAX INFORMATION within this Official Statement; 2. All of the tables under the heading DEBT INFORMATION within this Official Statement; and 3. All of the tables under the heading FINANCIAL INFORMATION (Excluding Budget and Interim Financial Information) within this Official Statement. Audited Financial Statements means financial statements of the District as audited annually by independent certified public accountants. Audited Financial Statements are expected to continue to be prepared according to Generally Accepted Accounting Principles as applicable to governmental units (i.e., as subject to the pronouncements of the Governmental Accounting Standards Board and subject to any express requirements of State law). Reportable Events Disclosure The District covenants that it will disseminate in a timely manner (not in excess of ten business days after the occurrence of the Reportable Event) Reportable Events Disclosure to the MSRB in such manner and format and accompanied by identifying information as is prescribed by the MSRB or the Commission at the time of delivery of such information. MSRB Rule G-32 requires all EMMA filings to be in word-searchable PDF format. This requirement extends to all documents to be filed with EMMA, including financial statements and other externally prepared reports. The Events are: 1. Principal and interest payment delinquencies 2. Non-payment related defaults, if material 3. Unscheduled draws on debt service reserves reflecting financial difficulties 4. Unscheduled draws on credit enhancements reflecting financial difficulties 5. Substitution of credit or liquidity providers, or their failure to perform 6. Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB) or other material notices or determinations with respect to the tax status of the security, or other material events affecting the tax status of the security 7. Modifications to the rights of security holders, if material 8. Bond calls, if material, and tender offers 9. Defeasances 10. Release, substitution or sale of property securing repayment of the securities, if material 11. Rating changes 12. Bankruptcy, insolvency, receivership or similar event of the District* 13. The consummation of a merger, consolidation, or acquisition involving the District or the sale of all or substantially all of the assets of the District, other than in the ordinary course of business, the entry into a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material 14. Appointment of a successor or additional trustee or the change of name of a trustee, if material. This event is considered to occur when any of the following occur: the appointment of a receiver, fiscal agent or similar officer for the District in a proceeding under the U.S. Bankruptcy Code or in any other proceeding under state or federal law in which a court or governmental authority has assumed jurisdiction over substantially all of the assets or business of the District, or if such jurisdiction has been assumed by leaving the existing governing body and officials or officers in possession but subject to the supervision and orders of a court or governmental authority, or the entry of an order confirming a plan of reorganization, arrangement or liquidation by a court or governmental authority having supervision or jurisdiction over substantially all of the assets or business of the District. 27

31 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Consequences of Failure of the District to Provide Information The District shall give notice in a timely manner to the MSRB of any failure to provide disclosure of Annual Financial Information and Audited Financial Statements when the same are due under the Undertaking. In the event of a failure of the District to comply with any provision of the Undertaking, the beneficial owner of any Bond may seek mandamus or specific performance by court order, to cause the District to comply with its obligations under the Undertaking. A default under the Undertaking shall not be deemed a default under the Bond Ordinance, and the sole remedy under the Undertaking in the event of any failure of the District to comply with the Undertaking shall be an action to compel performance. Amendment; Waiver Notwithstanding any other provision of the Undertaking, the District by resolution or ordinance authorizing such amendment or waiver, may amend the Undertaking, and any provision of the Undertaking may be waived, if: (a) (i) The amendment or the waiver is made in connection with a change in circumstances that arises from a change in legal requirements, including, without limitation, pursuant to a no-action letter issued by the Commission, a change in law, or a change in the identity, nature, or status of the District, or type of business conducted; or (ii) The Undertaking, as amended, or the provision, as waived, would have complied with the requirements of the Rule at the time of the primary offering, after taking into account any amendments or interpretations of the Rule, as well as any change in circumstances; and (b) The amendment or waiver does not materially impair the interests of the beneficial owners of the Bonds, as determined by parties unaffiliated with the District (such as Bond Counsel). In the event that the Commission or the MSRB or other regulatory authority approves or requires Annual Financial Information or notices of a Reportable Event to be filed with a central post office, governmental agency or similar entity other than the MSRB or in lieu of the MSRB, the District shall, if required, make such dissemination to such central post office, governmental agency or similar entity without the necessity of amending the Undertaking. Termination of Undertaking The Undertaking shall be terminated if the District shall no longer have any legal liability for any obligation on or relating to repayment of the Bonds under the Bond Ordinance. The District shall give notice to the MSRB in a timely manner if this paragraph is applicable. Additional Information Nothing in the Undertaking shall be deemed to prevent the District from disseminating any other information, using the means of dissemination set forth in the Undertaking or any other means of communication, or including any other information in any Annual Financial Information or Audited Financial Statements or notice of occurrence of a Reportable Event, in addition to that which is required by the Undertaking. If the District chooses to include any information from any document or notice of occurrence of a Reportable Event in addition to that which is specifically required by the Undertaking, the District shall have no obligation under the Undertaking to update such information or include it in any future disclosure or notice of occurrence of a Reportable Event. 28

32 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 Dissemination of Information; Dissemination Agent When filings are required to be made with the MSRB in accordance with the Undertaking, such filings are required to be made through its EMMA system for municipal securities disclosure or through any other electronic format or system prescribed by the MSRB for purposes of the Rule. The District may, from time to time, appoint or engage a Dissemination Agent to assist it in carrying out its obligations under the Undertaking, and may discharge any such Agent, with or without appointing a successor Dissemination Agent. OPTIONAL REDEMPTION The Bonds are not subject to optional redemption prior to maturity. LITIGATION There is no litigation of any nature now pending or threatened restraining or enjoining the issuance, sale, execution or delivery of the Bonds, or in any way contesting or affecting the validity of the Bonds or any proceedings of the District taken with respect to the issuance or sale thereof. There is no litigation now pending, or to the knowledge of the District, threatened against the District that is expected to materially impact the financial condition of the District. CERTAIN LEGAL MATTERS Certain legal matters incident to the authorization, issuance and sale of the Bonds are subject to the approving legal opinion of Chapman and Cutler LLP, Chicago, Illinois, as Bond Counsel (the Bond Counsel ), who has been retained by, and acts as, Bond Counsel to the District. Bond Counsel has not been retained or consulted on disclosure matters and has not undertaken to review or verify the accuracy, completeness or sufficiency of this Official Statement or other offering material relating to the Bonds and assumes no responsibility for the statements or information contained in or incorporated by reference in this Official Statement, except that in its capacity as Bond Counsel, Chapman and Cutler LLP has, at the request of the District, reviewed only those portions of this Official Statement involving the description of the Bonds, the security for the Bonds (excluding forecasts, projections, estimates or any other financial or economic information in connection therewith), the description of the federal tax exemption of the interest on the Bonds and the bank-qualified status of the Bonds. This review was undertaken solely at the request and for the benefit of the District and did not include any obligation to establish or confirm factual matters set forth herein. OFFICIAL STATEMENT AUTHORIZATION This Official Statement has been authorized for distribution to prospective purchasers of the Bonds. All statements, information, and statistics herein are believed to be correct but are not guaranteed by the consultants or by the District, and all expressions of opinion, whether or not so stated, are intended only as such. 29

33 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 INVESTMENT RATING The Bonds have been rated AA+ (Stable Outlook) by S&P Global Ratings, New York, New York. The District has supplied certain information and material concerning the Bonds and the District to the rating service shown on the cover page, including certain information and materials which may not have been included in this Official Statement, as part of its application for an investment rating on the Bonds. A rating reflects only the views of the rating agency assigning such rating and an explanation of the significance of such rating may be obtained from such rating agency. Generally, such rating service bases its rating on such information and material, and also on such investigations, studies and assumptions that it may undertake independently. There is no assurance that such rating will continue for any given period of time or that it may not be lowered or withdrawn entirely by such rating service if, in its judgment, circumstances so warrant. Any such downward change in or withdrawal of such rating may have an adverse effect on the secondary market price of the Bonds. An explanation of the significance of the investment rating may be obtained from the rating agency: S&P Global Ratings Corporation, 55 Water Street, New York, New York 10041, telephone The District will provide appropriate periodic credit information to the rating service to maintain a rating on the Bonds. UNDERWRITING The Bonds were offered for sale by the District at a public, competitive sale on December 13, The best bid submitted at the sale was submitted by (the Underwriter ). The District awarded the contract for sale of the Bonds to the Underwriter at a price of $. The Underwriter has represented to the District that the Bonds have been subsequently re-offered to the public initially at the yields or prices set forth in the addendum to this Official Statement. MUNICIPAL ADVISOR The District has engaged Speer Financial, Inc. as municipal advisor (the Municipal Advisor ) in connection with the issuance and sale of the Bonds. The Municipal Advisor is a Registered Municipal Advisor in accordance with the rules of the MSRB. The Municipal Advisor will not participate in the underwriting of the Bonds. The financial information included in the Official Statement has been compiled by the Municipal Advisor. Such information does not purport to be a review, audit or certified forecast of future events and may not conform with accounting principles applicable to compilations of financial information. The Municipal Advisor is not a firm of certified public accountants and does not serve in that capacity or provide accounting services in connection with the Bonds. The Municipal Advisor is not obligated to undertake any independent verification of or to assume any responsibility for the accuracy, completeness or fairness of the information contained in this Official Statement, nor is the Municipal Advisor obligated by the District s continuing disclosure undertaking. 30

34 Glen Ellyn Park District, DuPage County, Illinois General Obligation Limited Tax Park Bonds, Series 2016 CERTIFICATION We have examined this Official Statement dated December 1, 2016, for the $4,160,000* General Obligation Limited Tax Park Bonds, Series 2016, believe it to be true and correct and will provide to the purchaser of the Bonds at the time of delivery a certificate confirming to the purchaser that to the best of our knowledge and belief information in the Official Statement was at the time of acceptance of the bid for the Bonds and, including any addenda thereto, was at the time of delivery of the Bonds true and correct in all material respects and does not include any untrue statement of a material fact, nor does it omit the statement of any material fact required to be stated therein, or necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading. /s/ JAY KINZLER /s/ DAVID HARRIS President, Board of Park Commissioners Executive Director GLEN ELLYN PARK DISTRICT GLEN ELLYN PARK DISTRICT DuPage County, Illinois DuPage County, Illinois *Subject to change. 31

35 APPENDIX A GLEN ELLYN PARK DISTRICT DUPAGE COUNTY, ILLINOIS FISCAL YEAR 2015 AUDITED FINANCIAL STATEMENTS

36 GLEN ELLYN PARK DISTRICT, ILLINOIS COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 2015 COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 2015 Prepared by: Finance Department

37 TABLE OF CONTENTS INTRODUCTORY SECTION PAGE Principal Officials... i Organizational Chart... ii Letter of Transmittal... iii - vii Certificate of Achievement for Excellence in Financial Reporting... viii FINANCIAL SECTION INDEPENDENT AUDITORS' REPORT MANAGEMENT S DISCUSSION AND ANALYSIS... MD&A 1-7 BASIC FINANCIAL STATEMENTS Government-Wide Financial Statements Statement of Net Position Statement of Activities...5 Fund Financial Statements Balance Sheet Governmental Funds Reconciliation of Total Governmental Fund Balance to the Statement of Net Position Governmental Activities...8 Statement of Revenues, Expenditures and Changes in Fund Balances Governmental Funds Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances to the Statement of Activities Governmental Activities...11 Notes to Financial Statements REQUIRED SUPPLEMENTARY INFORMATION Schedule of Employer Contributions Illinois Municipal Retirement Fund...42 Schedule of Changes in the Employer s Net Pension Liability Illinois Municipal Retirement Fund...43 General Fund Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual...44 Recreation Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual...45 Recreation for the Handicapped Special Revenue Fund Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual...46 TABLE OF CONTENTS FINANCIAL SECTION Continued PAGE OTHER SUPPLEMENTARY INFORMATION Schedule of Expenditures Budget and Actual General Fund Schedule of Expenditures Budget and Actual Recreation Special Revenue Fund Debt Service Fund Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual...63 Capital Projects Fund Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual...64 Asset Replacement Capital Projects Fund Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual...65 Cash in Lieu of Land Donations Capital Projects Fund Schedule of Revenues, Expenditures and Changes in Fund Balance Budget and Actual...66 SUPPLEMENTAL SCHEDULES Long-Term Debt Requirements General Obligation Limited Tax Park Bonds of General Obligation Limited Tax Park Bonds of General Obligation Refunding Park Bonds of Installment Contract Payable of STATISTICAL SECTION Net Position by Component Last Ten Fiscal Years Change in Net Position Last Ten Fiscal Years Fund Balances of Governmental Funds Last Ten Fiscal Years Changes in Fund Balances for Governmental Funds Last Ten Fiscal Years Equalized Assessed Value and Actual Value of Taxable Property Last Ten Tax Levy Years Direct and Overlapping Property Tax Rates Last Ten Fiscal Years Principal Property Tax Payers Current Fiscal Year and Nine Fiscal Years Ago...83 Property Tax Levies and Collections Last Ten Fiscal Years...84 Ratios of Outstanding Debt by Type Last Ten Fiscal Years...85 Ratio of Net General Obligation Debt to Equalized Assessed Value and Net General Obligation Bonded Debt per Capita Last Ten Fiscal Years...86 Schedule of Direct and Overlapping Governmental Activities Debt...87 Legal Debt Margin Last Ten Fiscal Years Demographic and Economic Statistics Last Ten Fiscal Years...90 Principal Employers Current Fiscal Year and Nine Fiscal Years Ago...91 Government Employees by Function/Program Last Ten Fiscal Years Operating Indicators by Function/Program Last Ten Fiscal Years Capital Asset Statistics by Function/Program Last Ten Fiscal Years

38 INTRODUCTORY SECTION This section includes miscellaneous data regarding the Glen Ellyn Park District including: List of Principal Officials, Organizational Chart, Letter of Transmittal, and Certificate of Achievement for Excellence in Financial Reporting. Principal Officials December 31, 2015 LEGISLATIVE BOARD OF COMMISSIONERS Julia Nephew, President Melissa Creech, Vice President Gary Mayo, Treasurer Kathy Cornell, Commissioner Vanessa Pierce, Commissioner Jay Kinzler, Commissioner Chris Wilson, Commissioner ADMINISTRATIVE Dave Harris, Executive Director Nicholas Cinquegrani, Superintendent of Finance and Personnel Kimberly Dikker, Executive Assistant and Board Secretary Kathleen Esposito, Superintendent of Recreation Dan Hopkins, Superintendent of Parks and Planning i

39 Superintendent of Parks & Planning Naturalist Assistant Superintendent of Parks Parks Foreman Landscape Facilities Specialist Engineer Parks Crew Inspector Worker I Crew Crew Worker II Worker III Crew Parks Worker IV Mechanic MISSION STATEMENT The Glen Ellyn Park District is driven to foster diverse, community based leisure opportunities, through a harmonious blend of quality recreation programs, facilities and open space which will enhance the quality of life into the future. Glen Ellyn Park District Organizational Chart Residents of the Glen Ellyn Park District Board of Commissioners Executive Director Executive Assistant Superintendent of Recreation Assistant Marketing & Assistant Assistant Facility Manager Superintendent of Communications Superintendent of Superintendent of Ackerman & Sunset Special Facilities Supervisor Athletics Recreation Services Front Aquatics & Office Staff Part-Time & Recreation Part-Time & Recreation Fitness Facility Seasonal Staff Supervisor Seasonal Staff Supervisor Supervisor Maintenance Staff Facility Front Desk Part-Time & Custodian Staff Part-Time & Seasonal Staff Seasonal Staff ii Superintendent of Finance & Personnel Accounting Supervisor Information Technology Staff April 15, 2016 To the President and Board of Commissioners, the Citizens of the Glen Ellyn Park District, and all interested parties: The comprehensive annual financial report (CAFR) of the Glen Ellyn Park District, Illinois for the year ended December 31, 2015, is hereby submitted. The purpose of this report is to provide citizens, investors, grantor agencies, and any interested parties with reliable financial information about the Park District. The report has been prepared in accordance with generally accepted accounting principles (GAAP) and with standards prescribed by the Governmental Accounting Standards Board (GASB), the Government Finance Officers Association of the United States and Canada, the State of Illinois Comptroller s Office and the State of Illinois. Responsibility for both the accuracy of the data, and the completeness and fairness of the presentation, including all disclosures, rests with the Glen Ellyn Park District. To the best of our knowledge and belief, the enclosed data are accurate in all material respects and are reported in a manner that presents fairly the financial position and results of operations of the various funds, account groups and component units of the Glen Ellyn Park District. All disclosures necessary to enable the reader to gain an understanding of the Glen Ellyn Park District s financial activities have been included. The financial reporting entity for the Park District includes all funds of the Glen Ellyn Park District, as well as all of its component units. Component units are legally separate entities for which the primary government is financially accountable. The Park District does not have any component units at this time. Management s discussion and analysis (MD&A) immediately follows the independent auditor s report and provides a narrative introduction, overview, and analysis of the basic financial statements. The MD&A complements this letter of transmittal and should be read in conjunction with it. The Glen Ellyn Park District and Its Services The Glen Ellyn Park District, incorporated in 1919, is located in western DuPage County, approximately 23 miles west of the Chicago Loop, adjacent to the city of Wheaton. The District serves all residents of the Village of Glen Ellyn, as well as residents of certain subdivisions in unincorporated Glen Ellyn, and portions of Lombard, Wheaton, Lisle, Glendale Heights, and Carol Stream. The Park District currently encompasses 14 square miles and a population of 36,000. Located within commuting distance of Chicago and Milwaukee, Wisconsin, the Park District has experienced strong growth in taxable valuation because of new residential and commercial construction. Growth, while providing additional tax revenue, also presents significant challenges in acquiring and developing additional park/open space land, and maintaining the present high quality of programs and services. The mission of the Glen Ellyn Park District is enhancing people s lives by promoting fun and preserving nature. Our vision is to foster diverse, community-based leisure opportunities through a harmonious blend of quality recreation programs, facilities and open space which will enhance the quality of life into the future. The Glen Ellyn Park District provides a wide range of recreational services to its citizens, including Adult Leisure, Arts & Crafts, Before and After School Care, Dance, Fitness, Gymnastics, Aquatic programs, Preschool, Senior Citizen socials and trips, Sports, Day camps, Teen and Family trips, and Special events. iii

40 The Park District owns and operates the 1000 bather load Sunset Pool Aquatic Center, Lake Ellyn Park a natural spring fed lake, Main Street Recreation Center, Spring Avenue Recreation Center, Ackerman Sports and Fitness Center, and Maryknoll Park the site of a 36 hole handicap accessible miniature golf course, platform tennis, and splash park. The majority of Glen Ellyn Park District programs utilize the Main Street Recreation Center or the Spring Avenue Recreation Center. The Park District is governed by a Park Board President and a seven member Board of Commissioners, elected for overlapping four-year terms. The Board appoints an Executive Director, Treasurer, Board Secretary, and an Attorney each year. Major Initiatives The Park District Board of Commissioners established a Citizens' Finance Committee in 2011, consisting of seven volunteers of the community, with the goal of instituting a five-year financial forecast. In addition, a Citizens Advisory Committee for the Ackerman Sports & Fitness Center was formed in 2015 and an Environmental Advisory Committee is planned for The Citizens Finance Committee and Park District staff continue to update and maintain a ten year capital replacement plan identifying projected costs, annual responsibility and a funding plan. The Park District has implemented a master plan for Lake Ellyn and the Boathouse. In September 2015, a $2.9 million capital improvement project concentrating on restoring the Lake Ellyn Boathouse to its historic beauty, including replacement of the roof and the addition of a flood protection wall, began. The project will also include landscaping improvements and a stand-alone restroom near the playground. Construction is scheduled to be completed by July, Staff has synergized marketing efforts and made marketing more effective. An electronic newsletter continues to enhance communication in the community with a distribution list of approximately 11,200 addresses. The Park District began producing an annual report detailing major happenings within the Park District beginning with its first edition in The Park District website continues to evolve and become more exciting and user friendly with significant upgrades planned for The website also acts as a means for the Park District to increase its level of transparency by including more information on park district business; including live-streaming of Board meetings and an increased level of financial information. The Park District implemented a business plan for the Ackerman Sports & Fitness Center in The original plan was updated in Additional business plans will be implemented for other park district facilities in the near-future. The Park District will continue developing Churchill Park as a Nature Preserve to include restoring the flora and fauna back to its original state. Programming in this area has expanded greatly the last couple years. The Glen Ellyn Park District is committed to maintaining compliance with the Americans with Disabilities Act. The Glen Ellyn Park District will make over $400,000 of ADA improvements at several different park sites. This is in addition to budgeting more than $300,000 for the Western DuPage Special Recreation Association (WDSRA). The WDSRA provides leisure and recreation activities for adults and children with disabilities. The WDSRA is a cooperative of nine park districts. The Park District was presented with the "Sunshine Award" in 2013 for their excellence in transparency. The Illinois Policy Institute, a nonpartisan and nonprofit research organization promoting economic freedom and good government, audits and grades government agencies within Illinois based on availability to the public of vital community information. The Glen Ellyn Park District and Glenbard High School District 87 entered into a long-term intergovernmental agreement for shared use of facilities and athletic fields. The partnership maximizes the use of community resources. District 87 contributes financially to the Park District to offset the disparity of needs; these funds are then reinvested back into the District, contributing to capital improvements and future asset replacements. Due in part to the new intergovernmental agreement with District 87, the Park District is converting upper Newton natural grass athletic field to a synthetic turf field in The field will be used by the Park District and Glenbard West High School athletic programs. The Park District was awarded a 2014 Illinois Green Infrastructure Grant (IGIG) for $439,290 from the Illinois Environmental Protection Agency. With this support, the Glen Ellyn Park District will retrofit the Ackerman Sports & Fitness Center's 44,000-square foot, 145-car asphalt parking lot with interlocking permeable pavers and small areas of bioinfiltration to reduce runoff volumes and improve stormwater quality. This grant, along with many state initiatives and obligations, has been withheld by the state of Illinois. As a result, the parking lot improvements have been deferred until a resolution has been agreed upon by the state of Illinois. The Park District was awarded a $40,000 grant from the Illinois Department of Commerce and Economic Opportunity to be used for improvements to the Spring Avenue Safety Village area. The grant will provide 100% of funds needed to repair and improve the existing outdoor Safety Village area with a renovated surface and other new amenities enhancing children's first-time learning experience regarding bicycling along with other safety situations. The Glen Ellyn Park District was awarded a $400,000 grant from the Illinois Department of Natural Resources. The Open Space and Land Development (OSLAD) grant will fund a portion of the planned phase two improvements at Lake Ellyn which includes park enhancements and restoration of the Boathouse. This grant, along with many state initiatives and obligations, has been withheld by the state of Illinois. As a result, the parking lot improvements have been deferred until a resolution has been agreed upon by the state of Illinois. New registration and financial software was implemented in 2014 resulting in improved customer service and internal efficiencies. The Park District entered into a three-way intergovernmental agreement with the Wood Dale Park District and Itasca Park District regarding the sharing of Information Technology services. Efforts to capture expenditures to repair Ackerman Sports and Fitness Center roof repairs continued with the District participating in a mediation process. The park district is hopeful a resolution will be reached in An ADA compliant trail connection within Ackerman Park to the Great Western Trail was constructed. Financial assistance was received from the Openlands ComEd Green Region Program Grant. Department Focus Customer Service Team: The Glen Ellyn Park District Customer Service team is committed to working together in a friendly and professional manner to provide quality programs and beautiful parks through our dedicated and caring staff. All Park District staff are currently receiving continued customer service training. This training will help Park District staff improve the customer service experience when customers sign up or participate in a park program or use one of the parks. The Park District is also dedicated to saving our customers time as they sign up for park programs. Online real-time registration has been implemented and is a success. This service allows residents to register for programs using their personal computer and also check to see if they were able to get into a class without having to contact the Park District. Over 90% of all registration is received on line. Financial Information Management of the Park District is responsible for (1) establishing and maintaining an internal control structure designed to ensure that the assets of the Park District are protected from loss, theft or misuse; and (2) ensuring that adequate accounting data are compiled to allow for the preparation of financial statements in conformity with generally accepted accounting principles. The internal control structure is designed to provide reasonable, but not absolute, assurance that these objectives are met. The concept of reasonable v iv

41 assurance recognizes that: (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgments by management. The Park District uses accrual basis of accounting, with revenues being recorded when available and measurable, and expenditures being recorded when liability is incurred. Budgeting Controls The Park District maintains budgetary control to ensure compliance with legal provisions embodied in the annual appropriation ordinance approved by the governing body. The level of budgetary control (that is, the level at which expenditures cannot legally exceed the appropriated amount) is established at the fund level. Activities of the general, special revenue, debt service and capital project funds are included in the annual appropriation ordinance. As demonstrated by the statements and schedules included in the financial section of this report, the Park District continues to meet its responsibility for sound financial management. Financial Policies and Practices The Park District s Fund Balance Policy establishes target ratios for unrestricted fund balances to operating budget expenditures. The policy provides for the minimum amount of unreserved fund balance to be maintained for each fund, generally 25% of annual budgeted expenditures. These reserves are monitored and the annual budget is prepared in compliance with this policy. The Park District s Capital Project Plan is reviewed annually prior to and during the budget process. Scheduled improvements are reevaluated to determine if they coincide with current priorities. Grant opportunities are considered and applied for when appropriate. As a result of the current economy, the District has reacted to the challenges by maximizing existing resources, adjusting program offerings and maintaining staffing costs. Fund Balances Fund balances continue to improve in all funds including the General fund and Recreation fund. The Park District set a goal to accumulate 25% of operating expenses in fund balances. Funds in excess of the Park District policy allows for transfers to capital project funds in order to offset future capital maintenance and replacement needs of the district. The fund balance goal is currently being met in all funds. Independent Audit State statutes require an annual audit by independent certified public accountants. The firm of Lauterbach and Amen, LLP was selected by the Park District Board of Commissioners to conduct the January 1, 2015 to December 31, 2015 fiscal year audit. The auditor s report on the basic financial statements is included in the financial section of this report. Awards and Acknowledgements In order to be awarded a Certificate of Achievement through the Government Finance Officers Association, the Park District publishes an easily readable and efficiently organized comprehensive annual financial report. This report satisfies both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe that our current comprehensive annual financial report meets the Certificate of Achievement Program s requirements and we are submitting it to the GFOA to determine its eligibility for another certificate. The preparation of the comprehensive annual financial report on a timely basis was made possible by the dedicated service of the entire staff of the finance department. Each member of the department has our sincere appreciation for the contributions made in the preparation of this report. In closing, without the leadership and support of the governing body of the Park District, preparation of this report would not have been possible. Sincerely, Dave Harris Nicholas Cinquegrani Executive Director Superintendent of Finance & Personnel vii vi

42 FINANCIAL SECTION This section includes: Independent Auditors Report Management s Discussion and Analysis Basic Financial Statements Required Supplementary Information Individual Fund Schedules

43 INDEPENDENT AUDITORS REPORT This section includes the opinion of the Glen Ellyn Park District s independent auditing firm.

44 MANAGEMENT S DISCUSSION AND ANALYSIS