County-Wide Sales Tax

Yesterday, the News-Gazette put the proposed county-wide sales tax on the front burner of discussion. The new law was brought to the attention of the district’s vision committee last month. Certainly, most citizens view sales taxes as preferable to the anathema of property taxes. For example, Savoy voters were swayed by the “outsiders will contribute” reasoning and approved a sales tax last Tuesday by 73.96%. But we also need a stable, reliable revenue source for schools throughout economic ups and downs.

This revenue stream can be used for any infrastructure, energy conservation, bond payments, as well as property tax relief. Laura Weis, Chamber president, wisely wants to see more details. The Chamber’s opinion of the tax will be weighed in light of the impact on the business community.

The bottom line for the majority of voters in the last school referendum was concern/confusion/outrage (depending on your perspective) over the expenditure of the tax money and other lack of confidence issues. It’s no different this time. If Unit 4, as the lead agent, can convince surrounding school district leaders to get on board, it may just fly.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
IlliniPundit's picture

I would want to see a detailed plan for how it's to be used before making any decisions.

The article also noted that some of the Williamson County districts which did not have building needs are using their portion of sales tax revenue to reduce their property tax rates.  Yes, actually reduce their rates.  Wouldn't that be amazing?

The Herrin and Crab Orchard school districts have new buildings, and they'll use the sales tax revenue to lower the property taxes in their districts. The Herrin school district will pay off its $9 million of outstanding debt. The tax rate will drop from $4.51 to $3.21 per $100 of assessed value, or 28 percent. The owner of a $100,000 home will save $433 a year.

"This is the first time voters have the opportunity to go to the polls to vote for a property tax decrease," Herrin Superintendent Mark Collins said.

In the Crab Orchard school district, the tax rate will drop 80 cents during a two-year period, from $4.66 to $3.86 per $100 of assessed value, Superintendent Derek Hutchins said. The owner of a $100,000 home will save $266.

redstatewannabe's picture

I just wish this wasn't ever done by the G.A.

There will be a mad rush by every county to raise their sales tax so that residents of other counties can help pay for their schools.  In a few years this could be a de facto small change in the school funding mechanism.

I still don't like it.

IlliniPundit's picture

"There will be a mad rush by every county to raise their sales tax so that residents of other counties can help pay for their schools.  In a few years this could be a de facto small change in the school funding mechanism."

If that's the case, then the school districts in Counties without significant retail bases are going to really be hurting.

That said, even with concerns about local control, I'd much rather have a statewide sales tax to fund education, distributed according to student population, than property taxes.  Hopefully this can move us in that direction, but only if accompanying by a reduction in property taxes.

Oil Man's picture

I would favor this tax and increases to income tax but they all have to show a reduction in property tax.

redstatewannabe's picture

If that's the case, then the school districts in Counties without significant retail bases are going to really be hurting.

Exactly.  And which districts will those be?  The ones that are already hurting.  This brilliant piece of legislation will actually make the school funding problem worse.  Residents of rural counties will not only continue to pay their own high property taxes to fund their schools, but will then pay higher sales taxes to subsidize their urban neighbors.

Not to mention that they will continue to not receive funding from the state both for Building needs or their operating budgets, which Blago either wants to spend somewhere else or hold for ransom so he can get support for other spending.