Government officials searching for alternative revenue sources are increasingly turning to sales taxes.
In addition to the state’s 6.25% sales tax on general merchandise, Rockford and other area governments including Loves Park and Machesney Park, have for years utilized a 1% sales take to pay for road and infrastructure improvements.
Winnebago County charges a 1% public safety tax that voters approved in 2002, and in March 2020, those same voters approved a 0.5% mental health sales tax.
Then in December, the Rockford School Board weighed the pros and cons of seeking a countywide sales tax to fund construction and technology needs as well as school resource officers, social workers and counselors at area schools. Later that month, State Rep. John Cabello, R-Machesney Park, a Rockford Police Department officer, brought up the idea of a statewide sales tax to fund public safety pensions.
“You have a real concern about property taxes, especially in Illinois,” said State Sen, Seve Stadelman, D-Loves Park. said. “And so when a local government decides it wants additional revenue, they really try to avoid property taxes … and really one of the only sources they have at their disposal is the sales tax. So if you’re not going to go the property tax route, you have local governments that will look at the sales tax.”