Proposal looks to offer significant property tax relief
By Jason Arndt
Editor
Racine County officials are inviting residents to attend a series of listening sessions related to a proposed sales tax increase to offer property tax relief and fund essential services.
The purpose of each listening session, including one scheduled for Tuesday in the City of Burlington, will allow residents to receive information about the proposal presented by the Finance and Human Resources Committee as well as offer input to elected officials.
Officials have scheduled the session for 5 p.m. in the Common Council chambers, 224 E. Jefferson St., Burlington.
For residents unable to attend the Sept. 17 option, officials have scheduled others west of Interstate 94, according to information provided by Racine County.
On Sept. 23 at 5 p.m., officials will be on hand at the Union Grove Municipal Center, 925 15th Ave., Union Grove.
The other listening session is scheduled for Oct. 1 at 6 p.m. at the Waterford Town Hall, 415 Milwaukee St., Waterford.
Interim County Executive Thomas Roanhouse, who initially presented the proposal on Aug. 7 to the Finance and Human Services Committee, said the 0.5% sales tax increase looks to offset rising costs because of historic inflation, meeting growing community needs, and add needed revenue streams in response to reduced shared revenue from the state.
“With rising costs driven by inflation, strict levy limits, and escalating community needs – such as addressing the ongoing fentanyl and opioid crisis, expanded mental health interventions, and combating violent crime – the county faces significant financial challenges,” officials wrote in an Aug. 9 news release, two days after the Finance and Human Resources Committee met to discuss the proposal.
Under the proposed ordinance, which would be approved alongside the 2025 budget in November, 51% of sales tax proceeds would be dedicated to property tax relief and 49% for essential services.
Racine County, one of only four Wisconsin counties not to have a county sales tax, could see an influx of revenue generated from the proposal based on estimates.
Officials estimate at least $20 million – and said it could exceed $25 million – in projected revenues from the sales tax proposal.
“Sales and use taxes benefit county residents by allowing them to enjoy a reduced property tax burden that is paid for in part by the in-county spending and out-of-county visitors,” the proposed ordinance states.
“In contrast, borrowing falls solely on the resident property taxpayers and then compounds the burden as those taxpayers are responsible for both the borrowed principle and the interest payments,” it states.
An average Racine County resident could pay an additional $126 annually, according to the financial estimates, with the number possibly reduced through common retail and service purchases made by non-residents.
Additionally, according to the ordinance, officials have pledged to not increase the property tax levy.
“In order to assure the statutory goal of using sales and use tax revenues to actually reduce property taxes, the county mill rate for any given calendar year shall not exceed the preceding year county mill rate,” it states.
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