The proposed half percent county sales tax: Facts for citizens of Fond du Lac County

SOURCE: Fond du Lac Economic Development Corporation
A half percent sales tax is being proposed for Fond du Lac County to fund an aggressive package that will help assure economic stability in Fond du Lac County by retaining our largest employer - Mercury Marine. The following are a few illustrations of the economic impact Mercury Marine has on our community and the
impact of the proposed tax on individuals who live in Fond du Lac County.

Economic impact of Mercury Marine:
* A resident of the City of Fond du Lac would have to spend $8,800 on taxable items in a year’s time to equal the estimated $44 that water and sewer may have increased had Mercury Marine closed.
* A homeowner in Fond du Lac County would have to spend $4,000 on taxable items to equal the estimated short term increase in property tax (up to $20) had Mercury Marine vacated its facility.
* A homeowner would have to spend $1,330,000 on taxable items to equal the loss in property value, which might drop 5% or $6,665 on the average home. This is a very conservative estimate since Detroit home prices have dropped 23.6% in one year, and Janesville has experienced a 12.1% decrease in prices from one year ago.

Individual impact of the proposed sales tax:
* Dinner for two at a restaurant ($40) will cost an additional 20 cents.
* A tank of gas ($50) will cost an additional 25 cents.
* A new outfit ($100) will cost an additional 50 cents.
* A new car ($25,000) will cost an additional $125.
* Most grocery food items, prescriptions and other medical items are not taxable and would not be affected.

Additional information:
* Wisconsin State Statute (Chapter 77) sets the county tax rate at .5%.
* Fond du Lac County is one of only eleven counties out of 72 in the state that does not currently have a county sales tax.
* It is estimated that 22% of the sales tax collected would come from purchases made within the county by people who live outside of Fond du Lac County.