Jul 26 2007
Milwaukee County Board Approves 1% Sales Tax Referendum
By a 10-6 vote, the Milwaukee County Board today voted to approve a plan that will let the residents of Milwaukee County vote next February if they want or don’t want a 1% increase to their sales taxes.
The plan would raise about $120 million a year, half of which would be used for property tax relief. $22 million would pay for county parks and $18 million would go for transit. In addition, the remaining $20 million would go to local municipalities for fire and police costs.
Not only would this shift some of the tax burden in Milwaukee County off of property owners and lower property taxes, it would finally give the parks and transit dedicated funding sources that are tied to inflation. Milwaukee County is one of the only major metropolitan counties that still relies on property taxes to fund it’s transit system for example.
Compared with Chicago’s 8%-9% sales tax, a sales tax of 6%-6.5% still looks like a bargain, so what do you think?
Does this mean that property taxes are going to be reduced, too?
Yes, if this plan were to be approved. The average property tax reduction on a $150,000 house in the county would be around $160/year.
Undoubtedly there’ll be a fair number of folks who start gnashing their teeth about how the County Board is all about tax increases, while Scott Walker is their ‘white knight’ in the fight for lower taxes and reduced services. I’d be shocked if this even reaches the voters, because I’m sure County Exec Walker is probably going to think long and hard about vetoing this.
The right wingers are already screaming bloody murder, and they don’t even live in Milwaukee County. It shows their hypocratic nature, when all they told us last year is that the people have a right to be heard in regards to the same sex marriage and death penalty amendments, but now they are afraid to let the citizens of Milwaukee County make their own decisions.
Yeah, that’s exactly how it’s playing out too. All the conservative bloggers and radio “personalities” who don’t live in Milwaukee County, and are bragging about how much they never visit here either, are up in arms.
Funny that they didn’t have a problem “letting the people decide” when it came to things like the death penalty or civil unions.
Here’s the really ironic part about all this. Conservatives always talk about taking power out of the hands of the government and giving it back to the people, but when given the chance to do just that, they show just how hypocritical they really are. This just goes to show that conservatives talk a good game, but when it comes time to actually give folks the ability to choose for themselves, conservatives don’t actually trust folks enough to let them make their own decisions.
The comments to the original posting has gone in several directions, and quite honestly I agree with several of you on one point and not on the other(s). I am a big proponent of referendum’s and in something as important as a sales tax increase, if it were to come to fruition, I would welcome the chance to be heard. As for Walker’s response, and as I have mentioned in other postings, he ran on the platform of no new taxes. If he were to abandon that “pledge” many, if not all of the liberal bloggers and liberal “personalities” would crucify him for breaking his pledge. Now, for the original point of this blog, if this referendum passes, is on the ballot, and passes, trust me, I won’t be buying my car anywhere in the Milwaukee County area….Wilde Honda here I come.
Re: buying car in other county/state/etc …. You would more than likely have to pay whatever the sales tax is in the County you register the car, just like you have to pay Wisconsin sales tax if you register the car in Wisconsin but buy it in Illinois, and vice versa… Hence the “Residency restrictions may apply” disclaimer you always hear.
As for pledges from Scott Walker, as I pointed out in an earlier comment, he also pledged to only run twice for County Exec. Why is it OK to hold him to the “no new taxes” pledge, but not the term limit promise?
If that’s the case, then all the more reason for me to buy a house in Brookfield than in Wauwatosa. As for Scott Walker, he has only run twice, once in a special election in 2002 and his re-election in 2004. The position is for 4 years, so if he were to run again in ‘08 for another 4 years than he’s broken that pledge.
Scott Walker’s response:
http://www.620wtmj.com/shows/charliesykes/8701382.html
“Bottom-line: the new money from a sales tax increase did not lower property taxes and it did not stop the decline of support for the parks - it went to more spending (on things like pensions and health care benefits).”
Where did the money from the previous tax hike go? It seems Walker is correct in his statement. No?
Um, sorry to burst your bubble, but the .5% increase in the sales tax went to pay off the pension scandal, at the request of Scott Walker. So of course he knows the increase in sales taxes didn’t go for property tax relief, and it’s a little disingenuous at best to be throwing his hands up in wonderment at the fact that the money didn’t go to property tax relief, isn’t it?
I mean, lets make sure we have all the facts on our side when trying to throw out “gotcha” statements like this.
Sean, that’s your prerogative of course to choose to reside where you want, although you’re “paying” in other ways than just sales tax at that point.
As for Walker’s promise, you’re right about when he ran and for how long he’s been elected as County Executive, but I’ll channel Mr. Walker’s own words to help clear up the confusion:
He also said the same thing in an interview in 2002 with the MJS editorial board.
So there you have it.. Not trying to give you too hard a time or anything, I just want to clear up what he actually said, and making comparisons to one “pledge” vs. another.
I mean, lets make sure we have all the facts on our side when trying to throw out “gotcha†statements like this.
I mean, I DON’T have the facts straight that’s why I asked you. Then you got defensive … I never meant “GOTCHA”. I meant - “can you clear this up?”.
No problem, sorry about the confusion.. I didn’t mean to come across as defensive by the way :)
Milk and cookies for everyone!
Excuse me, but what the best finance knowledge base you know?
What you’ll recommend me?