What is the Illinois County Schools Facility Sales Tax (CSFT)?
Public Act 97-0542 – Since 2007, Illinois voters have had the option to approve a 1% County Schools Facility Tax (commonly known as a sales tax), that shifts facility funding away from property taxes.
What gets Taxed?
Items that are currently subject to sales tax will be subject to the CSFT (no new items are taxed). Some items are exempt from the CSFT such as Groceries, Medicine, Vehicles, Mobile Homes, ATV’s/RV’s, Seed, Fertilizer, Farm Equipment & Parts/Inputs.
How can money be used?
- Payoff facility debt and reduce property tax
- Land Acquisition
- New School Facilities (Including Athletics)
- Additions & Renovations
- Improve Security & Safety
- Architectural Planning
- Parking Lots
- Energy Efficiency
- Durable Equipment (non-movable items)
- Fire Prevention & Life Safety
- Demolition, Roof Repairs
- School Resource Officer
- Mental Health Providers
How can money NOT be used?
By law, the revenue generated by this sales tax is dedicated to capital improvements and/or property tax reduction. Funds from the sales tax may not be used for salaries, supplies, books, buses, or other operating expenses.
How can these funds lead to reduced property taxes?
The resources provided by the county sales tax for schools will pay for school facility maintenance and improvements that would otherwise be funded by property taxes. New revenues would make a district less dependent on new bonding and/or levying property taxes to pay for costly facility projects.
Who decides how money is used?
All financial decisions are made exclusively by the local School Board of Education.
Will every school district in the county benefit?
Yes. Every public school district in the county will receive funds from the sales tax, which will be collected from all communities in the county and then distributed based on Hancock County district enrollment. The revenue is distributed equally for every pupil that lives in the county and attends public school, regardless of the location of that school.
How much new money would Warsaw receive if implemented?
Each school district in the county would receive a portion of sales tax money that is based on student enrollment. The most recent projections indicate that the potential for all Hancock County School districts is $1,045,584 of which Warsaw schools would be eligible for $178,701 annually. For a detailed school by school breakdown, see the link below.
Will revenue be generated from people who live outside of Hancock County?
Any person who travels through or visits Hancock County and makes a qualifying retail purchase would be contributing to the revenues for the Hancock County school facilities.
Comparable City Sales Tax Rates
Warsaw currently has one of the lowest sales tax rates in the area at 6.25%. In comparison, Carthage is currently at 6.75% and would increase by the same amount as Warsaw if the tax passes. Other cities to compare would be Rushville at 7.25% and Quincy outside of the business district at 8%. For more comparison values, see link below.
How would Warsaw use the money?
The Board and Superintendent have gathered input from the employees and architects to prioritize needs. Here are some possible options for a proposed use of funds.
- Curb repair that are severely needed
- Track improvements as we can no longer host meets on the existing track
- Potential Asbestos abatement
- Multiple roofs that need repair
How will this benefit our local economy?
Excellent school systems with quality facilities and learning environments are a key ingredient in attracting families to live within our county.
- Better schools
This dedicated revenue source will keep schools and classrooms maintained for safety, security, and sustainability.
- Jobs and economic growth
Many projects funded by the sales tax will put local people to work and support local businesses throughout Hancock County.
- Local control of funds
Every school district will control how it uses this tax revenue through the elected school board members who represent each school community.
- Property tax relief
A sales tax represents a shift away from property taxes. School districts will be able to become less reliant on property taxes with options to pay off existing bonds or avoid new property taxes.
- Visitors help to fund schools
Visitors to Hancock County will support schools with their spending. A portion of sales tax revenue is generated from non-residents of Hancock County.
- Attracting new families
Schools will be more attractive to families through quality school facilities. Attracting new families and retaining our current residents help to ensure a positive future across Hancock County.
What to look for on the Ballot in April
Shall a retailers’ occupation tax and a service occupation tax (commonly referred to as a sales tax) be imposed in The County of Hancock, Illinois, at a rate of 1% to be used exclusively for school facility purposes, school resource officers, and mental health professionals?
- A vote of “Yes” will accept the sales tax for use in schools.
- A vote of “No” will decline the sales tax for use in schools.
Information to have on the website:
The entire table showing the breakdown of percentages to schools:
|District Name||Estimated # of Students in Hancock County||Estimated. % of Total Hancock County Students||Est. District Share of School Facility Sales Tax|
|Carthage ESD #317||422||16.28%||$170,230|
|Dallas City ESD #327||118||4.55%||$47,600|
|Hamilton CCSD #328||528||20.37%||$212,989|
|Illini West CHSD #307||310||11.96%||$125,051|
|LaHarpe ESD #347||174||6.71%||$70,190|
|Mendon CUSD #4||3||0.12%||$1,210|
|Nauvoo-Colusa CUSD #325||211||8.14%||$85,115|
|Southeastern CUSD #337||375||14.47%||$151,271|
|Warsaw CUSD #316||443||17.09%||$178,701|
|West Prairie CUSD #103||8||0.31%||$3,227|
* Estimated enrollment per Districts
** Gross Est. CSFT Receipts $1,066,922
Less 2% DOR administrative costs (21,338)
Net Est. CSFT Receipts $1,045,584
Comparable City Sales Tax Rates
|City||Sales Tax Rate|
|Mt. Sterling *||7.50%|
|Quincy (Mid-Town Busn. Dist.)||9.00%|
|Quincy (outside Mid-Town Busn. Dist.)||8.00%|
|Canton (Busn. Dev. Dist. No. 1) *||9.75%|
|Canton (outside Busn. Dev. Dist. No. 1) *||8.75%|
|Galesburg (N. Semimary Busn. Dist.) *||9.75%|
|Galesburg (outside N. Seminary Busn. Dist.) *||8.75%|
|Monmouth (W 11th Ave Busn. Dist.) *||10.25%|
|Monmouth (outside W 11th Ave Busn. Dist.) *||9.25%|
* Includes CFSOT