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Williamson County residents have choices to make over proposed tax

By John D. Homan, The Southern

Monday, January 28, 2008 10:20 AM CST

MARION - "Shall Williamson County be authorized to impose a retailers' occupation tax and a service occupation tax (commonly referred to as a 'sales tax') at a rate of 1 percent to be used exclusively for school facility purposes?"

That is the question on the ballot voters will be asked to answer at the primary election on Feb. 5. A 1-percent tax increase is the same as being charged an extra penny on the dollar; it would apply to all purchased items in the county except groceries, state-titled vehicles and prescription drugs. Not only would county residents be subject to the tax, but also anyone shopping in the county.

Should the referendum pass, it is projected that the tax would generate about $7.5 million a year in revenue that would be divided up among the five school districts in the county based on enrollment. Marion would get the lion's share of the revenue, followed by Herrin, Carterville, Johnston City and Crab Orchard.

Carterville School Superintendent Tim Bleyer explained that voters who wish to vote on the referendum may do so without declaring their party affiliation as is the case with primary elections.

"They can just ask for a referendum ballot," he said.

Why are Williamson County school administrators asking for the tax?

The bottom line is that new schools need to be built because some are antiquated and others are too small and the state has been negligent in its commitment to new school construction funding.

Projects that were approved by the legislature five and six years ago are still unfunded. Local superintendents felt their backs were to the wall and that a sales tax is the most fair tax to ask residents to support.

Benefits of the tax are many. Bleyer said it will provide a consistent and growing funding stream that begins a shift away from burdensome property taxes to help pay for school construction.

"Other than schools, the local economy stands to gain with the passage of a sales tax increase," Bleyer said. "The sheer magnitude of the $75 million to $100 million school construction projects is expected to create jobs in the region."

If approved, Carterville would build a new high school. Marion would build a new elementary school in Creal Springs and a new high school. Johnston City would add classrooms at Lincoln Elementary School and make some modifications at other schools in the district.

Herrin and Crab Orchard would first use revenues generated by the tax to retire debt on schools that have already been built and later make upgrades to facilities. Those two school districts would also benefit the most initially from property tax relief.

The drawback to the sales tax is that it would be an extra dollar out of pocket for every hundred dollars spent. And Marion would vault to the No. 1 spot in the region when it comes to sales tax charged at 8.5 percent. Mayor Bob Butler said that concerns him. He said some shoppers may be dissuaded from buying in Marion if they have to pay even a little more on tax.

"I think that (tax increase) could put us at a competitive disadvantage," Butler said earlier this month.

An increase in sales tax could also prove detrimental to those home rule communities like Marion, which have used sales tax increases to pay for infrastructure repair and projects like Rent One Ballpark with the Southern Illinois Miners.

john.homan@thesouthern.com

351-5805