On the March 17, 2026 General Primary, there is a ballot initiative calling for a 1% increase in the Sales Tax in Winnebago County. Currently, the combined sales tax burden in Winnebago County ranges from 7.75% to 8.75%. The addition of another 1% represents a 10.25% increase in sales taxes generally across the county. If the tax increase passes in Winnebago County, we will have one of the highest sales tax rates in the state, and nearly 90% higher than bordering Rock County, Wisconsin, with a 5.5% sales tax rate.

Key Issues Concerning the Newly Proposed 1% County School Facility Sales Tax

• A 1% SALES TAX INCREASE WASN’T THEIR ONLY OPTION!
  A countywide 1% sales tax increase represents one policy choice among several available financing tools, including phased bonding, debt service extensions, and hybrid approaches that could distribute costs over time rather than concentrating in a single permanent sales tax increase with no guardrails.
• Downstream Property Tax Concerns
  Higher sales taxes can strain business operations. If businesses struggle, downsize, or leave properties vacant. We know of the potential shift that it can cause in the property tax burden to residential homeowners. In addition, job losses or reduced employment further compound housing instability.
• No Sunset Clause
  The proposal includes no defined end date, meaning the tax could remain in place indefinitely. Without a sunset, voters lose the opportunity to periodically reassess whether the tax is still necessary, effective, or appropriately managed.
• Lack of Transparency and Accountability
  There is currently no detailed public plan explaining how revenues would be allocated among school districts, how projects would be prioritized, or how outcomes would be measured. This lack of clarity makes it difficult to evaluate equity, fiscal impact, or long-term effectiveness. How do taxpayers know what they are paying for?
• Affordability and Economic Impact
  Winnebago County already faces some of the highest combined sales tax rates in the region. Increasing the sales tax further places additional pressure on working families and small businesses, risks reducing consumer spending, and weakens retail competitiveness at a time when affordability is already strained.
• Blunt Tax Mechanism
  A countywide sales tax disproportionately impacts lower- and middle-income households and local employers, regardless of their ability to absorb higher costs and compete with other businesses in nearby states. This approach does not align tax burden with direct benefit and creates unintended ripple effects across the local economy.