Using local sales tax to grow our city

Sales tax vs Property tax

Our proposal is to use a .5% sales to to help fund these important projects. Basic needs that are NOT subject to a sales tax: Clothing, Groceries, Health Care, Prescriptions, Fuel.  While some communities use a property tax increase, we believe that the local sales tax option is better for Willmar. 

 

 Option A collect $30 Million on a 1/2 percent sales tax.  It will cost Willmar residents $15 million.    

(50% of the sales tax revenue collected comes from people that live outside Willmar)

Option B collect $20 Million through property taxes increases. It will cost Willmar property owners $20 million  

(assume 10 Million won't happen....over 20 years by raising property taxes) 


  

Option A costs Willmar residents $5 Million less ($15 Million vs $20 Million) and the residents receive $10 Million more in benefits relating to upgrading the city's infrastructure, parks and recreation. 

Benefits

  

This will help attract, retain and recruit families, alumni, and encourage businesses to move to our community.


 This will help grow the residential and commercial tax revenue base. Along the way, it will  add amenities, and fund necessary infrastructure growth and maintenance.

Current sales tax rates in comparable outstate MN communities

Fergus Falls-7.875% 

New Ulm-7.875% 

Bemidji-7.875%

Marshall-7.875% 

New London-7.875%

Spicer-7.875%

Brainerd-7.875%

Mankato-7.875%

Willmar-7.375% 

Currrently in Willmar, our .5% local sales tax puts 2.5 million into our community annually

Willmar's current 7.375% sales tax is composed of:

  

Minnesota State Sales Tax 6.875%

Kandiyohi County .5% sales tax 


The current .5% sales tax is projected to be removed in less than 5 years when funding for the 4 county road projects are completed. 



Individual impact

  

If an individual spends $100 the cost with an added .5% local tax is 50 Cents


If an individual spends $1,000 the cost with an added .5% local tax is $5


If an individual spends $10,000 the cost with an added .5% local tax is $50 


  

Basic needs that are NOT subject to a sales tax:

Clothing, Groceries, Heath Care, Prescriptions, Fuel.

Calendar of Events to watch

 November 6th - General Election
 

Get out and vote YES!