Fond du Lac County board approves tax 'sunset'

FOND DU LAC - The Fond du Lac County Board unanimously approved a "sunset" provision to set an expiration date for a county sales tax that begins April 1.

The half percent tax is designed to pay for a $50 million loan to Mercury Marine.  County leaders say approving the loan wasn't easy, but was necessary to keep the company and its jobs in the state.

"Most people understand it was necessary," board chairman Martin Farrell said.  "We're talking about almost 3,000 jobs in one company, in one fell swoop.  It would have been devastating."

In the 16-0 decision, board members will repeal the county sales tax on Dec. 31, 2021.

"Twelve years is enough, it's going to be twelve years of taxing the citizens," Supervisor Jim Kiser said.  "I'd like to see that go away."

Kiser issued a county-wide alert asking residents to rally for the sunset provision.  Three spoke in support of the expiration date.

Fond du Lac County is one of only 11 counties in the state that currently do not have an active county sales tax.  Kiser says no county has ever repealed a sales tax.

"It's easy money," he said.  "I mean that money comes in, you don't have to take a vote on it, it just keeps rolling in."

Farrell supports the sunset provision, but has some reservations about the future.

"I don't like personally tying the hands of a board 11 or 12 years down the road but if they wish to overrule it they can do that at that point," he said.

Farrell estimates the county will collect $3-3.5 million more than it needs for the Mercury deal.  He says surplus will be used for property tax relief and to pay down debt.

The Fond du Lac County Economic Development Corporation estimates 22 percent of the sales tax collected would come from purchases made by those who live outside the county.