County Schools Facilities Sales Tax
Q & A Fact Sheet
What is the Illinois County Schools Facility Sales Tax?
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.
What is exempt from CSFT?
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
- Maintain our School Resource Officer,
- Mental Health Providers
How can money NOT be used?
To pay teacher salaries, supplies, books, buses, & operating costs.
Who decides how money is used?
All financial decisions are made exclusively by the local School - Board of Education.
54 of 102 Counties Passed CFST in Illinois (Passed = Green)
Champaign Co. began the CFST in 2010 and has provided Property tax relief and major school facility improvements since implementation. Do you spend money in Champaign? If so you already pay CSFT and help fund schools in Champaign County.
Revenue Distribution Logistics (Enrollment)
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 Oakwood 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 projection for Oakwood is as follows: The most recent projection is estimated to be approximately $450,000 - New Money
How would Oakwood use the money? Here are some possible options for a Proposed Use of Fund
Priority #1 - $652,000 - Debt Payment - Use 50% of the money to payoff Bond/Interest Debt to Reduce Property Taxes and the remaining 50% could be used for the following school facility improvements.
- Acquire Land
- Build a 6-12 Facility
- Centralized Athletic Facilities Complex
- Fine Arts Facilities & Cafetorium for HS
- Early childhood learning center
- Science STEM Lab(s) Renovation
- Family Consumer Science (Home Economics) Lab Renovation
- Parking Lot Expansion & Repairs
- Energy Efficiency
Effect on Property Tax Rate and Bill
Effect on Rate $5.18 to $4.81
- Effect on a $65k home = $57 decrease on bill
- Effect on a $100k home = $101 decrease on bill
- Effect on a $150k home = $162 decrease on bill
- Effect on a $200k home = $224 decrease on bill
Current Sales Tax Rates
- Armstrong 6.50%
- Bismarck 6.50%
- Catlin 6.50%
- Hoopeston 6.50%
- Potomac 6.50%
- Rossville 6.50%
- Westville 6.50%
- Chrisman* 7.25%
- Georgetown 7.50%
- Mahomet* 7.50%
- Tolono* 7.50%
- Oakwood (current) 7.50%
- Charleston* 7.75%
- Paris* 7.75%
- Tuscola* 7.75%
- St. Joseph* 8.00%
- Oakwood (w/ CSFT) 8.50%
- Tilton 8.50%
- Bloomington 8.75%
- Maroa* 8.75%
- Peoria* 9.00%
- Champaign* 9.00%
- Rantoul* 9.00%
- Urbana* 9.00%
- Danville 9.25%
- Decatur* 9.25%
*CSFT in place
CSFT Cost Examples-Certain Items Exempt
- $100 groceries - No increase
- $35 gas - 35 cent increase
- $23,000 car - No increase
- $8 fast food - 8 cent increase
- $5,000 corn seed – No increase
- $600 TV - $6 increase
- $40 medicine - No increase
- $5 cigarettes - 5 cent increase
- $350,000 tractor - No increase
Vermilion County Property Tax Rates
- Armstrong (HS+GS) $4.63
- Oakwood (w/CSFT) $4.81
- Potomac $4.82
- Hoopeston $5.04
- Salt Fork (Jamaica) $5.06
- Westville $5.08
- Oakwood (current) $5.18
- Salt Fork (Catlin) $5.23
- Bismarck $5.33
- Georgetown $5.13
- Danville $5.46
- Rossville $5.54
Comparing Property Tax Savings to Sales Tax Costs
Revenue from sales tax can be used to reduce property taxes by paying facility debt. This analysis shows amounts of CSFT purchases needed to offset property tax savings.
$100k Home = $101 decrease in property taxes
$10,100 of purchases needed to = $101
$150k Home = $162 decrease in property taxes
$16,200 of purchases needed to = $162
$200k Home = $224 decrease in property taxes
$22,400 of purchases needed to = $224
How to Place Before Voters?
- School Board passes a resolution. - This was done in November 2019.
- When School Boards representing more than 50% of the resident student enrollment in the county adopt resolutions, the Regional Superintendent must certify the question to the County Clerk. - This was completed in December 2019.
- County Clerk will pace on the ballot at the next regularly schedule election.
What voters will see on the March 17th ballot
Shall a retailers’ occupation tax and a service occupation tax (commonly referred to as “Sales Tax”) be imposed in Vermilion County at a rate of one (1) percent to be used exclusively for school facility purposes, school resource officers, and mental health professionals? Voters will be asked to vote “Yes” or “No”. A simple majority vote is required for passage.
Passing the Vote & Receipt of Revenue
Simple majority of votes cast needed to pass. After approval by the voters, the tax will be imposed. Money is received monthly beginning approximately four months after the tax goes into effect. The money follows the student.
Voting Information - For Voter Consideration
March 17, 2020, is a primary election. You may register with Vermilion County Clerk by February 18, 2020. Online registration extends until March 1, 2020. Grace period registration runs February 19 until March 16. Early voting begins February 6 until March 16. If you have voting questions, contact the Vermilion County Clerk at 554-1900.
Community Support Group Communication Meetings with the Superintendent
- Oakwood Grade School Parent Teacher Organization (PTO)
- Oakwood Athletic Booster Club
- Oakwood Mens Club
- Oakwood Community Education Foundation (OCEF)