I admit, I missed this one.
Local municipalities are saving thousands of dollars after Gov. Scott Walker signed Act 126 into law in December, changing how state sales tax impacts the cost of materials for municipal facility projects.
Local officials say the change will save even more as projects move forward.
“Now, according to the law, materials purchased for a municipal facility project are no longer subject to the state sales tax,” Hartford City Administrator Steve Volkert said.
The Wisconsin state sales tax rate is currently 5 percent and, depending on local municipalities, the total tax rate can be as high as 5.6 percent.
Volkert said earlier this year it had been estimated the city saved about $92,000 on the purchase of materials for the Veterans Park Aquatics Center, which is expected to be ready July 1. He expects the savings could be larger.
“I would say right now our savings are in the range of about $100,000 and materials are still being purchased so the savings could be more,” Hermann said.