In 2007 City of Rockford Voters supported a referendum that would create a 1% Sales Tax that would be specifically used for roads and infrastructure. The sales tax replaced past reliance on property tax increases and borrowing money through bonds and paying interest on those bonds. The bonds would cost $12 Million and we would only get about $9 Million in roads and infrastructure improvements. The balance paid for the interest on the debt.
The switch to the sales tax has resulted in the elimination of the bonds and the debt, a near doubling of the amount of funds available for these projects, a greater ability to leverage the revenues with Federal and State funding sources, and it has provided a reliable source of revenue for the foreseeable future ensuring Rockford‘s ability to maintain and improve the roads and infrastructure for our citizens.