Wisconsin’s system for sharing tax revenue back to local governments is broken – municipalities and counties are in dire need of increased revenue to provide basic services to residents after decades under an outdated shared revenue formula. 

This proposed fix, however, makes state aid contingent on compliance with a number of provisions that would unilaterally change how local governments are allowed to operate. 

Some of the many strings attached to the proposal include:

  • Removing local control over funding decisions. Larger municipalities risk a cut in state aid unless they maintain the same level of police; 
  • Prohibiting local governments from using diversity-conscious hiring and contracting practice, unless its required to receive federal aid; 
  • Prohibiting a county or municipality from putting an advisory referendum on the ballot.

The bill also forces Milwaukee to make additional concessions in exchange for the possibility of raising its sales tax, such as: 

  • Transferring the Fire and Police Commission’s oversight authority to the chiefs of the police and fire departments, eliminating an important check on police power; 
  • Requiring at least 25 school resource officers to be stationed in Milwaukee Public Schools;
  • Prohibiting funding for Diversity, Equity, and Inclusion positions
  • Requiring a heightened two-thirds majority vote on the Common Council to authorize new program spending or positions; 
  • Imposing limits on funding for cultural or entertainment matters or partnerships with nonprofit organizations

Authors

Representatives Tony Kurtz, Jessie Rodriguez; Senator Mary Felzkowski

Status

Signed by governor

Session

2023-24

Bill number

Position

Oppose