Madison, WI - Wisconsin's chronically-high
property taxes are once again the center of much
legislative concern as the fall elections creep closer
with each passing day. As legislators continue to
consider a potential constitutional amendment to limit
state and/or local government taxing and spending, a
growing number of legislators are now calling for a
more immediate approach on property taxes. These
lawmakers are now considering a variation of last
year's property tax freeze proposal. According to
supporters, a new proposal would be more thorough and
detailed and would address many of the concerns raised
by Governor Doyle and other opponents.
The governor's most substantive criticisms of the
original property tax freeze plan was that the
proposal would endanger economic development programs
and make it nearly impossible for municipalities to
issue bonds. These concerns could conceivably be
addressed by exempting certain, if not all, bonding
from the freeze. The governor and others also
criticized the original plan for reducing funding for
much needed local services like police and fire
protection and schools. These issues could be
addressed in a revised freeze by providing local units
of government with the tools necessary to reduce
expenses such as more health care options and relief
from state imposed mandates. Under this approach,
lower costs would make lower revenues easier to live
with.
Opponents to the original freeze also criticized
the plan as contrary to Wisconsin's tradition of local
control, arguing local officials are in the best
position to make decisions affecting their
communities. But freeze proponents argue that by
including a provision that allows taxpayers to exceed
limits by passing a referendum, the freeze provides
for the ultimate local control, putting local taxing
and spending decisions directly in the hands of local
citizens.
The governor and other freeze opponents also
questioned why any limits are needed since local
property tax increases last year were small by
historic standards. However, freeze proponents counter
that statewide numbers are deceiving because lower
spending and levies in the city, county and school
district of Milwaukee significantly impacted the
statewide numbers.
Regardless of whether the Legislature chooses to
propose a revised property tax freeze or to
aggressively pursue constitutional taxing and spending
limits - or do both - Governor Doyle has made it clear
that he would oppose such efforts. Since the freeze
requires statutory changes in the form of separate
legislation, the governor will almost certainly veto
it. This begs the question of why bother? The governor
will call it a purely political, election year
gimmick, since he's already vetoed the concept once.
Proponents, however, will argue the two freeze
proposals are different enough that separate
consideration should be given.
Either way, the chances of quick relief from
Wisconsin's chronically-high property taxes in this
election year seems slim to none.
Published: 6/2/2004
