Cities Demand Municipal Revenue Cuts Restored

Wisconsin’s mayors and municipal officials want the state to restore cuts to shared revenue and other municipal programs, especially in light of the state’s recent budget surplus.

John Dickert, president of the Urban Alliance of the League of Wisconsin Municipalities and mayor of Racine, said cities across the state have seen their funds cut year after year.

Looking to the recent budget surplus, Dickert said the nearly $100 million income tax cut will probably provide $13 to $26 for a Racine resident. If that money went back to city, he said, they would double the amount of money for city residents in tax savings, something that would continue in years to come.

“What we’re simply asking the state Legislature to do and the governor to do is to provide the cities and municipalities back with the money that their taxpayers pay to the state,” said Dickert. “We’re simply asking for the money back.”

Dickert said they want the money back because cities and metropolitan areas are where jobs grow, so restored cuts to shared revenue and municipal programs would help with economic development.

Larry Arft, the city administrator of Beloit, said he’s concerned: As the economy improved and state tax revenue increased, none of that passed through to local governments to replace the recent revenue cuts. He said that’s not true for most of Wisconsin’s border states.

“We risk, again, having a significant … competitive disadvantage result if the state does not provide additional funding to its local units of government,” he said. “We can replenish our coffers and continue to provide the quality services that are so critical to the economic development function.”

Dickert said they shared their concerns with Secretary of Revenue Richard Chandler during the Urban Alliance’s quarterly meeting last week.