GREEN BAY, August 1 — Some of the impacts of SB 55, as amended by the budget
conference committee, on local governments in Wisconsin:
Shared Revenue
: The budget bill would provide a $7.6 million a year revenue
boost for communities across the state, which translates to a nearly $200,000 increase for
Green Bay, a nearly $50,000 increase for Marinette and more than a $20,000 increase for
DePere. If signed into law, it would be the first overall increase in shared revenues
since 1995.
Transportation Aids
: The bill would provide an additional $8 million in 2002 and
$11 million in 2003 to help communities maintain local streets and roads and meet other
local transportation needs. For Green Bay, the increase is nearly $45,000.
Recycling
: The bill would provide a stable, long-term source of funding for
local recycling programs through a $3 per ton "tipping fee" on solid waste
landfilled in Wisconsin. The state currently covers about 30% of local recycling costs;
without a new source of revenue that amount would shrink dramatically in coming years. The
budget bill would continue recycling grants of $24.5 million a year through 2003. A
problem is that communities would have to pay millions of dollars toward those grants.
Area Cooperation Compacts
: Along lines recommended by the Kettl Commission, in
2003, municipalities would be required to enter into "area cooperation compacts"
with at least two other municipalities or counties to perform at least two governmental
functions. Beginning in 2006, municipalities must enter into compacts with at least four
other municipalities or counties to provide at least five functions. Eligible functions
for the compacts include: public housing, law enforcement, emergency services, fire
protection, solid waste collection & disposal, recycling, public health, animal
control, public transportation, libraries, recreation & culture, human services and
youth services.
Transit:
The budget would increase operating assistance to transit systems
across the state from $93 million in 2001 to $96.7 million (+4%) in 2002 and $98.7 million
(+2%) in 2003.
Elderly & Disabled Transportation Aid:
Funding for elderly & disabled
county aid is increased from $7.4 million in 2001 to $7.7 million in 2002 (+3.0%) and $7.9
million in 2003 (+3.4%). Elderly & disabled capital aid is maintained at the 2001
level of $922,000 in both years of the biennium.
Some items that we’re pleased aren’t in the state budget:
Tax-exempt kitchens:
A provision to exempt restaurant kitchen equipment from the
property tax was removed from the budget by the conference committee. This amendment would
have removed $220 million from local property tax rolls statewide and shifted $4.7 million
in property taxes to other taxpayers.
New definition of "farmland:"
A provision to expand use-value
assessment of agricultural land to include swamp, waste and forest land also was removed
from the budget by the conference committee. This amendment would have removed an
estimated $765 million in value from local tax rolls across the state and shifted $13.5
million in property taxes to other taxpayers.
Accelerated computer depreciation:
Also removed by the budget conference
committee, this provision would have reduced the payments the state makes to local
governments in return for exempting computer equipment from the property tax. The
Legislative Fiscal Bureau estimated the cost to local governments at $37.3 million a year,
beginning in 2003-04.
