Evers proposes property tax relief, defends veto that allowed school districts to raise property taxes for 400 years

CBS 58

MADISON, Wis. (CBS 58) — Gov. Tony Evers on Monday laid out his list of priorities for the eighth and final year he'll be Wisconsin's governor. Evers, a Democrat, focused most of his remarks on how he believes state government should address rising everyday costs.

Perhaps the most impactful proposal Evers put forward was a call for the GOP-controlled Legislature to commit $1.3 billion toward property tax relief. Evers said it could be done by using those state dollars to pay down levy increases enacted by local governments.

Evers included a similar plan in his proposed 2025-27 state budget, but Republicans stripped out that item, and it's all but certain they won't take up this property tax plan before lawmakers break in March to focus on their fall campaigns.

Republican leaders have blamed Evers for significant property tax increases across the state, pointing to his 2023 partial budget veto that allows school districts to raise property tax limits for the next 400 years.

Evers dismissed those arguments, pointing to an increasing number of school districts that have held referendums seeking approval to raise property taxes beyond the state-imposed limit.

"Look, I get it. Republicans want to blame my 400-year veto on property taxes going up," Evers said. "The problem with that is Wisconsinites were going to referendum increasing numbers of years, long before I became governor."

Property taxes and school funding are tied together in a complex formula.

If the state increases general school aid without raising property tax limits, districts then have to reduce the amount they draw from property taxes. That's what happened in the 2021-23 budget, essentially serving as a property tax cut while overall revenue for schools largely stayed flat.

In the current budget, Evers and the Legislature cut a deal to boost special education reimbursements from about 30% to 42%. There was no increase to general school aid, leading to districts taking advantage of their ability to raise property taxes.

Evers defended his handling of the veto and subsequent call for state-funded property tax relief, saying that is preferrable to an ongoing cycle of district-by-district referendums.

"I think it's important to recognize the state has a huge investment in our public schools," Evers said. "And if we can minimize what happens at the property tax level, we should do everything we can to take care of that."

Assembly Speaker Robin Vos told CBS 58 last month, in retrospect, the state should have increased general school aid instead of increasing special ed funding, limiting property tax increases in the process.

Tax exemptions on everyday items

Evers said he was also hopeful lawmakers will enact other proposals he put forward, including sales tax exemptions on everyday items such as over-the-counter medications, diapers and toothpaste.

Vos is calling for an income tax exemption on tips and overtime; Evers said he was open to that but as part of a broader set of tax changes.

"I'm willing to take a look at that," Evers said. "But we're also making sure that it's not just that."

Evers also renewed his calls for the state to push insurance companies to lower prescription drug costs, as well as audit of companies with particularly high rates of claim rejections.

The governor also proposed giving $1 million each year of the current two-year budget to a program promoting Wisconsin's agricultural exports.

Evers on ICE, Minnesota shooting

Evers was also asked about the ongoing protests in Minneapolis after an ICE agent shot and killed a protestor, Renee Good, last week.

The governor called for federal authorities to share their evidence with Minnesota investigators. Officials in Minnesota said last week their requests to review evidence had been rejected.

"Should the people in Minnesota or Minneapolis be part of that investigation? Hell yes," Evers said. "It's their thing. It's their person that was shot to death."

On Monday, Lt. Gov. Sara Rodriguez, who's part of a crowded Democratic primary field in the 2026 governor's race, called on the Legislature to enact a series of state laws restricting ICE.

Those proposals include a ban on immigration arrests in schools, churches and courthouses unless officers have a judicial warrant.

She also called for a state law mandating that federal officers must show their faces, display their badges and wear body cameras while working in Wisconsin.

When asked about the plan, Evers questioned whether the state had the authority to enact each of those ideas. Beyond that, he suggested there could be unintended consequences for pursuing such laws.

"We can take a look at that, but I think banning things will absolutely ramp up the actions of our folks in Washington, D.C.," Evers said. "They don't tend to approach those things appropriately."

Evers told reporters he will not issue an endorsement in the Democratic primary for governor.

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