'The stakes are so high': Where Milwaukee County supervisors stand on vote to raise sales tax

 

MILWAUKEE (CBS 58) -- Milwaukee County Executive David Crowley led a walk for seniors on a gloomy Thursday morning, but there was plenty of sunshine in his world.

One day earlier, the Wisconsin Legislature passed a bill that would boost state funding for all local governments and give Milwaukee leaders a chance to vote on additional local sales taxes. City and county officials say that tax revenue is needed to avoid drastic cuts in the coming years.

As part of a compromise between Democratic Gov. Tony Evers and Republican legislative leaders, the Milwaukee Common Council and Milwaukee County Board will vote on whether to approve their respective sales taxes, instead of the public.

In exchange for dropping the public referendum requirement, which Republicans wanted, Evers accepted an education funding package that gives public schools more than $1 billion in additional funding while also giving private voucher schools a considerably bigger increase in per student funding.

Most Democratic lawmakers voted against the school funding bill Wednesday.

The grand bargain cleared a path for the state to increase state aid for local governments, known as "shared revenue," for the first time in more than a decade.

"This is a historic moment," Crowley said before an event in Cudahy Thursday. "I mean, for 20, 25, 30 years, many communities, Milwaukee being one of them, all across the state, have been talking about the need for additional revenue."

Every local government in the state, municipal and county, will receive at least a 20% increase in shared revenue. Going forward, 20% of all state sales tax revenue will go into the shared revenue pot. 

For Milwaukee, the city's common council can approve a new 2% city sales tax. If approved, it would generate about $200 million per year. 

Milwaukee County has an existing sales tax of 0.5%. The shared revenue bill allows the county to increase the tax to 0.9%, which would bring in another $75 million per year.

"When you think to the future, in the next five years, we would've been looking at cutting about 33% of our workforce," Crowley said. "That doesn't help up retain or attract people."

In order for the Milwaukee sales taxes to pass, two-thirds of the elected bodies must approve. That means 10 of the city's 15 alders and 12 of the 18 county board supervisors.

Where the supervisors stand

CBS 58 contacted all 18 board supervisors after speaking with Crowley Thursday.

Five supervisors responded. Of them, two said they planned to vote for the increased sales tax. Two said they were undecided, and one said he will vote 'no.'

Supervisor Shawn Rolland, who represents Wauwatosa and Milwaukee's Washington Heights neighborhood, said given the county's need to pay for upgrades that have long been put off, such as parks, transit and the courthouse, he planned to vote in favor of the increased sales tax.

"You know, we can't fund public services on hopes and dreams, as much as we wish that was possible," Rolland said. "We have to have funding."

Supervisor Steve Taylor, who represents Franklin, said he was undecided. He emphasized the county desperately needs the money but didn't want to commit until a resolution was drafted. 

Taylor added he's heard from about a dozen constituents who opposed the tax, but noted they likely aren't diving deep into the numbers that paint the picture of Milwaukee County's looming fiscal cliff, caused largely by a pension scandal in the early 2000s.

"They're saying, 'we don't want to pay any additional sales tax.' I get it," Taylor said. "I represent a conservative district, but I also know we need to- we can't go bankrupt."

Critics have taken issue with a number of conditions placed on the Milwaukee sales taxes. The money could only be used to pay off pension debt and public safety.

Local governments would have their state aid cut if they reduce police and fire staffing. They'd also be banned from using race as a consideration when awarding contracts, nor could they hire positions related to diversity, equity and inclusion, referred to as "DEI."

Supervisor Ryan Clancy, who represents Bay View and the neighborhoods around Mitchell Airport, has been an outspoken critic of the shared revenue deal, citing the strings attached for Milwaukee. Clancy said he also took issue with how Milwaukee County would be allowed to raise its additional revenue.

"Sales taxes are inherently regressive and fall harder on our poor and working-class residents," Clancy said in an email. 

Clancy is also a member of the state Assembly, where he voted 'no' on the bill Wednesday.

Supervisor Peter Burgelis, who represents West Milwaukee and the Milwaukee neighborhoods around American Family Field, said he expected to vote yes, but also wanted to host town halls and hear from voters. 

Burgelis added his biggest frustration was that he felt the bill still didn't address an imbalance where Milwaukee generates more money for the state than it receives back in shared revenue.

"Instead of talking about ‘Shared Revenue’ we should be talking about un-sharing revenue generated in Milwaukee County," Burgelis said in an email. "And keeping more of the tax dollars generated here to stay here in our community."

Supervisor Kathleen Vincent, who represents Greendale and most of Greenfield, said she was undecided. Vincent declined to do an on-camera interview but told a reporter her biggest concern was ensuring public schools got enough of a funding boost as part of the overall compromise.

Crowley said he understood supervisors' frustration, but he added with Republicans controlling the legislature, the deal would inevitably include items most of Milwaukee opposes.

"Yes, this bill gives many of us heartburn. It gives myself heartburn, too," Crowley said. "But when you think about what we'll be able to do moving forward, how we've been able to put Milwaukee County on the best fiscal path that we have been on in decades, that's something we should be proud of."

Taylor said he expected the county to take action on the sales tax next month, at least at the committee level. The final vote is expected to happen later this summer.