INTERIM Lege Trend: Transportation Sales Tax. Funding Ideas from the Land of Cheese.

Where is this legislative movement happening?  It is a bipartisan transportation plan in Wisconsin

Did Republicans or Democrats come up with this idea? Republicans

What stumbling blocks do they have? Convincing collegues it is not a tax increase

How do they counter this? By focusing on the local vote requirement.

What does the legislation allow?

  • Allow counties, with voter approval in a referendum, to impose a half-cent sales tax
  • Sales tax revenue is then distributed to local municipalities for road maintenance
  • Municipalities would have to maintain pre-existing spending levels so the funds wouldn’t displace spending in another area of the budget.
  • Voters would have to approve the sales tax every four years.

Reminiscent of Texas’ Transportation Reinvestment Zones? Yes,

Wisconsin State Journal | Bill allowing counties to raise half-cent sales tax for transportation has bipartisan support