Taxpayers in Milwaukee County are being asked to pay more to keep from falling behind in the new county budget.
Milwaukee County Executive David Crowley on Tuesday introduced his $1.4 billion county budget.
"We know the structural deficits have returned and will be back in the near future. We know that the new sales tax revenues need to pick up. And we know the costs of state-mandated services are accelerating faster than we can pay for them," Crowley said.
Crowley is suggesting a 2.8% property tax increase as a way to raise money for those mandated costs. That tax increase is expected to bring-in $8 million to the county next year.
Much of that tax increase has already been earmarked for Milwaukee County’s sheriff’s office. Crowley’s plan would send $5 million in new tax money to the sheriff’s office, with $2 million dedicated to overtime costs alone.
The proposed property tax increase comes after Milwaukee County raised its sales tax at the beginning of the year.
Crowley on Tuesday said that tax increase has not brought-in as much money as expected.
"My administration has addressed legacy fiscal issues, secured new revenues, and implemented innovative and efficient ways to deliver services for our entire community," Crowley said in his prepared remarks.
County Board Supervisor Steve Taylor has been warning for months that the sales tax would be lower than expected.
“We’ve not seen the projected sales tax revenue come in. I mean, people are not spending as much as we projected,” he said in an interview last month.
On Tuesday, Taylor told reporters that Crowley’s budget manages that shortfall.
“I didn't see a lot of new grandiose ideas or programs. I think it's just more of a cost-to-continue budget,” Taylor said.
Crowley essentially blamed the state for the lack of new spending in his proposed budget. He told county supervisors that most of the money in his spending plan is tied to required services, like the county’s jail and court system.
"I would prefer to use our local dollars to invest in local priorities, like affordable housing, mental health services, public transit, safer streets, and our parks," Crowley said. "However, as a partner with the State of Wisconsin, Milwaukee County must fulfill its responsibilities and our legal obligations."
There is new spending in Crowley’s budget, however.
He is proposing to spend at least $6 million on the planning for a new county courthouse. And said he’s willing to spend even more if need be.
But Crowley acknowledged that the budget-after-next will be more difficult than the one he proposed on Tuesday.
“We have to find a more fiscally sustainable approach to funding [our] services,” Crowley added.
Even with the proposed property tax increase, and January’s sales tax increase, Crowley said Milwaukee County will be looking at a $19 million budget shortfall in two years.
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