Bigger boost to sales tax urged
Business coalition letter directed at state Senate
The state Senate should amend sweeping legislation boosting funding to local governments to forgo referendums on Milwaukee sales taxes and allow the county to levy a higher sales tax than what is in the current bill, a coalition of Milwaukee-area business leaders, organizations and others said in a letter Thursday.
The request for the additional sales tax funding — for the county, an additional 0.5% sales tax as opposed to the 0.375% increase in the current bill — reflects costs to the county that are contained in the legislation plus the county’s existing unique public safety costs as opposed to solely addressing its pension obligations, said Brandon Weathersby, spokesperson for County Executive David Crowley.
He said in negotiations with legislators at the Capitol Crowley had pushed for a larger sum than the 0.375% sales tax increase contained in the bill.
Estimates say a 0.375% sales tax would provide a boost of about $75 million to the county annually. In contrast, the 0.5% sales tax currently imposed in Milwaukee County generated about $96.3 million last year, according to state Department of Revenue data on county sales tax distributions.
The letter from the Move Forward MKE coalition, which includes Milwaukee County and the City of Milwaukee, also asks that the Senate amend the bill to allow the city and county to implement sales taxes by majority votes of the Common Council and County Board instead of putting the question to voters.
As written, the legislation passed by the Assembly and now before the Senate would allow the City of Milwaukee to levy a 2% sales tax while Milwaukee County could add a 0.375% sales tax on top of its current 0.5% tax,