Fiscal Note
This resolution requires a number of actions by the Finance Department and various City committees:
The Finance Committee, with assistance from the Finance Department, is directed to confirm a series of statements regarding the possible impacts and implications of a possible sales tax for the City of Madison and an undefined Metro Transit District. The resolution also calls for a study on the incorporation of revenues from a possible sales tax into projections for future City budgets, including sufficient reserves to address future economic downturns, and possible impacts on the need for future property tax revenues. Regarding development of the 2025 budget, the resolution calls for the use of one-time funds to address the deficit for one year, with the assumption that a future State Legislature will pass a law authorizing the City of Madison to implement a 0.5% sales tax in time to use those revenues in the 2026 budget.
The Transportation Committee is directed to work with staff to review the financing of regional transit entities around the country, particularly those funded from a sales tax, work with communities adjacent to Madison to gauge support for a regional sales tax to help fund transit costs, engage with Transit labor organizations regarding their perspectives on shifting employees from the City to a regional transit entity.
The Common Council Executive Committee is directed to gather information from the City of Milwaukee regarding the use of proceeds from its recently authorized 2% sales tax, as well as its advice for working with the State Legislature to secure approval for a sales tax for the City of Madison and a Metro Transit District. This committee is also directed to develop a comprehensive City plan to lobby the State Legislature to approve a sales tax for the City of Madison.
The provisions of this resolution are similar to those adopted by the Council in Legistar 82079 (RES-24-00260, adopted April 16, 2024), regarding lob...
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