December 22, 2023 - Introduced by Representatives C. Anderson, Jacobson, Palmeri, Ratcliff, Baldeh, Considine, J. Anderson and Sinicki, cosponsored by Senators Spreitzer and Agard. Referred to Committee on Government Accountability and Oversight.
AB854,,22An Act to repeal 79.05 (4); to amend 20.835 (1) (s), 25.491 (3), 79.015, 79.02 (2) (b) and 79.02 (3); and to create 79.05 (8) and 79.06 of the statutes; relating to: replacing the expenditure restraint incentive program with a municipality payment program and making an appropriation. AB854,,33Analysis by the Legislative Reference Bureau This bill ends payments to municipalities for the expenditure restraint incentive program in 2023 and begins payments to municipalities for the municipality payment program in 2024. The municipality payment program, created by the bill, provides payments to municipalities that received an expenditure restraint incentive program payment in 2021, 2022, or 2023. A municipality’s payment each year is equal to the highest expenditure restraint incentive program payment that the municipality received during the period from 2021 to 2023. Under current law, generally, a municipality is eligible to receive an expenditure restraint incentive program payment if its property tax levy is greater than 5 mills and if the annual increase in its municipal budget is less than the sum of factors based on inflation and the increased value of property in the municipality as a result of new construction.
For further information see the state and local fiscal estimate, which will be printed as an appendix to this bill.
AB854,,44The people of the state of Wisconsin, represented in senate and assembly, do enact as follows: AB854,,6620.835 (1) (s) Expenditure restraint incentive Municipality payment program account. From the local government fund, a sum sufficient to make the payments under s. 79.05 (3), plus the amounts under s. 79.05 (7) 79.06. AB854,,8825.491 (3) There is established in the local government fund a separate account that is designated the “expenditure restraint incentive municipality payment program account” to make the payments under s. 79.05 79.06. AB854,,101079.015 Statement of estimated payments. The department of revenue, on or before September 15 of each year, shall provide to each municipality and county a statement of estimated payments to be made in the next calendar year to the municipality or county under ss. 79.035, 79.036, 79.037, 79.038, 79.039, 79.04, and 79.05 79.06. AB854,,121279.02 (2) (b) Subject to ss. 59.605 (4) and 70.995 (14) (b), payments in July shall equal 15 percent of the municipality’s or county’s estimated payments under ss. 79.035, 79.036, 79.037, 79.038, 79.039, and 79.04 and 100 percent of the municipality’s estimated payments under s. 79.05 79.06. Upon certification by the department of revenue, the estimated payment under s. 79.05 79.06 may be distributed before the 4th Monday in July. AB854,,141479.02 (3) Subject to s. 59.605 (4), payments to each municipality and county in November shall equal that municipality’s or county’s entitlement under ss. 79.035, 79.036, 79.037, 79.038, 79.039, 79.04, and 79.05 79.06 for the current year, minus the amount distributed to the municipality or county under sub. (2) (b). AB854,716Section 7. 79.05 (8) of the statutes is created to read: AB854,,171779.05 (8) Notwithstanding subs. (2) and (3), beginning in 2024, no payments shall be made under this section. AB854,818Section 8. 79.06 of the statutes is created to read: AB854,,191979.06 Municipality payment program. For the distribution in 2024 and in subsequent years, each municipality that received a payment under s. 79.05 in 2021, 2022, or 2023 shall receive in each year a payment under this section equal to the amount it received under s. 79.05 in 2021, 2022, or 2023, whichever is greatest. AB854,920Section 9. Effective dates. This act takes effect on the day after publication, except as follows: AB854,,2121(1) The treatment of ss. 20.835 (1) (s), 25.491 (3), 79.015, and 79.02 (2) (b) and (3) takes effect on July 1, 2024.