Latest news with #BillChristianson
Yahoo
07-03-2025
- Business
- Yahoo
Milwaukee's 2% sales tax brought $200 million into city coffers in first year
The City of Milwaukee surpassed expectations in the first year of its local sales tax, bringing in more than $200 million in revenue in 2024. The city had anticipated — and budgeted — revenues from the 2% sales tax at about $184 million. The state had previously put that estimate at $193.6 million. In all, Milwaukee Comptroller Bill Christianson said the 2024 sales tax revenue was $16.6 million over budget. The difference between expected and actual revenue can be explained by two factors, he said. First, the city made a conservative estimate because it didn't have its own historical sales-tax data to draw from. Second, the local economy was strong, driven by major events like the Harley-Davidson Homecoming Festival and the Republican National Convention and the absence of a broader economic slowdown. The sales tax went into effect Jan. 1, 2024, as part of a local government funding law passed by the state Legislature and signed by Gov. Tony Evers the previous year. The landmark law, known as Act 12, boosted revenue to local governments, including by allowing Milwaukee to enact a local sales tax and Milwaukee County to boost its existing sales tax. The law helped the city avoid deep service cuts, but it also came with significantly increased costs for public safety and the city's annual pension payments in addition to a series of non-fiscal policies aimed at the city. The city may use the sales tax dollars only for specific areas: pension costs; maintaining police, fire protection and emergency medical services at April 1, 2023, levels; and growing police and fire staffing over a decade to levels mandated in the new law. The city must increase its police and fire personnel until it has at least 1,725 officers, including 175 detectives, and a daily staffing level of at least 218 members in the fire department. It must reach those benchmarks by the end of the 10th year after a sales tax goes into effect. The city had 1,587 police officers in late 2024. The increased funding does not mean the city is flush with cash. Milwaukee Mayor Cavalier Johnson warned ahead of 2025 budget deliberations that departments would face difficult decisions. Alison Dirr can be reached at adirr@ This article originally appeared on Milwaukee Journal Sentinel: Milwaukee's 2% sales tax brought in $200 million in 2024
Yahoo
07-03-2025
- Business
- Yahoo
Milwaukee sales tax; $200M brought in for city
The Brief A new sales tax in Milwaukee brought in just over $200 million for the city in 2024, more than projected. Despite the increase, state law has strict stipulations for how it can be dispersed. As of 2024, the sales tax in the city is 7.9%. MILWAUKEE - A new Milwaukee sales tax brought in just over $200 million for the city in 2024, in its first year in effect. That amount is larger than what was projected. What we know As of January 2024, the sales tax in the city is 7.9%. City comptroller Bill Christianson's data shows the city received its highest sales tax distribution last August. "We had estimated originally $184 million. It's now our third largest source of revenue," Christianson said. "I think a lot of events this summer, including the RNC, definitely had a positive impact on sales tax receipts." Milwaukee leaders say the new tax is helping the city avoid devastating cuts due to pension obligations. SIGN UP TODAY: Get daily headlines, breaking news emails from FOX6 News "I think that's one of the benefits of the city sales tax is that it's not just city residents that bare burden of that, it's spread amongst those who get our amenities and services," Christianson said. Dig deeper Despite the increase, state law has strict stipulations for how it can be dispersed. According to the Act 12 law, the city has to use most of the money – 90%-- to support its pension program, and what's left will go towards beefing up public safety, like police and fire services. A city spokesperson said more than 75% of the cost of pensions is related to public safety employees. What they're saying It is leaving some residents feeling left out on more than expected. FREE DOWNLOAD: Get breaking news alerts in the FOX LOCAL Mobile app for iOS or Android Lilo Allen is co-founder of the Bronzeville Collective MKE. She said her costs have gone up, so she's had to bump prices. "I don't think inherently there is any benefit to small business owners. And I mean a good portion of that money is going to pay pensions," she said. "It seems tiny, right, a few cents, but it could make or break somebody's pocket, so folks are being very fiscally conservative." As an incentive, she's selling these tote bags to circumvent the issue. "We created a Bronzeville Collective tote bags, and so the bag itself is 12, but anytime you come into the space and shop with us, you get a percentage off that is equal to the amount sales tax increase, so it's like 5 to 10%." The Source The comptroller and a small business owner in Bronzeville, as well as prior coverage, contributed to this report.
