SB 849

This bill eliminates or modifies the following provisions enacted under

2023 Act

12

:

County sales tax; unfunded retirement system liability

1. Current law allows a county in which a city of the first class is located

(Milwaukee County) to adopt a sales tax at the rate of 0.4 percent to pay the unfunded

actuarial accrued liability of the county's retirement system. Beginning in 2026,

current law requires a county that imposes the tax to annually submit a report to the

Joint Committee on Finance containing detailed information on the county's

expenditures in the previous year from the sales tax revenues. The bill eliminates

that reporting requirement.

2. In addition, the county must comply with other provisions and restrictions

under current law. For example, the total amount of the county's budgeted

expenditures related to cultural or entertainment matters may not be greater than

5 percent of the total amount of budgeted expenditures for the budget period. In

addition, the county board may enact an ordinance or adopt a resolution that

includes new program spending or increases the number of county positions only

upon a two-thirds vote of all of the members of the board. Current law also requires

the county to identify all buildings that the county has authority to sell and that are

not being used by the county and prepare a plan for the use or sale of these buildings.

The county must then submit that plan to the Joint Committee on Finance. The bill

eliminates these and similar provisions that apply only to the county.

First class city sales tax; unfunded retirement system liability

1. Current law allows a city of the first class (Milwaukee) to adopt a sales tax

at the rate of 2 percent to pay the unfunded actuarial accrued liability of the city's

retirement system. Current law requires the city, beginning in 2026, to annually

submit a report to the Joint Committee on Finance containing detailed information

on the city's expenditures in the previous year from the sales tax revenues, including

expenditures and staffing levels related to law enforcement, fire protection, and

other public safety measures. The bill eliminates this reporting requirement.

2. In addition, the city must comply with other provisions and restrictions

under current law. For example, the total amount of the city's budgeted expenditures

related to cultural or entertainment matters may not be greater than 5 percent of the

total amount of budgeted expenditures for the budget period. In addition, the city's

common council may enact an ordinance or adopt a resolution that includes new

program spending or increases the number of city positions only upon a two-thirds

vote of all of the members of the common. Current law also requires the city to

maintain a level of law enforcement and fire protective and emergency medical

service that is at least equivalent to that provided in the city in the previous year.