The Wisconsin Legislature’s Joint Committee on Finance advanced a bipartisan agreement between Gov. Tony Evers and Republican leaders to spend roughly $1.8 billion from the state’s budget surplus on school funding, property tax relief and direct payments to taxpayers.
In a 12-4 vote along party lines (with Republicans all voting for the measure and Democrats opposed), the Committee sent the measure to the full Legislature, which is expected to vote on it in special session Wednesday.
However, multiple sources confirmed to the Heartland Post Tuesday afternoon that there are not nearly enough Senators in support of the agreement for it to pass the full Senate.
The Joint Finance Committee took up the proposal after Evers, Assembly Speaker Robin Vos and Senate Majority Leader Devin LeMahieu announced the deal a day earlier. Full votes in the Assembly and Senate are expected Wednesday in a special session, with Evers saying he anticipates signing the measure as early as next week.
The package would direct more than $600 million to K-12 schools, including the largest increase in the state’s special education reimbursement rate in history, raising it to 50%. It includes over $300 million in general school aids that supporters say would help ease property taxes, plus $50 million in property tax relief through Wisconsin Technical College System aid.
It also calls for $850 million in direct payments to more than 3 million income taxpayers — $300 for individuals and $600 for married couples filing jointly — and would eliminate state income taxes on cash tips and overtime pay.
The spending would draw from the state’s projected surplus, previously estimated by the nonpartisan Legislative Fiscal Bureau at roughly $2.5 billion at the end of the 2025-27 biennium. Recent revenue collections have pushed projections even higher, officials said. The deal leaves the state’s rainy day fund untouched.
