Wisconsin Republicans Cut Taxes and Fund Schools at Historic Levels

 

Yesterday, the Joint Committee on Finance (JFC) voted to cut taxes by about $3.4 billion over the 2021-23 biennium! Our tax plan provides relief in the following ways:

  • $200 million tax relief for the business community
  • $900 income tax relief for the typical family
  • $300 property tax relief for the typical home
  • Create a child and dependent care tax credit

This amounts to $1,200 in savings for the typical family. In addition to providing this tax relief, we were able to reach the goal of two-thirds funding for our K-12 schools. In fact, under this plan, state aid to our schools is estimated to reach 68% in the second year of the biennium.

 

Wisconsin is estimated to see $4.4 billion more than expected in revenues. This is your money, and we will be passing a budget that sends much of those extra revenues back to the hard-working taxpayers of Wisconsin, while continuing to make record investments in our priorities.

 


Other Budget Highlights

JFC also met in executive session (meetings where the committee votes on sections of the budget) on Tuesday to consider the following items: Health Services, Insurance, Board on Aging and Long-Term Care, Children and Families, Public Service Commission and Broadband. Below are some highlights:

 

Department of Health Services (DHS)

The actions we took on Tuesday make critical investments in our hospitals, long-term care facilities, and dental clinics to ensure Wisconsinites have access to affordable, high-quality healthcare when they need it. We are supporting our hospitals in a number of ways, including by increasing funding for Emergency Room Physicians by $6.6 million, and by investing $104 million in Disproportionate Share Hospital (DSH) payments. DSH payments go to hospitals that serve a disproportionate share of low-income patients – about two-thirds of hospitals across Wisconsin receive these payments. We also increased the Medicaid dental reimbursement rate by 40%. We have heard for years that low reimbursement rates have made it difficult for dentists in Wisconsin to serve low-income patients, and it’s our hope that this increase can help those patients access the care they need. Our budget also ensures we are supporting those who care for our most vulnerable by providing nearly $434 million for long-term care facilities and their staff. Many of these healthcare providers were on the frontlines throughout the COVID-19 pandemic, and I’m proud that we are able to make these investments.

 

 

Department of Children and Families (DCF)

Under DCF, the committee increased funding for Wisconsin Shares, which provides child care assistance to low-income families. We increased rates from the 30th to the 65th percentile. By providing a substantial increase in these rates, we can continue to help these families, while helping to create stabilization in the child care industry. We also provided an 18% increase in level one Foster Care and Kinship Care rates. These increases will help families who are caring for children across Wisconsin to create a better, more stable environment for children. One other thing I would like to highlight is a $300,000 investment in Wendy’s Wonderful Kids, a program at Children’s Hospital that assists in finding permanent placements for children with special needs.

 

Broadband

While availability of broadband is not an issue I hear about in our district, our state still has a long ways to go in providing access to high-speed broadband statewide. COVID-19 has shown us how critically important broadband infrastructure is as many have had to work, learn, and even virtually visit with our healthcare providers. This is why we chose to provide $129 million in the upcoming biennium to support broadband expansion grants.


What's next?

Following Thursday’s actions, JFC has completed our committee work on the budget. In the coming weeks, the Legislative Reference Bureau (LRB) will finalize the bill language so that both the Assembly and Senate are able to convene and vote on the budget. Once an identical version of the bill has passed in both houses, the bill will go to Governor Evers’ desk. In Wisconsin, our Governor has three options with appropriations bills: he can sign the bill as it is, veto it in its entirety, or he is able to line-item veto certain parts of the budget. If the bill is line-item vetoed, the remaining parts of the bill are still signed and become law.

 

This budget provides historic investments in healthcare, reaches two-thirds education funding, and delivers meaningful tax relief for Wisconsin taxpayers. It is our hope that Gov. Evers will not pass up on these investment opportunities, and will sign the budget into law.


Happy Father's Day! 

Wishing all of the dads in the 21st Assembly District a Happy Father's Day!