MMAC's Sheehy: "The Fair Deal is the most defining public policy issue of our generation for Milwaukee County."

Dear friends and neighbors,

Late week Friday, Governor Tony Evers announced that the "Fair Deal" plan that we've been advocating for is part of his 2021-2023 biennial budget proposal. That is great news for the wide coalition of leaders in business and government (including myself) who believe the plan is essential to help Milwaukee County:

• lower property taxes,
• maintain our parks and parkways, and
• provide critical services to help transform Milwaukee County into the healthiest county in Wisconsin.

Over the next few weeks, I will be interviewing bipartisan / nonpartisan "Fair Deal" supporters like Tim Sheehy, president of the Metropolitan Milwaukee Association of Commerce (MMAC), which represents approximately 1,800 member businesses with 300,000 employees in Milwaukee, Waukesha, Washington and Ozaukee counties and beyond.

Tim and I both back the "Fair Deal" proposal asking the Wisconsin State Legislature to provide counties with the opportunity increase the sales tax by 0.5% (and municipalities with a population of more than 30,000 could do the same) - to provide residents with much-needed property tax relief and continue delivering constituent services. Voters would have to approve any increase in a referendum. 

(If you've never heard of the Fair Deal, head over to MoveForwardMKE.com and learn more. Long story short, local governments have very few options to raise local revenue to support local priorities, due to state law. This is why Wisconsin communities have historically relied heavily on revenue from property taxes to fund services. The Fair Deal effort aims to change that.)

Without further ado, here is my conversation with Mr. Sheehy.

SR: Why is MMAC supporting this Fair Deal initiative? How might this proposal benefit your MMAC members and Milwaukee County residents overall?

TS: "Our goal is to ensure this region is globally competitive, with an economy supporting high-value jobs that create a vibrant quality of life for all.

"Milwaukee County provides critical quality of life services, supports our arts and cultural institutions, and provides public safety services. It is important to our goal that these county services are resourced. They benefit employers, employees, and citizens of the county and region. 

"Comparing county spending to peer counties around the U.S, we are below the median. State revenue sharing with the county has declined in real dollars over the past decade. So bottom line, we believe an added local revenue source, like increasing the sales tax, is necessary to support the quality of life of our citizens. Doing so will make this an even more attractive place for businesses to grow and expand."

"Doing so will make this an even more attractive place for businesses to grow and expand."

SR: What kinds of feedback have you heard from your members about this proposal? 

TS: "Look, no one likes raising taxes. But our state and local tax burden as a share of income puts us just above the median in the U.S.

"Milwaukee County is one of the few counties in the state that is a net exporter of personal income. Every year, a net $7.5B in personal income taxes is exported to surrounding counties from work done in Milwaukee County by residents who live outside the county - so a healthy infrastructure in Milwaukee County is a region-wide, and state-wide asset. A sales tax would capture much of the activity in the county from those who don’t live here, possibly up to 30% would come from non-county residents."

SR: The Fair Deal for Milwaukee County Workgroup analyzed a number of proposals. In your view, why did this sales tax solution emerge to the top of the list?

TS: "As noted, a sales tax is the broadest way to fund the services of the county reaching nonresidents, and visitors that also benefit from these services.

"Wisconsin residents also face a relatively high-property tax and income tax burden, yet we rank lowest among all states that have a sales tax. So the sales tax looks to be the best path forward to provide an additional local source of revenue that can fund County and City services."

SR: The work group included a wide range of voices from across the political spectrum. In a time of such political discord, why do you think a bipartisan group was able to come together on a solution on this?

TS: "Overcoming partisanship is a very difficult political hurdle to get over, but it’s necessary if we are to continue the level of services and grow our quality of life for all. The competition for jobs and capital investment is outside the state, not inside. More than 30% of the state's economic output comes from metro Milwaukee, so giving us the tools locally to manage and invest in our public services should not be a partisan battle. Our job is to make the politically impossible, the politically inevitable."  

"More than 30% of the state's economic output comes from metro Milwaukee, so giving us the tools locally to manage and invest in our public services should not be a partisan battle."

SR: How has the current COVID economic environment impacted the need for this proposal, if at all?

TS: "COVID has emphasized the disparate nature of our economy. Those with less income, and less education have been hit harder in the downturn. Vital public services, like child care, mental health, housing and transportation are in more need, and more strained than ever before. If we are to move forward as a region, we need to ensure we are a region of choice for all, not just some. So we believe it's even more important for Milwaukee County to have the necessary fiscal tools to meet the needs of its citizens." 

SR: What are the best ways for residents to join us and voice their support?

TS: "If this is compelling to your constituents, the best thing they can do is to reach out to their state legislators and support an effort to give Milwaukee County the ability to raise its sales tax. This can be done directly by state legislation, or by having the state approve a county wide referendum. There is no waiting for Superman here, we have to save ourselves."

"The best thing [constituents] can do is to reach out to their state legislators."

SR: Is there anything I didn’t ask, but I should have?

TS: "We believe this is the most defining public policy issue of our generation for Milwaukee County. Putting this revenue tool in place, and wisely and effectively using the resources is critical to our goal of being globally competitive, and being a region of choice for all. We must do this and do it together." 

"This is the most defining public policy issue of our generation for Milwaukee County."

Help us pass the Fair Deal.

Ready to contact your state legislators and urge them to support the "Fair Deal?" It's easy to get involved.

1) Find Your Legislator - Open the Wisconsin state legislator search tool, enter your address in the search box, and the interactive map will find your State Senator and Representatives.

2) Contact Your Legislator - Here's a helpful message to get you started on an email or a phone call:

• My name is <Name> and I live at <Address>. I am <calling / writing> to encourage your support a local option sales tax for Wisconsin counties. This legislation will give county voters a voice in deciding how best to reduce property taxes and address the funding challenges facing the county and its municipalities. I support this legislation because <insert your specific reasons / beliefs (for example: enhancing our parks and parkways, lowering property taxes, promoting better health outcomes, etc.>. This legislation is about providing local funding for local priorities and as my elected official, I urge you to support it.

To learn more, visit Moveforwardmke.com.

Sincerely,

Shawn Rolland

Milwaukee County Board Supervisor - District 6, representing neighborhoods in Wauwatosa, West Allis and Milwaukee's westside