k-12 tax & $pending climate: City of Madison fee & tax increases
The program was created to encourage municipalities to limit spending growth, but Schmiedicke said its formula has not kept pace with inflation, making it more difficult for the city to maintain existing services without exceeding the limit.
After voters approved a $22 million property tax referendum in 2024, the city anticipated future deficits in its five-year financial plan. But the projected shortfall for next year is larger than expected, he said.
The city has enough money in reserve to cover the deficit, Schmiedicke said. But officials may also consider creating a special charge for infrastructure costs to help pay for engineering work and street repairs.
