MILWAUKEE — Without more revenue, Milwaukee County has said it faces major cuts to services like buses and parks. But its new tax hike also means higher prices for goods and services.
On Thursday, shortly after the Milwaukee County Board of Supervisors voted 15-3 to approve the 0.4% sales tax increase, Rebecca Adams took her daughters to Kosciuszko Park.
"Just needed to relax, take in some fresh air. And this is a free place to come, so I love coming to the park," said Adams.
She said if the tax bump means preserving more parks, she's behind it.
"I think everything is way more expensive than it has been," said Adams. "I don't think the sales tax will be too much. Because everything else is too high."
County officials said, the increase — which brings the county sales tax to 0.9 percent — will generate more than $82 million next year, offsetting a deficit and avoiding cuts to services.
The county has said many of its bus lines, as well as parks and mental health and public safety programs, could be eliminated with the tax levy.
Waiting for a bus along 27th Street, Julian, a daily rider, said his livelihood depends on the Purple Line.
"I don't have a car. And I need to get to work. So that helps me a lot with my life," he said. "A little tax increase is not that bad I guess."
The Board of Supervisors approved the vote 15-3. Among those who voted no was Supervisor Ryan Clancy.
"Most households in Milwaukee County would not want this," said Clancy.
He said the talk of immediate threats to buses and parks was "hyperbole" and more discussion, not a higher tax, is needed right now.
"We know that poor households are being asked to pay seven times more as a percentage of their income than the people at the very top based on this sales tax and other sales and excise taxes," said Clancy.
Under state tax code, people in Milwaukee County will pay more for hotels, car repairs and laundry, among other services. Goods, including clothes, computers and office equipment, will also be more expensive.
The Milwaukee County increase comes after the City approved a 2% sales tax earlier this month.
Clancy said his constituents, including restaurant owners, are worried about paying workers less as diners spend more on the sales tax line. Retirees on fixed incomes, he said, also wonder how hard the tax will fall on them.
After the vote, County Executive David Crowley released a statement, saying in part:
“Today, the County Board of Supervisors shaped the future of the Milwaukee County for years to come by avoiding a devastating fiscal cliff that posed to threaten irreparable harm to our community. After years of advocacy, Milwaukee County finally has the additional revenue needed to avert financial disaster."
The city sales tax and county increase are expected to take effect in January 2024.
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