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No deal on roads, but Republicans eye increasing Wisconsin vehicle registration fee

Posted at 11:44 AM, Jun 05, 2019
and last updated 2019-06-05 17:07:09-04

MADISON (AP) — Wisconsin Senate Majority Leader Scott Fitzgerald says Republicans are eyeing a $10 increase to the state's $75 vehicle registration fee as part of a way to pay for roads without raising the gas tax as Gov. Tony Evers has proposed.

Evers did not call for an increase in the vehicle registration fee in his budget proposal.

Republicans are discussing alternative proposals and plan to vote on their approach Thursday during a meeting of the budget-writing Joint Finance Committee.

Fitzgerald said Wednesday they are examining which construction projects must get done and how much it would cost. He says Republicans are eyeing cash, fee increases, additional borrowing and tolling is also part of the discussion.

Evers proposed $608 million more for transportation. Fitzgerald says Republicans don't have a target number.

With no deal on how to fund Wisconsin's transportation needs in sight, Republican senators on Wednesday proposed tapping $133 million in budget reserves to pay for repairs to county and town roads.

The idea comes a day before the budget-writing Joint Finance Committee was to decide the larger issue of how to pay for local roads, highways and interstates as well as other transportation needs across the state.

Road funding has long divided Republicans and was the issue that delayed passage of the last budget in 2017 until September. That year, Republicans along with then-Gov. Scott Walker opted to borrow more money rather than raise taxes.

Evers and advocates for bolstering funding for roads have been pushing for an 8-cent per-gallon gas tax increase as part of a more sustainable, long-term funding solution. His plan also increases heavy truck registration and new car titling fees, but does not raise the $75 vehicle registration fee most car owners pay. The current gas tax in Wisconsin is 32.9 cents per gallon.

Republicans who control the Legislature have not put forward an alternate plan, even though the budget committee is scheduled to vote Thursday on the issue. Last week, Fitzgerald said the gas tax hike was off the table, but he didn't say how roads would be paid for.

Fitzgerald called the one-time funding idea announced Wednesday a "laudable idea" that he considered to be outside the larger transportation budget that lawmakers are negotiating.

Rep. John Nygren, co-chair of the budget committee, said he would review the Senate proposal, but he remained committed to finding a long-term solution to road funding.

The plan Republican senators unveiled relies on a one-time funding boost, paid for with a portion of a $753 million budget surplus. Under their idea, each of the state's 72 counties would receive $1 million. Towns would then receive $1,000 for each mile in their town, for a total of $61.6 million.

"We want to help our local leaders fix the roads right now," Republican Sen. Howard Marklein said. "We have the money, we heard our constituents and we are taking action."

The idea drew immediate criticism from Jerry Deschane, executive director of the League of Wisconsin Municipalities, who noted it does nothing for cities and villages.

"This is not a holistic solution by any means," Deschane said. "We look forward to working with them on a solution that's more fair."

"We want to help our local leaders fix the roads right now. We have the money, we heard our constituents and we are taking action." — Republican Sen. Howard Marklein

Assembly Republicans have not agreed to the proposal, and there's no guarantee it will even win adoption by the budget-writing committee when it meets to vote on road funding Thursday.

"We're going to sit down and negotiate an agreement," said Sen. Tom Tiffany, a member of the budget committee and one of the 10 Republican senators out of 19 who attended a news conference announcing the idea. "We're very hopeful this is going to be a part of that agreement."