The Wisconsin State Senate has rejected a school funding and tax rebate agreement brokered by Democratic Governor Tony Evers and Republican legislative leaders, halting a plan that would have combined tax relief with increased support for schools. Despite backing from some Republican leaders, the plan failed to advance in the Senate.
Ahead of Wednesday night’s vote, Assembly Speaker Robin Vos defended the agreement, saying it struck an appropriate balance between tax cuts and school funding. “I think we have a good deal as we have it. Again, it’s about 80% tax relief, 20% spending on special ed kids,” Vos said.
But Senate Democrats raised strong objections, warning the plan could create long-term budget problems. Senate Minority Leader Dianne Hesselbein called the proposal reckless and criticized how it was negotiated, saying it was “stitched together in a backroom deal” and would leave future lawmakers to deal with the consequences of a multi-billion dollar deficit. “It’s simply something I can’t support,” she said.
Democratic Senator Mark Spreitzer of Beloit also cited concerns about the growing cost of the plan. He said the price tag had increased from earlier discussions and could lead to a significant deficit in the state’s next budget, estimating it at nearly $3 billion.
After the deal fell apart, Republicans pointed fingers at Democrats for its failure. Hortonville Republican Representative David Murphy accused Democrats of undermining the governor, saying, “We may need a doctor here to remove the knife from Tony Evers’ back that’s been placed there by Democrats.”
The proposal would have returned about $850 million to taxpayers through $300 income tax rebates, increased the state’s special education reimbursement rate to 50 percent, and boosted state aid to help reduce pressure on local property taxes.