LPWI Responds to Rock County Democrats’ “Municipal Aid” Proposals: Lawmakers Admit Plan Redirects State Funding with Limited Oversight

The Libertarian Party of Wisconsin (LPWI) is calling for full transparency and accountability following public confirmation from Senator Mark Spreitzer and Representative Clinton Anderson that their recently unveiled “local aid” bills would, in fact, alter Wisconsin’s state shared revenue formula and redirect funds from the Local Government Fund, which is fueled by state sales tax collections. Adjustments would also be calculated by a new state council, appointed for the express purpose of determining who gets what — without much of a “why”.

“State shared revenue is one of the most politically sensitive and least transparent mechanisms in Wisconsin government,” said LPWI Chair Reese Wood. “When legislators propose adjustments that shift where those dollars go — especially without disclosing that upfront — taxpayers deserve a clear explanation of who pays more, who gets more, and how that process is decided.”

Both Spreitzer and Anderson confirmed online that the proposal (LRB-4792) adds new supplemental aid payments for cities over 50,000 residents, paid out of the state’s Local Government Fund. It also creates a Shared Revenue Advisory Council, a permanent committee whose appointed members review and recommend changes to the distribution formula every decade.

“Creating another state-level council to manage local funds does not restore local control — it deepens dependence,” Wood continued. “Local governments should not have to lobby Madison for a fair share of their own taxpayers’ money. True reform means abolishing the shared revenue system altogether and returning fiscal authority directly to municipalities and residents.”

The Libertarian Party of Wisconsin also raised concerns that the accompanying measures — including giving municipalities the option to impose additional, local sales taxes, expanding TIF (Tax Incremental finance) powers, and allowing property seizure for bike and pedestrian trails — amount to a further expansion of government power, not relief.

“Politicians love to call this kind of legislation ‘help,’ but it’s really just repackaging dependence and control,” said Wood. “Libertarians believe in local autonomy funded by local taxpayers, without the state acting as middleman or master.”

LPWI calls on lawmakers of both parties to publish detailed fiscal notes showing exactly how these proposed changes would redistribute funds statewide and to commit to legislation that moves Wisconsin toward genuine fiscal independence — not deeper entanglement in bureaucratic systems.

NOTE: This press release was submitted to Urban Milwaukee and was not written by an Urban Milwaukee writer. While it is believed to be reliable, Urban Milwaukee does not guarantee its accuracy or completeness.