GOP legislative leaders are calling for a more than $2.3 billion package that would pair a tax rebate Senate Republicans proposed with additional state funding that Dem Gov. Tony Evers wants for special education and money to boost a property tax credit.
Senate Majority Leader Devin LeMahieu, R-Oostburg, and Assembly Speaker Robin Vos, R-Rochester, laid out their proposal to reach a deal with Evers on how to use the state’s projected $2.5 billion surplus.
They wrote in a letter to Evers the GOP caucuses in both houses had agreed to the plan in principle.
“This is a generous, good-faith attempt to achieve our mutual goals of limiting the property tax impact caused by your misguided 400-year veto, helping families address rising costs, and ultimately doing what is best for the people of Wisconsin,” LeMahieu and Vos wrote in the letter.
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An Evers spokesperson said late yesterday the guv hadn’t reviewed the proposal closely.
It includes:
- $1.48 billion for rebates of $1,000 to married couples and $500 for all other filers.
- $500 million for the school levy credit, which would drive down property taxes.
- $200 million to boost special education reimbursement.
- $30 million in grants of up to $50,000 per business and $25,000 per household impacted by flooding last year.
- $1.4 million to fund a deduction for some expenses incurred by educators.
LeMahieu and Vos also said they would agree to additional funding and positions in the state’s FoodShare program to account for changes made by the federal government in the One Big Beautiful Bill Act.
The Department of Health Services last year asked for an additional $32.3 million in general purpose revenue in state fiscal year 2026-27 to account for the federal government covering a smaller share of program administrative costs. The agency also sought an additional 56 employees to conduct eligibility checks with FoodShare recipients. That would cost $5.7 million in GPR during 2026-27 and another $10.5 million in the second year of the budget.
Instead of creating new positions, LeMahieu and Vos wrote they would agree to DHS converting vacant positions to cover the request.
The offer comes on the heels of LeMahieu telling the media last week that he had been cut out of negotiations between Evers and Vos.
Evers’ office earlier this month sent the leaders a proposal that included $200 million to increase special education reimbursement, $450 million for general school aid, $550 million for the school levy tax credit and $97.3 million toward exempting cash tips.
In yesterday’s letter, LeMahieu and Vos wrote that Evers had stipulated any deal must include general school aid, though they didn’t include it in yesterday’s offer.
