The News: A Wisconsin judge has sided with the Wisconsin Institute for Law & Liberty in a lawsuit to end an unconstitutional carve out allowing Milwaukee County to withhold millions from Wisconsin’s Common School Fund.
This fund, created by the Wisconsin Constitution, supports libraries in schools across Wisconsin. The Wisconsin Constitution requires the clear proceeds of all fines and forfeitures to be deposited into the fund. Historically, state law allowed counties to keep 50% of certain motor vehicle fines and forfeitures, while depositing the rest into the common school fund. Last summer, a provision was tucked away in the Wisconsin state budget allowing Milwaukee County, and only Milwaukee County, to keep 100% of those particular fines and forfeitures. That violates the Wisconsin Constitution’s requirement that such funds be deposited into the Common School Fund.
The Quotes: WILL Associate Counsel, Lauren Greuel, stated, “This decision brings an end to an unconstitutional and costly money grab by Milwaukee County. WILL continues to oppose reckless mismanagement and unconstitutional overreach because taxpayers deserve a government that’s efficient, accountable, and operates within the law.”
WILL Client, Christine Stueland, stated, “I know that every dollar matters. I am so thankful that WILL stood up for what’s right and protected the interests of taxpayers across Wisconsin.”
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Additional Background and Legal Argument: Prior to 2025 Wisconsin Act 15, all counties could keep 50% of the net proceeds from motor vehicle fines and forfeitures. However, that state budget gave Milwaukee County a unique exemption, allowing it to keep 100% of those particular fines and forfeitures. This exemption meant that Milwaukee County was contributing none of those fines or forfeitures to the Common School Fund, which is in direct violation of the Wisconsin Constitution. Without the state’s largest county contributing, the Common School Fund has less resources to distribute to all schools across the state, even while Milwaukee school libraries are still receiving the benefits of the fund. The State of Wisconsin’s Legislative Fiscal Bureau estimated this change would cause a loss of $4.4 million to the fund over the current two-year state budget, or about $2.2 million each year.
WILL represented two taxpayers, including a parent whose children will receive less resources, to argue that the Milwaukee County carve out, Wis. Stat. § 59.25(3)(j)1.c., is in direct violation of the Wisconsin Constitution.
On August 13, 2026, a Wisconsin judge declared Wis. Stat. § 59.25(3)(j)1.c. unconstitutional and issued a permanent injunction against the Milwaukee County Treasurer from enforcing the law.
Read More:
- Judge’s Decision, August 2026
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