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FACT BRIEF

Must all money from Milwaukee’s new 2% sales tax be spent on police?

By Tom Kertscher
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NO

Most revenue from a City of Milwaukee sales tax must be spent on city employee pensions and most of the remainder on police and fire positions.

The Milwaukee Common Council voted July 11, 2023, to create a 2% city sales tax to take effect Jan. 1. Mayor Cavalier Johnson said he would sign the ordinance.

The authority to create the tax was provided by a state law signed June 20 by Democratic Gov. Tony Evers.

In 2024, up to 90% of the revenue would have to be put toward what the city owes for its pension obligations; 10% must be spent on maintaining certain levels of police, fire and emergency services staffing.

In subsequent years, if pension obligations are met, revenue must be spent on adding police and fire positions.

The Milwaukee County Board of Supervisors is considering whether to raise the county sales tax from 0.5% to 0.9%.

This fact brief is responsive to conversations such as this one.
Sources
City of Milwaukee A substitute ordinance relating to a city sales and use tax.
State of Wisconsin 2023 Assembly Bill 245
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Wisconsin Watch, the news arm of the nonpartisan, nonprofit Wisconsin Center for Investigative Journalism, increases the quality and quantity of investigative reporting in Wisconsin, while training current and future investigative journalists. Its work fosters an informed citizenry and strengthens democracy.
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Fact briefs are short, credibly sourced summaries that offer “yes/no” answers in response to claims found online. They rely on publicly available, often primary source data and documents. Fact briefs are created by contributors to Gigafact —a nonprofit project looking to expand participation in fact-checking and protect the democratic process. See all fact briefs here.