Milwaukee, WI
Milwaukee County facing $19M deficit, even after raising sales tax
Milwaukee County facing $19M deficit
The Milwaukee County Office of Strategy, Budget and Performance is looking at ways to offset the deficit, which could include using extra money from other departments.
MILWAUKEE COUNTY, Wis. – The sales tax grew, but the returns have not.
Now Milwaukee County is expecting its budget deficit to grow as high as $19 million. The tax increase started Jan. 1.
It leaves county leaders looking for solutions on how to properly spend your money.
On a Wednesday afternoon at Burghardt Sporting Goods in Fox Point, for fifth-generation owner Brian Burghardt, the post-pandemic spending spike is swinging back toward reality.
“There was a ton of pent-up demand,” Burghardt said. “I think that we’re flattening out a little bit right now. Business is still strong, but we’re not enjoying the same trend as we have in the previous couple years.”
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Slower retail sales spells smaller sales tax collections, which is part of the reason the Milwaukee County Comptroller’s Office said it’s now looking at a $19 million deficit, even after raising the sales tax from 0.5% to 0.9%.
“Our sales tax budget assumed a 3%, I believe, increase over last year’s number,” said Cynthia “CJ” Pahl, Financial Services Manager for the Milwaukee County Comptroller’s Office. “And when we’re not hitting that, and we’re not even hitting last year’s budget, that’s when we’re in trouble.”
Pahl said overtime for the Milwaukee County Sheriff’s Office, a food contract at the Community Reintegration Center and a $2.5 million payment as part of the American Family Field funding fix are to blame as well.
“It’s not good,” said Milwaukee County Supervisor Steve Taylor. “It’s not good at all.”
They are hoping a little more business could help everyone.
The Milwaukee County Office of Strategy, Budget and Performance is looking at ways to offset the deficit, which could include using extra money from other departments.
The office will present a plan to address the deficit in September.
What is taxable?
According to the state, sales tax is imposed on retailers who make taxable retail sales, licenses, leases, or rentals of the following products in Wisconsin (unless an exemption applies):
- Tangible personal property
- Coins and stamps of the United States that are sold, licensed, leased, rented or traded as collector’s items, above their face value.
- Leased tangible personal property affixed to real property, if the lessor has the right to remove the leased property upon breach or termination of the lease agreement. Exception: A lessor’s charge for the lease of tangible personal property affixed to real property is not taxable if the lessor of the leased property is also the lessor of the real property to which the leased property is affixed.
- Certain digital goods
In addition, certain services which are sold, licensed, performed, or furnished at retail in Wisconsin are subject to Wisconsin sales or use tax, unless the service provider or the buyer is exempt from tax on that transaction.
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Tangible personal property is personal property that can be seen, weighed, measured, felt, or touched, or that is in any other manner perceptible to the senses. Examples include:
- Clothing
- Computers
- Office equipment
- Electricity
- Gas
- Steam
- Water
- Prewritten computer software, regardless of how it is delivered (i.e., physical media or download)
Only certain services sold, performed, or furnished in Wisconsin are subject to Wisconsin sales or use tax. Taxable services include:
- Admission and access privileges to amusement, athletic, entertainment, or recreational places or events.
- Access or use of amusement devices
- Boat docking and storage
- Cable television services
- Contracts for future performance of services
- Internet access (not taxable beginning July 1, 2020)
- Landscaping and lawn maintenance services
- Laundry and dry cleaning services
- Parking services for motor vehicles and aircraft
- Photographic services
- Producing, fabricating and printing
- Repair and service of tangible personal property, items, property, or goods (Part 10.B.9 in Publication 201)
- Rooms or lodging for less than one month
- Telecommunications message services
- Telecommunications services, including prepaid calling services, and ancillary services
- Towing and hauling of motor vehicles by a tow truck
When a retailer sells taxable products or services which are subject to tax, and the retailer charges the purchaser for delivery, the retailer’s total charge, including the delivery charge, is taxable. This is the case whether the seller’s vehicle, a common or contract carrier, or the United States Postal Service makes delivery.
Exceptions:
- The sales price of direct mail does not include separately stated delivery charges.
- Transportation or delivery charges paid by the Wisconsin purchaser to a carrier which is independent of the seller.
Milwaukee, WI
Milwaukee tenants react after landlord makes first public remarks since being sued by city, Common Ground
MILWAUKEE — Leaking ceilings, cracked walls and big holes are the conditions Carolyn Ferguson has been living in for years at the home she rents from Highgrove Holdings, LLC.
READ ALSO | Milwaukee tenants, Common Ground push city leaders for more landlord accountability over nuisance violations
“It rains in here, it rains in the dining room in there,” Ferguson said.
Ferguson is one of several tenants working with community nonprofit Common Ground and the city of Milwaukee to sue her landlord over alleged neglect, code violations, vacancy and unpaid property taxes.
The mother of 17 is raising her last daughter and is fighting cancer. The condition of her home is another burden.
“I’ve got to worry about that, and worry about the surgery, and all this other stuff and I mean he’s just making it even worse for me than it is,” Ferguson said.
Brendyn Jones/TMJ4
On Monday, during an unrelated press conference by Common Ground, Highgrove Holdings owner David Tomblin made a surprise appearance and faced questions from TMJ4 chief investigative reporter Jenna Rae. While he didn’t answer many of them, he did say the group has made progress.
Watch: Milwaukee tenants react after landlord makes first public remarks since being sued by city
Milwaukee tenants react after landlord makes first public remarks since being sued
When asked about the city of Milwaukee’s lawsuit over issues at his properties that he is not addressing, Tomblin responded.
“Well, we are addressing them, but in the proper time,” Tomblin said.
Brendyn Jones/TMJ4
Ferguson said she has not seen any of those fixes.
“He hasn’t fixed anything, like I said, out of the nine years I’ve been here, he’s had at least seven years and nothing, nothing at all,” Ferguson said.
The issues are impacting multiple generations of the Ferguson family. Carolyn’s daughter used to live at the property until she moved out after poor conditions were never addressed. More than a year later, that unit is still boarded up.
“When is he going to fix my momma’s ceiling? When is he going to do something about the roof? When are you going to do something about that basement downstairs? I would ask him a lot of questions,” Edwina Ferguson said.
Brendyn Jones/TMJ4
TMJ4 reporter Brendyn Jones called Tomblin Monday night. He picked up and requested to know the names of the tenants who were interviewed. Jones said that information would be available after the story was published, so he declined to answer questions.
While Tomblin said there will be a press conference with tenants soon, he did not commit to a date or time.
Common Ground’s Kevin Solomon said the pressure on Tomblin is working.
“It’s political, and it shows that our pressure is clearly getting under his skin. The lawsuit will play out; Common Ground will stay on it,” Solomon said.
The next court date for the lawsuit is at the end of July.
This story was reported on-air by Brendyn Jones and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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Milwaukee, WI
Nuisance properties in Milwaukee, police to review monthly call data
MILWAUKEE – The Milwaukee Police Department says it will do monthly reviews of call data to identify nuisance properties.
It follows efforts by a local group that says thousands of properties should have been cited under the city’s nuisance ordinance.
Chronic nuisance property ordinance
What we know:
The ordinance was created in 2001 to address nuisance properties in the city, and the impact they can have on quality of life.
But in recent years, the ordinance has been used less and less.
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It was one of the issues before the steering and rules committee on Monday, June 8, after a push by local group Common Ground.
Milwaukee Common Council Steering and Rules Committee
It was already working on crunching the numbers when federal prosecutors charged one of the largest landlords on the city’s south side, and others, with allegedly running a drug trafficking enterprise through rental properties.
Ultimately, Common Ground says thousands of properties across the city should have been declared a nuisance, but weren’t.
A nuisance premises can be cited if it reaches certain thresholds of calls for service within a period of time and the calls are substantiated.
Milwaukee Common Council Steering and Rules Committee
And if the problem isn’t addressed, it could result in fines.
On Monday, Milwaukee police said it’s a process that takes time, but says it’s changing its procedures and reviewing calls for service each month.
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What they’re saying:
“We’re also doing a deeper dive into that data analysis, requiring all of our district captains to address any, to review those properties and if they choose not to ‘nuisance’ the property that is eligible to be ‘nuisanced,’ why not,” said Milwaukee Police Department Chief of Staff Heather Hough.
It’s important to note that Milwaukee alders urged the importance of residents calling police about nuisance properties, so there is a record to look back on for if or when a property falls under that nuisance ordinance.
The Source: FOX6 attended the Milwaukee Common Council’s Steering and Rules Committee to produce this story.
Milwaukee, WI
Milwaukee Common Council hearing on public safety Monday
MILWAUKEE – The Milwaukee Common Council Steering & Rules Committee will hold a public hearing on Monday afternoon, June 8, to discuss ongoing crime and safety concerns.
This comes on the heels of an apparent street takeover on Milwaukee’s south side on Sunday night, June 7.
South Side safety
What we know:
Back in April, community leaders and residents on Milwaukee’s south side said crime concerns have left many feeling unsafe, prompting a new effort to address the issue.
Common Ground, a coalition of community members and leaders, launched a South Side Safety Plan after six months of research into crime in the area.
The plan outlines five focus areas: accountability, proactive neighborhoods, police relationships, policy reform and prevention. An action team on the south side is expected to help implement those strategies.
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Common Council President Jose Perez was among the leaders participating in that discussion. He told FOX6 News a public hearing would be held on June 8 to address public safety and what still needs improvement.
On the agenda for Monday’s meeting, Perez sponsored a communication file from Milwaukee police about part two crime data. We are expecting to hear about how the Milwaukee Police Department goes about collecting, assessing and reporting crime data.
“Something is going on that people aren’t reporting crime – and many times we can’t address things if we don’t know about them,” said Common Council President Jose Perez.
The meeting is set for 1:30 p.m. at City Hall.
Apparent street takeover
Dig deeper:
Monday’s meeting comes on the heels of an apparent street takeover on Milwaukee’s south side on Sunday night, June 7.
FOX6 News went to the scene near 13th and Mitchell, where a large crowd gathered – blocking the intersection and stopping traffic in all directions. There were cars speeding and doing donuts and motorcycles swerving. Some cars had people on top of or hanging out of them while in motion.
Several Milwaukee police squads blocked off the area with lights activated as crime scene tape went up across different streets. The scene was active for hours, clearing just before 10 p.m.
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