David Crowley’s budget maintains county services, adds some new plans

Next year will be a year to focus on fiscal responsibility and sustainability in Milwaukee County.

Narrowly avoiding a multimillion-dollar deficit late last month, County Executive David Crowley presented a recommended budget of about $1.4 billion to the county board on Tuesday.

Compared to last year’s budget, this year’s proposal aims to maintain district and mandate services by reducing capital projects and investing in several new initiatives, with an operating budget of $1.29 billion and a capital budget of $110 million. If approved, the proposal would also include a 2.8% property tax increase, an increase of $8.26 million over the 2024 budget. The tax rates that determine how much property owners are taxed will vary from community to community.

“My administration has addressed existing fiscal challenges, secured new revenues, and implemented innovative and effective ways to deliver services to our entire community,” Crowley said in remarks prepared ahead of the release of the budget proposal.

Despite last year’s historic passage of Wisconsin Act 12 and the subsequent increase in the county’s sales tax from 0.4% to 0.9%, Crowley’s recommended budget follows a difficult fiscal year for the county. According to summer forecasts, the county experienced an unexpected shortfall in 2024, resulting in a deficit of approximately $19 million. In mid-September, the Crowley administration worked with departments to come up with a last-minute solution to close the budget gap.

“We know that structural deficits have returned and will return in the near future. We know that revenues from new sales taxes must increase. We also know that the costs of state-mandated services are rising faster than we can pay for them, Crowley said.

With that said, Crowley acknowledged that his budget avoids any major cuts to services and “seeks to build on our progress and continue Milwaukee County’s track record of fiscal responsibility.”

The proposal is a stark contrast to the type of investment seen in last year’s budget cycle, according to County Board Supervisor Steve Taylor, who has repeatedly warned of fiscal difficulties looming on the horizon and the need for the county to tighten its belt.

“We have limited resources and we have more needs than resources available,” Taylor said. “When you look at the (recommended) budget as a whole… I didn’t see a lot of new, impressive ideas or programs. “I think it’s just a budget that needs to be continued.”

The County Board is expected to deliberate on the budget at numerous fiscal meetings over the next month and a half, with the final date for budget adoption set for Nov. 7.

A year of maintaining services, catching up on capital arrears and several new investments

With federally funded pandemic relief projects expiring, opportunities to make new investments in the next fiscal year are quite limited. Crowley’s proposal focuses on capital improvement projects and maintaining mandatory services.

Some departments are barely able to withstand projected budget crises over the next few years.

Always teetering on the edge of the fiscal cliff, the proposed budget seeks to maintain service for the county’s transit system in 2025 by using approximately $10.5 million in American Rescue Plan Act funds earmarked for transit. The funding will also help replace the agency’s aging bus fleet and secure transportation. The last-minute suspension of bus rapid transit also diverted $15 million in federal funds to cover the agency’s operating costs.

However, according to the Office of Strategy, Budget and Performance, these funds will run out in late 2026 or early 2027. The Department of Transit and the county controller’s office estimate the deficit gap in 2027 will be $19 million.

“My administration and this body will need to be prepared to make difficult decisions about maintaining and investing in transit services,” Crowley said. “But as we look to the future, I stand ready to work with all of you to advocate for transportation funding from our state and federal partners so that we can continue to provide and expand public transportation services in the future.”

As part of its efforts to save cultural gems such as the Mitchel Park Domes, the Charles Allis Art Museum and the Villa Terrace Museum of Decorative Arts, the county has estimated a capital backlog of deferred maintenance of approximately $1.3 billion. The proposed budget includes withdrawing $7.4 million from the county’s debt service reserve to support operating capital needs.

If approved in November, the capital budget would include 54 projects funded by $110 million from local and external sources.

One of the major investments is $6 million for further planning and design of the courthouse project, which would replace the crumbling Public Safety Building and outdated courthouse. Crowley’s motion also indicated his administration could raise another $5 million from the county’s debt service reserve in 2025 if more funding is needed. The courts would increase their overall budget by $2.6 million to address state-mandated increases in court-appointed attorneys’ fees and interpreting costs.

“If we do not continue to invest in this multi-year process, project costs are expected to increase, which will threaten Milwaukee County’s fiscal health and reduce funding for other key services throughout the community,” Crowley said.

Once approved, the Parks Department and Office of Emergency Management will see significant increases in their capital projects and additional full-time employment. The Department of Health and Human Services will also add 87 full-time employees to prepare for the anticipated 2026 opening of the Department of Corrections’ secure residential care facility for children and youth on Milwaukee’s northwest side.

Even with these investments, the Sheriff’s Office and the county’s Community Reintegration Center (CRC) – formerly known as the House of Corrections – saw two of the largest increases to department budgets this year. Both agencies have found themselves in a difficult position in the run-up to the budget cycle, having reported multimillion-dollar overtime deficits last year.

To help alleviate rising costs resulting from the recent food and medical contract, as well as overtime costs, the CRC’s budget will increase by $6.3 million under the budget proposal. The Sheriff’s Office budget also will increase by $5 million in tax dollars, with $2 million of that going to cover overtime costs at the county jail, courthouse and other departments.

The recommended budget would also introduce a $300,000 part-time bailiff pilot program that would allow retired deputies to return to work in the courts part-time. The measure would address growing concerns about courthouse security and an order from Milwaukee County’s top judge for the sheriff’s office to meet courtroom staffing requirements. The proposal would also add 10 sheriff’s deputy positions, nine of which would work in the courthouses.

“Now, while I recognize the importance of the services we provide on behalf of the state, I would rather use our local dollars to invest in local priorities like affordable housing, mental health services, public transportation, safer streets and our parks,” Crowley said . “However, as a partner of the State of Wisconsin, Milwaukee County must meet its legal obligations and obligations.”

He added: “However, we need to find a more financially sustainable approach to financing these services.”

County Board supervisors express concerns about budget proposals

Supervisor Justin Bieliński, who chairs the county’s Judiciary, Law Enforcement and General Services Committee, expressed “very concern” about the increase in the Sheriff’s Office budget and staff.

He also questioned plans to increase health care costs for county employees – one of the measures aimed at closing the county’s deficit gap made worse by the Sheriff’s Office budget problems.

“If you’re going to give county employees a living raise, but then take most of that amount away with health care raises, you’re not really going to provide a cost of living raise,” Bieliński said. “And we should not fund the sheriff’s excessive spending at the expense of other county employees.”

For Supervisor Sheldon Wasserman, who chairs the district’s Parks and Cultural Affairs Committee, cuts to water programs were troubling.

“Programs related to water, rescue and water safety are a high priority and receiving information about planned cuts in this department I consider an oversight,” Wasserman said. “I will definitely really try to realign and restore funding for this very valuable and critical resource for Milwaukee County.”

While he acknowledged the county has an obligation to maintain mandatory services, he believes Crowley is being “conservative” and may be acting at the expense of some beloved county-provided services.

“Taxpayers want to benefit from being a resident of Milwaukee County,” he said. “They see it when their pools are open on a hot summer day, they know it when they have swimming lessons and various aquatic programs throughout the year.”

The district looks ahead to future budgets

For some supervisors, the district cannot afford to be short-sighted in its analysis of budget needs.

Taylor, who expressed concerns about “many big needs” “just around the corner,” continues to urge the county to lobby the state level for public safety and infrastructure funding.

“This budget will be the easiest of the next five and we need to make a quick change and start focusing on the state budget and lobbying,” he said.

In his budget speech, Crowley shared his plans to work with state and federal partners to secure dollars and also highlighted the county’s plan to hire a contractor tasked with “identifying and applying for competitive federal funds made available under the Inflation Control Act.” .

“If the passage of Wisconsin Bill 12 has taught us anything, it is that Milwaukee County can succeed by providing additional resources through cooperation and partnerships,” Crowley said.

Public hearing

The Finance Committee will hold a public hearing on October 15 at 4 p.m., where residents can make public statements about the recommended budget. The annual public hearing will also be held later on October 28 at 6:30 p.m. at the Zoofari Center, 9715 W. Bluemound Road.

The day for adopting the budget was set for November 7 and, if necessary, a veto session was set for November 14.

Contact Vanessa Swales at 414-308-5881 or [email protected]. Follow her on Twitter @Vanessa_Swales.