Regarding the Town of Stark Levy Limit Increase Resolution

By Jon Wedell, Town Board Chair

For over a decade, Wisconsin towns like ours have operated under strict state levy limits that tie annual tax increases only to new construction. That rule might sound reasonable on paper, but in practice it has left communities like ours unable to keep up with rising costs for basic services, with road maintenance being the biggest expenditure (almost 70% of the town’s expenses).

Since 2011, we’ve experienced inflation of 44%, yet the levy limit has not adjusted for it. That means every year, the real value of our town’s revenue has declined, even as the cost of asphalt, fuel, and equipment has soared. What cost $1 in 2011 now costs about $1.44 in 2025 - but the town is still operating with roughly the same tax base. For the upcoming tax year, for example, the Department of Revenue reports that we had a net loss of construction in the town, leading to an allowable increase in the tax levy of 0%, while inflation over the last year was 3%.

At the same time, our town carries high-interest debt - debt we’ve had to rely on because the levy limit prevents us from raising enough revenue to pay for necessary expenses outright. If we don’t adjust our levy, we’ll likely need to borrow even more, at today’s interest rates. In the long run, that leads to us all paying even more in taxes, as we’ll be paying not just the debt, but also the substantial interest on the debt.

In order for the town to raise the levy, the town electors (if you live in Stark, that’s you!) must approve an increased levy at a special town meeting. That meeting will be held on November 19 (see the notice elsewhere in this paper or on the town website). The town board has requested an increase in the allowable levy of $66,382, or 33.064%. Please note that this does not mean you will see an increase of 33% on your property taxes, as the Town of Stark is only a small part of where the money in your property taxes goes. Looking at my own tax bill, the 33% requested by the Town of Stark would increase my total property tax by approximately 6.5%. The exact increase you see will vary slightly.

As the town had to take out additional debt early this year to pay for the town’s snowplow, there will also be an adjustment to the levy to pay that debt, bringing the total increase attributable to Stark closer to 10.7%. The portion of this increase attributable to debt service will go back down once the loan has been paid off - only the ~6.5% increase the town board is asking for is permanent.

I know that nobody enjoys paying more in taxes. When I joined the board this spring, plans were already in motion to ask for an increased levy this year. After closely looking over the budget, I agree that our bills exceed our income and that the only workable option is to increase the levy to balance the books. I encourage all residents to ask questions, and participate in the upcoming town meeting. Feel free to contact me ([email protected] | 262-617-6043) with any questions or concerns.

Jon Wedell

Chair, Town of Stark