Next Up for School Choice: A Massive Tax Cut?

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By: Amy Loudenbeck; Director of policy and government affairs for School Choice Wisconsin

A new school year is about to begin, and parents across Wisconsin are as engaged as ever in their children’s education. Not only are parents making their voices heard at school board meetings, many are voting with their feet, and exploring educational options beyond the public school systems.  Wisconsin voters – from every corner of the state and from across the political spectrum – believe families should have more say in education.

Wisconsin has long been a pioneer in parent choice and is home to the nation’s oldest private voucher program. The Milwaukee Parental Choice Program (MPCP), created with bipartisan support in 1990, now serves nearly 30,000 students in Wisconsin’s largest city. In 2011, the legislature and Governor Walker created the Racine Choice program. Two years later, the statewide program was established, and the Special Needs Scholarship Program was instituted in 2015. Today, nearly 52,000 students attend a private school with a scholarship or “voucher” paid for with taxpayer dollars.

During the recent biennial budget negotiations, private school choice and charter school advocates joined together to send a clear message to our elected officials that all children have value and deserve similar taxpayer support whether they attend private choice, public, or charter schools.

The message resonated. The legislature and governor eventually came to an agreement to make historic investments in funding for charter schools and Wisconsin’s four private choice programs. During the last school year, private choice vouchers were roughly 60 percent of what the average public school received per pupil. Many private choice schools had to fundraise thousands of dollars per student just to keep the lights on and the doors open. These funding increases were critical for the long-term viability of individual schools and the programs themselves.

Given these constraints, you might expect private choice schools to struggle compared to the deeper-pocketed public school peers. But the results are just the opposite. Research has shown that students in Wisconsin’s choice programs fare better on state standardized tests and the college-readiness ACT exam, and are more likely to have success in life. Families benefit by having the freedom and opportunity to find the right education alternative for their children, regardless of their income or zip code.

There’s no doubt school choice is a great deal for Wisconsin taxpayers. Even accounting for the recent funding increases, the average per pupil payment for private choice and charter schools is still approximately 70% of what public schools receive in taxpayer support from all sources. But that doesn’t mean there isn’t room for improvement. A few straightforward budget and policy reforms would make private school choice an even better deal for Wisconsin property taxpayers.

Currently, the state has two methods for financing students in the private school choice programs. In Milwaukee, General Purpose Revenue (GPR) funding will soon cover 100% of payments to private schools in the Milwaukee Parental Choice Program. In contrast, local property taxpayers will continue to pay the full cost of students in the Racine, Statewide, and Special Needs Scholarship Programs. A similar dynamic occurs for students attending some independent charter schools. This should change.

Throughout the budget process, School Choice Wisconsin and our partners in the Wisconsin Coalition for Education Freedom supported reforms to the system that would “decouple” the choice programs from local property taxes. This decoupling would mean state GPR would fund choice programs, cutting property taxes by hundreds of millions of dollars statewide.

Unfortunately, that reform hasn’t happened yet. Going forward, School Choice Wisconsin and our allies will continue to advocate for decoupling. It’s the most equitable – and most sensible – way to fund the state’s parental school choice programs. In addition, allowing funding from the state to follow a student to a private choice or charter school is simpler than the current structure, which adds costly administrative burdens for public schools and the state Department of Public Instruction.

Wisconsin has long been a leader in providing opportunities for families to set their students up for success, and the future is bright for educational freedom in the state. But school choice advocates didn’t shape the educational landscape by resting on our laurels. There is still more work to be done to improve education outcomes throughout the state and continue to ensure school choice is a great value, not only for the students that walk through the doors on a daily basis but also for taxpayers throughout the state.


School Choice Wisconsin is a non-profit 501(c)(3) that works to empower parents by developing, supporting, and promoting the ideas and policies that create vibrant, quality options in K–12 education in Wisconsin. 

With offices in the Milwaukee area and Madison, School Choice Wisconsin’s experienced staff works with schools, parents, and communities by providing program research, acting as a conduit between schools and the state government, creating community awareness, and advising on program administration. 

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UW-Madison Denies Access to Payments, Contract With Economic Impact Consultant

(The Center Square) – The University of Wisconsin-Madison would not release any documents related to its contract or payments to consultant Tripp Umbach weeks after the university released a document that made claims regarding the university’s statewide economic impact.

The university claimed that it does not hold the contract and that it was denying access to what it called “draft documents” related to Tripp Umbach and payments to the firm.

“The university does not hold the contract, therefore there are no responsive records,” a public records custodian wrote to The Center Square in response to a public records request. “After a thorough search, the university has determined no record exists at the University of Wisconsin Madison related to your request.”

The Center Square also requested the documents from the University of Wisconsin system administration following the public records denial.

In April, the university released a 58-page document making claims that the university makes a $38.9 billion total economic impact on the state.

Universities across the country contract with Tripp Umbach for the firm to produce similar reports, which are then used in requests for public funding or donations to the college or university.

Tripp Umbach produces reports for health care and economic development organizations along with colleges and says on its website that “our work enables leaders to make informed decisions, secure support, and implement strategies that deliver measurable results.”

Economists regularly criticize economic impact reports produced by contractors such as Tripp Umbach for not following economic principles and only including revenue figures, along with invented multipliers, in order to produce larger numbers than the real economic figures.

Sports teams also use economic impact reports when they are seeking public funding for stadiums or large events in order to convince the public and politicians that those projects are worth large public funding figures.

UW-Madison athletics leaders used a 2022 consultant report that made economic impact claims to support sending $15 million annually to the University of Wisconsin athletics departments as part of a name, image and likeness bill ultimately signed into law by Gov. Tony Evers.

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Trump-endorsed Gallrein Ousts Massie in Kentucky

Rep. Andy Barr and Ed Gallrein secured partisan nominations in high-profile Kentucky primary races Tuesday, according to multiple outlets.

President Donald Trump's endorsement appeared critical for both candidates.

Gallrein, a farmer and business owner, rode the political capital and the endorsement of President Donald Trump to defeat long-time Congressman Thomas Massie, who has served in Kentucky's fourth congressional district since 2012.

Massie drew the ire of Trump for his continued pressure on the administration about the Jeffery Epstein files and the ongoing conflict with Iran.

Trump surrogates Vice President JD Vance and Secretary of Defense Pete Hegseth both made campaign apperances for Gallrein.

“Fourth district voters appreciate having an independent conservative voice who works for them,” Massie said

Gallrein has spoken out about Massie’s voting record and criticized his lack of support for Trump’s agenda, including Massie’s vote seeking to restrict Trump’s authority in the conflict with Iran.

"If we do not take advantage of this narrow window of opportunity we have, history will punish us," Gallrein said at a campaign event on Monday.

Trump has called Massie is "fraudulent" and the "Worst Congressman in the History of our Country" before polls closed on Tuesday.

"Thomas Massie is a terrible congressman, he's been a terrible congressman from day one," Trump said to reporters on Tuesday. "I don't think he's a Republican, I think he's actually a Democrat, he's not a libertarian, he's really a Democrat."

Gallrein will face off against Melissa Claire Strange, the Democrat candidate in Kentucky's fourth district, in November.

Andy Barr, a Trump-endorsed Republican, came out on top of the race to succeed Sen. Mitch McConnell. He became a frontrunner after Nate Morris was nominated to an unnamed ambassadorship in the Trump administration's cabinet.

Barr has touted his record in Kentucky’s sixth congressional district throughout his campaign. Barr was first elected to his post in 2012.

“Together, we’ll cut taxes, slash waste and fire the deep state bureaucrats who steal our freedoms,” Barr said. “We’ll deport illegal aliens instead of putting them in luxury hotels.”

Voters in Kentucky will return to the polls in November to elect candidates who will serve in the U.S. Senate and U.S. House next year.

IRG Wisconsin Drop Its Income Tax

Republican Lawmakers Ask For New Vote on Tax Deal

(The Center Square) – A handful of Republicans at the Wisconsin Capitol are asking for a second chance to vote on the proposed tax deal that died last week.

Six Assembly Republicans sent a letter to Gov. Tony Evers, asking him to call another special session.

“We appreciate the progress made through those discussions, particularly efforts focused on returning surplus funds to taxpayers, providing property tax relief, supporting schools, and helping hardworking Wisconsinites manage rising costs. These are the kinds of issues where collaboration matters most. While we may not agree on every issue, we remain committed to working toward responsible outcomes and ensuring politics does not stand in the way of doing what is best for the people of Wisconsin," Reps. Shannon Zimmerman, Todd Novak, Bob Donovan, Ben Franklin, Pat Snyder and Clint Moses wrote in the letter.

All six voted for the plan that would have sent tax rebates of up to $600 to Wisconsin taxpayers. The plan also would have ended income taxes on tips and overtime and given schools $300 million to "buy down" local property taxes.

Schools also would have gotten $300 million more for special education.

"Despite last week’s setback, we encourage you to call the Legislature back into Special Session to continue work on the common-sense reforms that received broad bipartisan support through months of negotiation. The failure of this legislation to advance does not change the reality that Wisconsin families are still facing rising costs and growing pressure on household budgets. We cannot allow political gamesmanship or ideological extremes on either side of the aisle to prevent meaningful progress on issues where common ground clearly exists," the lawmakers added.

Evers, over the weekend, blamed politics for the tax deal's demise. He said it was a "done deal" until Republican candidate for governor Tom Tiffany publicly criticized the deal.

Evers also blamed Democrats at the Capitol for the tax deal's death.

"They believe that somehow putting money back into people's pockets that are struggling financially across the state, apparently they don't believe that's an issue," Evers said.

But Democrats in the Wisconsin Senate are not softening their opposition to the plan.

Sen. Kelda Roys, D-Madison, who is also running for governor, on Monday said she remains a no vote.

"It’s never bad politics to do the right thing. We can’t afford to risk a $2.9 billion deficit with Trump hellbent on crashing our economy. We WILL fund schools & take pressure off property taxes, but can’t if they blow a projected (not existing) surplus & necessitate future cuts," Roys wrote on X. Turning a *projected* (not existing) surplus into a $2.9b deficit as the Trump economy is in chaos is reckless."

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13.7% April Wisconsin Tax Collections Increase Led to Higher Revenue Estimate

(The Center Square) – Wisconsin collected $2.4 billion in general purpose revenue taxes in April, a 13.7% increase from the year before.

Those numbers matched the revenue estimates released before last week’s failure of a $1.8 billion surplus spending bill in the Wisconsin Senate.

The April numbers showed that state collections through April were up 5.2% year over year to nearly $17.4 billion in the fiscal year compared to $16.5 billion in collections in fiscal 2025.

That increase led to the Department of Administration’s new economic forecast showing that it expects the state to collect $300 to $350 million more in taxes from Wisconsin residents than its revised estimates in January showed.

More than half of that total, between $175 and $185 million, will come from individual income tax collection increases while $70 to $80 million will come from corporate tax collections.

“While a portion of the gain in individual income tax collections results from a favorable comparison due to processing season anomalies in fiscal year 2024-25, growth has significantly exceeded the 1.4 percent growth rate estimated in January for fiscal year 2025-26,” the Department of Administration wrote in a memo.

Part of the processing season anomalies were noted in the April revenue report for the state.

“Individual income taxes and Total GPR in Fiscal Year 2025 were negatively impacted by third-party check receiving and processing delays in April,” the report noted. “Those check payments, estimated at over $200 million, are included in the May revenue report.”

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