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Writer's pictureAlex Saloutos

Growth and Change vs. Rosy Memories and Budget Cuts is a False Choice: The Rhodes-Conway Property Tax Referendum and Fiscally Responsible, Sustainable Growth.



As we approach the November 5 referendum, arguments in favor of a permanent property tax increase for Madison are circulating. One recent letter to the editor presents a passionate defense of this referendum, but it’s important to challenge the writer’s assumptions and explore a more balanced approach.

"Madison voters will choose between looking forward by keeping our city government funded at reasonable levels or longing for rosy memories of the past."

This is a false choice and oversimplifies the decision in front of us. Suggesting that a "no" vote on the referendum equates to rejecting progress or clinging to the past dismisses real and legitimate concerns about fiscal responsibility. It’s not a choice between progress and nostalgia—it's a choice between sustainable, fiscally responsible growth and increasing the tax burden on property owners. Yes, we can move forward, but that doesn’t mean we must do so through a permanent tax increase that disproportionately affects low- and middle-income residents, and seniors on fixed incomes. It hasn’t gone unnoticed that Mayor Satya Rhodes-Conway and the current City Council have been making important strides toward a more equitable Madison. Their efforts are commendable, and many positive changes have taken place under their leadership. However, even as we acknowledge these accomplishments, it’s equally important to recognize that fiscal responsibility is crucial to ensuring that the city can sustain this progress over the long term.

"Moving forward means sharing, and change is indeed hard, but for us to take steps forward, we need to accept that Madison is growing and yes, changing."

This idea of “sharing” through higher taxes sounds reasonable on the surface, but it sidesteps the critical question: why aren’t we first asking whether the city's current spending is aligned with our essential needs? Growth should be financially sustainable—why should current property owners bear the brunt of paying for it? If growth doesn’t make financial sense, it’s a sign that our approach needs adjustment. Madison’s leadership must ensure that growth is funded through sound strategic and financial planning rather than relying on current taxpayers to foot the bill for unsustainable growth. Growth doesn’t have to mean higher taxes; it should mean smarter, more fiscally responsible financial planning, more efficient use of existing resources, and finding ways to grow revenues without imposing a permanent tax increase.

“Our population has increased 19% in the last 10 years, but since 2011 our number of city employees is 10% lower per capita. Something has to give.”

The city’s ability to do more with fewer employees per capita is commendable, but it doesn’t automatically justify raising taxes. This should prompt a conversation about efficiency and resource allocation, not a call for more taxes. If the city is already doing more with less, we should carefully examine where our tax dollars are being spent and if they're funding essential services. Instead of increasing taxes, let’s focus on aligning our resources with the core services we need, and being more selective about programs we want but don’t need, allocating funds to the programs and services that are most important to residents.

"Madison has been shortchanged by the state Legislature . . . We are a top economic engine and contributor to the state’s coffers, but get little in return."

While it's true that Madison receives less state aid than other cities, this has been the reality for years. City leaders have been aware of this disparity, yet budgets have continued to grow without a sustainable plan to balance them. Blaming the state legislature is valid to a point, but it doesn't excuse city leaders from making tough decisions on how to manage the city’s finances responsibly. We need to focus on lobbying the state for more equitable aid and other revenue sources that have been untapped, rather than defaulting to the easy fix, increased property taxes.

"We need to maintain and improve the quality of life and opportunity for all residents, not just for those who feel they already have what they need."

This statement implies that voting “no” on the referendum means denying progress or reducing the quality of life for some residents. However, raising property taxes will have long-term negative consequences on affordability, and will negatively impact the quality of live for those on fixed incomes or struggling with the rising cost of living. Quality of life shouldn’t be equated solely with higher taxes. Instead, we should prioritize core services, selectively cut programs and services we want but can’t afford, and develop untapped revenue sources, such as public-private partnerships and targeted user fees, so the those who benefit from the service and can afford to pay, do.

Final Thoughts on the Rhodes-Conway Property Tax Referendum and Sustainable Growth

The arguments in favor of this referendum rely heavily on the notion that raising taxes is the only way to keep Madison moving forward. Before agreeing to permanently increase property taxes, we should demand that city leaders first demonstrate they can effectively manage what they already have. They need to fully pursue all six of the Wisconsin Policy Forum’s recommended strategies to balance the budget before resorting to the easiest option—raising taxes. A permanent tax increase may not even be necessary if these strategies are diligently pursued.

Growth, especially in a city like Madison, should pay for itself. If growth requires continuously burdening current property owners, then something is fundamentally wrong with the financial model. The city should be striving for continuous improvement, constantly seeking to do more and better with less. Just as in any well-run organization, this principle applies to municipal government: efficiency and waste reduction must be prioritized over simply passing costs onto taxpayers.

A “no” vote isn’t a rejection of progress—it’s a call for fiscal responsibility, sustainable growth, and a city government that continually improves how it manages resources.

Upcoming blog posts

Read more about the management of city finances, ways to more efficiently use our existing resources, and how we can sustainably grow revenues in upcoming blog posts.

If you enjoy this content, please like and share. For questions and media inquiries, email asaloutos@tds.net or call (608) 345-9009. © Alex Saloutos 2024.



 

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2 Comments


try-salsa-resent
8 hours ago

Your writing and critical thinking skills on this issue are greatly appreciated. I circulate them widely. Thank you.

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William Sayles
William Sayles
a day ago

It a matter of religious belief by the "progressive" supporters of the school and city referendi that the anti-Christ is the lack of state funding. This argument ignores the hundreds of millions the state and UW-Madison spend on payroll, construction, supplies and services each and every year IN Madison! This is a revenue stream that every other city in the state envies and if given the opportunity would happily trade their share revenue/school taxes for.

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