However, the Commission concludes that much bigger steps are needed to restore trust in the partnership and to provide stronger incentives for more effective 21 st century strategies. State aid programs to municipalities should enhance Wisconsin s traditional commitment to providing more resources to communities with fewer resources. The long-standing commitment to providing a measure of equalization to municipalities around the state should be continued and enhanced. Tax rate disparity. Neighboring communities often vary significantly in their capacity to raise and spend tax dollars.
Equalization provides some relief.
But it s equally important to ensure that state aid programs do not increase the disparity in property tax rates among neighboring municipalities. At the very least, state aid programs should not widen the disparity. Incentives to spend. State aid programs should not provide incentives to spend more. State aid programs should reward communities that produce high performance for their citizens.