City seeks referendum to boost services amid growth challenges

In a recent government meeting, city officials discussed a proposed referendum aimed at addressing the growing needs of the community through a one-time permanent increase in the tax levy of $3.6 million for 2025. This increase is not intended to create a recurring annual financial burden, as it will not compound year over year like typical school district referendums. Instead, it represents a stable funding level that will remain in place to support essential services.

City leaders emphasized that the referendum is not a response to a budget deficit but rather a proactive measure to enhance staff capacity and improve transit services, as well as to operate a new police services building. The city has recently received a high rating from Moody's Investors Service, which reflects its financial stability and prudent management of resources. Fitchburg is one of only six local governments in Wisconsin to achieve this top rating.

Despite the city's growth, officials explained that state legislation limits property tax levy increases primarily to the percentage increase in equalized value from net new construction. For 2025, Fitchburg's net new construction is estimated at 2.9%, translating to an additional $750,000 in property tax revenue. However, much of this increase is already allocated to cover rising costs, including a proposed 2% cost of living adjustment for city staff and other operational expenses.

City officials underscored the importance of growth in maintaining current service levels. Without it, they warned, the city may face cuts to staff and services. The proposed referendum is seen as a necessary step to ensure that the city can meet the increasing demands of its residents and continue to provide essential services effectively.