Signed by Governor Tony Evers

Vote Smart's Synopsis:

Vote to pass a bill that appropriates funding for the 2026-2027 biennium to support public education, property tax relief, water infrastructure, teacher compensation, mental health services, border security, and state agency operations.

Highlights:

• Appropriates $111 billion in funding for the 2026-2027 biennium budget, or a 12% increase in overall spending levels to support the following, including, but not limited to (Sec. 1-9,450):

• Public education;

• Property tax relief;

• Water infrastructure;

• Teacher compensation;

• Mental health services;

• Border security; and 

• State agency operations.

• Expands the state's tax on hospitals from 1.8% to 6% and use those funds to draw down additional federal matching dollars for Medicaid programs (Sec. 1-9,450).

• Specifies that these funds would be used to offset ongoing costs and to make additional payments to hospitals (Sec. 1-9,450).

• Reduces taxes by $1.3 billion, and appropriates hundreds of millions on building projects on University of Wisconsin System campuses, expands Medicaid funding, increases funding for special education and funds new childcare programs, among other measures (Sec. 1-9,450).

• Expands the state's second-lowest tax bracket to include more filers (Sec. 1-9,450).

• Exempts some retirement income from taxation (Sec. 1-9,450).

• Repeals and eliminates the residential utilities sales tax (Sec. 1-9,450).

• Establishes and creates a film tax credit capped at $5 million per year (Sec. 1-9,450).

• Specifies that the provisions of this bill shall take effect immediately upon passage and approval by the Governor (Sec. 9,451).

Full Bill Text

Vote Smart's Synopsis:

Vote to pass a bill that appropriates funding for the 2026-2027 biennium to support public education, property tax relief, water infrastructure, teacher compensation, mental health services, border security, and state agency operations.

Highlights:

• Appropriates $111 billion in funding for the 2026-2027 biennium budget, or a 12% increase in overall spending levels to support the following, including, but not limited to (Sec. 1-9,450):

• Public education;

• Property tax relief;

• Water infrastructure;

• Teacher compensation;

• Mental health services;

• Border security; and 

• State agency operations.

• Expands the state's tax on hospitals from 1.8% to 6% and use those funds to draw down additional federal matching dollars for Medicaid programs (Sec. 1-9,450).

• Specifies that these funds would be used to offset ongoing costs and to make additional payments to hospitals (Sec. 1-9,450).

• Reduces taxes by $1.3 billion, and appropriates hundreds of millions on building projects on University of Wisconsin System campuses, expands Medicaid funding, increases funding for special education and funds new childcare programs, among other measures (Sec. 1-9,450).

• Expands the state's second-lowest tax bracket to include more filers (Sec. 1-9,450).

• Exempts some retirement income from taxation (Sec. 1-9,450).

• Repeals and eliminates the residential utilities sales tax (Sec. 1-9,450).

• Establishes and creates a film tax credit capped at $5 million per year (Sec. 1-9,450).

• Specifies that the provisions of this bill shall take effect immediately upon passage and approval by the Governor (Sec. 9,451).

Full Bill Text