The Oshkosh City Council has taken a significant step by passing a resolution aimed at urging the Wisconsin Joint Finance Committee to fully fund the Municipal Services Payment (MSP) Program. This initiative seeks to ensure that cities hosting state-owned properties, such as universities or hospitals, receive complete reimbursement for related service costs and property taxes. According to city officials, achieving 100% funding could save Oshkosh taxpayers approximately $1.7 million in the current year alone. The MSP Program, initiated in 1973, originally provided full reimbursement but now only covers about 37.62% of the costs. With rising property taxes affecting residents significantly, local leaders emphasize the importance of increasing this funding to alleviate financial burdens.

Historically, the MSP Program was established to compensate municipalities for the expenses incurred from housing state properties. While it once offered complete reimbursement, over time, the percentage covered by the state has dwindled considerably. In his recent budget proposal, Governor Tony Evers suggested raising the funding level to 72%, yet the City of Oshkosh argues for a return to 100%. Julie Calmes, Oshkosh's finance director, highlights how even a small increase in MSP funding can lead to tangible savings for individual taxpayers. For example, homeowners with properties valued at $250,000 could see reductions of around $72 in their annual property tax bills if the program were fully funded.

Oshkosh ranks third among Wisconsin municipalities in terms of hosting state properties, trailing only Madison and Milwaukee. These facilities are estimated to be worth nearly $905 million, yet the city receives only partial compensation for associated costs. Currently, Oshkosh incurs expenses totaling over $2.7 million annually for these properties, while the state reimburses less than half of that amount. Consequently, local taxpayers bear the brunt of the remaining costs. At a recent council meeting, members unanimously endorsed a resolution introduced by City Manager Rebecca Grill, calling for full MSP funding to address this imbalance fairly.

Council member DJ Nichols encourages community members to contact both the Wisconsin Joint Finance Committee and their local representatives to advocate for increased MSP funding. He emphasizes that advocacy is not limited to property owners; all residents have a stake in ensuring equitable treatment. By supporting the resolution, the city aims to prompt legislative action toward relieving the disproportionate tax burden placed on local citizens due to state facility operations.

In light of the ongoing financial challenges faced by Oshkosh residents, securing full MSP funding represents a crucial opportunity to ease economic pressures. As the city continues its efforts to engage stakeholders and policymakers, achieving this goal would not only benefit Oshkosh but also set a precedent for equitable fiscal practices across other municipalities hosting state properties throughout Wisconsin.