Politics
Madison 2026 Budget Levy Limits: Property Tax Comparisons to Milwaukee and Green Bay
Madison homeowners will see no increase in the city portion of their property tax bills under the 2026 levy cap, while Milwaukee projects a 1.8 percent rise and Green Bay holds steady.
How we reported this
The City of Madison adopted its 2026 operating budget on July 8 with a property tax levy frozen at the 2025 level under Wisconsin state levy limits. The cap applies to all 604,000 residents and covers the general fund portion of taxes that supports police, fire, streets and parks.
Why the cap applies now
State law enacted in 2011 restricts annual levy growth to the percentage increase in equalized property values or net new construction, whichever is lower. Madison officials calculated the 2026 limit at zero growth after net new construction came in at 0.9 percent, below the threshold that would allow an increase. The same formula governs every Wisconsin municipality.
Local residents will notice the effect first on their December tax statements. A typical single-family home assessed at $380,000 will owe the same $2,412 city levy as last year. The unchanged amount leaves more household cash for groceries and utilities while the city trims planned equipment purchases to stay inside the cap.
City documents show Madison’s levy per capita at $1,248. Milwaukee’s equivalent figure stands at $1,312 after its council approved a 1.8 percent increase allowed by higher net new construction. Green Bay’s levy per capita is $1,179, also flat this year. The three-city spread means Madison residents pay $64 less per person than Milwaukee neighbors but $69 more than those in Green Bay.
Service impacts and next steps
The frozen levy forces Madison to absorb $4.2 million in higher health-insurance and fuel costs by cutting overtime and delaying two new street-sweeper purchases. Parks maintenance crews will reduce seasonal mowing frequency on 37 neighborhood fields. Police and fire staffing levels remain unchanged because those departments are funded partly by separate referendums passed in 2022.
The Common Council will hold a final public hearing on the full budget document on July 21 before the August 1 deadline to certify the tax roll. Any changes must still respect the state levy limit. County and school district portions of the tax bill are set separately and are not affected by the city cap.