Late Wednesday, the Assembly passed a bipartisan bill, negotiated with Gov. Evers, with the goal of returning $1.8 billion of our state's surplus money back to you, the taxpayers. Unfortunately, after the bill passed 61-32 in the Assembly, the Senate failed to pass the bill, keeping your tax dollars in Madison instead of in your pocket.

The bipartisan agreement planned to return some of the surplus back to taxpayers in three ways:

• Direct payments to in-state residents
• Eliminate tax on tips and overtime wages
• Property tax relief via the school aid formula

As families struggle with rising costs, this deal would've sent over $862 million back to taxpayers in the form of tax rebate payments. Full time Wisconsin residents that filed an income tax return in 2024 would've been eligible to receive up to $300 as a single filer, or up to $600 as married joint filers. Wisconsinites need financial help now as inflation and rising gas prices are squeezing the checkbooks of families across the state, and these payments would've provided tangible relief to help families with expenses. With the bill failing to pass the Senate, now that $862 million will continue to sit untouched in the state's coffers.

In December, I heard several stories of families being shocked when they opened their property tax bill. Some families saw an increase of up to 20 and 30 percent. This is unacceptable as other costs are rising as well. To help with this burden, our bill would've distributed more than $300 million in property tax relief to all school districts through the school funding formula. Additionally, we planned to provide $50 million in property tax relief via tech colleges by lowering the amount of debt they're allowed to levy.

Another way we wanted to help with rising costs was through serious income tax relief, specifically by eliminating taxes on tips and overtime income. By eliminating this tax, we would've provided more than $230 million in permanent and ongoing tax relief for workers that rely on this type of income. This is similar to the federal law that was passed as part of the Big Beautiful Bill, but our state law would've continued on in perpetuity as opposed to ending in 2028, as stipulated in federal law. Eliminating this tax so families can bring home more of their hard-earned money would've provided more immediate relief.

To help students, there were also significant investments made in special education. We expanded upon the largest increase in special education reimbursement rates in history from the 2025-2027 budget - 42% in year one and 45% in year two - by adding an additional $85 million in the first year and $230 million in the second year. This investment will raise the rate to 50%, doubling the reimbursement rate since 2019. The funding in this bill would've created a $16 million increase that would benefit pupils in choice, charter, special needs scholarship and open enrollment programs. It's vital we responsibly invest in our schools so kids can continue to receive a quality education and set up for success. Unfortunately at this moment, schools will not be receiving this additional funding that would be invested in the future of our students.

Wisconsinites often remind me that they prefer both parties to work together to find real solutions, and that's exactly what we did here. We negotiated with the governor's office for months to ensure our priorities were covered in this bill. As a result, several Assembly Democrats voted yes as they realized this was a great deal for Wisconsin's schools and taxpayers. This bill would've provided the financial relief that families need right now. It's truly disappointing this bill didn't pass the Senate. I hope the Senate will reconsider their vote and come back to the table.