September 27, 2023

To: Municipal Clerks and Treasurers
County Clerks and Treasurers

The Wisconsin Department of Revenue (DOR), State and Local Finance Division would like to inform you that the Consumer Price Index for all urban consumers (CPI-U) was certified at 5.4% for the 12 months ending August 31, 2023. Note: This percentage was rounded to the nearest 0.1%.

Expenditure Restraint Incentive Program (ERIP)

• In 2025 – municipalities will receive the aid amount received in 2024, under 2023 WI Act 12
• Note: Municipalities must file the 2024 ERIP worksheet in the spring of 2024
• 2024 ERIP worksheet – used to calculate the 2026 ERIP payment

Levy Limits

Under state law, the 5.4% inflation factor is also used for the levy limit increase available for an increase in charges assessed by a joint fire department or joint emergency medical service (EMS) district (sec. 66.0602(3)(h), Wis. Stats.).

Enter an adjustment in Sec. D, Line I of the Levy Limit Worksheet if all the following applies:

• Your municipality is a member of a joint fire department or joint EMS district as defined in sec. 66.0602(1), Wis. Stats.
• The increase in assessed charges would result in your municipality exceeding its levy limit
• The joint fire department or joint EMS district's total charges assessed (imposed on all members) for the current year (2024 budget year) compared to the prior year (2023 budget year), increased less than or equal to the CPI-U increase of 5.4% plus 2.0% (total of 7.4%)
• Your municipality is covered by the joint fire department or joint EMS district and adopted a resolution supporting the increase

Example: Your municipality's 2023 total assessed charges were $50,000 and the joint fire department's 2024 total assessed charges are $60,000, which is an increase of $10,000 or 20.0%. In this example, the municipality does not qualify for the levy limit adjustment since the increase cannot be more than 7.4%.

Questions?

Contact us at lgs@wisconsin.gov.