Vote coming on wheel tax in La Crosse

The La Crosse city council is ready to consider Mayor Tim Kabat’s proposal for a wheel tax.

The tax proposal appears on October agendas for the council, though Kabat told WIZM he is not hearing much enthusiasm from council members on the idea.

That, of course, is not the only way the city could add funding for roads, which is what the wheel tax is meant to do.

“One of the options, instead of the proposed wheel tax, is to look at increasing the amount of borrowing,” Kabat said.

But adding borrowing would also increase property taxes, which Kabat is opposed to.

“Our self-imposed limit with our capital budget each year is $7.5 million,” Kabat said, “and the council has asked for on option that would actually borrow $9 million for the next few years.”

The wheel tax would be $25 per eligible vehicle. By state law, the $1.2 million the tax generates annually would have to be spent on roads and other transportation needs.

“I would argue that one benefit of the wheel tax is that it’s not borrowed money,” Kabat said.

If the city council got its $9 million from borrowing, that would raise property taxes by about the same amount that Kabat’s just released operating budget proposal cuts taxes for next year.