Every year, Wauwatosa faces a budget gap in funding roadway, bicycle, public transportation, and pedestrian improvements. State limitations on our levy have led us to borrow for transportation projects. In order to ensure that Wauwatosa remains within borrowing benchmarks, pursues reducing our interest rates, and funds infrastructure, the Common Council is considering creating a Transportation Utility. This would be a user charge based on vehicle trips generated.

Three reasons why Wauwatosa is considering a transportation utility:

1. Wauwatosa has a budget gap for infrastructure projects, and this is expected to worsen each year.
2. The Transportation Utility is an equitable way to charge users based on their consumption. In other words, users will pay for what portion of the transportation system they use based on how many vehicular trips come and go from their property. Different land use types (a single-family home, a home improvement store, a school, and a medical facility) generate different trip rates.
3. We need to find ways to reduce our reliance on property taxes. It is not realistic to fund additional infrastructure through property taxes.