Facing a $5 million budget shortfall, Mayor Paul Soglin is proposing a $17 city vehicle registration fee. Soglin told alders:
Dane County proposed its local vehicle registration fee in their 2018 operating budget. Revenues from the fee will be used for existing transportation purposes in the county budget. Current revenues supporting those transportation costs are being reallocated to close a budget gap so that other programs supported by county general purpose revenues, including human services, can be sustained.
I am considering a similar approach for a City of Madison vehicle registration fee. At this time, I am considering a $17 vehicle registration fee. When combined with the state and county registration fees, vehicle owners in the City of Madison would pay $120 annually ($75 state; $28 county; $17 city).
A $17 fee would raise an estimated $3.3 million annually (approximately 194,000 vehicles registered in the City would be subject to the fee). If enacted, vehicle registration fee revenues would be used for existing transportation purposes (e.g., the City general fund subsidy for transit), with existing general fund revenues for that purpose reallocated to help close the estimated budget gap and maintain and hopefully expand community services programs.
Soglin will introduce the fee at the June 19 Common Council meeting.