Net New Construction

​​ Secs. 66.0602 and 79.05, Wis. Stats.

  1. What is "net new construction?"

  2. Does net new construction include or exclude property in tax incremental financing (TIF) districts?

  3. How does the Wisconsin Department of Revenue (DOR) use net new construction?

  4. Does DOR use net new construction for other calculations?

  5. When is net new construction available?
  1. What is "net new construction?"

    • DOR's Equalization Bureau calculates net new construction each year
    • It includes changes to equalized value due to new building construction and land improvements minus changes to equalized value due to the demolition/destruction of buildings and removal of land improvements
    • Net new construction amounts for each county and municipality is located at: revenue.wi.gov/Pages/EQU/nnc.aspx


  2. Does net new construction include or exclude property in tax incremental financing (TIF) districts?

    Net new construction is calculated based on all taxable property in a municipality or county, including property in TIFs.


  3. How does the Wisconsin Department of Revenue (DOR) use net new construction?

    DOR uses net new construction as part of the county and municipal levy limits.

    Note: The percentage used on the Levy Limit Worksheet is carried out to three decimal places, the Net New Construction Report only shows two decimal places.


  4. Does DOR use net new construction for other calculations?

    Yes. DOR uses net new construction to determine the allowable increase in spending under the Expenditure Restraint Incentive Program (ERIP).

    For ERIP worksheet purposes, the allowable budget percentage change increase is calculated as follows: 60% of net new construction plus Consumer Price Index (CPI), not to exceed CPI plus 2%.

    Note: The percentage used to calculate the allowable increase in spending under the ERIP​ is carried out to three decimal places, the Net New Construction Report only shows two decimal places.​


  5. When is net new construction available?

    DOR posts the Net New Construction Report​ to our website by August 15 each year.


Questions?

Contact us at lgs@wisconsin.gov.

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