October 1, 2025

To: Municipal Clerks and Treasurers

The Wisconsin Department of Revenue (DOR), State and Local Finance Division posted the 2026 Expenditure Restraint Incentive Program (ERIP) Budget Limit Notices on our website.

Notice Details

• Based on 2024 municipal tax rates, there are 281 municipalities that may be eligible for a 2027 ERIP payment
• DOR sent notices to the eligible municipalities via email October 1, 2025
• If your municipal-only property tax rate does not exceed five mills, your municipality is not eligible for ERIP and will not receive a 2026 Budget Limit Notice

To qualify for a 2027 ERIP payment, both must apply:

1. Your municipal‑only 2025 property tax rate must exceed five mills
• According to DOR records, 281 municipalities are eligible since their 2024 tax rate is above five mills
• Note:This excludes TIF district value and tax increments
2. Your municipality's non‑debt general fund budget expenditure percentage increase from 2025 to 2026 must be less than the sum of the 2.7% increase in the Consumer Price Index for the 12 months ending August 31, 2025, plus your 2025 net new construction percentage (up to a maximum 2.0%)

Note: Review the 2026 Budget Limit Notices carefully to ensure your municipality qualifies for a 2027 ERIP payment.

Questions?