Scott Walker Kicks Off Second Term, Presidential Campaign With $751 Million Tax Hike

Nov 13, 2014

After months of dodging questions about his second term agenda, and whether he would even commit to serve a full four years, Scott Walker’s administration is revealing the first major action in his second term agenda — a $751 million tax increase.

In a budget proposal released this afternoon, Walker’s Department of Transportation is proposing a $751 million tax and fee increase that will impact drivers in the state. The proposal includes a gas tax increase that will average about $27 per year, per driver, a new vehicle fee increase of about $800 for the average new car, imposes higher fees for electric and hybrid cars, and a higher tax on diesel fuel. 

Walker’s proposal also creates a new tax that imposes a highway use fee based on the percentage of a new vehicle’s cost. While many other details about the plan are unknown at this time, it is projected to pull revenue from the state’s general fund, which will create an even larger structural deficit.

“No wonder Scott Walker didn’t want to talk about what his second term agenda would look like — he’s just doubling down on the broken promises of his first, failed term by again raising taxes on working families as soon as he possibly could,” Democratic Party of Wisconsin Chair Mike Tate said Friday. “Walker’s fiscal mismanagement has our state facing a staggering, multi-billion dollar deficit that’s on the rise and this unbelievable proposal does nothing to correct the damage. Instead, Walker’s plan imposes an undue financial burden on working families who are already suffering the effects of an economy plagued by low, stagnant wages and Walker’s inability to create the jobs he promised. Maybe tax increases are suddenly the rage with primary voters in Iowa and New Hampshire, but my guess is they aren’t going to go over so well in Wisconsin.” 

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