Wisconsin set the stage over the last decade as one of the first to implement conservative-leaning policies in areas like collective bargaining and school choice; however, with the progressive-leaning, Democrat-controlled neighbors of Minnesota, Illinois, and Michigan, as well as the upward trend of Democrat-held legislative seats since November, what happens in Wisconsin may very well impact whether the Midwest will continue to hold onto political ideologies like those of Scott Walker or follow the trends of Evers, Walz, Pritzker, and Whitmer.
The Republican majority in both the Wisconsin Assembly and Senate decreased from the last session, foreshadowing conflicts between Governor Tony Evers and the legislature over priorities both new and old. Expect conflict over limiting executive powers, efforts to overrule decade-old labor union limitations, and debates over how to spend millions in environmental and education funding grants.
Here are some of the top issues we’re watching in the 2025 Wisconsin legislative session.
Governor’s Vetoes and the Balance of Power
The legislature filed two separate lawsuits against Governor Evers’ use of the partial veto. The first, which is currently being considered by the Wisconsin Supreme Court, considers whether Governor Evers vetoing individual numbers, spaces, and hyphens in order to extend an increase in school funding by 400 years is constitutional. The second relates to a partial veto used to change how $50 million in funding for a new reading curriculum is allocated. In addition to these lawsuits, Republican legislators have proposed pursuing an amendment that would limit the Governor’s partial veto.
Surplus & Spending
Wisconsin’s budget surplus is $4.6 Billion. While Republicans still maintain a majority in both chambers, Governor Evers’ upcoming executive budget recommendations are expected to look considerably different from the final budget. The legislature initially passed $3.5 billion in tax cuts in the 2023-2025 budget, which was decreased to $175 million following the Governor’s veto. Republican House and Senate leadership voiced a desire to implement $2 billion in tax cuts in the upcoming budget. However, the pending Governor’s veto lawsuits may cause greater tension and change the Governor’s willingness to sign the finished product without modifications and concessions. How quickly a budget will be finalized will likely depend on the decision of the Wisconsin Supreme Court.
Education Funding & Scoring
The Wisconsin Department of Public Instruction (DPI), which is listed as a co-defendant in the Act 20 veto lawsuit, recently announced an overhaul of the state’s standardized testing benchmarks, making comparing scores to previous years difficult and prompting some legislators to advance a bill that would require a return to the previous scoring metrics. Governor Evers openly questioned the decision to change testing benchmarks, calling it a ‘mistake,’ implying the possibility of common ground between Republicans and the Governor on this issue. All this coincides with a proposed budget increase of $4 Billion requested by DPI and $855 Million for the University of Wisconsin system, setting up a high budget negotiation while the current superintendent is up for reelection spring of this year.
In 2023, the Wisconsin legislature passed Act 20, also known as the Right to Read Act, directing Wisconsin’s schools to change the reading curriculum, regularly screen students, and provide grants for schools to implement the new curriculum. However, following the lawsuit against the Governor’s veto, the $50 million initially provided has been withheld by the legislature barring the Supreme Court’s pending decision. If the funding is not spent by June 30, 2025, it will return to the state surplus. Without a definitive decision from the Wisconsin Supreme Court, a legislative response will be required to release the funding.
PFAS & Environmental Regulations
More than $125 Million set aside to address PFAS concerns in 2022 has yet to be released amid debate between Governor Evers and Republican legislators on how it should be spent. Going into 2025, select Republican legislators are reintroducing bills that would unlock funding for local governments, landowners, and landfills for testing and treatment. This bill would also ensure grants are provided to landowners with PFAS contamination they did not cause. Despite a previous veto of the bill, Governor Evers has stated he intends to include $145 million in the upcoming budget for testing and cleaning PFAS pollution.
Act 10
The Wisconsin Supreme Court is considering a challenge to the decade-old ACT 10 law after a Dane County Judge declared the legislation unconstitutional. Act 10 limited bargaining power for public employee unions, banned unions from deducting dues from an employee’s paycheck, and required a majority of all employees who would be covered by the union in order to form a union. If the Wisconsin Supreme Court upholds the ruling that overturns Act 10, there is a possibility we see an attempt to replace the legislation this session due to the massive implications for public funding. However, without a supermajority, repassing a new form of Act 10 will be an uphill battle.
Marijuana Legalization
Debate over the future of marijuana legalization is expected to continue after a Republican-backed bill failed last year. The Republican bill would have legalized medical marijuana for severely ill patients which opponents claimed was far too restrictive with separate calls for full legalization. In January, Governor Evers stated he intends to include a plan for marijuana legalization in his executive budget proposal. However, full legalization and state-run dispensaries have received considerable pushback and considerable bipartisan support will be required to get this issue across the finish line.
Alex Saunders, Account Executive
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