AB457: Bill Text

2025 - 2026 LEGISLATURE

LRB-4628/1

FFK:cdc

2025 ASSEMBLY BILL 457

September 26, 2025 - Introduced by Representatives Nedweski, Donovan, Allen, Behnke, Dittrich, Duchow, B. Jacobson, Maxey, Melotik, Moses, Murphy, O'Connor, Penterman, Steffen and Wichgers, cosponsored by Senators Hutton, Nass and Tomczyk. Referred to Committee on Education.

AB457,1,4 An Act to amend 67.05 (6a) (a) 2. (intro.) and 121.91 (3) (a) 1.; to create 67.05 (6a) (a) 3. and 121.91 (3) (a) 3. of the statutes; relating to: the conditions under which a school district may adopt a resolution to exceed its revenue limit.

Analysis by the Legislative Reference Bureau

This bill prohibits a school board from adopting a resolution to initiate an operating or capital referendum unless the Department of Public Instruction certifies that the school board is in compliance with all applicable requirements to submit financial information to DPI. If a school board adopts a resolution without the required certification, the resolution and any referendum on the resolution are void.

Current law generally limits the total amount of revenue a school district may receive from general school aids and property taxes in a school year. However, there are several exceptions to the revenue limit. One exception is for excess revenue approved by referendum for recurring and nonrecurring purposes. This type of referendum is often referred to as an operating referendum. If the operating referendum is for a nonrecurring purpose, a school district’s authority to raise excess revenue is approved only for specific school years. Another exception to a school district revenue limit is an increase for funds needed to service general obligation debt issued by a school district, if the debt was approved by a referendum. This type of referendum is often referred to as a capital referendum.

For further information see the state and local fiscal estimate, which will be printed as an appendix to this bill.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB457,1 Section 1. 67.05 (6a) (a) 2. (intro.) of the statutes is amended to read:

AB457,2,12 67.05 (6a) (a) 2. (intro.) Except as provided under pars. (b) and (c) and subs. (7) and (15), and subject to subd. 3. and the limit on the number of referendums that may be called in any calendar year under subd. 2. a., if the board of any school district, or the electors at a regularly called school district meeting, by a majority vote adopt an initial resolution to raise an amount of money by a bond issue, the school district clerk shall, within 10 days, publish notice of such adoption as a class 1 notice under ch. 985 or post the notice as provided under s. 10.05. The notice shall state the maximum amount proposed to be borrowed, the purpose of the borrowing, that the resolution was adopted under this subdivision and the place where and the hours during which the resolution may be inspected. The school board shall also do one of the following:

AB457,2 Section 2. 67.05 (6a) (a) 3. of the statutes is created to read:

AB457,3,7 67.05 (6a) (a) 3. Beginning on the effective date of this subdivision .... [LRB inserts date], a school board may not adopt a initial resolution to raise an amount of money by a bond issue and a vote of the electors of a school district may not be held to adopt a initial resolution to raise an amount of money by a bond issue unless the department of public instruction certifies that, as of a date that is no earlier than 14 days before the date on which the school board or the electors adopt the resolution, the school board of the school district is in compliance with all applicable requirements to submit financial information to the department of public instruction or the state superintendent of public instruction, including requirements to submit financial information under ss. 119.44 (1), 120.08, 120.14, and 121.05. If a school board or the electors of a school district adopt a resolution under subd. 2. in violation of this subdivision, the resolution and any referendum that submits the resolution to the electors of the school district is void.

AB457,3 Section 3. 121.91 (3) (a) 1. of the statutes is amended to read:

AB457,4,2 121.91 (3) (a) 1. If Subject to subd. 3., if a school board wishes to exceed the limit under sub. (2m) otherwise applicable to the school district in any school year, it shall promptly adopt a resolution supporting inclusion in the final school district budget of an amount equal to the proposed excess revenue. The resolution shall specify whether the proposed excess revenue is for a recurring or nonrecurring purpose, or, if the proposed excess revenue is for both recurring and nonrecurring purposes, the amount of the proposed excess revenue for each purpose. The resolution shall be filed as provided in s. 8.37. Within 10 days after adopting the resolution, the school board shall notify the department that it will schedule a referendum for the purpose of submitting the resolution to the electors of the school district for approval or rejection and shall submit a copy of the resolution to the department. Except as provided in subd. 2., the school board shall schedule the referendum to be held at the next regularly scheduled spring primary or election or partisan primary or general election, provided such election is to be held not sooner than 70 days after the filing of the resolution of the school board. A school board may proceed under this subdivision and under s. 67.05 (6a) (a) 2. a. no more than 2 times in any calendar year. The school district clerk shall certify the results of the referendum to the department within 10 days after the referendum is held.

AB457,4 Section 4. 121.91 (3) (a) 3. of the statutes is created to read:

AB457,4,12 121.91 (3) (a) 3. Beginning on the effective date of this subdivision .... [LRB inserts date], a school board may not adopt a resolution under subd. 1. unless the department certifies that, as of a date that is no earlier than 14 days before the date on which the school board votes to adopt the resolution, the school board is in compliance with all applicable requirements to submit financial information to the department or the state superintendent, including requirements to submit financial information under ss. 119.44 (1), 120.08, 120.14, and 121.05. If a school board adopts a resolution under subd. 1. in violation of this subdivision, the resolution and any referendum that submits the resolution to the electors is void.

AB457,4,13 (end)