Madison School Board and Madison Common Council to Cooperate on Economic Development and School Priorities

Over the past two and one-half years, at the direction of Mayor Paul Soglin and the Madison School Board, discussions have occurred regarding investments in downtown development and ways to help address severe revenue shortfalls facing the school district.

As a result of the efforts of the City and school district, legislation will be considered by School Board and Common Council that will provide up to $9.2 million for critical school needs while preserving the ability to make investments in Tax Increment District (TID) 25 to grow the local tax base.

The City will make a loan to the School District as part of its usual investment portfolio of excess cash resources. The School District will repay that loan by 2025, by which time it should receive its share of residual revenues from the closure of TID 25. The City will guarantee that the School District has sufficient resources to repay the loan.

"This agreement marks another major step forward in cooperation between the City and School District toward improving the educational outcomes for all Madison children and building a city tax base that supports their education," said Mayor Soglin.

"TID 25 has made critical downtown investments over the past 20 years, including the seminal Block 89 redevelopment project and the Monona Terrace headquarters hotel parking structure," said Council President Mike Verveer. "To see TID 25 also invest in the long-term educational outcomes of our kids is terrific and is a testament to the level of cooperation between the Madison Common Council and the Madison School Board."

"Our school district is focused on closing the gaps in opportunity that lead to disparities in achievement and raising achievement for all students," Superintendent Jennifer Cheatham said. "With less and less support from the state, we are so grateful that our partners at the city are stepping up to support our public school students."

"As school board members, we are committed to improvement across our district and to advocating for all of our schools. We want to thank the Mayor and Common Council for their collaboration and support of our schools," said School Board President James Howard.

The resolution on TID 25 will be introduced at the Common Council meeting on June 7, referred to the Board of Estimates on June 13 and back to the Council for final consideration on June 21.