The purpose of the Municipal Services Payments (MSP) Program is to make an equitable annual payment to WI municipalities from a specific State Appropriation, in recognition of critical services directly provided to State Agency and UW System facilities located therein during the prior calendar year. The intent of the statute (
Section 70.119) and the effect of the
MSP Program Guidelines (linked below) is to aid in the reduction of local real property taxes by making a State contribution toward the cost of certain municipality-provided services financed out of the local property tax revenue. The three municipal services covered under this program are fire (fire protection & ambulance services), police, and solid waste (on-site trash & recycling pick-up/disposal).
Program administration is conducted by an MSP Program Administrator designated by the Department of Administration. The amount of an annual entitlement, per municipality, is determined largely by formula with adjustments made therein for special conditions or situations which may arise per specific agency-municipality negotiated agreements or where no services are provided to State-owned facilities. Formula payments are in recognition of fire and police protection and solid waste handling services provided by municipalities that impose no special charge or user fee for these services. No special application or request on the part of a City, Town or Village is required in order to be eligible for consideration of entitlements in the MSP Program formula's calculations, but annual confirmation of services provided is requested. Municipalities qualify for an annual payment only if their adjusted gross entitlement is determined via the formula at $100 or more.
This statutory program started in 1973 and has been operating ever since. The 2024 MSP Program's Schedule of CY 2025 Payments are for municipal services provided during CY 2023. This report was submitted to the WI Legislature's Joint Committee on Finance as required by the November 15 deadline. The total appropriation for the 2024 MSP Program was again at $18,584,200, so prorated payments (37.62%) are scheduled again this cycle.
If you have questions, please review the
MSP Program Guidelines linked below or contact the MSP Program Administrator, Jim Young via email at
jim.young@wisconsin.gov or at (608) 266-1927.
MSP Program Resources: