City of Madison Mayor Satya Rhodes-Conway announced her 2025 Executive Capital Budget and Capital Improvement Plan Sept. 10, according to the City of Madison website.

The CIP is a six-year plan running from 2025-2030 which details how much money the city will invest each year to improve its infrastructure — including public transit, streets, parks, bikeways and stormwater systems, according to the executive summary.

The capital budget is the first year of the plan, investing $418.3 million in 2025, but the plan accounts for $1.5 billion in total from 2025-2030, according to the executive summary.

This capital budget concerns long-term large-scale projects, but the operating budget, which focuses on the day-to-day costs like employee wages, is still under development, according to the City of Madison website.

The proposed capital budget is $24 million lower than what agencies requested and $12.3 million lower than the 2024 adopted budget, according to the City of Madison website.

Associated Students of Madison Legislative Affairs Committee Chair Ethan Jackowski said while the lower budget may seem concerning, the mayor is targeted with her approach developing infrastructure and long term projects for the City.

“… The decrease just means that they’re doing less and they have to be more targeted,” Jackowski said. “But it doesn’t mean that infrastructure changes and updates aren’t happening, and that the changes that are happening aren’t meaningful. They’re just being more cautious.”

The budget includes funding for a South Point Road Public Works Facility on the west side of Madison, a north-south transit route, co-locating the South District Police Station and updates for aging infrastructure, like stormwater drains on Regent Street, according to the executive summary.

Madison Deputy Mayor Christie Baumel emphasized the importance of funding critical infrastructure efficiently.

“This year, our focus was really trying to maintain those critically important services that everybody relies on, while also recognizing that we need to recognize the burden on taxpayers,” Baumel said. “So we’re trying to be very efficient, and not only with what we select in terms of capital projects, but how we invest that money in ways that reduce our long term operating expenses.”

Jackowski said the infrastructure updates are important for students, especially in areas on and near campus, like Regent Street. Students will also benefit from better snow plowing and improved traffic patterns during the winter, Jackowski said.

The South Point Road Public Works Facility will house garbage trucks, snow plows, street sweepers and other vehicles, and the introduction of rapid public transit will decrease traffic, according to the executive summary.

“When we have better infrastructure and people feel more supported, it makes Madison more comfortable to live in,” Jackowski said. “It makes getting around campus better and it makes Madison more hospitable, which brings in a diversity of people. There are net positives that are downstream, even though it might seem like fixing drain water issues isn’t a big thing.”

 The budget also includes a housing fund that aims to incentivize the creation of new, long term affordable housing developments, according to Baumel.

The CIP allocates $36.2 million for affordable housing and the redevelopment of South Madison and the Sheridan Triangle neighborhood, according to the CDA redevelopment plan.

Capital Management Club President Spencer Callaway underscored the importance of affordable housing initiatives in Madison, especially for University of Wisconsin students.

“I hope that the City balances priorities between full time residents and students, and acknowledges that there is a real shortage of housing for students,” Callaway said.

The budget proposes funding replacing facilities and adding mixed-income housing, since federal limits restrict the amount of public housing Madison can have, according to Baumel. The Community Development Division oversees Madison’s public housing and will preserve affordability, increase the number of housing units available and help address the City’s housing demand, Baumel said.

The mayor’s budget proposal includes several environmental initiatives, including solar panel installations for affordable housing projects, according to Baumel. Other efforts include expanding bike lanes for sustainable commuting, air quality monitoring, energy efficiency upgrades for commercial buildings and stormwater cleanup to reduce lake pollution and funding for green space, Baumel said.

Rhodes-Conway introduced a $22 million funding referendum resolution in July, according to the City of Madison website. Each city government agency was asked to propose a 5% budget reduction, and combined, they suggested $22 million in cuts, according to Baumel.

“There are items [budget cuts] in there related to public safety and whether that be related to violence prevention or police service reductions or fire service reductions, there are options in there related to cutting community contracts,” Baumel said.

If voters approve the referendum, it will avoid major service cuts, though property taxes will increase by $219 annually for the average homeowner, according to the City of Madison.

Without the referendum, the City will need to reduce services by $6 million in 2025, Baumel said. This will mean significant cuts across city workforce, including police, fire, garbage, libraries and community services, Baumel said.

The Common Council voted to place the referendum on the ballot in November for voters to decide whether to approve an increase in the property tax levy, according to the City of Madison website.

Baumel and Jackowski said they encourage students to make their voices heard in the municipal government processes. The proposed capital budget and operating budget processes include public hearings that students should attend to voice their concerns and opinions, Jackowski said.

The capital budget Finance Committee hearings are in September, followed by Common Council hearings in November, with final adoption in January 2025, and the operating budget will be released Oct. 8, according to the City of Madison.