Law-First Plan
4. Money: Phased, Built on Steady Revenue
See the city budget map: where the money goes and how to move it
Fare-free first: about $0.5 to $0.6M a year. The bigger network phases in later ($13.8M starter, $22.6M full).
Ground rules from law. No transit sales tax or regional transit authority is allowed (RTAs repealed by 2011 Act 32; SB 754 died March 23, 2026). The levy limit (Wis. Stat. 66.0602) has no transit exception; a referendum under 66.0602(4) or a county consolidation under 66.0602(3)(g) are the real routes. State aid for Tier B systems is a fixed pool of $25,475,900 a year (Wis. Stat. 85.20(4m)), so growth here does not automatically bring more state money. One-time TIF and bridge money pays for capital only.
Where we start. Shoreline Metro spent $4,295,776 to operate in 2024 ($94.65 per revenue hour) and about $4.32M in 2025. The 2026 budget uses the last of the pandemic relief money (Sheboygan Press, July 16, 2025).
Tool 1: transit share of the wheel tax (verified base, derived yields). City staff estimate $999,260 a year from the new $30 wheel tax, about $33,300 per dollar (citizenportal.ai). Wis. Stat. 341.35 requires the money go to transportation purposes, which can include transit. WisDOT keeps about 3 cents per vehicle.
$10
Yearly yield (derived) about $333,000
$20
Yearly yield (derived) about $666,000
$30
Yearly yield (derived) about $999,000
For comparison, Milwaukee charges $41, Madison and Janesville $40, Eau Claire $50 and Manitowoc $20.
Tool 2: referendum, sized per home (derived). The 2026 city levy is $30,129,824 at $6.2452 per $1,000, which implies about $4.82 billion of taxable value. Each $1M a year of added levy is about $0.21 per $1,000, or about $36 a year on the $174,200 median home.
$1M
Rate added per $1,000 about $0.21
Median home per year about $36
$3M
Rate added per $1,000 about $0.62
Median home per year about $108
$5M
Rate added per $1,000 about $1.04
Median home per year about $181
Tool 3: federal formula money. Section 5307 can pay up to 50% of net operating cost in urbanized areas under 200,000 (Sheboygan is about 59,490).
Tool 4: CMAQ startup. CMAQ can fund about 3 years of operating cost for new service, spread over up to 5 years. Good for launching the Harbor Loop and new routes.
1. Prove it
Years 2027 to 2028
Service Harbor Loop at 10 minutes, free fares pilot, walking upgrades on priority routes, e-bike library
Steady money Transit wheel tax share ($333K to $666K), 5307 on new hours
Startup and capital CMAQ startup; RAISE bridge; TIF for crossings and sidewalks
2. Every day
Years 2029 to 2031
Service One schedule every day, expanding hours toward 5 AM to 12:30 AM; Lakeshore Link daily; AV pilot
Steady money Referendum ($1M to $5M), county consolidation talks
Startup and capital TIF ramps ($20M to $22M range) for mobility hubs; electric buses
3. Full vision
Years 2032 and on
Service 580 bus-hours a day, about $22.6M a year
Steady money Larger referendum, state aid reform, a state law allowing regional transit funding
Startup and capital Fleet renewal toward electric and autonomous
Fare-free check. Free fixed routes mean free ADA paratransit (49 CFR 37.131 caps it at twice the bus fare; today it is $4.00). Paratransit must also match bus hours and days, so longer hours raise its cost too. Fare-free stays the goal; lost fare revenue is a Phase 1 budget line.