End the Hidden Tax. Stop Wausau's Water Utility PILOT Payments!


End the Hidden Tax. Stop Wausau's Water Utility PILOT Payments!
The Issue
Why We're Petitioning
Residents of Wausau deserve transparent and affordable utilities, not hidden taxes buried in their water bills. The City of Wausau is taxing its own water utility through a Payment in Lieu of Taxes (PILOT), imposing an unaffordable burden on ratepayers already struggling with skyrocketing costs. This optional "internal tax" siphons money away from essential water services and funnels it into the city's general fund for unrelated purposes. It's time to end this fiscal shell game and put water bills back to what they should be: funding for clean, reliable water only.
According to the 2026 city budget (page 229), the Wausau water utility is projected to collect $12,714,400 in fees from users next year. Yet, it must immediately pay $1,590,000 in taxes back to the City of Wausau. That's one in every eight dollars you pay for water—equivalent to a hefty 12.5% sales tax on a service you have no choice but to buy from the city's monopoly.
In 2023 alone, water bills surged by approximately 63%, with officials citing the need for a new water treatment plant. What didn’t they mention? Not all that increase goes toward improving our water infrastructure. This un-itemized, hidden tax diverts funds to other city priorities, leaving ratepayers to foot the bill without a say.
PILOT payments are not mandatory under state law—they're an optional mechanism for municipalities to "compensate" themselves for services provided to the utility. But in practice, it's a dishonest policy that erodes trust in local government. Local finances are complicated enough without these tricks. Water bills should cover water services, and city services should be funded through property taxes—not by double-dipping from essential utilities.
Many residents view this as bad policy that prioritizes city coffers over affordability for families, businesses, and fixed-income households. With water rates already unaffordable for too many, continuing this tax exacerbates the strain on our community.
What We What
We, the undersigned citizens, residents and taxpayers of Wausau, call on the City Council to:
- End the Water Utility PILOT payments to eliminate this hidden 12.5% tax on ratepayers.
- Require full itemization on water bills if any similar transfers are considered in the future, ensuring transparency about where every dollar goes.
- Redirect saved funds (Budgeted at $1,590,000 in FY2026) toward lowering water rates or investing directly in utility improvements, like the water treatment plant.
Ending the PILOT will save households money, restore fairness to our utility system, and rebuild accountability in city government. No more shell games—let's make Wausau's water affordable and transparent for all.
Help Us Act
Sign this petition today to urge the Wausau City Council to act. Share our pre-formatted social media post with your neighbors, friends, and on social media. Together, we can demand better from our leaders and protect ratepayers from unaffordable hidden taxes.
About Us
This petition was created by Wausau Taxpayers, a recently formed, non-partisan, independent, cross-party grassroots organization uniting citizens, residents, and taxpayers. We advocate for reduced debt, trimmed budgets, affordable costs, and restored oversight in our city government to ensure fiscal responsibility and transparency for all Wausau communities. Learn more about us at www.wausautaxpayers.org.

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The Issue
Why We're Petitioning
Residents of Wausau deserve transparent and affordable utilities, not hidden taxes buried in their water bills. The City of Wausau is taxing its own water utility through a Payment in Lieu of Taxes (PILOT), imposing an unaffordable burden on ratepayers already struggling with skyrocketing costs. This optional "internal tax" siphons money away from essential water services and funnels it into the city's general fund for unrelated purposes. It's time to end this fiscal shell game and put water bills back to what they should be: funding for clean, reliable water only.
According to the 2026 city budget (page 229), the Wausau water utility is projected to collect $12,714,400 in fees from users next year. Yet, it must immediately pay $1,590,000 in taxes back to the City of Wausau. That's one in every eight dollars you pay for water—equivalent to a hefty 12.5% sales tax on a service you have no choice but to buy from the city's monopoly.
In 2023 alone, water bills surged by approximately 63%, with officials citing the need for a new water treatment plant. What didn’t they mention? Not all that increase goes toward improving our water infrastructure. This un-itemized, hidden tax diverts funds to other city priorities, leaving ratepayers to foot the bill without a say.
PILOT payments are not mandatory under state law—they're an optional mechanism for municipalities to "compensate" themselves for services provided to the utility. But in practice, it's a dishonest policy that erodes trust in local government. Local finances are complicated enough without these tricks. Water bills should cover water services, and city services should be funded through property taxes—not by double-dipping from essential utilities.
Many residents view this as bad policy that prioritizes city coffers over affordability for families, businesses, and fixed-income households. With water rates already unaffordable for too many, continuing this tax exacerbates the strain on our community.
What We What
We, the undersigned citizens, residents and taxpayers of Wausau, call on the City Council to:
- End the Water Utility PILOT payments to eliminate this hidden 12.5% tax on ratepayers.
- Require full itemization on water bills if any similar transfers are considered in the future, ensuring transparency about where every dollar goes.
- Redirect saved funds (Budgeted at $1,590,000 in FY2026) toward lowering water rates or investing directly in utility improvements, like the water treatment plant.
Ending the PILOT will save households money, restore fairness to our utility system, and rebuild accountability in city government. No more shell games—let's make Wausau's water affordable and transparent for all.
Help Us Act
Sign this petition today to urge the Wausau City Council to act. Share our pre-formatted social media post with your neighbors, friends, and on social media. Together, we can demand better from our leaders and protect ratepayers from unaffordable hidden taxes.
About Us
This petition was created by Wausau Taxpayers, a recently formed, non-partisan, independent, cross-party grassroots organization uniting citizens, residents, and taxpayers. We advocate for reduced debt, trimmed budgets, affordable costs, and restored oversight in our city government to ensure fiscal responsibility and transparency for all Wausau communities. Learn more about us at www.wausautaxpayers.org.

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Petition created on February 19, 2026