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Joint expansion of wastewater treatment facility

Type of Jurisdictions Involved



Specific Jurisdictions Involved

City of Racine and six area cities and towns in Racine County








Type of Agreement

Revenue Sharing Agreement


Implementation and Incubation

Intergovernmental agreement to share costs implemented in April 2002


Factors Involved

  • Impetus was an eroding wastewater treatment facility in Racine which had a replacement costs of $81 million
  • Wastewater treatment facility also served neighboring communities
  • City had been providing services to neighboring communities, expecially water and sewer infrastructure, as well as paying to maintain cultural centers, without annexation from the neighboring communities - neighboring communities saw growth and increase in tax base, while City of Racine saw decrease in tax base



  • Revenue sharing program was aimed at reducing the fiscal imbalances between Racine and the surrounding suburbs
  • Portion of tax base growth from new development is shared with the other municipalities involved



  • City of Racine had to agree to boundary alterations with all of the communities involved, and agreed to support the communities in their applications to become either cities or villages
  • Balance the per capita tax based in the area
  • Portion of the revenues generated by the new wastewater facility would be retruned to the City of Racine who would in turn use the funds for financing the zoo, library, and museum


Project Contact

City of Racine Wastewater Commission oversees the revenue sharing
(262) 636-9520






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