Governor Doyle: Statement on the Supreme Court Decision on Tax Breaks for Airlines

Contact: Anne Lupardus, Office of the Governor, 608-261-2162

The Supreme Court ruled this morning that a property tax exemption for airlines with hubs in Wisconsin is constitutional. Governor Doyle made the following statement following the 5-2 decision, which protects tax incentives for airlines that have a Wisconsin hub, including Midwest Airlines, whose hub provides 5,000 jobs and generates $173 million in personal income for Wisconsin families.

“This decision is great news for the State of Wisconsin. Innovative new businesses that are thinking about expanding or relocating to Wisconsin now have confidence that our state has dependable, highly efficient air travel necessary to thrive here.

“This is also great news for families, who, along with businesses, save money and time on direct flights from Wisconsin to destinations throughout the country.

“Today’s decision also reaffirms my administration’s use of tax credits to grow and expand businesses in our state. Three years ago I opened the drawer to the Governor’s desk and found a bill from the previous administration for $3.2 billion. Since then, we’ve returned fiscal responsibility to Wisconsin, cut taxes, and created more than 170,000 new jobs. We did this, in part, by using tax incentives to spur economic growth.

“The Supreme Court’s decision upholds our ability to support airlines that provide essential air service and job opportunities in Wisconsin and it encourages significant interstate commerce. Helping airlines like Midwest Airlines maintain a viable presence in the state is vital to growing Wisconsin businesses and creating good-paying jobs for hardworking Wisconsin families.”