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Neenah council repeals vehicle registration 'wheel tax' after split vote
Summary
The Common Council approved Ordinance 2025-03 to repeal a transportation vehicle registration fee (wheel tax) on a 7-1 vote, with one alderman voicing concerns the fee was regressive.
The Neenah Common Council voted 7-1 Wednesday to adopt Ordinance 2025-03, repealing the transportation vehicle registration fee often called a wheel tax.
Alderman Steiner, speaking as part of the finance committee report, said the ordinance is administrative confirmation of an earlier decision and does not change prior council action. Alderman Palmeau said he intended to vote against the repeal, calling the fee “regressive” and arguing it would disproportionately affect low-income residents while larger commercial users would not pay directly through that fee. Alderman Lundrum countered that larger truck operators are taxed by other mechanisms and the city also receives state transportation funds.
The motion passed 7-1. The council did not attach additional conditions to the repeal during discussion.
