Premier Resort Area Tax (PRAT)

The Village of Ephraim provides a variety of services and facilities for the public to enjoy. Other than the marina and wastewater utility, all other activities and services are currently funded by the Village's property tax levy. These services and facilities are sized for the peak tourist season, which adds thousands of visitors to the Village on a a daily and weekly basis, but are paid for by Village residents and tax payers. In an effort to relieve the property tax levy of additional expense, the Village has begun discussing the implementation of a Premier Resort Area Tax (PRAT) in the Village.

PRAT is a local retail sales tax which was authorized by the Wisconsin legislature and is administered by the Wisconsin Department of Revenue. Under law, the sponsoring municipality may only use the proceeds of this tax to pay for infrastructure expenses within its jurisdiction.

The process for implementing PRAT starts with the Village adopting a resolution proclaiming its intent to impose the tax. The resolution is then voted on at referendum by the Village electors. If the referendum is approved by the majority of the electors, the Village would pass a Premier Resort Area Tax Ordinance. The earliest effective date of PRAT in the Village would be July 1st, 2021.

A resolution regarding PRAT will be presented to the Village Board at their December 8th, 2020 meeting.  Should the resolution by approved by the Board in December, a referendum would be held during the February 16th, 2021 election.

Additional information on the Village's implementation of PRAT can be found here:

PRAT Proposal

PRAT Facts