Milwaukee County Transit System Faces Major 2027 Deficit

County explores transit system redesign amid funding challenges

Published on Mar. 5, 2026

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The Milwaukee County Transit System (MCTS) is anticipating a deficit of $17 to $20 million by 2027, as the system undergoes a redesign to address its financial struggles. MCTS leadership cites the lack of dedicated state funding as the largest obstacle, with the system's federal COVID-19 relief dollars expected to be exhausted by late 2026 or early 2027.

Why it matters

The looming deficit and the need for a system redesign highlight the ongoing financial challenges facing MCTS, which provides essential transportation services to Milwaukee County residents. The lack of dedicated state funding has been a longstanding issue, and the system's future viability is now in question as it seeks to balance service levels with available resources.

The details

MCTS Chief Administrative Officer Sandra Kellner stated that the system is anticipating a deficit of $17 to $20 million by 2027, as it prepares to undergo a more general redesign with expected implementation in the second half of that year. This comes after MCTS tackled an $11 million budget deficit in the previous year, leading to route service reductions starting March 8, 2026. The new Milwaukee County Department of Transportation Director, Joe Lamers, suggested that if transit funding had kept up with inflation since 2010, MCTS would have an additional $34 million in its budget.

  • MCTS is anticipating a deficit of $17 to $20 million by 2027.
  • MCTS is expected to undergo a system redesign with implementation in the second half of 2027.
  • Beginning March 8, 2026, MCTS will implement route service reductions impacting five bus lines across the county.

The players

Sandra Kellner

MCTS Chief Administrative Officer and former interim President and CEO.

Kathleen Vincent

Milwaukee County Supervisor representing District 11 in southern Milwaukee County.

Joe Lamers

New Milwaukee County Department of Transportation Director.

Justin Bielinski

Milwaukee County Supervisor.

Tom Stawicki

Legislative Director for Amalgamated Transit Union Local 998.

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What they’re saying

“What that is is getting experts brought to Milwaukee to work with us and our community…to say 'what does a system look like that we can actually afford?'”

— Sandra Kellner, MCTS Chief Administrative Officer (wtmj.com)

“Our constituents depend on these routes to maintain their livelihoods and their health. We should be working together to ensure that the services they pay for remain available to them.”

— Kathleen Vincent, Milwaukee County Supervisor (wtmj.com)

“There is no way on earth we should be dealing with an $18 million deficit when there's a surplus at the state that seems like it's going to get unspent at this point.”

— Justin Bielinski, Milwaukee County Supervisor (wtmj.com)

“It is really going to be an uphill battle to get money.”

— Tom Stawicki, Legislative Director for Amalgamated Transit Union Local 998 (wtmj.com)

What’s next

The Milwaukee County Supervisor Kathleen Vincent plans to introduce a resolution in May to restore Route 24 service to fall 2025 levels, using funds from an appropriation for contingencies.

The takeaway

The financial challenges facing MCTS highlight the need for dedicated and reliable transit funding in Milwaukee County. As the system undergoes a redesign, stakeholders must work together to ensure essential transportation services remain available to residents, even in the face of budget deficits and stagnant state support.