MADISON - Republicans broke a more than two-month budget stalemate Wednesday, approving a property tax cut for businesses, more money for voucher school students with special needs and a new framework for regulating room rentals through websites like Airbnb.

In a series of tax changes, GOP lawmakers on the Joint Finance Committee dropped several of Gov. Scott Walker's broad tax cut proposals in favor of tax cuts for businesses and narrow groups.

The budget panel nixed Walker's proposals to cut the income tax, put a sales tax holiday on back-to-school purchases and increase a tax credit for the working poor. Instead, Republican lawmakers voted to cut taxes on broadcasters, business equipment and the wealthy.

"It's definitely a shift in tax policy to the wealthier (people) in the state," said Sen. Jon Erpenbach (D-Middleton). If Democrats were in charge, "we'd try to actually get it to the middle class because the middle class are the ones who actually need some help."

Rep. Dale Kooyenga of Brookfield, a certified public accountant, said he and other GOP lawmakers want to make it easier for businesses and workers to file their taxes.

"Every single budget we're making our tax code a little simpler and more fair," Kooyenga said.

The party-line votes by Republicans on the Joint Finance Committee clear the way for floor votes as soon as next week on the two-year, $76 billion budget, which was due on July 1.

Republicans voted to more than double the number of students in the state’s private school voucher program for children with special needs and increase funding for those students.

In its debut last year, the program allowed about 215 special education students to attend religious and other private schools at taxpayer expense.

The program is currently limited to special needs students who attend a public school and were denied their request to attend a different public school. Republicans voted to drop those requirements and add an estimated 250 more students.

Private schools receive $12,000 a year per student through the program. To pay for it, a corresponding cut in state aid is made to the public school district where the student lives.

Under the proposal, private schools could claim up to $18,000 per student through the same funding mechanism if they documented costs that high. The state would cover 90% of any costs above $18,000 per student with no further cut to the local public school.

The panel approved a separate provision for increasing payments to public schools for high-cost special education students from the current level of $12,000 apiece to the actual costs up to $30,000 a year.

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Republicans voted to:

Drop Walker's proposals to make a broad $203 million cut in the state income tax; to implement the $22 million sales tax holiday; and to make a $20 million increase to the earned income tax credit program for the working poor.

Cut local property taxes on business machinery and use $74 million in state tax money to backfill the cut. The decrease wouldn't apply to manufacturers, which have already been exempted from most of those taxes.

Eliminate the state’s alternative minimum tax, which is valued at $8.5 million over the next two years. The tax is mostly paid by upper-income taxpayers and Wisconsin is one of six states with such a tax.

Give a $16.2 million tax cut to qualifying broadcasters over the next two years.

Provide tax breaks for construction material for state colleges; video games and amusement devices; beekeepers; and fish farmers.

Prepare for slower than expected tax growth by increasing the balance in the state's main account in June 2019 to roughly $200 million, up from the $87 million proposed by Walker. But the state would not transfer an additional $20 million into the state's rainy day fund as proposed by Walker.

Restore the governor's proposal to require the University of Wisconsin System to monitor professors' teaching workloads. Lawmakers had previously pulled that provision from the budget.

Require lawmakers to sign off on fund transfers from the UW System to the UW Oshkosh Foundation, which is mired in bankruptcy and scandal.

Allow counties to partner with one another to provide child protective services.

Prohibit cities and local governments from licensing soda sellers.

Audit Medicaid payments made to Planned Parenthood and other family planning providers. The Walker administration for years has been fighting with those groups over their billing practices.

Block a special tax district in Milwaukee from putting assessments on residential properties. The action follows a recent court fight between DJK 59 LLC, owned by Milwaukee-area real estate investor Daniel Katz, and the City of Milwaukee over special taxes charged to a downtown apartment complex.

In addition, Republicans approved a new approach to regulating room rental websites such as Airbnb and VRBO. Under the motion, local governments couldn't prohibit such rentals if they were at least a week long but less than 29 days.

"It's a huge victory for homeowners who want to rent out their homes," said Tom Larson, a Wisconsin Realtors Association lobbyist.

Websites such as Airbnb would have to register with the state, collect sales and room taxes and then pay that money to the state and local governments.

Homeowners who rent their dwelling for more than 10 nights each year would also have to register with the state and with their local government if required.

An official with the trade group representing Airbnb and VRBO said the proposal put a new duty on these websites without protecting weekend rentals from local bans.

"Ultimately we think it's the responsibility of the owner to collect and remit taxes," said Matt Kiessling of the Travel Technology Association.

Journal Sentinel reporters Mary Spicuzza and Tom Daykin contributed to this report from Milwaukee.