Is Proposed State Spending for 2009-11 Up 0.7% or 10.7%?

From the Wisconsin Taxpayers' Alliance's analysis "First Look at Proposed 2009-11 State Budget"

The proposed 2009-11 state budget holds general fund spending increases to under 1% but hikes by 10.7% expenditures from all revenue sources: from $56.7 billion in 2007-09 to $62.7 billion in 2009-11. The budget also seeks to increase state taxes by a total of $2.5 billion over the next three years, most notably on businesses, large and small; hospitals; smokers; investors; and higher-income individuals.

"The danger of paying for permanent state programs with temporary federal aid is," according to WISTAX President Todd A. Berry, "the likelihood of more state budget problems come 2011." State budget documents forecast annual "structural deficits" of about $400 million in the 2012 and 2013 budget years. Wisconsin has had structural deficits in every budget since at least 1997, including a current one-year imbalance of $800 million.

Fuzzy accounting...the new American math.