Wisconsin’s deficit is growing, officials say

Apparently, the state's financial condition is worsening. According to the Milwaukee Journal-Sentinel, Wisconsin's budget deficit, originally projected at $5 billion, is growing, but no one seems ready to project the new figure. At a National Governors’ Association event in Milwaukee on Monday, Governor Jim Doyle confirmed that the numbers are going to get worse. At the same time, the Wisconsin Alliance of Cities told several of its members that the budget deficit could grow by an additional $1 billion.

Rep. Mark Pocan (D–Madison) is co-chairman of the Joint Finance Committee, and said he hopes his committee will be able to to recommend a new two-year budget to the full Legislature by June 1. The July-through-April tax collection totals, scheduled to be released in two or three weeks, could make that deadline more difficult to reach. There are indications that the earlier revenue projections will not be met, making the job of writing a state budget more difficult.

What does this mean to Ripon? Ed Huck, director of the Alliance of Cities, said he thought the worsening budget situation may force a cut of up to 5 percent in state aid to cities. This will mean thousands of dollars in potential cuts for Ripon. I can assure you that I am not in the mindframe of advocating increasing taxes to cover this cut in aid, and we will have to sharpen the budget pencils even more going in 2010. Huck is even claiming the deficit could grow to as much as $6.3 billion.

If history is any indication, Governor Doyle will cover the new shortfall with increased taxes, I mean fees, as well as shifting money around the current budget and some fancy accounting tricks. I wonder just how large the deficit has to get before he learns to say NO on spending increases.