Wisconsin Could Face Deficit to Start Next Budget

By: Associated Press
By: Associated Press

They could be facing another shortfall to start the next budget in two years.

The nonpartisan Legislative Fiscal Bureau reports today that the state needs more than $700 million to balance the budget that begins in 2005.

That's because future spending commitments exceed current revenues.

Dan Leistikow is a spokesman for Governor Doyle. He says the state has historically generated about $1.5 billion in new revenue during each two-year budget. He says that would be more than enough to cover future spending commitments.

Doyle signed a budget last month to fix the state's$3 billion deficit for the two-year period that began July 1. The budget does not increase income, sales or corporate taxes to cover the shortfall, instead relying on a series of cuts and other moves.