The Legislative Fiscal Bureau sent a memo to the co-chairs of the Joint Committee on Finance Thursday painting an even grimmer picture for Wisconsin's already difficult budget situation.
General tax collections for 2008-'09 will be $342.4 million lower compared to estimates made in November. As a result, Wisconsin's remaining budget deficit for the 2008-'09 fiscal year has grown from $346 to $593.8 million, according to the memo.
Wisconsin legislators must solve this budget before the current biennium ends June 30.
In addition, the budget deficit for the 2009-'11 biennium is now expected to exceed the previously anticipated $5.4 billion.
Gov. Doyle said in his State of the State Address Wednesday he expects the deficit to worsen, and the latest data from the LFB suggests it could reach more than $5.7 billion.
The Joint Finance Committee was already facing a monumental challenge with a 5.4 billion dollar budget shortfall, and so today's news will just make that all the more challenging,"" said Kelley Flury, legislative aid to state Sen. Judy Robson, D-Beloit.
Estimates of Wisconsin's share of the $819 billion stimulus package passed by the U.S. House of Representatives Wednesday vary, but Doyle said yesterday it would not be enough to completely fix the budget.
""This shortfall is a problem that needs to be addressed now. Governor Doyle can't wait for federal assistance before we implement changes in our budget,"" Senate Minority Leader Scott Fitzgerald, R-Juneau, said in a statement.
- Megan Orear
