The Legislative Fiscal Bureau released information Tuesday detailing the shortfalls of the 2011 fiscal year budget, including the departments that face the worst financial problems.
The projected shortfall for Medicaid is $148 million, the Transportation Fund is facing a deficit of $30 million or higher and the Public Defender's office is $9.5 million in the red.
Governor-elect Scott Walker said in a statement if the state legislature chooses not to deal with these budget issues, the total 2011 fiscal year budget shortfall would be at least $150 million.
""When faced with the choice of bringing public sector employee benefits in line with the private sector or cutting core government services, it would be best to have a range of options on the table moving forward,"" Walker said in a statement.
Walker advised the state Legislature not to pass employee labor contracts before dealing with the budget shortfall. He said that such action ""will tie my hands when trying to deal with the deficit moving forward.""
Walker also announced his list of possible solutions to eliminate the budget shortfalls. He proposed requiring state workers to make a small contribution to their own pensions and making adjustments to state employees' health insurance plans. The proposed moves are estimated to save the state over $150 million, which would almost completely make up for the shortfalls.
—Adam Wollner
