Madison — Today the Legislative Fiscal Bureau (LFB) released numbers to confirm what Governor Walker has been saying all along—Wisconsin is in a fiscal crisis.
LFB’s estimates show that there are appropriation shortfalls of $178.4 million ($153 million of which are from MA related programs) and there is a $58.7 million bill due to Minnesota for tax reciprocity, for a total shortfall of $237.1 million for FY11. LFB estimates a final gross ending balance of $121.4 million, but when you factor in the appropriation shortfalls, there is a cash deficit for FY11 of $115.7 million. All of these numbers don’t take into account the $200 million the state owes to the Patients Compensation Fund.
In response to these new figures, Governor Walker’s spokesman, Cullen Werwie, released the following statement:
Without legislative action the State of Wisconsin will soon no longer be able to pay its bills. These new numbers confirm that tough choices need to be made in the very near future.
Even given the dire fiscal condition of the State of Wisconsin, Governor Walker is optimistic about the future. Over the next few weeks he will be working tirelessly with the Legislature to make the tough decisions necessary to balance our state budget and get Wisconsinites working again.