Gov. Jim Doyle addressed the importance of health care, education, budget cuts and the federal stimulus package Tuesday night during his budget address.
Doyle continually emphasized education throughout his speech, adding it is the only area of the budget that will receive increased funding while nearly all other areas will suffer cuts.
Among the educational proposals was a plan preventing Wisconsin families earning less than $60,000 a year from paying tuition increases. Families earning more than that amount will pay only moderate increases.
Doyle added by investing in schools throughout the state, taxpayers will not see an increase in property taxes.
According to Rep. Kim Hixson, D-Whitewater, chair of the Assembly Committee on Colleges and Universities, the governor’s proposals were steps in the right direction and will be an important way to keep higher education affordable for Wisconsin families and students.
In addition to education, Doyle added the state’s health care program, BadgerCare Plus, will also not suffer any major cuts.
“We are not going to start telling the 70,000 kids who enrolled in BadgerCare Plus this year that because the economy is bad they can’t see a doctor anymore,” Doyle said.
Despite the continued funding of education and health care throughout the state, the governor acknowledged a variety of cuts would have to be made to state programs to help alleviate the nearly $6 billion budget shortfall the state is expected to face over the next two years.
“This budget will cut $2.2 billion more over the next biennium,” Doyle said. “So, on top of all the other cuts we made, this budget provides for an across-the-board 1 percent reduction in all state spending.”
Doyle noted a variety of state agencies and programs will suffer cuts, including the reduction in reimbursement rates for programs like medical care and the closing of several Department of Motor Vehicles offices throughout the state.
In spite of the cuts, the governor remained optimistic citizens will still have access to the state services they need and rely on.
In addition, Doyle proposed a variety of tax increases likely to cause controversy throughout the Legislature’s session, including a 75-cent per pack state tax increase on cigarettes. If passed, Wisconsin will have the third-highest tobacco tax in the nation.
Tax increases included in the state stimulus package will carry over into the next budget as well, including an “iPod tax” on downloaded items such as cell phone ringtones.
In terms of policy, Doyle also proposed a statewide smoking ban at all workplaces, including restaurants and taverns. Additionally, the governor proposed a plan that would allow domestic partners who work for the state to have access to benefits.
He also proposed good behavior incentives for non-violent prisoners that would allow prisoners to get out of jail sooner while reducing state supervision time after their release.
The governor also addressed the role of federal money the state will receive as a result of the American Recovery and Reinvestment Act. According to Doyle, the plan will help lay the foundation for job growth throughout the state both today and in the future without compromising education and health care.
“It means that as the economy is trying to recover from a deep recession, we will be in a better position to help move our country forward,” Doyle said.
Despite the governor’s positive attitude throughout his address, Republican Assembly members met after the speech to address their concerns regarding the budget.
According to Assembly Minority Leader Jeff Fitzgerald, R-Horicon, the governor’s address lacked clarity regarding the budget cuts and increases he plans to make.
In addition, Fitzgerald addressed concerns regarding the tax increases proposed Tuesday night, as well as the increases included in the state stimulus package expected to be voted on by the Assembly and Senate today.
“They’re going to solve this budget deficit by raising taxes on the people of Wisconsin and the businesses of Wisconsin,” Fitzgerald said. “This is the absolute worst thing you could do.”
The budget will now travel to the Joint Committee on Finance, which will hold public hearings and make recommendations before passing it along to the entire Legislature, where it will be voted on.
If approved, the budget will then be in effect from mid-2009 until mid-2011.