Wisconsin?s Medicaid program received a boost last week when Gov. Jim Doyle signed a bill to cover for a projected shortfall in the program?s budget.

The bipartisan agreement will plug $123 million into the increasingly expensive program by taking advantage of low interest rates to restructure a portion of the state?s debt.

?This agreement is a significant victory for the people of Wisconsin and I am pleased that partisan feelings could be set aside to achieve this important goal,? State Sen. Jon Erpenbach (D-Middleton) said in a statement. ?The cost of health care for all Wisconsin citizens would have been severely affected by a lack of action on the medical assistance shortfall.?

The bill affects more than 770,000 citizens in Wisconsin receiving health care from Medicaid, which is paid for through the state along with matching funds from the federal government. If additional funding had not been approved, the program expected to be broke by June of 2005.

?It?s a problem that virtually every state is facing,? Dan Leistikow, press secretary for Doyle, said. ?Medicaid is primarily for low-income citizens, so when the economy is down, more people need its services.?

In addition to providing health care to needy citizens, the funding will have a positive effect on businesses in Wisconsin, according to Eric Borgerding of the Wisconsin Hospital Association.

?When Medicaid doesn?t pay its bills, [health care] costs are shifted to employers and employees through higher health insurance rates,? Borgerding said in a press release. ?This proposal will go a long way towards keeping that situation from getting worse–that should not be overlooked.?

Doyle and others acknowledge that while the infusion of funds will keep Medicaid operating into the near future, the long-term future of the program?s funding remains uncertain.

?This is a strong step toward resolving our projected Medicaid shortfall, but I recognize that it is not a total solution,? Doyle said in a press release. ?We will have to continue to find creative ways to keep our Medicaid budget on track, and guard against overspending and passing bills our state can?t afford.?

The bill received bipartisan support after Assembly Democrats working with Doyle brought attention in the Assembly to the shortfall in Medicaid?s budget. In addition to funding Medicaid, the agreement fills shortfalls in the budget of the Office of the State Public Defender and state district attorneys.

Some legislators, however, view the bill as a quick fix that uses the public?s support of increased health care funding to hide poor fiscal management of the state budget.

?The accounting magic that Governor Doyle put into this agreement would make Harry Potter blush,? Rep. Steve Nass (R-Palmyra) said in a press release. ?Unfortunately, the taxpayers won?t be able to pull a rabbit out of their hats to pay for Doyle?s deficit spending. The state is once again passing off more debt that our children will be forced to pay through higher taxes in the future,?