Fiscal bureau: Property tax cut would increase budget shortfall
MADISON, Wis. (AP) -- The projected budget shortfall the state will face in 2015 would increase 33 percent if the Legislature approves a $100 million property tax cut and other worker training bills proposed by Gov. Scott Walker.
The nonpartisan Legislative Fiscal Bureau released an analysis Tuesday showing the increased spending would grow the state's projected shortfall from $545 million to $725 million.
News about the growth in the structural deficit came the day after Walker's administration announced that the state collected $89 million more than originally expected in the last fiscal year.
Even with that growth, the Fiscal Bureau report shows the deficit would grow thanks mostly to the property tax cut.
The shortfall would still be less than half of the structural deficit faced every two years since 1997.