This week Governor Walker signed into law the fiscal parts of the Budget Repair Bill that were taken out at the controversial meeting in the Senate chamber. These are the provisions we wanted to pass immediately but we were forced to delay them due to the actions of the Senate Democrats that fled the state.

I realize there is a lot of talk of how there is not a deficit in Wisconsin so I wanted to explain that there is and this is how.

While the January Revenue estimates showed the state with a positive net balance, it didn’t include two outstanding bills that need to be paid sooner rather than later.

$200 million to be repaid to the patient’s compensation fund.  The Supreme Court ruled that the state was not able to take this money from the fund and it will need to be repaid, plus interest.

$58.7 million to Minnesota for our reciprocity deal.  Wisconsin still owed Minnesota after the tax reciprocity deal was broken.  The bill was due on December 1, 2010 and the daily interest on the bill is $4,584.

Also, painted as some as raiding $28 million from the pension fund, this is excess money generated by the Group Insurance Board that will be returned to the general fund.  The money is being used to reduce employer (the state) costs for providing group health insurance for the second half of this year.

There was a great turnout in Stevens Point yesterday with many concerned citizens coming out to voice their opinion on the proposed budget and I feel honored to have been a part of that process.  A lot of good comments and some questions were asked and I will update my website soon with some questions and answers. 

I want all constituents to know that the state budget process is in-depth and lengthy, spanning many months of public hearings and deliberations.  The first step in this process is to be considered in the Joint Committee on Finance, hold public hearing in Wisconsin  followed by action in both houses of the state legislature, and finally put in front of the Governor for his signature.