Doyle unveils $22.5B, 2-year budget

MADISON, Wis., Feb. 18 (UPI) -- Gov. Jim Doyle Tuesday unveiled a two-year, $22.5 billion budget that eliminates a projected $3.2 billion deficit, holds taxes steady and provides an increase in spending for elementary and secondary education.

In presenting his fiscal 2004-05 spending plan, Doyle said he did not want to waste time dickering over whose revenue projections were more accurate and would instead accept the numbers proffered by lawmakers.

Doyle said he had five priorities in developing the $10.8 billion 2004 budget and the $11.7 billion 2005 budget: "Not to raise taxes -- because Wisconsin taxpayers already pay their fair share; to distribute budget cuts fairly -- because we're all in this together; to protect education, health care, key local services and the environment -- because no matter how deep this crisis is, we have to protect what's most important; to reduce spending and make government more efficient -- because if we're going to ask the people of Wisconsin to accept less, we have to do more with less; to do it once and do it right -- because we need to get on with Wisconsin's future, not return again and again to the problems of the past."

Doyle said he cut nearly $1.5 billion in state spending, making this budget the first in 30 years that spends less than previous biennial budget.

"Never before has a budget so thoroughly reformed and reduced state government," Doyle said. "We have cut as no administration has ever cut before."

The budget calls for eliminating 2,900 state jobs through attrition and layoffs, calls for the state to go after $408 million in Medicaid funds being held up by the federal government and seeks more revenue from agreements with Native American tribes running casinos in the state.

"And because I believe in leading by example, I've cut the governor's office budget by 19 percent and returned my pay raise," Doyle said. "And I've asked my cabinet secretaries to follow my lead and give back any pay increases above what their predecessors received."

Doyle said his spending plan will leave the state with a $40 million surplus by the end of 2005.

Doyle said he has increased spending for elementary and secondary education by $100 million but warned school districts the state can no longer afford to pick up two-thirds of education costs. On health care, Doyle said he worked to preserve programs for seniors and families and pledged to do all he can to preserve funds for public safety.

The budget eliminates the departments of Electronic Government and Employee Relations and ends six boards whose functions are duplicated elsewhere.

Doyle proposed lowering the legal alcohol limit to .08 -- something he said should have been done 12 years ago -- and called on lawmakers to reform the W-2 welfare system.

"By finding creative ways to do more with less, by setting careful priorities, we've also managed to avoid the worst choices other states have made," Doyle said.

"Other states are cutting aid to schools. We're expanding it.

"Other states are taking health care benefits away. We're protecting ours.

"Other states are releasing prisoners early. We won't.

"Other states are deferring contributions to pension funds. Ours remains sound.

"Other states -- 24 so far -- are proposing to raise taxes. We absolutely, positively will not raise ours."

Doyle said he doesn't expect lawmakers to agree with everything he's proposed but he told them politics as usual won't fly.

"We're all in this together, and we need to act now and get this budget done on time," Doyle said. "The longer we draw this out, the more we stall, the tougher the decisions become."