Wisconsin's Budget Surplus Expected to Be Less Than What Was Project Six Month Ago

Tuesday, January 30th, 2024 -- 9:01 AM

(Robert D’Andrea, Wisconsin Public Radio) Wisconsin’s budget surplus will be less than what was projected six months ago. 

According to Robert D'Andrea with Wisconsin Public Radio, the state is predicted to have a surplus of $3.25 billion by the end of the current budget cycle, according to a new estimate of the state’s general fund from the nonpartisan Legislative Fiscal Bureau.

That’s nearly $800,000 less than what was projected when the current budget was signed last June. Jason Stein, research director at the Wisconsin Policy Forum, said the surplus is still large enough to give lawmakers and the governor some options.

Republicans have called for more tax cuts, while Democratic Gov. Tony Evers has proposed new spending. “The state’s extremely bright financial picture dimmed a little bit,” Stein said. “On the whole things are still very strong with regard to state finances, but there was a little bit of a weakening compared to where we thought things were at six months ago.”

The state is projected to collect less tax revenue while spending has increased. The fiscal bureau is now expecting the state will collect $422 million less than previously expected from both individuals and corporations.

This estimate from the bureau included spending that has passed since June, as well as bills currently working their way through the legislature. That includes $423 million for building projects on University of Wisconsin system campuses and other items.

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