logo
State lawmakers are working on the two-year budget. What is it, and why does it matter?

State lawmakers are working on the two-year budget. What is it, and why does it matter?

Yahoo14-05-2025

Over the next several weeks, you're likely to hear a lot about Wisconsin's biennial budget, the state's two-year spending plan that sets funding levels for schools, transportation, mental health and more.
The Republican-controlled state Legislature and Democratic Gov. Tony Evers both have a role in shaping the budget. After Evers pitched his plan, the powerful Joint Finance Committee modifies the massive bill, which Evers will take action on later this summer.
The Milwaukee Journal Sentinel will follow upcoming budget hearings and how lawmakers' decisions will impact government services and programs.
Here's a broad timeline of what to expect.
The budget process starts when state agencies — such as the Department of Natural Resources, University of Wisconsin System and Department of Public Instruction — make requests for funding over the next two years.
Typically, those are released toward the end of even-numbered years. State superintendent Jill Underly unveiled a $4 billion request for the DPI in November 2024. The UW System's $855 million request was announced in August.
More: Does the UW System's $855 million budget request bring Wisconsin closer to average?
These agency requests shape the governor's budget proposal, but the governor often makes changes by removing or adding specific programs or tweaking funding levels.
The governor is required to deliver a budget message to the Legislature. Evers gave that speech Feb. 18 this year. His plans included a new tax bracket for the state's wealthiest residents, expanding the Knowles-Nelson Stewardship program and addressing lead exposure among children.
The budget proposal is also a chance for Evers to lay out policies he supports, such as marijuana legalization and Medicaid expansion, though Republicans often remove them from the budget.
More: Gov. Tony Evers' budget has a $2.4 billion net tax increase, would create a shortfall
As of early May, this is the step we're at. The budget is in the hands of the Joint Finance Committee, which is comprised of 16 lawmakers from both parties and houses. Committee members hosted public listening sessions across the state in April.
Now, the Republican-controlled committee will hold several, hours-long executive sessions in the Capitol to make changes to the governor's budget, piece by piece. In 2023, those meetings took place in May and June.
Republicans historically ignore much of what's in Evers' budget. The committee started its work May 8 by eliminating hundreds of ideas in his proposal. But it's possible this budget cycle will have more compromise — Evers and legislative leaders are holding negotiations this year, which is unusual for them to do.
More: Republicans scrap over 30 programs dedicated to behavioral health care from Evers' budget
Once the Joint Finance Committee finishes its work, the budget bill goes to the full Assembly and Senate. In 2023, the Senate approved the budget June 28, and the Assembly passed it a day later. Two Republican senators joined Democrats in voting no, though the vote is typically along party lines.
During floor debate two years ago, Democrats put forward numerous last-ditch amendments, trying to add some of Evers' policy ideas back into the budget. All were rejected by Republicans.
June 30 is the deadline to pass a budget, but lawmakers have gone beyond that date in the past. Missing the deadline doesn't have immediate impacts; spending levels stay where they are until a new plan is in place.
From there, the budget bill goes to Evers' desk to become law. The governor can veto the entire state budget.
Typically, though, Evers and other governors have used their powerful partial veto authority to remove words, numbers and punctuation from the budget, which can create new meanings or change spending amounts. In 2023, Evers issued 51 partial vetoes when he signed the budget into law July 5.
On April 18, the state Supreme Court upheld Evers' partial veto that locked in funding increases for public schools for 402 years by deleting a hyphen and a "20" in reference to the 2024-25 school year.
Assembly Speaker Robin Vos said his party would discuss how to write the 2025-27 budget in ways that limit Evers' partial veto opportunities. GOP leaders have also floated passing items typically included in the budget as separate bills to reduce the chance of vetoes.
More: Republicans scour for options to sidestep Tony Evers vetoes, including not using digits in the budget
More: Why did Wisconsin's capital move from Belmont to Madison? Corruption, land and lobbying
The state budget impacts daily life across Wisconsin. Cuts at the federal level could make funding from the state even more crucial.
Funding for the UW System dictates whether tuition will increase or remain flat for in-state undergraduates. Grants in the budget could address the rising cost of child care. Infrastructure projects, such as highway construction and traffic calming measures, are also considered in the budget. State prisons in Green Bay and Waupun could be closed or renovated as part of budget negotiations.
The budget also dictates how much money the state takes in — including through income taxes. The last budget delivered an average income tax cut of $36, down from $573 in Republicans' plan, which Evers said focused relief on the wealthiest residents.
This article originally appeared on Milwaukee Journal Sentinel: What exactly is the Wisconsin state budget, and why does it matter?

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Some Dems Warn Colleagues: Crypto Bill Could Inject Some 19th Century Chaos Into US Economy
Some Dems Warn Colleagues: Crypto Bill Could Inject Some 19th Century Chaos Into US Economy

Yahoo

time26 minutes ago

  • Yahoo

Some Dems Warn Colleagues: Crypto Bill Could Inject Some 19th Century Chaos Into US Economy

The Senate is poised to pass the GENIUS Act in the coming weeks. The bill will bestow upon the crypto industry a long-sought blessing: a key form of the digital currency, stablecoins, will now be subject to a bespoke (and notably light-touch) regulatory system created by Congress. With it will come the U.S. government's stamp of approval. After years spent being dismissed as a haven for money launderers and speculators, the bill is in part a marker that the crypto industry has arrived in Washington. And yet, there are a few problems. The bill could open multiple pathways toward contagion that could spread throughout the financial system, Hill staffers and experts familiar with the legislation warn TPM. Some argue that it would create a financial system that operates with many of the same risks the U.S. left behind in the 20th century, including banks and private companies issuing their own, alternate currencies; others regard the bill as priming the country for a series of runs on digital currencies. Among legislators, the fighting over the proper level alarm about these possible eventualities has been most acute among Senate Democrats. While nearly the entire Republican Senate conference supports the bill, a few Senate Dems have broken off to lead negotiations over the legislation and persuade others in their party to support it. Sen. Kristen Gillibrand (D-NY) was the first Democrat to co-sponsor the bill; others, including Sens. Ruben Gallego (D-AZ), Mark Warner (D-VA), and Angela Alsobrooks (D-MD), have taken the lead in pushing it. Stablecoins, the form of crypto that the GENIUS Act addresses, are cryptocurrencies that are pegged to the value of a state-issued currency, like the dollar. Crypto advocates tout stablecoins as solving a few problems: consumers can use their stability to buy other forms of cryptocurrency; they can also, advocates say, double as a means to quickly transfer payments between people. In that sense, they're kind of like Venmo, only based in the blockchain and, often, possessing perplexing foreign ties. (One of the biggest stablecoins, Tether, is run from El Salvador.) It's that quality that causes anxiety among many experts in banking and financial regulation, including Democratic staffers on the Senate Banking Committee. Stablecoins, under the GENIUS Act, will receive the benefits that the U.S. legal system gives to deposits, but without most of the qualities that make that system secure. 'The GENIUS Act folds stablecoins directly into the traditional financial system, while applying weaker safeguards than banks or investment companies must adhere to,' Sen. Elizabeth Warren (D-MA) said in a speech last month. Under the bill, there's no deposit insurance to guarantee stablecoin holdings. But more troubling than that, for critics, is the limited regulation of how stablecoin issuers can use the money they receive and how, in the event of a crisis, customers would be made whole. New kinds of businesses will be able to issue stablecoins under the legislation, including banks (typically via subsidiaries) and tech megafirms like Meta, X, Amazon, and others. The risk, experts told TPM, partly stems from how stablecoin issuers would meet a run on their coins. Stablecoins are typically backed up by bank deposits or investments in treasuries; customers pulling their stablecoin deposits at once could resemble an old-school bank run, depleting these assets. 'It would be a financial crisis grease fire,' one Senate staffer told TPM about the possibility. Under this scenario, even people who don't hold crypto investments could be affected. A bank that holds a large amount of stablecoin deposits, when faced with mass withdrawals to shore up one or multiple failing stablecoins, could see its balance sheet falter. The same thing could happen if treasury securities or other backing assets are sold en masse, causing prices to plummet. Mark Hays, who covers cryptocurrency issues for American for Financial Reform, told TPM last month that banks themselves might be exposed in another way. Bank subsidiaries that issue stablecoins could experience a run, meaning that the parent bank would have to bail it out. These are all means by which risks inherent to the form of cryptocurrency might spread. 'The more banks get exposed to that, the more the fallout could be significant,' Hays said. Many critics of the GENIUS Act say that features of the bill will revive the problems that America's financial system experienced in the 19th century. There's an irony here. Some of Trump II's staunchest backers, particularly those on the new tech right, frame their support for the president as part of an effort to return to the 1890s. Trump himself has supposedly become enamored with President William McKinley; some supporters speak about going further than undoing the social changes of the 1960s or the New Deal, and instead call to undo the changes brought by the Progressive Era. That includes the federal reserve, income tax, and many early banking regulations. Of course, in the case of cryptocurrency, this effort to turn back the clock skips right past a key point of the push for legislation. The GENIUS Act, some observers say, could prompt mass adoption of the coins. That, in the event of a crisis, could prompt the Federal Reserve to bail out issuers — a decidedly post-1890s backstop. But one feature of the bill would turn time back: it would allow banks and some businesses to issue their own stablecoins. This hasn't escaped the attention of analysts at JP Morgan; strategists at the bank reportedly noted in a letter to clients that such a system would recall that of 'the 19th century, when various types of banknotes were valued differently.' For big tech firms, stablecoins present an opportunity: users could pay for purchases entirely within an app. Companies with operations around the world could unify transactions under one, in-house coin; they could also charge small transaction fees on each purchase that would open up a new way of making money. Hilary Allen, an American University professor who studies financial regulation, told TPM that the problem, again, would be that these are not actual bank deposits: they are lightly regulated cryptocurrencies. 'People will quite happily leave all their money in an app offered by a big tech platform,' she said. The scale of the risk to the financial system all depends on how many people adopt the use of stablecoins. Relatively few people use cryptocurrencies, though industry boosters argue that passing the GENIUS Act and market structure legislation later this summer will spur more people to do so. Big tech firms issuing their own coins as a means to buy products sold by the firms would also prompt more people to join. But even that, Allen said, could raise troubling questions about how it affects the nature of these businesses. 'Do they become too-big-to-fail financial institutions with all the power and the implicit bailouts that come with that?' Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

‘It is a whole different environment': Republicans revisit key Biden investigations with new momentum
‘It is a whole different environment': Republicans revisit key Biden investigations with new momentum

Yahoo

time26 minutes ago

  • Yahoo

‘It is a whole different environment': Republicans revisit key Biden investigations with new momentum

The House Judiciary Committee is expected to interview former Hunter Biden special counsel David Weiss behind closed doors on Friday, two sources familiar with the interview told CNN, as part of a broader Republican effort to revisit previous probes into the Biden family that stalled last Congress but are gaining new momentum now that Republicans control both chambers of Congress and the White House. The scheduled interview, which could still be moved, would be the second time the Republican-led panel will interview Weiss about his work as Republicans continue to probe whether the investigation was hampered by political interference. Weiss has still never testified publicly about his six-year criminal probe into the president's son, which included three convictions, but was ultimately short-circuited as a result of the former president's unconditional pardon of his son. House Judiciary Republicans have long wanted to call Weiss, the Trump-appointed US attorney, back for questioning after his first closed-door interview in 2023. Committee Republicans were also able to finally secure interviews with two Department of Justice tax division prosecutors involved in the Hunter Biden probe who they had been aggressively pursuing for months, one of the sources familiar told CNN. The Justice Department is working with Weiss to provide access to documents he may need for his interview, a person briefed on the matter said. Any delays in getting access to documents would be a scheduling issue and the ability to have personnel who can oversee it, the person briefed on the matter said. It's not the only Biden investigation Republicans are reexamining that leans into a fresh political appetite with GOP control of Washington. House Oversight Chair James Comer is returning to his probe of the former president's mental fitness in an entirely new landscape after a recent book by CNN's Jake Tapper and Axios' Alex Thompson put Joe Biden's physical and mental decline back in the spotlight. Comer told CNN he is in the process of scheduling key interviews with Biden's White House physician, Dr. Kevin O'Connor, and other senior aides who had all rebuffed his efforts last Congress. Beyond the five initial interviews from Biden's orbit, the Republican Chairman told CNN he wants to look at the executive orders Biden signed in his last six months in office and use of the autopen. In the weeks immediately after Biden's disastrous 2024 debate performance that unraveled his presidential campaign and upended the Democratic party, Comer requested to interview Biden's doctor and subpoenaed three senior Biden aides to discuss their roles in the Biden White House, which never materialized. Now, Comer said in an interview with CNN, 'it is a whole different environment.' At the time of his 2024 interview requests, Comer's impeachment inquiry into the Biden family's business dealings had fallen apart and the Biden administration felt no incentive to comply with the House Oversight Committee. Probing Biden's decline now, Comer says, will be a lot easier than trying to convince his colleagues of an alleged Biden family foreign influence peddling scheme, which even Comer conceded was difficult to do, particularly in a minute or less on Fox News. Republicans failed to uncover evidence to support their core allegations against the president, and lacked the votes in their divided, narrow majority last Congress to impeach the president. 'The money laundering and the shell companies, the average American couldn't understand that. I mean, that was hard to understand,' Comer told CNN. 'You know, I did not do a good job explaining that.' But with his investigation into Biden's mental and physical decline, Comer said, 'people see a president that clearly is in decline. They saw it in the debate.' Democrats sought to dismantle the Republican-led 11 month impeachment inquiry into Biden last Congress at every turn. Comer told CNN that although those Democrats aren't jumping at the opportunity to cooperate now, he does not see them as being obstructive either. 'I take that as a step in the right direction,' he told CNN. Tapper and Thompson's book documents how Biden, his closest aides and his family forged ahead with the former president's doomed 2024 reelection bid despite signs of his physical and mental decline. In a previous statement to CNN, a Biden spokesman criticized the book, saying that evidence shows that 'he was a very effective president.' Former Democratic Rep. Dean Phillips, who launched a long-shot challenge to Biden and was outspoken about his concerns over the former president's age, told CNN he did not think there needed to be an investigation on Capitol Hill at this point into Biden's fitness as president. 'This case already went to trial, the jury of American voters convicted the party of the accused, and handed out the harshest political punishment possible-losing the single most consequential election in modern history,' Phillips told CNN. Instead, Phillips called on Biden to authorize his physician to disclose his health file and condition under oath. 'Only if the former president refuses, or if questioning uncovers possible criminal activity, should an investigation be initiated,' Phillips added. Biden was recently diagnosed with an 'aggressive form' of prostate cancer. CNN's Evan Perez contributed to this report.

25K+ DC residents could lose Medicaid. Now what? Here's what you can do.
25K+ DC residents could lose Medicaid. Now what? Here's what you can do.

Yahoo

time26 minutes ago

  • Yahoo

25K+ DC residents could lose Medicaid. Now what? Here's what you can do.

WASHINGTON (DC News Now) — Mayor Muriel Bowser's proposed budget for Fiscal Year 2026 would leave more than 25,000 D.C. residents without health insurance due to Medicaid cuts. On May 2, the Bowser Administration urged Congress to maintain the District's Federal Medical Assistance Percentage, saying that changes will have severe impacts on the city's entire health care system. DC Council votes to pause July 1 wage bump under Initiative 82 Twenty days later, on May 27, cuts to Medicaid were announced during her budget presentation, with more than 25,000 residents expected to be impacted. Adults without children and adult caregivers between 138%-200% of the federal poverty level would be moved to D.C. Health Benefits Exchange, according to the mayor's presentation. The D.C. Health Benefits Exchange is expected to help around 90% of those losing access to Medicaid under the proposed eligibility changes, said Wayne Turnage, D.C. deputy mayor of health and human services. 'It won't be precisely the same benefits structure, but it will be very close,' Turnage said. See full interview with Turnage below: The Basic Health Plan is being developed by the Executive Director of the DC Health Benefit Exchange Authority, Mila Kofman, in order to serve those individuals. Those eligible for the exchange program will need to apply once the program is fully up and ready in order to receive those benefits. DC police recinds request to close Dupont Circle park during WorldPride after pushback from DC community For the other 10% not covered by the program being developed, you may need to consider health insurance. Shadow Rep. Oye Owolewa (D) said these changes could potentially lead to a health care 'crisis' in the District, but he plans to take every step to ensure residents are prepared. 'As a pharmacist, an elected official, Ward 8 resident, we are reaching out to all of our residents who take or use D.C. Medicaid,' Owolewa said. 'We are trying to find them alternative strategies to get health care. We are also going to be doing a lot of men's health round tables to make sure folks who are using D.C. Medicaid, or folks who are 21 years or older, know how to get their health insurance.' Many who lose access to Medicaid may need to rely on hospitals and clinics that offer uncompensated care, said Zach Gaumer, managing principle of Health Management Associates' Washington, D.C. office. The company specializes in Medicaid and Medicare policy consulting for providers, payers, etc. 'Medicaid is often thought of as the insurance of last resort for low-income individuals,' Gaumer said. 'In a lot of cases, what happens to individuals when they lose Medicaid coverage is that they go uninsured. They have to turn to sources of care that are uncompensated.' Residents may also be able to go directly to their providers for additional resources and help on where they can get care at a reduced price or even at no cost, Gaumer said. Health care prices are the number one reason people go uninsured, he added. 'It's very expensive to insure individuals at this point in time, and it can be thousands of dollars a month to buy insurance,' Gaumer said. Republicans eye cuts to Medicaid If you become ineligible for Medicaid, there are still ways to have lower health insurance plans and pay less for premiums. The Health Insurance Marketplace allows low-income families to explore health care plans that are tailored to their income. Affordable Care Act (ACA) Health Insurance Benefits and Coverage, also known as 'Obamacare,' matches individuals with health care plans with the goal of being affordable. This is offered by private health insurance companies rather than through the federal government. Register here. DC Health Link offers users the option to compare plans to see if they qualify for lower monthly premiums. To assist with premiums, the Internal Revenue Service (IRS) offers tax credits to help cover premiums. It's a refundable tax credit for eligible individuals and families to cover premiums purchased through the Health Insurance Marketplace. To get this credit, you must meet certain requirements and file a tax return with Form 8962, Premium Tax Credit (PTC). This includes not being eligible for Medicare. Click here for full eligibility requirements. Fredericksburg mother voice fears about potential Medicaid cuts D.C. Exchange has a hotline of (855) 532-5465 that's available Monday through Friday to assist with questions. PAN Foundation The organization helps with health insurance premium grants for patients being treated for various disease states. U.S. Citizenship is not a requirement, and you must have an income that falls at or below 500% of the Federal Poverty Level. The grant can help cover a portion of the premium costs for the following diseases: Fabry disease premium Hemolytic uremic syndrome premium Hemophilia premium Hypophosphatasia premium Inherited retinal disease premium Lysosomal acid lipase deficiency premium Myasthenia gravis premium Neurofibromatosis premium Paroxysmal nocturnal hemoglobinuria premium Pompe disease premium Short bowel syndrome premium Additional programs can help with prescription costs, HIV/AIDS treatment and more. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store