Gov. Tony Evers released his state budget Wednesday. Here are seven key takeaways
MADISON — Wisconsin Gov. Tony Evers released his proposed $103.8 billion two-year budget Tuesday that included paid leave for all Wisconsin employees and the largest funding increase in state history for K-12 education.
The Democratic governor's 2023-25 state budget sets up a new battle with Republicans who want to enact bigger tax cuts and likely want to spend less than what Evers is proposing.
Here are some of the major takeaways from the spending bill.
Evers seeks paid family leave and a higher minimum wage
Evers is proposing public and private sector workers get 12 weeks of paid family and medical leave benefits by Jan. 1, 2025. One-time state funding of $243.3 million would jump-start the program. Employees and employers would contribute money into a state-run trust fund administered by the Department of Workforce Development and paid out when employees need to take the leave, Evers said. The idea is not new. Democrats proposed legislation in 2019 to create a paid family and medical leave insurance program that would give workers 12 weeks of time off.
Senate Majority Leader Devin LeMahieu said Wisconsin already has a Family Medical Leave Act plan that goes "above and beyond."
Evers also said he wants to increase the minimum wage from $8.25 per hour to $9.25 per hour in 2025 and $10.25 in 2026, eventually getting to $15 per hour. This is not a new idea by the governor and one that will likely be struck down by Republican Legislators.
Kids are a focus of the two-year budget
Evers' proposed $2.64 billion in funding for K-12 schools is “the largest of all time,” and a more than 15% increase over the last K-12 state budget.
The Governor’s budget provides per pupil revenue limit increases of $350 in fiscal year 2023-24 and an additional $650 in fiscal year 2024-25, which are the largest per pupil adjustments since revenue limits were imposed in fiscal year 1993-94. Private school vouchers also would receive an increase in the amount per student private schools receive, by $374 in the 2023-24 school year and by $695 in the 2024-25 school year.
Included in the funding is free breakfast and lunch for kids by fiscal 2024. Private schools and choice school teachers would have to be licensed by 2026 and accredited independently.
Republican lawmakers who control the budget-writing process have already said is too much money for K-12 education.
Another call for Medicaid expansion
The governor is again proposing a plan to expand BadgerCare Plus, the state’s largest Medicaid program that provides health insurance to low-income adults and children. He had a proposal in his last budget that was removed by Republicans, and he called a special session to expand the program that lasted one minute.
This plan would bring an additional $1.62 billion in federal funds to the state over two years and expand Medicaid to 138% of the federal poverty level — adding 89,700 people to the program. About 30,000 of those individuals currently don't have insurance.
Tax cuts proposed for the non-rich
Evers revived an August campaign promise for a 10% tax cut for people making less than $100,000 and married couples or joint-filers making at or below $150,000. Republicans have balked at the plan, instead calling for a 3.25% flat income tax, which will likely be vetoed by Evers.
Marijuana money could help local communities
The governor wants to create a segregated fund and send all excise tax revenue generated from the legalization of recreational and medicinal marijuana to counties to support their mental health and substance use disorder services.
But county executives shouldn't start counting their money yet. Republicans have repeatedly said they will not legalize recreational marijuana. Assembly Speaker Robin Vos has signaled medical marijuana could be considered, but said he doesn't know if he would get the support of his caucus.
Brewers ballpark not mentioned in Evers' budget address
Evers and the Milwaukee Brewers announced a plan Monday to spend $290 million in state funds to help pay for renovations at American Family Field. The money would be used to pay for renovations expected to be $448 million over roughly the next 20 years.
Doing so also keeps the Brewers in Milwaukee through 2043 (there's no indication they were planning to leave).
Two reports, one commissioned by the Milwaukee Brewers and another by a state consultant, give a glimpse into what work needs to be done at the 22-year-old stadium. Aesthetics cost the most, coming in at more than $105 million including replacing the stadium's glass panels, seat replacements, private suite upgrades, retail space and concourse replacements.
This is the first pitch
After Evers' budget address, Republican Legislative leaders and Joint Finance Committee co-chairs Sen. Howard Marklein, R-Spring Green and Rep. Mark Born, R-Beaver Dam, signaled most of the governor's proposals would be rewritten.
Vos said the budget proposes the largest increase in spending in the history of Wisconsin. The budget includes a 24% spending increase over the biennium.
"While there are some areas in Governor Evers budget that I'm sure we can find common ground, our solutions are going to look dramatically different," Vos said. At the end of the day, this is an unrealistic solution for what Wisconsin needs to solve its problems. It is a budget that is absolutely devoid of reality."
Corrinne Hess can be reached at chess@gannett.com. Molly Beck can be reached at molly.beck@jrn.com