The UW System and UW-Madison
Gov. Scott Walker's budget proposal calls for major changes to the UW System and drastic funding cuts to higher education.
The proposal divides a $250 million cut equally between the UW System and UW-Madison over the next biennium, while also giving both UW-Madison and UW-Milwaukee public authority status.
The proposed cut of $125 million to UW-Madison over the next two years amounts to a 13 percent decrease in state funding for the university, according to a statement by Chancellor Biddy Martin.
The budget also included a proposal to give UW-Madison public authority status by July 1 of this year, thereby splitting the university from the UW System.
Similarly, over the next two years system administration will be required to allocate $250,000 to a plan meant to give UW-Milwaukee the same public authority status. These cuts come with what the budget called a ""modest"" tuition increase for all UW System institutions.
Wisconsin technical colleges would also sustain a cut of $71.6 million over the next two years.
Aid to local governments
Local governments would see a decrease in state aid totaling $96 million under the proposed budget, as well as limitations in their ability to generate more revenue.
For 2012, county governments would see a $36.5 million cut and municipalities a $59.5 million cut, in addition to the $438.4 million proposed decrease in school district funding.
Local governments would then face lower property tax revenue limits, which would be 5.5 percent less than what was outlined in the 2010-'11 fiscal year. Such a cap would make it more difficult to make up for lost funds.
County and municipal governments would also no longer be required to have recycling programs for solid waste, and the state would cut all funding going towards recycling.
All of the money in the fund for recycling and renewable energy would be converted to the economic development fund.
Education
Walker's budget proposal would reduce aid to elementary and secondary education by $834 million over the next two years.
The proposal would limit participation in the Wisconsin Covenant Program to students pledging before Sept. 30. After that, the program would be discontinued to dedicate more funds to higher education financial aid and grant programs.
The budget would also modify the Milwaukee Parental County Program. The program currently allows students to attend private schools in the city of Milwaukee at no cost. Under the new budget, enrollment caps would be repealed and any school in Milwaukee County would be allowed to participate.
Walker's budget also allows all four-year UW campuses to sponsor independent charter schools. Charter school teachers would only be required to have a bachelor's degree instead of being licensed by the Department of Public Instruction.
Medicaid
Although the budget does not propose slashing funds for Medicaid, it intends to curb what Walker called unsustainable growth in the program, which subsidizes health care for low-income families and individuals,
According to the proposal, the increased participation in Medicaid over the past two years is because of the federal stimulus funding the program received. Instead of cutting the program's funding, Walker is planning for Medicaid to reduce its expenditures by $500 million.
The proposal also said the state will seek permission from the federal government to change eligibility standards for Medicaid and cut the number of participants in the program. Without that change, the report said Medicaid will exceed its budget by $100 million.
Corrections
The Wisconsin Department of Corrections would see some significant changes under Walker's proposed budget. The new budget would end the early release program for prisoners who have demonstrated good behavior, and would also cut the department's overall funding.
The state would cut corrections funding the by $22.7 million in fiscal year 2011-'12 and $29.9 million in fiscal year 2012-'13, though repealing the early release program would increase costs.
However, the state will provide increased funds for certain programs, including the DNA criminal data bank and investigations on internet predators targeting children.
Transportation
Walker included $5.7 billion in funding for transportation over the biennium.
The new budget cited economic development and the wellbeing of those in Wisconsin as reasons for increasing the funding.
The reconstruction of the zoo interchange near the Milwaukee County Zoo, one of the most expensive projects to come from the new funding, would receive $420 million. Part of that funding—$195 million—would also be devoted to completing interchange construction on I-94 between Milwaukee and Chicago.
The transportation fund would also increase by $95.1 million as proceeds from existing car-related taxes and fees would be diverted to it.
The new budget will not fund any expansion of Wisconsin's commuter rail services, although it does provide $4.3 million in state funds and $3.4 million in federal money to cover the increased cost of Amtrak service between Milwaukee and Chicago.
