Jeff Mayers Big Budget Hole Looms McCallum now could play the victim While some at the Capitol still go about business as usual, proposing new programs and tax cuts, some of those with good memories and heads for numbers warn that the signs are not good for the budget ahead. Mainstream press reports recently pointed to disappointing sales tax figures, but some also fear bad income tax numbers as well, given increasing layoffs. While Wisconsin, while it largely escaped the early 1990s economic dip, could now be due for a situation worse than other states. Wisconsin still has a significant manufacturing base and depends upon an export economy, both of which could be hurt in coming months. However, Wisconsin politicians largely ignored or forgot the lessons documented by Gov. Tony Earl's expenditure restraint commission.
Agencies are full of speculation about layoffs.
If it comes to that, it's hard to imagine any new programs or tax cuts getting much attention unless federal money could pay the freight. The political fallout for Gov. Scott McCallum is crucial. No matter how he plays it, he could become a victim of bad economic times. Time to think about raising more money. Money would go for TV ads, grassroots organizing and lobbying.