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Nygren: Budget Decisions Made Now Help the Next Budget Process
By Wisconsin School Administrators Alliance staff | August 25, 2020
From The Wheeler Report . . .
On a Zoom webinar with the Badger Institute, JFC Co-Chair Rep. Nygren repeatedly said that any decisions that can be made now to reduce spending in the second year of this biennial budget will help soften any blows that may be necessary in the next biennial budget. Nygren highlighted that Evers has made administrative cuts, which may prevent him from having to do a budget repair bill, but said he’d prefer to see hard decisions being made now to reduce spending in this budget rather than having to make more significant cuts or changes in the next budget.
In addition to discussing what he believes are advantages to making tough decisions now, Nygren said it is essential that any federal funds that are being given to the state during the pandemic not be built into the next budget as ongoing funds. Nygren emphasized the federal CARES Act funds, and any additional funds which could come, are one-time monies and should not be used for on-going appropriations. He said the Doyle administration did that with funds during the last recession and it resulted in the budget cutting the Walker administration imposed.
Nygren said Medicaid is something they are keeping an eye on since unemployment often leads to increased enrollment for MA. He said between March and July of this year enrollment grew 13%, and DHS predicts growth of 22% by the end of the current budget. According to Nygren, DHS currently predicts that MA will end the current budget with a small surplus, but he said that is largely due to the temporary enhanced federal reimbursement rate.
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