Madison Reporter

The Wisconsin Policy Forum has published an analysis of Governor Tony Evers' proposed state budget for 2025-27. The report outlines the state's fiscal situation, highlighting a budget surplus exceeding $4 billion as an opportunity, while also pointing out challenges such as rising inflation and uncertain federal funding.

Governor Evers plans to utilize a significant portion of the state's reserves, focusing on K-12 education, shared revenue for local governments, and funding for the Universities of Wisconsin. To finance these initiatives, he proposes increasing individual and corporate income taxes and limiting state incentives for manufacturers and capital gains. Republican leaders have expressed opposition to these spending plans and are expected to develop their own proposal through the Joint Committee on Finance.

The report also includes a detailed analysis of Wisconsin's childcare sector. Supported by the Chamber in its advocacy efforts, this section addresses strategies to reduce barriers for entrepreneurs and workers in the industry. The Governor's budget allocates $480 million over two years to reinstate payments to childcare providers. However, the report estimates that unmet demand for childcare ranges from 32% to 40%, with costs potentially reaching between $655 million and $2 billion.