MacIver News Service | August 5, 2010
The State of Wisconsin has again shuffled monies in order to meet continuing obligations, according to a memo made public Thursday.
Further, Governor Doyle’s Administration forecasts that during the month of December, the state’s General Fund may be more than a quarter of a billion dollars in the hole.
The Department of Administration released the forecast, and information regarding the fund balance transfers last week, although members of the Joint Committee on finance were first notified of the June fund conditions today.
Finance Co-Chairs Senator Mark Miller Representative Mark Pocan, both Democrats from Dane County, forwarded a July 30th memo from DOA to the Committee members today, alerting them to the fact that:
On June 21, 2010, the General Fund cash balance closed at a negative $8.2 million (its intra-month low). This negative balance continued through June 22, 2010, when the fund’s cash balance closed at a positive $21.7 million. The negative balance was due to the difference in the timing of revenues and expenditures.
One Jun 1, 2010, the Medical Assistance Trust Fund cash balance closed at a negative $298.4 million. This negative balance continued through June 30, 2010, when the fund’s cash balance closed at a negative $257.2 million. The Medical Assistance Trust Fund cash balance reached its intra-month low of a negative $299.2 million on June 4, 2010. The negative balance was due to the difference in the timing of revenue and expenditures.
On June 1, 2010, the Police and Fire Protection Fund cash balance closed at a negative $10.0 million (its intra-month low). This negative balance continued through June 30, 2010, when the fund’s cash balance closed at a negative $5.0 million. The negative balance was due to the difference in the timing of revenues and expenditures.
On June 30, 2010, the Environmental Fund cash balance closed at a negative $10.0 million (its intra-month low). The negative balance was due to the difference in the timing of revenues and expenditures.
In a separate memo from the Department to the Finance co-Chairs, also dated July 30th, DOA Secretary Dan Schooff projected the state’s General Fund will face a deficit as vast as $261.6 million sometime during the month of December.
MacIver News will update this story, and provide legislative reaction, as it develops.