The Wisconsin Taxpayers Alliance says the state is poorly prepared for the impacts of an economic slowdown.
Wisconsin is among many states that allow for extra revenue to be placed in a "rainy day" fund. WISTAX President Todd Berry says those funds are intended to save money during periods of economic growth. But, Berry says Wisconsin has not done that in recent years and only has about $124 million in reserve.
Wisconsin could be facing a $400 million revenue shortfall for the current budget cycle. Berry says government will likely have to look in several areas to make up for the missing money. He says fee increases and programs cuts are likely targets, although raising taxes would probably be a last resort.
