Saturday, February 19, 2011

It's not even as "easy" as most people think...

My dad used to get the annual Wisconsin State government journal-brief, called the "Blue Book" because of its cover. These books detailed the legislative processes and actions taken over the course of the previous years. I haven't seen one of these in a long time (the last I recall reading was 1985), but I know they are still produced and available for those that want to see how things work in Madison.

What reading these books as a child has taught me (and that many others who have not might not know) is that Wisconsin does its budget based on a two-year cycle, not an annual one. This current fiscal year is part of the 2010-2011 budgetary year for Wisconsin, and the budget was for just under $28 billion dollars. The budgetary shortfall that has so much grabbed the attention of protesters and the national media is $3.9 billion dollars.

This is what America in general, and the protesters specifically, are ignoring: the $3.9 billion shortage is within a budget that was passed and spent more than 12 months ago! The next budget won't come online until Jan of 2012! Without the cuts in spending NOW, Wisconsin's State government won't be able to operate through the rest of this (2011) year. The Governor is calling for a 12% reduction in spending and operational costs... and this is to mitigate what, by my math, is a 13.9% shortage of funds. Teachers facing a $200/month increase in their retirement/benefits contribution have the alternative of being furloughed outright if nothing is done to fix the problem. Overtime compensation reverting back to Federal standards rather than the collective bargaining settlements made a six years ago means State workers working more than 40 hours a week make 2.5 times their hourly wage, instead of 2.5 times their wage for anything over 8 hours... hardly an impossible cross to bear, in my mind.

To take the point to its logical conclusion, let's look at what would happen if these unions refuse to accept the cuts in budgets (assuming that the Democratic members of the State Houses actually gather to do their jobs)...

Teachers, highway workers, State health administrators, et al, can go to their unions and call for a general strike... which would do the same for the State of Wisconsin as cutting the benefits and wages in the first place: save the State millions of dollars. Wisconsin is ranked in the Top 15 States with regards to high taxes already... the population isn't going to like the idea of increased taxes in the MIDDLE of a budget, with the prospect of even higher taxes next year. If the teachers want to strike, then give the kids and college students an extended vacation NOW and make them go to school all summer. If you need people to move snow off the highways, higher NON UNION drivers NOW and avoid the issue in the future... Wisconsin is still a Right to Work State and needs no reason for State level employment termination (even though most of these jobs could be determined by the Governor to be "vital" for the State and make a "strike" grounds for termination, too).

Wisconsin is a small version of what this entire nation is going to see happen: EVERYONE is going to have to bite a bullet and accept some tough choices in the very near future if we hope to see a real and measurable recovery of our economy and livelihood. EVERYONE is going to have to accept that Government can be TOO BIG, and that it must be reduced before it fails utterly.

No comments: