Walker to delay $100 million in debt payments to deal with shortfall
MADISON, Wis. (AP) -
MADISON, Wis. (AP) -- Gov. Scott Walker's administration plans to skip $100 million in debt payments this May to help deal with a budget shortfall.
The Milwaukee Journal Sentinel reported Tuesday on a memo from the nonpartisan Legislative Fiscal Bureau that discussed the plan. The tactic has been used by Democratic and Republican governors for years as a short-term budget-balancing move.
Since 2011, more than $1.5 billion such payments have been delayed.
Delaying the $108 million payment helps avoid the need for a special bill in the Legislature to balance the budget that ends on June 30. That could be an unwanted distraction for Walker as he ramps up efforts for a likely 2016 presidential run.
The accounting move will require higher principal and interest payments in coming years.