How Does the Wisconsin Budget Process Work?

The Governor’s Budget Address

The Wisconsin biennial budget bill covers a two-year period from July 1 of 2011 to June 30, 2013. The governor is required to deliver a budget address to the new legislature on or before the last Tuesday in January of 2011, although the legislature can extend the deadline at the governor’s request. This address is accompanied by the state budget report and the biennial executive budget bill proposed by the governor, which will be introduced by one house of the legislature and sent to the Joint Committee on Finance (JFC) without change.

Joint Finance Committee (JFC)

The Joint Finance Committee examines all legislation that deals with state income and spending before it can be enacted into law.

The committee is composed of eight senators on the Senate Finance Committee and eight representatives on the Assembly Finance Committee. It must include members of the majority and minority party in each house. The JFC will hold hearings for the head of each state agency to present their budget to the committee. After these initial hearings the committee will hold hearings (usually around the state) for public testimony on the budget. When all hearings have been completed the JFC begins holding executive sessions, at which time no public comment is allowed and votes are taken on options presented to them by the Legislative Fiscal Bureau (LFB) on request of individual committee members. Prior to any votes being taken each option is discussed in closed caucus meetings (where members of political parties meet separately) and generally votes are decided. When this process is completed the JFC reports the amended budget bill to the house of the legislature where it was introduced and it is taken up for debate. The bill then follows the normal legislative procedure through both houses of the legislature, although it is may be amended many times.

Conference Committee

When two houses pass different versions of a bill, and are not able to resolve their differences through amendments, one house may request a committee of conference. The conference committee is made up of representatives of both the senate and assembly, generally the leaders of each house. The rules do not require bipartisan representation, although members of both parties are appointed.

A conference committee report, which requires agreement of the majority of each house’s representatives, will consist of committee’s recommendations to the legislature and may include one or more simple amendments or a substitute amendment to the bill. When either house takes up the conference report, the question is simple adoption or rejection of the report. A conference report cannot be amended. Approval of the report by roll call vote in each house constitutes final passage of the bill. The biennial budget bill is usually resolved in this manner.

Governor Signs the Budget into Law

When finally passed by the legislature, the budget bill is submitted for the governor’s approval. The governor may sign the budget bill, veto it in its entirety (very unlikely), or veto the bill in part (most common.)