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 Reid Magney
Published - Saturday, June 07, 2008

POST COMMENT | READ COMMENTS (11 comment(s))

Massive state and local government fraud or malfeasance in Wisconsin

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I've uncovered a huge government scam involving the diversion of billions of taxpayer dollars in Wisconsin. Here are the facts:

Wisconsin now ranks 11th in the nation in state and local taxation. The Wisconsin Taxpayers Alliance announced last week:

State-local taxes in Wisconsin were 11th highest and claimed 12.3% of personal income, according to new 2006 figures from the Census Bureau. Although the tax burden rose slightly from the prior year (12.1%), the state’s ranking fell three places from eighth to 11th. Wisconsin last moved out of the top 10 states in 1980.

Politicians all over are congratulating themselves on holding the line on taxes and dropping Wisconsin out of the Top 10.

But wait a minute! Today I got an announcement from the same Wisconsin Taxpayers Alliance that state and local government spending in Wisconsin ranks 22nd:

State and local government expenditures here were 21.7% of state personal income in 2006, 5% more than the U.S. average (20.6%) and 22nd highest among the states. In the region, only Iowa ranked higher (22.1%, 19th). Compared to other states, Wisconsin placed highest in spending for corrections and interest on debt (both 10th), but spent the most on K-12 education (5.1%, 17th) and welfare (4.0%, 18th).

How can this be? If we're 11th in taxes and only 22nd in spending, somebody must be skimming taxes big time. Because the money sure isn't going into a rainy day fund. Is it going to a Swiss bank account? Somebody call the Attorney General!

Wait a minute. I just looked at the numbers again. State and local taxes were 12.3% of personal income, but state and local spending was 21.7% of state personal income. That's a huge deficit! No wonder the state has to have budget repair bills. They're mortgaging our grandchildren's grandchildren's futures.

Am I wrong here?
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 Tell us what you think...

 Comments »

simpleman wrote on Jun 19, 2008 2:55 AM:

" All this proves is that we as the state residents want our governments to do everything on no or extremely limited funds; trying to get that free lunch or something for nothing. We need to overhaul the financial mismanaged budgets at all levels. The tax-and-spend Democrats must work with the borrow-and-spend Republicans and eliminate the gap. Stop borrowing and balance the budget with equal tax increases and spending cuts. Once there, set a new agenda for proper budgets that meet the balance budget requirements without future borrowing or accounting tricks. Maybe instead of writing discrimination into the state's constitution, we should be prohibiting our state government from borrowing or using accounting tricks for balancing the budget. Then we can get the true costs of the services we are provided with, now and in the future. "

La Crosse Watchdawg wrote on Jun 12, 2008 10:29 AM:

" Hey Tellier are you sure you want to do all of this again. Remember your "problem" after 2006 elections. You don't want to go back to that place, do ya Mike? "

Bugs to It no longer Matters wrote on Jun 11, 2008 1:59 PM:

" Well, at least the Cubs are doing well. "

Yup wrote on Jun 9, 2008 9:25 PM:

" Not posting comments we don't like! Censorship ALL THE WAY!!! "

It no longer matters wrote on Jun 9, 2008 3:10 PM:

" We're on the eve of national economic self-destruction, so Wisconsin's fiscal mismanagement no longer matters.

We're going into an Argentine-style collapse: we've had all kinds of opportunities to fix this, but we chose the path to economic ruin for our country instead. Now it is time for all of us to suffer through decades of misery and austerity.

Welcome to Argentina! "

To Tax me more wrote on Jun 9, 2008 9:55 AM:

" For some reason, my comment got posted on a completely different blog. I will try again. We are talking about misuse of taxpayer money, and you have addressed this before. Have you heard back from FFRF regarding the taxpayer funded muslim charter school that has forced prayer on Fridays? "

Mike wrote on Jun 7, 2008 1:12 PM:

" I think it means our budget deficit is WAY less per capita than California's, Minneosta's and many others. "

lkel wrote on Jun 7, 2008 9:06 AM:

" Just remember the recently completed budget repair bill uses accounting methods that would land a private company in court. Rmember Enron, they also delayed payments and booked income that violated the GAAP (Generally Accepted Accounting Princilies)requirements. Our legislators should be ashamed of a bill that puts over $1 billion into the next budget cycle. We have a constitutional requirement to have a balanced budget, in my mind the legislature has not complied with this requirement. Can they be held accountable, only by the voters. "

rprp wrote on Jun 6, 2008 9:19 AM:

" Your right Reid.
But, it makes no difference if your not paying your fair share and you are receiving much more than average seniors and working families. "

Mike Tellier wrote on Jun 6, 2008 8:37 AM:

" Good find Reid! This is typical of politicians spending more money than is actually in the public treasury. "

tax-me-more wrote on Jun 6, 2008 3:05 AM:

" YEP, you're wrong.

Try this:

Start at one(1) and count up the fingers on your left hand, how many are there? Ans.: 5

Now start start an ten(10) and count down the fingers on your right hand, what number do you get? Ans.: 6

Add them up, and you get 11 fingers.

Same numbers trick you tried... "


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