The state will spare universities but slice money to schools and cities and lay off up to 1,400 workers â?? 300 more than announced earlier this month â?? under a budget agreement unveiled by Gov. Jim Doyle and legislative leaders.
The plan cuts spending, squeezes more out of a state hospital tax and refinances state debt to solve a $1.6 billion budget hole opened by falling state tax revenues. Doyle said it holds up his promise to solve the deficit without raising taxes more than the $2.9 billion he has already proposed or signed into law since February. Republicans disagreed.