will cap its borrowing for highway projects at $565 million over
the next two years and change how the funds are repaid under legislation
Gov. Jim Doyle signed last month.
legislation resulted from a deal Doyle reached with Republican lawmakers
to avoid delaying some road work in the next two months, the Milwaukee
Journal Sentinel reported.
deal clears the way for the state to borrow $100 million to begin
work on a series of road projects.
the budget he signed this summer, Doyle used his veto authority
to ensure the bonds would be repaid with transportation funds, which
are made up of revenue from the state’s fuel tax and license fees.
allows the first two years of interest on the bonds to be paid with
transportation funds. After that, they will be paid off with general
governor also used his veto authority to increase the amount of
money the state could borrow for road projects to $1 billion for
the two-year period that began July 1, from $100 million, the newspaper
reported. Doyle had indicated he planned to use $565 million of
the available bonding authority over the next two years for highway
Speaker John Gard, R-Peshtigo, had threatened to sue, claiming the
veto was unconstitutional because it increased borrowing authority
without the Legislature's permission. He claimed the governor could
only reduce borrowing authority.