In his sixth "State of the State" address since becoming governor, Doyle told a joint-session of the State Assembly and Senate Wednesday that some programs legislators have agreed upon would have to be cut, though he was not specific on what programs might be affected.,”

• Governor proposes initiatives to spur state economic growth in light of national worries
• Doyle says state will have to make cuts
• Governor looks for bi-partisan support for plans
• He also encourages passage of smoking ban, increase in minimum wage

Citing a bleak economic outlook nationally and warning of possible cuts in state programs, Gov. Jim Doyle last week laid out plans he says will expand Wisconsin's economy.

In his sixth State of the State address since becoming governor, Doyle told a joint session of the State Assembly and Senate Wednesday that some programs legislators have agreed upon would have to be cut, although he was not specific about what programs might be affected.

It's unclear whether Wisconsin will face a budget shortfall, but Doyle said, "We too will face a very difficult fiscal situation."

Last week, the state Department of Revenue released numbers showing state tax collections grew only 0.8 percent, which could have an effect on how much money the state can spend. On Thursday, Doyle told Milwaukee Journal Sentinel editors and reporters he is anticipating a report in a coupled weeks from the Legislative Fiscal Bureau to determine exactly what—and how much—needs to be cut from state spending.

Acknowledging that Wisconsin will not be immune from national economic concerns, Doyle has proposed giving tax credits to start-up businesses and companies that invest in research and development.

Doyle said he wants to grow the state's standing as a "national powerhouse in research."

"If you center research and development here in Wisconsin, we're prepared to help you do that and make this an attractive place," he said Thursday.

William Holahan, chair of the economics department at the University of Wisconsin-Milwaukee, said investing in research and development is a good long-term strategy, but there is little Wisconsin can do now to stave off a possible national recession.

"At the state level, a big role for government is temporary relief for people that are in misery of all kinds, like job loss, that flow from recession," Holahan said. "Since at the national level an enormous amount of stimulus is being infused, what we need to do here at the state level is make sure that that misery is addressed."

It's uncertain if some in Doyle's own party —specifically members of the Democratic-led Senate—will support Doyle's economic plans. Lawmakers have until March, when the legislature is set to adjourn.

"While business development clearly needs to be a priority we need to make certain any measures we take to assist and attract business achieve the goals of providing good paying, family-supporting jobs," Assistant Senate Majority Leader Dave Hansen (D-Green Bay) said in a statement.

After the speech Wednesday night, Assembly Speaker Michael Huebsch (R-West Salem) told Wisconsin Public Television that Republicans were likely to support many of Doyle's pro-business initiatives.

"Members of the legislature of both parties need to understand what economic development and growth is," Doyle said Thursday. "Some don't see it as a priority as I do, some do."

Other plans Doyle announced include:

Increasing the minimum wage from $6.50 to $7.25 an hour. Doyle said Wisconsin's minimum wage ranks 40th in the nation.

Enacting a smoking ban. Doyle again encouraged passage of a statewide smoking ban in public places, which he proposed last year. With legislatures in Minnesota and Illinois having passed bans, Doyle said he doesn't want Wisconsin to "become the ashtray of the Midwest."

Creating a new health care program for small businesses. Doyle proposed a plan to create a small business health insurance program he said would drive down costs by harnessing the purchasing power of businesses. The new "BadgerChoice" program would "create a consumer-driven health care marketplace for nearly 800,000 people," Doyle said.

Mandating autism treatment coverage under health plans. Doyle encouraged legislators to require insurance companies to cover treatment for autism.

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