MADISON, Wis. — A new report says it will take more than $2 billion just to maintain current state services, with a modest increase in spending and a more sizeable boost for schools.

The analysis from the Wisconsin Policy Forum released Friday illustrates the dilemma facing incoming Democratic Gov. Tony Evers and the Republican-controlled Legislature. Evers will have to introduce a balanced budget early next year for the Legislature to consider.

The report says it will take $2.2 billion to continue existing programs. Without an increase in revenue to cover that, taxes will have to go up or cuts will have to be made.

The report assumes a 1 percent increase for state agencies and more than $1.1 billion for Medicaid and K-12 school aid combined.

Evers ran on the promise of increasing money to schools alone by $1.4 billion.