October 10, 2002

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Recent Polls Show Doyle Leading McCallum
Three recent polls show gubernatorial candidate Jim Doyle with a seven to nine point lead over Governor McCallum with the general election about a month away. Harris Interactive released its poll Oct. 6, 2002. (Go to WisPolitics.com to see HarrisInteractive Poll.) A University of Wisconsin Survey Center conducted its Badger Poll that was released in late September 2002 showing a similar Doyle lead. Another poll using a survey over Oct. 4-7 was conducted by "We the People-Wisconsin" (conducted by Research 2000 of Rockville, Md.).

For a more detailed discussion on these recent polls and other issues relating to the Governor’s and other races, go to Andy Franken's overview of the upcoming elections.


No Surprises in First Gubernatorial Debate
The first televised debate between the major party gubernatorial candidates took place last Friday night. The debate sponsored by the Wisconsin Broadcasters Association featured Gov. Scott McCallum and Democrat Jim Doyle. Not surprisingly, each candidate took issue with the negative ads that have been airing in recent weeks. Both candidates also focused on the $2.8 billion biennial budget deficit. (See budget article, below.)

Missing from the debate was Ed Thompson, who was not invited to participate. Thompson, the Libertarian candidate, had filed a complaint with the state’s Election Board, alleging that his exclusion amounted to giving Doyle and McCallum illegal campaign contributions. The Elections Board rejected his claim.


Judge Dismisses Suit over Legal Fees; Doyle/McCallum Spar on Same
In an Oct. 7 Decision (WisPolitics), a Dane County judge dismissed the suit challenging the constitutionality of the payment of attorney fees relating to the caucus investigation. The plaintiffs, including Common Cause, allege that the Senate and Assembly clerks’ payments of fees violated the Constitutional requirement that public funds be spent only for public purposes. Circuit Court Judge David Flanagan granted summary judgment for defendants Donald Schneider (Chief Clerk of the Senate) and Patrick Fuller (Acting Chief Clerk of the Assembly), finding, among other things, that it is the prerogative of the Legislature to determine if the reimbursement of legal fees incurred by members, officers and employees serve a public purpose.

The ending of this particular legal dispute did little to quell the political controversy over payment of legal fees, which to date has approached $600,000. Shortly after the issuance of the court decision, McCallum’s campaign issued a press release claiming the decision validated Gov. McCallum’s decision not to authorize litigation on the issue by AG and Democratic gubernatorial candidate Doyle. In an Oct. 7 letter, AG Doyle renewed his request for approval to file suit on the matter, noting that he would base his suit on statutory, not constitutional grounds. McCallum’s Oct. 8 response rejected the request, stating that it “is another example of [Doyle’s] blatant willingness to place politics above the law.” Stay tuned.


Sen. George Threatens to Sue Ethics Board Staff over Open Records Request
In late September, the Wisconsin Ethics Board made an open records request of Sen. Gary George (D-Milwaukee) to review his Senate staff time records. The request arose out of allegations in an Aug. 20 Letter filed with the Wisconsin Ethics Board by Sen. Chuck Chvala (D-Madison). According to an Oct. 3 Ethics Board letter, George refused to comply with the request and threatened to sue Board attorney, Jonathan Becker, and Director, Roth Judd.

In an Oct. 9 response, Mark Sostarich, George’s attorney, reiterated his unrelated request for an investigation into longtime Senate Democratic staffer Joel Gratz and his ties to Daniel McMurray. (McMurray filed the complaint over Sen. George’s gubernatorial nomination signatures, which ultimately got George kicked off the September primary ballot. Sen. Chvala later admitted to derailing George’s campaign.) Almost as an aside, the letter addresses the Ethics Board open records request stating that Sen. George is not in possession of the requested records.


Neither Doyle or McCallum Get Wisconsin State Employees Union Endorsement
Early this week, the Wisconsin State Employees Union, AFSCME Council 24, released its endorsements for the November general election. Notably absent from the list was any support in the Governor’s race. Their Oct. 7 press release notes that none of the leading candidates have committed to providing resources necessary to meet the needs of the people. They specifically panned McCallum’s expectation on economic growth and Doyle’s plan to cut the state’s workforce.

Policy Developments
Budget Mess Emerges as Key Gubernatorial Race Policy Issue
The state’s projected $2.8 billion biennial (2003-05) deficit has become the leading policy issue in the campaigns of both Doyle and McCallum. The key issues relate to needed spending cuts and expected economic growth, and whether or not the state will have to raise taxes. Since both McCallum and Doyle have rejected raising taxes, spending cuts and growth projections have become the topic of recent press release charges and countercharges.

A typical exchange is the Doyle press release saying McCallum’s deficit plan is $1.4 billion short, and the McCallum press release pointing out the $2.7 billion in new spending needed to meet Doyle’s promises.To steer clear of the rhetoric, one could review their respective plans at these Web pages: McCallum's Pocketbook Protection Pledge and Doyle's Budget Deficit Principals & Strategies.


Jensen/Gard Propose Reform of Budget Process
Assembly Speaker Scott Jensen this week called upon Scott McCallum and Jim Doyle to make a campaign pledge to keep non-fiscal policy items out of the state budget during the next legislative session. The concern over using the state budget as a vehicle for passing non-budget issues, which should be dealt with as stand-alone bills, has troubled many Capitol observers for decades. This “practice” has been referred to as a “Christmas Tree” approach to legislating, or a “pork vehicle.”

The Speaker is apparently trying to exact commitments from on high in order to force the next budget to be more narrowly targeted and to hedge against the possibility of a Democrat controlled Senate, a Democrat Governor, or both. To the extent that was indeed his objective, he had a degree of success when Doyle issued his Oct. 9 press release renewing his commitment “to veto all non-fiscal items in the budget.”

In a related development, Rep. John Gard (R-Peshtigo) unveiled a series of reform measures aimed at restoring fiscal responsibility in Madison. Measures proposed by Gard, the co-chair of the Joint Finance Committee, include a spending cap of 1 percent less than the growth in personal income, requiring voter approval of any general tax rate hikes, and allowing state agencies to fill only 80 percent of vacant positions.


Sheehy Commission Releases Draft Recommendations
The Governor’s Task Force on State and Local Government, chaired by MMAC’s Tim Sheehy, has had several lengthy and detail-oriented meetings. While somewhat diverse, the Task Force has more members with government ties than with private sector credentials. (This may be necessary in an effort to reach consensus.) The draft recommendations are preliminary and any solid recommendations aren’t expected until after the election. The issues being addressed could be critical in the tough fiscal challenges facing the state going into the next biennium.


Sen. Bingaman Tries to Salvage Portions of Federal Energy Bill
Senate Energy and Natural Resources Chairman Bingaman is trying to salvage an electricity section in the energy bill. His goal is to develop a strategy for how the Senate conferees could vote to counter the House's offer on electricity, developed by House Energy and Commerce Chairman Tauzin, chairman of the conference. That version is unacceptable to some lawmakers from regions where utility deregulation is unpopular.

The new Senate draft repeals the Public Utility Holding Company Act of 1935, which provides for federal review of acquisitions by utility holding companies. Consumer groups that have seen the Senate draft say it raises the bar too high in requiring proof an energy company has manipulated markets. It also continues a policy called "standard market design," being promoted by the Federal Energy Regulatory Commission to standardize utility interconnections. Many utilities and states oppose SMDs. The Senate draft leaves the FERC as the sole arbiter of when an SMD must be imposed.


Sens. Wyden and Hatch Introduce Federal Healthcare Bill
Sens. Ron Wyden, D-Ore., and Orrin Hatch, R-Utah, will introduce a bill to empower citizens to develop healthcare solutions and guarantee that Congress vote on their recommendations. The bill would direct Congress to appoint a 26-member citizens' healthcare working group that would hold hearings, prepare a report for the public, and develop recommendations for Congress on individuals' healthcare needs and ways to pay for them. Once bill language is developed and sent to the relevant committees, if the committees do not act, lawmakers in both chambers could make a motion to discharge the bill.

Political News
Ethics Board looking into McCallum flight: Milwaukee Journal Sentinel, Oct. 9, 2002. State plane flew his family to governors’ convention out East.

You be the judge on caucus legal fees (opinion): Wisconsin State Journal, Oct. 9, 2002. This particular legislative spending decision is a political issue, not a legal question.
 
Financial allegations keep flying: Appleton Post-Crescent, Oct. 8, 2002. Candidates still focused on budgets.
 
Budget process changes needed (opinion): Eau Claire Leader-Telegram, Oct. 8, 2002. There's no defending the current budget process. It's a joke.
 
Judge allows state to keep paying caucus attorney fees: Janesville Gazette, Oct. 8, 2002. Threw out a lawsuit filed by Common Cause in Wisconsin seeking to stop the payments.
 
Budget plans are subject to debate: Milwaukee Journal Sentinel, Oct. 7 2002. Ideas for fixing shortfall carry lots of ambiguity.
 
Wisconsin voters do care about ethics: Green Bay Press-Gazette, Oct. 7, 2002. Candidates for governor, attorney general and Legislature must tell voters how they’ll clean up government,
 
Lawmaker prepares proposal for reform: Appleton Post-Crescent, Oct. 6, 2002. Plan for restructuring state financing of public schools by using current spending levels as the barometer.
 
Realtors, road-builders vs. lawyers, labor unions: Milwaukee Journal Sentinel, Oct. 6, 2002. Lines are drawn when it comes to donations for the governor's race.
 
Many undecided in new governor’s race poll: Eau Claire Leader-Telegram, Oct. 6, 2002. Doyle leads McCallum; 18 percent uncommitted
 
Budget tops issues in governor’s race: Green Bay Press-Gazette, Oct. 6, 2002. Answers vary among candidates against the backdrop of a potential $2.8 billion deficit.
 
Candidates pledge to end fiscal woes: Manitowoc Herald Times, Oct. 6, 2002. Wisconsin faces $2.8 billion deficit.
 
Candidates boast experience in race for attorney general: Appleton Post-Crescent, Oct. 6, 2002. Both candidates have different ideas of what they would do if elected Nov. 5.
 
Doyle, McCallum cross swords: Madison Capital Times, Oct. 5. 2002. Sparks fly during first debate.

Candidates' plans to bridge looming budget gap show some holes: Milwaukee Journal Sentinel, Oct. 4, 2002. New details emerged in response to questions from the Journal Sentinel.
 
Legislature cutting off payments for three accused in caucus case: Janesville Gazette, Oct. 4, 2002. So far, 64 legislative staffers and five lawmakers have submitted legal bills.
 
For more complete coverage of breaking Wisconsin news, consider subscribing to News Clips, a free email newsletter that provides headlines and links to Wisconsin news articles from leading newspapers across the state. To order your free subscription now, go to: http://www.hamilton-consulting.com/subscribe-newsclips.html.

Upcoming Fundraisers
Saturday, Oct. 12:

• Ed Thompson (L), Platteville, 1:00 p.m. Sunday, Oct. 13
• Rep. Steve Freese (R-Dodgeville), Rep. Gabe Loeffelholz (R-Platteville), Potosi, 3:00 p.m.

Monday, Oct. 14:

• US Rep. Jerry Kleczka (D), Milwaukee, 5:00 p.m.
• Rep. Tom Hebl (R-Sun Prairie), Sun Prairie, 5:00 p.m.
• Rep. Jeff Plale (D-So. Milwaukee), Sen. Rick Grobschmidt (D-So. Milwaukee), South Milwaukee, 7:00 p.m.

Tuesday, Oct. 15:

• Rep. Rick Skindrud (R-Mt. Horeb), Madison, 5:30 p.m.
• Ed Thompson (L), Hillsboro, 5:30 p.m.

Wednesday, Oct. 16:

• Sen. Rod Moen (D-Whitehall), Eau Claire, 5:00 p.m.

Details and a monthly calendar of upcoming fundraisers can be found on The Hamilton Consulting Group’s Web site.