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Political Tidbits___

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 Political Tidbits Compiled by The Hamilton Consulting Group 
May. 15,  2008 
 

Yesterday, May 14, the Wisconsin Legislature gave final approval to the Budget Repair Bill as well as the Great Lakes Compact. Governor Doyle has not identified specific vetoes, but has noted that he feels he has ample authority to address his concerns regarding the budget bill.

 In this Issue
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Legislature Holding Special Sessions - Budget/Compact

Kreitlow and Suder to Lead Study Committee on Renewable Fuels

Organ Donation Campaign Spearheaded by WPS

Lawmakers Announce Decisions not to Run for Reelection

Farm Bill Passes U.S. House

 Policy Developments
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Legislature Holding Special Sessions
The Legislature is currently meeting in three special sessions: the December 2007 Special Session on campaign finance reform, the March 2008 Special Session on the budget deficit, and the April 2008 Special Session on the Great Lakes Water Compact. Both houses of the legislature have been meeting in skeleton session in order to continue all three special sessions.

Budget Repair Bill - The bill contains pieces from both of the budget repair bills that passed the Senate and the Assembly earlier this year and parts of the Governor’s proposal. The Senate narrowly approved the budget repair bill Tuesday (17-16), and the Assembly voted (51-46) for passage on Wednesday, May 14.

While the Governor’s brinksmanship in threatening to cancel May and June bid lettings for highway projects helped leverage action in passing a budget repair bill, the measure adopted by the Legislature was not agreed to by the Governor nor is he supportive of some of the key provisions.

Governor Doyle made his position on the legislative deal very clear at an afternoon press conference on May 12.  Key points included: (1) education is his top priority and he does not approve of moving $125 million in school aid payments into the next fiscal year; (2) the $209 million in revenue the Legislature derived through additional tobacco securitization is too much and well beyond the $30 million in refinancing he proposed in his original bill, and; (3) the transportation package in the main budget was adequate and he did not understand why the Legislature would increase transportation funding in the budget repair bill.

The Governor did not identify or directly threaten specific vetoes.  He indicated he needed to review the language of the bill the Legislature put on his desk and consider his options, but did note that he felt he had ample veto authority to address his concerns.

The budget compromise includes the following:

  • DOA secretary authority to lapse or transfer funds to the General Fund. Require $69 million during each year of the 2007-09 and 2009-11 fiscal biennia. This is in addition to the $200 million included in Act 20.

  • Limitation on lapse from DOT. Limit transfer from DOT to $50 million; require any lapse be from SEG appropriation for state highway rehabilitation. Authorize $50 million General Fund-supported GO bonds for state highway rehabilitation program.

  • Transfer of Real ID implementation funds. Prohibit JFC from providing an appropriation to supplement to DOT to supplement cost of implementing Real ID. Increase estimated transportation fund appropriation lapses by $9.5 million in 07-08, $12.2 million in 08-09 to General Fund.

  • DOT highway fund program funding adjustments. Provide increases of $20 million in 07-08 for major highway development program and $56,967,500 in 07-08 for state highway rehabilitation program (FED).

  • County transportation aid payment delay to fund state highway maintenance. Permanently delay the April quarterly county general transportation aid payment until July and provide additional funding for state highway maintenance in 08-09.

  • Transportation Fund deficit. Reduce funding by $28 million SEG in 08-09 for major highway development program and provide a corresponding increase from SEG-S (currently authorized transportation revenue bonds) in 08-09.

  • Equalization Aid payment delay. Delay general school aid equalization aid payment by $125 million to the first Monday in July.

  • Budget stabilization fund transfer. Transfer $57 million to the general fund.

  • Statutory Balance. Reduce required statutory balance to $25 million for 07-09.

  • Tobacco Securitization. Increase transfer from permanent endowment fund to MA trust fund by $209 million in the biennium (from $50 million annually under Act 20 to $309 million in 08-09).

  • Tobacco use control grants. Increase funding for the grants by $250,000 in 08-09. (Current base is $15 million annually).

  • MA benefits funding reduction. Reduce funding for MA benefits by $24.4 million ($10m CPR & 14m matching Fed.) to reflect savings DHFS (renamed Dept of Health Services, effective 7/1/08), is expected to generate in the program.

LFB memo on the repair bill: http://www.legis.state.wi.us/lfb/2007-09Bills/2008_05_12CC.pdf

Great Lakes Compact Adopted - The Great Lakes-St. Lawrence River Basin Water Resources Compact was adopted by the Wisconsin Legislature [April 2008 SS SB1], passing the Senate on Wednesday (32-1), with Sen. Lazich voting against. The Assembly voted 96-1 for passage, with Rep. Albers the lone dissenter.

Already endorsed by Minnesota, Illinois, Indiana and New York, the compact must pass each of the Great Lakes states before ratification by the U.S. Congress. Established two years ago by the region’s governors -- along with companion legislation in the Canadian provinces of Ontario and Quebec -- the compact provides a model for a standardized, consensus-based approach to decisions about Great Lakes water use.

The compact will establish the legal framework for: (1) prohibiting or, in a few cases, authorizing and regulating new or increased diversions of water to places outside of the Great Lakes basin; and (2) for regulating large withdrawals and consumptive uses of water within the basin.

While the Compact was adopted with only two dissenting votes, the final product was the result of months of negotiations to ensure that Wisconsin was not placed at an economic disadvantage with its neighboring states.

Kreitlow and Suder to Lead Study Committee on Renewable Fuels
The Joint Legislative Council has announced the creation of a study committee to look into the economic and environmental impact of the development and use of renewable fuels in Wisconsin. Sen. Pat Kreitlow (D-Chippewa Falls) and Rep. Scott Suder (R-Abbotsford) were named co-chairs of the non-partisan study group, which will be made up of legislators, citizens and industry experts.

Kreitlow and Suder requested the creation of the study committee to examine the often controversial issues surrounding bio-fuel. The group will seek voices from all perspectives to help determine the best course of action for the state legislature in terms of bio-fuels research, development and use by consumers.

Organ Donation Campaign Spearheaded by WPS
WPS Health Insurance Corporation, one of Wisconsin’s largest health insurers, recently announced ORGANize to Save Lives, a statewide organ/tissue donation campaign, with the goal of recruiting one million new donors by 2010.

There are currently some 100,000 people on organ donor waiting lists nationwide. WPS is partnering with UW Health, Wisconsin Manufacturers and Commerce and the Wisconsin Medical Society for the new effort.

For more information on legislation of interest to CTCW members, go to the CTCW Tracking Report.

 Wisconsin Politics
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Lawmakers Announce Decisions not to Run for Reelection
Rep. Sheryl Albers (R-Reedsburg) announced May 9 that she would not be running for reelection to the 50th Assembly District seat. Albers, first elected in a 1991 special election, cited knee problems as one reason for her decision not to run.

On May 8, Rep. Suzanne Jeskewitz ( R- Menomonee Falls) announced that she would not be seeking another term in the state assembly. Rep. Jeskewitz was first elected in 1996 for the 24th Assembly District.

Albers and Jeskewitz join Sen. Carol Roessler (R-Oshkosh) and Democrat Reps. Frank Boyle, Barbara Gronemus, David Travis, as well as Republicans Steve Wieckert, Eugene Hahn, Carol Owens, all who have previously announced that they will not run for reelection in the fall.

 Federal Developments
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Farm Bill Passes U.S. House/Senate
The U.S. House of Representatives passed the 2008 farm bill (Conference Report on H.R. 2419, the Farm, Nutrition, and Bioenergy Act of 2007) on Wednesday, May 14 by a vote of 318 to 106.

The Senate passed the conference report, 81-15, a margin comfortably above the two-thirds majority needed for an override. Senate support for the bill was even greater than for the Senate's original version, which passed 79-14 in December.

Democrat Ron Kind and Republican Paul Ryan lead the opposition to the bill. In addition, Republicans Tom Petri and James Sensenbrenner as well as Democrat Gwen Moore voted against the measure.  Voting in favor were Democrats Tammy Baldwin of Madison, Steve Kagen of Appleton and David voted for the bill.

 In the News
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House OKs farm bill, but Wisconsin delegation divided: Appleton Post-Crescent, May 15, 2008. House passed a new farm policy bill Wednesday with enough votes to override a threatened presidential veto.

Memorial Day travel expected to decline: Madison Capital Times, May 15, 2008. With gasoline and airfare prices going up, the number of Americans traveling Memorial Day weekend is expected to go down for the first time in 10 years.

Great Lakes compact passes: Milwaukee Journal Sentinel, May 14, 2008. Measure awaits Doyle's signature; Assembly narrowly OKs budget-repair bill.

Budget fix heads to governor: Appleton Post-Crescent, May 14, 2008. Doyle prepares veto pen for repair bill.

End the mandate (opinion): Milwaukee Journal Sentinel, May 14, 2008. Ethanol has played only a minor role in the rise in global food prices, but government doesn't know and shouldn't dictate which alternative fuel technology would be best.

For more Wisconsin News, go to Hamilton Consulting News Clips.

 Upcoming Fundraisers
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May 17

  • Alison Page (D) 10th SD Candidate, River Falls

May 20

  • Rep. Donna Seidel (D-Wausau) and Rep.Tamara Grigsby (D-Milwaukee, Madison

May 21

  • Rep. Sondy Pope-Roberts (D-Verona), Madison

May 28

  • Rep. Mike Huebsch (R-West Salem), Milwaukee

May 29

  • Rep. Jim Kreuser (D-Kenosha), Bristol

For details, go to Hamilton Consulting Fundraiser Calendar.

CTCW Political Tidbits is a newsletter on Wisconsin political and policy developments prepared for CTCW members by The Hamilton Consulting Group. Employees of CTCW member organizations can subscribe at: http://www.ctcw.org/form-subscribe-tidbits.html.
To unsubscribe, go to: http://www.ctcw.org/form-unsubscribe-tidbits.html.

 © 2008 The Hamilton Consulting Group

 

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For Further Information

For further information on these initiatives, contact Jim Hough at The Hamilton Consulting Group.


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