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| Wisconsin: Legislative & Political Weekly Update
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TO: Clients & Friends of Capitol Consultants, Inc. and Wimmer & Company
FROM: Capitol Consultants, Inc.
and Wimmer & Company
DATE: February 13, 2009
SUBJECT: Weekly Political and Legislative Update
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| Budget Update |
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Governor Jim Doyle will unveil his 2009-2011 budget next Tuesday, February 17th.
Doyle was going to originally deliver his budget address on February 10th, but postponed the address to gather more concrete details regarding Wisconsin's portion of the federal economic stimulus package, the "American Recovery and Reinvestment Act". In addition to the federal stimulus package, Doyle and the Democratic legislative leaders unveiled their agreed state stimulus package on February 11th.
The state stimulus package is expected to eliminate about $168 million of the current $593 million budget deficit for this fiscal year ending June 30th. Doyle said the rest of the fiscal year 2009 deficit will be addressed in his biennial budget package on Tuesday, February 17th. The overall estimated state budget deficit is now projected at more than $5.7 billion, according to the Governor's office.
Doyle, speaking with reporters on a conference call with U.S. Rep. Dave Obey, said the money by no means will alleviate all of the state's $5.7 billion budget shortfall. He said the budget he introduces next week will still include some "very, very hard choices," but the federal money will help the state avert a "disaster." www.wispolitics.com
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Federal Stimulus Update |
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The federal economic stimulus package, or the "American Recovery and Reinvestment Act", slated to pass in Congress today, includes up to $3.5 billion for the State of Wisconsin. The overall size of the bill nationally is $789 billion.
The package is expected to create or protect over 70,000 jobs in Wisconsin. The specific investments include money for education, health care, road projects and unemployment benefits. In addition, the package would include work pay tax cut of up to $800 for workers and their families, designed to pay out immediately into workers' paychecks.
Breaking down the some monetary specifics of the federal stimulus projections, Governor Jim Doyle explained the provisions:
--$550 million for roads, bridges and other infrastructure projects. This includes $300 million for projects that would be pre-approved
--No specific amount, but Doyle plans to seek a monetary piece of the $8 billion slated for railroad modernization and high speed rail
--Education incentive grants for schools that could be as much as $90 million.
--$19 billion for health information technology
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State Stimulus update
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Governor Jim Doyle and the Democratic legislative leaders, Speaker Mike Sheridan and Senate Majority Leader Russ Decker, presented their state stimulus package agreement this week. Doyle and the Democratic legislative leaders believe that their state stimulus plan is necessary to "create jobs, boost business and get this economy moving again".
The timeline for the state stimulus package is relatively quick-the Joint Finance Committee will be begin having deliberations on the bill on Tuesday, February 17th and hope to have it to the Governor by Friday, February 20th.
Doyle and the Democratic Leaders presented provisions that included-budget cuts to state agencies, hospital assessment funds, transportation investment, creation and expansion of some tax credit programs, consolidation of some existing tax credit programs, combined reporting and streamline sales tax.
GOP legislative leaders derided the stimulus plan introduced by Gov. Jim Doyle and Dem lawmakers as a collection of tax increases with limited capacity for job growth.
Senate Minority Leader Scott Fitzgerald, R-Juneau, and Assembly Minority Leader Jeff Fitzgerald, R-Horicon, said their members were unlikely to support the package, and Jeff Fitzgerald predicted Assembly Democrats would have to take a tough vote on the bill.
"As of 1:30 today, Gov. Doyle became a tax-increase governor," Scott Fitzgerald said.
He said the provisions to initiate the hospital assessment, combined reporting, the streamlined sales tax and reverse a court decision on the Menasha Corp. shouldn't be construed as anything other than tax hikes on businesses and citizens.
Jeff Fitzgerald wants strict oversight of the $300 million in the bill for new infrastructure projects, but both leaders said they'd endorse the use of one-time money for one-time projects. But both also said the bill's job creation potential is limited.
"How does the hospital tax create jobs? How does combined reporting create jobs?" Jeff Fitzgerald asked. "Combined reporting will drive business out of the state of Wisconsin."
www.wispolitics.com
See the letter from Governor Doyle to the Democratic legislative leaders here: http://www.wispolitics.com/1006/large/2.11.09___Budget_Adj_Bill_Letter.pdf
See Governor Doyle's news release regarding the state stimulus here:
http://www.wispolitics.com/index.iml?Article=148806
See Speaker Sheridan's response here:
http://www.wispolitics.com/index.iml?Article=148854
See Assembly Republican Leader Jeff Fitzgerald's response here:
http://www.thewheelerreport.com/releases/Feb09/feb11/0211jfitzbudget.pdf
See Senate Republican Leader Scott Fitzgerald's response here:
http://www.wispolitics.com/index.iml?Article=148856
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Minimum Markup Declared Unconstitutional
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A federal chief judge, Rudolph T. Randa, ruled Wisconsin's 70-year-old minimum markup on gasoline unconstitutional. The state must stop enforcing the mandatory markup on gasoline because it illegally restricts trade, said Randa. See the ruling here: http://www.wispolitics.com/1006/090212minmarkup.pdf
Not only will this ruling have an effect on the minimum markup on gasoline, but could potentially open the door for policies regarding pricing of other consumer products. The Wisconsin Department of Justice is reviewing the ruling and has not yet decided whether they will appeal, but won't act on enforcing the law while the order stands. Governor Doyle said he has always been in favor of getting rid of the law "and if that's the result of this and now the state is enjoined from enforcing it that's fine with me." www.wispolitics.com |
| Next Week's Legislative Committee Calendar |
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Feb 17 Tue
[CANCELLED] Labor, Elections and Urban Affairs (Senate)
9:00 AM
411 South Items: Senate Bill 20; Senate Bill 46
Public Hearing
Feb 17 Tue
Jobs, the Economy and Small Business (Assembly)
10:00 AM
328 Northwest Items: Assembly Bill 14
Public Hearing
Feb 17 Tue
Elections and Campaign Reform (Assembly)
10:00 AM
415 Northwest Items: Overview of Government Accountability Board; Campaign Finance Information System
Public Hearing
Feb 17 Tue
Ways and Means (Assembly)
3:00 PM
300 Northeast Items: Senate Bill 7
Public Hearing
Feb 17 Tue
Ways and Means (Assembly) (Executive Session)
3:00 PM
300 Northeast Items: Senate Bill 7
Executive Session
Feb 18 Wed
Joint Legislative Council
8:15 AM
412 East, State Capitol, Madison Items: (None)
Overview: The Council will receive the following special committee reports: --Differences in Laws Applicable to Cities and Villages --State Tribal Relations [The Council will also be recommending adding a public member to the State Tribal Relations Comt.] --Enhancing Recreational Trails for Non-Motorized Use --School Safety --High-Risk Juvenile Offenders Any other business to come before the Council Study Meeting
Feb 18 Wed
Fish and Wildlife (Assembly)
9:30 AM
328 Northwest Items: Assembly Bill 4
Public Hearing
Feb 18 Wed
[CANCELLED] Colleges and Universities (Assembly)
10:00 AM
225 Northwest Items: The Impact of the UW-System on the State of Wisconsin
Public Hearing
Feb 18 Wed
Children and Families and Workforce Development (Senate)
10:00 AM
411 South Items: Alvin, Eric; Walsh, Mary Jo; Wood, Darryl; Senate Bill 4; Lindsey, Charles; Albrecht, Arlie
Public Hearing
Feb 18 Wed
[CANCELLED] Small Business, Emergency Preparedness, Technical Colleges, and Consumer Protection (Senate)
10:00 AM
400 Southeast Items: Wisconsin Technical College System; Davis, Stan; Geenen, Jon; Neuenfeldt, Phillip
Public Hearing
Feb 18 Wed
[CANCELLED] Small Business, Emergency Preparedness, Technical Colleges, and Consumer Protection (Senate) (Executive Session)
10:00 AM To follow the public hearing on appointments
400 Southeast Items: Davis, Stan; Geenen, Jon; Neuenfeldt, Phillip
Executive Session
Feb 19 Thu
Audit (Joint)
8:30 AM 10:00 AM
411 South Items: Proposed Audit: Wisconsin Shares Program
Public Hearing
Feb 19 Thu
Audit (Joint) (Executive Session)
8:30 AM to follow the Public Hearing on the proposed audit of Wisconsin Shares
411 South Items: Proposed Audit: Wisconsin Shares Program
Executive Session
Feb 19 Thu
Consumer Protection (Assembly) (Executive Session)
10:00 AM
300 Northeast Items: Assembly Bill 6
Executive Session
Feb 19 Thu
Economic Development (Senate)
10:00 AM
400 Southeast Items: Senate Bill 10; Johnson, Ruth; Nuernberg, Christine; Greenberg, Martin
Public Hearing
Feb 19 Thu
Economic Development (Senate) (Executive Session)
10:00 AM
400 Southeast Items: Greenberg, Martin; Johnson, Ruth; Nuernberg, Christine; Blair, Karla; Kinney, Michael; Kohlenberg, Gary; Mullooly, Thomas; Ragland, Nancy; Wagner, Edward
Executive Session
Feb 19 Thu
Transportation, Tourism, Forestry, and Natural Resources (Senate)
10:00 AM
330 Southwest Items: Senate Bill 38; Senate Bill 47; Senate Bill 48; Crane, Sue; Devine, Dan; Dittmar, Beverly; Green, Jerry; Halminiak, Brenda; Hunt, Randall; Jeffreys, Celestine; Landes, Samuel; Lang, Robert; Madison, Frederick; Malecki, Andrew; Raaths, William; Rose, S.; Rupnow, Sue; Thornton, Thomas; Van De Hey, Ron; White, Donna
Public Hearing
Feb 19 Thu
Insurance (Assembly)
10:00 AM
417 North (GAR Hall) Items: Assembly Bill 15
Public Hearing
Feb 19 Thu
Veterans and Military Affairs (Assembly)
10:00 AM
North Hearing Room (2nd Floor North) Items: WDVA: Overview of Structure, Programs, & Functions; Update on Short-Term & Long-Term Strategies for the Veterans Trust Fund; Overview of Governor's Budget Related to Veterans
Public Hearing
Feb 27 Fri
Education Reform (Assembly)
10:30 AM
MPS Administration Building, Auditorium, 5225 W. Vliet Street, Milwaukee, WI 53208 Items: Overview of MPS and its governance and Possible uses of federal funds that may be distributed under federal economic stimulus package legislation to benefit MPS.
Public Hearing
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| Fundraisers |
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Reception for U.S. Rep. Kind
2/17/2009
5 p.m.
Brocach Irish Pub & Restaurant,
7 W. Main St.,
Madison.
Sponsorship Levels:
$100
$250
$500
$1000
To RSVP, Contact Dave Groshek at (608) 782-3444 or e-mail davegroshek@ronkind.org
Fundraiser for Sen. Jim Sullivan
2/18/2009
5:30 p.m.
Cranky Al's Bakery and Pizza,
6903 W. North Ave.,
Wauwatosa.
For more info, call Kory at 608-260-2403 or email koryk@wisdems.org
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