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Capitol Notes
WI: Weekly Political and Legislative Update
TO: Clients/Friends of Capitol Consultants, Inc./Wimmer & Company, S.C.

FROM:  Capitol Consultants, Inc.
              & Wimmer Company, S.C.

DATE:  January 7, 2011

SUBJECT:  The Walker Administration's Busy First Week

In This Issue
Special Session Takes Shape and Committee Assignments and Clerks Finalized
Cabinet Secretaries in Place
Special Session Takes Shape and Committee Assignments and Clerks Finalized 

Governor Scott Walker this week followed through on his campaign promise to immediately call the new legislature into special session to begin tackling the state's economy with the goal of creating 250,000 new job in the next four years, which is one of the cornerstone promises of the new Governor and his Administration.

The Special Session will convene next Tuesday, January 11, and will focus on seven bills that are aimed to jumpstart the state's economy. The special session will include legislation aimed at lowering taxes for small businesses and job creators, controlling the cost of health care, enacting tort reform, improving the rules and regulations process, and creating the Wisconsin Economic Development Council (www.wispolitics.com).

The bills include:
Tort Reform: This bill makes several changes to current law regarding civil actions for
negligence in long−term care facilities product liability, actions in strict liability,
punitive damage awards, and awards for defending a frivolous lawsuit. The bill also
makes changes regarding the confidentially and use of reviews and evaluations of
health care providers and regarding criminal liability for certain acts or omissions
by health care providers (www.legis.wi.gov).

To view this bill, click here:
http://www.thewheelerreport.com/releases/January11/0103/0103lrb0388.pdf

New Business Tax Credits: According to the Legislative Reference Bureau, this bill creates an income and franchise tax credit for a business for two consecutive taxable years beginning with the taxable year in which the business locates to this state from another state and begins operations in this state. The credit is equal to the amount of the taxpayer's income or franchise tax liability after applying all other credits, deductions, and exclusions. The taxpayer does not receive a refund of the credit amount, but, instead, may apply the credit amount to
subsequent taxable years (www.legis.wi.gov).

To view this bill, click here:
http://www.thewheelerreport.com/releases/January11/0103/0103lrb0833.pdf

Tax Deduction for Health Savings Accounts: According to the Legislative Reference Bureau, under this bill, an individual who makes contributions to such an HSA may claim a nonrefundable income tax credit for 6.5 percent of the allowable amount that the individual claims as a federal tax deduction for a contribution to an HSA or 6.5 percent of the federal tax−exempt earnings relating to an HSA, or both (www.legis.wi.gov).

To view this bill, click here:
http://www.thewheelerreport.com/releases/January11/0103/0103lrb0833.pdf

Super Majority Required to Raise Taxes: According to the Legislative Reference Bureau, this bill prohibits either house of the legislature from passing a bill that increases the rate of the state sales tax or that increases any of the rates of the income tax or franchise tax unless the bill is approved by two−thirds of those members present and voting.

The bill, however, specifies that this prohibition does not apply if the legislature passes a joint resolution requiring a statewide advisory referendum on the question of whether the legislature should authorize the tax increase provided in the bill and a majority of voters voting at the referendum vote to approve the tax increase (www.legis.wi.gov).

To view this bill, click here:
http://www.thewheelerreport.com/releases/January11/0103/0103lrb0835.pdf

Economic Development Tax Credits: According to the Legislative Reference Bureau, under current law, the Department of Commerce (Commerce) may allocate tax credits to certain businesses under the economic development tax credit program. The economic development tax credit program consolidates several economic development−related tax credit programs and provides that the total amount of credits allocated under the consolidated program may not exceed the sum of the tax credits remaining under the other programs. This bill increases the total amount of credits that Commerce may allocate under the economic development tax credit program by $25,000,000 (www.legis.wi.gov).

To view this bill, click here:
http://www.thewheelerreport.com/releases/January11/0104/0104lrb0834.pdf

Small Business Tax Credit: According to the Legislative Reference Bureau, this bill creates an income and franchise tax credit for small businesses. Under the bill, a business that has less than $500,000 in gross receipts in the taxable year may claim as a credit a percentage of the taxpayer's tax liability based on the amount of the gross receipts that exceed $250,000. If the business has no more than $250,000 in gross receipts in the taxable year, the business may claim a credit equal to 15 percent of its tax liability. Under the bill, the taxpayer does not receive a refund, but may apply any remaining credit amounts to subsequent taxable years (www.legis.wi.gov).

To view this bill, click here:
http://www.thewheelerreport.com/releases/January11/0105/0105lrb0763.pdf

Creation of the Wisconsin Economic Development Corporation: According to the Legislative Reference Bureau, this bill creates an authority, which is a public body corporate and politic, to be known as the Wisconsin Economic Development Corporation (WEDC). The WEDC is governed by a board that consists of the governor, who shall serve as chairperson of the board, and 11 members nominated by the governor, and with the advice and consent of the senate appointed, to serve at the pleasure of the governor.

The secretary of administration and the secretary of revenue also serve on the board as
nonvoting members. The WEDC has a chief executive officer who is nominated by
the governor, and with the advice and consent of the senate appointed, to serve at the
pleasure of the governor. The board may delegate to the chief executive officer any
powers and duties the board considers proper.

Under the bill, the board must develop and implement economic programs to
provide business support and expertise and financial assistance to companies that
are investing and creating jobs in Wisconsin and to support new business start−ups
and business expansion and growth in Wisconsin. In addition, the board may
develop and implement any other programs related to economic development in
Wisconsin.

The board is given all the powers necessary or convenient to carry out
its duties, as well as specific powers to conduct its corporate business. The bill
specifically requires the Department of Commerce (Commerce) to provide staff or
other resources to assist the board in carrying out its duties and requires that
Commerce and the board coordinate their economic development programs. Finally,
the board must submit to the legislature a report on the activities of the WEDC and
the programs developed and implemented by the board.

The WEDC employees are not state employees, although the WEDC may elect
to become a participating employer under the Wisconsin Retirement System. The
members of the board and the chief executive officer are subject to state ethics laws.
In addition to creating the WEDC, the bill authorizes the secretary of
administration, before July 1, 2011, to abolish any full−time equivalent position or
portion thereof from revenues appropriated to Commerce and authorizes the
secretary to transfer funds from Commerce appropriations to WEDC appropriations (www.legis.wi.gov).

To view this bill, click here:
http://www.thewheelerreport.com/releases/January11/0106/0106lrb0624.pdf

Committee Assignments and Clerks Finalized

(taken from www.thewheelerreport.com)


SENATE COMMITTEE ASSIGNMENTS


Note:  First named is chair, Democrats in italic.


 

 Agriculture, Forestry, and Higher Education:
Dan Kapanke (Clerk: Abby Luchsinger 266-2512)
Harsdorf, Kedzie, Moulton, Vinehout, Hansen, Holperin


 Economic Development, Veterans and Military Affairs:
Randy Hopper (Clerks: Rebecca Hogan & Danielle Murray 266-5300)
Zipperer, Darling, Wanggaard, Lassa, Taylor, Cullen

 

Education:
Luther Olsen (Clerk: Sarah Archibald 266-0751)
Vukmir, Grothman, Darling, Jauch, Vinehout, Larson

 

Energy, Biotechnology and Consumer Protection:
Rob Cowles (Clerk: Ryan Smith 266-0484)

Kapanke, Hopper, Wirch, Hansen

 

 Financial Institutions and Rural Issues:
Dale Schultz (Clerk: Anthony Rallo 266-0703)
Lasee, Kapanke, Lassa, Vinehout


 Health:
Leah Vukmir (Clerk: Dean Cady 266-2512)
Galloway, Moulton, Erpenbach, Carpenter


  Insurance and Housing:
Frank Lasee (Clerk: Jon Kruse 266-3512)
Schultz, Olsen, Wanggaard, Carpenter, Coggs, Larson

 

Judiciary, Utilities, Commerce and Government Operations:
Rich Zipperer (Clerk: Chris Reader 266-9174)
Kedzie, Galloway, Risser, Erpenbach

 

Labor, Public Safety and Urban Affairs:
Van Wanggaard (Clerk: Craig Summerfield 266-1832)
Grothman, Lazich, Coggs, Wirch

 

Natural Resources and Environment:
Neil Kedzie (Clerk: Dan Johnson 266-2635)
Moulton, Wanggaard, Galloway, Wirch, Holperin, Larson


 

 Public Health, Human Services and Revenue:
Pam Galloway (Clerk: Mike Wagner 266-2502)
Lazich, Vukmir, Carpenter, Jauch


 

 State and Federal Relations, Information Technology:
Shelia Harsdorf (Clerk: Scott Nelson 266-7745)
Lasee, Zipperer, Hansen, Cullen

 

Transportation and Elections:
Mary Lazich (Clerk: Tricia Sieg 266-5400)
Leibham, Lasee, Erpenbach, Coggs

 

Workforce Development, Small Business and Tourism:
Terry Moulton (Clerk: Elise Nelson 266-7511)
Kapanke, Cowles, Holperin, Cullen


 ASSEMBLY COMMITTEE ASSIGNMENTS


Note:  First named is chair, Democrats in italic.

 Aging and Long Term Care:
Dan Knodl, (Clerk: BJ Dernbach, 266-3796)
Petryk, Van Roy, Bernier, Krusick, Coggs


 Agriculture:
Lee Nerison, (Clerk: Sandra Smith-Loomans 266-3534)
Tranel, Ott, A, Mursau, Murtha, Tauchen, Brooks, Ripp, Marklein, Vruwink, Molepske, Jorgensen, Radcliffe, Danou, Steinbrink.


 

 Children and Families:
Don Pridemore, (Clerk: Bill Savage 266-2367)
Krug, Kestell, Williams, Thiesfeldt, Berceau, Seidel, Pope-Roberts.


 

 Colleges and Universities:
Steve Nass, (Clerk: Mike Mikalsen 266-5715)
Knudson, Ballweg, Pridemore, Knodl, Farrow, Wynn, Toles, Berceau, Molepske, Hintz.


 

 Consumer Protection and Personal Privacy:
Keith Ripp, (Clerk: Tyler Wenzloff 266-3404)
August, Spanbauer, Kooyenga, Roys, Hebl, Coggs.


Criminal Justice and Corrections:
Gary Bies, (Clerk: Andrew Nowlan 266-5350)
Joel Kleefisch, Jacque, Kestell, Brooks, Krug, Kessler, Parisi, Turner


Education:
Steve Kestell,  (Clerk: Chris Kulow 266-8530)
Marklein, Nass, Pridemore, Knudson, Thiesfeldt, Wynn, Pope-Roberts, Sinicki, Hintz, Clark

      

Election and Campaign Reform:
Gary Tauchen, (Clerk: Craig Arrowood 266-3097)
Bernier, Stone, Pridemore, Weininger, Parisi, Roys, Kessler


Energy and Utilities:
Mark Honadel, (Clerk: Jason Vick 266-0610)
Klenke, Petersen, Tauchen, Larson, Severson, Weininger, Zepnick, Steinbrink, Staskunas, Hulsey

·        

Financial Institutions:
Bill Kramer, (Clerk: Cameron  Scholtz 266-8580)
Kooyenga, Kaufert, Kerkman, Marklein, Tranel, Fields, Zepnick, Young, Hintz, Richards

·        

Forestry:
Jeff Mursau, (Clerk: Tim Gary 266-3780)
Tiffany, Williams, Murtha, Milroy, Bewley


Health:
Jeff Stone, (Clerk: Marsha Bake 266-8590)
Severson, Kaufert, Van Roy, Strachota, Petersen, Litjens, Richards, Pasch, Pocan, Seidel

·        

Homeland Security and State Affairs:
Karl Van Roy, (Clerk: Tanya Hein 266-0616)
Kuglitsch, Ballweg, August, Kooyenga, Danou, Zamarripa, Bewley

·        

Housing:
John Murtha, (Clerk: Scott Rausch 266-7683)
Litjens, Farrow, Rivard, Steineke, Young, Pope-Roberts, Bewley

·        

Insurance:
Kevin Petersen, (Clerk: Jim Bowers 266-3794)
Weininger, Kestell, Nygren, August, Kapenga, Tranel, Ziegelbauer, Cullen, Berceau, Molepske, Fields, Young

·        

Jobs, Economy and Small Business:
Mary Williams, (Clerk: Nathan Berken 266-7506)
Endsley, Stone, Kapenga, Klenke, Knilans, Kuglitsch, Loudenbeck, Petryk, Molepske, Bernard Schaber, Fields, Toles, Krusick, Mason

·        

Judiciary and Ethics:
Jim Ott, (Clerk: Ginger Miller 266-0486)
Larson, Kerkman, Jacque, Hebl, Staskunas, Cullen

·        

Labor and Workforce Development:
Joan Ballweg, (Clerk: Vince Williams 266-8077)
Kapenga, Nass, Honadel, Kuglitsch, Litjens, Sinicki, Toles, Parisi


Natural Resources:
Jeff Mursau, (Clerk: Tim Gary 266-3780)
Rivard, Williams, Nerison, Ott, J, Severson, Steineke, Tiffany, Mason, Molepske, Danou, Clark, Milroy, Hulsey


Public Health and Public Safety:
Gary Bies, (Clerk: Andrew Nowlan 266-5350)
Knilans, Petrowski, Loudenbeck, Ziegelbauer, Bernard Schaber, Pasch, Zamarripa

·        

Rural Economic Development and Rural Affairs:
Al Ott, (Clerk: Erin Ruby 266-5831)
Steineke, Petrowski, Murtha, Tauchen, Ripp, Krug, Larson, Rivard, Danou, Jorgensen, Ringhand, Vruwink, Radcliffe, Roys


Tourism, Recreation and State Properties:
Dean Kaufert, (Clerk: Adam Field 266-5719)
Loudenbeck, Gunderson, Bies, Meyer, Bernier, Klenke, Tiffany, Clark, Steinbrink, Mason, Young, Zepnick

·        

Transportation:
Jerry Petrowski,  (Clerk: Tim Fiocchi 266-1182)
Farrow, Ott, Stone, Van Roy, Honadel, Ripp, Endsley, Knilans, Steinbrink, Vruwink, Bernard Schaber, Jorgensen, Bewley, Hulsey

·        

Urban and Local Affairs:
Ed Brooks, (Clerk: Terri Griffiths 266-8531)
Thiesfeldt, Spanbauer, Jacque, Knudson, Ziegelbauer, Hintz, Ringhand, Coggs

·        

Veterans and Military Affairs:
Richard Spanbauer,  (Clerk: Matt Pulda 267-7990)
Wynn, Petrowski, Bies, Nerison, Petryk, Milroy, Radcliffe, Sinicki, Ringhand


Ways and Means:
Samantha Kerkman, (Clerk: Vicky Halverson 266-2530)
Nass, Petersen, Knodl, Endsley, Ziegelbauer, Staskunas, Toles, Steinbrink, Zamarripa

Cabinet Secretaries in Place
The Walker Cabinet held its first public meeting on Tuesday afternoon where the Governor reiterated his major theme that "Wisconsin is Open for Business" and that he is committed to creating 250,000 new jobs in the next four years. All of the Cabinet Secretaries have assumed their new roles and will need to be approved by the GOP-led State Senate, which is expected to begin taking up the appointments on January 18 when the Senate is in session.


Walker Cabinet

As of 1/7/2011

 

Department of Administration:

Secretary:  Mike Huebsch

Deputy Secretary: Cyndi Archer

Executive Assistant: Jodi Jensen

Budget Director: Brian Hayes

 

Department of Commerce:

Secretary: Paul Jadin

Deputy Secretary: Michael Klonsinski

Executive Assistant: David Volz

 

Department of Health Services:

Secretary: Dennis Smith

Deputy Secretary: Kitty Rhoades

Executive Assistant: Kevin Moore

Medicaid Director: Brett Davis

 

Department of Natural Resources:

Secretary:  Cathy Stepp

Deputy Secretary: Matt Maroney

Executive Assistant: Scott Gunderson

 

Department of Transportation:

Secretary: Mark Gottlieb

 Deputy Secretary: Mike Berg

Executive Assistant: Reggie Newson

 

Department of Revenue:

Secretary: Rick Chandler

Deputy Secretary: Kim Schaul

 Executive Assistant: Jack Jablonski

 

Department of Agriculture, Trade and Consumer Protection:

Secretary: Ben Brancel

Deputy Secretary:  Jeff Lyons

Executive Assistant: Sue Buroke

 

Department of Children and Families:

Secretary:  Eloise Anderson

Deputy Secretary: Joan Hanson

Executive Assistant: Mary Ann Lippert

 

Department of Workforce Development:

Secretary:  Manny Perez

 Deputy Secretary: Scott Baumbach

Executive Assistant:

 

Department of Corrections:

Secretary: Gary Hamblin

Deputy Secretary: TBD

Executive Assistant: TBD

 

Department of Financial Institutions:

Secretary:  Peter Bildsten

Deputy: Ray Allen

Executive Assistant: TBD

 

Department of Tourism:

Secretary:  Stephanie Klett

Deputy: David Fantel

 

Department of Regulation and Licensing:

Secretary: Dave Ross

Deputy Secretary: John Scocos

Executive Assistant: John Murray

 

Office of the Commissioner of Insurance:

Commissioner:  Ted Nichols

Deputy Commissioner: Dan Schwartzer

 

WHEDA:

Executive Director: Wyman Wynston