Capitol Notes: Weekly Political & Legislative Update-- November 16, 2012

Capitol Notes

Wisconsin Political and Legislative Update

TO: Clients/Friends of Capitol Consultants, Inc./Wimmer & Company, S.C.

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

DATE: November 16, 2012

SUBJECT:   Weekly Political & Legislative Update

In This Issue

Legislative Leadership Elected

Legislative Session Preview

Governor Walker decides against state-run exchange

Meet the new members of the Legislature

Wisconsin Presidential Race Wrap-Up

Stay Connected

Congratulations to Marshfield Clinic Director of Government Affairs, Ryan Natzke, for winning our election contest. Natzke correctly guessed the Presidential race nationally, as well as the final margins for the Presidential and US Senate races in Wisconsin, as well as the control of the State Senate. He was just off by 4 seats in the State Assembly. Mark Rausch of Clear Channel Outdoors and Competitive Wisconsin Board Member Joe Oswald of the Wisconsin Laborers District Council finished 2nd and 3rd respectively.

Legislative Leadership Elected for 2013-2014 Session

Now that the elections are behind us, and party-control has been established for the 2013-2014 legislative session, the focus in Madison has pivoted to who will lead the caucus and what will their legislative agendas be.

Speaker-elect Vos

Wisconsin State Assembly

As expected, Republicans chose Representative Robin Vos (R-Burlington) as the 75th Speaker of the Wisconsin Assembly. Speaker-elect Vos, who is a Racine County native, is only the second Wisconsin Speaker to be from Racine County. Vos also announced his leadership staff this week, announcing Jennifer Toftness as his chief of staff, Janine Hale as Director of Administration and Kit Beyer as Director of Communication. (link to bios)

The remainder of Assembly Republican Majority leadership team remains the same with the exception of Rep. Jim Steineke beating out Rep. Dan Knodl for the Assistant Majority Leader position:

Majority Leader Suder

On the Democratic side, the top two leaders remain the same in the State Assembly with Rep. Peter Barca remaining as Democratic Leader and Rep. Sandy Pasch serving as Assistant Leader. Rep. Andy Jorgenson and Rep. JoCasta Zamarripa beat out Reps.

Rep. Peter Barca

Fred Clark and Penny Bernard Schaber in caucus elections to join the leadership team.

Wisconsin State Senate

In the Wisconsin State Senate, Republicans instilled kept the majority of the leadership team

Sen. Majority Leader-elect Scott Fitzgerald

that they had pre the Democrats taking control of the Senate in June of this year. Sen. Scott Fitzgerald (R-Juneau) and Sen. Mike Ellis (R-Neenah) will be reassuming their roles as Majority Leader and Senate President respectively.

After the elections, Senate Majority Leader Mark Miller (D-Monona) announced that he would not seek re-election to the Leader position clearing the way for a competitive caucus election between Sens. Jon Erpenbach (D-Middleton) and Chris Larson (D-Milwaukee). Sen. Chris Larson, who is a freshman senator that defeated Sen. Jeff Plale (D-Milwaukee) in a Democratic primary two years ago, was chosen by his colleagues to be the Democratic leader for the 2013-2014 session.

Democratic leader-elect Sen. Chris Larson

Minority Leader, Sen. Chris Larson
Asst. Minority Leader, Sen. Dave Hansen
Caucus Chair, Sen. Julie Lassa
Caucus Vice Chair, Sen. Kathleen Vinehout
Caucus Sgt. At Arms, Sen. Nikiya Harris

Back to the table of contents

Legislative Session Preview

With the election of leadership this week, both parties outlined some of their priorities for the legislative session that they hope to direct the attention of their legislative bodies toward.

In the State Assembly, Assembly Speaker Robin Vos (R-Burlington) stated that the main focus of in the Assembly will be "creating an environment that allows the private sector to create jobs." He also noted specific policy items including:

a mining bill that protects the environment and brings jobs to Wisconsin;
income tax relief to all taxpayers;
education reform where the best teachers are rewarded; and
a top-down review of all the rules and regulations in the state.

Minority Leader Peter Barca (D-Kenosha) also stressed job creation as his caucus's top priority;

"That means this session we must focus on job creation. This session we must focus on bridging the skills gap. We must focus on tax reform that helps Wisconsin families. We must focus on education reform that strengthens public schools, technical colleges and universities all across Wisconsin ... This session must address the real problems Wisconsin faces, working together and including all stakeholders at the table.

Majority Leader Scott Fitzgerald (R-Juneau) announced a similar platform to the Assembly Republicans in the State Senate last week, releasing the following statement:

"My colleagues and I will work to enact policies that continue to improve Wisconsin's business climate. Together, we will continue our focus on putting our state on a path to economic prosperity including tax and regulation reform and a comprehensive mining bill."

And newly chosen Democratic leader Chris Larson, wants the Legislature to focus on job creation, investing in public schools and full-implementation of the Affordable Care Act:

"This journey begins by creating the family-supporting jobs Wisconsinites have been calling for, re-investing in our next generation of workers by supporting local public schools, increasing accountability and transparency in state agencies ensuring taxpayer dollars are wisely invested, and implementing a comprehensive, functional health care exchange in compliance with the Supreme Court upheld Affordable Care Act.

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Governor Walker decides against building state exchange

Governor Scott Walker today sent a letter to US Health and Human Services Secretary Kathleen Sebelius informing her that Wisconsin will not build a state-based exchange and will defer to the federal government's insurance exchange.

In making the decision, Governor Walked highlighted the following reasons (verbatim from the release) that influenced his decision:

The long-term risk to Wisconsin taxpayers is too high. If a state takes on the task of running the exchange, it also commits to long-term spending obligations from uncontrolled costs that are not fully funded. When federal funding dries up, costs for Wisconsin taxpayers would skyrocket under a state-run exchange. Putting state taxpayers on the hook for a program we cannot control is simply not responsible governance.
No matter who sets up and administers the exchange, the federal government makes all the decisions and the final product is the same. The federal health care law dictates to Wisconsin and to our health care providers exactly what policies and products may be offered in the exchange and elsewhere. Decisions regarding eligibility, minimum standard of coverage, and all other important details will be determined by our federal government. For instance, the U.S. Health and Human Services Secretary defines "qualified health plans" and the Secretary of the U.S. Department of Labor issues "best practices of plain language writing" for qualified health plans.
The federal government's demonstrated lack of cooperation and detail increases the burden and risk to our state. While there has been ongoing rhetoric that states will have flexibility in creating a state-based exchange, we have seen very little cooperation from the federal government on issues related to the implementation of federal reform. Thus far, HHS has provided little to no guidance on the impact of the U.S. Supreme Court ruling on the Medicaid elements and implementation.
PPACA does not allow for a uniquely Wisconsin option. In Wisconsin, we have been successful in providing health insurance coverage to over 90 percent of state residents without the creation of an exchange. Other states moving forward with state-operated exchanges have nowhere near our level of coverage. To preserve this, we would all like to build a uniquely Wisconsin exchange, but the reality is the federal health care law simply doesn't allow it. Whether an exchange is administered by the state or the federal government does not change the fact the federal government will set uniform policies for all states. Utah's state insurance exchange further demonstrates this point. Utah had an established insurance exchange prior to the enactment of federal reform. As a result, the state has submitted their exchange to the federal government in an effort to meet the insurance exchange requirement. Rather than demonstrating a willingness to work with the State of Utah, the federal government simply directed the state to go back to the drawing board.

The Walker Administration concluded that the only difference in their eyes of the three options the state had regarding the exchange (between a state-based, a federally-run and a partnership plan exchange) was the "potential cost to taxpayers." The Administration concluded, "Wisconsin taxpayers and consumers will have access to the same products without the risk of having an extra burden placed upon them at a time when they can least afford it."

Reaction from political leaders and affected industries:

Speaker-elect Robin Vos (R-Burlington)

"I support Governor Walker's decision. By not creating a state health insurance exchange we're protecting Wisconsin taxpayers from what could ultimately become a major financial catastrophe. I vehemently oppose Obamacare as it is a major step toward socialized medicine which I am against. The individual and their doctor should make health care decisions not government bureaucrats. The reality is, like it or not, Wisconsin will have an exchange. I'm pleased that Governor Walker had the best interest of Wisconsin taxpayers' in mind when he made this decision."(complete release)

Assembly Minority Leader Peter Barca (D-Kenosha)

Gov. Walker repeatedly said he would see how the election goes, and the people of Wisconsin overwhelmingly voted for the candidate who wanted to make sure all families have health insurance even if they have a pre-existing condition or have reached insurance caps. Ceding our local control on health care exchanges not only puts Wisconsin on the extreme fringe - it puts politics above health care for Wisconsin citizens. In Wisconsin we have always led the nation in innovative approaches and programs in health care, such as BadgerCare, SeniorCare and Family Care and it would be a shame to back away from that tradition. (complete release)

Wisconsin Manufacturers & Commerce (WMC)

"While WMC supported the creation of a Wisconsin-specific exchange, we acknowledge that Governor Walker makes a good case for not doing so. As the state's largest business association, our mandate is to help our members navigate through the burdensome requirements of the Affordable Care Act (ACA). WMC will continue to work with the Governor and all other state and federal stakeholders to provide as detailed and timely information about the ACA to Wisconsin's business community as possible." (release)

Citizen Action Wisconsin

"It is astounding that Walker is putting the demands of ideological extremists over the interests of health care consumers across Wisconsin who need access to quality affordable health care options. Guaranteeing that health care consumers can have a choice of competing health plans, and establishing rules of the road to make sure consumers are not ripped off or denied coverage based on pre-existing conditions should not be controversial. The extreme tea party response to common sense reform is a real barrier to governing in the public interest. Given Walker's strong opposition to the goals of health care reform, it is likely much better that the federal government operate Wisconsin's health insurance exchange. Given Wisconsin's well earned tradition of effective and innovative government, it is a shame that we have a governor who does not want to take responsibility guaranteeing that everyone has some where to go to buy quality affordable health care."(release)

National Federation of Independent Businesses- Wisconsin chapter

"A majority of our members would have preferred that Wisconsin officials take control of the development and administration of a state health care exchange. It is their view that state officials can better develop a system that reflects our needs and priorities, and can do it far more efficiently and effectively than the federal government. The Affordable Care Act is, effectively, a federal takeover of the health care system. That's why the NFIB challenged the constitutionality of the law all the way to the Supreme Court. Our members remain firmly opposed to the law and we continue to seek its repeal. However, the Governor's analysis, which anticipates unknown massive costs for Wisconsin taxpayers with limited or no control over the system, is a reasonable one that we respect."(release)

More reaction on the Governor's announcement can be found here.

Back to the table of contents

Meet the new members of the Wisconsin Legislature

There are 27 new members of the State Legislature in the 2013-2014 session; 24 in the State Assembly and 3 in the State Senate.

STATE ASSEMBLY

Daniel Riemer (D-Milwaukee, 7th Assembly District): Representative-elect Riemer defeated incumbent Representative Peggy Krusick (D-Milwaukee) in the Democratic Primary and was unopposed in the General Election. Riemer, a UW-Madison law student, is the son of former Governor Jim Doyle's budget director, and former Milwaukee County Executive challenger to then-Milwaukee County Executive Scott Walker, David Riemer. (Bio link)
Mandela Barnes (D-Milwaukee, 11th Assembly District): Representative-elect Barnes defeated incumbent Representative Jason Fields (D-Milwaukee) in the Democratic Primary and was unopposed in the General Election. Barnes is a former community organizer and mayoral aide, and now directs an interfaith community organization. Barnes was unopposed in the general election. (Bio link)
Rob Hutton (R-Brookfield), 13th Assembly District): Representative-elect Hutton defeated Democrat John Pokrandt with 65% of the vote. The 13th Assembly District is currently held by Representative David Cullen (D-Milwaukee) who did not seek re-election. Hutton is the President and CEO of Rock Transfer & Storage, Inc., a Wisconsin based private logistics company. (Bio)
Joe Sanfelippo (R-West Allis, 15th Assembly District): Representative-elect Sanfelippo defeated Democrat Cindy Moore to win the seat currently represented by Representative Tony Staskunas (D-Milwaukee) who did not seek re-election. Sanfelippo owns a commercial landscaping business. (Bio)
La Tonya Johnson (D-Milwaukee, 17th Assembly District): Representative-elect Johnson won a competitive Democratic Primary in August to replace retiring Representative Barbara Toles. Johnson defeated an Independent candidate in the General Election with 85% of the vote. Johnson is the owner of an In-Home Licensed childcare center and an Executive Board member for AFSCME District Council 48. (Bio)
Evan Goyke (D-Milwaukee, 18th Assembly District): Representative-elect Goyke won a competitive 8-way Democratic primary in August and faced only token opposition in the November General Election, capturing 88% of the vote. Goyke, is an assistant public defender and son of former State Sen. Gary Goyke. (Bio)
Paul Tittl (R-Manitowoc, 25th Assembly District): Representative-elect Tittl defeated Democrat Jim Brey to win the seat being vacated by retiring Independent Representative Bob Ziegelbauer (I-Manitowoc). Tittl, a small business owner, is a former Manitowoc City Council President. (Bio)
Rob Swearingen (R-Rhinelander, 34th Assembly District): Representative-elect Swearingen, who is the owner and operator of the Al-Gen Supper Club in Rhinelander and president of the Wisconsin Tavern League, captured 57% of the vote in a four-way General Election, to replace retiring Representative Dan Meyer (R-Eagle River). (Bio)
Mary Czaja (R-Irma, 35th Assembly District): Representative-elect Czaja, who owns an insurance agency, won her three-way General Election contest with 53% of the vote to replace Representative Tom Tiffany (R-Hazelhurst) who gave up his seat to run for the State Senate. (Bio)
John Jagler (R-Watertown, 37th Assembly Distrcit): Representative-elect Jagler, a former aide to Assembly Speaker Jeff Fitzgerald and news personality on AM 620 WTMJ in Milwaukee, won his election with 54% of the vote. The 37th Assembly District is currently represented by Rep. Andy Jorgensen (D-Fort Atkinson) who won re-election in the 43rd Assembly District. (Bio)
Mark Born (R-Beaver Dam, 39th Assembly District): Representative-elect Born defeated Democrat Jim Grigg in the race to replace retiring Assembly Speaker Jeff Fitzgerald (R-Horicon). Born, who works in the Corrections Division Administration of the Dodge County Sheriff's Office, captured 60% of the vote. (Bio)
Debra Kolste (D-Janesville, 44th Assembly District): Representative-elect Debra Kolste defeated incumbent Representative Joe Knilans (R-Janesville) 62% to 38%. Kolste a medical technologist for Mercy Health Systems and owner and operator of a family farm. (Bio)
Robb Kahl (D-Monona, 47th Assembly District): Representative-elect Kahl is a former four-term mayor of Monona and currently executive director and general counsel for Construction Business Group, a nonprofit union labor and management organization. Kahl defeated Republican Sandy Bakk 71% to 29% in a newly drawn district. (Bio)
Melissa Sargent (D-Madison, 48th Assembly District): Representative-elect Sargent, a Dane county board member and small business owner, faced no opposition in her Democratic Primary to replace Representative Kelda Helen Roys (D-Madison) who unsuccessfully ran for Congress, and only a Libertarian candidate in her General Election, whom she easily bested with 87% of the vote. Sargent's husband Justin is chief of staff to State Senator Chris Larson (D-Milwaukee). (Bio)
Michael Schraa (R-Oshkosh, 53rd Assembly District): Representative-elect Schraa, owner of Leon's Frozen Custard in Oshkosh, defeated Democrat Ryan Flejter, 60% to 40% in the race to replace retiring Representative Richard Spanbauer (R-Oshkosh). (Bio)
Dave Murphy (R-Greenville, 56th Assembly District): Representative-elect Murphy, a small business owner, defeated Democrat Richard Schoenbohm, 58% to 42% in the race to replace retiring Representative Michelle Litjens (R-Oshkosh). (Bio)
Tom Weatherston (R-Caledonia, 62nd Assembly District): Representative-elect Weatherston handled global plant management and real estate responsibilities for Modine Manufacturing Company in Racine up until his retirement from the company. Weatherston defeated Democrat Melissa Lemke with 53% of the vote to fill a seat that is currently represented by Rep. Cory Mason (D-Racine) who was re-elected to the 66th Assembly District. (Bio)
Tod Ohnstad (D-Kenosha, 65th Assembly District): Representative-elect Ohnstad, a Kenosha City Council member and former bargaining and executive committee member at the Chrysler Kenosha plant, was unopposed in the General Election. Ohsntad captured over 70% of the vote in a three-way Democratic Primary to fill the seat currently held by Rep. John Steinbrink (D-Pleasant Prairie) who was redistricted into the 61st Assembly District, where he lost his re-election to fellow incumbent lawmaker, Representative Samantha Kerkman (R-Genoa City). (Bio)
Katrina Shankland (D-Stevens Point, 71st Assembly District): Representative-elect Shankland, a field operative for the Democratic Party of Wisconsin and former program manager at Midwest Renewable Energy Association (MREA), defeated Republican Patrick Testin 61% to 39% in the race to replace retiring Representative Louis Molepske (D-Stevens Point). (Bio)
Stephen Smith (D-Rice Lake, 75th Assembly District): Representative-elect Smith defeated incumbent Republican Representative Roger Rivard (R-Shell Lake) 51% to 49%. Smith is the owner of an Ace Hardware franchise. (Bio)
Dianne Hesselbein (D-Middleton, 79th Assembly District): Representative-elect Hesselbein, a former Dane County Board supervisor, won a Democratic primary in August and was unopposed in the General Election. The 79th Assembly District is currently Representative by Rep. Sondy Pope-Roberts (D-Cross Plains) who was re-elected to the 80th Assembly District because of redistricting. (Bio)
Mady Wright (D-Wausau, 85th Assembly District): Representative-elect Wright, who is a middle school teacher and soccer coach, defeated Republican Patrick Snyder and Libertarian Jim Maas, to represent the seat currently held by Rep. Donna Seidel (D-Wausau) who gave up her seat to attempt to capture a senate seat in the June recall elections. Seidel lost to Republican Jerry Petrowski. Wright captured 811 votes more than Snyder. Libertarian Maas captured 1,045 votes. (Bio)
John Spiros (R-Marshfield, 86th Assembly District): Representative-elect Spiros defeated Democrat Dennis Halkoski 56% to 44% to win the seat formerly represented by now State Senator Jerry Petrowksi (R-Marathon) who won election to the State Senate in the June Recall elections. Spiros is Vice President of Safety and Claims Management for Roehl Transport in Marshfield. (Bio)
Eric Genrich (D-Green Bay, 90th Assembly District): Representative-elect Genrich defeated Republican David Vanderleest 60% to 40% in the race to replace retiring Rep. Karl Van Roy (R-Green Bay). Genrich is a former aide to State Senator Dave Hansen (D-Green Bay) and former Congressman Steve Kagen (D-Appleton), and is currently an Information Technology Librarian at the Brown County Library. (Bio)
Dana Wachs (D-Eau Claire, 91st Assembly District): Representative-elect Wachs was unopposed in the General Election for the seat currently represented by Rep. Chris Danou (D-Trempeleau). Rep. Danou was re-elected to the 92nd Assembly District because of redistricting. Wachs is a trial attorney and partner in the law firm of Richie Wickstrom & Wachs.

STATE SENATE

Three new faces in the State Senate for the 2013-2014 session:

Nikiya Harris (D-Milwaukee, 6th Senate District): Senator-elect Harris, who is currently a member of the Milwaukee County Board of Supervisors, won a competitive four-way primary to fill the seat vacated by Sen. Spencer Coggs (D-Milwaukee) who won an election in April to be the Milwaukee City Treasurer. Harris captured 44% of the vote in the primary, and was unopposed in the General Election. (Bio)
Tom Tiffany (R-Hazelhurst, 12th Senate District): Senator-elect Tiffany, is not new to the legislature, but will be moving from the State Assembly to the State Senate for the 2013-2014 session. Tiffany, who had previously run twice for the 12th Senate District, defeated Democrat Susan Sommer 56% to 40%. (Bio)
Rick Gudex (R-Fond du Lac, 18th Senate District): Senator-elect Gudex defeated incumbent State Senator Jessica King (D-Oshkosh) by 590 votes. Gudex is president of the Fond du Lac City Council and a production manager in the Aluminum Division of Brenner Tank LLC. (Bio)

Wisconsin Presidential Race Wrap-Up

President Obama in Madison, WI

The 2012 Presidential election was a little bit closer than the results of the 2008 election, a 7% victory for President Obama, versus 14% in 2008, with almost identical levels of turnout in the two elections.

In 2008 President Obama defeated Sen. John McCain by 412,293 votes and captured 60 Wisconsin counties to McCain's 12.

In 2012, President Obama defeated Governor Mitt Romney in Wisconsin by 200,152 votes and captured 35 of Wisconsin's 72 counties.

As far as how the candidates performed in comparison to previous presidential elections in Wisconsin:

Wisconsin Blue (DEM) Red (GOP) Pres. Map 2012

Governor Romney underperformed President Bush's 2004 vote totals in Wisconsin by 78,099 votes
Governor Romney however, over performed Sen. John McCain's 2008 vote totals by 137,619 votes
President Obama underperformed his 2008 performance in Wisconsin by 185,348 votes.
President Obama over performed Sen. John Kerry's performance in Wisconsin by 111,260 votes.

Results:

President Barack Obama 53% (1,606,514 votes)
Governor Mitt Romney 46% (1,404,950 votes)
Gary Johnson (Libertarian) 1% (20,212 votes)
Jill Stein (Green) 0% (7,572 votes)
Virgil Goode (CST) 0% (5,063 votes)
Jerry White (SEP) 0% (605 votes)