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Feb. 21, 2003

We continue to pour over Gov. Doyle’s 1,139-page budget, introduced yesterday as SB 44, and will provide more details to Tidbits subscribers early next week. While there are not a lot of “non fiscal” policy items, per se, there are plenty of fiscal, organizational and related provisions of significant interest. In the interim, our Feb. 19 Budget Edition is on our web site, with links to DOA summary documents.

The oncoming break in the budget process allows for more measured assessment of the bill. We expect the Joint Finance Committee (JFC), where the bill currently resides, will get the Fiscal Bureau analysis of the bill on March 17. JFC will then hold agency briefings the balance of that week, followed by public hearings around the state. So far, the more significant debates focus on the tribal gaming compacts and the transportation funds transfer.

Wisconsin Politics

Legislature goes into Extraordinary Session over Gaming Compacts
Acting quickly in response to Gov. Doyle’s gaming compact with the Oneida Indian tribe, the Legislature called itself into Extraordinary Session. The vehicle for the debate is SB 41, introduced yesterday. The bill requires legislative approval of gaming contracts. As we go to press, the Legislature remains in caucus, but is expected to act on the legislation before adjourning for the weekend.

On Wednesday, Feb. 19, Gov. Doyle issued an Executive Order establishing the Special Election dates to fill the three vacancies that currently exist in the 2003-04 Wisconsin Legislature. The vacancies were created:

• In the 24^th Senate District by the appointment of Kevin Shibilski as Secretary of the Department of Tourism;
• In the 18^th Assembly District by the appointment of Antonio Riley as Executive Director of the Wisconsin Housing and Economic Development Authority (WHEDA); and,
• In the 7^th Senate District where Rick Grobschmidt resigned to take a position with the Department of Public Instruction.

The primary election will be held on April 1 in conjunction with the non-partisan spring election and the general election is set for April 29, with the deadline for filing nomination papers being 5:00 pm, March 4. Following is a list of persons that have “registered” with the State Elections Board. We can expect others to be added and the official list will not be known until the filing deadline of March 4. We will keep you updated as others announce their intentions.

• 24^th Senate District (Central Wisconsin): Three Democrats, Julie Lassa (currently serving in the Assembly), Jesse Higgins & Alex Paul, and four Republicans, Marcia Hendrickson, Brian Kurzynski, Donna Rozar & Greg Swank.
• 18^th Assembly District (Milwaukee): Three Democrats, Ted Kraig, Henry Mayer & Lena Taylor.
• 7^th Senate District (Milwaukee): Four Democrats, Jeff Plale (currently serving in the Assembly), Joel Brennan, John Jacobson & Edwin Thaves and Wisconsin Green candidate Jim Carpenter.

Roggensack & Brunner Finalists in Supreme Court Race
Appellate Court Judge Patience Roggensack and Circuit Court Judge Edward Brunner were the two highest vote getters in last Tuesday’s primary in the race to determine who will be the newest Justice on our state’s highest court. Brunner and Roggensack will face off on April 1 as voters decide which one will replace retiring Justice William Bablitch, who has served on our supreme court for 20 years.

To learn more about the candidates, see Jim Hough’s Supreme Court Candidates’ Profiles. Also, on Mar. 21, 2003 @ 7:00 pm, Wisconsin Public Television and Wisconsin Public Radio will be carrying a live debate between the two candidates.

Policy Developments

Legislature Passes Special Session Deficit Repair Bill
On Thursday, February 20^th, both houses of the Legislature passed Gov. Doyle’s Special Session SB 1, as amended by the Substitute Amendment adopted by the Joint Finance Committee last week. The bill is now on its way to the Governor for veto review and signature.

Senate Democrats introduced six amendments on the floor, all of which were tabled, dealing with a range of issues from eliminating gas tax indexing to discontinuing housing Wisconsin prisoners in other states. The Senate ultimately adopted the JFC Substitute Amendment without change and passed the bill 22-9.  All 18 Republicans voted for the bill along with Democrat Sens. Hansen, Meyer, Moore and Wirch.

The Assembly took the measure up and also adopted the Joint Finance Substitute Amendment without change. One amendment was offered to authorize video gaming but was ruled non-germane. The bill passed 81-15 with two paired. Fifteen Democrats voting against the bill included Reps. Black, Boyle, Gronemus, Hubler, Krug, Lassa, Miller, Morris, Pocan, Pope-Roberts, Schneider, Sherman, Wasserman and Young.

The special session bill was introduced to help address the projected revenue shortfall in the current fiscal year (2002-2003), which is estimated at $373.2 million. Under the Governor’s proposal, a net total of $81 million in GPR cuts, program revenue (PR) lapses to the general fund, and segregated revenue (SEG) transfers to the general fund would reduce the year-end imbalance to $292 million.

Federal Developments

Medical Liability Set for April in U.S. Senate
Senator Judd Gregg (R-NH), Chair of the Senate Health Committee, plans a committee markup on the medical liability reform bill to occur by April of this year. The bill, which includes caps on pain and suffering (already in place in Wisconsin) and punitive damages, had a joint hearing with the Senate Judiciary Committee, chaired by Senator Orin Hatch (R-UT). The House passed a medical liability reform bill last session, but nothing was acted upon in the Senate.

Senator Nickles Introduces Asbestos Bill
Sen. Don Nickles (R-OH) has introduced the “Asbestos Claims Criteria and Compensation Act of 2003” (S.413), which responds to the asbestos litigation crisis in federal and state courts. The bill addresses many of the issues that have been identified to have led to bankruptcy, lost jobs, and inadequate or no recovery for legitimate sufferers. While the bill prohibits the filing of claims that are based on exposure without the demonstration of harm, it also tolls the statute of limitations until discovery of an injury. The bill also prohibits forum shopping and requires that an action be brought in the state where the plaintiff is domiciled or where the exposure occurred.

For more on Asbestos Reform, see Heartland Institute article, Congress Offers Hope on Asbestos Litigation Reform.

Study Points to Demand, Technology Boosting Hospital Spending
Increases in the demand for health care and the high cost of new technology account for major growth in hospital spending, according to a new study conducted by PriceWaterhouseCoopers. The cost of prescription drugs, new medical tests, shortage of healthcare workers, increases in liability insurance and patients' demands for more services are all contributing to higher costs, the study indicates.

Political News

Lawmakers want a say in state gaming deals: Milwaukee Journal Sentinel, Feb. 21, 2003. Governor shouldn't have sole authority, some in GOP say.

GOP outraged with gaming deal: Appleton Post-Crescent, Feb. 21, 2003. Allows the Oneida Nation to expand gaming at its Ashwaubenon casino.

U.S. told state Medicaid plan might be denied: Milwaukee Journal Sentinel, Feb. 21, 2003. Official sent letter 4 days before budget proposal.

Legislature OKs bill to cut deficit: Appleton Post-Crescent, Feb. 21, 2003. The Senate voted 22-9 to approve the bill and sent it to the Assembly, which passed the measure 81-15.

Doyle: Gaming has limits: Appleton Post-Crescent, Feb. 21, 2003. Expansion won’t go beyond casinos.

Lawmakers want input on gaming compacts: Green Bay Press-Gazette, Feb. 21, 2003. Northeastern Wisconsin lawmakers on Thursday joined a chorus of legislators crying foul over.

Gaming won’t expand to taverns, Doyle says: Green Bay Press-Gazette, Feb. 21, 2003. Move would take constitutional amendment.

Officials praise health initiatives in Doyle proposal: La Crosse Tribune, Feb. 21, 2003. Proposed reductions and redistribution of funds would likely equal a 5 % reduction (about $1.6 million) at WWTC.

Proposal workable, many agree: Milwaukee Journal Sentinel, Feb. 20, 2003. Leaders praise plan to not raise taxes but criticize hit to manufacturers.