Political Tidbits

Wisconsin political news for clients and colleagues.

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May 2, 2006

The Legislature is entering the final week of regular session activity for the 2005-06 Session. Last week the Assembly, on a vote of 50-48, adopted a proposed constitutional amendment to impose limitations on state revenues and spending, but not on local governments, although proponents suggest that such state limits, if ultimately adopted, would create a situation where the State Legislature is more likely to address local property tax issues. Passage of any version of a constitutional amendment by the Senate this week is viewed as a long shot.

There are currently 48 bills, including selected bills from last week listed below, that have passed both houses and are awaiting action by the Governor. More are likely to follow this week. Tidbits has listed below only those bills that have passed the second house since bills that have passed only one house by close of business on May 4 are dead for the session unless revived in a special or extraordinary session.

After recapping legislative action after this week’s activity, Tidbits will turn much of its attention to election year issues and personalities.

Policy Developments

Recent Legislative Activity
The following bills and resolutions passed the second house last week:

Senate

SB-103: Income and franchise tax credit for research and research facilities.

SB-145: Deferred prosecution agreements: bad checks.

SB-483: Income/franchise tax exemption for sales/use taxes paid on purchase of Internet equipment used in the broadband market.

SB-546: Identification and cleanup of properties that are environmentally contaminated; properties with residual contamination; modifies environmental remediation tax incremental financing program; exempts local governmental units from solid waste management standards with respect to certain properties; liability of certain persons for environmental contamination on property on which a cleanup has been conducted.

SB-619: Business mergers, conversions and other business combinations.

SB-677: Village of Kimberly TIF district.

SB-681: Changes to impact fee law;

Assembly

AB-4: Nonrefundable individual income tax credit for certain amounts relating to health savings accounts that may be deducted, or are exempt from, federal income taxes.

AB-55: Immunity of private campground owners and operators.

AB-850: Regulation of piers.

AB-1021: Inadmissibility of a statement of apology or condolence by a health care provider.

Line Item Veto Amendment
SJR-33: The Assembly receded from its position on Senate Joint Resolution 33 on April 25, 68-25. The joint resolution, a constitutional amendment being considered on first consideration, would prohibit the governor from creating new sentences with an item veto.

May Declared Manufacturing Month in Wisconsin
Gov. Jim Doyle and the Wisconsin Assembly have proclaimed May (AJR-99) as Manufacturing Month.

Wisconsin Manufacturers and Commerce is coordinating a number of activities this month to promote manufacturing, and is partnering in the celebration with Wisconsin Manufacturing Extension Partnership, Wisconsin Economic Development Association, and Wisconsin Technical College System.

Assembly Adopts Proposed Amendment to Limit State Revenues (TPA)
At approximately 4:30 am on Friday, the State Assembly adopted a proposed constitutional amendment that would create a limitation on state general fund revenues.

Unlike previous proposals, the version adopted does not directly impact local government revenues and expenditures. The proposal does, however, prohibit unfunded mandates.

The proposed amendment also would prohibit the use of segregated funds for “other purposes” and restricts the purposes for which the state may borrow. Please see the Legislative Fiscal Bureau Summary of Revenue Limits issued on April 28 for additional information and detail.

Senate leadership has promised a vote on some version of the proposed constitutional amendment for Thursday of this week, following a recommendation of the Senate Select Committee on the Taxpayer Protection Amendment.

If the proposal passes both Houses, it will still have to be passed in identical form next session before it can be submitted to the people on a statewide referendum.

Price Gouging Measure Passes the Assembly
Assembly Bill 786 passed the State Assembly in the early morning hours April 28. The Consumer Gas Gouging Protection Act prohibits companies from excessively increasing gas prices within a three week time period. In addition, it establishes a penalty for each gouging violation of up to $10,000, and gives the state Attorney General authority to investigate and enforce violations.

Another “price-gouging” bill (SB-358) that would prohibit selling goods and services at excessive prices during periods of abnormal economic disruption is expected to be taken up in the Senate floor session Wednesday.

Governor Doyle Announces $3.8 Million in Sign/road Marking Awards
Gov. Doyle announced 90 awards totaling nearly $3.8 million in state funds that will enhance the visibility of traffic signs and roadway markings across the state to assist aging drivers and pedestrians.

The awards are administered through the Traffic Signing and Marking Enhancement Grants program. Eligible projects include brighter pavement markings such as centerlines, edge lines, cross walks or lane use arrows, and increasing the brightness or size of roadway signage.

Under the “enhanced mobility” program, the state will reimburse municipalities for up to 75 percent of eligible project costs with municipalities providing a 25 percent local share to the limit of the award. Work on the projects will be completed over the next three years. A statewide list of award recipients is available on the WisDOT Web site.

Political News

Tax limits divide GOP: Milwaukee Journal Sentinel, May 1, 2006.

Taxpayers amendment a messy process: La Crosse Tribune, May 1, 2006.

Milwaukee area gains stature in study: Milwaukee Journal Sentinel, May 1, 2006.

Spending-limit proposal would force cuts in human services (opinion): La Crosse Tribune, May 1, 2006.

Taxpayer Protection Amendment can help lower state taxes (opinion): La Crosse Tribune, May 1, 2006.

State congressmen focus on price gouging: Appleton Post-Crescent, May 1, 2006.

You're behind the wheel; act like it (opinion): Milwaukee Journal Sentinel, April 30, 2006.

Pump prices are forcing innovation, new habits (opinion): Wausau Daily Herald, Apr. 30, 2006.

Economic growth not partisan issue (By Sen. Ted Kanavas): Oshkosh Northwester, Apr. 30, 2006.

Spending limit could hit a wall: Milwaukee Journal Sentinel, April 29, 2006.

A constitutional insult (opinion): Milwaukee Journal Sentinel, April 29, 2006.