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July 30, 2004
This issue of Tidbits was
delayed in order to stay current with the activity in Madison
relating to TABOR and discussions about amending the state
constitution to impose some limits on the growth in state and
local government spending. What can be described as a bizarre week
for the State Legislature came to an end Wednesday with the
announcement (once again) that no vote would be taken on the
issue, thereby delaying any consideration of a constitutional
amendment to the 2005 session and meaning that a statewide
referendum could occur at the earliest in 2007. (See related story
below.)
While the concept of limiting government spending resonates well with the
general population, the devil, as always, is in the details. It also must be
remembered that amending the constitution is one of the most serious
undertakings of this or any legislative body and carries a permanence that
does not attach to statutory creations or amendments. The Legislature faced
a deadline if it was to act this session; called itself back for a potential
vote; and, could not muster sufficient confidence that the proposed wording
of a constitutional change ( to control tax and spending) would also allow
for adequate growth and economic development.
Every two years Wisconsin voters go to the polls to elect 99 State
Representatives and 16 State Senators. (Senators serve four-year terms and
approximately ½--even or odd—stand for election every two years.). In
addition, all eight House of Representative seats and one U.S. Senate seat,
with a spirited Republican primary, are up for election. The filing deadline
was 5 p.m. on July 13.
Andy Franken and
Amy Boyer of The Hamilton Consulting
Group have prepared a detailed
Elections Update to help readers throughout the state analyze candidates
and the competitive races that will determine the balance of power between
the two parties which, in turn, will influence the agenda for the 2005-06
legislative session.
Go to: The
Hamilton Consulting Group 2004 Elections Update (July 30, 2004)
The Attorney General (AG) and the Department of Justice (DOJ) also made
headlines recently with the filing of two separate, distinct (and
controversial) court actions. The first involves a complaint by DOJ which
alleges that a Wisconsin local development authority, organized as a
private, nonprofit entity, is actually a quasi-governmental corporation
subject to Wisconsin’s Open Meeting and Public Records laws. In the second
action, Wisconsin’s AG joined the attorneys general of six other states in
suing five of the country’s largest power producers, including one that
services Wisconsin, for causing global climate change. (See related stories
below.)
Finally, we welcome and congratulate Kevin Reilly as the new president of
the University of Wisconsin System.
Policy Developments
The Tale of TABOR
Just when it appeared as if TABOR, the issue of amending the
constitution to limit the growth of government spending, was
relegated to campaign rhetoric and future legislative debate, the
Legislature agreed to call itself back into session in an effort
to pass first consideration of a constitutional amendment in
advance of the August 3 publication deadline.
[A
constitutional amendment must be approved by two consecutive sessions of the
Wisconsin Legislature before being put before the voters in a statewide
referendum. By law, first consideration must be accomplished in time to meet
an August 3 deadline for public publication by the Secretary of State in
each even-numbered year to qualify as “first consideration.” A favorable and
timely vote this year would have allowed the next Legislature that convenes
in January 2005 to take the second vote which could permit the referendum to
occur as early as April 2005. Failure to act by August 3 would mean that the
earliest a second legislative vote could occur would be 2007.]
The
State Senate had previously announced that there were not sufficient votes
for any “available” proposal; that more deliberation was necessary; and,
that the issue of amending the constitution would be revisited in 2005.
Subsequent to that decision, State Rep. Glenn Grothman filed to run against
Senate Majority Leader Mary Panzer in a Republican primary, in a strong
Republican, conservative district. An obvious issue was the Senate’s failure
to call a session to vote on a proposed constitutional amendment to limit
the growth of government spending, TABOR. (The Assembly, which has been
discussing TABOR for months, also never took a vote on language to amend the
constitution.)
Following Grothman’s decision to challenge Panzer, several Republican
legislators renewed their call for an extraordinary session on TABOR.
Senator Panzer, who had previously supported delaying consideration of a
constitutional amendment, publicly announced that she would urge a
legislative session for this past week. Legislators from both Houses and
both parties returned to Madison; were briefed on proposed language
(including amendments to the “original” draft which was first available on
Tuesday); caucused; failed to achieve consensus; and, went home without a
vote.
DOJ Files Complaint against the Beaver Dam Area Development Corporation
Attorney General Peg Lautenschlager
announced that the Wisconsin DOJ had filed an Open Meetings/Public
Records action against the Beaver Dam Area Development Corporation,
contending that the corporation is in fact quasi-governmental and, thereby,
has been acting outside of the scope of the open meetings and public records
laws. The results of this case could have far reaching effect on the
operation of many private, nonprofit local economic development
corporations. A key issue seems to relate to the source, or sources, of
funding of the nonprofit organization.
Wisconsin AG Joins Lawsuit on Global Climate Change
Peg Lautenschlager, Wisconsin AG, has joined her counterparts from six
other states in a federal court action aimed at forcing five of the
country’s largest power producers to cut carbon dioxide emissions. One of
the five is Xcel Energy, which services a significant portion of Wisconsin
and already has plans for substantial carbon dioxide reduction over the next
several years. While
applauded by environmental groups, the move has been attacked by
economic development professionals, business organizations and the media for
its potential economic impacts and unrealistic assertion that a few
companies in the U.S. should be prosecuted for global climate change. (See
WMC and
Wisconsin State Journal editorial.)
Recommendations of Task Force on Energy Efficiencies and Renewables
Wisconsin's private and public sectors would be powered by more
renewable energy sources in the coming years and public benefits funds would
be preserved for energy efficiency work under two proposals unanimously
backed by the Governor's Task Force on Energy Efficiency and Renewables.
The
first proposal would increase statewide use of renewable energy by all
customers to 10 percent by 2015. With the second, task force members want to
make sure what happened in this budget does not happen again. Doyle and the
Republican-controlled Legislature took about $47 million from a fund
earmarked for energy conservation and renewables -- so-called public
benefits money -- to help balance the state budget.
The
proposals were part of a package of energy recommendations carved by the
25-member task force over the past year. The pile of policy proposals will
be presented to Gov. Jim Doyle in September. Task force chair Lee Cullen, a
Madison-based attorney, said he has been assured by Doyle that the governor
"is favorably disposed to what these recommendations are."
Read
more of the Wisconsin Business
article and also see the Governor’s
press release.
Kevin Reilly Selected for UW System Presidency
The University of Wisconsin Board of Regents has chosen UW Extension
Chancellor Kevin Reilly to succeed Kathryn Lyall as president of the UW
System. Reilly, who had served as associate provost for academic programs
and secretary of the State University of New York System, earned his
bachelor’s degree from the University of Notre Dame and has masters and
doctorate degrees from the University of Minnesota.
Hamilton Conquers the British on Their (Its) Own Soil
Congratulations to Todd Hamilton, a fine American, who won the 2004
British Open in Troon, Scotland. Next month, the entire eyes and ears of the
golf world will focus on Whistling Straits in Wisconsin where the 4th
Major of the year, the PGA, will welcome the best golfers in world to the
Herb Kohler/Pete Dye masterpiece.
Wisconsin
Politics
Elections are in Full Gear/Eight
Candidates Denied Ballot Status
The biggest buzz surrounding the filing of nomination papers
on July 13 resulted from the decision of incumbent State Rep.
Glenn Grothman to challenge State Sen. Mary Panzer, current Senate
Majority Leader, in this September’s Republican primary. This
extremely unusual move has stirred much debate among Republican
members of the Legislature and among observers of the process
regarding the impact that this challenge will have on other races
this fall and efforts to interpret the results, regardless of who
wins.
There are a number of other interesting and competitive races
and we encourage you to read the Hamilton Consulting
Update prepared by Andy Franken and Amy Boyer. The fall elections will
once again determine which party will be in the majority and provide a hint
of next session’s legislative priorities. The
Update also provides a profile of and insights into the various
candidates and helps readers focus on key races throughout the state.
Political News
Plan to
limit taxes all but dead: Milwaukee Journal Sentinel, July 28, 2004.
Panzer, Gard trade blame on amendment: Wisconsin State Journal, July 28,
2004.
Taxpayer amendment hits snag: Green Bay Press-Gazette, July 28, 2004.
Don't wimp out on tax decisions (opinion): Wisconsin State Journal, July
28, 2004.
Caledonia
drops suit against power plant: Milwaukee Journal Sentinel, July 28,
2004.
Papermakers
back nuclear plant sale: Milwaukee Journal Sentinel, July 27, 2004.
GOP
trying to line up quick vote: Baraboo News Republic, July 27, 2004.
Tax
amendment keeps Capitol abuzz: Milwaukee Journal Sentinel, July 27,
2004.
Kelley: Got all the answers? (opinion): Wisconsin State Journal,
July 27, 2004.
How's
this for a flip-flop? (opinion): Milwaukee Journal Sentinel, July
27, 2004.
Timing makes Panzer plan suspect (opinion): Green Bay Press-Gazette,
July 27, 2004.
Milwaukee attorney starts ad campaign in congressional race:
Janesville Gazette, July 27, 2004.
Vote on spending limit bill blasted: Appleton Post-Crescent, July
26, 2004.
Campaign finance race is going strong: Appleton Post-Crescent, July 26,
2004.
Doyle rips GOP move to vote on tax measure: Green Bay Press-Gazette,
July 26, 2004.
Weber, Nelson arm campaigns: Green Bay Press-Gazette, July 26, 2004.
Panzer
calls for vote on spending limits: Milwaukee Journal Sentinel, July
24, 2004.
Feingold’s foes step it up: Oshkosh Northwestern, July 23, 2004.
Special
session sought to limit property taxes: Milwaukee Journal Sentinel,
July 23, 2004.
Two GOP legislators endorse Panzer's opponent: Wisconsin State
Journal, July 21, 2004.
Renewable Energy Recommended: Wisconsin State Journal, July 21,
2004.
State to
join seven others in filing global warming lawsuit against 5 utilities:
Milwaukee Journal Sentinel, July 21, 2004.
Politics drives lawsuit over emissions (opinion): Wisconsin State
Journal, July 22, 2004.
Wisconsin Joins Legal Global Warming Fight: Wisconsin State Journal,
July 22, 2004.
Upcoming Fundraisers
For details, go to
Hamilton Consulting Fundraiser Calendar
July 27
-
Dave Magnum (R) 2nd CD Candidate, Middleton
-
Reince Priebus (R) 22nd SD Candidate, Milwaukee
July 28
-
Dan
Kapanke (R) 32nd SD candidate, Milwaukee
-
Dan
Kapanke (R) 32nd SD candidate, Hartland
-
Russ Darrow (R) U.S. Senate candidate, Janesville
-
Rep. Gabe Loeffelholz (R-Platteville), Platteville
July 29
-
Rep. Sheryl Albers (R-Reedsburg), Richland Center
-
Dave Magnum (R) Congressional candidate, Baraboo
Aug. 3
Aug. 4
-
Russ Darrow (R) U.S. Senate Candidate, Green Bay
-
Dave Magnum (R) US Congressional Candidate, Madison
Aug. 5
Aug. 7
Aug. 10
Aug. 11
Aug. 13
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