WisPolitics Budget Blog

A Madison landlord sent lawmakers a letter yesterday arguing the University of Wisconsin-Madison does not need additional student housing.

Senate Dems added a provision to the budget Tuesday paving for the way for more dorms on campus. University officials have argued they need more capacity at its flagship campus to accommodate students.

But Stephen D. Brown, president of Steve Brown Apartments, insists the university wants more housing capacity to compete with private housing providers. He included a 2004 study of student housing done by a former city assistant assessor and a former UW business professor and another document with "relevant" information to the latest UW request.

See the letter and documents:
http://www.wispolitics.com/1006/070629_SBA_memo.pdf

The Assembly will not hold a floor session on Tuesday to vote on the budget, Majority Leader Jeff Fitzgerald, R-Horicon, announced this morning. The memo says that members should keep open July 10 as the caucus continues to work on the budget.

The Assembly GOP caucused for nine hours yesterday, ending their session at about 11:30 p.m. John Murray, spokesman for Assembly Speaker Mike Huebsch, said the caucus heard briefings from the 12 working groups assigned to different sections of the budget. Legislative Fiscal Bureau staff were on hand to answer questions from the lawmakers, but members didn't get into substantive debate of the proposals, Murray said.

The Republican caucus reconvened today at 8:30 a.m., and may meet again on Monday or Tuesday, Murray said.

Meanwhile, Senate Democrats plan to meet Monday to plan an "aggressive" campaign to promote their universal health care plan.

Sen. Jon Erpenbach, the architect of the Dem plan, said it's likely he'll do town-hall style meetings in various Senate districts to discuss details of the plan.

"It's essentially the chair of the Health Committee going around asking here's the plan, how would it affect you? What would you fix?" said Erpenbach, D-Middleton.

The Assembly Republican budget won't include a gas tax increase, Speaker Mike Huebsch has told WisPolitics.

Huebsch has repeatedly promised Assembly Republicans would approve a budget without a tax increase, but many had speculated that his caucus would boost the gas tax after the speaker was widely quoted saying it was a user fee. But the speaker said that was taken out of context.

(Listen to Huebsch's comments from June 13 media availability here.)

He also called the universal health care plan OK'd by the Dem-controlled state Senate yesterday "socialist, government controlled health care" and promised the Assembly version of the budget wouldn't include it.

"That just, I think, really brought the caucus together," said Huebsch, adding "the one group the Democrats forgot is going to be our No. 1 priority, and that's the taxpayers of the state."

Assembly Republicans are meeting in closed caucus today to begin debating proposals from the working groups and build their version of the two-year spending plan. Huebsch said Republicans may also meet Friday and Monday and the Assembly could meet Tuesday to take up the budget, though much of that depends on how quickly the document can be drafted.

Budget watchers have speculated that Assembly Republicans may take some money out of the tipping fee to help pay for other projects. The fund is generated off charges for dumping waste in state landfills. Huebsch said one of the working groups had discussed the idea, but there was no consensus yet.

Gov. Jim Doyle told reporters Tuesday that when Senate Democrats proposed their plan for universal health insurance he told them that the goal should be to pass BadgerCare Plus and get 98 percent of the state's residents insured.

Doyle said that trying to find ways for people to get affordable health care is a "worthy goal" but that the goal should be getting some "very practical" things done. He cited things like getting insured all kids as well as adults without children who are working but not earning enough to afford insurance.

"I know there's going to be a broad debate on all kinds of issues on health care, but I'm living in the real world here," Doyle said.

"I put forth a plan that I'm hoping we're going to get done in this budget that will extend affordable health insurance to about 98 percent of the people of the state," Doyle said, adding that despite all of the partisan debate on health care, he hopes Republicans and Democrats can at least agree that children and low-income adults can have access to health insurance.

Doyle made his comments following an address before a regional summit on campus safety at the University of Wisconsin-Milwaukee.

Listen to audio of Doyle's remarks here.

Assembly Speaker Mike Huebsch issued a statement this morning on the budget passed by Senate Democrats.

"The budget proposal passed by the state Senate last night sends a frightening message to the people of Wisconsin," Huebsch said in the statement. He reiterated the Assembly GOP's committment to passing a budget without tax increases.

Labels: Huebsch

Check the final roll call here.

Previous post was a bit premature. But after nearly five and a half hours of debate, the final vote on passage had the same result, 18-15.

There were some parting shots. Sen. Decker slammed Republicans as "a one issue party (taxes) with no mission."

Sen. Fitzgerald said Decker "must be feeling vulnerable," adding that Decker is merely trying to position Dems for the conference committee.

GOP Sens. Cowles and Ellis asked to change their votes on SA 13, joining the Democrats in tabling the amendment.

Sen. Fitzgerald commended his caucus for staying on task and getting their work done today. He said the debate that took place laid bare the "major differences in philosophy between" Republicans and Democrats.

And he said he looked forward to the conference committee. "I hope that process is much different than what took place today," he said, bemoaning the lack of notice Republicans received on the Democratic proposals.

Sen. Robson lauded the Senate for passing a budget "in the light of day," reminding the senators that when the Senate was under control by Republicans during the last budget process, they didn't adjourn until 5 a.m.

She said the budget passed by the Senate "sets the priorities for the Wisconsin State Legislature," including education, health care, fair taxation and job creation.

Sen. Dale Schultz, the Republican from Richland Center who was the Majority Leader last session, took exception to Robson's remarks about work on the last budget lasting until early morning. He said it was through mutual agreement with the then-minority that they worked through the night to get the budget done on time. "No one in this room thinks this budget will be finished on time," he said.

Senate Substitute Amendment 1 is passed on an 18-15 vote, with all the Dems voting for it and all Republicans against.

The Senate Democrats turned back every GOP amendment offered. Each resulted in an 18-15 vote, which is the partisan split in the body.

The Healthy Wisconsin plan adds nearly $8 million more in spending than Gov. Doyle's plan for the biennial budget, according to an LFB memo comparing taxes and fees between the proposals.

Doyle's all funds budget was $58.2 billion, while the budget the JFC approved had $58.1 billion.

The budget Senate Democrats assembled raises the all funds level to $58.5 billion, but when the Healthy Wisconsin plan is added, that amount increases to $66.1 billion, according to the memo.

See the memo here.

GOP Senators have introduced an amendment to eliminate the accrued sick leave benefit. (SA 10)

The amendment is tabled on an 18-15 partisan vote.

SA 6 , SA 7 and SA 8 have met the same fate as the earlier GOP amendments, tabled on 18-15 votes.

SA 9 meets the same fate.

Like the earlier GOP amendments, SA 5 was tabled on an 18-15 party-line vote.

SA 3 and SA 4 were tabled on party-line 18-15 votes.

After the first vote, Sen. Mike Ellis walked by a row of Dems and joked, "Listen guys, there's no need for any of you to do anything but sit here."

Sen. Robson acquiesced to Republican requests and agreed to move the Dem amendments to the bottom of the agenda and take up GOP amendments.

Now under debate is SA 3, which addresses the hospital tax. Sen. Joe Liebham said the next two GOP amendments seek to remove the $1.7 billion in tax increases in Gov. Doyle's budget.

Sen. Rob Cowles called the proposal to tax hospitals' gross revenues "a shell game."

Sen. Mary Lazich had a list of questions for Sen. Erpenbach on the Health Wisconsin plan, including how it covers teachers and retirees.

Erpenbach, the author of the plan, said teachers would be covered by the state benefits plan, but would be able to negotiate further coverage. Retirees who are not eligible for Medicare will pay 10 percent of their adjusted gross income into the health care plan, he said.

That seemed like a pretty good proposal to Lazich. "I'd like to join them," she said.

One Dem Senator leaned to another and said laughing, "Hopefully we can give her a chance to do that."

We're now up to eight Senate amendments. You can check them out here.

Click here to check out the LFB analysis of the Senate Democratic caucus amendments.

So far the debate has been all over the board, with a few long, meandering speeches covering topics from education to health care and taxes. Technically, the senators are debating Senate Amendment 1 to Senate Substitute Amendment 1.

There are six amendments before the Senate now. Sen. Fitzgerald asked if the top two amendments to SSA 1, both Dem amendments, could be dropped to the end of the agenda to expedite the debate. His request hasn't been ruled on yet.

Sen. Ted Kanavas said the budget before the Senate today "can only be described as a job killer" that will "damage the economy for the next 10-15 years."

Sen. Jon Erpenbach, the author of the Senate Democrats' Healthy Wisconsin plan, said people are fed up with what he called the "excessive" profits of insurance companies and hospitals. He said the plan would give every citizen the same health care coverage the legislators receive, and said he couldn't understand the resistance to the plan.

"I don't know why certain legislators have a problem with opening the door for their constituents and letting them enjoy your benefits package," he said. "It's cold out there."

He also responded to the argument that the plan is a $15 billion tax increase, saying it is actually a $2 billion tax break for businesses currently offering health insurance who annually spend $17 billion covering their employees. "Call it a $15 billion tax increase. Fine. But if you're going to do that, you have to have the brains to look at the other side," he said.

Minority Leader Scott Fitzgerald said his caucus hasn't had nearly enough time to digest the Senate Democrats' budget, and said the session should be ended today and reconvened at a later date.

He said there are members of his caucus, and likely members of the Dem caucus, who don't grasp what's in the document.

Fitzgerald said he thought the governor's budget was bad when he first saw it in February, but he said the Senate Dems amendments make it "far worse."

The Juneau Republican listed a string of "pork projects" and tax increases, and scolded the Dems for them.

"Shame on you for convincing your freshmen that this is the way to run this body," Fitzgerald said.

Fitzgerald also told the Democrats that they should be careful about what they include in the budget, because it may become law.

"This budget is about the Senate Democrats and the governor of this state showing their true stripes, and that is the party of tax increases, the party of expanding government," he said.

"If the majority party is playing chicken and thinking the Senate Republicans will put the brakes on this plan, you have severely overplayed your hand," Fitzgerald said.

Sen. Russ Decker, the Senate co-chair of the Joint Finance Committee, said the budget before his colleagues today "zeroes in on property tax relief."

The budget spends $515 million more on transportation, a surefire job creation initiative, he said. And, he said, the budget takes on "big oil."

"We're going to go after big oil just like they've been going after us in the last three years - we're going to hit 'em in the pocketbook."

The Wisconsin State Senate is on the floor. Majority Leader Judy Robson is touting the Democrats' Healthy Wisconsin plan.

Robson said she looks forward to a spirited debate today, adding, "at the end of the day, we will pass the kind of budget that puts Wisconsin families first."

The Senate has recessed for partisan caucuses until at least 1 p.m.

The Senate is now in session and is taking up the budget.

Follow the Senate agenda.

View it here, and see an amendment to it here.

The last two packages have been adopted by unanimous consent, though there are some drafting revisions that will need to be made tomorrow.

The final package of miscellaneous provisions and education initiatives have been delivered.

Among the provisions in the education package is the deletion of the provision modifying the funding split for the Milwaukee parental choice progam. Deleting the prvision increases the MPS aid reduction and the MPS choice levy by $21 million GPR over the biennium. Net state general fund expenditures would decrease by that amount.

The Senate also plans to amend the budget to restore the repeal of the QEO that Gov. Jim Doyle proposed.

Other highlights:

- Provide $3.6 million annually and create a new categorical aid program for scool districts that meet certain criteria.

- Provide $3 million annually to fuly fund a reestimate of the amount needed for the $2,250 per payment under the SAGE program.

- $500,000 over the biennium for grants for school district nursing services.

- Specify that, in addition to the 100 percent declining enrollment adjustment inthe sub amendment that would be received by a district in the first year of an enrollment decline: a) in the year after the decline, a district would receive a nonrecurring adjustment equal to 75 percent of the first-year adjustment, and b) in the second year after the decline, a district would receive a nonrecurring adjustment equal to 50 percent of the first-year adjustment.

- Provide a revenue limit increase, beginning this school year, equal to $100 per pupil or $40,000, whichever is greater, to purchase school safety equipment or fund security officers.


- Provide $3.5 million over the biennium and create a new special education appropriation for supplemental special education ad to school districts that meet certain criteria.

- The miscellaneous package includes a provision to exempt cell phone providers from the Universal Service Fund provisions.

It's 11:15.

There are a few reporters and a handful of die hard lobbyists still in the room, trading old budget war stories.

The caucus has apparently hit a snag with a technical glitch in the drafting of an amendment regarding school choice. After a three and a half hour break, it must be one hell of a glitch.

UPDATE: It's quarter to nine and still no sign. Senate offices received an email that the caucus will not reconvene until all the packages are finished. Whatever that means.

Some of the lobbyists assembled speculate the delay is due to tinkering with the school choice program.

Senate Democrats have unveiled a number of budget amendments:

- Administration and Justice

- Environment and Economic Development

- General fund taxes and shared revenue

- Transportation

- Health care

- Miscellaneous

- Miscellaneous II

There will be an hour break while a package regarding education and miscellaneous provisions is drafted.

The caucus voted by unanimous consent to accept the packages they've considered so far.

Among the highlights:

- Restoring police officers into the changes regarding collective bargaining and dispute resolution procedures.

- Creating a three-tier liquor distribution system, creating a new "direct wine shipper's permit" to authorize and regulate direct shipments of wine.

-- Provide that June 19 be designated as Juneteenth Day.

There will be additional packages coming from the Senate Dems tonight. According to Majority Leader Robson, there is an education package being drafted, and a couple of miscellaneous packages.

The Senate Dems health care package includes 20 pages describing the Healthy Wisconsin plan.

WisPolitics is expecting to receive copies of the packages suitable for posting on the blog soon. Please check back later to view the packages.

In addition to the Healthy Wisconsin plan, the Senate Dems in their health care package propose:

- A re-estimate of the governor's nursing home rates and bed assessment increase. The re-estimate will esult in an increase of about $30.5 million in increased revenues.

- $1.1 million additional SEG for a demonstration project to provide MA coverage to low-income, childless adults.

- Increase funding for the tobacco use control grants by $20 million over the biennium, restoring funding that was cut out by the JFC.

That's what Senate Majority Leader Judy Robson, D-Beloit, called this morning's newser on the Healthy Wisconsin plan. She called it "the most energetic, most positive, best press conference I have ever participated in in my life."

Decide for yourself. Listen here.

And it's sweltering in this room.

Amendments include a modification to the governor's plan to assess oil companies a fee, making it a more progressive tax.

The amendment modifies the oil company assessment to create a graduated scale of rates at which gross receipts would be assessed based on each supplier's annual amout of gross receipts during each fiscal year, rather than assessing all gross receipts at 2.5 percent. The change reduces state SEG-REV by $29.7 million.

Other highlights:

- Among the changes in the Senate packages is to rename the Parole Commission the Earned Release Review Commission, and give the commission expanded authority to modify "bifurcated" sentences.

- Restore the governor's recommendation to consolidate certain attorneys and legal staff under DOA.

- Transfer $14.6 million from the Petroleum Inspection Fund to the general fund.

- $6 million SEG over the biennium for a program to reimburse "certain responsible parties" for the difference between the cost of transporting PCB contaminated sediment to an out-of-state hazardous waste facility.

- Increase heavy truck registration fes by 10 percent, resulting in an additional $26.7 million SEG-REV.

- Delete $33.9 million SEG and .75 SEG position in 2008-09 and provide $33.9 million GPR and .75 GPR position to reflect the elimination of provisions in the JFC sub amendment to convert 16 GPR appropriations in non-DOT agencies from GPR to SEG.

- Authority for the Southeastern Wisconsin Regional Transit Authority to levy an additional $13 fee on rental cars to fund the Kenosha-Racine-Milwaukee commuter rail line.

- Delete the provision from JFC to require only one license plate per vehicle.

- A requirement that corporations file a combined report for state and franchise taxes. The change would result in an extra $130.5 million GPR-REV.

- The property tax exemption for ATMs is eliminated.

- The property tax exemption for treatment plant and pollution abatement equipment is deleted.

Start of open Senate caucus now moved back to 5:45 p.m.

Check back later for details Senate Democrats will roll out on transportation, health care, justice, administration, and environmental policy.

UPDATE: Now delayed until 5 p.m.

Senate Minority Leader Scott Fitzgerald, R-Juneau, questioned whether Dems truly support the Healthy Wisconsin plan or if it's just a bargaining chip for the conference committee that's expected to hash out a compromise budget later this year.

Fitzgerald said the plan doesn't seem to have Gov. Jim Doyle's approval so any "discussion we're going to have on the budget tomorrow is absolutely a joke."

In addition to slamming the way the Democrats rolled out this package and sticking it in the budget without more transparency -- calling it "disturbing" -- Fitzgerald criticized the Dems for not using health care experts for input and help.

"There's nobody up there that really is of any substantial weight as far as credentials or data," Fitzgerald said, adding the architects are Sen. Jon Erpenbach, D-Middleton, AFL-CIO president David Newby and former Doyle budget director and now Wisconsin Health Project director David Riemer.

Despite slamming most elements of the plan, Fitzgerald said "this thing could absolutely be part of a negotiated package between Democrats and Republicans on the conference committee. So, to say this entire plan is dead at this point is just not accurate," adding any issue is not dead until Doyle says it is.

Fitzgerald said along with tax and fee increases, the Healthy Wisconsin plan would be a top priority for Republicans to cut from the budget. Fitzgerald did leave open the unlikely possibility for Republicans and Democrats to hammer out a health care reform plan compromise, but said there would need to be more public notice and input than this health care plan.

Sen. Jon Erpenbach said under the universal health care plan proposed by Democrats, "nobody in the state of Wisconsin will lose health care again."

"Insurance companies are set up to deny," Erpenbach said. "That's not going to happen any more."

Erpenbach, D-Middleton, was joined by Majority Leader Judy Robson, other lawmakers and business people for a news conference unveiling the plan he authored that provides health care coverage to nearly all state residents and is patterned after the state employee health plan.

The news conference packed the Senate Parlor with media and onlookers curious to hear details of the long-gestating plan.

Robson said health care is the number one issue for families, businesses and farmers throughout the state as insurance costs continue to rise and access becomes more difficult. "We can't afford to wait any longer," said the Beloit Democrat. "The Senate Democrats are saying enough is enough. It's time for the Legislature to act."

Deb Carey, president of New Glarus Brewing, said the plan will create jobs in Wisconsin. People will come to us for jobs," she said. "This is a necessary change. It is a common sense revolution."

Erpenbach characterized Gov. Doyle as "lukewarm" on the proposal. He said the proposal is "very serious."

"We are putting this in the budget because we want this to become law," Erpenbach said. He estimated it will result in a $2 billion tax cut for businesses who are currently providing insurance.

He said the coverage will cost the average household $140 per month, and cost the average employer $370 per month per employee. Currently, the average business that provides health insurance to employees pays about $9,500 per year per employee, he said.

"We're going to save them about $5,000 right off the top," he said.

The plan would drop the number of uninsured in the state from 472,000 to 15,000, he said.

"This is the right thing to do, and this is the only way comprehensive health care reform in the state of Wisconsin is going to work," he said.

See the analysis of the Senate Dems health care reform package from actuaries at Lewin Group here.

See a draft of the substitute amendment here.

Democrats, Republicans and interest groups have started to give their first reactions to the Senate Dems Healthy Wisconsin plan.

Democrats
Sen. Robson, Beloit
Sen. Breske, Eland
Sen. Kreitlow, Chippewa Falls
Sen. Hansen, Green Bay
Sen. Jauch, Poplar
Sen. Miller, Monona
Sen. Vinehout, Alma

Republicans
Rep. Huebsch, West Salem
Sen. Fitzgerald, Juneau
Sen. Roessler, Oshkosh
Rep. Fitzgerald, Horicon
Sen. Kedzie, Elkhorn
Sen. Kanavas, Brookfield
Sen. Lasee, Green Bay
Sen. Lazich, New Berlin

Groups
Citizen Action Wisconsin
Wisconsin Health Care Reform Campaign
Wisconsin Alliance for Retired Americans
AARP Wisconsin
Wisconsin Laborers' District Council
Wisconsin Right to Life
Wisconsin State AFL-CIO

Return to the WisPolitics Budget Blog and WisPolitics front page news column for updates throughout the day.

Senate Democrats are holding a press conference at 10:30 a.m. today to unveil their "Healthy Wisconsin" health care plan in the Senate parlor.

See the notice here.

At 11 a.m., the Dem-controlled Senate Committee on Health and Human Services, chaired by Middleton Dem Sen. Jon Erpenbach, will hold an informational meeting on the health care package.

See the notice here. The committee's notice does not schedule in public testimony.

Senate Minority Leader Scott Fitzgerald, R-Juneau, is holding a media availability to react on the Senate Dems plan at 1:30 a.m.

Senate Dems will roll out a universal health care plan tomorrow that would put all Wisconsin residents into a single purchasing pool under the guidance of a 16-member board, a system they say would dramatically cut costs.

The plan, dubbed "Healthy Wisconsin," calls for public and private employees to contribute 4 percent of their Social Security wages while employers would put in 10.5 percent of Social Security wages. Dems estimate that averages out to a monthly health care cost of $140 per employee and $370 per employer. Sole proprietors or those with other sources of income would pay 10 percent of their earnings as calculated for Social Security.

The total in new annual business and employee taxes would be $15.2 billion once the plan kicked in Jan. 1, 2009, according to Senate Dems who drafted the plan. It would cover all Wisconsin residents under 65 except those already on medical assistance programs.

Assembly Speaker Mike Huebsch, R-West Salem, has already dismissed the proposal as the biggest tax increase in state history. And Gov. Jim Doyle has signaled he likes his own plan, not this one from fellow Democrats.

Mike Prentiss, a spokesman for Senate Minority Leader Scott Fitzgerald, R-Juneau, called the plan a "disaster for Wisconsin."

"It will throw health care coverage and medical care for everyone in Wisconsin into chaos," he said.

Josh Wescott, spokesman for Senate Majority Leader Judy Robson, D-Beloit, said private and public sector employees and their employers now pay $17.5 billion on health insurance premiums. Senate Dems estimate their plan would come in $1.8 billion less while also covering an estimated 472,000 state residents who don't have health insurance.

"If the cost of health care is suddenly now considered a tax, every industry in the state that offers health insurance is going to get a massive tax cut," Wescott said.

*See a summary of the plan: http://www.wispolitics.com/1006/large/070624HWsummary.pdf

*See the Dems' "Case for Healthy Wisconsin":
http://www.wispolitics.com/1006/large/070624HWfacts.pdf

*Listen to a May interview with Sen. Jon Erpenbach, D-Middleton, as he worked on the plan:
http://www.wispolitics.com/1006/070503Erpenbach.mp3

The Senate Committee on Health and Human Services will have an informational hearing on the plan at 11 a.m. tomorrow morning. The plan is expected to be inserted into the Senate version of the budget, which the chamber is to take up Tuesday.

Other highlights of the plan include:
-No cost sharing for preventative care and no co-pays for minors. Adults would pay $20 for office or appropriate emergency room visits. Unnecessary emergency room visits would include a $60 fee.
-Deductibles would be $300 per individual and $600 per family with no deductible for kids.
-The plan would be run by a 16-person board that would include members from small and big business, agriculture, labor and others. The board would have bargaining power to negotiate prices and run the plan. It also would have an advisory panel with doctors, hospitals and others from the medical community.

Critics of similar proposals have questioned if the payroll tax to pay for the plan will be able to keep up with the spiraling costs of health care.

Wescott said the plan includes caps on the assessment of 4 percent for the employee and up to 12 percent for the employer. He said the projections on the plan show it can be done at a 10.5 percent assessment on employers. Should the board want to exceed the 12 percent cap, it would have to go back to the Legislature for permission.

Prentiss scoffed at that notion, saying backers would have no problem going back to public for more after hitting them up for $15 billion. He said costs under the plan would undoubtedly go up faster than income, requiring another tax increase.

Wescott also said private health insurance companies would have some administrative responsibilities under the plan and would be able to offer supplemental coverage for things such as vision and dental.

Labels: Erpenbach, Fitzgerald, Health Care Reform, Huebsch, Robson

Senate Majority Leader Judy Robson released a 17-minute "highlight reel" the Democratic open caucus meeting.

View the video here

The Senate Committee on Health and Human Services has scheduled an informational hearing Monday about the Senate Democratic health care proposal that could be inserted into the budget.

The hearing is 11 a.m. Monday in 411 South at the State Capitol.

Labels: Health Care Reform

The caucus is adjourned. The next caucus is scheduled for 3:30-4 p.m. Monday afternoon, Sen. Robson said. It will likely be open.

The list of amendments passed by unanimous consent, despite some concerns by Sen. Risser regarding the collective bargaining provision.

You can see the full list of amendments here.

The establishment of a $30 million renewable energy grant and loan program under the Wisconsin Development Fund will be reinstated in the Senate budget. The proposal was pulled by the JFC.

Under the Senate bill, the recycling fund will be renamed the "recycling and renewable energy fund." Sen. Jauch said it's appropriate because there is "a consistent connection" between the two programs.

Also, the Senate budget plan increases the tipping fee from $6 per ton to $10 per ton beginning July 1. It increase would generate about $49.4 million in additional revenue. Sen. Vinehout said the increase brings the state closer to parity with other states.

"People in western Wisconsin are concerned we've become a magnet for trash from Minnesota," she said.

As announced last week, the Senate Dems will restore the governor's proposal to require health insurers to provide treatment for autism spectrum disorders.

Also included is a raise in the minimum coverage requirements for the treatment of mental health and AODA problems that group or blanket disability insurance policies must meet. Sen. Hansen said it is an inflationary increase for the requirements that haven't been raised since 1985.

The Senate Dems budget will include health insurance coverage for domestic partners of state employees and state annuitants.

It would also allow certain local government health care coverage plans to include domestic partners.

In addition, Gov. Jim Doyle's provision to allow UW System faculty and staff to collectively bargain would be restored.

The Senate Dems proposal is to modify current law of the tuition remission program such that a veteran who does not have an undergraduate degree may have tuition and fees remitted for the lesser of: a) 128 credits or eight semesters, whichever is greater, or b) until the veteran has earned an undergraduate degree.

The remission program would not be available for graduate work if a veteran has used the provision to earn an undergraduate degree.

UPDATE: Fine tuning of the tuition remission proposal continues. Sen. Jauch's office says the Senate Dem proposal will maintain current law with regard to the children of deceased veterans, which allows them to use the tuition remission program between the ages of 18 and 26. Also, a spouse of a deceased veteran would be eligible for the tuition remission up to 10 years after the youngest child of the couple turns 18, Jauch's office said.

The Senate budget will also restore two UW System student center and union projects deleted by the JFC - providing $157.6 million of program revenue for the Davies Center at UW-Eau Claire and UW-Madison's Union South and Memorial Union.

In addition, the Senate Dems would restore $205.6 million program revenue for a host of residene hall projects at state campuses.

After several days of meeting in closed caucus, the Senate Democrats have opened up their caucus today. They are going over several packages, the first of which is the state building program.

Senate Democrats and Assembly Republicans are largely meeting behind closed doors as they hammer out their amendments to the state budget.

The Senate Dems have had three days this week of mostly closed caucus, with a fourth coming tomorrow. Senate Republicans caucused yesterday in closed session and plan to meet again Monday in closed session. Assembly Republicans have been meeting privately in four- or five-member "working groups" to put together their budget plan. Their caucus, scheduled for Tuesday, is closed. Assembly Dems have not yet scheduled a caucus.

State statutes exclude partisan caucuses of the Legislature from open meetings laws.

Jay Heck of Common Cause Wisconsin said meeting in closed caucuses "at least appears to violate the concept of openness in Wisconsin government, but it's been such a longstanding practice I can't even remember a time when this wasn't the case."

"This is the opposite direction that Wisconsin ought to be going," said Heck, a former Senate staffer himself. "When this budget comes out, in whatever form it comes out, we're not going to know how it evolved, who wanted what and what the trade-offs are."

In years past, lawmakers from both sides have held at least some open caucuses on their budget work. Then-Speaker Dave Prosser was roundly criticized in editorials more than a decade ago when Assembly Republicans met in closed caucus on their version of the budget.

Legislative staff say the closed sessions are a necessary part of the process, where frank discussions can go on.

"People can have an honest and forthright conversation about their proposals," said one Assembly Republican staffer. "People are not as honest and forthright when they feel that every word they speak is going to be scrutinized."

Once the caucus is opened, it has to be opened to everyone, including people from the other side.

"There are times when you need to meet among yourselves to plan out strategy," said another Republican aide. "It makes absolutely no sense to tip your hand to the other side."

Josh Wescott, spokesman for Senate Majority Leader Judy Robson, said in the era of WisconsinEye, state government is more open and accessible than it's ever been.

"When it's on the floor, it will be available from top to bottom in living rooms throughout the state, on the Internet and cable TV," he said. "In a lot of ways this budget will be more open than any other budget prior to it."

UW System Board of Regents President Mark Bradley has appointed three regents to act as liaisons to legislators, the governor, state agencies, and veterans to find ways to fund veterans' tuition remission at UW schools and other institutions of higher education.

"We know that support for Veterans in the Wisconsin Legislature is not partisan. We all want to do right by those who have made sacrifices for our country, and that that sentiment crosses party lines," Bradley said.

The tuition remission initiative has become one of the most controversial in the budget after the Joint Finance committee voted 16-0 that the benefit doesn't extend to grad school and would expire 10 years after a veteran leaves the service. Gov. Jim Doyle, whose budget includes $11.6 million in additional funding to support veterans tuition remission over the next two years, said he does not support the committee's changes.

Since 2005, the number of qualified applicants for the benefit has doubled, according to the UW. There were 1,205 veterans and dependents who received tuition remission in the fall semester of 2005. The number jumped to 2,441 in the spring semester of 2007, and the numbers are expected to continue to increase as veterans return from Iraq.

According to UW enrollment projections, the UW System will need an estimated $41.8 million in state funds to fully fund educational benefits for veterans. University leaders expected to continue absorbing $14.2 million of these costs, leaving an unexpected shortfall of more than $18 million over the next two fiscal years.

Appointed by Bradley were regents Michael Falbo of Milwaukee, Tom Loftus of Sun Prairie, and David Walsh of Madison to the working group. They are all Vietnam-era veterans.

In tight budget times, Bradley said, all state spending should be "closely scrutinized," including the veterans' remission funding shortfall.

"We must be a part of the dialogue on behalf of all students at UW System, their families, and taxpayers, who are footing the bill for this vital program," Bradley said. "As it stands now, we're anticipating over an $18 million hit this biennium to UW System."

See UW press release here.

Labels: veterans_tuition_remission

The Senate will hold a floor session on June 26 to work through its version of the 2007-09 state budget, Majority Leader Judy Robson's office said today.

The Senate Dems will caucus tomorrow and Thursday to discuss the final details of their budget proposal. Republican senators are also caucusing tomorrow.

The Legislative Fiscal Bureau document summarizing the budgets of Gov. Jim Doyle and the Joint Finance Committee is available here.

When the Senate hits the floor to hash out its version of the budget, expect there to be a few departures from the bill passed by the Joint Finance Committee. The most prominent change, insiders say, would be a future-looking health care reform plan Dem senators have been hatching since the start of this session despite Dem Gov. Jim Doyle's own big budget plans to tax hospitals, raise the cigarette tax and realign programs to insure almost all Wisconsinites.

Sen. Jon Erpenbach, D-Middleton, who is drafting the Dems' health care proposal, is still working on the final details of the plan.

"The argument for it is it would be closer to reality," Erpenbach said. "It would force the Republicans to talk about health care, which we think is the biggest issue people are concerned with in the state. If you don't do it, you don't force their hand as much."

Erpenbach said the package is "pretty close" and he is "just taking care of a couple more details on it."

Some observers outside the Senate say that the Dems are sure to include their health care package in the budget bill. They cite the strong support of Majority Leader Judy Robson, D-Beloit, and four freshman Dems who ran hard on health care reform.

"If it's ready to go, we'll see it in there," said one source. "I think everybody's got to take a look at it and make sure they're confident it will do what Jon says it will."

While details of the plan have been held closely, Erpenbach said the plan he's forging will be a complement to what Doyle laid out in his budget.

"It really works well with BadgerCare Plus and enhances what the governor has put out there," Erpenbach said, though he said specifics won't be unveiled until the plan is made public.

Mike Prentiss, a spokesman for Senate Minority Leader Scott Fitzgerald, R-Juneau, said if Dems put their health care plan into the budget, it would go against their previous promises to hold public hearings on the proposal and pass it as separate legislation.

"It would certainly raise questions about how serious they are to living up to their word about what they wanted to do on health care and in the bigger picture, how they want to run the Senate," Prentiss said.

Assembly Speaker Mike Huebsch, R-West Salem, blasted the Senate Dem package this week, though he admitted he's only heard rumors about the plan.

"If even part of the rumors come out to be true, the universal health care package that the Senate Democrats are likely to forward will be the largest small business tax increase in the history of the state."

Listen to Huebsch's media availability from Wednesday:
http://www.wispolitics.com/1006/_070613huebsch.mp3

Erpenbach brushed off the criticism.

"What we're aiming for is to give everybody in the state of Wisconsin the same benefits the speaker has," he said.

Among other major amendments likely to be introduced is the funding mechanism for the Kenosha-Racine-Milwaukee commuter rail line. Sen. John Lehman, D-Racine, introduced the $13 car rental fee increase for the three-county area in the Joint Finance Committee, but it was defeated 8-8 on a party-line vote.

With Robson on record as a big supporter of the rail line, look for Lehman to bring it back on the Senate floor, observers agree.

Budget watchers also look for the Senate Dems to bring back the QEO repeal Doyle included in his budget bill. The initiative was removed prior to the JFC process as a policy item, but it's a major item for WEAC.

Sen. Bob Jauch, D-Poplar, said in caucus on Wednesday that he intends to bring a motion to dedicate the $34 million balance in the DNR recycling fund to renewable energy grants. Doyle had recommended $30 million over the biennium for the grants in the Wisconsin Development Fund, but it was removed on an 8-8 vote.

Sen. Bob Wirch, D-Pleasant Prairie, announced this morning that the Senate version of the budget will include a provision to require insurance companies cover treatment of children with autism spectrum disorders.

See the release:
http://www.wispolitics.com/index.iml?Article=98151.

Senate Republicans are expected to fight to get more tax breaks included in the Senate version, particularly those outlined by the JFC.

"There were a number of good tax cuts and number of good motions (in the JFC) to remove incredibly high level of taxes that I'm sure our members will like to discuss on the Senate floor," said Mike Prentiss, spokesman for Senate Minority Leader Scott Fitzgerald, R-Juneau.

Another Senate Republican source said there will be motions offered by GOP members to stake out positions, but the source doesn't expect a drawn-out battle.

"I think we'll get done in a day," said the source. "I don't think anybody has any illusions be able to get much done at all. I don't see us doing the Assembly Dem 500 motions kind of thing."

Senate Dem sources say the earliest the Senate could bring the budget to the floor is next Friday or early the following week, with a version to the Assembly by the first week of July.

Sen. Bob Wirch, D-Pleasant Prairie, said today that the Senate version of the budget will include a provision to require insurance companies cover treatment of children with autism spectrum disorders.

"Wisconsin families who are faced with the challenges of autism deserve the guarantee that their kids will be able to receive these much needed treatments without having to break the bank," Wirch said in a press release.

Gov. Jim Doyle had included the mandate in his budget bill, but it was removed as policy prior to Joint Finance action on the bill.

See a statement from Senate Majority Leader Judy Robson here.

Labels: Autism

Gov. Jim Doyle met with Assembly Speaker Mike Huebsch and Senate Majority Leader Judy Robson in his Capitol office today, telling them in no uncertain terms he expects the two houses to deliver a budget to his desk "on time," said Doyle spokesman Matt Canter.

"The governor's last two budgets got done at the end of July or beginning of August, and he believes it is so critical to pass a budget before local school districts and municipalities have to do their budgeting," said Canter. "He knows that Democrats and Republicans will have disagreements, so let's deal with them now, let's not stare at each other for three months and then deal with this."

Huebsch told reporters yesterday that he and Assembly Republicans will be prepared to go to the floor with a budget a week or two after the Senate, which is expected to have a budget passed by the end of this month. But Huebsch added, "I will not be as concerned about the date as I will about the product."

"I have no deadline on myself for when a budget needs to be in place," Huebsch said. "Wisconsin does not shut down if a budget isn't passed."

Listen to audio of Huebsch's press conference here.

Assembly Minority Leader Jim Kreuser said he was "disappointed" that there would be talk of an impasse.

"I think we have a lot of things we need to be working together on and talking through, and the people out in the general public want us to get a budget done," Kreuser said.

"I'm not going to talk about impasse. We have a long way to go in this process," said the Kenosha Democrat.

Canter said Doyle's budget and the one passed by the Joint Finance Committee provides tax relief to middle class families in health care, child care, and higher education.

"The governor has a hard time believing that Republicans or Democrats are going to protect big oil companies and big tobacco companies and cut funding for our schools and tax relief for the middle class families," Canter said. "Holding up the budget process would do just that."

-- Senate Democrats caucused today on the budget, with the Legislative Fiscal Bureau briefing the lawmakers on the Joint Finance Committee budget during open session.

The Dems held a closed caucus to discuss the budget prior to the LFB briefing. The Senate is expected to caucus again next week, but a date has not been set.

The Senate Dems are expected to take the budget to the floor late next week or early in the last week of June.

See the LFB briefing documents:
Condition statements (governor and JFC)

General Fund Taxes; Workforce Development

Agriculture, Trade and Consumer Protection; Commerce; Natural Resources

Shared Revenue and Tax Relief; Transportation

Administration; Corrections; Tribal Gaming; Veterans Affairs; Legislature

Health and Family Services

Public Instruction; Wisconsin Technical College System; UW System; Higher Educational Aids Board; Building Program

Labels: Doyle, Huebsch, Kreuser, Robson

Assembly Speaker Mike Huebsch, R-West Salem, said in a news conference today with Capitol reporters that his caucus will bring forward a budget that does not increase taxes. Fees may be a different story, he said.

"The conference committee will be able to see a budget without tax increases because Republicans are going to show them how to do it," Huebsch said.

But Huebsch said that may not include some fee increases. "I have never included fees," he said.

"A fee is something we charge someone that uses a service of the state government," Huebsch said, citing the gas tax to pay for public roads as one example.

Huebsch said the Assembly budget will include the motion forwarded in the Joint Finance Committee by Republicans to cut out the oil franchise fee proposal from Gov. Jim Doyle's budget.

See the GOP proposal for funding transportation here.

See more on the press conference, including audio, in the WisPolitics PM Update this afternoon.

Labels: Huebsch

The Joint Finance Committee on a unanimous vote scaled back tuition remission benefits for veterans last week, and some members of the panel took exception to an email from the Department of Veteran Affairs executive assistant warning vets of the impending cuts.

Sen. Bob Jauch, D-Poplar, said he was "deeply troubled" that DVA officials would "scare those who served our country in such a way. He suggested DVA officials, "go back and take some communications courses and figure out how to communicate more fairly and honestly with those men and women who served."

See AP story on the benefits here.

Read the email here.

Unanimous votes on major items in the Joint Finance Committee were few and far between. But when it came to the final project-filled motion, the vote was 16-0.

The motion overturned a vote earlier Friday regarding the renewal and credential fee structure in the Department of Regulation and Licensing. Republicans had carried the vote 8-7 after Rep. Mark Pocan, D-Madison, missed the start of the meeting because the Capitol "squawk boxes" that carry audio to legislative offices were inadvertently turned off.

In the make-up motion, the committee did vote to delete the governor's recommendation, and required the DRL to lapse about $6 million over the biennium, and specifies that the assessment for the credentials go up $5. The assesment would be deposited in the general fund.

Friday's 22-item motion covered a wide range of projects. Among the provisions: designating June 14 as "Fighting Bob" La Follette Day in Wisconsin; naming part of U.S. Highway 8 in Barron County for former Senate Chief Clerk Donald Schneider; and providing $10,000 to decorate the Town of Pensaukee Town Hall in Oconto County.

Spokesmen for the committee co-chairs, Sen. Russ Decker, D-Weston, and Rep. Kitty Rhoades, R-Hudson, said the "miscellaneous provisions" motion was a catch-all for items that didn't fall into other agency categories.

Other provisions include the consolidation of the village and town of Rochester in Racine County, and a provision regarding waterway access from marina condominiums.

Also included in the miscellaneous motion is a hunting mentorship program that allows 12-year-olds, or younger if the DNR approves, to hunt without obtaining a certificate of accomplishment and to possess or control a firearm while hunting if the person is with a mentor who is 18 or older. The motion also specifies that unloaded firearms need not be in a case in a moving vehicle if they aren't within arms reach of the driver or passengers.

None of the spending motions exceeded $25,000, but there was not a formal cap on requests, according to Decker spokeswoman Carrie Springer. "Everybody was well aware that there just wasn't a lot of cash to spend," she said.

See the motion here.

Gov. Jim Doyle said in a statement on Friday that he looks "forward to signing a budget that reflects Wisconsin's values, protects Wisconsin's priorities, and invests in Wisconsin's people."

"This is not a budget for the big oil companies or the big tobacco companies - it is a budget for the middle class and provides real opportunity to our citizens," Doyle said. "Democrats and Republicans are going to have their differences when it comes to this issue or that, but it is critical that we reach across party lines, continue to work together, and pass a budget that is on time and meets the needs of families, students, workers, and businesses."

Sen. Russ Decker, the co-chair of the JFC, praised the committee's work.

"This budget puts the needs of Wisconsin families first. It makes important investments in job creation, public education, and our health care system while providing tax cuts for families," said Decker in a statement. "There are tax cuts that cover infants, seniors and everyone in between. Parents get tax cuts for child care and retirees will get a tax break on pensions and their social security payments."

JFC member Rep. Scott Suder, R-Abbotsford, issued a statement explaining his vote against the budget, saying he and his Republican colleagues fought hard to eliminate tax increases in the bill.

Despite these deep philosophical differences on taxes, I am proud of the great accomplishments Democrats and Republicans on the committee had in the areas of public safety, community protection, and additional assistance to our state veterans who have put their lives on the line in defense of our freedoms," Suder said.

Sen. Neal Kedzie's feelings about the budget was summed up in the subject line of his press release: "Worst. Budget. Ever."

"No more mincing words, no more clever sound bytes - this budget stinks!" said Kedzie, R-Elkhorn. "For months, constituents from every corner of my district have shared their anger with me regarding these massive tax increases and the outright deception by Democrats who claim this budget is an opportunity for the 'middle-class', but have stopped at nothing to punish them time and time again."

Rep. Frank Lasee, R-Bellevue, says it's ironic that Gov. Doyle is boasting about lowering the state's national tax ranking while at the same time the JFC is passing along a budget that "will move us straight back up the list."

"Even at 8th, there are 42 states that are taxing their citizens less. Our neighboring states have all reduced their tax burdens on their citizens, while Wisconsin has not. This Democratic budget increases the tax burden on the hard working citizens of Wisconsin," said Lasee.

In an interview prior to Friday's final JFC session, Sen. Russ Decker, the Democratic co-chair from Weston, said the committee has been effective in carrying out its work.

"You go through the bill, you fix a lot of the things that need to be fixed," said Decker. "I think we made some improvements in certain areas and made things better. That's the nature of the Joint Finance Committee."

Decker said he wishes the committee could have forged agreements on the transportation budget, and on the general fund taxes issues taken up today. But he said the work of the committee has set his party and the governor's budget up well for the remainder of budget negotiations, and he thinks most of the agreements the committee has reached will stay in the budget.

Following JFC approval, the Legislative Fiscal Bureau is expected to take a week to 10 days to re-draft the budget with the committee's amendments. The bill then moves to the Senate, which is expected to take it up and move it on to the Assembly by the end of June.

With that likely scenario, the Assembly likely wouldn't bring the bill to the floor before July 4, which falls on a Wednesday. The timing of the Assembly vote could depend on whether leadership decides to work from the Senate bill, but observers say it's more likely the Assembly will work from a substitute amendment that reflects the leadership's position of passing a budget that doesn't have the tax increases that are built into Doyle's budget.

Following Assembly action, the Senate will act on the amended bill, likely vote non-concurrence, and the conference committee will commence, probably around the third week in July, observers say.

The budget that is eventually agreed upon by the conference committee will then be sent back to both houses of the Legislature for an up-or-down vote.

Predictions on when the bill will land back on Doyle's desk vary, with some predicting it could be ready for the guv by mid-August, and others saying it could take as long as September or even October for the conference committee to reach an agreement.

With at least 10 members of his caucus firmly dug in to a no-new-taxes position, the swiftness of the agreement could depend on whether Assembly Speaker Mike Huebsch and his leadership team can offer enough to Assembly Democrats to get them to vote for a final budget, observers agree.

"Everybody knows that the Republicans at the end of the day won't have the votes to pass the final version of the budget," said the budget veteran. "It's pretty clear the Republicans will need Democratic votes. If I were Mike Huebsch, I would want to cut the deal sooner rather than later."

The final vote on the JFC budget is 8-8.

Sen. Taylor commended the co-chairs for getting the business done in a timely manner.

"It's daylight and we didn't have to go all night to get here," she said.

The co-chairs thanked the members of the committee and the LFB for their work. Decker read a long list of accomplishments, and said he hopes the substitute amendment will be passed with a majority.

Rhoades said the prize for working together goes to Pocan and Suder for their work on the GPS monitoring agreement.

"Things work better when legislators get to know each other," Rhoades said.

It reads:

Move to specify that, on a one-time basis, up to $29 million of unencumbered revenue from the Department of Financial Institutions' general program operations appropration that would otherwise lapse to the general fund as GPR-Earned at the end of 2007-08 would, instead, be lapsed to the general fund on July 31, 2009, and be credited as GPR-Earned in the 2008-09 fiscal year.

Further, move to adopt a substitute amendment incorporating all the Committee's changes to Senate Bill 40.

Direct the Legislative Fiscal Bureau to have the substitute amendment drafted. Provide that the Fiscal Bureau may, in the process of having the substitute amendment drafted, incorporate any necessary corrections in funding, statutory language, or cross references required to reconcile the various actions of the Committee and correctly reflect the Committee's intent, including cashflow reestimates consistent with the Committee's actions.

A grab bag of 22 provisions has been passed by the committee. Total fiscal effect is $290,000 GPR, -$15,000 SEG, $40 million FED, $46.1 million GPR-REV, and -$40 million SEG-REV.

Among the provisions is one naming June 14 as annual "Fighting Bob" La Follette Day.

The committee is informal until 6:45.

UPDATE:
On second thought, make that 7.

Sen. Hansen has presented a motion to provide $100,000 GPR to create a Lower Fox River Remediation Auhority. The authority will issue bonds for remediation of the PCB-polluted river.

The motion passed 16-0.

An income tax exclusion for up to $5,000 per person age 65 or older with adjusted gross income of $15,000 or less ($30,000 for married-joint filers), was adopted on a 16-0 vote.

The exclusion is effective in tax year 2009.

There are a whole mess of stand-alone motions being worked through. Currently under consideration is a motion from Rep. Vos and Sen. Taylor to repeal current law provisions that sunset the 1.59 percent tax rate on revenues from the sale of electricity for resale and extend the 1.59 percent tax rate indefinitely under the state's gross revenues taxes on light, heat, and power companies and electric coops.

The motion passes 16-0.

Labels: General_Fund_Taxes

On an 8-8 partisan vote, the GOP general fund tax break package for economic development and job creation initiatives failed.

UPDATE: The GOP's education package meets a similar fate; it fails on an 8-8 party-line vote.

Labels: General_Fund_Taxes

GOP Rep. Vos and Dem Rep. Pocan, two legislators who come from polar opposite ideologies, have been chummy throughout this process, even going so far as to track down obscure "words of the day" to regale the committee with.

But in ribbing Vos for the GOP economic development and job creation tax cut package, Dem Rep. Pocan maybe let the cameraderie get the best of him, and let a bad word slip over the mic.

He called the GOP motion for general fund tax cuts for economic development and job creation "the Paris Hilton" exemptions.

"Robin, I've got to give you a little s---, man," said Pocan as he blasted the initiative.

Pocan apologized. "It's a Friday," he said.

Sen. Olsen quipped, "Is that the word of the day?"

The package includes a sales tax exemption for temp agencies. Tax impact is $8.4 million reduction in sales tax revenues for the biennium.

Also a tax credit for restaurant machinery and equipment. Reduced tax revenues estimated at $4.2 million for the biennium.

There's also an individual income tax exclusion for retirement income. Estimated reductions in general fund tax collections: $137.3 million in 2007-08, $173.3 million in 2008-09, $247.3 million in 2009-10, $297.8 million in 2010-11, and $319.9 million in 2011-12 and annually thereafter.

There's a capital gains exclusion, increasing the individual income tax exclusion for long-term capital gains from 60 percent to 100 percent effective tax year 2008. The estimated fiscal effect is a reduction in tax revenues of $100 million per year.

Also, the proposal includes a reduction in the marginal tax rates for individual income tax by 1 percent from 4.6 percent, 6.15 percent, 6.5 percent, 6.75 percent to 4.55 percent, 6.09 percent, 6.44 percent and 6.68 percent for the first, second, third and fourth brackets, respectively. The changes would take effect after Dec. 31, 2006. Estimated reductions in individual income tax revenues of $100.5 millioni in 2007-08 and $71.8 in 2008-09.

On an 8-8 partisan vote, the GOP health care package fro general tax funds fails.

Labels: General_Fund_Taxes

In addition to the health care package introduced by the GOP, there is also an education package now circulating. It includes an expansion of deductions for contributions to, and earnings on, Wisconsin section 529 college savings programs. It would reduce individual income tax revenues by $8.5 million in 2008-09.

Also, it provides a sales tax exemption for building materials, which will reduce tax revenues by $14.7 million over the biennium.

It also creates and educational improvement tax credit for contributions by busineses to scholarship granting organizations. Estimated tax impact: $21.7 million over the biennium.

Finally, it creates a non-public education expenses credit, a non-refunable individual income tax credit for education expenses paid for dependents who attend K-12 private schools up to $2,500. Tax impact $90 million in 2008-09.

Labels: General_Fund_Taxes

The motion failed 8-8 along partisan lines.

Labels: General_Fund_Taxes

As the panel continues to discuss the Dem general fund tax omnibus, there is also a GOP motion floating around that includes health savings accounts and a workplace wellness tax credit.

The estimated tax impact of the health savings account is a reduction of $13.1 million in 2008-09 in individual income tax revenues.

For the workplace wellness initiative, estimated reduction in tax reveneus is $4.2 million over the biennium.

Labels: General_Fund_Taxes

There is an omnibus motion from the Dems, authored by Decker, that makes some modifications to the general fund tax provisions in the governor's budget. Briefly, some of the proposals:

Budget paper 315, alt. 2

Budget paper 316, delete the governor's proposal to increase the maximum college tuition reduction to $6,000 per eligible student per year, and specify that the deduction would apply with respect to mandatory student fees as well as tutiion expenses. The motion would increase the state income tax revenues by $4 million over the biennium.

Budget paper 317, delete the governor's proposal to create an income tax deduction for child and dependent care expenses, and provide a non-refundable individual income tax credit equal to 8.4 percent of the federal credit claimed for 2008, 16.7 percent for 2009, 25.1 percent in 2010. Thereafter, it would be 33.4 percent.

Budget paper 332, adopt the governor's streamlined sales and use tax proposal.

According to LFB, change to the bill: +$375,000 GPR-REV and +$6 million GPR.

Change to base: -$21.3 million GPR-REV, $75.8 million GPR, and $60,000 PR.

Said GOP Rep. Vos of the proposal, "Wow, I guess you guys thought even Jim Doyle refunded too many taxes."

Labels: General_Fund_Taxes

The committee will now move on to general fund taxes, which will bring this thrilling session to a close.

Labels: General_Fund_Taxes

Wisconsin Medical Society president Clarence Chou slammed Joint Committee on Finance members for not voting to take out Gov. Jim Doyle's proposed $175 million transfer from the Injured Patients and Families Compensation Fund, calling it "extremely disappointing and disheartening."

See the WMS statement here.

Labels: Patients Compensation Fund

A motion from Dem Sens. Lehman and Hansen and GOP Rep. Vos will provide $3.5 million GPR and $4.8 million FED over the biennium in one-time funding to support a dental access pilot project in Brown, Racine and La Crosse counties.

The program is intended to determine the extent to which MA rate increases affect dentists' willingness to provide dental services to MA and BadgerCare recipients.

The motion requires DHFS to seek any necessary federal approvals to implement the project. Also, it requires DHFS to report back to the JFC on the program by Jan. 1, 2009.

The motion passed 12-4, with GOP Reps. Rhoades, Meyer, Stone and Kestell voting against.

A motion from Rep. Meyer to provide $210,000 over the biennium to allow parents whose children die while enrolled in MA or BadgerCare to remain enrolled in the programs for up to 90 days after the death of their child passed 16-0.

Labels: DHFS

Rep. Suder has a motion to delete the provision in the budget bill that would increase the tobacco products tax rate from 25 percent to 65.6 percent of the manufacturer's list price.

According to the LFB, tobacco products other than cigarettes are taxed at the rate of 25 percent of the manufacturer's list price to distributors. The bill would increase the tobacco products tax of 65.6 percent, and specify that the additional revenues would be deposited to the health care quality fund. The motion would eliminate the proposed increase in the rate of the tobacco products tax.

Compared to the budget bill, estimated revenues to be transferred to the HCQF would be reduced by $18.2 million in 2007-08 and $21.5 million in 2008-09.

The motion failed 8-8.

JFC Health and Family Services MA Omnibus Motion by Rep. Rhoades.
Services MA Omnibus Motion by Sens. Decker and Hansen.

Labels: DHFS, Medical_Assistance

The Joint Finance process has mostly run like a well-oiled machine, with members drilled on how they will vote on each and every issue.

Sen. Decker's motion that reduced the amount of funding in the tobacco control fund by $10 million caught some members by surprise.

According to sources, the motion was made unexpectedly, and there was some confusion on how to vote. It passed 9-7 with a mish-mash of partisan votes.

The motion effectively reduced the annual amount the state will spend on tobacco control from a proposed $30 under the governor's budget bill to $20 million.

After the vote, Senate Majority Leader Judy Robson came to the chamber to talk to Decker. Their conversation continued during the break.

With about a half dozen stand-alone motions being offered, with committee is taking a 10 minute break to sort them out.

The committee voted 9-7 to adopt alternative 2 on budget paper 373, which modifies Gov. Doyle's recommendation by providing $10 million ($20 million SEG and -$10 million GPR) annually to increase funding for the state's tobacco control program.

The modification creates a continuing approporation from the Health Care Quality Fund. Under the alternative, total state funding for the tobacco control program would increase to $20 million SEG annually during the next biennium.

Labels: DHFS

Dem Sens. Decker and Hansen have produced their own MA motion. It's currently under consideration by the committee.

It sticks pretty closely to the governor's recommendations, and it fails on an 8-8 partisan vote.

With no other motions offered, the governor's position on the papers prevails.

Labels: DHFS, Medical_Assistance

No surprises here - the Republicans omnibus on MA funding was defeated on an 8-8 partisan vote.

Labels: DHFS, Medical_Assistance

The committee is back in session after a half hour lunch break. Now under consideration is an omnibus motion from Rep. Rhoades covering budget papers 371 through 378, 380 through 387, and 455.

Among the provisions in the motion is to delete the hospital assessment in budget paper 371.

The motion also deletes all provisions relating the the increase in the cigarette tax (budget paper 376), and delete the transfer from the Patients Compensation Fund. (budget paper 377)

The overall change to the bill under the motion: +$52.3 million GPR, -$500 million FED, -$497 million SEG, -$11.2 million PR, -$1.2 billion SEG-REV.

Asked by Dem Sen. Jauch what the impact of the motion on Medicaid would be, state budget director Dave Schmiedicke said it would create a $850 million "hole" in the program.

Rep. Kestell said that number was "ironic," because $850 million is also the amount of GPR the LFB has estimated Gov. Doyle's budget removes from MA funding.

Republicans on the committee said there is nothing in the bill that guarantees the money raised from the hospital tax will be used on health care. Rep. Suder said $119 million of the cash "goes to the government."

"I'm not about to roll the dice with patient money in hopes that patients in my area might benefit," he said.

Labels: DHFS, Medical_Assistance

Rep. Rhoades and Sen. Darling have proposed a motion to delete the governor's proposal on the nursing home bed assessment increase. (budget paper 396)

Instead of the governor's proposal, the Rhoades-Darling proposal would provide $13.4 million GPR and $18.2 million FED in 2007-08 and $13 million GPR and $18 million FED in 2008-09 to fund a 4 percent rate increase in nursing home rates beginning in 2007-08.

In addition, the motion proposes the adoption of alternative B1, which would specify that begining with this fiscal year, all revenue from the nursing home bed assessment would be deposited in an MA trust fund.

The motion failed on an 8-8 vote along party lines.

Decker moves alternatives A1 and B1. The motion failed 8-8.

With no other motions offered, the governor's proposal prevails.

Labels: DHFS

Rep. Pocan said that the "squawk boxes" that transmit the audio from the JFC were accidently shut off when the system was being tested for a graduation ceremony. Thus, when the committee started up, he couldn't hear it.

He said the 8-7 vote on the DRL will be fixed by the committee.

Labels: Pocan

The committee has moved into the MA part of the budget. They'll stand informal for a few minutes to make time for motions to be finalized.

The committee will be breaking at 1 p.m. for lunch.

Rep. Scott Suder's motion to specify that no more than 10 percent of Stewardship Fund lands purchased in any fiscal year may be smaller than 10 acres failed 7-9, with Sen. Darling voting with committee Democrats.

A second Suder motion to authorize the DNR to contract with non-profit conseration organizations, land trusts and private companies to perform land management activities on DNR properties passed 16-0.

Labels: DNR, Stewardship_Fund, Suder

The motion to bring legislative oversight to the Stewardship Fund failed 8-8 on a party-line vote.

Labels: DNR, Stewardship_Fund

Rep. Meyer moves to require legislative oversight of the Stewardship Fund, saying the state is spending far too much on acquiring land. (budget paper 557)

Owning property is part of the American Dream, Meyer said. "But I didn't know it was the state's dream to buy up everything that isn't already owned in northern Wisconsin."

Sen. Bob Jauch said the motion is "really be designed to hurt the program, not help," Jauch said.

Labels: DNR, Stewardship_Fund

A motion from GOP Reps. Vos, Kestell and Stone, and Dem Rep. Colon regarding budget paper 556 regarding stewardship earmarks is now on the floor.

The motion would adopt the governor's recommendation, but would also provide money from the Stewardship Fund for three projects provided the recipient pays $1 for every $3 in state funding.

The projects:

- $500,000 to Vernon County to restory Jersey Valley Lake.

- $1 million to The Conservation Fund for property acquisition for the Milwaukee Metropolitan Sewage District Greenseams flood management program and for habitat restoration for lands acquired under the program.

- $875,800 to Green Bay for the acquisition of property to be developed into a recreational trail.

In addition, the motion authorizes the DNR to expend bonding authority from either the land acquisition or the property developomnt and local assistance subprogram.

Sen. Decker said it was "ironic" that three sponsors of the motion voted against reauthorization of the Stewardship Fund.

Stone later pointed out that the money is being spent in this budget, so there is nothing inconsistent with the members voting not to extend reauthorization past 2010.

The earmark motion passed 16-0.

Labels: DNR, Stewardship_Fund

A motion from Sen. Decker to require the Natural Resources Board to develop administrative rules specifying public access requirements for land purchased with Stewardship funds fails 8-8.

Rep. Meyer's motion on the Stewardship Fund failed 7-9. GOP Sen. Alberta Darling voted with the eight committee Dems to kill the motion.

No other motions being offered, the governor's proposal is adopted.

Labels: Stewardship_Fund

Rep. Dan Meyer moves this list of alternatives for budget paper 555: A6, B1, C3, D1, D2, D3, E1d, and E2d.

The motion would not reauthorize the program through 2019-2020 as Gov. Doyle proposed. Under the motion, it would expire 2009-2010.

He assured those listening that the motion "does not eliminate the program." Meyer said the motion is meant to have the state, "Take a time out, take a step back, and look where we're at."

He listed the number of woes state natural resources currently face, including CWD in the deer herd and VHS in the fish population.

"Why don't we take care of the natural resources we have instead of purchasing more and more land?" he asked.

Sen. Mark Miller said preserving land is essential to the state's tourism economy, and waiting until the next budget to reauthorize the program would be a dangerously short timeframe. Reauthorizing the fund today, he said, "would be a strong statement and a vote in favor of the continuing support of this program."

Labels: Meyer, Stewardship_Fund

Rep. Pocan arrives. The committee continues its business, moving on to a motion from Rep. Kitty Rhoades on the regulation of drug wholesalers.

Rhoades' motion would provide $200,000 PR over the biennium for the DRL's general program operations for the regulation of wholesale drug distributors. It also specifies that a $350 biennial initial and renewal fee for wholesale drug distributors for June 1, 2008 through May 31, 2008. In addition, an initial fee of $53, and a $300 renewal fee, would begin on June 1, 2010.

UPDATE: The motion passes 15-1.

UPDATE: Sen. Miller, who originally voted no, changed his vote, so the motion passes unanimously.

Labels: DRL

The committee will stand informal for five minutes.

Rep. Jeff Stone says the Department of Regulation and Licensing hasn't been living up to its statutory responsibilities with regard to the submitting its analysis of the existing initial and renewal credential fee schedule to suport its operating budget. (budget paper 680)

"Who regulates the regulators when they don't do their job," Stone said, saying the lack of reporting has been a "a problem for the last three biennial budgets." He moved alternative B3.

Sen. Russ Decker urged the committee not to pass the motion, warning it would cause a $6.3 million GPR shortfall.

The committee is delayed briefly because Rep. Mark Pocan isn't present. After several minutes, Decker registers the vote without him, and it passes 8-7.

Labels: DRL

The day is kicked off with the Dept. of Regulation and Licensing.

The committee start is delayed. Some Senate Dems have entered the JFC room, but there are no Republicans present yet.

Anticipating Friday's action by the Joint Finance Committee, the Wisconsin Medical Society sent a letter to committee members urging them not to approve the governor's plan to transfer $175 million from the Patients Compensation Fund to plug a Medicaid hole. (budget paper 377)

If approved, the transfer could destabilize the fund and, warns WMS senior vice president of government relations Mark Grapentine, could lead to "an expensive, wasteful legal battle."


You can read the letter here.

Labels: DHFS, Patients_Compensation_Fund

Two Dem motions relating to Corrections failed as the committee wrapped up work for the day.

The first motion, from Sen. Hansen, was to direct the department to convert unit supervisor positions under the Division of Adult Institutions into teacher positions at any time a unit supervisor position become vacant. It failed 8-8.

Sen. Miller's motion to provide $370,000 GPR in 2008-09 for a re-entry pilot program for inmates with mental illness also failed 8-8.

The committee will return to session on Friday to complete its work on the budget. Here are Friday's budget papers on general fund taxes and MA and the Stewardship Fund.

The bipartisan agreement did not include the earned release program expansion included in Gov. Doyle's budget. (budget paper 233)

Suder said the expansion of the program is policy that should be decided by the full Legislature.

A motion to adopt alternative 5 to delete the provision failed 8-8.

Labels: Corrections

The vote is unanimous.

You can read the Corrections omnibus here.

Suder said the omnibus package on Corrections funding is "an astonishing bipartisan agreement.

He drew laughs from the committee room when he said the meeting of the minds he had with Pocan on the issue was the most unlikely "since Reagan met Gorbachev."

Pocan was the only member of the Assembly to vote against the sex offender GPS tracking legislation Suder championed last session. Now Pocan has signed on to the proposal.

"Some said we could never achieve this," Suder said. "I never thought I'd see a Suder-Pocan motion on Corrections."

Pocan credited Suder with bringing the package together, and said he and Suder "share common goals" of community safety while at the same time reducing Corrections costs by reducing prison populations.

Labels: Corrections, Pocan, Suder

There is a six-page bipartisan omnibus on the floor, authored by Reps. Pocan and Suder, covering budget papers 228, 246-250, 230-232, and 240-242.

The omnibus includes the bipartisan agreement on the GPS tracking of sex offenders

According to the LFB, the net fiscal effect of the motion is to reduce funding $6 million GPR compared to the governor's bill.

Labels: Corrections

The committee adopted a motion from Sen. Hansen to allow Wisconsin Technical College Districts and the UW System to provide preadoption for proposed adoptive parents. Currently, the two systems are not authorized to provide the training.

Adopted 12-4 was a motion to spend $411,600 annually to increase funding for post-adoption centers. Decker, who authored the motion with Rep. Stone, said the centers had not received an increase in four years, and the funding helps save money in the long run as it keeps kids out of the foster care system.

Also adopted was a motion by Hansen to direct DHFS to collaborate with community-based organizations that serve youth and families to promote health and wellness and to reduce childhood obesity.

Labels: DHFS

The committee adopted alternative 4 of budget paper 432 and directed that $531,000 GPR be used to offset the projected $11.3 million deficit in the earned income tax credit. The motion was authored by Sen. Decker and Rep. Rhoades, the co-chairs of the committee.

Labels: DHFS

An attempt by committee Republicans to cut funding for foster care by 2.5 percent beginning in 2009 failed on an 8-8 partisan vote. (budget paper 431)

With the committee deadlocked, the governor's position prevailed.

Labels: DHFS

The JFC is inching to a start.

They kick off with budget paper 429 on Milwaukee Child Welfare. The committee adopts alternative 2 unanimously.

Legislators have reached a bipartisan agreement on GPS tracking of sex offenders that will shave $4.6 million from the proposal included in Gov. Jim Doyle's budget bill. (budget paper 240)

Rep. Scott Suder, R-Abbotsford, said the agreement between legislative Republicans and Democrats also has the thumbs up from Doyle, and he expects the program to be fully implemented by Jan. 1. At that time, approximately 400 of the "worst of the worst" sex offenders will be monitored by a 24-hour, "real time" Internet tracking system, he said.

The proposal would also cut the number of positions needed for the program by 51 compared to the governor's budget proposal. The agreement includes a public/private partnership that will require the Department of Corrections to outsource GPS tracking to a vendor who installs, removes and maintains the technical equipment through local staff in Wisconsin.

"This is a win for Wisconsin's children, and a win for Wisconsin's communities," Suder said.

The monitoring system will be among the toughest in the nation, Suder said, who was joined at the news conference this morning by a handful of GOP legislators including JFC co-chair Rep. Kitty Rhoades, R-Hudson, JFC members Rep. Jeff Stone, R-Greendale, Robin Vos, R-Caledonia, and Sen. Alberta Darling, R-River Hills, and Rep. Joel Kleefisch, R-Oconomowoc. Also at the news conference were Marc Klaas, whose daughter 12-year-old daughter Polly was murdered by a repeat sex offender, and Stacie Rumenap of the D.C.-based group Stop Child Predators.

The proposal will require lifetime monitoring for the most serious sex offenders, and will also include more money for sex offender treatment and polygraph testing of sex offenders.

See more details in the press release.

Labels: GPS_tracking; Corrections

Rep. Steve Nass, R-Whitewater, the chairman chairman of the Assembly Colleges and Universities Committee, yesterday sent out a scathing press release and letter to constituents and Assembly Republican leadership blasting JFC votes on UW System budget items.

"I have witnessed my fair-share of backroom dealings in Madison, but the behavior today by some legislative leaders is simply despicable," Nass said in the press release. "The UW-La Crosse Diversity Surcharge was dead in the water, even the Democrats and some Republicans on the committee wanted to kill it. However, my own leadership prevented that from happening."

See the press release here.

In the letter to constituents, he labeled some JFC provisions as "pork barrel."

"The Joint Finance Committee was able to reach agreement on passing a provision from Senator Mark Miller (D-Madison) mandating the UW System spend $25,000 to offer a five-week course in summer 2008 for Chinese political, business and academic leaders on the Wisconsin Idea and how it might relate to China's environmental issues," Nass said in the letter. "This motion passed on a 10-6 vote with two GOP members voting with the eight Democrats. One can't make this stuff up."

See the letter here.

Nass has been sharply critical of the JFC, calling last month for the committee to cease its deliberations and have the budget go directly to the conference committee.

Labels: Nass, UW_System

The committee adopted a motion from Sens. Decker and Jauch and Rep. Meyer to provide an additional $300,000 water resources SEG annually for grants to control aquatic invasive species, and to adopt alternative C1 of budget paper 589.

With that the committee adjourned. They will reconvene tomorrow at 1 p.m. with the Department of Corrections.

The committee approved 16-0 $400,000 GPR to the Department of Family Medicine in the UW School of Medicine and Public Health to support the Wisconsin Academy of Rural Medicine, the Academy for Center-city Medical Education, and the Wisconsin Scholars Academy programs to recruit doctors to under-served areas. The UW Schol of Medicine and Public Helath will contribute $400,000 in non-state matching funds.

The motion came from Sen. Jauch and Olsen, and Reps. Rhoades and Suder.

The committee approved $25,000 to develop a five-week course in the summer of 2008 to introduce Chinese political, business and academic leaders to the Wisconsin Idea, particularly as it relates to environmental issues. The motion passed 10-6.

Also approved 16-0 was a motion from Rep. Kestell to provide $300,000 in SEG funding for the biennium from the agricultural chemical cleanup preogram fund to the University of Wisconsin-Extension to provide grants for research and outreach at the discovery farms.

Labels: UW_System

An attempt by Rep. Suder to delete a provision in the budget that allows some non-U.S. residents who meet a set of requirements to pay in-state tuition to state universities failed on an 8-8 partisan vote. (budget paper 828)

The governor's recommendation was adopted when no other motions were introduced.

Labels: UW_System

A motion from Sen. Lehman to require UW-Madison's athletic department to implement a recycling program at events, using funding from program revenue from the events, failed on an 8-8 partisan votes, with Dems voting for and Republicans against.

Labels: UW_System

Rep. Vos has introduced a motion to specify that no more than 50 percent of the funding provided for UW System faculty retention could be used by UW-Madison or UW-Milwaukee. (budget paper 822)

The motion failed 8-8.

On a motion from Sen. Decker, the committee voted 16-0 to delete a provision in budget paper 822 to require DOA approval of moneys spent for supplemental salary increases.

Other than that change, the committee adopted the governor's recommation for paper 822.

Labels: UW_System

A motion from Dem Sens. Decker and Taylor to provide that the UW-La Crosse initiative be funded from the other initiatives, failed on an 8-8 vote, with Republicans voting against. The motion would hvae deleted $4.4 million program revenue from the budget. (Budget paper 821)

Committee Republicans then moved alternative 3, allowing the UW Board of Regents to implement the UW-L initiative using its authority to charge differential tuition, failed on an 8-8 vote with the partisan sides flipped.

With no other motions, the governor's position was adopted by default.

Rep. Robin Vos has introduced a motion to delete $7.1 million GPR and $2.6 million PR in 2008-09, or one-third of the fudning provided to the UW System under the governor's budget bill for the 16 initiatives outlined in budget paper 820.

The move would result in cutting spending to $14.3 million GPR and $5.3 million PR in 2008-08 for the initiatives.

UPDATE: Vos' motion fails on an 8-8 partisan vote. Sen. Decker moves alternatives A2, B1, which passes 14-2.

Labels: UW_System

Finally, the committee takes a vote on the Wisconsin Covenant. Rep. Rhoades, R-Hudson, moved alternatives A3 and B5, which would have deleted the program. The motion failed on an 8-8 partisan vote, with Republicans voting for deletion..

Sen. Decker moved alternatives B3 and C3, which fails 7-9. (Rep. Pocan voted with the eight Republicans.)

Decker then tried to move only alternative B3, which resulted in an identical vote.

Finally, a vote on alternative C3 resulted in a 15-1 vote.

No further motions were brought, meaning the Covenant proposal stays in the budget except for the deletion of the Character Education Teacher Training Grants. Deleting the provision saved $500,000 GPR.

Sen. Olsen asked if children who move to Wisconsin after 8th grade would be eligible.

State budget director Dave Schmiedicke said that they would not be eligible if they came after 8th grade, that the program is meant to involve kids from the eighth grade through graduation.

Olsen said that doesn't sound fair, and said it could hurt recruit businesses and workers to the state.

Rep. Vos said the Wisconsin Covenant is nothing more than "a fantastic political ad."

Vos said the program does nothing the state doesn't already do. "It's regurgitating what the state of Wisconsin already does today," he said.

Sen. Decker, the committee co-chair, said the program provides a "vision" for Wisconsin students.

Rep. Pocan said the Covenant "is one of the gems of the state budget."

Labels: HEAB, Wisconsin_Covenant

Co-chair Rep. Rhoades says the committee should hold off on approving the Wisconsin Covenant program because members haven't gotten the answers its sought about the cost of the program. (Budget paper 463)

"I don't know how we can vote on a bil that creates some kind of liability for the state that we don't even know," Rhoades said.

She said the future costs of the program haven't been defined, and its akin to tying the hands of future Legislatures. She said if governor's had the power to budget into the future, "Gov. Thompson wouul have budgeted through the year 3000."

Sen. Taylor disagreed, saying that if the program means even one more kid goes to college, it's worth the investment.

"In these marble walls maybe we forget that there are families with children out there who never even think they can go to college," she said.

Labels: HEAB, Wisconsin_Covenant

Committee co-chair Sen. Decker and Rep. Vos have offered an omnibus motion that covers budget papers 462, 824, 826 and 827.

As it relates to 462, motion establishes a prorate on the tuition remission reimbursement using the governor's budget funding level; specifies that the 128 credit limit would apply to the sum of all remissions received by the individual; provides that a person would have to claim the remission by the end of each semester; provide the tuition remission for undergraduate work only, but allow students receiving a remission for graduate work prior to Jan. 1; provide the tuition remission only during the 10 years following their separation of service.

On 824, it recommends approval of the governor's recommendation to provide $200,000 annually.

On 826, it modifies the governor's recommendation to increase the application fee by $9/$11 for purposes of funding admissions application expenses.

It also requires UW schools to disclose to students when they register whether a class will be taught on a daily basis by a TA, tenured faculty, or academic staff, and would require schools to provide information on segregated feees on the Web site of the institution.

The motion also cuts program revenue funding for UW-Madison athletics by $2.6 million.

The motion passed 16-0.

Labels: HEAB, UW_System

The committee has made its way to the Higher Educational Aids Board portion of today's agenda.

They start off with budget paper 460. The governor has provided $26.4 million in addition the base level of $39.2 million funding for Wisconsin higher education grants in the 2007-09 budget.

Committee Republicans move alternative 3, which would cut the biennial increase by about $9.2 million. The motion fails on an 8-8 partisan vote. The governor's recommendation prevails.

Labels: HEAB, WHEG

The committee has skipped the summary item on the Fox River Navigational System Authority, and moved on to the papers regarding the Board of Commissioners of Public Lands.

The Joint Committee on Finance voted to keep the Office of Justice Assistance in the bureacracy in the Department of Administration, after a motion by Rep. Scott Suder, R-Abbotsford, to move OJA to the Department of Justice failed in an 8-8 vote.

The Committee passes a motion to add $1 million from GPR for the Office of Justice Assistance for civil legal services for the indigent (budget paper 124) on an 11-5 vote.

Gov. Doyle has proposed a new annual GPR appropriation for law enforcement supplement grants for 1st class cities. The program would provide $750,000 annually to employ additional uniformed cops.(Budget paper 123)

Problem is, the only 1st class city in the state under the statutes is Milwaukee, and some committee Republicans say they are fed up with Milwaukee earmarks.

"I will subtly remind you that here is life outside of Milwaukee," said Rep. Scott Suder, R-Abbotsford.

Rep. Pedro Colon bristled at that, saying that Milwaukee is the engine of the state, and without a safe Milwaukee, the state would suffer. "Without Milwaukee, Wisconsin is Iowa," he said.

Rep. Jeff Stone, R-Greendale, agreed with Colon's assessment. "Milwaukee needs Wisconsin, and Wisconsin needs Milwaukee," he said. "We've got to find a way to make it work."

A motion to delete the provision failed 6-10.

The committee is now tackling budget paper 285 regarding health insurance coverage for domestic benefits of state employees and annuitants.

Gov. Doyle's budget includes language that allows for the benefits.

Committee Republicans have moved alternative 3, which would delete the governor's recommendation and instead direct OSER to explore providing reimbursement to state employees with domestic partners who do not have health insurance coverage available to them through their own employers.

UPDATE -- The attempt to put domestic partner benefits for state employees in the budget failed.

Since the ETF is a base agency and no action would maintain current law., Rhoades withdrew her motion. Decker made a motion for alternative 1, which would have adopted the governor's recommendation. The motion failed on an 8-8 vote.

Labels: domestic_partner_benefits, ETF

A move by Republicans on the committee to eliminate employer contributions to the health care premiums of certain state employees,
budget paper 284, failed on an 8-8 partisan vote.

Labels: ETF

On a 14-2 vote, the committee voted to eliminate the Revisor of Statutes Bureau effective at the end of the year. The bureau's duties would be transferred to the Legislative Reference Bureau.

The move deletes $925,400 GPR in 2008-09 and 10 positions, and provides $330,000 GPR and creates two positions in the LRB. In addition, one position is deleted in the Legislative Council, and one position is deleted in the Senate.

Dems Sen. Mark Miller and Rep. Mark Pocan voted against the motion.

Labels: Revisor_of_Statutes_Bureau

There is a motion from the co-chairs amending budget paper 735 to require State Fair Park to submit quarterly reports to the DOA and JFC projecting revenues and expenditures of the ensuing quarterly period for the park's program revenue appropriation accounts.

Also, the motion requires the park to submit to DOA an annual plan to bring expenditures in line with revneues and to addres the park's existing deficit.

The requirements would sunset at the end of 2013.

The motion passed 16-0.

The committee also voted to approve $1.1 million in program revenue for limited-term employees, supplies and services.

Labels: State_Fair_Park

See the LFB Memo.

The Joint Finance Committee's current version of the budget would spend $36.7 million more in GPR than Gov. Jim Doyle's spending plan, according to a preliminary tally heading into the last week of deliberations.

But the committee's budget also would spend $114.3 million less than Doyle in all funds, said Legislative Fiscal Bureau Director Bob Lang.

Lang said while there is no statutory requirement that the committee pass a balanced bill onto the full Legislature, but he added: "As a practical matter, I'm sure they will not pass it out unless it's balanced."

The Wisconsin Hospital Association yesterday sent a letter to the Joint Finance Committee co-chairs, Sen. Russ Decker, D-Weston, and Rep. Kitty Rhoades, R-Hudson, urging legislators to exercise caution with the proposal to impose a .8 percent gross receipts tax on hospitals to help the state capture more Medicaid funding.

"The latest version of the plan appears to be a more thoroughly researched and crafted proposal," than the original plan in the budget bill, writes WHA president Stan Brenton.

"Given the potential impact the hospital tax could have on health care costs and Wisconsin’s track record with existing provider taxes and (thought to be) segregated funds, WHA remains opposed to the hospital tax," says Brenton.

See the letter here.

Labels: Hospital_Assessment

The JFC will convene at 10:30.

UPDATE: Start pushed back until 10:45.

The budget papers are in for the final days of the JFC: Tuesday, Wednesday and Friday general fund and MA-related.