Government Relations

Legislative Update

November 2, 2007

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STATE UPDATE

Biennial Budget

Budget Passes

The 2007-09 State budget was passed by the Legislature on October 23rd, and signed into law on October 26th. The bill passed the Senate party-line 18-15, and with 60 bi-partisan votes in the Assembly.   

The bill signing ceremonies at UW-Madison and UW-Milwaukee included legislative and higher-education leaders from across the state. UW system President Kevin Reilly introduced the Governor, and joined Governor Doyle in offering thanks to legislative leaders for completion of the budget.

President Reilly and Regent President Mark Bradley also issued a final budget statement. 

Provisions of the Recently Completed State Budget Operating Budget Summary

  • COST TO CONTINUE -- The final budget includes $184 million in new GPR funding to cover cost-to-continue, as requested by the Regents.
  • $25 MILLION LAPSE -- The budget requires a $25 million biennial lapse from UW System in each of the 2007-09 and 2009-11 biennia to the state’s general fund.  Compared to a base cut, this lapse will offer much greater flexibililty.
  • GROWTH AGENDA -- Returns funding level to the Joint Finance version of $29,390.800, and authorizes almost of the Growth Agenda Provisions Breakdown as recommended by the Regents.
  • FINANCIAL AID -- Returns the WHEG-UW funding to the Governor’s level of $50,000,000 in 2007-08 and $55,000,000 in 2008-09.
  • VETERAN’s TUITION REMISSION -- Returns the funding for Veteran’s Remissions for the UW System and WTCS to the Governor’s of $5,013,700 in 2007-8 and $6,562,300 in 2008-09. 
  • ELIMINATED TARGETED REDUCTIONS -- The final version eliminated a long list of targeted cuts passed in the Assembly Republican version of the budget:
    • Wisconsin Public Television and Radio
    • Lawton and AOP
    • Certain Administrative Positions
    • UW Law School
    • University Relations and Communications Functions
    • UW-Extension School for Workers
    • Havens Center
    • WI Humanities Council
  • COMPENSATION AND OTHER RESERVES -- Reduces the GPR funding for the Compensation Reserve from the levels recommended by the Joint Finance Committee by $5,024,900 in 2007-08, from $67,784,500 to $62,759,600; and reduces funding by 15,928,800 in 2008-09, from $172,546,700 to $156,617,900.  Funding from other sources increases in both years.
  • HEALTH INSURANCE COVERAGE FOR DOMESTIC PARTNERS -- Restores the Joint Finance position which does not include a provision for health insurance coverage for domestic partners of state employees and annuitants.
  • COLLECTIVE BARGAINING  --  Removes the Governor's recommendation to provide faculty and academic staff of the UW System with the right to collective bargaining over wages, hours, and conditions of employment.
  • ELIMINATES TUITION CAP -- The final version eliminates a five-year combined fee/tuition cap at 4%, a provision added in the Assembly Republican version
  • OTHER BUDGET PROVISIONS IMPACTING FACULTY & STAFF (EMPLOYEE TRUST FUNDS)
  1. Required Retirement Contributions for Nonrepresented State Employees -- Removes provision that would have required non-represented state employees, including University of Wisconsin faculty and academic staff to pay the first 5.0% of earnings as employee contributions to the WRS.
  2. Increased Health Insurance Contributions-Non-protective State Employees -- Removed the requirement that except for protective occupation employees, state employees be required to contribute 10% of the cost for state health insurance premiums for coverage effective January 1, 2008.
  3. Initial State Payments for Health Insurance Premiums -- Except for limited-term employees, the employer-required contribution toward the health insurance premium of certain state employees would begin on the first day of the third month, instead of the first day of the seventh month, beginning after the date on which the employee begins employment with the state, not including any leave of absence.

Additional budget details will be available from the Budget & Planning Office at a later date

Provisions of the Recently Completed State Budget Capital Budget Summary

  • UW System Student Center and Union Projects -- includes enumeration of the UW-Eau Claire Davies Center and UW-Madison’s Union South.  UW-Madison’s Memorial Union would be advance enumerated for 2009-11 with no funding provided in 2007-09.
  • UW System Residence Hall Projects -- includes the Building Commission’s recommendations on residence halls with the exception of UW-Madison’s Lakeshore dorm.
  • UW System Academic Facilities -- advances the Building Commission’s recommendations for Academic Facilities and increases the total by $3,200,000 for the UW-Parkside Communication Arts Center.
  • All Agency Enumerations -- decreases the Building Commission’s recommendation for GPR-Supported Bonding for All Agency funds by $40,000,000 from $165,000,000 to $125,000,000.  PR-Supported Bonding for All Agency funds was also reduced from $81,318,000 to $61,318,000.
  • Sterling Hall -- returns the 2005-07 general fund supported bonding level for the Sterling Hall project at UW-Madison to the previous level of $37,500,000.

See a detailed summary of the Conference Committee Budget Proposal of the 2007-09 Operating & Capital budget provisions relating to the UW System.

New Senate Democratic Leadership Announced

On October 24, Sen. Russ Decker (D-Weston) was elected Senate Majority Leader.  He stepped down as co-chair of the Joint Committee on Finance on November 1 and announced the following changes to committee’s membership makeup.  Decker named Mark Miller (D-Monona) as the new Senate co-chair.  He also has named former Senate Majority Leader Judy Robson (D-Beloit) to the committee to succeed Sen. Jauch (D-Poplar) who will chair a new Senate Committee on Tax Fairness and Family Prosperity.  Julie Lassa (D-Stevens Point) was also named to the Finance panel.

State Legislation Update

Legislative Activity

October 23 – By a vote of 96-0, the Assembly passed, with one amendment, AB 280. This legislation would require health insurance to extend dependent coverage to full-time students who withdraw from school for a medically necessary leave of absence. The bill now goes to the Senate for committee action.

October 23 -- AB 8 was passed on a voice vote. This legislation, introduced by Representative Schneider, prohibits capturing of a nude or partially nude person in a locker room and requires written policies on privacy in locker rooms. The bill is awaiting committee referral in the Senate.

October 30 -- The Senate unanimously approved confirmation of student Regent Colleene Thomas.

Upcoming Legislative Activity

November 6 -- The Joint Law Revision Committee has scheduled a public hearing at 9 a.m. in 328 Northwest on proposed state agency remedial legislation.  The UW is proposing five pieces of legislation relating to: (1) special distinguishing registration plates associated with the UW Colleges; (2) authority of the UW System Board of Regents to create or abolish full-time equivalent positions; (3) changing certain UW system appropriations from annual to continuing; (4) tuition gift certificate program; and (5) use of Universal Service Fund revenue to pay to certain telecommunications services.

November 14 -- The Senate Agriculture and Higher Education Committee has scheduled a hearing at 10:00 a.m. in room 412 East.  The hearing will begin with an informational briefing on Veterans Tuition Remissions.  Following the briefing the committee will hold a public hearing on:  SB 100 relating to eligibility for tuition fee remissions for certain veterans and their spouses, surviving spouses, and children; SB 291 relating to the UW System tuition gift certificate program; and SB 155 relating to a loan program for veterinary medicine student who agree to provide veterinary medical service to food producing animals in the state.

Legislation Introduced or Added Since Last Update

October 16 & 17 -- Rep. Gottlieb and Sen. Vinehout have introduced  AB 541/SB 291 relating to the UW System gift certificate program. Under current law, the named individual can use a gift certificate towards tuition or study abroad payment, and it is not transferable except to sibling, child, parent or spouse. Under this legislation the certificate would be transferable to anybody.  The bill has been referred to the Assembly Colleges and Universities Committee.

October 30 -- Rep. Montgomery has introduced AB 559 which creates an income and franchise tax credit in an amount equal to the sales tax paid on the right to purchase season tickets to athletic events sponsored by higher education institutions.  The bill has been referred to the Assembly Committee on Ways and Means.

Please note that UW System legislative bill positions that have been approved by the UW System Board of Regents are posted on the web.  View bill positions.

FEDERAL UPDATE

Nothing at this time

RECENT EVENTS

A naming ceremony honoring Lee Sherman Dreyfus University Center was held on October 12, 2007. The campus University center was renamed in honor of the former UW-SP Chancellor and Wisconsin Governor who contributed much to UW-Stevens Point and to higher education in Wisconsin

UPCOMING EVENTS     

November  
6

The Assembly will be in floor session on Tuesday, November 6.  Included on that day’s calendar is
 AJR 38, authored by Rep. Kim Hixson (D-Whitewater) honoring Bob Berezowitz’s football coaching career at the University of Wisconsin-Whitewater.  A reception is tentatively planned in the Assembly Parlor immediately upon the adjournment of session.
8-9 UW System Board of Regents Meeting in Madison -- see full agenda.

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