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Nov. 14, 2003 e-newsletter

In this issue...

Members Back AFL-CIO Health Plan

Tackle Economy Regionally, Summit Told

W. Wis. Labor Shortage Seen

Michigan Also Behind

Muni Cable, Telecom Bill Ignores Summit Lesson

Campaign Finance Reform Moribund

News Briefs Upcoming Events

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Alliance on Board AFL-CIO Health Plan

Members of the Wisconsin Alliance of Cities voted unanimously Nov. 7 to endorse the AFL-CIO's proposed Wisconsin Health Care Plan, which would create a system patterned after the Worker's Compensation Program to provide health insurance to all employed people in the state.

Mayor John O. Norquist of Milwaukee asked fellow Alliance members to endorse the AFL-CIO plan, which was analyzed by Milwaukee's employee benefits department and found to be actuarially sound.

"We have a system (today) that's very expensive, very inefficient, and it's killing us," Mayor Norquist said. He said the AFL-CIO plan would be "really good for municipal governments."

The package would subsidize benefits to employees of small businesses and the self-employed without causing a significant increase in premiums for other participants.

Mayor Norquist
Mayor Norquist

The AFL-CIO is still working to garner support from businesses and others for its health-care plan, and asked the Alliance not to reveal financial specifics of the plan.

But generally, the plan promises:

  • significant savings in drug costs, even without importing drugs from Canada;
  • a substantial drop in the number of uninsured people in the state.
  • major reductions in administrative costs.

"It's scaring the health insurance people and it's waking up the press," Mayor Norquist said.

Alliance members did have questions about specifics of the plan, and
understanding that the proposal is likely to spark extensive discussion endorsed the concept rather than all the specifics. More than two dozen of the Alliance's 38 cities were represented at the meeting.

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Recognize Regional Economies, Summit Told

MILWAUKEE State and local governments in Wisconsin must partner to create jobs with a focus on the strengths and weaknesses of the state's varied regional economies, Wisconsin Economic Summit IV was told Oct. 28.

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Ed Huck

Terry Ludeman
Terry Ludeman

"We need to challenge an area to recognize itself as a regional economic area," Ed Huck, executive director of the Wisconsin Alliance of Cities, said at a summit workshop. "We need to create some type of regional institution that can nuture and continue the work of regional thinking over a long period of time."

Terry Ludeman, chief economist of the Department of Workforce Development, told the same workshop, "A Regional Economic Growth Strategy: Does it Make Sense for Wisconsin?," that California, Florida, Illinois, Massachusetts and North Carolina have organized regional economic development efforts.

The state's economically diverse regions mean a one-size-fits-all method of jump-starting job creation and new business in the state won't work, he said. A regional jobs strategy would accomplish that as well as eliminate competition among neighboring communities for the same jobs, he said.

"A regional economic focus fits Wisconsin pretty much like a glove," Huck said. "It can and it will harness local energy and commitment. It will reduce the Balkanization of local decision-making."

By decentralizing the state focus on economic development and regionalizing the local focus, Wisconsin will be breathing new life into the state-local partnership, a r evitalization that local officials across the state have been striving for for a decade, Huck added.

"Years ago, local autonomy meant local control," he said. "Today it means...regional focus."

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Labor Shortage Seen in Western Wisconsin

Western Wisconsin will face labor shortages beginning in 2006, and should start planning now to prepare for the challenge, the Western Wisconsin Workforce Development Board said in its first annual report.

The region should deal with the changing racial and ethnic complexion of Western Wisconsin if it is to continue to grow.

The gap between available workers and jobs is expected to be especially acute in the health-care industry.  See the La Crosse Tribune story here.

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On the Web

Health Care Cost Crisis?

Guns v. Entrepreneurs

Diversity is Important

The Challenge

Summit Audio, Video

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Regionalism Cont'd
Our System of Governing is Behind

Michigan suffers from the same governmental fragmentation that plagues Wisconsin, which exacerbates sprawl, spawns inefficiencies, stymies planning to manage growth and hits taxpayers where it hurts the most  — in the pocketbook, according to Bruce Katz, director, of the Center on Urban and Metropolitan Policy at the Brookings Institution.

In a speech to the Michigan Future Forum, Katz made three points that fit Wisconsin like a glove:

  • There is a fundamental disconnect between how we live and work in America and how we govern.
  • This mismatch between governance and the economy undermines the competitiveness of places, raises the cost of doing business and delivering services and exacerbates sprawl as well as patterns of racial and class separation.
  • Change is possible and is already occurring. States and regions can advance regional collaboration in a politically feasible manner.

Bruce Katz
Bruce Katz

His prescription for Michigan — and, the Wisconsin Alliance of Cities would assert, Wisconsin as well:
  • Change our culture of governance. "Governing is too important to be left to government alone," Katz said. He said decisions on such things as transportation should be made in concert with corporate, civic and community leaders, not by an "insular" state Department of Transportation.
  • Bolster existing regional organizations.
  • Strengthen the metropolitan governance of transportation, which does as much as any other governmental program to influence our daily lives and our social fabric.

See a summary of Katz's speech, and a link to the full speech, here.

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Campaign Finance Reform  — Moribund in Madison

The promise of campaign finance reform falls into the same category as a lot of politicians' promises: it takes on a life of its own around election time but becomes moribund as soon as the votes are counted, says Jay Heck, executive director of Common Cause in Wisconsin.

Heck had predicted that reforming the way politicians pay for their elections would be the centerpiece of the fall legislative session. Now, he acknowledges,  gay marriage, concealed weapons  and special-interest give-aways elbowed their way to the top of the legislative agenda instead.

Supporters of SB 272, the bill that would place municipal cable and broadband services in a competitive straitjacket, have given more than $205,000 to legislators, the Capital Times and the Milwaukee Journal Sentinel reported.

cartoon
Wisconsin Democracy Campaign
adapts famous cartoon to 2003

Supporters of AB 417, chiefly contractors,  have contributed nearly $1.3 million to current legislators, including $226,856 to the bill's 17 sponsors, the Wisconsin Democracy Campaign reported.

And supporters of the so-called Job Creation Act 0f 2003 have contributed nearly $7 million to legislators in the last decade, says the Democracy Campaign, which dubbed the 114-page bill  which was introduced one day and reported out of committee the next  the Public Input Suppression Act of 2003. See the Democracy Campaign's press release here.

"In 1977, Wisconsin had the cleanest elections and the most honest and untainted public policymaking process in the nation," Heck says. "Today, our politics are conducted in a special interest cesspool, and public policy is made behind closed doors with a campaign cash register."

See his assessment of the situation here.

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Telecommunications Update

SB 272 Ignores Lession of Economic Summit

By Rich Eggleston

At Wisconsin Economic Summit IV last month, John C. Morgridge, chairman of Cisco Systems Inc., told business and university leaders that states must ensure that high-speed Internet service is available everywhere within their borders.

"I think Wisconsin has done some of that," he told the summit. "You have to do more."

In fact, state government in Wisconsin has failed to do what Morgridge said is essential, and now the Legislature is moving to prevent local governments from taking his advice as well.

SB 272, which is headed to the Senate floor, would place new roadblocks in the path of local governments that want to fill the vacuum that exists in providing high-speed Internet service in some parts of the state.

The bill also would protect the cable industry aginst the possibility of increased competition, even though few cable television subscribers in Wisconsin believe they receive good value for their subscription dollar.

The bill would further eliminate leverage that communities need in order to negotiate better franchise agreements with cable monopolies.

The Tenuta-Hermes Corp., which the Alliance has hired to lobby some issues, commissioned a poll on public attitudes toward cable television that indicates that the Legislature should be enhancing consumer interests and competition in cable television, not choking them off.

The poll asked: "Do you consider the price you pay for cable television to be a good value, a fair value or a poor value for the services you receive?"

Of those who responded:

  • 40% said cable was a poor value
  • 29% said it was a fair value
  • 9% said it was a good value
  • 20% did not subscribe to cable television

"The results of the poll are consistent with anecdotal evidence offered by Alliance members who report abuses by cable companies while attempting to negotiate franchise agreements," Jim Tenuta, managing partner of Tenuta-Hermes Corp., said.

SB 272 "would eliminate the only tool a few communities have to negotiate fair franchise agreements with monopoly cable companies," Tenuta added in a Nov. 10 memo to Ed Huck, Alliance executive director.


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Internet a Win-Win for Waupaca

By Patrick Phair
Alderman
City of Waupaca

To spark business growth and offer competitive prices to its residents, the city of Waupaca initiated a wireless Internet service, an infrastructure utility, much like sewer and water.

Waupaca On Line has grown steadily in the last 18 months and will be a money-maker for the city within a couple years. Highlighted in several state newspaper and magazine articles as “innovative,” several communities have inquired of Waupaca how they too can provide Internet services to their residents.

Unfortunately, the local legislators are not among the interested. State Sen. Bob Welch (R-Redgranite) and Rep. Jean Hundertmark (R-Clintonville), both representing Waupaca, have sponsored a bill to prevent municipalities from creating their own Internet service and force the existing ones to sell to the large cable companies.

I thought the Republican mantra was free enterprise. I thought it was an American ideal to create competitive products with minimum governmental interference. I thought the fact the city would earn money and help reduce the tax burden was Republican logic.

Either I’m misinformed or the telecommunication interests have contributed more than $4,000 in political contributions to Welch and Hundertmark. I think I’d bet on the latter.

(Editors Note: The above appeared as a letter to the editor in the Appleton Post-Crescent.)


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in the news...

The Oshkosh Northwestern reports that grass-roots supporters of a smoking ban in restaurants are aiming for a spring referendum to enact an ordinance to regulate smoking in city eating places. Breathe Free Oshkosh and restaurant owners can't agree on a compromise to an ordinance that failed in the city council in August. Story here.

WBAY-TV in Green Bay describes the provision of cashing in unused sick days as a double whammy for taxpayers — paying them once for working that day and again, on retirement, for not being sick the same day. Story here.

Wisconsin Rapids eliminated a budget deficit of $1.4 million and lowered the tax rate in in adopting its 2004 budget. Story here. And Green Bay closed a $5 million budget gap without an increase in its tax rate. Story here. Let's not quibble about 19 cents: Outagamie County held the line on property taxes in its 2004 budget. Story here.

The telecommunications industry has failed to offer broadband service to high-tech industries eyeing the Pabst Fams development in Oconomowoc. Story here. So the city wants to create a broadband utility, and it doesn't want the state to interfere. Story here.

Federal transportation law needs to expand existing funding sources and decision making to allow metropolitan areas to fulfill the promises of previous reform efforts and to maintain a transportation system that works for 21st century metropolitan America, the Brookings Institution says in a new report. Find it here.


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Upcoming Events   




(click on underlined text for more)
Dec. 1 Extraordinary legislative session begins
Dec. 4 Federal Brownfields Grant deadline
2004
Feb. 24-25 Trans. Dvlp. Assn. Fly-In Washington, D.C.
March 11-12 Alliance Meetings Madison

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THE WISCONSIN ALLIANCE OF CITIES
14 West Mifflin Street Suite 206
Madison, Wisconsin 53703
(608) 257-5881