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October 20, 2005 e-newsletter

Our Nov. 11 Agenda fills up

Layoffs Loom With Levy Limits

Support for TABOR Waning

Seniors Jam Hearing to Argue for Public Subsidy

Briefs

Upcoming events

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Our Nov. 10-11 meetings in Neenah
Local budgets, levy limits, mandates on our plate
A roundtable discussion of the budget picture in Alliance cities, both for 2006 and 2007, highlights the Alliance's Nov. 10-11 meetings in Neenah. along with presentations on economic development incentives available to our cities, a new effort to halt unfunded state mandates, brownfields grants and video-streaming services for Alliance members.

Rep. Steve Wieckert (R-Appleton) is scheduled to tell city leaders Friday of his plan to require that the Legislature fully pay for any new mandates it imposes on local government. He said the proposal is especially important in light of Doyle/GOP property-tax limits.

"The Legislature has to be responsible, and we can't pass any additional costs on to local government," Wieckert said. "There's no free program."

In addition, Hector Colon of the Wisconsin Housing and Economic Development Authority is to talk about WHEDA's finance tools to spur economic development, and Annette Weissbach of the Department of Natural Resources will provide the lowdown on a new zero-percent revolving loan fund for brownfields projects.

We've also invited a representative of CGI Communications to attend to brief more city leaders on what the company is doing in Neenah.  We haven't heard back from them yet, but in any case, we'll watch the "welcome to our community" video CGI produced for Mayor George Scherck.

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Rep. Wieckert


And that's just the agenda for our general membership meeting Nov. 11.   Agendas for both the finance directors' and board meetings are in the works.   The meetings are all at the Bridgewood Resort Hotel in Neenah. For maps and an RSVP form, click here. Greens fees for the Thursday morning golf outing are $10.

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Levy Limit Fallout
Cities eye employee cuts to cope

In Eau Claire, City Manager Don Norrell is proposing to eliminate 11.5 positions and seek new revenue sources to stay within his city's 3.3% allowable levy increase. That's an increase of about $724,000 in revenue, but salaries and benefits alone for the current workforce would rise $1.3 million.

In La Crosse, the size of the city's workforce will be determined through the collective bargaining process. Mayor Mark Johnsrud is offering city employees a zero percent salary increase, but preservation of their current level of benefits, which amounts to a 2.5% increase in their wages and benefits package. If employees accept the offer, the city can continue to offer its current level of services.  If employees reject that offer, the city and its unions will likely go to arbitration. A mediator is likely to award a 3.5% wage increase and create an $800,000 hole in the city's budget, forcing a reduction of about 21 employees.

Wausau is considering  new user fees and delaying road projects to erase a $415,000 budget shortfall and remain within its levy limit. Story here. Watertown approved a stormwater fee of $15.48 annually for homeowners, more for property owners with large roofs and parking lots,  to be added to sewer and water bill beginning Dec. 1. Story here.

Among non-Alliance cities, Oconomowoc's Common Council gave preliminary approval to a "transportation utility district" that would charge property owners road use fees to help pay for street repairs, a fee that would amount to about $22.50 a year for a single-family home.  Story here. In Janesville,   City Manager Steve Sheiffer is considering higher bus fares and a hiring freeze in Janesville as devices to deal with a $500,000 budget shortfall and levy limits. Story here And in Cudahy, city officials are dealing with a budget shortfall of more than $250,000.

And the budget picture is dire in counties as well as cities. Brown County Executive Carol Kelso says she'll consolidate some county departments and reduce staff to meet her levy limit. Story here. Winnebago and Fond du Lac counties, two of the 11 Wisconsin counties that don't have a half-cent county sales tax, are considering imposing one.

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Seniors lobby for public housing subsidy

Scores of senior citizens from across Wisconsin jammed a public hearing Oct. 18 to protest a bill to limit the property tax exemption for "benevolent associations" to those that provide housing for low-income people, the disabled, or the genuinely needy.

Advocates for the disabled and the property taxpayer supported the bill, but owners of high-end housing complexes for senior citizens didn't, and they provided seniors with bus transportation and box lunches to attend the Capitol hearing..

The Alliance of Cities told the Assembly Urban and Local Affairs Committee that existing law is abused by outfits like the tax-exempt Attic Angel Place on the west side of Madison, where a one-bedroom apartment goes for nearly $1,500 a month, plus a $25,000 entrance fee. A two-bedroom apartment with a balcony and den goes for more than $2,250 per month, plus a $38,000 entrance fee.

Ed Huck, executive director of the Alliance of Cities, testified that his 88-year-old mother who is not wealthy pays $600 a month rent for an apartment in Waunakee that is on the property-tax rolls. Huck said his mom has available to her many of the same  services available to Attic Angel residents,  for an additional fee that doesn't come close to approaching Attic Angel's rates.

There's something unfair going on, Michael Birkley of the Wisconsin Property Taxpayers Association, told the committee.

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Michael Birkley

"Tax-exempt property and poverty tend to be concentrated in urban centers," Birkley said. "We believe it is wrong to bill urban homeowners and apartment dwellers who earn far less than the statewide average for the cost of services to properties owned by "benevolent associations" so that more affluent "benevolent association" housing recipients won't have to pay a penny in property taxes."

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TABOR Support Faltering

By Rich Eggleston

The public may be starting to recognize that the advocates of a "Taxpayer's Bill of Rights" (TABOR) for Wisconsin are trying to mislead them big time.

But public education efforts on the shortcomings of robotic formulas spliced into a state's constitution need to intensify if Wisconsin is to beat back efforts of out-of-state anti-government zealots and their Wisconsin allies. One way to accomplish that would be to produce a video like "The Real Story Behind TABOR." The Real Story is a 13-minute video about TABOR that dramatizes how TABOR has hurt school kids, senior citizens and ordinary folks in Colorado. It was produced by the Oregon Center for Public Policy, which says it is something that all legislators and voters should see before voting to place a Colorado-like spending limit in their state constitution.

See it by clicking here. It's definitely the sort of thing we should do in Wisconsin.

The evidence of waning public support, according to public opinion polls in the news:  

October, 2005 Wisconsin Policy Research Institute, Diversified Research 62%
February, 2005 Americans for Prosperity Foundation 68%
February, 2004 Wisconsin Manufacturers & Commerce 74%

Of course, once again, we don't know exactly what we're talking about when we talk about a Wisconsin TABOR, and neither do the hapless members of the public who respond to a public opinion poll.

AJR 40, sponsored by Rep. Frank Lasee (R-Bellevue), was supposed to have received public hearings in the Assembly last month, but our contract lobbyist, Jason Johns, was told that the Assembly Ways and Means Committee decided not to hold hearings in deference to Sen. Glenn Grothman (R-West Bend), who has been given the job of drafting a version of TABOR that the Senate can support.

But there is no Grothman proposal ready to roll. Grothman's office is hoping to shop the bill around in the Senate Republican caucus and elsewhere in the Capitol in the next few weeks, Johns was told. And Senate Majority Leader Dale Schultz has not scheduled a caucus on TABOR because he is waiting to see what Grothman puts together, Schultz's office said.

Grothman's staff told Johns that Glenn's plan will be completely different than Frank's. The Ways and Means Committee was hoping to hold hearings on one or both proposals in November.

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News Briefs
Lawmaker: Georgia Pacific Cuts Might Have Been Prevented. The loss of good-paying paper industry jobs in Wisconsin might have been prevented if insurance companies had accepted their responsibility to pay claims under policies they wrote covering environmental damage to the Fox River, Rep. Dean Kaufert (R-Neenah) said. Kaufert sponsored the "Fair Claims Act" which would have required insurance companies to pay claims first and sort out their individual liability later. "The Senate majority leader worked tremendously hard to kill this bill, and I truly believe that had Fair Claims been given a chance to move forward, Georgia Pacific's announcement (Oct. 4) would have had a very different impact on Wisconsin's future," Kaufert said in a news release here.
Telecommunications Lobbyists Too Plentiful? "A recent study that was ignored by the Milwaukee Journal Sentinel suggests our state is something of a leader when it comes to lobbying by telephone and cable companies. That’s probably not good news for consumers," says Milwaukee Magazine columnist Bruce Murphy. He wrote that the Center for the Public Interest, based in Washington, D.C., found states are awash in lobbyists and campaign donations paid for by the industry. Wisconsin ranked 8th in spending on lobbyists by telecommunications industry. "Certainly, the amount of lobbying dollars suggest this once-clean state offers full employment for lobbyists and back-door dealmakers," Murphy wrote. His Murphy's Law column is located here on the Internet.
naturalstep.jpg (13218 bytes) Ashland on Sept. 13 became the second city in the state to declare itself an eco-municipality. Washburn was the first. Eco-municipalities pledge to reduce dependence on petroleum, on mining and on synthetic chemicals. They recognize that we don’t need to simmer in a chemical stew to prosper.The Chequamegon Bay area is a national hotspot of the eco-municipality movement, which began in Sweden in 1983. The Bible of the movement is The Natural Step for Communities: How Cities and Towns can Change to Sustainable Practices, by Sarah James and Torbjorn Lahti.

Also, eco-municipalities pledge to meet the needs of the community fairly and efficiently. In Ashland, Mayor Fred Schnook recognizes that an eco-municipality is one that fosters both ecology and the economy, and that those two goals aren’t mutually exclusive.

Reckless Computing: If we had a hammer...  Mayor Dave Cieslewicz hit the nail on the head when he said Rick Graber, chair of the Republican Party of Wisconsin, either doesn't understand local budgets or worse. Graber lambasted Gov. Jim Doyle and the city of Madison when city officials discovered they would be allowed to raise Madison's property tax levy up to 7.75% next year under the Doyle/GOP property-tax freeze.  The mayor pledged to stay within a 4.1% levy increase calculated earlier, but Graber thought Madison's budget increase 4.9% violated that pledge.

"Your comparison of the 4.1% target for the levy with the 4.9% increase in spending shows either a deliberate intent to misstate the facts or a lack of ability to understand them," Cieslewicz wrote. "Either way, you shouldn't be trusted with a word processor." Story here.

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Upcoming Events    (click on underlined text for more)

Oct. 25-Nov. 10 Legislative floor period (Tues.-Thurs.) Madison
Oct. 26-28 League annual conference Green Bay
Oct. 27 People's Legislature (anti-corruption) Madison
Nov. 3 Frank Lasee to Green Cnty GOP on TABOR Monticello
Nov. 10-11 Alliance meetings Neenah
Nov. 29 Digital Government Summit Madison
Nov. 30-Dec. 1 Tobacco Prevention & Control Conference Madison
Dec. 6-15 Legislative floor period (Tues.-Thurs.) Madison
2006
Jan. 27-28 New Cities Project (Mayor Dave Cieslewicz et al) Washington, D.C.

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