Reform and Refocus Wisconsin’s Jobs Agency

This week brought Wisconsin more good news as we work to improve our state’s finances and encourage job creation. On the state budget, new tax collection data and revenue projections now show that over $500 million in revenue growth will occur over a three-year period, indicating a growing economy. At the same time, Chief Executive Magazine again recognized Wisconsin’s improved business climate by raising our state’s position in their rankings to 17th in the nation, an improvement from 41st just 3 years ago.

While the positive news showing that Wisconsin is on the right track was encouraging, there is great disappointment with the results of the recent audit issued by the Legislative Audit Bureau (LAB) on the Wisconsin Economic Development Corporation (WEDC). WEDC is the entity charged by the state to attract and grow jobs through administration of our state’s job creation programs.

The LAB report raised serious concerns with the procedures and record-keeping policies of WEDC, while also calling into question the agency’s purchasing practices. The Legislature’s audit committee held a follow-up hearing this week to question WEDC officials on the audit report and to obtain information on corrective actions being taken.

Given the unacceptable report by the LAB, the budget-writing committee took action on Thursday to ensure WEDC’s compliance with the audit’s recommendations. Funding in the second year of the state budget will be withheld until the WEDC leadership reports to the committee on compliance with the audit. Additional audit requirements were also put in place and WEDC will now be required to adopt state purchasing requirements. As a member of the committee, I supported and voted for these measures.

In addition to the budget-writing committee’s actions, I have authored two bipartisan bills seeking to improve the oversight and transparency of WEDC. One of the bills was included as part of the budget-writing committee’s action, which would ensure that an independent financial audit of WEDC is completed annually. The other bill would establish fixed terms for members of the WEDC Board. Board members currently serve at the pleasure of their appointing authority. The legislation I am proposing would enable greater independence by Board members as they make economic development decisions and set WEDC policy.

While the challenges facing WEDC are significant, I am optimistic and remain hopeful that the new leadership will restore the confidence of taxpayers and elected officials. WEDC’s success is important to growing our state’s economy and the State Legislature’s actions this week demonstrate our commitment to reform and refocus this agency.

Please visit my website at www.harsdorfsenate.com or call my office at 1-800-862-1092 or 608-266-7745 with your comments or questions on WEDC reform.

Harsdorf Statement on Budget Surplus

“Today’s updated revenue estimates are encouraging and a positive development as we work on the state budget. The Legislative Fiscal Bureau’s memo showing $575 million in additional revenue over three years shows the value of the tough budget decisions we made last session to get our state’s fiscal house in order.”

“While this is good news for our state, it is important to make prudent decisions on spending as we work to protect taxpayers. I look forward to continuing to work with my colleagues on the budget-writing committee to pass a balanced budget that focuses on fiscal responsibility and putting people back to work.”

Encouraging Good Government by Reforming Recalls

Given our state’s experiences with recalls in recent years, many citizens have raised concerns that the recall provision in our state Constitution has been subverted for political gain, rather than for addressing corrupt behavior by elected officials. As we saw in the non-stop election cycle we found ourselves in during 2011 and 2012, special interests and activists are able to insist on election after election to further their political goals.

The Government Accountability Board found that the recall elections of 2011 and 2012 cost taxpayers nearly $18 million, much of which fell upon property taxpayers. The ongoing use of recalls to attempt to change the outcome of the most recent general election is not only costly to taxpayers, but can have the affect of discouraging elected officials from making the tough decisions that are essential in public service.

One of the proposals introduced last session on recall reform sought to safeguard the ability of citizens to remove officials for misconduct or ethics violations, while ensuring that recalls would not be abused for political purposes. I recently reintroduced this legislation in the State Senate as Senate Joint Resolution 24 (SJR 24), which seeks to amend the recall provision in the Wisconsin Constitution.

Since recalls of Congressional, legislative, judicial, and county elected officials are set forth in the state Constitution, a constitutional amendment is required to reform this process. In order to amend the state Constitution, a resolution must be passed by both houses of the legislature in two consecutive legislative sessions and then approved by voters in a statewide referendum.

SJR 24 would require those petitioning for a recall election to meet a minimum threshold of criminal or ethical misconduct of an elected official prior to a recall being certified. It is my belief that recall elections are appropriate for removing those that have violated a code of ethics or criminal laws, but should not be used for differences over policies or decisions made by elected officials. General elections are the appropriate forum for voters to express their opposition or displeasure with policy decisions made by elected officials.

To ensure consistency with the recall process and fairness between elected officials at all levels, separate legislation is also being considered to extend these same recall requirements to local elected officials. This legislation has been introduced as Senate Bill 114 and Assembly Bill 128.

What are your thoughts on the need for recall reform? I welcome your comments and input. Please visit my website at www.harsdorfsenate.com or call my office at 1-800-862-1092 or 608-266-7745.

Harsdorf Lauds Western Wisconsin Budget Hearing

(Wisconsin State Capitol) – The co-chairs of the Joint Committee on Finance (JFC) announced a series of public hearings around the state this week to receive input from citizens on the state budget. The Joint Committee on Finance is the legislative committee responsible for reviewing and making changes to the state budget.

Among the locations the co-chairs selected for a public hearing is the Baldwin-Woodville High School Auditorium in Baldwin. State Senator Sheila Harsdorf (R-River Falls), who also serves as a member of the JFC, commended the decision to bring this important Committee to western Wisconsin.

“I am pleased that the co-chairs listened to the input from legislators from western Wisconsin and scheduled a hearing in Baldwin,” Harsdorf stated. “This will provide an opportunity for area residents to share their thoughts and concerns on the state budget with members of the budget-writing committee.”

The Baldwin hearing will be held on April 18th from 10:00 a.m. to 5:00 p.m. Senator Harsdorf worked with area State Representatives Dean Knudson, John Murtha, and Erik Severson to encourage the scheduling of a hearing in our area. Representative Knudson is also a member of the budget-writing committee.

“Those of us that represent western and northwestern Wisconsin recognize the frustration many residents feel in getting Wisconsin news and keeping up with issues in our state,” continued Harsdorf. “Bringing the Finance Committee to our region will enable citizens to participate directly in the budget process by providing their input to committee members.”

Individuals interested in testifying should register with legislative staff when they arrive at the hearing. Those that do not wish to testify, but would like to watch the proceedings, are also encouraged to attend. Written testimony can also be submitted to the JFC by e-mail at budgetcomments@legis.wisconsin.gov or by mail to the Joint Committee on Finance, Attn: Joe Malkasian, Room 305 East State Capitol, Madison, WI, 53702.

In addition to Baldwin, the JFC has scheduled hearings in Greendale, Green Bay, and Lake Delton. Following the public hearings, the Committee will begin its work on amending and proposing changes to the budget proposal, which was submitted by the Governor to the State Legislature last month. More information on the JFC can be found at http://legis.wisconsin.gov/lfb/jfc/.

Wisconsin Ag Exports at Record High

Wisconsin is well known for its strong agricultural heritage and agriculture continues to be one of the state’s largest industries.  Fittingly, the Department of Agriculture, Trade, and Consumer Protection (DATCP) recently announced that 2012 was a record-setting year for Wisconsin’s agricultural exports.  Wisconsin exported over $2.9 billion worth of agricultural products last year to 149 countries, which was a 3% increase over 2011. 
 
After a record year of ag exports, Wisconsin is now ranked 13th in the nation for the value of ag exports, which is up from 16th in 2011.  Wisconsin exported the most to Canada, Mexico, China, Korea, and Japan.  Wisconsin’s most valuable ag export was the category including ethanol.  Wisconsin’s second most valuable ag export was miscellaneous food, which includes sauces, yeasts, and mustards.  Dairy-related products, including eggs, cheese, and honey, were the state’s third most valuable export.  Baking-related items, such as malt extract, dough, and pastry mixes, ranked fourth and preserved foods, including sweet corn, potatoes, cranberries, and cranberry juice, ranked fifth as most valuable ag exports. 
 
As Wisconsin continues to increase its ag exports in international markets, ag products and the ag industry continue to be an important part of our state’s economy.  According to a report done by UW-Extension, agriculture generates more than $59.6 billion in economic impact to the state each year.   Additionally, the ag industry supports over 350,000 jobs in Wisconsin, which accounts for 1 out of every 10 workers.
 
Any Wisconsin agribusiness that would like additional information about exporting ag products may contact DATCP’s International Trade Team at 1.800.462.5237 or international@wisconsin.gov.

Responsible Mining Legislation Advances

Given the State Legislature’s focus on economic development and encouraging job creation, our priorities continue to center on building upon last session’s improvements in our business climate.  One proposal that is part of our jobs agenda is legislation to update and modernize Wisconsin’s laws relating to iron ore mining.

Working from legislation that was considered and debated by the State Legislature last session, Senate Bill 1 (SB 1) proposes changes to the process for permitting iron ore mining in Wisconsin.  I am pleased that SB 1 includes improvements we made to the bill last session, as well as several amendments adopted this year based upon the input provided at public hearings held on this issue.

SB 1 establishes a multi-year permitting process that ensures the opportunity for public input to the DNR on the proposal.  The bill also allows citizens to challenge an approved application through a contested case hearing in front of an administrative law judge.

SB 1 does not approve iron ore mining, but rather outlines the requirements and responsibilities of those submitting mining applications.  The legislation also establishes the process to be followed by the Department of Natural Resources in reviewing and considering applications.

While much attention has been given to a proposed iron ore mine in northern Wisconsin, SB 1 does not approve the operation of any particular mine.  Those seeking to establish a mine in northern Wisconsin would be required to complete the application process and earn approval by the DNR and federal agencies, including the Army Corps of Engineers and the EPA.

I voted for SB 1 as it was passed this week by the State Senate, due to my belief that this legislation establishes a responsible mining process that takes into account Wisconsin’s strong environmental standards and heritage.  SB 1 will enable us to join our neighboring states of Minnesota and Michigan in attracting jobs and investment as we position Wisconsin to take advantage of the global economy.  SB 1 now heads to the State Assembly for consideration.

I welcome your comments and input.  Please visit my website at www.harsdorfsenate.com or call my office at 1-800-862-1092 or 608-266-7745.

Governor Submits Budget Proposal to Legislature

The state budget process took another step forward this week as the Governor formally introduced his two-year budget proposal to the State Legislature.  The budget is now before the Legislature’s budget-writing committee, the Joint Committee on Finance.  In the coming weeks, the Committee will be holding public hearings around the state to receive input from citizens regarding the Governor’s initiatives.

As a member of the budget-writing committee, I look forward to learning the details of the Governor’s budget bill and listening to citizen input at the public hearings.  I am pleased that the current budget outlook provides us with opportunities to invest in our priorities as we work to maintain a sound financial position.  Here is an overview of some of the key provisions within the Governor’s budget:

Taxes – Property taxes would continue to be restrained by limiting increases to the rate of new construction.  A reduction in income tax rates is also proposed, focusing on middle-income families.

Education – The Governor provides additional state funds for school districts, technical colleges, and the UW System.  Funding initiatives brought forth by the Governor include grants for skills training, a flexible degree option, and expansion of school choice.

Public Safety – Additional resources are proposed to protect victims of domestic abuse and sexual assault.  Enhanced DNA collection is also proposed to help catch career criminals and bring relief to victims and their families.

Veterans – The Veterans Trust Fund would receive an additional $5 million from the general fund, while the Wisconsin GI Bill and the Veterans and Surviving Spouse Property Tax Credit would be expanded.

Mental Health – Nearly $30 million would be made available to enhance and increase services to those living with mental illness.

More information on these and the rest of the Governor’s budget provisions can be found on the Department of Administration’s website at www.doa.state.wi.us/.

As the budget process moves forward, I will be working with my colleagues on the committee as we consider modifications to the budget bill and pass a budget that focuses on fiscal responsibility and putting people back to work.

What are your thoughts on the Governor’s budget?  I welcome your comments and input.  Please visit my website at www.harsdorfsenate.com or call my office at 1-800-862-1092 or 608-266-7745.

Harsdorf Statement on Governor’s Budget Address

“Following the challenging budget and tough decisions we made last session, I am pleased that the current budget outlook provides us with opportunities to invest in our priorities as we work to maintain a sound financial position.  The Governor’s budget address put an emphasis on building on our successes by reducing the tax burden on middle-class families and focusing on economic development, education, and transportation.”

“There are a number of important provisions in the Governor’s budget that address our state’s skills gap, increase access to capital investment for start-up businesses, and expand mental health services.  Additionally, I appreciate the Governor’s action on enhanced DNA collection, an issue I have championed in the State Legislature.”

“As a member of the budget-writing committee, I look forward to learning the details of the Governor’s budget bill and listening to citizen input at the public hearings.  As the budget process moves forward, I will be working with my colleagues on the committee as we consider modifications to the budget bill and pass a budget that focuses on fiscal responsibility and putting people back to work.”

Keeping the Focus on Jobs and the Economy

The 2013-14 legislative session is now in full swing, with bills being introduced, public hearings being held by legislative committees and the Governor’s budget coming to the Legislature within days. While a wide range of topics will be considered by the State Legislature over the two-year session, our agenda remains focused on improving our state’s business climate, encouraging job growth and growing our economy.

As we hear from job creators and small business owners across our region, three themes consistently emerge. These suggestions include addressing our skills gap, expanding access to capital, and the need to review and streamline regulations. A number of bills already introduced this session are an attempt to address these issues.

In an effort to improve our state’s skills gap, I am co-sponsoring legislation that seeks to promote private-public partnerships to deliver skills training to both new and current workers. Under this proposal, job training grants would be provided on a competitive basis to encourage greater collaboration between employers, economic and workforce development agencies, and technical colleges. I believe this approach will allow flexibility that will benefit both workers and employers and be responsive to innovation and advances in technology.

Another area of improvement suggested by job creators of all sizes – from business incubators, start-up companies, small businesses, and larger firms – is a need for improved access to capital. Neighboring states have frequently outpaced Wisconsin in investment capital for homegrown businesses. I was pleased with the Governor’s recent announcement that seed funding and business development programs will be included in his budget proposal. In particular, I applaud the initiative to invest in programs that encourage start-up businesses and help entrepreneurs create jobs, given their importance to our small and rural communities.

Reducing red tape is another area receiving renewed attention. Employers and small businesses in our area have voiced their concerns regarding the impact and financial implications of excessive regulations. The Legislature will be reviewing rules and evaluating areas where regulations need to be modified.

What do you think should be included in the State Legislature’s jobs agenda? I welcome your comments and input. Please visit my website at www.harsdorfsenate.com or call my office at 1-800-862-1092 or 608-266-7745 with your ideas.

Harsdorf Statement on State of the State Address

“I am encouraged that in tonight’s address the Governor touched on a number of issues that are important to residents and business owners in western Wisconsin. Reducing the tax burden on middle-class families, improving educational outcomes, and reforming government are consistent with our legislative focus on jobs and growing the economy.”

“In meeting with small businesses and employers in our area, I have consistently heard three areas of concern: finding skilled workers, accessing investment and start-up capital, and the need for regulatory reform. I am pleased these three areas were cited by the Governor as priorities and look forward to working with him and my legislative colleagues to continue moving Wisconsin forward.”