WEDA

Republican Governor Scott Walker delivered his second State of the State address this evening before a joint session of the legislature and crowded viewing gallery. Governor Walker stayed on message as he has this past year touting the difficult decisions that were made to balance a $3.6 billion deficit while avoiding major tax increases and mass government employee layoffs.

Throughout the speech, Walker focused on his continued goal of job creation, an improved business climate and on his Wisconsin Working jobs plan which is intended to direct policies and resources towards Wisconsin’s workforce through training investments and recruitment services. Additionally, Walker indicated his support for mining reforms which can possibly create thousands of jobs throughout Wisconsin.

Finally, Governor Walker used the address to announce the creation of the Waste, Fraud and Abuse Elimination Taskforce which stems from a recently released final report of the Commission on Waste, Fraud and Abuse, which identified over $400 million in potential savings. This new taskforce will be charged with implementing and tracking those recommendations and will coordinate state agency sub-groups which will be formed to continually identify waste and potential efficiencies.

The address was not without interruption by random outbursts from Walker opponents who were quickly removed from the gallery.

The State Assembly will be in session tomorrow to address AB 426 relating to ferrous mining reforms, among other items.

One year later…

In July 2010, Be Bold Wisconsin: The Wisconsin Competitiveness Study was unveiled. This study, commissioned by the Wisconsin Economic Development Association (WEDA), the Wisconsin Counties Association and Competitive Wisconsin, Inc., focuses squarely on producing a well-reasoned, executable economic development strategy for improving Wisconsin competitiveness and positioning the state for business growth, job creation and increased per capita income of our residents. WEDA has taken a lead role in the initiation of this study and has worked diligently to contribute to the implementation of the recommendations identified in the study.  Since the publication of the results of the study, WEDA has been very active promoting legislation, efforts, organizations, and projects toward that end.  Here’s a sampling of the work that has gone on:

Major Recommendations:

• Restructure economic development organizations to align processes and financial resources
  • Create quasi-public organization to manage economic development financial, attraction, branding and retention programs while eliminating the leadership revolving door of current and past organizational structures

WEDA action to support this recommendation:
WEDA introduced its 2011 Legislative agenda which prioritized support for activities related to implementing the Be Bold strategies.  Our Legislative Committee, Board members and legislative staff provided testimony, endorsed and otherwise supported efforts to achieve the above recommendation.

1. 2011 WEDA Legislative Agenda
   Posted December 9, 2010
2. WEDA Testimony: Support for Special Session AB 6 / Special Session SB 6 Re. creation of the Wisconsin Economic Development Corporation
   Posted January 14, 2011
3. 3. WEDA Strongly Endorses Governor-elect Walker’s Plan on Job Growth
   Posted December 28, 2010

• Create a statewide non-profit organization dedicated to innovation programming with a focus on investment in and acceleration of early-stage and second-stage high-growth companies and oversight of regional innovation programs throughout the state.  The organization would be managed by experienced serial entrepreneur(s).
• Funding for this innovation program would initially come from $500 m in unallocated state bonding authority.

Due to the financial constraints of the 2011-13 biennial budget bill, WEDA chose not to proactively advocate for the $500 million in bonding authority for this project. Instead coming up with alternative funding suggestions to be reviewed in 2012.

• Align economic development, educational, business and public leadership around key target industry sectors tied to statewide and regional clusters

WEDA action to support this recommendation:

1. Statement before the Assembly Committee on Jobs, Economy and Small Business
   Posted October 7, 2011
2. See 2012 WEDA Legislative Issues Agenda
3. WEDA supports the Wisconsin Economic Development Corporation’s efforts in these areas. See page 15 of WEDC’s Strategic Plan

• Develop statewide business retention program strategies to retain leading position in key industry sectors.
• Utilize available technology to manage, build and expand effectiveness of business interactions and visibility across multiple economic development stakeholders
  • Implement a state focused GIS based sites and buildings solution
  • One CRM solution for attraction, export, direct investment as well as tracking performance metrics across the state

WEDA action to support this recommendation:

1. WEDA supports the Wisconsin Economic Development Corporation’s efforts in these areas. See page 15 of WEDC’s Strategic Plan

• Separate regulatory activities from business development functions

WEDA action to support this recommendation:

1. Special Session Legal Reforms a Boon to Economic Development: Special Session Press Release – Tort Reform
   Posted January 4, 2011
2. Civil Justice Legal reform Paper
   Posted originally September 2006, reposted January 11, 2011
3. WEDA Testimony: Support for Special Session AB 6 / Special Session SB 6 Re. creation of the Wisconsin Economic Development Corporation
   Posted January 14, 2011
4. Support for Special Session Assembly Bill 8 – Regulatory Reform
   Posted February 3, 2011
5. Statement before the Assembly Committee on Jobs, Economy and Small Business
   Posted October 7, 2011

As WEDA promotes and supports Be Bold Wisconsin: The Wisconsin Competitiveness Study recommendations, we are continuing to be proactive, looking forward at how we can take our efforts to the next level and continue the dynamic strategies initiated with Be Bold. We are keeping our eye on the goals established in the Study.  Contact a WEDA Legislative Committee member today to see how you can participate in making Wisconsin the state benchmark against!  Find out how you can get involved and support WEDA’s 2012 Legislative Agenda.

By Amy Boyer on behalf of The Hamilton Consulting Group

The Wisconsin Legislature formally adjourned its regular business floor period earlier this month; however the Governor’s special session, the second one called this year, is still open, which may bring the legislature back to Madison in December. Several bills that were supported by WEDA passed both houses and have been signed into law this month. Several more are still in the process.

Bills that have been enacted include:

• 2011 Wisconsin Act 77 (AB 179) which allows for the creation of multi-jurisdictional TIF’s.
• 2011 Wisconsin Act 71 (AB 275) which allows the Board of Commissioner of Public Lands to invest in notes or other instruments of indebtedness from a state, town, village, city, county of school district.
• 2011 Wisconsin Act (SS SB 2) expands WHEDA’s Small Business Loan Program to guarantee loans to eligible borrowers. The bill expands the definition of small business to include businesses with 250 or fewer full-time employees and increases the maximum portion of the principal loan to be guaranteed under the program to 80% of the principal loan or $750,000, whichever is less.

Click here to view WEDA’s tracking report to see all the bills that are being monitored by WEDA.

Recall Fever

Efforts to recall Governor Scott Walker and four more republican Senators are now formally underway. Governor Walker recall supporters, who are unhappy with changes enacted earlier this year that ends most collective bargaining for public employees, must collect at least 540,208 valid signatures in the next 60 days. The Government Accountability Board (GAB) must then certify that there are enough valid signatures in order to proceed with the recall election. While several democrats have been mentioned as potential candidates to take on Walker, none have formally announced.

In other recall news, Senators Scott Fitzgerald (R-Juneau), Pam Galloway (R-Wausau), Terry Moulton (R-Chippewa Falls), and Van Wanggaard (R-Racine) all face recall challenges. Election officials estimate they will need up to $650,000 in extra budgeting in 2012 to handle all the costs associated with the recall elections, and estimate that the recall elections may cost millions more for local units of government.

The legislature met this month in the first regularly scheduled floor period of the fall session, which is scheduled to continue through the first week in November. While the September calendar was relatively light, items we may see come before either house include more substantial proposals relating to venture capital investments as well as legislation updating Wisconsin mining statutes in hopes of attracting a significant mining project in Northwestern Wisconsin. The WEDA Legislative Committee continues to monitor and review these and other proposals and will provide member alerts as legislation starts to make its way through the process.

Meanwhile, Governor Scott Walker continues to focus on jobs and the economy as he recently announced a series of Job Creation Forums to be held throughout the state with various business leaders and key administration officials. The first forum was held on September 22 in La Crosse with others scheduled for Green Bay and Milwaukee. The forums are expected to focus on issues such as access to capital; regulatory reform; permit reform; tax reform; and workforce development.

Names in the News:

• Senator Rich Zipperer (R-Brookfield) has been appointed to serve on the Wisconsin Economic Development Corporation Board of Directors. He replaces former Senator Randy Hopper.
• Senator Joe Leibham (R-Sheboygan) has been appointed to chair the Senate Economic Development and Veterans & Military Affairs Committee. He replaces Sen. Zipperer, who was recently named to the Joint Finance Committee as well as the WEDC Board of Directors.
• Aaron Olver, former Department of Commerce Secretary under Jim Doyle, was recently named Director of Economic Development for the City of Madison.
• Former City of Burlington Mayor Claude Lois has been named administrator of the Department of Revenue’s Division of State and Local Finance.