The above report indicates that the Southeast Wisconsin Professional Baseball Park District Board of Directors has consistently protected the taxpayers of the five-county District, and continues to do so. As you review the enclosed report, please note that for the tenth consecutive year, Southeast Wisconsin Professional Baseball Park District has received a "clean opinion" from independent financial auditors, BDO Seidman, LLP. In this year's audit, dated April 21, 2006. BDO Seidman states, "In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the District, as of December 31, 2005, and the changes in its financial position and its cash flows, for the year then ended in conformity with accounting principles generally accepted in the United States of America."
Thank you for your assistance and cooperation. Please feel free to contact me if you should have any questions or should you desire more information.
Very truly yours,
Michael R. Duckett
Executive Director
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State of Wisconsin
Public Service Commission
of Wisconsin
Madison
June 29, 2006
To the Honorable, the Legislature:
As part of
2005 Wisconsin Act 141 enacted on March 17, 2006, Wis. Stat. 196.378(4r) requires that the Commission, no later than July 1 of each even-numbered year, submit a report evaluating the impact of the state law establishing a renewable portfolio standard on rates and revenue requirements. This letter is submitted in compliance with that requirement.
For 2006, the Act provides that no electric provider may decrease its renewable percentage below its baseline, which is based on its average renewable percentage for 2001 through 2003. All of Wisconsin's major electric providers and nearly all of the small providers already have adequate resources to maintain their required renewable percentage for 2006. Therefore, the new requirements of the Act should have no impact on rates or revenue requirements for 2006, the first calendar year in which the new renewable portfolio standard is in place.
Sincerely,
Sandra J. Paske
Secretary to the Commission
Referred to committee on Energy and Utilities.
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Agency Reports
State of Wisconsin
Legislative Audit Bureau
Madison
June 23, 2006
To the Honorable, the Assembly:
As required by s.
13.94(1)(dm), Wis. Stats., we have completed our annual financial audit of State Fair Park. We have issued an unqualified opinion on State Fair Park's fiscal year (FY) 2004-05 financial statements and have continued to monitor its financial condition and efforts to improve its financial performance.
State Fair Park's expenditures have exceeded revenues in each year since FY 1999-2000. In FY 2004-05, it reported a loss of $3.6 million, and its accumulated cash deficit increased to $9.7 million.
In an attempt to limit future losses, State Fair Park has entered into an agreement that licenses a private promoter to operate the Milwaukee Mile racetrack. The promoter is responsible for all future racetrack improvements and will provide annual license fees to fund State Fair Park's debt service costs related to prior racetrack improvements. However, State Fair Park will continue to incur racing-related costs of nearly $1.8 million in 2006.
The Pettit Center, which is owned by State Fair Park but operated by a not-for-profit corporation, has reported net losses in each of the past five years. By June 30, it is expected to owe State Fair Park $1.3 million in past-due rent, which was intended to cover debt service costs that State Fair Park pays on the Center's behalf. Legislation to sell the Pettit Center to its not-for-profit corporation was introduced but not enacted during the most recent legislative session. As proposed, the sale would have required $2.6 million in general purpose revenue to fund future debt service costs related to the Pettit Center.
State Fair Park continues to pursue the option of selling the Pettit Center. Decisions regarding future state support may be needed if the Wisconsin Exposition Center continues to experience cash flow difficulties and if further capital improvements are proposed for the fairgrounds.
We appreciate the courtesy and cooperation extended to us by the staff of State Fair Park. A response from State Fair Park's executive director follows the appendix.
Respectfully submitted,
Janice Mueller
State Auditor
