The distribution of interest earnings to investment pool participants is based on the average daily balance in the pool and each fund's share. Therefore, the monthly calculation by the State Controller's Office will automatically reflect the use of these temporary reallocations of balance authority, and as a result, the funds requiring the use of the authority will effectively bear the interest cost.
Sincerely,
Mike Huebsch
Secretary
A1025
Referred to committee on
Ways and Means and joint committee on
Finance
__________________
State of Wisconsin
Department of Revenue
Madison
June 4, 2012
To the Honorable, the Legislature:
I am submitting the quarterly report of the Wisconsin Lottery for the quarter ending March 31, 2012, as required by s.
565.37 (3), Wis. Stats. The attached materials contain unaudited Wisconsin Lottery year-to-date Revenue and Expenditure information.
Lottery sales were $142.8 million for the quarter, up 6.9% from the same quarter last year. For the year, sales are at $398.3 million, up 7.9% over last year.
The information reported here is a summary and is not intended to be a complete financial accounting of Wisconsin Lottery operations.
If you have any questions or comments regarding this report, please feel free to contact me at (608) 266-6466.
Sincerely,
Richard G. Chandler
Secretary
Referred to committee on Homeland Security and State Affairs
__________________
Agency Reports
State of Wisconsin
Legislative Audit Bureau
Madison
May 24, 2012
To the Honorable, the Assembly:
As required by s.
13.94 (1)(dh), Wis. Stats., we have completed our annual financial audit of the Wisconsin Health Insurance Risk-Sharing Plan (HIRSP) Authority for 2011 and have provided an unqualified audit opinion on its financial statements. The HIRSP Authority provides medical and prescription drug insurance for individuals who are unable to obtain coverage in the private market or who have lost employer-sponsored group health insurance.
Enrollment in the state-based HIRSP Plan increased from 16,381 policyholders as of December 31, 2009, to 21,317 policyholders as of December 31, 2011, or by 30.1 percent. However, recent premium increases may slow the rate of future enrollment growth. More than 80 percent of policyholders are enrolled in options with higher deductibles and lower premiums.
For several years, the state-based HIRSP Plan had net asset balances in excess of target balances. Actions by the HIRSP Authority to reduce these balances, as well as increases in claims costs, decreased the net asset balance to $9.5 million as of December 31, 2011, or $6.7 million less than the target balance. The HIRSP Authority is accepting the lower level of net assets, in part, due to uncertainty about the future of the state-based HIRSP Plan as provisions of the 2010 federal health care reform legislation are implemented and the U.S. Supreme Court considers cases challenging the legislation.
In July 2010, as part of the federal health care reform efforts, the federal government contracted with the HIRSP Authority to operate a temporary high-risk insurance pool for individuals who are uninsured because of pre-existing medical conditions. The HIRSP Federal Plan enrolled 998 policyholders at the end of 2011. The federal government funds costs in excess of the premiums collected from policyholders.
We appreciate the courtesy and cooperation extended to us by the HIRSP Authority, the plan administrator, and the pharmacy benefit manager.
Respectfully submitted,
Joe Chrisman
State Auditor
