Secretary, Department of Commerce
Referred to committee on Housing.
__________________
State of Wisconsin
Department of Administration
Madison
August 5, 1996
To the Honorable, the Legislature:
A1197
Chapter 34, Laws of 1979, requires that when the Department of Administration maintains an office in Washington, DC, for the purpose of promoting federal/state cooperation, it should submit a report detailing the activities of the office and reporting the status of federal legislation of concern to the Legislature and to other state agencies (Wis. Stats. 16.548(2)).
The report for the period April 1, 1996, through June 30, 1996, is attached.
Sincerely,
James R. Klauser
Secretary, DOA
Referred to special committee on State-Federal Relations.
__________________
State of Wisconsin
Department of Workforce Development
Madison
August 13, 1996
To the Honorable, the Legislature:
RE: Report of Alleged Worker's Compensation Fraud, Section
102.125, Wis. Stats.
The purpose of this letter is to report to the Governor and Legislature regarding allegations of worker's compensation fraud reported to the Department of Workforce Development. This is the second annual report.
1993 Wisconsin Act 81 created s.
102.125, Wis. Stats., effective January 1, 1994. It requires the Department to record allegations of worker's compensation fraud, and if there is a reasonable basis to believe that a violation of s.
943.395, Stats., [insurance fraud] has occurred, to refer the case for prosecution by the district attorney of the county in which the violation occurred. It also requires the Department to report annually to the Governor and Legislature regarding the number of allegations and referrals, and the results of the referrals.
Attachment 1 is a copy of ss.
102.125 and
943.395, Stats.
This report shows that the program has achieved remarkable success in fairly and efficiently enforcing the law. These admirable achievements are founded on close partnerships with insurance carriers, prosecutors, and the employer community.
Sincerely,
Richard Wegner
Acting Secretary, DWD
Referred to committee on Labor and Employment.
__________________
AgeNcy Reports
State of Wisconsin
State Historical Society
Madison
August 6, 1996
To the Honorable, the Assembly:
I'm pleased to send you the initial report from the Electronic Records Program at the State Historical Society. The State Legislature established the program with a special appropriation in 1994.
The report describes what the Program staff accomplished in its first year of work. Let me relate a few particularly interesting discoveries from its investigations:
By overlooking data storage and management costs, state agencies waste money on computer systems. For example, one state agency developed an immense, comprehensive statewide database without the capability to identify and dispose of electronic records it no longer needs. Another agency's investigation of its data storage costs confirmed that significant amounts of money can be saved by deleting records that have no further use.
Agencies place records with permanent and enduring value on imaging systems that quickly become obsolete and lack the capability for transferring records to newer technology. Again, the costs for correcting these overlooked problems are very high, and permanent records that agencies need for their administration can be lost if solutions do not emerge in time.
Over half of all the state's electronic records series deemed permanent by the Public Records and Forms Board have been destroyed in whole or in part. This percentage refers only to those electronic records that have been scheduled for disposition according to state law. It is likely that there are a significant number of electronic systems that are not scheduled where records are being destroyed indiscriminately.
A state commission created a database of considerable importance for public policy and long-range planning in a format which current computer hardware and software cannot read. Program staff determined that the database might be recovered only by expending significant resources, though proper planning would have made the data readily accessible far into the future.
The enclosed report places these and other instances in the framework of issues concerning the management of Wisconsin's electronic records. The Program staff have continued their examination of these issues during the 1995/96 fiscal year and look forward to reporting to you on their progress this coming Fall.
Please call me at the number below if you have any questions about our first-year report or would like further information on our work.
Sincerely,
Peter Gottlieb
State Archivist
State of Wisconsin
Legislative Audit Bureau
Madison
August 8, 1996
To the Honorable, the Legislature:
We have completed an evaluation of Wisconsin's employer-funded Duty Disability program, which is administered by the Department of Employe Trust Funds. The program provides lifetime benefits to police officers, firefighters, prison guards, and other protective employes who are fully or partially disabled by injuries on the job. Benefits can equal up to 80 percent of the injured employe's former salary and are exempt from federal and state incomes taxes. As of January 1, 1996, more than 16,000 workers were employed in protective occupations, and 627 former protective workers or their families were receiving program benefits.
The Duty Disability program provides more generous benefits and has considerably lower qualifying requirements than standard disability programs for non-protective workers. The Legislature created these higher benefit levels in recognition of the unusual risks associated with protective occupations. However, questions have been raised over whether higher benefit levels limit the incentive for partially disabled participants to seek careers for which they are physically qualified, and over the equity of some benefits levels. Further, the program has no mechanism to remove participants whose injuries heal and who are no longer disabled. Since 1982, when the Duty Disability program underwent major changes, the number of former protective workers qualifying for disability benefits has increased from an average of 10 per year to an average of 49 per year. The Department's contracted actuary estimates the lifetime cost of benefits for current program recipients at $142 million.
We have identified a number of options the Legislature can consider to improve program administration and address equity questions. These options include establishing work incentives for those who are physically able to develop new careers, requiring periodic medical reviews to confirm a continuing disability, and authorizing more extensive employer review of claims.
We appreciate the courtesy and cooperation extended to us by staff in the Department of Employe Trust Funds and representatives of other state agencies, municipalities, and counties we contacted during the course of this evaluation. The Department's response is Appendix II.
Respectfully submitted,
Dale Cattanach
State Auditor
__________________
August 22, 1996
Mr. Charles R. Sanders
Assembly Chief Clerk
1 East Main Street, Suite 402
Madison, WI 53702
Dear Charles:
Enclosed is a copy of the
General Report of the Joint Legislative Council to the 1995 Legislature, prepared and submitted pursuant to s.
13.81 (3), Stats. This General Report also incorporates additional information relating to legislative actions on Council proposals that was previously presented to the Legislature in the form of the separate
Legislative Council Digest. The
Digest has been discontinued.
I would appreciate your noting in the
Assembly Journal, pursuant to s.
13.172, Stats., that this report has been delivered to your office.
Thank you.
Sincerely,
David J. Stute
Director
