To committee on Colleges and Universities
.
Referred on June 27, 2002
.
Relating to mine safety fees.
Submitted by Department of Commerce.
Report received from Agency, June 26, 2002.
To committee on Labor and Workforce Development
.
Referred on July 1, 2002
.
Relating to the annuity dividend effective date and the proration of annuity dividends.
Submitted by Department of Employee Trust Funds.
Report received from Agency, June 21, 2002.
To committee on Government Operations
.
Referred on July 1, 2002
.
Relating to allowing the operation of double bottoms and certain other vehicles on certain specified highways.
Submitted by Department of Transportation.
Report received from Agency, June 19, 2002.
To committee on Transportation.
Referred on June 27, 2002
.
Relating to the procedure for challenging the ballot of an elector at a polling place.
Submitted by Elections Board
.
Report received from Agency, June 24, 2002.
To committee on Campaigns and Elections
.
Referred on July 1, 2002
.
__________________
Communications
State of Wisconsin
Revisor of Statutes Bureau
Madison
DATE: July 1, 2002
TO: Patrick E. Fuller
Assembly Assistant Chief Clerk
Donald J. Schneider
Senate Chief Clerk
FROM: Gary L. Poulson
Deputy Revisor of Statutes
SUBJECT: Rules published in the June 30, 2002,
Wisconsin Administrative
Register, No. 558.
The following rules have been published:
__________________
Referral of Agency Reports
State of Wisconsin
Department of Administration
Madison
June 19, 2002
To the Honorable, the Legislature:
A882
This report is transmitted as required by s.
20.002(11)(f), Wisconsin Statutes (for distribution to the appropriate standing committees under s.
13.172(3), Wisconsin Statutes), and confirms that the Department of Administration has found it necessary to exercise the "temporary reallocation of balances" authority provided by this section in order to meet payment responsibilities and cover resulting negative balances during the month of May 2002.
On May 8, 2002 the General Fund balance was -$4.7 million. This shortfall continued until May 9, 2002 when the balance reached a positive $66.5 million. The shortfall was due to the difference in the timing of revenues and expenditures, in combination with the overall budget shortfall.
On May 23, 2002 the Wisconsin Health Education Loan Repayment Fund balance was -$1 thousand. This shortfall continued through May 31, 2002. The shortfall was due to the difference in the timing of revenues and expenditures.
The General Fund and the Wisconsin Health Education Loan Repayment Fund shortfalls were not in excess of the statutory interfund borrowing limitation and did not exceed the balances of the Funds available for interfund borrowing.
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.
Sincerely,
George Lightbourn
Secretary
Referred to committee on Ways and Means.
__________________
Agency Reports
State of Wisconsin
Legislative Audit Bureau
Madison
June 27, 2002
To the Honorable, the Legislature:
As required by s.
13.94(1)(dm), Wis. Stats., we have completed our first annual financial audit of State Fair Park, which is administered by a 13-member board and is attached to the Department of Tourism for administrative purposes. We have issued an unqualified opinion on State Fair Park's fiscal year (FY) 2000-01 financial statements. We found that State Fair Park's total revenues increased 21.9 percent, from $13.1 million in FY 1995-96 to $15.9 million in FY 2000-01. However, total expenditures increased at a greater rate and exceeded revenues in three of the last six fiscal years. The Pettit National Ice Center's failure to make $371,785 in rent payments contributed to a FY 2000-01 deficit, but even if all rent payments had been made, the increase in State Fair Park's expenditures still would have outpaced the increase in its revenues.
Expenditures increased largely because construction of new facilities and improvements to existing facilities increased debt service costs. From FY 1995-96 through FY 2000-01, State Fair Park incurred $12.7 million in construction costs that will be repaid with program revenue, and its annual debt service costs increased 72.1 percent, from nearly $1.2 million to $2.0 million. State general purpose revenue (GPR) funded an additional $17.1 million in construction costs, and GPR debt service payments will be approximately $1.0 million annually through FY 2016-17. State Fair Park is assuming additional debt by undertaking an aggressive building program to renovate and replace other aging facilities. It will include a new exposition center, which is being built and will be managed by a not-for-profit corporation created by the State Fair Park Board; a renovated Milwaukee Mile grandstand; a new building known as the Wisconsin Heritage Hall, which will serve as a showcase for Wisconsin products; and the Agriculture Village, which will include new or remodeled livestock facilities.
Successful changes to fairgrounds operations and major facilities improvements may allow State Fair Park to become more financially secure in the future. However, even though all of the new building projects except the Agriculture Village are expected to be self-supporting, debt associated with the building program may represent additional financial risk for both State Fair Park and the State. Efforts to privatize operations, such as the creation of the exposition center's not-for-profit corporation, are increasing State Fair Park's independence at the same time the State is assuming additional financial risk. Consequently, the Legislature may wish to ensure it retains adequate oversight of the State's investment in State Fair Park.
We appreciate the courtesy and cooperation extended to us by State Fair Park staff. A response from State Fair Park is Appendix 4.
Respectfully submitted,
Janice Mueller
State Auditor