(b) The fees that health care providers pay under s.
655.27 (3), Wis. Stats.
(c) The premiums that health care providers pay for health care liability insurance.
S206
The evaluation performed included the collection and analysis of statistics regarding the number of health care providers and premiums charged for health care liability insurance. Analysis of these statistics determined the only discernable effect on these areas has been an estimated $60.8 million dollars in reductions of fees collected under s.
655.27 (3), Wis. Stats., over the last five years. However, it was further noted that loss experience to date is too immature to validate the reduction.
The attached report provides information regarding the background of Act 10, the statistics collected and the analysis performed.
Sincerely,
Connie L. O'Connell
Commissioner
State of Wisconsin
Legislative Audit Bureau
May 29, 2001
The Honorable, The Legislature:
We have completed an evaluation of the administration of the 0.5 percent county sales and use tax, as requested by the Joint Legislative Audit Committee. This tax is levied on the same goods and services affected by the State's 5.0 percent sales and use tax. The Department of Revenue administers the tax on behalf of the counties and retains 1.75 percent of the collections, as prescribed by s.
77.76(4) Wis. Stats. During calendar year 2000, the Department distributed $215.2 million to 53 counties that imposed the tax.
The $215.2 million that was distributed to counties in 2000 included a delayed distribution of $13.0 million, which the counties should have received in January and February 2000 but which they did not receive until June 2000. The delay occurred because the Department did not have adequate procedures in place to ensure that all tax returns were fully processed and included in distributions to counties. We also found that the 90- to 180-day time limit for distributing county sales and use tax revenues prescribed by Wisconsin Statutes is longer than limits established by other states, and improvements in business practices and technological advances enable the Department to process returns and distribute funds to counties in significantly less time than statutory time limits allow. Therefore, we have included a recommendation that the Legislature reduce the time period for distributing county sales and use taxes to county governments.
In fiscal year (FY) 1999-2000, the Department retained $3.9 million in administrative fees from county sales and use taxes. In reviewing the Department's time reporting system, we found that administrative fees supported 10.38 more full-time equivalent positions that were reportedly used to administer the county sales and use tax. Wisconsin's administrative fee is the second-highest among surrounding midwestern states and generates more revenue than the Department expends to administer the tax. In FY 1999-2000, $931,600 in county sales and use tax administrative fees lapsed to the General Fund.
Funding from the administrative fee is used to support the Department's new Integrated Tax System (ITS). The administrative fee is expected to support $8.8 million of the system's total costs, which are projected to be $78.0 million. The amount of ITS costs to be funded by the county sales and use tax administrative fee appears to have been based on the unencumbered funds available in the appropriation for administration of the tax, rather than on an analysis of system costs and benefits.
We appreciate the courtesy and cooperation extended to us by the Department of Revenue. The Department's response is Appendix 2.
Sincerely,
Janice Mueller
State Auditor
State of Wisconsin
Ethics Board
May 29, 2001
The Honorable, The Senate:
The following lobbyists have been authorized to act on behalf of the organizations set opposite their names.
For more detailed information about these lobbyists and organizations and a complete list of organizations and people authorized to lobby the 2001 session of the legislature, visit the Ethics Board's web site at
http://ethics.state.wi.us/
Boyce, Catherine American Heart Association
Buchberger, Paul Wausau Benefits Inc
Gardon, Peter Calpine
Higgins, Anthony American Education Reform Foundation
Mitchell, Susan American Education Reform Foundation
Morgan, Lynn American Heart Association
Schultz-Thuot, Gretchen Wausau Benefits Inc
Strohl, Joseph TDS Telecom Inc
Theo, Peter Menominee County Taxpayers Association
Also available from the Wisconsin Ethics Board are reports identifying the amount and value of time state agencies have spent to affect legislative action and reports of expenditures for lobbying activities filed by organizations that employ lobbyists.
Sincerely,
Roth Judd
Director
__________________
Relating to health benefit plan grievance requirements and independent review organizations.
Submitted by Office of the Commissioner of Insurance.
Report received from Agency, May 24, 2001.
Referred to committee on Insurance, Tourism, and Transportation, May 30, 2001
.
Relating to hunting, trapping and captive wildlife.
Submitted by Department of Natural Resources.
Report received from Agency, May 29, 2001.
Referred to committee on Environmental Resources,
May 30, 2001.
Relating to fishing on the inland, outlying and boundary waters of Wisconsin and fish rearing pond grants.
Submitted by Department of Natural Resources.
Report received from Agency, May 29, 2001.
Referred to committee on Environmental Resources,
May 30, 2001.
Relating to sport fishing on the inland, outlying and boundary waters and fish refuges on the inland waters of Wisconsin.
Submitted by Department of Natural Resources.
Report received from Agency, May 29, 2001.
Referred to committee on Environmental Resources,
May 30, 2001.
Relating to resources for inmates.
Submitted by Department of Corrections.
Report received from Agency, May 24, 2001.
Referred to committee on Economic Development and Corrections, May 30, 2001
.
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, May 23, 2001.
Referred to committee on Insurance, Tourism, and Transportation, May 30, 2001
.
Relating to investments in development companies.
Submitted by Department of Financial Institutions.
Report received from Agency, May 23, 2001.
Referred to committee on Privacy, Electronic Commerce and Financial Institutions, May 30, 2001
.
Relating to investments in development companies.
Submitted by Department of Financial Institutions.
Report received from Agency, May 23, 2001.
Referred to committee on Privacy, Electronic Commerce and Financial Institutions, May 30, 2001
.
__________________
The committee on Labor and Agriculture reports and recommends:
Relating to worker's compensation insurer name change or reorganization.
No action taken.
Relating to grants to ethanol producers.
No action taken.
David Hansen