Based on the most recent data reported to us, Maximus used W-2 funds to pay bonuses totaling $115, 248 in 2002, $187,462 in 2003, and $391,816 in 2004.
ACS State and Local Solutions, which administers the W-2 program in Waukesha County, used W-2 funds to pay a total of $5,245 in bonuses to two employees in 2004.
Opportunities Industrialization Center of Greater Milwaukee used W-2 funds to pay a total of $2,460 in bonuses to three employees in 2003.
Forward Service Corporation, a private agency that administers W-2 in a number of counties, used W-2 funds to pay one employee approximately $75 in 2002, and another employee $275 in 2003.
Maximus indicated that the compensation provided to all staff who work on the W-2 program is directly linked to performance standards established by DWD. In addition, Maximus noted that a fundamental principle of its compensation strategy is to stress performance by linking it directly to compensation. As a result, total compensation for its staff consists of a base salary, as well as performance bonus component that is built into the overall compensation structure. Based on this strategy, Maximus pays monthly and quarterly bonuses to employees who meet performance measures.
From 2002 to 2004, the total amount Maximus paid in bonuses increased by $287,194, or by 240.0 percent. Among those who received bonuses in 2004, the amount paid to program staff ranged from $45 to $4,665 and the amount paid to senior managers ranged from $3,291 to $8,500.
Finally, Maximus' employee bonus compensation plan was approved by DWD. A copy of the plan provided to us by DWD clearly indicates that senior officials, who include the vice president, project director, and project managers, are not included in the compensation plan. Unless a separate bonus compensation plan for these individuals was submitted to DWD and approved, Maximus is not in compliance with its contract requirements under the W-2 program. We recommend DWD review the bonuses Maximus paid to its senior managers and determine if these payments are consistent with the requirements it has established for W-2 agencies, of if they should be repaid.
I hope that you find this information helpful, please contact me if you have additional questions.
Sincerely,
JANICE MUELLER
State Auditor
Pursuant to Senate Rule 17 (5), Senator Brown added as a coauthor of Senate Bill 247.
Pursuant to Senate Rule 17 (5), Senator Carpenter added as a coauthor of Senate Bill 268.
__________________
ADVICE AND CONSENT OF THE SENATE
State of Wisconsin
Office of the Governor
July 29, 2005
The Honorable, The Senate:
I am pleased to nominate and with the advice and consent of the Senate, do appoint Pelegrin, Jodi, of New Franken, as a member of the Athletic Trainers Affiliated Credentialing Board to serve for the term ending July 1, 2008.
Sincerely,
JIM DOYLE
Governor
Read and referred to committee on Health, Children, Families, Aging and Long Term Care.
State of Wisconsin
Office of the Governor
July 29, 2005
The Honorable, The Senate:
I am pleased to nominate and with the advice and consent of the Senate, do appoint Schnuck, Lawrence, of Milwaukee, as a member of the Examining Board of Architects, Landscape Architects, Professional Engineers, Designers, and Land Surveyors to serve for the term ending July 1, 2009.
Sincerely,
JIM DOYLE
Governor
Read and referred to committee on Job Creation, Economic Development and Consumer Affairs.
State of Wisconsin
Office of the Governor
July 29, 2005
The Honorable, The Senate:
I am pleased to nominate and with the advice and consent of the Senate, do appoint Ragland, Nancy, of Madison, as a member of the Examining Board of Architects, Landscape Architects, Professional Engineers, Designers, and Land Surveyors to serve for the term ending July 1, 2008.
Sincerely,
JIM DOYLE
Governor
Read and referred to committee on Job Creation, Economic Development and Consumer Affairs.
State of Wisconsin
Office of the Governor
July 29, 2005
The Honorable, The Senate:
I am pleased to nominate and with the advice and consent of the Senate, do appoint Rice , Corliss, of Milwaukee, as a member of the Occupational Therapists Affiliated Credentialing Board to serve for the term ending July 1, 2009.
Sincerely,
JIM DOYLE
Governor
Read and referred to committee on Health, Children, Families, Aging and Long Term Care.
State of Wisconsin
Office of the Governor
July 29, 2005
The Honorable, The Senate:
S316 I am pleased to nominate and with the advice and consent of the Senate, do appoint Shropshire, Mark, of Appleton, as a member of the Physical Therapists Affiliated Credentialing Board to serve for the term ending July 1, 2008.
Sincerely,
JIM DOYLE
Governor
Read and referred to committee on Health, Children, Families, Aging and Long Term Care.
State of Wisconsin
Office of the Governor
July 29, 2005
The Honorable, The Senate:
I am pleased to nominate and with the advice and consent of the Senate, do appoint Nosse , Larry, of Wauwatosa, as a member of the Physical Therapists Affiliated Credentialing Board to serve for the term ending July 1, 2009.
Sincerely,
JIM DOYLE
Governor
Read and referred to committee on Health, Children, Families, Aging and Long Term Care.
State of Wisconsin
Office of the Governor
July 28, 2005
The Honorable, The Senate:
I am pleased to nominate and with the advice and consent of the Senate, do appoint Halminiak, Brenda, of Rhinelander, as a member of the Examining Board of Professional Geologists, Hydrologists, and Soil Scientists.
Sincerely,
JIM DOYLE
Governor
Read and referred to committee on Natural Resources and Transportation.
State of Wisconsin
Office of the Governor
July 28, 2005
The Honorable, The Senate:
I am pleased to nominate and with the advice and consent of the Senate, do appoint Kinast-Porter, Susan, of Albany, as a member of the Nursing Home Administrator Examining Board to serve for the term ending July 1, 2009.
Sincerely,
JIM DOYLE
Governor
Read and referred to committee on Health, Children, Families, Aging and Long Term Care.
State of Wisconsin
Office of the Governor
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