12:56 P.M.
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By Patrick E. Fuller, chief clerk.
Mr. President:
I am directed to inform you that the Assembly has passed and asks concurrence in:
Assembly Bill 219
Assembly Bill 372
Assembly Bill 414
Assembly Bill 494
Assembly Bill 502
Assembly Bill 560
Adopted and asks concurrence in:
Assembly Joint Resolution
104
Assembly Joint Resolution
105
Amended and concurred in as amended:
Senate Bill 191
Concurred in:
Senate Bill 57
Senate Bill 262
Senate Bill 413
Senate Joint Resolution
11
Senate Joint Resolution
54
Senate Joint Resolution
55
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6:30 P.M.
The Senate reconvened.
President Risser in the chair.
President Risser, with unanimous consent, asked that the Senate recess for the purpose of awaiting the Governor's State of the State Address in Joint Convention in the Assembly Chambers at 7:00 P.M.
The Senate stood recessed.
6:35 P.M.
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The Senate proceeded in a body to the Assembly Chamber to meet in Joint Convention to receive the State of the State Message.
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7:00 P.M.
Senate President Risser in the chair.
The Committee to wait upon the Governor appeared with his excellency the Governor, who delivered his message as follows:
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"Speaker Sheridan, Speaker Pro Tem Staskunas, President Risser, Majority Leader Decker, Minority Leaders Fitzgerald and Fitzgerald, Constitutional Officers, Supreme Court Justices, tribal leaders, members of the Cabinet, distinguished guests, members of the Legislature, and fellow citizens of Wisconsin:
I stand before you tonight at a difficult time in America's history. We have been hit hard by an economic crisis - the depths of which we have not seen since the Great Depression.
Our nation's unemployment rate has soared to over 10 percent. While Wisconsin's rate is one and a half points lower - it is still far too high.
Far too many remain unemployed. Far too many are making do with a paycheck that doesn't go as far as it used to. And far too many are living with the fear that they might lose their jobs and their health care.
Let us never forget that an unemployment rate is not just a statistic. These are people who did nothing wrong. They didn't deal derivatives, manipulate Wall Street, hyper inflate the real estate market or get bonuses from big investment banks. They are our brothers and sisters, our mothers and fathers, our neighbors and friends.
Above all else, we have to look out for these people. In Wisconsin, I'm proud we haven't turned our backs on them.
We're making sure they have unemployment insurance and training to get a new start in life.
And although demand is at an all-time high, we're making sure they have health care and food assistance.
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We've been able to do this - and protect our most important priorities like education and health care - because we've made the deepest cuts in state spending in history. Everyone has felt the effects. We have cut state agencies by 10 percent or more. We have furloughed state workers and eliminated pay raises. We have held 3,400 state jobs vacant - 10 percent of the state workforce.
I will have to make another round of difficult cuts. But we will make these cuts as we have made them before - protecting education, health care, and public safety, and protecting the middle class against tax increases.
While we help our citizens get through this difficult time and back to work, we must also make sure - that as the national economy comes back - Wisconsin is poised to grow and expand.
I have a year left as Governor, and I want to be very clear about what my top priority will be. I will do everything I can to help our businesses create jobs and give our workers the opportunities to get those jobs. Nothing is more important.
Yes, as we look at the state of our state, we are most certainly facing tough challenges. But our people have shown a resolve that is even tougher. THIS is Wisconsin.
I am proud to be Governor of a state where people are making tough decisions in these hard times, yet still looking out for one another.
The story of Mercury Marine is a great example.
One of our flagship Wisconsin companies, Mercury Marine has provided good paying jobs to hardworking families for 70 years. With our nation's economic downturn, Mercury was facing the need to consolidate.
Mercury management made a commitment to Wisconsin. Union workers approved painful concessions. Community leaders put together a local incentive package. I called for - and you quickly passed - new tax credits for companies like Mercury that retain jobs, allowing the state to offer a strong incentive package. I want to thank Speaker Mike Sheridan, who understood the urgency of taking immediate action.
I know how tense these negotiations were. I was working with Mercury executives, union leaders and local officials around the clock.
In the end, Mercury decided to stay in Wisconsin - keeping thousands of jobs here and bringing hundreds of jobs from out of state. It shows what we can do - even in times like these - when we focus and work together toward a common goal.
Tonight, we're joined by people who deserve a lot of credit - Mercury CEO Mark Schwabero, Machinists General Vice President Rich Michalski, Local Union President Mark Zillges, and Fond du Lac County Executive Allen Buechel.
I also want to acknowledge the efforts of Senator Randy Hopper. I was on the phone with him and others many times a day. While some - for political reasons - seemed to want Mercury Marine to leave, Senator Hopper put partisanship aside and quietly did everything he could to keep Mercury in Wisconsin.
As companies like Mercury Marine will tell you - Wisconsin is definitely open for business.
I want to thank Speaker Sheridan, Majority Leader Decker and all the legislators who passed this budget. As a result of your work, Wisconsin now has some of the strongest economic development tools in the country. We're spurring research and development through new incentives. We're giving investors new tools to create start-ups. And we're using powerful new tax credits to help manufacturers create and retain jobs.
As a result of our work, Wisconsin now ranks 30th in business taxes - well below the national average.
With the help of these incentives, over the last year, many other companies have moved their operations from other states to Wisconsin.
When Republic Airways bought Midwest Airlines, people in Wisconsin were concerned. But with our tax incentives, we were able to help Republic establish a major airline hub in Milwaukee, retaining 800 jobs and bringing in 800 more from Colorado and New Mexico. As Republic Airways CEO Bryan Bedford said, "This was a jobs contest between Milwaukee, Indianapolis and Denver - Taxes matter."
Among others, we helped ACCO Brands Corporation, the Herman Miller Company, Enzymatic Therapy, Actuant Corporation, and A&E Incorporated all move operations here from other states - adding hundreds of jobs.
We helped ULINE bring its headquarters - and over 1,000 new jobs - from Illinois to Pleasant Prairie.
In just the last three months, we saw 8 biotech companies relocate here - from Minnesota, Massachusetts, Colorado and Florida - because we've created a world class bioscience environment and opportunities for entrepreneurs to raise more capital.
One of the biggest Fox Valley employers -- Oshkosh Corporation -- won a major defense contract with the help of our tax credits. They could create or retain 2,000 manufacturing jobs to supply our soldiers with safe, innovative vehicles.
And we've brought a Spanish train manufacturer here to build high speed trains. With the Obama Administration's support, Wisconsin is poised to be the nation's leader in high speed rail manufacturing.
But despite these successes, there is more we need to do to position Wisconsin's economy for the future.
Let's pass the Wisconsin CORE Jobs Act, authored by Senators Lassa and Kreitlow. This proposal builds on my Accelerate Wisconsin plan by providing millions more in tax credits for angel and venture capital investments. It also strengthens successful programs for manufacturing, research and development, and worker training.
Let's also pass legislation to create a Regional Transit Authority in southeast Wisconsin. I want to thank the legislators from southeast Wisconsin, led by Senator Lehman and Representative Barca, who worked on this proposal with my Administration.
Make no mistake, this is a jobs bill.
Last week, I stood with CEOs of some of Wisconsin's largest employers -- Tim Sullivan of Bucyrus, Ed Zore of Northwestern Mutual, Fisk Johnson of SC Johnson, Bob Mariano of Roundy's, and Scott VanderSanden of AT&T Wisconsin.
They said a regional transit authority is critical for the future of their companies. Tim Sullivan said it best - "This is not a want; this is an absolute need for the community."
These CEOs represent hundreds of companies that employ thousands of people in southeast Wisconsin who all say this has to be done. Let's listen to them and pass this bill.
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Let's also extend the expired dairy modernization tax credit to help our hard-pressed dairy farmers invest in their operations. With milk prices rebounding from record lows, these tax credits will help farmers position their businesses for future growth as the economy turns around.
In addition, we can help our agriculture industry create jobs by enacting a Food Processing Modernization Tax Credit - a strategy that has worked in other industries. This tax credit will allow companies to invest in new technologies, find savings, expand their operations, and create jobs.
Our country will emerge from this recession and when that happens, Wisconsin is positioned for the future. We are helping our bedrock industries like agriculture and manufacturing.
But we must also seize the opportunity to grow a strong new part of our economy in clean energy.
Wisconsin has no natural gas - no coal - and no oil. Every year, we send $16 billion out of our state to power our homes and businesses and fuel our cars. Building a clean energy economy is an enormous opportunity to capture those dollars.
Clean energy technology and high-end manufacturing are Wisconsin's future. We have the research capacity - and we have the forests, fields and farms to be the leader in the clean energy economy.
Four years ago, we became one of the first states to enact renewable portfolio standards. These standards require a portion of our energy to be produced from renewable sources.
As a result, we've seen a rapid expansion in renewable energy production and real growth in clean energy jobs. We are one of the leading producers of ethanol in the country. And we have more than 300 companies and thousands of jobs in the wind industry.
Many businesses are already taking advantage of this opportunity as the world moves rapidly in this direction.