I object to the requirement that the Chancellor of the University of Wisconsin-Madison submit the supplemental pay plan, personnel system plan and tentative labor agreements to the Board of Regents for approval. Under the bill, these plans will already require approval from the Joint Committee on Employment Relations.
Therefore, I am partially vetoing sections 970L, 2426L and 9152 (1c) (b) to eliminate the Board of Regents' review and approval. I originally proposed restructuring the University of Wisconsin-Madison into a public authority to provide greater autonomy to manage compensation and human resources to recruit top faculty and remain an engine for research and patent production. Removing this level of approval will give the state's flagship campus the level of autonomy it needs to successfully compete in the global higher education environment.
18.
Annual Reporting of Contractual Service Procurements
These sections exempt the University of Wisconsin System from reporting the procurement of contractual services annually to the Governor and the Legislature.
A423
I am vetoing section 239g and partially vetoing section 9452 (1d) [as it relates to s.
16.705 (8) (intro.)] because I object to this reduction in accountability and transparency in state government. It is important to continue to report procurements of contractual services to ensure that all state agencies are spending tax dollars responsibly. It is also important to collect information necessary for the State Bureau of Procurement to analyze and respond to procurement trends throughout state government.
19.
Joint Committee on Finance Authority to Postpone Telecommunications Services Prohibition
Section 1015x
This section defines telecommunications services and third-party entity and, beginning July 1, 2013, prohibits the University of Wisconsin System from becoming a member, shareholder or partner in any third-party entity or other person that offers, resells, or provides telecommunications services to the general public or to any public or private entity unless the third-party entity or other person does not offer, resell or provide telecommunication services that it did not offer, resell, or provide on June 15, 2011, and the third-party entity or other person does not offer, resell, or provide telecommunications services to a private entity, to the general public, or to a public entity other than a university or a university-affiliated research facility or a facility approved by the Joint Committee on Finance that it is not already serving on June 15, 2011. The section allows the Joint Committee on Finance to postpone the July 1, 2013, effective date for these prohibitions through majority vote.
I am partially vetoing this section to remove the authority of the Joint Committee on Finance to postpone these prohibitions because the University of Wisconsin System should not compete with private sector businesses in providing telecommunications services. The bill does not prohibit the University of Wisconsin System from participating in a third-party comprised entirely of universities and university-affiliated research facilities. There is no need to delay the prohibitions included in the bill beyond July 1, 2013.
20.
Review of Position Titles and Classifications
Sections 2410L and 9452 (1d) [as it relates to s. 111.825 (3m)]
These sections require the Wisconsin Employment Relations Commission to determine if titles or classifications newly created by the University of Wisconsin-Madison or the Board of Regents of the University of Wisconsin System would make the person who holds the position an employee eligible for a bargaining unit, and to assign any eligible new position title or classification to the appropriate collective bargaining unit; and set July 1, 2013, as the effective date.
I am vetoing section 2410L and partially vetoing section 9452 (1d) [as it relates to s.
111.825 (3m)] to remove the commission's review and assignment of newly created titles or classifications, because this provision significantly expands the commission's responsibilities beyond current law and unnecessarily burdens the commission. The effect of this veto is to limit the commission's role to unit clarification as under current law.
21.
Technical Correction to "Academic Faculty"
Sections 2410a and 2410b
These sections create bargaining units for University of Wisconsin System and University of Wisconsin-Madison employees, except "academic faculty" and "academic staff." The term "academic faculty" does not appear in current law under s.
36.13, as referenced in sections 2410a and 2410b.
I am partially vetoing these sections to remove the term "academic" because the reference is incorrect and a technical modification is necessary. In statute, this type of employee is referred to only as faculty.
C.
GENERAL GOVERNMENT AND ECONOMIC DEVELOPMENT
EMPLOYMENT RELATIONS COMMISSION
22.
Include Certain Emergency Medical Service Providers in the
2011 Wisconsin Act 10 Collective Bargaining Exemptions
Section 2406d
This section defines public safety employees for the purpose of employee compensation and collective bargaining changes under
2011 Wisconsin Act 10. An emergency medical service provider for the emergency medical services departments in Door and Waushara Counties is included in the definition of public safety employee. Under Act 10, current public safety employees retain the ability to bargain for wages, hours and conditions of employment, including the ability to bargain for employer payment of employee-required retirement and health insurance contributions.
I am partially vetoing this section to delete the reference to Door and Waushara counties because I object to limiting this eligibility to emergency medical service providers in two counties. With this veto, all emergency medical service providers will be covered by this provision, consistent with emergency medical services providers that are considered firefighter personnel for purposes of collective bargaining changes under Act 10.
23.
Modify Pay Provisions for City of Milwaukee Discharged or Suspended Police Officers
Sections 1715h and 1715k
These sections require that any member of a police force in a first class city (currently only the city of Milwaukee) may not be discharged or suspended without pay or benefits until a decision regarding the discharge or suspension has been made by the Board of Police and Fire Commissioners or the time for filing an appeal has passed, unless felony or class A or B misdemeanor charges are also pending.
A424
While I understand the concerns that this provision seeks to address, I object to this provision because I believe that changes to the current law provision should be dealt with through separate legislation in order to gather input from all affected parties regarding the process. My veto of these sections will return pay treatment of discharged or suspended officers in the city of Milwaukee to current law, which prohibits withholding pay and benefits for officers who have been suspended but permits the city to discharge a police officer without pay during the appeals process.
EMPLOYEE TRUST FUNDS
24.
Required Minimum Annual Contributions by Local Governmental Units
to a Retirement System
Section 1725e
This section requires local governmental units to pay employer contributions into the retirement system in which their employees are participating in an amount at least equal to all the employee-required contributions under that retirement system, no later than December 31 of each year.
I am vetoing this section because it may have the unintended consequence of creating an unfunded liability as the employer-required share will generally exceed the employee share due to employer contribution requirements for protective occupational classes. It may also result in overfunding if the retirement system is fully funded and payments are being made, when savings could be returned to taxpayers or used for other services. In addition, it may encourage employers to delay making payments into the system until the end of the calendar year, which creates the potential for a situation that negatively affects the system's cash flow.
25.
Wisconsin Retirement System Vesting Requirements
Sections 1156k and 1156t
These sections modify the vesting requirements for state and local employees hired on or after the effective date of the bill. Under the provision, employees who separate from service with fewer than five years of creditable service in the Wisconsin Retirement System (WRS) and who are eligible for an annuity may only receive a partial annuity under a formula or money purchase benefit. The partial benefit is based on a percentage of credited employer contribution available to the employee and is based on the years of service. Under current law, employees are vested immediately, and the annuity upon retirement is based on a formula benefit calculated on years of service or a money purchase benefit which includes all employee and employer contributions.
I object to this provision as it is administratively difficult and expensive to implement, with little cost savings to the WRS. Because the annuity that would be calculated for employees with fewer than five years of service is relatively modest, those employees are already likely to take their accumulated employee contributions with them upon separation from WRS service.
I am partially vetoing these sections in order to require employees to have five years of service prior to being eligible for either a formula or money purchase annuity benefit by digit vetoing the annuity amount for those with less than five years of creditable service to zero. This provision, as modified by the partial veto, is similar to the vesting waiting period in 25 other states and the WRS vesting provisions that existed until 1998. It will also improve retention by encouraging employees participating in the WRS to work for a WRS-participating employer at least five years.
26.
Study of Group Insurance Board Health Insurance Options
Section 9143 (2q) (a) 3.
This provision requires the director of the Office of State Employment Relations and the Department of Employee Trust Funds secretary to study the feasibility of certain health insurance options, including the implementation of a program beginning January 1, 2012, to provide an on-line marketplace for the purchase of prescription drugs. This program would act as a supplement to the existing pharmacy benefit management program provided by the Group Insurance Board plans. The entire study is required to be completed by October 31, 2011.
I am partially vetoing this provision to delete the requirement that the program, if implemented, be offered beginning on January 1, 2012, because it is overly burdensome. The Group Insurance Board is in the process of completing its contract negotiations for the calendar 2012 insurance plan year and would not be able to modify the plans after the study due date.
27.
Payment of Employee-Required Contributions - Initial Applicability
Section 9315 (2q)
This provision establishes the initial applicability of modifications to the statutes dealing with employee-required contributions.
At the request of the Legislative Reference Bureau, I am partially vetoing the initial applicability treatment of certain provisions that were already addressed in
2011 Wisconsin Act 10. This veto will retain the initial applicability treatment of only those provisions that were revised in enrolled 2011 Wisconsin Assembly Bill 40 (the 2011-13 biennial budget).
GOVERNMENT ACCOUNTABILITY BOARD
28.
Statements of Economic Interest
Section 357m
This provision modifies current law regarding access to statements of economic interest prepared by certain public officials and employees. Under the provision, persons wishing to examine a statement of economic interest must appear in person at the Government Accountability Board. Current law does not specify how the Government Accountability Board provides access to the records, other than requiring an individual wishing to inspect the records to provide his or her full name and address. Current practice allows for electronic access to the statements.
A425
I am vetoing this provision because it limits access to statements of economic interest to in-person review. This violates the principles of transparency and open government that are fundamental to public oversight and a key tenet of my administration.
D.
HEALTH SERVICES AND INSURANCE
HEALTH SERVICES
29.
Family Care Cost-Effectiveness Study
Section 9121 (3g)
This section requires the Department of Health Services secretary to study the cost-effectiveness of the Family Care program, the Family Care Partnership, the IRIS self-directed care program and the program for all-inclusive care for the elderly (PACE). The study will compare the cost-effectiveness of each program to each of the other programs and is due to the Joint Committee on Finance by March 1, 2012.
I am partially vetoing this section to remove the requirement that the report be submitted by March 1, 2012, because the department is already required to prepare this information as a response to the 2011 Legislative Audit Bureau study of the Family Care program. The findings of that review are due to the Joint Legislative Audit Committee on August 31, 2012, and to submit a partial analysis in March would be premature.
30.
Medicaid Family Planning Waiver Services
Sections 1439n, 1439w, 1439x, 1441b and 9421 (7)
This provision requires the Department of Health Services to request and implement a federal waiver to provide family planning services under Medicaid to women between the ages of 15 and 44 whose family income does not exceed 200 percent of the federal poverty level. The waiver must require parental notification of services provided to females under 18 years old and must specify that the determination of eligibility for minors is based on the income of a parent or guardian.
I am vetoing sections 1439w, 1439x and 9421 (7) and partially vetoing sections 1439n and 1441b because I object to the inflexibility of the language. This veto is not intended to end the program but to instead provide the department greater latitude to determine the appropriate ages and income levels for coverage of family planning services under Medicaid. The veto retains the provisions that require parental notification of family planning services provided to females under 18 years old and specify that eligibility for minors be based on family income and not individual income.
31.
Study on the Purchase of Generic Drugs for Medical Assistance
Section 9121 (11i)
This provision requires the Department of Health Services to conduct a study to determine if a competitive bidding process for the purchase of generic drug equivalents provided through the Medical Assistance program would generate cost savings to the program. The study is due to the Joint Committee on Finance no later than December 31, 2011.
I am partially vetoing the provision to remove the requirement that the report be submitted by December 31, 2011, because I believe the department should have flexibility to review all aspects of this option and applying an arbitrary due date removes this flexibility.
SAFETY AND PROFESSIONAL SERVICES
32.
Bail Bond Surety Licensing
Sections 373 [as it relates to s. 20.165 (1) (gk)], 496m, 3205p, 3205r, 3212m, 3541g, 3541r and 9140 (5c)
These sections require the Department of Safety and Professional Services to regulate and license bail bond surety agents and corporations and to collect annual licensing fees of $1,000 per agent or corporation, under requirements promulgated in administrative rule. Surety agents and corporations would be compensated 10 percent of the bond set.
I am vetoing this provision because it does not provide sufficient time to properly evaluate the proposal and to plan for appropriate regulation of this industry prior to the date of implementation. I agree with the intent of the provision to reduce local government administrative costs and ensure defendants show up for court dates. However, although the commercial bail bonds industry works well in many other states, there must be sufficient notice and planning to ensure that counties, courts and regulatory agencies are able to appropriately implement this provision to avoid implementation problems and misuse of the system. Considering this provision as separate legislation will provide time for adequate review and planning to ensure the successful implementation of a commercial bail bonds system in Wisconsin.
33.
Unclassified Bureau Director Position Authority
Section 2760
This section reduces the number of unclassified bureau director positions allocated at the Department of Safety and Professional Services from not more than five to not more than two positions.
A426
I am partially vetoing this section because I object to reducing the current number of unclassified bureau directors in the department. While the veto will permit the department to have up to five unclassified bureau director positions, I am directing the department to maintain the current staffing of three unclassified bureau directors and to remain within their current position authorization level.
VETERANS AFFAIRS
34.
Chippewa Falls Veterans Home Cost-Benefit Analysis
Sections 234 and 9101 (2u)
These sections require the Department of Administration to conduct a cost-benefit analysis on the initial contract for the operation and staffing of the Veterans Home at Chippewa Falls and to submit the results to the Joint Committee on Finance by February 1, 2012, or before the Department of Veterans Affairs enters into a contract for the operation of the home. Further, the Department of Veterans Affairs is exempted from the current law requirement to conduct a cost-benefit analysis meeting the same criteria prior to entering into the contract.
I am vetoing section 234 because I object to exempting the Department of Veterans Affairs from the requirement to conduct a cost-benefit analysis prior to contracting for the operation of the home. Further, I am partially vetoing section 9101 (2u) requiring the Department of Administration to conduct a similar cost-benefit analysis because this requirement is unnecessary and duplicative of the Department of Veterans Affairs analysis.
35.
Veterans Trust Fund Information
Section 9153 (2j)
This section requires the Department of Veterans Affairs to submit as part of its 2013-15 biennial budget request to the Department of Administration an estimate of the amount of revenues that will be deposited into the veterans trust fund during that biennium and that the total recommendation for appropriation from the trust fund is not greater than the amount to be deposited into the fund.
I am partially vetoing this section to remove the requirement that the total recommendation for appropriation from the fund is not more than available revenue because it is overly limiting on the department. It is widely understood that the veterans trust fund is facing financial uncertainty and to place such restrictions on the department does not work toward the goal of finding reliable revenue streams while maintaining services for Wisconsin's veteran population.
36.
Military Funeral Honors Funding – Technical Veto
Sections 9253 (1j) and 9453 (1j)
This provision provides $68,900 GPR funding in the second year of the 2009-11 biennium to reimburse veterans service organizations that provide military funeral honors for veterans in this state.
I am vetoing this provision at the request of the Legislative Reference Bureau because funding for this purpose has already been addressed in
2011 Wisconsin Act 27.
E.
STATE GOVERNMENT opeRATIONS
ADMINISTRATION
