Tuesday, March 18, 1997
10:00 A.M.
Ninety-Third Regular Session
The Assembly met in the Assembly Chamber located in the State Capitol.
Speaker Brancel in the chair.
The prayer was offered by Representative Wood.
Representative Owens led the membership in reciting the pledge of allegiance to the flag of the United States of America.
The roll was taken.
The result follows:
Present - Representatives Ainsworth, Albers, Baldwin, Baumgart, Black, Bock, Boyle, Brandemuehl, Carpenter, Coggs, Cullen, Dobyns, Dueholm, Duff, Foti, Freese, Gard, Goetsch, Green, Gronemus, Grothman, Gunderson, Hahn, Handrick, Hanson, Harsdorf, Hasenohrl, Hebl, Hoven, Huber, Hubler, Huebsch, Hutchison, Jensen, Jeskewitz, Johnsrud, Kaufert, Kedzie, Kelso, Klusman, Kreibich, Kreuser, Krug, Krusick, Kunicki, La Fave, Ladwig, F. Lasee, Lazich, J. Lehman, M. Lehman, Linton, Lorge, Meyer, Morris-Tatum, Murat, Musser, Nass, Notestein, Olsen, Ott, Otte, Ourada, Owens, Plale, Plouff, Porter, R. Potter, Powers, Reynolds, Riley, Robson, Rutkowski, Ryba, Schafer, Schneider, Seratti, Skindrud, Springer, Staskunas, Steinbrink, Sykora, Travis, Turner, Underheim, Urban, Vander Loop, Vrakas, Walker, Ward, Wasserman, Wieckert, Williams, Wood, L. Young, R. Young, Ziegelbauer, Zukowski and Speaker Brancel - 99.
Absent with leave - None.
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Representative Green asked unanimous consent for a leave of absence for part of today's session for Representative Handrick. Granted.
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Assembly substitute amendment 1 to Assembly Bill 14 offered by committee on Children and Families.
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Communications
State of Wisconsin
Office of the Secretary of State
Madison
To Whom It May Concern:
Acts, Joint Resolutions and Resolutions deposited in this office have been numbered and published as follows:
Bill Number Act Number Publication Date
Assembly Bill 611March 14, 1997
Sincerely,
Douglas La Follette
Secretary of State
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February 6, 1997
Representative Walter Kunicki
Assembly Minority Leader
21 North - State Capitol
Dear Representative Kunicki:
This letter is to officially notify you of my resignation, effective today, from the Assembly Environment Committee. Although this is an interesting committee, there are a number of reasons that I have chosen to resign from the committee.
As you will recall, a few weeks ago we discussed my preference to be appointed to a committee other than the Environment Committee. However, your decision on my appointment to another committee will not change this resignation.
Sincerely,
Jim Baumgart
State Representative
26th Assembly District
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Agency Reports
State of Wisconsin
Legislative Audit Bureau
Madison
March 10, 1997
To the Honorable, the Legislature:
A97
We have completed a biennial evaluation of the performance of the Wisconsin Lottery, as required by s.13.94 (1)(em), Wis. Stats. We have examined the possible causes for a recent decline in lottery sales, which began in fiscal year 1995-96, when sales fell 7.1 percent, or from $518.9 million in the previous year to $482.1 million. The decline is expected to continue through the current fiscal year and the next biennium, when sales are expected to reach only $440.5 million annually, even with proposed budget initiatives intended to support sales. This decline, and an October 1996 court decision that prevented the distribution of property tax credits from lottery proceeds until another method can be devised in accordance with the state constitution, have raised questions regarding the benefits of having a state lottery.
The probable causes of the sales decline can be found in factors both outside and within the control of the Legislature and lottery administrators. Lotteries appear to attract less interest as they age, but certain practices that can increase sales, such as the introduction of casino-type games and promotional advertising, are constitutionally prohibited to the Wisconsin Lottery. However, policy and administrative actions also contributed to the decline in sales. For example, the Legislature has withheld support for initiatives that might have supported sales, and administrative efforts to privatize virtually all lottery functions were largely unsuccessful, leading to essential functions such as contacts with retailers being performed minimally, if at all.
If the Legislature is interested in increasing sales or preventing further sales declines, we offer suggestions for several actions that could be taken. We appreciate the courtesy and cooperation extended to us by the Department of Revenue. A response from the Department is Appendix II.
Respectfully submitted,
Dale Cattanach
State Auditor
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State of Wisconsin
Department of Administration
Madison
March 10, 1997
To the Honorable, the Legislature:
This report is transmitted as required by sec.20.002(11)(f) of the Wisconsin Statutes, (for distribution to the appropriate standing committees under sec. 13.172(3) Stats.), 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 February, 1997.
On February 1, 1997 the Wisconsin Health Education Loan Repayment Fund balance was -$3 thousand. This shortfall increased to -$4 thousand on February 13, 1997 and continued until February 20, 1997 when the balance reached $19 thousand. This shortfall was due to the timing of revenues.
On February 4, 1997 the Wisconsin Petroleum Inspection Fund balance was -$1.41 million. This shortfall increased to -$1.95 million on February 19, 1997 and continued until February 20, 1997 when the balance reached $6.89 million. This shortfall was due to the timing of revenues.
On February 11, 1997 the Information Technology Investment Fund balance was -$556 thousand. This shortfall decreased to -$550 thousand on February 24, 1997 and continued through the end of the month. This shortfall was due to the timing of revenues.
The Wisconsin Health Education Loan Repayment, Wisconsin Petroleum Inspection Fund and Information Technology Investment Fund shortfalls were not in excess of the $400 million ceiling and did not exceed the balances of the Funds available for interfund borrowing. This shortfall was due to the timing of revenues.
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.
