Ordered to a third reading.
Senator Schultz, with unanimous consent, asked that the bill be considered for final action at this time.
Assembly Bill 3
Read a third time.
The ayes and noes were required and the vote was: ayes, 18; noes, 14; absent or not voting, 1; as follows:
Ayes - Senators Brown, Darling, Ellis, S. Fitzgerald, Grothman, Harsdorf, Kanavas, Kapanke, Kedzie, A. Lasee, Lazich, Leibham, Olsen, Plale, Reynolds, Roessler, Schultz and Stepp - 18.
Noes - Senators Breske, Carpenter, Coggs, Cowles, Decker, Erpenbach, Hansen, Jauch, Lassa, Miller, Risser, Robson, Taylor and Wirch - 14.
Absent or not voting - Senator Zien - 1.
Concurred in.
Senator Schultz, with unanimous consent, asked that all action be immediately messaged to the Assembly.
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Senator Carpenter, with unanimous consent, asked that when the Senate adjourn, it do so in honor of librarians Patricia Kennedy of the Milwaukee Public Library, and Terri Delke of the Greenfield Public Library, in the Capitol today for Library Association Legislature Day.
Senator Carpenter, with unanimous consent, asked that when the Senate adjourn, it do so in honor of teachers, administrators, and parents of students from Christ St. Peter Lutheran School who came to lobby for Milwaukee School Choice Program, specifically Joy Duensing, Natalie Sackmaster, Nicole Rivas, Ella Graf, Lisa Diaz Telle, Juanita G. Sanchez, Karla Jaeger, Matt Krenke, Katheryn Graham, John Marten, Elisa Reabola, Kristy Stahmann, Kelly Schlicht, and all of the children from Christ St. Peter Lutheran School who visited the Capitol today.
Senator Carpenter, with unanimous consent, asked that when the Senate adjourn, it do so in honor of the teachers, administrators, and parents of Prince of Peace-San Rafael School, where his two nieces attended.
Senator Roessler, with unanimous consent, asked that when the Senate adjourn, it do so in honor of Rotary International, which is celebrating its 100th anniversary in 2005. The leadership of the three Oshkosh Rotary clubs decided to show its unity with the other clubs in the world by hosting 24 consecutive hourly meetings on Saturday, February 5, 2005. The spirit of adventure is that Oshkosh Rotarians will have celebrated this day with all world clubs. Each hour, they will ring the Rotary Bell, have an invocation, pledge allegiance to our flag, and recite Rotary's four-way test. They will also recite the names and countries of various clubs who are meeting in a "noon time zone" in the world.
Senator Wirch, with unanimous consent, asked that when the Senate adjourn, it do so in honor of Joseph T. Mangi, who has been the Principal at Bradford High School for 18 years. Mr Mangi has announced his retirement at the end of the school year.
Senator Erpenbach, with unanimous consent, asked that when the Senate adjourn, it do so in honor of the birth of David Owen Templeton, who was born on January 10, 2005 to Carrie and Scott Templeton. Carrie has been a valuable member of his staff for the past five years, and will be back in April after spending some quality time bonding with David while she is on maternity leave.
Senator Erpenbach, with unanimous consent, asked that when the Senate adjourn, it do so in honor of President Jimmy Carter.
Senator Coggs, with unanimous consent, asked that when the Senate adjourn, it do so in honor of Representative Lucien H. Palmer, the first African-American elected to the Wisconsin Assembly in 1907.
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The chair appointed Senators Fitzgerald and Decker to escort his excellency, the Governor.
Senator Schultz, with unanimous consent, asked that the Senate adjourn pursuant to Senate Joint Resolution 1, upon the rising of the Joint Convention.
Senator Schultz, with unanimous consent, asked that the Senate recess until 6:45 P.M.
2:15 P.M.
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6:45 P.M.
The Senate reconvened.
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Senator A. Lasee in the chair.
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The Chair, with unanimous consent, asked that the Senate recess for the purpose of awaiting the Governor's Budget Address in Joint Convention in the Assembly Chambers at 7:00 P.M.
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The Senate proceeded in a body to the Assembly Chamber to meet in Joint Convention to receive the Governor's Budget Message.
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The President of the Senate in the Chair.
The committee to await upon the Governor appeared with his excellency the Governor, who delivered his message as follows:
Speaker Gard, Majority Leader Schultz, President Lasee, Speaker Pro Tem Freese, Members of the Legislature, Lieutenant Governor Lawton, Constitutional Officers, Supreme Court Justices, Members of the Cabinet, Tribal Leaders, and fellow citizens of Wisconsin.
Three weeks ago, I came before you to report that, although we still face significant challenges, the State of Wisconsin is on the move …
…on the move in education……on the move creating innovative health care solutions……and on the move with the largest manufacturing job growth anywhere in the country.
But we are just getting started. Tonight, I fulfill one of the most important responsibilities I have as Governor: presenting a budget that embodies the values of the people of Wisconsin – one that meets our needs, upholds our principles, balances our books, and most importantly, keeps Wisconsin on the move.
Just two years ago, we confronted the largest budget deficit in our history, and answered not only with dramatic cuts but a clear set of priorities.
We cut overhead but saved health care for seniors ……eliminated departments but protected child care
……and reduced the number of state employees so we wouldn't have to reduce the number of teachers in our classrooms.
We stayed true to basic Wisconsin values, and we didn't raise taxes.
Since then, we've sold seven state planes and put 1,000 cars on the auction block. We've cut contracts, consolidated services, eliminated 1,500 cell phones, and negotiated lower prices for prescription drugs.
As a result, we now have the opportunity to invest in Wisconsin's priorities – improving education, preserving health care, creating jobs, and yes, protecting property taxpayers.
Our economy is growing faster than any of our neighbors, not only producing new jobs but helping the state pay its bills – generating an extra billion dollars over the next two years.
As I did two years ago, I've based my budget on the conservative estimates of the Legislative Fiscal Bureau – even though there is good reason to believe the state revenue will be even higher. In fact, if you split the difference between the Fiscal Bureau and Wisconsin Department of Revenue projections on sales taxes, we'd have over $100 million more than I assume in my budget.
The budget I present to you tonight is balanced. It cuts state overhead. It reduces the state payroll. It further eliminates waste. It consolidates more services. And it reforms the way government does business so that we will have the resources to invest in the priorities of Wisconsin's families.
This budget, like the last one, is not just about cutting. It's about setting priorities. And, keeping true to my promise, we will eliminate this $1.6 billion deficit without raising taxes.
To do that, my budget cuts state operations spending by more than $270 million – holding the growth in spending to less than four percent each year.
My budget rethinks and restructures the way government does business, to make it more efficient, less cumbersome, and less expensive.
We're saving taxpayers money by streamlining and consolidating back office services in state government. We're going from 220 computer servers to just 19. We're negotiating bulk discounts for computers, software, office equipment, and more. We're consolidating human resources staff from 17 agencies.
This initiative will save us more than $35 million in the next two years … and even more in the years to come.
We'll sell property the state no longer needs, generating another $36 million that will go straight into our budget stabilization fund.
We'll consolidate attorneys from 17 different agencies and put them under one roof. And we'll develop a team specializing in contracting – so we can negotiate the best deals for taxpayers.
And this budget continues to reduce the size and cost of the state workforce – trimming the payroll by 1800 positions.
Cutting state jobs is one of the most difficult responsibilities we have. That's why we are doing everything humanly possible to minimize the effect on people's lives. We've already been holding positions vacant, and we'll make as many cuts as possible through attrition and retirements so fewer workers are faced with finding new jobs.
I also want you to know that we are not just cutting for the sake of cutting. Where it makes sense, we're adding employees …
…15 new positions at DNR to protect our groundwater, rivers and streams……20 new state troopers……50 corrections staff to expand alcohol and drug treatment……141 new nursing home positions to care for Wisconsin's veterans.…And 125 new faculty at the University of Wisconsin.
As I said, this budget is about priorities. And let me be clear: my priority is education.
How we get our kids prepared for life will have a more profound effect on the long-term strength of Wisconsin than anything else we do. So, if we want good jobs – it's education. If we want a growing economy – it's education. If we want to reduce the number of inmates – it's education. If we want to find cures to disease – it's education.
And the people of Wisconsin should hold accountable anyone who plays politics with this core building block for our future.
The budget I'm presenting today will advance more than fifteen of the recommendations made by the bipartisan Task Force on Educational Excellence, from helping school districts cope with declining enrollment to providing mentors for new teachers.
First, we will expand the SAGE program, reducing class sizes in our communities … because smaller classes mean more learning.
Second, we'll provide grants to help communities start up four-year-old kindergarten.
Third, to help schools reduce the cost of health care … and to guarantee the best teachers for our children … my budget will repeal the outdated, inflexible QEO.
Next, my budget reforms school transportation. The morning bus ride may seem inconsequential to some, but understand that some rural communities spend more than $1,000 a year on each student's transportation. $1,000.
And while the state's transportation fund helps pay the cost of an adult who rides the bus to work, not a penny is available for helping get kids on the bus to school.
That's why tonight, I propose using the transportation fund to support school transportation. And we'll provide a $16 million increase targeted at districts that must take students the longest distances between their homes and schools.
It's time to ease the burden on property taxpayers, and let schools focus on what they do best-–educating our kids.
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I think there's one thing every Republican and Democrat can agree on – it is time the federal government fulfilled its promise to fund its 40 percent share of special education costs.
Every day President Bush and Congress refuse to fulfill their obligation to special ed is another day Wisconsin property taxpayers are stuck with the bill. It's unfair, irresponsible and must stop.
Wisconsin's kids shouldn't be allowed to fail just because Washington is failing them.
And so tonight, I propose a $15 million investment in special education, with a particular focus on school districts that have individual students with exceptionally high costs.
These reforms and investments are significant. But the fundamental issue is whether our schools have the resources to provide quality education to every child. Across Wisconsin, communities have been forced to close schools, increase class sizes, and eliminate courses like advanced math, music, art, and physical education.
And there is growing tension between property taxpayers and the education system.
Instead of communities uniting to build and fund the best schools for their children and grandchildren, education has become a divisive issue, too frequently pitting families with young kids against those struggling to afford higher property taxes.
We need to resolve this tension. But the answer is not to simply cut education.
In Wisconsin, we've set a goal for the state to fund two-thirds of the cost of every child's education. Because of fiscal mismanagement and overspending by previous administrations and legislatures, two years ago there was not enough money.
But because revenues have grown, and because of savings we've achieved, in my budget we will meet this goal – and provide two-thirds funding for local schools.
Doing so will mean an historic commitment to public education – an additional $850 million investment in Wisconsin's future.
Not only will it hold property taxes down, but it will mean stronger schools for our children.
There's another commitment we have to keep, and that's shared revenue.
Two years ago, I inherited a $3.2 billion deficit. I also inherited a budget that gutted shared revenue. But I provided almost two billion dollars to fund shared revenue last time around, and tonight, I am proud to announce that my budget fully funds shared revenue.
This is a huge commitment to local communities … but it is a commitment we must keep if we are serious about holding the line on property taxes.
In the 1990's property taxes in Wisconsin went up by two billion dollars. By going on a state spending spree and auctioning off the tobacco settlement for pennies on the dollar, the Legislature only made the problem worse.
But now, with dramatic cuts in state government … with two-thirds funding for local education … with a strong commitment to shared revenue … we are poised to deliver historic relief to Wisconsin property taxpayers.
