Tuesday, June 23, 2009

On Prevailing Wage

Bear with me because this issue is boring, difficult to explain, even more difficult to listen to someone explain it, and most of all…incredibly important to your community.

Included in the budget that Rep. Garthwaite supported was a provision to expand the state’s prevailing wage requirements. The prevailing wage law, first passed in 1931 mandates that workers on public projects with a certain cost be paid “prevailing wage rates.” These rates essentially equate to union-scale wages, which are very, very high.

When Governor Doyle drafted his budget, he proposed expanding the use of prevailing wage to many private projects which had never been covered before. Furthermore, he proposed dropping the minimum cost threshold from $48,000 to $2,000. The legislature’s Joint Finance Committee later amended this budget provision, improving it slightly but the basic gist remained. Most public construction projects will cost much more. That means property tax increases. Most private construction projects that are donated, sold, or transferred to a public unit of government will cost much more. Volunteer work on public projects would often be prohibited.

It goes without saying that this is a very, very bad idea, especially during these difficult economic times. Prevailing wage mandates increase the cost of construction. The Heartland Foundation found that prevailing wage laws in the US increase the cost of labor on the average project by 22% and the overall cost by 9.91%. Other studies have found that prevailing wage mandates can drive up costs by as much as 37%.

The current economic downturn has already led to a reduction in development. Expanding the scope of the prevailing wage would be a major deterrent to economic development and job growth. Furthermore, reducing the threshold for prevailing wage projects will cost municipalities tens of thousands of dollars if not more. That means some important projects in your neighborhood won’t get done while others will require increased property taxes to fund them.

It makes absolutely zero sense to increase the cost of construction at a time when that sector of our economy is bleeding employees. It makes even less sense to do so when it will increase costs on local governments that are strapped for cash. Unfortunately, Rep. Garthwaite did not see things that way and voted to maintain significant, job killing changes to Wisconsin’s prevailing wage law in the budget.

The changes to the prevailing wage law are found in AB 75, the biennial budget bill. Here are the facts on how he voted:

Assembly Amendment 5 to AB 75 would have deleted all prevailing wage related provisions from the budget. This amendment failed by a vote of 51-47. Rep. Garthwaite voted against the amendment and in favor of the expanded prevailing wage mandate.

Assembly Amendment 6 to AB 75 would have exempted vacant industrial properties from the expanded prevailing wage law. This would have given governments a tool to rebuild shuttered factories like GM in Janesville. This amendment failed by a vote of 51-47. Rep. Garthwaite voted against the amendment and in favor of the expanded prevailing wage mandate.

Assembly Amendment 114 to AB 75 would have exempted company paid volunteers from the prevailing wage. This amendment would have allowed a construction company owner to pay his employees to volunteer for a day at a Habitat for Humanity site for example. This amendment failed by a vote of 51-47. Rep. Garthwaite voted against this amendment and thus voted against allowing a construction company to volunteer their workers for a charitable construction project.

Assembly Amendment 115 to AB 75 would have allowed the Department of Commerce to grant a waiver on some prevailing wage projects. For instance, a municipality could have applied for a waiver on a project that would create a significant number of jobs in the community. This amendment failed by a vote of 50-48. Rep. Garthwaite voted against the amendment and in favor of the expanded prevailing wage mandate.

Finally, Rep. Garthwaite voted in favor of the passage of AB 75. AB 75 passed by a vote of 50-48, making Rep. Garthwaite the deciding vote on passage of the expanded prevailing wage mandate.

These are the facts. Rep. Garthwaite can try to run from them all he wants but in the end he will fail. The prevailing wage mandate passed by one vote - Rep. Garthwaite's vote.

Side Note --- Since passing the Assembly, the prevailing wage mandate has been altered by Democrats in the State Senate. It is now much worse than what Governor Doyle originally drafted. The new mandate combines a low threshold and coverage of private projects with several new ideas. Under the Democrat budget as it is now written, your local town or municipality would no longer be allowed to contract with your county for many construction projects. The purpose of this change is to force local units of government to contract with expensive union contractors even when working with their county would save money and make sense. This means that your local road won’t be maintained as well or as often and that when it is, it will cost you more.

Rep. Garthwaite has not yet committed to opposing this change despite requests from local officials in the municipalities he represents.

What does the media have to say about Phil Garthwaite's budget?

Here are just a few of the stories and columns that have been written about the budget that Phil Garthwaite voted for over the past few months:

“Editorial: Democrats Forgot Why They Were Elected” – Appleton Post-Crescent – 06/07/09 – http://www.postcrescent.com/article/20090607/APC06/906070538

“Your Auto Insurance May Go Up: Proposed State Budget Has Higher Min. Coverage Requirements”
Racine Journal Times – 06/07/09 – http://www.journaltimes.com/articles/2009/06/07/local_news/doc4a2c54359273b168645547.txt

“Editorial: Serious Flaws in State Budget”Beloit Daily News – 06/08/09 – http://www.beloitdailynews.com/articles/2009/06/08/opinion/todays_opinion/edit801.txt

“Assembly Democrats to Hold Fund-Raiser During Budget Deliberations, Despite Ban”Milwaukee Journal Sentinel – 06/06/09 – http://www.jsonline.com/news/statepolitics/47050637.html

“Editorial: Slice Sneaky Earmarks from Budget”Wisconsin State Journal – 06/05/09 – http://www.madison.com/wsj/home/opinion/453747

“Editorial: Budget Dealings are Insult to Public”Appleton Post Crescent – 05/31/09 – http://www.postcrescent.com/apps/pbcs.dll/article?AID=2009905310569

“Our View: Another Disappointing Budget Process”
La Crosse Tribune – 05/31/09 – http://www.lacrossetribune.com/articles/2009/05/31/opinion/editorial/edit.txt

“Plan Would Make Wisconsin’s Garbage Fees Highest in Nation, Group Says”Milwaukee Journal Sentinel – 05/31/09 – http://www.jsonline.com/news/wisconsin/46583132.html

“Budget Includes Millions in Earmarks: Democrats Tout Frugality; Republicans Decry ‘Pork’”Milwaukee Journal Sentinel – 05/30/09 – http://www.jsonline.com/news/statepolitics/46455812.html

“Editorial: Madison Seems Way Out of Control”Green Bay Press-Gazette – 03/22/09 – http://www.greenbaypressgazette.com/article/20090322/GPG0602/903220702/1270

Monday, June 22, 2009

Rep. Garthwaite votes for millions in pork spending on every place but Southwest Wisconsin

Rep. Garthwaite was the deciding vote to keep dozens of pork projects in the budget.

During the final days before Rep. Garthwaite voted in favor of the budget, Democrat legislators met in secret behind closed doors for countless hours. In order to come up with the 50 votes necessary to pass the budget bill, Democrat leaders from Milwaukee and Madison had to shell out numerous earmarks to various Democrat legislators. The earmarks, more commonly known as pork, add up. According to the non-partisan Legislative Fiscal Bureau, the pork supported by Rep. Garthwaite totaled more than $37 million.

Here are some examples:

$6.6 million for a Yahara River project in Dane County; the county is represented mostly by Democrats, including the committee's co-chairmen, Rep. Mark Pocan (D-Madison) and Sen. Mark Miller (D-Monona).

$5 million for the Bradley Center Sports and Entertainment Corp. in downtown Milwaukee; represented by Sen. Spencer Coggs (D-Milwaukee) and Rep. Leon Young (D-Milwaukee).

$4 million for planning a joint museum for the State Historical Society and Department of Veterans Affairs; an area served by Pocan, Miller and other Dane County legislators would benefit.

Up to $1.25 million for Manitowoc Road in Bellevue; represented by Sen. Alan Lasee (R-De Pere) and Rep. Ted Zigmunt (D-Francis Creek).

$800,000 for the AIDS Resource Center of Wisconsin; the center has locations throughout the state.

Up to $500,000 for Washington Street in Racine; Democrats Sen. John Lehman, a committee member, and Rep. Robert Turner represent the area.

$500,000 for an environmental center in a park that borders Madison and Monona; the two cities are represented by the committee's co-chairmen.

$500,000 for the Oshkosh Opera House; Republican Sen. Randy Hopper and Rep. Gordon Hintz, a Democrat, represent Oshkosh.

$500,000 for Eco Park in La Crosse; represented by Sen. Dan Kapanke (R-La Crosse) and committee member Rep. Jennifer Shilling (D-La Crosse).

Up to $430,000 for Highway X in Chippewa County; represented by Sen. Pat Kreitlow (D-Chippewa Falls) and Rep. Kristen Dexter (D-Eau Claire).

Up to $400,000 for State St. in Racine; represented by Lehman and Turner.

$300,000 for the AIDS Network in Madison; represented by Pocan and Senate President Fred Risser (D-Madison).

$250,000 for a bridge on S. Reid Road in Rock County; Robson and Rep. Chuck Benedict (D-Beloit).

$250,000 for the Madison Children's Museum; represented by Pocan and Risser.

$125,000 to remodel an Eau Claire library; represented by Kreitlow and Dexter.

$100,000 for Huron Road in Bellevue; represented by Lasee and Zigmunt.

$100,000 for the Stone Barn historic site in Oconto County; represented by Sen. Dave Hansen (D-Green Bay), who sits on the committee, and Rep. John Nygren (R-Marinette).

That is just the tip of the iceberg because that list does not include major construction projects. When one figures in the total amount of earmarks, including major construction projects, it becomes clear that there are only two real winners in this budget – Madison and Milwaukee.

According to the LFB, Dane County where Madison is located will receive more than $694 million in earmark spending. Milwaukee makes out even better with $740 million in earmark spending. This spending on Madison and Milwaukee should be particularly insulting folks from SW WI because it comes in the same budget that decimates state aids to rural local governments. The Town of Platteville for instance is taking a 15% cut in shared revenue, the state aid that goes to local governments to support police, fire, and other vital local services. Perversely, the City of Milwaukee is only going to take a 1.1% hit in shared revenue and will receive millions in earmarks that will more than make up for its meager cut.

Rep. Garthwaite’s vote to kill the amendment to remove pork from the budget can be found here. As you can see, he was the deciding vote to kill earmark reform. That is a fact that he cannot deny in good conscience.

Here is a link to another vote relating to pork. This amendment would have removed all pork projects from a large Democrat amendment to the budget. This time Rep. Garthwaite was one of two votes to keep pork in the budget.

Here is an article from the State Journal about Rep. Garthwaite’s pork filled budget:

Information about shared revenue cuts in the budget can be found in this LFB memo.

Phil Garthwaite Insults Job Creators...Again...

Rep. Garthwaite spent the afternoon today speaking with more than 50 local officials, economic development leaders, and employers in Platteville. As expected, he tried to deny having voted the way he did on several amendments to the state budget. That is a big reason that I am taking the time to research the state budget and to report honestly on how he voted.

Sources who attended the meeting are reporting to me that Rep. Garthwaite continued preaching his anti-employer, anti-job rhetoric. Although he didn’t tell employers to “get their ass back down south” as he did on the floor of the Assembly in April, he did level attacks on them, by claiming that the job creators of SW WI were on a “witch hunt,” for calling him out on his votes in favor of job killing policies and tax increases in the budget.

Rep. Garthwaite votes for $1.48 billion property tax increase

According to the non-partisan Legislative Fiscal Bureau (LFB), Rep. Garthwaite voted to increase property taxes by $1.48 billion over the next biennium. This translates to about a $300 increase on the average homeowner in SW Wisconsin

Despite the fact that homeowners will face declining home values over the next two years, Rep. Garthwaite’s property tax plan calls for increases of 3.1 and 4.5 percent, respectively over the next two years. The following table lays out the tax increase homeowners can expect to face under Rep. Garthwaite’s property tax plan.

Home Value ----- Tax Increase ----- Tax Bill

$175,000 ----------- $318 ----------- $3,138
$200,000 ----------- $366 ----------- $3,603
$225,000 ----------- $410 ----------- $4,068
$250,000 ----------- $459 ----------- $4,532
$275,000 ----------- $506 ----------- $4,997
$300,000 ----------- $549 ----------- $5,460

For more information on this tax increase please see this memo from the LFB.

In addition to these increases, Rep. Garthwaite’s budget also calls for the elimination of the Qualified Economic Offer or QEO. The QEO is one of the best tools the state has to keep property taxes for school districts in check. According to the Wisconsin Association of School Boards (WASB), repealing the QEO, “will compel boards to rely more heavily on referendums to pay for maintenance, technology and other critical costs that can no longer be afforded.” The long term affect of the QEO repeal will be more referendums and significant increases in property taxes.

When an amendment to maintain the QEO was introduced on the floor of the Assembly during the budget debate Rep. Garthwaite voted against the amendment, which failed 51-47.

For more information on the repeal of the QEO, please see this column from WASB or this editorial from the Milwaukee Journal Sentinel.

Tuesday, June 16, 2009

Budget Vote

The budget passed early Saturday morning on a vote of 50-48. Rep. Garthwaite was the deciding vote that allowed the budget to pass as written. Had he held out, the Madison leadership would have been forced to improve the budget to pass it. He was also the deciding vote on many 50-48 votes to refuse consideration of good amendments and the deciding vote on many amendments that failed on votes of 49-49. In the coming days I will write in detail about Rep. Garthwaite's more important amendment votes and about the budget in general.

Monday, June 8, 2009

Shady Third Party Comes to Phil's Rescue

I got a call from a friend today telling me to turn on the radio. When I turned it on, guess what I heard? I heard a shadowy third party group telling me to call Rep. Gathwaite and urge him to vote for the state budget. The group was none other than the most despicable of all the groups that have been hijacking our Democratic process – the Greater Wisconsin Committee.

According to the left-leaning Wisconsin Democracy Campaign, the Greater Wisconsin Committee is:

A Milwaukee-based phony issue ad group that was organized in 2004 to support Democratic candidates for statewide office and the legislature. Like other phony issue ad groups, it has consistently refused to disclose how much it raises and spends to sponsor mostly negative mailings and broadcast advertising during an election. Much of its cash has come from labor unions and Democratic-leaning ideological groups that get most of their money from large corporations.

Madison insiders have reported in the past that the Greater Wisconsin Committee also gets much of its funding from two other sources: tribal casino interests, which seek political clout to protect their state sponsored casino monopoly and trial lawyers who seek laws that make it easier to sue you and I for big paydays.

Now why would a shady political attack unit that works for public employee unions, trial lawyers, and Indian tribes be spending cash to support Rep. Gathwaite and the Democrat budget? Nobody can be sure but here are a few guesses:

- $3 billion in state tax increases.
- $1.3 billion property tax hike.
- Payback for the trial lawyers that will make Wisconsin the worst state for lawsuits in the country.
- Far left policy such as $15 million worth of free state health care and benefits for the boyfriends and girlfriends of state employees.
- Far left policy such as a new drivers license program and instate tuition for illegal immigrants.

The fact is that the groups who fund and run the Greater Wisconsin Committee have just as much to gain from this budget passing as we citizens have to lose. The question is, when the budget comes up for a vote Wednesday, will Rep. Garthwaite stand with his constituents or with the shady group that runs his shadow campaign and is now running radio ads for him?

Saturday, June 6, 2009

Will Phil Garthwaite vote for a 60 cent a gallon gas tax?

The Capital Times just published an article stating that gas prices are once again about to head over $3.00 a gallon.

The article blames the typical culprits – summer travel, China, OPEC, etc… but fails to mention one major contributor…Madison politicians.

Wisconsinites currently pay one of the highest gas taxes in the nation – just over 51 cents per gallon. The revenues from this tax are intended to pay for road maintenance and construction, however, for the past six years Governor Doyle has raided much of these funds to spend on other things, primarily for the benefit of special interest contributors such as the state teacher’s union WEAC.

The current budget, which Rep. Garthwaite is scheduled to vote on this Wednesday, will increase the taxes we pay on gas to more than $.60 a gallon making Wisconsin the highest taxing state on gas other than California and New York which apply a general sales tax to gasoline in addition to the excise tax that Wisconsin applies. To make matters worse, the Democrat written budget proposal raids hundreds of millions of gas tax revenues for general spending and for pork projects for their districts. The media has been astute to point out some of these pork projects. Please see the following articles:

State Journal Article on Democrat Budget Pork

Milwaukee Journal Sentinel Article on Democrat Budget Pork

Janesville Gazette Article on Democrat Budget Pork

If this budget passes Wednesday, it will be the 4th Democrat budget in a row to raid gas tax revenues for use on projects entirely unrelated to road building. It will also apply the new gas tax in such a way that farmers in Southwest Wisconsin are penalized for being members of a petroleum product supplying cooperative.

In case the link changes; here is a list of just some of the pork thrown in the budget by the Democrat controlled legislature. Some of this pork is paid for by a raid on the funds that the increased gas tax will supply. This list was posted on May 29th, 2009 on the Milwaukee Journal Sentinel’s website.

• $44.5 million, mostly in bonds, for a University of Wisconsin-Eau Claire education building; represented by Sen. Kathleen Vinehout (D-Alma) and Rep. Jeff Smith (D-Eau Claire).
• $13 million for the Wisconsin Rapids armory; represented by Sen. Julie Lassa (D-Stevens Point), who is on the committee, and Rep. Marlin Schneider (D-Wisconsin Rapids).
• $28 million in bonds for a School of Nursing facility at the UW-Madison; Sen. Judy Robson (D-Beloit), a nurse who sits on the committee, has long backed her profession in the Legislature.
• $6.6 million for a Yahara River project in Dane County; the county is represented mostly by Democrats, including the committee's co-chairmen, Rep. Mark Pocan (D-Madison) and Sen. Mark Miller (D-Monona).
• $5 million for the Bradley Center Sports and Entertainment Corp. in downtown Milwaukee; represented by Sen. Spencer Coggs (D-Milwaukee) and Rep. Leon Young (D-Milwaukee).
• $4 million for planning a joint museum for the State Historical Society and Department of Veterans Affairs; an area served by Pocan, Miller and other Dane County legislators would benefit.
• Up to $1.25 million for Manitowoc Road in Bellevue; represented by Sen. Alan Lasee (R-De Pere) and Rep. Ted Zigmunt (D-Francis Creek).
• $800,000 for the AIDS Resource Center of Wisconsin; the center has locations throughout the state.
• Up to $500,000 for Washington Street in Racine; Democrats Sen. John Lehman, a committee member, and Rep. Robert Turner represent the area.
• $500,000 for an environmental center in a park that borders Madison and Monona; the two cities are represented by the committee's co-chairmen.
• $500,000 for the Oshkosh Opera House; Republican Sen. Randy Hopper and Rep. Gordon Hintz, a Democrat, represent Oshkosh.
• $500,000 for Eco Park in La Crosse; represented by Sen. Dan Kapanke (R-La Crosse) and committee member Rep. Jennifer Shilling (D-La Crosse).
• Up to $430,000 for Highway X in Chippewa County; represented by Sen. Pat Kreitlow (D-Chippewa Falls) and Rep. Kristen Dexter (D-Eau Claire).
• Up to $400,000 for State St. in Racine; represented by Lehman and Turner.
• $300,000 for the AIDS Network in Madison; represented by Pocan and Senate President Fred Risser (D-Madison).
• $250,000 for a bridge on S. Reid Road in Rock County; Robson and Rep. Chuck Benedict (D-Beloit).
• $250,000 for the Madison Children's Museum; represented by Pocan and Risser.
• $125,000 to remodel an Eau Claire library; represented by Kreitlow and Dexter.
• $100,000 for Huron Road in Bellevue; represented by Lasee and Zigmunt.
• $100,000 for the Stone Barn historic site in Oconto County; represented by Sen. Dave Hansen (D-Green Bay), who sits on the committee, and Rep. John Nygren (R-Marinette).

The Smoking Ban

A few weeks ago Rep. Garthwaite voted against Senate Bill 181, which bans smoking in all Wisconsin businesses and public places. To his credit this vote was consistent with his stance during the last campaign, however, I cannot fully applaud Rep. Garthwaite for standing up for his beliefs. Here is why.

The smoking ban was driven by the leaders of the Democrat controlled legislature in Madison but was a bi-partisan bill. Many Republicans in the Assembly voted in favor of the bill. This meant that Rep. Garthwaite could vote against the bill without harming the wishes of his Democrat bosses in Madison. After all, his vote against the ban would be canceled out by a GOP vote in favor of the ban. When it came time for votes on amendments, however, things weren't so simple.

SB 181 contained an odd caveat that would make Wisconsin unique amongst states with smoking bans. It would prohibit smoking in 100% of all hotel rooms. Roughly half of the states in the US currently have some sort of statewide smoking prohibition in place, however, all of them either ignore hotels or allow for a certain percentage of rooms to have smoking. Most commonly, states allow for a hotel owner to keep up to 25% of his or her rooms smoking. Iowa does this as does Illinois. The Democrat drafted Wisconsin ban, however, prohibits Wisconsin innkeepers from allowing smoking in any rooms. It even makes it illegal for the Innkeeper to smoke in their own room or home if they happen to live on premises.

The affect that this total prohibition will have in Wisconsin is two-fold. Smokers who choose or are forced to stay in Wisconsin hotels will simply smoke in non-smoking rooms. What is to stop them? This means that non-smokers like myself will have to suffer the terrible stench that is a smoky hotel room.

The second affect of this provision will be to reduce business to Wisconsin’s hotels, especially in border areas like Grant County. Why would a smoker stop at the Governor Dodge Hotel and Convention Center in Platteville when they can drive another 35 minutes and get a smoking room at the Holiday Inn in Dubuque?

To correct this problem, Assembly Republicans introduced an amendment to let hotels allow smoking in a small percentage of their rooms. When this amendment was brought to the floor of the Assembly, the Democrat leadership in Madison motioned to kill it but enough Democrats from Rural areas sided with Republicans to keep the amendment alive. Unfortunately, the Madison liberal elite then called for the Assembly to go informal, a pause in debate where leadership can speak with their members. The Democrat leadership from Madison used this time to browbeat their rural members into voting to kill the amendment. A few minutes later the amendment died by a vote of 50-48.

Phil Garthwaite was the deciding vote to create a major disadvantage for Grant County inn keepers and a huge advantage for the hotels and motels in nearby Illinois and Iowa. If you don’t believe me, please see the vote. The facts speak for themselves. It’s available for all the public to view on the legislature’s webpage. You can see the history of the smoking ban bill here and the vote on this amendment here

Rep. Garthwaite then voted to allow smoking in Indian Casinos in Wisconsin, thus giving the Tribes a monopoly on smoking customers. It must be noted that Indian Tribes such as the Ho Chunk Nation were major contributors to third party groups that ran issue ads in favor of Rep. Garthwaite during the last election. Rep. Garthwaite also voted against allowing Veterans to smoke in their private clubs such as American Legion and VFW posts. Here is the vote to prove it.

At the end of the day, what does this mean? It means that Rep. Garthwaite can be trusted to stick to his word when he votes on issues that are supported by a majority of Reps. in Madison. Unfortunately for the voters of Southwest Wisconsin, it also means that Rep. Garthwaite cannot be counted on to vote in the interest of his constituents when the liberal Madison elite who control the Assembly need his vote. To reiterate, if Rep Garthwaite had stood for SW Wisconsin, hotels in the area would not have been put at a disadvantage in comparison to their counterparts in nearby Iowa or Illinois. His vote was the deciding vote to kill an amendment that would have helped his district.


Just the Facts:

Rep. Garthwaite voted against SB 181 – a bill to ban smoking.

If you support banning smoking in public places such as restaurants and taverns then Rep. Garthwaite voted against your interests.

If you oppose banning smoking in public places such as restaurants and taverns then Rep. Garthwaite voted in your interests.

If you own or work in a hotel in SW Wisconsin then Rep. Garthwaite voted against your job and livelihood.

If you think that it is unfair that Indian Tribes are given a monopoly on smoking in taverns in Wisconsin then Rep. Garthwaite voted against your beliefs.

If you are a Veteran or believe that Veterans have earned the right to smoke in their private clubs then Rep. Garthwaite voted against you.