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1/29/2008
How about a sit-in until we get GAAP budgeting?
Dear Mr. Speaker: “I am writing today to respectfully request that you call the Assembly into session five days a week – every week – until the issues vital to our state’s economic well being and future are addressed. These issues include but are not limited to: economic development, tax cuts, job creation, health care reform, education, campaign finance and budget reform, and investing in renewable energy.”
So wrote Rep. Tom Nelson (D-Kaukauna), who’s the same guy that sat in the Assembly chambers, taking a cold shower in the basement until the budget was signed.
Beth Mueller at the Badger Herald interviewed Rep. Nelson, as well as Rep. Scott Suder (R-Abbotsford), who is quoted as saying “I think Rep. Nelson should spend more time coming up with ideas instead of sending out political press releases.”
Exactly.
Nelson told the Badger Herald “…we need to pass comprehensive budget reform – this is something we should have done three months ago.”
Ok. Let’s look at budget reform. The most important piece of legislation out there is SB-34, which would require that 1) the budget bill is to be prepared according to GAAP and 2) includes a roadmap to reduce the state’s current ($2.44 billion) budget deficit.
If Wisconsin continues to “cook its books” (as Rep. Lasee so aptly calls it), any other “reform” is window dressing. Nelson has not signed on as a co-sponsor of SB-34. the most critical budget reform needed in Wisconsin, one of only 3 states to allow deficit budgeting.
To be fair, Nelson has introduced (with Rep. Hinz D, Oshkosh) AB-627, which would compel attendance of members at meetings of the budget conference committee – and would compel the meeting be held no later than a specified date. The bill also commands the committee to meet essentially continuously until the conference report is approved. And all this mind-the-teacher stuff is to be enforced by the sergeant of arms!
The bill would withhold salaries if a bill isn’t passed before August 1 and would prohibit certain political contributions. Nelson has signed on as a co-sponsor of AB-551 as well, which offers similar proposals.
I disagree with the babysitting in AB-627 and AB 551, but they are indeed attempts by Nelson, however impractical or silly, to change the status quo.
Yup, it’s tough decisions time about the budget. Here’s my question - has Representative Nelson proposed a list of budget cuts that can be made to address the projected $400M shortfall in revenues the state is likely to see by the end of this budget cycle? Has he made any proposals that would trim our state’s current $2.44 billion deficit?
And “tax cuts, job creation, health care reform, education, campaign finance ..., and investing in renewable energy.” Not a single bill in those categories on Nelson’s list of proposed legislation. Not a one.
And the economy. Not one bill in that bailiwick either. Here’s how you can address the economy Representative Nelson. Cut state spending. Get the state on a path to fiscal stability. Offer your specific routes to get the state’s fiscal house in order. How about a sit-in until the state adopts GAAP accounting for its budget books?
COMMENTS
So Bob, committing the state to GAAP budget accounting and at minimum, reducing the deficit by $100,000,000 per year doesn't reduce spending? The Fiscal Estimate says indeterminate because they're not going out on a limb to project the impact on the state's economy. The sole purpose of the Fiscal Estimate is to project the impact of a bill on the cost of doing business in the statehouse and its agencies. So that brings me to interest - that's something they do mention. It will save the state an indeterminate amount of interest (depending on rates at the time). Given the great preponderence of literature on the issue (and the experience of 47 states in much better fiscal positions), it's absolutely inarguable that Wisconsin must come out of the 1840's, when Wisconsin became a state (which is when our current budgeting method was adopted), stop ignoring it's huge GAAP deficit, and come into the 21st century with its budgeting procedures. It's also time the state and its elected officials stopped pretending they were passing a balanced budget.
Jo E. (Tue Jan 29 09:03:15 2008)
Tom Nelson is a fine capable legislator. His protest was designed to call attention to the plight of Wisconsin citizens burdened with a state government incapable of compromise and civil disagreement. I admire Tom's spunk and think he represented the feelings of many citizens that enough is enough. I opened the link to the Senate Bill and further opened the link to the comments and review. I was struck by the fact that those reviewing the proposed legislation indicated that the effects of the law if passed were "Indeterminate" and the "long range fiscal implications were unknown" Why on earth would any reasonable person vote in favor of the bill in it's current form. The argument linking Tom's symbolic sit-in and the need to pass GAAP is specious and illogical.
bob pedersen (Tue Jan 29 08:18:56 2008)
I think you missed the point Bob, that the "scoreboard" needs to be accurate in order for the legislators to address the issues with the best possible information. That does not mean that the legislators will act and that is why the impact was listed as "indeterminate" and the "long range fiscal implications were unknown".
In the private sector and the not-for-profit sector you are governed by your sectors GAAP. That's all we are asking our legislators to do to start to get us on the right track for fiscal responsibility. I still feel that supporting GAAP should be a major priority of all our legislators and we should support or not support with our vote this fall depending on their position. If we don't at least agree on the numbers, we are doomed to repeat the budget process we had last time.
You objected to Bob's position more eloquently than I. Thanks Mike. JE
Mike Thomas (Tue Jan 29 09:46:54 2008)
Jo, you are absolutely correct on your criticisms, but all of these problems would simply go away (in time) if we got the special interest money out of the political system.
Thus, in my mind, putting campaign reform at the top of the list is the most critical.
Sorry, but you won't get support from Frank Lasee, who likes the status quo.
Jack Lohman (Tue Jan 29 11:42:28 2008)
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