Category: The state

Budget Cuts and Public Authority for UW System

Much has appeared in the media recently about possible public authority status for UW System. Little is known about the proposal, and Governor Scott Walker has not confirmed he will include it when he introduces his 2015-17 biennial budget next week.

PROFS president Grant Petty told Capital Times reporter Pat Schneider that additional budget cuts, even when coupled with additional administrative flexibilities, could seriously harm UW-Madison:

“UW-Madison has already had to absorb painful reductions in state support over the past ten years. There is no fat left in the budget . . . any additional funding reductions, no matter how small, would cut into that mission. The future worth of a degree from UW-Madison would be affected, as would the university’s continued ability to attract talented teachers and literally billions of dollars in direct and indirect economic benefits to the state of Wisconsin.”

Additional articles on the UW System and the 2015-17 biennial budget:

Speculation of big Scott Walker budget cut has UW-Milwaukee fearing worst (Milwaukee Journal Sentinel, 1/23/15)

UW Could Face $300 Million Revenue Loss, Changes to Tenure, Shared Governance (Media Milwaukee, 1/23/15)

Walker acknowledges considering more autonomy for UW System (Wisconsin State Journal, 1/20/15)

Governor Walker says he is considering more autonomy for the UW System (Wisconsin Public Radio, 1/20/15)

Tom Still: Coming debate over UW funding, structure deserves public attention (Wisconsin State Journal, 1/25/15)

Expect more students from outstate and abroad if expected state funding cuts come to UW (Wisconsin State Journal, 1/25/15)

UW System could see changes after next state budget (Channel 3000, 1/22/15)

Assembly Speaker Robin Vos supports more flexibility for UW System (Wisconsin State Journal, 1/23/15)

 

Modest Pension Increases Projected for WRS Retirees

The State of Wisconsin Investment Board (SWIB) announced yesterday that preliminary returns for the Wisconsin Retirement System (WRS) should result in modest increases for retirees.

The Core Fund, the state’s largest trust fund at $88.7 billion, slightly surpassed its benchmark with a one-year return of 5.7 percent. The five-year return is projected to be 9.3 percent. The riskier Variable Fund, with holdings of $7.3 billion, lagged just behind its benchmark with a one-year return of 7.3 percent.

Last year both funds posted strong gains, resulting in the first increase for annuitants in five years.

PROFS carefully monitors legislation relating to WRS and lobbies for the best possible pensions for faculty.

In 2011, the legislature requested a study to examine allowing WRS participants to choose a defined contribution plan or opt out of WRS altogether. PROFS hosted a campus forum featuring experts on WRS, including the former legal counsel to SWIB and the former secretary of the Department of Employee Trust Funds. The resulting 2012 legislative report recommended no changes to WRS.

The state’s retirement system is very highly regarded — Morningstar recognized WRS as the strongest state pension in country, and the Pew Center on the States found WRS to be fully-funded and called it a “solid performer.”

Governor Walker to Deliver State of the State January 13, Budget Address February 3

winter capitolGovernor Scott Walker will deliver his State of the State address at 7 pm Tuesday evening in the Assembly Chambers of the Capitol. The speech is usually an outline for the governor’s legislative and budget priorities for the coming year, but Walker might also hint at a possible run for president. Livestream coverage of the address will be available on public radio and television.

Walker will present his 2015-17 budget proposal to the Legislature on Tuesday, February 3. The state is facing a $2.2 billion shortfall if agency requests are fully funded. UW System has requested $95.2 million for the several items:

  • $30 million for a competitive grant program targeting six areas critical to the state’s economy: agriculture, finance, insurance/real estate, healthcare, manufacturing, transportation, and water research.
  • $27.3 to cover a pay plan funding gap. Historically, UW System funds about 30 percent of a pay plan increase with tuition dollars. The two-year tuition freeze has led to a funding gap, with many campuses holding insufficient reserves to cover the pay plan.
  • $24.4 million to increase the number of college graduates statewide, with much of the funding directed to the Course Options program, a program that allows high school students to earn college credits. Additional funding would expand the Flex Option degree program, improve the credit transfer system, and assist working and first-generation college students.
  • $22.5 million in one-time funding to assist with the creation of STEM (science, technology, engineering, and math) jobs. The money will be available to individual campuses through a competitive grant process.

PROFS has already met with the state’s budget director to advocate for the budget request and is working with other university stakeholders to secure the best possible outcome for UW-Madison.

2015 Legislature

The Wheeler Report has compiled extensive lists of the 2015 Wisconsin Legislature. Members of the Assembly and Senate with contact information and committee assignments are listed below. Check back soon for the 2015 PROFS Legislative Directory, a list that includes links to legislative leadership and the Dane County delegation.

Assembly p. 1

Assembly p. 2

Assembly p. 3

Assembly p. 4

Assembly p. 5

Assembly p. 6

Senate p. 1

Senate p. 2

Senate p. 3

 

 

 

 

Governor Scott Walker Inauguration Speech

Governor Scott Walker

Governor Scott Walker

Governor Scott Walker will deliver his inaugural address at 11 am today, Monday, January 5. Livestream coverage is available here.

Brief excerpts of the speech were released earlier today. In them, Walker emphasizes the role of the states over the federal government:

“We’ve been good stewards of the taxpayers’ money and lowered their tax burden as well. We’ve shown why the founders of this great nation looked to the states — and not the federal government — as the source of hope for this exceptional country. We will not let them down. Now, we have a grand vision for the future — a dream of freedom and prosperity for all who live here in the great state of Wisconsin.”

ETA: full remarks here.

UW System President Ray Cross Interview

Steve Walters of WisconsinEye recently interviewed University of Wisconsin System President Ray Cross to discuss the future of the University of Wisconsin System. Video of the interview is below.

Topics of discussion included a look to future budgeting and funding constraints, the possible creation of new engineering programs at three UW System campuses, and the relationship between UW System and the Wisconsin Technical College System.

Walters and Cross spoke at length about Cross’ recent remarks to the Board of Regents and the subsequent plans for a transformational study of the UW System. Cross estimates this study will occur over the next several months, and faculty will be engaged in the process. Cross also said UW System must do a better job at communicating what faculty do, in and outside the classroom.

When asked if UW-Madison will be included with the proposed reforms, Cross said UW-Madison and UW-Milwaukee have a research focus and the final recommendations may not fully apply to those two campuses.

 

Robin Vos on Teaching Load and Tenure

Assembly Speaker Robin Vos

Assembly Speaker Robin Vos (R-Rochester) recently spoke with the Racine Journal Times editorial board, where he shared his views on a range of issues including right to work, school accountability and employment for prisoners.

Vos also discussed his views on UW System and its faculty, saying he was concerned about the amount of time faculty spend outside the classroom:

“If they’re bringing in research, I totally understand that; they’re helping to grow the economy or even grow the public good. But if they are just being allowed course releases to have a sabbatical or to do something that’s not productive, we don’t have the money to do that.”

On tenure:

“Do I believe in tenure? I don’t. It’s an anachronism; it was something that was back from the ‘50s and ‘60s. I don’t think anyone should be given a job for life, which is what tenure is.”

PROFS President Grant Petty notes that tenure is not a job for life, and in fact tenure was developed in the early 20th century to offer faculty due process and protect their academic freedom:

“Tenure is the foundation of great research and teaching institutions. It does not offer one a job for life, but instead allows faculty to pursue scholarly endeavors without fear of ideological or political attack.”

WAA Fall Forum

Dozens of alumni and friends of the University of Wisconsin-Madison gathered Saturday to discuss the state budget process and learn how they can play a role in advocating for the university. PROFS President Grant Petty attended, along with legislative representative Jack O’Meara and administrator Michelle Felber.

Attendees heard from Chancellor Rebecca Blank, Associate Vice Chancellor Charles Hoslet, and Chemistry Professor Robert Hamers.

Blank and Hoslet focused their remarks on the biennial budget process, while Hamers discussed the proposed Chemistry Building renovation project and the importance of the department to other departments, schools, and colleges throughout campus. WAA also shared a new video that was sent to alumni and donors throughout Wisconsin.

Hamers’ PowerPoint:

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Hoslet’s PowerPoint:

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WAA video:

https://www.youtube.com/watch?v=VO3R8VUrpIs

 

 

Legislative Leadership Selected

Capitol & ForwardSenate and Assembly partisan caucuses met this week and selected their leadership for the 2015-16 legislative session.

Assembly Republicans will continue to be led by Speaker Robin Vos (R-Rochester), while Senate Republicans re-elected Scott Fitzgerald (R-Juneau) as their leader. Republicans enjoy large margins over Democrats in both houses — 63 to 36 in the Assembly and 19-14 in the Senate.

Democrat Peter Barca (D-Kenosha) held off challenger Evan Goyke (D-Milwaukee) for the position of Assembly Minority Leader. Senate Democrats will be led by Jennifer Shilling (D-La Crosse), who challenged Minority Leader Chris Larson (D-Democrat). Larson withdrew his name before the caucus met yesterday.

Assembly Republican Leaders

Robin Vos, Rochester, Speaker

Jim Steineke, Kaukauna, Majority Leader

Dan Knodl, Germantown, Assistant Majority Leader

Tyler August, Lake Geneva, Speaker Pro Tempore

John Murtha, Baldwin, Caucus Chair

Lee Nerison, Westby, Caucus Vice-Chair

Jesse Rodriguez, Franklin, Caucus Secretary

Samantha Kerkman, Salem, Sergeant at Arms

Assembly Democratic Leaders

Peter Barca, Kenosha, Minority Leader

Katrina Shankland, Stevens Point, Assistant Minority Leader

Andy Jorgensen, Milton, Caucus Chair

Jo Casta Zamarripa, Caucus Vice Chair

Beth Meyers, Bayfield, Caucus Secretary

Josh Zepnick, Milwaukee, Caucus Sergeant at Arms

Senate Republican Leaders

Scott Fitzgerald, Juneau, Majority Leader

Paul Farrow, Pewaukee, Minority Leader

Mary Lazich, New Berlin, President

Rick Gudex, Fond du Lac, President Pro Tempore

Sheila Harsdorf, River Falls, Caucus Chair

Van Wanggaard, Racine, Caucus Vice Chair

Senate Democratic Leaders

Jennifer Shilling, La Crosse, Minority Leader

Dave Hansen, Green Bay, Assistant Minority Leader

Julie Lassa, Caucus Chair

Kathleen Vinehout, Caucus Vice Chair

Chancellor Blank Offers Budget Transparency

Chancellor Rebecca Blank recently sat down with Milwaukee Journal Sentinel reporter Karen Herzog to discuss the university’s budget and how it relates to the upcoming 2015-17 state biennial budget process.

The chancellor told Herzog that she has worked to make UW-Madison’s budget more transparent to lawmakers, work that culminated in the publication of the 2014-15 Budget in Brief (embedded below).

Blank also shared how the campus has drawn down its reserves as a result of the 2013 controversy over UW System’s financial reserves, and deans and directors have been asked to model budget cuts of 2, 4, and 6 percent in anticipation of possible budget cuts from the state.

Blank also made the case for better faculty salaries, stating the university must compete globally for the best faculty. Faculty salaries are currently at the bottom of the university’s peer group — full professors earn almost 13 percent below the peer median.

The full article is expected to run in the November 11 edition of the Journal Sentinel. ETA: The article ran in the November 12 edition of the paper.

 

2014-15 Budget in Brief