What Kind of Change Is on the Way?

By the time the next Capitol Update column is written, the Nov. 4 General Election will have taken place.
Thursday, November 6, 2008 1:52 PM CST

Joan Sanstadt, News Editor

Notice, I’m not saying the results of that election will be known. That’s because the aftermath of the 2000 General Election cannot be forgotten. Hopefully, the Nov. 4 balloting results will be decisive at both the national and state levels and citizens can prepare for whatever January of 2009 will mean for them.

Although Wisconsin Governor Jim Doyle has consistently denied any suggestions that he might be called to Washington D.C. to serve in an Obama Administration, that possibility doesn’t seem at all far-fetched to me.

First of all, he announced his support for Barack Obama very early in the campaign. That alone would put him in contention for a cabinet or high administration post.

Secondly, as the governor of a battleground state that has delivered its Electoral College votes to the Democratic nominee in the past several elections, he’s bound to be recognized.

Third n and perhaps most important, first term presidents whether they are Republican or Democratic, know they can lean on governors and benefit from their administrative experience.

Should Doyle leave the state, Lieut. Gov. Barbara Lawton would become governor. Just how would she deal with the likely $3 billion budget deficit the state will have to address early in 2009?

We’re sure to know the answers to these and many other questions in the coming weeks n let’s hope some of them will be answered on Nov. 4.

Retiring lawmakers

Agri-View asked several retiring legislators who have served on agriculture or rural affairs committees to respond to five questions.

Responses have been received from Rep. Barbara Gronemus (R-Whitehall), Rep. Gene Hahn (R-Cambria) and Rep. Terry Musser (R-Black River Falls).

Here are the questions and the responses we received:

1. Why did you decide not to seek re-election?

Gronemus: I decided it was time to spend time with my grandchildren and great-grandchildren, and teach them about the soil and to go fishing.

Hahn: After 18 years in the Wisconsin Assembly I decided it was time to enjoy retirement.

Musser: Both major parties have moved too far to the extremes. It has become politically incorrect to be a moderate!

2. What ag-related legislation did you author/sponsor/vote for are you proudest of?

Gronemus: Separate legislation and state budget provisions that strengthened DATCP programs to prevent and combat Brucellosis, Swine Pseudorabies and Tuberculosis and the related upgrading of our state Animal Health Laboratory.

Hahn: Ethanol legislation. I’ve always believed in renewable energy and particularly bio-energy that could be derived from crops n including industrial hemp.

Musser: Use value assessment of farmland.

3. Why?

Gronemus: Animal health is crucial to maintaining our strong agricultural economic and industry and maintain consumer confidence in dairy and other agricultural products.

Hahn: Because energy independence is important for our country.

Musser: Under use value assessment, our farmland is taxed on what it is used for and not on what it COULD be used for.

4. In your opinion, what is the most important ag issue that the Wisconsin Legislature needs to address during the 2009-11 session?

Gronemus: Embracing new technologies when it comes to providing the necessary energy needed to operate our agricultural sectors of production, including better progress when it comes to renewable fuels.

Hahn: The huge budget deficit which may be bigger than when Gov. Doyle first took office. Dealing with this will be the No. 1 issue for every legislator.

Musser: Developing alternative fuels. We must break our dependence on foreign fossil fuels.

5. What advice would you like to offer your successor?

Gronemus: Be honest with yourself, be honest with the folks you represent, and learn to work together with fellow legislators of both political parties!

Hahn: Be on time and LISTEN. You will have to do both of these things to understand how this place works.

Musser: You are elected to represent YOUR DISTRICT, not the powers that be in Madison.

Right to Farm

Peter Pelizza, executive vice president and chief executive officer of Rural Mutual Insurance Company, indicated on Monday that Rural expects payment in mid-December for its costs incurred in defending cranberry grower William Zawistowski.

In August, Tom Lochner, executive director for the Wisconsin State Cranberry Growers Association, issued this statement regarding a decision by Judge John Anderson of Bayfield County to award Sawyer County cranberry grower Bill Zawistowski $549,632 in legal fees and costs.

“The right to seek recovery of legal fees and costs from plaintiffs is a remedy Wisconsin farmers have under the state’s Right to Farm Law,” Lochner said. “The fees and costs are to be paid by several out-of-state landowners who filed a nuisance lawsuit against Zawistowski dating back to 2004. Zawistowski prevailed in that case in Sawyer County Circuit Court, at the Wisconsin Court of Appeals, and in May 2008, the Wisconsin Supreme Court declined to review the plaintiffs’ case against Zawistowski.”

Licensing workshops set

An informational meeting on the major upcoming changes in electrical licensing and inspection requirements in Wisconsin will be held on Dec. 3 from 3 to 6 p.m. at Alliant Energy, 880 N. Wisconsin St., Berlin. No registration is required.

Four other meetings are also scheduled: Dec. 4 in Richland Center, Dec. 8 in Ashland, Dec. 9 in Rhinelander and Dec. 10 in Rice Lake.

Department of Commerce Secretary Dick Leinenkugel is urging “members of the electrical industry to attend one of these meetings and learn about the new statewide licensing system.” The meetings will help educate and inform electricians and inspectors of the new requirements for installing electrical wiring and providing for electrical inspections of all buildings.

Under Wisconsin Act 63, signed by Gov. Doyle last March, requires the Department of Commerce to establish a state electrical wiring code, generally requires electricians to be licensed and registered and provides for electrical construction inspections of all buildings.

The meetings are open to the public.

Jobs

No one can deny the state has lost manufacturing jobs and come December, when the General Motors plant in Janesville shuts down, the number of jobless workers will increase.

But there is an industry in Wisconsin that continues to do well n and it is one that is seldom mentioned.

This is the property and casualty insurance industry.

Last month Wisconsin Insurance Commissioner Sean Dilweg commented on an advisory council study that cited the state’s “broad-based and growing industry” has more than 17,000 employees in its property and casualty insurance companies and these companies are among the state’s largest employers.

The study showed that the $59,000 average pay earned by insurance industry employees ranks 67 percent above the state’s average wages, resulting in over one billion dollars of direct income in Wisconsin. Those jobs, combined with property and casualty agents and brokers, generate even more Wisconsin jobs. The study also found that between 59,000 and 65,000 Wisconsin jobs could be attributed to the property and casualty insurance industry.

Dilweg said Wisconsin is “home to the fifth highest number of property and casualty insurers in the nation.” Only Texas, New York, Pennsylvania and Illinois have more property and casualty insurers, he added.

Ag lenders conference

A conference of Central Wisconsin Ag Lenders is set for Dec. 9 at the Hancock Agricultural Research Station at Hancock from 9 a.m. to 3:15 p.m.

This conference is designed primarily for lenders and agricultural professionals who work with farm clientele. Speakers will include Gregg Hadley, UW-River Falls Associate Professor of Agricultural Economics; Bruce Jones, Farm Management Specialist for UW-Extension; Paul Mitchell, UW-Extension Grain Cropping Systems Specialist; Tim Baye, Center for Community and Economic Development; and Patrick Walsh, UW-Extension Energy and Environmental Specialist.

Local production outlook for vegetables, grain crops, dairy and livestock production will be covered by area UW-Extension Agriculture Agents.

Ken Williams, UW-Extension, said “Market price volatility and the increased cost of production requires a clear understanding of the potential for profit or loss by ag lenders. High production no longer can insure a profitable return.”

Wisconsin agricultural producers rely on large amounts of funding provided by the banks and financial institutions. “This funding is used by producers for long term purchases of land and equipment as well as year-to-year purchases of inputs needed for annual crop production.

“Grain production has entered a new era of extreme volatility in grain markets prices. In the past year we have seen grain prices rise to levels unforeseen just a few short months ago and then in the past few weeks we have seen them drop by around fifty percent,” Williams continued.

“Investment in commodities by large bond investors has contributed to a highly volatile grain market. High oil prices and the rapid climb in the costs of fuel, fertilizer, seed and other inputs needed in order to produce these grain crops have greatly increased producers investment in the crops they are growing,” Williams noted.

Dairy producers have seen record high milk prices in 2007 followed by lower prices in 2008 and projected lower prices in 2009. The price for Class III milk peaked at $21.38 in July 2007 and will average around $18.65 for 2008. “This compares to the 2007 average of $19.27 and projected prices for 2009 that could be $2, $3 or $4 less than 2008 prices,” Williams pointed out.

“Feed costs for a 16 percent dairy ration jumped from $6.85 per hundred pounds in September 2007 to $9.88 in September 2008, an increase of 44.2 percent. For agricultural lenders these changes in markets and production costs present challenges as they look at the winter season for approving or renewing loans needed by agricultural producers,” Williams emphasized.

Williams said farmers are welcome to attend the conference but warned space is limited. He recommended anyone interested in attending should contact him at 920-787-0416 as soon as possible.

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