Today we'll explore the WEAC insurance companies called WEA Insurance Group.

The WEA Insurance Group is composed of five organizations:

• WEA Insurance Trust
• WEA Insurance Corporation
• WEA Tax Sheltered Annuity Trust
• WEAC Member Benefit Trust
• WEA Property & Casualty Insurance Company

These organizations are used to provide coverages such as health insurance, dental insurance, long term disability insurance, long term care insurance, automobile insurance, homeowners insurance and tax-sheltered annuities.

This is a spectacular picture from the WEA Trust that was created in 1970 with initial capitalization of $5,000 that was provided by WEAC.  By 1977, this Trust had become the thirteenth largest health insurer in Wisconsin.  By 1989, it employed 140 people, and now employs some 500 people and serves over 200,000 public school employees and family members.

It, as is its parent, is the 800 lb. gorilla so far as insurers providing coverage to school districts in Wisconsin.  It takes pride in the ways in which it developed new coverages for its members and in its record of few member complaints.

Among the breakthroughs it claims credit for are these:

• The trust was the first in the state to offer a disability plan that replaced 90% of a disabled employee's income.  (Typical insurance policies offer up to two-thirds of the employee's compensation to encourage those who are able to return to work as soon as possible, and to help hold insurance premium cost down for employers.)
• The Trust was the first insurer in Wisconsin to cover transplants as a standard benefit.  (Such breakthroughs have had to add costs to these plans that caused increases in premiums to employers.  Most insurers were hesitant to offer such coverage unless and until forced to do so by state mandate since they would've been priced uncompetitively with other insurers.)
• The Trust health plan covered psychiatric and chiropractic services "long before the law required insurance companies to offer such benefits".  (Again, we see marketplace differentiation that made it nearly impossible for other insurers to compete for school district business while it made the employers pay more due to these increased levels of service.)

We discussed Jane Doe's coverage cost to the district in a recent Blog.  Jane's cost to the district was $19,279 during the most recent school year, and she paid another 3% of the premium from her pocket as her contribution toward that cost.  Given the coming school year and plan changes that have been made by WEA Insurance Trust, the cost to the district for the most comparable program will go up to some $22,400 for an increase of about 16% in its cost.  (This is contrasted with an average increase in Wisconsin for other employers of about 4% this year according to a survey by the Mercer consulting firm released today.)

That same announcement based on the Mercer survey pointed out that $1,000 deductibles are now commonplace across America.  I would be amazed if a single school district in Wisconsin could be identified that has such a deductible in place.  Premium sharing by employees is often done on a 25%-75% or a 50%-50% basis in Wisconsin's workplaces, but in Jane's case there is a 3%-97% sharing arrangement.  It is not at all uncommon for employees of firms with fewer than 50 employees to have no health insurance coverage provided by their employer today.  That percentage is in the range of 50% to 60% in Wisconsin today.

WEA Insurance Trust points to its success with the following statistics:

• Health plan enrollment was 138,024 for 2007, or 71% of eligible school districts.
• Dental plan enrollment was 149,961 for 2007, or 78% of eligible school districts.
• Long term disability enrollment was 60,063 for 2007, or 75% of eligible school districts.
• Life plan enrollment was 36,237 for 2007, or 46% of eligible school districts.
• Long term care enrollment was 21,251 in 2007, or 23% of eligible school districts.

This is what the insurance industry calls "penetration" of a marketplace, and it points to the dominance that WEAC has in negotiating on behalf of its insurance companies.  I have spoken with people who have attempted to compete against the WEAC/WEA Insurance Trust insurance programs.  They have made presentations to Boards showing significant decreases with relatively little in the way of plan benefit reductions and few are ever successful in getting the business.  The union dominates this world.  Some question why the teachers would permit this to happen since the premium costs impact their pay due to the QEO rules, but I suspect any teacher who would voice his or her concern might feel uncomfortable in his or her peer group as the result.  And, it is great if you're in the cat bird's seat with the 'Cadillac' coverage.

If you read yesterday's piece, you may've noted that WEAC has universal health care as one of its legislative goals.  That would be great since they could then shift costs to all the state's citizens instead of just to those citizens in a district they provide coverage for.  And, most interesting of all is this overlooked fact:  WEAC had already obtained favorable treatment for its members in the Healthy Wisconsin program that was defeated last year.  Universal health care is great but they must still have better coverage for their members...and the party in control of state government was willing to cause that to happen.

Some have questioned the people costs of a school district but this kind of information helps us better understand where some of those costs originate. 

Surprise, Surprise...

I'm sure this must come as a great shock to us all.

The Wisconsin Technical College System Board voted 12-0 in favor of denying the petition request made by the Germantown School District to be permitted to leave the MATC district and move into the Moraine Park Technical College district.

We'll just have to shut up, pay our exorbitant MATC tax load and wait for another twenty years and try again.

In a very selfish way, I can at least look forward to many more opportunities to ridicule the MATC decision-making apparatus as well as the silly ways this group finds to divest themselves of our money.

When will we have a state government that wakes up to the folly of none-elected (appointed) boards that have taxing powers.  This is truly taxation without representation...and there seems not a thing we can do about it.

Maybe current MATC President Darnell Cole will eventually find another school that is willing to take him off our hands; I feel confident that he'll continue to look for more money and more people to tax.  After all, the goose that is called the MATC district is just about finished laying larger eggs.  I wonder if technical colleges also have powers of annexation?  That wouldn't come as too great a surprise, either.

I also wonder if we'll see more "free" laptops being donated to the library; and if we'll see that "splendid" cooperation between our industry and the MATC get even better.  We'd probably be wise to not hold our breath until that occurs.

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Knodl Konundrum - Chapter Two...

Dan Knodl has entered a plea of not guilty in Ozaukee County to the charges lodged against him over names published without the permission of those named.

I suspect that, at worst, he'll be fined a modest amount and life will go on.

I have to say, though, that I'd be very embarrassed if that were my campaign and I let that happen when I would've known I had a comfortable lead in such a dominant Republican stronghold.

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Mequon Road/Pilgrim Road Intersection Construction...

It seems that the construction in this main intersection in Germantown has gone on longer than had been expected.  I certainly hope this ends very soon so the roadway and traffic patterns can be restored prior to the Winter weather descending upon us.

I want to shift the focus now to the Wisconsin Education Association Council, or WEAC as it is commonly known.  Following this, we'll look at the WEAC affiliate that delivers health and other insurance coverages.

WEAC is among the state's 800 lb. gorillas so far as labor organizations are concerned.  It touts having some 98,000 members.  Its history shows a start in 1853, some 8 years after Wisconsin became a state.  It became known as WEAC in 1972 following adoption of collective bargaining laws for public employees in Wisconsin.

WEAC represents the following segments of education today: teachers, education support professionals, custodians, university students, state education employees, paraprofessionals, retired education support professionals, retired educators, library media specialists (one of whom, Mary Bell, is the current WEAC President), nutrition employees, school safety personnel, Wisconsin Technical College faculty and support staff, clerical staff, counselors, secretaries, teacher aides, bus drivers, cooks and state-employed education and information professionals.

WEAC's structure begins at the local level with the local unions such as the Germantown Education Association (GEA).

The local unions are members of a unified services unit, or UniServe unit, in their local area.  That unit includes the professionals required to support the locals, and is typically limited to some 1,200 to 1,500 individual union members.  Five of the largest school districts have their own UniServ units (Milwaukee, Madison, Racine, Kenosha and Green Bay).  The staffs of each UniServ provide locals with collective bargaining, member rights, public relations, professional development, and political action assistance.

The UniServ entities are tied to WEAC in Madison and WEAC is a member of the National Education Association, or NEA located in Washington, D.C.

It is easy to see that this organization is very well developed for the functions it has carved out for itself.  That is among the reasons that education is such an effective political force.  I have made earlier references to the fact that WEAC has spent millions of dollars to assure an attentive audience in the halls of Wisconsin government and in the Governor's mansion.

WEAC has identified its major initiatives for the period 2008-2010 and those are:

School Funding  They state: "It is evident that school funding is broken.  It is at the center of discussion from local to local.  The WEAC Board of Directors has identified measures of success for school funding reform, and they are offering a comprehensive education to kids and fair compensation for members."

Health Care  They state:  "We know that under the Qualified Economic Offer we've been sacrificing salary increases for health insurance.  But WEAC's commitment to health care reform is much bigger.  We care deeply for kids and their families because we all know that health care is also a learning issue."

Professional Development & Licensure  They state:  "Educators are required to focus more attention than ever on licensing and professional development, and WEAC is stepping up to provide quality support and services.  You are the best person to manage your professional development, with support from your union and financing from your district."

Achievement Gaps  They state:  "This issue is very close to the hearts of WEAC members.  The frustration of not being able to meet the needs of all our students drives us to do more - demanding needed resources and bringing the issue forward into a public conversation.  We will continue our work to involve communities, corporations and government in closing the achievement gap."

Membership  They state:  "We are listening to what you need and value, and connecting your union to your daily work.  We are focusing on groups who are already organized - and those who are not yet - in order to fulfill the promise of public education for future generations."

I'll close this piece with the 2009-2010 WEAC legislative agenda.  Their printed material says:

"WEAC Supports Legislation To:

• Repeal the Qualified Economic Offer law.
• Repeal revenue caps.
• Make preparation time for educators a mandatory subject of collective bargaining.
• Increase funding for SAGE to provide $2,500 per low income pupil beginning in the 2009-2010 fiscal year.
• Implement voucher accountability.
• Make attendance of 5-year-old kindergarten mandatory and a prerequisite to admission to first grade.
• Treat education support professionals the same as teachers under the Wisconsin Retirement System in terms of qualifying for coverage and for early retirement calculations.
• Establish WTCS pay equity by requiring that the salary and fringe benefits of part-time technical college instructors be prorated based on the salary and fringe benefits of full-time staff.
• Create a loan forgiveness program for teaching math, science, special education and ELL in high-poverty districts.
• Repeal residency requirements.
• Provide a tax deduction for non-reimbursed classroom purchases.
• Adopt the 'Wisconsin Indoor Environmental Quality in Schools Act' for public school buildings.
• Require school boards to adopt anti-bullying policies.
• Allow parents to take leave time from work to attend school conferences and activities."

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Several things jump out at me as I write this but I'll use another piece to explore those.  The one major thing that occurs is that virtually everything about WEAC means higher costs of education which translates into restructuring school financing laws and that will ultimately translate into more tax dollars.

While we are discussing the area of compensation, I want to take a 'hypothetical' person whom we'll name Jane Doe, and look at her compensation package.

Jane is in her 10th year with the school district.  She has a Master's degree with less than 15 hours of added credit.  This places her in lane 4 and step 10 of the 'matrix' we discussed yesterday.  Assuming that Jane had her Master's degree in the 2006-2007 school year, her base salary would've been $47,937.  In the 2007-2008 school year, her base salary was $49,703, an increase of some 3.7% even though there was no new contract settled and, thus, no new pay schedule in place.

In the school year we are in today, 2008-2009, Jane would be earning a base salary of $51,469 for an increase year over year of 3.55%.  A QEO offer would've more than doubled those increase percentages for Jane.

Total compensation for Jane this past school year was $85,406 inclusive of benefits in addition to base salary.

My point in this exercise is to give citizens some real life numbers to which they can relate versus the percentages that get thrown about without any actual meaning to most of us.

I do not begrudge the income that our educators earn.  It is very important that our children are well-educated and good teachers are a large part of that equation.

Next, we'll look at the Wisconsin Education Association Council (WEAC) and the WEA Insurance Group.

First, there was a story by Thomas J. McKillen in the November 15th edition of Germantown Express News concerning the November 10th School Board meeting.  In that story there were quotes attributed to Jon Stachowiak who is the President of the Germantown Education Association.  The article stated:

"GEA President Jon Stachowiak opened his remarks...by noting that Germantown ranked 'number one in all levels' on the WKCE test scores out of 50 school districts in southeast Wisconsin."

"'The teachers have led their students to a high level of success', Stachowiak said."

"He further stated that two-thirds of district teaching staff have Master's Degrees."

"'This success achieved on the WKCE test is not achieved by putting in a contracted day or working to the minimum", Stachowiak said."

It is important that we recognize the excellence in our district; I was pleased to see this in print.  I thought it also interesting that this had been achieved with the classroom crowding we have been told about.

In that same meeting, Stachowiak also cited that teachers had higher wages in the Hartford, Slinger, West Bend and Kewaskum districts, and said that "another offer by the school board which is the state minimum will not be accepted".  I was disappointed that this comment was made in this setting; that seemed more appropriate in a negotiating session and the board meeting was not being held for that purpose so far as I know.  Additionally, I don't know what he meant by "will not be accepted".  That sounds like a job action of some sort could result.

Teacher compensation has always been a bit of a mystery to me, and I suspect it may be for you, also.

We have a step system in place in Germantown which recognizes the combination of tenure and education.  There are a total of 84 different steps, or pay grades, in this matrix.  It is this matrix that is affected by the QEO that we covered in the first part of this discussion.  If a 3.8% increase is made, part of that goes for benefits and the rest, if there is a "rest", goes for salary and is applied to this matrix.

My understanding is that it is possible for teachers to gain salary increases even if no increase has been granted through contract negotiations.  That would happen if more credit hours had been earned, or if a new degree level had been achieved, or if tenure demarcations had been passed.  It is also possible for both education and tenure increases to be involved and that could see a higher increase in overall salary without regard to contract negotiations.  It seems that it can also be said that increases in total are not always limited to the 3.8% or whatever had been approved.  Certainly, steps could be passed at the same time increases were made to the matrix.

The step increases max out, I believe, when a teacher has obtained a Master's Degree with an additional 30 credit hours earned, and has at least 14 years in the district.  The GEA President mentioned that two-thirds of our district's teachers have their Master's Degrees, although I have no idea as to the cumulative years in the district for any of those people.  That suggests to me that our district has more people in the higher steps than in the lower steps, thus the overall costs to the district would be higher than might seem to be the case.

The 'rule of thumb' I've heard applied says that some 85% of the district budget is consumed by people costs.

This is basically how the system looks at this time.  I want to explore the benefit cost implications and am planning that for another part to this discussion since it could take some time to put together. 

The angst that followed the election concerning the defeat of the referenda items has subsided a bit.  I want to explore the whole subject of education in our community and state, and have been discussing many issues with those involved including school board members from communities in Wisconsin, educators and taxpayers.  I have no idea how long this series will run, but the input of the citizenry is important and I hope this might provoke some additional rational discussion.

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I was off the mark on the qualified economic offer (QEO) when I referred to it as the maximum amount that could be provided to teachers in the combination of salary and benefits.  The QEO was instituted in 1993 and replaced the then mediation and arbitration system,  It provided that school boards providing at least 3.8% increases of salary and benefits combined would be protected from binding arbitration which had been problematic for school districts up to that time.  In this sense, the QEO is the minimum and usually the maximum.

There are teachers/former teachers who would admit that the QEO has served to protect the jobs of teachers that might otherwise have been cut in the old binding arbitration days since the arbitrators could assess whatever they felt was appropriate in terms of combined increases without regard to the district's ability to pay the added load.

Similarly, those people would also indicate that rescission of the current QEO rules and their replacement with mediation/arbitration, as the governor has tried to gain over the past several budgets, would probably cause teacher terminations since the proposed mediation/arbitration language has been moot on the subject of districts' ability to pay.  That leads, I suspect, to some of the 'scare' tactics citizens face whenever teachers' compensation is debated.  We almost always hear of the 'programs that will have to be ended if...' there were to be limits to increases proposed.  Those debates seldom, if ever, are concerned with actual reductions, but almost always with limits to the amounts of increases.

The cost of healthcare has played a significant part in the rising cost of education.  The 3.8% increase has to cover the cost of benefits and compensation.  If the health premium increases in double-digits annually, that translates into relatively little remaining for salary increases.  In the unregulated world that most of us occupy, the employer makes the decisions and enforces those decisions.  That world does not exist in education.

So, it is possible to extrapolate that the removal of QEO and its replacement with mediation/arbitration, without consideration for a district's ability to pay, could result in teacher losses, increased class sizes and some issues surrounding the nebulous issue of 'quality of education'.  That issue is nebulous in that it is poorly defined on a consistent basis.  It seems that whenever we get into those discussions, the achievement side becomes dynamic so that it is never quite possible to gather information permitting solid decision-making to occur.  Cause and effect are difficult to equate in those discussions.  That coupled with the emotional response that comes very quickly from one or both sides fairly well suggests that we'll not get to a good, solid, well-informed decision.

Under our current rules, after the 3.8% has been granted by the district, and that is not acceptable to the teachers, a mediator is brought in to attempt to help the sides find common ground.  If neither side is willing to give ground, the mediator can declare an impasse and the 3.8% offer is put into place with no further negotiation.  This has tilted the equation to the district's side and it has been that way since QEO was created.  It is understandable that teachers would find this 'unfair' even though you and me might think 3.8% was a pretty fair increase...especially if we've not received an increase for awhile...or if we've lost our job due to cutbacks.

Next time, we'll look at some hypotheticals that put some numbers in place.

Reminder:  MATC Secession Hearings Tomorrow

My apologies for this re-hash concerning the MATC public hearings but it is important that anyone interested in making comments is in attendance at one or the other of the two sessions scheduled for Tuesday, November 11th:

• Tuesday, November 11th from 2:00PM to 5:00PM
• Menomonee Falls Public Library
•  Tuesday, November 11th from 6:00PM to 8:00PM
• Menomonee Falls Community Center

Comments should focus on things other than the tax rate if the Wisconsin Technical College Board is to be convinced of the need for approval of the petition to secede made by the Germantown School District.

Among the things that might be discussed would be:

• Convenience of the West Bend campus operated by the Moraine Park Technical College
• Easy commuting, safety considerations for students, wealth of courses from which selections can be made, willingness of the College to work in unison with employers' special needs
• The fact that communities in Washington County would be unified under the change
• The Germantown School District includes parts of  the Town of Polk, the Town of Jackson and the Village of Richfield
• The balance of those communities are already served by the Moraine Park Technical College while those portions in the Germantown District are served by the Milwaukee Area Technical College
• A favorable decision would provide for each of those communities to be unified as part of the same district

Frankly, if the reason for the petition were based on the taxation issue, then the petition would've more properly identified the Waukesha County Technical College district as the desired new district since it has a lower tax rate than does Moraine Park.

Sendik's Food Market 60 Days Later...

I have yet to encounter a Sendik's associate who wasn't happy to be there and who wasn't happy to help me.

I have noted that the facility remains bright and cheery with a very clean floor, which I thought might be problematic given carpeting.  Winter will be a bigger challenge.  Shelves are always fully stocked; delicious samples are scattered throughout the store.

I don't know about you, but I am happy Sendik's selected Germantown as the site for one of their beautiful grocery facilities.

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Veterans Day 2008...

Remember that the 2008 Veterans Day ceremony will be held at the Veterans Memorial at the corner of Freistadt Road and Park Avenue on Sunday, November 9th at 10:30AM.  If you've not seen the memorial, it is worth your time.

A little history...

Veterans Day was originally known as Armistice Day when proclaimed by President Woodrow Wilson for November 11, 1919 to celebrate all veterans of World War I.  It finally became known as Veterans Day on November 8, 1954 when Congress amended the act to change the name and to have the day honor all veterans who have served their country.  The President was Dwight D. Eisenhower.

The American Legion will also conduct a flag disposal ceremony following the program so that you can properly dispose of any torn, tattered and/or faded American Flag you may have.

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County Supervisors Cut Property Tax Levy...

The supervisors agreed to take half of the county's sales tax revenue into the operating budget for 2009.

Unfortunately, this budget cuts the $35,000 for the County Convention and Visitors Bureau and cuts $15,000 from the Fair Park.  The Village of Germantown is working to assist the Convention and Visitors Bureau since it receives significant promotion from that organization and felt that the funding cut by the county would have consequences for the community and its merchants.

The county set a 2009 tax rate of $2.71 per $1,000 which is down about $0.10 per $1,000 from this year.

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SRO Officer In Schools...

I had the pleasure of meeting SRO Tim Miller during the Citizen Police Academy session this past Wednesday evening.  He gave us an overview of his duties in the schools and discussed the changes that have been brought about since this program was initiated.  "SRO" means School Resource Officer.  The SRO is a sworn officer and funding for this position is paid jointly by the school district and the police department on a 75%-25% ratio, respectively.

Our high school is a much quieter place of learning than before the initiation of this program several years ago.  Student fights seldom occur now; the SRO has formed relationships that help both students and administration.  And, students develop, I suspect, a much different view of police officers having had this experience.  The SRO is available for class instruction whenever the subject matter entails.  SRO Miller, in this case, can 'tell it like it is' during driver education and health classes, for example.

This strikes me as a very good use of taxpayer dollars that provides both a current payback as well as future benefits.

GEA Members Protesting...

I have learned that teachers in Germantown, members of the Germantown Education Association, are apparently protesting by wearing black clothing, or black armbands and pins over their lack of a contract that expired a few months earlier.

The offer from the Board/Administration was in accordance with the QEO (qualified economic offer) rules still in effect in Wisconsin that cite a maximum of 3.8% compensation increase including benefits according to my information.

I Blogged yesterday about the QEO going away in Wisconsin given Democrat control and WEAC support.

Could this be the first salvo in that battle?  Is it just coincidence that this occurs the day after the election, or is it part of well-planned scenario to force that issue sooner rather than later.

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GOP Voter Turn-Out Down In Washington County...

I learned from an benefits industry newsletter this morning that voter turn-out on the GOP side of the race for president were off from the most recent similar race.

Washington County showed 50,641 votes for Bush in 2004 while there were a total of 47,725 votes cast for McCain.  Waukesha County showed 9,837 fewer votes for McCain versus Bush in 2004, and Ozaukee County reported 2,744 fewer votes for McCain versus Bush.

Given the intensity of the campaigning and other races that were involved, this would seem to suggest that conservatives were really 'put out' over being forced to cast votes for the least desirable of the Republican candidates that started the race.

These three counties are solid conservative counties typically.  Maybe this was a backlash or maybe there were more casual Republican voters who were swayed to cast their ballots for Obama because they liked him rather than as a protest of their selection.

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MATC Response Opposing The Germantown School District Petition Filed...

A 54 page response is available for your review on the MATC website if you like.  I've gleaned some of that information as follows:

• "MATC offers the highest quality and greatest variety of programs and learning opportunities in the most diverse college in Wisconsin.  Germantown has benefited enormously from MATC's resources."
• "As discussed below, reorganization would certainly not be in the best interests of the hundreds of Germantown residents who attend MATC, utilizing programming and coursework that is unavailable at Moraine Park."
• "...Germantown has not presented any compelling reason to sever its productive, long-standing relationship with MATC and realign Germantown with Moraine Park.  To do so would-in effect-place an unfunded mandate upon MATC by reducing its revenues without any corresponding reduction in costs.  Programming and enrollment data strongly suggest that Germantown residents will continue to attend MATC and utilize its resources, even if reorganization occurs."

This could, and does, go on and on through the course of the 15 page letter signed by the MATC President, Dr. Darnell E.Cole, and the MATC Board Chairperson, Lauren Baker.

It asserts that there is no real reason for the petition other than our desire to get out from under the $5.7 million annual tax burden (that MATC fails to acknowledge has climbed exponentially over time).  It complains that the sole reason for the petition is financial and it says that isn't permitted as a reason for consideration.

I was struck by the fact that MATC can decry the petition on the basis of the financial havoc that would be visited on MATC but the citizens of the school district are denied the same opportunity.

MATC brags about the unique courses available, and the commuting distance differences.

That rings hollow to me since there has been no indication that Germantown students, as few as they are in total number, are seeking out MATC for those "unique" courses.  The discussion of "distance" rings hollow for me since I can drive "more quickly and more easily" from Germantown to West Bend than to either the Mequon campus or the downtown campus.

MATC points out the $2.7 million investment made in the Mequon campus over the past ten years but fails to acknowledge the $40 to $50 million in taxes paid by us citizens over that same time span.  Again, the point of money is made by MATC but cannot be used to defend the petition.

MATC says it would have to engage in "substantial" program/job cuts" if the petition were to be approved.  What a novel idea for this organization contrasted with the endless tax increases that have been and will continue to be levied.  Once again, they can use the fiscal fact set they create to defend against our petition but we cannot use the fiscal fact set we create to auger in favor of our petition.

I  have long maintained that the likelihood of a ruling favorable to the Germantown School District in its petition to move to Moraine Park was a long shot, at best.

Reading the story put together to defend the poorly run MATC organization makes me ill, as it also helps me see that the likelihood of a favorable ruling is probably much more remote than I had ever supposed.

This is such a classic case of a non-elected governmental body with taxing authority being judged by its own parent to the detriment of us citizens.  This simply has to change...but that isn't going to happen for the time period during which the Democrats control state government.  I'd simply better come to understand that and forget trying to tip windmills.

Trick or Treat from 5:30PM to 7:30PM...

Please remember that the little witches, ghosts and goblins will be out and about throughout the village tonight and that they cannot always see well through their masks or costumes.

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MATC Secession Public Hearings Set...

The Wisconsin Technical College Board has two meetings set for the near future at which citizens can testify for or against the petition filed earlier by the Germantown School District to be permitted to move from the MATC district into the Moraine Park district.

Those meetings are to be held on Tuesday, November 11th at two different times in two different Menomonee Falls locations.  The first is from 2PM to 5PM and is to be convened at the Menomonee Falls Public Library; the second is from 6PM to 8PM and will be held at the Menomonee Falls Community Center.

The chances for a favorable ruling are likely slim already given the history that prevails.  Public testimony on issues regarding access and class selection, for example, might help tip the balance.  Remember that tax rates are not something the Board will take into account in reaching its conclusion.

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Special Board Meeting Results Unknown...

The village trustees met behind closed doors last evening for the following stated purpose:

Adjourn into closed session under Wis. Stats. 19.85 (1)(c) considering employment, promotion, compensation or performance evaluation data of any public employee over which the governmental body has jurisdiction or exercises responsibility; (f) considering financial, medical, social or personal histories or disciplinary data of specific persons, preliminary consideration of specific personnel problems or the investigation of charges against specific persons except where para. (b) applies, which, if discussed in public, would be likely to have a substantial adverse effect upon the reputation of any person referred to in such histories or data, or involved in such problems or investigations; or (g) conferring with legal counsel for the governmental body who is rendering oral or written advice concerning strategy to be adopted by the body with respect to litigation in which it is or is likely to become involved

A deductive process would reasonably suggest that this closed door meeting pertained to the issue of the alleged sexual harassment recently brought to light.  I know of nothing else that would seem to fit the descriptions provided in the Wis. Stats. section above.  There were allegations that could be damaging.  There is an employee involved.  The employee apparently had threatened legal action if she felt wronged by actions of the Board so far as her position was concerned.

Some three weeks have passed since the story broke, the citizens have no more information than at that time, and don't yet know what is going on.  It seems that there must be something happening, since the Village Board passed its unanimous statement of support for President Kempinski.  It looks as though the Village Attorney was likely in attendance, as one would expect. 

Village Administrator Schornack stated, according to a small piece by Tom Kertscher on the GermantownNOW site, that he would be informing trustees about a personnel issue and that the trustees would not be taking any action.

I certainly hope that we'll all be privy to what has been going on and what may be expected in the future before too much more time has passed.

I had intended to scan a copy of the sample ballot for Germantown however that wasn't sufficiently legible.  So, we'll list the offices for which there are candidate selections to be made by all of us who are registered to vote in the village.

You may elect to vote a straight ticket including, in the order found on the ballot:

• Democratic
• Republican
• Wisconsin Green
• Libertarian

The race for President and Vice President, in the order found on the ballot:

• Barack Obama/Joe Biden (Democratic)
• John McCain/Sarah Palin (Republican)
• Cynthia McKinney/Rosa Clemente (Wisconsin Green)
• Bob Barr/Wayne A. Root (Libertarian)
• Brian Moore/Stewart A. Alexander (Socialist Party USA)
• Gloria LaRiva/Robert Moses (Party for Socialism, & Liberation)
• Ralph Nader/Matt Gonzalez (Independent)
• Chuck Baldwin/Darrell L. Castle (Constitution Party)
• Jeffrey J. Wamboldt/David J. Klimisch (We, the People)
• Write-in________________

Representative in Congress District 5, in the order found on the ballot:

• F. James Sensenbrenner, Jr. (Republican)
• Robert R. Raymond (Independent)
• Write-in________________

State Senator District 8, in the order found on the ballot:

• Sheldon A. Wasserman (Democratic)
• Alberta Darling (Republican)
• Write-in________________

Representative to the Assembly District 24, in the order found on the ballot:

• Charlene S. Brady (Democratic)
• Dan Knodl (Republican)
• Write-in________________

District Attorney:

• Todd K. Martens (Republican)
• Write-in________________

County Clerk:

• Brenda J. Jaszewski (Republican)
• Write-in_________________

Treasurer:

• Janice Gettelman (Republican)
• Write-in_________________

Register of Deeds:

• Sharon Martin (Republican)
• Write-in_________________

Referendum - Germantown School District

Question #1:

Shall the following Initial Resolution be approved?

INITIAL RESOLUTION AUTHORIZING GENERAL OBLIGATION BONDS IN AN AMOUNT NOT TO EXCEED $22,500,000

BE IT RESOLVED by the School Board of the Germantown School District, Washington County, Wisconsin that there shall be issued pursuant to Chapter 67 of the Wisconsin Statutes, general obligation bonds in an amount not to exceed $22,500,000 for the public purpose of paying the cost of constructing a new elementary school on school district property next to Kinderberg Park; technology, safety and security initiatives District wide; and acquiring furnishings, fixtures and equipment.

Yes ____

No   ____

Question #2

Shall the following Resolution be approved?

RESOLUTION AUTHORIZING THE SCHOOL DISTRICT BUDGET TO EXCEED REVENUE LIMIT BY $500,000

FOR RECURRING PURPOSES

BE IT RESOLVED by the School Board of the Germantown School District, Washington County, Wisconsin that the revenues included in the School District budget for the 2010-2011 school year and thereafter be authorized to exceed the revenue limit specified in Section 121.91, Wisconsin Statutes, by $500,000 a year, for recurring purposes consisting of costs associated with the new elementary school.

Yes ____

No   ____

~~~~~~~~~~

The ballot is two-sided as you would expect from the many questions.

The Sunday Journal Sentinel contains a story by Tom Kertscher that discusses the school referenda with interviews of Bruce Warnimont, school board member, and others representing both sides of the debate over a new elementary school and the operating cap 'forgiveness' that would permit an additional $500,000 for operations of the new school.

Mr. Warnimont is quoted as pointing out the potential, based on presumed increases in full day kindergarten enrollment, for the increases in state aid to offset or exceed the cost of the referenda issues on the property tax bills in the district.  He is very knowledgeable on such things and I do not presume to espouse a position, either pro or con, in this Blog.

I will say that this is a most counterintuitive argument.  How does one approve a $22.5 MM bond issue and an additional $500M in annual operating costs and still see his or her property tax bill stay the same or decrease so far as the school district's portion of that bill?  The assumption is that some 230 full time kindergarten students would be enrolled (76 more than now) and that the additional state funding would offset the tax increases necessary to pay off the building and to operate the school.

Those in favor point to this as justification while those opposed point to this skeptically given that there can be no assurances that the supposition will prove valid.

I have difficulty in thinking that anyone would be disingenuous and therefore presume that each side is speaking what it considers to be the truth.  Perhaps I am terribly naive but I hope that isn't the case.

Given the lay of the land today so far as this project goes, I must say that I am happy to be an interested observer and not a direct participant on either side.  As I stated above, this is one tough counterintuitive argument to mount.  I do not know how I will vote but you can be sure I will vote.  I trust that the vast majority of our school district citizens will vote, as well.  We need to learn the true will of the people...and this election should point that out...unless the referenda pass by a handful or lose by a handful of votes.

New School Support Group Formed... 

Tom Kertscher has written on JSOnline that a new group has been formed in Germantown for purposes of supporting the school referenda.

The organizers appear to be Sara Sina and Merissa Osswald and their email address is abettergermantown@gmail.com if you'd like to make contact.  They reportedly will establish a website at www.abettergermantown.com but that has not yet been turned on to the public.

Larry Prodoehl, president of Germantown Citizens Action Coalition may again become active on the opposition side of the equation although that announcement has yet to be made.

The forum of the Village Buzz is certainly available for a debate on the issues should these two groups desire.  The more information that can be gotten into the hands of more voters, the better for us all regardless of the outcome of the election.

There has been speculation that the greater voter turn-out would auger favorably for the referenda proponents.  The last Presidential race in 2004 saw some 11,500 votes cast in Germantown.

Waste Management Draws Line In The Sand...

Waste Management has advised the Teamsters Local 200 leadership that it will amend the offer currently on the table if the union members have not been given complete information on the latest proposal and an opportunity to vote prior to 4:00PM this coming Sunday.  Among the changes would be a reduction in the amount being offered over the coming 5 years.

I don't know for how long Waste Management will be able to keep their replacement workers on the job, but it does seem that the leverage of the union may have eroded a bit since the Harley 105th Anniversary crowd has gone home and there seems relatively little complaint, at least in Germantown, about late garbage pick-ups.

Quiet Thursday...

I'll be unable to Blog tomorrow but will be back with you on Friday.  See...you can catch a break once in awhile ;>)

Special School Board Meeting...

Tom Kertscher's article in the Journal Sentinel indicates that the school board will convene at 5:30PM today to consider referendum questions.

He reports that the school board has voted to end the full day kindergarten effort for the 2009-2010 school year because of the space limitations that necessitated a lottery approach.  Michael Schultz, Vice President of the board was quoted as saying that he didn't make this proposal to persuade voters to approve a building referendum but saw that a connection might be made by voters.  His attributed quote in this article was, "They are not unrelated".

I am not aware of who voted in favor or if there were votes in opposition but I hope commenters may flesh that out for us.

Without taking a position on the matters that we may be voting for or against (since I don't yet know my position having not seen the actual items) there is, I think, a very real potential for a public relations backlash coming as the result of the recent vote against.  This approach, as described by Kertscher, is a typical reaction as we've seen over and over again when a school board loses a referendum request.  I have said before that I think a follow-up question without any changes made will be met with voter angst without regard to the needs.

It appears that there may, in fact, be some changes to the question or questions.  First, apparently the $16.5MM request will be bumped to $22.5MM so that cost increases in the original plan and safety and technology upgrades to other buildings can be accommodated.

A second question is apparently going to be part of the debate at today's meeting (which I'll not be able to attend).  The school district apparently will seek approval of the second question that would permit the district to exceed mandated revenue limits by some $750,000 annually.  Whether or not there is a limit to the number of years or if this is intended to be open-ended is not clear.  If open-ended, I suspect the voters will nix this request.

Does this $750,000 represent the battle between district administration and the school board?  There has been quite a bit of 'back and forth' on a somewhat similar amount that seems to be a constant in spite of board direction.

Mid-Moraine Municipal Court...

Judge John Grundahl appears to once again find himself embroiled in some controversy.  If you recall, he was involved in an issue brought to the fore by various police chiefs in his jurisdiction over the length of time he required to process warrants with some of those having taken three to four months.  There was also a question about his holding juvenile convictions open for months.

In spite of that adverse publicity, Judge Grundahl was re-elected in the following election defeating Janet Heins.

The latest issue involves municipalities having approved a $50 fee for each time a warrant is issued with $25 going to the court (as is now the case) and the additional $25 going to the issuing municipality.  The person named in the warrant would be obligated to pay this fee.  Germantown is among the 14 municipalities that are perturbed by his refusal to collect the additional $25 fee.  Judge Grundahl has been quoted as saying, "My concern was and is that this is an attempt to expand the authority of the Municipal Court without statutory support."

Is this simply a continuation of the most recent brouhaha?  Is the judge simply being obstinate to demonstrate that he is the judge?  Attorneys for the communities involved indicate that this practice is in place in other areas of Wisconsin.

This will probably end up being taken to the Circuit Court for a ruling.  That seems a real waste of time for a court system that has not a lot of extra time available.  Maybe the Attorney General can clear this matter up quickly.

Is it simply happenstance that we find Judge Grundahl involved in yet another dispute with the communities that comprise this court's jurisdictional district or does he lay in wait for such an issue to surface so that he can be disruptive?

Vote Today...

There is still time to vote.  Polls are open until 8:00PM.  I voted at about 10:30AM and was number 112 in my district.  Two contested races will be decided by today's vote.

Sendik's Again...

I was VERY pleased to learn yesterday that, at my age with sparse grey hair (stubble actually), I can actually purchase beer, wine or liquor in the Sendik's liquor store WITHOUT the need to show someone that I'm at least 21 years old.

And, I can report that items I purchase regularly appear to be priced at or below the prices in the neighboring establishment...at least during the initial stages of their operation.  Maybe that will change, but I hope not.

School Referendum...

Ty Finke reports in an adjacent article that the school board has approved the administration preparing a new referendum question for the November election concerning a new elementary building, and additional funds for two other needs identified.

I really think this is going to antagonize the electorate, but I have been wrong before.  The probable thinking is that with the normally heavy turn-out during a Presidential election, the issue will be carried substantially.  I have no way of knowing, but I fear this will pollute the stream no matter the side one finds himself or herself supporting.

Apparently a special meeting will be called to review the question before a final commitment is made.  Citizens need to make their positions known before and during that meeting.

An angry electorate will do no one any good, and could backfire to the eventual detriment of the community.  Emotion is a tough taskmaster and yields strange decisions on occasion.

Special Board Meeting Follow-Up...

The special board meeting to be convened at 5:30PM tonight deals, in part, with the Waste Management strike and garbage pick-up delays.  I received an email from President Kempinski over the week-end discussing my Village Buzz piece of late last week.

He indicated that the Waste Management topic had been added to the special meeting agenda to "keep the Board apprised as to the status of collection, and determine if the Board wishes to change companies should the company fall even further behind".  He went on to state that he didn't want to change companies but that he felt compelled to explore alternatives in case service should drop to even lower levels.

I had indicated that our personal experience was that Friday's pick-up was made on Friday.  He mentioned that the village had received calls indicating that pick-ups had been delayed two days in some instances.

President Kempinski also discussed the eventuality of switching to Veolia if Waste Management's service degraded to the point where that would be necessary.  His reasoning seemed to be that, if this went on for some time, and if many communities had similar experiences, there could be a wholesale departure from Waste Management that would overwhelm Veolia's capabilities.

He believes that, if Veolia comes back to the village indicating that it would be willing to accept the terms of the Waste Management agreement, the Board would be willing to switch.

A couple of thoughts come to mind:

If the current agreement has a five-day clause and if Waste Management continues to pick up garbage within that time span, does the village have any real recourse?

Even if there is a wholesale move away from Waste Management, maybe Germantown would, by staying with Waste Management after some agreement renegotiation actually see improved service since Waste Management would have less business and would likely be trying very diligently to repair the image damage it would've suffered.

I'll report on the discussion from today's special meeting in a 'Village Buzz' item tomorrow, if not before.

~~~~~~~~~~

School District Budget Deliberations...

An earlier segment on the current budget debate within the Germantown School District referred to some debate as to the size and configuration of the budget for the coming year.

It appears that this debate continues and centers on the draft prepared by the Administration which does not yet meet the constraints that at least some Board members feel necessary.  A target amount of $39,495,814 had been established last spring.  The administration has continued to stand behind a proposed budget that is some $650,000 higher.

Obviously, the school district has a relatively new business manager although he did have experience gained as a member of the school board when assuming that position.  There was over-spending in several accounts that were discretionary in nature as opposed to accounts that are relatively 'locked in'.  This apparently has caused some concern as to fiscal constraint. 

We also have a new superintendent who certainly has been working hard to learn his new district's idiosyncrasies and needs while also working to build his board and staff relationships.  That may be at work to some degree but it seems that staff would be anxious to follow its new leader rather than 'stand in the doorway'.

I suppose that staff might be expected to seek more money than the board is willing to provide, but, at some point, posturing has to give ground to reality.

That was the title of an editorial appearing this morning in the Journal Sentinel.  It went on with a header that read: "Germantown officials should drop the effort to secede from the Milwaukee Area Technical College.  The savings aren't worth the cost."

I was quite interested to see what logic had led the editorial group to reach this conclusion.  Even though the petition cannot be about money, they admit that this would probably save the Germantown taxpayer with a home valued at $300,000 about $129 per year, or a little more if the change requested led to a slight decrease in the tax rate for the new district, MPTC.

They opined that this was simply not worth the cost...not to those of us in Germantown necessarily, but to the seven county metropolitan area.  It would "deprive" MATC of some $5.5 million in revenue.  They talk about this being harmful to the students of MATC including those from Germantown.  If there are 100 students from our area attending MATC, the cost to the Germantown School District taxpayer has to be in the range of $55,000 per student per year.  If there are 200, then we drop all the way down to an average of $27,500 per student per year.  That is an over-simplification but it helps put all this into perspective.

They discuss what they see as the poor timing of this and, in essence, lay blame for whatever happens to the seven county area economic development efforts at our feet if the petition is approved.  Wow!  If only we'd known what power we had before this, we could've really gone for something big!

We now become an integral part of the Milwaukee metropolitan region.  Funny how that is always the case when they seek our money, but is never the case when they're formulating some master plan.

The editorial does finally admit that MATC's taxes are too high, and they say that officials there need to place "some restraint" on expenditures.  That message doesn't seem to get through, however, to an appointed (unelected) board that rolls over every time MATC President Darnell Cole says "roll over".

Now, back to that $129 that we're not supposed to be concerned about.   For the Germantown School District, that could easily have been converted to a new elementary school.  That would've taken some $84 of the tax relief had this been available when we all voted on that issue...before prices climbed.  It could've likely funded our village road repair coffers very nicely on the balance of $45 per $300,000 of home value.

$129 isn't 'chump change' as so many would try to shame us into believing. 

And why is it our responsibility to pump more and more money into MATC so that it can try, unsuccessfully, to repair some of the MPS damage?  Why is it our responsibility to sit out here in 'the boonies' (from the perspective of the decision-makers in Milwaukee) and continually cough up more money for their needs.  When do they reciprocate? 

MATC Secession...

It appears that we're finally moving ahead in the effort to have ourselves removed from the MATC district and moved into the Moraine Park Technical College (MPTC) district.  In spite of some village officials' assertions, the timing of this filing and its date of effect wouldn't have changed by filing three months earlier.  That complaint is a 'straw man' from my perspective.

I would suspect that a filing made on behalf of a school district would receive more consideration than had the village filed its own petition.  The school district speaks on behalf of the area while the village would speak on behalf of only the Village of Germantown.  While we're a significant part of the school district, we're not all of it by any means.

Can we make history and become only the second such petition to be successfully brought?  Wouldn't it be interesting since the first and only successful petition was that filed by our area to be removed from the MPTC area and realigned with the MATC area in 1971, if memory serves?

What goes around, comes around...maybe!

~~~~~~~~~~

Waste Management Strike...

The village is, of course, served by Waste Management.  The Local 200 teamster members who are employees of Waste Management went out on strike, as you've probably heard, after some four months of trying to resolve issues on behalf of those members.

Village President Tom Kempinski has reportedly threatened to terminate the village's contract with Waste Management apparently to protest the company's inaction, and has supposedly sought an opinion from the village attorney as to whether or not this is possible.  Kempinski is affiliated with Local 200 although he denies that has any direct involvement in this action.

Two things: 

Our service with Waste Management is much improved over that we received from the former servicing company.  I presume that many of those current teamster members were probably also former employees of the last firm that had the Germantown contract.

This seems a very convenient time for Kempinski to be pushing a termination; he appears to be using the village's business to bring even more heat on the Waste Management negotiating team in favor of his fellow teamsters.  That is inappropriate if true, and an unfortunate confluence of events if simply coincidence.

His two lives must be kept separate and distinct.

~~~~~~~~~~

The Harley Rumble...

The "Harley Rumble", as I'll call it, has returned to our area.  As I lay my head on the pillow last night, I could hear the sounds that are only made by Harleys waft through the open window.  We're a couple of miles away from Hwy 41/45 so my joy may well have been another's dismay, but it is a great sound that we last heard some five years ago.

Quite a tribute to the small motorized bicycle shop that started in a shed.

And, quite a bump for the local economy.  I had begun to see out-of-towners in Harley garb already patronizing local stores and hotels and watering holes yesterday. 

Proposed School District Budget...

I received an email from School Board Director Bruce Warnimont today with a link to the "work in progress" budget for 2008/2009.  He was careful to point out that the Board has not yet vetted it.  The Finance Committee meets this coming Monday night and it is likely that the budget will be discussed at that meeting.

Comments from the public are viewed as carrying great weight, especially in these formative stages.  Warnimont pointed out, for example, that "Fund 41", in school accounting jargon, is the area where all the larger physical improvement/repair projects get funded.  This is also unique in that this fund's size is established by District residents by direct vote at the Annual Meeting in October.  Once that amount has been set, the Board has no power to alter the appropriation.  While it tends to defy logic, an increase in this fund  does not necessarily mean higher tax rates.  The additional funding, if approved, would come from another area within the budget.

The upshot is this:  If you have some thoughts about things that need to be improved or repaired in the coming year, this is the time to make those thoughts known in person.

I have not had time to review the information found by clicking this link, but want to get it into your hands, if you desire to review it, as soon as possible.

I can tell you that Warnimont doesn't sound too enthusiastic about this draft and there may be others with similar thoughts.  I suspect there may be a move to task the administration to review and revise.  If it were to be approved as stands, it would involve an overall tax levy increase of 11% over last year.  That doesn't translate into an 11% property tax increase, incidentally.  It would threaten the trend of school district-related property tax decreases we've seen recently, however.