August 13th voting

Talking Points – Referendum Questions

1. Shall Article IV, Section 35 (1) of the Wisconsin Constitution be created to provide that the Legislature may not delegate its sole power to determine how moneys shall be appropriated?

2. Shall Article IV, Section 35 (2) of the Wisconsin Constitution be created to prohibit the Governor from allocating any federal moneys the Governor accepts on behalf of the state without the approval of the Legislature by joint resolution or as provided by legislative rule?

Key Points:

  • This change is about good governance – one individual should not have the power to make the decisions for how billions of dollars are used!
  • Increases accountability and transparency
  • It is prospective – once ratified in the August election, it would not affect COVID relief funds (these funds must be obligated by the end of 2024 and expended by the end of 2026)
  • Change is about federal money not appropriated for a specific purpose/use in Wisconsin statute and accepted by the Governor on behalf of the state. Non-routine funds.
  • If only one question is ratified it goes into effect and the other does not.
  • Some exceptions in statute where federal funding is designated/set: UW-System; Building Commission s.20.867 (2) (u); State Superintendent of public schools s.43.03 (5), s20.255(1) (me) and (pz), s16.54 99)(b) (2) (m (3)(mm) (ms); Department of Health Services s.46.80(1); Department of Transportation s.114.32(1); Emergency funding (FEMA); Department of Natural Resources.
  • Other exceptions to the governor’s acceptance and allocation of federal funds on behalf of the state under s. 16.54.
  • You get to decide. Do you think the legislature should have a role in deciding how federal monies are spent?

Historical Perspective:

It was the 1930’s when the Legislature gave away its responsibility to help determine how federal funds received by the state should be spent. Legislators of that era delegated this responsibility to the governor for what was likely a practical matter of process expedition. Likely, it was reasonable at the time since communication and transportation was vastly different than today. Technology today has reduced the miles of travel and certain afforded us nearly instant communication. (See attached: Legislative history of s. 16.54 Kooyenga)

Other Consideration:

  • The Governor received $5 billion from the federal government and put those funds into the state treasury where it has been drawing interest – Accrued interest is currently $130,235,631.28 (May 2024).
  • LAB audit reports looked at how supplemental federal funds were spent in Wisconsin

    Agencies do not have documentation as to how, where, and why billions

    of dollars were spent.

    DOA testified before the Audit Committee stating there was no plan for

    how money would be spent.

  • Governor is sitting on 30% of the original $5 billion
  • This should not be about picking winners and losers
  • The Legislature passed bills offering spending recommendations – Governor vetoed and ignored each recommendation.
  • The Legislature should use their skills as citizen legislators, to give their input for spending state money.
  • Federal “guidance” is not designation of funds.

Official Question #1: “Delegation of appropriation power. Shall section 35 (1) of article IV of the constitution be created to provide that the legislature may not delegate its sole power to determine how moneys shall be appropriated?”

Translation of Question #1: Do you think the legislature should be required to play a role in how taxpayer dollars are spent in Wisconsin?

YES vote – the legislature should have a role in deciding how tax dollars are spent. They should not be able to give this role away to the executive branch. In other words – vote YES – if you want the legislature to be accountable for spending tax dollars.

NO vote – the legislature should not be required to have a role in spending tax dollars. In other words – vote NO – if you are OK with the legislature delegating the power of the purse to the executive branch.

Official Question #2: “Allocation of federal moneys. Shall section 35 (2) of article IV of the constitution be created to prohibit the governor from allocating any federal moneys the governor accepts on behalf of the state without the approval of the legislature by joint resolution or as provided by legislative rule?”

Translation of Question #2: Do you think the Governor should be required to have legislative approval for the spending of federal funding that is sent to Wisconsin?

YES vote – the legislature must approve all spending of federal funding that is sent to Wisconsin.

NO vote – the Governor should continue to spend federal funding that is sent to Wisconsin without legislative approval.