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Capitol capsules

May 15, 2001

Capitol Capsules

Capitol capsules provides a quick overview of state government activities of interest to UW–Madison employees.

Draft dodge will cost students
The Assembly Committee on Military and Veterans Affairs recently voted unanimously in favor of a measure (AB 243) that would prohibit the UW System from giving state financial aid to a student who has failed to register with the Selective Service when required to do so. The measure needs full legislative approval and the governor’s signature to become law.

Budget limits backed
The Assembly voted, 76-22, in favor of a measure (AB 1) that ties state budget increases to the average annual percentage change in state aggregate personal income. The measure also sets limitations on tax money appropriations by setting a base year amount equal to the tax money appropriated in the second year of the prior biennium. The measure still needs Senate approval and the governor’s signature to become law.

College savings promoted
College savings programs received boosts recently. The Assembly voted unanimously in favor of a bill (AB 298) that creates a tax incentive for grandparents to contribute to college savings programs. And the Senate voted unanimously in favor of changes to the college tuition and expenses program and the college savings program, including allowing any individual to purchase tuition units on behalf of any beneficiary and allowing a charitable organization to establish an EdVest account for any beneficiary.

Another regent proposed
Sen. Rick Grobschmidt, D-Milwaukee, has introduced a bill (SB 175) would require appointment of two students to the UW System Board of Regents, one of whom must be a nontraditional student. A similar measure is pending in the Assembly.

TAs to get retirement?
A draft measure by Sen. Fred Risser, D-Madison, not yet introduced in the Legislature, would extend eligibility for the Wisconsin Retirement System to teaching assistants and program assistants within the UW System. Currently, these individuals are excluded from the program.

Private college bonds backed
Rep. Lowell Wieckert, R-Appleton, is drafting legislation that would create a state income tax exemption for interest income on bonds for private colleges and universities. Under current law, the Wisconsin Health and Educational Facilities Authority may issue bonds to finance projects at an education institution.

Death benefit may change
Rep. Marc Duff, R-New Berlin, and Lt. Gov. Margaret Farrow propose legislation (AB 378) that would increase death benefits for any Wisconsin Retirement System participant who died between Jan. 1, 1999, and July 31, 1999, before reaching 55 years of age (50 years of age if the participant was in a protective occupation). The benefit would increase by an amount equal to the participant’s employee required contribution accumulations that were credited to his or her account. The beneficiary of this increased death benefit must be a dependent of the participant or a trust in which a dependent had a beneficial interest. Referred to Joint Survey Committee on Retirement Systems.

Upcoming meetings, hearings
Joint Finance Committee deliberations on the state budget continue today, May 16, 10 a.m.-4:30 p.m., and Friday, May 18, 9 a.m.-noon.

More information
For more information on state-related issues contact: Charles Hoslet, senior special assistant to the chancellor, 263-5510, hoslet@mail.bascom.wisc.edu or: http://www.staterelations.wisc.edu