Wisconsin, the birthplace of the American socialist movement and
the first state to allow public employees to unionize, has a blunt
conservative governor named Scott Walker who has become a familiar
face in the national spotlight.
Walker, who signed Republican-backed legislation last year
to eliminate most public sector unions’ abilities to collectively
bargain while requiring employees to start contributing to their
pensions (5.8% of their salaries, on average) and double their
health care premium (12.4% of premiums), has balanced a budget that
started with a $3.6 billion deficit.
So far, the modest changes in state law are working. For
example, Walker’s reforms allow schools to take private bids on
health care insurance, saving schools hundreds of dollars per
pupil. In addition, school districts have been able to implement
performance-based payment systems, which has saved hundreds of
teachers from being laid off.
For his efforts, Walker now faces a recall effort.
Supporters recently filed more than 1 million signatures (twice as
many as required). Walker will now be forced to defend himself in a
special election.
According to Democratic and Republican Party officials,
the spending on the recall by both sides is expected to total $100
million. That does not include $9 million in processing and
software costs to taxpayers, according to estimates from the
Wisconsin Government Accountability Board, the agency tasked
with verifying petitions. This week, the
MacIver
Institute
informs TAS, the agency failed to
fulfill its promise to post the signed petitions online for
inspection, which will only encourage additional expensive legal
battles.
Thanks to Wisconsin law that allows political committees
to raise unlimited funds for recall campaigns, Walker last month
raised an impressive $5.1 million, which added to a $12 war chest
built up since January of last year. A notable $500,000 donor is
Texas homebuilder Bob Perry, a conservative activist and major
funder of 527s, such as American Crossroads and the Club for
Growth.
Recalls in Wisconsin have been permitted since 1926, but
only four were held until last year. In an August special election,
Democrats and outside union groups spent $44 million trying to
recall six state senators. They succeeded only in removing two of
them, and thus failed to win back a majority in the state
senate.
Now, with labor unions making it a high priority to spend
heavily in Wisconsin, Democratic consultants are concerned about
using so many resources just months before the 2012 general
election.
Gov. Walker, seeing the political challenges ahead, is
proposing a major income tax cut, but he has backed off supporting
right-to-work legislation of the sort that has just passed in
Indiana. His approval number is at 51 percent (higher than
President Obama’s 47 percent in Wisconsin), and Democrats are yet
to find a strong, well-known candidate to challenge him.
Former Senator Russ Feingold was the most popular name
floated as a potential opponent, but he is not interested. Dane
County Executive Kathleen Falk announced her candidacy in
mid-January, but has a record of defeat and extreme-left views.
Likely candidates Milwaukee Mayor Tom Barrett and former Rep. David
Obey, according to a recent Marquette Law School poll, trail Walker
50-44 and 49-43 percent, respectively. And State Senator Tim
Cullen, a candidate who’s won the
backing of the increasingly RINO-ish
Republican Senate candidate, former Governor Tommy Thompson, also
trails 50-40.
Walker faces an additional problem: a widening corruption
investigation stemming from his tenure as Milwaukee County
executive, which has led to the arrest of some of his former top
aides. Although Walker himself is not under suspicion, former
deputy chief of staff Tim Russell faces embezzlement charges
involving more than $21,000 from a nonprofit Walker asked him to
run. During the investigation, Russell’s domestic partner Brian
Pierick, who has donated $250 to Walker, was charged with a felony
child enticement after seized phones and computers showed him
trying to lure young children into his van. In addition,
prosecutors have charged former aid Kevin Kavanaugh with stealing
$43,232 in donations while serving as treasurer of the local
Military Order of the Purple Heart. Democrats will certainly make
political hay as more details emerge from the investigation that is
being led Milwaukee County district attorney John Chistholm, a
Democrat.
It remains to be seen how badly the corruption
investigation will hurt Walker’s chances. But it is clear that the
outcome of recall election will set the tone for the rest of the
country as states continue to wrestle with the interests of unions
and serious fiscal crises.