Property Taxpayers United for Fairness and Reform Since 1985 The WPT NEWSLETTER Wisconsin Property Taxpayers incorporated P.O. Box 1493 Madison, WI 53701 1-800-994-9784 www.WPTonline.org A few thoughts to consider LetвЂ™s Talk What an amazing opportunity the upcoming elections will provide Wisconsin property taxpayers with two of our biggest property tax reform initiatives up for elimination. The first reform gained some momentum this spring when the legislature used available surplus to increase state aid to technical colleges. Now that the colleges are subjected to revenue limits, these dollars canвЂ™t be spent but will reduce your December property tax by the amount of last yearвЂ™s vocational college obligation. We hope this was just the start of complete elimination of the vocational colleges from the property tax. They donвЂ™t belong there. YouвЂ™ll certainly appreciate not seeing the vocational colleges on your December tax bill; letвЂ™s hope we get used to it. The second reform would end the personal property tax. While real property consists of land and buildings, state law defines personal property to include вЂќall goods, wares, merchandise, chattels and effects, of any nature or description, having any real or marketable value, and not included in real property. There have been many changes to the law since 1836. Most everything has been eliminated except the tax on business personal property. There are four basic principles of fair and sound tax policy; simplicity, transparency, neutrality and stability. ThereвЂ™s absolutely nothing simple, transparent or neutral about the business personal property tax. However, in order to avoid a tax shift from commercial and manufacturing properties, the state will have to reimburse local governments for the lost revenue or provide them other options for collection. This one simple fact remains; businesses should not be taxed on the property they need to pos- sess in order to earn a livelihood. Get the money somewhere else. I want to continue the election theme by saying it gets harder every year to discern between the fact and fiction of all the political ads. I hesitate to say this out of fear you may think IвЂ™m trying to take away your right to free speech, but I donвЂ™t believe we need to spend tens of millions of dollars every election cycle in propaganda advertising to exercise those rights. I contend we lose sight of who the candidates really are, and it doesnвЂ™t matter what your political persuasion is. We wonder why the American public is irritated with the political process, and why partisan bickering rules the day. WhatвЂ™s there to wonder about? They just spent 20 million dollars slinging mud and accusing the other of being a disgusting human being. Not an easy portrait to get over. ItвЂ™s got to change! The process is failing the people and causing harm to our great country. With that in mind let me clarify some fiction with fact. YouвЂ™ve seen the ad accusing Governor Walker of cutting millions of dollars in school funding. The kids ask why? ItвЂ™s an annoying, but effective ad, but is it true? Based on the numbers, the Journal Sentinel Truth-O-Meter would give it a Mostly False rating. Why, because when you examine the most recent data the only year per student spending declined in Wisconsin was 2012. If you tabulate Governor WalkerвЂ™s entire four years in office, per student spending rose 3rd QUARTER 2014 In This Newsletter 1-2 LetвЂ™s Talk 2 General Election Information 2 Act now to ensure you can cast a ballot November 4th 2-3 Issues and questions for Candidates 4 Frac sand mining draws citizen involvement 4-5 Implement of Husbandry (IoH) and Agriculture commercial motor vehicle new size and weight information 6 Get to know us over 6%. ItвЂ™s not the level of per student spending thatвЂ™s the problem in Wisconsin, itвЂ™s how the schools are financed. ThereвЂ™s no question the stateвЂ™s share of financing public education has declined under Governor Walker, but spending on schools has not. When you consider the stateвЂ™s share of public school funding is less than 60%, whoever the people decide to elect as our next Governor in November, restoring 66% state financing of public education will be a top WPT priority. In closing let me provide one more argument as to why we need to reform WisconsinвЂ™s property tax system. You and I both live in the same city. I actually live only 4 blocks down from you on the same street. I live in a $125,000 home; you live in a $250,000. What services did you receive that I didnвЂ™t receive? You didnвЂ™t, we each received the same services, but yet you will pay twice the amount in taxes than I will. I understand the need to have progressivity built into a tax system, but thatвЂ™s what the income tax should do. Once again thanks for supporting our pursuit of fair taxation and fiscal responsibility. Happy voting, and bring your ID. Oh by the way, one of our Business Member Reps Kathy Bean ran into Governor Walker at a rally in Stevens Point and the Governor thanked her for all continued on page 2 u 2 WPTвЂ™s Newsletter 3rd Quarter 2014 u continued from page 1 of WPTвЂ™s efforts to reform WisconsinвЂ™s tax system. ItвЂ™s always good to hear your hard work is appreciated. ___________________________________ Know who your voting for General Election Information On Tuesday, November 4, Wisconsin will vote for the next United States Representatives, four state constitutional officers, 99 State Assembly representatives and 17 State Senators. To find out who will be on your ballot and where to contact them go to the State votersвЂ™ website: MyVote.WI.gov. Ask your candidates where they stand on the issues that matter to you. Then vote on November 4 for the candidates of your choice. ___________________________________ Voter ID must dos for 2014 voters Act Now to Ensure You Can Cast a Ballot November 4th Like it or not, it appears that Wisconsin voters will be required to show photographic identification to cast a ballot on November 4th. ItвЂ™s estimated 300,000 registered voters in Wisconsin do not have a form of ID that will allow them to participate in the upcoming elections. This means many of you need to act now, to ensure your voice is heard. HereвЂ™s what you should do. First, check your ID. Valid forms of voter ID include a Wisconsin Department of Transportation-issued driverвЂ™s license or an identification card (which is available free upon request), a military ID card issued directly by a branch of the U.S. uniformed service, or a U.S. passport book or card. Any of these IDs can be used if they are unexpired or expired after November 6, 2012. You can also present a naturalization certificate that was issued less than two years before Election Day, a valid driverвЂ™s license receipt or ID card receipt issued by the Wisconsin DOT, an ID card issued by a federally-recognized Indian tribe in Wisconsin, or a voter ID card issued from a Wisconsin accredited university or college. (Please note, UW- Whitewater will begin issuing free voter ID cards to students in need of them soon.) If you have any of these forms of ID, youвЂ™re ready to vote. However, if you find you need a voter ID, youвЂ™ll have to get to a Division of Motor Vehicles (DMV) office. ThatвЂ™s no easy task, when you consider these centers have very limited hours and locations. There are no evening hours and only the Milwaukee and Madison branches are open on Saturdays. If youвЂ™re able to get to Beloit, Janesville, or Elkhorn, services are available Monday through Friday, from 8:30 a.m. to 4:30 p.m. However, the Fort Atkinson DMV center will only be open three times between now and Election Day: on Thursday, September 25th, Thursday, October 9th, and Thursday, October 23rd from 8:15 a.m. to 4:30 p.m. To get your free voter ID card at a DMV center, you should bring documents proving your citizenship, name and date of birth, identity, residency, and social security number. If you are missing documentation вЂ“ and obtaining copies would cost you money вЂ“ you can petition the DMV for verification. Be warned, though, the DMV says it will try to process these petitions within a week, but note it could take even longer. If this all seems complicated and burdensome to you, itвЂ™s because it is. There is a real danger that thousands вЂ“ maybe even tens of thousands - of registered voters will be disenfranchised. For more information, you can visit the Government Accountability BoardвЂ™s website: www.gab.wi.gov. Please act now вЂ“ get that voter ID - to ensure your voice is heard on November 4th. ___________________________________ Where does your Candidate stand? Issues and Questions for Candidates With the election fast approaching, now is the time to ask the candidates where they stand on the critical issues they will face in the next session. From transportation, school funding, sluggish job growth, levy limits and structural deficits to tax relief, the next legislature is challenged on every side. Transportation Wisconsin faces a transportation funding problem. Our transportation systems, road and bridge repair rely heavily on the gas tax and vehicle registration fees. Both of these seem to have little potential for growth. Gas tax revenues are falling due to more efficient automobiles, electrics and hybrids that use less gasoline. Past вЂњborrowingвЂќ from the supposedly dedicated transportation fund to finance general fund operations instead of transportation cost has left the state with significant borrowing expense. Shortages in state transportation funds could force Counties and Municipalities to increase property tax support for street and road maintenance and repair. Transportation Fund Amendment on Ballot The Wisconsin Transportation Fund Amendment, Question 1 is on the November 4, 2014 ballot in Wisconsin as a legislatively-referred constitutional amendment. The measure would, upon voter approval, require that revenues generated by transportation fees and taxes be deposited into the stateвЂ™s transportation fund. None of the revenues collected from transportation-related levies could be appropriated to any program that is not directly u continued on page 3 WPTвЂ™s Newsletter 3rd Quarter 2014 u continued from page 2 administered by the Wisconsin Department of Transportation. Therefore, the amendment would guarantee that revenues from transportation-related levies, such as the gas tax and vehicle registration fee, would be allocated to transportation-related projects. The official ballot text reads as follows: Question 1: вЂњCreation of a Transportation Fund. Shall section 9 (2) of article IV and section 11 of article VIII of the constitution be created to require that revenues generated by use of the state transportation system be deposited into a transportation fund administered by a department of transportation for the exclusive purpose of funding WisconsinвЂ™s transportation systems and to prohibit any transfers or lapses from this fund?вЂќ Because it would prevent future raids on the stateвЂ™s transportation funds and reduce pressure to increase property tax funding for county and municipal streets and roads, WPT strongly supports adoption of this Constitutional Amendment. Future Transportation Funding WPT asks our members to consider and weigh their candidatesвЂ™ positions on increasing transportation funding. Some have suggested toll roads which would require Constitutional Amendments and federal approval. Others have suggested increasing gas taxes and registration fees. As for spending, it appears that if the state continues to spend at 2013 levels the state would be $2 billion short of the costs in the next ten years. WPT suggests that members ask their candidates whether they would increase the gas tax or registration fees, or reduce transportation spending. Also WPT would ask them if they support amending the constitution as in Question 1, above. If the answer is none of the above, we would ask them how they intend to balance the costs of maintaining our transportation systems against our projected transportation revenues. School Financing Under Act 10, state school aid was cut to less than sixty percent per pupil per year and under current law, school districts have been allowed to increase spending slightly less than one percent per pupil per year. This has resulted in significant stress particularly to small rural school districts with lower property value per pupil than to districts with higher values per student. There is clearly a discrepancy between educational spending and support between high value urban and low value rural districts. WPT fought for and continues to support 2/3 state and 1/3 local funding for K-12 education. We also support the вЂњFair School FundingвЂќ proposal from the DPI. We would ask the candidates вЂњWhat would you do to equalize funding and opportunity for rural pupils?вЂќ Secondly we would as them вЂњWould you vote to restore 2/3 state and 1/3 local funding for the schools?вЂќ 3 are taxing personal properties. Second, simply increasing the taxes on all other properties. Third by increasing shared revenues by the amount of personal property taxes lost to the exemption. WPT would ask the candidates: вЂњWould you vote to eliminate the personal property Tax?вЂќ and вЂњWould you vote to increase shared revenue or eliminate the exemption for all privately owned real property?вЂќ Technical College Funding WPT testified on Technical College funding before the special Legislative Council study committee as follows: The time has long passed when Wisconsin technical colleges were vocational schools. They have since evolved into a junior college system with transferable credits. They are, like the University Schools, institutions of higher learning and should be financed as the UniversityвЂ™s Institutions are; not with property tax dollars but by tuition and state general purpose revenues. WPT would have our members ask their candidates: вЂњWould you vote to eliminate property taxes for Technical Colleges?вЂќ and вЂњWould you increase state aid to offset the loss of property tax support?вЂќ County and Local Levy Limits The Wisconsin Taxpayers Alliance said it best вЂњthe 2013-15 state budget leaves both revenues shared with local governments and strict levy limits Personal Property Tax unchanged. With aid stagnant and levy WPT has worked for and supports limits tight, municipalities and counties elimination of the personal property will have to continue operating with littax. This tax consumes more booktle or no revenue growth.вЂќ But as WPT keeping and reporting costs than it has pointed out, the taxpayers can, by generates. Generally it only applies referendum approve more if needed. to business property in mostly maHere are the questions the Taxpayers jor towns, cities and villages. There is Alliance would ask and we agree we currently a Legislative Council Comshould all ask: вЂњDo you support levy mittee, chaired by Rep. Duey Stroebel limits? If not, what changes do you considering the future of the personal property tax. WPT testified before the think would be appropriate?вЂќ And, вЂњWith rising fixed costs and slowed recommittee which has concluded its public hearings. WPT recommends to- sources, municipal and county budgettal elimination of the personal property ing has become more challenging. How might that financial burden be eased?вЂќ tax. We have a number of recommenand вЂњWould that increase state aid?вЂќ dations for replacing that tax. First by taxing all privately owned but currently exempt property including high priced retirement properties most of which are located in the same districts that u more news on page 4 WPTвЂ™s Newsletter 3rd Quarter 2014 4 u continued from page 3 ___________________________________ A brief review of regulations for frac mining Frac Sand Mining Draws Citizen Involvement The increased interest in sand mining has created a number of concerns and issues to local and state regulators. This section provides a brief review of the regulations pertinent to non-metallic mining in Wisconsin Planning and zoning at the local level вЂ“ in particular for counties and towns вЂ“ is the primary emphasis. STATE LEVEL DNR is the primary state agency regulating environmental impacts of sand mining and processing plants. Companies generally need to apply for and receive three permits. Many non-metallic mines, including sand mines, use water and must receive a high-capacity well permit. A high proportion of the water is recycled. Non-metallic mine owners or operators need a stormwater permit to manage both storm water and well water from the processing and from the site itself. Often a flocculant is used to settle out suspended solids in the water. Because of the nature of non-metallic mining, the potential to generate dust is ever present. Mines regularly water their internal roads and sand/gravel piles to decrease the amount of dust blown around. To deal with fugitive dust and truck exhaust, for examples, an air quality permit is required to assure ambient air quality standards are met to protect human health and the environment. As part of the air management permit a particulate monitor is required unless a variance from the Department is granted. Monitors may be placed at the edges of the mines. If a mining site is located adjacent to wetlands or surface waters, DNR water and wetland regulations may need to be addressed. The DNR also will conduct an endangered and threatened species, and archaeological review on all mine and processing facility sites. LOCAL LEVEL Local governments play an important role in regulating non-metallic and sand mining. One key role of counties is to review and approve reclamation permits and plans. Wisconsin Administrative Code NR 135 вЂ“ non-metallic mining operations вЂ“ requires reclamation of non-metallic mining sites. Reclamation of sites must comply with the standards set forth in this administrative rule. However, while this is a State administrative rule, in order to pursue non-metallic mining, a company/operator must apply for and receive a permit from the responsible unit of government in which the mine operation is located. In addition, the operator must submit a reclamation plan that meets the minimum standards set forth in NR 135 to the County in which it will operate. Other tools used by local governments are also important. These tools include comprehensive plans, zoning ordinances, developerвЂ™s agreements, road use agreements, and moratoria. CITIZEN ACTION From the time the prospective owner/ operator applies for a local mining permit, local governments must notify and involve citizen participation in reviewing every aspect of the permitting process. Citizen input includes appearing at hearings, contacting local officials forming action coalitions to assure that the mining license includes reimbursement for road usage and repairs, adequate funding for reclamation, compensation for protection of water and wetland and meets all of the state standards. ___________________________________ Find your candidate and vote August 12 Implement of Husbandry (IoH) and Agricultural Commercial Motor Vehicle New Size and Weight Information Implement of Husbandry (IoH) Definition 1. A self-propelled or towed vehicle that is manufactured, designed or reconstructed to be used and that is exclusively used in the conduct of agricultural operations. An вЂњimplement of husbandryвЂќ may include any of the following: 1. A farm tractor. (Referred to as Category A) 2. A self-propelled combine; a self-propelled forage harvester; self-propelled fertilizer or pesticide application equipment but not including manure application equipment; towed tillage, planting, and cultivation equipment and its towing power unit; or another self-propelled vehicle that directly engages in harvesting farm products, directly applies fertilizer, spray, or seeds but not manure, or distributes feed to livestock. (Referred to as Category B) 3. A farm wagon, farm trailer, manure trailer, or trailer adapted to be towed by, or to tow or pull, another implement of husbandry. (Referred to as Category C) 1. A combination of vehicles in which each vehicle in the vehicle combination is an implement of husbandry as described in subd. 1. or in which an implement of husbandry described in subd. 1. c. is towed by a farm truck, farm truck tractor, or motor truck. вЂњImplement of husbandryвЂќ does not include any of the following: 1. An agricultural commercial motor vehicle. 2. A vehicle that, notwithstanding s. 340.01 (8), is a commercial motor vehicle under 49 CFR 390.5 Agricultural Commercial Motor Vehicle (Ag CMV) вЂњAgricultural commercial motor vehi- cleвЂќ (Ag CMV) means a commercial motor vehicle to which all of the following apply: u continued on page 5 WPTвЂ™s Newsletter 3rd Quarter 2014 radius of business or farm. Beyond these dimensions, standard commercial (single 1.The vehicle is substantially designed or or annual) permits are required. equipped, or materially altered from its original construction, for the purpose To operate at lengths greater than those listed above, you may need to apply for an of agricultural use. 2.The vehicle was designed and manufac- IoH/Ag CMV Permit from the maintaining authority for the roads on which you tured primarily for highway use. 3.Unless the vehicle was manufactured are proposing to operate. prior to 1970, the vehicle was manu- Weight factured to meet federal motor vehicle вЂў New maximum IoH/Ag CMV weight safety standard certification label limits table applies. This allows for a requirements as specified in 49 CFR 567. maximum single axle weight of 23,000 4.The vehicle is used exclusively in the pounds and a gross vehicle weight of conduct of agricultural operations. 92,000 pounds dependent on number 5.The vehicle is directly engaged in of axles and axle spacing. harvesting farm products, directly applies o View the IoH/Ag CMV Maximum fertilizer, spray, or seeds to a farm field, or Weight Limits table for details. distributes feed to live stock. вЂў No-Fee permit may be required if gross vehicle weight or axle weight is greater Width than the IoH weight table. No width limitations however additional вЂў All operators must abide by seasonal or lighting and marking requirements are other special postings. effective Nov. 1, 2015. вЂў IoH weight limits do not apply on Also applies for IoH being operated or transported for delivery, service, or repair Interstate highways. В§348.15 (9)(c)2. by dealer or farmer within 75-mile radius (d) вЂўExemptions of business or farm. o Empty potato harvester is exempt Height from axle weight limit. Also ex- No height limitations. empt from Class B road postings. Operator of IoH remains responsible for o Category B is: ensuring safe clearance of any overhead Exempt from axle weight limits unless obstructions. local road authority passes ordinance Length or resolution limiting self-propelled Single vehicle IoH axle weight. 60 feet Exempt from gross vehicle weight and No-Fee permit may be required over 60 axle weight limits when operating befeet tween fields and operated on the high way for a distance of 1/2 mile or less. Two vehicle combination Exempt from Class B road postings. 100 feet o IoH traveling for delivery, service, No-Fee permit may be required over 100 repair by dealer or farmer within feet 75-mile radius of business or Three vehicle combination farm is exempt from gross vehicle No more than 100 feet with speed re weight and axle weight limits. striction of 25 mph or less OR 70 feet at a Also exempt from Class B road postings. speed greater than 25 mph. To operate at weights greater than those No-Fee permit may be required if exceed- listed above, you may need to apply for an ing 100 feet in length. IoH/Ag CMV Permit from the maintaining authority for the roads on which you Towed units being drawn by a motor are proposing to operate. truck, truck tractor, or Ag CMV must Other Changes be empty. вЂњEmptyвЂќ means less than 20 Limits on hours of operation are elimipercent full. nated. Length limits also apply to IoH being opAs of Nov. 1, 2015: erated or transported for delivery, service, All vehicles exceeding 15-feet must have repair by dealer or farmer within 75-mile front and rear warning lights on and u continued from page 4 5 reflective material visible anytime on highway, unless operating in daylight with an escort vehicle and two orange or red flags marking the outside edges. All vehicles exceeding 22 feet must have an escort vehicle with hazard flashers activated. Escort is not required for incidental travel of 1/2 mile or less. ___________________________________ Members Question: Do Sand Miners Pay for Use of Roads? The answer is that some do and some donвЂ™t. Most Town licenses require sand, gravel and other non-metallic mining operators to pay for costs of road use up front before a single truck hits the town roads. Here is the language of the model Frac Sand Mining Ordinance: Section 46.10. Financial Assurance (1)Financial assurance shall be provided to the Town as a condition of license approval in the amount necessary for the following: (a) Road repair. An amount nec essary for the repair and maintenance of Town Roads used for truck traffic transporting materials to or from the site. (2)The form of financial assurance made to the Town shall be that form agreed to by the Town Board and may include escrow accounts, irrevocable letters of credit or other measures agreed upon by the Town Board. (3)In the event the Town determines that the amount of financial assurance must be increased to meet specific road repair or water supply needs, or the amount available has been utilized, the Town shall notify the Operator of the additional amount needed and the basis for the request. The Operator shall have 30 days to provide the increased amount. This provision has been enforced in most Town licensing agreements issued in recent years. u more news on page 6 Wisconsin Property Taxpayers, Inc. P.O. Box 1493 вЂў Madison, WI 53701 6 WPTвЂ™s Newsletter 3rd Quarter 2014 u continued from page 5 ___________________________________ Meet WPTвЂ™s Member Representatives. Get to Know Us Doyle Spurgeon My name is Doyle Spurgeon and I am an Agricultural Member Representative for WPT. I mainly work South Eastern and Southern Counties. I am in my eighth year with WPT. Prior to joining WPT, I was in the Lawn Maintenance Industry in both sales and management for 11 years. I was raised on a small family farm near Ontario in Vernon County. I am the oldest of a family of 8 children. I remember the days of farming with horses, milking by hand and using electric fences powered by battery. We also, used kerosene lanterns because we didnвЂ™t have electricity until I was 10 years old. Those were the вЂњgood old days.вЂќ I also remember when you cranked the car, you actually used a crank. One of my favorite things was carrying the 82 pound milk cans and found out it was easier when you carried two at a time. When I am talking to WPT members I am impressed by how loyal they are to WPT. I believe that they are loyal to us because they know that we are, also, loyal to them. They know we have a long record of keeping our promises to them. After thousands of conversations with farmers and other business owners, I have When time permits, my wife and I concluded they are willing to take risks enjoy attending our grandsonвЂ™s sportthat most others wonвЂ™t take. ing events, boating on Green Lake and When I am not working, I enjoy watching traveling with family the Packers, driving and working on my Pontiac Firebird. My wife, Imelda, and I live in Belgium in Ozaukee County. I look forward to seeing you soon! Terry Mulville My name is Terry Mulville. I joined WPT in July to serve the business community of North Eastern Wisconsin. I bring to this position a varied business background in finance, sales & agricultural endeavors. After careers on the Chicago Board Options Exchange, the Chicago Board of Trade and grain origination on the Illinois River, my family relocated to the Green Lake area where we currently reside. I have B.S - Bus Adm (Accounting) degree from Drake University and I currently hold a Wisconsin Real Estate sales license as well as health & life insurance licenses. Visit www.wptonline.org ... While you are there sign, up to receive our weekly email вЂњThe Capitol Report!вЂќ A great resource to stay up-to-date on the current issues that affect you and your farm or business. Or Call us at 1-800-994-9784 with your questions and concerns. We always look forward to hearing from you and are here to help! None of these accreditations are relevant now for the ownership and operation of a self-serve carwash my wife and I own as well as our small cow/calf operation. WPT - Your Membership $$ At Work To Make You Money!