News of the Day

Countdown to New Federal ID Requirement Begins

When enforcement of the REAL ID Act begins October 1, 2020, the regular Wisconsin driver license or ID will no longer be accepted identification for domestic air travel or to enter a federal building or military base. On October 1, 2020, travelers will need to present a REAL ID-compliant driver license or state ID card or another acceptable form of identification (such as a passport).

“Since a driver license or ID is the most convenient form of identification, Wisconsin DMV encourages travelers to prepare their paperwork then visit a DMV before the October 1, 2020 deadline,” Wisconsin Division of Motor Vehicles (DMV) Administrator Kristina Boardman said. “Our customers are encouraged to visit the DMV sooner rather than later. Delay could mean longer lines at the DMV and travelers without a REAL ID will be denied boarding their plane.”

What documents are required to get a REAL ID? What documents are required to get a REAL ID?

To obtain a REAL ID-compliant driver license or ID card, individuals must visit a Wisconsin DMV and bring the following original documents or a certified copy (not a photocopy, fax or scan):

For a complete list of acceptable documents, visit wisconsindmv.gov/REALID.

DMV’s interactive Driver Licensing Guide will help customers develop a personalized checklist of the required documents needed to bring to the DMV. It also allows customers to pre-fill any required application(s), print and bring the forms or submit them electronically (if eligible), and print a checklist of required documents to bring.

Net Neutrality Court Ruling: States Can Set Own Rules

A federal appeals court on Tuesday issued a mixed ruling on the Federal Communications Commission repeal of Obama-era net neutrality rules. The court upheld the FCC’s repeal of the rules, but struck down a key provision that blocked states from passing their own net neutrality protections.

FCC Chairman Ajit Pai applauded the decision as not only a win for the agency but also a “victory for consumers, broadband deployment, and the free and open Internet.” He said the court not only upheld its repeal of the rules, but it also upheld the agency’s so-called “transparency rule,” which requires broadband providers to disclose when they’re making any changes to their service.

The decision is the latest chapter in the decade-long fight to protect the internet from excessive control by big broadband companies and how the internet should be regulated.

The court largely agreed with the Republican-led FCC that the agency had the discretion to decide how to classify broadband. The Obama-era rules had reclassified broadband as a so-called common carrier service, which treated broadband like a public utility, subject to many of the same regulations as traditional phone service.  The 2017 repeal reinstated the less regulated classification of broadband, providing what Chairman Pai and other Republicans have called a “light touch” regulatory approach.

“Regulation of broadband internet has been the subject of protracted litigation, with broadband providers subjected to and then released from common-carrier regulation over the previous decade,” the DC Circuit said in its opinion. “We decline to yet again flick the on-off switch of common-carrier regulation under these circumstances.”

Wisconsin DWD Compiling Strategies to Address Employee Shortage

As Wisconsin’s Workforce Development Month comes to a close, the DWD secretary was in Eau Claire to tout keeping local talent, local.

All month, Secretary Caleb Frostman has been traveling the state, talking with private employers and learning their strategies for recruiting workers.

He said with a shortage of workers in the state, DWD officials are trying to compile some of the best strategies employed by Wisconsin companies.

“I think the folks we’ve seen successful have been creative, have thought outside the box. They’ve been inclusive. There’s some folks that haven’t been in the workforce before but they’ve been very aggressive, so they’re unsolicitedly sending messages on LinkedIn,” Frostman said.

Frostman said he plans to have a roundtable discussion with other leaders to share the information gathered from different businesses.

White House Deliberates Block on U.S. Investments in China

The White House is weighing some curbs on U.S. investments in China, a source familiar with the matter told CNBC. This discussion includes possibly blocking all U.S. financial investments in Chinese companies, the source said.

It’s in the preliminary stages and nothing has been decided, the source said. There’s also no time frame for their implementation, the source added.

The deliberations come as the U.S. looks for additional levers of influence in trade talks, which resume on Oct. 10 in Washington. Both countries slapped tariffs on billions of dollars worth of each other’s goods. The discussions also come as the Chinese government is taking steps to increase foreign access to its markets.

Fiscal Bureau Analysis Shows GOP Cut Taxes by $13 billion Since 2011

A new analysis by the non-partisan Legislative Fiscal Bureau showed tax law changes that have been adopted since 2011 saved taxpayers more than $13 billion.

The memo of the analysis was released by Assembly Speaker Robin Vos Thursday. Vos received the analysis on Sept. 17. The more than $13.1 billion in tax cuts include:

    • More than $7.2 billion in income and franchise taxes, and economic development surcharges.
    • More than $131 million in other general fund taxes.
    • More than $5.7 billion in property taxes.

“One of our top priorities has been to allow Wisconsin families to keep more of their own hard-earned money,” said Speaker Robin Vos. “Republicans have proven we can cut taxes, fund essential state programs and grow the economy.”

According to Vos, the current budget grows the annual tax cuts to more than $2.3 billion, which includes reductions by more than $1.2 billion in income and franchise taxes and economic development surcharges, $18 million in other general fund taxes and $1.1 billion in property taxes.

U.S. and Japan Reach Trade Deal on Farm Goods, Digital Trade

The United States and Japan outlined initial details of a trade deal Wednesday as they to iron out a broader agreement.

The first stage of the accord will open markets up to about $7 billion in U.S. agricultural products, President Donald Trump said at a signing ceremony with Japanese Prime Minister Shinzo Abe at the United Nations. Japan will also reduce tariffs on products such as beef and pork, and eliminate tariffs on goods such as almonds, blueberries and broccoli.

President Trump added that the two nations made commitments for $40 billion worth of digital trade. It would bar customs duties on products such as videos, music and e-books, among other provisions.

In a joint statement later Wednesday, Japan and the U.S. said they wanted to finish their trade talks within about four months, according to Reuters. They said that, “while faithfully implementing these agreements, both nations will refrain from taking measures against the spirit of these agreements and this joint statement.”

U.S. Department of Labor Issues Final Overtime Rule

Yesterday, the U.S. Department of Labor announced a final rule to make 1.3 million American workers eligible for overtime pay under the Fair Labor Standards Act (FLSA).

“For the first time in over 15 years, America’s workers will have an update to overtime regulations that will put overtime pay into the pockets of more than a million working Americans,” Acting U.S. Secretary of Labor Patrick Pizzella said. “This rule brings a commonsense approach that offers consistency and certainty for employers as well as clarity and prosperity for American workers.”

The final rule updates the earnings thresholds necessary to exempt executive, administrative, or professional employees from the FLSA’s minimum wage and overtime pay requirements, and allows employers to count a portion of certain bonuses (and commissions) towards meeting the salary level.

In the final rule, the Department is:

  • raising the “standard salary level” from the currently enforced level of $455 to $684 per week (equivalent to $35,568 per year for a full-year worker);
  • raising the total annual compensation level for “highly compensated employees (HCE)” from the currently-enforced level of $100,000 to $107,432 per year;
  • allowing employers to use nondiscretionary bonuses and incentive payments (including commissions) that are paid at least annually to satisfy up to 10 percent of the standard salary level, in recognition of evolving pay practices; and
  • revising the special salary levels for workers in U.S. territories and in the motion picture industry.

The final rule will be effective on January 1, 2020.

The Department estimates that 1.2 million additional workers will be entitled to minimum wage and overtime pay as a result of the increase to the standard salary level. The Department also estimates that an additional 101,800 workers will be entitled to overtime pay as a result of the increase to the HCE compensation level.

Governor Evers Orders Special Election in 7th Congressional District

Yesterday, Governor Tony Evers ordered a special election to fill the 7th Congressional District vacancy created by the resignation of U.S. Rep. Sean Duffy (R-Wis).

The election will occur on Monday, January 27, 2020. A primary, if required, will occur on Monday, December 30, 2019.

State law dictates when the governor can order a special election. Once a congressional seat becomes vacant, the governor can order a special election.

Medical Marijuana Bill Faces Stiff Opposition in State Legislature

A bipartisan group of lawmakers wants to enact medical marijuana legislation, despite opposition from legislative leaders.

Democrat Senator John Erpenbach and Representative Chris Taylor, and Republican Senator Pat Testin are seeking to create a pathway for doctors to be able to prescribe marijuana to patients.

Testin says it’s a personal issue for him, after his grandfather used cannabis to treat his cancer symptoms. “I saw him make the decision to go outside the law to seek treatment with medical marijuana. It restored his appetite, and I believe it added months to his life. I am grateful for all the time that I had with him.”

“Each time we introduce this bill, more and more people around Wisconsin find that someone they know has turned to cannabis as a life-altering medical treatment,” said Senator Erpenbach. “The public support is there, we have a Governor who supports it, the time for medical cannabis is now.”

The bill will face stiff competition in the Senate, however. Senate Majority Leader Scott Fitzgerald has been a staunch opponent to any form of marijuana legalization. “Everyone knows that medical marijuana leads to legalized marijuana,” he said in a statement to the Milwaukee Journal Sentinel.

“I don’t support this plan and I think that it’s going to be a tough sell to a majority of my caucus.”

Wisconsin Lost 1,400 Private Sector Jobs in August

Wisconsin lost 1,400 private sector jobs in August and the state’s year-over-year job growth declined to 0.32%, the worst performance since July 2010, according to the latest data from the U.S. Bureau of Labor Statistics.

The state’s Department of Workforce Development released the monthly data on Thursday, highlighting that Wisconsin’s labor force participation rate remained unchanged in August at 67.2%.

“Along with the country’s, Wisconsin’s workforce is aging rapidly, with thousands retiring daily,” DWD Secretary-designee Caleb Frostman said. “To replace retiring workers, while also filling new positions, Wisconsin’s employers and workforce partners, very much including DWD, will need to continue their aggressive, creative, and inclusive workforce recruitment efforts.”

Compared to August 2018, the state’s labor force was down by around 6,000 people. The labor force participation rate has been trending down since mid-2017, dropping from 68.5% to 67.2%, a loss of more than 27,000 workers.

Wisconsin’s unemployment rate increased by a tenth of a percent to 3.1% in August.