More Trouble Surfaces for Wisconsin Shares

Since the beginning of the year, I have been actively monitoring the latest developments in an ongoing audit/evaluation of the Wisconsin Shares subsidized child care program.  Many of you may be aware of the ongoing investigation conducted by the Milwaukee Journal Sentinel into the rampant cases of fraud that have been uncovered within the program.  Among the latest cases of fraud that recently came to light involves a provider who used her excessive taxpayer-funded child care payments to purchase a Jaguar and build a million-dollar mansion with an indoor pool and basketball court.  According to the Legislative Audit Bureau, which is in the second phase of a year-long audit of Wisconsin Shares, the program cost the state's taxpayers $22.5 million in overpayments to ineligible child care providers in 2008 alone.

If the fraud that we've discovered over the past year isn't bad enough, the Legislative Audit Bureau recently discovered that the addresses of four child care sites (two in Milwaukee County and two in Racine County) matched the addresses of where convicted sex offenders reside, according to the statewide sex offender registry.  Two of these offenders were convicted of assaulting children.  The audit bureau does not believe any children were harmed, but it still took certain precautions.  Once the matches were discovered, a memorandum was immediately issued to state licensing and county certification officials instructing them to search their electronic databases of registered sex offenders and determine if anyone within the registry had applied for licensure or certification as a child care provider. 

To say that I am frustrated with Wisconsin Shares would be an understatement.  This program was intended to help parents pay for child care so that they could acquire and maintain jobs, but instead certain participants made a very good living out of scamming the system as well as the taxpayers.  Worse than that, certain officials in charge of overseeing Wisconsin Shares not only allowed these scams to take place, but also failed to ensure the safety of the kids within the program by keeping them away from sexual predators and even other felons.  During its investigation, the Milwaukee Journal Sentinel discovered nearly 500 child care providers with criminal records who were receiving payments under Wisconsin Shares.  One such provider had been convicted of dealing cocaine.  This complete lack of accountability and responsibility is appalling and must stop.

I am in the process of researching a remedy to fill the loopholes and restore accountability in Wisconsin Shares that I hope to introduce as legislation later this session.  Given that this program costs the taxpayers $350 million annually, there should be stronger restrictions and better oversight put in place to deter fraud and make the safety of the children the highest priority.  For too long, the taxpayers, many of whom are now struggling themselves in this economy, have been badly abused by the current system within Wisconsin Shares.  I intend to work with my colleagues in reversing this trend and start holding the wrongdoers accountable.

Audit Conducted on State Operations

Last week, the state Legislative Audit Bureau released a report detailing the results of an audit that had been conducted to determine the efficiency of the Accountability, Consolidation, and Efficiency (ACE) Initiative implemented by the Department of Administration (DOA), as well as other state administrative operations.  The purpose of the audit was to determine the efficiency of consolidating administrative functions at DOA and the overall cost savings to the state.

The Governor's ACE Initiative is a two-year restructuring program that was implemented at DOA under 2005 Wisconsin Act 25 (the 2005-2007 State Budget).  Under this plan, the following components were enacted: consolidating human resources services for seven small agencies within DOA, consolidating purchasing services for eleven agencies within DOA, executing new and improved purchasing contracts for goods and services used by state agencies and the UW System (such as office supplies and IT services), selling underutilized and surplus state property, and consolidating computer servers and network support services used by agencies within DOA.  The overall savings goal of the ACE Initiative was $200 million over the duration of four years that ended in June 2009.

Despite initial enthusiasm and the lofty goals of the program, the audit brought to our attention indicated "mixed results," according to the Legislative Audit Bureau.  While the consolidation of human resources at DOA has been successful, other aspects of the ACE Initiative have not demonstrated similar progress.  The audit revealed that DOA's management practices in relation to purchasing goods and services "could be improved" due to the lack of consistency in reviewing reports on the purchases of goods and services.  Reviewing these reports ensures that they are complete and accurate, especially given the different prices charged by multiple vendors.  As a result of this lack of oversight, DOA vendors were likely overpaid by $396,100.

Worse than the inconsistencies with the vendors are the results from the audit of the IT support services consolidation (including e-mail, servers, and the Integrated Business Information System, or IBIS).  Intended to save money, this component of the ACE Initiative has instead exceeded its initial cost estimates and has fallen far behind schedule.  Between 2005 and June 2009, DOA spent a total of $113.5 million on the IT services consolidation.  As of June, only the e-mail portion of this project had been completed while IBIS was suspended in April 2008 after costing the state more than $9 million.

This is yet another frustrating example of wasted tax dollars in addition to the Wisconsin Shares scams.  It could be a very busy session for my colleagues and me on the Joint Legislative Audit Committee as we take a closer look at the results of the ACE Initiative audit and determine how to reign in the out-of-control spending or cancel the program altogether.

Twin Lakes Fire Department Celebrates 80 Years

Last Saturday, September 19th, I attended the Twin Lakes Fire Department's 80th anniversary community fish fry and boil.  The event was well-attended and enjoyed by all.  The fire department was created on March 4, 1929 by twenty men who held their first meetings in the basements of different homes throughout the community.  By December 1941, the department became incorporated under Section 213 of the Wisconsin Statutes.  The fire department's official building was constructed in 1942 and was expanded to accommodate more trucks and equipment in 1972. 

In 1949, the fire department was joined by the newly-created Twin Lakes Rescue Squad.  The squad was the first of its kind for western Kenosha County, providing the fire department with emergency medical services for fire victims.  Members of the rescue squad received their early training in first aid by the American Red Cross.

The anniversary celebration recognized the growth and success of the fire department over the last 80 years.  During that time, the department has stood by its mission of public safety and dedicating itself to the preservation of life, property, and the environment on a daily basis.  In honor and recognition of its 80th anniversary and its valuable services to the community, Senator Bob Wirch and I presented the Twin Lakes Fire Department with a plaque on behalf of the Wisconsin Legislature.  We join the community in thanking the volunteer firefighters for their hard work and dedication to serve Twin Lakes and the surrounding areas.  Again, a very big thank you to the Twin Lakes firefighters and Happy Anniversary!

Rep. Samantha Kerkman pictured with Sen. Bob Wirch and members of the Twin Lakes Fire Department at the 80th Anniversary fish fry and boil.  Pictured from left to right are Fire Chief Stan Clause, Deputy Fire Chief Don Schemenauer, Assistant EMS Chief Barry Brandenburger, and EMS Chief Darrel Stoen.

 

James E. Kreuser Earns the Rank of Eagle Scout

James Kreuser of Kenosha was recently honored for achieving the rank of Eagle Scout during an afternoon Court of Honor ceremony last Sunday, September 20th.  The Senior Patrol Leader of Troop 544 received the Boy Scouts of America's highest honor after completing an extensive project at the Unity Lodge in Kenosha.  The project entailed cleaning up debris, planting 80 trees, and creating a walking trail and building a bridge in the back six acres of the lodge's property.

Since joining the Boy Scouts of America as a Tiger Cub in 1998, Jimmy has earned 29 Merit Badges.  He is also the recipient of the following awards: Snorkeling BSA Award, International Activity Badge, Order of the Arrow Brotherhood, and he was recognized for completing a 50-mile hiking, biking, and canoeing trip.  Last, but not least, he served as a Crew Leader during two high adventure trips to the Bahamas and New Mexico.

Representative Peter Barca and I joined Jimmy and his parents, Jane and Kenosha County Executive Jim Kreuser, a former state representative, at the Eagle Scout Court of Honor ceremony to commemorate his remarkable achievement.  Representative Barca and I presented Jimmy with a plaque that we signed along with Representative John Steinbrink and Senator Bob Wirch.  Jimmy is currently a senior at Bradford High School.  Congratulations to Jimmy on becoming an Eagle Scout!

Rep. Samantha Kerkman pictured with Eagle Scout Jimmy Kreuser during his Court of Honor ceremony.