Laws aimed at stimulating the economy

Jenny Price

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Laws aimed at helping everyone from budding entrepreneurs to small manufacturers to Hollywood filmmakers emerged this year from the state Capitol, a legislative session marked mostly by efforts pushed by the GOP-controlled Legislature that Democratic Gov. Jim Doyle used his veto pen to derail. But Democrats and Republicans found some common ground when it came to efforts to stimulate business growth and nurture Wisconsin's economy. Though neither party got everything it wanted, the bills listed below earned bipartisan backing in the Legislature and the governor's signature to become law.

Helping manufacturers go lean

Act 180 puts $700,000 toward helping small and medium-sized manufacturers that supply components to larger equipment manufacturers such as Harley-Davidson streamline their production process and increase profits. The goal is to spark manufacturing growth by strengthening the supply chain within the state. State commerce officials expect the initiative to assist at least five original equipment manufacturers and 100 smaller suppliers across Wisconsin.

Getting rural areas online

Act 479 provides $7.5 million in tax credits to telecommunications companies for developing broadband service in rural areas where expanding Internet access beyond dial-up has been cost prohibitive. The bill's supporters expect the development of broadband in currently underserved markets to open doors to more economic development that were previously closed because of a lack of broadband.

Rural Jobs Act includes Madison and Milwaukee

Act 361 directs the state Department of Commerce to establish 10 economic development zones with tax breaks available for companies that locate or expand operations there. Republicans fumed when Doyle used his veto pen to include the state's two largest cities in a program they intended to be an initiative for rural areas, especially in northern and western Wisconsin. A GOP attempt to override the governor's veto fell short in the Assembly at the close of the legislative session. State commerce officials intend to use the zones to bolster projects creating 500 jobs or more.

Lights! Camera! Action!

Act 483 is Wisconsin's shot at jumpstarting a film industry, a package of tax incentives that are among the most aggressive in the country, according to industry experts. The bill provides a tax credit for up to 25 percent of production expenditures for feature films, television movies, episodic and miniseries television, video games and broadcast advertising production. The law does not go into effect until 2008.

Making research a reality

Act 417 makes it easier for University of Wisconsin researchers to turn their work into commercial ventures. Before, researchers had to wait up to a year for the state attorney general's office to review proposals to spin their discoveries off into a private company or contract with an existing company that wants to use or develop the discovery. The legislation exempts them from a law that prohibits state employees from entering into contracts in their role with the university if they have a financial interest in the deal. Under the new law, UW System officials will evaluate proposed contracts between researchers and companies for potential conflicts of interest. The attorney general's office still has 30 days to review deals worth more than $75,000. The changes will spur economic growth and entrepreneurship in the university community.

Removing obstacles to investment

Act 474 repeals a state law that many believed to be a major obstacle to attracting out-of-state investors to Wisconsin companies. The old law meant shareholders would lose not only their original investment if a company went under, but they would also be held liable for an equal amount of wages owed to employees. Wisconsin was the only state to have such a law on the books.

Runway economics

Act 487 sets up a $9 million tax incentives program to encourage economic development on and around public airports. The new law, with a $3 million maximum cap on tax credits, is aimed at Wittman Regional Airport in Oshkosh, Fond du Lac County Airport and Outagamie Regional Airport in Appleton.

Keeping the minimum wage uniform

Act 12 prevents local governments around Wisconsin from enacting a higher minimum wage than the statewide minimum wage of $6.50 an hour. The law was sparked by local efforts in Madison and other cities to raise the minimum wage.

For more information, go to the state Legislature Web site: www.legis.state.wi.us.

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David Watkins, director of UW-Madison's HIV vaccine lab, looks on as researcher Denise Rodreques and technician Alex Bean work in a lab on Science Drive, Madison, in June. A bill passed by the state Legislature will streamline the process for converting research into commercial ventures.

David Watkins, director of UW-Madison's HIV vaccine lab, looks on as researcher Denise Rodreques and technician Alex Bean work in a lab on Science Drive, Madison, in June. A bill passed by the state Legislature will streamline the process for converting research into commercial ventures.
(John Maniaci)