TEST TW WEATHER

January 15, 2009 Minnesota, Wisconsin consider sharing to cut costs

By Don Davis, Forum Communications

ST. PAUL – Minnesota and Wisconsin can save millions of dollars if
they work closer together – on things such as bulk purchases of salt
for roads and food for prisoners – the states’ governors said
Tuesday.

Minnesota Gov. Tim Pawlenty and Wisconsin Gov. Jim Doyle signed
executive orders requiring their staffs to work together hunting for
ways to save money.

“We can be more efficient buyers if we work together,” Doyle said
during an announcement in Pawlenty’s office.

Later, the governors made the same announcement in Madison.

The two could provide no specifics about how the states will
cooperate, but said they expect to be able eventually to save money by
doing things such as:

— Combining purchase of the 600,000 tons of road salt the two states
use a year.

— Purchasing large pieces of equipment, such as bulldozers, in one
order – or sharing them if neither state needs the equipment all the
time.

— Making big buys of food for institutions such as prisons.

— Licensing computer software together to get volume discounts.

— Using one state’s bureaucracy to handle similar programs in both
states, such as some health and human services programs.

— Sharing specialized equipment such as helicopters and patrol
boats.

— Combining licensing functions such as hunting and plumbing.

A western Wisconsin senator said the concept of sharing is a good
one.

“If you live where we live, you quickly realize how our area operates
as a region,” Sen. Sheila Harsdorf, R-River Falls, said.

“We should not be constrained in our problem-solving by state lines
when opportunities exist to maximize our resources. I believe state
and local governments could serve the taxpayer better if we can
partner with Minnesota on operations, training, and resources,” she
added.

Doyle, a Democrat, and Pawlenty, a Republican, said if this
cooperative proposal works, it could expand to other states.

Both states face historically large budget deficits – Minnesota $4.85
billion and Wisconsin $5.4 billion for the next two years.

The governors ordered their staffs to report about how they can
cooperate by Feb. 27.

Neither governor knew how much money could be saved, but they agreed
it could be in the millions.

“It may be as routine as jointly purchasing road salt,” Pawlenty said,
which in itself could save $1 million.

Wisconsin has a good computer system to operate its health programs,
Pawlenty added, and Minnesota could consider using that resource.

Doyle suggested that the states could consider their lottery
operations working together and perhaps fish hatcheries and tree
nurseries could be combined.

Pawlenty said some of the ideas might need to be approved by lawmakers
and others could be part of union negotiations.

The Minnesota chief executive said that he did not expect many jobs to
be lost, especially since half of his state’s workers will be eligible
for retirement in the next few years.

Doyle said that a 10th of his state’s positions are being held open to
save costs, so getting work done without hiring more employees would
help.

The governors said they know of no other states cooperating on the
level they suggest.

The governors said they could consider sharing work in the
Duluth-Superior port operations, although neither governor could give
specifics about what would be shared.

Doyle said both states have inspectors in the ports, so they could
work together.

“We shouldn’t have Superior and Duluth competing with against each
other,” Doyle said.

Doyle said the two states should not look at themselves as
competitors.