Frederica Freyberg:

The Legislature’s Budget-Writing Committee is soon to take action on the $350 million cut to the UW System. WPT is part of the system. But with that action in the offing, UW-Madison this week released a study showing the campus accounts for $15 billion in statewide economic impact, including $850 million a year instate tax revenue. Just today Madison’s Chancellor announced 400 positions will be eliminated and programs and services cut under the Governor’s budget. Saying the proposed cuts are profound, a regional economic group has taken what it calls a rare step to weigh in. The eight-County Madison Regent economic partnership Board drafted a resolution asking Legislators to reduce the cuts proposed in Governor Scott Walker’s budget. Former Mayor of Green Bay and the former CEO of the Wisconsin Economic Development Corporation, Paul Jadin, is president of the partnership. Thanks very much for joining us.

Paul Jadin:

Thank you.

Frederica Freyberg:

So your Board says it doesn't weigh in on legislative matters, but this cut is so profound that you felt the need. What in your mind are the ramifications of these kinds of cuts to the UW?

Paul Jadin:

I think first of all you have to consider the fact that with the flagship university right there in our region, we regard that to be a profound change because that’s our number one asset. When we talk to site selectors around the country, when we talk to companies that reconsidering expansion or companies that are looking at starting up, there is a very significant tie to the university, whether it’s through the work force that that creates or the research that is conducted at the University. So if you’re looking at the kinds of cuts that the Chancellor has announced, it would have a major impact both on workforce and research.

Frederica Freyberg:

What was your reaction when you first learned of the size of these cuts in the Governor’s budget?

Paul Jadin:

Well, I thought that it was obviously very significant, but at the time I believed thatcher was going to be some mitigation of that. And I still believe that. I think there are legislators on the Republican side who recognize that it is an extraordinary cut and there’s constituent campus in virtually every one of their districts. So it’s not just about what's going on here at the UW.

Frederica Freyberg:

So in terms of the mitigation, I know that you drafted a resolution calling further to be a reduction in these cuts. But what level of cuts in your mind would be acceptable and not diminish the economic benefits of this campus in particular?

Paul Jadin:

That’s a great question because we had board members who basically said we’d prefer that the cuts be eliminated altogether. And of course we had other board members who said they have to take some sort of fair share. I can’t tell you exactly what the numbers should be, but I think there will be legislators who put forward a very reasonable alternative that will reduce this to something that will make sense for our economy in the area.

Frederica Freyberg:

Now, you, as we mentioned, were CEO, the head, of WEDC, Wisconsin Economic Development Corporation. Scott Walker appointed you. Had you been in that position when this happened, would you have counseled the Governor against it?

Paul Jadin:

I don’t know that that's appropriate to go there. Obviously the person in that position now, whether he provided that counsel or not, I don't know. But I was not in a position to counsel him, and I, however, am in a position to ask for a reduction in the role I’m currently in.

Frederica Freyberg:

And have you spoken with the Governor about it?

Paul Jadin:

No, I haven’t.

Frederica Freyberg:

And what has been the reaction on the part of budget-writing legislators?

Paul Jadin:

Well, we sent the resolution to the Joint Finance Committee the day we released it and have not gotten a response yet.

Frederica Freyberg:

What does that say?

Paul Jadin:

Well, I hope that it means that people are considering it, but I do look forward to responses in the next few days.

Frederica Freyberg:

Now, your Partnership Board represents eight counties in South Central Wisconsin, but, again, you believe that these kinds of cuts System-wide will do economic damage across the state?

Paul Jadin:

I think everybody who is responsible for feeding our workforce is going to play some role in eating these cuts and therefore we’ll have less opportunity to provide the quality work force that we enjoy here in Wisconsin.

Frederica Freyberg:

In terms of UW-Madison, what are the kinds of graduates that are best feeding the work force?

Paul Jadin:

Well, clearly this is an area where we’re very — we have a very robust I. T. environment, particularly if you look at coders and software publishers and anyone involved in computer programming, those are very critical areas. Biology of course is a very significant area as well with all of the life science activities, all of the agricultural components of the university are critical to what we do here in the Madison region. And of course business in general with advanced manufacturing and the other very significant target sectors that we work with.

Frederica Freyberg:

I know that there has been concern, as we’ve also kind of touched on here, about the idea of the loss of human capital, even within the universities, though, like these proposed potential 400 jobs eliminated at Madison and then all of the other kind of buyouts across the state. Does that then have the spin-off effect of hurting the local economies?

Paul Jadin:

Well, I think it, one, takes money out of the economy. But, again, back to our selfish purpose here. When you look at a billion-dollar research institute and the fact that research is generated by professors and generally professors that command very high salaries and have to be attracted to this area, anytime you look at the possibility of losing that type of talent, you’re going to reduce the amount of grants that come to Madison. Therefore you’re going to reduce the amount of products that are commercialized in this area and obviously, therefore, the size of our workforce and the size of our number of companies.

Frederica Freyberg:

We leave it there. Paul Jadin, thanks very much.

Paul Jadin:

My pleasure.